What happened: on April 26, the company released its Quarterly report for the first quarter of 2016, which pointed out that the operating income in the first quarter was 357 million yuan, an increase of 58.32% over the same period last year. The net profit belonging to shareholders of listed companies was 23 million yuan, an increase of 164.97% over the same period last year.
Comments:
Sales and the appreciation of the euro boosted revenue. In the first quarter, on the one hand, sales revenue increased compared with the same period last year, and on the other hand, the euro appreciated, contributing to a 58.32% year-on-year increase in revenue in the first quarter.
According to the annual report, at present, the company is actively improving the photovoltaic industry chain, and has formed a silicon wafer production capacity of 85 million wafers, battery 600MW and photovoltaic module 800MW production capacity. At the same time, through technological and process innovation (at present, there are 15 patents, including 6 invention patents, 9 utility models, and 6 patents have been applied for), the maximum power of polycrystalline components is 320W, and the conversion efficiency of battery chips is 18.3%. The conversion efficiency of components is 16.41%.
Focus on distributed photovoltaic. By the end of 2015, the distributed photovoltaic power station on hand is 56MW. The company's plan for 2016 is to closely monitor domestic and foreign policy trends and actively look for suitable large-scale photovoltaic power generation projects. The company is located in the eastern region, rich in distributed resources, but also in line with the national policy to distributed tilt. The fixed increase plan shows that the company intends to invest in the construction of 120MW distributed power station project, and the company has signed a framework agreement with Gu Xian Dao New Materials and other companies to build distributed photovoltaic using assets such as the roof of the plant. The company is expected to further expand distributed power plant resources in Zhejiang Province.
Test the waters of the robot industry. The company signed an investment cooperation agreement with Ningbo Weideskeller on January 15, 2014, and has paid a performance bond of 8 million yuan to it, and the company has the right of priority to buy shares. In view of the fact that Ningbo Weideskeller has not fully reached production in 2015, its 2015 net profit has not reached the agreed profit, but the company is optimistic about the development of the robot industry and Ningbo Weideskeller technology, talent and other prospects, after friendly negotiations between the two sides, the company and Ningbo Weideskeller signed the "Equity Investment Agreement" on January 15, 2016, with a stake of 2%, and the follow-up depends on the performance of the underlying company.
Profit forecast and investment advice:
In the context of the continuous release of supportive policies and technological progress in the photovoltaic industry, the company's distributed photovoltaic power station continues to expand, and is expected to continue to grow, and test the waters of the robot industry. The forecast company's EPS for 2016-2017 is 0.15 and 0.19 respectively, giving it an "overweight" rating.
Risk hint
The photovoltaic power station fell short of expectations, the performance of the participating companies was lower than expected, and the new energy policy changed.
