The company's main business is industrial robot system integration. The company's main products are divided into industrial robot system integration for welding, industrial robot system integration for non-welding, and tooling jigs. The company's revenue and profit have maintained a high growth rate in recent years. In 2018, the company achieved revenue of 413 million yuan, an increase of 64.50% over the previous year, and net profit of 48.36 million yuan, an increase of 42.03% over the previous year. In the first three quarters of 2019, revenue was 308 million yuan, an increase of 16.17% over the previous year; net profit for the first three quarters of 2019 was 32.24 million yuan, an increase of 0.55% over the previous year.
Industry analysis: The industrial robot industry will continue to grow in the future. The growth rate of global industrial robots slowed in 2018, with sales of 422,000 units. However, sales of industrial robots are expected to resume positive growth in the future. Global industrial robot sales are expected to reach 58.4 million units by 2022, and sales volume in China will reach 220,000 units. In 2018, China's industrial robot market was 40.77 billion yuan, the system integration market was 122.3 billion yuan, and by 2022, the system integration market was 18.78 billion yuan. The market size of industrial robot system integration in the automotive industry was 29.4 billion yuan in 2018, reaching 43.4 billion yuan by 2022.
The company has certain advantages. Compared with major industrial robot system integration companies, the company is small in size, but these companies mainly use automobile welding production lines, and the company mainly uses automotive parts welding production lines. In the auto parts welding segment, the company size and gross margin are higher than other competitors, and are at the forefront of the industry. The company has market competitiveness in the auto parts welding segment and has a certain market position. The company's advantages include cost performance, faster response, technology, brand, and scale advantages. Fund-raising investment projects are mainly R&D, intelligent production line projects, and supplementary working capital.
Profit forecasting. The company's revenue for 2019/2020/2021 is estimated to be 481, 618, and 795 million yuan, net profit of 0.52, 0.73, and 104 million yuan, and EPS of 0.44, 0.62, and 0.88 yuan.
Risk Reminder: Performance, Innovation, Management, and Concentration Risks.