Main points of investment:
In the first quarter of 2020, the operating income was 388 million yuan, down 5.76% from the same period last year; the net profit attributed to shareholders of listed companies was 35.38 million yuan, down 22.16% from the same period last year, in the range of 3500-43 million yuan, in line with expectations The deduction of non-net profit attributed to shareholders of listed companies was 33.58 million yuan, an increase of 119.91% over the same period last year, slightly lower than the previous forecast range of 129.23%-181.62%, mainly affected by the adjustment of customers' overseas demand.
The operating net profit of 2019Q4 and 2020Q1 reached a record high for two consecutive quarters, while 2020Q1 deducted non-profit doubled compared with the same period last year. The net profit of 2019Q1 was 45.45 million yuan, of which the non-recurrent profit and loss was 30.19 million yuan, the net profit of 2020Q1 was 35.38 million yuan, an increase of 10.7% over the previous month, and the non-operating profit and loss was only 180000 yuan, a record high. In February this year, the operating rate of the industrial chain was generally affected by the epidemic for 2-3 weeks. 20Q1 revenue dropped 11.5% month-on-month, which was better than expected. Intelligent Power Dongguan and Vietnam plants adjusted the product structure, strengthened the overseas layout, and the operating effect improved better than expected.
Long-term service to Samsung, OPPO, VIVO, Lance Technology and other well-known consumer electronics customers, 20Q1 benefits from customer demand growth. From 2011 to 2019, the proportion of sales to the top five customers maintained a high of 70%. Samsung and Lance were among the company's top five customers for a long time, accounting for 25-71% of sales to Samsung, the largest customer. 2020Q1, the sales of mobile phones such as S-series and A-series of major customers are optimistic, and the number of orders for smartphone features is growing steadily compared with the same period last year. At the same time, the company introduced new customers such as Huaxing, Tianma and Google in 2019, bringing new increments.
Follow customer needs and strengthen overseas layout. Set up a subsidiary in Vietnam in 2015, the company group is currently composed of 9 subsidiaries, forming a production base and R & D center with Shenzhen, Dongguan, Vietnam and South Korea as the core. In March 2020, Intelligent Power plans to raise no more than 1.5 billion yuan, of which 1.1 billion yuan will be used for Vietnam and Huizhou production projects to produce composite plate covers, flash shades, handset nets, watch heart rate lens covers, ultra-thin heat pipes, ultra-thin VC and VC products.
The penetration ability of 5G high frequency electromagnetic wave is poor, there is transmission loss in wireless charging, the demetallization of mobile phone shell is the general trend, and the composite plate housing meets the development opportunity. The color and texture of the back panel of the mobile phone has become an important selling point, and glass has become the mainstream shell material instead of metal. The texture effect of the back cover of the composite panel mobile phone is similar to that of glass, and the cost is only 30% of that of 3D glass, which meets the needs of the middle and low-end mobile phone market. 70% of the demand in the smartphone market is the middle and low-end models under 3000 yuan, which is the most mainstream demand.
The heat dissipation demand of 5G mobile phone provides an opportunity for the development of intelligent power function. The power consumption of 5G mobile phones is 1-2 times that of 4G mobile phones, and the popularity of 5G mobile phones will boost the demand for heat dissipation materials. Zhi Power invests in ultra-thin heat pipe, VC and other heat dissipation components projects in Vietnam plant.
Maintain earnings forecasts and maintain "buy" ratings. Maintain the annual homing net profit forecast of 1.70Unix 2.33 / 297 million yuan in 2020-21-22, and the current share price is 19 times higher than that of 2020Unix 21 PE, maintaining the "buy" rating.
