Events:
The company released the third-quarter report of 2020: in the first three quarters of 2020, the company realized operating income of 12.18 yuan, an increase of 62.71% over the same period last year, and realized net profit of 149 million yuan for shareholders of listed companies, an increase of 65.20% over the same period last year. Net profit belonging to shareholders of listed companies after deducting non-recurring profits and losses was 119 million yuan, up 41.27% over the same period last year.
Investment Summary:
The revenue of 2020 Q3 in a single quarter was 536 million yuan, an increase of 114.45% over the same period last year. In the Q3 quarter of 2020, the company achieved operating income of 536 million yuan, a substantial increase of 114.45% over the same period last year, and an increase of 111 million yuan compared with 425 million yuan in the second quarter. The company is still in the stage of expansion and the scale of revenue continues to grow.
2020 Q3 single-quarter net profit of 47.43 million yuan, single-quarter gross profit of 42.06%, profitability has declined. In the Q3 quarter of 2020, the company achieved a net profit of 47.43 million yuan, an increase of 60.95% over the same period last year, but down from 8443 million in the second quarter. The company's Q3 gross profit margin was 42.06%, down 6.78pct from 48.84% in the second quarter. The reasons for the decline of the company's profitability and gross profit margin in the Q3 quarter are as follows: (1) the company's customers are mainly Apple Inc and other overseas customers, using US dollars for settlement. Due to the continuous appreciation of the RMB in the third quarter, the company's profitability declined; (2) in order to seize the first opportunity in the market, the company strategically took product price reduction measures to seize more market share. The price reduction of some products reduces the overall gross profit margin of the company, thus affecting the profitability of the company. (3) the government subsidy income of 2020Q3 Company was 7.9976 million yuan, down 16.9915 million yuan from 24.9891 million yuan in the second quarter.
The company's accounts receivable and inventory are at a high level, and the overall operation is good. The accounts receivable of the company in the first three quarters of 2020 was 872 million yuan, and Q3 increased by 296 million yuan in the single quarter. At the same time, the company's inventory in the first three quarters reached 620 million yuan, an increase of 52 million yuan compared with 568 million yuan in the first half of the year. The amount of accounts receivable and inventory of the company shows that the company as a whole is doing well.
Issue convertible corporate bonds to raise funds for new energy auto parts intelligent manufacturing equipment expansion projects and vehicle fixtures, automation equipment processing projects. The company issues a preliminary plan for the public issuance of convertible corporate bonds, and the total amount of funds raised shall not exceed 303 million yuan (including). After deducting the issuance expenses, the raised funds will be invested in the expansion project of intelligent manufacturing equipment for new energy automobile parts and parts. carry fixtures, automation equipment processing projects and supplementary liquidity.
The acquisition of optima layout semiconductor equipment field, and has started domestic customer expansion. Optima has strong technical strength in the field of wafer testing equipment, and its core customers include Samsung, SK Hynix and Taiwan Semiconductor Manufacturing Co Ltd and other global first-tier wafer factories. With the technical strength of optima and the strong demand for domestic replacement of domestic equipment, we think that the customer expansion of optima in China will be relatively smooth. At the same time, domestic wafer factories and silicon wafer factories are in the stage of rapid growth, and there is a lot of room for the follow-up development of optima.
Investment suggestion: we estimate that the company's operating income in 2020-2022 will be 1.816 billion yuan, 2.441 billion yuan and 3.189 billion yuan respectively, and the net profit belonging to the shareholders of the listed company will be 211 million yuan, 287 million yuan and 391 million yuan respectively.
Risk tips: customer expansion progress is not as expected; downstream demand is not as expected; industry competition aggravates the risk.