According to the third-quarter report released by Xingyun, revenue and profit increased significantly, and the single-quarter net profit increased by 293.63% compared with the same period last year. In the first three quarters, the company achieved operating income of 398 million yuan, an increase of 51.62% over the same period last year, and its net profit was 52 million yuan, up 724.90% over the same period last year. The net profit after deducting non-return was 46 million yuan, an increase of 1601.67%. Of this total, the single-quarter revenue was 176 million yuan, an increase of 71.25% over the same period last year, and the net profit was 19 million yuan, an increase of 293.63% over the same period last year. The net profit was 19 million yuan, an increase of 287.03% over the same period last year.
The company's profitability continues to improve and consolidate its leading position. The company's gross profit margin in the first three quarters was 49.29%, and the net profit rate was 13.91%, with year-on-year changes of + 5.81pct and + 10.55pct respectively. The performance growth is mainly due to the increase in sales orders and the substantial increase in sales of lithium battery protection board testing systems.
The company's expenses are well controlled and show economies of scale. The expense rate during the first three quarters was 31.72%, which was-8.38% compared with the same period last year, of which the rates for sales, management, finance and R & D were 10.65%, 6.74%, 1.06% and 13.28% respectively, with year-on-year changes of-4.76%,-2.18%, + 1.04% and-2.46% respectively. The increase in financial expenses is due to the increase in interest payments on bank loans. The rest of the expenses benefited from cost control and revenue growth declined.
The construction of the project continues to be invested and the cash flow remains abundant. The project under construction in the first three quarters of the company reached 178 million yuan, an increase of 120.13% over the same period last year, mainly due to the continuous investment in the industrialization project of new energy vehicle battery intelligent manufacturing equipment and intelligent power station converter control system. In the first three quarters, the company's monetary funds were about 138 million yuan, + 98.87% compared with the same period last year; the net cash inflow from operating activities was 17 million yuan, + 121.40% compared with the same period last year, of which the net cash inflow from operating activities in a single quarter was 28 million yuan, + 162.97% from the same period last year, mainly due to the increase in sales payments received and the purchase of raw materials settled by bill of exchange.
Profit forecast and investment advice: we expect the company's return net profit from 2020 to 2022 to be 0.8,1.18 and 170 million yuan respectively, and the current market capitalization corresponding to the company's PE is 55.28,36.81,25.59X respectively, maintaining the buy rating.
Risk hints: the fluctuation of market demand leads to the decline of lithium battery demand, the risk of customer concentration, and the impact of changes in photovoltaic subsidy policy on the demand of energy storage industry.