Main points of investment
This Friday (July 28), there is a gem listed company "Weima Agricultural Machinery" inquiry.
Weima Agricultural Machinery (301533): the company is mainly engaged in the R & D, design, manufacturing and sales of mountain and hilly agricultural machinery and other power machinery products. From 2020 to 2022, the company achieved operating income of 644 million yuan / 773 million yuan / 667 million yuan, respectively, and its YOY was 26.87%, 20.09%, 13.79%, respectively. The compound annual growth rate of operating income for three years was 9.52%. The net profit of homing is 62 million yuan / 71 million yuan / 70 million yuan, and the YOY is 37.61%, 15.06%, 15.06%, 1.52%, respectively. The annual compound growth rate of the net profit of three years is 15.96%. During the latest reporting period, 2023Q1 achieved an operating income of 172 million yuan, an increase of 27.40% over the same period last year, and a net profit of 14 million yuan, an increase of 25.81% over the same period last year. According to the preliminary forecast, the net profit of the company from January to June 2023 is expected to be 34 million yuan to 36 million yuan, up 20.37% to 27.46% from a year earlier.
Investment highlights: 1. The company has a high reputation in the field of special agricultural machinery for mountainous and hilly terrain at home and abroad, and forms differential competition with large agricultural machinery enterprises in the product application scene. The topography of agricultural production is complex and diverse, among which, the level of agricultural mechanization in mountainous and hilly areas is low because of large slope, irregular land and complex landforms, but large agricultural machinery enterprises at home and abroad have not yet formed competition barriers in this field. The company's agricultural machinery business has implemented a differentiation strategy, and a complete agricultural machinery product line covering the whole production process, such as ploughing and land preparation, field management, harvest, transportation and processing, has been formed according to the mountainous and hilly terrain, which has become the small leader of this plate. According to the statistics of China Agricultural Machinery Industry Association, in 2019-2021, the company accounted for 30.70%, 31.61% and 30.96% of the market capacity of the main domestic manufacturers of micro-tillers and pastoral management machines, respectively, ranking first in the market. In addition, the company ranked first in domestic micro-tiller exports for many years in a row. 2. Product sales focus on overseas markets, and ODM customers are bound to international leaders such as Fushihua and Breitone; the company plans to expand the Russian market channels, which is expected to comply with the "Belt and Road Initiative" construction to achieve good development. The company's products are mainly exported, and during the reporting period, the company's overseas sales income remained at more than 75%, mainly concentrated in Asia and Europe. For a long time, the company's ODM business has established a relatively stable cooperation with the world garden machinery leading enterprise Fushihua Group, the world's largest outdoor power equipment gasoline engine manufacturer Bailitong Group, and the export field has a good customer resource advantage. In addition, the fund-raising project "Marketing Service Channel upgrading Construction Project" plans to build a Russian commercial office, and in the future the company may further expand the Russian and Nordic markets with higher latitudes by virtue of snow ploughing machines, and is expected to comply with the "Belt and Road Initiative" construction and increase its overseas share.
Comparison of listed companies in the same industry: according to the similarity of the main business, Yituo shares, Daye shares, Shenchi Mechanical and Electrical, Green Field Machinery and Junhe shares are selected as comparable listed companies of Weima Agricultural Machinery. From the above-mentioned comparable companies, the average revenue scale of comparable companies in 2022 is 3.78 billion yuan, comparable PE-TTM (excluding negative value, maximum value / arithmetic average) is 15.70X, and sales gross profit margin (arithmetic average) is 19.61%; comparatively speaking, the company's revenue scale and sales gross profit margin are not as good as the average level of comparable companies.
Risk hint: companies that have started the inquiry process still have the possibility of not being listed due to special reasons, the company content is mainly based on prospectuses and other public materials, and the selection of listed companies in the same industry is not accurate. Risk, content data interception may have interpretation deviation and so on. The specific risks of listed companies are shown in the text.