Event: the company released its semi-annual report in 2023, and in the first half of the year, the company achieved an operating income of 253 million yuan, an increase of 113.82% over the same period last year. In the first half of the year, the company turned from losses to profits, achieving a net profit of 4 million yuan and deducting 1.6 million yuan from non-return net profit.
The performance has turned from loss to profit, and the proportion of new energy business continues to rise.
In the first half of 2023, the company realized operating income of 253 million yuan, an increase of 113.82% over the same period last year. In the first half of the year, the company turned losses into profits, achieving a net profit of 4 million yuan and deducting 1.6 million yuan from non-return net profit. The steady growth in operating income and performance of the company is mainly due to the continuous increase in sales revenue of charging piles after the company was incorporated into the new energy charging and energy storage business in 2022, while completing the external sale of the original loss-making thermal power business and gradually completing the business transformation.
In the first half of 2023, the revenue of the charging pile business reached 236 million yuan, an increase of 187.43 percent over the same period last year; the performance turned from losses to profits, achieving a net profit of 7 million yuan, and the proportion of income and profits of the charging pile business continued to increase. In the first half of 2023, the operating income of railway transport business reached 17 million yuan, a decrease of 5.77% over the same period last year. The main reason was that with the overall relocation of Jiangquan Industrial Park, the volume of railway transport business decreased significantly.
Continuous layout of charging piles and energy storage business, optimistic about the long-term development of the company.
Charging pile aspect, the company charging pile core components independent research and development, has mastered star-ring power distribution technology, compared with peers, cost performance is higher, has been downstream customers such as the State Grid, Xiaomu charging, BP (BP P.L.C.), Shell and other customer verification, the company's independent R & D and production of 60kW, 120kW, 180kW European standard DC charging products have also obtained Toner V South German product certification. In terms of energy storage products, the company has launched energy storage products used in medium and low voltage distribution network, distributed generation, microgrid and user side to promote the complementary and coordinated development of energy storage and charging products.
The company announced on June 8 that the Xi'an subsidiary plans to invest in the R & D and manufacturing base project of the headquarters, with a total investment of about 700 million yuan for the R & D and production of charging piles and energy storage equipment.
The prospect of "new energy + optical storage and charging" is broad, and the company is expected to fully benefit.
Affected by the growth of the new energy vehicle market and policy support in the past two years, the charging pile market is growing rapidly. From 2017 to 2021, the size of the national new energy charging pile market increased from 7.2 billion yuan to 41.87 billion yuan, with a CAGR of 42.2%. We estimate that the market size of China, Europe and the United States is expected to grow from 40.2 billion yuan in 2022 to 167.4 billion yuan in 2025, with CAGR reaching 60%. Among them, the CAGR in Europe and the United States is expected to reach 79%, while the domestic CAGR is expected to exceed 40%, achieving rapid growth.
At the same time, driven by the new infrastructure and carbon neutrality, the construction of distributed photovoltaic and energy storage system is expected to develop rapidly, and the charging pile is evolving into a base station construction that integrates distributed photovoltaic power generation, energy storage system, charge and discharge. The company is expected to fully benefit from the development of the industry dividend, performance will usher in improvement.
The equity incentive scheme landed and bound the interests of core employees.
On April 20, the company issued the 2023 restricted Stock incentive Plan (draft), which intends to issue A shares of the company's common shares to the incentive target. The number of restricted shares to be granted is 39.37 million shares (of which 31.5 million shares are granted for the first time and 7.87 million shares are reserved), accounting for 7.69% of the total share capital of the company at the time of the draft announcement, and the proposed grant price is 4.39 yuan per share.
We believe that the company's restricted stock incentive plan is conducive to binding the interests of the company's core employees and is more conducive to the long-term and healthy development of the company in the future.
Profit forecast: we maintain the company's profit forecast for 2023-2025. It is estimated that the net profit of 2023-2025 will be 0.82,1.44 and 185 million yuan, with corresponding PE of 54,30 and 24 times respectively, maintaining the "overweight" rating.
Risk tips: charging piles and energy storage profits are not as expected; project expansion is not as expected; industry policy fluctuation risk.