Main points of investment
Next Tuesday (September 5), there will be a gem listed company "Fei Nan Resources" inquiry.
Feinan Resources (301500): the company is mainly engaged in non-ferrous metal hazardous waste disposal business and renewable resources recycling business. From 2020 to 2022, the company achieved operating income of 4.828 billion yuan / 7.899 billion yuan / 8.767 billion yuan, YOY of 12.80%, 63.62% and 10.98%, respectively, with a three-year compound annual growth rate of 27.00%. The net profit of homing was 594 million yuan / 719 million yuan / 212 million yuan, and the YOY was 10.32%, 21.09% and 70.48% respectively.
During the latest reporting period, 2023H1 achieved an operating income of 3.894 billion yuan,-11.32% year-on-year, and a net profit of 121 million yuan, 29.27%, compared with the same period last year. The company expects the net profit attributable to the owner of the parent company from January to September 2023 to be 13000 to 170 million yuan, a year-on-year change of-36.39% to-16.81%.
Investment highlights: 1, the company deeply ploughs the Guangdong market, and the scale of qualification for hazardous waste disposal ranks among the top two in the province. Guangdong Province is one of the provinces with a large amount of hazardous waste in China. According to the 2020 Annual report on the Prevention and Control of Environmental pollution by solid waste in large and medium-sized cities, Guangdong ranked fourth in the country in 2019. The company has ploughed the Guangdong market for many years and has formed a strong advantage in scale and recycling network. At present, the distribution of hazardous waste license qualification scale in Guangdong Province is relatively scattered. By the end of 2022, among the 153 hazardous waste enterprises in Guangdong Province, 112 had a qualification scale of less than 100000 tons, while Guangdong Feinan disposal qualification reached 450,000 tons per year. It is one of the only two enterprises in the province with an approved scale of more than 400000 tons. Over the years, the company has established long-term cooperative relations with metal plating, electrical and electronic processing and other waste production enterprises in Shenzhen, Guangzhou, Dongguan and other cities, and formed a stable waste collection network, with a total of more than 1000 waste production units during the reporting period. 2. Through the construction of many production bases such as Jiangxi Barton and Guangxi Fei Nan and the planning and layout of Guangdong Mingnan and other projects, the company has realized horizontal qualification scale expansion and vertical industrialization capacity extension in parallel. At present, the company has realized the deep resource utilization of copper metal, which can realize the treatment of hazardous wastes such as HW17 and HW22 and produce electrolytic copper. 1) Jiangxi Barton, which has entered the stage of trial production, on the basis of the existing disposal and utilization of copper metal, can realize the deep processing of hazardous HW48 wastes such as soot, copper and tin mud and anode slime produced by Guangdong Feinan and Jiangxi Feinan, and add the ability to dispose and utilize gold, silver, palladium, tin and zinc, so as to further extend the company's resource-based product industry chain. 2) currently, Guangdong Feinan and Jiangxi Xingnan have formed a hazardous waste disposal capacity of 615,000 tons / year through mature operation. Jiangxi Barton EIA scale of Jiangxi, Guangxi Feinan EIA scale of 300,000 tons / year, and planned Guangdong Mingnan scale of 150,000 tons / year, it is estimated that in the next three years, with the gradual completion of the above bases, the disposal scale of the company will be increased to 126.06 million tons / year.
Comparison of listed companies in the same industry: select Green Mei, Dongjiang Environmental Protection, Huicheng Environmental Protection and Haotong Technology as comparable listed companies with similar business to the company. From the above comparable companies, the industry average income scale-TTM is 8.691 billion yuan, comparable PE-TTM (excluding negative / arithmetic average) is 48.65X, and the sales gross profit margin is 16.15%. In comparison, the company's revenue scale is in the upper reaches of the industry, and the sales gross profit margin is lower than the industry average.
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.