Event: according to the annual report released by the company in 2020, the company achieved an operating income of 8.912 billion yuan in 2020, a decrease of 19.34% over the same period last year, and a net profit of 371 million yuan, a decrease of 43.10% over the same period last year. The company announced that the profit distribution plan for 2020 is 2.20 yuan for every 10 shares, and there will be no increase without bonus shares.
Event: the company released a report for the first quarter of 2021, with operating income of 2.997 billion yuan, an increase of 19.9% over the same period last year.
19%, realizing a net profit of 346 million yuan, an increase of 551.83% over the same period last year. The company's performance is in line with expectations.
Under the impact of the epidemic, product production and sales remained stable in 2020. The company is a leading enterprise in nylon 66 industrial chain, and its main products include hexamethylene diamine, adipic acid, nylon 66 salt, nylon 66 slices, nylon 66 industrial filament, nylon 66 cord fabric, nylon 66 airbag wire. In 2020, affected by the epidemic, the company's sales of nylon 66 slices, nylon 66 industrial filament and nylon 66 cord fabric were 16.46,4.93 and 66600 tons respectively, with a change of + 1.16,0.01 and + 3000 tons over the same period last year, with an average price of 1.83,2.48 and 304 million yuan per ton respectively, with changes of-0.26,0.36 and-0.100 thousand yuan per ton compared with the same period last year. In terms of raw materials, the purchase prices of adipic nitrile and refined benzene were 1.38 and 0.35 million yuan per ton, down 0.56 and 0.08 million yuan per ton compared with the same period last year.
The economy rose in the first quarter of 2021. Under the impact of the stop of the epidemic in 2020 and the snowstorm in the United States in 2021, the industry force majeure occurs frequently, the supply of PA66 falls short of demand, and product prices continue to rise. According to Wind, the current PA66 price is 425,000 yuan / ton, up 11,700 yuan / ton from the beginning of the year. The sales volume of nylon 66 slices, nylon 66 industrial filament and nylon 66 cord fabric was 3.95,1.38 and 19900 tons respectively, with a change of + 0.89, + 0.19 and + 5400 tons over the same period last year, with an average price of 2.73,2.50 and 306 million yuan per ton, respectively. Compared with the same period last year, the change was + 0.78,0.04 and-0.010 million yuan / ton. In terms of raw materials, the purchase prices of adipic nitrile and refined benzene were 1.33 and 0.41 million yuan per ton, down 0.31 and 0.09 million yuan per ton compared with the same period last year.
Actively promote the supporting industrial chain, the company ushered in a period of rapid development. The company is building 400000 tons of PC (100000 tons for the first phase) and 130000 tons of bisphenol A, 50 thousand tons of adipic nitrile, 400000 tons of liquid ammonia and 400 million tons of Nm/ hydrogen and 30,000 tons of 1,6-hexanediol per year. The total investment of the four core projects under construction is 5.787 billion yuan, and the net profit is expected to be 908 million yuan after commissioning. On the one hand, the company continues to deepen the layout of the PA66 industrial chain, on the other hand, it actively broadens the PC industrial chain and promotes supporting projects of the industrial chain. Profitability and profitability stability will be effectively improved.
Buy rating. The industry is booming. It is predicted that the return net profit of the company from 2021 to 2023 will be 14.08,15.56 and 1.767 billion yuan respectively, and the PE will be 8 times, 7 times and 6 times respectively, maintaining the "buy" rating.
Risk hints: raw material price fluctuation risk, environmental protection and production safety risk, project construction is not up to expectations, and the public data used in the research report may be delayed or not updated in a timely manner.