Short-term performance in 2021 under pressure, multi-field technology reserves to ensure future growth. The company released the 2021 report, the annual operating income of 540 million yuan (year-on-year + 1.60%), return to the mother net profit of 70 million yuan (- 15.24%). The company's performance is under short-term pressure due to factors such as manufacturing and installation costs + 28% year-on-year, R & D expenses + 48% year-on-year, government subsidies-58% year-on-year, and the increase in impairment losses on accounts receivable. However, the company has always maintained high R & D investment and mastered self-research technology patents in many fields, such as lithium extraction from salt lake and CO fuel ethanol, to ensure future growth.
The leading supplier of overall solutions for membrane integration technology, with a total contract value of more than 1 billion yuan in 2021, ensures future growth. From the perspective of segment revenue, the company's 2021 film integration plan achieved revenue of 475 million yuan (year-on-year-1.34%), and revenue of membrane materials and accessories was 63 million yuan (year-on-year + 32.21%). From the perspective of orders, the total amount of new contracts signed by the company in 2021 exceeded 1 billion yuan, and diversified businesses such as CO fuel ethanol (with a cumulative application scale of more than 200,000 tons / year), industrial water treatment and lithium extraction from salt lakes made steady progress.
The layout of lithium extraction from fast salt lakes will be increased, and diversified development will open the growth limit. In 2018, the company won the bid No. 5 Mine Salt Lake 10,000 tons / year lithium carbonate project, successfully stuck in the salt lake lithium extraction core process package (adsorption + membrane method); in January 2022, it raised 103 million yuan from specific objects through a summary procedure, and successively signed Zabuye 100 tons / year lithium hydroxide pilot test and 1000 tons / year lithium chloride project, using self-developed adsorbents and "membrane process package" to consolidate the layout of lithium extraction from salt lakes. In addition, the company's layout of CO fuel ethanol, titanium dioxide clean production and other emerging downstream, 2021 asset-liability ratio of only 29.1%, with the release of orders for the expansion of the three tables has a bright future.
Profit forecast and investment advice. It is estimated that the return net profit of the company from 2022 to 2024 will be 1.34 billion yuan, respectively, and the PE corresponding to the latest closing price will be 46.28, 35.24, 26.43 times. Card position lithium extraction core process package, various areas of emerging downstream joint efforts, give the company 2022 50 times PE valuation, corresponding to 41.56 yuan / share reasonable value, maintain the "buy" rating.
Risk hint. The progress of the project is not as expected, the sales volume of membrane equipment is not as expected, and the price is declining.
