Event content: the company released the third quarter report of 2022, the company realized operating income of 1.231 billion yuan in the first three quarters of 2022, an increase of 1.88% over the same period last year; realized return net profit of 110 million yuan, down 4.26% from the same period last year; and realized deduction of non-return net profit of 98.59 million yuan, down 9.98% from the same period last year.
Profits rose sharply in the third quarter. In the third quarter of 2022, the company achieved operating income of 469 million yuan, an increase of 20.90% over the same period last year, a net profit of 48.54 million yuan, an increase of 115.68% over the same period last year, and a net profit of 43.49 million yuan, an increase of 110.12% over the same period last year. In terms of profit margin, the company achieved a gross profit margin of 34.07% and a net profit rate of 10.50% in the third quarter, down 5.17pct and up 4.09pct respectively compared with the same period in 2021. Overall, the company's excellent performance in the third quarter laid the foundation for the company to achieve stable performance growth for the whole year.
Supply chain capacity continues to improve. The company has a strong product supply capacity, in recent years continue to expand the number of SKU, as of the first half of 2022, the company for downstream customers intensive to provide 12 categories, more than 390000 kinds of SKU tools and instruments MRO. In addition, the company has gradually developed the R & D and production capacity of its own products. In 2021, the company's operating income from independent products accounted for 18.2%, and the gross profit margin was 56.9%, much higher than the gross profit margin level of 34.9% for distribution products. With the continuous promotion of the company's own products, the company's profitability is expected to be further improved.
The extension expands the market space is broad. The company is based on the power grid industry, and actively expand petroleum and petrochemical, transportation, nuclear power, emergency and other fields, open the market ceiling. In the first half of 2022, the company gradually launched high-quality central enterprise customers such as China Railway Construction Corporation and China Construction, and signed 110 million orders with the newly developed MRO core customer, China Nuclear Industry Corporation.
Profit forecast and rating: it is estimated that the return net profit of the company from 2022 to 2024 is 2.25 EPS 2.82 / 352 million yuan respectively, corresponding to 0.56 pm 0.71 max 0.88. We maintain the company's "buy" rating.
Risk hints: the risk of lower-than-expected demand growth of end products, the risk of technology and product development and innovation, the risk of new product promotion being less than expected, the risk of fluctuation of raw material prices, and the risk of intensified competition in the industry.
