From January to September 2009, the company achieved operating income of 925 million yuan, down 35.2% from the same period last year; operating profit was-76.5849 million yuan, down 5.8% from the same period last year; total profit was-97.9607 million yuan, down 5.4% from the same period last year; net profit belonging to the owner of the parent company was-75.5934 million yuan, down 4.8% from the same period last year; basic earnings per share is-0.1798 yuan.
The main business declined compared with the same period last year, and the gross profit margin was low: the company's main business was the production and sales of plastic film, wood-plastic building materials, engineering plastics and calcium carbonate. In the third quarter of 2009, its operating income reached 34600 yuan, down 25.3% from the same period last year. The month-on-month growth rate was 3.5%, and the gross profit margin was 8.9%, which was at a low level. Mainly accounts for 50% of the company's sales revenue, the sales price of the plastic film of the company has dropped sharply, and the gross profit margin of the product has been maintained at the level of 4-5% for a long time, while the ultra-fine calcium carbonate powder that the company focuses on in the future does not expand well at present and fails to make up for the decline in revenue from plastic film.
Huge losses caused by asset impairment: the company lost 40.7757 million yuan in asset impairment in the first three quarters of 2009, of which 46.4342 million yuan was lost in the third quarter, accounting for 41.6 percent of the pre-tax loss in the first three quarters. Mainly due to the suspension of production of some production lines of the company, the disposal of relevant idle assets by the company in the third quarter, and the real estate of the Shenzhen office.
Caught in a guarantee lawsuit, off-balance-sheet factors affect the company's performance: the company guarantees the maximum loan balance of 30 million yuan for the Minsheng Industry and Trade Company, and the company is involved in the guarantee lawsuit because the Minsheng Industry and Trade Company is unable to repay the loan. the company's non-operating expenditure in the first three quarters was 24.2256 million yuan, a year-on-year increase of 26 times, mainly due to the expected guarantee payment and the loss of fixed assets disposal. in addition, the company set aside 15 million yuan in estimated liabilities. This part of the loss is expected to continue to expand in the future.
The actual controller may change, and there will be great variables in the future: Anhui Guofeng Group Co., Ltd., the controlling shareholder of the company, listed for sale in the property rights exchange at the end of 2008, and then suspended the transaction without reaching an intention. considering the integration planning of state-owned assets in Anhui, the company has the possibility of changing the actual controller.
Profit forecast: we expect the company to earn-0.14 yuan, 0.00 yuan and 0.01 yuan per share in 2009, 2010 and 2011. Based on the closing price on October 29, 2009, the stock price seriously deviates from the company's value. Considering that the company has the possibility of changing the actual controller and injecting assets, there will be greater uncertainty in the future and maintain a neutral rating.
Risk tips: the company's new product calcium carbonate ultra-fine powder business development is not good, there is a risk that income continues to decline; the company is involved in guarantee litigation, there is a risk of increased compensation.