The company is mainly engaged in the research and development and application of steel reinforced plastic composite pipe technology, providing customers with a complete set of production process, technical solutions and complete sets of production equipment (production line).
The company's main products include steel strip reinforced plastic pipe production line and winding steel wire reinforced pipe production line, which accounted for 66% and 28% respectively in 2014, with gross profit margins of 43.74% and 26.20%, respectively.
Winding steel wire reinforced pipe and steel strip reinforced plastic pipe produced by steel reinforced plastic composite pipe production line have become the mainstream products in their main market areas.
Steel reinforced plastic composite pipe occupies a special position, which has gradually replaced traditional pipe and other plastic pipe in some fields, and has become one of the development trends of plastic pipe. With the rapid expansion of the overall market of plastic pipe and the competitive advantage of steel reinforced plastic composite pipe, plastic pipe manufacturing enterprises continue to increase the demand for the production capacity of steel reinforced plastic composite pipeline. it has brought huge market space for complete sets of production equipment of steel reinforced plastic composite pipe.
In the future, the company will focus on advanced R & D technology and strive to become a leading and internationally competitive comprehensive solution provider of steel reinforced plastic composite pipe and its complete sets of production equipment.
Continue to improve the company's profitability by expanding production capacity, expanding applications and overseas markets.
The fundraising projects include: steel belt reinforced polyethylene spiral corrugated pipeline, steel mesh skeleton reinforced plastic composite pipeline technology and manufacturing equipment industrialization project, as well as new composite pipeline research and development and test base construction project. The project will help the company expand the production capacity of its main business, strengthen the technological research and development strength of issuers, further establish the leading position in the field of complete sets of manufacturing equipment for steel-reinforced plastic composite pipes, improve profitability and enhance the competitiveness of issuers.
Reasonable valuation: we predict that the annual EPS in 15-16-17 will be 0.60 PE 0.72 yuan 0.80 yuan respectively. With reference to similar listed companies and taking into account the company's performance growth expectations in the next few years, we give it a reasonable 15-year PE range of 25-30 times and a reasonable value range of 15-18 yuan.
Risk hint: the continued decline in the macro-economy has led to sharp fluctuations in downstream demand.
