The company is one of the leading enterprises in the domestic daily glass industry, and has been ranked on the list of "Top Ten Enterprises in China Light Industry Daily Glass Industry" selected by China Federation of Light Industry for five consecutive years from 2010 to 2014. At the same time, it is the largest manufacturer of machine-made glass goblets in China, and enjoys the title of "China Glass goblet trump Enterprise" awarded by China Daily Glass Association. Fund-raising projects to further strengthen the technical transformation of glassware and capacity release, performance growth is expected.
The company is the leading enterprise in domestic daily glass industry. The company's main business is R & D, production and sales of glass bottles and glassware products. Glass bottles and cans mainly include beverage bottles, food seasoning bottles and pharmaceutical packaging bottles, which are supplied to many domestic well-known alcohol, food, seasoning, beverage and pharmaceutical enterprises, accounting for 76-82% of the income. Glassware is mainly glass goblets represented by China's well-known trademark "Shidao" and high-end brand "Frosa". It has become one of the world's famous glassware brands, accounting for 18% of the revenue. 24%. In 2014, the company realized 705 million yuan in main business income and 58 million yuan in net profit.
Consumption upgrading has led to the rapid growth of the daily glass industry. The per capita annual consumption of daily glass in China is less than 15 kg, while that in developed countries is 50-60 kg. The demand for daily glass products is closely related to the living standard and lifestyle of the residents. Driven by the growth of residents' income and the factors of urbanization, the upgrading of consumption makes the demand prospect of our daily glass market very broad.
Multi-channel marketing network to promote the upgrading of product structure. The company relies on the national production location layout, large-scale production capacity and advanced product manufacturing level, through the agent distribution and traditional direct marketing model, as well as the expanding e-commerce model, has established a long-term and stable cooperative relationship with downstream customers. The high-end glassware company is mainly based on the distribution mode. As of December 31, 2014, the company has more than 60 distributor customers, distributed in 28 provinces, cities and regions, and the number of distributors has reached more than 2000. The company plans to increase the number of marketing outlets to 2500 in the next three years, in line with the launch of fund-raising projects and product upgrades.
Fund-raising projects to alleviate capacity bottlenecks and upgrade product structure. The company's IPO plans to raise 230 million yuan, deducting 37 million yuan from issuing expenses, the funds raised are mainly invested in: 1) the introduction of high-grade glassware production line technical transformation project. 2) introduce the construction project of tall glass production line. 3) repay the bank loan. After the fund-raising project is put into production, the company's production scale and product structure will be improved and optimized, and the proportion of high value-added products will be further enhanced.
Profit forecast and investment advice. Based on the production capacity plan of the company's future fund-raising projects, we predict that the company's return net profit from 2015 to 2017 will be 0.79 yuan 0.97,117 million yuan, and the corresponding diluted EPS will be 0.75 yuan 0.92 yuan 1.11 yuan. With reference to the valuation of the comparable company, the company is given 15 times PE in 2015, corresponding to a reasonable price of 11.25 yuan.
Risk factors. Downstream demand change, industry competition risk, debt service risk, fund-raising investment project risk.