Event
The company's recent market performance is more prominent in the plate, here once again sort out the understanding of the company's development ideas.
Business analysis
Actively promote venture capital business, extension expansion is expected: the company actively promotes business diversification, shares in venture capital funds, with a wholly-owned subsidiary Zhuhai Hengqin Heng Investment Co., Ltd. In June this year, it is proposed to invest 44 million in Hua Xin Ruicheng, with a shareholding of 22%. 20 million yuan is invested in Yueke Tousi, with a shareholding ratio of 10%. Huaxin Ruicheng is led by Luxin Venture Capital, and Guangdong Science and Technology Department wholly-owned Yueke Group and Shanhua Investment. Huaxin Ruicheng focuses on equity investment in emerging industries, and its completed investments include high-quality projects such as Green Energy Hi-Tech. Yueke Tosi focuses on intelligent equipment industry and robot industry. The two venture capital funds are rich in project resources, and equity participation helps the company to carry out project reserves. The company has a monetary capital of 200 million, and the asset-liability ratio is only about 26%. The extension expansion can be expected.
With the completion of the fixed increase and the launch of the employee stock ownership plan, the capital operation will be increased by about 220 million yuan, with major shareholders, management, employees and long-term partners (such as Luxin Venture Capital) and so on. The first phase of the employee stock ownership plan is 30 million yuan, including the general manager and other seven senior executives, as well as 25 core staff. The capital operation opens the space, which is beneficial to the long-term development and value enhancement of the company.
The petrochemical warehousing industry is at the bottom, and the cost rigidity pulled down the gross profit margin in the first three quarters: the petrochemical industry remained in the doldrums, a large number of chemical storage tanks were added in Zhuhai, and abundant production capacity intensified market competition, resulting in pressure on the company's rental rate and storage fees, and a decline in revenue per unit tank capacity. The company's asset-heavy operating model determines that costs are relatively rigid (depreciation accounts for about half of operating costs over the years), resulting in a warehousing gross margin of only 19% in the first half, down about 20 percentage points from the same period last year. Performance is under great pressure.
Profit adjustment
On June 9 this year, an additional 30 million shares went public, diluting earnings per share. It is estimated that the EPS of the company in 15-17 years is 0.11,0.12 and 0.14 yuan respectively.
Investment suggestion
The petrochemical warehousing industry is at the bottom, and the transformation of the company is dynamic. Participation in venture capital funds, cooperation with Green Energy Hi-Tech to expand LNG business, fixed increase and employee stock ownership plan to open capital operation space, extension expansion is worth looking forward to.