2023 年全年，公司毛利率31.4%，同比+0.89pp。其中Q4 单季度，公司毛利率32.9%，同比-4.22pp。期间费用率方面，全年合计期间费用率13.83%，同比-1.41pp。其中销售费用率7.8%，同比-0.96pp；管理费用率3.4%，同比-0.55pp；财务费用率-0.7%，同比+1.09pp；研发费用率3.4%，同比-1.00pp。财务费用率上升主要系2023 年汇兑收益减少所致，其余费用率在公司规模效应体现下均有不同程度减少，整体期间费用率控制良好。Net profit without return to mother in '23 was +67.8% year-on-year, maintaining the “increase in holdings” rating
In 2023, the company achieved total revenue of 5.544 billion yuan, +36.6% year on year; net profit to mother of 722 million yuan, +54.9% year on year; net profit after deducting non-return to mother of 744 million yuan, +67.8% year on year. Among them, Q4 achieved revenue of 1,305 million yuan, -88.6% year on year; net profit to mother of 133 million yuan, +11.7% year over year; net profit after deducting non-return to mother of 115 million yuan, +10.7% year over year. Due to the scale effect, the company's profit growth rate is higher than the revenue growth rate. We expect net profit to be 8.3/9.7/1.05 billion yuan for 24-26, respectively, and the corresponding PE is 16/14/13 times. Comparable to the 24-year Wind, the average PE was expected to be 16 times higher. Considering that the company's international competitive advantage is highlighted, the product structure continues to be optimized, and profitability is expected to be further improved. The company will be given 19x PE in 24 years, with a target price of 20.82 yuan (previous value: 15.27) yuan, maintaining the “gain” rating.
Profitability continues to increase, and the cost rate for the period is well controlled
In 2023, the company's gross profit margin was 31.4%, +0.89pp. Among them, in the Q4 quarter, the company's gross profit margin was 32.9%, -4.22pp year on year. In terms of the period cost rate, the total cost rate for the whole year was 13.83%, -1.41pp compared to the previous year. Among them, the sales expense ratio was 7.8%, -0.96pp; the management expense ratio was 3.4%, -0.55pp; the financial expense ratio was -0.7%, +1.09pp; and the R&D expense ratio was 3.4%, -1.00pp. The increase in the financial expense ratio was mainly due to a decrease in exchange earnings in 2023. The remaining fee rates were reduced to varying degrees due to the company's size effect, and the overall fee rate was well controlled during the period.
Supported by a full set of industrial valve solution capabilities, major customer cooperation continues to deepen. As a leader in the valve industry, the company is committed to the production and development of industrial valves, and has the ability to provide customers with a full range of industrial valve solutions. The company's products include ten series of ball valves, butterfly valves, gate valves, stop valves, check valves, control valves, nuclear power valves, and safety valves. The materials used include carbon steel, stainless steel, alloy steel, etc., with more than 5,000 types of specifications and models. They are widely used in petroleum, natural gas, refining, chemical, marine, offshore, power plants, long-distance transportation pipelines and new energy industries. The company has established stable long-term cooperative relationships with global energy industry giants such as SHELL, TOTAL, CNPC, and Sinopec, which to a certain extent guarantees the continuous growth of the company's orders.
Research and development in the field of high-end valves fills the domestic gap. The international competitive advantage highlights that the company has world-class valve materials laboratories and engineering laboratories, focusing on “high, large, special, and difficult” stuck neck fields, and continuously promoting the R&D and upgrading of high-end valves. In 2023, it successfully broke through the 24-inch 2500LB emergency shut-off valve to be used as the first valve to enter the FPSO platform through a pipeline at a subsea wellhead to achieve emergency shut-off function for all FPSO platforms; delivered a 96-inch 300LB large high-temperature three-eccentric butterfly valve with a valve design temperature of 704℃, breaking the monopoly of importers in the field of high temperature butterfly valves; and achieved breakthroughs in high-end fields such as offshore engineering and shale gas fracturing, providing products and services for Brazilian FPSO projects and drilling platforms in the Middle East and Europe.
Risk warning: Market competition intensifies; freight rates and exchange rates fluctuate; highly correlated with the demand of the petrochemical industry; expansion in new fields falls short of expectations.
