Jiuli Special Material (002318) 2019 Interim Report Review: Profit Growth Increases, Special Steel Goes Out of Independent Market
I. Overview of the event The company released the 2018 semi-annual report, reporting that the two companies achieved operating income20.
99 ppm, an increase of 7 per year.
69%; realize net profit attributable to shareholders of listed companies.
110,000 yuan, an increase of 59 in ten years.
Cash flow from operating activities 3.
7.5 billion, with a basic budget benefit of zero.
25 yuan / share.
Second, the analysis and judgment of the main downstream industries in the first half of the year maintained a high degree of prosperity, driving strong demand for stainless steel pipes. In the first half of 2019, the company’s main downstream industries continued to increase capital expenditures, forming a support for stainless steel pipe demand.
Among them, in the petrochemical natural gas industry, a series of petrochemical industries are reported to be recovering continuously, and solid investment data has been steadily increasing, which has continued to drive the development of upstream companies including industrial stainless steel pipe companies.
In the first half of the year, the company’s operating income, total profit and net profit attributable to mothers increased respectively over the previous year.
32%, reflecting the company’s strong production and sales in the first half of the year, and the optimization of the company’s product structure has brought about an increase in the product premium rate, and the company’s profitability has been enhanced.
The company’s profitability has improved significantly, and the industry chain has extended its single-quarter operating income in the second quarter.
88 ppm, a ten-year increase2.
98%, an increase of 7.
57%, net profit attributable to mothers in the second quarter1.
390,000 yuan, an increase of 65 in ten years.
30%, an increase of 93.
Although the profitability of each steel company was often sluggish in the first half of the year, the company’s main stainless steel products showed continuous countercyclical 佛山桑拿网 attributes, which greatly increased the company’s profit level.
In addition, the company actively took measures to reduce the cost of upstream raw materials.
According to the report’s benchmark, the company actively released Yongxing Materials as a long-term stable supply chain partner for the purpose of strategic investment, opened up upstream raw material supply channels, and realized the extension of the industrial chain upstream, which effectively reduced the disturbance of the company’s profit from the price of raw materials.
Actively use the company’s R & D and technological advantages to overcome high-end demand growth and achieve rapid profit growth. The company continues to transform the professional R & D platform of the national enterprise technology center and the special stainless steel and alloy materials technology innovation center. New breakthroughs have been achieved in internal demand.Promote the transformation and upgrading of the company’s product structure to better meet the needs of downstream high-end customers.
In terms of nuclear power, there are currently 44 nuclear power generating units in operation in China and 11 generating units under construction. The current domestic nuclear power plant accounts for a small proportion of the world ‘s total power generation, and there is more room for improvement in the future.
In the field of aerospace, the aerospace industry is a strategic leading industry. The size of the world’s aerospace market has reached 100 billion US dollars, and it is growing steadily at a rate of about 10% per year.
After years of development, the company has achieved an expanded brand advantage and domestic and foreign customer base, and strives to maintain rapid growth in the future.
Third, profit forecast and investment advice The company’s operating income for 2019-2021 is expected to be 41.
8.5 billion, 44.
$ 3.6 billion and 47.
91 trillion, net profit attributable to mothers is 4 respectively.
1.4 billion, 4.
58 ppm and 5.
06 ppm, EPS is 0.
49 yuan, 0.
54 yuan, 0.
60 yuan, the corresponding PE is 15 respectively.3X, 13.
It is estimated to be at a historical low and there is room for improvement.
Maintain recommended level.
4. Risk warning: The demand for steel products has fallen sharply, and the prices of raw fuels have fluctuated sharply.