AVIC Optoelectronics (002179): Steady and gradual increase in net profit growth or will maintain a high level
On October 25th, the company released the third quarter report of 2019, and the company achieved operating income of 68 from January to September.
92 ppm, an increase of 19 years.
34%; realized net profit attributable to listed companies8.
31 ppm, an increase of 19 in ten years.
Brief comment on the steady growth of operating income and net profit.
The company achieved operating income of 68 from January to September.
USD 9.2 billion, an annual increase of 19.
34%, down 8 from the half-year report.
89 units; realized operating profit 9.
86 ppm, an increase of 20 in ten years.
66%; realized net profit attributable to listed companies8.
31 ppm, an increase of 19 in ten years.
The report’s military products, communications, new energy vehicles and other fields are all in a booming phase. Driven by downstream markets, the company’s performance has steadily increased.
Gross profit margin increased slightly.
From the perspective of gross profit margin, the company’s overall gross profit margin is 33.
64%, an increase of 1 from 2018.
From the perspective of the three expenses, the company’s sales expenses, management expenses increased slowly, research and development expenses, and financial expenses increased significantly.
Specifically, sales expenses increase by 7 per year.
85%, a growth rate of 14 lower than the semi-annual report.
83 budgets; management costs increase by 3 per year.
83%, a decrease from the first half of the report.
R & D costs increase by 47 per year.
53%, affected by the financial interest of convertible bonds, the company’s financial expenses increased significantly by 130.
Contract debt and inventory increase every year, and long-term performance growth is expected.
The contract contract is 1.
26 ppm, an increase of 40 in ten years.
1%, which is a continuous increase from the first half of the report.
3%, indicating that the company’s handheld orders continue to increase, which is the basis for long-term performance growth.
At the same time, three quarterly reports show that the company’s inventory is currently 21.
75 ppm, an increase of 20 in ten years.
98%, a slight increase from the first half of the report, and we expect performance growth to remain at a high level.
The domestic leader in the high-end connector market, a clear strategy to promote the company to the international giants. The company is the domestic leader in the high-end connector market, and will maintain a growth level in the past two years.
In terms of military products, the company is relatively stacked in some areas, benefiting from the compensation release of orders after the completion of military reform. It is expected that the company’s military product growth rate will remain high in the past two years, and it is expected that the growth rate from 2019 to 2020 is expected to reach 20%. In terms of civilian products, the product structure in the field of new energy vehicles is in line with the development direction of downstream industries. It is expected to maintain a high growth rate in the next three years.
AVIC is a leading company in China’s early entry into the field of new energy vehicle connectors. The existing new energy vehicles have become the company’s second largest civilian business.
The products are mainly high-voltage connectors, with expanded research and development capabilities.
Under the guidance of the supplementary tax rebate policy, the new energy vehicle product structure will be tilted towards a high energy density, in line with the company’s product structure, and the company will issue convertible bonds to further expand the new energy vehicle product capacity.
We expect the company’s new energy vehicle business growth rate to reach 25% from 2019 to 2020.
In the field of communications, advance research and development of 5G technology reserves may enter a period of rapid growth in 2020.
Over the past two years, the rapid growth of the overseas communications market has smoothed the progress in the communications field. After the issuance of 5G licenses this year, 5G commercialization is expected to advance, and the capital expenditure of various operators may be faster than expected. It is expected that from this year’s corporate communicationsThe sector business will still maintain rapid growth, and in 2020 may enter a period of high-speed growth of 5G.
The clear development strategy and the flexible mechanism may help the company to become an international giant.
The company’s R & D investment is at a high level in the same industry, which brings inexhaustible driving force for the company’s sustainable development. It has clarified the development direction and continuously developed the company’s geographical boundaries. The system is flexible, and active outsourcing mergers and acquisitions have grown rapidly.Develop a growing foundation for continuous growth; develop into an integrated solution provider and increase the company’s profit level.
Earnings forecast: Leading domestic mid-to-high-end connector, clear strategy, flexible system or future international giant We believe that the company’s future products will be positioned in the mid-to-high-end market, in line with the downstream industry growth direction, and the market space will grow strongly.
As a leading domestic high-end connector company, the company will fully benefit from increased industrial concentration and domestic substitution.
In addition, the company’s development strategy is in line with the industry’s development direction, which will bring strong momentum to the company’s development.
It is expected that the company’s net profit attributable to its parent from 2019 to 2021 will be 11 respectively.
35 and 17.
62 ppm, an increase of 11 per year.
62%, the corresponding 杭州夜网论坛 19 to 21 years of EPS are 1.
68 yuan, corresponding to the current total PE is 35.
03 times, 28.
08 times, 22.
88 times, maintain BUY rating.