Lu Tailai (603659) 2019Q3 comment: the cost reduction measures have achieved initial results
Brief performance evaluation On January 9, 2019, the company achieved 武汉夜网论坛 revenue of 3.5 billion US dollars, which will increase by 52 in the future.
8%; net profit attributable to mother 4.
6 ppm, an increase of 6 in ten years.
8%; net profit deducted from non-attributed mothers4.
2 trillion, an increase of 25 in half a year.
Performance was basically in line with expectations.
Business analysis Q3 single quarter performance analysis: Q3 company achieved revenue of 13.
2 ‰, an increase of 44 in ten years.
9%, an increase of 15 from the previous month.
3%; net profit attributable to mother 1.
90,000 yuan, an increase of 13 in ten years.
1%, an increase of 44 from the previous month.
4%; net profit of non-attributed mothers is realized1.
80,000 yuan, an increase of 58 in ten years.
3%, an increase of 43 from the previous month.
8%; gross margin is 30.
8%,青岛夜网 increase by 1 every year.
2pct, an increase of 3 from the previous quarter.
5pct; net profit after deducting non-attribution is 13.
7%, increase by 1 every year.
2pct, an increase of 2 from the previous month.
Q3’s profitability has rebounded significantly, and cost reduction measures have been released one after another: Long-term business is the main contributor to the company’s revenue and profits. The increase in Q3’s profitability is mainly due to: 1) the graphitization plant in Inner Mongolia is in operation.
Graphite consumes about 1 per oxide.
50,000 kWh, it is estimated that Inner Mongolia’s electricity bills are cheaper than the Mainland.
Above 27 yuan / degree, so it is expected to save electricity cost of more than 4,000 yuan per inch of graphitization; 2) Some self-built carbonization processes are put into production, and manufacturing costs are further reduced.
The following measures will drive the company’s future costs to further reduce and contribute to the growth rate of performance: 1) Realize domestic substitution of needle coke.
Needle coke raw materials are another important part of the cost of the anode. The company intends to further increase the cost of revitalizing the carbon material to increase its shareholding to 32%. The phase 1 coal powder needle coke of the revitalizing carbon material has been put into trial production and is waiting for formal mass production.It is expected to significantly reduce the procurement cost of raw materials; 2) The company’s self-built carbonization processing capacity has not yet been fully put into operation, and the manufacturing cost can be further reduced after it is fully put into operation; 3) The company’s Inner Mongolia is equipped with graphitized crucible production lines, which can be further reduced after the capacity is fully putOriginal purchase cost.
The company’s future focus is mainly on supplementing production capacity to drive high revenue growth. In addition to the above-mentioned downgrading of production capacity, the company repeats, replacing stacking capacity has been replacing replacement and upgrading. In 2020, production capacity will further increase, and the company focuses on high-end products, and the corresponding customers are mainly ATL, LGC, CATL and other high-quality customers are expected to follow the path of high growth for customers.
Earnings adjustment and investment recommendations The company’s net profit attributable to its parent in 2019-2021 is 7.
1.6 billion, 9.
5.2 billion, 11.
48 ppm, maintain “Buy” rating.
Risks indicate that product returns are lower than expected; monthly gross profit margins continue to decline; new energy vehicle growth is lower than expected.