Depth-Company-Liling Power (600452): Performance maintained high growth rate Capital expansion promoted significant improvement

Depth * Company * Fuling Power (600452): Performance maintained high growth rate Capital expansion promoted significant improvement

The company released its 2018 annual report, with a ten-year profit growth of 54.

01% was in line with expectations.

The high capital expenditure of the company’s energy-saving business is expected to drive steady and upward performance; maintain an overweight rating.

Key points supporting the rating The 54% profit growth in 2018 was in line with expectations: The company released its 2018 annual report and achieved operating income of 24.

48ppm, an increase of 18 per year.

81%; realized net profit attributable to shareholders of listed companies.

49 ppm, an increase of 54 in ten years.

01%, an increase of 45 per year after excluding non-recurring gains and losses.


2018Q4 company achieved revenue 6.

3.7 billion, an increase of 23.

50%, down 11.

71%; profit 1.

380,000 yuan, an increase of 195 in ten years.

18%, an increase of 58 from the previous month.


The company’s performance was in line with expectations.

The company also announced that it plans to distribute dividends to all shareholders for every 10 shares2.

2 yuan (including tax), 4 bonus shares.

The energy saving of distribution network maintained a rapid growth rate, and the cost of electricity purchases increased. Thickening of electricity sales profit: The company’s distribution network energy saving business developed well in 2018, and completed a number of energy-saving projects such as Yantai, Qingdao, Shandong, Edong, Hubei, and Fujian Phase II.Income 10.

70 ppm, a 34-year increase of 34.

88%, gross margin 32.

76%, an increase of 1 per year.

With 39 averages, we expect the energy-saving business to gradually achieve a net profit of approximately US $ 200 million.

The company’s power business maintained steady development and achieved revenue13.

69 ppm, a ten-year increase of 8.

43%. At the same time, the company ‘s annual power purchase cost decreased by about 76 million yuan due to the reduction in the power purchase price of the company in December 2018 and back to one month, which significantly increased Q4 and above performance.

Capital expenditure promotes the continuous growth of energy-saving business: In 2018, the company deeply explored key markets in energy-saving business, advanced development in an all-round way, and signed new orders for Xinjiang Phase II, Ningxia, and Zhejiang Phase II, with a scale of more than 1.3 billion U.S. dollars.The order volume is approximately 100 ppm.

The company’s capital expenditure on energy saving business plans for switching networks in 201915.

13 ppm, an increase of 48 in ten years.


We expect that the company’s new order plan in 2019 will gradually increase, which will support the sustainable and stable growth of energy-saving business and company performance.

It is estimated that based on the company’s execution of hand orders and the decline in power purchase costs, we expect the company’s estimated revenue for 2019-2021 to be 1.

80, 2.

15, 2.

45 yuan (19, 20 years original forecast expected income is 1.


82 yuan), corresponding to a price-earnings ratio of 12.7, 10.


3 times, maintaining the overweight rating.

The main risks faced by the rating are the expected income distribution of energy-saving projects 淡水桑拿网 in distribution networks; the slower-than-expected progress of the new project landing; the slower-than-expected progress of the project construction;