Yinlun shares (002126): steady growth in performance, thermal management business orders fully blossom

Yinlun shares (002126): steady growth in performance, thermal management business orders fully blossom
A brief review of performance The company announced its annual report. In 2018, its revenue and net profit attributable to its mother were 50.1.9 billion, 3.49 trillion, each year +16.1%, +12.3%.At the same time, a dividend of 0 is proposed.05 yuan.In addition, the company expects to achieve revenue of 55 in 2019?6 billion, net profit attributable to mother 3.85?4.2000000000. The performance of business analysis increased steadily.(1) As the company continued to make breakthroughs in the development of new customers and new projects, in 2018, it achieved a revenue increase of 16%.1% / 12.3%, performance is steadily increasing.(2) The sales / management / R & D / financial expense ratios are 4 respectively.7% / 6.9% / 3.7% / 1.1%, compared with 16 in the same period last year.1% rose to 0.3 points.Research and development focused on thermal management technology, expanded by more than 23%.(3) The company’s overall gross profit margin is 25.5%, a decrease of 0 compared with the same period last year.6 points.(4) The company continues to make breakthroughs in customers and orders. The business plan for 2019 is to achieve revenue of 55?6 billion yuan, net profit attributable to mother 3.85?4.2 billion, average ten years + 10%?20%. The thermal management business continued to develop, and high-speed growth was expected under the release of orders.The share of the company’s joint venture with automobile air conditioners accounts for 80% of its revenue, which is a fist business.The thermal management business has fully blossomed in 2018, and major breakthroughs have been achieved in joint venture brands and foreign suppliers. First, it entered the Geely Link platform and mass-produced in 2021 with a supply of 3.38 million units.Secondly, to become a supplier of Jaguar Land Rover D4 and P4 engine oil coolers, starting from 2020-2021, a total of 2.25 million units.Thirdly, it has obtained an order for GM (Global Universal) water-air cooler,杭州夜生活网 which was delivered in September 2022, according to about 77.5 million US dollars.Fourth, to become a German ZF transmission oil cooler supplier.Fifth, it has been identified as a supplier of oil coolers for Dongfeng Renault engines and is expected to be supplied in 2020. The total order is about 100 million (1.27 million units).Sixth, orders with MANN + HUMMEL high-frequency water coolers, starting in 2022, with a five-year life cycle, according to about 2.2.5 billion.seventh.Become Geely New Energy pure electric platform liquid cooling plate (batch supply in 2021, the total amount is about 1.500 million), Changan Ford’s designated supplier of battery cooling plate products.With the landing of investment projects and continued development of customers, the rapid growth of thermal management business in recent years can be expected, and long-term performance is optimistic. Earnings adjustment and investment recommendations Due to the overall downturn in the downstream auto market, the 2019 profit forecast is lowered by 11%.It is expected that the company’s net profit attributable to the parent in 2019-2021 will be 3 respectively.98/4.57/5.470,000 yuan, the corresponding EPS is 0.50/0.57/0.68 yuan.Raise the company’s target price by 7% to 12.43 yuan, corresponding to a PE of 25x in 2019, maintaining a “Buy” rating. Risk warnings: fluctuations in raw material prices; changes in exchange rates; less-than-expected development of passenger car business; lower-than-expected exhaust policies; lower-than-expected thermal management business;