Huayu Automotive (600741): Future performance is expected to be affected by industry impact

Huayu Automotive (600741): Future performance is expected to be affected by industry impact

Event: The company released the 2019 北京夜网 Interim Report, and the company achieved operating income of 705 in 1H19.

600 million (-13.

6%), achieving net profit attributable to mother 33.

600 million (-29.

5%), deducting non-net profit 28.

100 million (-15.

9%).

Comments: 1. The auto industry was under pressure in 1H19, and the company’s performance was stable.

The company achieved operating income of 705 in 1H19.

600 million (-13.

6%), achieving net profit attributable to mother 33.

600 million (-29.

5%), deducting non-net profit 28.

100 million (-15.

9%).

Revenue and net profit of interior and exterior trim parts were 446.

200 million (-13.

6%) and 17.

400 million (-35.

1%), functional parts revenue and net profit were 142.

900 million yuan (16.

3%) and 11.

4 ppm (-17%), metal forming and mold revenue and net profit were 48.

300 million (-15.

9%) and 2.

0 billion (-17.

3%).

The net profit attributable to the parent company in the same period of 2018 includes the one-time investment income from the 50% equity acquisition of Huayu Vision.Net profit dropped by 1 from the same period last year.

1%.

In 1H19, the domestic auto industry’s pressured output fell by 13.
.

8%, in which the output of passenger cars is reduced by 15%.

8%, under the pressure of auto market resistance, the company’s non-performing performance is relatively stable, reflecting the company’s competitiveness.

2. The gross profit margin increased and improved. The cost reduction and efficiency improvement effect was obviously under pressure from the auto market.

1H19 company gross profit margin 14.

3%, increasing by 0 every year.

96 units, mainly driven by interior and exterior trim parts, metal forming and mold gross margin improvement.

The company’s gross profit margin for the second quarter of 19 was 15.
1%, one year, a month-on-month increase of 1 and 0.
8 average values, the improvement effect is obvious.

The sales expense ratio and financial expense ratio in the second quarter of 19 were basically the same as 2Q18, which were 1.

1% and -0.

1%.

Management expense ratio + R & D expenses increased to 9.

2%.

3. Grasp consumption upgrades and break through customers, and actively deploy companies in the electric and intelligent fields to implement the “3 + 2 + 1” strategy, that is, intelligent networking, electrification, and lightweighting. Three professional platforms, interior and exterior trim, and two integrated platforms for the chassisBusiness system construction requirements for an investment and financing platform with international and domestic synergy.

The company grasped the consumption upgrade trend in the domestic auto market, proactively deployed high-quality customers in various market segments, and achieved substantial breakthroughs in the supply of luxury car brands, Japanese customers and emerging customers.

The company actively promotes the rapid development of emerging businesses around the development trends of intelligent interconnection and electrification in the automotive industry.

The company’s electronics branch 24GHZ rear millimeter-wave radar has achieved stable supply to customers such as SAIC Passenger Cars and SAIC Chase.

Huayu Automotive Electric System Co., Ltd. accelerated the market development, and added GM’s variable-speed electric vehicle platform (BEV3 platform) on the basis of supporting the supply of major new energy models to customers such as SAIC Passenger Vehicle and SAIC-GM.The global drive motor project was fixed, and the development, delivery and production capacity of drive motor prototypes of Volkswagen’s global electric vehicle platform (MEB platform) are progressing smoothly; Huayu Magnana Electric Drive System Co., Ltd. is fully promoting the power of Volkswagen’s MEB platform.At the same time as the development of drive system products and the 苏州桑拿网 construction of capacity, it complemented the global electric drive project fixed point of the GM BEV3 platform.

4. Profit forecast and rating: The company is a leading domestic component company. It is actively deploying electrification and intelligence. The company implements the “3 + 2 + 1” strategy, its competitiveness is constantly improving, and its future development space is broad.

Maintain performance forecasts for 19 years?
21-year net profit was 71.

900 million, 75.

600 million, 78.

300 million, maintaining the “strongly recommended-A” level.

5. Risk reminder: the growth rate of the domestic auto industry, the price increase of upstream raw materials, and the downstream customers demanding a high price reduction