Zaisheng Technology (603601) 2018 Annual Report Comment: Production Capacity Launched Smooth Performance and Steady Growth

Zaisheng Technology (603601) 2018 Annual Report Comment: Production Capacity Launched Smooth Performance and Steady Growth

[Investment Highlights]The company released the 2018 annual report and the 2019 first quarter report.

18 years to achieve operating income10.

82 ppm, a 69-year increase of 69.

15%; net profit attributable to mother 1.

590,000 yuan, an increase of 39 in ten years.

96%; deduct non-attributed net profit1.

22 ppm, an increase of 34 in ten years.

77%, budget benefit 0.

29 yuan.

Revenue in Q4 was 2 in a single quarter.

4.7 billion, an increase of 8 in ten years.

70%, net profit attributable to mother 3781.

100,000 yuan, an increase of 13 in ten years.


The average value of the report accrued 9.91 million yuan for asset impairment losses on Wei Aip’s creditor’s rights and 6.27 million yuan for impairment losses on long-term equity investment in Shenzhen China Textile.

The three fee ratio is 17.

36%, a decline of 2 per year.

16 points.

Due to the consolidation of Suzhou Youyuan Constant, the gross / net margin of the purification equipment was reduced compared to the original business, and the gross / net margin for the 18 years was 33.

0% / 14.

7%, down 2 every year.


7 points.

Net cash flow from operating activities increased by 110%, mainly due to the company’s strengthening of accounts receivable management and the impact of Youyuan’s large order receivables.

Revenue in the first quarter of 20192.

89 ‰, an increase of 30 in ten years.

30%, net profit attributable to mother is 4,809.

470,000 yuan, an annual increase of 51.

22%, the first quarter results 深圳丝袜会所 slightly exceeded our expectations.

   The production capacity went smoothly and performance increased rapidly every year.

Expansion 2.

5 The highest productivity glass microfiber construction project has been put into production in 17 years. The actual insertion of glass fiber cotton in 18 years is about 5 scales, which is an increase of about 2 compared with 17 years.

5 nominal.

New 2.

5 The preliminary construction of the preliminary project is completed. It is expected that the fiberglass cotton in 19 years will reach about 7.

In the field of clean air, the 18-year expansion project of new high-efficiency air filter materials was successfully put into operation. The actual investment of filter paper was 6000-7000 tons, an increase of more than 1,000 tons compared with 17 years.

Annual output 4.

The construction 杭州桑拿 project of 80,000 civilian / commercial / collective protective air purification units is progressing steadily, and the field of civil / commercial filters is expected to make a breakthrough.In the field of high efficiency and energy saving, a 5,000-ton / year dry-process core material project has been put into operation, and a high-efficiency inorganic vacuum insulation plate derivative project is still under construction. It is expected that the replacement of thermal insulation materials in 19 years will be greatly improved.

The high-average average battery construction project has been put into production at the end of the year, and has initially contributed to the performance.

The steady release of production capacity led Q1’s outstanding performance.

   Demand is still in a period of rapid growth.

Clean air field: Only 5 remaining high-generation production lines will be completed and put into production in 19-20 years. New and replacement market demand will continue to expand the space. At the same time, it will benefit from the acceleration of domestic material replacement and is expected to increase the supply of filter paper in Youyuan purification equipmentProportion to achieve rapid expansion in the new factory project of the electronics factory.

High-efficiency and energy-saving areas: At present, the cost of VIP boards per refrigerator is about 20-30 yuan higher than that of polyurethane materials. The proportion of converted dry-process core materials has gradually increased, and the cost of VIP boards has reduced and decreased. The increase in penetration rate is expected to drive rapid industry growth.

  [Investment recommendation]The company’s operating income for 19/20/21 is expected to be 14 respectively.



710,000 yuan, the net profit attributable to the mother is 2 respectively.



3.6 billion, EPS is 0.



62 yuan, corresponding to PE is 24/18/15 times, maintain “Buy” rating.

  [Risk reminder]Weaipu’s equity acquisition litigation and fermentation upgrade; market expansion is less than expected; production capacity spread is less than expected; natural gas prices fluctuate significantly.