Megmeet (002851): Multi-point flowering to boost high-performance new energy vehicles

Megmeet (002851): Multi-point flowering to boost high-performance new energy vehicles is particularly dazzling
Event: The company announced its semi-annual report for 2019, which reported revenue of 16%.60 ppm, an increase of 61 in ten years.06%; net profit attributable to mother 1.620,000 yuan, an increase of 148 in ten years.07%; deduct non-attributed net profit 1.4.1 billion, an annual increase of 175.63%. New energy vehicle business benefits from BAIC’s high sales growth: The company’s new energy vehicle products include motor drives, PEUs, etc., and its core customer is BAIC New Energy.In the first half of the year, BAIC New Energy achieved sales of 6 in total.50,000, of which the EU series accounted for nearly 重庆耍耍网 80%.Driven by downstream customers, the company’s new energy vehicles and rail transit products achieved sales revenue.52 ppm, an increase of 238 in ten years.82%.In the second half of the year, the demand for EU models brought by the launch of operating vehicles will increase the demand for private consumption after the peak season, and this business revenue is expected to maintain a high growth rate.In terms of gross profit margin, the gross profit margin of this business in 2019H1 is 23.2%, ten-year average.4pcts is basically to supplement the pressure on the entire industry chain to reduce taxes due to tax rebates. It is expected that the downward decline in the future will slow down and maintain a stable level of profitability. Traditional business maintained steady growth, and new downstream bright spots were discovered: the 北京养生会所 report merged, and the company’s smart home appliance control products achieved revenue7.40,000 yuan, an increase of 23 in ten years.16%.Among them, the display power is outside the flat-panel display market, and new markets such as laser display are newly opened; electronic appliances of variable frequency appliances continue to sell on a large scale in overseas markets, and the potential growth space is still broad.In addition, the company’s industrial power and industrial automation products have been realized for four years.62% and 26.The growth rate of 4%, commercial display power, communication power, smart welding machines, etc. are all fast-growing segments. The subsidiary’s operations were smooth in the first half of the year, and there may be super-committed performance: 1) Jardine Sanitary Ware: 19-year promised profit of 0.950,000 yuan, net profit of 0 in the first half.3.2 billion, 34% completion rate.The report was mainly affected by the shift in shipments of smart rice, and the increase in performance was not high.In the second half of the year, the company increased the layout of its marketing outlets, and at the same time, the downstream orders picked up, gradually predicting the achievable indicators; 2) Shenzhen-driven: 19 years promised 0 profit.700 million, net profit of 0 in the first half.6.7 billion yuan, a completion rate of 96%.The continued heavy volume of new energy vehicles in the second half of the year is expected to significantly exceed the promised performance; 3) Shenzhen Control: 19 years of promised profit of 0.1.8 billion, net profit in the first half of 0.09 billion, 49% completion rate.The company adheres to the strategy of major customers, and its main PLC products have achieved growth against the market in the first half of the year. Investment suggestion: Maintain the Buy-A investment rating, with a 6-month target price of 25 yuan.Regarding the acquisition of the remaining 14% equity of Jardine Sanitary Ware for the time being, it is expected that the company’s net profit attributable to mothers in 2019/20/21 will be 3 respectively.3/4.9/6.500 million US dollars, the annual growth rate is 65%, 46%, 34%.As an industrial control platform company based on power electronics technology, the company has deep technology accumulation and continued high R & D investment to achieve high growth. We maintain the Buy-A investment rating and 6-month target price of 25 yuan. Risk Warning: The development of smart bathrooms is less than expected, the gross profit margin of new energy vehicle business declines, and industry competition intensifies, etc.