Daun shares (002838): Elastomers have a good growth momentum and increase their performance

Daun shares (002838): Elastomers have a good growth momentum and increase their performance
The company’s endogenous growth has maintained steady growth, and Haier New Materials has consolidated its performance.In the first half of 2019, the company realized operating income12.RMB 990,000, achieving net profit attributable to shareholders of listed companies of 7,899.RMB 850,000, realizing a non-recurring net profit attributable to shareholders of the listed company of 7,458.820,000 yuan, an annual increase of 142.74%, 41.27% and 47.69%.Under the background of the decline in the downstream automobile industry and the weak growth of the home appliance industry, the company still maintained rapid growth.After representing Haier New Materials, the company’s endogenous operating income and net profit attributable to mothers increased by 20 respectively.86% vs. 2.30%.The increase in period expenses, the increase in depreciation expenses, the increase in provision for impairment, and the occurrence of additional non-operating expenses have resulted in the company’s endogenous return to net profit growth slower than operating income. The core product thermoplastic elastomers have grown for ten years.83%.We expect that the automotive TPV will gradually be under pressure. The smooth commissioning of TPU and the expansion of non-automotive parts of TPV are the main driving forces for the growth of thermoplastic elastomers.Among plastics revenues, Haier New Materials, the company’s modified plastics business and masterbatch grades were placed alternately.58%, 9.39% and 16.41%.We believe that the downturn in the downstream and lower product prices are the most important.Affected by the price reduction of raw materials, the average gross profit margins of modified plastics, thermoplastic elastomers and masterbatches have rebounded in the second half of last year, which have been increased by 0 from the previous month.22PCT, 4.88% and above 6.35PCT.The proportion of modified plastics with a low gross profit margin in the overall revenue has increased, which has lowered the company’s overall gross profit margin. The company is in an expansion period, and the average value of budget expenses has increased rapidly.The overall period expense rate increases by 0 each year.14PCT to 8.45%.Both the TPV expansion project and the newly-built HNBR project have been converted. The pressure on the company’s equipment depreciation stalls has increased, and depreciation and amortization have increased significantly in the management expense ratio.The acquisition of Haier New Materials led to an increase in short-term borrowings, with financial costs increasing by 673 per year.02%, financial expense ratio increased by 0 in ten years.56%.The company further expands R & D investment, with R & D expenses increasing by 151 per year.83%, R & D expense ratio increased by 0.11PCT to 2.93%. Withdrawal of impairment and increase of non-operating expenses, investment income and government subsidies increased slightly.The report accrued a total of 324 asset impairment and credit impairment investment income.40,000 yuan, more than 6 times a year.New budget expenditures of 270 were added to non-operating expenditures.860,000 yuan, which has an impact on the 佛山桑拿网 company’s current net profit.Other benefits from government subsidies totaled 660.330,000 yuan, an increase of 58 in ten years.95%.Net investment income reached 60.990,000 yuan, Korean Daun can increase and narrow. The construction of new elastomer production capacity has been basically completed. The company intends to issue convertible bonds to further increase the capacity of modified plastics.The company’s current TPV capacity has reached 2.In February, the HNBR project was successfully launched in June 2019 and merged qualified products into the customer verification period.The company plans to issue convertible bonds to raise no more than 3.US $ 600 million for the construction of 12 additional polymer projects with an annual output and repayment of bank borrowings and supplementary working capital.We believe that the company has experienced intensive capital expenditures in the early period and is expected to usher in the harvest period. Be optimistic about the company’s second half performance.We predict that the prices of raw materials benefiting from plastic products will decline, and profit margins will be further released; the ramp-up of TPU production capacity will continue to drive the company’s thermoplastic elastomer revenue to maintain a good growth rate; the automotive industry is expected to go out of the trough and start to improve, which will drive TPV products to reduceBack to the fast lane; new products HNBR and TPIIR may harvest orders and become the added amount of second half performance.In the long term, we believe that the company is a new material technology platform company with high technical barriers, solid and advanced research and development levels, and continuous expansion of product categories, which will drive the company’s long-term performance. Earnings forecast and investment rating: Affected by the downstream prosperity, the performance forecast is slightly reduced. The company’s EPS for 2019-2021 is expected to be 0.50, 0.68, 0.88 yuan.The average forecast PE of companies in the same industry in 2019 is 26 times.We believe that the company’s long-term growth logic will remain unchanged, maintaining its PE forecast for 2019 at 22-27 times, corresponding to a reasonable value range of 11.00-13.50 yuan, maintain the “primary market” rating. Risk reminders: rising raw material prices; lower-than-expected downstream market development; accelerated growth of the automotive and home appliance industries; uncertainties in new technology development

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