Hanlan Environment (600323): Performance is slightly higher than expected
Event: The company released the 杭州桑拿 third quarter report of 2019.
During the reporting period, the company’s operating income and net profit attributable to its mother were 42.
9.6 billion, 7.
36 trillion, an increase or decrease of 19 each year.
05% and -0.
99%, the original expected net profit attributable to mothers decreased by 5%, slightly higher than expected.
Key points of investment: The company’s period expense ratios overlap, and taxes and fees are saved, and performance is slightly higher than expected.
During the reporting period, in terms of solid waste business, the company accumulatively settled on-grid electricity.
900 million degrees, 10 compared with the same period in 2018.
The 07 billion kWh settlement power increased slightly.
In terms of water affairs, the company’s cumulative water supply during the reporting period was the same as the previous year, and the sewage treatment volume increased compared with the previous year.
The average price of water supply and the average price of sewage treatment are respectively 2.
18 yuan / ton and 0.
99 yuan / ton increased to 2.
2 yuan / ton and 1.
4 yuan / ton.
Coupled with the increase in revenue from the gas business, the company’s operating income increased by 19 in the end.
As the company continued to increase the efficiency of control fees, the company’s sales expense ratio, management expense ratio, research and development expense ratio, and financial expense ratio continued to decrease during the reporting period, and the total chain rate decreased by 0.
Five averages, each year a total decrease of 0.
In addition to the national tax reduction effect, the company’s tax and surcharges during the reporting period are reduced by 6.
73%, diabetes declines by 12 every year.
79%, so slightly more than expected.
If excluding the market income from disposal of government kiln in 2018, the net profit after deduction for non-returning mothers will increase by 20 each year.
18%, after deducting non-return to mother’s net profit growth slightly higher than revenue growth.
Relying on the Hanlan brand, it will join hands with Alibaba Cloud and SDIC Power to build the company’s long-term competitiveness.
Practicing the battle against pollution evidence, the central government’s support in 2019 will reach 60 billion US dollars, and it will increase by 35 each year in 2018.
9% will drive local investment.
At present, the construction of the “National Waste-Free City”, the “defensive battle against clear water” has been reorganized, and there is a strong demand for environmental protection.
The company’s solid waste comprehensive treatment park has explored the “Hanlan model”, which uses power generation projects as its energy core and configures a full set of processing facilities to efficiently and effectively perform solid waste treatment that is harmless, resource-based, and minimized. At present, the company’s solid waste treatmentThe project has spread to 33 cities in 12 provinces.
In addition, the company has also built the largest commercial 35 MPa hydrogen refueling station in China, demonstrating its comprehensive strength.
With the Hanlan brand, it will join hands with the high-quality investment company SDIC Power and big data company Alibaba Cloud to strengthen its competitiveness.
In 2018, SDIC Power was 13.
47 yuan / share into Hanlan Environment, with a shareholding ratio of 8.
62%, SDIC’s investment experience will further enhance the company’s resource integration capabilities.
In 2018, the company reached a cooperation with Alibaba Cloud and plans to date the ET industrial brain to the environmental protection field.
In July 2019, Alibaba Cloud cooperated with the company to put into operation the first AI that manages waste incinerators. Intelligent management in the future can be expected.
Solid waste has sufficient orders in hand, and the gas and water business benefits from geographical advantages and franchise rights, and its medium-term growth is guaranteed.
As for the solid waste business, as of 2018, the company’s domestic waste incineration project has been put into operation at 11,800 tons / day, and the total capacity of the incineration projects currently in operation (in operation and not in operation) is 33,100 tons.Both are higher than 70 yuan / ton, and the quality is better.
In terms of hazardous waste business, the amount of general industrial hazardous waste generated in Foshan in 2017 was 19.
85 for the first time, the disposal amount is only 3.
05 Trace amount, a large amount of waste was transferred to Zhaozhou, Huizhou and other places for treatment.
The company’s hazardous waste project-Foshan Green Industrial Service Center Project (Nanhai) project was started at the end of 2017 with a scale of 9 approved.
3Every year, there will be local capacity vacancies after landing.
For the gas business, there were 254 furnaces in October 2018, and the demand for gas through “coal to gas” will continue to increase.
For the water business, the resident population of Foshan City in 2018 has reached 8.09 million and is steadily increasing, which will promote drainage and sewage treatment needs.
In addition, the company merged and consolidated Shengyun’s 3500 tons / day incineration capacity, which added guarantee for future 成都桑拿网 growth.
Profit forecast and investment grade: According to the third quarter report, we raise the company’s 2019?
In 2021, the expected net profit attributable to mothers is 9 respectively.
5.6 billion (was 9).
3.7 billion), corresponding to 15 times the 19-year PE.
The company’s main battlefield, Foshan, benefited from the development of the Guangdong-Hong Kong-Macao Greater Bay Area with obvious geographical advantages. At the same time, the demonstration projects and brands were in hand, and the expansion was continued in different places. In addition, SDIC Power Co., Ltd. and Alibaba Cloud cooperated to strive to strengthen the alliance and maintain the buy rating.
Risk warning: Project advances below expectations