Dongzhu Ecology (603359): Achieving outstanding market results
Key Investment Events: The company released its 2018 annual report.
Realized operating income of 15 in 2018.
90,000 yuan, an annual increase of 30.
2%; realize net profit attributable to shareholders of listed companies.
3 ‰, an increase of 34 per year.
2%; EPS is 1.
The improvement of the performance growth in the second half of the year has improved, and the orders in hand are redundant: the company’s operating income for the first quarter of 2018 was 3.
10,000 yuan, an increase of 51 in ten years.
4%, net profit attributable to mothers is 0.
90,000 yuan, an increase of 65 in ten years.
In terms of business, revenue from wetland business9.
20,000 yuan, an annual increase of 24.
1%, accounting for 57.
6%, at least an improvement. In the end, the company’s municipal greening business grew faster after the company obtained the municipal first-class qualification. Dengzhou 穰 Deng Avenue, Runan County National Road City, and the impact of several two municipal projects on revenue contribution.
The company Q4 won the new bid 6.
6 trillion, newly signed contract 6.
3 ppm, gradually increasing the amount of new bids by 30.
3 trillion, 25 new projects are gradually signed.
The company plans to send 1 out of 10.
50 yuan (including tax), the dividend rate is 14.
Profitability remains stable: The company’s gross profit margin in 2018 was 28.
2%, 0 per year.The two units were mainly due to the increase in the proportion of municipal greening business.
The highest net interest rate is 20.
41%, an increase of 0 a year.
6 total, period cost 5.
3%, a decline of 0 per year.
A total of 78, of which 3 were administrative expenses.
8%, financial expenses expense -0.
Company Inventory 17.
0 million yuan, compared with 9 at the beginning of the year.
The increase of US $ 800 million was mainly due to the reported growth in business growth and the increase in completed and unsettled projects.
Sufficient funds and good cash flow: The company has monetary funds in hand at the end of 201812.
30,000 yuan, abundant funds, asset-liability ratio of 43.
6%, continued to maintain the industry’s internal level, net cash flow from operating activities-0.
7 trillion, a marked improvement from the first three quarters, and a decrease of 0 from last year.
9 trillion, mainly due to the increase in project procurement payments and deposits reported in combination.
At the same time, the company has no bank loans, interest-bearing debts, and the controlling shareholder and Dong Jiangao have not pledged equity. The company’s financial status is good. The balance sheet has the potential for transfer and expansion, and future development is expected.
Orders may continue to exceed expectations: The company issued an announcement of its main operating data for the 杭州桑拿 first quarter, and the company has won 73 new bids since 2019.
8.3 billion, with a new winning bid of 52.
24 ppm, an increase of 73% over the same period last year.
The company’s active layout of the country’s wetlands and national forest reserves in the early stage will continue to translate into high-quality orders. It is expected that the company’s orders will continue to exceed expectations, providing effective protection for rapid growth of orders, and continued heavy volume of orders in hand, which is expected to drive the subsequent performanceFast rising channel.
The company actively develops and develops the market: The company vigorously develops the market from both business and regional perspectives.
In addition to continuing to focus on the main business of wetlands, the company actively deploys 杭州桑拿网 desert parks and national forest reserves projects to gradually achieve full coverage of large ecological restoration industries; the company cooperates with local construction and design enterprises replaced by comprehensive strengths, and takes advantage of local partners’ advantages in local resources.The company’s business expansion capabilities have been further enhanced. It is reported that the merged company has established more than ten branches in the Yangtze River Delta, the Greater Bay Area, the Bohai Rim and other regions, which will contribute a large number of high-quality projects to the company.
Profit forecast and rating.
The EPS is expected to be 1 in 2019-2021.
86 yuan, corresponding to PE is 13, 10, 7 times. Considering the company’s rapid growth in future performance, maintain the “Buy” rating.
Risk reminder: project progress, project payment may be less than expected, business expansion or risk may be less than expected.