Sanhua Intelligent Control (002050): Continue to obtain BMW orders and expect the proportion of profit of new energy vehicle business to gradually increase

Sanhua Intelligent Control (002050): Continue to obtain BMW orders and expect the proportion of 杭州桑拿 profit of new energy vehicle business to gradually increase

Event: The company announced that its subsidiary Sanhuaqi became a German supplier for BMW.

  The core point of view has been to obtain BMW orders again, and the sales amount has increased significantly. It is expected that the proportion of profit of the auto zero business will gradually increase.

  The company announced that Sanhuaqi has recently been identified as the supplier of the German BMW CLAR / FAAR-WE platform, of which the ETXV project is an exclusive global supply and the Chiller + EXV project is an exclusive Chinese supply.

  CLAR / FAAR-WE is the mainstream platform of BMW in Germany, of which FAAR-WE platform is an important manufacturing platform for BMW new energy vehicles.

The supporting projects launched this time are expected to total about 6 million RMB within the life cycle, and the relevant models are expected to be mass-produced in 2022.

In November 2018, the company received an order for thermal management components from BMW’s new energy electric vehicle platform in Germany, with a life cycle of about 30 million euros (about 2 euros).

30,000 yuan).

The company once again received orders from BMW Germany, and the order amount increased significantly, which fully illustrates the company’s market competitiveness of automotive thermal management products. The company’s auto zero business will increase the number of orders in the future, and it is expected that the profit contribution will steadily increase.

The growth of quality customer protection orders is expected to benefit from the increase in market share of Tesla and Volkswagen MEB platforms.

  Prior to 2019, the company announced that it had received orders from SAIC Volkswagen, General Motors (2 times) and German BMW, with order amounts of 900 million, 3 billion and 600 million, respectively, totaling 4.5 billion.

The company’s auto zero business customers include Volkswagen, Mercedes-Benz, BMW, Volvo, GM, Tesla and other internationally renowned vehicle customers, as well as Valeo, Mahler and other internationally renowned component suppliers. Quality customers guarantee order growth.

  The company’s thermal expansion valves, water-cooled plates and other new energy thermal management products have entered the Tesla and Volkswagen MEB platform supply chain. Through the Tesla and Volkswagen MEB platform, the company’s new energy vehicle market continues to advance, and the company’s new energy vehicle business promotion fully benefits.
The overall trend of the passenger car industry improved, which is beneficial to the company’s auto zero business development.

From August to November, the increase in passenger car sales continued to narrow, which was a sequential increase.

In the third quarter, the company’s operating income, net profit and gross profit margin all achieved positive growth, thereby further stabilizing the industry. It is expected that the fourth quarter profit will be further improved.

  Financial Forecast and Investment Suggestions: Forecast EPS0 for 2019-2021.

53, 0.

65, 0.

72 yuan, comparable company for automotive thermal management parts and home appliances related companies, comparable companies 19 years PE average income 33 times, target price 17.

49 yuan, maintain BUY rating.

  Risk reminder: new energy vehicle thermal management package, appliance cooling package volume is lower than expected, micro-channel and Yaweike business are lower than expected, affecting earnings growth; original growth exceeded expectations and exchange rate fluctuations