Wanwei High-tech (600063): Asset impairment accrued affects profit PVA industry continues to recover

Wanwei High-tech (600063): Asset impairment accrued affects profit PVA industry continues to recover
Company summary The company released its 2018 annual report and achieved operating income of 58 in 2018.5.7 billion, an annual increase of 24.47%; net profit attributable to shareholders of the parent company1.3 billion, an annual increase of 52.61%; net profit attributable to shareholders of the parent company after deduction1.10,000 yuan, an annual increase of 67.08%.Among them, Q4 quarter achieved operating income14.8.3 billion, an annual increase of 16.48%; net profit attributable to shareholders of the parent company was -7.95 million yuan, compared with -25.55 million yuan in the same period last year.Mainly due to asset impairment of 59.1 million yuan in the fourth quarter. The company commented that the PVA price center increased the most, and the volume and price of cement rose.56 ppm, an increase of 17 in ten years.18%, gross margin 18.07%, an increase of 4 per year.12 units; revenue from cement clinker 9.27 ppm, a 43-year increase of 43.58%, gross margin 44.97%, an increase of 2 every year.12 units; PVA ultra-short staple fiber, chip, VAE emulsion, rubber powder business revenue extended growth 3.69%, 29.06%, 14.18% and 36.96%.The company’s main performance increase came from PVA, rising cement prices and the gradual release of Mengwei cement clinker capacity.In terms of price, the average price of PVA products (excluding tax) in 2018 was 9,748.79 yuan / ton, an increase of 18 per year.83%, the average price of cement and clinker (excluding tax) is 321.66 yuan / ton and 247.76 yuan / ton, up 25 before.06% and -2.02%.The company plans to sell PVA 22 in 2019.5 initial, cement 195 initial, clinker 139.6 earliest, 19 earlier 18 years.0 cobalt, 182.7 early and 136.7 top has improved. The PVA industry stands on top of one another, downstream applications are expanded to optimize the supply and demand structure, and it is converted to older traditional 成都桑拿网 line producers such as Xiangwei and other production lines that have gradually withdrawn. The main producers of PVA have formed a three-legged pattern of Anhui support, Sinopec and Northwest private systems, and market concentrationThe degree is higher and the effective capacity is reduced.The proportion of traditional fabric size and paper processing has decreased, the proportion of polymerization aids has increased significantly, and the amount of adhesive has also improved. Foreign consumption structure, PVB production and PVA film usage are still improving.Therefore, in the future, benefiting from the development of the downstream industrial chain and export growth, the supply and demand structure of the PVA market will continue to be optimized, product prices are expected to gradually increase, and corporate profitability 北京养生会所 will further improve. The PVA downstream market continues to expand. The complete PVA downstream products covered by the complete industrial chain company include PVA fiber, PVB resin, PVA optical film, etc., achieving the extension of the industrial chain from chemical raw materials to the downstream.Among them, PVB resin production capacity in emerging areas is 10,000 tons / year, PVA optical film production capacity is 5 million square meters / year, and Wanwei Group has established a joint venture with Zhejiang Yingsheng, the first to achieve full coverage of the PVA-PVB resin-PVB intermediate film industry chain.Domestic enterprises with two PVB intermediate film production capacity (about 1.).4 PVB resin).For PVA optical films, the company announced in March 18 that it invested with Anhui Juchao Economic Development Zone Investment Co., Ltd. to set up a Dreiger (70% equity). It will invest in the construction of an annual output of 7 million flat polarizers and complete the extension of the film industry chain, The current project scale is civil construction and equipment procurement.In addition, the company’s announcement in October 18 plans to raise funds by itself.An investment of 500 million yuan to build a new 7 million-square-meter 3400mm PVA optical film project is currently underway, and civil engineering and equipment procurement are gradually being made.Complete industrial chain support will enable the company to reduce cost advantages and responsiveness in the downstream expansion of PVA. Earnings forecast and estimation We expect the company’s operating income in 2019, 2020 and 2021 to be 64.5.2 billion, 67.3.9 billion and 70.1.8 billion, the growth rate was 10.15%, 4.46% and 4.14%; net profit attributable to shareholders of the parent company is 2 respectively.2.1 billion, 2.8.7 billion and 3.710,000 yuan, the growth rate was 69.59%, 30.07% and 29.19%; fully diluted earnings per share are 0.12, 0.15 and 0.19 yuan, corresponding to PE is 29.5, 22.7 and 17.6 times, maintaining the “overweight” level in the next six months. Risk warnings of safety accidents and environmental protection issues; poor operation of new production lines; weakening demand in downstream markets; less-than-expected expansion of new materials; systemic risks