Xingyu shares (601799): better than expected gross profit margin continues to improve year by year

Xingyu shares (601799): better than expected gross profit margin continues to improve year by year

The core point of view is better than market expectations.

The company achieved operating income in the first quarter of 201914.

24 ppm, an increase of 21 in ten years.

2%, the growth rate increased by 13 from the fourth quarter of 2018.

1 percentage point, a significant increase; net profit attributable to mothers1.

700,000 yuan, an increase of 30 in ten years.

2%; deduct non-attributed net profit 1.

54 ppm, an increase of 32 in ten years.

8%, EPS is 0.

62 yuan, net profit growth faster than revenue growth mainly benefited from improved gross profit margin.

Revenue growth was better than expected, gross margin improved significantly, and net cash flow from operating activities increased significantly.

With the year-on-year decline in industry sales in the first quarter, the company’s revenue was still two years.

2% growth is expected to be mainly related to the upgrading of automotive products.

The gross profit margin for the first quarter was 23.

3%, an increase of 2 per year.

2 average values, the improvement is obvious.

Expenses during the first quarter8.

9%, a decline of 0 per year.

2 units, of which selling expenses are 2.

5%, a decline of 0 per year.

1 unit; management expense ratio (including R & D expenses) is 6.

3%, a decline of 0 per year.

1 unit, the cost control ability is further enhanced.

Net cash flow from operating activities 1.

5.7 billion, an annual increase of 77.

0%, a significant increase, mainly due to the increase in business scale.

The company’s inventory at the end of the first quarter was 11.

52 ppm, an increase of 13 at the end of the first quarter of each year last year.


Continue to promote product structure upgrades and production capacity expansion to ensure the company’s profit growth.

The company successfully developed predictive headlights, NDAS smart headlights, LIN / CAN controlled RGB turn lights and calibrated dual-light LED lens components in 2018. It is expected that continuous research and development this year will promote further upgrade of product structure.

The company’s production capacity has expanded steadily. The second phase of the Foshan factory is expected to be completed in the second quarter. The first phase of the Intelligent 深圳桑拿网 Manufacturing Industry Park is also expected to be completed within this year.

With the overall recovery of the automobile market, the company’s customers’ new car output has increased, and the company’s products have continued to upgrade its structure. It is expected that the profit in 2019 is expected to achieve higher growth.

The financial forecast and investment recommendation gross margin is better than expected, and the EPS for 2019-2021 will be adjusted to 3 respectively.

05, 3.

79, 4.

65 yuan (originally 2 for 2019-2021).

90, 3.60, 4.

46 yuan), with reference to comparable companies for 24 times PE assessment in 19 years, with a target price of 73.

2 yuan, maintain BUY rating.

Risk warnings The passenger car industry demand is lower than expected, and headlights and rear combination lights are lower 淡水桑拿网 than expected.