Inner Mongolia First Machine (600967) 2019 Third Quarterly Report Review: Third Quarterly Report Exceeds Expectations Armor Products Entered into the Performance Redemption Period After Reform
The growth rate of performance exceeded expectations, and the inventory side continued to grow. The company achieved revenue of 75 in the first three quarters.
3.6 billion (+5.
25%), achieving net profit attributable to mothers4.
2.1 billion (+20.
53%), realizing deducted non-attributed net profit3.
820,000 yuan (+20.
In the third quarter alone, the company achieved revenue of 22.
2.2 billion (+6.
90%), realizing net profit attributable to mother 8868.
70,000 yuan (+43.
The gross profit margin for the first three quarters was 9.
78%, a decline of 1 per year.
16%, with a net profit of 5.
63%, rising by 0 every year.
The gross profit margin for the third and third quarters was 9.
44%, a decline of 0 per year.
30%, net interest rate is 3.
97%, rising by 1 every year.
The inventory is 36.
53 ppm, an increase of 11 years.
00%, an increase of 15 from the previous month.
The impact of the reform of the military representative system is coming to an end, and we are concerned about the growth in performance brought about by the realization of inventory. The reform of the military representative system that has begun since the third quarter of 2018 has adversely affected the company’s product delivery, and therefore the main battle equipment products require military representatives.Delivery can only be achieved after acceptance, but during the reform period, due to the adjustment of relevant institutions, the delay in the acceptance progress led to the gradual and timely acceptance of the products into inventory.
So far, it is expected that the reform is coming to an end. In order to complete the equipment plan during the 13th Five-Year Plan period, relevant military departments may speed up equipment acceptance.
The company’s inventory products entered an accelerated realization period.
The demand for ground-based main battle equipment continues to grow at home and abroad, and the long-term performance continues to improve overall. The Chinese Army and Marine Corps are now in the period of military reform, which is more adaptable to digital operations. The new command system of the “military-battalion” accelerates the formation of combat 南京夜网 effectiveness, which is in line withThe demand for anti-thinking 8X8 tanks, new 15-type light tanks, and 99A main battle tanks in line with the idea of “heavy-load heavy-fire high-level digital network combat routines” is in a period of continuous growth.
In terms of foreign trade, the demand for VT-4, VT-5, VN-1 and other foreign trade armored combat vehicles has been increasing rapidly due to the intensified regional conflicts and the severe prospects of military struggle in traditional friendly countries in South Asia, Southeast Asia, and the Middle East.
Risk reminder: The progress of military-related reforms may exceed the expected progress of the realization of inventories. The investment progress is lower than the expected investment advice: Maintain the buy rating to give profit forecasts, and return to the net profit 南京桑拿网 attributable to mothers in 2019-2021.
810,000 yuan, 22 years growth rate.
9%; Diluted EPS is 0.39/0.
58 yuan, the current sustainable corresponding PE is 26.
Using the relative estimation method, the company’s reasonable estimation interval is 14.
8 yuan, corresponding to 30-35 times the dynamic PE in 2020, an increase of 38 compared to current expectations.
Therefore, maintain BUY rating.