Xugong Machinery (000425): Rapid growth in performance, national reform expected to further improve efficiency

Xugong Machinery (000425): Rapid growth in performance, national reform expected to further improve efficiency

Interim report performance forecast exceeded expectationsOn July 14, the company announced that it would report net profit attributable to the parent 21?
24 ppm / yoy + 90.

2%?
117.

4%, EPS is about 0.

25?
0.

29 yuan.

The construction machinery market has strong demand, the company has a solid level of competition, and its profitability has continued to be repaired. This is the primary reason for the company’s rapid growth in performance.

We raise our expected profit forecast and expect EPS to be zero.

49/0.

56/0.

65 yuan (the original price is 0.

41/0.

48/0.

56 yuan), PE is 9.

28/8.

00/6.

93 times.

The average PE of companies in the same industry in 2019 is 12.

18 times, the PE of overseas leader CAT is 12.

21 times, we believe that the company’s main product crane may maintain a relatively rapid growth rate, the company’s state-owned enterprise reform is steadily advancing, high-quality asset injection is expected to be strong, and the company’s target price is adjusted to 5.

84?

6.

33 yuan, corresponding to PE in 2019 is 12.

0?

13.

0x, maintain “Buy” rating.

Product demand is strong and profitability has increased significantly. Benefiting from the steady growth of domestic fixed asset investment, the demand for infrastructure construction in the “Belt and Road” countries has increased, and the demand for the construction machinery industry has continued to grow, especially the company’s main crane products.From January to June, the sales growth rate of the automobile spreader industry exceeded 50%, which actually outperformed other sub-industries.

The company strengthened the internal management level of the company, promoted product upgrades, and significantly improved brand value and brand influence. 3) The increase in revenue and the clearing of historical issues, the company’s expenses decreased, asset impairment decreased, and profitability increased significantly.

Tower cranes benefit from the demand for prefabricated buildings, growing by more than 100% each year.

The margin of real estate trust tightens, which has little impact on the construction machinery industry. We believe that infrastructure investment is still the main support for demand in the second half of the year.It is estimated that with the landing of special debt funds, infrastructure investment will increase by 1.

Seven single, infrastructure-relevant products such as small excavations, cranes and other demand will remain high; in 2018, real estate trust funds accounted for less than 6% of the actual overall funding source, real estate trust margins tightened, and the impact of psychological size was greater than the actual impact.The absolute scale of the sales volume of the construction machinery industry 武汉夜生活网 will remain high, and the growth rate will fluctuate within a small range.

We raise our profit forecast and maintain a buy rating. Demand in the construction machinery industry continues to exceed expectations. We raise our company ‘s crane product sales forecast and raise its expected performance forecast. Is it expected that 2019?
Net profit attributable to mother in 2021 is 38.

14/44.

25/51.

13 trillion, EPS is 0.
49/0.

56/0.

65 yuan (the original price is 0.

41/0.

48/0.

56 yuan), PE is 9.
28/8.

00/6.

93 times.

The average PE of companies in the same industry in 2019 is 12.

18 times, the PE of overseas leader CAT is 12.

21 times, we believe that the company’s main product crane may maintain a relatively rapid growth rate, the company’s state-owned enterprise reform is steadily advancing, 武汉夜生活网 high-quality asset injection is expected to be strong, and the company’s target price is adjusted to 5.

84?6.

33 yuan, corresponding to PE in 2019 is 12.

0?13.

0x, maintain “Buy” rating.

Risk warning: The domestic economy is down faster than expected; the growth rate of infrastructure investment has not increased as expected, and real estate investment has continued to narrow; the industry’s competitive environment has deteriorated; the market for new products has not expanded smoothly; the asset impairment loss caused by accounts receivable gradually causedThe impact of profits.