BYD (002594) 2019 Semi-annual Report Comment: New Energy Vehicles Have Significant Advantages
Company dynamics The company released the semi-annual report for 2019, and achieved operating income of 621 in the first half of the year.
8.4 billion, an annual increase of 14.
84, net profit attributable to mother 14.
5.5 billion US dollars, an annual increase of 203.
The company expects a profit of 15 in the first three quarters.
5.5 billion to 17.
$ 5.5 billion, an increase of 1 per year.
83% to 14.
Matters commented that in the first half of the year, the growth of the new energy vehicles subsided and the decline in the subsidy of new energy vehicles caused Q3’s profit-bearing company to achieve a contrarian growth, of which Q2 achieved total operating income of 318.
80 ppm, a ten-year increase of 8.
39%, net profit attributable to mother 7.
50,000 yuan, an increase of 87 in ten years.
Benefiting from the rapid growth in sales of new energy vehicles and the significant increase in the share of mobile phone assembly business, the company’s automobile and mobile phone business revenues grew well, reaching 339 in the first half of the year.
8.2 billion and 233.
23 ‰, the annual growth rate reached 16.
27% and 14.
Revenues from secondary rechargeable batteries and photovoltaic business declined slightly.
In the second half of the year, new energy vehicle subsidies receded, and demand infiltration and other factors led to the company’s Q3 profit pressure. It is expected that Q3 profit will be 100 million to 300 million US dollars, down 90%.
46% to 71.
The gross profit margin of automobile business sales improved significantly, and the company’s gross profit margin was 17 in the first half of the year when the expenses were well controlled.
14%, an increase of 1 over the same period last year.
21pct, of which Q2 sales gross margin is 15.
34%, a year-on-year increase of 0.
The improvement of the company’s gross profit margin was mainly due to the recovery of the gross profit margin of the automotive business, with a margin increase of 5%.
89pct, while the gross profit margin of the mobile phone business decreased by 3.
In terms of period expenses, the company’s sales expense ratio in the first half of the year decreased by 1 year-on-year.
15pct, making the period expense rate improve by 1 compared with the same period last year.
The market share of new energy vehicles increased rapidly, and the company’s car sales reached 22 in the first half of the year.
810,000 vehicles, an annual increase of 1.
59%, far better than the industry 杭州桑拿网 level; sales of new energy vehicles reached 14.570,000 units, an increase of 94 in ten years.
50%, the market share rose from 20% in 2018 to 24%.
The company has continuously improved the new energy vehicle product line. In the first half of the year, it launched a new generation of Tang EVs, new Song Max plug-in hybrid versions, new Yuan EVs, and new models e1 and S2.Song Pro, an A + -class SUV, will launch e2, e3, and new Qin EV models in the second half of the year to consolidate its competitive advantage in the new energy vehicle sector.
The investment proposal estimates that the company’s net profit attributable to shareholders of the parent company from 2019 to 2021 will be 29.
09 billion, 35.
1 billion, 43.
9.8 billion yuan, corresponding to an EPS of 1.
07 yuan, 1.
29 yuan, 1.
61 yuan, the corresponding PE is 48 times, 40 times, 32 times, maintaining the “overweight” level.
Risks indicate that car sales are less than expected; risks of changes in industry policies, etc.