Satellite Petrochemical (002648): Three quarterly reported net profit growth of 48% per year C2 project helps growth

Satellite Petrochemical (002648): Three quarterly reported net profit growth of 48% per year C2 project helps growth

Event description: On October 25, the company issued an announcement that it achieved revenue of 80 in the first three quarters of 2019.

23 ppm, an increase of 15 in ten years.

81%; net profit attributable to mother is 9.

22 ppm, an increase of 48 in ten years.

04%; non-net profit attributable to mothers is 9.

160,000 yuan, an increase of 47 in ten years.

04%.

Q3 achieved operating income of 28.

63 ppm, an increase of 10 years.

44%; net profit attributable to mother is 3.

65 ppm, an increase of 23 in ten years.

36%, non-net profit attributable to the mother is 3.

62 ppm, an increase of 21 in ten years.

36%.

Event Comments: 1. The gradual dehydrogenation of hydrogen profit Q3 rebounded strongly. The average price of the first three quarters of 2019 was 7,409 yuan / ton, which gradually decreased by 11.
.

65%; CFR East China price was US $ 470 / ton, which was a continuous decline of 15.

73%.

The profitability of hydrogen dehydrogenation rebounded strongly in the Q3 quarter. First of all, prices improved in December, and prices fell.

杭州夜网论坛PDH profitability continued to recover in Q3, with an average spread of $ 442, an increase of 49 from the previous month.

twenty one%.

The second phase of the company’s PDH project reached full capacity in February 2019, and the company’s corrupt capacity expanded to the 1990s / year, contributing to incremental performance.

2. Measures to improve carbonic acid revenue The average price of carbonic acid in the first three quarters of 2019 was 7,876 yuan / ton, which decreased year by year.

85%.

The spread was 2273 yuan / ton, surpassing the increase of 18.

7%; butyl acrylate was 9233.

41 yuan / ton, down 8 before.

41%.

In the first three quarters, the price of butanol has fallen every ten years.

51%, the price difference of butyl acrylate is 556 yuan / ton, which decreases by 7 every year.

44%.

3. The fundraising project will be extended to the C2 industry chain and a rich product structure. On July 17, the company disclosed its non-public offering plan, intending to non-publicly issue shares to no more than 10 specific objects.Used for Lianyungang Petrochemical Co., Ltd. with an annual output of 135 polyethylene, 219 anchoring capillary / quartz and 26 quartz nanotubes.

The total investment of the project is 33.5 billion yuan, and the construction site is the Lianyungang Petrochemical Industry Base.

The project will be completed and put into operation in the third quarter of 2020. The company will reach the production capacity of multiple products in the two industrial chains of C2 / C3, opening up new growth space.

4. Layout of long-term strategic cooperation agreement with Zhejiang Energy Group Hydrogen Energy Utilization Company established Satellite Hydrogen Technology Co., Ltd. with its own funds and a strategic cooperation agreement with Zhejiang Energy Group Co., Ltd. In the future, it will make full use of the surplus carbon dioxide in the production process.And promote the construction of a hydrogen energy industry chain.

The company has a surplus of formaldehyde2.

6 years / year, the future carbide project will bring more than 16 tons / year of air, and the profit potential is huge.

Investment rating and estimation: It is expected that the company’s net profit attributable to the parent in 2019/20/21 will be 12 respectively.
94/14.
72/30.

42 trillion, corresponding to EPS 1.

21/1.

38/2.

86 yuan, corresponding to PE is 10.

97/9.

65/4.

67 times, maintaining the “highly recommended” level.

Risk warning: raw material prices fluctuate dynamically; increasing production capacity exceeds expectations; downstream demand is less than expected; project construction progress is less than expected.