Weihua shares (002240): release of accumulated results

Event: On April 16, the company released a quarterly report, reporting the operating income of the two companies5.

2.4 billion, an annual increase of 10.

78%; net profit attributable to shareholders of the listed company was 2152.

850,000 yuan, an annual increase of 423.

80%; deducted non-net profit 1939.

750,000 yuan, an increase of 4297 in ten years.


The core factors of the company’s increase in net profit attributable to its mother are the increase in the gross profit of sheet metal and the increase in profits of the lithium salt processing business.

The gross profit of the plate increased.

The first quarter is usually expected, the main factor is that there are two weeks of the Spring Festival holiday in the first quarter, and the company’s mechanical overhaul time is also a quarter, the startup rate is low.

In addition, the first quarter is the off-season for plate sales, and profits have increased.

However, this year’s situation is different. Due to the excessive rain in the south each year, the upstream has difficulty collecting materials, the raw materials are tight, the inventory is low, the prices of downstream plates have continued to increase, and the gross profit margin has increased.

The southern Kaifeng and Qingyuan factories contributed core profits.

Lithium salt processing contributes profits.

Zhiyuan Lithium has 4 initial lithium salt projects1.

3Polycarbonate grade lithium carbonate and lithium hydroxide production line was put into production in March 2018, and has now reached production.

As production has not yet started in the first quarter of last year, lithium salt processing profits have become the reported profit growth point.

The maximum remaining capacity of the project will be completed by the end of 2019. By then, the production capacity will be among the top in the world. Zhiyuan Lithium will become an important source of company performance.

It is proposed to acquire Shengtun Lithium to gain control of Oino Mining.

Weihua intends to purchase 100% equity of Shengtun Lithium held by Shengtun Group, Shengtun Trading, Fujian Huamin, Qianhai Ruize, and Oriental Changfeng by issuing shares and paying cash.

In the transaction consideration for the purchase of assets, the raised matching funds shall be used to pay Shengtun Group no more than 10,000.

1 million yuan; the rest is paid through non-public issuance of shares.

After the completion of the transaction, 深圳丝袜会所 Weihua will hold 100% of the equity of Shengtun Lithium, thereby indirectly controlling 75% of the equity of Oino Mining. The mine will become an important source of raw materials for Zhiyuan Lithium.

To sum up, the company’s new energy materials business and wood-based panel business are developing concurrently.

On the basis of the steady development of the production and sales of fiberboard in the main business, the company has extended its business to the field of new energy materials such as lithium salt products, which is in line with the current development direction of the new energy field.

03, 5.

260,000 yuan, an increase of 90 in ten years.

63%, 73.

44%, 13.

42%, corresponding EPS is 0.



12 yuan, the corresponding PE is 17 respectively.



7. Give “Buy” rating.

Risk reminders: the risk of falling lithium 南京夜生活网 prices; the risk of deferred resource development; environmental protection policy risks; excess capacity in the lithium salt industry;