Zhengbang Technology (002157): Productive biological assets rebound to ensure growth
The event company released its semi-annual report for 2019.
From January to June 2019, the company’s operating income was 113.
77 ppm, a decrease of 6 per year.
91%; net profit attributable to shareholders of the listed company was -2.
75 ppm, a reduction of 43 per year.
98%; net profit attributable to shareholders of listed companies after replacement of non-recurring gains and losses is -1.
91 ‰, a decrease of 10 per year.
In terms of quarters, 2 019Q1 / Q2 company operating income was 51.
8.3 billion yuan, with annual growth rates of 4.
87%; net profit attributable to mothers is -4.
39 megabytes, with annual growth rates of -743.
42% / 154.
Our analysis and judgment are that the number of pigs on the market has increased steadily, and the feed sales have decreased. The company’s main business is the production of pigs, feed, veterinary drugs and pesticides.
From January to June 2019, the company’s pig breeding volume has achieved rapid growth, the feed business has developed in an orderly manner, and the veterinary drug and pesticide business has developed steadily.
By business, the report performance: feed business sales revenue 59.
89 ‰, a decrease of 30 per year.
01%; gross margin is 10.
48%, an increase of 0 every year.
Including pig feed income 41.
33 trillion, down 28 a year.
71%, sales volume is 128.
12 initially, down 22 each year.
63%, gross margin is 12.
97%, increasing by 0 every year.
47 points; poultry feed income 15.
62 trillion, down 35 a year.
35%, sales of 74.
30 at least, 25 per year.
64%, gross profit margin 4.
85%, a year to raise 0.
Sales income from pig breeding business 45.15 ppm, an increase of 45 in ten years.
96%, sales of 309 pigs.
360 thousand heads, an increase of 24 in ten years.
65%, gross margin is 2.
20%, an increase of 7 per year.
Veterinary drug business sales income 0.
870,000 yuan, an increase of 20 in ten years.
20%, gross margin is 38.
76%, a decrease of 3 per year.
Revenue from pesticide business sales 6.
26 ppm, a 71-year increase of 71.
05%, gross margin is 34.
73%, a decrease of 3 per year.
Productive biological assets rebound to ensure growth and growth The company’s productive biological assets include boars, sows and breeding ducks.
As of June 30, 2019, the company’s productive biological assets were 12.
530,000 yuan, an increase of 2. from the end of March 2019
440,000 yuan, an increase of 24.
18%, an increase of 1 from the beginning of 2019.
440,000 yuan, an increase of 12.
The company’s pig farming is mainly in Jiangxi, Hunan, Hubei, Guangdong, Guangxi, Yunguichuan, Shandong, Northeast, Hebei, Inner Mongolia, Jiangsu, Anhui, Henan and other regions. It has sufficient land for livestock breeding to support the company’s future expansion of its breeding business.
At the top of the report, the company continued to vigorously promote the development model of “company + farmers” on the basis of maintaining a self-reproductive health model.
At the same time, in order to prevent and control the African swine fever epidemic, the company has expanded at a faster rate and has accumulated rich experience in biosafety prevention and control, which has ensured the company’s biological safety of pigs and provided safety guarantees for the continuous growth of pig production.
The non-plague epidemic situation is still severe. In the second half of the year, pig prices are expected to hit new highs. Domestic agricultural swine epidemic situation is severe. At present, the 武汉夜网论坛 northern, southern, central, and western regions of the country have all experienced African swine plague infection.In July, the African swine fever epidemic occurred in expensive states, Qinghai, and Hubei.
Domestic sow and hog inventory data continued to decline month-on-month, and the decline in July expanded.
According to July data from the Ministry of Agriculture and Rural Affairs, the pig inventory in July 2019 decreased by 32 each year.
2%, a decrease of 9 from the previous month.
4%; the number of capable sows in stock is reduced by 31 each year.
9%, a decrease of 8 from the previous month.
In terms of pork prices, since March, the domestic hog market supply gap has gradually expanded and hog prices have gradually increased. According to wind data, the average domestic hog price in January-June 2019 was about 14.
33 yuan / kg, of which the average domestic pig price in 2019Q1 is 12.
96 yuan / kg, the average domestic pig price in 2019Q2 is 15.
69 yuan / kg, the price has increased significantly in 3 months.
Looking ahead, it is expected that the supply will continue to shrink in the second half of the year, and demand will gradually rise, and domestic pig prices have entered a rapid growth channel.
The gross profit margin increased slightly, and the expense ratio remained stable during the period. The company’s profitability remained basically stable.
In terms of gross profit margin, the gross profit margin of the company in 2019H1 is 8.
68%, an increase of 1 each year.
In terms of net interest rate, the company’s net interest rate for 2019H1 is -2.
13%, a reduction of 0 per year.
In terms of expense ratio, 2019H1 company’s sales expense subsidy3.
60%, increasing by 0 every year.
39 points; administrative expenses 3.
01%, reducing by 0 every year.
75pct; financial expenses1.
76%, increasing by 0 every year.
The company’s expense ratio remained basically stable during the period.
Investment suggestion: We expect Zhengbang Technology’s operating income to be 246 in 2019-2020.
7 billion and 367.
15 ppm, an increase of 11 years.
56% and 48.
82%; net profit attributable to mothers is 20 respectively.
1.5 billion and 81.
650,000 yuan, an increase of 944 in ten years.
21%; EPS are 0.
83 yuan / share, 3.
35 yuan / share, PE is 20.
3 times and 5.
0x, the first coverage, giving the company a “Buy” rating.
Risk factors: The price of hogs has fallen sharply; the swine fever epidemic has affected the number of listed companies.