Pritt (002324): Gross profit margin improved on a quarter-on-quarter basis and remains weak

Pritt (002324): Gross profit margin improved on a quarter-on-quarter basis and remains weak

Event: The company released its semi-annual report for the evening of August 15th: the company’s operating income for the first half of 2019 was 16.

52 ppm, a ten-year average of 6.

65%; net profit attributable to shareholders of listed companies was 5,979.

440,000 yuan, at least 32 a year.

10%; realized non-net profit attributable to shareholders was 5,341.

180,000 yuan, a total of 34 in ten years.


Comments: 1.

According to the statistics of China Association of Automobile Manufacturers, the first half of 2019’s auto production and sales were 1213.

20,000 and 1232.

30,000 vehicles, down 13 each year.

7% and 12.

4%, the company’s main downstream of modified plastics is the automotive sector, so the company’s revenue is 深圳SPA会所 continuous.

In the first half of 2019, the company’s raw material prices were basically the same as the same period of last year, and the company’s gross profit margin was 19.

21%, which is basically the same as the same period of last year, but has improved significantly from the previous quarter, compared with the company’s gross profit margin increased by 5 in the second half of last year.

01 averages.


The company has accumulated many years in the field of automotive modified plastics. Its customers include European car companies such as BMW, Mercedes, three major North American car companies such as GM, Ford and Chrysler, as well as domestic joint venture car companies and independent brand car companies.

In the first half of 2019, the company added 6 new materials to obtain Mercedes-Benz certification, and a total of 19 materials gradually entered its global procurement list; 17 materials gradually entered the BMW Group standard material platform; and a total of 80 materials passed the certification and entered the Ford global procurement list.

The company actively promotes the internationalization process, relying on domestic long glass fiber reinforced material production technology, completes the technical output to the American subsidiary WPR, continues to advance the North American localized production process of PRET materials, and also develops a new generation of lightweight environmental protectionMaterials and related technologies are exported to China.

Earnings forecast and rating: The duration of production and sales in the downstream automotive industry and the impact of modified plastics are hindered. We lower our profit forecasts for 2019 and 2020 and supplement our forecast for 2021. The company’s EPS for 2019-2021 is expected to be 0.

24, 0.

31, 0.

38 yuan, the company’s cost pressure has actually improved compared to the second half of last year, the gross profit margin rose sequentially, maintaining the “overweight” level.

Risk warning: the risk of fluctuations in the prices of upstream raw materials; the risk of continued weakness in the downstream automotive industry.