Inner Mongolia First Machine (600967) 2019 Interim Review: Expenses during the continuous growth of revenue and inventory help boost profits

Inner Mongolia First Machine (600967) 2019 Interim Review: Expenses during the continuous growth of revenue and inventory help boost profits

The company released its 2019 Interim Report: The company achieved operating income of 53.

1.5 billion, an annual increase of 4.

57%, meeting the target 43 of the 2019 business plan.

92%; realized operating profit 3.

91 ppm, an increase of 13 in ten years.

33%; net profit attributable to mothers3.

34 ppm, an increase of 15 in ten years.

66%.

The report summarizes that the growth rate of the company’s net profit attributable to the parent is higher than the growth rate of revenue, mainly due to the decline in the company’s expense ratio during the period.

Although the company’s gross profit margin is 9.

92%, a decrease of 1 per year.

52 single, but the company period expenses from the same period last year 2.

20,000 yuan expected 1.

4.5 billion, a year-on-year decrease of 34.

22%, accounting for 1% decrease in revenue.

61 units.

By quarter, the company achieved revenue of 36 in Q2 2019.

41 ppm, a 10-year increase2.

65%, an increase of 117.

5%; net profit achieved 1.

97 ppm, a reduction of 13 per year.

97%, an increase of 43 from the previous month.

8%; gross profit margin 9.

61%, a decrease of 1 per year.

71 total, a decrease of 0 from the previous month.

96 units; net interest rate 5.

44%, a decrease of 1 per year.

04 averages, a decrease of 2 from the previous quarter.

82 units.

Due to the second quarter of 2018’s revenue, gross profit margin and net profit significantly exceeded the previous period’s values, an excessively high base was the main factor that caused the above-mentioned financial indicators to decline in the second quarter of 2019.

Since the company’s asset reorganization in 2016, the company’s inventory has grown rapidly, and the inventory in 201南宁桑拿9H1 is 31.

50,000 yuan, an increase of 50 from the beginning of the year.

95%, mainly due to the increase in unfinished product delivery during the reporting period.

From 2016 to 2018, the company’s total inventory and revenue were 112.

1.9 billion, 136.

1.2 billion, 143.

540,000 yuan, an increase of 21 each year from 2017 to 2018.

33%, 5.45%; 2019H1 is 84.

65 ppm, an increase of 16 in ten years.

52%.

The rapid growth of the total value of the company’s inventory and revenue indicates that the company’s production and operation are in good condition.

We adjusted our profit forecast for the company based on the latest financial report, and expect the company’s net profit attributable to mother to be 6-2019.

14/8.

49/9.

64 ppm, corresponding to 31/23/20 times PE of the closing price on August 26, 2019, maintaining the rating of “prudent increase”.

Risk warning: the increase in military demand is lower than expected; the increase in railway orders is lower than expected; the foreign trade orders for military products are lower than expected.