Magmet (002851): High-performance segmentation business continues to contribute to growth momentum

Magmet (002851): High-performance segmentation business continues to contribute to growth momentum
The company released the 2018 performance report, reporting consolidated company revenue and returning net profit increased by 60 each.19%, 73.92%, exceeding expectations.The company’s smart bathroom business will continue to grow with new customers and new channel breakthroughs. The electric vehicle business will enter the BAIC supply chain and begin to enter the harvest period.The company intensively cultivates under its power electronics core technology platform, and continuous breakthroughs in sub-sectors will contribute to growth momentum.Maintain the “prudent recommendation-A” parity and raise the target price to 32-34 yuan. High performance growth, exceeding expectations.In 2018, the company realized revenue and operating profit, which was attributed to net profit23.94, 2.67, 2.4 billion, an annual increase of 60.19%, 56%, 73.92%.Among them, in the fourth quarter, revenue and operating profit were attributed to net profit7.83, 0.85, 0.810,000 yuan, an annual increase of 66.4%, 82.4%, 147% (three subsidiaries have had a certain impact since the consolidation in September), the performance growth exceeded expectations. Analysis of business growth of each sector.It is estimated that 杭州桑拿网 the company’s smart home appliance business will achieve revenue of 110,000 yuan (+ 50%) in 2018, of which, smart bathroom 3.800 million (+ 60%), 4 frequency converters.300 million (+ 65%). Industrial automation segment achieved revenue8.400 million (+ 148%), of which, 500 million (+ 623%) of new energy vehicle electronic control.Industrial custom power supply realized revenue 4.900 million (+9.5%). New customers and new channels promote the continuous growth of smart bathroom business.The company’s smart bathroom business revenue mainly comes from the ToB business, which accounts for more than 90% of its revenue. As the number of customers continues to grow and individual customer spending increases, the ToB business will maintain rapid growth.The revenue contribution of private label business is relatively small, but there are more than 100 existing agents, and there are channels for single store openings to improve space, which has great potential for development. The electric vehicle business has deeply entered the BAIC supply chain.The company and BAIC started cooperation in 2013 and entered the harvest period in 2018.At present, the products cover the main models of the two series of BAIC EU and EX. As the sales volume of BAIC new energy continues to increase, the company will fully benefit.The rest of the customers, the company is also steadily expanding, Dongfeng, Geely and other projects have progressed smoothly. Focusing on intensive cultivation of power electronics platforms, breakthroughs in subdivided industries continue to contribute to growth momentum.The company continues its business layout around its core technology platform for power electronics. It has made breakthroughs in the fields of industrial display, industrial power, industrial automation, smart home appliances, and electric vehicles. Smart bathrooms and electric control of electric vehicles have quickly become the main support for the company’s performance.At present, intelligent welding machines in the field of industrial automation have an income scale of 1-2 billion yuan. In addition, mining and mining equipment, electric stun guns and other businesses are developing very well, and full orders are expected to become the driving force for the company’s performance growth. Investment suggestion: raise performance, maintain “prudent recommendation-A” rating, and adjust target price to 32-34 yuan. Risk reminder: the risk of fluctuations in the new energy automobile industry and the risk of rising raw material prices.