Huayu Automobile (600741): Better-than-expected results Tesla and Volkswagen MEB supporting business will be the growth point

Huayu Automobile (600741): Better-than-expected results Tesla and Volkswagen MEB supporting business will be the growth point

The performance was better than market expectations, and the margin of non-net profit was narrowed.

The first three quarters achieved operating income of 1,055.

96 ppm, with a ten-year average of 11.

1%, net profit attributable to mother 49.

27 ppm, a 22-year average of 22.

6%, net of non-attributed net profit 41.

77 ppm, with a ten-year average of 13.

9%, earnings per share is 1.

56 yuan, 350 operating income in the third quarter.

3 ‰, the ten-year average of 5.

8%, an increase of 0 from the previous month.

1%; net profit attributable to mother 15.

60,000 yuan, ten-year average 1.

7%, an increase of 2 from the previous month.


The main reason why the growth rate of net profit attributable to motherhood is lower than the growth rate of revenue is that the investment base brought by the acquisition of 50% of Huayu Vision last year led to a high base, and non-net profit was substituted in the first half.

9%, the lowest value of 13 from January to September.

9%, initially narrowed.

Gross margin improved against the market and cash flow from operating activities improved significantly.

In the first three quarters, the gross profit margin was 14.

5%, increasing by 0 every year.

7 averages; gross margin 14 in the third quarter.

2%, a decrease of 0 from the previous month.

The eight single ones are mainly affected by the National Day holiday, production line maintenance, and some customers due to the structural change of National Six products.

R & D expenses in the first three quarters increased by 24 each year.

4% leads to an increase in R & D expense ratio by 1.

0 averages.

The company achieved investment income in the third quarter10.

5 苏州夜网论坛 ppm, an increase of 13 in ten years.

5%, mainly due to the sale of equity in some non-controlling companies.

Net cash flow from operating activities was 66.

25 ppm, an increase of 49 in ten years.

9%, a marked improvement.

The inventory at the end of the first half was 95.

44 trillion, a decrease of 16 at the beginning of the year.


The company entered the Tesla and Volkswagen new energy vehicle MEB platform supporting, and it is expected that the new energy vehicle supporting business will be an important growth point in the future.

With the listing of Tesla new energy vehicles at the end of the year, the company will gradually supply the seat assembly, body assembly parts, side panels, and back cover molds to Tesla.Huayu Magna’s electric drive system assembly will be supplied to Volkswagen’s MEB platform European plant in the second half of 2020, and will subsequently be supplied to SAIC Volkswagen and FAW-Volkswagen New Energy Vehicles.

As Tesla and Volkswagen’s MEB platform increase the sales of new energy vehicles, the company’s new energy vehicle business profit contribution will gradually be realized.

Intelligent cockpit products and intelligent network-connected services have steadily advanced.

Through cooperation with and GoerTek, Yanfeng Auto Decoration has created an overall smart seat cabin solution for the future, and its products have been recognized by customers.

In the field of intelligent driving, the company actively expands passenger car orders for forward millimeter wave radar.

The company continued to expand its spending in the field of intelligent networking, and its overall development was steady.

  Financial forecast and investment advice: EPS2 is expected in 2019-2021.

31, 2.

67, 2.

91 yuan, with reference to comparable company estimates, given a 13x PE estimate for 2019 with a target price of 30.

03 yuan, maintain BUY rating.

  Risk warning: The passenger car industry’s lower-than-expected demand will affect the company’s profit; the company’s main supporting vehicle prices will affect the profit.