Yangquan Coal Industry Co., Ltd. (600348): Stable performance and increase in fees

Yangquan Coal Industry Co., Ltd. (600348): Stable performance and increase in fees

Yangquan Coal Industry Co., Ltd. (600348): Stable performance and increase in fees
Event: On April 27, 2019, the company released its first quarter performance report, stating that the report was consolidated and the net profit attributable to the owner of the parent company was 5.29 trillion, an increase of 5 over the same period last year.65%; operating income is 80.89 trillion, an increase of 0 over the same period last year.53%.  Opinion The first-quarter performance was in line with expectations: the company achieved net profit in the first quarter of 20195.29 ppm, a five-year increase of 5.65%, down 6 from the previous month.63%.In the first quarter, the sales gross profit margin was 18.33%, an increase of 0 every year.24 units, down 5 from the previous month.04 averages. In the first quarter, the coal business volume increased and the price decreased, and the gross profit margin was basically the same: in the first quarter, the company’s coal output increased by 1015, and subsequently increased by 11.29%, an increase of 1.81%.Coal sales reached 1796, an increase of 5 per year.96%, an increase of 8 from the previous month.26%.The estimated ton of coal income is 409.85 yuan / ton, down 7 before.16%, down 7 from the previous month.67%.In terms of cost of sales, the estimated cost per ton of coal was 340.3 yuan / ton, down 7 before.27%, down 7 from the previous month.67%.The gross profit margin of the coal business was 16.97%, an increase of 0 compared with the same period 苏州桑拿网 last year.09 averages. The three fees decreased significantly: the company’s selling expenses, management expenses and selling expenses in the first quarter of 2019 were 0.5.5 billion, 2.59 trillion and 0.9.7 billion, down 26 each year.02%, 2.11% and 33.91%.Expenses during the first quarter5.12%, a decline of 0 per year.96 units. Capacity Expansion: According to the announcement, the Wenjiazhuang Coal Mine Reconstruction and Expansion Project in Yangquan Mining Area has been rebuilt. The Wenjiazhuang Mine’s production capacity has been replaced by 90 / year and rebuilt and expanded to 500 tons / year, supporting the expansion of the coal preparation plant.Total project investment 39.140,000 yuan (excluding mining rights fees).After the reconstruction and expansion is completed, it can contribute to the increase of production. Accelerator for national reform in Shanxi: According to the Shanxi Daily report, the strategy of April 15 strives to achieve an overall listing and two “zero breakthroughs” in the listing of new shares. Existing listed companies should strengthen market value management and gradually increase the asset securitization rate. “As the group’s only coal listed company, the company is expected to benefit from Shanxi’s national reform. Investment suggestion: It is expected that the company’s net profit attributable to the parent in 2019-2021 will be 21.42/22.00/24.03, the corresponding EPS is 0.89/0.91/1.00 yuan / share.Considering the overall rebound of the coal sector, the company is generally estimated to be at a low level, giving a “Buy-A” rating with a 6-month target price of 8.01 yuan, equivalent to 9 times PE. Risk warning: coal prices fall sharply, costs fall less than expected