Depth-Company-Great Wall Motor (601633): Q4 sales increase against the trend, new energy and production open up new space

Depth * Company * Great Wall Motor (601633): Q4 sales increase against the trend and new energy and production open up new space

The company released its 2018 annual report and initially achieved total operating income of 992.

3 ‰, the ten-year average of 1.

9%; net profit attributable to shareholders of listed companies 52.

1 ppm, a 10-year increase of 3.

6%, budget benefit 0.

57 yuan.

Q4 auto market highway, Haval F5, F7 have been listed in the fourth quarter, the company’s sales increased by 3.

2%, but the company took promotional measures to protect sales, the company’s income and profit are now shifting faster.

The 深圳养生会所 company reorganized the product and marketing system, released the Haval brand F series, and the government work report proposed stable car consumption. The 16% transfer tax rate for the manufacturing industry was reduced to 13% from April 1, 2019. The company is expected to successfully achieve the 1.2 million vehicle sales target, Profitability is also expected to improve.

The company’s estimated earnings for 2019-2021 are zero.

66 yuan, 0.

88 yuan and 1.

RMB 02. Considering that the company’s sales performance has significantly expanded its industry, the integration strategy opens up high growth space and maintains a BUY rating.

Key points of the support level Q4 The auto market experienced negative growth, the company’s sales performance was continuous in the industry, and its performance was under short-term pressure.

The company achieved sales of 105 in 2018.

30,000 vehicles in the past year 1.

6%, of which WEY brand sales 13.

90,000 cars, with outstanding performance; Harvard 76.

60,000, 10 in the past ten years.

1%; gross profit margin 16.

7%, average bicycle price 9.

30,000 yuan, down by 0 every year.

10,000 yuan; bicycle profit reached 4,945 yuan, an annual increase of 5.

3%.

Among them Q4 realized income of 325.

9 ‰, an average of 13 in ten years.

7%; net profit attributable to mother 12.

8 ‰, 40 years ago.

4%, sales of 37.

60,000 vehicles, an increase of 3 per year.

2%.

The automobile industry is affected by economic growth, Sino-US trade friction, and other factors. The automobile market demand is weak in the second half of the year. The company has adopted promotional promotions to protect sales.

Benefiting from the Haval F5, the F7 has been listed in Q4 and exceeded 10,000 in December. The sales volume of the Q4 company increased by 3%.

2%, far better than the automotive industry12.

The drop of 7% was a significant increase of 83 from the previous month.

5%, sales increased significantly.

The decrease in research and development expenses was mainly due to the capitalization of some research and development expenditures. The significant decrease in financial expenses was mainly due to the receipt of interest income from performance bonds.

Q4 four expense ratio 5.4%, a decline of 3 per year.

6 units.

New energy is rapidly developing, and it is initially expected to smoothly achieve the sales target of 1.2 million vehicles.

In February 2019, the Haval F6 Coupe Zhilian version was re-launched. The new car Haval F7x and VV7GT will be launched this year. The Haval F5 and F7 will be added in 18Q4. The Euler brand sold 7,065 vehicles in the first two months of 2019., Euler R2 is expected to be listed in the third quarter, the company plans Euler travel, in 2019 the Euler brand is expected to sell about 100,000 vehicles, contributing a major increase.

With the final increase of new cars and the company’s re-division of the marketing system for precise positioning, the company is expected to successfully achieve the sales target of 1.2 million vehicles, the sales volume will reach another peak, and promote the company’s performance improvement.

Deploy new production capacity in multiple locations and start a globalization strategy.

The company released Haval 5-2-1 in January to achieve a strategy of achieving annual sales of 2 million in 5 years, becoming the first global brand of professional SUVs, and global R & D expenses in the next 5 years will exceed 30 billion.

Since 2018, the company has successively announced the establishment of vehicle production bases in Yongchuan, Chongqing, Rizhao, Shandong, Pinghu, Zhejiang, and Taizhou, Jiangsu, covering SUVs, pickups and new energy products. After the plants are fully operational, the company’s total production capacity will exceed 2.2 million vehicles.

The Russian plant with an annual capacity of 150,000 vehicles will also be put into production in the second quarter of 2019, producing H9 and F7, which are targeted at the Russian and Eastern European markets.

The company exported 46,995 vehicles in 2018, an increase of 20 per year.

0%, strong growth, overseas sales are expected to increase significantly after the Russian plant is put into production.

The company’s joint venture with BMW for the beam vehicle project will also begin construction in Zhangjiagang, dedicated to improving the company’s new energy technology strength and brand influence.

The company accelerated its strategy and opened up new growth space.

It is estimated that the company’s estimated revenue for 2019-2021 is 0.

66 yuan, 0.

88 yuan and 1.

RMB 02. Considering that the company’s sales performance has significantly expanded its industry, the integration strategy opens up high growth space and maintains a BUY rating.

The main risks faced by the rating are 1) intensified competition in the auto market, lower than expected sales volume and profitability; 2) lower than expected sales of new cars.