China Railway Construction (601186) 2019 Interim Report Review: Interim Report Performance Enhancement Highlights Low Valuation
I. Overview of the event China Railway Construction released the 2019 Interim Report: In the first half of 2019, it realized revenue of 3529.
35 ppm, an increase of 14 in ten years.
23%, net profit attributable to mother 92.
8.4 billion, an increase of 15 in ten years.
93%, deducting 85% of non-attributed net profit.
2.7 billion, an increase of 19 years.
Second, the analysis and judgment of the interim report performance has steadily increased, the profitability has improved, the cash flow improved in the first half of the company’s revenue growth rate14.
23%, an increase of 7 compared with the same period last year.
The growth rate of net profit attributable to mothers increased by 2 percentage points, but the growth rate of net profit attributable to non-mother mothers increased by 1.
32 units, the overall performance rose steadily.
In terms of sections, the project contracting revenue was 3109.
69 ppm, a 16-year growth rate of 16.
39%, an increase of about 10 compared with the same period last year.
With 61 digits, the increase is even more significant. The real estate sector income was 98.
3.5 billion, a slight decline before.
Gross profit margin for the first half of the year 9.
8%, an increase of 0 compared with the same period last year.
1 average, net interest rate 2.
92%, an increase of 0.
04 single, the expense rate is relatively stable, compared with the same period last year, the expense rate fell slightly to 0.
11 units, of which financial expenses are properly controlled and reduced by 0 for one year.
Cash flow has improved, with net cash flow from operating activities of -324.
7.2 billion, a positive change from the same period last year 134.
1.6 billion, net increase in cash and cash equivalents -213.
9.2 billion, a positive change of 72.
Based on the main business of infrastructure construction, the growth rate of signing orders has increased, and future performance is more secure. In the first half of 1911, the company’s new vertical order was 7,186.
9.7 billion, exceeding the growth rate of 18%, compared with the same period last year, an increase of nearly 8 values, of which the engineering contracting category surpassed the single 6118.
9.2 billion, an increase of 23 in ten years.
14%, at least nearly 14 units increased, the growth rate rebounded significantly.
From the perspective of the molecular industry, the new wavelengths for railways, highways, and other categories (including municipalities) were 981.1165 / 3973 billion, respectively, and the growth rates were 18 respectively.
58% / 0.
79% / 33.
06%, of which the road growth rate turned positive and significantly improved compared to the end of last year, and infrastructure projects such as municipal and urban rail rapid growth.
Company 18-19H1 new mid-term single 2.
3 trillion, with a revenue ratio of about 3 to 18.15. In the future, the performance guarantee is relatively high. With the expectation that infrastructure investment will continue to stabilize, the performance of the transportation infrastructure in the 13th Five-Year Plan period may accelerate its release in the last two years.
Third, the investment recommendation company is a leading enterprise in infrastructure construction, and the value of Hengqiang, the strong one, has become prominent under the recovery of infrastructure construction.
It is estimated that the net profit attributable to mothers in 19-21 will be 204/226/25 billion and the EPS will be 1.
84 yuan, corresponding to PE is 6.
95 times, the company’s estimated maximum value / expectation / minimum value within one year is 9 respectively.
63 times, an increase of 8 times compared to the company’s current 南宁桑拿 estimate. The company relatively estimated replacement, maintaining the “recommended” level.
4. Risk Warning: Infrastructure Investment Transition