Yangtze River Business Daily News ● Yangtze River Business Daily reporter Pan Ruidong
Xinbo shares (003038. SZ) ushered in the latest development on its first share repurchase.
At noon on May 7, Xinbo Co., Ltd. announced that as of April 30, 2024, the company repurchased about 1.05 million shares through a special securities account for share repurchase in a centralized bidding transaction, accounting for about 0.59% of the company's total share capital, and the total amount paid was about 29.85 million yuan.
The Yangtze River Business Daily reporter noted that the share price of Xinbo shares has been under pressure for more than two years, since the release of the repurchase plan on February 7 this year, the company's share price has rebounded, and closed at 28.84 yuan / share on May 7, up 29.68% from the low point on February 6.
From the performance point of view, in recent years, Xinbo shares revenue and net profit continued to achieve high growth. In 2023, the company's operating income will be 6.821 billion yuan, an increase of 8.6 times over 2018, and the net profit attributable to the parent company will be 302 million yuan, an increase of 18 times over 2018.
It is planned to spend between 50 million and 80 million to repurchase shares
Retrospective announcement, on February 7 this year, Xinbo shares announced that it intends to use its own funds or self-raised funds to repurchase part of the company's issued A shares through centralized bidding transactions for equity incentives or employee stock ownership plans, with a total amount of 50 million yuan to 80 million yuan to repurchase shares, and the repurchase price does not exceed 49.605 yuan per share.
On February 8, the company carried out the first repurchase, repurchasing about 500,000 shares, with a turnover of 13.4127 million yuan.
According to the latest announcement, as of April 30, 2024, the company repurchased about 1.05 million shares through a centralized bidding transaction through a special securities account for share repurchase, accounting for about 0.59% of the company's total share capital, with the highest transaction price of 33.66 yuan per share and the lowest transaction price of 26.4 yuan per share, with a total amount of about 29.85 million yuan.
The Yangtze River Business Daily reporter noticed that since the listing, in addition to the repurchase of shares due to the failure to achieve the equity incentive target, Xinbo shares have not been repurchased.
In June 2023, Xinbo Co., Ltd. announced that the company-level performance appraisal results in 2022 did not meet the conditions for lifting the restriction during the first restricted period stipulated in the "Incentive Plan (Draft)", that is, based on the net profit in 2021, the net profit growth rate in 2022 will not be less than 70%. Due to the failure of the above performance indicators, according to the provisions of the "Incentive Plan (Draft)", the company intends to repurchase and cancel the 710,700 restricted shares that have been granted but have not yet been released during the first release period of the restricted stock equity incentive plan implemented in 2022, and the final adjusted repurchase and cancellation price is 24.36 yuan per share, and the repurchase and cancellation of restricted shares involves 19 incentive objects.
In the secondary market, since the listing of Xinbo shares on February 10, 2021, the share price has risen first and then fallen. The K-line chart shows that the company's issue price is 18.08 yuan / share, and the stock price rose to a record high of 78.31 yuan / share on December 22, 2021, and then the company's share price entered a downward channel for more than two years. On February 6, 2024, the share price of Xinbo shares hit a low point of the year at 22.24 yuan per share.
The company's share price has recovered, boosted by buybacks. As of the close of trading on May 7, the share price of Xinbo shares was 28.84 yuan / share, up 29.68% from the low point on February 6.
Revenue and net profit have increased for five consecutive years
According to the data, Xinbo Co., Ltd. is a high-tech enterprise integrating R&D, production and sales of various aluminum profiles and industrial aluminum components. Aluminum alloy is the most widely used non-ferrous metal structural materials in the industry, in recent years, with the gradual expansion of market demand for aluminum profiles, the profitability of Xinbo shares has increased rapidly.
In the first two years of listing, the performance of Xinbo shares has grown rapidly. In 2018, the company achieved operating income of 705 million yuan and net profit attributable to the parent company of 15.7874 million yuan, a year-on-year change of 20.88% and -47.58% respectively. However, since 2019, the company's revenue and net profit have both achieved rapid growth.
According to the data, from 2019 to 2023, the operating income of Xinbo shares will be 924 million yuan, 1.287 billion yuan, 2.597 billion yuan, 4.221 billion yuan, and 6.821 billion yuan respectively, a year-on-year increase of 31.07%, 39.31%, 101.72%, 62.58%, and 61.59%; In the same period, the net profit attributable to the parent company was 63.2842 million yuan, 90.9772 million yuan, 121 million yuan, 188 million yuan and 302 million yuan respectively, a year-on-year increase of 300.85%, 43.76%, 33.01%, 55.38% and 60.8%.
According to the rough calculation of the Yangtze River Business Daily reporter, compared with 2018, the operating income of Xinbo shares has increased by 8.6 times in the past five years, and the growth rate of net profit attributable to the parent company is as high as 18 times.
Entering 2024, the performance of Xinbo shares remained stable, and the company achieved a total operating income of 1.768 billion yuan in the first quarter, a year-on-year increase of 42.1%; the net profit attributable to the parent company was 41.0655 million yuan, a year-on-year increase of 56.72%; The net cash flow from operating activities turned from negative to positive, amounting to 25.9139 million yuan.
At present, the main products of Xinbo are divided into three categories: new energy photovoltaic, automotive lightweight and other aluminum products. The Yangtze River Business Daily reporter noticed that after the listing, the company's new energy photovoltaic products revenue grew rapidly. Especially in 2023, the growth of this product has become the core reason for the company's revenue growth.
Xinbo Co., Ltd. said in the 2023 annual report that the rapid development of the new energy photovoltaic industry and the release of the company's fund-raising project capacity, the production and sales of new energy photovoltaic aluminum profiles and aluminum components continued to grow. The company has successfully entered the supplier system of Tongwei Co., Ltd., LONGi Green Energy, JA Solar Technology and JinkoSolar, which are the first echelon enterprises in the new energy photovoltaic industry.
From the perspective of revenue structure, in 2023, the revenue of Xinbo's new energy photovoltaic, automotive lightweight and other aluminum products will be 5.856 billion yuan, 89.8456 million yuan and 875 million yuan respectively, a year-on-year increase of 74.03%, 64.73% and 9.14%. It can be seen that the revenue of new energy photovoltaic products is not only the largest, accounting for 85.85%, but also the highest growth rate among the three types of products.