On November 2, 2021, Best (300580) issued an announcement that Cinda Securities Wang Minglu and Everbright Prudential Fund Zhu Mengtian investigated our company on November 1, 2021.
The main contents of this survey are:
Q: Basic information about the company
A: Founded in May 1997, the company has built five modern intelligent factories in Wuxi Hudai Industrial Park for more than 20 years, covering an area of about 340 acres, with more than 1,200 employees and assets of more than 2.8 billion yuan. Since its inception, the company has been focusing on the research and development, production and sales of precision parts and intelligent equipment and tooling products, and taking advantage of various first-mover advantages in the field of intelligent equipment and tooling, and has also extended its business to high-end aviation equipment manufacturing and industrial automation equipment. Since the development of the company, it has formed the core competitive advantage of the linkage development of the four major industries of "tooling fixture, casting industry, precision machining and intelligent manufacturing". In recent years, the company closely follows the pulse of the times, actively meets the challenges of the industry, and vigorously develops the new energy automobile industry under the two-wheel drive development mode of "endogenous development and epitaxial expansion": focusing on the development concept of "green, intelligent and low-carbon", investing in the construction of new phases of the fifth and sixth phases of factories, accelerating the layout of the new energy automobile industry, and further expanding the scale of business; merger and acquisition of "Suzhou Herbes Hardware Products Co., Ltd.", relying on its market resource advantages, promotes the company to stand at the commanding heights of the industry. Establish long-term strategic cooperation with benchmarking enterprises in the field of new energy vehicles; joint venture holding "Yitong Lightweight Technology (Jiangsu) Co., Ltd.", involved in the research and development, production and sales of lightweight products for new energy vehicles, multi-pronged approach, to consolidate the layout of the new energy vehicle industry. The company adheres to technological innovation as the driving force, has an efficient R & D team, and has built a standardized, systematic and process-oriented R & D system. Among them, the artificial intelligence defect visual identification sorting workstation, CNC dual-station turntable, automatic deburring workstation, automatic intelligent fixture with perception and adaptive functions and other products developed by the company have realized the replacement of the original manual production unit with low efficiency and quality, high worker skills and labor intensity, and realized the automatic, efficient, intelligent and unmanned and less humanized production direction of mechanical processing.
Q: Please tell us about the company's results for the first three quarters of 2021?
A: In the first three quarters of this year, the company achieved operating income of 776.8016 million yuan, an increase of 15.47% year-on-year, and net profit attributable to the mother of 158.5164 million yuan, an increase of 28.24% year-on-year. Despite the chip shortage, raw material price increases and other factors affected, the company's production and operation still maintained a good trend of steady development, the company uses all kinds of first-mover advantages and unique competitive advantages, on the one hand, deeply excavate the new needs of old customers, vigorously develop new product sales; on the other hand, strive to expand high-quality new customers, and gradually increase product market share; the company also continues to improve the production beat through lean production, intelligent manufacturing, process technology optimization and innovation, etc., reduce product unit production costs, process optimization, Strengthen internal control and other means to improve efficiency, further strengthen cost control, and achieve cost reduction and efficiency increase.
Q: Since the beginning of this year, has the rising of raw materials had a great impact on the company?
A: The company's related business is positioned in precision processing, the proportion of raw materials in the company's product price is not high, and the company will pay close attention to changes in the raw material market, improve the management level of raw material procurement, reasonably control inventory reserves, and further strengthen supply chain management to reduce costs and minimize the impact of raw material price fluctuations.
Q: What are the main customers of the company's intelligent equipment and tooling business?
A: With rich design experience, advanced technology, excellent quality and timely service, the company's intelligent equipment and tooling business not only provides high-end tooling fixtures for domestic first-line automobile manufacturers and main engine factories, but also provides tooling fixture products to internationally renowned machine tool manufacturers such as Japan and Germany, and is currently one of the main suppliers in China's tooling fixture industry. At present, the company has become one of the main suppliers of saicel-GM, Weichai Power and other well-known vehicle manufacturers. In the intelligent equipment business, the company has also independently developed artificial intelligence defect visual identification sorting workstation, CNC dual-station turntable, automatic deburring workstation, automatic intelligent fixture with perception and adaptive functions, etc., to achieve the replacement of the original manual production unit with low efficiency and quality, high worker skills and labor intensity, and realize the automatic, efficient, intelligent and unmanned and less humanized production direction of mechanical processing
Q: Please tell us more about the layout of the new energy vehicle industry chain?
A: The new energy automobile industry has entered a period of rapid growth, in the layout of the new energy automobile industry chain, the company closely follows the pace of the market, multi-technology path to comprehensively consolidate new business, new product research and development, manufacturing and sales: 1, the layout of pure electric vehicle core components, the company fully seize the market opportunities, and the benchmark enterprises in the field of new energy vehicles Tesla and other long-term strategic cooperation, standing at the commanding heights of the industry, to promote the layout of new energy vehicle core components research and development, manufacturing and sales. The company also cooperates with its holding subsidiaries Suzhou Herbes and Yitong to reduce the complementary advantages and synergies between various industrial chains, optimize the business structure, expand business channels, make full use of existing resources and platforms, and expand new businesses on the basis of the original business. 2, hydrogen fuel cell vehicle core components, the company has long laid out the hydrogen fuel cell vehicle core components of research and development, manufacturing, sales, products include: hydrogen fuel electric turbo compressor housing, hydrogen fuel electric compressor full milling impeller, bearing cover and functional components, etc., the current customers have expanded to: Bosch China, Garrett, Headwell, Szegatobo and other domestic and foreign high-quality enterprises, and also continue to develop the core customer base in this field. 3, hybrid vehicle core components, the company's products of hybrid drivetrain support structural parts and turbocharger core components are generally applicable to hybrid vehicles, the company has been with Garrett (garrett), Cummins (cummins), Boma Technology (bmts), Changchun Fuao Ishikawa Island (fit), BorgWarner (Borgwarner), Pierburg (Pierburg), Ningbo Fengwo, Shanghai Lingzhong (smtc), Mitsubishi Heavy Industries (mhiet) and other well-known enterprises at home and abroad have established long-term strategic cooperative relations. The company also continues to actively participate in the innovative research and development of new products of customers, and follows customers to expand new areas and new businesses.
Best's main business: R & D, production and sales of various precision parts and fixture products.
According to Best's 2021 third quarterly report, the company's main revenue was 777 million yuan, up 15.47% year-on-year; the net profit attributable to the mother was 159 million yuan, up 28.24% year-on-year; the deduction of non-net profit was 132 million yuan, up 17.89% year-on-year; among them, in the third quarter of 2021, the company's single-quarter main revenue was 261 million yuan, down 14.86%; the single-quarter net profit attributable to the mother was 51.9595 million yuan, down 14.43% year-on-year. In the single quarter, the non-net profit was 41.3584 million yuan, down 27.31% year-on-year; the debt ratio was 33.12%, the investment income was 9.8779 million yuan, the financial expense was 4.4161 million yuan, and the gross profit margin was 35.26%.
A total of 3 institutions have given ratings in the last 90 days, 2 buy ratings and 1 overweight rating; the average target price of institutions in the past 90 days is 31.75; the Securities Star Valuation Analysis Tool shows that Best (300580) good company rating is 3 stars, good price rating is 3 stars, and valuation comprehensive rating is 3 stars.
![A picture to read Best's 2021 interim report[fig]](data:image/gif;base64,R0lGODlhAQABAIAAAP///wAAACwAAAAAAQABAAACAkQBADs=)