Sanyou Chemical Viscose Products Sales Price Increase

The 3 quarter net profit increased by 304%, a record high. In the first three quarters of 2014, the company achieved operating income of 9 billion 80 million yuan, an increase of 4.1% over the same period last year. The net profit attributable to parent company was 370 million yuan, an increase of 11.3% over the same period last year, and the realization of earnings per share was 0.20 yuan.

In the first three quarters of 2014, the company consolidated gross profit margin was 19.29%, up 2.19 percentage points compared to the same period last year. The net interest rate at the same period was 4.15%, up 0.30 percentage points over the same period last year.

The company's revenue and profit grew year-on-year, mainly due to the increase in sales volume of soda ash, viscose, caustic soda and other products, and the recycling economy laid the cornerstone for company profits.

The company intends to participate in the new energy of silver long. With the continuous decline in the production cost of new energy buses, the steady improvement of performance and the gradual improvement of charging facilities, the new energy bus market is expected to accelerate the volume.

Silver Lung new energy is expected to enhance its competitive advantage in the new energy bus industry by AO ti.

We are optimistic about silver dragon.

The development of new energy vehicles is also optimistic about the cooperation between the company and the new energy company, which will enhance the company's development momentum.

The target price of the company is raised to 8 yuan, and the rating is increased to buy.

In the 3 quarter of 2014, the company achieved operating income of 3 billion 180 million yuan, an increase of 3.2% over the same period last year, an increase of 6.2% compared with the same period of the previous year, and a net profit of 210 million yuan in the 3 quarter of 2014, an increase of 46.2% over the same period last year, and 304% increase in the annulus. In 2014, the gross profit margin of the company in the 3 quarter was 21.44%, an increase of 2.46 percentage points compared to the previous year, and an increase of 3 percentage points in the annulus.

In the 3 quarter of 2014, the company's net profit reached a record high, and the net profit in the 3 quarter increased significantly, mainly due to the profit increase of viscose staple fiber and soda ash.

at present

Has fallen or not, many enterprises are in a state of loss at present, plus the new production capacity is basically put into operation, the industry's negative factors are gradually eliminated, followed by viscose staple fiber is expected to usher in a stable rebound.

We think the viscose short fiber will be better next year and the profit will turn upside down.

The main risks facing product price fluctuation exceed the expected risk.

Valuation, we expect the company's earnings per share for 2014-2016 years to be 0.29 yuan, 0.36 yuan and 0.46 yuan respectively. Taking into account the cornerstone of the company's circular economy, we are going to participate in the new energy of silver long to enter the lithium battery industry. We will give the company a 28 times earnings level in 2014. The target price will be raised from 5.88 yuan to 8 yuan, and the rating will be increased to buy.