北京桑拿论坛 按摩 Yangtze River Power (600900): Partially abundant incoming water resists short-term interference and moves interest rates down to highlight asset value

Yangtze River Power (600900): Partially abundant incoming water resists short-term interference and moves interest rates down to highlight asset value

Yangtze River Power (600900): Partially abundant incoming water resists short-term interference and moves interest rates down to highlight asset value
Core points: 1.The company released the semi-annual report for 2019, and the company realized revenue of 203.63 ppm, a six-year increase of 6.00%; net profit attributable to mother 82.72 ppm, an 南京夜网 increase of 0 in ten years.59%; deduct non-net profit 78.08 million yuan, a year down 0.11%.   2.Our analysis and judgment El Ni?o continues, and the abundant water supply in the first half of the year drove revenue growth.In 2019H1, the company achieved 853 power generation.8.9 billion kWh, an increase of 5 in ten years.01%, a record high over the same period.Among them, Gezhouba, Three Gorges, Xiangjiaba and Xiluodu generate 87 electricity respectively.4.6 billion kWh, 408.250,000 hours, 130.09 kWh, 228.09 kWh, each increased by 3 each year.04%, 4.91%, 3.96%, 6.58%, driving annual revenue growth by 6.00%.  Investment income increased, return of income disappeared, and the income tax rate of Chuanyun Company increased.(1) As of June 30, 2019, the company held a total of 40 equity participations, with a cumulative original investment 淡水桑拿网 balance of 310.1.4 billion yuan, new overseas investment in H1 in 201772.09 million yuan, the scale of investment continued to expand.2019H1 company realized investment income19.0.6 billion, down 3 every year.8.8 billion yuan.(2) The gradual return of the company in 2019H1 has been completely completed, and the gradual return of the company in 2018H1 is 7.1.7 billion.(3) Chuanyun’s income tax rate for 2019 is 7.5% to 15%, 2019H1 company only this one is expected to have an impact factor of 2.One million yuan.  Financial expenses were well controlled and gross profit margin increased slightly.In 2019H1, the corporate bond market generally remained volatile, with a total of 15 billion bonds issued in 6 issues, the number of issuance periods and the scale hit a record high in the same period, and the comprehensive cost of bonds3.41%, a decrease of about 90bp a year; the company’s overall financial expenses13.05%, down by 1 every year.67pct, financial expenses decreased by 1.7 billion.At the same time, the overall gross profit margin of the company in 2019H1 was 57%, a slight increase of 0.26 points.   3.Investment suggestion company is one of the largest listed power companies and the world’s largest listed hydro company with a total installed capacity of 4,549.50,000 kilowatts, accounting for 12 of the country’s hydropower installed capacity.92% (as of the end of 2018).  We believe that the company’s assets are of good value and that high dividend yields are more valuable in the interest rate cut cycle.In addition, Wudongde and Baihetan Power Plants are expected to be put into production in the future, with medium and long-term value highlighted.We estimate the company’s operating income for 2019-2021 to be 527.4.5 billion, 532.71 ppm, 538.02 trillion, EPS is 1.05 yuan, 1.06 yuan, 1.08 yuan, corresponding to the current total PE is 17.8 times, 17.5 times, 17.2x, maintaining the company’s “recommended” rating.  4.Risk warnings 1) Risks that electricity demand exceeds expectations; 2) Risks that market-based trading will expand; 3) Risks that grid-connected electricity prices exceed expectations.