Sui Hengyun A 000531 average price-earnings ratio below the level of the power industry to maintain

Category: Money tips Release Date: 2007-06-17

Source: Orient Securities

Through a look at the size and profitability growth Hengyun D factory building for the company's significant. Hengyun D plant construction substantially enhance the company's profitability at the same time greatly optimize the structure of the company's assets. The original unit's power is low, although in a small thermal power, as well as the high proportion of petrol power unit of the Guangdong region has a comparative advantage, but in the national energy-saving and energy efficiency targets and reaches into all industries and all regions of the background, the current utilization rate of the small units a high level of the high profitability for possible future use by the crew hours to the regional average hours closer to impact. G Suiheng Yun D power plant by the end of 2006, as well as in production in 2007 will greatly enhance the company size, profitability and continued viability of the company lay a solid foundation for subsequent development.

􀁺 G Sui Hengyun fine listed companies in the power management capabilities and operations more efficient. In the coal procurement, transportation, and even ash utilization unit high-use hours of safe and stable operation under the various aspects reflect the company's cost control and management efficiency.

􀁺 regional advantages, as well as growth in demand for central heating to make the company is much higher than industry average utilization rate. In 2005, the use of hours 7860 hours, based on the first half of 2006 maintained a much higher than the industry average utilization of 3630 net profit rose 2.48%.

􀁺 central heating business in 2006 to add bright spot for the company, the company first phase of the Eastern District Heating Company in October 2005 fully operational, two 35T boiler expansion projects under active construction. Heating operations in mid-2006 company's main business revenue accounts for 7.29%, an increase of 176.25%, net profit of 2.8096 million yuan, an increase of 155.13%.

􀁺 companies in environmental protection and other aspects of desulfurization is more leading environmental desulphurization generating set in place the basic full package. Desulfurization environmental advantages of the future will be maintained. The company's future may be the main industry in environmental protection, water-related fields as appropriate diversification of the reporting period Hengyun C Plant D Plant Hengyun co-financed with the 3,000 million to establish the Hang Lung environmental calcium CO., LTD. Desulfurization of thermal power during the Eleventh Five-year market, conservative estimate of annual capacity of about 70-80 billion. Constitute the company's underlying profit growth.

􀁺 coastal coal prices have recently softened, the company's coal cost pressures to further reduce the future potential for coal linkage in the second put in place against the backdrop of corporate performance are likely to further exceed our expectations.

􀁺 06 Nian PE of only 12 times, but in 2007 in the most conservative assumptions EPS reached 0.71 yuan, neutral is projected to reach 0.79. Price-earnings ratio significantly decreased to 8 times lower than the level of the power industry average price-earnings ratio. The maintenance of Overweight!