China Coal Energy (601898): Beneficial supplementary projects have continued to grow at a high speed, and the coal sector has few

Event: On March 16, the company announced the 2018 annual report, and the company’s operating income was 1,041.

400,000 yuan, an increase of 27 in ten years.

8%; operating costs 743.

1.4 billion, an increase of 34 in ten years.


The company realized net profit attributable to mother 34.

35 ppm, an increase of 49 in ten years.

9%; budget benefit 0.

26 yuan, 30% of the dividend, resulting in 0 dividends.

078 yuan.

Investment points: The increase in the amount of traded coal has contributed to the growth of the coal sector.

In 2018, the company completed 7,713 tons of commercial coal production, of which 6,822 tons of thermal coal production and 891 coking coal production.

Initially realized the outbound sales volume of 7,522 outbound trading coal initially increased by 61 per year.


The comprehensive sales price is 508 yuan / ton, with an annual increase of 15 yuan / ton, and the cost of producing 217 tons of coal.

73 yuan / ton, down 3%.

Benefiting from the substantial growth of trading coal, the operating profit of the coal business segment was as high as 90%.

49 trillion, 杭州桑拿网 an increase of 30% in ten years.

Both the volume and price of the coal chemical sector increased.

Production companies benefiting from the Mengda Plastics project replaced 146 sales.

7 Growth rate, 50% annual growth.

Urea sales were 192.

9 growth rate, an annual growth rate of 26%.

The 18-year average ton gross profit was 1831 yuan / ton, a decrease of 145 yuan / ton, mainly due to the increase in unit product costs.

In addition, it is beneficial to the domestic ban on the import of foreign garbage. The price of polypropylene has risen rapidly. The comprehensive range in 2018 reached 1988 yuan / ton, an increase of over 10%.Ton.

In addition, the price of urea rose by 26% to 1819 yuan / ton, and the gross profit per ton was as high as 722 yuan / ton, exceeding 52%.

The coal chemical business segment achieved 南京夜网 a gross profit of 4.4 billion, an increase of 25% over the years.

During the period, expenses increased slightly and remained relatively stable.

Total company expenses for 2018 were 185.

09 million yuan, an annual increase of 8.


Including sales expenses of 105.

94 ppm, a six-year increase of 6.

2. Management expenses 40.

45 ppm, an increase of 12 in ten years.

6%, finance costs 36.

53 ppm, a ten-year increase of 9.

2%. The addition of coal in 2019 and the commissioning of power projects have led to significant growth.

The company’s new coal mine mothers Du Chai Deng (600 tons / year) and Nalinhe No. 2 coal mine (800 tons / year) have been completed and officially put into production in November 2018; Xiaohuigou (300 tons / year) and BeilingThe mine (90mm / year) is expected to be officially put into operation in 2019, with a total of 1924 additional equity production capacity of 1224 ;; Xinjiang, Shanxi and Jiangsu Three Power Plants have a total installed capacity of 3.22 million kilowatt units, all of which will be put into operation within the year and the annual contribution to the mother’s net profit is as high as 10.

69 million, a 21% increase in net profit contributed to the company.

Investment suggestion: New projects are being put into production successively and profitability is at a relatively high level. Once the company’s past disadvantaged asset quality has been changed, the company’s return on net assets will increase, and the company’s ROE level will increase from 3 in 18 years.

7% to 6 in 19 years.


It is expected that the performance of 2019-2020 will not be adjusted, and the EPS will be 0.

47 yuan, 0.

54 yuan; EPS is expected to be 0 in 2021.

56 yuan; 19-year performance growth rate as high as 81%.

Company PB estimation perspective, the company is expected to 18 years PB 0.

8 times the average PB 1 from horizontal industries.

1 time comparison, the discount rate of the company is 46%; from the preliminary comparison of the company’s historical PB average is 1.

44 times, currently at the absolute bottom.

With the gradual improvement of ROE level, the company’s PB estimates are gradually repaired.

In addition, the company belongs to the rare coal industry that can maintain rapid growth and is scarce. Therefore, it maintains the company’s “Buy” rating.