Zhejiang Longsheng (600352): Q1 environmental protection regulations tend to rigorous dye and intermediate leader to benefit

Event: The company announced that it achieved revenue of 190 in 2018.

76 ppm, an increase of 26 in ten years.

3%, net profit attributable to mother 41.

110,000 yuan, an increase of 66 in ten years.


Dividends will be paid out for 10 shares.

5 yuan.

Progress in environmental protection has tightened supply and demand, and prices have increased to increase performance.

In 2018, the strict trend of national environmental 成都桑拿网protection and safety has not abated, and long-term companies in the dye industry have restricted production. The suspension of production has caused tight supply and demand in the industry and prices have risen.

Number of companies dye sales 24.

2 Initially, it decreases by 1 each year.

7%; average selling price 4.

6 million / ton, an annual increase of more than 20%, and conversion dye revenues increased by more than 21.

5%, a profit increase of 49 in ten years.


The volume and price of intermediate business went up, and sales volume was ten years.

7 Initially, it grows by 12 every year.

9%, average price 3.

4 million / ton, an increase of 44 in ten years.

1%, initial revenue increased by 62 in ten years.

7%, the profit increased by 121 in ten years.


It is expected that under the continuous supervision and rectification of environmental protection and safety in 2019, small production capacity will gradually be withdrawn, and the domestic dye market will still maintain a high level of operation, which will benefit the company’s leading position and revenue.

The advantages of the intermediate business are prominent, and the elasticity and toughness: the company’s intermediate business segment mainly includes resorcinol with 3 insertion capacities, and 6.

5 cationic capacity of m-phenylenediamine.

In the future, the expansion of m-phenylenediamine production capacity will result in 5 roots / year, and the increase in m-phenylenediamine will result in 10 roots / year.

The Ministry of Commerce in 2019 continued to collect five-year anti-dumping duties on resorcinol from the United States and Japan; domestic requirements for safe production of m-diphenylamine have increased significantly.


21 ”explosion, Tianjiayi Chemical Industry is expected to withdraw from production capacity1.

Around 7 or so.

The company announced that due to the rising prices of most raw materials, the company has recently adjusted the quotations of domestic dyes and resorcinol products in accordance with the cost increase situation, and has adjusted its elasticity and toughness.

The industrial chain layout has strengthened advantages, and the benefits of comprehensive projects have begun to show: the existing company’s business continues to develop, with the integration of the industrial chain as the core, and continuously integrates and extends the upstream of the dye supply chain, strengthens the intermediate business, enhances the advantages of dye products, and the company’s comprehensiveRevenue from auto parts and components in the project11.

6.9 billion, an increase of 37.

6%, a rapid growth.

The three major real estate projects are progressing smoothly. The expansion of the Datong Road project has gradually entered the stage of repayment, which is expected to bring richness to the company in the future.

Investment suggestion: Expected EPS 1 in 2019-2021.四川耍耍网


89/2.03 yuan, the first time to give an overweight -A rating, 6-month target price of 23.

9 yuan, equivalent to 19/21 times PE 14/13/12.

Risk warning: product prices fluctuate sharply, and environmental protection and safety policies are relaxed.