China Communications Construction (601800): Significant benefit from performance in line with expectations Stable growth and “Belt and Road”

China Communications Construction (601800): Significant benefit from performance in line with expectations Stable growth and “Belt and Road”

Event description On April 29, the company released the 2019 first quarter report and achieved revenue of 1022.

4.5 billion with an increase of 9.

64%, achieving a net profit of 39.

3 billion with an increase of 14.

45%, net profit after deduction is 37.

1 billion increased by 10.


Incident Review Revenue has grown steadily, and financial expenses and revenue decline have helped performance grow faster than revenue.

The company’s 2019Q1 revenue growth rate of 10% achieved steady growth, performance growth rate of 14% higher revenue, mainly due to financial costs and expenses were replaced.

The gross profit margin decreased slightly, and the attributable net profit increased.

Q1 company gross profit margin 12.

46% down with 0.

13pct; During the period, the expense ratio (including research and development expenses) also increased by 0.

12pct to 8.

26%, mainly due to the same increase in management expense ratio (including research and development expenses).

59cpt to 6.

24%, the sales expense ratio remained basically unchanged at 0.

21% level, while the financial expense ratio drops by 0 every year.

48 points to 1.


The impairment loss rate (asset impairment and credit impairment) rose by zero.

02pct to -0.

18%; benefiting from the decrease in financial expenses and income, the attributable net interest rate also increased by 0.

16pct to 3.


The narrowing of the difference between the income and cash payment ratio has led to an increase in 杭州桑拿 operating cash.

Net operating cash flow of Q1 company was 382.

850,000 yuan, more than 224 a year.

30,000 yuan, mainly due to the increase in business scale and increase in cash expenditure and receivable budget turnover. Specifically, the Q1 company’s cash ratio decreased by 10%.

97pct to 117.

30%, while the cash advance is 9% higher than the same.

14pct to 159.

90%; as of the end of March 2019, the company’s accounts receivable and bills, inventory and contract assets were 934 respectively.

0.6 billion, 1365.

56 trillion, an increase of 56 earlier.

10 billion, 85.

8.1 billion.

Benefiting from steady growth and the Belt and Road Initiative, the company’s operations will gradually pick up.The company is one of the leading domestic infrastructure companies. Benefiting from the steady growth policy and 南京桑拿网 the rapid issuance of special debt, the company’s Q1 new orders increased by 203.3 billion and increased by 13 as well.

38%, significantly faster than before 2018; with the second Belt and Road Summit being held, the company may significantly benefit as a leader in the Belt and Road Initiative, and overseas business development may also come out of the trough.4.

14% (down 25% in the ten years of 2018.


The company’s EPS is expected to be 1 in 19-20.

35 yuan, 1.

49 yuan 1, corresponding to 2019/04/29 consolidated PE is 9.

13 times, 8.

22 times, maintain “Buy” rating.

Risk Warning: 1.

Risk of deceleration in domestic infrastructure investment growth; 2.

Expansion of overseas business was less than expected risk.