Dongfang Electric (600875) commented on major events: hydrogen fuel cell production line put into operation

Dongfang Electric (600875) commented on major events: hydrogen fuel cell production line put into operation

Dongfang Electric landed and put into operation the first hydrogen fuel cell automation production line in the western region. The company is poised to increase the initial stage of the industrialization of hydrogen fuel cells. The company is based in the southwest. The first batch of products has achieved good results and future demand is expected.

The company completed the injection of group assets in 2018, and its profitability and synergy improved further. It coincided with the restart of nuclear power in 2019, and the internal and external benefits were common. The performance is expected to return to the fast track of growth, maintaining the company’s A + H shares “Buy” rating.

The first hydrogen fuel cell automation production line in western China was put into operation, and Dongfang Electric’s hydrogen energy industrialization went further.

According to reports from e companies, Xinhua News Agency and other media, on April 10, Dongfang Electric (Chengdu) Hydrogen Fuel Cell Technology Co., Ltd. (formerly known as Qingneng Technology), a wholly-owned subsidiary of Dongfang Electric, invested and constructed an annual output of 1,000 The automatic production line of hydrogen fuel cell engine was formally put into operation, which is also the first hydrogen fuel cell automatic production line in the western region.

Among them, Dongfang Electric has independently developed several core components of the power system, from membrane electrodes to electric stacks to engine systems. Dongfang Electric’s hydrogen fuel cell production has entered an era of batch, automation and intelligence.

Product applications include passenger and passenger cars, with a cumulative operation of over 400,000 kilometers.

In June 2018, the first batch of 10 hydrogen fuel cell transport vehicles equipped with hydrogen fuel cell engines with the company’s independent intellectual property rights were delivered to Chengdu and began commercial operation.

Up to now, the above 10 hydrogen fuel cell transport vehicles have accumulated a safe operation of over 400,000 kilometers, of which the maximum operating mileage of a single vehicle has reached 5.

250,000 kilometers, with a total of 1.2 million passengers.

The quality of the company’s products has undergone a series of operational inspections, and product performance and safety have been fully certified. During the conversion year, the policy of “ten cities and 1,000 vehicles” of hydrogen fuel cell vehicles resulted in landing. We are optimistic about Sichuan (Chengdu) as the second domestic development.The provinces in which hydrogen fuel cell transportation is commercially operated are expected to continue to be the southwest benchmark for the promotion of hydrogen fuel buses. The company’s combined location advantages, product advantages, and first-mover advantages promote the continued deep cultivation of the Southwest market. Products are expected to usher in the first year of heavy volume.

Demand for clean energy continues to grow, and the restart of nuclear power is expected to benefit the company’s performance.

As one of the leading domestic leaders in clean energy power generation equipment, the company is currently benefiting from thermal power transformation and comprehensive development. Offshore wind power has ushered in peak installations, pumped storage construction has continued to increase, and many industry trends including nuclear power have reappeared during the year. 苏州夜网论坛 We expect the companyTraditional businesses such as thermal power will remain stable in 2019, and the demand for orders brought by the restart of nuclear power will be favorable to future performance for a longer period of time. Wind power strives to maintain rapid growth, replacing the asset restructuring and refining its financial categories, services, and hydrogen fuel.With the rapid development of new businesses such as the battery industry, the company’s performance is expected to continue to accelerate in 2019.

Risk factors: Nuclear power approval progress is less than expected; competition in the industry is intensifying; the risk of repayment of overseas orders; hydrogen fuel cell industrialization progress is less than expected.

Investment suggestion: The company’s performance in 2019 is clearly positive, the internal impairment burden is gone, the integration of high-quality assets is accelerated, the external industry is picking up quickly, and the company’s long-term stable growth is beneficial in many fields.

We are optimistic about the reorganization of the company’s long-term growth logic and maintain that it is expected that net profit attributable to mothers will reach 14 in 2019-2021.



400 million, CAGR of 21% in the next three years, corresponding EPS is 0.



66 yuan, the company’s reasonable PE range for A shares in 2019 is 25x-30x. It is expected that H shares will maintain an estimated discount of 5x-10x from A shares and maintain the company’s A + H shares “overweight” rating.