Kane shares three-quarter expected profit of 53.3494 million growth 115%

Medium-term operating results: the first half to achieve net profit of 53.3494 million yuan, an increase of twice times, to achieve total operating income of 384.6161 million yuan, the year-on-year growth of 57.91%, earnings per share of 0.27 yuan. The company reported the paper income of 30,173.990,000 yuan, an increase of 61.77%, gross profit margin of 39.12%, the battery income 7,279, 900,000 yuan, year-on-year growth of 31.47%, gross margin of 26.2%. In the second half of 2010, the company will continue to improve product quality, strengthen market development, strengthen internal management and control, for the whole year to achieve better operating results. It is expected that 2010 1-September net profit rose 85%-115%, 2009 1-September net profit of 36.0638 million yuan.　　The main reason for the growth of net profit is the increase of sales revenue and the increase of earning ability. Monopoly Advantage: At present, only two of the world can be serialized production of electrolytic capacitor paper manufacturers (another for the Japanese NKK), the company as the only, the world's second electrolytic capacitor paper Series production enterprises in the domestic electrolytic capacitor paper industry in a relatively monopolistic position and maintain a high level of Maori, and was named "　　China's electronic Components hundred enterprises "one." Lithium-ion Power Battery: June 2009 to complete the acquisition of Kane Group held a 60% stake in Kane's battery, the acquisition price of 73.4685 million yuan, the acquisition of the Wu Eagle holding Kane's battery 16.22% of the stake, the price of 19.8609 million yuan, the acquisition of Wang Tongwei held Kane Battery 2.58% stake, The price is 3.1591 million yuan, holding 78.8%. According to the assessment forecast, Kane Battery 2010 and 2011 After-tax net profit can reach 16.9271 million yuan and 21.9531 million yuan respectively, equity transfer Fankain Group, Wu Eagle and Wang Tongwei respectively commitment, if the net profit is not up to the above forecast number, Cash compensation Company (2.566 million yuan of compensation paid by controlling shareholder in May 2010).　　Kane Battery main products for the high rate and ultra-high rate of charge-discharge Ni-MH power batteries and lithium-ion power batteries, the first half of 2010 to achieve net profit of 6.7533 million yuan. Institutional comments Days congenial: The company is expected to 2010, 2011 and 2012 EPS for 0.54 yuan, 0.67 yuan and 0.80 yuan, corresponding to the July 19, 2010 closing price of 13.35 Yuan, the dynamic P/E ratio of 25 times times, 20 times times and 17 times times, the company's main business is quarterly growth　　At the same time, the company's product competitiveness and profitability further enhanced, and the company's battery business benefits are guaranteed, but also become a new profit growth point, to maintain the company's "overweight" investment rating. Orient Securities: Looking forward to the second half, the company's main products in the future market space is very wide, whether it is electrolytic paper or battery products are in consumer electronics and new energy vehicles led to maintain a faster level of growth. In addition, with the three-quarter cost of wood pulp decline, and the company's product prices are relatively stable, profits may be stable in the rise, up 2010,2011 company earnings forecast to 0.50 yuan, 0.66 yuan, referring to overseas NKK company valuation level, to give 2011 28PE, to raise the target price of 18.5 yuan, improve the company rating to buy.