\u3000\u3000 Venustech Group Inc(002439) (002439)
Continue to overweight strategic new business, be optimistic about the long-term development of the company and maintain the “buy” rating
Considering the impact of the company’s employee stock ownership plan payment expenses and the increase in R & D and marketing investment, we lowered the company’s forecast of net profit attributable to the parent company from 2021 to 2023 to 911, 1154 and 1455 million yuan (the original forecast was 1051, 13.72 and 16.85 yuan), and EPS were 0.98, 1.24 and 1.56 yuan / share respectively. The current stock price corresponds to 24.9, 19.7 and 15.6 times of PE from 2021 to 2023. We are optimistic about the stable and healthy growth of the company, Maintain the “buy” rating.
The profit slightly exceeded expectations, and the gross profit margin increased year-on-year
The company released the performance forecast for 2021, and it is expected to realize an operating revenue of 4.377-4.5 billion yuan for the whole year, with a year-on-year increase of 20.02% – 23.40%. The net profit attributable to the parent company was 855-915 million yuan, with a year-on-year increase of 6.34% to 13.80%; Net profit deducted from non parent company was 759-819 million yuan, with a year-on-year increase of 8.00% – 16.54%. The share based payment generated by the company’s employee stock ownership plan in 2021 and the social security relief due to the epidemic in 2020 totaled about 147 million yuan. Excluding the above factors, the growth rate of the company’s net profit attributable to the parent increased by about 14%. In addition, in the case of rising supply chain costs and fierce external competitive environment, the company’s gross profit margin in the fourth quarter increased significantly compared with the first three quarters, and the annual gross profit margin is expected to increase by 2.0% – 2.5%. The main reason is the increase in the proportion of sales revenue of self owned products and services.
In 2021, the company will focus on increasing strategic investment and enhancing competitiveness
In 2021, the company invested heavily in R & D and marketing, and the increase of personnel exceeded that in previous years. The investment in R & D and marketing increased by about 35% year-on-year. R & D focuses on new business directions, new track products and practical capabilities. The marketing investment focuses on the strategy of the group’s safety operation center, especially in the urban safety operation center. The “mayor’s plan” has become a powerful starting point to comprehensively improve the service ability to regional value customers.
Seize market opportunities and open the new first year of Data Security 3.0
The implementation of data security law and personal information protection law in 2021 gave birth to a broad market for government affairs, industry and personal data security. In December 2021, the company set up a data security headquarters in Hangzhou and released the data oasis technical framework, proposing the evolution path of data security from 1.0 data object security to 2.0 data aggregation security and then to 3.0 data circulation security. The company’s revenue growth in the direction of data security in 2021 is expected to reach more than 50%.
Risk warning: macroeconomic downside risk; Intensified market competition; Urban safety operation business did not meet expectations.
