Securities code: 002230 securities abbreviation: Iflytek Co.Ltd(002230)
Iflytek Co.Ltd(002230) record of investor relations activities
No.: 20217
■ specific object research □ analyst meeting
Investor relations event □ media interview □ performance briefing
Event category □ press conference □ Roadshow
□ site visit
□ others
China Southern Fund Shi Bo, China Southern fund an Yongping, China Southern Fund Luo an, China Southern Fund Huang Kexin, Morgan Stanley Huaxin Fund Ma Zixuan, Qisheng fund Fu weiqi, names of participants: Qisheng fund Li Feilian, Cinda Aoyin fund Feng Mingyuan, Boshi fund Lin Bohong, and names of personnel
Penghua Fund Dong Wei, Dacheng Fund Yu Weiye, China Merchants self operated Qin Mian, Hong Kong Nomura Securities Duan Bing, HSBC Qianhai Ma Sijie, CLSA Chen Junxi
Time: February 17, 2022
Location: Futian District, Shenzhen
The listed company receives Jiang Tao, director, senior vice president and Secretary of the board of directors of the company; Liu Ying, director of investor relations; Name: securities affairs representative Chang Xiaoming; Zhu Hongzhang, the investor relations specialist, introduced the main contents of the investor relations activities. The participating investors exchanged information with Mr. Jiang Tao, the company’s director, senior vice president and Secretary of the board of directors on the development of the company. The specific minutes of the meeting are as follows: Q: how do you view the development of iFLYTEK and the achievement of its objectives? A: 1. Over the years, the company’s business has developed continuously and healthily. From the perspective of operating performance, iFLYTEK is the only long-distance champion among all listed companies with A-share whose revenue growth rate is greater than 25% for 10 consecutive years. The market value, parent company profit and net profit after deduction have increased significantly, and the scale and operating efficiency are continuously improving. 2. From the perspective of short, medium and long-term vision, when iFLYTEK’s revenue reached 2.5 billion in 2015, chairman Liu Qingfeng announced the company’s short-term, medium-term and long-term vision at the annual meeting. Among them, the “10 billion revenue” of the recent vision has been successfully realized in 2019; The “100 billion income” of the medium-term vision is progressing smoothly and is confident to be completed by the end of the 14th five year plan; In early 2022, in order to realize the long-term vision of “global AI industry leader”, iFLYTEK launched the “iFLYTEK Super Brain 2030 plan” in early 2022. Q: what is the overall business progress of iFLYTEK in 2021? A: iFLYTEK’s base business has taken root and began to enter the harvest period of development. 1. Education business. “Teaching students according to their aptitude” solution: 14 districts and counties will be implemented in 2020, 20 districts and counties will be added in 21 years, and the income will increase by 48%. Individual volumes: the number of fee paying schools increased by 50%, the scale of users increased by 40% and the revenue increased by 63% year-on-year. In particular, the effectiveness of users was widely recognized by teachers and students. The renewal rate increased from 75% to 90% in 2021 and the conversion rate increased from 58% to 65% in 2021. English listening and speaking test: the college entrance examination in 4 provinces and the middle school entrance examination in 29 prefectures and cities were added, with a 45% increase in revenue, covering the college entrance examination in 14 provinces and cities and the middle school entrance examination in 87 prefectures and cities. Learning machine: the sales volume of iFLYTEK learning machine C-terminal increased by 150%, the sales volume of double 11 increased by 300%, and the NPs value recommended by users ranked first in the industry. 2. Medical business. Intelligent medical assistants have covered 280 counties and districts in China, with an average of 770000 diagnoses provided every day, 170000 valuable revised diagnoses every year, and the daily visits of family doctor assistants have increased by 100%. 3. Consumer business. Gmv increased by 152%, especially the “naming degree” of target population in key cities increased by 99%. 4. Smart city business. Build a national benchmark of “data base + app” operation mode in Anhui; In 21 years, the number of base cities increased from 10 to 13. IFLYTEK participated in the construction of Jianghuai big data center platform in Anhui
All 16 prefectures and cities in the province are connected, and the amount of data gathered is 140 billion; Wanshitong app has been downloaded 330 million times. 5. Smart car business. There are 7 million front-end vehicles. In 2021, 40 + cooperative vehicle enterprises, 1100 + models and 200 + new cooperative models have been reached, and the fixed-point reserve has increased by 90%. Q: how to dismantle the revenue target of 100 billion at the end of the 14th Five Year Plan period?
A: roughly 30 billion in education, 20 billion in medical care, 20 billion in consumer intelligent hardware and open platforms, and 10 billion in automobile business, operators and smart city. Among them, the endogenous growth of the company’s business accounts for 80%, that is, 80 billion, and the other 20 billion is generated through ecological mergers and acquisitions and cooperation.
Q: during the 14th Five Year Plan period, how to achieve the goal of 30 billion yuan in education? A: the education business can be disassembled into: learning machines are expected to contribute 10 billion, teaching students according to their aptitude contributes 10 billion, personalized learning manuals contribute 5 billion, and English listening, speaking and language learning contribute 5 billion. Q: during the 14th Five Year Plan period, how to achieve the goal of 10 billion learning machines? A: 1. The learning machine business complies with the relevant national policies for personalized learning. The guiding opinions on promoting the construction of new educational infrastructure and building a high-quality education support system issued by six departments including the Ministry of education clearly pointed out that “where conditions permit, popularize personal learning terminals that meet technical standards and learning needs”. 2. It has a market potential of 10 billion single learning machines. In the future, the penetration rate of learning machines will be greatly improved under the existing conditions. 3. Compared with traditional learning machine manufacturers, Iflytek Co.Ltd(002230) learning function can help children reduce their burden, analyze weak links, and analyze and recommend learning situation based on knowledge map, so as to produce better learning effect and promote confidence with effectiveness. Q: during the 14th Five Year Plan period, how to achieve the goal of “teaching students according to their aptitude” of 10 billion?
A: 1. IFLYTEK is the only manufacturer with large-scale successful cases in China. In 2020, 14 districts and counties will be implemented, and 20 districts and counties will be added in 21 years; Taking Bengbu individualized teaching project as an example, over the past two years, the project has reduced the ineffective and inefficient repeated practice of students by 58% and the amount of homework correction by teachers by 36%. 2. After the double reduction, the policy funds are more guaranteed. The opinions of the State Council on further adjusting and optimizing the structure and improving the efficiency of the use of education funds put forward: “the structure of education funds should be continuously optimized to ensure that the general public budget education expenditure based on the average number of students in school will only increase year by year”. 3. More than 85% are standardized products. With more and more benchmarking application cases around the country, it has been further copied and popularized through demonstration and verification. Q: during the 14th Five Year Plan period, how can we achieve the goal of 5 billion copies? A: 1. The double reduction policy requires junior middle schools to realize layered operation and generate new increment.
Different levels of students do different homework, which can not rely on teacher experience, can only rely on information. 2. The operation data of high and middle school volumes continued to improve. In 2021, millions of high schools have increased by 78%, and the renewal rate has increased steadily (75% – > 90%), with a year-on-year increase of 20%. The conversion rate continued to increase (58% – > 65%), with a year-on-year increase of 15%. High school books are paid by parents voluntarily. The increase of renewal rate shows that parents have seen the actual effect. 3. Each volume conforms to the policy guidance of double reduction. The double reduction policy stipulates: “improve the quality of operation design, give play to the functions of operation diagnosis, consolidation and learning situation analysis, encourage layered, flexible and personalized operation, resolutely overcome mechanical and ineffective operation, and eliminate repetitive and punitive operation.” Q: during the 14th Five Year Plan period, how to achieve the goal of “English listening and speaking” of 5 billion? A: 1. IFLYTEK English listening and speaking evaluation system is the only system approved by the Ministry of education that exceeds the national evaluators; IFLYTEK is the only company that has passed the scale test in the college entrance examination and established a joint laboratory with the examination center of the Ministry of education. 2. The g-end, b-end and C-end markets have been integrated, and the products have formed linkage. 3. Absolutely leading market share. Iflytek Co.Ltd(002230) has served the national college entrance examination in 14 provinces and cities, and the regional coverage of English listening and speaking test scores included in the total score of the college entrance examination has reached 100%. Q: during the 14th Five Year Plan period, how to achieve the goal of 20 billion in medical business? A: 1. IFLYTEK’s business in the medical field complies with the relevant policies of the 14th five year plan for the development of digital economy and helps to solve the serious imbalance of national medical resources.
2. To G target 5 billion. (1) Intelligent medical assistant 4 billion. Among them, 1 billion comes from the coverage of new districts and counties, and 3 billion comes from the operating income of existing coverage. At present, each district and county in Anhui has a continuous operating income of 300000 ~ 350000 yuan / year. Last year, the average daily diagnosis provided by general practitioner assistants reached 770000, an increase of 40%, and there were more than 170000 valuable revised diagnoses in the year. It has covered 280 counties and districts across the country (105 districts and counties are in Anhui), and the daily visits of family doctor assistants have increased by 100%. It is hoped to cover 50% ~ 60% of the national market in the future. (2) Traditional government informatization such as national health information platform for Disease Control and prevention is 1 billion. Through intelligent medical assistants, identifying insurance fraud and other behaviors, we can help medical insurance control fees and operate from the saved funds. 3. To B target 5 billion. Including voice products for hospitals, image cloud / medical insurance fee control, etc.
4. To C target 10 billion. Urban insurance is expected to generate 5-6 billion running water and 1 billion income; There are 5 billion medical hardware (sphygmomanometers, blood glucose meters, hearing aid headphones, etc.), plus 4 billion health management services (personal chronic diseases, post diagnosis management, etc.).
Date: February 17, 2022
