\u3000\u30 Shaanxi Zhongtian Rocket Technology Co.Ltd(003009) 94 Joy Kie Corporation Limited(300994) )
Key investment points
Event: Jiuyi Technology Co., Ltd. is a joint venture holding Jiuyi technology. Its business scope includes intelligent control system integration and artificial intelligence software development. On March 1, Joy Kie Corporation Limited(300994) issued an announcement that Jiuyi Intelligent Technology Co., Ltd. has been established with its own funds through joint venture to establish a holding subsidiary. The registered capital of Jiuyi technology is 7.5 million yuan, of which Joy Kie Corporation Limited(300994) contributes 4.5 million yuan (accounting for 60% of the registered capital of Jiuyi Technology), and Shanghai Lingyi Power Technology Co., Ltd. contributes 3 million yuan (accounting for 40% of the registered capital of Jiuyi Technology) in the form of currency and intellectual property rights. After the completion of this investment, Jiuyi technology will become the holding subsidiary of Joy Kie Corporation Limited(300994) . The business scope of Jiuyi technology includes intelligent control system integration, artificial intelligence basic software development, emerging energy technology research and development, bicycle and spare parts retail, electric bicycle sales, etc.
Impact: promote the research and development of intelligent modules and strengthen the competitive advantage of electric bicycles
Based on strategic planning and business development needs, the company invested and established Jiuyi technology, which aims to strengthen the R & D capacity and quality management of power assisted electric bicycle intelligent modules, improve the intelligent technology of power assisted electric bicycle products, integrate industry resources and guide the industrial chain. From the perspective of the industry, benefiting from the electrification trend, overseas subsidy policies and the popularity of short means of transportation under the epidemic, the demand for electric bicycles in overseas continues to increase. One of the company's core growth highlights is the shipment of about 110000 electric bicycles in 2020, which is expected to double in 2021. The electric bicycle business is expected to maintain high growth in the next three years. After Jiuyi technology is put into operation, it is expected to further extend the company's overall technology research and development to intelligence and high-end, and strengthen the company's competitive advantage in the field of electric power assisted bicycles.
Profit forecast and valuation
Jiuqi is expected to ride the east wind of the electric bicycle industry. With the advantages of overseas channels and one-stop service accumulated for many years, it is expected that the two wheels of electric bicycle and cross-border e-commerce independent brands will continue to drive high performance growth. We expect the company's revenue to be 3.708/4.697/5.995 billion yuan in 21-23 years, with a year-on-year increase of 62.2% / 26.7% / 27.6%; The net profit attributable to the parent company is RMB 214 / 299 / 432 million, and the corresponding PE of the current market value is 31.5/22.6/15.6x respectively, maintaining the "buy" rating.
Risk tips
Macroeconomic and market demand tightening risk, international trade policy change risk, covid-19 epidemic global spread risk, exchange rate fluctuation risk, market competition risk, etc.
