Iflytek Co.Ltd(002230) (002230)
Event: on December 27, 2021, Iflytek Co.Ltd(002230) signed the investment cooperation agreement with the economic and Trade Bureau of Hefei high tech Industrial Development Zone in Hefei to invest in the construction of artificial intelligence R & D and production base (phase I) project.
RMB 2 billion was invested in the construction of artificial intelligence R & D and production base (phase I). According to the overall strategic layout, in order to meet the needs of rapid business development and continuous expansion of business scale, and ensure the implementation of the company's long-term planning and development strategy, the company signed the investment cooperation agreement with the economic and Trade Bureau of Hefei high tech Industrial Development Zone in Hefei on December 27, 2021 , invest in the construction of artificial intelligence R & D and production base (phase I). The total investment of the project is about 2 billion yuan, with a land area of about 300 mu and a construction area of about 250000 m2, of which the investment in fixed assets is no less than 1 billion yuan. Build the main business base of Iflytek Co.Ltd(002230) headquarters, including education business, consumer business, smart city business, core R & D platform, artificial intelligence open platform, etc.
In line with the industrial trend, "China sound Valley" has accelerated its development. China sound Valley, the first national industrial base positioned in the field of artificial intelligence, has an industrial scale of more than 100 billion. At present, "China sound Valley" with Iflytek Co.Ltd(002230) as the core has developed into a national industrial base with international competitiveness and influence. In July 2021, the opinions of the CPC Central Committee and the State Council on promoting high-quality development in the central region in the new era clearly pointed out that, Make overall planning to guide the development of industrial clusters (bases) in the central region and build China (Hefei) sound valley along the Yangtze River. Notice of Anhui Province on several policies supporting the innovative development of China sound Valley and the three-year action plan for the innovative development of China sound Valley (2021-2023) It is pointed out that we should further promote the high-quality development of China sound Valley and accelerate the integrated development of advantageous technologies and industries such as intelligent voice and artificial intelligence, so as to speed up the cultivation of a number of giant enterprises, give play to the industrial concentration effect, create a world-class industrial landmark and build a "China sound Valley" with global influence; The 14th five year plan of Anhui Province also clearly proposes to "accelerate the cultivation of artificial intelligence industrial clusters with international competitiveness, and accelerate the construction of a strong province of science and technology with" Plateau "," peak "and vigorous development of innovation and entrepreneurship".
Provide development space for high growth fields such as education and medical industry. As the company continues to make technological breakthroughs in the field of artificial intelligence, it continues to open a new market space for the company in key tracks such as education, medical treatment, smart city and consumers. The company focuses on key tracks such as education and medical treatment. The business model of the overall solution based on AI technology in the education track has been mature and can grow for a long time. Under the good opportunity of continuous expansion of market scale and accelerated construction of industrial system, this investment project provides development space for the high growth field of artificial intelligence industry. At the same time, it will also meet the growth of personnel scale, stimulate the vitality of innovation subjects and attract industrial talents.
Investment suggestion: China is a leader in the field of artificial intelligence. The track of education, medical treatment and consumption is ushering in a period of large-scale application, and the high-speed growth is expected to continue. We estimate that the operating revenue of the company from 2021 to 2023 will be 17.193 billion yuan, 22.06 billion yuan and 27.728 billion yuan respectively, and the net profit attributable to the parent company will be 1.737 billion yuan, 2.204 billion yuan and 2.858 billion yuan respectively, with a year-on-year increase of 27.4%, 26.9% and 29.7%. Maintain the "buy" rating.
Risk warning: policy promotion is not as expected; Increased competition led to lower than expected product sales.
