\u3000\u3 China Vanke Co.Ltd(000002) 777 Sichuan Jiuyuan Yinhai Software Co.Ltd(002777) )
Investment events: the company released its 2021 annual report: (1) the revenue was 1.306 billion yuan, with a growth rate of 13.21%; The net profit attributable to the parent company was 219 million yuan, with a growth rate of 17.09%. (2) Profit distribution plan: 10 shares to 3 shares, 2 yuan.
Multiple business lines grew steadily and the company’s performance developed steadily. During the reporting period, the company’s medical insurance business income reached 596 million yuan, a year-on-year increase of 25.05%; The business income of smart city and digital government was 639 million yuan, a year-on-year increase of 2.56%; The revenue from military civilian integration business was 38 million yuan, a year-on-year increase of 9.41%; This year, a new Internet operation sector was added, with a revenue of 16 million yuan. The Internet operation sector is mainly the “Anju Guangsha” platform operated by the company in Urumqi, serving the service fields of new houses, financial services, second-hand houses, home decoration, property and so on in Urumqi. The company’s business lines grew steadily, driving the company’s performance to achieve stable growth, with revenue growth of 13.21% and net profit attributable to the parent company growth of 17.09%.
The gross profit margin increased steadily and the cash flow was significantly optimized. During the reporting period, the company’s comprehensive gross profit margin reached 56.11%, only 53.25% in the same period last year, an increase of 2.86 percentage points year-on-year. The increase of the company’s comprehensive gross profit margin is mainly due to the increase of the gross profit margin of software development and operation and maintenance service business. The gross profit margin of software development is 60.65%, with a year-on-year increase of 5.50 percentage points, and the gross profit margin of operation and maintenance service is 66.15%, with a year-on-year increase of 1.33 percentage points. During the reporting period, the cash flow of the company was significantly optimized, and the cash to cash ratio (the ratio of cash received from selling goods and providing services to operating income) was 98.77%, an increase of 6.81 percentage points year-on-year.
The competitive advantage of medical insurance it was further consolidated and the medical IT business expanded rapidly. In the field of medical insurance it, in 2021, the company won the bid for eight provincial medical insurance information platform construction projects in Hubei, Sichuan, Henan and Shandong. By the end of 2021, the company has participated in the construction project of national medical security information platform in 22 provinces, of which 10 provinces are medical insurance core business systems. The company has also made good achievements in DRG / dip and medical insurance fund supervision. For example, DRG products have covered 10 provinces. The company’s competitive advantage in the medical insurance it field was further consolidated. In the field of medical it, the company has formulated the medical IT industry development strategy of “serving the top three, deeply cultivating the medical community and innovating the health end”. During the reporting period, the company implemented the smart hospital project of 10 class III hospitals and 15 class II hospitals, and provided cloud his services for more than 60 grass-roots medical institutions, and the hospital end market was promoted rapidly.
Investment suggestion: the epidemic situation, the adjustment of project acceptance rules and other factors have a certain impact on the project implementation and acceptance of the company’s medical insurance it, digital government and other businesses. Therefore, we adjusted the company’s profit forecast. Before the adjustment, the company’s revenue is expected to be 1909 / 2386 million yuan and net profit to be 330 / 430 million yuan respectively in 2022 / 2023 / 2024. After the adjustment, the company’s revenue is expected to be 16000 / 1920 / 2244 million yuan and net profit to be 280 / 350 / 433 million yuan respectively, and the corresponding PE is 23.0 / 18.4 / 14.9 times respectively, giving the company a “buy” rating.
Risk tip: business development is less than expected, and the implementation of policies is slow
