\u3000\u30 Guangdong Tengen Industrial Group Co.Ltd(003003) 78 Digiwin Software Co.Ltd(300378) )
Intelligent manufacturing has a high boom and maintains the “buy” rating
The company is a leading manufacturer of intelligent manufacturing solutions in China and is expected to continue to benefit from the high prosperity of the industry. We maintain the original profit forecast and add the profit forecast for 2024. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be 140, 176 and 221 million yuan, and EPS will be 0.53, 0.66 and 0.83 yuan / share. The current share price corresponds to 34.4, 27.4 and 21.8 times of PE, maintaining the “buy” rating.
Event: the company released its 2021 annual report and its revenue grew steadily
The company released the 2021 annual report, and the operating revenue achieved steady growth. In 2021, the operating revenue reached 1.788 billion yuan, a year-on-year increase of 19.52%; The net profit attributable to the parent company was 112 million yuan, a year-on-year decrease of 7.58%. The slight decline in net profit was mainly due to the allocation of equity incentive expenses. After excluding the impact of equity incentive, the company realized a net profit attributable to the parent company of 166 million yuan in 2021, a year-on-year increase of 36.65%.
Core business revenue grew brightly and cash flow continued to improve
The company’s two major businesses of service goods and intelligent manufacturing have achieved rapid growth. In 2021, the company significantly increased the coverage proportion of service commodities in the contracted customer base, realizing a year-on-year increase of 32% in the number of service commodity contracts and 36% in the contract amount. In 2021, the company achieved 293 million yuan in business revenue, an increase of 27.39% over the same period last year. Chinese mainland intelligent manufacturing business revenue increased 51% compared with the same period last year, and intelligent manufacturing business continued to break through. In 2021, the company realized a net cash flow from operating activities of 317 million yuan, with a year-on-year increase of 40.26%, and the cash flow improved significantly.
The smart manufacturing industry is expected to continue to benefit from the wave
In 2021, the Ministry of industry and information technology and other ministries and commissions intensively issued a number of policies such as the development plan of software and information technology service industry in the 14th five year plan, the development plan of deep integration of informatization and industrialization in the 14th five year plan, and the development plan of intelligent manufacturing in the 14th five year plan. The digital economy has become a national development strategy, and the policies have catalyzed the intelligent manufacturing industry to maintain a high boom. The company continues to deepen industrial cooperation: Joint Foxconn Industrial Internet Co.Ltd(601138) work together to build CITIC daika project and enable customers to digitalize; Cooperate with Huawei to create intelligent manufacturing application scenarios and broaden the breadth of technical and commercial cooperation. We believe that through close cooperation with industry leaders, the company is expected to benefit from the wave of intelligent manufacturing and continue to increase its performance.
Risk warning: the promotion of intelligent manufacturing is not as expected; The company’s R & D was less than expected.
