\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 570 Hundsun Technologies Inc(600570) )
Matters:
The company issues an annual report. The company achieved a year-on-year increase of 5.417 billion yuan in revenue in 2027; The net profit attributable to the shareholders of the listed company was 1.464 billion yuan, a year-on-year increase of 10.73%; It is proposed to give 3 bonus shares for every 10 shares and 1 yuan in cash for every 10 shares (including tax).
Ping An View:
The main businesses maintained rapid growth, but the gross profit margin decreased significantly compared with the previous year. The company's main business is divided into six sectors: large retail it, large asset management it, banking and industry it, data risk and infrastructure it, Internet innovation business and non-financial business. Among them, large retail it and large asset management it are the main sources of the company's revenue. In 2021, except for banking and industrial it and non-financial business, other major sectors achieved rapid growth. Among them, the IT revenue of large retail reached 2.111 billion yuan, a year-on-year increase of 39.79%; Big asset management it realized a revenue of 1.706 billion yuan, a year-on-year increase of 39.84%; Data risk, infrastructure, it and Internet innovation business revenue increased by 18.59% and 33.69% respectively. In 2021, the company's gross profit margin declined significantly, with a comprehensive gross profit margin of 72.99%, a decrease of 4.10 percentage points over the same period of the previous year. In addition to non-financial business, the gross profit margin of other business sectors has decreased compared with the previous year. The rapid rise of China's digital demand has not only brought an increase in human costs, but also put great pressure on the company's profitability. The increase of personnel and salary resulted in the increase of expense rate during the period. In 2021, the company's annual expense ratio reached 61.45%, an increase of 4.36 percentage points, of which the R & D and sales expense ratio increased by 3.07 and 1.67 percentage points respectively over the previous year.
The smooth expansion of securities brokerage and wealth management business has supported the rapid growth of the revenue of large retail IT sector. The company's large retail IT business is mainly aimed at securities brokerage and wealth management institutions. In 2021, the IT business of securities brokerage expanded rapidly, and the new generation of securities comprehensive financial service platform UF3 0 has achieved full-service launch, and the original architecture of distributed cloud has been well expanded. Seven securities companies, including Huatai Securities Co.Ltd(601688) , China Industrial Securities Co.Ltd(601377) and China Industrial Securities Co.Ltd(601377) have realized in-depth cooperation on the basis of the new architecture. In the wealth management IT business, the expansion effect of new customers such as public offering investment advisers is also very obvious. In 2021, 50 investment consulting business partners + were added, the bid winning rate of asset allocation system was about 85%, and the new generation marketing service platform "Huiying" added 11 customers. In addition to new businesses such as public offering investment advisers, the new generation TA, financial management and sales system, CRM and call center in the company's traditional business have added a large number of new customers.
With favorable policies in the financial industry and the implementation of a new generation of systems, the new customers of large asset management business performed well. 2021 is a year of continuous opening of China's financial market, continuous increase and improvement of infrastructure and continuous innovation of financial business. For example, a series of policies have been issued, such as the approval of new fund-raising management institutions, the establishment of the Beijing stock exchange, bond interconnection, the launch of the new bond platform of the Shanghai and Shenzhen Stock Exchange, the participation of insurance funds in securities lending, the settlement mode of securities companies, etc., which have brought a lot of market opportunities to the company's asset management sector. In addition, the new generation of Hang Seng system has also achieved phased results. In addition to the trust industry and bank financial management sub industry, Hang Seng asset management o45 products have also realized the official launch of the first customer in the fund industry, with a valuation of 6.0. While securities, banks, trusts and funds have obtained a number of cooperative customers, the number of online cases is also increasing.
Investment suggestion: in the short term, the company is benefiting from regulatory innovation and the acceleration of digital transformation of the financial industry, and its revenue is expected to achieve rapid growth. In particular, its large retail it and asset management it tracks still have the potential to continue rapid development; In the medium and long term, the development space of China's capital market is large, and there is potential for international expansion, which means that Hundsun Technologies Inc(600570) still has sufficient growth space, which is in the leading position in the industry. Combined with the development of the financial IT industry and the latest financial report, we adjusted the company's profit forecast. We expect that the EPS from 2022 to 2024 will be 1.18 yuan (the former value is 1.27 yuan), 1.44 yuan (the former value is 1.51 yuan) and 1.75 yuan (New), respectively. The P / E corresponding to the closing price on March 30 is 39.6x, 32.3x and 26.7x. We recognize the competitive position of the company, are optimistic about the medium and long-term development, and maintain the "strongly recommended" rating.
Risk tips: 1) the IT budget of financial institutions is less than expected. 2) The development and popularization of financial science and technology are blocked. 3) The uncertainty of financial regulatory policies.
