\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 570 Hundsun Technologies Inc(600570) )
Event: the company released its 2021 annual report: in 2021, it achieved a revenue of 5.497 billion yuan, a year-on-year increase of 31.73%; The net profit attributable to the parent company was 1.464 billion yuan, a year-on-year increase of 10.73%; The net profit deducted from non parent company was 947 million yuan, with a year-on-year increase of 29.03%.
Event comments:
Large retail it and large asset management it grew strongly, and the promotion of a new generation of products was smooth. In 2021, the company’s performance basically met expectations. Among them, the large retail IT business achieved a revenue of RMB 2.111 billion, a year-on-year increase of 39.79%, and the large asset management IT business achieved a revenue of RMB 1.706 billion, a year-on-year increase of 39.84%. The revenue growth was strong and the business development situation was good. 1) Large retail IT business: UF3, the company’s flagship product in the field of new generation securities brokerage 0 has achieved full service launch; Distributed cloud native architecture has achieved cooperation with 7 securities companies; In the field of wealth management, 50 investment advisory business partners + were added throughout the year, the bid winning rate of asset allocation system was about 85%, and 11 customers were added to the new generation marketing service platform “Huiying”; In the traditional business field, 40 new generation TA, 38 new financial management and sales systems, 21 new CRM and call centers, and cooperation between app and Credit Suisse Securities; In the trust field, a number of cooperative customers were added. 2) Big asset management IT business: the company’s new generation of asset management flagship product o45 has officially launched its first customer in the fund industry, with an increasing number of online cases valued at 6.0.
With the increase of personnel investment, the cost and expense control are under pressure. In 2021, the operating cost of the company was 1.485 billion yuan, an increase of 55.31% over last year, and the gross profit margin was 72.99%, a decrease of 4.10 PCT over last year; The sales expenses, management expenses and R & D expenses were 558 million yuan, 681 million yuan and 2139 million yuan respectively, with a year-on-year increase of 57.69%, 26.31% and 43.00%, and the sales / management / R & D rate was 10.15% / 12.40% / 38.92%, an increase of 1.67 / – 0.53/3.07pct compared with last year. The main reason for the substantial increase in costs and expenses is the increase in personnel and salary, so ROP is further depressed. To this end, the company has actively implemented the management reform of LTC, IPD and other systems, and strengthened cost and expense control. The effect remains to be further observed.
Continue to promote investment and M & A and improve business layout. 2021Q4 continues to maintain appropriate investment and acquisition efforts, and has acquired Finastra’s Summit and Opics related business and intellectual property rights in Chinese mainland and Hong Kong and Macao, and has integrated business with its cloud win network to improve the company’s layout in the capital trading system.
Investment suggestions:
We estimate that the net profit attributable to the parent company from 2022 to 2024 will be RMB 1.703/19.22/2.265 billion respectively, and the EPS will be RMB 1.17/1.31/1.55 respectively. The current share price corresponds to 38 / 34 / 29 times of PE. The deepening of capital market reform will continue, and the downstream demand is strong. It is expected that the company will still have large growth space in the future. We maintain its “buy” investment rating.
Risk tips:
The macroeconomic downturn has led to the reduction of information investment of downstream customers; Stricter regulatory policies to curb financial innovation; Industry competition intensifies; The iteration speed of product and technology update is lower than expected
