Securities code: Guangzhou Grg Metrology&Test Co.Ltd(002967) securities abbreviation: Guangzhou Grg Metrology&Test Co.Ltd(002967)
Guangzhou Grg Metrology&Test Co.Ltd(002967) investor relations activity record
No.: 2022001
□ specific object research □ analyst meeting
Investor relations □ media interview □ performance briefing
Activity category □ press conference □ Roadshow
□ site visit
□ others (investor teleconference)
Guosen Securities Co.Ltd(002736) Wu Shuang, Guosen Securities Co.Ltd(002736) Li Yuxuan, China Industrial Securities Co.Ltd(601377) Ding Zhigang
Changjiang Securities Company Limited(000783) Jia Shaobo, Zhongtai Securities Co.Ltd(600918) Zheng Yameng, Southwest Securities Co.Ltd(600369) Tai Guilong
China International Capital Corporation Limited(601995) Li Xinyang, Sealand Securities Co.Ltd(000750) Zhong Qi, Guotai Junan Securities Co.Ltd(601211) Zhang Xu
Sealand Securities Co.Ltd(000750) Zhang Wanshu, Sealand Securities Co.Ltd(000750) Fang haoying, China Merchants Securities Co.Ltd(600999) Wu Yang
China Merchants Securities Co.Ltd(600999) Zhu Yiqing, Guangfa asset management Zhenyi, Northeast Securities Co.Ltd(000686) Zhang Jianjian
Huatai Securities Co.Ltd(601688) Wang Weijia, Huatai Securities Co.Ltd(601688) ou yingxuan, Huaxin securities Ding Yi
Li Jiang of Anxin securities, Cheng Zhi of Anxin securities and Zhou Ershuang of Soochow machinery participated in the activity
And personnel: Luo Yue of Soochow machinery, Liu Xiaoxu of Soochow machinery and LV Chunru of Soochow machinery
Long term investment Liao Yi, Tianfeng Securities Co.Ltd(601162) Zhang Yuying, JUNHE capital Yin Kai
Xuanbu investment Lei Gang, Xingzheng asset management Wang Lufeng, Xingye self operated Wang Jun
Martian capital Ji Yu, Xingshi investment Cao Enxiang and Tengyue fund sun boyao
CITIC self operated Liang Qinzhi, PICC pension Yu Wenbo, Zhongyi asset Shen Yueming
China Securities Co.Ltd(601066) Peng Yuanli, Shenwan Hongyuan Group Co.Ltd(000166) Liu Jianwei, Shenwan Hongyuan Group Co.Ltd(000166) Zhang Jingwei
And 128 participants
Time: 9:00-11:00, March 31, 2022
Location none
Formal teleconference
Communication contents and tools 1. Introduction to the company
Q & A records the company’s main business in 2021. (see the company’s 2021 annual report.)
2、 Q & a session
1. What are the responsibilities of the two new deputy general managers of the company?
A: according to the needs of the company’s operation and development, in order to accelerate the company’s strategic development plan and further improve the company’s operation and management ability, the board of directors of the company appointed Mr. Wu Nailin and Mr. Li Jun as the deputy general managers of the company upon the nomination of the general manager. The two deputy general managers have worked in the company for many years and are excellent talents growing up with the company. The two deputy general managers will be in charge of the operation of some subsidiaries and business segments of the company, as well as the coordination and management of business and technical cooperation among national and regional markets.
2. What is the purpose of the company’s organizational structure adjustment?
A: according to the needs of the company’s operation and management and business development, in order to further strengthen the research on the measurement, testing and certification industry and strategic industries, summarize and export the company’s operation and management experience, integrate industry resources, enhance the company’s competitiveness and influence, deepen the “industry + capital” two wheel drive development mode, and promote the high-quality and rapid development of the company, the company has established an Industrial Research Institute. The Industrial Research Institute is positioned in strategic industrial research, measurement and testing certification, industrial management system certification and management consulting, integrated operation and management of social laboratories, etc.
3. At present, the industry is developing rapidly, and the company should need funds to continue to expand. Why do we implement cash dividends?
A: the company did not pay cash dividends due to the implementation of non-public offering of shares last year. This year, the company will implement cash dividends by comprehensively considering factors such as shareholder return planning, relevant laws and regulations and profit realization.
4. How about the rhythm of order completion and revenue recognition?
A: the company’s revenue recognition is based on the applicable accounting policy: the company recognizes revenue when it performs its performance obligations in the contract, that is, when the customer obtains the control of relevant goods or services.
The main customers are enterprises in special industries, manufacturing enterprises of complete passenger vehicles and parts, manufacturing enterprises of electronic and electrical equipment and government agencies. The above-mentioned main customers generally carry out planning, project approval, bidding and other procedures in the first half of the year and gradually carry out procurement. Therefore, most large orders of the company are signed in the first half of the year and implemented in the second half of the year.
On the other hand, the company can provide customers with one-stop inspection and testing services, including metrology and calibration, reliability and environmental testing, electromagnetic compatibility testing, environmental protection testing, food testing and chemical analysis. Therefore, most large orders of the company are comprehensive and may involve testing items of multiple different business segments, including at least two or more performance obligations. The company recognizes revenue after performing individual obligations, However, the performance cycle of individual performance obligations of some large orders is long, and the completion time is basically concentrated in the second half of the year, resulting in a significant increase in the company’s revenue in the third and fourth quarters.
5. How many orders are packed with multiple business types at the same time? Do customers generally package multiple services or place orders for a single service?
A: the company’s measurement and calibration business is relatively independent, and orders are basically signed separately. Testing orders are mostly comprehensive orders, which may involve multiple business segments such as reliability and environmental test and electromagnetic compatibility testing, so the volume of orders is relatively large. The company is committed to building a national and comprehensive measurement and testing service organization, which is conducive to the company to undertake large comprehensive orders, expand business areas and obtain market share.
6. The downstream customers of the company are widely distributed, involving industries such as automobile, aerospace, communication and electric power. Which industries account for a high proportion?
A: the downstream customers of the company are widely distributed. In recent years, the company has invested relatively fast in special industries, automobile, aerospace, communication and other testing fields, and these testing fields also make a prominent contribution to the overall performance of the company.
7. Specific performance of the company affected by the epidemic in the first quarter of 2022?
A: covid-19 epidemic in the first quarter of 2022 had a certain impact on the operation of some subsidiaries of the company, mainly including: 1. Affecting market personnel and technicians to visit customers; 2. The production capacity of laboratories is affected. Affected by local epidemic prevention and control measures, some laboratories are in the state of shutdown or semi shutdown, resulting in the lag of digestion of some orders.
If the follow-up epidemic situation eases, it is expected that the progress can be recovered by accelerating the digestion of orders in the second quarter.
8. What is the company’s competitive advantage in reliability and environmental testing business?
A: the advantages of the company’s reliability and environmental test business are reflected in technology and scientific research and development, national laboratory layout and service network, high-end equipment configuration, ability to undertake and digest large orders, etc.
9. What are the competitive advantages of EMC testing business of the company? What is the trend of its growth rate and gross profit margin?
A: EMC testing business is one of the core business segments of the company, and its advantages and reliability are similar to those of environmental testing business.
The electromagnetic compatibility testing business of the company involves many large-scale equipment, the procurement cycle is long, and the release speed of production capacity after the equipment is in place is slow. In recent years, the company has invested a lot of technical transformation resources in EMC testing business. After the purchased equipment is in place, the production capacity is gradually released, and the gross profit margin still has room to improve.
11. Why is the growth rate of the company’s administrative expenses higher than that of its revenue in 2021? A: on the one hand, the company’s revenue growth in 2021 is low, but the management expenses are relatively fixed; On the other hand, the information construction and upgrading of the company’s newly acquired enterprises have a great impact on the growth rate of the company’s merger management expenses. Excluding the impact of the acquired enterprises, the growth rate of the company’s management expenses is lower than that of revenue.
A description of whether the event involves the disclosure of important information. The presentations and documents provided during the event are not attached (if any, they can be used as attachments)
