\u3000\u3 Shengda Resources Co.Ltd(000603) 444 G-Bits Network Technology(Xiamen)Co.Ltd(603444) )
The main business has risen steadily, and the new tour “Yinian Xiaoyao” has a good performance. In 2021, the company achieved a total operating revenue of 4.619 billion, an increase of 68.44%, a net profit attributable to the parent company of 1.469 billion, an increase of 40.34%, of which 21q4 achieved a revenue of 1.134 billion, an increase of 63.68%, a net profit attributable to the parent company of 263 million, an increase of 4.48%. The substantial growth of the company’s performance was mainly due to the stable operation of “ask questions” and “ask questions” and the excellent performance of the new online product “Yinian Xiaoyao”. Throughout the year, 21q2 was the highest point of revenue and profit, mainly due to the opening of the 5th anniversary service of “ask for a hand tour” in 21q2 and the transfer of some equity of celadon digital. The profit growth slowed down in the third and fourth quarters due to the cyclical impact of the iterative content of old products and the promotion cost and amortization expense of new tour. In addition, the company plans to distribute cash dividends of 160.00 yuan (including tax) for every 10 shares, with a dividend distribution ratio of 76%.
The performance of self-developed old tour is stable, and Obi island is worth looking forward to. Xinyou “Yinian Xiaoyao” contributed to the main incremental performance. During the reporting period, the average ranking of the best-selling list of Appstore Games was No. 11, up to No. 5 on the list. The old Tour “ask” and “ask hand tour” continue to perform well, and the agent Games “Moore Manor”, “eight wastelands of ghost Valley (PC version)”, “underground castle 3” and “world ejection story” also perform well. It is expected to release profits in 22 years. At present, the company’s agent games with edition numbers include Obi Island: dream country, dawn elite, flower falling Chang’an, lost four territories, projectg (code) and ancient treasure. Among them, the ranking and running water of OBI Island: dream country are worth looking forward to, and the mobile game has won the “annual expectation new tour Award” of the sixth golden gyroscope award The 7th Blackstone Award “hardcore game of the year” and other awards. Up to now, there are about 5 million reservation users on the whole platform of OBI Island: dream country.
The overseas market has achieved initial results and the performance contribution can be expected. During the reporting period, the company successfully released products such as ghost Valley eight wastelands (PC version), ELONA, ezknight and Yinian Xiaoyao (Hong Kong, Macao and Taiwan version). In addition, the strongest snail (Hong Kong, Macao and Taiwan version) was updated to the anniversary version in June 2021, with good feedback from players. Other overseas projects that have been launched continue to operate stably. Among them, the cumulative number of registered users of furysurvivor exceeds 5.2 million, and the underground castle (overseas version) and underground castle 2 (overseas version) perform well.
Risk tip: the game flow is lower than expected; The release of version number is delayed; High purchase volume and R & D cost.
Investment suggestion: the company’s high-quality R & D ability and long-term operation ability constitute a strong moat. There are sufficient reserves of games with edition numbers in the short term. Among them, the performance of OBI island is worth looking forward to, and the long-term overseas market is expected to contribute to incremental performance. We continue to be optimistic about the growth potential of the company. According to the latest performance disclosure of the company, we maintain the previous profit forecast for 22-23 years. It is estimated that the net profit attributable to the parent company in 22-24 years will be 1.735/19.92/228 billion, with a growth rate of 18.2% / 14.8% / 14.5%, EPS of 24.14/27.72/31.72 yuan, corresponding to PE of 15 / 13 / 12x, maintaining the “buy” rating.
