\u3000\u3 China Vanke Co.Ltd(000002) 439 Venustech Group Inc(002439) )
[key points of investment]
Steady profit growth, showing performance resilience. The company released its 2021 annual report. In 2021, it achieved a revenue of 4.386 billion yuan, a year-on-year increase of 20.27%. In the whole year, the net profit attributable to the parent company was 862 million yuan, a year-on-year increase of 7.15%, and the deduction of non net profit was 764 million yuan, a year-on-year increase of 8.74%. Affected by the overall factors of the industry, the revenue was slightly lower than expected and the net profit was lower than expected. 21q4 achieved a revenue of 2.289 billion yuan in a single quarter, a year-on-year increase of + 3.86%. The epidemic factors at the end of the year affected the company's Q4 single quarter revenue; In Q4, the net profit attributable to the parent company and the net profit deducted from non net profit in a single quarter were 877 million yuan and 815 million yuan respectively. In the new business stage of strategic layout, the company still achieved positive growth in revenue and profit by means of strategic focus on resources and strengthening the front and back field management system. During the reporting period, the company strengthened the management of accounts receivable, the growth rate of accounts receivable decreased by 21 PCT compared with the same period of 20 years, and realized sales return of 4.469 billion yuan, an increase of 33.09% compared with the same period of last year, ensuring a healthy cash flow level. The overall gross profit margin of sales was 65.99%, an increase of 2.12pct compared with the previous year. The optimization of business structure led to the improvement of gross profit level.
Overweight new tracks, research, development and sales, and long-term layout. In 2021, the company increased investment to strengthen R & D reserves and sales layout, resulting in sales expenses of 1.102 billion yuan (+ 38.54%), R & D expenses of 846 million yuan (+ 31.48%), management expenses of 215 million yuan (+ 33.02%), and the number of R & D personnel increased by 18.92% year-on-year. During the reporting period, the share payment generated by the company's employee stock ownership plan was about 77 million yuan. At the sales level, the company has strengthened the channel and regional construction, and has deployed the "mayor's plan" in 60 + cities. The revenue in East China increased by 40.73% to 520 million yuan year-on-year, and the revenue generated by the distribution mode was 1.202 billion yuan, up 21.63% year-on-year. In the future, the operation center will be promoted in combination with the "mayor's plan".
The growth of traditional and emerging businesses has been steady. In terms of product structure, in 2021, the revenue of safety products was 2.927 billion yuan (+ 15.47%), and the gross profit margin was 65.89% (+ 3.03pct); The revenue of safe operation and service was 1.432 billion yuan (+ 30.95%), and the gross profit margin was 66.36% (+ 0.36pct). The company's marketing investment focuses on the container business layout of the company's safety operation center. By the end of 2021, the company has built 119 urban safety operation centers. In 2001, the company established a data security headquarters in Hangzhou, released the data Oasis Technology framework, and proposed the evolution path of 1.0 data object security - 2.0 data aggregation security - 3.0 data circulation security. The revenue of data security business was 912 million yuan, with a year-on-year increase of 52%, of which the revenue of data security 2.0 and 3.0 was 312 million yuan. The four new security business segments of data security 2.0 and 3.0, security operation center, industrial Internet Security and cloud security achieved a total revenue of 1.554 billion yuan, a year-on-year increase of 48%. The operating revenue of new track products such as EDR and full flow detection increased by more than 300%. Traditional business is the company's advantage. Data security products, database security audit and protection, operation and maintenance security audit and other products have maintained the first market share in China for many consecutive years. The rapid growth of emerging businesses shows the company's potential for development.
[investment suggestions]
The company is a leading enterprise in China's network security industry. The traditional security business is growing steadily, and the emerging business is on the track of rapid rise. It is optimistic about the company's new security layout and drives the company into a new stage of high-speed development. Due to the change of macro environment and the disturbance of local epidemic situation, the profit forecast for the company from 2022 to 2023 is slightly reduced, and the profit forecast for the company in 2024 is introduced. It is estimated that from 2022 to 2024, the company's operating revenue will be 5.558/68.15/8.275 billion yuan respectively, the net profit attributable to the parent company will be 1.123/13.81/1.680 billion yuan respectively, the EPS will be 1.20/1.48/1.80 yuan respectively, and the corresponding PE will be 17 / 14 / 11 times respectively, maintaining the "overweight" rating.
[risk tips]
Market competition intensifies and profits are squeezed;
Risk of project cycle change caused by local epidemic disturbance;
New business expansion is less than expected risk.
