\u3000\u3 Guocheng Mining Co.Ltd(000688) 636 Chengdu Zhimingda Electronics Co.Ltd(688636) )
Key investment points
Performance summary: the company] achieved an operating revenue of 450 million yuan in 2021, with a year-on-year increase of 38.4%; In 2021, the company realized a net profit attributable to the parent company of 110 million yuan, with a year-on-year increase of 30.3%.
The company’s annual revenue and net profit attributable to the parent company increased by more than 30% in 2021, and the gross profit margin continued to maintain a high level. 1) From the revenue side, the company’s revenue increased by 38.4% year-on-year in 2021, mainly due to the significant increase in the company’s orders. In 2021, the company’s orders on hand were 517 million yuan, a year-on-year increase of 29.6%. In terms of business, the company’s airborne product revenue reached 300 million yuan, a year-on-year increase of 56.5%; The revenue of missile borne products reached 60 million yuan, a year-on-year increase of 138.5%; The revenue of on-board products reached 40 million yuan, a year-on-year decrease of 16.7%; The revenue of Shipborne products reached 06 million yuan, a year-on-year decrease of 78.7%; The revenue from other products reached 380 million yuan, a year-on-year increase of 41.8%. 2) From the profit side, the net profit attributable to the parent company increased by 30.3% year-on-year in 2021, and the net profit attributable to the parent company after excluding the impact of share based payment expenses was 130 million yuan, a year-on-year increase of 56.3%. The gross profit margin of the company was 61.1%, down 2.1% from the same period last year. 3) From the expense side, the company’s sales, management and R & D expense rates in 2021 were 33.2%, 12.8% and 12.8% respectively, of which the R & D expense increased by 68.4% year-on-year, mainly due to the increase of 28.5% of R & D personnel and 40.8% of salary over the same period last year.
The military embedded computer industry has entered a golden period of development, and the company actively responds to the new trend of the industry. At present, the development and application of embedded computer has become a new growth point of national economy, and the prosperity of the industry has been improved. In 2021, under this background, the company strengthened the supply chain guarantee measures, and its airborne and missile borne embedded computer products achieved rapid development, with a significant increase in overall performance. At the same time, the company increased R & D investment, increased the number of R & D personnel and continued to expand new product categories. The company increased the capital of mingkesi micro, formed the synergy of industrial chain, committed to achieving benign and sustainable development in the future, and laid a construction foundation for product development and technological progress. At present, the company has realized the independent control of components, raw materials, software operating system and other aspects, and has realized batch application in multiple models of equipment. In the future, the company will continue to follow the development trend of new industry direction and new technology, and carry out multi-directional development and innovation.
Profit forecast and investment suggestions. It is estimated that the EPS from 2022 to 2024 will be 3.08 yuan, 4.50 yuan and 6.62 yuan respectively, and the net profit attributable to the parent company will reach a compound growth rate of 44.1% in the next three years. Considering that the embedded computer industry has ushered in a stage of rapid development, the company, as a leading enterprise in the field of military embedded computers, continues to increase its investment in R & D and the market. It is expected that the order volume of the company will increase significantly in 2022. The company is valued at 45 times in 2022, corresponding to the target price of 138.6 yuan, maintaining the “buy” rating.
Risk tips: military expenditure is less than expected, product research and development is less than expected, customer development is less than expected and other risks
