\u3000\u3 Shengda Resources Co.Ltd(000603) 019 Dawning Information Industry Co.Ltd(603019) )
On April 14, 2022, the company released its annual report for 2021. In 2021, it realized an operating revenue of 11.2 billion yuan, a year-on-year increase of 10.23%; The net profit attributable to the parent company was 1.158 billion yuan, a year-on-year increase of 40.78%; Net profit deducted from non parent company was 773 million yuan, with a year-on-year increase of 46.98%.
The head customers in the core areas continue to expand, and the business optimization brings about the increase of gross profit margin. 1) By business line,
The company’s high-end computer and software business grew by more than 10%, and its storage products also grew. 2) From the perspective of industry coverage, the company continues to expand in multiple industries, and domestic servers are tested in many central enterprises; Actively participate in the centralized procurement projects of the three major operators in the telecommunications field, and expand the shortlisted categories of centralized procurement; In the financial industry, the company’s server products are implemented in customers such as one bank, two sessions, large state-owned banks, policy banks, joint-stock banks, insurance groups, head securities companies and exchanges. Haiguang information, a joint-stock subsidiary of the company, achieved rapid growth, with a revenue of 2.31 billion yuan in 2021, a year-on-year increase of 126%; The net profit attributable to the parent company was 327 million yuan, a year-on-year increase of 936%.
After optimizing the business structure, the gross profit margin of the company was comprehensively improved. The gross profit margin of the three business lines of enterprise, government and public utilities increased year-on-year, and the overall gross profit margin increased by 1.61 percentage points compared with the same period last year.
Actively grasp the policy trend, strengthen the research and development of core products, and the high increase of contract liabilities indicates the future growth potential.
1) in terms of R & D of domestic high-end computers, the company continued to increase R & D investment, developed high-end computers, IO chips and IO modules, underlying control firmware and other products of domestic processor chips, broke through the core key technologies of high-end computers, and realized batch supply in the fields of finance, securities, communications and so on. In 2021, the company invested 1.534 billion yuan in R & D, accounting for 13.69% of its main business income. In recent three years, the company has invested 3.395 billion yuan in R & D. continuous R & D investment is an important guarantee for the company to improve its core competitiveness.
2) in terms of policy dividends, the company actively complies with the policy trends of “counting from the east to the west”, and the “ecological integrated big data center” scheme can reduce the pue value of computing facilities to 1.04. At present, the company is actively promoting the implementation of data center projects in Beijing Tianjin Hebei, Chongqing Chongqing, Gansu and other national integrated computing network hub nodes.
3) in terms of supercomputing business, as a leading enterprise in China, the company has continuously enriched the ecology of advanced computing industry. In 2021, it released the “5A” intelligent computing center solution and has participated in the construction of intelligent computing centers in many places. At the same time, the company’s contractual liabilities at the end of 2021 were 1.853 billion yuan, a year-on-year increase of 39%, an increase of 16% over the third quarterly report. The high increase in contract liabilities indicates that the company’s business is in a state of rapid development and its future growth potential is expected.
Investment suggestion: the company is a leading enterprise in the field of information and innovation in China. It is expected to benefit from the continuous promotion of information and innovation in key industries. At the same time, supercomputing and other businesses maintain market advantages and will continue to benefit under the policy trend of “counting East and counting West”. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be RMB 1.538/19.77/2.472 billion, and the corresponding PE of the share price on April 14 will be 27x, 21x and 17x respectively, maintaining the “recommended” rating.
Risk tip: the pace of information innovation in key downstream industries is uncertain, and the progress of ecological cooperation is less than expected.
