\u3000\u3 Guocheng Mining Co.Ltd(000688) 083 Zwsoft Co.Ltd(Guangzhou)(688083) )
Core view
Affected by the epidemic and other factors, the short-term performance is under phased pressure. The operating income of the company in 2022q1 was 862624 million yuan, with a year-on-year increase of 1.24%. The net profit loss attributable to the parent was 19.942 million yuan, the net profit loss not attributable to the parent was 368626 million yuan, and the net cash flow from operating activities was – 110 million yuan. The expense side is relatively rigid, resulting in pressure on short-term profits. Since last year, the company has increased its recruitment efforts, and the number of employees has increased by 58% compared with the same period of last year. In addition, the company has continuously improved the salary and welfare level, implemented the equity incentive plan, and continued to increase the investment in sales promotion and R & D. the sharp increase in expenses in this period has affected the short-term profit performance.
China’s business sector grew steadily, while education and overseas sectors suffered short-term setbacks. (1) China’s commercial sector: since the fourth quarter of last year, the company has adopted the sales strategy of comprehensively sinking localization services and focusing on key customers. Despite the adverse factors such as the economic downturn, China’s commercial market has maintained a steady growth trend, and the revenue of China’s commercial sector has increased by 20.30% year-on-year, which is relatively consistent with the past growth rate; (2) China education sector: affected by the epidemic, customers of colleges and universities across the country have taken strict sealing and control measures, the promotion of the company’s education business and project acceptance have been hindered to some extent, and the revenue of China education sector has remained stable year-on-year. The company’s business has not been gradually improved and its basic education will not be gradually improved; (3) In the overseas sector, disturbed by the tense international situation, the intensification of the conflict between Russia and Ukraine, the change of foreign exchange rate and other factors, the company’s revenue in the overseas sector fell to a certain extent year-on-year.
The company always focuses on polishing product quality and laying a solid foundation for long-term sound development. In the 2dcad sector, the research and development of win and Linux versions has been steadily promoted; In the 3dcad sector, we continued to strengthen the research and development of a new generation of three-dimensional platform Wukong platform. 3dcad performed well and its revenue increased by 33.69% year-on-year; As a new business, CAE grew rapidly, and its revenue increased by 48.39% year-on-year; In the cloud CAD sector, the company has made rapid progress in R & D since the cloud strategy was determined at the end of the year, and is expected to launch a test version within the year. The company always focuses on polishing products, improving product quality and laying a solid foundation for the long-term sound development of the company.
Risk tip: the downstream demand is less than expected, and the product R & D is less than expected.
Investment advice: maintain the “buy” rating.
Affected by short-term factors such as China’s epidemic situation and macroeconomic environment, the performance in the first quarter is under pressure, and the company is still optimistic about the opportunity of domestic substitution as the leader of domestic CAX for a long time. Maintain the profit forecast. It is estimated that the operating revenue will be 854 / 1160 / 1538 million yuan in 22-24 years, and the net profit attributable to the parent company will be 241 / 328 / 441 million yuan in 22-24 years, corresponding to the P / E ratio of 53.0x/38.9x/28.9x, maintaining the “buy” rating.
