\u3000\u30 Guangdong Tengen Industrial Group Co.Ltd(003003) 49 Goldcard Smart Group Co.Ltd(300349) )
1. Event: the company released the annual report of 2021. During the reporting period, the company achieved an operating revenue of 2.301 billion yuan, a year-on-year increase of 18.97%; The net profit attributable to the parent company was 267 million yuan, a year-on-year increase of 139.65%; The net profit deducted from non parent company was 203 million yuan, with a year-on-year increase of 690.44%.
2. Under the influence of the epidemic, the upstream raw materials are in short supply, the income scale resumes growth, and the short-term profits of the industry are still under pressure: as one of China's leading Internet of things enterprises with digital measurement as the core, the company mainly provides end-to-end comprehensive solutions for customers in the fields of gas and water. By combining intelligent control technology with measurement sensing technology and communication technology, it forms an Internet of things solution with the independently developed IOT PAAS cloud platform to provide software and hardware integrated digital services for multiple industry characteristics.
(1) in the gas scenario, the epidemic situation was under normal control, the prosperity of industrial and commercial production and operation demand rebounded, the penetration rate of Nb IOT intelligent terminal increased, and the overall product promotion continued to increase;
(2) for the water scenario, the revenue has exceeded 100 million yuan, the group marketing has been continuously strengthened, and business cooperation has been reached with more than 400 customers. It is expected to build the water scenario into another application scenario that keeps pace with the gas scenario in the next three to five years.
3. The overall three rates remain stable, the R & D investment is leading in the industry, and the independently developed products are expected to break the foreign monopoly.
4. Increase goods preparation, build industrial parks and strengthen the expansion of water business: the company's inventory amount increased in 2021, mainly due to changes in the external macro environment and the adjustment of the company's procurement strategy. At the same time, the company is also expanding its business scope and building industrial parks. We believe that the company's investment in inventory and the construction of industrial parks will help the company improve production capacity and obtain higher income in the future.
5. Seize the opportunities of Digital China and dual carbon strategy and develop multi industry software and hardware integrated digital services.
(1) the company continues to give full play to the advantages of the in-depth combination of Internet of things system solutions and measurement scenarios; (2) Give full play to the advantages of electronic technology, continue to promote the industrial layout of the Internet of things and develop the communication module business; (3) Give play to the hub advantages of IOT pass platform. At present, two application scenarios of gas and water have been laid out based on 5g NB IOT technology. In the future, it will expand to industrial process metering scenario and hydrogen energy metering scenario.
6. Investment suggestion: benefiting from the intelligent upgrading and transformation, the civilian penetration rate of Nb IOT terminal continues to increase; At the same time, the development of water meter market is expected to open up new market space by relying on the leading edge of technology. With the gradual recovery of the epidemic and the replacement of old tables, the performance of industry and commerce is expected to stabilize and recover. Considering the impact of the epidemic and geopolitics, the cost of raw materials and sales expenses for business development have increased slightly, reducing the profit space and slightly reducing the profit expectation. It is estimated that the revenue in 22-24 years will be adjusted from 27.36/32.18/n/a billion yuan to 27.13/31.773725 billion yuan respectively, and the earnings per share will be adjusted from 0.88/1.06/n/a yuan to 0.73/0.87/1.07 yuan respectively, corresponding to the closing price of 10.74 yuan / share on April 15, 2022, and PE will be 14.72/12.39/10.02 times respectively, Maintain the "buy" rating.
7. Risk warning: the application and promotion of natural gas is not as expected; The business competition of Internet of things platform intensifies the risk; The development of water affairs scene is less than expected; The uncertain impact of the epidemic on overseas export business in particular is a systemic risk.
