\u3000\u3 Shengda Resources Co.Ltd(000603) 444 G-Bits Network Technology(Xiamen)Co.Ltd(603444) )
Performance review
On April 22, 2022, G-Bits Network Technology(Xiamen)Co.Ltd(603444) released the first quarter report of 22 years. The revenue in 2022q1 was 1.229 billion yuan, a year-on-year increase of 9.98%; The net profit attributable to the parent company was 350 million yuan, a year-on-year decrease of 4.27%; Net profit deducted from non parent company was 333 million yuan, a year-on-year decrease of 4.13%.
Comments
The core games maintained year-on-year growth, which was partially offset by the decline in revenue of the proxy game "eight wastelands of ghost Valley": according to the data of Qimai, the best-selling list of IOS games of 22q1 company's core Games "Yinian Xiaoyao" and "ask for a hand tour" were stable at about 10 / 20 respectively. Among them, "Yinian Xiaoyao" was launched on February 1, 21, and 22q1 increased its operation time by one month year-on-year, which promoted the growth of revenue year-on-year, In addition, some new online games of 21q2-q4 also contributed revenue increment in 22q1. As the proxy game "ghost Valley eight wastelands (PC version)" is a buyout game, the revenue sustainability is lower than that of the company's mobile game, and the revenue of 22q1 decreased significantly year-on-year.
22q1 contract liabilities are further increased, and attention is paid to the gradual release of future deferred income: according to the company's announcement, 2022q1 contract liabilities are about 640 million yuan, an increase of 55 million yuan compared with the end of 2021. We believe that with the gradual recognition of these revenues, it is expected to promote the further improvement of performance.
With the further growth of 22q1 employees, the company's R & D capacity is expected to be further improved: according to the company's announcement, 22q1 employees increased by 270 year-on-year, which promoted the further improvement of relevant support. 22q1 R & D expenses / management expenses were 170 / 90 million yuan respectively, with a year-on-year increase of 16% / 45%. We believe that with the increase of R & D and operation personnel, the company's long-term operation and R & D capability is expected to be further improved.
The 6th anniversary of "ask for a hand tour" is expected to promote steady growth in performance, and pay attention to the progress of the launch of the key game "Obi Island: dream country": the 6th anniversary service of "ask for a hand tour" was officially launched on April 22, which promoted the ranking of IOS best-selling list of "ask for a hand tour" to No. 6 on April 22; In addition, the key agent game "Obi Island: dreamland" has opened omni-channel reservation. It is expected to open omni-channel payment test on April 28, which is expected to become a new increment of the company's performance.
Investment advice
It is expected that the company's core games will maintain a stable contribution, and the key reserve "Obi island" is expected to go online within the year, which is expected to promote performance growth. Due to the increase of the company's research and operation personnel and the increase of expenses, we lowered the net profit attributable to the parent company for 22-24 years by 14% / 11% / 9%, respectively to RMB 1.602/1.964/2.888 billion, corresponding to EPS of RMB 22.29/27.32/31.83 and P / E of 15.38/12.55/10.77, maintaining the buy rating.
Risk tips
The performance of core games is less than expected; The online progress of the new game is less than expected; Industry policy risk
