\u3000\u3000 Yonyou Network Technology Co.Ltd(600588) (600588)
Digitization has become a “consensus”. Recently, various departments have repeatedly issued documents referring to “digitization”. On January 8, 22, the Ministry of industry and information technology issued the implementation guide for digitization of manufacturing quality management (for Trial Implementation), on December 28, 21, the Ministry of industry and information technology jointly issued the intelligent manufacturing development plan of the 14th five year plan, and on November 30, 21, the development plan for the deep integration of informatization and industrialization of the 14th five year plan was issued. From the above important policy documents, we can see that digitization and intelligence have become the “consensus” of China’s high-quality development in the future.
The trend of “digitization” is obvious, and clear requirements will be put forward by 2025. From a series of “the 14th five year plan” planning documents recently issued by the Ministry of industry and information technology, it has become a significant trend to enable the manufacturing industry by digitization. According to the document planning guidelines, by 2025, the digital popularization rate of enterprise operation and management will reach 80%, the popularization rate of digital R & D and design tools will reach 85%, the NC rate of key processes will reach 68%, and the popularization rate of industrial Internet platform will reach 45%.
UFIDA focused on cloud transformation, with beautiful results in the first three quarters of 21 years. Yonyou Network Technology Co.Ltd(600588) as a leader in Chinese enterprise services, the 21-year strategy focuses on cloud transformation. According to the data in the third quarterly report, the transformation results are beautiful. As of 21q3, the company’s cloud business revenue was 2.53 billion yuan, a year-on-year increase of 83%, surpassing software as the largest business composition for the first time. All key indicators of SaaS achieved good growth: arr reached 1.18 billion yuan, an increase of 41.5% over the half year; The renewal rate of large enterprises is 108.26%, that of medium-sized enterprises is 73.31%, and that of small enterprises is 80.75%; Cloud contract liabilities in the first three quarters were 1.304 billion yuan, an increase of 20.3% over the beginning of the year.
Be a digital pioneer and layout the whole industrial chain of “digital intelligence” of the enterprise. From the perspective of UFIDA’s product system, it already has the layout of the whole industrial chain that enables enterprises to digitize. In the front-end product R & D, UFIDA PLM has signed contracts with large auto enterprises; In terms of enterprise digital production and management, NCC, u8c, u9c and T + C cloud ERP systems for large, medium and small customers have been improved day by day; In the connection and coordination between the enterprise and the external industrial chain, yonbip and yonsuite continue to sign heavy customers as strategic products; Focusing on industrial enterprises, “Jingzhi” industrial Internet platform, as the only double cross platform selected in the top ten, has become a benchmark project. From an overall perspective, UFIDA has the ability to enable enterprises to digitize all links, and is expected to become the “pioneer” of Chinese enterprises\’ digital transformation.
Investment suggestion: it is estimated that the company’s revenue in 21-23 years will be RMB 9.64 billion, RMB 12.46 billion and RMB 14.97 billion respectively, and the net profit attributable to the parent company in 21-23 years will be RMB 1.10 billion, RMB 1.22 billion and RMB 1.63 billion respectively. The current market value corresponds to 100, 90 and 67 times of PE in 21 years and 11 / 9 times of PS in 21 / 22 years. UFIDA is the leader of China’s ERP software SaaS. At present, under the unanimous expectation of wind, the average PS of China Cloud Computing SaaS company in 21 / 22 years is 21 / 16 times, and the company’s PS valuation has room for improvement. Therefore, the “recommended” rating is maintained.
Risk tip: the downward pressure of economy and the decline of enterprise it expenditure; The gross profit margin decreased due to the intensification of industry competition; The R & D and promotion progress of yonbip, a heavy product, was less than expected
