\u3000\u30 Guangdong Tengen Industrial Group Co.Ltd(003003) 08 Zhongji Innolight Co.Ltd(300308) )
Performance review
On the evening of April 24, the company released the 21st Annual Report and the first quarterly report of 22 years. In the 21st year, the revenue was 7.695 billion yuan, Y / y9.9 billion yuan 16%； Net profit attributable to parent company: 877million yuan, y/y1 33%； Deduct non net profit of 728 million yuan, Y / y-4.78%. 22q1 revenue of 2.089 billion yuan, Y / y41.5% 91%； The net profit attributable to the parent company is 217 million yuan, Y / y63 38%； Deduct non net profit of 196 million yuan, Y / y79.5% 62%。
Business analysis
Cash flow increased significantly, and the strategic layout of capital operation was optimized. The net cash flow from operating activities in the year of 21 was 813 million yuan, Y / y364748%, mainly due to the increase in sales revenue corresponding to the increase in sales receipts and the decrease in cash paid for purchasing goods and receiving labor services. In 21 years, the company completed the work of issuing shares to specific objects and raised 2.699 billion yuan. In order to promote the layout of optoelectronic industry chain and other high-tech fields, he Chuang Zhiyuan fund management company was established in a joint venture with Suzhou Yuanhe holdings, and an industrial fund of 200 million yuan was established. At the end of December, the company will focus on the development of high-end optical communication transceiver module business. On April 7 this year, it was announced that it planned to use its own funds to repurchase shares for equity incentive to demonstrate confidence.
Continue to increase investment in research and development, and continuously enhance the advantages of innovative technology. The annual R & D investment was 566 million yuan, Y / y8.6 million yuan 5%, high-end product R & D and manufacturing process continued to make breakthroughs, and the forward-looking layout of lidar. 800g optical module completes sample delivery, testing and certification; The yield of 400g silicon optical chip continues to improve; 800g silicon optical chip developed successfully; Small batch production and shipment of 400gzr and 200gzr products; Continue to build 1.6T silicon optical chip, CPO and 2.5d/3d hybrid packaging platform. In March this year, the 800g silicon optical scheme was launched at ofc2022 exhibition, enriching the 800g product matrix; 400gdr4 + and 100gfr1 based on self-designed silicon optical chip have entered the market introduction stage. Optical communication is connected with the underlying technology and technology of lidar. The company has established a professional team to study lidar and explore new performance growth points.
The prosperity of digital communication field is high, and the leading position of the company is stable. Lightcounting predicts that the global optical module market will grow by 14% in the next five years. Benefiting from the construction of data center and the in-depth layout of 5g network, yole predicts that the scale of China’s optical module market is expected to reach US $3.3 billion in 2022, Y / Y22%. “East digital West computing” requires to speed up the direct data connection channel between the East and the west of Datong. There is a wide demand for data communication 800g rate optical module and coherent long-distance optical module. According to the omdia report, the company has the second largest market share in the world in 21 years, about 10%, and its leading position in the industry is stable. It is estimated that the growth rate of data communication business will be 20% +.
Profit adjustment and investment suggestions
We fine tune the profit forecast (the adjustment range of income and net profit attributable to parent company is less than 5%), and it is expected that the net profit attributable to parent company in 22-24 years will be RMB 1.154/14.55/1.785 billion, corresponding to pe20 / 16 / 13 times, maintaining the “buy” rating.
Risk tips
Sino US trade friction escalating; Competition intensifies and prices fall more than expected; New product development was less than expected.
