\u3000\u3 Shengda Resources Co.Ltd(000603) 444 G-Bits Network Technology(Xiamen)Co.Ltd(603444) )
Event: G-Bits Network Technology(Xiamen)Co.Ltd(603444) released the first quarter report of 2022 on April 22. In the first quarter of 2022, the company realized an operating revenue of 1.229 billion yuan, a year-on-year increase of 9.98%; The net profit attributable to the shareholders of the parent company was 350 million yuan, a year-on-year decrease of 4.27%; The net profit attributable to shareholders of listed companies after deducting non recurring profits and losses was 333 million yuan, a year-on-year decrease of 6.14%; The net cash flow from operating activities was 328 million yuan, an increase of 0.10% year-on-year; The weighted average return on net assets was 7.35%.
Main business fundamentals: the revenue of core games remained stable, and the main revenue contributed by the launch of new games increased.
Statement details: contract liabilities continue to increase, and deferred income remains to be released
R & D capability: as the number of employees increases, the salary increases accordingly, and the company’s R & D capability is expected to be further improved.
Recent product trends: the 6th anniversary service of “ask for a hand tour” is opened, and a new round of joint activities will be launched for “Yinian Xiaoyao”. Obi Island: dream country has opened an omni-channel reservation, and the omni-channel payment test is expected to be opened on April 28. “Eye of deep space” was launched on April 22. At present, taptap score is 8.1, IOS game free list is No. 1, and best seller list is No. 6. “Reloading outpost” appeared in the high-energy video game festival of station B.
Industry environment: nine months after the suspension, the distribution of Chinese game version numbers was resumed to improve the performance flexibility of A-share game companies.
Taking into account that the issuance cost of the parent company is RMB 2.671 billion / 2021, the net profit of the company is RMB 2.653 billion / 2021, which corresponds to a slight reduction of RMB 2.652 billion / 2021, and the corresponding financial revenue of the company is RMB 2.671 billion / 2021. Based on the closing price on April 22, PE is 14 times / 12 times / 9 times, maintaining the “buy” rating.
Risk tips: macro environmental factors; Regulatory policy factors; Project promotion factors; Content infringement factors
