\u3000\u3 Guocheng Mining Co.Ltd(000688) 023 Dbappsecurity Co.Ltd(688023) )
Event: on April 23, the company released the annual report of 2021 and the first quarterly report of 2022. In 2021, the company achieved a revenue of 1.82 billion yuan, a year-on-year increase of 37.59%, and the net profit attributable to the parent company was 138065 million yuan, a year-on-year decrease of 89.71%; Deduct the net profit not attributable to the parent company -795946 million yuan, which turned from profit to loss on a year-on-year basis; The basic earnings per share is 0.18 yuan. In 2022, Q1 achieved a revenue of 233 million yuan, a year-on-year increase of 26.9%; The net profit attributable to the parent company was -190 million yuan, with a year-on-year expansion, and the basic earnings per share was -2.42 yuan. In the early stage, we predicted that the revenue and profit in 21 years were 1.842156 billion yuan respectively, and the profit was lower than expected.
Comments:
The income structure has been continuously optimized, and the expense rate has increased rapidly
From the perspective of products in 2021, the revenue of the company’s network security basic products was 528 million yuan, a year-on-year increase of 14.51%; The revenue of network security platform products was 588 million yuan, a year-on-year increase of 31.99%, and data security related products achieved ultra-high growth; The revenue of security services was 589 million yuan, a year-on-year increase of 59.83%. The annual gross profit margin of sales was 63.96%, a year-on-year decrease of 5.01pct. The sales expense was 636 million yuan, a year-on-year increase of 44.72%, the management expense was 166 million yuan, and the net sales interest rate was 0.61%, a year-on-year decrease of 9.35 PCT.
Continue to increase R & D investment, and the transformation will affect the current performance
By the end of the 21st century, the company had 1255 R & D personnel, with a year-on-year increase of 37.61%, accounting for 34.75% of the total number of employees; The R & D expenditure was 536 million yuan, with a year-on-year increase of 71.82%. The proportion of R & D investment in revenue was 29.42%, with a year-on-year increase of 5.86 PCT, and the R & D investment was 100% expensed. The company continued to invest in cloud security, big data security, Internet of things security and security services, and increased its investment in technology research and development, market development and management optimization of relevant products and platforms in new strategic directions such as data security, information creation security, terminal security and intelligent security gateway. New business is expected to become a new profit growth point.
Profit forecast and valuation
Taking into account the intensified competition in the industry, the strategic transformation of the company and the changes in the valuation of the sector, we adjusted the revenue of 202223 to 2.406/3.132 billion yuan (the original value is 2.494 billion yuan and 3.457 billion yuan), and the net profit attributable to the parent company to 17 / 84 million yuan respectively (the original value is 2.25/308 billion yuan). At the same time, we increased the 24-year profit forecast revenue to 4.024 billion yuan, the net profit to 153 million yuan, EPS to 0.21/1.07/1.95 yuan / share, and the corresponding PE to 617x / 122x / 67x respectively. Maintain the “overweight” rating.
Risk tips
Repeated outbreaks; The expenditure of downstream customers does not meet expectations; Network security and cloud computing market competition intensifies; New business market expansion did not meet expectations.
