\u3000\u3 China Vanke Co.Ltd(000002) 410 Glodon Company Limited(002410) )
Event:
In the first quarter of the year, the company achieved revenue of 1.131 billion, a year-on-year increase of 33.21%, net profit attributable to the parent company of 109 million, a year-on-year increase of 41.91%, and 94 million after deduction, a year-on-year increase of 25.02%
The growth rate of revenue in the first quarter was slightly higher than expected, and the marketization of cost is expected to improve the market space
In the first quarter, the revenue increased by 33.21% year-on-year, and the operating revenue slightly exceeded expectations, mainly due to the rapid growth of digital cost business revenue. Contract liabilities decreased by 12.24% year-on-year, mainly due to the revenue carried forward from contract liabilities of cloud transformation of cost business. In terms of profitability, the gross profit margin of the company in the first quarter decreased by 4.4 percentage points year-on-year, and the net profit margin increased by 0.13 percentage points. In terms of expense rate, the sales expense rate, management expense rate and R & D expense rate decreased by 2.2/0.4/2.76 percentage points respectively, and the financial expense rate increased by 1.22 percentage points. We believe that the rapid growth of the company’s revenue in the first quarter indicates that the company’s cost cloud transformation is progressing smoothly, the cloud business model smoothes out the cyclical impact brought by downstream industries, and the operating efficiency continues to improve. Under the background of cost marketization transformation, the company continues to promote the upgrading of the concept of “digital cost management”. In response to the market-oriented reform of cost, the market-oriented pricing products have been officially applied in many state-owned investment pilot projects. We believe that the cost marketization reform is expected to continue to improve the cost market space.
The digital infrastructure scheme is complete, and the product penetration is expected to continue to improve
For infrastructure customers, the company released the overall solution of digital infrastructure, including tool products (BIM parametric modeling, infrastructure zebra progress, etc.) and project level digital solutions (infrastructure materials, infrastructure labor, infrastructure progress, digital infrastructure command and dispatching platform, etc.), and the construction of multiple model projects, which played a leading and exemplary role in the digital transformation of infrastructure industry. We believe that digital infrastructure products meet the needs of “cross time and space” remote command and scheduling of infrastructure projects, solve the problems of remote management of infrastructure projects, help projects improve scheduling efficiency, reduce resource waste and avoid construction delay. Following the national infrastructure development plan, relevant products are expected to continue to penetrate.
Investment suggestion: considering the improvement of market space brought by the cost marketization reform and the continuous improvement of the penetration rate of digital infrastructure products. We maintain the 22-24 year profit forecast, with revenue of 69.12/82.94/9.787 billion and net profit of 10.86/13.93/1.733 billion, maintaining the “buy” rating.
Risk tip: the development of construction and design business is less than expected, the result of cloud transformation is less than expected, and the space for cost marketization reform is less than expected
