\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 850 Cetc Digital Technology Co.Ltd(600850) )
Event overview Cetc Digital Technology Co.Ltd(600850) disclosed the annual report of 2021 on April 25, 2022. In 2021, the company achieved a revenue of 8.962 billion yuan, a year-on-year increase of 10.24%; The net profit attributable to the parent company was 323 million yuan, a year-on-year increase of 1.84%; The non net profit deducted was 312 million yuan, a year-on-year decrease of 2.14%; The basic earnings per share is 0.7574 yuan. The company plans to distribute a cash dividend of 3.8 yuan (including tax) for every 10 shares to all shareholders and increase 3 shares for every 10 shares.
At the same time, the company released the first quarter report of 2022. 22q1 achieved a revenue of 1.782 billion yuan, a year-on-year increase of 13.42%; The net profit attributable to the parent company was 71.68 million yuan, a year-on-year increase of 3.86%; The non net profit deducted was 70.49 million yuan, a year-on-year increase of 2.17%; The basic earnings per share is 0.1679 yuan.
Focusing on the core needs, the industry’s digital revenue reached a new high. In 2021, the company’s industry digital business segment revenue reached 8.129 billion yuan, a year-on-year increase of 14.48%; The gross profit margin was about 16.04%, with a year-on-year decrease of 0.36pct. According to the annual report, the company’s strategy focuses on financial technology, carries out the construction of core competence of financial technology, aims at the transformation opportunities of digital base architecture of financial institutions, accurately carries out the cloud practice of information technology innovation architecture, tamps safe and reliable global infrastructure products and solutions, and successfully builds the financial digital transformation architecture, financial extreme trading market monitoring, domestic cloud of securities trading Digital solutions for the financial industry, such as dual active private cloud of financial institutions in the same city, drive the development of financial digitization with innovation; Among them, the income of the financial industry was about 4.490 billion yuan, a year-on-year increase of more than 30%.
Improve the industrial layout and deepen the transformation of industry innovation and localization. In 2021, the company will further deepen the transformation of industry information innovation and localization, deepen strategic cooperation with leading Chinese manufacturers, and vigorously develop information innovation and localization business. Among them, the scale of business cooperation between the company and major manufacturers reached 2.571 billion yuan, a year-on-year increase of about 23.61%. At the same time, the company focused on the application innovation of financial information technology, continued to build a joint research base of financial information and innovation in Shanghai, built an ecological Laboratory of financial information and innovation, and was authorized by the people’s Bank of China. The “one cloud and seven core” software and hardware adaptation verification and evaluation environment based on the cloud platform of information and innovation and the seven mainstream processor platforms of Shenwei, Kunpeng, haiguang, Longxin, Feiteng, Zhaoxin and x86 was put into practical operation, It has effectively connected with more than 100 financial customers, provided consulting and certification, scheme recommendation, adaptation optimization, technical training and other related services, and successfully implemented information innovation solutions such as Bank Of Communications Co.Ltd(601328) , China Construction Bank Corporation(601939) , China Merchants Bank Co.Ltd(600036) , postal bank, Orient Securities Company Limited(600958) , Guotai Junan Securities Co.Ltd(601211) , Shenzhen Stock Exchange and so on.
Actively lay out new digital infrastructure and deeply cultivate data center business. In 2021, the company’s digital new infrastructure business achieved a revenue of about 968 million yuan, a year-on-year decrease of 16.43%; The gross profit margin was about 6.54%, a year-on-year decrease of 0.64pct. According to the annual report, the company actively carried out the whole ecological business layout of the data center, continued to deepen the construction business of data centers in industries such as finance, government and large enterprises, provided customers with full life-cycle services such as design, engineering, operation and maintenance, evaluation and training, and successfully implemented important projects such as Huarong Xiangjiang bank, CICC data center and automobile safety data center; In the same period, the company began to implement the third-party data center operation business, and steadily promoted the construction and operation of the data center of the financial cloud base.
Investment suggestion: Cetc Digital Technology Co.Ltd(600850) as a strategic shareholder of two top “national teams” of China Electronics Technology Group and China Ordnance Equipment Group, and located in the scarce listed company platform to build the world science and technology innovation center in Shanghai, it is expected to achieve a leap forward and profound “qualitative change” in the positioning of the company’s asset securitization platform, the quality of main business assets and the new vision of focusing on the digital transformation and development of the industry. Considering that the company’s acquisition of baifei electronics has been accepted by the CSRC, regardless of its consolidated performance, we predict that the company’s operating revenue from 2022 to 2024 will be 10.025, 11.487 and 12.915 billion yuan, the net profit attributable to the parent company will be 396, 446 and 489 million yuan, the EPS will be 0.93, 1.05 and 1.15 yuan / share, and the corresponding PE will be 23, 20 and 19 times, maintaining the “recommended” rating.
Risk warning: repeated covid-19 epidemic in China; The reorganization progress of the company is less than expected; Competition in the software and technical service industries has intensified.
