\u3000\u30 Beijing Jingyeda Technology Co.Ltd(003005) 71 Hangzhou Anysoft Information Technology Co.Ltd(300571) )
Event overview: on April 26, 2022, the company released the annual report of 2021 and the first quarterly report of 2022.
1) in 2021, the operating revenue was 3.601 billion yuan, with a year-on-year increase of 49.57%; The net profit attributable to the parent company was 244 million yuan, a year-on-year increase of 15.74%. 2) 22q1 achieved an operating revenue of 1.287 billion yuan, a year-on-year increase of 103.60%; The net profit attributable to the parent company was 113 million yuan, a year-on-year increase of 40.10%, and the Q1 performance was much higher than expected.
Revenue growth was bright, and the decline in gross profit margin was mainly due to structural changes in revenue
In the past 21 years, the company's revenue grew rapidly, mainly driven by the growth of smart home and 5g communication high-speed business. Among them, broadband network terminal equipment achieved revenue of 1.629 billion yuan, a year-on-year increase of 64.08%, and electronic components achieved revenue of 894 million yuan, a year-on-year increase of 98.20%; Mobile reading business achieved a revenue of 938 million yuan, maintaining a relatively stable growth rate (year-on-year + 12.82%). In terms of revenue structure, the proportion of mobile reading business decreased from 34.54% to 26.06%. The company has basically transformed into a communication equipment enterprise. 22q1, the company's revenue increased by 103.60% year-on-year. We expect that the incremental contribution also mainly comes from the communication sector such as broadband network terminal equipment and electronic components.
The gross profit margin fell by 5.54 PCT to 14.96% year-on-year in 21 years, mainly due to two reasons: 1) structural changes in revenue between sub businesses: the proportion of revenue of broadband network terminal equipment (10.68%) and electronic components (10.79%) with lower gross profit margin increased, but the gross profit margin of these two businesses did not change significantly year-on-year (the former was -0.08 PCT year-on-year, and the latter was + 0.55 PCT year-on-year); 2) Structural changes in revenue of single business: for mobile reading business with high gross profit margin, due to the active expansion of new derivative business, the gross profit margin decreased by 10.30pct to 27.46% year-on-year. Looking forward to the future, with the gradual increase of high gross profit services such as antennas and small base stations (still in the early investment stage in 21 years) and the maturity of new mobile reading services, the overall gross profit margin will remain stable or increase slightly.
Gigabit broadband is booming, and yuancosmic business is progressing smoothly
In terms of smart home, the construction of "gigabit optical network" promotes the upgrading and iteration of broadband network terminal equipment (10gpon optical access equipment and WiFi 6 intelligent router), while the maturity and promotion of policy traction and superimposed smart home applications will drive the rapid increase of Gigabit broadband user penetration (only 6.40% at the end of 21). The Gigabit broadband terminal market is expected to usher in a business cycle of rising volume and price, and the company's smart home business will benefit from the core. By the end of 2021, Shenzhen Zhaoneng, a subsidiary of the company, had won a total of 9.722 billion yuan, and the outstanding orders were about 5.233 billion yuan. The company further expanded its market share in operators and looked forward to full growth momentum in the future.
In terms of metauniverse: the company has reached strategic cooperation with China Mobile and China United Network Communications Limited(600050) and focused on the field of virtual digital human; The company plans to provide digital employee services, digital member services and virtual human RBT products for communication operators at the three levels of enterprise / family / individual. At present, the digital virtual human - "xiaopang says cloud" project jointly prepared with China Mobile Hangzhou branch is in the pilot stage. If the pilot is successful, it is expected to enter the digital virtual market of China Mobile.
Investment suggestion: Smart Home + 5g communication contributes to performance increment, and metauniverse opens up imagination space. It is estimated that the net profit attributable to the parent company in 22-24 years is 372 million / 550 million / 740 million respectively. The PE multiple corresponding to the current market value is 14x / 9x / 7X, and the valuation center of the company in recent five years is 28 times. Maintain a "recommended" rating.
Risk tip: competition in the smart home business industry intensifies, and the landing of the meta universe is less than expected.
