\u3000\u3 China Vanke Co.Ltd(000002) 544 Gci Science & Technology Co.Ltd(002544) )
Key investment points
In 2021, the performance was brilliant, and the transformation achieved phased results. The company’s annual revenue in 2021 was 6.553 billion, a year-on-year increase of + 4.09%; The net profit attributable to the parent company was 142 million, a year-on-year increase of + 47.04%; The net profit of non parent company deducted in Q4 of 21 years is negative. Net profit of parent company + q2.81% year on year. This is mainly because the company has comprehensively promoted various tasks of reform and development in accordance with the work requirements of “the main position of industrial development, the main force of asset preservation and appreciation, the main channel of external financing and the main platform for system and mechanism innovation”, and the results of transformation and upgrading have initially appeared.
We continued to maintain the advantages of the platform and made phased progress in both public and private networks Gci Science & Technology Co.Ltd(002544) as one of the listed companies subordinate to CETC, it can obtain the support of CETC in terms of resource allocation and industrial integration. While consolidating the main position of operators’ design business, public network communication has comprehensively expanded the industry information design market; Entering the Sichuan market of China Mobile, China Mobile has greatly expanded the market share of centralized procurement in Guangdong Province and China United Network Communications Limited(600050) Jilin and other provinces; Government enterprise informatization planning and design orders have historically exceeded 100 million yuan. The position of private network communication in advantageous industries has remained stable, and the cultivation industries such as emergency management and public security have achieved growth. The urban rail transit industry maintains the first market share in the market segment; The signing of a strategic agreement with Shijiazhuang rail group has paved a good beginning for the development of 5g market in urban rail industry, won the bid for key projects all over the country and made remarkable progress.
Intelligent manufacturing continued to expand, and overseas business achieved results. The company has a certain market share in the professional fields of PCB, time-frequency devices and emergency communication. Affected by the construction of national defense informatization and the expansion of PCB demand, the revenue of the company’s intelligent manufacturing business has increased by 20.39% year-on-year in 21 years. The company continues to maintain rapid growth in the field of intelligent manufacturing, and the profit level has been significantly improved. At the same time, the company’s communication service business has achieved phased results in Southeast Asia and initially has the ability to operate overseas. Its Myanmar subsidiary’s broadband operation business has made a leap forward development, and the number of registered users has exceeded 100000. It is expected to help the overseas layout and marketing of other businesses and products in the future.
Obvious advantages of state-owned assets, optimistic about the long-term development of 5g industry of the company. With the support of CETC, the company has the advantages of financing and capital operation. Taking the 5g + PCB workshop level application practice of Zhuhai PCB intelligent factory as the benchmark, the company takes the lead in implementing 5g end-to-end scenario solutions, and will gradually form a business model of “deep ploughing vertically and then horizontal expansion” in the field of private network intelligent applications. In the future, the company will take the whole system solution of “end network cloud” as the starting point to provide users with one-stop solutions. We are optimistic about the follow-up development of the company’s production period in 5g related industry applications.
Profit forecast and investment rating: the epidemic situation will intensify in 2022, affecting the demand of downstream industries and the company’s shipments. Therefore, we will reduce the company’s operating revenue from 8.227/9.094 billion yuan to 7.155/7.755 billion yuan in 20222023, estimate that the revenue in 2024 will be 8.298 billion yuan, increase EPS from 0.22/0.26 yuan to 0.23/0.26 yuan in 20222023, and estimate that EPS in 2024 will be 0.3 yuan, corresponding to 93 / 82 / 71 times of PE valuation in 20222024, Maintain the “buy” rating.
Risk tip: 5g promotion is not as expected, and the epidemic affects business promotion.
