\u3000\u3 China Vanke Co.Ltd(000002) 929 Runjian Co.Ltd(002929) )
Event:
The company issued the annual report of 2021 and the first quarterly report of 2022. In 2021, the company realized a revenue of 6.602 billion yuan, a year-on-year increase of 57.47%; The net profit attributable to the parent company was RMB 353 million, a year-on-year increase of 47.88%. In the first quarter of 2022, the company realized a revenue of 1.703 billion yuan, a year-on-year increase of 43.27%; The net profit attributable to the parent company was 103 million yuan, a year-on-year increase of 48.38%.
Our comments are as follows:
The company is strategically positioned as the manager and operator of communication information network and energy network. The leading position of traditional communication management and maintenance is prominent. The layout of information and energy network has achieved results and continued to grow at a high speed.
The revenue of various businesses in the 21st year is as follows: 1) the revenue of communication network management and maintenance is 4.348 billion yuan, with a year-on-year increase of 27.69%. Operators and tower companies spent about 354.2 billion yuan on network operation and maintenance in 21 years, with a year-on-year increase of 10.77%. As the largest private enterprise in the industry, the company's market share is expected to continue to increase, laying the foundation for the company's sustainable growth; 2) The revenue from information network management and maintenance was 1.326 billion yuan, a year-on-year increase of 211.75%. In the era of digital economy, there is a broad space for industrial digital growth. The company focuses on safe China, powerful education country, Rural Revitalization and other fields, independently develops a series of digital service products, superimposes IDC full life cycle services, and is expected to continue to grow at a high speed; 3) Energy network management and maintenance revenue was 926 million yuan, a year-on-year increase of 158.11%. The company focuses on the full life cycle services of comprehensive energy management on the user side (IDC, base stations, industrial parks, commercial buildings, etc.), as well as the management and maintenance of new energy power stations and power grids on the power generation side. Recently, a large number of important contracts have been implemented. There are sufficient orders in the early development, construction, operation and maintenance fields of photovoltaic and wind power, and it is expected to continue to grow at a high speed in the future.
The gross profit margin increased steadily, the human efficiency continued to improve, and the management strength was highlighted.
In 2021, the overall gross profit margin of the company's management and maintenance business was 20.21%, with a year-on-year increase of 3.05 percentage points, including: 1) the gross profit margin of communication network management and maintenance was 20.34%, with a year-on-year increase of 2.09 percentage points; 2) The gross profit margin of information network management and maintenance was 21.54%, a year-on-year increase of 9.01 percentage points; 3) The gross profit margin of energy network management and maintenance was 17.72%, an increase of 5.37 percentage points year-on-year. The overall gross profit margin of the company in the first quarter of 22 was 19.50%, an increase of 1.09 percentage points year-on-year. The company continued to invest in R & D and build an online digital platform to realize the intellectualization of management and maintenance business, improve the company's management and operation efficiency, and realize the reuse of resources and personnel. In 2021, the company's per capita revenue increased by nearly 30%, promoting the steady increase of the overall gross profit margin. In the future, with the continuous growth of various businesses of the company, human efficiency is expected to be further improved and the overall profitability is expected to be continuously optimized.
In the stage of business development and management efficiency improvement, the expense rate increases slightly. After the short-term factors are gradually eliminated and the income scale continues to increase, the expense rate is expected to continue to be diluted in the future.
In 2021, the overall expense rate of the company was 11.95%, with a year-on-year increase of 1.64 percentage points; In the first quarter of 2022, the overall cost rate was 12.25%, an increase of 0.88 percentage points year-on-year. The company is in a critical period of strategic layout with the expansion of communication business share and the accelerated expansion of information and energy business. The short-term sales expenses, management investment and R & D investment have increased, and the equity incentive expenses have also had a certain impact in the short term. With the continuous improvement of the company's management efficiency, the gradual elimination of short-term factors such as equity incentives, and the gradual embodiment of the scale effect of rapid income growth, the company's future expense rate is expected to continue to be diluted.
Reiterate the company's core development logic:
As a leader in the management and maintenance of private communication networks, the company has steadily increased its market share, a stable leading position and stable long-term business development. Focusing on the core advantages of the company's technical reserves, customer relations, in-depth service network, strong R & D and innovation ability, focus on expanding the business layout of energy network, information network management and maintenance, etc. The company continues to win important orders in the main communication industry, IDC, new energy and other management and maintenance businesses, showing the company's competitive strength in the three business segments, and its revenue is expected to achieve a compound growth of more than 30% in the next three years. With the growth of the income scale of the main business segments, the initial investment is expected to be continuously diluted, the income scale will continue to increase rapidly, the full reuse of superimposed personnel and resources, and the per capita income and profit of the company is also expected to grow steadily. It is estimated that the net profit attributable to the parent company in 22-24 years will be 490 million yuan, 650 million yuan and 870 million yuan respectively, corresponding to 12 times and 9 times P / E ratio in 22-23 years, and the "buy" rating is reiterated.
Risk warning: the downstream demand is low, the industry competition exceeds expectations, and the contract cannot be performed on schedule
