\u3000\u3 China Vanke Co.Ltd(000002) 368 Taiji Computer Corporation Limited(002368) )
On April 28, 2022, the company released the first quarter report of 2022, realizing an operating revenue of 1.859 billion yuan, a year-on-year increase of 18.65%; The net profit attributable to the parent company was 187212 million yuan, a year-on-year decrease of 5.08%; Deduct non net profit of RMB 159645 million, with a year-on-year increase of 9.56%.
The growth rate of cash flow exceeds that of profit, and the high growth of contract liabilities reflects the development potential. The company's 22q1 operating net cash flow increased by 25.06% year-on-year, exceeding the growth rate of net profit attributable to the parent and net profit deducted from non attributable to the parent, reflecting good operating conditions and cash flow management ability. Meanwhile, the company's contractual liabilities at the end of the reporting period were about 3.2 billion yuan, with a year-on-year increase of about 33%, reflecting the future development potential to a certain extent.
The business prospect of Xinchuang is promising, and the value of core assets is prominent. 1) In the field of information and Innovation: in 2021, the company increased resource investment to ensure the rapid promotion of large-scale delivery of information and innovation projects. At the same time, it strengthened the expansion of markets in important industries such as party and government e-government, telecommunications and finance, and signed nearly 3 billion yuan of new information and innovation projects. As a leading enterprise in China's database field, NPC Jincang currently derives about 70% of its revenue from the party and government industry, and its overall market share in the field of Party and government information and innovation database is more than 50%. At the same time, the gold warehouse of the National People's Congress actively expanded to key industries such as finance, telecommunications and energy, and supported the successful launch of the first real-time online business system in the communication industry; Complete the migration of hundreds of business systems for a single customer in the financial field; In the localization and upgrading projects of Petrochina Company Limited(601857) , CNOOC and China Petroleum & Chemical Corporation(600028) the market share reached 100%, 75% and 50% respectively. In 2021, the performance of the National People's Congress gold warehouse also increased significantly. In 2021, the operating revenue was 340 million yuan, a year-on-year increase of 41%, and the net profit was 31.294 million yuan, a year-on-year increase of 400%.
2) in the field of Digital Government: the company has established a product system of "one network for all", Internet + supervision "one network for unified management" and integrated social management for government services. On April 19, 2022, the 25th meeting of the Central Committee for comprehensively deepening reform was held. The meeting defined important policy directions such as the construction of digital government, and deliberated and adopted policy documents such as the guiding opinions on strengthening the construction of digital government. The meeting pointed out that the digital reform should help the transformation of government functions, comprehensively promote the intensive construction of government application systems in various industries and fields, and build a collaborative and efficient government digital performance capacity system. The company is the core industrial platform of CETC's network and information industry. Under the overall planning of the group company, it not only establishes a basic software industry system covering multiple links, but also is expected to continue to cultivate in digital government and other fields with its own advantages.
Investment suggestion: the company is expected to further strengthen its advantages in the field of information innovation and build a basic software industry system covering operating system, database and middleware. As the "national team" and "leader" of government cloud and information innovation, the company will usher in new development opportunities. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be 521 / 649 / 788 million yuan, and the corresponding PE will be 19x, 15x and 12x respectively, maintaining the "recommended" rating.
Risk tip: industry competition intensifies, the progress of technical route reform is less than expected, and the implementation progress of specific industries is less than expected.
