\u3000\u30 Beijing Telesound Electronics Co.Ltd(003004) 54 Sangfor Technologies Inc(300454) )
Event: the company released its 2021 annual report. In 2021, it realized an operating revenue of 6.805 billion yuan, a year-on-year increase of 24.67%; The net profit attributable to the parent company was 273 million yuan, a year-on-year decrease of 66.29%; The net profit attributable to the parent company after non deduction was 131 million yuan, a year-on-year decrease of 80.66%.
The company released the first quarterly report of 2022, realizing an operating revenue of 1.144 billion yuan, a year-on-year increase of 4.76%; The net profit attributable to the parent company was -518 million yuan, a year-on-year decrease of 438.90%; The net profit attributable to the parent company after deducting non-profit was -580 million yuan, a year-on-year decrease of 281.63%.
Enterprise and cloud computing businesses grew rapidly. According to the classification of customers, enterprise customers grew the fastest, with a revenue of 2.619 billion yuan, a year-on-year increase of 39.85%; Followed by finance and others, with an income of 766 million yuan, a year-on-year increase of 22.45%; The revenue of government and public institutions was 3.42 billion yuan, a year-on-year increase of 15.53%. In terms of business, the revenue from cloud computing and it infrastructure was 2.379 billion yuan, a year-on-year increase of 49.53%; The business income of basic network and Internet of things was 737 million yuan, a year-on-year increase of 42.15%; The revenue of network security business was 3.689 billion yuan, a year-on-year increase of 10.15%.
Security xaas business is an important focus of the company. In 2020, the company took the lead in launching sangforaccess, a cloud security access service platform based on SASE model in China. In 2021, the company upgraded the cloud native technology of the cloud security service platform again and launched the cloud delivery SASE micro service architecture. The company continued to lay out its multi cloud security strategy and launched two new cloud security products, MCSP and CWPP.
Continue to invest in R & D. In 2021, the R & D expense ratio of the company was 30.68%, an increase of 3.03 percentage points compared with the same period last year. The company has released database management platform DMP products, big data intelligent platform Abdi products, terminal security and other products, which is beneficial to the future development of the company.
Investment suggestion: the company is a leading enterprise in information security and cloud computing in China. We expect the company's EPS from 2022 to 2024 to be 1.20 yuan, 1.63 yuan and 2.22 yuan respectively, maintaining the "buy" rating.
Risk warning: the progress of data security business is not as expected; Industry competition intensifies.
