\u3000\u30 Chongqing Baiya Sanitary Products Co.Ltd(003006) 87 Guangzhou Sie Consulting Co.Ltd(300687) )
Event:
The company issued the annual report of 2021 after the closing on April 27, 2022 and the first quarter report of 2022 after the closing on April 28, 2022.
Comments:
The operating revenue increased by 39.68% year-on-year, and the core sector grew rapidly
In 2021, the company achieved an operating revenue of 1.935 billion yuan, a year-on-year increase of 39.68%; Net operating cash flow increased by 108.45%, with sufficient cash stock; The asset liability ratio decreased from 38.07% to 21.39%, and the capital structure was further improved. In terms of sectors, the revenue of intelligent manufacturing sector was 592 million yuan, a year-on-year increase of 43.23%. Thanks to the continuous improvement of product modularity and industry suite standardization, as well as the continuous optimization of relevant prototype implementation methodology, the gross profit margin of intelligent manufacturing sector was increased to 42.12%, and the profitability contribution was gradually reflected; The pan ERP segment achieved a revenue of 1.118 billion yuan, with a year-on-year increase of 37.07%. The business growth rate was faster than the management’s plan at the beginning of the year, and the synergy with the implementation of industrial software was obvious. The full stack product portfolio ability began to be recognized by the market.
The net profit attributable to the parent company increased by 27.53% year-on-year, and the new orders signed in the whole year increased by about 39% year-on-year
In 2021, the net profit attributable to the parent company was 225 million yuan, with a year-on-year increase of 27.53%. After deducting the impact of share based payment expenses, the growth rate was 45.6%. The business development continued to maintain a rapid upward trend. In terms of expenses, the company’s sales, management and R & D expenses are 103, 130 and 199 million yuan respectively, and the rates of sales, management and R & D expenses are 5.32%, 6.73% and 10.27% respectively. In terms of R & D, the company raised 650 million yuan through fixed increase at the end of 2021, and the product development of self-developed business operation continues to accelerate, which is expected to become one of the company’s new business growth poles. In terms of market operation, the company actively implements the regional expansion strategy, actively arranges economically active regions such as Wuhan, Xiamen and Chongqing, and constructs a regional local sales team to expand the sales coverage covering central, Southeast and southwest China. The scale of order signing has increased well compared with previous years. The number of new orders signed by the company in the whole year exceeded 2.5 billion yuan, with a year-on-year increase of about 39%. The number of tens of millions of orders increased significantly compared with 2020. The sales license contract of self-developed software exceeded 100 million yuan, with a good development trend.
22q1 company continued to operate steadily and strived to increase revenue growth and profit growth simultaneously throughout the year
In the first quarter of 2022, the company increased its reserve and delivery resources to meet China’s growing demand for manufacturing digital construction; At the same time, continue to introduce industrial software R & D talents to consolidate product advantages. In the first quarter of 2022, the company achieved an operating revenue of 492 million yuan, a year-on-year increase of 28.93%; The net profit attributable to the parent company was 14 million yuan, a year-on-year increase of 28.26%; The net profit deducted from non parent company was 9.6964 million yuan, with a year-on-year increase of 14.17%. According to the business plan for the whole year of 2022, the company will continue to maintain the steady development of business performance and strive to increase revenue growth and profit growth simultaneously.
Profit forecast and investment suggestions
The company’s intelligent manufacturing business has developed rapidly. Over the years, it has accumulated a large number of customers, gradually increased the volume of self-developed products and gradually improved its profitability. It is predicted that the operating revenue of the company from 2022 to 2024 will be RMB 2622, 3499 and 4581 million, the net profit attributable to the parent company will be RMB 310, 422 and 567 million, the EPS will be RMB 0.78, 1.06 and 1.43/share, and the corresponding PE will be 24.80, 18.23 and 13.57 times. In the past three years, the company’s PE has mainly operated between 30-60 times. At present, the PE TTM of the computer (Shenwan) index is 35.3 times, and the company’s target PE in 2022 is lowered to 40 times, with the target price of 31.20 yuan. Maintain the “buy” rating.
Risk tips
Covid-19 recurrent pneumonia; The demand of key customers decreases due to the impact of the external environment; The promotion of intelligent manufacturing business is less than expected; The promotion of self-developed products is less than expected; High accounts receivable; Industry competition intensifies.
