\u3000\u3 China Vanke Co.Ltd(000002) 153 Beijing Shiji Information Technology Co.Ltd(002153) )
Event:
The company issued the 2021 annual report after the closing on April 27, 2022.
Comments:
The operating income was basically the same as that of the previous year, and the net profit was affected by factors such as goodwill impairment
In 2021, the company achieved an operating revenue of 3.215 billion yuan, a year-on-year decrease of 3.09%; The net profit attributable to the parent company was a loss of 478 million yuan. The company's net profit attributable to the parent company changed significantly in the fourth quarter, mainly due to: 1) the company conducted an impairment test on goodwill at the end of the year and made a provision for goodwill impairment of 352 million yuan; 2) Due to the significant adverse impact of the continuous high incidence of overseas epidemics and the repeated epidemics in China, the business development of the company failed to meet expectations, and the revenue decreased significantly in the fourth quarter, resulting in a significant reduction in the net profit attributable to the parent company; 3) The company has always adhered to the internationalization and platform development strategy, increased investment in product testing and promotion, and increased R & D expenses and sales expenses, resulting in a large fluctuation in net profit in the fourth quarter. With the gradual improvement of the epidemic situation outside China and the strengthening of the company's new product launch and promotion, the company's profitability is expected to gradually recover.
SaaS business arr achieved good growth and continued to promote the development of platform and direct connection technology
In terms of SaaS business, the company's repeatable subscription fee (ARR) was 258 million yuan at the end of December 2021, with a year-on-year increase of about 26.2%, mainly due to the significant growth of SaaS business arr in mainland China. At the end of 2021, the total number of stores of the company's enterprise customers (end users) was about 80000 hotels, with an average renewal rate of more than 90%. In terms of platform, Changlian continued to promote the promotion and application of direct connection technology solutions in the global hotel distribution and direct sales industry, and completed 211 direct connection projects. In 2021, the annual output of direct connection exceeded 11.3 million nights, an increase of about 49% compared with the output of 7.57 million nights in 2020, and an increase of about 16% compared with the annual output of 9.78 million nights in 2019 before the epidemic.
Shiji enterprise platform was successfully launched in the demonstration Hotel, and significant progress was made in international business
The company's new generation of cloud catering management system infrasyscloud has entered a period of stable and rapid development, and continues to successfully pass the legal / financial certification of dozens of countries around the world, becoming the global standard of many well-known high-end international hotel groups. By the end of 2021, the total number of customers of the company's infrasyscloud POS products had reached 2271. The company's new generation of cloud PMS stone based enterprise platform - hotel industry solution has passed the global certification of industry benchmark customers Peninsula Hotel Group and intercontinental hotel group, and continues to sign up and launch new hotels around the world. By the end of 2021, Shiji enterprise platform had launched 27 hotels in Peninsula, intercontinental, ruby, QBIC, sircle, Duxton and other hotel groups, including one Peninsula Hotel demonstration Hotel and two intercontinental hotel group demonstration hotels.
Profit forecast and investment suggestions
With the acceleration of the cloud transformation of the hotel industry, the company follows the trend. The new generation of cloud platform products have successfully opened the global high-end market and have broad growth space in the future; With massive customer resources, the platform strategy is expected to help the company's transformation and upgrading. It is predicted that the operating revenue of the company from 2022 to 2024 will be RMB 3.737 billion, 4.430 billion and 5.280 billion, the net profit attributable to the parent company will be RMB 126 million, 269 million and 495 million, the EPS will be RMB 0.08, 0.18 and 0.33/share, and the corresponding PE will be 213.85, 99.96 and 54.22 times. At present, the company is in the transition period, with large investment in R & D and other items, which has an obvious impact on the net profit margin. PS valuation method is applicable. In the past three years, the company's PS has mainly operated between 7-15 times. Considering the recent adjustment of market valuation level, the company's target PS in 2022 has been reduced to 10 times, and the target price is 24.92 yuan. Maintain the "buy" rating.
Risk tips
Covid-19 recurrent pneumonia; The development progress of Shiji enterprises in overseas market is lower than expected; The promotion of platform strategy is less than expected; Sino US trade disputes may affect overseas business development.
