\u3000\u3000 Navinfo Co.Ltd(002405) (002405)
Event:
The company issued the 2021 annual performance forecast on the afternoon of January 16, 2022.
Comments:
It is estimated that the net profit attributable to the parent company will be RMB 101-131 million in 2021, turning losses into profits year-on-year
In 2021, the company is expected to achieve an operating revenue of 2.9-3.1 billion yuan, with a year-on-year increase of 35.03% – 44.34%, mainly due to: 1) the commercialization of high-precision maps, automatic driving data compliance platform, automatic driving solutions and intelligent Internet service, and the business revenue of advanced auxiliary driving, automatic driving and Internet of vehicles increased significantly year-on-year; 2) Affected by the growth of sales of high-end models, the vehicle specification level navigation business continues to maintain a growth trend; 3) Based on the position big data platform products and services built in the vertical field, it has been continuously recognized and affirmed by government and enterprise customers. The net profit attributable to the parent company is expected to be 101-131 million yuan, with a year-on-year increase of 132.65% – 142.45%; It is expected to realize a net profit of 43-64 million yuan, a year-on-year increase of 112.35% – 118.46%, which is due to the growth of main business income and the increase of income from fixed and raised funds. The shipment volume and revenue contribution of MCU and other chip products increased compared with the previous year, but the tight supply of automotive electronic chips and the increase of raw material prices still had a great impact on the company.
Facing new business scenarios, the company continues to increase product development and investment
Facing the development opportunities brought by the implementation of the national “double carbon” strategy, the acceleration of the mass production process of “new three modernizations” of automobiles, and the rapid upgrading of network security / data security requirements, the company continues to increase its efforts in navigation electronic map data security, cloud integrated data service capability, future data compliance operation capability, automatic driving scenario solutions Product development and investment in new energy vehicles and intelligent travel. Facing the customization demand of space-time big data driven by the construction of urban digital base, the company continues to strengthen the construction of data ecology and scene service capacity. Facing the shortage of global chip supply, the company actively adjusts its industrial cooperation strategy and constantly gives play to industrial synergy.
Autopilot data management orders continued to land, opening up the company’s future growth space
The state has increasingly strict supervision on the commercial operation of automobile data and online data. Based on its deep understanding of the industry, the company provides data hosting services for mass-produced vehicles and test vehicles for many car factories, and completes the delivery of data hosting operation services. On November 3, the company announced that it had obtained the order of Daimler automatic driving data management service platform; On December 20, the company announced that it signed a service agreement related to automatic driving with Volvo, including data acquisition, processing and compliance services; On December 25, the company announced that it had obtained the purchase order of Ford lbs data compliance platform. The company continues to expand in the field of automatic driving. With the recognition of global head car manufacturers, the company has opened a long-term growth space in the field of automotive data.
Investment advice and profit forecast
The company firmly promotes the “smart car brain” strategy. Under the background of great changes in the automotive industry, there is a large room for growth in the future. Referring to the performance forecast for 2021, the operating revenue forecast for 2021-2023 is slightly increased to RMB 2.916 billion, 3.513 billion and 4.181 billion, and the net profit attributable to the parent company is slightly increased to RMB 114 million, 310 million and 430 million, corresponding to PE of 35603, 130.60 and 94.07 times. At present, the company has made great efforts to layout the era of intelligent driving, with more R & D investment, which has a great impact on the net profit. Therefore, the PS valuation method is more appropriate. In the past five years, the company’s PS has mainly operated between 8-20 times, maintaining the company’s target PS of 15 times in 2022, with the corresponding target price of 22.19 yuan. Upgrade to “buy” rating.
Risk tips
Covid-19 recurrent pneumonia; Global chip supply is tight; The progress of new product research and development is less than expected; The implementation progress of automatic driving function L3 and above is less than expected: the industry competition is intensified, etc.
