Both revenue and deduction profits will grow by more than 10% in 2021. Jinqiao Information released its 2021 annual report on the evening of April 12, with annual revenue of 1.122 billion yuan, an increase of 11.75% over the same period last year, a net profit of 89 million yuan, an increase of 0.12% over the same period last year, and a net profit of 82 million yuan, an increase of 12.78% over the same period last year.
In 2021, the performance continues to maintain high-quality and steady growth, and the performance is in line with our expectations.
The innovation business continues to grow, and the traditional main business remains stable. With the specific split of Jinqiao's businesses, traditional business wisdom scenarios and smart buildings achieved good growth, with year-on-year growth rates of 12.1% and 10.5% respectively, and absolute income of 6.6 yuan and 290 million yuan respectively, still contributing stable performance to the company. Big data, Jinqiao's innovative business, and its cloud service platform achieved 173 million yuan in revenue in 2021, an increase of 14% over the same period last year, and the gross profit margin remained at a high level of 52.35%. The company's innovative business mainly includes mobile execution, the new generation of mobile case handling and other self-research software, with the continued increase in the share of Saas revenue, the growth and profitability of innovative business is expected to continue to improve.
Judicial Saas has been continuously promoted, with annual revenue reaching 38.08 million yuan. The company provides courts with a service model based on SaaS platform, and the mobile enforcement platform has achieved full coverage of 3500 + courts across the country, contributing 38.0879 million yuan in revenue in 2021, which continues to maintain rapid growth compared to 12.4 million yuan in 21H1 revenue, while considering the number of courts across the country, the growth of mobile enforcement APP business is still far from stopping. On the one hand, judicial Saas has changed the company's traditional integration-based business model, on the other hand, more judicial software has entered the court system to create benchmarking cases.
Financial technology helps the judicial platform to land, and the imagination space is worth looking forward to. The cooperation between Jinqiao and Ant in the judicial blockchain is the company's biggest potential attraction. The company disclosed in its 2021 annual report that in January 2022, Golden Bridge signed an "Operation Service Agreement" with Ant blockchain. The two sides jointly build a judicial online service platform based on blockchain to provide relevant operational services for Jizhi Auto Finance Co., Ltd. The signing of the contract marks the landing of the overall solution of the company's Internet financial dispute resolution, and lays a good foundation for the next step of business development in the field of financial dispute resolution across the country. Enabling financial justice through scientific and technological means is the key direction of cooperation between Jinqiao and ants, while looking forward to the large number of potential customers, auto financing companies, banks and Internet giants of major car companies are all potential customers of the company, so the imagination space is worth looking forward to.
Investment suggestion: the 22-24 year net profit of the company is expected to be 1.1,1.5 and 180 million yuan respectively, and the market capitalization on April 13 corresponds to 24, 18 and 14 times the PE of 22-24 years. Maintain the "recommendation" rating, taking into account the valuation reshaping brought about by the company's Saas business and the potential market space for its innovative business.
Risk tips: the promotion of new products is not as expected; the impact of the epidemic hinders the implementation of the project; and the intensification of industry competition leads to a decline in gross profit margin.