Main points of investment
The company actively responded to the impact of the epidemic, deducting non-return profits to achieve better growth. From January to September, the company's income of 662 million yuan decreased by 6.95% compared with the same period last year, the net profit of 75 million yuan increased by 2.73%, and the net profit of 88 million yuan increased by 40.62% over the same period last year. Q3 single-quarter company income of 227 million yuan decreased by 4.98% compared with the same period last year; the net profit of 26 million yuan increased by 585.36% over the same period last year, and the non-return net profit of 19 million yuan increased by 13.27% over the same period last year. From January to September, the company's comprehensive gross profit margin increased by 48.27% compared with the same period last year, and maintained a high level, with a net profit margin of 12.94%, an increase in 2.05pct over the same period last year, and a good level of profitability.
The policy promotes the acceleration of UHD construction, and the bid-winning Gehua Cable Project confirms the company's strength in June. "opinions of the State Administration of Radio and Television on further accelerating the Development of High-definition and Ultra-High-definition televisions" it is clear that the development of ultra-high-definition construction and the upgrading of the third-generation direct broadcast satellite terminals will be accelerated.
The company is one of the earliest manufacturers in the field of ultra-high-definition video in China, with a large number of major projects and activities landing cases. The company already has the whole industry chain solutions such as acquisition, core transmission and exchange, storage, coding and transcoding, security, monitoring and terminal, which will directly benefit the development of UHD industry.
On October 12, the company announced that the wholly-owned subsidiary Dingdian Video successfully won the bid for the first package and the second package of Gehua Cable CMC-OLT equipment procurement project in 2022 (a total of 21.16 million yuan). The winning project will play a positive role in promoting the development of the UHD industry, and will further confirm the company's technology, product and service capabilities in the UHD field, and will actively promote the development of the company in the field of UHD industry.
China is committed to the establishment of a four-tier emergency broadcasting system by 2025, and the company is deeply involved in the 14th five-year Plan for National Economic and Social Development and the outline of long-term goals for 2035. "Emergency broadcasting" is listed as a key project. In June 2021, the State Administration of Radio, Film and Television issued the emergency broadcasting standard system and issued the interim measures for the Administration of Emergency Broadcasting to speed up the construction of the emergency broadcasting system. China is committed to the basic completion of the national, provincial, municipal and county emergency broadcasting system by 2025.
The company is deeply involved in the construction of China's emergency broadcasting system, and can provide end-to-end full-link equipment and technical services. in recent years, the provincial backup system of emergency broadcasting has been won by the General Administration of bidding. provincial platforms such as Jiangsu, Shandong, Shaanxi, Fujian, Jiangxi, Liaoning and Hubei have a market share of more than 80% of the provincial emergency broadcasting platforms built in the country.
The Shandong Emergency Broadcasting Command and dispatching Center will be officially opened in the near future, and the overall solution of Shandong Provincial Emergency Broadcasting platform provided by the company is the first landing case in the country to realize the docking of provincial platform with provincial emergency command center, county-level financial media center provincial technical platform and IPTV integrated broadcast and control platform.
Profit forecast and valuation
Policies to promote ultra-high definition, live star upgrade, emergency broadcasting and other construction speed, is expected to directly promote the company's traditional business growth; actively expand meta-universe, smart cars and other new scenes, is expected to open up new growth space. It is estimated that the net profit of 22-24 years is 1.25,1.58 and 197 million yuan, and 54,43,34 times of PE.
Risk hint
The development of radio and television industry is not as expected; the development of ultra-high definition industry is not as expected; the market share of the company's products is declining and so on.
