Domestic password security leader, maintaining the "buy" rating
We maintain the company's 2022-2024 homing net profit forecast of 2.05,2.65, 336 million yuan, EPS 1.49,1.92,2.44 yuan per share, the current stock price corresponding to PE is 40.4,31.2, 24.6 times, the company as a password security leader, the product line continues to expand, we are optimistic about the company's development prospects and maintain the "buy" rating.
Q3 performance exceeded expectations, and the expense rate decreased significantly during the period.
(1) in the first three quarters, the company realized operating income of 311 million yuan, an increase of 20.61% over the same period last year, a net profit of 54.4178 million yuan, an increase of 9.87%, and a deduction of 49.2385 million yuan for non-net profit, an increase of 23.97% over the same period last year.
Of this total, Q3 achieved an operating income of 141 million yuan in the single quarter, an increase of 34.78% over the same period last year, a net profit of 29.1212 million yuan, an increase of 44.12% over the same period last year, and a non-return net profit of 28.9358 million yuan, an increase of 78.59% over the same period last year. The rapid growth of the company's revenue is mainly due to the continued consolidation of the company's position in the banking sector, while making great breakthroughs in the securities, fund, futures and insurance industries.
(2) the Q3 expense rate decreased significantly, of which the sales expense rate and R & D expense rate were 14.69% and 23.40% respectively, which decreased significantly by 5.44% and 2.01% compared with the same period last year, and the management expense rate was 12.09%, an increase of 1% over the same period last year.
(3) the company's inventory increased by 80.34% over the beginning of the year, mainly due to the increase in the number of goods issued. At the same time, the company's prepaid account increased by 302.66%, mainly due to the increase in the prepayment of raw materials and testing fees. In addition, the company's contract liabilities increased by 78% compared with the beginning of the year, mainly due to business growth and an increase in prepayments from customers, which to a certain extent showed that the company had abundant orders.
Strengthening cooperation with domestic basic software and hardware manufacturers is expected to benefit from Xinchuang Industry Development Company actively carrying out information technology innovation and application while continuously promoting the application of domestic cryptographic algorithms. The company's Ding'an series of information technology innovation products complete product compatibility and mutual recognition with domestic chips, operating systems and middleware products, and work together with domestic manufacturers to build a domestic ecological chain of security, credibility and win-win cooperation. It is widely used in the fields of party and government, operators and financial institutions.
Risk hint: the product line can not adapt to market development, core technical personnel loss risk, goodwill impairment risk.