Event: In 2022, the company achieved revenue of 1.91 billion yuan, a decrease of 9.1% over the previous year; the net profit of the mother was 82 billion yuan, an increase of 11.0% over the previous year.
Guimu achieved positive growth in net profit, and the advantage in financing costs was remarkable. In 2022, the company achieved revenue of 1.91 billion yuan, a decrease of 9.1% over the previous year; the net profit returned to the mother was 82 billion yuan, an increase of 11.0% over the previous year. The slight decline in revenue was mainly due to the company responding to the government's call to help the real economy continue to operate and develop in Zhangjiang Science City, and reducing rent for micro, small and medium-sized enterprises, which led to a decrease in real estate sales revenue and rent income. The increase in Guimu's net profit is mainly due to the fact that the fair value of financial assets held by some of the company's subsidiary joint ventures declined less in the same period last year than in the same period last year, which led to an increase in the company's investment income compared to the same period last year. The company's average financing cost in 2022 was 3.3%, a decrease of 0.3 percentage points over the previous year. The advantage in financing costs is significant.
The park development business is developing steadily, and there are plenty of projects under construction. The total revenue of the park development business in 2022 was 1.88 billion yuan, accounting for 98.8% of the company's total revenue; among them, real estate development and real estate leasing accounted for 55.2% and 43.6% of the total revenue respectively. In 2022, the company achieved a sales area of 34,000 square meters, a sales amount of 1.05 billion yuan, a leased area of 1.33 million square meters, and rental revenue of 8.3 billion yuan. The company continues to accelerate the pace of industrial carrier construction in Zhangjiang's urban sub-center, characteristic industrial parks, the Golden Central Development Belt, and urban renewal in northwest Zhangjiang. There are 13 projects under construction in 2022, with a total construction area of 1,968 million square meters, and 5 new projects started during the year, with a total construction area of 1 million square meters.
The scale of industrial investment continues to expand, and venture camps promote investment incubation. By the end of December 2022, the company's cumulative industrial investment had reached 8.12 billion yuan. Among them, there were 52 direct investment projects, with an investment amount of 2.07 billion yuan, 24 sub-funds participating in the investment, and pledged 6.05 billion yuan of capital, leveraging a capital of 54.9 billion yuan.
The market performance of the invested projects is outstanding. Weijie Chuangxin, Inji Chip, Saiwei Microelectronics, Yuncong Technology, Yifang Biotech, and Lianying Medical are all listed on the Science and Technology Innovation Board. The 895 Startup Camp and Zhiji Auto teamed up to create a special event for future cars (Season 11), and entered 26 projects. The recruitment and selection project activities for the 895 Startup Camp (Season 12) Aerospace Special started in March 2023.
Profit forecasts and investment recommendations. The company's EPS is expected to be 0.68 yuan, 0.82 yuan, and 0.92 yuan respectively in 2023-2025, and net profit returned to the mother in 2023-2025 will maintain a compound growth rate of 20.3%. Considering the steady development of the company's park development, industrial investment continues to be incubated, and the “hold” rating was given for the first time.
Risk warning: Industrial real estate competition heightens risks, capital repayments fall short of expectations, risk of fluctuations in investment returns, etc.