True Vision publishes its 2016 semi-annual report. During the reporting period, the company realized operating income of 345 million yuan, an increase of 26.87% over the same period last year, and realized net profit of 32.2118 million yuan belonging to shareholders of listed companies, an increase of 5.21% over the same period last year. We gave it a cautious first-time rating, with a target price of 102.23 yuan.
Comment
The increase in R & D investment is the main reason why the growth rate of net profit is lower than that of revenue. During the reporting period, the company's R & D investment totaled 12.1777 million yuan, an increase of 62.76% over the same period last year, resulting in net profit growth much lower than revenue growth. In addition, the sales expense was 13.0261 million yuan, an increase of 19.06% over the same period last year, and the sales expense rate decreased by 0.25% to 3.787%, which was basically the same as last year; the management expense was 31.1685 million yuan, an increase of 36.41% over the same period last year; the management expense rate increased by 0.63% to 9.04%; the financial expense was-985400 yuan, down 77.92% from the same period last year, and the financial expense rate was basically the same as last year. The loss of asset impairment increased by 4.0712 million yuan.
The strategy of "3 clouds, 3 +, 3 platforms" has been carried out smoothly, and the market competitiveness has been further enhanced. The company's positioning is accurate, and combined with its own business and technological advantages, the company puts forward the strategy of "3 Cloud, 3 +, 3 platforms", taking video as the main direction, gradually tapping customer demand, and gradually expanding VR, AR, simulation and other "intelligent +" business, and strive to provide customers with high-quality information technology and multimedia video services in the solution.
Optimistic about the future development of the company's cloud video and big data business. The company's self-developed cloud video system, "True Huitong", effectively solves the needs of the enterprise, complements its advantages with the traditional conference system, integrates cloud media, cloud training and other related functions, and takes the video business as the starting point. continue to meet the other needs of customers, and finally expand to small and medium-sized customers, in which the new third board company will become an important potential customer During the reporting period, the company's data center business achieved an operating income of 103 million yuan, accounting for 30% of the company's revenue, an increase of 466.28% over the same period last year. The proposed acquisition is an industry leader in cloud computing and data center network construction. The completion of the acquisition will greatly enhance the development of the company's data center business.
Valuation
We forecast that the company's operating income in 2016, 2017 and 2018 will be 927 million yuan, 1.184 billion yuan and 1.493 billion yuan respectively, and earnings per share will be 0.94 yuan, 1.21 yuan and 1.48 yuan respectively.
