Wen Lu Technology is an integrated supplier that provides customers with park planning and design, R & D and manufacturing of high-tech amusement equipment and engineering construction services. The company vigorously implements the industrial development strategy of "culture + tourism + technology", and actively extends its business to the upper and lower reaches of the industrial chain. The revenue from 2015-2018Q3 is 2.39, 2.74, respectively, and the net profit is 0.62, 0.65 and 1.52 million, respectively. The overall growth rate is relatively fast. Among them, the proportion of revenue from park planning, design and engineering agent construction has gradually increased, with the total proportion of 2018Q3 reaching 26.86%. The expansion and extension of the upper and lower reaches of the industrial chain of the business model will further enhance the scale of newly signed projects, increase revenue and increase gross profit margin.
The company is interesting in both the short term and the long term. Short-term on-hand orders ensure performance development. By the end of 2018, the company has signed contracts and strategic cooperation framework agreements for large-scale complex projects with a total amount of RMB 690 million, respectively. It is expected that this part of the contract will be completed and generate revenue in 2019-2020. The company promises that the non-return net profit deducted in 2018-2021 will not be less than 1.69 prime 1.8pm 1.98pm 215 million respectively. For a long time, the theme park is still a sunrise industry, and the trend of subjectivity and high technology is obvious, driving the development of high-tech amusement facilities manufacturing industry.
Has its own IP card to help the company win a number of large orders. "Karle" is the company's own IP, its theme park is smaller than the Happy Valley series under Oct, but the amusement facilities are high-tech, so it is suitable for low-line urban layout. Karle theme park is mainly invested by the local government, and the company will provide a package of services such as design and planning, manufacture and installation of amusement equipment, etc. At present, the contract amount of Liuzhou, Changde and Yongzhou Karle projects is 72304 million yuan respectively, and the framework agreement amount of Zhaoqing and Dongyang projects is 100.72 billion yuan respectively, which provides a strong guarantee for the company's performance growth.
Compared with Zhongshan Golden Horse: 1) main business: Zhongshan Golden Horse is located in the upper reaches of the industry, focusing on the manufacture of large outdoor amusement facilities, cooperation with the company is greater than competition. 2) profitability: the revenue of Zhongshan Golden Horse has slowed down due to capacity saturation in the past three years, which is 496 million RMB 489 million respectively, and the net profit of non-return to mother is 0.86 pm 0.83 billion RMB respectively. Wen Lu Science and Technology has a strong profitability, mainly due to high comprehensive gross profit margin and low expenditure rate during the period. 3) Innovation ability: both of them are high-tech enterprises, which pay attention to R & D investment and continuous innovation. 2018Q3's R & D rates are 15.85% and 8.90%, respectively.
Tourism in Yunnan will usher in effective coordination. First of all, mergers and acquisitions will effectively promote the innovation ability of Yunnan tourism, improve the current situation of the weak experience model of the company's traditional park, and promote the transformation and upgrading of scenic resources; secondly, the steady growth of revenue of culture and tourism science and technology will promote Yunnan tourism to consolidate its main business and improve its performance; at the same time, it can also rely on the listing platform to promote its own development, effectively achieve complementary advantages and win-win cooperation.
Our view: with the steady growth of tourism and the upgrading of household consumption, China's theme park industry is expanding rapidly, promoting the prosperity and development of the amusement facilities manufacturing industry. As one of the leading enterprises in the manufacturing industry of high-tech amusement facilities, Wen Lu Technology is based on the concept of "culture + technology + tourism" to create a coverage model of the whole industry chain. and strong R & D strength, outstanding core competitiveness, on-hand orders, listing platform and overseas Chinese Town Group resources to ensure future business development, profitability is expected to continue to improve, it is suggested to actively pay attention to. Considering the SEO and Wente Technology for 19 years, it is estimated that the EPS for 18-20 years will be 0.48 EPS 0.270.29 yuan, and the share price corresponding to PE on April 12 will be times that of 16-29-27, maintaining a "prudent overweight" rating.
Risk tips: extreme weather affects passenger flow, industrial policy risk, goodwill impairment risk, capital integration progress is not as expected, etc.
