What happened: the company recently released its 2015 annual report and the first quarterly report of 2016. the company achieved revenue of 360 million yuan in 2015, an increase of 21.27% over the same period last year, and an operating profit of 46.3986 million yuan, an increase of 49.67% over the same period last year. The net profit attributed to the shareholders of the parent company was 65.37 million yuan, up 58.07% from the same period last year. In the first quarter of 2016, the company's revenue was 102 million, an increase of 91.13% over the same period last year, and the net profit attributed to shareholders of the parent company was 9.11 million yuan, an increase of 124.78% over the same period last year.
The demand for network content and behavior audit supervision products broke out: with the wider and wider application of the Internet, the network content has increased significantly. It is becoming more and more important to audit and supervise the bad content of the network. The demand for this kind of products will increase rapidly in the foreseeable future.
Insisting on innovation is the strong backing of the company's rapid development: in 2015, R & D personnel accounted for more than 55% of the company's total employees, and the company's R & D investment was 53.3335 million yuan, accounting for 14.82% of operating revenue. At the same time, up to now, the company has more than 40 national core technologies and more than 30 national major research and development projects. These indicators are in the forefront of similar enterprises in the industry. A large number of continuous R & D investment has laid a solid foundation for the follow-up and rapid development of the company.
Extension helps the company grow: in 2015, the company acquired Yahong Century, acquired Tang Dynasty Digital, invested in Zhongxin Secco, and became the limited partner of Chuangji Investment. According to the company's extension development plan, through the relevant extension, to promote the rapid development of the company. In the future, we will not rule out further speeding up the development of the company by means of investment, mergers and acquisitions.
Investment suggestion: we expect the company's EPS in 2016 and 2017 to be 0.36 yuan and 0.51 yuan respectively. We firmly believe that the company's business outbreak can be expected, extension expansion is strong, based on the above judgment, give a "buy" rating.
Risk hint: the policy is not as expected and the growth of the industry is slowing.