The quality of business has been significantly improved and the profitability has improved rapidly.
In the first half of 19 years, the company achieved operating income of 313 million yuan, a decrease of 28.40% over the same period last year, but realized a net profit of 9.511 million yuan, an increase of 683.6% over the same period last year. Mainly due to the improvement of the company's business structure and the improvement of the profitability of the main business. In the first half of the year, according to the strategic layout of "financial equipment-financial technology-financial services", the company focused on the strategy of business, accelerated the adjustment of product structure and quickly improved the level of profitability. At the same time, Huijin integrates the supply chain business with the combination of acquisition and fiduciary operation to further improve the layout of the financial services industry. In addition, the company optimizes its organizational structure, transforms capital-controlled groups into state-owned actual holdings, and increases reserves and new opportunities for follow-up development.
The business structure of intelligent manufacturing has improved, and the market of new industries has advanced well.
In the first half of 2019, in response to the increasingly fierce competition trend in the financial equipment market, the company strengthened internal cost control to achieve a rapid increase in gross profit margin while reducing the revenue scale of non-strategic business. Among them, the gross profit margin of intelligent self-service terminal equipment business increased by 19.62% over the same period last year, and the gross profit margin of banking business increased by 11.65% over the same period last year. In addition, the company strengthens product improvement and new product research and development, relies on the original advantages to quickly connect the needs of new industry customers, successfully develops new customers and business, the company's intelligent manufacturing business from financial equipment to intelligent office, smart city software and hardware development, has completed the development of intelligent file management system, intelligent garbage bins and some new retail smart products and has been put into the market one after another.
The business of informatization and system integration is developing steadily.
This part of the company's business is mainly contributed by the acquisition company Zhongke Touda last year, which currently accounts for about 69.5% of the company's total revenue. Huijin cooperates closely with many well-known ICT manufacturers at home and abroad, has a sound management system and manufacturer qualification certification, through professional information comprehensive solution capabilities, according to customer needs to provide information solutions and operation and maintenance services. At present, the company has formed a high-quality customer group with financial institutions, large enterprises and government customers as the core. This part of the customer information transformation demand is strong, it is expected that there are a large number of follow-up projects and continuous service demand, which is conducive to the sustainable development of the business. In the first half of the year, China Cotuoda achieved a net profit of about 23 million, and there is a good chance that it will complete its bet commitment of 53 million for the whole year.
With the entry of state-owned assets, the new business plate of supply chain service has been formed.
In the first half of the year, after the construction investment in Handan City became the new actual controller of the company, the company completed the smooth transfer of the old and new management, the management team became younger, and the new state-owned shareholders identified the financial technology business represented by the supply chain business as the main starting point in the future. the organizational structure and personnel reserve have been completed. in order to promote the planning of the financial services industry with supply chain services as the core, the company set up a financial department in January 2019. In April 2019, the company set up the supply chain Division, which is responsible for the overall financing planning, arrangement and supply chain related business matters of the company. On July 11, 2019, the company held the sixth interim shareholders' meeting in 2019. The meeting approved the acquisition of 100% equity of Qingdao Weiheng International supply chain Management Co., Ltd., Hebei Zhaohong Trading Co., Ltd., 60% equity of Shanxi Xintongjiu Industry and Trade Co., Ltd., 60% equity of Shenzhen Weiheng International supply chain Management Co., Ltd., and entrusted operation of Shenzhen Huarong Jian Tou Commercial factoring Co., Ltd., etc. Resolution. In August, some of the completed assets to be injected into listed companies are injected into listed companies, and the mature supply chain business of state-owned controlling shareholders is injected into listed companies by means of acquisition and entrusted operation. the formation of a supply chain service plate specializing in serving the coal, coke, iron ore, building materials industries and specific small and medium-sized private enterprises will help to further enhance the profitability of listed companies and thicken the overall performance of the company.
Investment advice: the company's traditional business is growing steadily, and the injection of supply chain assets is expected to contribute greater profits in the future. We expect the company to achieve net profit of 0.75,1.2 and 170 million in 19-21, with a "recommended" rating of 54,34 and 24 times PE corresponding to the current market capitalization.
Risk tips: the decline in distribution business; cloud computing transformation is lower than expected; big data and other new business development is not as expected.
