Event
Recently, the company released its annual report for 2019, with an annual operating income of 2.734 billion yuan, an increase of 1.49% over the same period last year, and a net profit of 446 million yuan, an increase of 6.73% over the same period last year.
Comment
The company is the sixth largest fixed communication satellite operator in the world, with high-quality communication satellite resources and rich frequency orbit resources.
The company is the second fixed communication satellite operator in Asia and the sixth in the world. It operates and manages 15 commercial communication and broadcasting satellites. The satellite transponder resources cover C band, Ku band and Ka band, among which there are about 520 satellite transponders in C band and Ku band and 26 spot beams in Ka band. Satellite communications and broadcasting signals cover the whole of China, Australia, Southeast Asia, South Asia, the Middle East, Europe, Africa and other regions.
As a "national team" safeguarding the rights and interests of China's space frequency orbital resources, in more than 20 orbital positions within the arc section of geosynchronous orbit from 41.6 degrees west to 164 degrees east longitude, through the national authorities forward-looking to ITU a wealth of satellite network data, and actively carry out frequency coordination to maintain the effectiveness of the satellite network, of which more than 10 orbit positions have been operated and maintained for many years It has become a high-quality satellite frequency orbit resource.
The operating performance was stable, domestic revenue grew steadily, and overseas revenue declined slightly in 2019. The company achieved operating income of 2.734 billion yuan, an increase of 1.49% over the same period last year, and a net profit of 446 million yuan, an increase of 6.73% over the same period last year. Among them, domestic operating income was 1.787 billion, up 5.90% from the same period last year, and overseas operating income was 947 million, down 5.9% from the same period last year. In some overseas countries and regions, the supply of traditional C-band resources exceeds the demand, and the market competition is relatively fierce.
Satellite space segment operation business: in China, the satellite radio and television business remains stable as a whole, vigorously develop radio and television transmission satellite incremental services, and make new progress in high-definition satellite programs; by improving the efficiency of resource allocation, achieve sustained growth in communications business Overseas, while striving to maintain market stability, vigorously developing new markets in Southeast Asia, Europe and other regions has not only successfully acquired new business users, but also achieved the expansion of key projects, laying the foundation for steady performance growth in 2020.
Satellite communications service: relying on the "Starcom" business brand, focusing on the ship-borne key markets, the user scale is constantly expanding, and the number of ships on the network is more than 6000; follow the key applications such as universal service, emergency communications, industrial Internet and so on. Fully launch the relay back transmission service of 4G base stations in remote areas of the three basic telecom operators. Organize and carry out scene marketing for key industries, and initially complete the typical case design of application scenarios in many fields, such as petroleum, geological hazard monitoring and forestry.
Pay attention to the development of high-throughput satellite market
High-throughput satellite has the advantages of large bandwidth, low cost, wide coverage and small terminal, and has realized commercial operation in Europe and the United States. With the rapid growth of satellite broadband services based on high-throughput satellites, providing integrated information and communication services for maritime, aviation, energy, telecommunications and other industries has become a hot spot of current development. China Satellite 16, launched by China Satcom in April 2017, is a high-throughput satellite. It is also the first time that China has put high-throughput satellite resources into commercial application and has a broad application prospect.
Profit forecast and investment rating: the traditional satellite operation business is stable, the high-throughput satellite market is broad, and it covers for the first time. The company is the sixth largest fixed communications satellite operator in the world, with high-quality communications satellite resources and rich frequency orbit resources. The company's traditional satellite operation business maintains steady development, and the high-throughput satellite market has a broad space. It is estimated that the company's net profit from 2020 to 2022 will be 4.93,6.25 and 770 million yuan respectively, an increase of 10.35%, 26.91% and 23.12% respectively over the same period last year. The corresponding EPS for 20 to 22 years will be 0.12,0.16,0.19 yuan respectively, and the corresponding share price PE will be 128,101,82 times respectively.