I. Overview of events
According to the company's annual report for the year and a half, the operating income during the reporting period was 603 million yuan, an increase of 10.58% over the same period last year, and the net profit belonging to shareholders of listed companies was 36.0677 million yuan, an increase of 23.46% over the same period last year.
II. Analysis and judgment
The software cloud business is developing rapidly. In conjunction with Huawei to launch multi-industry solutions, the company has accumulated technology in transportation, industrial Internet and 5G smart parks. In the first half of 20 years, the company's software cloud service revenue increased by 109.58% compared with the same period last year, and the cost increased by 83.57% compared with the same period last year. The source of income is mainly from Longzi Lake Wisdom Island IOC and 5G application integration project, Changsha highway cancellation of toll station software procurement, Changsha grain management system construction and a series of industry solution projects. Through years of technology accumulation, the company has reached cooperation with Huawei in various industries to promote solutions. For example, its AI audit products will be promoted nationwide through Huawei channels and taking the Changsha Expressway Project as a benchmark.
Centering on Kunpeng ecology, building a leading "soft + hard" strategic coordination model around Kunpeng ecology, the company builds a leading "soft + hard" industrial park around Kunpeng ecology. based on the production and sale of Kunpeng servers, combined with its own software technology and national channel advantages, Huawei actively distributes Kunpeng ecology in other provinces and cities throughout the country to form a platform + ecology + ISV+ service model to seize the market. During the reporting period, the server and PC machine products developed and manufactured by Kunpeng in Xiangjiang have been successfully offline, and the production and sales are being carried out in an orderly manner. In terms of software, the company completes the integration solution of adaptation certification and personnel training through the operation of Hunan Kunpeng Computing Innovation Center. Relying on Hunan Kunpeng Computing Industry Alliance to integrate industrial ecology, in addition, on July 2, the company reached a strategic framework cooperation agreement with Gansu Lanzhou government and Huawei on the development of Kunpeng ecology in Lanzhou and launched the implementation of the project. The layout of other parts of the country has been carried out.
III. Investment suggestions
Maintain the recommended rating. The company's software cloud-related business is developing rapidly, the industry solutions built by Huawei ecology continue to advance, the development of education information business is relatively stable, and online education centers benefit from online education promotion. Therefore, we estimate that the company's 20-22 EPS is 0.08 EPS 0.11 0.15, corresponding to the current price PE is 143X/103X/73X. At present, the comparable company Chengmai Technology Wind20 annual PE of 222X, considering the rapid development of the company's cloud business, so maintain the "recommended" rating.
Fourth, risk tips:
The promotion of industry solutions is not as expected, and the competition in the education information industry is intensified.