This report is read as follows:
The company's Q3 net profit in a single quarter was 59 million yuan, an increase of 53% over the same period last year. The company increases its research and development to build a BIM platform to advance into the fields of electric power, transportation, water conservancy and so on. Maintain the "overweight" rating and lower the target price to 16.65 yuan.
Main points of investment:
The company's performance was lower than we expected and the target price was lowered to 16.65 yuan. The company's net profit in the first three quarters was 93 million yuan, which was 28% lower than the same period last year. Q3's single-quarter net profit was 59 million yuan, an increase of 53% over the same period last year, and returned to growth after the impact of the epidemic. On the basis of improving the electric power BIM platform, the company promotes the BIM platform to march into the fields of transportation, water conservancy, construction and so on. Taking into account the impact of the epidemic, the net profit for 2020-2022 is estimated to be 2.88 yuan (- 0.53 million), 3.76 yuan (- 0.95 million), 4.79 billion yuan (- 1.34 billion), corresponding to 0.48 yuan, 0.62 yuan and 0.79 yuan respectively. With reference to comparable companies, the target price will be lowered to 16.65 yuan (- 1.18mai 7%), corresponding to the 2020 PE35X, maintaining the "overweight" rating.
Q3 growth has gradually returned, and operating cash flow has improved significantly. The company Q1-2 has a revenue of 5.15 billion yuan (- 22%) and a net profit of 93 million yuan (- 28%). Of this total, Q3 has a single-quarter revenue of 271 million yuan (+ 26%) and a net profit of 59 million yuan (+ 53%). Q3 single-quarter operating net cash flow of 250 million yuan, a significant improvement over the same period in 2019, driving Q1-3 operating net cash flow positive, reaching 177 million yuan, a significant improvement compared with the same period in 2019.
Improve the electric power product system and march into the infrastructure BIM. The company continues to improve the product system in the field of power grid design, launch cost products, and gradually realize the integration of design, calculation and cost. Relying on the technology accumulation in the electric power field and taking BIM+GIS as the industrial digital development engine, the company further optimizes the underlying technical route and product architecture system, develops and improves the BIM platform, and promotes the expansion of BIM products into transportation, water conservancy, construction and other fields other than electric power, providing smart grid, intelligent construction, intelligent transportation, intelligent water conservancy and other solutions. Products include design tools, cost tools, construction management tools, visual operation and maintenance and other products.
Catalyst: the state has issued a new policy on electricity reform, and the company has launched new products for research and development.
Core risk: BIM expanded less than expected in other areas, second outbreak of the epidemic