This report is read as follows:

Maintain the overweight rating. Affected by the COVID-19 epidemic and the surrounding geopolitical and economic situation, overseas business has been greatly affected, and the increase in equity incentive fees and financial costs is a drag on profits. The revenue and profit of stock IDC business has increased steadily.

Main points of investment:

Adjust the profit forecast, lower the list price, and maintain the overweight rating. Taking into account the impact of the epidemic on shelves and overseas business, the estimated net profit of homing in 2022-2023 is adjusted to 2.21 EV/EBITDA 3.35 million yuan (the previous value is 296max 3.95 million), and the new forecast for 2024 is 509 million yuan, corresponding to 0.58 shock 1.33 yuan. Taking into account the potential of the number of new cabinets and the climbing rate of shelves, the industry valuation level is given to 23 times EV/EBITDA in 2022, corresponding to the target price of 21.28 yuan. Maintain the overweight rating.

Profits from overseas operations have declined, expenses have increased, and the performance in 2021 has been slightly lower than expected, with some factors Q1 continuing. The reasons are: (1) 2021 the amount of equity incentive share payment included in the current profit and loss is 17.9089 million yuan; (2) in non-recurrent profit and loss, the investment income of amethyst storage stock is-19.4477 million yuan in 2021 and 34.9815 million yuan in 2020; (3) due to changes in accounting standards, the cost of leased right-to-use assets has increased by 13.5406 million yuan. (4) the overseas business has been greatly affected by the epidemic situation of COVID-19 and the surrounding geopolitical and economic situation; (5) the formulation and implementation of the company's carbon neutralization and new energy strategy has increased the cost.

The revenue and profit of stock IDC business has increased steadily, with more than 50, 000 reserves under construction. In recent years, the business income in North China, which is mainly distributed in Beijing and Langfang, has exceeded 600 million, an increase of 76.83% over 2020, and has become the main driving force of the company's performance growth. Langfang Gu'an (total planning 25000 cabinets), Guangzhou Nansha (total planning 10000 cabinets), Tianjin Wuqing (total planning 12000 cabinets), Kunming, Yunnan (first phase planning 3300 cabinets), Jiangxi Nanchang (total planning 2200 cabinets) are making steady progress.

Catalyst: downstream customers accelerate the shelves, and the reserve projects are delivered smoothly.

Risk Tip: data center delivery may not be as expected, downstream customers on the shelf may not be as expected.