The scale of income and profit increased both in 2021. In 2021, the company realized operating income of 1.592 billion yuan, an increase of 33.40% over the same period last year, and the net profit belonging to shareholders of listed companies was 151 million yuan, an increase of 35.71% over the same period last year.
The company is actively expanding the downstream application market. ①, with intelligent hardware as the carrier, intelligent fitness at home has become one of the fast-growing markets in the world. In 2021, the company uses the opportunity of cooperation with large fitness equipment manufacturers to cut into the fast-growing global online fitness equipment market, with 15.6 "and 21.5" online fitness equipment human-computer interaction equipment as the main products. provide intelligent interactive solutions for treadmill, sports flywheel, rowing machine, etc., further expand the application field of the company's products and become a new business growth point of the company. ②, the company actively promote investment mergers and acquisitions, and further expand the company's business system. Acquire 51% stake in Longxing Technology, cut into large-size touch display and flat panel ODM business, expand vehicle display business by taking a stake in Hongtong Technology, and speed up the company's entry into the field of vehicle intelligent cockpit.
The company's acquisition of 3M Company's MicroTouch brand has achieved remarkable results. MicroTouch brand has a long history and has a wide range of industry influence. For MicroTouch brand, the company focuses on key industries and customers, strengthens the construction of brand and product portfolio, and actively sets up sales channels at home and abroad on the basis of 3M Company's original touch system product customers. In 2021, MicroTouch brand has achieved remarkable results in operation, bringing new customers and business increments to the company in many application fields, such as industrial control, medical treatment, finance and so on. We believe that through its own brand operation, the company's business model will further move from ODM/JDM to OBM, which will help to improve the company's gross profit level and accelerate business expansion.
The market demand is exuberant, the company's competitiveness and profitability continue to improve. With the gradual recovery of the real economy affected by the epidemic, the market demand of retail, finance, industrial control, game and other traditional industries gradually recovers, at the same time, the demand of emerging industries such as intelligent fitness, remote conference / education, intelligent cockpit and other industries continues to grow at a high speed. We believe that the company has established a cross-strait supply chain and manufacturing base, accumulated rich experience in cross-industry solutions, achieved remarkable results in business diversification, an increasing customer base, and rapid growth in new customer revenue to support sustained high growth in the future.
Profit forecast and valuation suggestion: we forecast that the 2022E-2024E net profit of the company will be 224 million yuan, 306 million yuan and 398 million yuan respectively. 1) using the PE valuation method, we give the company PE (2022E) 15x~18x, corresponding to the reasonable market value range of 3.36 billion yuan to 4.032 billion yuan; 2) using the PS valuation method, we give the company PS (2022E) 1.7x~2x, corresponding to the reasonable market capitalization range of 3.74 billion yuan to 4.4 billion yuan. Combining the two valuation methods, we think that the reasonable market value range of the company is 3.74 billion yuan ~ 4.032 billion yuan, and the reasonable value range is 29.22 yuan / share ~ 31.50 yuan / share. Maintain the "better than the market" rating.
Risk tips: market expansion is not as expected, downstream demand is not as expected.