Events:
The company released its 2023 semi-annual report after the close on August 14, 2023.
Comments:
Achieve rapid growth in operating income and turn losses into profits
In the first half of 2023, the company achieved an operating income of 690.5055 million yuan, an increase of 54.59% over the same period last year, and a net profit of 52.9612 million yuan, an increase of 206.73% over the same period last year. The company will increase market development, actively promote the progress of project implementation and acceptance, and achieve a turnaround from losses to profits. In the first half of 2023, the company entered the field of remote sensing production to create the integration of remote sensing GIS, and officially released the remote sensing software product-cross-platform remote sensing image processing desktop software [SuperMap ImageX Pro (Beta)], realizing the whole process processing and application of remote sensing GIS integration. The software is oriented to satellite remote sensing image data and integrates the international leading core algorithms of photogrammetry and remote sensing.
Attach importance to the research and development of cutting-edge technology and enhance AI empowerment
For the CV model, the company released in June this year's product SuperMap GIS 2023 integrated SAM vision model, to help remote sensing of all elements, fine-grained segmentation, and cooperate with the upstream target detection model, to make up for the lack of SAM semantic deficiency. Aiming at the large-scale NLP model, the future GIS laboratory of Chaotu Research Institute will introduce it into the vertical field of the industry and provide privatization deployment solutions. at present, two projects have been developed: natural resources knowledge question and answer assistant and hypermap product support question and answer assistant. Aiming at the multi-modal large model, the future GIS laboratory of Supermap Research Institute starts with AI painting and lays out the field of AIGC, and develops an integrated application project of adaptation planning business, such as comparative map and planning concept map before and after rural reconstruction. SuperMap GIS 2023 released by the company integrates pre-training models represented by Transformer technology, and provides a variety of pre-training models for remote sensing image interpretation, with an average accuracy of 85%, so that users do not need training, save labor, and can be used right out of the box.
Xinchuang continued to develop its business, and Tatu Hui achieved a major breakthrough in the contract volume in the first half of 2023. In the first half of 2023, the company's basic software sales contract increased by 40% compared with the same period last year; the newly signed contract value was 86.15 million yuan, an increase of 54% over the same period last year. In addition, the company has increased its expansion in the fields of energy, communications, aerospace, transportation and other fields, and has won the bid for GIS-related projects for users such as National Pipe Network Group, China Petroleum & Chemical, China Huaneng, a holding subsidiary of China Aerospace, China Railway Construction Corporation, China Academy of Railway Sciences, China Electric Power Construction Group, China Railway Survey and Design Institute Group Co., Ltd. In terms of enterprise business, Tappu Hui has formulated the three key industry directions of home appliances, retail fast consumer goods, and logistics express delivery, and rearranged the layout and marketing strategy of the key areas, achieving a major breakthrough in the contract volume, an increase of about 164% over the same period last year. The contract renewal rate of major customers has reached more than 90%. At the same time, we have newly signed well-known enterprise customers, such as Nanfu Battery, China Mengniu Dairy, Ruyi wonton, Honey Snow Ice City, wooden House Barbecue, China property Insurance, XIAOMI Electric Appliances, Vanguard Kitchen Power and so on.
Profit forecast and investment suggestion
Looking to the future, the company will seize the opportunity of independent and digital strategy, and the new growth space is expected to be opened.
It is predicted that the operating income of the company from 2023 to 2025 is 20.76,25.95 and 3.151 billion yuan, the net profit is 2.86,3.87 and 505 million yuan, the EPS is 0.58,0.79,1.02 yuan per share, and the corresponding PE is 38.76,28.59,21.93 times. Taking into account the prosperity of the industry and the growth of the company, maintain the company's target PE of 50 times in 2023, corresponding to the target price of 29.00 yuan. Maintain a "buy" rating.
Risk hint
The risk of unbalanced performance in the last and second half of the year; project management risk; bad debt risk of accounts receivable; goodwill impairment risk.