Introduction to this report:
Results fell slightly short of expectations, and revenue and EBITDA continued to grow steadily. Complete the core regional layout according to the “Eastern Numerical and Western Arithmetic” guidelines. Mergers and acquisitions extend and expand to accumulate high-quality resources.
Key points of investment:
Maintain profit forecasts, target prices, and holdings growth ratings. Maintain the net profit forecast for 2023-2025 at 1.42/188/223 million yuan, corresponding to an EPS of 0.31/0.41/0.48 yuan. Considering the company's EBITDA growth rate and referring to the same industry valuation, maintain a target price of 28.59 yuan and a holdings increase rating.
Results fell slightly short of expectations, and revenue and EBITDA continued to grow steadily. In the first half of the year, the company achieved revenue of 746 million yuan, +4.74% year on year, and net profit of 69 million yuan, +66.30% year on year. As the listing rate increased, gross margin was +2.16 pct to 29.38% year on year, and EBITDA was 526 million yuan, +7.40% year on year. The company's cabinet size has reached 371.1 megawatts, equivalent to about 74,000 5kw standard cabinets, and has secured a leading position among third-party data center service providers in the IDC industry.
Complete the core regional layout according to the “Eastern Numerical and Western Arithmetic” guidelines. From Ulanqab and Zhangbei in the north to Shenzhen and Heyuan in Guangdong in the south. The company has built 35 data centers, realized the forward-looking strategic layout of Beijing-Tianjin-Hebei, the Yangtze River Delta, the eastern hub of the Guangdong-Hong Kong-Macao Greater Bay Area, and the corresponding core regions in the west, and adapted ahead of time to the country's “East Number-West” data center layout planning guidelines.
Mergers and acquisitions extend and expand to accumulate high-quality resources. The company uses its core competitive advantages, continues to work intensively, improves service quality, achieves epitaxial development through market mergers and acquisitions, etc., continuously expands and accumulates data center resources in core cities, explores potential customers, and accelerates exploration of the company's strategic resource reserves in first-tier core regions of China. The company responds positively to the national “digital China” strategy, continuously promotes digital assistance, and gradually promotes the construction and related preparations for the China Unicom (Huailai) Big Data Innovation Industrial Park Project Phase I, Hebei Langfang Project, and Shanghai Minhang Project.
Risk warning: The progress of projects under construction and the customer listing or falling short of expectations, the risk of major clients' dependence on risk, and the impact of changes in the macro environment on downstream demand.