Events:

According to the summary of investor exchange disclosed by the company on August 27, 2023: 2023H1, the company is Huawei's largest partner in China, Baifei electronic superimposed data elements of the new layout, triple catalysis to promote rapid growth.

Main points of investment:

Huawei is the largest partner in China, and the related business is growing rapidly. According to the company's disclosure of investor exchange minutes, in 2022, Huawei is the second largest partner in China and won Huawei's excellent global sales partner in 2022. 2023H1 is Huawei's largest partner.

At present, the company is Huawei multi-product diamond dealer, in digital, storage and other products are Huawei's highest CSP five diamonds and professional ability of advanced certification service providers, Huawei has the highest professional level of HCIE and HCSE expert engineers more than 100, in the financial, manufacturing, large enterprises, public utilities, medical and other industries Huawei storage products and solutions.

The company has carried out in-depth cooperation with Huawei in finance, large enterprises, intelligent manufacturing and other industries, joined hands with various product lines and business lines of Huawei, and the related business has grown rapidly.

Complete the integration of Baifei Electronics, coordinated development to shape a new pattern

In 2022, the company successfully completed the issue of shares to purchase 100% stake in Baifei Electronics. Baifei Electronics mainly provides embedded special computer digital modules and complete machine products for overall units and enterprises in aviation, aerospace, shipping, electronics, electric power, rail transit and other industries. In the field of advanced manufacturing, Baifei Electronics provides signal control products for rail transit leading enterprises and lithography machine controllers for semiconductor equipment manufacturers.

The company will set up a joint innovation department in conjunction with Baifei Electronics, using Baifei Electronic Design and Development capability to empower the company's key industries, in finance, water conservancy, transportation and other fields, based on the advantages of Baifei Electronics, will jointly develop industry-specific intelligent computing, information processing or industrial-grade equipment products.

Explore the value of data elements and create a new benchmark in digital science and technology

The company actively explores the development, utilization and innovation of data elements, focusing on finance, water conservancy, medical care, transportation and intelligent manufacturing, while driving its own products in the solution. For example, in the water conservancy industry, there is a "four pre -" digital model; in the medical industry, the company makes a good data center platform for the hospital to connect the data of various systems of the hospital.

Dianke Digital Group's Digital Technology is based in Shanghai, supporting the city's "one-network management" business data aggregation and operation, has integrated 16 districts in Shanghai, a total of 269 types of more than 190 million general sense equipment terminals, more than 200 application scenarios. At the same time, Digital Intelligence Technology actively exports "one network management".

The Shanghai model carries out comprehensive cooperation with cities such as Chengdu in Sichuan, Yingtan in Jiangxi, and Xiamen in Fujian to serve the construction of smart cities across the country.

Profit forecast and investment rating: we expect the company's homing net profit from 2023 to 2025 to be 649, 809 and 1.08 million, respectively, and the EPS is 0.95, 1.18 and 1.58 yuan per share, respectively, and the current share price corresponds to 26.91, 21.58 and 16.16X, respectively, maintaining the "buy" rating.

Risk tips: macroeconomic impact on downstream demand, investment risk, business innovation risk, human resources risk, big data center project risk and so on.