Events:
On the evening of October 27, the company released its report for the third quarter of 2023, saying that revenue in the first three quarters was 233 million yuan, an increase of 28.05% over the same period last year; net profit from home was 54 million yuan, up 71.35% from the same period last year; and net profit after deducting non-return was 5 million yuan, down 59.75% from the same period last year. In the third quarter, the company achieved revenue of 98 million yuan, an increase of 28.87% over the same period last year; net profit of 3 million yuan, down 80.21%; and net profit of 603800 yuan, down 93.27% from the same period last year.
Confirm the payment of shares, and the management fees have increased significantly.
In the first three quarters, the company's sales expenses, management expenses and R & D expenses were 5.5947 million yuan, 53.0875 million yuan and 41.8378 million yuan respectively, with year-on-year changes of-18.39%, + 138.26% and-3.86% respectively; the company's sales expense rate, management expense rate and R & D expense rate were 2.40%, 22.80% and 17.97% respectively, with year-on-year changes-1.37pct/+10.55pct/-5.96pct. Among them, the company's management expense rate increased sharply compared with the same period last year, mainly due to the employee equity incentive plan confirmed that about 18 million yuan more than the same period last year.
And show Ai Puyang, which is expected to bring business increment.
The company completed the merger of its subsidiary Aipuyang Shenzhen in the third quarter. Ai Puyang mainly provides integrated development tools (IDE) for enterprise database applications, and the core product is PowerBuilder, which belongs to a stable stock market. about 14000 enterprises with stock customers mainly use subscription fees, and most of them are overseas customers, with a high profit margin. In 2022, the income is 87.18 million yuan, the net profit is 40.52 million yuan, and the net interest rate is about 46.5%. At present, there are few domestic IDE products, and the company's new IDE business will help the company to form a "independent, safe and controllable" cloud computing industry chain, improve the cloud computing business industry chain of "firmware-development software-application software", or bring new business increments for the company.
Earnings forecast, valuation and rating
As the company formally completed the acquisition of 52% equity interest in Ai Puyang in July 2023, it may directly increase the company's revenue and return net profit, combined with the company's original business progress, we estimate that the company's revenue in 2023-25 will be 4.09pm 5.23pm 660 million yuan respectively, with a corresponding growth rate of 45.00%, 28.00% and 26.00% respectively. The net profit of homing is RMB 1.93 billion, and the corresponding growth rate is 87.26%, 49.61%, 32.74%, respectively. The CAGR for 3 years is about 54.93%, CAGR is 1.10, 1.64, and 2.18 yuan per share. In view of the fact that the company is the leader of domestic BIOS and the new IDE business, it is recommended to keep paying attention to it.
Risk tips: systemic risk, the risk that the progress of Xinchuang is not as expected, the demand of downstream major customers is less than expected risk, and market competition aggravates the risk.