Core views

CLP Platform+ State-owned Assets Background, High Dividends or Welcome to Market Value Revaluation ① The predecessor, Jiesai Technology, was restructured and formed, and the only listed platform under CLP Netcom; ② Market value management was included in the assessment, and the company's cash dividend ratio has remained above 50% for the past 3 years, and high dividends and multiple batch repurchases are expected to benefit.

Solid technology, maintaining leadership in segments such as network design, private network communication, and PCB ① Deeply involved in operator design, the public network communication field is the largest third-party design institute in China; ② Private network communication technology is solid, leading in rail transit, emergency response, energy scheduling, water services, etc.; ③ The first tier of the PCB market segment, with more than 1,000 active users each year, and has the largest domestic special printed circuit design, manufacturing, and delivery capacity; ④ time-frequency devices cooperate deeply with main equipment vendors, and the subsidiary won the bid for the thermostatic crystal oscillator project with a high share.

Shareholders+subsidiaries' leading satellite products, fully benefiting from high circuit prosperity ① external pressure (Starlink launches 5000+ satellites) + internal promotion (GW+G60 constellation 26,000 satellites), commercial space stations, a national strategic emerging industry, and high track prosperity; ② shareholders CLP 54 and 39 satellites are technologically advanced and participated in and won bids for multiple satellite projects; ③ constant temperature crystal oscillation and Beidou terminals can be used for satellite communications. The subsidiary Yuandong Communications won the bid for several satellite projects.

Investment advice: Considering that part of the company's business is affected by weak demand, tight customer capital and fierce market competition, etc., we adjusted the profit forecast. The company's 2023-2025 revenue is expected to be 54.59/68.59/7.947 billion yuan (original value 73.40/82.02/91.92), up -22.9%/25.6%/15.9% year on year, and net profit to mother was 0.43/2.01/261 million yuan (original value 1.95/2.80/3.59), year-on-year increase- 79.8%/366.3%/30.2%, EPS 0.06/0.29/0.38 yuan, PE225.6/48.4/37.2, maintaining the “B” rating.

Risk warning: Satellite internet construction falls short of expectations, new product development progress falls short of expectations, market expansion falls short of expectations, policy implementation falls short of expectations, and some information updates are delayed.