Affected by the epidemic in 2020, the company's main business is under relative pressure.
The company realized revenue / return net profit / deduction of non-return net profit of RMB 1.62 billion over the past 20 years, compared with the same period last year.-18.9%, 19.7%, 178.9% (adjusted for the 20-year annual report). Due to the change in accounting standards, the revenue is lower than we expected (12.65 billion yuan), and the return net profit is basically in line with expectations (1.584 billion yuan). 21Q1 revenue / return net profit / deduction of non-return net profit is RMB 2.02 million, compared with the same period last year, which is-16.5%, 1.1% and 15.6%, respectively.
We adjust the 21-23 year return net profit of the company to 1.674 billion yuan, 17.49 billion yuan, and give the company 21-year PE 20X, corresponding to the target price of 9.80 yuan (the previous value is 10.12 yuan), maintaining the "overweight" rating.
Excluding the influence of Oriental Cable, the main business is under relative pressure.
Affected by the epidemic, the company's main business is under relative pressure. From a sub-sector point of view, 20-year film and television mutual entertainment / media network / video shopping / culture and travel consumption / investment management revenue 8.2 billion yuan, + 25.1%, 39.8%, 81.0%, 28.1%, 17.8%, respectively, compared with the same period last year, while the traditional IPTV/OTT decreased by 16.7%, 46.5%, respectively, compared with the same period last year, while the traditional IPTV/OTT fell by 16.7%, 46.5%, respectively, compared with the same period last year. Video shopping revenue recognition from the full method to the net method, revenue decreased and gross profit increased 65.1pct compared with the same period last year.
Comply with the radio and television 5G plan, continue to promote the BesTV streaming media strategy company to comply with the media convergence trend and the national radio and television 5G plan, continue to promote the BesTV strategy, and launch the new "hundred TV" streaming media products in the past 20 years. By the end of the 20th year, the number of monthly active users of BTV B+ entertainment products reached 3 million, the merchandise category of B+ Mall reached 1786, and the users of IPTV/OTT business reached 58655.071 million respectively, which was 41.0% compared with the same period last year. The effective users / interactive on-demand users of pay-TV reached 5700 and 23.5%, respectively, compared with the same period last year.
In 20 years, the gross profit margin increased due to changes in accounting standards; the rate of expenses during the period increased due to changes in accounting standards. The gross profit margin of film and television entertainment / video shopping in the past 20 years reached 17.8% and 83.9%, respectively, which was 65.1pt higher than the same period last year, which led to an overall gross profit margin of 34.2%, which was + 10.6pct compared with the same period last year.
The sales / management / R & D / financial expenses in 2020 are 8.1%, 9.8%, 2.9%, 1.1%, respectively, compared with the same period last year + 1.9/+2.4/+1.0/-0.4pct.
The streaming media strategy is gradually promoted to maintain the rating of "increasing holdings".
The company's BesTV streaming strategy has been gradually promoted. As a result of the change in accounting standards, we reduced the company's revenue in 21-22 to 10.36 billion yuan (the previous value was 13.17 billion yuan), and raised its gross profit margin for 21-22 to 34.5% (previous value, 25.2%, 27.0%). We expect the company's 21-23 net profit to be 16.74pm 17.49 / 1.845 billion (before 21-22, 17,650.05 billion). Corresponding to EPS0.49/0.51/0.54 yuan, referring to the company's 21-year Wind consensus expectation average PE 25.6X, taking into account the company's business diversification, there should be a discount compared to the industry average valuation, giving the company 21-year PE 20X, corresponding to the target price of 9.80yuan (the previous value is 10.12yuan), maintaining the "overweight" rating.
Risk tips: a decline in the number of pay-TV users and a decline in revenue from video shopping.
