The demand release lags behind under the impact of the epidemic, and the performance is expected to pick up.
The company reported that 22H1 realized 593 million yuan in income, with a decrease of 18.1%. The net profit returned to the mother was-46 million yuan, compared with 30 million yuan in the same period last year, and the non-return net profit was-47 million yuan in the same period last year. 29 million yuan in the same period last year. The revenue of 22Q2 company also decreased by 14.2%, the net profit of return to mother was-23 million yuan, and the net profit of non-return to mother was-23 million yuan. 22Q2's revenue declined compared with the same period last year, mainly due to the impact of the epidemic, the release of downstream demand lagged behind; net profit turned negative year-on-year, mainly due to tight supply chain and insufficient production. We believe that the company's production capacity continues to improve, and we look forward to a pick-up in performance as the epidemic improves. It is estimated that the EPS in 22-24 is 0.33,0.39,0.46 yuan (the previous value is 0.42,0.51,0.70 yuan). The average comparable company is 22e 55.9xPE (Wind), giving 22e 55.9xPE, the target price is 18.45yuan (the previous value is 19.22yuan), "buy".
The performance of AI terminal business is eye-catching, and the new e-paper products are worth paying attention to.
From a business-by-business point of view, the income of 22H1 intelligent interactive business was 365 million yuan, with a decrease of 28.79%. The demand for online purchase and online learning stimulated by the previous epidemic returned to normal, and the demand for consumer-grade digital painting products declined. The revenue of AI terminal business increased by 20.27%. In May 2022, the company released a new generation of handwritten e-paper N10, and won the double crown of sales and sales of 10.3-inch e-paper books on the day of Tmall 618. it is expected that the growth of AI business is mainly due to the release of N10 products. Text big data business income 78 million yuan, with a decrease of 7.14%, is expected to be mainly affected by the epidemic, the government procurement rhythm has been disrupted, demand release lags behind; face recognition business income of 37 million yuan, a decrease of 2.13%.
The company's production ability continues to improve.
22H1's net interest rate was-7.7%, down 11.9pct from the same period last year, mainly due to the upward rate of expenses during the period.
Among them, the sales, management and R & D expenditure rates of 22H1 were 28.0%, 10.9% and 14.3% respectively, up 1.9pct, 2.5pct and 4.6pct over the same period last year. The rate of R & D expenditure has increased greatly, mainly because the company continues to increase investment in technological innovation, and the product power continues to improve: 1) 22H1 tries to enter the field of machine vision industrial inspection and obtains multiple product orders; 2) RPA digital employees replace manual repetitive work, landing wisdom justice; 3) File identification is further replicated and promoted in the vertical industry, new media field. 4) the bionic flapping-wing aircraft which can realize bird's-eye view and visual trajectory flight is put on the market. We believe that the continuous upgrading of the company's product strength under strong R & D investment is expected to promote business development.
Lower the profit forecast taking into account the impact of the short-term epidemic.
Taking into account the impact of the epidemic and the rigidity of expenses, the company's income forecast is lowered and the expense rate forecast is raised. It is estimated that the company will achieve an income of 15.75,18.73 and 2.17 billion yuan (the previous value is 18.18,21.66 and 2.682 billion yuan) from 2022 to 2024. The net profit is 0.80,0.96 and 113 million yuan (1.03,1.24,172 million yuan).
Risk hint: downstream demand is lower than expected and production progress is lower than expected.