Baoxin Software (600845) 2018 Annual Report and 2019 First Quarterly Report Review: Performance Growth Meets Expectations Intelligent Manufacturing IDC Goes Together

Event: The company released its 2018 annual report, and the company achieved revenue of 54 in 2018.

71 ppm, an increase of 14 in ten years.

56%; net profit attributable to mother 6.

69 ppm, a 57-year increase of 57.

34%; net profit after deduction 6

4.0 billion, an annual increase of 54.

87%; net operating cash flow 9.

65 ppm, an increase of 24 in ten years.

48%.

  The company released the 2019 first quarter report, and the company achieved revenue of 13 in 2019Q1.

450,000 yuan, an annual increase of 32.

63%; realized net profit attributable to mother 2.

10,000 yuan, an increase of 36 in ten years.

40%; net profit after deduction 1

9.5 billion, an annual increase of 43.

35%, net operating cash flow2.

840,000 yuan, an increase of 166 in ten years.

49% comment: The performance growth is in line with expectations, and the operating efficiency continues to be optimized. In 2018, the company achieved net profit attributable to mothers. 6

69 ppm, a 57-year increase of 57.

34%, which is in the upper position in the performance forecast, is in line with market expectations.

The company’s gross profit margin in 2018 was 27.

94%, an increase of 1 over 17 years.

28pct, the main reason for the increase in gross profit margin is the increase in the proportion of high gross profit IDC business; the sales expense ratio is 2.

75%, a decrease of 0 compared with the same period last year.

16 points; management expense ratio 3.

13%, a decrease of 0 compared with the same period last year.

21pct; R & D expense ratio 10.

07%, a decrease of 0 compared with the same period last year.

83pct; the final result of the reduction of the expense ratio is 1) the IDC business grows rapidly and the required personnel cuts the expense ratio to decrease 2) the company continued to optimize the operating efficiency personnel last year while reducing 103 people.

  The company achieved net profit attributable to mothers in Q1 20192.

10,000 yuan, an increase of 36 in ten years.

40%, because non-recurring gains and losses in the first quarter decreased compared with the same period of the previous year, net profit after deductions increased by 43.
.

35%, the actual operating profit performance returned to the mother’s net profit performance.

Based on Shanghai’s radiation throughout the country, IDC continued to increase the number of phases of 3/4 of the cloud of intelligent manufacturing. The company’s IDC business continued to expand. Until the end of 2018, the company’s IDC1-3 period was about 1.

8W cabinets have all been completed and put on the shelves. At present, the company’s IDC data center is mainly located in the Luojing plant in Shanghai. In January 2019, the company announced that it would establish a WISCO Big Data Industrial Park in joint venture with Wuhan Iron & Steel Group, Baodi Assets, and Qingshan State-owned Assets.In the future, the surge in the amount of 5G commercialized application data in the future is expected to drive rapid growth in IDC demand in non-first-tier cities. Depending on the resources of Baowu Group, the company is expected to become the biggest beneficiary.

In 2018, the 武汉夜生活网 company continued to increase its investment in the field of intelligent manufacturing, and introduced complete solutions covering different solutions such as infrastructure, smart equipment, smart factories, and smart operations. Unmanned businesses have achieved breakthroughs in non-rigid fields such as nonferrous metals and discrete.

  Investment advice and profit forecast: It is estimated that from 2019 to 2021, the company’s net profit attributable to shareholders of the parent company will be 8 respectively.
55, 10.
74, 13.

2.1 billion yuan, corresponding to EPS 0.

97, 1.

22, 1.

51 yuan, corresponding to PE33, 26, 21 times, given a “buy” rating.

  Risk reminder: Iron and steel information demand is less than expected, new IDC expansion and listing are not as expected