A few days ago, Yidianyun (02416. HK) disclosed its Q1 2024 results, showing growth in the first quarter of 2024. Among them, the number of devices in service reached 1,256,837, compared with 1,117,187 in Q1 2023, a year-on-year increase of 12.5%, and the number of enterprise customers increased to 47,854, compared with 44,266 in 2023Q1, a year-on-year increase of 8%.
With the cancellation of financial liabilities measured at fair value, Yidianyun officially ushered in a comprehensive profit, with revenue of 323 million yuan and net profit of 21.47 million, a year-on-year increase of 51.1%.
The rise in the labor index of small and medium-sized enterprises has led to an increase in office IT demand
It's not a surprise that Epoint Cloud will achieve high growth in the first quarter of 2024. Before the release of the first quarter results, Dongcai Securities and Tianfeng Securities, two well-known securities institutions, gave Yidianyun a "buy" rating, and both securities institutions mentioned that the performance of Yidianyun will usher in new growth in 2024, mainly because office IT is a rigid need for enterprise development, and second, the economic recovery has led to the growth of demand, which can effectively enhance the growth space of Yidianyun.
In fact, as predicted by these two securities companies, according to the recent data released by the China Association of Small and Medium-sized Enterprises, with the acceleration of the resumption of work and production after the holiday, the timely return of personnel to work, the labor supply situation has improved, and the demand has remained stable. In the first quarter, the labor force index was 106.1, up 0.1 points from the previous quarter.
The exponential growth of the labor force has brought about an increase in the demand for office IT, and compared with the one-time purchase of IT model, the e-point cloud model can allow enterprises to replace their computers at a low cost, and allow enterprises to enjoy one-stop IT services with full warranty for free.
In a recent CCTV interview with Yidianyun, both Kitchen Core Technology and Hesi told CCTV reporters that the use of Yidianyun's model can save hundreds of thousands of IT costs and nearly 30% of operation and maintenance costs for enterprises. It can be seen that Yidianyun can indeed help enterprises develop and save money. CCTV's report can also be seen from a certain latitude that the national level recognizes the low-cost IT shared subscription model in the process of rapid economic recovery.
Leading the industry in product and service capabilities, the first quarter of 2024 performance of Yidianyun also shows the leading ability in the office IT comprehensive solution industry. In March 2024 alone, it achieved a net increase of 1,600 enterprise customers and a net increase of 60,000 service devices, breaking the historical record. Compared with other office IT comprehensive solution providers, Epoint Cloud has more diverse equipment categories and time-efficient IT services. According to statistics, on the official website of Yidianyun, there are more than 1,000 different categories of IT equipment, covering almost 100% of the market, while most other peer companies can provide only a few hundred kinds of IT equipment. Epoint Cloud also provides the fastest 2~4 hours on-site service and 7*24 hours of remote support, on the other hand, such as Bear U Rental, a supplier in the same track as Epoint Cloud, provides 7*12 hours of IT support, and there is no commitment to the on-site time.
In addition, Epoint Cloud is also the only office IT supplier with 132 patent monographs to invent remanufacturing technology, through remanufacturing technology, Epoint Cloud can achieve a more durable and profitable IT equipment cycle than its peers. In addition, Yidianyun will also launch a new AI business in 2024 to further build a diversified growth curve. Therefore, the performance growth in Q1 of 2024 is just the beginning for Epoint Cloud, and in terms of its market, product service capabilities and growth potential, Epoint Cloud still has strong room for development in the future.