Source of this article: Times Business School Author: Vic
Source: Times Business School
Author|Vic
Editor|Zheng Shaona
This week, the concept of military informatization has sprung up, and the sector has performed strongly for two consecutive days.
On April 23, Guangha Communication (300711. SZ) rose again in early trading, out of the performance of the two consecutive boards, the share price is now at 20.95 yuan per share, with a total market value of 5.22 billion yuan. In the five trading days since April 17, the stock has risen by 95.43%, and the latest stock price has nearly doubled from the closing price of 10.72 yuan per share on April 16.
On the news side, on April 19, Wu Qian, director of the Information Bureau of the Ministry of National Defense and spokesman of the Ministry of National Defense, said in response to a reporter's question that the information support force is the key support for the overall planning of the construction and application of the network information system.
Times Business School research found that in addition to the concept of military informatization, Guangha Communication is also a low-altitude economic industry chain enterprise, due to the superposition of two popular themes, the company's popularity in the capital market has risen.
On April 23, Times Business School called the securities affairs representative of Guangha Communications to inquire, and the other party said that it was inconvenient to respond on the phone. As of press time, Guangha Communications has not replied to Times Business School's email.
Policy industry resonance, military informatization superimposed low-altitude economic conceptGuangha Communication is mainly engaged in the research and development, production, sales and service of digital and multimedia command and dispatch systems and related products, and provides overall command and dispatch solutions for national defense, electric power, railways and other important national industries.
According to the financial report, from 2021 to 2023, Guangha Communication's revenue in the defense industry will be 178 million yuan, 201 million yuan, and 229 million yuan respectively, accounting for 51.53%, 52.39%, and 50.79% of the revenue, respectively, which is the company's main source of income, followed by the power industry, with revenue of 154 million yuan, 172 million yuan, and 211 million yuan respectively, accounting for 44.52%, 44.82%, and 46.87% of revenue, respectively.
According to the annual report, in 2023, the company will achieve revenue of 246 million yuan in the field of multimedia command and dispatch products, a year-on-year increase of 9.61%, mainly due to the increase in demand for national defense informatization construction, which has promoted the growth of its main business.
On April 22, the national defense and military industry team of Zhongtai Securities issued a report stating that this round of military reform has realized the development of information systems from "from scratch" to "from existence to refinement". The development of national defense informatization is expected to accelerate, which is good for the industrial chain of military informatization. Among them, it mainly includes military data links, space infrastructure construction and application represented by "Beidou" and "Satellite Internet" and other related tracks.
Guangha Communication said in its 2023 annual report that the company is a long-term core supplier of multimedia dispatching systems in the field of national defense, and its IP communication command system has high reliability and a leading market share in a certain military branch; on April 16, the company said on the investor interactive platform that it has delivered a flight plan control system, a high-precision positioning safety control system based on Beidou and UWB.
In addition, in recent days, the low-altitude economic favorable policies have been frequent, and the heat of the sector remains high. On April 18, relevant personnel of the Ministry of Industry and Information Technology said at the press conference of the State Council Information Office that the low-altitude economy is an important direction for the future development of emerging industries, and a trillion-level industrial scale will be formed in the future.
On April 18, Guangha Communication said on the investor interactive platform that the company's command and dispatch system and related products can be applied to low-altitude general aviation command and dispatch, and has provided customers with relevant solutions.
To sum up, Guangha Communication belongs to both the low-altitude economic industry chain and the military information industry chain enterprises, and the two popular themes are superimposed, making the company attract a lot of attention in the capital market.
Good performance: In the first quarter, the net profit increased by 25.39% year-on-yearIn terms of performance, on April 11, Guangha Communication released a first-quarter performance forecast, and in the first quarter of 2023, the company will achieve a net profit of 700,000-900,000 yuan attributable to the parent company, a year-on-year turnaround, and a loss of 799,800 yuan in the same period last year.
The annual report shows that from 2021 to 2023, the year-on-year growth rate of Guangha Communication's net profit attributable to the parent company will be 41.81%, 11.68% and 25.39% respectively, and the profitability will be relatively stable, while from 2021 to 2023, the company's gross profit margin will be 53.28%, 57.83% and 49.75% respectively, with an overall decline.
Regarding the decline in gross profit margin, Guangha Communications said in its annual report that in 2023, the gross profit margin of the company's multimedia command and dispatch system in the defense industry will decrease by 14.67 percentage points, mainly due to the year-on-year increase in the proportion of revenue from stand-alone to system solutions in the revenue structure of this type of product, as well as the cancellation of the tax exemption policy for military products, and some contracts will no longer enjoy VAT exemption.
From the perspective of industry comparison, the profitability of Guangha Communication is relatively stable. In the first three quarters of 2023, among the 61 listed companies in the military electronics industry (Shenwan Level II, the same below), only 22 achieved a year-on-year increase in net profit attributable to the parent company. Guangha Communication's net profit attributable to the parent company increased by 59.15% year-on-year, ranking 8th.
In terms of valuation, Wind data shows that as of the close of trading on April 23, the dynamic price-earnings ratio of Guangha Communications was 85.28 times, which was in the middle range of history, much higher than the average valuation of 31 times in the military electronics industry.
In addition, in 2023, Guangha Communications issued a major asset restructuring announcement, planning to acquire 60% of the equity of Guangdong Jitong Information Development Co., Ltd. (hereinafter referred to as "Jitong Information"). The main business of Jitong Information is to provide smart space information solutions, which are mainly used in four major fields: industrial IoT, public utilities, commercial services and party and government agencies.
On April 5, Huajin Securities released a research report saying that the performance of Guangha Communication has grown steadily and will maintain high growth for a long time in the future. At the same time, the extension of mergers and acquisitions of Jitong Information will also enhance the company's core competitiveness.
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