HKUST Xunfei (002230)： Per Capita Efficiency Continues to Improve Strategy Focus to Help Core Track Growth
HKUST Xunfei (002230): Per Capita Efficiency Continues to Improve Strategy Focus to Help Core Track Growth
Event: 65 in the first three quarters.73 ppm, an increase of 24 in ten years.41%, net profit attributable to mother 3.740,000 yuan, an increase of 70 in ten years.51%, deducting non-net profit of 0.700,000 yuan, an increase of 183 in ten years.49%. Key points of investment Net profit continued to grow rapidly, and the expense ratio further decreased: Q3 achieved revenue of 23 in a single quarter.45 ppm, an increase of 13 in ten years.10%, realizing net profit attributable to mother 1.840,000 yuan, an increase of 108 in ten years.06%. In the single quarter, the company continued to maintain a high growth trend (2019Q1 and Q2 net profit growth rates were 24.26%, 80.14%).The rapid growth in the first three quarters is mainly due to the continuous development of the AI industry and the company’s strategic layout of key tracks.In terms of cost, this year the company’s artificial intelligence2.0 The strategy focuses on improving per capita benefits. Through personnel and channel optimization, expenses have been further improved. The sales expense ratio and management expense ratio in the first three quarters have been reduced by 2.43 points, 4.64pct; R & D expense rate increases by 5 per year.04pct, mainly for the time being, is still increasing. R & D promotion in key 苏州夜网论坛 businesses such as education and medical care is replaced by amortization of capitalization of preliminary research and development.In terms of net interest rate, Q1, Q2 and Q3 in 2019 were 6, respectively.37%, 5.51%, 9.69%, about 6 of Q1, Q2, Q3 in 2018.43%, 2.50%, 5.12%, also in continuous improvement.In terms of accounts receivable, the first three quarters increased by 36.49%, higher than revenue growth.In terms of operating cash flow, the company’s Q3 net cash flow was 3.20,000 yuan, 1 more than Q3 2018.3 billion pixels increased. Strategic key core track, per capita performance continues to improve: affected by the macroeconomic environment in 2019, some government fiscal expenditures have tightened, and operating pressures in banks, operators and other industries have intensified, which has a certain impact on the company’s business growth rate, but is openPlatform business and education, medical care and other industries that involve people ‘s livelihood expenditures continue to grow rapidly.The company implemented strategic priorities and proactively adjusted some business directions that did not have long-term strategic significance. Although it affected the current period of revenue (revenue growth rate) to a certain extent, the resources were more focused on the key strategic directions. Education, politics and lawThe core track of medical care shows a healthy development momentum.The rapid growth of education business, smart classrooms and C-end personalized learning products, the renewal rate of toll schools remained above 98%; political and legal business, intelligent auxiliary case handling systems have begun to be implemented in 7 provinces and cities; medical businessAt present, more than 50 counties have been awarded in Anhui, and the scale promotion has begun to enter the stage of scale promotion.The focus of the core track has led to an increase in the company’s per capita performance. In 2018, the gross profit per capita was 350,000 yuan, and the first three quarters of 2019 were 400,000 yuan, an increase of 30%.It is expected that the company’s strategy will continue to adjust and the per capita performance will increase further. Profit forecast and investment grade: In 2019, the company’s artificial intelligence strategy officially entered 2.Age 0, will be 1.Based on the three strategic tasks, focus on improving per capita benefits, implement strategies and focus on resources, and improve operating efficiency.It is expected that the net profit attributable to mothers for 2019/2020/2021 will be 8 respectively.94/13.66/19.53 trillion, the diluted EPS are 0.41/0.62/0.89 yuan, the current price corresponds to PE84 / 55/39 times, maintain “Buy” rating. Risk warning: Platform progress is lower than expected; business progress in various industries is lower than expected.