Judging from the stock price trend, Iflytek has been fluctuating from 20 14 to 20 19.
Judging from the PE valuation, the valuation of Iflytek in recent three years is in the middle and low position, but it is also in the absolute high position, PE(TTM) 1 14 times.
Compared with peer software companies, the price in Iflytek is not cheap.
20 14, Iflytek opened the curtain of artificial intelligence. In the field of intelligent voice development, focus on the core technologies with advantages and expand the business to the technical support layer and application layer. In the field of education, with the help of Putonghua test, oral test and other schools, we won regional projects and established a good brand reputation. In different business fields, we will cooperate with leading enterprises in three major operators, head financial institutions and other fields to quickly occupy the market and complete business expansion.
Then, with the strategic position of the development of artificial intelligence technology rising to the national level, all localities began to vigorously build smart parks, smart campuses and smart security cities. Relying on its artificial intelligence core technology, Iflytek expanded its product line by re-integrating and packaging old products, and entered the public safety field of government projects. Smart city has become one of its main businesses, which is basically equivalent to the income in the field of education, and the income from the government has gradually increased.
At present, Iflytek continues the development strategy of "platform+track". In 20 19, the company put forward artificial intelligence strategy 2.0, in which one of the new key tasks is to improve the per capita benefit, start from the inside, promote incremental performance management, improve operational efficiency, and maintain rapid growth of income and gross profit without greatly increasing the number of personnel. to C business, education business and political and legal business are important performance growth points. In a smart city.
Financial performance: shiny surface and low gold content.
The company's operating income in 20 18 was 79170,000, which was more than 30 times higher than that in 2007 before listing, showing a steady "textbook-like" growth. In 20 18, the operating income increased by 45.45438+0% compared with the same period of last year, and the average compound growth rate in recent ten years reached 35.0 1%. The company's net profit in 20 18 was 6 10/00000, which was1.3 times higher than the net profit in 2007 of the year before listing.
Revenue and profit growth are very stable, and various financial indicators, such as financial structure and cash flow, are relatively normal.
However, if we carefully observe its income structure, it is not difficult to find that although the total operating income in 20 18 reached 791700 million, only 48.57 million of them came from foreign regions, accounting for 0.6 1% of the total income. This is in sharp contrast to the world-class technology advocated by Iflytek. Although this technology has won many international awards, it has not been recognized by the world in terms of specific products and services, and it can only be called a leading high-tech enterprise in China.
From its sales gross profit, the company's comprehensive gross profit margin for 20 18 years was 50.03%, which was slightly lower than that of the previous year (5 1.37%) and significantly higher than that of 42.45% in 2007. However, if the product composition is further subdivided, the gross profit margin of the company's products ranges from 24% to 68%, and even reached 65,438+06%-85% in 2065,438+06. On the one hand, this shows the complexity of the company's sales revenue, on the other hand, it also increases the management difficulty of the company. The gross profit gap has narrowed in the past two years. First, the gross profit of the information industry business itself increased slightly. Second, as the key source of its income growth, the gross profit of political and legal business and education business decreased, which reduced the gold content of sales revenue to some extent.
Endogenous growth and extension M&A: Most of the growth comes from external mergers and acquisitions.
Since Iflytek went public, the company's operating income has increased by more than 30 times, but most of the increase has been bought. In 20 16, the company invested 495 million yuan to acquire 0/00% equity of LeStar/kloc; Invested RMB 65,438+0.0/kloc-0.0/billion to acquire 23.2% equity of Iflytek Juncheng; 20 15 years investment 150,000 yuan to acquire 60% equity of Qi Ming Toys; Invested 37.2 million yuan to acquire Anhui Trust Investment 18.6% equity; 20 14 invested 2160,000 to acquire 0/00% equity of Shanghai Ruiyuan/kloc-; 20 13 invested 480 million yuan to acquire 0/00% equity of Qi Ming science and technology. These mergers and acquisitions have become the main factors pushing up the company's sales growth. Although the sales revenue of consolidated statements has maintained rapid growth, its gold content is not high. Therefore, in the past 10 years, its profit growth rate (1 1 times) was far less than its sales revenue growth rate (30 times).
The persistence of profit model is poor.
In 20 18, the consolidated net profit of the company was 6170,000, the total profit before tax was 658 million, and the income tax was 40.7 million. Compared with the previous year, the income tax expenses came from the government's policy support.
Among its pre-tax profit of 658 million, the net investment income was 74 million and other income was 352 million. The above two incomes totaled 426 million, accounting for 64.74% of the total profit before tax.
It can be seen that the contribution of the company's main business to profits is less than 40%, only 35.26%, which greatly reduces the gold content of the company's profits. Other income of 352 million mainly comes from government subsidies.
Iflytek's investment in R&D has increased greatly every year, but surprisingly, his development expenses are included in the balance sheet with two types of assets. Internal R&D expenses are not included in expenses, but included in intangible assets. Some of his R&D are called development expenses. The added value of intangible assets in this period is almost 760 million, while the development expenditure in this period is only 67 million after deducting the intangible assets.
Therefore, judging from the profit composition of Iflytek, the pre-tax profit of Iflytek's accounts in 20 18 was 658 million, of which 352 million was non-operating income mainly from government subsidies, and the investment income was 74 million by recalculating a little money spent on past acquisitions. The real main business earned 232 million yuan, and part of it came from capitalized software development, which means that the real profit of Iflytek business in 20 18 years is actually.
As a pioneer of domestic artificial intelligence, how far can Iflytek, which is growing in scale, go in the spring breeze of policy?
This article is reproduced from the official account of WeChat WeChat "EDU Industry Watch". The article is the author's independent opinion, and does not represent the position of the mustard heap. Please contact the original author for reprinting.