Haige Communication (002465): Leader of Beidou’s Final Year Determined to Benefit

Haige Communication (002465): Leader of Beidou’s Final Year Determined to Benefit

Event description On February 20, 2020, the company released its 2019 annual results report.

In 2019, the company achieved operating income of 46.

23 ppm, an increase of 11 years.

58%; realized operating profit 5.

75 ppm, an increase of 30 in ten years.

97%; realized net profit attributable to mother 5.

19 ppm, an increase of 19 in ten years.


Incident review The wireless communications and software and informatization sectors have grown steadily, driving the company’s 2019 performance improvement.

Benefiting from the company’s continued harvest of special agency contracts and the start of the 5G construction cycle, software and informatization revenues have steadily increased. The company achieved steady growth in performance in 2019, including operating income in the fourth quarter alone.

78 ppm, an increase of 18 years.

30%; achieve net profit attributable to mother 2.

08 million yuan, an increase of 19 in ten years.

54%, an increase of 1 over the third quarter alone.

20 trillion, accounting for 40 of the net profit previously attributed to the mother.

08%, mainly due to more than four quarters of concentrated delivery of special institutions orders.

Adequate orders in hand, high barriers to Beidou chips, consolidating the company’s high performance in 2020.

As of February 20, 2020, the company’s supply time with special institutions is about 20 years of contract amount from 2019 to 2020.

61 ppm, of which 7.

Most of the 1.7 billion order revenue can be centrally recognized in 2020.

In addition, 2020 is the last year of the 13th Five-Year Plan. It is expected that military expenditures will increase, and overlapping Beidou III will complete the global network. The purchase of special agencies’ North III products may be in the second half of 2020.

At present, the company has released a full-chip solution that supports North Third Advanced Baseband Chips + RF chips that support global navigation satellite systems and global short message systems, which will help the core benefit.

The four major business layouts are perfect and long-term growth is guaranteed.

In 2020, the completion of the North Third Network and the acceleration of the construction of the army’s informatization. The company’s Beidou navigation and wireless communications business is expected to grow rapidly in the next few years.

2020-2021 will be the peak of 5G construction, and Haige Yichuang is expected to benefit deeply.

In the aerospace 失败:重查 sector, Capricorn Innovation and Xifei, institutional customers signed simulator plan contracts to expand the civilian market and locate internal gaps; Chida Aircraft developed high-end aircraft parts business, opening up the company’s long-term growth space.

Profit forecast and investment recommendations: The company’s performance will grow steadily in 2019, in line with expectations.

Benefiting from the completion of the networking and 5G construction of Beisan III, Beidou Navigation and wireless communication services continue to break through, the aerospace sector has developed smoothly, and high growth performance can be expected in the next few years.

It is expected that the net profit attributable to mothers for 2019-2021 will be 5.

19, 7.

05 and 9.

19 ppm, with a one-year growth rate of 21%, 36%, and 30%, corresponding to an estimated 54 times, 40 times, and 31 times, maintaining the “Buy” rating.

Risk Warning: 1.

5G construction growth, competition in the network engineering construction industry has intensified; 2.

The aerospace segment’s business development fell short of expectations.