NavInfo (002405) Semi-annual Report of 19 Years: Intelligent Driving Deep Layout Intelligent Driving Deep Layout Short-term pressure does not change long-term advantages

I. Event Overview The company achieved revenue in the first half of 201910.

8.4 billion, an annual increase of 9.

43%; net profit attributable to mother is 8560.

30,000 yuan, at least 47 a year.

56%; deduction of non-net profit 6154.

860,000 yuan, an average of 54 in ten years.

37%.

Second, analyze and judge the leading company of car navigation, large group cooperation long-term growth. The basic company ‘s market share in the car navigation pre-installation market is stable in the 38% -40% range. For many years, deepening the automotive industry chain has brought stable market advantages.

During the year, ten ministries and commissions, including the National Development and Reform Commission, issued the “Implementation Plan for Further Optimizing Supply to Promote Consumption Growth and Promote the Formation of a Strong Internal Market.”

Of course, the two major groups, Daimler and BMW, respectively signed 2020 to 2024, and the navigation electronic map sales agreement before 2021 is an important basis for long-term growth.

With maps as the core layout of intelligent driving and complementary orders highlighting the leading autonomous driving maps, highway collection and industrialization are leading the way.

The best data has effectively covered more than 210,000 kilometers of high-speed highways across the country. In 2019, it covers all national highway networks, and the mileage collected is leading in the domestic industry.

The company’s self-developed self-driving solution has completed the 5,000 km non-repeated road test on the Beijing-Kunming Expressway.

In February 2019, the company and BMW Motors signed an agreement to provide Level 3 and above autonomous driving map products and related services for the BMW Group’s brand cars that will be mass-produced and marketed in China from 2021 to 2024.An order for Level 3 and above autonomous driving maps.

The acquisition of orders fully demonstrates the company’s leading advantages.

Chips, Internet of Vehicles business achieved results, and ecological construction continued to advance the company’s IVI. AMP chips have achieved certain advantages in the aftermarket. MCU chips have been mass-produced in 18 years, and TPMS chips are scheduled to be mass-produced in 19 years.

With the recovery of automobile sales, the business climate of related businesses is expected to pick up.

At the same time, the company reached an agreement 深圳桑拿网 with the BMW Group in August 2019 to provide internal car-connected system related services such as dynamic traffic information and route planning for this brand car.

The company’s existing car networking services have covered background content, dynamic information, cloud-to-OS, and terminal hardware to form a fully ecological car networking service solution.

The large car factory orders received this time are expected to create a benchmark effect and accelerate the development of related businesses.

Reported that the growth rate of the first-tier company’s connected car business income reached 38.

16%, a new high for the same period in the past three years.

Third, investment suggestions The company ‘s navigation, chip and other businesses are highly correlated with car sales. At the same time, the company continues 天津夜网 to invest heavily in research and development to maintain technological advantages, so the short-term performance is under pressure.

However, intelligent driving is an important development direction of the policy support field and the automotive industry. The promotion of L3 intelligent driving is already the general trend. The industry is expected to accelerate its growth. The company’s leading layout in the field of intelligent driving will bring long-term value.

EPS are expected to be 0 in 19-21.

25/0.

32/0.

41, corresponding PE is 59X, 47X, 36X.

The company’s average PE (TTM) 117X in the past three years, the company’s current PE (TTM) 66X, maintaining the “recommended” level.

Fourth, risk warning: the chip business growth is less than expected, the advanced map landing progress is less than expected.

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