Business Structure - In 2021, the company established a new business structure centered around Lingwang Services, Lingyun Services, and Digital Engineering [2] - Lingwang Services provides enterprise-level internet services and network infrastructure hosting based on a self-built MPLS backbone network [2] - Lingyun Services addresses digital transformation needs with cloud-based solutions, including cloud connectivity, security, and computing services [2] Customer Base - The company primarily serves large and medium-sized enterprises across various industries, including manufacturing, wholesale and retail, information transmission, software and IT services, and finance [3] - The services provided are designed to support digital transformation for enterprise headquarters, branches, data centers, and cloud platforms [3] Digital Engineering - Digital Engineering leverages modern technologies to provide solutions for smart cities and parks, including customized software development for industry-specific needs [3] - An example includes assisting a top-tier hospital in Shenzhen with a digital engineering project to build an integrated security platform [3] SD-WAN Technology - SD-WAN technology, introduced around 2014, is now widely accepted by customers, providing a flexible and cost-effective solution for enterprise networking [4] - The company launched its self-developed SD-WAN product in 2021, which has driven significant growth in its cloud connectivity business [4] - SD-WAN is not a replacement for MPLS VPN but rather a complementary technology that manages various network types [4] Market Potential - The SD-WAN market in China was valued at $120 million in the first half of 2022, with a year-on-year growth of 45.8% [6] - The infrastructure market reached $80 million, growing by 34.0%, while the service market hit $40 million, with a growth rate of 77.7% [6] Security Features - The company's MPLS backbone network ensures high security and stability for data transmission [6] - The self-developed SD-WAN product supports multiple encryption algorithms, enhancing data security for users [6] - Future plans include adding SASE-related security features to expand market applications [6] Procurement Activities - The company's procurement focuses on telecom resources, hardware, software, and service-related purchases to meet customer needs [5] - Key procurement items include bandwidth resources and server cabinets, primarily sourced from telecom operators [5]

Business Overview - Naling Technology has established a new business structure focusing on three core areas: Lingwang Services, Lingyun Services, and Digital Engineering [2] - Lingwang Services provides traditional enterprise private network solutions, while Lingyun Services focuses on cloud-based digital transformation needs, including SD-WAN services [2][3] SD-WAN Product Development - The company launched its self-developed SD-WAN product in July 2021, which supports national encryption algorithms (SM2, SM3, SM4) and aims to capture opportunities in cloud computing and network security [3][4] - The SD-WAN technology, introduced around 2014, is now being actively adopted by clients, offering flexible networking solutions that include internet, dedicated lines, and 5G [3][4] Competitive Advantages - Compared to traditional IP-VPN products, the SD-WAN solution offers intelligent path switching, plug-and-play capabilities, and visual management, enhancing security and operational efficiency [4][5] - Naling Technology is one of the few domestic companies with self-research capabilities in SD-WAN, allowing for customized development based on client needs [5] Market Position and Growth - As of June 2022, the company has established 65 business nodes globally, covering 36 cities in China and 3 overseas regions [4] - The company is among the first to obtain the national license for cross-regional internet VPN services, positioning itself as a leader in the IP-VPN sector [4][5] Financial Performance and Challenges - The company's revenue growth has been impacted by the economic slowdown and the COVID-19 pandemic, particularly affecting large enterprises in sectors like finance, retail, and logistics [5][6] - R&D expenses increased by 57.45% year-on-year, indicating a commitment to enhancing product offerings and market competitiveness [6] Future Outlook - The company plans to increase investment in R&D for SD-WAN and cloud services, aiming to accelerate growth in new business areas [6] - Collaboration with partners like Alibaba Cloud and Zscaler is expected to enhance integrated service offerings in cloud and network solutions [6]

证券代码：300921 证券简称：南凌科技 南凌科技股份有限公司 投资者关系活动记录表 | --- | --- | --- | |--------------------------------------------|------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ...

Market Position and Growth - The global SD-WAN market is projected to grow from $1.9 billion in 2020 to $34.5 billion by 2025, with a compound annual growth rate (CAGR) of 34.5% [1] - In China, the SD-WAN market is expected to grow from 200 million RMB in 2018 to 840 million RMB in 2021, indicating significant domestic growth potential [1] - South Ling Technology's SD-WAN revenue increased by 152.66% in 2020 compared to 2019, establishing it as a leading player in the domestic market [2] Product Development and Strategy - The company plans to launch its self-developed SD-WAN product in the second half of 2021, which will utilize proprietary software and hardware, supporting a domestic substitution strategy [2] - The self-developed SD-WAN product aims to enhance competitiveness and market share by reducing costs while ensuring manageability, security, and convenience [2] - The product supports the company's "Network + Application" strategy, catering to increasing customer demands for intelligent networks and SaaS applications [2] Competitive Landscape - South Ling Technology's self-developed SD-WAN product differentiates itself from Alibaba Cloud's offering by providing broader capabilities, including hybrid cloud connectivity and SaaS acceleration [3] - Currently, the SD-WAN market is dominated by foreign brands, with domestic products still lagging in technology and application [3] - The trend indicates that more enterprises will prefer purchasing SD-WAN services from specialized communication service providers rather than building their own networks [3] Regulatory Environment - As of March 2021, there are 23,450 value-added telecom operators in China, with 2,072 licensed for Internet Virtual Private Network (IP-VPN) services [4] - Among these, only 3,055 operators have registered capital exceeding 50 million RMB, highlighting the competitive landscape in the telecom sector [4] International Expansion - The company's overseas strategy includes establishing SD-WAN nodes in Singapore and Frankfurt to support domestic enterprises' international operations [4] - The Singapore node will cover major Southeast Asian countries, while the Frankfurt node will cater to all European countries, enhancing the company's global footprint [4]

Group 1: Revenue and Business Performance - The company's revenue for 2020 was 125.2967 million yuan, with a quarter-on-quarter change of -4.34% due to the impact of COVID-19 [1] - The proportion of value-added telecommunications business revenue to total revenue is 86.93%, indicating it as the main source of income and profit [1] - The revenue from the self-developed SD-WAN product increased by 152.66% compared to the previous year, making it one of the most prominent SD-WAN application solutions in the domestic market [2] Group 2: Business Strategy and Market Position - The company focuses on providing dedicated network services to medium and large enterprises, with a significant revenue contribution from these clients [4] - The introduction of self-developed SD-WAN products is expected to enhance competitiveness and market share, supporting the "Network + Application" strategy [3] - The company has a unique competitive advantage in the dedicated network industry, having operated for 24 years and developed self-research capabilities in new technologies and products [3] Group 3: Market Trends and Competition - The global VPN market was valued at $25.41 billion in 2019 and is projected to reach $75.59 billion by 2027, with a compound annual growth rate (CAGR) of 14.7% from 2020 to 2027 [5] - The domestic market for virtual private networks (VPNs) is experiencing rapid growth, particularly in SD-WAN products, as more clients transition from physical dedicated networks to virtual private network services [5] - The company faces competition from peers like Peng Bo and Wangsu Technology, which are also expanding into dedicated network services [3] Group 4: Financial Insights - The company's gross profit margin decreased to 35.24% in Q1 2021, primarily due to increased investment in SD-WAN backbone network construction [6] - The asset-liability ratio has been declining since the second half of 2020, attributed to sufficient cash flow and reduced investment in system integration projects due to the pandemic [6] - Increased R&D investment and sales expenses are expected in 2021, reflecting the company's commitment to innovation and market expansion [7]

证券代码：300921 证券简称：南凌科技 南凌科技股份有限公司 投资者关系活动记录表 编号：2021-005 | --- | --- | --- | --- | --- | |-------------------------|-----------------------------------|-------------------------------------------------------|----------------------|-------| | 投资者活动关 | □ 特定对象调研 | □ 分析师会议 | | | | 系类别 | □ 媒体采访 □ | 业绩说明会 | | | | | □ 新闻发布会 | □ 路演活动 | | | | | □ 现场参观 | | | | | | 其他 | | | | | 参加单位名称 及人员姓名 | | 四川发展产业引导股权投资基金管理有限责任公司 | | | | 时间 | 2021 年 9 月 24 日 | | | | | 地点 | 深圳国际创新中心 | A 栋 16 层 ICT 会议室 | | | | 上市公司接待 | 董事长兼总经理：陈树林 | ...

Business Overview - The main business segments of the company are value-added telecommunications and system integration [2][3] - Value-added telecommunications include IP-VPN, SD-WAN, enterprise internet, IDC, and cloud-related applications [3] - System integration encompasses data centers, video conferencing, smart security, and solutions for the civil aviation industry [3] Performance and Growth Targets - The company aims for significant growth in 2022, focusing on expanding its MPLS VPN backbone and ISP backbone networks [4] - The 2021 stock incentive plan outlines specific performance targets for the next three years [4] Technological Development - The company launched a domestically developed SD-WAN product in July 2021, marking a key growth point for 2022 [4] - New SD-WAN nodes in Frankfurt and Singapore were established to enhance global market presence [4] Overseas Strategy - The overseas strategy includes both "bringing in" and "going out" approaches, establishing stable partnerships with foreign enterprises and expanding overseas operations [4] - The Singapore and Frankfurt nodes will cover major countries in Southeast Asia and all European countries, respectively [4] Operational Capabilities - The company has a dedicated technical service team of nearly 100 people with over 20 years of operational experience [5] - It follows ISO/IEC 20000-1:2011 standards to ensure a customer-centric service management system [5] Financial Performance - Revenue increased in the first three quarters of 2021, but profits declined due to increased R&D investments [5][6] - The focus on enhancing R&D capabilities is seen as crucial for improving competitiveness [6] Future Directions - The company plans to focus on intelligent network research, including SASE and SD-WAN technologies, and aims to provide comprehensive intelligent network solutions [6] - It will also track industry trends and optimize IT infrastructure services based on evolving enterprise needs [6]