Boss Soft(300525) 申万宏源·2024-06-26 02:01Investment Rating - First coverage with a "Buy" rating, target market cap of 11.5 billion RMB, and a PE ratio of 29x for 2024E [4][7] Core Views - The company is a leader in fiscal informatization, providing systems for fiscal bills and non-tax revenue, connecting units, finance departments, and banks [1] - The company's growth is driven by the transition from government platforms to unit services, with the first growth curve being the electronicization of fiscal bills and non-tax bills, and the second growth curve being the fiscal budget integration platform [2] - The company's electronic bill folder has over 100 million users and is expected to become a comprehensive tax and financial service platform for individuals and enterprises [3] - The company's third growth curve is the unit-side SaaS for electronic vouchers, with 170,000 cornerstone customers and 670,000 reachable customers [9] - The company's organizational structure provides vitality and guarantees for future growth, with new businesses typically established through subsidiaries and employee co-ownership [10] Financial Projections - Revenue is expected to reach 2.386 billion RMB in 2024, 2.834 billion RMB in 2025, and 3.323 billion RMB in 2026 [4] - Net profit attributable to the parent company is expected to be 393 million RMB in 2024, 486 million RMB in 2025, and 584 million RMB in 2026 [4] - The company's revenue CAGR from 2014 to 2023 was 37%, and net profit CAGR was 30% [44] - The company's gross margin has remained stable at over 60% from 2014 to 2023, with a net margin of over 15% [68] Business Segments - The company's main business segments include digital bills, smart fiscal finance, digital procurement, and smart city and rural areas [43] - The digital bill segment includes electronic vouchers and data elements, with a focus on medical insurance and commercial insurance claim platforms [75] - The smart fiscal finance segment includes budget management integration and non-tax revenue electronic banking services [75] - The digital procurement segment includes internet procurement management and trading platform construction and operation services [75] - The smart city and rural areas segment includes digital village comprehensive governance platforms and agricultural product supply chain platforms [75] Growth Drivers - The company's growth is driven by the electronicization of fiscal bills and non-tax bills, the fiscal budget integration platform, and the unit-side SaaS for electronic vouchers [2][9] - The company's electronic bill folder has over 100 million users and is expected to become a comprehensive tax and financial service platform for individuals and enterprises [3] - The company's organizational structure provides vitality and guarantees for future growth, with new businesses typically established through subsidiaries and employee co-ownership [10] Market Opportunities - The electronic voucher accounting data standardization is expected to be promoted nationwide, providing new growth opportunities for the company [3] - The company's electronic bill folder has over 100 million users and is expected to become a comprehensive tax and financial service platform for individuals and enterprises [3] - The company's unit-side SaaS for electronic vouchers has 170,000 cornerstone customers and 670,000 reachable customers [9] Competitive Advantages - The company is a leader in fiscal informatization, providing systems for fiscal bills and non-tax revenue, connecting units, finance departments, and banks [1] - The company's electronic bill folder has over 100 million users and is expected to become a comprehensive tax and financial service platform for individuals and enterprises [3] - The company's organizational structure provides vitality and guarantees for future growth, with new businesses typically established through subsidiaries and employee co-ownership [10] Valuation - The company's target market cap is 11.5 billion RMB, with a PE ratio of 29x for 2024E [4][7] - The company's revenue is expected to reach 2.386 billion RMB in 2024, 2.834 billion RMB in 2025, and 3.323 billion RMB in 2026 [4] - The company's net profit attributable to the parent company is expected to be 393 million RMB in 2024, 486 million RMB in 2025, and 584 million RMB in 2026 [4]