Investment Rating - The report maintains a "Recommended" investment rating for the company, with a current stock price of 285.99 yuan [1]. Core Views - The company reported strong performance in the first half of 2025, achieving operating revenue of 523 million yuan, a year-on-year increase of 48.65%, and a net profit attributable to shareholders of 205 million yuan, up 98.36% year-on-year [4][8]. - The company's profitability has significantly improved, with a gross margin of 96.22% and a net profit margin of 39.13%, reflecting strong cost management capabilities [8]. - The company is a leading player in the domestic database market, with a comprehensive product system centered around database management systems, benefiting from the growing demand in the information technology sector [9][8]. Financial Performance Summary - **Revenue and Profit Forecasts**: The company is expected to achieve net profits of 491 million yuan, 647 million yuan, and 865 million yuan for the years 2025, 2026, and 2027 respectively, with corresponding EPS of 4.33, 5.71, and 7.64 yuan [9][10]. - **Growth Rates**: Projected revenue growth rates for 2025-2027 are 35.2%, 31.5%, and 32.4% respectively, indicating robust growth potential [11]. - **Profitability Ratios**: The net profit margin is expected to stabilize around 34.7% to 35.2% over the next few years, while the return on equity (ROE) is projected to increase from 13.4% in 2025 to 17.2% in 2027 [11]. Market Position and Competitive Advantage - The company has strengthened its market position in key sectors such as finance, energy, and transportation, with significant projects and partnerships enhancing its competitive edge [9]. - The company is actively involved in the development of cloud databases and distributed database technologies, which are critical for meeting the evolving needs of its clients [8][9]. Investment Outlook - The report suggests that the company will continue to benefit from the expanding domestic database market and the government's support for information technology initiatives, positioning it for rapid growth [9][8]. - The company is expected to maintain a high level of business activity and market share, driven by its innovative product offerings and strategic market expansion efforts [9].

Core Insights - The company reported a revenue of 1.044 billion yuan for 2024, representing a year-over-year increase of 31.49% [1] - Total profit reached 385 million yuan, up 24.06% year-over-year, while net profit attributable to shareholders was 362 million yuan, reflecting a 22.22% increase [1] - The company achieved a net operating cash flow of 473 million yuan, marking a 36.95% year-over-year growth [1] Business Performance - Software licensing remains the dominant revenue stream, generating 894 million yuan, a 22.79% increase year-over-year, driven by accelerated information technology development in energy and transportation sectors [2] - Comprehensive solutions revenue surged to 98 million yuan, up 204.51% year-over-year, while maintenance service revenue increased by 38.50% to 37 million yuan [2] - Revenue from database integrated machines reached 13 million yuan, a significant increase of 179.59% year-over-year, benefiting from applications in government and education sectors [2] - The overall gross margin for the company was 89.64%, down 6.41 percentage points year-over-year, primarily due to the increased proportion of lower-margin solution business [2] - The gross margin for core software licensing remained high at 99.69%, indicating a strong technical barrier [2] R&D and Product Development - The company invested 210 million yuan in R&D for 2024, a 25.16% increase year-over-year, with the number of R&D personnel rising to 503 [3] - The company is advancing several key projects in distributed database systems and domestic database integrated machines, aiming to enhance product performance, security, and user experience [3] - The product matrix has expanded to include various types of databases and cloud computing solutions, establishing a comprehensive product ecosystem [3] Market Position and Industry Collaboration - The company has completed compatibility adaptations for over 11,000 products, ensuring full compatibility with the cybersecurity ecosystem [4] - Collaborations with over 1,000 top ISVs and channel partners in key industries have been established, strengthening the industry ecosystem [4] - The company's products are widely used across critical sectors such as finance, electricity, aviation, telecommunications, public security, railways, and government [4] Investment Outlook - The company is positioned as a leading database product developer in China, with rapid growth in software licensing and steady growth in maintenance services and integrated database solutions [5] - Revenue projections for 2025-2027 are estimated at 1.386 billion, 1.768 billion, and 2.203 billion yuan, respectively, with net profits expected to be 485 million, 569 million, and 643 million yuan [5] - Based on comparable company valuations, a target price of approximately 478.6 yuan is set for 2025, reflecting a PE ratio of 75x, supported by the company's strong market position and quality customer base [5]