I. Industry opportunities
The scale construction of 1 and 5G network will drive the demand of optical fiber and cable industry to stabilize, and the company actively promotes the adjustment of business structure. 20 19 acquired Sichuan Hua Tuo to enter the optical module market, which is expected to share the bonus of 5G network construction.
2. Under the background of new infrastructure, the company is expected to further expand new markets in the information field. On July 14, 2020, Shenzhen issued the Implementation Opinions on Accelerating the Construction of New Infrastructure (2020-2025). The first batch of 95 new infrastructure projects, with a total investment of about 411900 million yuan.
3. In the medium and long term, it is expected to benefit from the acceleration of national defense informatization construction during the 14 th Five-Year Plan period. On June 5438+065438+ 10, 2020, the Central Committee's Proposal on Formulating the Fourteenth Five-year Plan for National Economic and Social Development and the Long-term Goals in 2035 made strategic arrangements for China's national defense and army building, emphasizing the need to accelerate the integration of mechanization, informationization and intelligence. The company's military information business is mainly engaged in the research and development and production of all kinds of military intelligent terminals, software and big data platforms, and provides advanced weapons information products for various services and arms. At present, the main implementers of the company's industrial chain are Chengdu Fourier and Shenzhou Flight. In terms of specific services, Chengdu Fourier's services are divided into five categories, namely, signal processing services, satellite communication services, and big data &; Artificial intelligence business, equipment manufacturing business and trade integration business.
Second, the industry risk
1, 20 19, the external influence of Sino-US trade friction is superimposed, the domestic optical fiber and cable industry and the power industry are declining, and the competition in the optical fiber and cable industry is intensified. Affected by the decline of industry prosperity in 20 19, the company's non-deducted non-post-return on net assets in 20 19 was 2.69%, the lowest since 2010/year.
2. The second recurrence of COVID-19 epidemic in China had a negative impact on the normal operation of the company.
Third, the company's core competitiveness
1. Over the years, relying on the background of state-owned enterprises, we have built ToB and ToG with strong market expansion capabilities in the information field and rich customer resources. In terms of customers, the company focuses on major customers in the industry, including telecom operators such as China Mobile, China Telecom and China Unicom, as well as users of private networks such as radio and television, electric power, transportation, government and national defense. The products are widely used in the first-class trunk network of national and provincial operators, State Grid Corporation, integrators and overseas customers.
2. In terms of optical communication services, we will continue to promote the vertical integration of the industrial chain and enhance our comprehensive service capabilities. After years of development, the company has formed a complete industrial chain layout of "optical fiber and cable-optical transmission and optical distribution products-terminals" in the optical communication industry.
3. In terms of optical fiber and cable, the company has won the honors of "National 10 Optical Communication Enterprise" and "National 10 Optical Fiber and Cable Enterprise" for many years.
4. In terms of intelligent access, the company's subsidiaries engaged in intelligent access business mainly include Optical Network Technology, Tefa Dongzhi, Sichuan Hua Tuo, etc. , whose products cover home intelligent terminals, integrated optoelectronic devices and optical modules.
5. In terms of optical module business, the company acquired Hua Tuo, Sichuan on 20 19, which is an optical module manufacturer integrating R&D, production, sales and service. Its business scope involves R&D, production and sales of optical devices, modular products and subsystems. At present, it has the production capacity of 155M~400G full range of optical modules and high-speed interconnection products, which are widely used in wireless, transmission and data centers.
6. Join hands with Shenzhen Mobile to launch data center business. On the evening of August 24th, the company announced that Tefa Information Data Technology, a holding subsidiary of the company, signed a strategic cooperation agreement with Shenzhen Mobile, and the two parties will cooperate around the data center and the 5G smart park. This cooperation will help the company to further expand its business scale in the data center field, enhance its core competitiveness in the data center field, and hopefully lay the foundation for the company and Shenzhen Mobile to deepen their continuous cooperation in the data center field in the future.
7. Under the background of "new infrastructure", the company further improved the strategic layout in the fields of 5G, data center and smart city. According to the announcement of the company 10/0/29, Tefa Information became the first-phase project supplier of Shenzhen Pengcheng Yunnao Phase II expansion project, with the winning bid amount of 28180,000 yuan, and the company's new infrastructure business reached a new level. In addition, the company's smart city exhibition base project is under construction in an orderly manner, and it is expected that the company will be completed and put into use in the fourth quarter.
8. The new model of missile-borne products won the bid, and the military information business grew steadily. Driven by the demand of military customers, the company's military electronic supporting business orders increased steadily in the first three quarters, and the missile-borne computer products won the bid for new models. The company's missile-borne computer products are applied to flying missiles with guidance capability, including air-to-air missiles, cruise missiles, air defense missiles, strategic missiles and other national defense air force equipment. At the same time, the company's new product development is progressing smoothly. In the first half of 2020, the prototype of TT&C ground station data link system developed by Chengdu Fuli has been designed and appraised, and the multi-channel satellite communication signal demodulator has been launched. Shenzhou Feihang released a number of new products such as high-performance VPX universal platform, which achieved another breakthrough in the major model matching of Shenzhou Feihang data acquisition products.
9. Join hands with Sanqi Technology to establish a joint venture company to jointly explore the market of military, armed police and strategic support forces. In September, 2020, the company and Shenzhen Sanqi Technology jointly established Shenzhen Tefa Sanqi Defense Technology (Tefa Information holds 5 1% and Shenzhen Sanqi Technology holds 49%), and * * * promoted the landing of a subsystem project, jointly explored the market of army, armed police and strategic support forces, and developed new businesses such as radar and DC-XHD. Shenzhen Sanqi Technology is a high-tech enterprise specializing in the design and development of Beidou communication equipment terminal, Beidou user machine and individual soldier communication machine for military and civilian use. This cooperation will help to improve the supporting level of the company's military industrial chain, improve the research and development capabilities in the military field and the development capabilities of customers. The newly signed military procurement framework agreement is expected to greatly increase the company's military business income scale.
10, signed a framework agreement on military procurement, and the military information business went to the next level. On the evening of 65438+February, the company announced that Shenzhen Tefa Sanqi Defense Technology, a holding subsidiary of the company, signed a framework agreement on military procurement with special institutional customers. The object of the agreement is a subsystem equipment, and the agreed amount is about RMB 626 million, accounting for 13.45% of the company's annual operating income in 20 19, accounting for 20 18. The signing and subsequent performance of this agreement is expected to greatly increase the revenue scale of the company's military business.
Fourth, the potential risks of investment.
1, the company's business is relatively diversified, its main business is not prominent, and its core competitiveness is not strong.
2. The expansion of military information business is less than expected.