Clear roadmap to digitalize the construction value chain_股票频道

（以下内容从招银国际《Clear roadmap to digitalize the construction value chain》研报附件原文摘录）
广联达(002410)
Glodon delivered strong FY4Q22 results and gave upbeat FY23E guidance withrevenue and net profit growth of +30% YoY. Core segment Construction Costinghas completed SaaS migration with conversion/ renewal rate of 90%/ 80%respectively. Leveraging on this cash cow business, Glodon will focus on theramp-up of Construction Management platform and proprietary Digital Designproducts in FY23-25E. The Company is targeting FY25E revenue to doublecompared to FY22 level with net margin of >15%. We like Glodon for itsleadership in driving digitalization along the construction value chain.
FY4Q22 beat on tight opex control, FY23E guidance promising. Glodonreported FY4Q22 revenue of RMB2.13bn (+6% YoY) and net profit ofRMB328mn (+77% YoY). GPM/ OPM both recorded solid improvement of+4 pts/ +7.6 pts YoY on 1) lower project based construction managementrevenue (-19% YoY) and 2) -3.6 pts decline in opex ratio in FY4Q22.Meanwhile, Glodon guided a promising FY23E outlook with revenue and netprofit both growing at +30% YoY.
Construction costing: transforming into a stable cash cow as SaaSmigration completed. Glodon’s costing SaaS revenue was RMB879mn inFY4Q22 (+21% YoY), accounting for 41% of total revenue. SaaS metricsincluding newly signed contract of RMB1.13bn (+23% YoY) and contractedliabilities of RMB2.68bn (+31% YoY) suggested a steady growth outlook.FY22 marked the last year of SaaS migration. High conversion rate (90%)and renewal rate (80%) are the pillars for future cash flow. We believe FCFmargin improvement (FY22 FCF margin:12%) will drive further re-rating.
The 9th three-year plan (FY23-25E) targets: FY25E revenue to doublecompared to FY22 level with net margin exceeding 15%. Glodon laid outThe 9th three-year plan with solid targets in revenue and margin, driven bythe ramp-up of 1) Digital project integration management platform (PaaS+module) and 2) Digital design businesses. In FY22, 21,000 newConstruction Management projects were initiated, involving 1,600 newcustomers although revenue recognition was being affected in FY4Q22. ForDigital Design, Glodon has expanded from Housing to Road designproducts. In 2022, Glodon’s Road design products involved more than100km of roads, 70 bridges, 11 tunnels and 10 interchanges.
Maintain BUY. We raised FY23-24E net profit by 11-15% to reflect 1) higherrevenue growth in construction management and digital design segmentsand 2) better opex control. Our new target price of RMB82.34 (priorRMB78.56) is based on unchanged 11x FY23E EV/sales (3-year mean).