Videolink Power (A19074) Special Report: Technology Advantage Highlights Independent Innovation and Growth

Videolink Power (A19074) Special Report: Technology Advantage Highlights Independent Innovation and Growth
Key points of investment: Rookie in the video communication industry, independent innovation agreement Industry leading companies are one of the few high-definition video communication companies in China that have independent research and development communication protocols and have a leading market level.The company’s core competitiveness is the independently developed “V2V” protocol, which has the advantages of simpler structure and low cost, and can take into account both safety and security.Based on the self-invented “Video Network” system carefully created by the agreement company, it has a variety of functions such as video conferencing, video surveillance, and videophone. Currently, it has expanded the “Xueliang Project”, electronic government affairs, and comprehensive management of social security.After the test of the national large-scale projects such as the Boao Forum for Asia, the G20 Summit, etc., it has established a certain reputation.Absolute company performance has grown rapidly, from 2016 to 2018, operating income from 1.51 ppm increased rapidly to 11.5.2 billion, net profit attributable to mother increased from 36.62 million to 4.7.5 billion. The rapid development of the video communication industry, the information construction has given rise to the industry’s demand for intelligent development of the city, video communication will be driven by multiple factors such as corporate collaborative office systems, and the rapid development of the video communication industry.The scale is 670.700 million, the market size CAGR reached 22 in 2014-2018.32%.The scale of video conferencing and video convergence in its subdivisions has grown rapidly, and the CAGR of video conferencing between 2014 and 2018 was 32.29%, the video fusion scale CAGR is 19.86%.With the expansion of video conferences, market competition has gradually intensified. As the market share of many companies has declined, the market share of line-of-sight linkage has increased rapidly, from 2 in 2016.2%, ranking tenth to 7% in 2018, ranking third, with good momentum of development.With the advancement of informatization strategy, the acceleration of the construction of government information systems, and the continuous advancement of the “Xueliang Project”, smart cities and safe cities, the development of the video communications industry has ushered in new growth space.In addition, the increasingly high-definition video communications will also generate more demand. R & D and sales have been carried out simultaneously, and the gross profit margin has continued to increase. While the company’s sales volume has grown, the average gross profit margin and net profit margin have increased from 2017 to 2018, and the effect of scale has initially shown.The company continues to invest in research and development, continuously develop new products while upgrading and iterating old products, and establishes a VEPAL research and development management system to improve research and development efficiency and consolidate the company’s alternative technological advantages.The company’s customers are mainly government, operators and integrators, and the sales method is mainly direct sales. In terms of sales, the company has built a comprehensive sales system, including business development centers, key account sales departments, regional sales departments, design institute sales departments, andThe medical division and industrial division responsible for vertical promotion of the industry are fully connected with customers.At present, the 北京桑拿洗浴保健 company’s top five customers account for a relatively large proportion of operators and radio and television groups.In 2018, the company established a long-term and in-depth cooperative relationship with integrated operators, and will jointly build a nationwide “video network” system to provide new growth for the company.point. Risks suggest that there is uncertainty in the landing of customer demand, and the video conference industry is developing less than expected.