Under the influence of the COVID-19, the growth rate of intelligent manufacturing business of SIE Information (300687. SZ) slowed down a bit than expected.

SIE is transforming from an ERP (enterprise resource planning) enterprise to an intelligent manufacturing enterprise. A year ago, Zhang Chengkang, chairman and CEO of SIE, exclusively disclosed to the interface news that he hoped that in a year or two, the proportion of intelligent manufacturing business would exceed half of the revenue.

Recently, at the annual "SIE User Conference", Zhang Chengkang mentioned the goal of one year ago again when receiving an exclusive interview with the interface news. Zhang Chengkang admitted that the intelligent manufacturing business was slightly affected in the first half of this year due to the epidemic. Because the factory did not start production in the first half of the year, remote ERP services that are purely digital would be better. ”

Zhang Chengkang stated that looking at the whole year, due to the faster recovery in the second half of the year, the growth rate of intelligent manufacturing business can also reach over 40%, driving the overall revenue growth of the company to around 30%, and the net profit will double compared to last year. Conservatively estimated, the proportion of annual revenue from intelligent manufacturing business exceeds 20%, and ultimately financial report data will be the main source

SIE achieved an operating revenue of 959 million yuan in the first three quarters, up 26.26% year on year; The net profit attributable to shareholders of the listed company reached 110 million yuan, a year-on-year increase of 111.66%. By product, SIE Information includes four businesses: pan ERP, intelligent manufacturing, agent distribution and software maintenance services. Among them, pan ERP and intelligent manufacturing are the core businesses of the company, accounting for about 90% of its revenue sources.

SIE's intelligent manufacturing business involves the provision of integrated solutions for intelligent manufacturing and industrial Internet. This business was already growing rapidly. In 2018, the revenue of SIE Information Intelligent Manufacturing increased by more than 100% year on year, and the proportion of revenue increased from 10.36% to 16.18%, and then rose to 24.58% in 2019. Until the first half of 2020, under the impact of the epidemic, the proportion of revenue from this business decreased to 21.00%.

The annual growth rate of intelligent manufacturing business exceeds 40% -50%, and the annual growth rate of pan ERP is about 10%. ”Judging from the growth rate of the two main businesses of SIE Information, Zhang Chengkang believes that "although the goal of two years accounting for half has not been achieved, it can also be achieved in three or four years, and this speed is relatively fast."

Zhang Chengkang also told Interface News that compared with the pan ERP business, the gross profit margin of the intelligent manufacturing business is gradually increasing.

From the 2020 interim report, it can be seen that the gross profit margin of intelligent manufacturing has reached 32.52%, a year-on-year increase of 9.66 percentage points, surpassing the first main business, the pan ERP business, whose gross profit margin has also increased by 3.39 percentage points year-on-year to 29.16%.

In addition to providing customers with a basic platform, future intelligent manufacturing will also launch industry packages for various industries. Currently, PCB and electronics industry packages have been launched. The launch of industry packages can significantly reduce our requirements for manpower investment. The gross profit margin naturally increased. ”Zhang Chengkang explained to Interface News.

This year, SIE more mentioned the topic of "scene driven". Zhang Chengkang divided the scenes into "small scenes", "medium scenes", and "large scenes", ranging from the transformation of a process to the planning and implementation of the entire "unmanned factory". Small scenes are the requirements for identifying core business scenarios such as production and decision-making in enterprises, helping them quickly obtain digital transformation opportunities and backend solutions; The medium scenario utilizes digital technologies such as 5G and the Internet of Things to improve digital marketing plans through business surveys; The large-scale scenario represented by unmanned factories forms automated mass production based on the integration of human, machine, electricity, and software through human-machine collaboration in the manufacturing process and the application of new technologies, reducing production costs.

I think the future data assetization and business middleware are the key to the path of data construction. Therefore, Zhang Chengkang believes that it is particularly important to utilize the capabilities of middleware to provide a standardized technical platform for microservices.

It is reported that SIE Information has selected 8 key industries as its competition fields to combine information technology.

At the same time, SIE Information launched and happily watched the good industrial bracelet two years ago, but still failed to make a profit.

This is a process of exploration, "Zhang Chengkang said, stating that the company no longer treats industrial wristbands as a single thing. It is reported that SIE Information recently launched the Gushen platform. "Through this connection platform, let the industrial bracelet become a terminal antenna of the industrial Internet, a sensing method, and make the data collected by enterprises more effective."

In addition, Zhang Chengkang also revealed to Interface News that the company's previously planned thousand person R&D center in Foshan is currently being promoted. "At present, there are two or three hundred people coming in, and they will gradually come in next March." The R&D center focuses on intelligent manufacturing and industrial Internet.

Interface journalist Zhang Yi