China Great Wall: DC Holdings (00861) continues to exert force in big data, achieving significant results in expanding overseas markets.

On September 12, China Great Wall released a research report on the mid-term performance evaluation of DC HOLDINGS (00861) in 2024, showing optimism for the company's long-term development. The report predicts that the company will achieve revenues of 19.255 billion yuan, 20.590 billion yuan, and 22.208 billion yuan in 2024, 2025, and 2026 respectively. The net profit attributable to shareholders is expected to be 0.491 billion yuan, 0.583 billion yuan, and 0.743 billion yuan, with PE ratios of 11X, 9X, and 7X, respectively, maintaining a "hold" rating. The report points out that DC HOLDINGS' big data business maintained strong growth momentum in the first half of 2024. The revenue from the company's big data products and solutions reached 1.277 billion yuan, a year-on-year increase of 17%, with a gross profit of 0.315 billion yuan. Excluding the impact of its subsidiary Digital China Information Service Group, the revenue from big data products and solutions increased by 31% year-on-year, and the gross profit increased by 11%. During the reporting period, the company achieved incremental expansion of its business targeting urban and enterprise customers. In addition, the company has sufficient orders on hand, with a total of 2.424 billion yuan of signed but unsold big data business as of the first half of the year, a 15% increase year-on-year, laying a solid foundation for the continuous expansion of the company's big data business scale. DC HOLDINGS is promoting the rapid standardization and replication of products and solutions through its core technology. The company will deeply embed business twinhood and AI large-scale model ecological platform capabilities constructed by knowledge graphs into big data products and solutions, focusing on key scenarios such as smart cities, smart supply chains, and smart finance, to accelerate the standardized replication and implementation of products and applications in a "multi-industry + multi-customer" two-dimensional matrix. In terms of specific application scenarios, DC HOLDINGS understands industry demand and empowers enterprises with digital intelligence to create value. The company's intelligent supply chain control tower, by unifying and integrating data sources such as ERP, SCM, WMS, CRM, and collecting data from daily operational equipment of enterprises, provides the necessary data insights, analysis, and intelligent decision-making for production management end-to-end in a visual interface, greatly improving operational efficiency. In addition, the report emphasizes the significant achievements of DC HOLDINGS in cross-border expansion. With Chinese companies accelerating their capacity and technology going global layout, DC HOLDINGS has made significant progress in its overseas business, winning supply chain outbound business orders from BYD Company Limited in Thailand and Vietnam in 2024. In the first half of 2024, the company's overseas revenue reached 0.465 billion yuan, a 55% increase year-on-year, accounting for 7% of total revenue, with the proportion of overseas revenue continuing to rise (1% in the first half of 2022). The rapid development of DC HOLDINGS in big data and cross-border expansion has laid a solid foundation for the company to continue its strategic layout and long-term stable development, while also providing investors with new investment opportunities. With the further development of the domestic digital economy and the continuous growth of the scale of Chinese companies going global, DC HOLDINGS will have a broader space for development.