Guoke’s third-quarter revenue of 1.248 billion yuan hit a record high in a single quarter

Our reporter He Wenying

On October 28, Guokewei disclosed the third quarterly report for 2022. In the first three quarters, the company achieved operating income of 2.915 billion yuan, a year-on-year increase of 55.36%; net profit attributable to the parent was 118 million yuan, a year-on-year decrease of 34.91%. Among them, the operating income in the third quarter was 1.248 billion yuan, a year-on-year increase of 34.98%, a record high in a single quarter.

Guokewei said that in 2022, the company will undertake some customized coding and decoding chip products, and the gross profit rate of these products is low. In addition, in order to cooperate with the launch of new products and seize more market share, the company lowered the price of some products in early 2022, which lowered the company’s overall gross profit margin.

However, the company’s profitability improved significantly in the third quarter. According to the third quarterly report, the gross profit margin of Guokewei in the third quarter was 20.43%, which has gradually recovered from the 16.17% gross profit margin in the first half of the year.

The third quarterly report also disclosed that Guokewei currently has sufficient orders in hand. As of the end of the third quarter, the company’s contract liabilities were 3.048 billion yuan, an increase of 41% from the previous month and an increase of 469% from the beginning of the year.

It is worth mentioning that the cash flow of Guokewei is stable and healthy. The report shows that in the first three quarters, the company’s cash received from selling goods and providing labor services was 6.083 billion yuan, an increase of 164.97% over the same period of the previous year; the net cash flow from operating activities reached 421 million yuan; the reason was that the sales revenue in the third quarter was year-on-year. The increase was due to the fact that some of the prepayments were received.

In the first three quarters, Goke Micro’s R&D expenses were 374 million yuan, a year-on-year increase of 37.11%. The momentum of high R&D investment has not diminished.

It is worth noting that in early October, Guoke officially released two new video encoding products, GK7608 and GK7618. Among them, GK7608 is a high-end IPC SoC product launched by Guoke Micro. Based on a new generation of ISP engine, GK7608 introduces the “black and white color dual light fusion” technology, which can shoot clear and vivid night scenes without supplementing white light, solve the industry problem of difficult color imaging at night, and provide customers with high High-quality low-noise full-color scheme. At the same time, the GK7608 is equipped with a dual-core NPU, which realizes parallel computing of multiple neural networks, which can be easily applied to high-density scenarios with 200 people/cars, eliminating the “blind zone” of high-density scenarios.

GK7618 is Guoke Micro’s first NVR Soc chip product. Relying on years of technical accumulation and unremitting investment in R&D in the field of IPC SoC, Guoke has successfully expanded its product field to the video decoding back-end market.

It is understood that GK7618 can decode 24 channels of 1080P30 video at the same time, integrates a powerful multi-core processor and image analysis processor, supports a variety of intelligent algorithm applications in the backend, and can provide customers with high-performance, intelligent, and easy-to-develop NVR solutions. Strong product competitiveness.

Market participants believe that with the launch of two new products in the GK76 series, Guoke Micro has further enriched its product layout, built its core competitiveness, and injected new momentum into the development of the digital economy.

(Editor He Fan Shangguan Monroe)