Real performance decline ZTE has become a social security fund fragrant steamed bun, the third quarter by the latter substantial holdings, ZTE has become the social security fund holdings of the highest market value of the company.
As of the end of the third quarter, there are four social security funds are located in the top ten shareholders of ZTE's circulation, ranking the sixth, eight, nine, ten shareholders.
Among them, the three social security funds for the new, including the social security fund one hundred and four combinations, one by one combination and one seven one combination, the three in the third quarter were bought 4619 million shares, 23.72 million shares, 1975 million shares, Into the 8965 million shares.In addition, the social security fund portfolio in the third quarter slightly reduced after 100 million shares, still holds 25 million shares.
Four social security funds held a total of 115 million shares of ZTE, the total holdings of 2.73%. ZTE October 27 closing price of 30.08 yuan, the social security fund holdings of up to 3.459 billion yuan, which is disclosed three quarterly In the company, the social security fund holds the highest market value of the company.
With the social security fund, the certificate company to take the exit strategy.Cancel in the third quarter holdings of ZTE 4465 million shares, accounting for 1.07% of the total share capital.This is the second consecutive quarter of the company for the holdings of reductions. At the end of the third quarter, the proportion of the holdings of the certificate company fell to 1.23%, the top ten shareholders in circulation from the third down to fifth place.
In fact, ZTE's real profit in the third quarter is not so good .In the third quarter, ZTE's total revenue of 22.569 billion yuan, down 5.2%; attributable to ordinary shareholders of listed companies net profit of 1.162 billion yuan, an increase 47.53%. In the seemingly dazzling third quarter results behind the existence of a super 2 billion non-recurring gains and losses.
Excluding non-recurring gains and losses, ZTE's net loss for the third quarter was $ 389 million, which included exchange losses of more than $ 500 million.
In the third quarter, non-recurring gains and losses, ZTE's investment income of up to 2.1 billion, mainly due to the current disposal of Nubian part of the equity investment income.
But also because of the above reasons, ZTE is expected to grow about 3 times the performance of the deduction is not so fast after the so fast.
ZTE's non-recurring gains and losses in 2016 were approximately -45 billion yuan, with non-recurring net profit of RMB2.33 billion, excluding the non-recurring gains and losses in the fourth quarter of 2017, excluding only the first three quarters of RMB2.343 billion Non-recurring gains and losses, ZTE 2017 annual performance is between 2 billion -25 billion, compared to 2016 no growth or growth.
China Merchants Securities (19.910, 0.14, 0.71%) analyst Zhou Yan judge, single-quarter decline in revenue mainly due to the first half of the three major domestic equipment manufacturers less tender, equipment revenue to confirm the impact of third quarter single-season profit.
The performance of law-abiding, why the social security funds in the third quarter have been influx of ZTE, the answer may be with the ZTE in the 5G and other aspects of the technical reserves and global business layout.
In the A-share listed companies, ZTE has been willing to invest in research and development, and its R & D expenses in the forefront, almost every year about 10% of revenue revenue R & D ZTE's first three quarters of R & D investment of 9.2 billion yuan, accounting for The total operating income of 12% of the company over the years accumulated R & D investment is nearly 100 billion yuan.
R & D investment is not only one of the reasons for the increase in ZTE's performance is not high, more importantly, ZTE 5G and other core products in the R & D and technical reserves, but also to occupy the future market opportunities.
ZTE to 5G bearing for the innovation leader, has been in the network virtualization, ultra-100G optical transmission, the next generation of optical access to achieve more technical breakthroughs.
5G progress, ZTE has deployed more than 60 Pre5G networks worldwide, and more than 280 SDN / NFV commercial / lab offices. In the 5G national test phase, refresh the cell throughput, massive connections and low latency, etc. (7.350, 0.22, 3.09%) jointly carried out in Shenzhen 5G field test; and China Mobile, Qualcomm launched the world's first based on the latest 3GPPR15 standard 5G low-frequency IoDT cooperation test.
CITIC Securities analyst Gu Haibo is expected, 5G total investment will be higher than 4G, the performance of the main equipment manufacturers benefit from the core level of ZTE as a 5G leader is expected to enjoy the valuation premium.
In addition to product research and development on the first card position, ZTE in the global market layout has also lay the foundation.
During the reporting period, ZTE overseas 5G market access to an important breakthrough, the company enhanced with Europe, Japan and other mainstream operators in the 5G technology cooperation.On October 25, ZTE won the bid to predict the Italian 5G network construction, and European operators Giant Orange signed a 5G cooperation agreement at the same time, the company and Belgium Telenet to build 5G Innovation Center and complete the first European FDD Massive MIMO field test, together with Japan Softbank to verify Pre5G Massive MIMO single carrier nearly 1Gbps peak and so on.
'Overseas mainstream operators will lay the foundation for the follow-up 5G global expansion.' Everbright Securities analyst Tian Minghua that.
Over the past year, ZTE in the secondary market rose nearly doubled.
Analysts believe that the fourth quarter of this year and the first half of next year, ZTE is still worry-free performance because the third quarter, the three operators in the Internet of Things, OTN and other tender significantly faster.
October 27 evening, ZTE's latest announcement shows that the company's exclusive bid in 2017 China Unicom Internet HSS dedicated network of centralized procurement projects, will be its new HSS 4 sets of equipment, service users 46 million. This is ZTE following In September this year in China Mobile 2017 Internet of things network core network of four tender project made M-HLR / HSS standard package 60% of the share, once again a breakthrough.
In the third quarterly report, ZTE expects the next reporting period, 'the Group will continue to increase the 5G and other core product R & D investment; seize the global telecommunications market technology and pattern changes in the opportunity to firmly improve market share and enhance the global market position . '
With the huge technical reserves, coupled with the relative consolidation of the international market position, 5G era comes, perhaps the date of the outbreak of ZTE.It is precisely because the future of imagination, ZTE access to social security fund preference is also insufficient Wonderful.