L’Oreal – its revenue reached a 14 year high and its performance increased significantly. In 2021, L’Oreal’s sales reached 32.288 billion euros (about 234.7 billion yuan), a year-on-year increase of + 15.3%, and a year-on-year increase of + 16.1% based on the comparable structure and the same exchange rate. Strong sales growth, the highest level in recent 14 years; The net profit attributable to the parent company was 4.597 billion euros, an increase of 29.01% year-on-year and 22.59% year-on-year in 2019. The performance increased significantly compared with that before the epidemic. The gross profit margin of the company remained stable and increased slightly, the R & D expense rate was stable and the management efficiency was improved. In terms of profitability, the company’s gross profit margin was 73.88% in 2021, with a year-on-year increase of 0.70pct; The net interest rate broke through 14% again. In terms of cost structure, in 2021, the R & D cost rate of the company was 3.19%, which has stabilized at more than 3% in recent five years, and the R & D cost exceeded 1 billion euros; The sales expense rate increased by 1.91 PCT to 32.80%; The management fee rate decreased by 1.33pct to 18.81%, and the management efficiency was improved. By Region: in 2021, the company’s revenue from Europe was the largest, reaching 10.185 billion euros; Followed by North Asia, which achieved a high revenue of 9.863 billion euros and achieved a high growth of 18.60%. Among them, China achieved double-digit growth, twice the growth rate of the market.
Estee lauder-2022q2 net profit increased by 25% year-on-year, and the whole category achieved positive growth. In 2022q2, Estee Lauder group achieved an operating revenue of US $5.539 billion, a year-on-year increase of 14.14%; The net profit attributable to the parent company was US $1088 million, a year-on-year increase of 24.63%. In 2022, the annual revenue is expected to increase by 13% – 16%. The gross profit margin of 2022q2 is 77.92%; The net interest rate continued to rise, reaching 19.64% in 2022q2, with a year-on-year increase of 1.65pct; During 2022q2, the cost was USD 2.885 billion, with a year-on-year increase of 11.39%, and the cost rate decreased by 1.28 PCT to 52.09%. The impact of the epidemic has led to the interruption of the global supply chain, which has a negative impact on costs and expenses. However, due to the company’s strategies of price increase, product structure adjustment and cost saving, the cost and expense rate have been effectively controlled.
Aierjian Aesthetics – the income of the global aesthetics portfolio doubled, and baotuoshi and Qiao Yadeng increased at the same time. On February 2, 2022, Alberta announced its financial results for the year ended 2021. In 2021, the global net income of the company’s aesthetic portfolio was $5.233 billion / yoy + 102.05%, an increase of 23.04% over 2019; Among them, the global net income of Botox was USD 2.232 billion / yoy + 100.72%, an increase of 34.21% over 2019. Both the United States and international (except the United States) doubled their growth. The growth rate of Botox in the United States is higher than that of joyaden. In 2021, Botox achieved a revenue of $1.424 billion / + 100.48% in the United States, an increase of 44% compared with 2019, and the revenue of juvederm was $658 million / 106.92%, an increase of 12% in 2019.
Investment suggestion: Jewelry & mother and baby – it is suggested to focus on the gold jewelry leaders Chow Tai Seng Jewellery Company Limited(002867) , Guangdong Chj Industry Co.Ltd(002345) , Chow Tai Fook, Lao Feng Xiang Co.Ltd(600612) driven by the improvement of processing technology and the rise of Guochao culture, and pay attention to the mother and baby leaders Kidswant Children Products Co.Ltd(301078) and Shanghai Aiyingshi Co.Ltd(603214) . Medical Beauty & beauty makeup – we believe that international giants have achieved high growth on the basis of throwing out the high base of the impact of the recovery of the epidemic, and there is broad space for re certification. Looking at the relevant companies of national cosmetics: the valuation has been greatly adjusted to a reasonable level, the overall penetration rate is still low, and they have the logic of innovation, consumption upgrading and domestic substitution, with strong growth driving force. Maintain the “recommended” ratings of Imeik Technology Development Co.Ltd(300896) , Yunnan Botanee Bio-Technology Group Co.Ltd(300957) , Proya Cosmetics Co.Ltd(603605) . It is recommended to pay attention to Nanjing Cosmos Chemical Co.Ltd(300856) , Jahen Household Products Co.Ltd(300955) , which have the logic of capacity + category expansion and are expected to benefit from travel and industrial policies.
Risk tip: the overall consumer demand is weak and the industry competition intensifies.
