\u3000\u3000 Hangzhou Robam Appliances Co.Ltd(002508) (002508)
Events
On February 24, 2022, Hangzhou Robam Appliances Co.Ltd(002508) released the annual performance express of 2021. The company achieved an operating revenue of 10.148 billion yuan in 2021, with a year-on-year increase of 24.84%; The net profit attributable to the parent company was 1.334 billion yuan, a year-on-year decrease of 19.66%; The net profit deducted from non parent company was 1.275 billion yuan, a year-on-year decrease of 19.57%.
Brief comment
The provision of impairment loss does not hinder the long-term development prospect of the company and maintains the "buy" rating. In 2021, the net profit attributable to the parent company decreased, mainly due to the default of some fine decoration business customers, with a total provision for bad debts of about 710 million yuan. Assuming that all impairment losses are reversed, the net profit attributable to the parent company is expected to be 2 billion yuan in 2021, an increase of 20% year-on-year +. The target growth rate of the company in 2022 is stable and the long-term development prospect is good. We expect that from 2021 to 2023, the company will realize the net profit attributable to the parent company of 1.334/24.10/2.760 billion yuan, corresponding to EPS of 1.41/2.54/2.91 yuan, and the current share price corresponding to PE of 24.2/13.4/11.7 times, maintaining the "buy" rating.
The status of the old and the new categories has been steadily improved. 1) Quarter by quarter: the operating revenue of 2021q4 was 3.077 billion yuan, with a year-on-year increase of 22.96% and a month on month increase of 9.31pct. 2) By category: according to Aowei data, the offline sales of "boss brand" range hood, gas stove, integrated steaming and baking machine and embedded dishwasher accounted for 30.50% / 29.30% / 34.80% / 17.50%, with a year-on-year increase of 2.26/3.50/2.94/8.00pct; The online sales of kitchen electric package accounted for 30.40%, with a year-on-year increase of 2.40pct; The fine decoration channel market of range hood accounts for 36.20%, ranking first in the industry. 3) By channel: in 2021, the growth rate of e-commerce channels was close to 30%, accounting for 35% - 40% of the overall revenue; Offline retail channels grew by 20%, accounting for nearly 40%; The growth rate of Engineering channels is close to 10%; Famous brands achieved low single digit growth.
Focus on emerging categories, optimize channels and explore markets. 1) Product side: in 2022, the company will tilt more resources to integrated stoves, integrated steaming and baking machines, dishwashers and other categories. 2) Channel side: actively cover low tier cities through boss + fame, lay offline outlets, expand sinking channels, strengthen the flat construction of channels and improve the service capacity of agents.
Risk tips: intensified industry competition, rising raw material prices, fluctuations in the real estate industry, etc.
