\u3000\u30 Chongqing Baiya Sanitary Products Co.Ltd(003006) 28 Yealink Network Technology Co.Ltd(300628) )
Event overview: on February 28, 2022, the company released its 2021 annual performance express. In the 21st year, the company realized an operating revenue of 3.7 billion yuan, a year-on-year increase of 34.35%, and a net profit attributable to the parent company of 1.62 billion yuan, a year-on-year increase of 26.69%.
The annual performance slightly exceeded expectations, and Q4 revenue and profit maintained a high growth year-on-year. In the 21st year, the revenue reached 3.7 billion yuan, with a year-on-year increase of 34.35%. According to wind, the average exchange rate of US dollar to RMB in the 21st year was 6.45 and 6.90 in the same period last year. Calculated according to the comparable caliber of US dollar, the revenue in the 21st year increased by 43.74% year-on-year; The net profit attributable to the parent company was 1.62 billion yuan, a year-on-year increase of 26.69%. Q4 achieved an operating revenue of 1.172 billion yuan, a year-on-year increase of 47.68%, and a net profit attributable to the parent company of 402 million yuan, a year-on-year increase of 48.29%. The revenue and profit in a single quarter reached a record high. We believe that under the multiple adverse effects of exchange rate fluctuations, rising prices of raw materials and Xiamen epidemic, the company can still exceed the high growth of revenue and profit, and complete the equity incentive target (revenue of 3.443 billion and profit of 1.598 billion) and partner incentive fund target (revenue of 3.580 billion) on schedule, reflecting the company's strong cost control, supply chain management, brand, R & D Comprehensive ability of channels.
In the past 22 years, adverse factors such as exchange rate, price rise of raw materials and epidemic situation are expected to continue to be cleared. The market is worried about the adverse impact of RMB exchange rate appreciation on the company. We believe that the exchange rate is only a disturbance factor in the medium and short term (1-2 years) and does not change the long-term high growth of the company. In addition, the company has raised prices twice in 21 years, and the pressure of price rise in the upstream has been benign transmitted to the downstream. If the price of raw materials in the upstream falls in 22 years, there is room for further improvement of gross profit margin. In terms of epidemic situation, the impact of China's epidemic situation on the company's production has been restored, and the company has reached full production at present; The overseas epidemic has further stimulated the demand for telecommuting and video conferencing. The recurrence of the epidemic has further changed people's working and living habits. Mobile office communication equipment will gradually change from optional equipment to mandatory equipment. The company's overseas orders are full and the demand is strong, which is sustainable.
Committed to new product research and development and the expansion of Chinese downstream customers, the second growth curve is worth looking forward to. In the past 22 years, the company has continuously improved its product matrix, continued to launch heavy new products, and strive to open a new growth curve beyond SIP phones. The company officially released the new bh7x series Bluetooth headset on January 20, 2022, making great efforts in the high-end audio market and creating a complete headset product line, which meets the needs of mixed office under the overseas epidemic. In addition, the company's hearing aid products are also in the stage of R & D and reserve, which is expected to open a new growth space. The company has actively expanded to the downstream financial industry in China. The sales of key products have made breakthroughs in China's head banks, securities companies and fund companies, and the downstream customer structure has been continuously optimized.
Investment suggestion: Based on the optimistic judgment of the company's business, we raised the profit forecast. It is estimated that the net profit attributable to the parent company in 20212023 will be RMB 1.62022992932 billion respectively, with the corresponding PE multiple of 44x / 31x / 25X. The valuation center of the company in recent five years is 40x, and the valuation center continues to improve. We judge that the company will usher in high demand growth, gross profit margin improvement, customer structure optimization and other heavy profits. The performance in 22 years is expected to continue to grow high and maintain the "recommended" rating.
Risk tip: the epidemic repeatedly affects China's production and overseas demand; Exchange rate fluctuations; Risk of price rise of raw materials.
