\u3000\u3 China Vanke Co.Ltd(000002) 677 Zhejiang Meida Industrial Co.Ltd(002677) )
2021q4’s online share has increased. It is optimistic that the product structure will continue to improve and the “buy” rating will remain unchanged
The company issued a performance express, with a revenue of 2.168 billion (+ 22.41%) in 2021; Net profit attributable to parent company was 669 million (+ 23.04%). In 2021q4 alone, the revenue was 634 million (+ 6.66%); Net profit attributable to parent company: 218 million (+ 4.61%); The net interest rate is 34.4% (- 0.7pcts). The low growth rate of revenue in 2021q4 is mainly due to the slowdown of completion growth and the impairment of net interest rate, mainly due to the rise of raw materials. The company lowered the profit forecast for 2021 and kept the profit forecast for 20222023 unchanged. It is estimated that the net profit attributable to the parent company in 20212023 will be RMB 669 / 819 / 964 million (the original value in 2021 is RMB 680 million), the corresponding EPS will be RMB 1.04/1.27/1.49 (the original value in 2021 is RMB 1.05), and the current share price will be 15.3/12.5/10.6 times that of PE. Considering the rise of raw materials as a short-term factor, the “buy” rating will remain unchanged.
The company’s online intensive cultivation will boost its share, and the share advantage of integrated development of offline channels is expected to be maintained
The company accelerated the diversified construction of marketing channels and dual brand operation, and promoted the parallel and integrated development of various channels. Tiktok increased its online distribution in 2021, and the company opened its official store on the platform of jitter, Kwai Fu, Xiao Hong and other platforms, and increased the intensity of private sector traffic distribution. According to ovicloud, the online sales of Meida brand integrated stoves in 2021q4 reached 270 million, with a year-on-year increase of 107.7% and a market share of 12.17%, significantly higher than 3.97% in 2021q3. Since 2022, Midea integrated stoves have continued a good sales trend. As of February 20, the online sales of Midea brand integrated stoves since 2022 have reached 30 million, a year-on-year increase of 100.43%, maintaining a rapid growth. Offline, we expect that on the one hand, the company will continue to accelerate the offline layout of tianniu brand and create a dual brand operation pattern; On the other hand, it is expected that after the development of Ka channel and home decoration channel is strengthened, the proportion will gradually increase, and the integrated development of various channels will be accelerated. The company’s offline channels have been deeply cultivated for many years, and the overall quality of dealers is high. It is expected that the offline share advantage will continue to be maintained.
The company’s R & D advantages help product differentiation. It is expected that the improvement of product structure will drive the continuous improvement of gross profit margin
By continuously increasing technological innovation and product iterative upgrading and improving product competitiveness, the company launched the Tian Series in the first half of 2021 and the Star Series in the second half of 2021. The whole series of products used DC variable-frequency motor technology, equipped with variable-frequency drive chips and independently developed variable-frequency control software, and the performance of the integrated stove was comprehensively improved. We believe that in the integrated stove industry, the steaming and baking integrated stove has a medium and high-end positioning and comprehensive functions. Users have strong demand for products. It is expected that the proportion of the company’s steaming and baking integrated products will further increase, which is expected to drive the increase of the company’s average price and gross profit margin.
Risk tips: fluctuations in the real estate market; Online channel development is less than expected; Intensified market competition
