\u3000\u3 Shengda Resources Co.Ltd(000603) 558 Zhejiang Jasan Holding Group Co.Ltd(603558) )
From January to February of 22, the revenue was 355 million, an increase of 38% at the same time, and the net profit attributable to the parent company was 48 million, an increase of 136.69% at the same time
From January to February 2022, the company’s main business, cotton socks business grew steadily, seamless business grew rapidly, and made a good start. From January to February, the revenue was about 355 million, an increase of 38% at the same time; From January to February, the net profit attributable to the parent company was about 48 million, an increase of 136.69%.
Cotton socks business: accelerate the development of new customers and new projects, and continue to expand production capacity
The cotton socks business grew steadily, with strong customer demand and products in short supply. We continued to optimize the customer structure, adjusted individual customers with strong price sensitivity, and raised the product price based on factors such as the rise of raw materials.
The company will speed up the development of new projects for new and old customers and explore the Chinese market; Give full play to the R & D advantages of Japan, Europe and the group and increase the proportion of ODM; Continue to expand production in Guizhou and Qinghua, Vietnam and improve development capacity; Increase revenue and reduce expenditure, reduce costs and increase efficiency, and strengthen team stability and new talent training.
Seamless business: production recovery accelerates production expansion, and the production capacity is expected to double
Orders and production resumed, and the development of new customers and products such as H & M and puma achieved remarkable results. With many years of seamless experience, Qiao Er Tingting has introduced talents in the seamless industry, implemented lean production, and combined with the cost advantages of Guizhou and Vietnam to improve production efficiency. The company ranks first in the field of seamless production in the world. The startup rate of 21h1 Vietnam seamless factory has reached 70%. During the epidemic in recent years, the company has not stopped expanding production. After Guizhou and Vietnam are put into operation, the seamless production capacity will double on the existing basis. Considering the improvement of production capacity utilization and the release of new production capacity, we expect that the shipment and revenue may increase significantly in 22 years.
Strengthen internal management and strive for high quality, low cost and short delivery time
In 2022, the company will strengthen enterprise management from five aspects: planning, material control, digitization, lean and process, so as to achieve the goal of “high quality, low cost and short delivery period”. Accelerate the construction and development of Guizhou base and Xing’an base, and strive to become an important growth point of new profits in 2023. Accelerate the construction of key projects of Xing’an seamless phase II, Guizhou Jiansheng phase II, Guizhou Dingsheng phase II and Qinghua phase II.
Maintain profit forecast and buy rating. The company is a knitted sportswear manufacturer integrating the global industrial chain. In 2022, the cotton socks business grew steadily, the seamless business has a good development prospect, and continues to optimize and expand production capacity. With the release of production capacity, the improvement of production efficiency and the growth of orders in the future, it may bring large increments. We expect the company’s revenue in 22-23 years to be 2.52 billion and 3.06 billion respectively, the net profit attributable to the parent company to be 310 million and 400 million respectively, the corresponding EPS to be 0.8 yuan and 1 yuan respectively, and the corresponding PE to be 14x and 11x respectively.
Risk tips: repeated outbreaks outside China, less than expected improvement in production capacity and efficiency, rising raw material prices and other risks; The main operating data are preliminary accounting data, which are only used as phased reference
