\u3000\u3 China Vanke Co.Ltd(000002) 867 Chow Tai Seng Jewellery Company Limited(002867) )
The company issued a performance express. In the 21st year, the company realized an operating revenue of 9.155 billion yuan, an increase of 80.07% at the same time; The net profit attributable to the parent company was 1.228 billion yuan, an increase of 21.21%. Among them, 21q4 company achieved a revenue of 2.682 billion yuan, an increase of 54.55% and a net profit attributable to the parent company of 223 million yuan, a decrease of 26.08%.
The sales of gold products on the income side has gradually developed, and the provincial generation model has achieved initial results. Quarterly, the company’s 21q1-q4 revenue was 1.157 billion yuan, 1.632 billion yuan, 3.684 billion yuan and 2.682 billion yuan respectively, with an increase of 70.7%, 63.9%, 119.9% and 54.6% respectively. The company carried out gold exhibition and sales business through provincial service centers and gradually made efforts in gold products. The sales of gold products increased significantly in the second half of the year. With the continuous promotion of channel layout and product upgrading, combined with marketing and store image upgrading, the subsequent revenue is expected to accelerate growth.
Net profit attributable to parent company 21q4 decreased by 26% at the same time. Quarter by quarter, the net profit attributable to the parent company of 21q1-q4 was 235 million yuan, 375 million yuan, 396 million yuan and 223 million yuan respectively, with year-on-year changes of + 133.9%, + 63.0%, + 3.68% and – 26.08% respectively. Since the second half of the year, the company’s profit growth has deviated from the revenue growth, which we believe may be due to 1) the increase in the proportion of gold products with low gross profit margin; 2) The company has accelerated the opening of stores through provincial agents, which has a great advantage for franchisees.
By the end of the 21st century, the number of stores of the company had reached 4502, with a net increase of 313. Quarterly view of the company
21q1-q4 had a net increase of 2, 66, 100 and 145 stores respectively. In the second half of the year, on the one hand, the company significantly accelerated the expansion of stores, on the other hand, the number of closed stores began to decrease, and the store operation gradually got rid of the impact of the epidemic. In terms of channel layout, the company introduces provincial service providers and enabling franchisees to improve the efficiency of supply chain operation and capital turnover, strive to integrate high-quality customer resources in the market, stimulate the vitality of channel development, and strengthen the brand expansion and penetration of the company.
Investment suggestion: the gold jewelry industry continues to iterate. The company will stimulate the vitality of channel development and strengthen the potential energy of brand. It is expected to benefit first in the future. The number of consumption scenarios on the demand side of the gold jewelry industry is more diversified, and the consumption frequency is high-frequency. Consumers’ willingness to pay labor fees due to design and cultural connotation continues to increase, and consumers trust the head brand more; Brands with product organization and design capabilities on the supply side will become more and more competitive in the future Chow Tai Seng Jewellery Company Limited(002867) on the one hand, we will continue to upgrade our products, and on the other hand, we will accelerate the distribution of channels and the refined operation of stores. With the implementation of the refined operation system, the optimization of franchisees and the support of Provincial Service Providers, the brand strength of the company is expected to continue to improve in the future. Considering the impact of epidemic factors, we adjusted the company’s profit forecast for 22-23 years to 1.5/1.7 billion (the previous value was 1.8/2.2 billion), corresponding to 10 / 9 times of PE, and maintained the “buy” rating.
Risk tip: the channel expansion effect is less than expected, the business expansion is less than expected, the operation is less than expected, the performance of new stores is reduced, and the performance express is the preliminary calculation result of the company. The specific financial data shall be subject to the disclosure of the company
