\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 315 Shanghai Jahwa United Co.Ltd(600315) )
Core conclusion
Event: in 2021, the company achieved a revenue of RMB 7.646 billion, a year-on-year increase of + 8.73%, and a net profit attributable to the parent company of RMB 649 million, a year-on-year increase of + 50.92%. Among them, Q4 achieved a revenue of RMB 1.816 billion, a year-on-year increase of + 8.71%, and a net profit attributable to the parent company of RMB 229 million, a year-on-year increase of + 93.75%.
Channel digital empowerment, focusing on high-quality development of skin care. In 2021, the company’s annual revenue was 7.646 billion yuan, a year-on-year increase of + 8.73%. The company focused on the head SKU and focused on the development of skin care products, creating a revenue of 2.697 billion yuan, a year-on-year increase of + 22.22%. Yuze and baicaoji created Zhimei single products, and the repurchase rate of tmall was as high as 42.58% / 41.61% respectively. The new products of Liushen and MAXAM sank into a younger customer base, enabling the brand to be strong. The company launched digital transformation, built a multi-dimensional marketing matrix online, and realized digital empowerment. The online revenue was 3.211 billion yuan, a year-on-year increase of + 7.87%; Offline embrace new retail, CS department store strategic optimization, offline revenue + 9.26% year-on-year to 4.427 billion yuan.
The gross profit and net profit improved and the expense rate remained stable. In 2021, the company’s annual gross profit margin was 58.73%, year-on-year + 2.84pct, and the net profit attributable to the parent was 8.49%, year-on-year + 2.37pct, thanks to the increase in the proportion of high gross profit skin care products. The company’s new product marketing investment made the sales expense ratio + 0.85pct to 38.54% year-on-year (excluding the influence of share payment); New product R & D investment increased, and the management / R & D expense ratio remained basically stable, respectively 10.34% / 2.15%, with a year-on-year increase of + 0.10pct / + 0.08pct.
Deepen the “123” business policy and strictly require to build a brand made in the United States. The company adheres to the good heart, adheres to the deepening “123” business policy, creates TMIC product R & D methodology, and focuses on the R & D of popular new products; The company has simplified the system process and achieved remarkable results in cost reduction and efficiency increase. The company actively performs its corporate social responsibility, defines the double carbon goal, and formulates the medium and long-term plan and strategic outline of ESG. In the future, the company will give full play to its solid scientific research advantages and the characteristic advantages of national enterprises, and will usher in more development opportunities. Investment suggestion: it is estimated that the company’s EPS from 2022 to 2024 will be 1.22/1.56/1.84 yuan respectively, corresponding to 30 / 24 / 20 times of the latest PE respectively, maintaining the “overweight” rating.
Risk warning: industry competition intensifies; The implementation of the strategy is less than expected; Changes in the regulatory environment of the industry.
