\u3000\u30 Shaanxi Zhongtian Rocket Technology Co.Ltd(003009) 57 Yunnan Botanee Bio-Technology Group Co.Ltd(300957) )
The company disclosed in the annual report of 2021 that the company's revenue in 2021 was 4.022 billion yuan (+ 52.57%), the net profit attributable to the parent was 863 million yuan (+ 58.77%), and the net profit not attributable to the parent was 813 million yuan (+ 58.59%). Among them, the single Q4 revenue is 1.91 billion yuan (+ 56.66%), the net profit attributable to the parent is 508 million yuan (+ 54.67%), and the net profit not attributable to the parent is 480 million yuan. The performance is slightly higher than the median value of the forecast, which is in line with expectations as a whole.
Revenue split:
By product: skin care products 3.629 billion yuan (+ 53.75%), medical devices 326 million yuan (+ 67.12%), cosmetics 53.07 million yuan (- 18.76%), services and others 14.63 million yuan (- 8.01%).
By channel: Online self support of 2.532 billion yuan (+ 52.72%), online distribution of 767 million yuan (+ 49.42%); Online self built platforms (mainly wechat platforms) are 450 million yuan (+ 29.46%), and third-party platforms are 2.85 billion yuan (+ 56.22%), of which Alibaba platform is 1.82 billion yuan (+ 45.56%); Offline self support is 1.63 million yuan (- 34.52%), and offline distribution is 706 million yuan (+ 58.27%).
Profit split:
Gross profit margin: the annual gross profit margin of the company is 76.01% (- 0.2pct), and the gross profit margin level of single Q4 is 75.01% (- 0.57pct). The gross profit margins of skin care products, medical devices, cosmetics and other businesses were 75.37% (- 0.75pct), 84.69% (- 1.89pct), 70.75% (+ 13.63pct) and 59.37% (+ 10.87pct) respectively; The online and offline gross profit margins were 74.37% (-0.82pct) and 83.96% (+ 1.56pct) respectively.
Expense rate: the company's sales expense rate is 41.79% (- 0.2pct), the management expense rate is 6.1% (- 0.3pct), and the R & D expense rate is 2.8% (+ 0.4pct), of which the sales expense rate of single Q4 is 36.81% (+ 0.3pct); The management fee rate is 5.33% (+ 1.0pct); The R & D expense rate is 2.34% (+ 1.0pct).
Net interest rate: the company's net profit rate attributable to the parent company in 2021 is 21.45% (+ 0.84pct), of which the net profit rate attributable to the parent company in Q4 is 26.6% (- 0.3pct). The net profit rate level of Q4 is significantly higher than that in the first three quarters, mainly due to the high prosperity in the fourth quarter, the quarterly fluctuation of sales expense rate, and the growth rate of Q4 net profit is slightly lower than that in the first three quarters, which is mainly due to the year-on-year increase of expense rate during Q4.
Business highlights:
① main brand: the position of core products is stable, new categories & single products are successfully relayed, Shumin series occupies the leading position of Dermatology level, and new products continue to consolidate their advantages. The company's gold products grandpa Shu Min moisturizing cream has a steady position and a steady growth of the emulsion / cream category. Besides, the company's new products are constantly relaying, pushing the "Shu Min essence" and the "freeze dried mask", which is the main repair and maintenance effect, and the latter double "11" sales volume exceeds 2 million boxes.
Build a rich efficacy matrix to show the performance of sunscreen / anti-aging series. In addition to the Shu Min series, the company has actively developed "whitening", "sunscreen" and "anti aging" and other functional categories. The "transparent sunscreen" series has continued to explode, and the first sensitive muscle exclusive anti aging new product "double repair essence" has been honored as Tmall's small black box sensitive muscle anti aging essence NO.1.
② new brand: the sub brand baby is in large quantity, and the new anti-aging brand is expected to be listed
The sub brand "Winona baby" tmall flagship store was officially put into operation in 2021, i.e. Rongdeng tmall's annual Top 20 subdivided categories. During the double "11" period, it ranked the top 10 subdivided industry categories, with a year-on-year explosive growth of more than 10 times. The popular "Shurun nourishing cream" is the top 3 single product in the subdivided industry. The brand strength is strong, and it is expected to continue to increase in volume in 2022; The three products of the new anti-aging brand "aoxmed" have been put on record. It is predicted that H1 will be listed in 2022. In the future, it is expected to contribute new increment to the company's performance through the joint promotion of online e-commerce platforms and offline medical and American institutions.
③ channels: Online multi-point flowering, offline strengthening the construction of private areas & pharmacies
The diversified layout of online channels is brilliant. The company's online diversified coverage has a bright performance. Double "11" Winona has been listed in tmall beauty and skin care category top6 and domestic beauty makeup Top1; The annual growth rate of Winona on jd.com platform exceeded 30%. The "601 good start" activity ranked first in domestic beauty products, the "double 11" beauty brand ranked seventh, and the official store ranked second; In addition tiktok, the best first of the 11 "Kwai" players, ranked sixth in the first place, the fastest in the US and sixth in the beauty make-up. The construction of offline channels, private areas and pharmacies was strengthened. The company has launched the "private domain operation" project in nearly 500 offline outlets across the country, and more than 100000 members have joined more than 1000 member communities. By increasing the loyalty of "private domain members", the company improves its position in the vertical field. In addition, the company strengthened the in-depth cooperation mode with OTC customers, tried to go out of Yunnan, actively launched strategic cooperation projects with regional chain leaders such as Shandong and Shaanxi, and actively integrated into the new offline retail cooperation system and mode.
④ R & D: continuously increase R & D innovation
During the reporting period, the company increased resource investment in the innovation and development of core technologies, and the number of R & D personnel reached 236 (+ 127%), successfully developed and listed more than 40 new products such as "barrier repair", "clear water sense and sunscreen", and independently / jointly successfully developed a variety of Yunnan Botanee Bio-Technology Group Co.Ltd(300957) exclusive active substances. In addition, the company also simultaneously arranged the R & D of functional foods.
Investment suggestion: buy rating
According to the statistics of business staff, the official flagship store of Winona tmall grew by more than 50% year-on-year from January to February. It is expected that the performance of 2021q1 is expected to maintain strong growth. As the leader of functional skin care, the company has professional R & D, channel and marketing resources with high barriers brought by the background of pharmaceutical enterprises. The efficacy of main brands and single products are continuously innovated. The ceiling of the industry is still far away. Sub brands and new anti-aging brands are expected to contribute to the increment in the near future. They are optimistic about the development prospect of functional skin care group in the future. It is predicted that the net profit attributable to the parent company from 2022 to 2024 will be 1.183, 1.576 and 2.044 billion yuan (the previous value is 1.183 and 1.543 billion yuan, which is slightly adjusted according to the updated data of the annual report). At present, it corresponds to pe56, 42 and 32x from 2022 to 2024, maintaining the "buy" rating.
Risk warning: the market space is less than expected, the progress of product approval and promotion is less than expected, and the industry competition is intensified
