\u3000\u30 Xuchang Ketop Testing Research Institute Co.Ltd(003008) 24 Shenzhen Crastal Technology Co.Ltd(300824) )
Event: Shenzhen Crastal Technology Co.Ltd(300824) published the annual report of 2021. The company achieved revenue of 850 million yuan in 2021, yoy + 20.8%; Achieved performance of 110 million yuan, yoy + 8.1%. After conversion, Q4 achieved revenue of 300 million yuan in a single quarter, yoy + 16.7%; Achieved performance of RMB 40 million, yoy + 23.4%. We believe that Beiding continues to enrich its product matrix, and Q4 independent brands maintain rapid growth; The company improved production efficiency and optimized product structure, and Q4's profitability rebounded.
Q4's own brand has a bright growth rate and a rapid growth in single quarter income: Q4's low consumption boom and high base pressure continue, and Beiding still achieves double-digit growth, reflecting the strong growth strength of its own brand and the growth potential of the demand for quality life. In terms of business: 1) Q4 Beiding continued to expand its categories and scenes, improved its own brand product matrix, and launched after-sales policies such as replacing old products with new ones. Its own brand revenue was yoy + 28.3%. Among them, the income of electrical appliances, peripheral supplies and food materials is yoy + 10.8% / + 105.8%. Focusing on the scenes of health preservation, drinking, baking and cooking, the company launched a series of electrical appliances, supplies and a variety of supporting ingredients, such as "smart health pot smartk", "9-series desktop instant hot water dispenser", "mini oven minit", "tea making handy Cup", which continue to be favored by consumers. It is worth noting that the revenue of Q4 Beiding overseas independent brand is yoy + 59.0%. The company actively promotes the brand going to sea strategy and steadily improves its overseas business. 2) Affected by the shortage of shipping capacity, Beiding OEM business revenue declined, and q4oem / ODM revenue was yoy-11.9%. At the end of Q4, the balance of contract liabilities of the company was yoy + 52.9%, indicating that the channel providers had a positive expectation of subsequent consumer demand. We believe that the company's products are positioned as high-end products with high appearance value, and are expected to continue to be favored by quality consumers. As the company continues to promote the development of domestic and foreign independent brands, Beiding's revenue will continue to grow steadily in the next few quarters.
Q4's profitability rebounded in a single quarter: the gross profit margin of Q4 Beiding increased by + 3.4pct year-on-year, mainly because the company actively took measures to reduce costs and increase efficiency, and the product structure continued to be optimized. The proportion of independent brand revenue with high gross profit margin of Q4 Beiding increased by 7.1pct to 78.2% year-on-year. During Q4 Beiding period, the expense rate was + 3.2pct year-on-year, of which the sales expense rate was + 5.4pct year-on-year, which was mainly due to the increase in the expenses of the company's online mall and the company's strengthening of talent cultivation, brand promotion and the expansion of offline self operated stores. Under the comprehensive influence, the net interest rate of Q4 company was + 0.7pct year-on-year. We believe that the company continues to improve production efficiency, optimize product structure, continuously improve profitability, and is expected to show greater performance flexibility in the follow-up.
Net operating cash flow of Q4 became positive: net operating cash flow of Q4 Beiding + 90 million yuan, yoy + 14.1%, which was also significantly improved compared with Q3 (Q3 was - 50 million yuan). The improvement of the company's operating cash flow is mainly due to the expansion of the sales scale of Q4 company and the enhancement of the ability of sales collection. The cash obtained by Q4 company from selling goods and providing labor services is yoy + 14.7%.
Investment suggestion: Beiding products are positioned as high-end products and are expected to benefit from the upgrading of Chinese consumption. The company continues to optimize the product structure, expand new categories, promote independent brands to go to sea, and expand all channel user contacts, which is expected to achieve sustained and rapid growth in business performance. The company launched the restricted stock incentive plan in 2022 and set high performance evaluation objectives, which is expected to improve the enthusiasm of the core team and improve the company's long-term incentive mechanism. We expect that the company's EPS from 2022 to 2024 will be 0.62/0.80/0.94 yuan, maintain the investment rating of Buy-A, and the six-month target price will be 17.29 yuan, equivalent to 28 times the dynamic P / E ratio in 2022.
Risk tip: industry competition intensifies, the price of raw materials rises sharply, and the RMB appreciates sharply
