\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 258 Btg Hotels (Group) Co.Ltd(600258) )
Key investment points
The company issued 21 annual reports: 1) in the whole year, the company achieved a revenue of 6.153 billion yuan / + 16.49%, a net profit attributable to the parent company of 55.68 million yuan and a loss of 496 million yuan in 20 years; The deduction of non performance was 10.95 million yuan, with a loss of 527 million yuan in the same period last year, which was consistent with the express guidelines. 2) 21q4: revenue of 1.427 billion yuan / – 16.32% in the fourth quarter alone, with a loss of 69 million yuan and a profit of 59 million yuan in 20q4; Deducting non performance was a loss of 83 million yuan and a profit of 45 million yuan in the same period last year. 3) Cash flow: the net cash flow from operating activities in the whole year was 2.308 billion yuan / + 425%, which was mainly due to the implementation of the new leasing standards – the hotel market recovered year-on-year in 21 years.
RevPAR improvement + store expansion, hotel management revenue + 26.85% year-on-year. In the past 21 years, the company achieved revenue of 6.153 billion yuan, including hotel operating revenue of 4.359 billion yuan / + 12.71%; The hotel management revenue was 1.473 billion yuan / + 26.85%, mainly due to the increase in the number of franchised stores while RevPAR increased. In the hotel business, the subsidiary Rujia Hotel Group achieved a revenue of 5.25 billion yuan / + 16.63%, and a net profit of 49 million yuan, compared with a loss of 405 million yuan in the same period last year. The business of the scenic spot achieved a revenue of 321 million yuan / + 26.86%, mainly due to the relief of the epidemic and the increase of ticket revenue. The corresponding net profit attributable to the parent company of the business of the scenic spot was about 66 million yuan.
1418 stores were opened throughout the year, accelerating the sinking, achieving the previous goal. At the end of 21, 1791 reserve stores remained high, and the future growth can be expected. The company opened 1418 new stores throughout the year, including ① light management mode to explore the sinking Market: light management hotels opened 954 stores in 21 years, accounting for 67.3%, of which cloud Hotel and Huayi opened 550 / 404 stores respectively to sink the market with the mode of small investment and high empowerment, so as to achieve win-win with the owners of small and medium-sized single hotels. ② Continue to focus on the development of medium and high-end hotels: 276 medium and high-end hotels opened in 21 years, accounting for about 19.5%. By the end of 21, the number of medium and high-end hotels accounted for 23.4% and the number of rooms in medium and high-end hotels increased to 31.6%. Benefiting from the rapid development of the company’s medium and high-end brands, the proportion of medium and high-end products in hotel revenue increased from 42.3% in 2020 to 46.9% in 2021. ③ Asset light mode to improve profitability: the company continues to adhere to lightweight development. In 21 years, 1391 franchised asset light mode stores have been opened, accounting for 98.1%. By the end of 21, the proportion of franchised stores has increased to 87.3%, and the proportion of hotel management business in total hotel revenue has increased from 23.1% in 2020 to 25.3% in 21 years. ④ Sufficient growth period of reserve stores: by the end of 21, the number of reserve stores of the company was 1791, an increase of 572 compared with 1219 at the end of 20, laying a foundation for the growth of exhibition stores in the future.
Throughout the year, RevPAR recovered to 74.8% in the same period of 19 years, and the average house price recovered to 95.8% close to the level before the epidemic. 1) Throughout the year: RevPAR of the company was 119 yuan / + 20.2%, recovering to 74.8% in the same period of 19 years; The average house price is 192 yuan / + 11.6%, recovering to 95.8% in the same period of 19 years; The occupancy rate was 61.8% / + 4.4pct, recovering to 82.7% in the same period of 19 years. RevPAR of economy hotels, medium and high-end hotels and light management hotels recovered to 76%, 68.7% and 69.4% respectively in the same period of 19 years. 2) 21q4: RevPAR of the company in the fourth quarter was 108 yuan / – 17.4%, recovering to 71.3% in the same period of 19 years. 3) Same store (more than 18 months): the RevPAR of the same store of the company recovered to 73.7% in 19 years, and the average house price decreased by 6.9% compared with 19 years.
Increase the investment of development team personnel, increase the salary of employees, increase the investment in technology research and development, promote the smart hotel, and optimize the operation efficiency of the hotel. The company’s rate during the 21-year period is 26.1% / + 5.04pct, of which ① the sales rate is 5.24% / -0.63pct, which is mainly due to the decrease of sales expenses related to the company’s membership card and the company’s appropriate reduction of promotion expenses. ② The management rate is 11.46% / -1.19pct, of which the employee salary under the management fee has increased by 6.56% year-on-year, mainly because the company has increased the investment of development team personnel in 21 years. In the future, with the epidemic situation under control and the hotel’s willingness to join, the company’s development team personnel are expected to further expand to support the high growth of the company. ③ The R & D rate is 0.92% / + 0.08pct. In the past 21 years, the company has continued to increase investment in technology R & D, promote the digital construction of hotels, adhere to efficiency empowerment, reduce the person to room ratio to a certain extent, further optimize the check-in experience of consumers, and the empowerment of franchisees is expected to continue to improve. ④ The financial rate is 8.48% / + 6.78pct, mainly due to the implementation of the new leasing standards.
It is planned to open 18002000 stores in the next 22 years, which is slightly higher than expected, and the growth remains unchanged. We will continue to improve the competitiveness of products & upgrade the membership system and improve the influence of the group. The company always adheres to the four core strategies of “development first, product king, member oriented and efficiency empowerment”. 1) growth: in the future, the company will further expand the development team and speed up the pace of opening stores. It plans to open 18002000 new hotels in 22 years, and the goal of opening stores will reach a new high (8001000 stores in 20 years and 14001600 stores in 21 years). The growth attribute of the company will be realized gradually. 2) Product side: in the past 21 years, the company has always adhered to improving the competitiveness of bottom products, and economic brands such as home have been continuously transformed and upgraded to neo3 0, as of the end of 21, such as home neo3 The number of 0 hotels has reached 810, accounting for 42.7% of the number of home brands. The upgrading will continue in the future. In addition, the business travel and selection of medium and high-end main brands continue to be upgraded iteratively to achieve differentiated competition in the sinking market. In addition, the cooperation brand Yifan, the characteristic brand Puyin and the e-sports theme yunik polishing model are expected to achieve rapid growth in the future. 3) Membership system: in the past 21 years, the company has strengthened the construction of membership system and deeply bound the consumption scene of members with “such as life club” & “first free global purchase” to improve the stickiness. By the end of 21, the number of members of the company had reached 133 million / + 6.4%, and the number of nights in Q4’s own channels accounted for 75.7%. 4) Continuous technology empowerment: the company will continue to adhere to digital transformation and intelligent technology application in the future, reduce cost and increase efficiency, and the ratio of people to houses and business efficiency are expected to be further optimized.
Profit forecast: considering that the epidemic situation repeatedly and continuously disturbed the recovery progress of the hotel in early 22, the net profit attributable to the parent company in 22-24 years is expected to be 504 / 10.1 / 1.17 billion yuan respectively, with a growth rate of + 806% / 100% / 16% respectively. The current share price corresponds to 27x PE in 23 years, which continues to be optimistic about the growth space of the company.
Risk tip: China’s covid-19 epidemic situation is repeated, drug research and development is less than expected, macroeconomic fluctuations, expansion speed is less than expected, industry competition is intensified, and overseas business recovery is less than expected
