\u3000\u3 China Vanke Co.Ltd(000002) 241 Goertek Inc(002241) )
Event: on March 29, the company released the performance forecast of 2021 and 22q1. In 2021, the company realized a revenue of 78.22 billion yuan, a year-on-year increase of + 35.5%; The net profit attributable to the parent company was 4.27 billion yuan, a year-on-year increase of + 50.1%; Deduct the net profit not attributable to the parent company of RMB 3.83 billion, a year-on-year increase of + 38.9%. 22q1 is expected to realize a net profit attributable to the parent company of RMB 870970 million, with a year-on-year decrease of 0-10%. The decline is mainly due to the impact of changes in the fair value of kopin Corporation’s equity investment, with a year-on-year decrease of RMB Jiangmen Kanhoo Industry Co.Ltd(300340) million in non economic profits and losses; Deducting the net profit not attributable to the parent company of RMB 840900 million, a year-on-year increase of + 40-50%.
The 21-year performance conforms to the forecast, and intelligent hardware drives high growth: the company previously released the 21-year performance forecast, which is expected to realize a net profit attributable to the parent company of 4.24-4.53 billion yuan in the whole year, and the actual performance conforms to the forecast range. According to IDC statistics, the global VR shipment volume in 2021 was about 9.36 million units, a year-on-year increase of + 68.6%. The company is the global leader in VR OEM, with exclusive OEM meta quest2. The volume of medium and high-end VR heads accounts for more than half of the global total. In the past 21 years, the revenue of VR based intelligent hardware business reached 32.81 billion yuan, with a significant year-on-year increase of 85.9%. In addition, with the increase of the value of self supplied precision parts and components, the overall gross profit margin of intelligent hardware products increased to 13.9% in 21 years, with a year-on-year increase of + 1.4pct.
22q1 has a bright performance and high visibility of annual growth: under the background of the overall downturn of consumer electronics, 22q1 still achieved bright growth driven by VR and intelligent game console. Looking forward to the whole year, meta, Sony and apple are expected to release new VR head display products. Pico’s annual shipment target is increased from 1 million to 1.8 million. In addition, the functional upgrading, continuous improvement of the ecological chain, and the continuous implementation of more mature VR products and more diverse application scenarios, the VR / AR industry maintains a high growth trend, and the company benefits fully as a head assembly manufacturer. Coupled with the steady growth of intelligent wearable products, intelligent acoustic machines and other products, the company’s annual growth visibility is high.
VR / AR has broad growth space, and the company maintains the main supply: according to the prediction of DIGITIMES, the global VR / AR shipment is expected to reach 19.1 million units in 22 years, a year-on-year increase of + 67.5%, and the CAGR in 202225 will reach 59.2%; According to IDC’s prediction, the global ar shipment is expected to reach 1.35 million units in 22 years, a year-on-year increase of + 309%, and the CAGR in 202225 is as high as 121.4%. The company has a comprehensive layout and profound accumulation in the OEM of precision components and complete machines of VR / ar. with the collaborative integration ability of upstream and downstream and long-term in-depth cooperation with key customers, the company will still become the main force of global VraR OEM and achieve sustainable growth in the future.
Investment suggestion: it is estimated that the net profit attributable to the parent company in 202224 will be 5.9/74/9 billion yuan, and the corresponding PE will be 19.8/15.9/12.9, maintaining the “buy” rating.
Risk tip: VR / AR shipments are less than expected, downstream demand is affected by the epidemic, and there is a risk that the research report use information and data are not updated in time
