\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 690 Haier Smart Home Co.Ltd(600690) )
Event: Haier Smart Home Co.Ltd(600690) released the 2021 annual report. The company achieved a revenue of 227556 billion yuan in 2021, with a year-on-year increase of 8.5%; The net profit attributable to the parent company was 13.067 billion yuan, a year-on-year increase of 47.1%. Excluding the impact of CAOS and logistics business, the company’s revenue / net profit attributable to the parent company in 2021 increased by 15.8% and 37% respectively year-on-year under the same caliber. Among them, the single quarter revenue of 2021q4 was 57.593 billion yuan, a year-on-year increase of 4.12%; The net profit attributable to the parent company was 3.132 billion yuan, a year-on-year increase of 21.29%.
Remarkable achievements have been made in overseas layout, with rapid growth in emerging categories. In terms of sub regions, under the multiple effects of overseas market revenue and profit reaching a new high, high-end + online share increase + global supply chain improvement, the export revenue increased by 13.2% year-on-year to 113725 billion yuan, the operating profit increased by 48.1% to 5.926 billion yuan, and the operating profit margin increased by 1.2pct to 5.2% year-on-year; China’s market grew steadily. With the retail transformation and Casati’s continuous volume, the domestic sales revenue increased by 5.7% to 113831 billion yuan. In terms of categories, the growth of traditional categories is good, with the market share of refrigerators / washing machines / air conditioners in the offline market reaching 41.3% / 43.1% / 16.8% respectively, with a year-on-year increase of 2.1pct/2.9pct/2.5pct; Emerging categories grew rapidly, and the revenue of clothes dryers / dishwashers increased by 203% / 90% year-on-year respectively.
The profitability has been improved against the trend, and the improvement of efficiency and reduction of fees have been effective. Gross profit side: under the pressure of the continuous rise in the cost of raw materials and sea freight, the gross profit margin of the company still increased by 1.6pct to 31.2% year-on-year in 21 years, which is mainly due to the increase of high-end proportion, the optimization of product structure, the digital transformation of supply chain, the improvement of operation efficiency and the disposal of low gross profit businesses. Rate side: the company’s digital transformation continues to improve efficiency. In the past 21 years, the company’s sales expense rate and management expense rate decreased by 1.1pct/0.5pct to 16.06% / 4.6% year-on-year respectively. Net profit side: on the whole, the net profit margin attributable to the parent company increased by 1.51pct to 5.74% in the past 21 years. In terms of cash flow, the good operating quality and the improvement of net profit and operating efficiency drove the net operating cash flow of the whole year to increase by 31% to 23.13 billion yuan.
High end + scene + system to achieve differentiated competition, digital transformation and build an efficient operation system. In terms of high-end, the company continued to increase the layout of high-end brands at home and abroad. Casati’s revenue in the Chinese market exceeded 10 billion, with an increase of 40% +, and the revenue growth of high terminal brands such as Monogram / caf é / geprofile in the American market exceeded 40%; In terms of scenario, the three winged bird improved its competitiveness with the scenario scheme. The proportion of sales of high-end complete sets increased by 10.6pct to 37%, and the proportion of sales of intelligent complete sets increased by 2pct to 17%; In terms of digital transformation, the company has realized the whole process digital transformation in the field of channel + supply chain to improve operation efficiency.
Profit forecast and investment suggestions. We estimate that the net profit attributable to the parent company from 2022 to 2024 will be 15.32 billion yuan, 17.7 billion yuan and 20.4 billion yuan respectively, with a year-on-year growth rate of 17.3%, 15.5% and 15.2%. The company is a global leader in household appliances, and the superposition of high-end brands at sea opens up growth space and maintains the “buy” rating.
Risk tips: the price of raw materials fluctuates, the consumption recovery is less than expected, and the brand goes to sea less than expected
