\u3000\u3 China Vanke Co.Ltd(000002) 032 Zhejiang Supor Co.Ltd(002032) )
Core view
Event: the company released its annual report for 2021, and achieved an annual operating revenue of 21.585 billion yuan, a year-on-year increase of + 16.07%; The net profit attributable to the parent company was 1.944 billion yuan, a year-on-year increase of + 5.29%; The net profit attributable to the parent company after deducting non profits was 1.858 billion yuan, a year-on-year increase of + 16.48%; It is proposed to distribute a cash dividend of 19.30 yuan (including tax) for every 10 shares.
Comments:
The internal and external performance is beautiful, and the business performance is in line with expectations. In terms of categories, the company's main business of cooking, cooking utensils and food processing appliances achieved annual revenue of 9.034/67.02/3.564 billion yuan respectively, with a year-on-year increase of + 18.35% / + 21.72% / + 0.06% respectively. The company's cooking appliances and cooking utensils achieved good growth. We believe that the main reasons are: on the one hand, the successful implementation of the transformation strategy from domestic sales to online channels, and the optimization of online product sales structure led to the growth of domestic sales revenue; On the other hand, the rapid growth of the company's export SEB order transfer has driven the rise of overseas demand. According to the company's announcement, it is estimated that the amount associated with SEB transactions in 2022 will be 7.654 billion yuan, a year-on-year increase of + 10.07%. In the future, with the joint efforts of domestic and foreign sales, the company's performance is expected to continue to grow steadily.
The profit margin is under pressure in the short term, and we look forward to the subsequent improvement of profitability. In 2021, the company's gross profit margin was - 3.42pct to 23.0%. The decline of gross profit margin was due to the impact of the new income standards and the reclassification of transportation expenses to operating costs. Secondly, the rise in the price of bulk raw materials also put pressure on the cost side of the company. If the impact of accounting standards is excluded, the gross profit margin was only -0.38pct year-on-year. The annual sales, management and R & D expense ratio of the company was -2.57pct / + 0.15pct / - 0.29pct to 8.85% / 1.86% / 2.09% respectively, which comprehensively affected the annual net interest rate from -0.92pct to 9.01% year-on-year. In the future, with the stabilization of raw material prices and the optimization of product structure, the profitability of the company is expected to be further improved.
The company has sufficient momentum for development and launched equity incentive plan to bind the interests of the company and employees. At the end of 2021, the company launched a restricted stock incentive plan, which granted 1209500 restricted shares to 293 incentive objects, including middle and senior managers, core technicians and other employees. At the beginning of 2022, the company announced again that it plans to repurchase shares, of which 3 million shares are used for equity incentive in the future. The company attaches importance to talents. The incentive scheme not only shows the company's sufficient development power, but also helps to bind the interests of the company and employees, which is conducive to the long-term and stable development of the company.
Investment suggestion: the channel layout is continuously optimized, the resonance between domestic and foreign sales accelerates the release of performance flexibility, and maintains the "buy" rating. The company is a leading enterprise in China's small household appliances, with its brand strength constantly improving, channel reform leading Wuxi Online Offline Communication Information Technology Co.Ltd(300959) accelerated integration, steady growth in domestic sales, order transfer with SEB is expected to stimulate the elastic release of the company's overseas performance, and the company's long-term development strength is strong. We maintain the company's profit forecast. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be RMB 2.36426653051 billion respectively, corresponding to 17 / 15 / 13 times of the current market value of PE, Maintain the "buy" rating.
Risk tip: the development of new products is less than expected, the epidemic situation in China is repeated, and the price of raw materials is rising.
