\u3000\u3 China Vanke Co.Ltd(000002) 847 Yanker Shop Food Co.Ltd(002847) )
Event: the company released its annual report for 2021. In 2021, the company achieved a revenue of 2.282 billion yuan, a year-on-year increase of 16.47%; The net profit attributable to the parent company was 151 million yuan, a year-on-year decrease of 37.65%; The net profit deducted from non parent company was 91 million yuan, a year-on-year decrease of 51.73%. In 21q4, the company achieved a revenue of 654 million yuan in a single quarter, a year-on-year increase of 24.65%; The net profit attributable to the parent company was 73 million yuan, a year-on-year increase of 37.90%; Net profit deducted from non parent company was 66 million yuan, with a year-on-year increase of 40.68%.
Product categories focus on core large single products, and multi-channel expansion is promoted in an orderly manner. In terms of products, in 2021, the company achieved revenue of 754 / 4.07/3.01/2.22/2.04/1.81/1.09/103 million yuan respectively for leisure baked snacks / deep-sea snacks / meat and fish / dried fruits / bean products / vegetarian / preserved fried goods / others, with a year-on-year increase of + 10.77% / + 37.23% / + 22.51% / + 37.23% / + 4.98% / + 42.06% / - 17.37% / - 14.35%. In 2021, the company's product categories gradually shifted to deep-sea snacks, spicy brine snacks The product strategy of focusing on large items such as leisure baking (bread, cake, etc.), potato chips and dried fruits and focusing on core items has begun to show results. In terms of sub channels, in 2021, the company's direct sales / e-commerce / distribution and other channels achieved revenue of 659 / 139 / 1483 million yuan respectively, with a year-on-year increase of + 4.59% / + 27.08% / + 21.67%. The growth rate of direct business super channels slowed down due to the decline of traffic. However, since 21q2, the company has actively carried out omni-channel transformation, launched quantitative installation and expanded a variety of distribution channels. The number of dealers increased from 880 at the end of 2020 to 1749, and the growth rate of distribution and other channels was high, And the company also began to directly expand new retail channels such as leisure snack franchise chain system. By region, in 2021, central / South China / East China / Southwest + Northwest / North China + northeast / overseas achieved revenue of RMB 1.023/4.55/4.00/3.22/0.80/02 billion respectively, with a year-on-year increase of + 19.67% / + 17.05% / + 9.78% / + 18.96% / - 0.48% / + 346.13%.
Affected by the cost pressure of raw materials and the expansion of new products and new channels, the profit side is under pressure. The gross profit margin of the company was 35.71% in 2021, with a year-on-year decrease of 8.12pct; The sales expense ratio was 22.15%, a year-on-year decrease of 1.91 PCT; The gross sales difference was 13.56%, down 6.21 PCT year-on-year. We believe that the reasons for the decline of the company's gross profit margin include: (1) the rise in the price of raw materials; (2) The structure of sales channels has changed, and the proportion of distribution and e-commerce channels with low gross profit margin has increased; (3) In 2021, the company carried out new product cultivation and new channel expansion, with low gross profit margin and high cost investment in the early stage. In addition, the company's management expense rate / R & D expense rate / financial expense rate in 2021 were 5.21% / 2.42% / 0.92% respectively, with a year-on-year increase of + 0.31pct / - 0.21pct / + 0.62pct respectively, and the net interest rate was 6.77%, a year-on-year decrease of 5.59pct.
The performance improves quarter by quarter, and the category focus and omni channel expansion strategy will continue in 2022. The company's 21q1 / 21q2 / 21q3 / 21q4 revenue growth rate was + 27.45% / - 1.86% / + 15.30% / + 24.65% respectively, and the growth rate of net profit attributable to the parent company was + 43.41% / - 145.92% / - 51.03% / + 37.90% respectively. Since 21q2 adjusted its product and channel strategy, the company's performance has improved quarter by quarter. In 2022, the company's products will continue to focus on the five core categories, build four brands, deepen the construction and expansion of all channels, and drive the growth of the company's revenue. In the medium and long term, the reduction of raw material costs, the improvement of supply chain management ability and the appearance of scale effect are expected to boost the company's net profit.
Investment suggestion: we believe that the company's Q4 performance is better than Q3 month on month. The strategic reform of products and channels has achieved preliminary results since 21q2. The strategy will continue to be promoted in 2022, and the early accumulation is expected to bring greater flexibility to the performance growth in 2022. The company is expected to achieve revenue of RMB 2.811/33.93/4.020 billion from 2022 to 2024, with a year-on-year growth rate of 23.2% / 20.7% / 18.5%; The net profit attributable to the parent company was RMB 261 / 391 / 513 million, with a year-on-year growth rate of 73.0% / 50.0% / 31.0%, and the corresponding EPS was RMB 2.02/3.02/3.96 respectively, maintaining the "buy" rating.
Risk warning: the promotion of all channels is not as expected; The cost of raw materials continues to rise; The epidemic has repeatedly affected demand
