\u3000\u3 Shengda Resources Co.Ltd(000603) 908 Comefly Outdoor Co.Ltd(603908) )
In the past two years, the demand for camping has continued to grow and become a new way of leisure parent-child activities. According to China Central Television finance and economics, the number of camping product bookings for the Qingming Festival in 2022 increased by more than three times year-on-year; According to the data of an e-commerce platform, since January this year, the turnover of outdoor tents has increased by 119% and that of outdoor benches has increased by 239%. Among them, the turnover of large tents, sky curtains, folding tables and chairs and other camping equipment has more than doubled.
We are optimistic about China’s camping market and huge consumption potential, and outdoor leisure equipment and consumption are expected to grow actively. On the one hand, with the change of leisure concept of the new generation of consumer groups and the normalization of epidemic prevention and control, outdoor camping, which is more free, relaxed and close to nature, has become a choice for more people. Camp leisure integrates personalized and diversified genes, and implants elements such as flower viewing, RV travel, concert and travel photography to enrich the choices of young groups; On the other hand, the penetration rate of China’s outdoor sports and camping market has great room for improvement. According to the statistics of the outdoor foundation, the participation rate of outdoor sports in the United States was about 53% and that of camping was about 16% in 2020. However, our market as a whole is still in its infancy, and there is considerable room for growth in the future.
Comefly Outdoor Co.Ltd(603908) is the global leader in the field of tent OEM, and its own brand has developed rapidly in recent years. Of which:
① OEM products are mainly sold to Europe and the United States, and the main customer is decathlon. With the advantages of process design, material quality, production efficiency and additional services, orders are abundant and continue to grow rapidly;
② in the past two years, the self owned brand business has been expanding rapidly. The animal husbandry Division has strengthened channel expansion and brand cross-border cooperation, improved brand influence, launched online multi platform and distribution business, and quickly established the leading brand position in the comprehensive exquisite camping industry.
Specifically, in terms of products, Lansheng series light luxury tents were launched in early February, and the market feedback was good, which promoted the price to continue to rise in the future. The independent tmall store of mountain functional clothing mobilla has been launched and is waiting to be launched; In terms of marketing, the company continues to interact with Rolls Royce, linefriends, little red book and other brands, platforms or celebrities from all walks of life to increase brand exposure and guide the brand upward; In terms of channels, recently Comefly Outdoor Co.Ltd(603908) officially settled in Sam’s club to further expand sales channels and reach more consumer groups.
Maintain profit forecast and give buy rating. The performance express released by the company disclosed that in the 21st year, the revenue was 923 million yuan, an increase of 44% and the net profit attributable to the parent company was 78 million yuan, an increase of 70%, which was mainly due to the growth of demand in China’s exposed businesses and surrounding markets, driving the growth of ODM, OEM business and independent brand revenue; We forecast that 22q1 of the company will remain optimistic and grow rapidly as a whole. We expect the company’s EPS to be 1.8/2.4 yuan and PE to be 20.8/16.2x respectively in 22-23 years.
Risk tip: the growth of outdoor industry slows down, the price fluctuation risk of raw materials, backward products and technology and other risks.
