\u3000\u3 China Vanke Co.Ltd(000002) 867 Chow Tai Seng Jewellery Company Limited(002867) )
On the morning of April 10, Chow Tai Seng Jewellery Company Limited(002867) officially announced Ren Jialun as the spokesperson of the new brand, and planned to carry out landmark publicity activities in 9 major cities such as Beijing, Guangzhou, Chengdu, Xi’an and Wuhan from April 11 to April 17 to highlight the brand influence.
Karen has an appointment as usual, and the younger spokesperson is expected to trigger the fan effect. As a young actor of the new generation, Ren Jialun has continued to move forward on the road of pursuing dreams and experience a thousand faces of life from his role, which complements Chow Tai Seng Jewellery Company Limited(002867) jewelry’s continuous exploration and innovation to create the brand image of all faceted diamond. Meanwhile, according to Chow Tai Seng Jewellery Company Limited(002867) official microblog, Ren Jialun currently wears a series of products such as extraordinary gold, urban monologue and love100 Aurora diamond master. Ren Jialun’s own fan traffic involves many years of age. Considering Chow Tai Seng Jewellery Company Limited(002867) unique situational style jewelry model, it is expected to achieve performance growth for the company.
The sales of gold products on the income side has gradually developed, and the provincial generation model has achieved initial results. Recently, the company released 21 year performance express and 22 year operation data from January to February. The company’s 21q1-q4 revenue was 1.157 billion yuan, 1.632 billion yuan, 3.684 billion yuan and 2.682 billion yuan respectively, with an increase of 70.7%, 63.9%, 119.9% and 54.6% respectively. From January to February of 22 years, the company realized an operating revenue of about 2.319 billion yuan, with an increase of 203.11% and increased the pace of expansion. The company carried out gold exhibition and sales business through provincial service centers and gradually made efforts in gold products. The sales of gold products increased significantly in the second half of the year. With the continuous promotion of channel layout and product upgrading, combined with marketing and store image upgrading, the subsequent revenue is expected to accelerate growth.
Continue to expand terminal stores, and make efforts to increase the growth space of the high-end market. By the end of the 21st century, the number of stores of the company had reached 4502, with a net increase of 313. On a quarterly basis, the company’s net increase in the number of stores in 21q1-q4 was 2, 66, 100 and 145 respectively. In the second half of the year, on the one hand, the company significantly accelerated the expansion of stores, on the other hand, the number of closed stores began to decrease, and the store operation gradually got rid of the impact of the epidemic. In terms of channel layout, the company introduces provincial service providers and enabling franchisees to improve the efficiency of supply chain operation and capital turnover, strive to integrate high-quality customer resources in the market, stimulate the vitality of channel development, and strengthen the brand expansion and penetration of the company.
Investment suggestion: the gold jewelry industry continues to iterate. The company will stimulate the vitality of channel development and strengthen the brand potential. It is expected to benefit first in the future. The number of consumption scenarios on the demand side of the gold jewelry industry is more diversified, and the consumption frequency is high-frequency. Consumers’ willingness to pay labor fees due to design and cultural connotation continues to increase, and consumers trust the head brand more; Brands with product organization and design capabilities on the supply side will become more and more competitive in the future Chow Tai Seng Jewellery Company Limited(002867) on the one hand, we will continue to upgrade our products, and on the other hand, we will accelerate the distribution of channels and the refined operation of stores. With the implementation of the refined operation system, the optimization of franchisees and the support of Provincial Service Providers, the brand strength of the company is expected to continue to improve in the future. Considering the impact of epidemic factors, we adjusted the company’s profit forecast for 22-23 years to 1.4/1.6 billion (the previous value was 1.5/1.7 billion), corresponding to 10 / 9 times of PE, and maintained the “buy” rating.
Risk warning: the risk of repeated epidemic, the company’s operation risk, the spokesperson’s reputation risk, the failure of store expansion to meet expectations and the performance express are the preliminary calculation results. The specific financial data are subject to the annual report disclosed by the company
