\u3000\u30 Xuchang Ketop Testing Research Institute Co.Ltd(003008) 66 Anker Innovations Technology Co.Ltd(300866) )
Event: the company achieved an operating revenue of 12.574 billion yuan in 2021, with a year-on-year increase of 34.45%; The net profit attributable to the parent company was 982 million yuan, a year-on-year increase of 14.70%; The net profit deducted from non parent company was 708 million yuan, a year-on-year decrease of 2.69%. In addition, the company achieved an operating revenue of 4.149 billion yuan in the fourth quarter, a year-on-year increase of 24.44%; The net profit attributable to the parent company was 336 million yuan, a year-on-year increase of 4.03%; Net profit deducted from non parent company was 210 million yuan, down 15.09% year-on-year.
The revenue growth of various categories of products of the company is in line with expectations, and the gross profit margin has declined. Charging, intelligent innovation and wireless audio products achieved revenue of 5.552 billion yuan, 4.104 billion yuan and 2.852 billion yuan respectively, with growth rates of 34%. The company’s charging products maintain a leading edge and insist on updating and iterating the products through minimally invasive new technology. During the reporting period, ankernanoii charger equipped with the second generation gallium nitride (ganii) technology, ankernanopro charger and ankermaggo using magnetic charging technology were launched, which are widely welcomed by the market. Intelligent innovative products continue to diversify, including home intelligent cleaning, home security system and laser intelligent projection products. In the future, we will continue to increase the audio and video cooperation hardware of smart office and other products that meet the market demand. The company’s wireless audio products have been highly praised in China, and the brand influence continues to expand.
However, during the reporting period, the gross profit margin of all products decreased compared with that in 2020. The gross profit margins of charging products, intelligent innovation products and wireless audio products were 37.71%, 33.90% and 34.75% respectively. It is mainly caused by the rising price of upstream raw materials and the shortage of overseas transportation capacity. The company insists on taking R & D innovation as the driving force. In 2021, the R & D cost was about 780 million yuan, with a year-on-year increase of 37.2%. In the future, we will continue to implement the shallow water strategy, continuously upgrade product functions, extend multiple categories, solve customer pain points, improve user experience, and then increase the added value of products.
Emerging markets have a leading revenue growth rate and broad growth space in the future. In 2021, 50.43% of the company’s revenue came from North America, followed by Europe, Japan, the Middle East and Chinese mainland, accounting for 20.22%, 13.77%, 4.46% and 3.34% of total revenue respectively. Among them, Chinese mainland sales were excellent, up 194.47% in 2020. Europe, Australia and other countries and regions have also achieved a high-speed growth rate of more than 30%. The company’s revenue base from emerging markets is small and has large incremental space.
The online channel has a high base and high growth, and the offline channel expansion has achieved remarkable results. In the face of the negative fluctuations in the industry caused by the epidemic, the company’s online sales still maintained a high growth. In 2021, the online revenue was about 8 billion yuan, accounting for 63.62%, with a year-on-year increase of 25.60%. Among them, Amazon is the company’s core sales platform, with a revenue of 6.873 billion yuan, a year-on-year increase of 19.04%. It is worth mentioning that the sales of other online platforms and self owned platforms of the company increased rapidly, with 733 million yuan and 394 million yuan respectively, up 92.47% and 83.57% year-on-year. During the reporting period, the company actively cooperated with retail stores, independent 3C stores and professional channel sellers. The growth rate of offline sales was significantly higher than that of online sales, with a revenue of 4.574 billion yuan, a year-on-year increase of 53.33%. In the future, the company will continue to promote the “Online + offline” omni-channel expansion plan and give full play to synergy.
Profit forecast and rating: give overweight rating. Under the background of repeated global epidemics and complex external environment, Anker Innovations Technology Co.Ltd(300866) the strategic layout of “multi category + all channel” has laid a solid foundation for the company’s long-term and steady growth. As a leading cross-border e-commerce and well-known brand of consumer electronics, the company makes full use of its rich successful experience in product and brand building in the past to continuously innovate and create new products, which not only improves the added value of products, but also further enhances the brand competitiveness. At the same time, the company focuses on developing emerging markets and offline channels, and the incremental space in the future is very broad. Even if Anker Innovations Technology Co.Ltd(300866) adheres to R & D driven performance growth in the short term due to the influence of port congestion and raw material supply, and has sufficient momentum for long-term development. We predict that the company is expected to achieve net profits of 1.117 billion, 1.270 billion and 1.456 billion yuan in 20222024. The current market value corresponds to 22.94, 20.17 and 17.60 times of the valuation, giving the company an overweight rating.
Risk tips: 1) the global epidemic situation worsens further and continues to affect the supply of raw materials and transportation capacity; 2) The research and development of new products of the company is less than expected; 3) The effect of market expansion is less than expected; 4) Industry competition intensifies.
