\u3000\u3 Guocheng Mining Co.Ltd(000688) 608 Bestechnic (Shanghai) Co.Ltd(688608) )
Core conclusion
Event: the company released its 2021 annual report, realizing a revenue of 1.765 billion yuan, a year-on-year increase of + 66.36%; The net profit attributable to the parent company was 408 million yuan, a year-on-year increase of + 105.51%.
The performance grew steadily, in line with expectations. In the second half of 2021, although the industry was faced with difficulties such as the impact of repeated epidemic on demand and tight production capacity supply, the company achieved stable growth relying on the performance of high-quality customer resources, and Q4 achieved a revenue of 534 million yuan, a year-on-year increase of + 36.28% and a month on month increase of + 7.29%; The net profit attributable to the parent company was 114 million yuan, a year-on-year increase of + 39.68% and a month on month increase of + 8.32%. Among them, smart, ordinary Bluetooth chips and type-C / WiFi / watch chips accounted for 53.23%, 26.67% and 20.10% of the annual revenue respectively. The inflection point of gross profit margin appears, and the recovery can be expected. The cost of wafer and package testing has risen, but the company has relatively little cost transfer based on its long-term development strategy. In 2021, the overall gross profit margin was 37.29%, down 2.76% year-on-year. The company increased product optimization for ordinary Bluetooth, and the gross profit margin in 2021q4 recovered to 37.20%, with a month on month improvement of 1.16%. Looking forward to 2022, with the mass production of 12NM process chips and new generation watch / WiFi chips in the second half of 2022, the cost pressure will be relatively weakened, the quarterly gross profit margin is expected to show a trend of low before high, and the gross profit margin will remain at a stable level throughout the year.
Categories continue to expand, showing the momentum of sustainable growth. (1) In terms of headphones, the 12nmbes2700 series based on TSMC has successfully entered the stage of film streaming and sample delivery. (2) In terms of watches, the second generation smart watch single chip solution bes2700bp has also entered the sample delivery stage. (3) In terms of WiFi, in addition to speakers, with the release of more terminal forms, module components suitable for more home appliance manufacturers will continue to be launched, and the terminal application scenarios will become more and more abundant. The company has gradually expanded from the field of smart headphones to other wearable and smart home markets, showing the momentum of sustainable growth.
Investment suggestion: due to the relatively weak consumer demand in 2022 and the repeated impact of the epidemic on logistics delivery, we predict that the revenue in 202224 will be RMB 2.517/34.18/4.317 billion, and the net profit attributable to the parent company will be RMB 5858091055 million, maintaining the “overweight” rating.
Risk warning: industry competition intensifies; R & D failure; Trade policy changes; Supplier / customer concentration risk.
