\u3000\u3 China Vanke Co.Ltd(000002) 084 Guangzhou Seagull Kitchen And Bath Products Co.Ltd(002084) )
Core view:
Event: the company issued the annual report of 2021. During the reporting period, the company achieved a revenue of 4.126 billion yuan, a year-on-year increase of 23.52%; The net profit attributable to the parent company was 86 million yuan, a year-on-year decrease of 43.75%; The basic earnings per share is 0.15 yuan / share. Among them, the company achieved a revenue of 1.072 billion yuan in a single quarter in the fourth quarter, a year-on-year increase of 4.86%; The net profit attributable to the parent company lost 30 million yuan, a year-on-year decrease of 154.38%.
Raw material prices rose and the company’s gross profit margin fell sharply. During the reporting period, the company’s comprehensive gross profit margin was 18.25%, a year-on-year decrease of 5.66%, mainly due to the sharp rise in the price of raw materials in ceramic tile business, resulting in the increase of the company’s operating costs. Among them, the single quarter gross profit margin in the fourth quarter of 2021 was 7.94%, a year-on-year decrease of 15.18% and a month on month decrease of 11.64%.
The effect of expense control was obvious, and the net interest rate decreased significantly year-on-year. During the period, the expense rate of the company was 14.69%, with a year-on-year decrease of 3%, and the expense rates of sales / management / Finance / R & D were 5% / 5.25% / 1.13% / 3.31% respectively, with a year-on-year decrease of 0.94% / 0.83% / 1.17% / 0.06% respectively. During the reporting period, the company’s net interest rate was 1.06%, a year-on-year decrease of 4.09%. Among them, the company’s net interest rate in 21q4 single quarter was – 6.78%, a year-on-year decrease of 12.87% and a month on month decrease of 9.89%. The company’s net interest rate fell sharply due to the following two reasons: 1) Evergrande group defaulted on a large scale on the company’s accounts receivable and bills, and the company made 107 million yuan of bad debt reserves; 2) The gross profit margin of the company decreased significantly.
The layout of the whole industrial chain continued to deepen, helping the steady growth of the main industry. The company continues to promote the “double cycle + lighthouse factory” plan, open up the domestic and foreign markets, and is committed to the industrialization of interior decoration, assembly decoration and the layout of the whole industrial chain of sanitary ware. During the reporting period, the company’s hardware faucets / ceramic tiles / bathtub ceramics / customized cabinets / smart home / packaged bathroom products achieved revenue of RMB 2.547/8.09/2.35/2/1.79/0.6 billion respectively, with a year-on-year change of 28.92% / 63.11% / 10.09% / – 19.47% / 46.6% / – 70.52%, accounting for 61.73% / 19.61% / 5.7% / 4.84% / 4.34% / 1.45% respectively.
The fabricated construction policy continues to ferment, and the growth space of the industry is expected to expand. According to the 13th five year plan for the development of the construction industry, by 2020, the prefabricated building area will account for 15% of the newly-built building area. In the 14th five year plan of many provinces and cities, the indemnificatory housing is required to be fully decorated, green and efficient, bringing huge demand to the prefabricated decoration industry. In 2015, the company began to layout the packaged sanitary ware and continued to develop the assembled packaged business. It has two major brands and four manufacturing bases. In 2021, the company achieved a revenue of 60 million yuan. In the future, it will continue to expand to residential, TOC, EPC, commercial and other racetracks. With the implementation of the prefabricated construction policy and the rapid growth of the industry space, the company is expected to usher in new development.
Investment suggestion: the company continues to deepen the layout of the whole industrial chain, the domestic and foreign sales grow rapidly, the prefabricated construction policy continues to be implemented, and is optimistic about the development space of the company’s prefabricated assembly business. It is expected that the company will achieve eps0 in 2022 / 23 / 24 42 / 0.56 / 0.7 yuan / share, corresponding to 12x / 9x / 7X PE, maintaining the “recommended” rating.
Risk warning: the risk that the economic growth is less than expected; The risk of intensified market competition.
