\u3000\u3 Shengda Resources Co.Ltd(000603) 506 Nacity Property Service Group Co.Ltd(603506) )
Event overview
Nacity Property Service Group Co.Ltd(603506) released the 2021 annual report. The company achieved a revenue of 1.59 billion yuan, a year-on-year increase of + 12.7%, and a net profit attributable to the parent company of 163 million yuan, a year-on-year increase of + 18.1%.
The profit increased steadily and the profit level improved
In 2021, the company achieved a revenue of 1.59 billion yuan, a year-on-year increase of + 12.7%, and a net profit attributable to the parent company of 163 million yuan, a year-on-year increase of + 18.1%. The performance has made steady progress and continued to grow for many consecutive years. During the reporting period, the gross profit margin and net profit margin of the company were 22.76% and 10.64% respectively, which were + 1PCT and + 0.36pct respectively compared with the same period of the previous year. The expense rate during the period was -1.3pct compared with the same period of the previous year, and the profitability was further improved.
The scale reached a new high and the extension scale accelerated
By the end of 2021, the company had signed a total of 651 projects, with a total signed area of 75.916 million square meters, and the management scale reached a new record. In 2021, the company signed 107 new projects with an area of 9.81 million square meters, of which nearly 4 million square meters of management area has been signed in Jiaxing, Jingdezhen, Nantong and other urban areas, including residential, office, cultural tourism, park and other business forms, further consolidating the strategic layout of the company’s urban space operation.
Diversified layout to enhance competitiveness
The company carries out new community retail through the online platform “yuejiajia”, connects Wuxi Online Offline Communication Information Technology Co.Ltd(300959) , and actively arranges diversified scene services in the innovative mode of “property +”. During the reporting period, the company’s nine module product SKUs exceeded 1000, of which the total sales of the Mid Autumn Festival exceeded 8 million, a year-on-year increase of 60%, and the sales of yuejiajia applet mall exceeded 2 million, a year-on-year increase of 100%, creating a sales record of exceeding 1 million in a single day.
Investment advice
Nacity Property Service Group Co.Ltd(603506) performance has increased steadily, the national diversified layout is positive, and the financial situation is good. Taking into account the repeated epidemic situation and the large adjustment range of the real estate industry, we lowered the forecast of the company’s revenue of 1.94/2.258 billion yuan in 22-23 years to 1.864/2.173 billion yuan, and the revenue of 24 years was 2.527 billion yuan. We also added the 24-year profit forecast and lowered the EPS of 22-23 years The forecast of 14 / 1.38 yuan is 1.04/1.25 yuan, the 24-year EPS is 1.47 yuan, corresponding to the closing price of 16.15 yuan / share on April 15, 2022, and the PE is 15.5 / 13.0 / 11.0 times, maintaining the “buy” rating of the company.
Risk tips
The business area concentration is too high, the risk is high, the business expansion speed is not as expected, the profit of new projects is low, and the labor cost rises too fast.
