This week Comefly Outdoor Co.Ltd(603908) , Baoxiniao Holding Co.Ltd(002154) , Biem.L.Fdlkk Garment Co.Ltd(002832) successively released annual reports. (1) Comefly Outdoor Co.Ltd(603908) revenue / net profit attributable to the parent company increased by 44% / 71% to 923 / 79 million yuan respectively. The export business has been booming for two consecutive years, and the domestic business has nearly doubled, including the year-on-year growth of Damu by 156%. At the same time, the company issued the financial budget report for 2022, and it is expected that the revenue / net profit in 22 will increase by 39% / 53% year-on-year. (2) Baoxiniao Holding Co.Ltd(002154) income / net profit attributable to the parent company increased by 18% / 27% year-on-year to RMB 4.45/464 billion respectively, of which the actual net profit increased by about 73% after excluding the excess reward distributed in 21 years and the contribution of protective products in 20 years. (3) Biem.L.Fdlkk Garment Co.Ltd(002832) revenue / net profit attributable to parent increased by 18% / 25% year-on-year to RMB 2.72/625 billion respectively, and 22q1 revenue / net profit attributable to parent increased by 30% / 40% respectively, mainly due to the contribution of new stores in 21q4 and the higher proportion of third and fourth tier franchise business of the company, the company is expected to accelerate the opening of stores in 22 years, with sufficient impairment provision in 2021 and performance elasticity in 22 years.
At present, we recommend three main lines: (1) the first quarterly report is expected to exceed expectations: Bros Eastern Co.Ltd(601339) , Zhejiang Xinao Textiles Inc(603889) , Zhejiang Jasan Holding Group Co.Ltd(603558) , Zhejiang Natural Outdoor Goods Inc(605080) ; (2) Subject matter with limited downward space at the bottom of Valuation: recommended Jinhong Fashion Group Co.Ltd(603518) , Baoxiniao Holding Co.Ltd(002154) ; (3) Growth track and subject less affected by economic slowdown: Comefly Outdoor Co.Ltd(603908) ; (4) Companies with expansion logic: Biem.L.Fdlkk Garment Co.Ltd(002832) .
Market review: underperformed the Shanghai Composite Index by 1.99pct
This week, the Shanghai Composite Index fell by 1.25%, the gem index fell by 4.26%, the SW textile and garment sector fell by 3.24%, outperforming the Shanghai Composite Index by 1.99pct and the gem index by 1.03pct, of which the SW textile manufacturing fell by 2.82% and the SW clothing home textile fell by 3.44%. At present, the PE of SW textile and garment industry is 13.85. This week, outdoor and sports performed best, with an increase of 2.94%; Footwear performed the worst, down 7.59%. Comefly Outdoor Co.Ltd(603908) increased by 19.22% this week, mainly due to the surge in demand for camping in the suburbs due to the impact of the epidemic on Qingming travel.
Market data tracking: China’s cotton price index fell 0.87% this week
As of April 15, China’s cotton 328 index was 22554 yuan / ton, down 0.87% this week, mainly due to the impact of China’s epidemic and continued weak demand. As of April 15, China’s imported cotton price index (1% tariff) was 24717 yuan / ton, up 5.39% this week. As of April 14, the closing price of cotlooka index (1% tariff) was 24960 yuan / ton, up 4.95% this week, mainly affected by the aggravation of weather and drought in the main producing areas. On the whole, the price difference of cotton inside and outside this week was – 2163 yuan / ton, an increase of 1462 yuan / ton compared with last weekend.
Industry news
UNIQLO’s parent company: revenue of 1.2 trillion yen in the first half of fiscal year 2022 and continued to open stores in the Chinese market; LVMH group: revenue of 18 billion euros in the first quarter; Jiaoxia: it is proposed to IPO, starting from the umbrella into the urban outdoor, with an annual income of 2.4 billion yuan; PVH group: it aims to achieve sales of 12.5 billion US dollars in 2025; Hermes: the growth in the first quarter was higher than expected.
Risk tips
The epidemic broke out again; Fluctuation risk of raw materials; Systemic risk
