\u3000\u30 Shaanxi Zhongtian Rocket Technology Co.Ltd(003009) 55 Jahen Household Products Co.Ltd(300955) )
Performance description: in 2021, the company achieved revenue of 1.161 billion yuan, yoy + 19.89%, net profit attributable to the parent company of 97.17 million yuan, yoy + 4.02%, non net profit attributable to the parent company of 94.28 million yuan, yoy + 3.89%, non economic profit and loss of 2.89 million yuan, mainly from government subsidy of 2.2 million yuan and profit and loss of other assets. The net operating cash flow was 99.94 million yuan, yoy + 32.39%, and the basic earnings per share was 1.03 yuan, yoy-16.94%. Among them, single Q4 achieved revenue of 329 million yuan, yoy + 9.15%, net profit attributable to parent company of 32.71 million yuan, yoy + 22.55%, non net profit attributable to parent company of 31.38 million yuan, yoy + 25.54%, net operating cash flow of 81.61 million yuan, yoy + 39.11%.
The revenue of cosmetics business increased significantly and the business structure was significantly optimized. In 2021, the company achieved revenue of 1.161 billion yuan, yoy + 19.89%. In terms of business: 1) cosmetics business achieved revenue of 630 million yuan, with a year-on-year increase of 69.78%, accounting for 54.28% of the total revenue, with a year-on-year increase of 15.95 PCT, surpassing plastic packaging business to become the largest business of the company, and the capacity utilization rate reached 98%; 2) Plastic packaging container business achieved a revenue of 410 million yuan, a year-on-year increase of 8.43%, accounting for 35.30% of the total revenue, and the capacity utilization rate of this business was 77%; 3) The revenue of home care products was 96.9 million yuan, a year-on-year decrease of 51.82%, mainly due to the easing of the epidemic in 2021 compared with 2020, and the decrease in the order volume of disinfectant, hand sanitizer and laundry detergent. The business revenue accounted for 8.34% of the total revenue and the capacity utilization rate was 35%. In 2021, the revenue proportion of the company’s top five customers increased by 2.98pct to 76.64%. In addition, the company has expanded the scale and scope of cooperation with existing customers such as Johnson & Johnson, P & G, Yunnan Botanee Bio-Technology Group Co.Ltd(300957) and other well-known customers; At the same time, gradually expand cooperation with cutting-edge brands such as e-run, PMPM and zhuben.
The gross profit rate remains stable due to the slight reduction of raw material prices. In 2021, the company achieved a gross profit margin of 23.77%, a year-on-year decrease of 1.49 PCT, mainly due to the sharp rise in raw materials and labor costs, changes in product structure and other factors; By business, 1) the gross profit margin of cosmetics business was 22.59%, a year-on-year decrease of 2.77pct, and 2) the gross profit margin of plastic packaging container business was 27.21%, a year-on-year increase of 0.21pct. In terms of rates, in 2021, the sales expense rate was 0.48%, a year-on-year decrease of 0.06pct, the management expense rate was 10.01%, a year-on-year increase of 0.6pct, the financial expense rate was 0.65%, a year-on-year decrease of 0.29pct, and the R & D expense rate was 1.89%, a year-on-year decrease of 0.02pct. In 2021, the company obtained 14 patents, including 11 utility model patents and 3 design patents.
The cash flow is in good condition and the operating capacity is gradually improved. In terms of operating capacity, the net operating cash flow of the company was 99.94 million yuan, with a year-on-year increase of 32.39%, mainly due to the growth of sales revenue and the increase of customer collection during the reporting period; Among them, the net operating cash flow of single Q4 was 81.61 million yuan, a year-on-year increase of 39.11%, and the cash flow situation improved. The inventory turnover days decreased by 3.49 days to 68.18 days, the accounts receivable turnover days increased by 2.7 days to 84.59 days, the accounts payable turnover days decreased by 4.09 days to 72.71 days, and the operating capacity gradually improved.
Investment suggestion: the company’s cosmetics OEM / ODM business has integrated service barriers, has stable cooperation with major customers, and continues to expand customers and categories. In March 2022, Huzhou Jiaheng phase I has obtained the production license. The company will continue to promote the construction process of Huzhou Jiaheng phase II project and rapidly improve the company’s production capacity. It is expected that the company will achieve revenue of 1.452 billion, 1.771 billion and 2.107 billion yuan and net profit attributable to the parent company of 132 million, 179 million and 221 million yuan in 22-24 years. Corresponding to 22-24 years PE 19 / 14 / 11x, maintain the “recommended” rating.
Risk warning: the risk of intensified industry competition, the risk of declining downstream demand and the risk of fluctuations in raw material prices.
