\u3000\u3 Shengda Resources Co.Ltd(000603) 816 Jason Furniture (Hangzhou) Co.Ltd(603816) )
The company issued the 2021 annual report & the first quarterly report of 2022. 1) Annual report of 2021: in the 21 years, the revenue was 18.342 billion yuan (+44.8%), the net profit attributable to the parent company was 1.664 billion yuan (+96.9%, after excluding the impact of goodwill +25.2%), and the net profit not attributable to the parent company was 1.427 billion yuan (+141.6%, after excluding the impact of goodwill +32.7%); Among them, the single Q4 revenue was 5.117 billion yuan (year-on-year + 24.2%), the net profit attributable to the parent was 427 million yuan (year-on-year + 359.6%, year-on-year + 33.3% after excluding the impact of goodwill), and the net profit not attributable to the parent was 314 million yuan (year-on-year + 231.0%, year-on-year + 28.0% after excluding the impact of goodwill). 2) The first quarterly report of 2022: the revenue was 4.540 billion yuan (year-on-year + 20.1%), the net profit attributable to the parent was 443 million yuan (year-on-year + 15.1%), and the net profit not attributable to the parent was 382 million yuan (year-on-year + 20.3%). Under the influence of the epidemic, domestic and foreign sales made concerted efforts, and the performance exceeded market expectations; In addition, in March, the delivery of some orders was blocked and some were delayed. It is expected that the consumption will be replenished after the epidemic.
Diversified growth, big home effect appears. In 2021, domestic sales will reach 10.713 billion yuan (+ 40.1%) and export sales will reach 6.918 billion yuan (+ 48.7%); In terms of domestic trade, the company's guest dining and sleeping space is integrated, and all business departments strive to create large single products. In terms of foreign trade, the scale of functional product lines in the North American market has increased significantly year-on-year, and a new medium and low-end series has been launched. The middle and high-end categories of the company are fully built, the integration effect is obvious, and the big home is growing steadily. From the perspective of high-speed growth and high-speed customization of mattress products; 1) Sofa: in 21 years, the revenue is 9.268 billion yuan (+ 44.5%), and the gross profit margin is 29.5% (- 3.0pct); The revenue of 21h2 was RMB 5.15 billion (+28.8%), and the gross profit margin was 28.8% (-3.2pct). 2) Soft beds & mattresses: in 21 years, the revenue is 3.338 billion yuan (+ 42.8%), and the gross profit margin is 33.2% (- 2.4pct); The revenue of 21h2 is 1.945 billion yuan (+ 35.5%), and the gross profit margin is 32.5% (- 3.5pct). 3) Customization: in 21 years, the revenue is 660 million yuan (+ 44.8%), and the gross profit margin is 32.4% (- 3.3pct); The revenue of 21h2 is 367 million yuan (+ 14.0%), and the gross profit margin is 32.6% (- 3.8pct). 4) Integrated products / MAHOGANY / information services: in 21 years, the revenue was 3.140/1.26/930 billion yuan respectively, with a year-on-year increase of + 41.1% / 11.8% / 48.7%. The gross profit margin was 24.8% / 29.7% / 86.6% respectively, with a year-on-year increase of + 0.6pct/8.1pct/1.3pct; Among them, 21h2 achieved revenue of RMB 1.749/0.73/508 billion respectively, with a year-on-year increase of + 28.8% / 10.2% / 35.4%, gross profit margin of 25.9% / 33.6% / 86.9% respectively, and a year-on-year increase of + 2.6pct/12.2pct/3.2pct.
The development of big home has entered the fast lane, and the retail capacity is prominent. The company adheres to the channel strategy of 1 + N + X, consolidates the advantages of category professional stores and speeds up the integration of large store layout. In terms of space & creativity, the number of new store design and iterative R & D has maintained a high yield. By the end of the 21st century, the company had a total of 6304 stores (277 fewer than that at the end of the 20th century), including 152 independent brand Direct stores, 4311 independent brand distribution stores and 1841 other brand stores respectively, and + 42, - 316, - 3 respectively compared with that at the end of the 20th century, mainly due to the adjustment of the company's store structure, focusing on multi category integrated stores. Gujia China has deeply practiced retail thinking. The potential energy of regional retail center + information reform + store optimization has been gradually released, the channel efficiency has been improved, and the development of big home has entered the fast lane.
The profitability of domestic and foreign sales is expected to pick up. 1) 2021: the overall gross profit margin is 28.9% (- 6.34pct), and the net profit margin is 9.1% (+ 2.4pct); In terms of splitting, the gross profit margin of domestic sales is 34.5% (- 5.6pct) and that of export sales is 18.1% (- 6.1pct). 2) 22q1: the overall gross profit margin is 29.9% (- 3.2pct) and the net profit margin is 9.8% (- 0.4pct); Looking forward to the future, the domestic epidemic squeeze demand is expected to be released, the export profit margin elasticity 22h2 is expected to be released, and the overall profit is expected to continue to improve.
Excellent cost control and improved operational efficiency. 1) 2021: the period expense rate is 18.6% (- 6.1pct), the sales expense rate is 14.7% (- 5.0pct), the management expense rate is 1.8% (- 0.6pct), the financial expense rate is 0.4% (- 0.7pct), and the R & D expense rate is 1.7% (+ 0.0pct); The net operating cash flow in 2021 was 2.041 billion yuan (- 6.4%); The turnover days of accounts payable are 48 days (- 12.7 days); The turnover days of accounts receivable are 27.5 days (- 2.6 days); Inventory turnover days are 59.5 days (- 9.3 days). 2) 22q1: the period expense rate is 18.3% (- 3.0pct), the sales expense rate is 14.7% (- 3.3pct), the management expense rate is 1.7% (- 0.2pct), the financial expense rate is 0.3% (+ 0.4pct), and the R & D expense rate is 1.7% (+ 0.2pct); Net operating cash flow was - 530 million yuan (- 499.6%); The turnover days of accounts receivable are 33.75 days (+ 8.08 days), and the turnover days of accounts payable are 52.55 days (- 0.24 days); Inventory turnover days are 64.61 days (+ 1.46 days).
Investment rating: the company focuses on the establishment of platform system, takes the lead in channel efficiency reform, highlights retail genes, and has strong certainty of performance through the cycle. We expect the net profit of 22-24 years to be 2.11 billion yuan, 2.65 billion yuan and 3.29 billion yuan, with a year-on-year increase of 26.7%, 25.5% and 24.2%, corresponding to PE of 17.4x, 13.9x and 11.2x, maintaining the "buy" rating.
Risk tip: the real estate recovery is lower than expected, the epidemic situation repeatedly exceeds expectations, the overseas demand is depressed, and the cost of raw materials is rising.
