\u3000\u3 China Vanke Co.Ltd(000002) 615 Zhejiang Haers Vacuum Containers Co.Ltd(002615) )
Event: Zhejiang Haers Vacuum Containers Co.Ltd(002615) released the annual report of 2021 and the first quarterly report of 2022. The company’s single quarter revenue in 2021q4 was 730 million yuan, yoy + 49.8%; The company achieved a performance of 43.668 million yuan and a loss of 14.374 million yuan in the same period of last year. In 2022q1, the company’s revenue in a single quarter was 570 million yuan, yoy + 15.7%; The performance was 30.81 million yuan, yoy + 20.5%. The company’s Q1 revenue still maintained stable growth under the pressure of high base, and its profitability was under pressure due to the rise in the price of raw materials.
Q1 single quarter revenue maintained steady growth: 2021h2 company’s downstream orders were full, and OEM revenue was yoy + 49%. The revenue growth rate in the single quarter of 2022q1 is higher than that of 2021q4-34pct. However, under the condition of high base in the same period last year, Q1 revenue still maintained a stable growth, reflecting that the downstream demand is still relatively strong.
Looking forward to the development of the company’s independent brand in the Chinese market: Zhejiang Haers Vacuum Containers Co.Ltd(002615) in the second half of the year, accelerate the expansion of the Chinese market and independent brand Zhejiang Haers Vacuum Containers Co.Ltd(002615) and Huawei jointly launched Zhejiang Haers Vacuum Containers Co.Ltd(002615) Huawei intelligent water cup. In 2021, the company’s OBM revenue reached 440 million yuan, yoy + 21.5%. The company continues to increase R & D investment and launch independent brand products with personalized functions. We expect the company’s independent brand business to gradually increase its volume.
The gross profit margin of Q1 decreased month on month: the gross profit margin of 2022q1 company was 24.6%, month on month 2021q4-4.1pct, year-on-year 2021q1-0.4pct. We believe that the main reasons are: 1) the price of raw materials remains high and the cost pressure of the company increases; 2) The revenue of 2022q1 is 78% of that of 2022q4, and the cost side scale effect is weaker than that of Q4.
The scale effect at the expense side was improved, and the profitability of Q1 was improved year-on-year: Zhejiang Haers Vacuum Containers Co.Ltd(002615) q1’s net profit margin attributable to the parent company in a single quarter was 5.4%, year-on-year + 0.2pct. This is mainly because the company is mainly engaged in OEM business, and the fixed expenses account for a relatively high proportion. The increase of income scale can produce a certain scale effect on the cost side. In 2022q1, the company’s sales expense rate was -0.1pct year-on-year, and the management expense rate was -0.2pct year-on-year.
The company actively prepared goods, and the inventory scale continued to increase: Zhejiang Haers Vacuum Containers Co.Ltd(002615) 2022q1 net cash flow from operating activities was 49.904 million yuan, a year-on-year increase of -61.388 million yuan. The cash paid by the company for purchasing goods and receiving labor services in Q1 was 390 million yuan, yoy + 57%, and the inventory in Q1 reached the highest level in history (530 million yuan), reflecting the strong demand in the downstream, and the company is still actively preparing goods.
Investment suggestion: Zhejiang Haers Vacuum Containers Co.Ltd(002615) has a complete cup and pot industry chain, and the brand influence is gradually improved. Affected by the epidemic, the company’s short-term revenue performance is under great pressure, but it will have greater performance flexibility when the economy recovers. It is estimated that the company’s EPS from 2022 to 2023 will be 0.42/0.55 yuan respectively, maintaining the Buy-A investment rating.
Risk tip: the price of raw materials has risen sharply and the epidemic situation has worsened
