\u3000\u30 Xuchang Ketop Testing Research Institute Co.Ltd(003008) 66 Anker Innovations Technology Co.Ltd(300866) )
In 2022q1, the revenue grew steadily, focused on the performance repair under the mitigation of cost pressure, and maintained the "buy" rating
In 2022q1, the company achieved a revenue of 2.865 billion yuan (+ 18.04%), with a compound growth rate of 36.54% compared with 2020q1. The net profit attributable to the parent company was 199 million yuan (- 2.74%) and the net profit not attributable to the parent company was 158 million yuan (- 0.87%). The non recurring profits and losses mainly came from government subsidies and the difference in the value of stock assets held in the same period. Considering the long-term development driven by continuous innovation, as well as the profit elasticity brought by the decline of sea freight rates and the expectation of exchange rate depreciation, we maintain the profit forecast unchanged. It is estimated that the net profit attributable to the parent company in 20222024 will be RMB 1.186/15.66/1.867 billion, corresponding to EPS of RMB 2.92/3.85/4.59, and the current stock price corresponding to PE is 18.2/13.8/11.6 times, maintaining the "buy" rating.
Under the disturbance of the epidemic, the overall revenue grew steadily, continued to promote innovation and consolidate the endogenous growth power
At the beginning of the year, affected by the closure and control of the epidemic in Dawan District, some upstream suppliers of the company stopped work temporarily, but on the whole, the impact on the company's operation is relatively controllable. In 2022q1, the company achieved revenue of 110 million yuan / 2.755 billion yuan respectively at home and abroad, with a year-on-year increase of + 29.48% / + 17.63% respectively. In terms of products, since 2022, the company has made great efforts in the field of 3D printing and portable energy storage, continued to cultivate intelligent security, launched the 3D printing brand ankermake, and launched a variety of new products such as high-capacity outdoor power supply, intelligent doorbell and ankerwork intelligent office hardware. Looking forward to the follow-up, it will continue to promote innovation or bring incremental space. It is expected that after entering 2022q3, the pressure of revenue growth under low base will improve month on month.
In 2022q1, the increase of expenses has put pressure on profits, and we are optimistic about the volume of new products and the profit restoration under the relief of cost pressure
The gross profit margin of 2022q1 company is 38.16% (+ 1.11pcts). The gross profit has improved while the raw material and shipping costs remain high. We think it may be due to the increase of the average price under the iteration of product upgrading. According to the data of Amazon, the average price of Anker main brand and floor sweeper of 2022q1 company is + 32.93% / + 3.77% respectively. On the expense side, under the same caliber of 2022q1, the company's sales / management / R & D / financial expense ratio was 20.47% / 3.35% / 7.24% / 0.17% respectively, with a year-on-year increase of + 0.73pcts / + 0.11pcts / + 2.2pcts / - 0.16pcts respectively. Due to the increase of sales and R & D expenses or the R & D and promotion of new products, the net interest rate of 2022q1 was 6.94% (- 1.48%). Looking forward to the follow-up, with the large volume of new products, the effect of R & D and sales investment may gradually appear, superimposed with favorable factors such as the decline of sea freight rate and the expectation of RMB devaluation, there is a large room for the profitability to be repaired.
Risk warning: the sales of new products are less than expected; Rising prices of raw materials; Sea freight rates remain high.
