\u3000\u30 Shaanxi Zhongtian Rocket Technology Co.Ltd(003009) 57 Yunnan Botanee Bio-Technology Group Co.Ltd(300957) )
Event overview
The company released the first quarterly report of 2022. During the reporting period, the company achieved a revenue of 809 million yuan, a year-on-year increase of 59.32%; The net profit attributable to the parent company was 146 million yuan, a year-on-year increase of 85.74%; The non net profit deducted was 124 million yuan, an increase of 61.82% year-on-year. In terms of cash flow, the net cash flow from operating activities was - 167 million yuan, a decrease of 429.12% over the same period last year, mainly due to the year-on-year increase of 70.41% in the cash outflow from operating activities in the current period, which was due to the comprehensive impact of the company's payment for the purchase of means of production and productive services according to the supply chain plan, the company's targeted brand image promotion and e-commerce channel expenses, continuous and accurate investment, and the increase of other operating expenses.
Analysis and judgment:
Revenue side: revenue maintains rapid growth
In Q1 2022, the company achieved a revenue of 809 million yuan, with a year-on-year increase of 59.32%, mainly because the company continued to focus on the "Winona" brand, continuously introduced new products, further improved brand awareness and customer trust, and the sales scale and sales revenue increased rapidly. The company's flagship product "Shumin moisturizing special cream" has been on the list for 15 consecutive days. In March, tmall face cream topped the list of top sellers. The company's "clear and transparent sunscreen" won the most trusted sunscreen product of Sohu fashion in 2021 / 2022 [ I am beautiful. I trust ].
Profit side: gross profit margin increased month on month
On the profit side, in Q1 2022, the company achieved a gross profit margin of 77.82%, a year-on-year decrease of 0.33pct and a month on month increase of 2.81pct; The company achieved a net interest rate of 17.99%, a year-on-year increase of 2.42pct and a month on month decrease of 8.63pct. On the expense side, in Q1 2022, the company's expense rate during the period was 58.99%, an increase of 0.76pct year-on-year. Among them, the sales / management / financial expense rates were 48.02%, 7.58% and 3.83% respectively, with year-on-year changes of 2.1, -0.41 and -0.26pct. The increase of sales expense rate is mainly due to the company's continuous investment in brand image promotion and marketing personnel salary during the reporting period. The decline of financial expense rate is mainly due to the increase of interest income from demand deposits of commercial banks obtained by the company during the reporting period compared with the same period of last year. The R & D expense ratio of the company decreased by 0.67pct to 3.83% year-on-year. In addition, during the reporting period, the company obtained an investment income of 215609 million yuan, a year-on-year increase of 288746%, mainly due to the increase in entrusted financial management income obtained by the company by actively exploring stable entrusted financial management investment channels with idle raised funds and idle self owned funds under the amount authorized by the general meeting of shareholders.
Investment advice
With the "Winona" brand as the core, the company focuses on the application of pure natural plant active ingredients to provide mild and professional skin care products, focusing on sensitive skin. In recent years, the company has become one of the leading cosmetics manufacturers in China, and has set an industry benchmark for sensitive skin products. In the future, the company will actively expand its brand and product matrix and further improve the company's marketing strategy of " Wuxi Online Offline Communication Information Technology Co.Ltd(300959) combination". The company's new brands and new products will gradually increase in volume. We are optimistic about the company's long-term prospects. We kept the company's profit forecast unchanged. The company's operating revenue from 2022 to 2024 was 5.472/7.141/9.054 billion yuan, and the company's EPS from 2022 to 2024 was 2.77/3.63/4.55 yuan, corresponding to the closing price of 196.38 yuan / share on April 27, 2022, and PE was 70.91/54.06/43.16 times respectively, maintaining the company's "buy" rating.
Risk tips
1) industry competition intensifies. 2) The risk that the marketing model can not keep up with the market.
