\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 519 Kweichow Moutai Co.Ltd(600519) )
Events
In 2022, Q1 company achieved a total operating revenue of 32.296 billion yuan, a year-on-year increase of + 18.43%; The net profit attributable to the parent company was 17.245 billion yuan, a year-on-year increase of 23.58%, and the net profit not attributable to the parent company was 17.243 billion yuan, a year-on-year increase of 23.43%.
Comments
The performance of 2022q1 exceeded expectations and is expected to achieve double-digit growth throughout the year. In 2022q1, the revenue of Maotai liquor reached 28.86 billion yuan (year-on-year + 17.35%), accounting for 89.38% (year-on-year -0.91pct); The revenue of series liquor reached 3.438 billion yuan (year-on-year + 29.71%), accounting for 10.62% (year-on-year + 0.91 PCT), continuing the high growth trend in 2021. Around the beginning of 2022, the company launched a series of new liquor products, Maotai 1935, which successfully filled the gap in the price band of 1000 yuan, as well as high-end new products such as Maotai treasures, while reducing low-end products such as Prince. It is expected that the high performance increase in the first quarter will be caused by the launch of medium and high-end new products and the increase of ton price. The first quarter made a good start, laying the foundation for good performance throughout the year. The company’s business goal in 2022 is to increase revenue by about 15% year-on-year.
The scale and proportion of direct sales have increased significantly, and “I” Maotai has become a highlight of channel expansion. In 2022q1, the revenue of direct sales channels reached 10.887 billion yuan (year-on-year + 127.88%), accounting for 33.72% (year-on-year + 16.18 PCT); The revenue of wholesale channels reached 21.401 billion yuan (year-on-year – 4.71%), accounting for 66.28% (year-on-year – 16.18 PCT); The proportion of direct sales channel revenue reached a new high in five years. Since the new chairman took office, the market-oriented reform of the company’s marketing and price system has been continuously promoted. On March 31, “I” Maotai went online. Since its operation for three weeks, it has subscribed for more than 100 million people, and the comprehensive winning rate is less than 1%. The prices of various online products are stable. Innovative measures such as self operated e-commerce platforms are expected to increase the company’s profits in terms of volume and price.
The profitability was improved, and the rate of various expenses decreased steadily. The gross profit margin of 2022q1 company was 92.37% (year-on-year + 0.69pct), the highest level in five years, thanks to the increase in the proportion of direct sales and ton price. In 2022, Q1 company’s sales expense ratio was 1.64% (YoY -0.44pct), management expense ratio was 6.60% (YoY + 0.08pct), R & D expense ratio was 0.06% (YoY + 0.02pct), and financial expense ratio was – 1.04% (YoY -0.54pct).
Investment advice
Under the market-oriented reform of the company, the proportion of direct selling and profitability are expected to improve. Maintain a “strongly recommended” rating. It is estimated that the EPS from 2022 to 2024 will be 47.53/54.34/62.32 respectively. Based on the closing price of 173248 yuan on April 26, the corresponding PE is 36.45/31.88/27.80.
Risk tips
Aggravation of epidemic disturbance; Macroeconomic fluctuations; The market-oriented reform was less than expected.
