\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 779 Sichuan Swellfun Co.Ltd(600779) )
Event: the company released the annual report of 2021 and the first quarterly report of 2022. In 2021, the company achieved a total operating revenue of 4.632 billion yuan, a year-on-year increase of 54%; The net profit attributable to shareholders of listed companies was 1.199 billion yuan, a year-on-year increase of 63.96%. In the first quarter of 2022, the company achieved a total operating revenue of 1.415 billion yuan, a year-on-year increase of 14.10%; The net profit attributable to the shareholders of the listed company was 363 million yuan, a year-on-year decrease of 13.54%. The revenue and performance in 21 years were in line with expectations, and the revenue and performance in Q1 in 22 years were slightly lower than expectations.
The tasks of the whole year have been successfully completed, and we have made firm efforts to make it high-end. In 2021, the company’s revenue and net profit attributable to the parent company were 4.632 billion yuan and 1.199 billion yuan respectively, with a year-on-year increase of 54% and 64%, which was consistent with the previously published annual report performance express, exceeding the target of 43% revenue growth and 35% net profit growth set at the beginning of the year. In the fourth quarter, the revenue increased by 14% year-on-year and the net profit attributable to the parent decreased by 14% year-on-year, or mainly because some activities in the third quarter were delayed and launched successively in the fourth quarter, with relatively high market expenses. In the whole year, the net profit attributable to the parent increased by 25.89% year-on-year and 1.55pct year-on-year. In 2021, the company’s high-grade liquor revenue increased by 54.3% and sales increased by 40.4%. Due to the price increase of the company’s core products Jingtai and zhenniang No. 8, the ton price of high-grade liquor increased by 9.9% year-on-year. After the launch of the new collection, the growth momentum has been strengthened. The work of the high-end brand business department specially set up for high-end wine and the consumer cultivation department for consumer cultivation has been carried out one after another, and assisted the provincial representative to establish a high-end brand franchise sales company. At present, it has absorbed more than 200 dealers. Although the goods of the new and old versions were stopped during the collection iteration last year, the collection and jingcui still achieved 58% growth in the whole year; Zhenniang No. 8 and the secondary high-end mainstream price belt of Jingtai card have a good growth momentum, with an annual increase of 55%. In terms of subregions, the growth rate of the eight core markets is leading, and the revenue increased by 61% year-on-year in 2021. Among them, the growth rate of Henan and Hunan markets is slightly slower, and the growth rate of other markets except the eight markets increased by 44% year-on-year. It is expected that the company will still focus on the eight markets and deepen and penetrate the core markets in 2022.
22q1 epidemic causes sales pressure, and the increase of expenses affects the net profit. Due to repeated outbreaks in East China and sporadic outbreaks in other regions in the first quarter of 22 years, the company’s revenue was slightly affected. During the peak season of the Spring Festival, cooperation with China’s ice and snow and other activities increased the sales expenses. The sales expenses of 22q1 were 410 million yuan, a year-on-year increase of 52.8%. The Sichuan Swellfun Co.Ltd(600779) Cup tennis tournament will continue in 2022 and is expected to cover 16 cities nationwide (9 cities in 2021). Last year, the company launched an employee stock ownership plan, which is expected to pay 21.23 million yuan in 22 years, which is also expected to slightly affect profits Sichuan Swellfun Co.Ltd(600779) as a national famous liquor, national publicity activities are conducive to further enhance brand strength, and equity incentive is also conducive to future development. If the epidemic situation improves and the consumption scenario is liberalized, the company will continue to grow and successfully achieve the goal of increasing annual revenue and profit by 15%.
Benefiting from the upswing of the secondary high-end boom, we maintained the “overweight” rating. Combined with the company’s performance plan and the new 24-year profit forecast, it is estimated that the company’s operating revenue in 22-24 years will be 54.04/66.87/8.020 billion yuan respectively, the net profit attributable to the parent company will be 14.25/18.16/2.242 billion yuan respectively, and the EPS will be 2.92/3.72/4.59 yuan respectively. The current stock price corresponds to 22.46x/17.62x/14.27x PE in 22-24 years, maintaining the “overweight” rating.
Risk tip: the epidemic situation is repeated, the competition in the secondary high-end price belt is intensified, the product iteration is less than expected, and the effect of channel reform is less than expected
