\u3000\u3 Shengda Resources Co.Ltd(000603) 027 Qianhe Condiment And Food Co.Ltd(603027) )
Event: the company released the annual report of 2021 and the report of the first quarter of 2022. In 2021, the company achieved a revenue of 1.925 billion yuan, a year-on-year increase of 13.7%; The net profit attributable to the parent company was 221 million yuan, a year-on-year increase of 7.6%. Among them, 21q4 achieved a revenue of 570 million yuan, a year-on-year increase of 21.0%; The net profit attributable to the parent company was 89 million yuan, a year-on-year increase of 594.2%. 22q1 company achieved a revenue of 482 million yuan, a year-on-year increase of 0.9%; The net profit attributable to the parent company was 55 million yuan, a year-on-year increase of 38.5%.
Comments:
The revenue growth of 21q4 was higher than expected, and the revenue growth of 22q1 was lower than expected. 21q4's revenue growth exceeded expectations, mainly due to factors such as spring festival goods preparation. Due to the impact of the epidemic on logistics delivery and the poor performance of commercial supermarket channels, the revenue growth of 22q1 was low. By product, the revenue growth of 22q1 soy sauce / vinegar was - 1.32% / 2.56% year-on-year respectively. In terms of regions, the revenue growth of 22q1 Eastern / Southern / central / northern / western regions was - 8.02% / - 3.09% / 12.64% / 15.72% / 0.98% respectively. The revenue of eastern and southern regions fell year-on-year due to the impact of the epidemic. By the end of the first quarter of 2022, the number of dealers of the company was 1899, a net increase of 102 compared with the beginning of the period.
22q1 reduced cost input, alleviated the pressure of raw material price rise, and the net interest rate improved year-on-year. 22q1's gross profit margin was 35.0%, down 8.4 percentage points year-on-year, mainly due to the rise in the price of raw materials such as soybeans and the increase in transportation costs. The sales expense ratio of 22q1 was 15.1%, down 10.6 percentage points year-on-year, mainly due to the company's reduction in advertising and publicity expenses, as well as measures to reduce the cost ratio and improve human efficiency. 22q1 gross sales difference was 19.9%, with a year-on-year increase of 2.3 percentage points. 22q1 management expense ratio was 3.3%, with a year-on-year increase of 0.1%. The R & D expense rate of 22q1 was 2.6%, a year-on-year decrease of 0.4%. 22q1 net interest rate was 11.5%, with a year-on-year increase of 3.1 percentage points, which was improved year-on-year.
Profit forecast and investment rating: the company's equity incentive will be implemented in 2022, which will improve the enthusiasm of employees and stabilize the personnel team. Constant growth has helped expand production capacity and continued to promote nationalization. With the gradual implementation of the price increase policy, we expect the gross profit margin of the company to improve month on month. We expect that the company's EPS in 22-24 years will be 0.40/0.50/0.63 yuan respectively, and the corresponding PE will be 45.76/35.95/28.79 times respectively, maintaining the "buy" rating.
Risk factors: increased competition risk; The price rise of raw materials exceeded expectations; Food safety risks.
