\u3000\u3000 Yanker Shop Food Co.Ltd(002847) (002847)
The third quarter report improved month on month, and the profit turned from loss to profit
The company’s 2021q1-q3 revenue was 1.63 billion yuan, an increase of 13.5% at the same time; The net profit attributable to the parent company was 77 million yuan, with a decrease of 59%. The revenue of 2021q3 was 564 million yuan, an increase of 15.3%; The net profit attributable to the parent company was 29 million yuan, with a decrease of 51%. Revenue turned positive month on month growth compared with 2021q2, and net profit attributable to parent company turned loss into profit month on month comparison with 2021q2. The improvement in the third quarter was due to the following reasons: 1) the influencing factors of community group purchase were further weakened; 2) The company started to promote new products and cut down old products in the second quarter, with good sales; 3) Reduce costs and improve business efficiency by optimizing cost allocation and adjusting channel strategies.
Adjust the equity incentive target, and the revenue growth is expected to accelerate in 2022
The company issued an announcement on January 3, 2022, reducing the equity incentive target from 2022 to 2023, and maintaining the growth requirements of revenue and non net profit deduction in 2021. Specific adjustments are as follows: compared with 2020, from now on, the revenue growth rate of no less than 62% in 2022 will be reduced to 38%, the net profit deduction growth rate of no less than 101% will be reduced to 31%, the revenue growth rate of no less than 104% in 2023 will be reduced to 66%, and the net profit deduction growth rate of no less than 186% will be reduced to 101%. That is, based on the revenue of RMB 1.959 billion and non net profit of RMB 189 million in 2020, it is required that the revenue of RMB 2.703 billion and non net profit of RMB 248 million in 2022 and the revenue of RMB 3.252 billion and non net profit of RMB 380 million in 2023.
We believe that the company, in combination with the current changes in the external objective environment and the actual situation of the company, fully mobilize the enthusiasm of the management personnel, establish and improve the company’s long-term incentive mechanism, and make rational adjustment expectations after objective thinking and research, which is conducive to the follow-up work of the company.
Actively adjust and respond to environmental changes, and good results are expected in 2022
At present, the products sold by the company mainly include: ” Yanker Shop Food Co.Ltd(002847) ” series of salty leisure snacks (deep-sea snacks, leisure bean products, candied fried goods, leisure vegetarian, leisure meat and fish products, etc.) and “Mr. Bean” series of leisure baked snacks (cake, bread, potato chips, ShaQima, jelly pudding, candy chocolate biscuits, etc.). Since 2020, the company’s medium and long-term strategy has been upgraded to “two more and three complete”, that is, “multi brand, multi category, all channel, all industry chain and (future) globalization”. The company’s products have entered 2988 stores of 36 large chain supermarkets, covering multinational super large chain supermarkets such as Wal Mart, Carrefour, Metro and RT mart, as well as China Resources Vanguard, Better Life Commercial Chain Share Co.Ltd(002251) , Carrefour, Renrenle Commercial Group Co.Ltd(002336) , Tianhong Department store and other well-known chain supermarkets in China; It has more than 1206 dealers, covering 31 provinces, autonomous regions and municipalities directly under the central government.
2021h1 company actively carried out business transformation and adjustment in the post epidemic era, and actively responded to the channel changes brought by community group purchase: first, actively tried the cost investment methods and efficiency of various supermarket channels, accurately adjusted the investment direction and level of supermarket middle island, and accelerated the sinking of channels; Second, vigorously tap the potential of the supply chain, focus on core categories (market segments have volume, growth space, no monopoly, and the company has advantages), and mainly promote spicy brine and deep-sea snacks (such as cod tofu, COD sausage, etc.); Third, increase R & D efforts, polish product strength, coordinate the development of bulk weighing products with quantitative loading products, and cover all channels with different product combinations. At present, the company’s revenue from quantitative packaging products accounts for nearly 20%. At present, there are more than 300 fixed quantity merchants, which will enter the convenience store system, husband and wife stores, snack stores and campus stores, mainly covering the main urban areas of the third tier cities and the first and second tier cities.
Profit forecast
After 2021h1 adjustment, we believe that the company is on the right path. We are optimistic about the company’s reform in products and channels. We expect that the company’s EPS from 2021 to 2023 will be 1.32/2.26/3.24 yuan, and the current share price corresponding to PE will be 61 / 36 / 25 times respectively. It will be covered for the first time and given a “recommended” investment rating.
Risk tips
Macroeconomic downside risk, epidemic drag on consumption, new product promotion is less than expected, raw material rise risk, business overload passenger flow reduction, etc.
