\u3000\u3000 Comefly Outdoor Co.Ltd(603908) (603908)
The company plans to change the investment project of raised funds, and the new project is the integration of intelligent assembly and warehousing
On January 8, the company issued the announcement of changing the raised investment project, and invested the balance of the special account of the original project “Omni channel marketing network construction project” (171 million yuan) into the new project “intelligent assembly and warehousing integration project” (with an estimated total investment of 210 million yuan). The new project is expected to start in March 2022. The construction period is two years, divided into two phases, and put into operation in December 2024.
The construction period of phase I of the new project is one year, with an investment of 140 million yuan. The intelligent assembly production line, intelligent storage equipment and facilities and CMMS equipment management system are purchased to realize equipment AI management and operation and maintenance. A 4-storey plant with a construction area of 44800 square meters will be built; 65.8483 million yuan will be invested in phase II, and a 4-storey plant will be built with a construction surface of 21400 square meters and a construction period of one year;
The main reasons for this change are: (1) the normalization of epidemic prevention and control prolongs the transition period of the implementation of the original project and affects the efficiency of fund use; (2) Change the fund-raising investment projects with slow efficiency to invest in the “intelligent assembly and warehousing integration project” to meet the new demand for storage area caused by business growth.
Specifically, on the one hand, it is expected that the normalization of epidemic prevention and control will continue in 2022. In order to ensure the benefits of the project, the company will continue to implement a prudent offline store opening strategy. If the implementation transition period of the original project is continued to be extended, the use efficiency of raised funds will be reduced;
On the other hand, camping equipment and peripheral products are larger and more diverse than shoes and clothing products, requiring more storage space and more complex packaging. Therefore, since 2021, the company has leased 24100 square meters of warehouse, and the newly leased area has increased by 60% compared with the leased area at the beginning of 2020 (at the beginning of 2020, the company leased 15000 square meters of warehouse, which will not be renewed at the end of 2021).
With the rapid growth of the company’s business, the storage bottleneck began to appear. At present, the company’s single-layer warehouse in Quzhou is mainly used for raw material storage and supporting production. At present, all the finished product warehouses of brand business are leased to the outside. According to the business growth and planning of the company, it is estimated that 30000 m2 of storage demand will be added in the next five years.
The rental expenses of the leased warehouse will devour part of the company’s profits; At the same time, Quzhou’s suitable storage area for the company is small, which is not conducive to rapid response. Therefore, the investment in the “intelligent assembly and warehousing integration project”, which is about to start, can improve the level of automatic packaging and intelligent warehousing, improve business supporting and support capacity, reduce multiple leased warehouses, and reduce the difficulty of warehouse rent and logistics management.
China’s outdoor products market has great incremental potential, and the growth of European and American markets is stable to ensure the growth space of export sales
The penetration rate of outdoor activities in China is far lower than that in developed countries. However, with the continuous growth of national income and health awareness, there is more room for the increase of outdoor activity participants in the future, and the incremental potential of outdoor products demand market is large. According to reportlinker data, it is estimated that the market scale of camping equipment in China will reach US $15.9 billion in 2027, CAGR + 9.1%. China’s industrial policies continue to increase, laying a good foundation for China’s outdoor industry to enter a new growth channel, popularizing and promoting outdoor sports such as ice and snow, mountain outdoor and aviation, building and improving relevant facilities, expanding the supply of sports tourism products and services, and laying a solid foundation for China’s outdoor industry to enter a new growth channel.
Maintain profit forecast and buy rating. The company is deeply engaged in outdoor camping track, with high prosperity and large long-term growth space; The national industrial policy continues to increase and consolidate the growth foundation; The continuous high growth of camping heat drives the continuous growth of the company’s demand for camping and peripheral products. The new project Intelligent Assembly warehouse effectively improves the business supporting and support capacity. We expect that the revenue in 22-23 years will be 1.19 billion and 1.44 billion respectively, the net profit attributable to the parent company will be 120 million and 160 million respectively, the corresponding EPS will be 1.8 and 2.4 yuan / share respectively, and the PE will be 24 and 19x respectively.
Risk tips: market risk analysis and control measures, risk of raw material price fluctuation, management risk analysis and control measures, product and technology backwardness risk and control measures, etc.
