\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 655 Shanghai Yuyuan Tourist Mart (Group) Co.Ltd(600655) )
The company’s 2022q1 revenue was 12.238 billion yuan (+ 12.0%), and the net profit attributable to the parent company was 334 million yuan (- 42.2%)
The company released its first quarterly report: in 2022q1, it achieved a revenue of 12.238 billion yuan (+ 12.0%) and a net profit attributable to the parent company of 334 million yuan (- 42.2%). The revenue grew steadily, and the profit fell due to factors such as exchange loss and settlement cycle of production and development business. We believe that the company’s jewelry sector is growing steadily, and the two wheel drive of “industrial operation + industrial investment” is superimposed on the top of “Oriental life aesthetics”, which is expected to promote the deepening layout of emerging consumer tracks. We maintain the previous profit forecast unchanged. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be RMB 4.321/48.52/5.438 billion, corresponding to EPS of RMB 1.11/1.25/1.40, and the current share price corresponding to PE of 8.1/7.2/6.4 times, maintaining the “buy” rating.
Jewelry fashion business grew brightly, and the net interest rate fell due to the impact of exchange rate, epidemic and other factors
The jewelry fashion business of 2022q1 company achieved a revenue of 8.941 billion yuan (+ 27.3%), with a good growth; The gross profit margin was 8.35%, with a year-on-year increase of 0.14pct. At the end of the reporting period, the number of jewelry stores has increased rapidly, and the number of jewelry stores has reached 4121. In terms of profitability, the comprehensive gross profit margin of 2022q1 company is 16.5% (- 2.1pct); In terms of expenses, the ratio of sales / management / financial expenses of 2022q1 company was 6.1% / 6.2% / 3.8% respectively, with a year-on-year increase of + 1.1pct / – 0.1pct / + 0.7pct respectively. The net profit margin of 2022q1 company is 3.3% (- 2.3pct), and the profitability fluctuates. We believe that it is mainly affected by the following factors: (1) the company’s assets of Xingye resort in Japan have exchange losses due to the unilateral depreciation of Japanese currency; (2) The property development and sales business declined slightly due to the impact of the settlement cycle; (3) The epidemic prevention and control has incurred additional costs and expenses.
Driven by industrial investment and operation, the construction of family happy consumption industry group has made steady progress
The company continued to promote the layout of new consumption tracks: (1) the revenue of cultural catering sector was 217 million yuan (+ 19.1%), and the company actively expanded its stores based on the chain catering industry; (2) The revenue of food and beverage sector is 706 million yuan (+ 39.4%). The continuous upgrading of ” Jinhui Liquor Co.Ltd(603919) ” product structure drives the high growth of sales performance; (3) The revenue of the beauty and health (cosmetics) sector was 102 million yuan (+ 5.3%), Wei launched a new light extraction and coagulation series, and the science and Innovation Center stably output high-quality new products, highlighting the advantages of product R & D mechanism; (4) The revenue of fashion watch industry was 173 million yuan (+ 17.6%), and Hanchen Watch Group achieved results in integrating the operation of national brands Shanghai watch and seagull watch. In the future, the company will practice the two wheel drive of “industrial operation + industrial investment” and build a moat of high brand value in the field of consumption.
Risk tip: repeated epidemic, intensified competition, acquisition and integration effect is less than expected, etc.
