\u3000\u30 Shaanxi Zhongtian Rocket Technology Co.Ltd(003009) 57 Yunnan Botanee Bio-Technology Group Co.Ltd(300957) )
Event:
On April 27, the company released the first quarterly report of 2022: 22q1 revenue was 809 million yuan, a year-on-year increase of + 59.32%; The net profit attributable to the parent company was 146 million yuan, a year-on-year increase of + 85.74%; Deduct 124 million yuan of net profit not attributable to the parent company, a year-on-year increase of + 61.82%; The gross profit was 630 million yuan, a year-on-year increase of + 58.65%; The basic earnings per share was 0.34 yuan, a year-on-year increase of + 54.55%.
Brief comment:
Under the pressure of the epidemic, the performance was brilliant, and the revenue and profit maintained high-quality growth. The rapid growth of revenue is mainly due to the continuous improvement of the voice of the main brand of “Winona”, the acceleration of the innovation of products, and the rapid growth of sales scale and revenue. The company’s offline based and online based collaborative development, online multi platform global operation, tmall platform maintained a relatively steady growth, and content media platforms such as Tiktok Kwai rose rapidly. The company has launched a series of marketing activities on the online platform dominated by tmall, constantly expanding new ones, and the major platforms have achieved better performance. By the end of 21 years, the company had settled in more than 4000 Watson stores offline, covering more than 20000 OTC pharmacies, and opened Shanghai Lingkong experience center, the first brand image store in Hangzhou Yintai. The channel layout of the company is perfect, with online self-management accounting for the largest proportion. In 21 years, the self-management income is 2.5 billion (year-on-year + 53%, accounting for 63%), and the distribution and sales income is 1.5 billion (year-on-year + 54%, accounting for 37%). Among them, the revenue of Alibaba (tmall, etc.) platform accounted for 45%, year-on-year + 46%, and the growth rate of JD platform “Winona” exceeded 30%. The gross profit margin remained stable and continued to increase R & D investment. 1) Gross profit margin: 22q1 gross profit margin 77.82% / -0.32pct, basically the same as the same period of last year. 2) Expense ratio: the sales expense ratio of 22q1 is 48.02% / + 2.10pct, a slight increase over the same period of last year, which is mainly due to the company’s continuous investment in brand image promotion and publicity expenses and marketing personnel salary expenses; The management fee rate was 7.58% / -0.41pct, a slight decrease over the same period last year; The R & D expense ratio was 3.83% / -0.67pct, basically the same as that of the same period of last year. 3) Net interest rate attributable to parent company: net interest rate attributable to parent company of 22q1 was 18.06% / + 2.57pct, which was significantly higher than that of the same period last year, due to the increase of the company’s revenue and total profit. The product matrix is constantly enriched and multi brands continue to make efforts. Product: Shumin moisturizing special cream is a star product of Winona, accounting for a high proportion of the company’s main business income. It has occupied the top 1 of tmall face cream hot sales list in March for 15 consecutive days; The company has launched a new light skin bottle, a transparent and white spot essence, a spot essence liquid throwing, etc. Brand: Winona aims at sensitive skin care with clear positioning, and the differentiated positioning of sub line brands expands the track of strong effect skin care, anti-aging, whitening and sunscreen for infants and young children. In 2022, the company will focus on building high-end anti-aging brand aoxmed, develop functional food business and expand the territory of skin health. Channel: the channel layout is perfect, and the diversified operation of online public and private domains has achieved remarkable results. Online self operation accounts for the largest proportion, and the online platform dominated by tmall carries out a variety of marketing activities to improve product exposure; At the same time, explore private domain marketing methods to promote the development of private domain operation. Offline OTC channels are steady and large-scale, and the layout of CS and other channels across the country is advancing in an orderly manner. Marketing: all-round and efficient marketing, with star endorsement, to stimulate the fan economy.
Investment advice
It is estimated that from 2022 to 2024, the company will realize an operating revenue of RMB 5.598 billion, 7.496 billion and 9.675 billion, with a year-on-year increase of 39.2%, 33.9% and 29.1%, corresponding to the net profit attributable to the parent company of RMB 1.106 billion, 1.420 billion and 1.759 billion, with a year-on-year increase of 28.2%, 28.4% and 23.9% respectively, corresponding to EPS of RMB 2.61, 3.35 and 4.15 respectively, and the pre corresponding share price PE of 75.19, 58.57 and 47.29 times respectively Yunnan Botanee Bio-Technology Group Co.Ltd(300957) focuses on sensitive skin care, with significant track dividends. Compared with ordinary cosmetics, the growth rate is faster and the user stickiness is higher. The company’s large single products have formed a strong brand awareness in the hearts of consumers. With the further improvement of the company’s product matrix, the future growth can be expected to maintain the “buy” rating.
Risk tips
Risk of single product category structure; Risk of new product sales falling short of expectations; The risk of intensified industry competition; Risk of rising cost of online sales; Risk of recurrent outbreaks; Core technical personnel turnover risk.
