\u3000\u30 Shaanxi Zhongtian Rocket Technology Co.Ltd(003009) 11 Zhejiang Entive Smart Kitchen Appliance Co.Ltd(300911) )
Event:
On April 27, 2022, Zhejiang Entive Smart Kitchen Appliance Co.Ltd(300911) released the first quarterly report of 2022. In 2022q1, the company realized an operating revenue of 247 million yuan (+ 63.08%); The net profit attributable to the parent company was 45 million yuan (+ 51.48%).
Key investment points:
The main business volume and price of integrated stoves have risen simultaneously, and the growth rate of Online + offline is beautiful. According to the data of Aowei cloud, in 2022q1, the company sold 12800 integrated stoves (+ 132%), with a sales volume of 143 million yuan (+ 165%), mainly due to the improvement of product structure, intelligence and high-end performance. 1) Online: the sales volume is 12500 units (+ 130%), the sales volume is 139 million yuan (+ 164%), the growth rate is significantly better than that of the industry (sales volume / + 24% respectively), and the average price is 11157 yuan (+ 14%); 2) Offline: the sales volume is 0300 units (+ 210%), the sales volume is 04 million yuan (+ 267%), and the growth is bright under the low base, with an average price of 12599 yuan (+ 18%).
Profitability is under pressure in the short term, and the management expense ratio has increased significantly. 1) Gross profit margin: the gross profit margin of 2022q1 company is 43.65% (-0.66pct), which is mainly due to the high price of bulk commodities and raw materials. It is expected that the product structure will continue to improve and increase the gross profit margin in the future; 2) Net profit margin: in 2022q1, the net profit margin of the company was 18.07% (-1.38pct), with a decrease greater than the gross profit margin, mainly due to the increase in the rate of administrative expenses. The company's sales, management and R & D expense rates were 18.58% / 4.40% / 3.64% respectively, with a year-on-year increase of -0.52 / + 3.38 / - 0.44pct respectively.
Steadily promote new products and education for consumers. 1) Product side: the product power has been continuously improved and breakthroughs have been made in the field of intelligence. In April, a new s8m steaming and baking independent integrated stove was launched, which is equipped with tmall genie aligenie system to realize voice interaction; In March, d2zk integrated stove for steaming and baking ranked first in tmall's "hot selling list of integrated stoves" for 16 consecutive days; 2) Marketing side: use wechat official account and other platforms for category education to improve consumers' awareness of new categories such as integrated stoves, integrated sinks and dishwashers, which is expected to promote the growth of the industry and benefit enterprises for a long time; New platforms such as Tiktok launched scene based marketing, and the highest number of likes for a single video on the official account of 2022q1 was 25000 +.
The integrated stove industry is booming, the products are steadily promoted, and attention is paid to consumer education. The company's revenue has increased sharply, the performance has exceeded expectations, and the "buy" rating is maintained. With the release of positive signals from the real estate industry in 2022 and the improvement of the scenery of integrated stoves, the company is expected to continue to benefit. With the intelligent upgrading of products, the sales performance of "popular models" is excellent, the consumer education is deepening, the company's performance may continue to increase, and maintain the "buy" rating. We predict that from 2022 to 2024, the net profit attributable to the parent company will be RMB 288 / 376 / 511 million, the corresponding EPS will be RMB 2.66/3.48/4.73, and the corresponding PE of the current stock price will be 22.56/17.27/12.71.
Risk tips: repeated covid-19 epidemic, price fluctuation of main raw materials, less than expected expansion of new business, intensified market competition, less than expected development of new channels, etc.
