\u3000\u3 Shengda Resources Co.Ltd(000603) 180 Goldenhome Living Co.Ltd(603180) )
The company released the first quarter report of 2022: 22q1 achieved operating revenue of 569 million yuan (+ 17.24%), net profit attributable to parent company of 30 million yuan (- 31.16%), net profit attributable to non parent company of 13 million yuan (+ 30.37%), revenue and non deduction profit exceeded expectations, and the pressure on profit attributable to parent company was mainly due to the dislocation of government subsidies.
Retail reform and category integration accelerated. Relying on front-end brand Upgrading & rapid channel expansion, back-end supply chain empowerment & digital transformation, the company added 569 and 100 stores in 21 years and 22q1, realizing the steady growth of cabinets and the high growth of wardrobe and wooden doors. At the same time, the integrated development of bathroom balcony, smart home, kitchen appliances and household products is expected to maintain more than 500 stores in 22 years. 22q1 achieved retail revenue of 329 million yuan (+ 9.66%), gross profit margin of 37.49% (+ 3.23pct), and promoted retail reform through rotating president and platform office, accelerated the integration of front-end product R & D and design, encrypted terminal market, cabinet, clothing and wood integration, and accelerated the development of large home.
1) cabinet: 22q1 achieved revenue of 382 million yuan (+ 7.90%) and gross profit margin of 29.40% (+ 1.78pct), mainly due to the steady expansion of retail channels and the growth of bulk commodities; As of 22q1, there were 1736 gold medal cabinet stores (+ 16).
2) wardrobe: 22q1 achieved a revenue of 152 million yuan (+ 32.12%) and a gross profit margin of 28.90% (+ 1.72 PCT), mainly because the company launched platform offices to strengthen the layout of core cities and the integration of categories; As of 22q1, there were 953 gold medal wardrobe stores (+ 34).
3) wooden doors: 22q1 achieved a revenue of 17 million yuan (+ 107.90%) and a gross profit margin of 5.17% (+ 4.64pct), mainly due to the company's strengthening of category coordination and the rapid growth of wooden doors driven by modular sales; As of 22q1, there were 431 gold medal wooden door stores (+ 43).
Bulk focus on high-quality real estate developers, ready to go. 1) Bulk: 22q1 achieved revenue of 178 million yuan (+ 27.94%) and gross profit margin of 12.08% (+ 0.27pct). The company relies on the agent model to expand rapidly and reduce business risks. 2) It is estimated that the number of consolidation stores will be increased to 42 through joint operation with the distribution company in the next 22 years. 3) Overseas: 22q1 achieved a revenue of 43 million yuan (+ 14.29%) and a gross profit margin of 27.78% (+ 2.17pct), mainly benefiting from the implementation of overseas production bases, RTA channel expansion and engineering projects.
Profit recovery and strengthen marketing investment. 22q1 gross profit margin is 29.93% (+ 1.88pct), net profit attributable to parent company is 5.32% (- 3.74pct), period expense rate is 27.51% (+ 1.97pct), among which sales expense rate is 14.67% (+ 1.73pct), management expense rate is 6.71% (+ 0.45pct), financial expense rate is -0.32% (- 0.32pct), and R & D expense rate is 6.44% (+ 0.11pct); Profit recovery is mainly due to the price increase of the company in response to the price increase of raw materials and the appearance of scale effect.
Increased stock, cash flow under pressure. In 2022, Q1's net operating cash flow was - 504 million yuan (- 68.10%), 22q1's accounts receivable and bills were 197 million yuan (+ 40.71%), and the turnover days were 17.25 days (+ 5.96 days); The inventory is 537 million yuan (+ 63.13%), and the turnover days are 113.87 days (+ 32.81 days).
Investment suggestions: multi category & multi-channel construction is smooth, management empowerment and retail reform are strengthened, channels are expanded rapidly & category integration is accelerated, and the CAGR of stock option incentive net profit growth target in 22-23 years is 20%. The net profit attributable to the parent company in 202224 is RMB 410 / 500 / 600 million (+ 22.5% / 21.4% / 19.6%), and the corresponding PE is 10.4x/8.6x/7.2x respectively.
Risk tip: repeated outbreaks and unexpected decline in real estate.
