\u3000\u3 Shengda Resources Co.Ltd(000603) 801 Zbom Home Collection Co.Ltd(603801) )
Event 1: the company issued the 2021 annual report. In 2021, the company's revenue was 5.153 billion yuan, an increase of 34.17% at the same time, and the net profit attributable to the parent company was 506 million yuan, an increase of 27.84% at the same time, and the deduction of non net profit was 460 million yuan, an increase of 28.25% at the same time. In a single quarter, Q4's revenue was 1.831 billion yuan, an increase of 24.69% at the same time; The net profit attributable to the parent company was 205 million yuan, an increase of 3.92%, and the deduction of non net profit was 170 million yuan, a year-on-year increase of - 1.63%. In 2021, the company made a total provision for asset impairment of 55.02 million yuan, including asset impairment loss of 43.33 million yuan and credit impairment loss of 11.69 million yuan.
Event 2: the company released the first quarterly report of 2022. In 2022q1, the company's revenue was 759 million yuan, an increase of 11.17%, and the net profit attributable to the parent company was 51 million yuan, an increase of 1.37%.
Provision for impairment, cost pressure and changes in business structure affect short-term profits, and the scale effect of wardrobe continues to appear. 1) In terms of profitability, the company achieved a gross profit margin of 36.24% (-1.83pct.) in 2021, The net interest rate attributable to the parent company is 9.81% (-0.49pct.), The gross profit margins of 21q4 and 22q1 were 36.05% (- 2.33pct.) and 35.08%（-1.40pct.）， The net interest rate attributable to the parent company is 11.20% (- 2.29 PCT.) and 6.76%（-0.65pct.）， Mainly due to the impact of impairment, changes in business structure and fluctuations in raw materials. By category, the gross profit margin of cabinets in 2021 is 40.5% (- 1.34pct.), The gross profit margin of wardrobe is 34.43% (+ 1.03pct.), Wardrobe scale effect is expected to continue to release. 2) In terms of period expenses, the sales expense rate in 2021 is 14.66% (-0.27pct.); The rate of administrative expenses (including R & D expenses) is 9.96% (- 1.28pct.), The R & D expense rate is 5.46% (-0.42 PCT.); Financial expense rate -22pct.0%.
With the expansion of the whole category, the competitiveness of retail channels has been improved, and the customer structure of bulk channels has been optimized. 1) By channel: the company's distribution channel revenue in 2021 was 2.830 billion yuan, an increase of 26.9% at the same time. The revenue in 21q4 and 22q1 were 880 million and 499 million respectively, an increase of 17% and 12% at the same time; The revenue from self operated channels was 323 million yuan, an increase of 39.01% at the same time. The revenue from 21q4 and 22q1 was 100 million and 74 million respectively, an increase of 13% and 26% at the same time; The revenue of bulk channels was 1.651 billion yuan, an increase of 40.59%, and the revenue of 21q4 and 22q1 were 720 million and 128 million respectively, an increase of 26% and a decrease of 1.5%. The company continues to make efforts in product design and exhibition hall iteration to empower dealers, and the retail channel will achieve high growth in 2021; The bulk business focuses on the optimization of customer structure. By the end of 2021, the top 100 customers accounted for 34%. 2) By category: in 2021, the company's kitchen cabinet achieved a revenue of 2.934 billion yuan, an increase of 17.43% at the same time, and the revenue of 21q4 and 22q1 was 1.06 billion and 365 million respectively, an increase of 8.9% and 1.3% at the same time; The customized revenue of the whole house was 1.76 billion yuan, an increase of 54.25% at the same time. The revenue of 21q4 and 22q1 were 570 million and 330 million respectively, an increase of 38.5% and 19.7% at the same time; The revenue of wooden door was 169 million yuan, an increase of 162.49% at the same time. The revenue of 21q4 and 22q1 were 90 million and 20 million respectively. In 2021, Mumen focused on developing engineering channels, signed 13 real estate strategic contracts, and signed batch projects with a contract amount of more than 100 million yuan.
The pace of opening the store is steady, and further promote the development of the whole packaging business and the whole category in 2022. By the end of 2021, the company had a total of 3742 stores, with a net increase of 510, including 1691 overall kitchen cabinet stores (+ 115); 1619 customized wardrobe stores (+ 195), with a steady pace of opening. In 2021, the company reorganized the whole decoration channel team, optimized the structure of bulk customers, opened multiple categories, shared multi-channel resources, and enriched the customized household categories of the whole house. Looking forward to 2022, the company will further enhance the strategic position of the whole decoration business, return to the product competitiveness, carry out integrated planning and development in the mode of the whole family and all categories, and further promote the growth of wooden door wallboards and categories.
Investment suggestion: the company's kitchen cabinets, wardrobe and wooden doors are formed into a multi category product matrix, and the customization of the whole house opens the second growth curve, and the category synergy promotes the growth. We expect the company to achieve revenue of 6.262 billion yuan, 7.556 billion yuan and 9.091 billion yuan from 2022 to 2024, with a year-on-year increase of 21.52%, 20.67% and 20.32% respectively; The net profit attributable to the parent company was RMB 612 million, RMB 736 million and RMB 886 million (the profit was under short-term pressure, and the profit forecast was lowered. The previous forecast value from 2022 to 2023 was RMB 622 million and RMB 747 million), with a year-on-year increase of 21.11%, 20.21% and 20.41%. The corresponding EPS is 1.96, 2.36 and 2.84 yuan, maintaining the "buy" rating.
Risk tip: the risk of decline in the prosperity of real estate, the risk of upward rise in the cost of raw materials, and the risk of decline in the average profit margin of the industry caused by intensified competition.
