\u3000\u30 Shaanxi Zhongtian Rocket Technology Co.Ltd(003009) 79 Huali Industrial Group Company Limited(300979) )
After deducting the impact of exchange rate, the income and net profit attributable to parent company of 22q1 were lower than expected by + 14% and + 15% year-on-year respectively
The company released the first quarterly report of 2022, realizing an operating revenue of 4.124 billion yuan, a year-on-year increase of 11.39%, a net profit attributable to the parent of 648 million yuan, a year-on-year increase of 12.40%, and a deduction of 638 million yuan of non net profit, a year-on-year increase of 10.24%. EPS is 0.56 yuan.
Excluding the impact of exchange rate, the company’s 22q1 operating revenue increased by 14.13% year-on-year, and the net profit attributable to the parent company increased by 15.16% year-on-year; Compared with the year-on-year increase of 34% in 21 years, the revenue growth rate in the first quarter of 22 years slowed down and was lower than expected, mainly because the attendance of employees in Vietnamese factories was adversely affected under the background of the epidemic at the beginning of the year, resulting in lower output than expected, but the attendance of employees has gradually returned to normal since March.
The net interest rate attributable to the parent company in 22q1 was 15.72%, which remained basically stable compared with 15.58% and 15.84% in 21q1 and the whole year of 21.
The revenue of the top five customers accounted for 91.65%, and the share continued to increase
In terms of component price, 22q1 company sold 511368 million pairs of sports shoes, a year-on-year increase of 7.09%; It is estimated that the unit price of the US dollar will also increase by about 7%.
In terms of brand customers, the revenue of the top five customers accounted for 39%, 21%, 16%, 11% and 5% respectively, accounting for 91.65% in total, with a year-on-year increase of about 17%, higher than the overall revenue growth of the company, and the revenue of the top five customers further increased.
The gross profit margin and expense rate decreased, and the net cash flow from operations decreased year-on-year
Gross profit margin: the gross profit margin of 22q1 decreased by 3.70pct year-on-year to 25.65%. Under comparable standards, it decreased by 2.72pct year-on-year in 21q1 and 1.23pct month on month in 21q4, mainly due to the fact that the efficiency of new factories was still climbing in the first quarter and the decline in output caused by the impact of the epidemic in Vietnam on staff attendance at the beginning of the year.
Expense rate: during the period, the expense rate decreased by 1.77pct to 5.42% year-on-year, of which the expense rates of sales, management, R & D and finance were 0.47%, 3.73%, 1.48% and – 0.26% respectively, with year-on-year -1.01, – 0.10, – 0.08 and – 0.58pct respectively.
Income tax expenses decreased by 16.42% year-on-year to 164 million yuan; Net operating cash flow decreased by 11.51% year-on-year to 377 million yuan.
The long-term advantages remain unchanged and we look forward to going through twists and turns and growing steadily
The performance in the first quarter of 22 was lower than expected, but the impact of the epidemic in Vietnam was phased. Considering that the advantages of the company’s scale, production technology and customers have not changed, the subsequent company will catch up with the delayed orders in the first quarter through capacity adjustment, and the continuous and steady growth of the whole year can still be expected. We maintain the company’s EPS of 2.97, 3.62 and 4.34 yuan in 22-24 years, corresponding to 23 times and 19 times of PE in 22 and 23 years respectively, maintaining the “buy” rating.
Risk warning: the impact of the epidemic abroad exceeds expectations and affects the company’s demand and commencement at the same time; Rising labor costs; Rising prices of raw materials or transportation costs; The exchange rate fluctuated sharply.
