\u3000\u3 China Vanke Co.Ltd(000002) 572 Suofeiya Home Collection Co.Ltd(002572) )
Event: the company released the first quarterly report of 2022. In 2022q1, the company achieved a revenue of 1.999 billion yuan, an increase of 13.53% at the same time; The net profit attributable to the parent company was 114 million yuan, a decrease of 2.87% at the same time; The non net profit deducted was 106 million yuan, an increase of 5.01% at the same time.
Increase investment in the cultivation period of channel brands and be optimistic about long-term profit restoration. 1) In terms of profitability, 22q1 company achieved a gross profit margin of 31.32% (+ 0.09pct.), The net interest rate attributable to the parent company is 5.73% (-0.97pct.). 2) In terms of period expenses, the sales expense rate of 2022q1 company is 12.18% (+ 1.43pct.), This is mainly due to the increased investment in advertising and publicity and the increase in the salary of sales personnel in this period; The rate of administrative expenses (including R & D) is 10.94% (- 1.59 PCT.); The financial expense rate is 0.84% (+ 0.31pct.). 3) In terms of cash flow, the company's net cash flow from operating activities in the first quarter was -283 million yuan (compared with -661 million yuan in the same period last year). With the adjustment of the company's business structure, the proportion of distribution channel revenue increased, the speed of capital return accelerated, and the cash flow continued to improve. Looking forward to 2022, with the release of scale effect, the promotion of product standardization and the continuous optimization of business structure, profitability is expected to return to normal.
The revenue of retail channels increased by nearly 20%, the contribution of packaging business was prominent, and the bulk channels decreased slightly. 1) Retail channel: the revenue of 22q1 retail channel was 1.65 billion yuan, an increase of about 20%, of which the revenue of distribution channel was 1.59 billion yuan, an increase of more than 20%, accounting for 79.91% (+ 5.43 PCT.); The revenue from the whole packaging channel was 127 million yuan, a significant increase from 39.91 million yuan in the same period last year. After two years of cultivation, the company's whole packaging business has entered the track of rapid development and become a new growth point. Excluding the package and milanna increment, we expect Q1 retail channel to maintain double-digit growth. 2) Bulk channel: the revenue of 22q1 bulk channel is 330 million yuan, accounting for 16.74% (- 3.94 PCT.) of the main revenue, The company continued to optimize the customer structure and explore various engineering projects such as hotels and schools. Under the high base in the same period last year, the bulk channels declined slightly.
Milanna has gradually increased its volume and stabilized the market layout. 1) Wardrobe and its supporting products: as of the end of 22q1, Suofeiya Home Collection Co.Ltd(002572) wardrobe products stores 2571 (- 159). 2) Cabinet: by the end of 22q1, there were 994 (128) cabinet stores and 776 (153) dealers in Simi, promoting independent brand investment, reducing overlap and strengthening dealer management. 3) Milanna: the revenue of milanna in 22q1 is 41 million yuan (the annual revenue in 2021 is 100 million). Since independent investment promotion in 2021, milanna has made efforts in all channels. By the end of 22q1, milanna has 397 dealers (+ 37) and 277 specialty stores (+ 65). Milanna will continue to maintain the opening speed of stores in 2022.
The whole customization strategy promotes category extension and opens space for in-depth reform. In December 2021, the company put forward the strategy of "whole family customization", officially launched the overall solution of 7 categories and 8 + 1 space, carried out category extension and brand combination with wardrobe as the entrance, and reconstructed the competitiveness of retail terminals; At the same time, the company continues to improve the category matrix and promote Suofeiya Home Collection Co.Ltd(002572) , Simi, Milana and Huahe in all channels and categories. With the promotion of the company's strategic layout of "all channels, multi brands and all categories", diversified businesses are expected to continue to release new momentum.
Investment suggestion: Suofeiya Home Collection Co.Ltd(002572) as the leader of customized home furnishings in China, the whole decoration channel is gradually in large quantity, and multi brands work together. We are optimistic about the long-term and steady development of the company. We expect the company to achieve operating revenue of 12.010, 13.667 and 15.335 billion yuan in 20222024, with a year-on-year increase of 15.40%, 13.80% and 12.20%, and realize net profit attributable to parent company of 14.04, 16.69 and 1.879 billion yuan, with a year-on-year increase of 104507%, 18.88% and 12.60%, and EPS of 1.54, 1.83 and 2.06 yuan, Maintain the "buy" rating.
Risk tip: new business expansion is less than expected risk, industry competition intensifies risk, cost increase and repeated epidemic risk.
