\u3000\u3 Shengda Resources Co.Ltd(000603) 883 Lbx Pharmacy Chain Joint Stock Company(603883) )
Event: on April 28, 2022, the company issued the annual report of 2021 and the first quarter report of 2022. In 2021, the company realized revenue and net profit attributable to parent company after deduction of non-profit of 15.696 billion yuan (+ 12.38%) and 572 million yuan (+ 5.04%) respectively; In 2022q1, the company realized revenue and net profit attributable to the parent company after deducting non-profit of 4.141 billion yuan (+ 13.81%) and 216 million yuan (+ 12.75%) respectively.
In 2022q1, the net profit attributable to the parent company increased by 12.75% year-on-year, and the performance growth improved month on month. In 2021, the company achieved revenue and net profit attributable to the parent company after deduction of non parent company of 15.696 billion yuan and 572 million yuan respectively, with a year-on-year increase of 12.38% and 5.72% respectively. The slowdown of profit side growth is mainly due to the repeated impact of the epidemic on the growth of store customer flow.
In 2022q1, the company realized revenue and net profit attributable to the parent company after deduction of non-profit of 4.141 billion yuan and 216 million yuan respectively, with a year-on-year increase of 13.81% and 12.75% respectively. Among them, the revenue from January to March 2022 increased by 8.23%, 13.13% and 20.62% respectively year-on-year. In 2022q1, the passenger flow of stores gradually recovered, and the performance growth rate improved significantly month on month.
The company has sufficient capital reserves to help the store expand continuously and rapidly
In terms of capital reserve, in February 2022, the company successfully completed the non-public offering of A-Shares and raised a full amount of 1.74 billion yuan, completing the largest equity financing in the history of the company. As of 2022q1, the monetary capital of the company has reached 2.393 billion yuan, and the funds on the account are sufficient at present. In terms of store expansion, the company has achieved rapid store expansion through “self construction + M & A + franchise”. As of 2022q1, the company has 8612 stores and 359 new stores. Among them, in March 2022, the company acquired 71.96% equity of Hunan Huairen dahealth with RMB 1.637 billion to strengthen the layout of stores in Hunan.
Thanks to the adjustment of sales product structure, the gross profit margin continued to improve in 2021 and 2022q1
In 2021 and 2022q1, the overall gross profit margin of the company was 32.13% and 34.32% respectively, with a year-on-year increase of 0.07% and 0.82% respectively. The continuous improvement of the company’s gross profit margin is mainly due to the adjustment of sales commodity structure, and the proportion of sales of epidemic prevention commodities with low gross profit has decreased.
Investment suggestion: it is estimated that the net profit of the company from 2022 to 2024 will be 789 million yuan, 955 million yuan and 1168 million yuan respectively, with a year-on-year increase of 17.8%, 21.0% and 22.3% respectively, and the investment rating of Buy-A is given.
Risk warning: store expansion is less than expected; The outflow of prescription drugs was less than expected; The risk of intensified industry competition;
