\u3000\u30 Beijing Zznode Technologies Co.Ltd(003007) 40 Syoung Group Co.Ltd(300740) )
In 2021, the equity incentive target was achieved, and the revenue and profit continued to grow. In the 21st year, the revenue was 5.010 billion yuan, a year-on-year increase of 34.86%, and the net profit attributable to the parent company was 236 million yuan, a year-on-year increase of 68.54%. After deducting the impact of equity incentive share based payment, the net profit was + 81.12% year-on-year; In Q4 of 21 years, the revenue was + 23.59% year-on-year, and the net profit attributable to the parent company was + 32.00% year-on-year; In addition, the revenue in Q1 of 22 years was 1.046 billion, a year-on-year increase of + 27.96%; The net profit attributable to the parent company was 42 million yuan, a year-on-year increase of + 36.10%. It continued to grow steadily under the pressure of the consumption environment.
Revenue split: the category of water cream continued to grow, and the self operated business performed well. 1) Sub products: further optimize the category structure. In 21 years, the proportion of pasted facial mask, non pasted facial mask and water cream was 17.87%, 10.50% and 64.64% respectively, accounting for -7.69pct, -5.48pct and +13.16pct respectively year on year; 2) Sub sales mode: the proportion of self-employed has further increased. In the 21st year, the income of self operated mode was 3.138 billion yuan, accounting for 62.64%, with a year-on-year increase of + 3.27 PCT; Consignment mode and distribution mode accounted for 12.39% / 18.07% respectively; 4) Sub platforms: mainly third-party platforms, and self owned platforms are developing rapidly. In the 21st year, the revenue of the third-party platform was + 26.53% year-on-year, accounting for 81.42%; Amoy platform increased by 18.72% year-on-year; Self owned platform revenue + 172.45% year-on-year.
Profitable operation: the gross profit margin in 21 years was 52.07%, with a year-on-year increase of + 2.86pct, of which the gross profit margin of overseas business increased by 17.76pct; 22q1 gross profit margin was 54.26%, increased by 2.3pct under the optimization of category structure; The sales rate of 21 years was + 1.79 PCT year-on-year, and the sales expense rate of Q1 in 22 years was + 3.08 PCT year-on-year, which was mainly due to the company’s continuous promotion of the layout of new channels and categories, and the corresponding increase in investment; The number of days of inventory turnover is significantly improved from – 44 days to – 107 days on a year-on-year basis; The net operating cash flow in 21 years was 199 million yuan, a year-on-year increase of + 52.64%, mainly benefiting from the growth of sales scale and the increase of cash collection.
Issuing convertible bonds to raise funds and consolidate the company’s R & D and production strength: the company plans to issue convertible bonds with a total amount of no more than 700 million yuan, of which 500 million yuan will be invested in the Shuiyang intelligent manufacturing base project, which will help the company expand production capacity and enhance R & D strength, so as to lay a foundation for sustainable growth under the changeable market environment.
Risk tip: the upgrading of new products is less than expected, the cooperation of overseas brands is limited, and the industry competition is intensified.
Investment suggestion: the “four double strategy” continued to deepen, and the revenue and profit increased.
Maintain the profit forecast and maintain the “overweight” rating. The company achieved double growth of revenue and profit in 2021 and reached the equity incentive target in 2021. Q1 in the year of 22 continued to achieve steady performance in the deepening of the “four double strategies”, which means that the company will continue to promote the precipitation of its own brand assets, improve its omni-channel operation ability, and continue to build a brand and platform ecology. Maintain the company’s profit forecast for 22-23 years. It is expected that the net profit attributable to the parent company in 22-24 years will be RMB 338 / 466 / 575 million, with a year-on-year growth rate of 43% / 38% / 23%, diluted EPS of RMB 0.82/1.13/1.40, and the corresponding PE of the current stock price is 14 / 10 / 8 times, maintaining the rating of “overweight”.
