\u3000\u3 China Vanke Co.Ltd(000002) 853 Guangdong Piano Customized Furniture Co.Ltd(002853) )
Event: the company released the annual report of 2021 and the first quarterly report of 2022. In 2021, the company achieved a revenue of 1.824 billion yuan, a year-on-year increase of 22.1%; The net profit attributable to the parent company was -729 million yuan, a year-on-year decrease of – 470.05%; Basic earnings per share -3.91 yuan / share. Among them, the company achieved a single quarter revenue of 507 million yuan in the fourth quarter, a year-on-year increase of 4.79%; The net profit attributable to the parent company was -898 million yuan, a year-on-year decrease of 131536%. In 2022q1, the company achieved a revenue of 236 million yuan, a year-on-year decrease of 31.84%; The net profit attributable to the parent company was 19 million yuan, a year-on-year decrease of 46.87%; The basic earnings per share is 0.1 yuan / share.
The rise in the price of raw materials led to the decline of the company’s gross profit margin. In 2021, the company’s comprehensive gross profit margin was 33.96%, a year-on-year decrease of 0.12%. Among them, the gross profit margin of 21q4 was 33.57%, with a year-on-year increase of 10.17% and a month on month decrease of 1.43%. 22q1 single quarter gross profit margin was 29.76%, down 1.84% year-on-year and 3.81% month on month. In a single quarter, the company’s gross profit margin continued to decline, mainly because the price of raw materials continued to rise, driving the company’s costs upward.
The results of cost reduction and efficiency increase were prominent, and the net interest rate remained stable in 21 years. In 2021, the company’s period expense rate was 16.24%, with a year-on-year increase of 0.34%. Among them, the sales / management / Finance / R & D expense rate was 9.92% / 3.16% / 0.33% / 2.83% respectively, with a year-on-year change of 1.33% / – 0.57% / – 0.18% / – 0.24% respectively. In 2022q1, the company’s period expense rate was 20.58%, with a year-on-year increase of 3.88%. Among them, the sales / management / Finance / R & D expense rate was 11.75% / 4.32% / 0.3% / 4.22% respectively, with a year-on-year increase of 1.87% / 0.85% / 0.04% / 1.11% respectively. In terms of net interest rate, in 2021, the net interest rate of the company was – 39.64%, a year-on-year decrease of 54.07%; 22q1 single quarter net profit margin of the company was 7.81%, down 2.78% year-on-year. In 2021, the company’s net interest rate decreased significantly, mainly because: during the reporting period, the company accrued impairment losses for large real estate customers.
Wardrobe leads performance growth, and omni channel layout helps future development. The wardrobe business developed rapidly and contributed to the core driving force of performance growth. During the reporting period, the company’s cabinet / wardrobe / door and wall products achieved revenue of 1.18/591/18 billion yuan respectively, with a year-on-year increase of 13.03% / 42.98% / 131.93% respectively. In terms of distribution channels, the company continued to improve the omni channel sales system and realized channel sinking. By the end of 2021, the number of distribution stores of the company had reached 992, including 127 / 131 / 734 cabinets / wardrobe / comprehensive stores and 419 stores in ordinary county-level markets, accounting for 42.24%; In terms of bag carrying channels, the company established a bag carrying team to develop and cooperate with property projects in 2021, including more than 30 property companies; In terms of new retail channels, the company obtained online traffic through official direct sales and third-party platforms. In 2021, the company distributed 40000 orders through various platforms, with a transaction rate of 8% and an amount of 80 million yuan; In terms of designer channels, the company worked with two mainstream media platforms, Youju and Sina home, planned many large-scale activities, reached cooperation with more than 300 designers and mastered huge designer resources.
Investment suggestion: the company is deeply engaged in the field of customization. The layout of all categories and channels continues to be enabled, and the channels sink to improve the market share. It is expected that the company will achieve basic earnings per share of 1.73/2.05/2.37 yuan / share in 2022 / 23 / 24, corresponding to PE of 6X / 5x / 4x, and maintain the “recommended” rating.
Risk tip: the risk that the economic growth is less than expected; The risk of intensified market competition.
