\u3000\u3 China Vanke Co.Ltd(000002) 701 Org Technology Co.Ltd(002701) )
Event overview
The company released the first quarterly report of 2022. During the reporting period, the company achieved a revenue of 3.437 billion yuan, a year-on-year increase of 3.71%; The net profit attributable to the parent company was 206 million yuan, a year-on-year decrease of 28.97%; The non net profit deducted was 205 million yuan, a year-on-year decrease of 28.48%. In terms of cash flow, the net cash flow from operating activities was -177 million yuan, a decrease of 147.9% over the same period last year, mainly due to the slightly lower sales collection rate in the current period than that in the same period last year and the increase of prepayment for raw materials in the current period.
Analysis and judgment:
Revenue side: revenue increased slightly
In Q1 2022, the company achieved a revenue of 3.437 billion yuan, an increase of 3.71% year-on-year and 16.73% month on month. We believe that in 2022, the company will make full use of its comprehensive service capability and brand advantages in the food and beverage supply chain system to consolidate and improve its supply share to existing strategic customers and ensure the steady growth of the traditional three piece can business; At the same time, taking advantage of the market leading position established in the two-piece can industry and the accumulated operation experience for many years, expand the operation results and improve the company's revenue capacity. At the same time, allocate production capacity and channel resources, and promote the large-scale business of its own brand products such as "Xiwang" sports nutrition beverage, "yuanyangwuyu" series functional beverage and canned food as soon as possible.
Profit side: the profit margin has been repaired month on month
On the profit side, in Q1 2022, the company achieved a gross profit margin of 13.97%, a year-on-year decrease of 6.62pct and a month on month increase of 3.66pct; The company achieved a net interest rate of 6.04%, a year-on-year decrease of 3.71 PCT and a month on month increase of 4.10 PCT. The year-on-year decline in profit margin is mainly caused by factors such as market and raw material prices. On the expense side, in Q1 2022, the company's expense rate during the period was 6.85%, a year-on-year decrease of 1.36pct. Among them, the sales / management / financial expense rates were 0.97%, 3.35% and 2.23% respectively, with year-on-year changes of -0.01, -0.47 and -0.98pct. The R & D expense ratio of the company increased by 0.1pct to 0.3% year-on-year, mainly due to the increase of R & D project expenditure in the current period. The company's investment income increased by 92.75% over the same period of last year, mainly due to the increase in investment income recognized by equity method in the current period.
Investment advice
We believe that the competition pattern of the industry has been greatly improved. The development momentum of the company's two-piece can business and filling business is good. The expansion of production capacity and the expansion of "packaging +" and other new businesses will provide support for the company's future growth. We maintain the company's profit forecast unchanged. It is estimated that the company's revenue in 22-24 years will be 15.381/16.776/17.813 billion yuan, EPS will be 0.39/0.43/0.47 yuan, corresponding to the closing price of 4.76 yuan / share on April 28, 2022, and PE will be 12.34/11.04/10.02 times respectively, maintaining the company's "buy" rating.
Risk tips
1) Red Bull dispute. 2) The price of raw materials fluctuates. 3) The pattern of supply and demand has deteriorated.
