\u3000\u3 China Vanke Co.Ltd(000002) 867 Chow Tai Seng Jewellery Company Limited(002867) )
Performance review
4.29 it was announced that the revenue in the 21st year was 9.155 billion yuan, + 80.1%, and the net profit attributable to the parent company / deducted was 1.225/1.193 billion yuan, + 20.9% / + 26.2%. The net interest rate is 13.4% (- 6.5pct). It is proposed to pay a cash dividend of 5 yuan for every 10 shares. 4q21 revenue + 55% and net profit – 27%, mainly due to the impact of the epidemic, the order meeting in December and the growth pressure of high gross profit inlay, and the provision for impairment of 110 million yuan (loss of high-tech investment & e-commerce agency & Suning channel).
1q22 revenue was 2.75 billion yuan, + 138.15%, net profit attributable to parent was 290 million yuan, + 23.26%, net profit not attributable to parent was 280 million yuan, + 26.29%, and the performance exceeded expectations. The net interest rate is 10.5% (- 9.8pct).
Business analysis
In the past 21 years, the online / offline self operated / franchise revenue was RMB 1.15/12.6/6.52 billion, + 18.2% / 75% / 103.7%. 238 / 4264 offline self operated / franchise stores, 11 / 324 net closed / open stores, single store + 87.3% / 90.1%. Self operated stores contracted, the same store increased, gold sales were beautiful, single store inlay / gold income + 19% / 116%, gross profit + 24% / 46%. Franchise stores 1-4q21 have a net opening of 8 / 68 / 105 / 145. The mosaic / gold income of a single store is – 4.5% / + 545%, and the gross profit is + 7% / 159%. The increment is mainly gold, and the average mosaic price rises. Franchise fee price increase + store expansion, single store brand use fee / franchise management fee + 17% / 2%. 4q21 offline self operated / franchised / online revenue + 64% / 56% / 52%, self operated / online growth is rapid, and the opening of franchised Q4 stores is accelerated month on month.
1q22 online / offline self operated / franchise revenue is RMB 280 / 3.6 / 2.06 billion, + 91% / 4% / 229%, and self operated / franchise net closing 7 / opening 9. The brand use fee is 175 million yuan, + 1.8%. The expansion of franchise channels slowed down under the epidemic. Sales in the peak season were better, with mosaic / gold revenue of RMB 2.2 billion, a year-on-year increase of – 26% / + 279%.
The gross profit margin of 1q22 in 21 years is 27.3% / 20.2%, – 14 / – 20PCT, mainly due to 1) the increase in the proportion of gold sales, from + 28pct to 61% in 21 years, and the gross profit margin of gold / inlay is 10.6% / 29.7%, – 12.1 / + 2.7pct; 2) 21.8 after the provincial representative mode, the gold wholesale income is included in the revenue. 21 years / 1q22 sales rate 7.6% / 5.7%, – 5.5/6pct, management rate 1.2% / 0.9%, – 1 / – 1.2pct.
In 21 years, the inventory turnover was 139 days (- 160.5 days) and the accounts receivable turnover was 16 days (+ 8.5 days). The inventory control was good, and the accounts receivable turnover slowed down, mainly due to the account period support given to franchisees under the provincial representative mode.
Investment advice
1q22 double festival + 3.8 the industry is booming, and the company’s gold sales are beautiful. In late March, the epidemic situation in many places affected offline sales and the promotion of provincial representatives. The profit forecast for 22-23 years was reduced by 8% / 8%, and the 24-year forecast was added. It is expected that eps1 in 22-24 years 29 / 1.57/1.69 yuan, corresponding to pe10 / 8 / 7 times, maintaining the “buy” rating.
Risk tips
The expansion of franchisees is less than expected; The turnover of inventories and accounts receivable slowed down.
