\u3000\u30 Shenzhen Quanxinhao Co.Ltd(000007) 26 Luthai Textile Co.Ltd(000726) )
The performance has recovered steadily in 21 years, and the revenue in 22q1 has increased by 59%, exceeding that in 19q1
In 2021, the company achieved an operating revenue of 5.238 billion yuan, an increase of 10.25% year-on-year and a decrease of 23% compared with 19 years; The net profit attributable to the parent company was 348 million yuan, a year-on-year increase of 257.22%, a decrease of 64% compared with 19 years; Deduct non net profit of 190 million yuan, with a year-on-year increase of 850.60% and a decrease of 71% compared with 19 years. EPS is 0.39 yuan, and the proposed dividend per share is 0.07 yuan (including tax).
In terms of quarters, the revenue of 21q1-q4 in a single quarter was – 20.68%, + 18.61%, + 24.26% and + 21.04% year-on-year respectively, and the net profit attributable to the parent company was – 28%, + 94.50%, + 293.31% and + 6010% year-on-year respectively. 22q1 achieved an operating revenue of 1.58 billion yuan, a year-on-year increase of 59.05%, and a net profit attributable to the parent company of 159 million yuan, a year-on-year increase of 113.84%. Since 21q1, the sales end of the company has gradually recovered, and the revenue of 22q1 has exceeded the same period of 19 years.
In the past 21 years, the income of fabrics, the main product, increased slightly, and the domestic export increased
1) by category, the revenue of textile and clothing category was 4.916 billion yuan, accounting for 94%, and the revenue was + 15.97% year-on-year; Among them, the revenue of main products fabrics and shirts accounted for 77% and 17% of the total revenue respectively, with a year-on-year revenue of + 19.64% and + 1.72% respectively. According to the splitting of main products by volume and price, the sales volume and unit price of fabrics were + 20% and – 0.3% year-on-year respectively, and the volume and price of shirts were – 20.21% and + 27.48% year-on-year respectively. Among other products with a relatively small proportion, the revenue of electric steam and other products accounted for 3.5% and 2.6% respectively, with a year-on-year revenue of + 0.12% and – 6.54% respectively. There was no cotton sales revenue in 21 years.
2) in terms of regions, domestic sales accounted for 46%, revenue increased by 9.24% year-on-year, and export revenue increased by 11.14% year-on-year. Among the main overseas markets, Southeast Asia, Europe and the United States accounted for 29% and 11% respectively, with revenue of + 43.32% and – 2.53% year-on-year respectively. Japan, South Korea and Hong Kong, China accounted for 5% and 3% respectively, with revenue of – 30.23% and – 12.58% year-on-year respectively.
3) in terms of capacity utilization, the capacity utilization rates of fabrics and clothing are 76% (year-on-year + 12pct) and 70% (- 10PCT) respectively. Among them, the production capacity of fabrics in China and overseas accounts for 83% and 17% (mainly in Xining province of Vietnam), and the capacity utilization rates are 78% and 67% respectively; The production capacity of clothing in China and overseas accounts for 47% and 53% (mainly in Anjiang province of Vietnam, Svay Rieng province of Cambodia and dilava special economic zone of Yangon, Myanmar), and the capacity utilization rate is 81% and 54% respectively.
The gross profit margin rose quarter by quarter and the expense rate continued to decline
The gross profit margin of the company decreased by 0.61pct to 20.72% year-on-year in 21 years. The gross profit margin of main products fabrics and shirts are 21.81% (+ 1.02pct) and 22.46% (- 1.52pct) respectively. From 21q1 to 22q1, the gross profit margin in a single quarter was 17.93%, 18.82%, 20.74%, 23.75% and 24.38% respectively, with a year-on-year increase of -9.42, -6.36, + 1.76, + 8.93 and + 6.45pct respectively. The gross profit margin showed an upward and improving trend year-on-year and month on month.
During the period, the expense rate decreased by 3.03pct to 14.38% year-on-year in 21 years, of which the expense rates of sales, management, R & D and finance were 2.29% (year-on-year -0.36pct), 6.40% (-1.19pct), 4.83% (-0.04pct) and 0.86% (-1.45pct) respectively. During 22q1, the expense rate decreased by 3.16pct year-on-year to 12.64%.
The net cash flow of the company’s operation in 21 years decreased by 41.35% year-on-year to 348 million yuan, and the net outflow in 22q1 narrowed by 56.58% year-on-year to 15.95 million yuan.
Profit forecast, valuation and rating: the company’s performance in the first quarter of 22 years is beautiful. At the same time, it is expected that positive factors such as the repair of shirt capacity utilization and the depreciation of RMB exchange rate in 22 years will continue to bring benefits. However, since March, China’s epidemic situation is expected to bring some obstacles to the docking list, so we still need to pay attention to the progress of epidemic prevention and control in China. Considering the uncertainty of the epidemic situation in China, we lowered the company’s EPS for 22-23 years and new 24 years to 0.75/0.89/0.98 yuan (7% and 10% lower than the previous profit forecast), corresponding to 9 times of pe22 years, and maintained the rating of “overweight”.
Risk tip: the impact of the epidemic outside China exceeded expectations, affecting the commencement and order receiving, resulting in lower capacity utilization; Trade frictions between China and the United States and other countries have intensified; Cotton prices or exchange rates fluctuate significantly.
