\u3000\u3 China Vanke Co.Ltd(000002) 242 Joyoung Co.Ltd(002242) )
Event: 22q1 company achieved an operating revenue of 2.329 billion yuan, a year-on-year increase of + 3.83%, and a net profit attributable to the parent company of 166 million yuan, a year-on-year increase of – 7.7%.
The growth rate of revenue turns positive, and the growth of export sales is expected to accelerate. Q1 company’s revenue was + 3.83% year-on-year, and the growth rate was positive compared with 21q4 (- 15.27%), and the company’s domestic sales showed a slow recovery. However, affected by the epidemic and other factors, we believe that offline sales are still under pressure, and Q1 online JD + Taobao dual platform sales were + 9.14% year-on-year. In terms of export, according to the related party transactions disclosed by the company, the transaction volume between Q1 company and jsglobal is about US $3314, with a year-on-year increase of about 29.2%, and the transaction volume of the whole year is expected to be US $211 million. We believe that thanks to shark Ninja’s order transfer and the US tariff relief for air fryers and other categories, the company’s export sales are expected to achieve rapid growth.
The short-term cost is under pressure, and the effect of expense control is remarkable. Affected by the cost of raw materials and other factors, the gross profit margin of Q1 company decreased significantly, from -4.81pct to 26.53% year-on-year. On the expense side, the company strictly controls the sales expenses while maintaining the investment in R & D expenses to achieve cost reduction and efficiency increase. The sales / management / R & D / financial expense rates of Q1 company were 11.03/3.56/3.80 / – 0.20% respectively, with a year-on-year increase of -4.72 / – 0.07 / + 0.27 / + 0.06pct respectively. In Q1, the net profit margin attributable to the parent company was 7.14%, with a year-on-year increase of -0.89pct.
Net operating cash flow increased significantly. 1) Q1 company’s monetary capital + trading financial assets totaled 3.06 billion yuan, up 23.38% from the beginning of the period, mainly due to the growth of the company’s operating revenue; Accounts receivable at the end of Q1 totaled 2.017 billion yuan, down from – 14.89% at the beginning of the period; The total inventory at the end of Q1 was 946 million yuan, down from – 9.71% at the beginning of the period. 2) From the perspective of turnover, the turnover days of inventory / accounts receivable / accounts payable of 22q1 company are + 5.39 / + 9.93 / – 17.96 days respectively compared with 21 years, the turnover efficiency of inventory and accounts receivable is reduced, and the turnover of accounts payable is accelerated due to the impact of payment for goods in the current period. 3) 22q1 net cash flow from operating activities was 496 million yuan, compared with – 180 million yuan in the same period last year, mainly due to the increase of operating income and the recovery of bill margin in the current period.
Profit forecast and investment rating: as an industry leader, the company has many advantages in brand, channel and supply chain, and actively expand new categories such as clean appliances, adjust channel structure and undertake Ninja order transfer. We believe that the company is expected to achieve long-term steady growth. We estimate that the company’s operating revenue in 22-24 years will be 11.601133.01/14.889 billion yuan respectively, with a year-on-year increase of + 10.1% / + 14.7% / + 11.9% respectively; The net profit attributable to the parent company was 841 / 942 / 1061 million yuan, with a year-on-year increase of + 12.8% / + 12.0% / + 12.7% respectively, and the corresponding PE was 13.79/12.31/10.93 times. Maintain the “buy” rating.
Risk factors: repeated outbreaks outside China, sharp rise in raw material prices, intensified industry competition, and less than expected development of new products.
