\u3000\u3 Guocheng Mining Co.Ltd(000688) 793 Shenzhen Breo Technology Co.Ltd(688793) )
Shenzhen Breo Technology Co.Ltd(688793) released the 2021 annual report and the 2022 quarterly report. In 2021, the overall revenue was 1.190 billion yuan, a year-on-year increase of 43.93%, and in 2022q1, the revenue was 248 million yuan, a year-on-year increase of 15.29%.
In terms of products, the revenue source is mainly Intelligent Portable Massager, with sales of 1.128 billion yuan, accounting for 94.93% of the main revenue, with a year-on-year increase of 36.73%. Among them, the neck increased by 50.19% year-on-year. In order to seize the neck market, the company launched new products and increased product investment; Other categories increased by 84.25% year-on-year, mainly including waist, back, shoulder, health sports and promotional gift box sets.
By channel, the company’s online direct sales channel revenue in 2021 was 445 million yuan, a year-on-year increase of 61.87%; The revenue from offline distribution channels was 142 million yuan, a year-on-year increase of 12.33%; The revenue from offline direct sales channels was 297 million yuan, a year-on-year increase of 33.88%. In Q1 2022, the company maintained the sustained and rapid development of online business and achieved an operating revenue of 164 million yuan, a year-on-year increase of 48.77%. Offline channel revenue was RMB 80.06 million, a year-on-year decrease of 15.38%.
In terms of product R & D, the company has increased resource investment and support to the Industrial Technology Research Institute, accelerated new product R & D and product iteration, and is expected to hold a new product launch in the first half of the year in the second quarter of 2022.
The company’s gross profit margin in 2021 was 56.73%, down 1.63 PCTs year-on-year, and that in 2022q1 was 53.92%, down 2.77 PCTs year-on-year.
The ratio of sales / management / R & D / financial expenses of the company in 2021 was 40.75% / 3.43% / 3.97% / 0.59% respectively, with a year-on-year change of -0.65pcts / – 0.03pcts / – 0.50pcts / + 0.39pcts; The ratio of sales / management / R & D / financial expenses in 2022q1 was 45.68% / 4.38% / 6.20% / 0.33% respectively, with a year-on-year change of + 3.62pcts / + 1.05pcts / + 1.27pcts / – 0.51pcts.
In 2021, the net profit attributable to the parent company was 92 million yuan, with a year-on-year increase of 29.92%, and the net interest rate attributable to the parent company was 7.72%, with a year-on-year decrease of 0.83 PCTs. The net profit attributable to the parent company in 2022q1 is – 10 million yuan.
Shenzhen Breo Technology Co.Ltd(688793) disclose the restricted stock incentive plan (Draft). The number of restricted shares to be granted to 149 incentive objects is 1.77 million, accounting for about 2.87% of the total share capital of the company on the announcement date of the draft incentive plan, and the exercise price is 27.4 yuan / share. According to the restricted stock incentive plan, the performance assessment objectives for 20222024 are as follows: Based on the revenue and net profit in 2021, the revenue and net profit in 20222024 need to increase by 30% / 69% / 119.70%.
Profit forecast and Valuation: due to the impact of the epidemic in 2022, we adjusted the performance expectation with reference to the objectives of the stock incentive scheme given by the company. The pre forecast value of the net profit from 2022 to 2023 is 200 million / 310 million yuan. After adjustment, it is comprehensively estimated that the net profit from 2022 to 2024 is 120 million / 156 million / 203 million yuan, corresponding to 24 / 19 / 14xpe.
Risk tip: raw material price rise risk, new products are less than expected, store expansion is less than expected, online expansion is less than expected, and the epidemic risk is exacerbated
