\u3000\u3 Shengda Resources Co.Ltd(000603) 983 Guangdong Marubi Biotechnology Co.Ltd(603983) )
Event: the company achieved a revenue of 1.787 billion yuan in 2021, yoy + 2.41%; The net profit attributable to the parent company was 248 million yuan, yoy-46.61%, and the net interest rate attributable to the parent company was 13.87%, a decrease of 12.74 PCT; After deducting RMB 1.357 billion from the parent company, the net interest rate of non parent company will be reduced by 1.055 billion pcyot-1.07%. 2021q4 achieved a revenue of 649 million yuan, yoy + 6.85%; The net profit attributable to the parent company was 106 million yuan, yoy-16.23%. In 2022q1, the operating revenue was 383 million yuan, yoy-5.31%; The net profit attributable to the parent company was 65 million yuan, yoy-34.61%, and the net interest rate attributable to the parent company was 17.11%, down 7.67 PCT at the same time; The net profit attributable to the parent company after deduction of non-profit is 57 million yuan, yoy-40.2%.
Revenue side: in terms of brands, the revenue of the main brand MARUMI in 21 years was 1.594 billion yuan, yoy-3.82%, accounting for 92.36%, with a decrease of 2.7%; The revenue of love fire was 661746 million yuan, a year-on-year increase of 463.49%. In terms of categories, 1) the revenue of eye category in 21 years was 523 million yuan, yoy-17.12%, accounting for 30.27%, with a decrease of 5.89 PCT; 22q1 revenue was 80 million yuan, yoy-24.54%, accounting for 20.9%; 2) The revenue of skin care industry in 21 years was 967 million yuan, yoy + 7.22%, accounting for 55.99%, with an increase of 4.3 PCT; 22q1 revenue was 203 million yuan, yoy-20.90%, accounting for 53.1%; 3) The 21-year revenue of skin cleaning was 159 million yuan, yoy-15.97%, accounting for 9.22%; 22q1 revenue was 45 million yuan, yoy + 32.44%, accounting for 11.9%; 4) The 21-year revenue of cosmetics and other categories was 78 million yuan, yoy + 247.85%, accounting for 4.52%, with an increase of 3.23 PCT; The revenue of 22q1 was 51 million yuan, accounting for 13.4%, which increased rapidly.
Cost side: the gross profit margin in 2021 was 64.02%, with a decrease of 2.19 PCT, mainly due to the slight increase in production and transportation costs. By quarter, the gross profit margin from 21q1 to 22q1 was 63.91% / 64.19% / 57.28% / 66.69% / 66.71% respectively, with an increase of 2.79pct in 2022q1.
Expense side: during 2021, the expense rate is 47.92%, with an increase of 11.5pct, of which the sales expense rate is 41.5%, with an increase of 9.2pct, mainly due to the large investment in image publicity and brand promotion; The rate of administrative expenses was 5.6%, with an increase of 1.1pct; The R & D expense rate is 2.8%, with a decrease of 0.05pct; Financial expense rate – 2%. During 2022q1, the expense rate was 46.59%, with an increase of 12.07pct, of which the sales expense rate was 37.49%, with an increase of 8.35pct; The management fee rate was 6.46%, with an increase of 1.23 PCT; The R & D expense rate was 3.45%, with an increase of 0.55 PCT; The financial expense rate is -0.81%.
Cash flow: the net cash flow from the company’s operating activities was -07 million yuan in 2021, yoy-102.07%, and -67 million yuan in 2022q1, compared with -62 million yuan in the same period last year; The net cash flow from investment activities was -681 million yuan in 2021 and -95 million yuan in 2022q1. By the end of 2021, the monetary capital was 806 million yuan, yoy-51.73%, and by 2022q1, it was 639 million yuan, yoy-65.83%.
Investment suggestion: as the industry accelerates change, business transformation is necessary and important, but the process of positive change is often accompanied by a painful period. The company adheres to the simultaneous development of innovation and technology, always puts products first, continues to invest in R & D, widens technical boundaries, strictly abides by product quality and ensures product efficiency output; Continue to consolidate the brand and practice the younger and more scientific brand; Continue to invest in digitization and promote the construction of cloud warehouse. The company insists on Adjusting in the transformation, and the repetition of the process does not change the confidence and determination of the long-term development of the company’s brand. The future is expected to start in the changing situation, waiting for the dawn. It is estimated that the net profit in 202224 will be 240 / 30 / 360 million yuan, corresponding to pe34 / 28 / 23x, maintaining the “overweight” rating.
Risk tips: the risk of failure in channel expansion, the risk of rising raw material prices, and the risk of intensified industry competition
