Market Review
Last week (04.25-04.29), the CSI 300 index rose 0.07%. According to the statistics of the key weight companies selected by us (listed in the market of 1.1 sector in detail), the beauty care industry portfolio fell by 3.39%, of which the medical beauty / cosmetics / personal care products fell by 2.33% / 2.86% / 4.98% respectively.
Since the beginning of the year, the CSI 300 index has fallen by 18.71%. According to the statistics of the key weight companies selected by us (listed in the market of 1.1 sector in detail), the beauty care industry portfolio has fallen by 26.98%, of which the medical beauty / cosmetics / personal care products have fallen by 26.41% / 26.81% / 27.73% respectively.
In terms of valuation, as of April 29, the price earnings ratio (TTM) of beauty care (801980. SI) was about 51.23x, which was at the quantile value of 59.80% in two years.
Core view
In the context of the outbreak of the epidemic in many places, the retail sales of cosmetics and daily necessities declined as a whole, but the top listed companies in the industry maintained a bright growth. Since the beginning of the year, the epidemic in many places has repeatedly affected terminal consumption. At the same time, the urban survey unemployment rate has increased rapidly from 4.9% in October 2021 to 5.8% in March 2022, further affecting residents' income expectation and purchasing power. The cumulative retail sales of cosmetics / daily necessities in 2022q1 were 94.93/183.31 billion yuan respectively, with a year-on-year increase of 1.8% / 6.6%. From the first quarterly report of Listed Companies in the beauty care industry, the growth of medical beauty and cosmetics head enterprises in 2022q1 is still bright, Imeik Technology Development Co.Ltd(300896) / Yunnan Botanee Bio-Technology Group Co.Ltd(300957) / Bloomage Biotechnology Corporation Limited(688363) 2022q1 net profit increased by 64.03% / 85.74% / 31.07% respectively year-on-year.
We believe that the medium and long-term growth trend of medical beauty and cosmetics remains unchanged, and the performance of domestic products is differentiated under the disturbance of the epidemic. Continue to be optimistic about Imeik Technology Development Co.Ltd(300896) as the leader of injection light medicine and American medicine and equipment and Yunnan Botanee Bio-Technology Group Co.Ltd(300957) , which is in a leading position among domestic anti allergy skin care products. Relevant targets include Bloomage Biotechnology Corporation Limited(688363) , Shanghai Haohai Biological Technology Co.Ltd(688366) , Furui medical technology, Proya Cosmetics Co.Ltd(603605) , Lushang Health Industry Development Co.Ltd(600223) , etc.
Key industry trends
The price of raw materials has increased significantly, and the more the upstream beauty factory lists, the more it owes; The project of medical device industry standard of recombinant humanized collagen; Jingdong beauty makeup and sunscreen products in spring and summer sell well. Outdoor waterproof and maintenance essence have become a new trend of sunscreen consumption Shanghai Jahwa United Co.Ltd(600315) chairman and CEO pan Qiusheng said that domestic cosmetics will shift from the era of flow dividend to the era of quality dividend.
Announcement of key companies
Imeik Technology Development Co.Ltd(300896) 2022q1 net profit increased by 64.03% year-on-year to 280 million yuan Yunnan Botanee Bio-Technology Group Co.Ltd(300957) 2022q1 net profit increased by 85.74% year-on-year to 146 million yuan Bloomage Biotechnology Corporation Limited(688363) 2022q1 net profit increased by 31.07% year-on-year to 200 million yuan The year-on-year net loss was RMB 0.2025 billion, a year-on-year decrease of RMB 0.2025 billion Lancy Co.Ltd(002612) 2022q1 from profit to loss to 2.2418 million yuan; The price of raw materials rose and the terminal price was not raised smoothly, and C&S Paper Co.Ltd(002511) performance fell for the first time in recent 7 years Huadong Medicine Co.Ltd(000963) 2021 annual net profit decreased by 18.38% to 2.302 billion yuan, and 2022q1 net profit decreased by 7.12% year-on-year Shanghai Haohai Biological Technology Co.Ltd(688366) 2021 net profit attributable to the parent company increased by 53.10% year-on-year to 352 million yuan, and 2022q1 net profit attributable to the parent company decreased by 37.17% year-on-year to 609413 million yuan Syoung Group Co.Ltd(300740) 2021 net profit attributable to parent increased by 68.54% year-on-year to 236 million yuan, and the net profit increased by 50.71% in 2022q1 Shanghai Jahwa United Co.Ltd(600315) q1 net profit increased by 18% year on year Guangdong Marubi Biotechnology Co.Ltd(603983) 2021 net profit attributable to parent decreased by 46.61% to 248 million yuan, and 2022q1 net profit attributable to parent decreased by 34.61% year-on-year Shanghai Lily&Beauty Cosmetics Co.Ltd(605136) 2022q1 net profit decreased by 71.47% Hangzhou Haoyue Personal Care Co.Ltd(605009) 2021 net profit attributable to parent decreased by 39.75% 0029 Zoje Resources Investment Co.Ltd(002021) annual net profit increased by 109677% to 351 million yuan, with a net loss of 1.1706 million yuan in the first quarter Shanghai Haohai Biological Technology Co.Ltd(688366) intends to issue A-Shares to specific objects Proya Cosmetics Co.Ltd(603605) apologized for the difference of "feather sense sunscreen" products.
Risk tips
Risk of changes in industrial policies; The terminal demand is lower than expected.
