Main points
This week, the household appliance sector rose by + 0.9%, of which the white electricity / Black electricity / kitchen electricity / small household appliances sectors increased by 0.0% / + 4.3% / + 2.0% / + 4.0% respectively. In terms of raw material prices, LME copper and LME aluminum prices rose, with + 4.6% and + 7.6% month on month respectively. The prices of plastics and steel continued to fall, with – 1.2% and – 2.1% month on month respectively. In terms of exchange rate, the RMB appreciated, and the US dollar against the RMB was – 0.2% month on month.
The official launch of Jimi laser TV a3pro: in February this year, Jimi released a new A3 panchromatic laser TV, and in April, the official microblog officially announced the new a3pro (we had prompted the update in the weekly report). Recently, a3pro was officially launched, continuously enriching the product matrix of Jimi laser TV. A3pro is priced at 32999 yuan (including 100 inch hard screen), which is significantly higher than A3 price. It is positioned in the medium and high-end market. Yanshen’s laser TV product price band and user group add weight to the company’s defense ability in the field of laser TV.
April industry online data release: in April, the domestic sales of air conditioners were growing, and the export performance was flat. Air conditioning shipments in April were + 1% year-on-year, of which domestic sales were + 2% year-on-year, and the ring ratio slowed slightly (March was + 3%). Although affected by the epidemic situation and supply chain, with the increase of high temperature weather and the coming peak sales season of traditional air conditioners, consumer demand still increased slightly, but there is still a certain gap compared with production scheduling. In terms of exports, it was – 1% year-on-year and significantly lower than that in March (+ 7%). The export market has weakened, and the demand in overseas markets is temporarily under pressure due to interest rate hikes and inflation.
The resumption of work and production can boost consumption. Suning and JD have launched 618 promotion and continued to pay attention to the performance of various brands. Since March, the epidemic has broken out in many places. Considering that this round of epidemic has affected the urban economic volume and sealing and control policies, the overall consumption has been significantly affected, and the social zero has declined year-on-year for two consecutive months (the overall social zero in March / April was – 3.5% / – 11.1% respectively; among them, the household appliances were – 4.3% / – 8.1% respectively). Up to now, the epidemic situation in Shanghai and other relatively serious areas in the early stage has been basically controlled, and the resumption of work and production is being steadily promoted. The traditional peak sales season of home appliances such as air conditioners and refrigerators is coming, and the steady progress of resumption of work and production will drive the recovery of sales. In addition, the regional logistics affected by this round of epidemic basically stagnated, and the demand for the beneficial categories of the epidemic dominated by online sales such as kitchen, small electricity and cleaning has been restrained and delayed. It is expected that there may be a centralized release growth in June, and the promotion of 618 e-commerce will further stimulate the transformation of potential demand. Suning and jd.com have launched 618 promotion. Suning focuses on home appliance purchase and service experience, and jd.com continues the “8 PM” experience. 618 is the key to affecting the sales of household appliance enterprises in the second quarter, and we will continue to pay attention to the performance of various brands.
Investment advice
At present, the household appliance sector is at the bottom of the valuation as a whole. It is suggested to grasp two main lines: 1) emerging household appliance tracks with both growth and certainty, including floor sweepers, integrated stoves and projectors; The performance of the first quarter continues to be verified, and it is recommended to actively layout at this stage. It is recommended to pay attention to the domestic intelligent micro investment leader with leading technology and all-round barriers to consumer goods Chengdu Xgimi Technology Co.Ltd(688696) . Focus on Ecovacs Robotics Co.Ltd(603486) , which accurately grasp the needs of consumers, adhere to independent research and development, hold high and fight high, and have excellent product and brand power Beijing Roborock Technology Co.Ltd(688169) product and technology innovation strength is strong, accelerate to make up the marketing weakness, and the domestic market share continues to increase; Q2 overseas new product listing superimposed low base effect, optimistic about the quarterly improvement of export growth.
2) demand and profit continue to repair, and white electricity and small kitchen appliances are expected to usher in an inflection point in the second quarter. The epidemic situation has accelerated the demand for goods at home, and the data of refrigerators and freezers in March has been verified; There is also a logic of delayed consumption release in the small household appliance sector. White power recommends focusing on Haier Smart Home Co.Ltd(600690) , which complies with the demand of consumption upgrading, maintains high growth, improves efficiency and governance optimization, and continuously improves profitability. The epidemic catalysed the demand for home cooking, which is expected to benefit from the centralized release of Bear Electric Appliance Co.Ltd(002959) .
Risk tips
The risk of rising raw material prices, the risk of less than expected demand, the risk of repeated outbreaks, the impact of exchange rate fluctuations, and the risk of chip out of stock and rising prices.
