Key recommended targets this week
Growth appliance portfolio: Beijing Roborock Technology Co.Ltd(688169) , Chengdu Xgimi Technology Co.Ltd(688696) , Ecovacs Robotics Co.Ltd(603486) , Guangdong Xinbao Electrical Appliances Holdings Co.Ltd(002705) , Shenzhen Breo Technology Co.Ltd(688793) , Marssenger Kitchenware Co.Ltd(300894) , JS global life, Anker Innovations Technology Co.Ltd(300866)
White electricity combination: Haier Smart Home Co.Ltd(600690) , Midea Group Co.Ltd(000333) , Gree Electric Appliances Inc.Of Zhuhai(000651)
The structural growth of the industry continued, and the growth of high growth categories continued to lead the industry
(1) white electricity: the year-on-year total retail sales of 2022w2 air conditioners / refrigerators / washing machines are – 1.14% / + 49.36% / + 29.72% respectively, and the year-on-year total retail sales of 2022w1-w2 air conditioners / refrigerators / washing machines are – 13.62% / + 12.31% / + 11.47% respectively. The demand for air conditioners needs to be restored, and ice washing still maintains a steady growth.
(2) integrated stoves: 2022w2 Omni channel retail sales / retail volume are + 32.64% / + 5.54% year on year, and 2022w1-w2 Omni channel cumulative retail sales are + 50.34% / + 13.51% year on year. The double rise of volume and price continues to promote the high growth of integrated stoves.
(3) cleaning appliances: the retail sales of 2022w2 sweeper / washer in all channels were + 68.48% / + 37.92% year-on-year, and the retail sales were + 1.78% / + 28.09% year-on-year respectively; 2022w1-w2 sweeper / washer omni-channel retail sales were + 22.96% / + 56.63% and – 24.29% / + 46.95% respectively year-on-year. The growth continued to lead the industry.
Focus on company updates this week
Beijing Roborock Technology Co.Ltd(688169) : at the beginning of 2022, domestic sales continued to increase rapidly and continued to be optimistic about the improvement of export sales quarter by quarter. The business consultant data showed that 2022w2 stone sweeper Ali channel Gmv + 300.07%, 2022w1-w2gmv + 164.14% year-on-year, which exceeded the expected performance, driving the share of 2022w2 stone sweeper online retail sales + 8.41pcts. Looking forward to 2022, considering the strong demand for self-cleaning products in China and the iteration of product upgrading, the price of G10, the main sales fund in the first half of 2022, is higher than that of the products in the same period of 2021, and it is optimistic that the domestic sales of the company will continue to exceed expectations. In terms of export, taking into account the positive factors such as the widening of the price band of the new s7maxv series and the cost-effective q7max + model, the increase in the demand for middle and high-end floor sweepers in LDs, as well as its own low base and the alleviation of maritime transport capacity problems, we are optimistic about the quarterly improvement of export in 2022.
Haier Smart Home Co.Ltd(600690) : it is expected that Casati will continue to lead the growth of China’s high-end market, and H-share placement will help the development of global business. On January 11, the company announced that it planned to issue an additional 41.41 million H shares to five institutional investors including Golden Sunflower in private, and the raised funds were mainly used for capacity construction and channel construction of overseas industrial parks. We believe that this strategic placement, on the one hand, deeply binds the interests of the management and the company; On the other hand, it is expected to integrate multiple resources to help the company’s long-term development of globalization. In the Chinese market, Casati is expected to maintain a growth rate of about 30% in 2021q4. Looking forward to 2022, we believe that the high-end brand will continue to promote the upgrading of product structure, so as to boost the gross profit margin. With the promotion of global business and digital strategy, the logic of net profit margin improvement is expected to continue to be realized.
Midea Group Co.Ltd(000333) : in terms of export, it is expected that the export revenue will achieve double-digit growth in 2021, in which the growth rate of independent brand business is higher than that of OEM business; In terms of domestic sales, b-end businesses such as new energy vehicles, smart buildings and industrial electromechanical accelerate the layout. It is expected that the revenue growth rate in 2021 will be higher than that of C-end businesses. Looking forward to 2022, with the expansion of investment in independent brands and the deepening of regional construction in ASEAN and Europe, it is expected that the export revenue of independent brands will continue to grow rapidly, and the increase of brand premium is expected to boost the net interest rate. In terms of domestic sales, it is expected that the growth of b-end business is higher than that of C-end. At the same time, with the improvement of industrial chain layout, the profitability is expected to be gradually improved.
Risk tip: industry competition intensifies; Shortage of raw material supply; Increased risk of maritime transport capacity, etc.
