\u3000\u3000 Shanghai Jahwa United Co.Ltd(600315) (600315)
The 2021 annual performance forecast was released, and the annual net profit attributable to the parent company increased by about 52% year-on-year
The company released the performance forecast for 2021. In 2021, the company achieved an operating revenue of about 7.66 billion yuan, a year-on-year increase of about 9%; The net profit attributable to the parent company was about 655 million yuan, with a year-on-year increase of about 52%; The net profit deducted from non parent company was 688 million yuan, with a year-on-year increase of about 74%. Compared with the previously released stock option incentive target for 2021 (revenue target of RMB 7.752 ~ 8.466 billion in 2021 and net profit attributable to the parent of RMB 430.5 ~ 504 million), the revenue side was slightly lower than expected, but the net profit attributable to the parent significantly exceeded the target. In 2021, the net interest rate attributable to the parent company increased by 2.43pct to 8.55% year-on-year.
From 2021q1 to Q4, the operating revenue of the company increased by + 27.04%, + 3.73%, - 3.41% and + 9.80% respectively year-on-year; The net profit attributable to the parent company increased by + 41.92%, + 81.69%, + 4.60% and + 99.00% respectively year-on-year. In the fourth quarter of the year, the company's operating revenue increased positively compared with Q3; The net profit attributable to the parent company increased significantly, while the net profit excluding non attributable to the parent company increased by about 79% year-on-year. 21q4 net interest rate attributable to parent increased by 5.77pct to 12.84% year-on-year, reaching the highest value of net interest rate attributable to parent since the fourth quarter of 2016.
The channel side is led by e-commerce business, and the category side focuses on skin care products
In terms of channels: 1) in online business, the company promoted multi platform layout with refined operation, and achieved rapid and healthy growth year-on-year in the second half of the year. Among them, tmall platform strengthened the layout of store self broadcasting, further enriched the live broadcasting matrix, maintained steady growth and improved its operation capacity; Jd.com, pinduoduo and interested e-commerce platforms all showed growth. 2) In the offline business, the company actively expanded new retail business and slowed down the impact of the decline of offline traffic; Department store channels have successfully improved profitability through counter optimization and four seasons spa online; CS channel has achieved rapid growth in both traditional CS business and Watson business.
Category: the company adheres to the differentiated brand development strategy. Skin care category, as a high gross profit and rapid development category positioned by the company, has achieved rapid growth.
Earnings forecast, valuation and rating
The company continues to focus on the "123 business policy", take consumers as the center, innovate brands and improve channels, and make continuous efforts in culture, system and process and digitization. Although the overseas business and special channel business have been adversely affected in the short term since the second half of the year, the company has been actively overcome, the main business has achieved ideal growth, and the profitability has been significantly improved. We continue to look forward to the active rejuvenation of the old domestic goods group, the continuous upgrading of channels, products and categories, the steady growth of business and the continuous improvement of business efficiency. In view of the better than expected profitability of the company's main business, we raised the profit forecast for 21-23 years. Based on the latest equity, the EPS for 21-23 years was 0.96/1.21/1.58 yuan (the net profit for 21-23 years was increased by 22%, 3% and 1% compared with the previous profit forecast), corresponding to 31 times of PE for 22 years, maintaining the "buy" rating.
Risk warning: new product promotion and sales are not as expected; Industry competition intensifies; Channel adjustment is less than expected; Improper fee control or less effective than expected.
