Market review of this week: from January 17 to January 21, 2022, SW food and beverage industry index rose by 3.81% as a whole, ranking fourth among all Shenwan industry indexes, outperforming the Shanghai and Shenzhen 300 index by about 2.70 percentage points in the same period. Subdivision sector, Baijiu sector rose 5.22% this week, the sector rose to rank first in the industry. The pre processed food sector had the biggest decline this week, at 8.23%.
Net inflow of land stock link this week: from January 17 to January 21, 2022, land stock link had a total net inflow of 29.197 billion yuan. Among them, the net inflow of banking, non banking finance and power equipment sector ranks first, and the net outflow of Commerce and retail, household appliances, agriculture, forestry, animal husbandry and fishery sector ranks first. This week, the food and beverage sector had a net inflow of 1.699 billion yuan, ranking the fourth in the Shenwan industry.
Industry Week view: Maotai was officially launched in 1935, focusing on the high-quality sector under the catalysis of performance. Baijiu sector: Baijiu sector this week, the trend is warmer, relatively strong performance. On January 18, Maotai 1935 was officially launched. This product is a high-end product in Maotai series. The manufacturer’s purchase price is 798 yuan / bottle, and the market retail guide price is 1188 yuan / bottle. The advent of Maotai 1935 marked the birth of the first thousand yuan product of Maotai series liquor. In addition, this week Shede Spirits Co.Ltd(600702) and Jiugui Liquor Co.Ltd(000799) respectively issued a pre increase announcement of 2021 annual performance, and the performance met expectations. Among them, Shede Spirits Co.Ltd(600702) Q4 is expected to achieve an operating revenue of 1.341 billion yuan, a year-on-year increase of 42.66%; The net profit attributable to the parent company is expected to reach 260 million yuan to 310 million yuan, with a year-on-year increase of – 3.70% to 14.80%. The low growth rate of Q4 net profit attributable to the parent company is mainly caused by the increase of sales expenses such as promotion expenses. Jiugui Liquor Co.Ltd(000799) Q4 is expected to achieve an operating revenue of 760 million yuan, a year-on-year increase of 8.73%; The net profit attributable to the parent company is expected to reach 160 million yuan to 230 million yuan, with a year-on-year increase of – 0.60% to 42.86%. The company’s participation in alcoholics achieved rapid growth throughout the year. Follow up the performance of Baijiu enterprises and pay attention to the Baijiu market. In terms of the target, we recommend that we must focus on the high-end Baijiu Kweichow Moutai Co.Ltd(600519) (600519), Wuliangye Yibin Co.Ltd(000858) (000858) and Luzhou Laojiao Co.Ltd(000568) (000568). In the secondary high-end liquor, you can pay attention to Shanxi Xinghuacun Fen Wine Factory Co.Ltd(600809) (600809), Jiugui Liquor Co.Ltd(000799) (000799), etc; Regional liquor can focus on companies with greater recovery flexibility, such as Anhui Gujing Distillery Company Limited(000596) (000596), Anhui Kouzi Distillery Co.Ltd(603589) (603589), Jiangsu King’S Luck Brewery Joint-Stock Co.Ltd(603369) (603369). Popular products: this week Eastroc Beverage (Group) Co.Ltd(605499) and Ligao Foods Co.Ltd(300973) successively released the performance forecast of 2021, and the performance met the expectations. Among them, Eastroc Beverage (Group) Co.Ltd(605499) q4 is expected to realize a net profit attributable to the parent company of 154 million yuan to 254 million yuan, with a year-on-year increase of 42.56% to 135.15%. Ligao Foods Co.Ltd(300973) Q4 is expected to achieve an operating revenue of 820 million yuan to 890 million yuan, with a year-on-year increase of 34.36% to 45.85%; The net profit attributable to the parent company is expected to reach 77 million yuan to 97 million yuan, with a year-on-year increase of 5.54% to 32.80%. Market sustainability focuses on the marginal improvement brought by product price increase and the high-quality sector catalyzed by performance. In terms of subject matter, we can focus on Foshan Haitian Flavouring And Food Company Ltd(603288) (603288), Jonjee Hi-Tech Industrial And Commercial Holding Co.Ltd(600872) (600872), Qianhe Condiment And Food Co.Ltd(603027) (603027), Tsingtao Brewery Company Limited(600600) (600600), Chongqing Brewery Co.Ltd(600132) (600132), Inner Mongolia Yili Industrial Group Co.Ltd(600887) (600887), Chacha Food Company Limited(002557) (002557), Fu Jian Anjoy Foods Co.Ltd(603345) (603345), etc.
Risk tips: raw material price fluctuation, product price increase less than expected, channel development less than expected, intensified industry competition, food safety risk and macroeconomic downside risk. Industry weekly report industry research Securities Research Report
