Core view
SIMORE released a new generation of technology feelm air, leading the development and innovation of e-cigarette ultra-thin technology and consolidating the company’s position as a leading manufacturer. On January 18, SIMORE officially launched a new generation of ultra-thin electronic cigarette FEEM air at the press conference held in London, UK. The new product has three major technological innovations and seven performance breakthroughs. Product technology: 1) the new generation of ceramic core feelm air adopts the original 7-layer composite heating film, which has higher energy efficiency and better harm reduction performance; 2) The process adopts nano vacuum coating process, and the film thickness is from 80 μ M to 2 μ M leap, bringing better taste restoration; 3) Porous three-dimensional bionic structure to enhance air permeability and leak proof performance. In terms of new product performance: 1) reduce damage by 80%, heavy metal emission by 78.6% and ketone and aldehyde emission by 80.7% compared with the previous generation; 2) The original “fresh locking” technology of taste has increased the reduction degree by 33%. At the same time, the second generation scientific model of taste has added the dimension of “aftertaste” and refined 65 taste indicators, and comprehensively improved 8 core indicators on the basis of the first generation; 3) Second generation technology improves 237% leak proof performance; 4) Energy efficiency increased by 13%, more accurate temperature control and less energy and heat consumption; 5) Equipped with the world’s smallest linear motor, the vibration fluctuation improves the interaction feeling; 6) Apply super energy management system, charge for 10 minutes and use for 8 hours; 7) Equipped with MEMS sensing technology to avoid accidental touch. SIMORE continued to increase R & D investment and achieved remarkable results. The release of new products further expanded the company’s leading edge in product technology worldwide. The leading position is stable. The company has in-depth cooperation with global top brands, and has great potential for long-term performance growth.
SIMORE released a performance pre increase announcement, and the adjusted net profit in fiscal year 21 increased by 33-47% year-on-year. In the fourth quarter, the adjusted net profit in a single quarter was 956-1484 million yuan, with a year-on-year change of – 33.26% – 3.68% and a month on month change of – 23.49% – 18.87%. As a global leading manufacturer of atomized tobacco, smore is deeply engaged in major customers of overseas brands. The launch of a new generation of feelm air technology once again expands its leading edge, leads the iterative development of industry technology, and expects new products to contribute to performance in large quantities.
Investment suggestion: China’s e-cigarette policy of 21q4 is accelerated. The short-term market has experienced a period of policy running in. In the long run, with the normalization of supervision, the industry has entered a healthy and orderly development. The upstream head OEM enterprises will benefit from the industry integration promoted by the policy. They are optimistic that the leading enterprises in the industrial chain with technology and customer accumulation will further improve the market share and profitability, At the same time, enterprises in all links of the industrial chain focusing on export business are relatively weak under the influence of Chinese policies, and the market development space is broad. Continue to pay attention to the development of policies related to new-type tobacco at home and abroad. It is suggested to pay attention to smore International (6969. HK), Shenzhen Jinjia Group Co.Ltd(002191) (002191. SZ), Anhui Genuine New Materials Co.Ltd(603429) (603429. SH), Huabao International (0336. HK), Shandong Jincheng Pharmaceutical Group Co.Ltd(300233) (300233. SZ).
Risk warning: industry regulatory policies exceed expectations; The market demand is less than expected; Intensified market competition; Technical iteration and update; Price fluctuation of raw materials; Repeated outbreaks outside China have impacted channel sales; Macroeconomic pressure.
