Supor (002032): Leader in Q4 Performance Maintains Steady Continues Through Cycle

31 Mar by admin

Supor (002032): Leader in Q4 Performance Maintains Steady Continues Through Cycle

Supor (002032): Leader in Q4 Performance Maintains Steady Continues Through Cycle
Event On February 26, 2020, Supor released the 2019 performance report. The company expects to achieve a total operating income of 198 in 2019.53 ppm, an increase of 11 years.22%; realized net profit attributable to mother 19.20 ppm, an increase of 14 in ten years.97%. In terms of quarters, the company’s single quarter of 2019Q4 achieved revenue49.57 ppm, an increase of 11 years.20%; net profit attributable to mother 6.72 ppm, an increase of 18 years.75%. Brief Comment 1. As small appliances move forward, Supor will continue to look at the trend of the cycle industry in 2019.The total data released by Aowei Cloud Network shows that the replacement growth rate of the seven major categories of small appliances (cooking, magnetic, pressing, beans, materials, pressing, and water) in 2019 is only 1.At 6%, the growth rate is obvious. In terms of categories, cooking machines and rice cookers perform better, with a growth rate of 7.6% and 6.6%; Soymilk machines, induction cookers, and juicers performed poorly, with a decrease of 15.7%, 10.1% and 8.2%, the pressure is significantly larger, the average price of each category except the soybean milk machine. Under the overall weak market of consumption, Supor achieved revenue of 198 in 2019.53 ppm, an increase of 11 years.22%, of which Q4 achieved revenue of 49 in a single quarter.5.7 billion, an annual increase of 11.20%, the growth rate is similar to the overall growth rate of ten years, 12% / 10 than Q1 / Q2 / Q3.1% / 11.36% was basically flat.The company’s domestic sales of sustainable research and development push new, category development to resist the decline of the industry, and export sales have a substantial underpinning of major shareholder SEB order transfer.Under the weak growth environment of the industry, the growth of Supor through the cycle has fully manifested. 2. Accelerated profit growth, profitability has steadily increased, and research and development expenses have improved to increase the company’s net profit attributable to mothers in 201919.20 ppm, an increase of 14 in ten years.97%; Q4 single quarter 6.72 ppm, an increase of 18 years.75%, the growth rate increased by 6 over Q3.34pct, mainly driven by the growth of business scale.The initial gross profit margin, operating margin, and net profit attributable to the parent are 31.15% / 11.10% / 9.67%, an increase of 0 from the previous month.29pct / 0.47pct / 0.At 31 points, profitability increased steadily, mainly due to the low contribution of raw material prices. 19Q1-3 Company’s selling expenses 15.76%, a decrease of 0 every year.36 points.Q3 single-season sales expenses cost 15.65%, an annual increase of 0.04pct; 19Q1-3 management expense ratio (including research and development) is 3.76%, an annual increase of 0.28 points; Q3 single season management expenses 4.23%, an annual increase of 0.66pct, mainly due to research and development promotion. 19Q1-3 financial expenses expense -0.43%; down one year.38pct, mainly contributed by the increase in interest on deposits. 3. Expansion of domestic sales categories, stable export order transfers, continuous online contribution growth to drive export sales, according to the company’s related transaction indicators and implementation of SEB, the company’s 19 year sales of cookware products was 20 billion, and electrical products were 3.1 billion. Overall5.1 billion, with an expected growth rate of 14% and a gross profit margin of about 18%.In terms of domestic sales, competition in the field of cookware and small kitchen appliances has intensified in recent years. We expect the company’s cookware revenue to increase in the middle and high numbers in 19 years. New businesses such as kitchen appliances (fume hoods, stoves, disinfection cabinets, water purifiers, etc.), kitchen tools(Water cups, knives, etc.) and environmental household appliances (air purifiers, vacuum cleaners, ironing machines, etc.) have become new driving forces for the company’s domestic sales. It is expected that the growth rate in 2019淡水桑拿网 will exceed double digits.In addition, according to the data tracked by Taoism & Jingdong, the company’s online growth rate remains good, and is expected to be in the 15-20% range in 2019. 4. R & D pushes new development to drive development, channel construction steadily sinks, and products continue to innovate to withstand industry downturns.In terms of electrical appliances, in 2019, the company launched innovative products such as “this kettle electric rice cooker”, silent wall-cooking cooking machine “,” micro-pressure flat plate ironing machine “, and the market expansion was further enhanced; in the category of cooking utensils, Supor launched the fire-red dot titanium diamond-free smoke-free fryPots, pans and other series of pots, and other products, the market performance is excellent, consolidating the company’s advantages in cooking.GFK data shows that the six major categories of Supor woks, pressure cookers, frying pans, soup pots, steamers, ceramic pots, etc. maintain absolute leading market share in 30 key cities offline; in terms of category expansion, the company actively enters the layout spaceIn the field of environmental electrical appliances, the competition has not yet existed. In 2014, the company launched products such as air purifiers, vacuum cleaners, ironing machines and electric irons, and continued to develop the track business. The innovative product “micro-pressure flat-plate ironing machine” was widely received.Praise, as a sub-sector with blue ocean potential in the development of small appliances, environmental appliances is expected to become a new growth point for the company’s business. In terms of channel construction, Supor promoted the sinking offline, actively promoted the development of the third and fourth levels of the market, and expanded personnel distribution, product research and development, market resources, channel customer support, etc., and increased terminal coverage, coverage density, and single store sales performance.The online channel follows the development of e-commerce, continues to improve the e-commerce’s professional operation capabilities, and actively embraces new marketing such as live streaming and delivery of new channels and new channel models. Supor reached 9 during the Double Eleven in 2019.100 million yuan.On November 5th, Supor joined hands with Taobao to create a brand live broadcast day, and invited Jingtao, Jiabin and other Taobao anchors and star guest Ye Yiqian to carry out live streaming activities. The number of online viewers reached 650,000, including over 617.30,000 yuan, the highest sales of Supor in the second half of 2019. Investment suggestion: As a leader in the small home appliance industry, after merging and robustness across the cycle, we are optimistic about the company’s stable growth in the export market and the expansion of the domestic market. It is estimated that the company’s revenue will be 219 by 2020-2021.04 billion, 241.01 billion, an increase of 10 in ten years.33%, 10.03%, net profit is 21 respectively.36 billion, 23.700 million, an increase of 11 in ten years.23%, 10.98%, corresponding to PE of 29.16X, 26.27X, maintain “Buy” rating. Risk warning: Real estate sales are less than expected, the growth rate of small household appliances industry is accelerating, and raw material prices are rising.