Event: the company released the 21H1 report. The company's 2021H1 realized operating income of 689 million yuan, an increase of 0.97%, and a net profit of 44 million yuan, a decrease of 34.22%. Of these, 21Q1/Q2 achieved revenue of 318 million yuan, Q1 increased by 15.95%, Q2 decreased by 9.11%, net profit returned to its mother was 0.30\ 14 million yuan, and Q1 increased by 23.11%. Q2 decreased by 66.84%.
Comments: revenue side: ① by channel, (1) online 2021H1 operating income of 423 million yuan, an increase of 8.45% Of this total, the operating income of the unified warehouse entry model was 354 million yuan, up 5.93%, the online self-operating income was 65 million yuan, up 33.20%, and the online distribution income was 5 million yuan, which decreased by 37.34% (2) offline 2021H1 operating income was 265 million yuan, of which offline self-operating income was 144 million yuan, with a decrease of 19.46%. Offline distribution revenue was 118 million yuan, an increase of 7.50%, and other offline revenue was 3 million yuan, an increase of 27.77%. In the first half of the year, the company increased the input of brand fees and live broadcast costs in the channel, leading to the rapid growth of online self-management channel sales.
Gross profit margin: the company's 2021H1 achieves a gross margin of 31.28%, which is the same as minus 3.21pct. According to different channels, online gross profit margin is 31.18%, same minus 3.48 pct, of which uniform entry mode is 31.76%, same minus 2.27 pct, online self-management 27.58%, same minus 10.68%, online distribution 36.87%, same minus 2.13%. 31.34% offline, same minus 2.78 pct, including offline self-operation 31.17%, same minus 3.32 pct, offline distribution 31.68%, same minus 2.17 pct, other 25.40% offline, same increase 8.22 pct. The company's 2021Q2 realized a gross profit margin of 32.25%, with an increase in 2.09pct and a decrease of 3.52 pct.
Cost side: the company's 2021H1 operating cost is 473 million yuan, an increase of 5.92%, and the period expense rate is 24.64%, an increase of 2.75 pct. ① sales expense rate: the company's 2021H1 sales expense was 157 million yuan, an increase of 14.34%, a sales expense rate of 22.83%, and a 2.67 pct increase. The change is mainly due to the expansion of brand influence. In this period, the company increased the input of brand fees and live broadcast fees in the channel, which led to the rapid growth of online self-owned channel sales. At the same time, the gross profit margin of the current period decreased, and the sales expenses increased. ② management expense rate: the management fee is 20 million yuan, with an increase of 144.46%, and the management expense rate is 2.92%, with an increase of 1.71 pct. The increase in management expenses is mainly due to the increase in share-based payments. ③ financial expense rate: the company's 2021H1 financial expense is-8 million yuan, with a decrease of 325.76%, and the financial expense rate is-1.17%, with a decrease of 1.69 pct, mainly because of the large interest income.
Profit end: the net profit of the company in the first half of the year was 44.26 million yuan, a decrease of 34.22%. On a quarterly basis, 21Q1\ Q2 was 30.04 million yuan and 14.22 million yuan respectively, with year-on-year changes of 23.11% and-66.84% respectively, mainly due to: (1) the income of products other than dairy products has declined. Mainly affected by changes in market sales channels, the company's offline direct channel sales decreased by 19.46%. (2) 21H1 has increased the input of brand fees and live broadcast fees in the channel, which leads to the rapid growth of online self-owned channel sales, while leading to the decrease of gross profit margin and the increase of sales expenses in the current period. (3) affected by the epidemic, the sales promotion activities in the previous period were reduced, and the rate of sales expenses was low. 21H1 has stepped up its promotional activities for new channels and new products, resulting in a decline in gross profit and an increase in sales expenses in the current period.
Investment suggestion: the company's products are iterated constantly and have strong ability to embrace omni-channel layout. In the first half of the year, the company will increase investment in online multi-channel expansion, and the full-channel layout is expected to continue. We estimate that the net profit of 21Compact 22 is 183 million yuan / 214 million yuan, respectively, and the corresponding PE is 20X/17X.
Risk tips: offline channel sinking is not as expected, operation is not as expected, food safety risk, product development is not as expected