Main points of investment
Steady growth in performance and stable profitability. In 2021, the company achieved a revenue of 1.59 billion yuan, an increase of 12.7% over the same period last year, and a net profit of 160 million yuan, an increase of 18.1% over the same period last year. Among them, basic services, owner value-added services, non-owner value-added services and asset management services achieved revenue of RMB 13.1 million, respectively, representing a year-on-year change of 16.7%, 39.3%, 9.3%. The company's gross profit margin and net profit margin rose slightly by 1.2 and 0.5 percentage points to 22.8% and 10.2% respectively in 2021, and its profitability was relatively stable.
Endogenesis and extension promote the continuous growth of management scale. In 2021, the company signed 107 new projects, covering an area of 9.81 million square meters. By the end of 2021, the company had signed a total of 651 projects, with a total signed area of 75.916 million square meters, an increase of 8.42% over the same period last year.
1) Endogenous expansion: deep cultivation of the Yangtze River Delta layout of the whole country, continue to expand new markets new business type new customers. In 2021, revenue in the Yangtze River Delta region reached 1.43 billion yuan, accounting for 89.8%, while Hangzhou accounted for 46.2%. The basic market was solid. And the company continues to expand new markets new business type new customers, in 2021 into Huainan, Xuancheng, Luoyang, Jingdezhen and other cities, newly cut into hospitals, airports and other non-residential subdivision tracks, and products Zhongda Xin signed cooperation agreement.
2) extension expansion: the landing of M & An is expected to increase the performance for 22 years, and the effect of light asset export model is beginning to show. The company acquired 80% stake in Pratt & Whitney property and 100% equity in Zhongda property for 132 million yuan, increasing the management area by about 4 million square meters. At present, the two companies have completed industrial and commercial changes and will thicken their performance in the first quarter of 2022. In addition, the company's light asset platform output model has achieved initial results. At present, nine joint ventures have been set up, with a total management area of 4 million square meters, including residential, office, cultural, travel, park and other formats, which will further consolidate the strategic layout of the company's urban space operators.
Some progress has also been made in value-added services on the platform. The company carries out new retail in the community through the "Yuejia" platform, and links to professional service plates such as offline housekeeping and cleaning, home service, decoration, rental and sale, etc., and the flow of the platform is growing rapidly. The total sales of the platform during the Mid-Autumn Festival exceeded 8 million, an increase of 60% over the same period last year, while sales of Yuejia Mall exceeded 2 million, an increase of 100% over the same period last year.
Investment advice: the company's multi-format comprehensive layout has led to steady growth, and the results of regional expansion have been gradually realized. According to the annual report, we adjusted the company's EPS for 22 and 23 years to 1.04yuan and 1.23yuan respectively, and according to the closing price on April 27, 2022, the corresponding PE was 12.6x and 10.7x respectively, maintaining the "prudent overweight" rating.
Risk tips: the market expansion is not as expected, the labor cost is rising too fast, and the project gross profit margin is falling.
