Event: according to the company announcement, the revenue in the first half of 2022 was 995 million yuan,-2.57% compared with the same period last year; the net profit was-13 million yuan,-116.26%; and the net profit was-18 million yuan,-124.09% compared with the same period last year. Q2 achieved revenue of 641 million yuan in a single quarter, year-on-year-6.47%, month-on-month + 81.21%; return-6 million yuan, year-on-year-112.18%, month-on-month-15.56%; deduction of non-return net profit-8 million yuan, year-on-year-117.84%, month-on-month-17.53%.
Comments:
Optimize the customer structure, gradually expand the engineering business, actively expand the category, increase the love brand smart lock and the whole house smart home. 1) from the perspective of sub-channels, the H1 dealer channel achieved 497 million yuan in revenue, accounting for 52.18% of the main business income, and the dealer channel was continuously optimized. H1 added 176 new dealers and replaced 12 dealers. The revenue of the project channel is 438 million yuan, accounting for 46.02% of the main business income. The company focuses on developing customers with good credit conditions, such as state-owned enterprises, central enterprises, and high-quality private enterprises, and optimizes the customer structure. In the strategic cooperation customers, we expand the categories of smart locks, armored doors, Carmen and other categories. Last year, we collected customers to place orders one after another, and the H1 project side gradually increased the volume; e-commerce channel revenue was 17 million yuan, accounting for 1.8% of the main business income. 2) from a product point of view, the income of H1 steel door is 727 million yuan, accounting for 76.29% of the main business income, the income of other doors is 159 million yuan, accounting for 16.66% of the main business income, and the intelligent lock income is 67 million yuan, accounting for 7.04% of the main business income. H1 company actively expand categories, increase love brand smart locks and the whole house smart home, comply with the whole house, intelligent trend, and actively promote the construction of complete home.
The gross profit margin is affected by the increase in the price of raw materials and the increase in depreciation sharing expenses, and the level of single Q2 cash flow is improved. 1) in terms of gross profit margin, H1 comprehensive gross profit margin is 21.55%, year-on-year-6.81pct.
From a single Q2 point of view, the comprehensive gross profit margin is 20.79%, year-on-year-6.54pct, the decline in gross profit margin is mainly due to the increase in the price of raw material steel, although the recent downward trend, but its impact on product costs is lagging, at the same time, Changtian, Sichuan plant depreciation sharing cost increase is also a factor affecting the company's gross profit margin. 2) in terms of expense rate, H1 company's period expense rate is 16.39%, year-on-year + 2.64pct, sales / management / R & D / financial expense rate is 12.28%, 4.79%, 3.39%, 0.67% respectively, year-on-year change + 2.64pct/+0.02pct/+0.59pct/-0.03pct. During the single Q2 period, the expense rate was 14.64%, year-on-year + 1.69pct, sales / management / R & D / financial expense rate was 11.56%, 3.58%, 3.35%, 0.50%, respectively, and the year-on-year change + 2.01pctCompact 0.45pctcompany0.13pctH1 increased sales expense rate mainly due to increased advertising investment. The increase in R & D expenditure rate is mainly due to the increase of R & D investment, R & D staff wages and patent fees. 3) in terms of net interest rate, H1 company's net return rate is-1.27%, year-on-year-8.85pct, deducting non-return net interest rate is-1.77%, year-on-year-8.92pctPowerQ2 single-quarter net return rate is-0.90%, year-on-year-7.81pct, deducting non-return net interest rate is-1.24%, year-on-year-7.74pct.
4) in terms of cash flow, the net cash flow of H1 business activities is-234 million yuan, compared with the same period last year. The net cash flow of business activities in a single quarter is-91 million yuan,-114.36% compared with the same period last year, and + 36.46% compared with the same period last year.
Profit forecast: the company continues to carry out distribution, deep ploughing of engineering channels, and constantly expand categories, and the rising gross profit margin of raw materials will be squeezed in a short period of time. In the future, with the gradual release of production capacity and the correction of steel prices, we believe that the revenue end and profit end of the company are expected to be improved. We expect the company's net profit from 2022 to 2024 to be 63 million yuan, 78 million yuan and 96 million yuan respectively, an increase of-54.4%, 25.0% and 22.4% respectively over the same period last year. The current stock price corresponds to a PE of 67x in 2022.
Risk factors: market competition aggravates the risk, the risk of rising raw material prices.