1H22 performance is basically in line with our expectations.
The company's 1H22 achieved an income of 1.491 billion yuan,-4.8% compared with the same period last year; the net profit returned to the mother was-12 million yuan, which turned into a loss compared with the same period last year; the net profit after deducting the non-return to the mother was-14 million yuan, and the loss was enlarged over the same period last year. Corresponding to 2Q22, the income is 737 million yuan,-1.8% compared with the same period last year; the net profit is 15 million yuan, + 256.1% compared with the same period last year; and the net profit after deducting non-return is 31 million yuan, reversing the loss over the same period last year. The company's performance is basically in line with our expectations.
Export sales continued to grow, while domestic sales were under pressure. 1) the year-on-year growth rate of 1H22's domestic and export revenue is-22% and 18% respectively. Thanks to the easing of shipping capacity, the company's export revenue continues to grow, but the growth rate still slows down compared with the previous year. 2) according to the category, the business income of 1H22 Cooking utensils / small Household Appliances is 1.147 billion yuan / 166 million yuan respectively, which is-0.6% and 23.2% respectively compared with the same period last year, and the growth rate shows a downward trend compared with the same period last year, mainly because the company's traditional advantage offline merchant super channel is under pressure under the influence of the epidemic, while the operation performance of the online channel company is average, Jiuqian data show. 1Q22/2Q22 's channel sales in Tmall and JD.com are-0.5% and 19%, which is weaker than that of the industry. 3) 1H22 Qianjiang Robot has successfully developed new products such as general-purpose robots and four-axis palletizing robots suitable for polishing and polishing, but affected by the epidemic, the output of 1H22 domestic industrial robots has dropped 11% compared with the same period last year. 1H22 company robot business revenue of 128 million yuan,-11.2%, in line with the industry trend.
Financial analysis: 1) 1Q22/2Q22 company gross profit margin is 27.7% 2.6ppt/-0.9ppt 25.6%, respectively year-on-year-2.6ppt/-0.9ppt, affected by the rise in raw material costs, but the decline improved, 1H22 domestic and export gross profit margin of 36.4%, 18.8%, year-on-year-1.1ppt/+0.9ppt, export gross profit margin benefited from exchange rate fluctuations slightly increased 2) 2Q22's sales expense rate / management expense rate / R & D expense rate is respectively year-on-year + 0.4ppt/-0.5ppt/-2.2ppt. Under the comprehensive influence, the company's 2Q22 return net interest rate is 2.0%, year-on-year + 1.5ppt, reversing losses compared with the previous three quarters; 3) with the increase of benefit net interest rate and exchange rate fluctuations, the company 2Q22 deducts the non-return net profit to reverse losses compared with the same period last year.
Trend of development
Double business development of intelligent cooking electricity and robot. 1) Cooking utensils and small household appliances business, the company strengthens the layout of new channels, strengthens cooperation with traditional e-commerce platforms, and actively embraces new channels and marketing methods, but the actual operation effect remains to be seen. 2) Robot and intelligent manufacturing business, the company actively arranges robot body R & D and manufacturing, polishing, welding, die-casting and other process packages, while providing systematic intelligent manufacturing solutions, the business is still advancing steadily.
Profit forecast and valuation
Considering the impact of the epidemic on the company's operation due to the transfer of industry sales to online channels, we basically maintained our profit forecast for 2022 and lowered our net profit by 19.7% to 18 million yuan in 2023. Considering the slow recovery of the company's profitability, we expect the company's profit margin to return to normal in 2024, with the current share price corresponding to 39.1 times 2024. Maintain a neutral rating and a list price of 7.37 yuan, corresponding to 36.8 times 2024 price-to-earnings ratio, which is 6.0% lower than the current share price.
Risk
The risk of fluctuation of market demand and the risk of price increase of raw materials.