The penetration of smart wearable devices continues to increase, and there is a broad market space for bone conduction, AR and watches.
Bone conduction headset is a category in the Bluetooth headset market at present, which mainly focuses on the sports headset market. According to QYR, the global market for bone conduction headphones grew from $31.94 million in 2014 to $160.34 in 2018.
It is predicted that by 2025, this figure will reach 939.06 million US dollars, and the compound annual growth rate from 2019 to 2025 is expected to reach 27.19%. The future development of bone conduction headphone market will still show a rapid growth trend. In terms of smart wearable devices, benefiting from innovative developments in areas such as the Internet of things and smart living, according to Gartner data, global user spending on wristband smart wearable devices such as smartwatches reached $26.745 billion in 2020, an increase of 13.32% over the same period last year. Sales of such devices are expected to reach $35.814 billion by 2022, with a compound annual growth rate of 33.91%. According to FortuneBusinessInsights data, the market space for smart glasses has reached US $4.651 billion in 2019 and US $15.788 billion in 2027, with a compound annual growth rate of 17.2%.
"Dongguan-Vietnam-Jiangxi" trinity to enhance delivery capacity and deepen cooperation with major customers
The company is a leading manufacturer of electroacoustic products in China. on the basis of existing headphones and speaker products, the company closely seizes the development opportunity of the consumer electronics industry, closely tracks customer demand, and launches bone conduction headphones, smartwatches, smart glasses and other products to broaden the product matrix. 2022H1 headphone products account for 77.13% of the main revenue, speaker products account for 17.88% of the main revenue, and smart wear products account for 4.23% of the main revenue, accounting for a gradual increase. In terms of bone conduction headphones, the company has invested in Suzhou Suoji Electronic Technology Co., Ltd., a developer of core devices such as vibrator motor, which is mainly sold to overseas markets. In terms of smartwatches, the company has established cooperative relations with a number of terminal brands, and orders will be gradually landed. In terms of intelligent glasses, the company invests in Riowell (Shanghai) Intelligent Technology Co., Ltd., and cooperates with it to develop AR equipment and other products, which are intended to be applied to industrial customers such as Honeywell, Siemens, BMW, Petrochina, Baosteel, Yili and other industrial customers, and will gradually extend to the consumer field in the future, with good development prospects.
In order to improve the large-scale production capacity and achieve cost reduction and efficiency at the same time, the company has production bases in Dongguan, Jiangxi and Vietnam, and introduces information systems such as ERP, MES, WMS, PLM, etc., which significantly improves the flexible intelligent manufacturing capacity and customer response ability. The company has maintained a close, stable and long-term strategic cooperative relationship with the world's top electro-acoustic brands, intelligent terminals, communication operators and Internet giants, and its customer base includes international well-known brands such as Harman and Skullcandy, as well as domestic well-known manufacturers such as Anke, Glory and Voice Holdings. The company firmly implements the strategy of "big customers, big orders". Through increasing R & D investment and deepening the depth of cooperation with customers, the company is expected to achieve common growth with customer product innovation and scale expansion in the future.
Profit forecast
The forecast company's income from 2022 to 2024 is 23.01,32.89 and 4.106 billion yuan respectively, and the EPS is 0.42,0.76,1.00 yuan respectively. The current stock price corresponding to PE is 40,22,17 times respectively, and is given "buy" investment rating.
Risk hint
The risk of increased market competition, gross profit margin fluctuation or decline risk, customer concentration risk, exchange rate fluctuation risk.
