Matters: Zhong Tingyi, CEO of Vitasoy, spoke at the industrial round table dialogue on "Innovation mileage and Global Plant-based Market trend Frontiers of Plant-based leading Brands in China, France and the United States": "what we need to do is not to pursue concepts and to make plant protein products that a new generation of consumers really like to meet their health needs."
The plant-based market is strong, and the demand for a "clean and healthy" diet breaks out. With consumers' attention to the health and function of food, botanical innovation in food, beverages and ingredients is booming, and plant-based foods will continue to expand into the broader food market. (1) from the perspective of consumer groups, the "2020 Innovation trend of Plant protein Beverage" released by Tmall New Product Innovation Center shows that the growth rate of plant protein beverage market in 2020 is as high as 800%, and the growth contribution in the beverage market is 15.5%. It is a high-speed engine for the growth of the beverage market. The number of people buying vegetable protein drinks increased by 900%. The main consumer groups are female urban blue-collar workers, aged between 25 and 34, and concentrated in second-and third-tier cities. (2) from the point of view of nutritional requirements, plant base can not only replace animal protein to supplement essential amino acids, but also does not contain cholesterol and saturated fat. It can also provide more dietary fiber, vitamin E, unsaturated fat and other healthy ingredients, as well as some special health ingredients. For example, vitamin milk "calcium +" products, each box contains 300mg calcium; "probiotics +" each box provides 5g of natural dietary fiber, equivalent to 360g lettuce dietary fiber content. In addition, plant protein is not only limited to meet the needs of people with lactose intolerance and milk protein allergy, but also meets the consumption needs of advocating a clean, sustainable and healthy lifestyle.
(III) in terms of plant-based product categories, the main drivers of the plant-based product market are still meat and dairy substitutes, including milk, cheese, yogurt and ice cream. But in addition, the condiment category is also growing rapidly, and the entire diet category is being transformed by the plant-based trend.
"Health addition" grabs the plant-based race track, and the product matrix continues to expand. As a leading plant-based brand in China, Vitasoy has played a positive role in the plant protein beverage industry by constantly improving the product matrix of high-end soy milk series "health addition" and popularizing science education for consumers on plant protein nutrition.
Compared with other soy milk, Vitasoy "health addition" series of products have obvious innovative advantages. (1) in terms of production technology, Vitasoy uses high-quality non-genetically modified soybeans and micron-level raw bean grinding technology to maximize the release of plant nutrition and provide consumers with healthy drinks with 0 cholesterol and low sugar. (2) in terms of nutritional value, the series of "healthy addition" products are fortified soy milk with many trace elements added. According to the needs of different people, we creatively create a variety of nutritional formulations, which is the first high-end soy milk with high calcium and natural dietary fiber. (3) in terms of product category and utility, the "health addition" product matrix has rich nutritional effects, in which "calcium +" products help to strengthen bones and teeth; "probiotics +" products help to maintain normal intestinal function, enhance immunity, reduce cholesterol and high blood pressure, and are suitable for people who pursue lighter bodies. "protein +" products are rich in high protein, protein is the main component of the human body and provides a variety of amino acids, suitable for people pursuing a healthy posture; the newly launched "Padan + Hawaiian fruit" and "oat + quinoa" are brand-new dual plant milk, mainly high in calcium, high in protein, 0 cholesterol and low in sugar.
Investment advice: as the epidemic gradually abates, the company picks up again after fluctuations. The lemon tea market is expected to continue to increase volume and usher in a simultaneous rise in volume and price. And the company is also in the plus code online channel, through cross-border cooperation to expand the product consumption scene, the superimposed company's production capacity is released steadily, and the new factory in Dongguan is expected to be put into production in 2020. we estimate that the company's income from 2020 to 2022 will be 70.38 pounds 77.77 billion Hong Kong dollars respectively, the profit attributable to equity holders will be 493 million pounds 700 pounds 847 million Hong Kong dollars, and the EPS is 0.46 pounds 0.66 pounds 0.80 Hong Kong dollars respectively. Corresponding to PE 64-45-37. However, the valuation level is relatively high compared with comparable companies listed in Hong Kong, giving a "recommended" rating.
Risk tips: consumption upgrading is not up to expectations, brand publicity is not up to expectations, food safety problems, epidemic situation repeatedly affect consumer demand.
