What happened: the company released its third quarter report for 2022. During the reporting period, the company achieved revenue of 3.76 billion yuan, down 27.18% from the same period last year; net profit from its mother was-30 million yuan, down 134.16% from the same period last year; and basic earnings per share was-0.15 yuan per share. Of this total, the company's revenue in the third quarter was 1.455 billion yuan, down 26.74 percent from the same period last year, and the net profit returned to its mother was 71 million yuan, up 59.92 percent from the same period last year.
Q3 cost control has been effective, and profitability has continued to improve. In terms of gross profit margin, during the reporting period, the company's comprehensive gross profit margin was 34.5%, an increase of 0.38 pct over the same period last year. Among them, 22Q3's single-quarter gross profit margin was 36.71%, an increase of 3.71 pct over the same period last year and 2.3 pct higher than the same period last year. In terms of expense rate, during the reporting period, the company's expense rate was 36.52%, an increase of 4.17 pct over the same period last year.
Among them, the sales / management / R & D / financial expense rates were 24.98% / 7.01% / 3.2% / 1.34%, respectively, with year-on-year changes of + 0.98 pct / + 1.39 pct / + 0.47 pct / + 1.33 pct.
Among them, the amount of expenses during the single quarter of 22Q3 decreased by 38.56% compared with the previous quarter, and the expense rate decreased by 30.25 pct compared with the previous quarter. In terms of net interest rate, in the first three quarters of 2022, the company's net interest rate was-0.81%, down 2.5 pct from a year earlier. Among them, the net interest rate of 22Q3 in the single quarter was 4.87%, an increase of 2.64 pct over the same period last year and 4.92 pct higher than the previous quarter.
Q3 sales month-on-month improvement, channel sinking to improve marketing layout. In terms of categories, the company launched a new "random choice" whole-house customization model to provide consumers with a personalized customized package of "3n+2n" to meet the diversified needs of customers, tap the consumption potential of passenger flow, and increase the unit price of customers. The company's sales improved month-on-month, Q3 single quarter, the company is expected to achieve custom furniture of about 1 billion yuan, an increase of about 26%, supporting home is expected to achieve about 160 million yuan, an increase of about 9%, is expected to achieve more than 100 million yuan, month-on-month growth of about 10%. In terms of channels, the company focuses on the urban development strategy of "1+N+Z", insisting on taking "1" self-operated companies or main franchisees as the only business main body, and the integration of various dealers, installation enterprises and other channels to accelerate the sinking of investment in third-and fourth-tier cities. During the reporting period, the total number of stores of the company is expected to exceed 2200, of which about 80 are expected to be directly operated stores and about 2150 are expected to join specialty stores.
Integrated cloud multi-dimensional capacity to install enterprises, self-assembly focus on the development of major cities. In terms of integrated cloud, the company builds HOMKOO integrated cloud platform, develops BIM and K20 design systems to deepen integrated services, provides main and auxiliary materials and household capacity for member enterprises, and launches customized cabinet brand Maku MRKOQ exclusively for integrated cloud members. In terms of self-assembly, the company selected large self-operated cities to carry out Christmas bird assembly, but its business was blocked by the epidemic, so the company took the initiative to scale back its own business in other cities, focusing on major cities such as Guangzhou and Buddha.
In the single quarter of Q3, the integrated cloud business is expected to achieve about 120 million, an increase of about 34% from the previous month, a decrease of about 15% from the same period last year, and a decrease of about 70 million from the previous year.
Investment suggestion: the company seizes the opportunity of C2B reform in consumption, comprehensively promotes the transformation of integrated equipment, builds technical barriers to digital integration, deepens the coordination of online and offline channels, and is expected to achieve basic earnings per share of 0.79 / 1.23 / 1.51 yuan per share in 2022 / 23 / 24, corresponding to PE of 27X / 18X / 14X, maintaining the "recommended" rating.
Risk hint: the risk that economic growth is less than expected; the risk of intensified market competition.