聚焦“爵宴”等自主品牌，境内营收维持快速增长。据久谦咨询数据，24H1 爵宴天猫淘宝、京东、抖音累计销售额同比+47%。24Q2 爵宴首次推出干粮产品——爵宴原生风干粮系列，上线一个月就登上了618 期间抖音鸭肉味犬主粮、京东风干狗干粮榜单第一名，带动主粮和湿粮营收同比+34.9%，毛利率+3.2pct。同时，公司推出新品“爵宴冻干系列”，采用稀有食材，包含牛肝酥、无毛兔耳、伊比利亚黑猪心三款时尚风味。亚宠展期间，推出首款季节限定宠食“爵宴宠物冰淇淋”，吸引众多消费者眼球。公司仍将继续加大销售费用的投放力度并完善国内营销体系的布局，维持境内业务营收快速增长，24H1 销售费用为5086 万元，同比+17.6%，同时有望通过提价、加强价格管控、调整产品结构等方式提升国内业务毛利率水平。Key points of investment:
The company released its 2024 semi-annual report, with a year-on-year increase in performance. 24H1 achieved operating income of 0.85 billion yuan, +71.6% year-on-year, and achieved net profit of 0.098 billion yuan (the company had previously issued a performance forecast (90 million-0.11 billion yuan), and actual performance was close to the center of the forecast, in line with expectations), reversing losses year-on-year (23H1 was -42.697 million yuan). The consolidated gross margin was 26.4%, +10.9pct year on year, and the net margin was 11.7%, +20.4pct year on year. 24Q2 achieved operating income of 0.46 billion yuan, +38.1% year-on-year, and realized net profit of 0.056 billion yuan to mother, reversing year-on-year losses (-4.624 million yuan in 23Q2). The comprehensive gross margin was 28.0%, +11.9pct year on year, +3.7pct month-on-month, net margin was 12.3%, +13.9pct year-on-year, and +1.4pct month-on-month.
Overseas business revenue increased year-on-year, and rising production capacity in overseas factories led to an increase in profits. 24H1 The order pace for overseas customers has returned to normal. Under a low base, the company's overseas business revenue increased year-on-year. The capacity utilization rate of factories in New Zealand and Cambodia is climbing, leading to an increase in profitability. According to the company's official public account, in March '24, the company's 0.04 million-ton dry food plant in New Zealand officially entered the mass production stage. The capacity utilization rate of the Cambodian factory climbed and gradually reversed losses. 24H1 Cambodia Jue Wei Food Co., Ltd. achieved net profit of 18.4 million yuan (loss of 2.384 million yuan in 23 years), with a net interest rate of 11%, +26.7 pct. Looking ahead, with the gradual development of overseas customers and the continued rise in production capacity in New Zealand and Cambodia, the company's overseas business revenue will continue to grow steadily, and there is still room for improvement in profitability.
Focusing on independent brands such as “Juehan”, domestic revenue has maintained rapid growth. According to data from Jiuqian Consulting, the cumulative sales of 24H1 Tmall Taobao, JD, and Douyin were +47% year-on-year. 24Q2 Jue Yan first launched a dry food product, the Jueyan Native Dry Food Series. One month after launch, it ranked first in Douyin's list of duck meat flavored dog staple food and Jingdong dry dog dry food lists during the 618 period, driving revenue ratio of staple food and wet food +34.9%, and gross margin of +3.2pct. At the same time, the company launched a new product, the “Jue Feast Freeze-Dried Series”, which uses rare ingredients, including three trendy flavors: beef liver cake, hairless rabbit ears, and Iberian black pork heart. During the Asian Pet Show, the first seasonal pet food “Jue Feast Pet Ice Cream” was launched, which attracted the attention of many consumers. The company will continue to increase the investment of sales expenses and improve the layout of the domestic marketing system to maintain rapid domestic business revenue growth. 24H1 sales expenses were 50.86 million yuan, +17.6% compared with the same period last year. At the same time, it is expected that the gross margin level of the domestic business will be raised through price increases, price control, and product structure adjustments.
Raise profit forecasts and maintain a “buy” rating. The company's production capacity of 0.04 million tons of dry food in New Zealand will gradually increase in 24-25, and staple food sales are expected to increase further, driving the company's revenue and gross margin upward, while domestic business losses are expected to gradually narrow.
Due to the decline in raw material prices and the company's production capacity climbing progress exceeding previous expectations, we raised our profit forecast. We expect the company to achieve operating income of 1.96/2.37/2.89 billion yuan in 2024-2026, +39%/+21%/+22%, and achieve net profit to mother of 0.2/0.22/0.25 billion yuan (the original 24-26 profit forecast was 0.14/0.18/0.21 billion yuan). The current stock price corresponds to PE at 15X/14X/12X, and maintained “Buy” rating.
Risk warning: risk of exchange rate fluctuations; risk of price fluctuations of raw materials; risk of new product promotion falling short of expectations.
