2024 年H1 公司毛利率为55.61%，同比-2.3pct，净利率为13.61%，同比-9.15pct；其中2024Q2 毛利率为54.07%，同比-5.75pct，净利率为11.83%，同比-10.33pct。分业务看，24H1 核心业务剃须刀/电吹风毛利率同比分别为+1/-6pct，24H1 公司研发新品包括剃须刀、高速电吹风等共计9 个系列新品上市，其中24Q1 上新的剃须刀定价399 元，均价高于热卖的小飞碟产品，使毛利率同比有所提升。除吹风机外，理发器、电动牙刷、鼻毛修剪器等业务的毛利率同比均有提升。Incident: The company achieved revenue of 2.319 billion yuan in 2024, -13.27% year-on-year, net profit to mother of 0.315 billion yuan, or -48.13%; of these, 2024Q2 achieved operating income of 1.144 billion yuan, -11.94% year-on-year, and net profit of 0.135 billion yuan, or -52.98% year-on-year.
The revenue growth rate of the core shaver business is under pressure. The sales performance of the hair dryer business is good. Looking at the 24H1 core business, revenue was -20%/+24% year over year, respectively. The hair dryer business had good sales performance after the high-speed hair dryer was launched, and revenue showed rapid growth; the shaver business declined year-on-year, mainly due to the combined effects of the company's strategic adjustment transition period and changes in the consumer environment. By brand, the company optimized the “POREE vPro” brand's ultimate cost-effective operating model, more accurately connect with cost-effective consumers, and increase the market share of the vPro brand. The vPro brand 24H1 achieved revenue of 0.501 billion yuan, +35.92% year-on-year, and a significant increase in market share; its share of sales increased to 21.70%, +4.53pct year-on-year.
The gross margin of hair dryers in the core business declined significantly year-on-year
In 2024, H1's gross margin was 55.61%, -2.3 pct year on year, and the net profit margin was 13.61%, the year-on-year -9.15 pct; of these, 2024Q2 gross margin was 54.07%, -5.75pct year on year, and the net margin was 11.83%, or -10.33pct year on year. By business, the gross margin of 24H1's core business shavers/hair dryers was +1/-6pct, respectively. 24H1 developed a total of 9 new products, including shavers and high-speed hair dryers, and launched a total of 9 new products. Among them, the price of the new shaver on 24Q1 was 399 yuan, which was higher than the average price of popular small flying saucer products, which increased gross margin year-on-year. In addition to hair dryers, the gross margin of businesses such as hair clippers, electric toothbrushes, and nose hair trimmers all increased year over year.
The company invests heavily in publicity expenses
The company's 2024 H1 sales, management, R&D, and financial expense ratios were 34.55%, 3.7%, 1.77%, and -0.22%, respectively, +7.18, +0.95, -0.16, and -0.08pct; of these, the 24Q2 quarterly sales, management, R&D, and financial expenses rates were 35.52%, 3.75%, 1.99%, and -0.22%, respectively, +5.37, +0.78, -0.19, and -0.02pct. The 24H1 sales expense ratio increased significantly, mainly due to the increase in advertising, promotion and promotion expenses; the year-on-year increase in management expenses was mainly due to depreciation and increased personnel costs.
Sales payments+reduction in government subsidies weighed the company's short-term cash flow. The company's net cash flow from H1 operating activities in 2024 was 0.301 billion yuan, -66.17% year over year, of which cash inflow from sales of goods and provision of labor services was 2.491 billion yuan, -14.31% year over year; of these, the net cash flow from 2024Q2 operating activities was 0.063 billion yuan, -79.78% year over year, of which the cash flow from sales of goods and provision of labor services was 1.177 billion yuan, -12.05% YoY The company's short-term cash flow is under pressure, mainly due to the combined effects of reduced sales payments and reduced government subsidies unrelated to daily activities.
Investment suggestions: On the revenue side, the hair dryer category's revenue performance is relatively good; on the profit side, the company's product structure has improved significantly; by brand, vPro's growth rate is good, contributing to revenue growth. With the subsequent launch of the company's new categories of shavers and hair dryers, revenue performance is expected to recover. According to the company's interim report, we have appropriately lowered our revenue and gross profit margin. We expect net profit to be 0.75/0.81/0.91 billion yuan (previous value 1.02/1.13/1.27 billion yuan) for 24-26, respectively, and the corresponding dynamic PE is 20.4x/18.8x/16.7x, maintaining a “buy” rating.
Risk warning: Product structure upgrades fall short of expectations; new product promotion falls short of expectations; risk of fluctuations in raw material prices.
