Domestic small electrical appliances are on the rise.
On the evening of July 10, Feike Electric (603868.SH) released a performance report.In the first half of 2022, the company achieved an operating income of 2.279 billion yuan, a year-on-year increase of 30.18%; the net profit attributable to shareholders of the listed company (hereinafter referred to as "net profit") was 456 million yuan, a year-on-year increase of 45.36%.
The Changjiang Commercial Daily reporter noticed that with the joint efforts of high-end products and emerging channels, Feike Electric has ushered in another performance peak after its listing.Previously, from 2018 to 2021, Feike Electric had deducted non-net profit for four consecutive years.
According to the company's introduction, since last year, Feike Electric has successively launched a variety of differentiated technological innovation products, and increased investment in content marketing. At the same time, it boosts product sales and realizes the unity of product and effect.
In 2021, the sales of new mid-to-high-end razor products of Feike Electric will account for 20.32%, and the average sales price of razor products will increase by 25.23% compared with 2020.
It is worth mentioning that Feike Electric has less capital operation and mainly relies on endogenous development to achieve a second take-off.In the six years since its listing, the company has only raised 728 million yuan through IPO, and has no equity financing since then, but it has distributed a total of 3.485 billion yuan in cash dividends.
Two consecutive quarters of high performance
Since the beginning of this year, Feike Electric's operating performance has once again reached a small peak.
The performance report shows that in the first half of 2022, Feike Electric achieved operating income of 2.279 billion yuan, a year-on-year increase of 30.18%; net profit of 456 million yuan, a year-on-year increase of 45.36%; net profit after deducting non-recurring gains and losses was 428 million yuan, a year-on-year increase. An increase of 56.39%.
In the previous quarter, Feike Electric achieved operating income of 1.12 billion yuan, a year-on-year increase of 27.54%; net profit was 237 million yuan, a year-on-year increase of 59.1%.
Feike Electric said that in the second quarter of 2022, in the face of the epidemic, the company will strive to reduce the adverse impact through a series of rapid response measures such as strengthening online operations, building warehouses in different places, launching live broadcasts at home and community group purchases, and maintaining a stable environment in difficult environments. a good business situation.In the second quarter, the company achieved an operating income of 1.16 billion yuan, a year-on-year increase of 32.83%, a net profit of 220 million yuan, a year-on-year increase of 32.98%, and a net profit of 202 million yuan after deducting non-recurring gains and losses, a year-on-year increase of 49%.
According to the data, Feike Electric is an enterprise integrating R&D, manufacturing and sales of smart and fashionable home appliances such as shavers, household appliances and electrical appliances.After 23 years of rapid development, the company has a high reputation and market share in the field of personal care appliances, and is a leading brand in the domestic personal care appliance industry.
However, in the few years of listing, the operating performance of Feike Electric has not always been dazzling.After landing on the main board of the Shanghai Stock Exchange in April 2016, the company's performance has grown rapidly for two consecutive years in 2016 and 2017, with net profit growth rates of 22.23% and 36.22%, respectively.However, since 2018, the growth rate of Feike Electric's performance has decreased significantly. In the current period, the company's revenue has increased by 3.2% to 3.877 billion yuan, and its net profit has only increased by 1.14% to 835 million yuan.In 2019 and 2020, the company's performance dropped for two consecutive years, with operating income of 3.759 billion yuan and 3.568 billion yuan respectively, a year-on-year decrease of 5.46% and 5.09%; net profit of 686 million yuan and 638 million yuan, a year-on-year decrease of 18.83% and 6.93%. %.Until 2021, the company's performance has rebounded again. The current operating income is 4.005 billion yuan, a year-on-year increase of 12.26%; the net profit is 641 million yuan, a year-on-year increase of 0.38%.
At the same time, from 2018 to 2021, the deducted non-net profit of Feike Electric declined for four consecutive years, to 777 million yuan, 623 million yuan, 594 million yuan, and 584 million yuan, a year-on-year decrease of 1.27%, 19.79%, and 4.66% %, 1.7%.
Since the beginning of this year, the net profit growth rate of Feike Electric has been above 30% for two consecutive quarters, and this phenomenon only appeared during its best performance in 2016.
It is worth mentioning that in recent years, Feike Electric has only raised 728 million yuan through IPO, and there is no equity financing after listing.However, from 2016 to 2021, the company has distributed a total of 3.485 billion yuan in cash dividends.
The rapid growth of mid-to-high-end new products accounts for more than 20% of sales
As a representative of domestic small electrical appliance brands, the re-emergence of Feike Electric is inseparable from the promotion of high-end products and emerging channels.
According to Feike Electric, in the first half of this year, the company continued to firmly implement the development strategy of realizing high-end products through technological innovation and high-value design, driving brand upgrades, and promoting intelligent, fashionable, and youthful upgrades of products through product R&D innovation. , and promote the C-end, content and direct supply upgrade of the marketing model through marketing management innovation, and build a development path at the forefront of innovation.
During the reporting period, the company made great efforts to create popular models of differentiated technological innovation products such as "intelligent induction" shavers and portable "space small flying saucer razors", combined with the continuous strengthening of holiday emotional marketing strategies, increased investment in content marketing, Improve the level of content production and content operation, deeply explore the emotional appeal of the gift attributes of personal care appliances in emotional holidays such as "Valentine's Day", "5.20", "Father's Day", and continue to strengthen and optimize the multi-stores of the Douyin platform Simultaneous broadcast matrix operation, while enhancing brand connotation and brand image, boosts product sales and realizes the unity of product and effect.
According to Cicada’s data, the sales volume of Feike brand Douyin channel in May was 117 million yuan, a year-on-year increase of 706%, and the sales in June were 91 million yuan, a year-on-year increase of 339%.
The Changjiang Commercial Daily reporter noticed that with the launch of the above-mentioned innovative products, the product sales structure of Feike Electric has undergone significant changes, especially the rapid increase in the proportion of new mid-to-high-end razor sales, which has promoted the company's performance to improve.
In 2021, the sales of new mid-to-high-end razor products of Feike Electric will account for 20.32%, and the average sales price of razor products will increase by 25.23% compared with 2020.
At present, Feike Electric mainly adopts the production mode combining independent production and outsourcing production.Among them, the company's self-produced products are mainly technical new products and high-end products.In 2021, the company's outsourced production volume will account for 53.90% of its total output.
However, whether it is its own factory or an outsourced manufacturer, the main raw materials and core parts procurement business of Feike Electric are all centrally purchased by the company.Therefore, by virtue of the scale effect, the bargaining power of Feike Electric and upstream raw material suppliers has been enhanced, and the cost has been effectively controlled.
In 2021, the gross profit margin of Feike Electric's main business will be 46.92%, a year-on-year increase of 5.73 percentage points.Among them, the gross profit margin of personal care appliances was 48.13%, a year-on-year increase of 5.84 percentage points.
The advancement of high-end is inseparable from the company's continuous R&D investment.In 2021, the company's research and development expenses will be 132 million yuan, a year-on-year increase of 78.12%, accounting for 3.29% of the current revenue.
On the other hand, Feike Electric also pays great attention to marketing and promotion. More big promotion activities and new channel construction make the company's sales expenses higher, which will also reduce profit margins to a certain extent.In 2021, the company's sales expenses will be 770 million yuan, a year-on-year increase of 83.22%.
