JS Global Life (1691.HK): Pay attention to overseas demand to establish export product research and development centers



Strategic optimization,实时新闻 focus on expanding overseas business

JS Global Life (JS) subsidiary(002242 CH) On December 16, 2023, it was proposed to increase capital to the company's wholly -owned subsidiary Jiuyang (Hong Kong) Science and Technology Innovation Center Co., Ltd.Hong Kong Investment and Construction of Jiuyang Co., Ltd. Hong Kong Intelligent Home Appliances Technology Innovation Center project helps enhance the company's global market competitiveness.Based on the company in June 2023, SN North America and Europe have adjusted their revenue and gross profit margins to predict 23-25 yearsNet profitIt was 0.85/111/131 million US dollars (previous value: 4.11/4.76/519 million US dollars). As of December 20, 2023, Bloomberg compared to 1224 PE as 12 times.The influence of demand margin has slowed down, we gave the company a 9 -fold PE valuation of 24 years, and the target price was adjusted to HK $ 2.25 (previous value: 11.12 Hong Kong dollars, corresponding to 12 times PE in 23 years.EssenceMaintain "buy".

It is expected to accelerate the development of overseas products

In 23 years, the company re -adjusted the organizational structure. The Sharkninja branch (excluding Sharkninja Asia Pacific business unit) was split from the company, and the split part accounted for about 70%of the company's income and profits in 2022, which has a greater impact on the report.After spin -off, the proportion of revenue outside the company's Chinese market is only 10.6%(23H1). In the context of the large room growth space in the overseas small home appliance market, it is more important to promote the localization of the company's export of home appliances.The home appliance technology innovation center is conducive to continuously attracting international scientific research and technical talents, and efficiently promotes the localization of smart home appliance products exported by the company.

Chinese kitchen small home appliance pressure

Under the common effect of home demand weakened, consumer downgrade, and optional attributes, domestic kitchen appliances demand is weak.According to the data of Aowei Cloud, the general data of the omni-channel push from January to September 2023 shows that the overall retail sales of the kitchen small home appliances (including 15 categories) of 38.86 billion yuan, a year-on-year-9.6%, retail sales of 188.6 million units, a year-on-year-0.5%year-on-year-0.5%Among them, online retail sales were 29.61 billion yuan (year-on-year-9.9%); offline retail sales were 9.24 billion yuan (year-on-year-8.9%).During the Double 11 e-commerce promotion period, online retail sales were also -16.7%year-on-year.

The main body also includes Sharkninja Asia Pacific Business

After the company's organizational structure is adjusted, it still includes Sharkninja Asia -Pacific business units (mainly including Japan, Australia and New Zealand, and products are mainly clean electrical appliances and kitchen appliances).In 2022, SN Asia Pacific achieved a revenue of about US $ 100 million, and after tax profit of about 7 million US dollars, accounting for 2.1%of the net profit of Global Life in JS before splitting.23H1 achieved revenue of $ 49 million, a year -on -year+73%, and the performance is still more positive.