There are also black technology in the little shower? This foundry is not another foundry, the original IDM model, the gross profit margin exceeds 30%…

This article is written on October 7th

(New Dolphin Reading: The deepest new stock interpretation of the whole market, welcome to follow)

世界花洒大王!中国版“高通”,是否名副其实?

Today, a new stock -Songlin Technology has now adjusted a wave of waves with the general trend. It is very simple to look at the fundamentals. If you do the bathroom, you still do foundry for others. Did not follow carefully.

But then I looked at Songlin’s original IDM model. I thought of the original UDM model … I can enter the internationally renowned brands such as Moen, TOTO, and Kohler, and it is a high -end bathroom, and then the company is the company. It also launched Songlin’s pretend … Whether there is still a game space for a rebound after a while, and see for you today!

(The following point of view of Songlin Technology is derived from PLAM, a group of friends in the new circle of dolphins, thank you for your hard work)

Since the beginning of this year, the market of A -share technology has been in full swing. Some technology stocks such as Oriental Communications have even turned 10 times, and Zhuo Shengwei, the newly new price, has doubled from the opening price. The current momentum, the stock price is currently the third largest high -priced stock in the market, and has won a lot of glory for me.

So is Songlin Technology, which is in the traditional bathroom accessories industry, really has a technology content?

The company has a lot of highlights among their peers. Songlin Technology is one of the very few high -tech companies that have achieved four “national” honors at the same time at the same time: “National Enterprise Technology Center”, “National Intellectual Property Demonstration Enterprise”, “National Industrial Design The center “and” national green factory “; Songlin Technology already has 613 domestic patents and has 175 overseas patents. , “Idea”, “G-Mark” and other industrial design fields almost all domestic and foreign awards at home and abroad;

Each year the shower shipments exceeded 20 million units, and Songlin Technology is also known as the “King of the World Show”, and it is called “Chinese Version Qualcomm” in the bathroom industry.

The domestic share of the shower is 7.57%

The company’s main products include shower, shower system, faucet, hose, lifting rod and spare parts. The shower and shower system are the company’s main products, with revenue accounting for about 37%and 26%, respectively. In 2018, the domestic market share of the company’s shower, shower system, faucet, hose, and lift rods was 7.57%, 1.02%, 0.54%, 7.46%, and 5.29%, respectively.

The industry’s industry is closely related to real estate. We simply calculate the capacity of the market: Since the company’s products are mainly shower, we take shower as an example. The demand for the shower industry = demand generated by new residential commercial housing every year+demand for family renewal (10 years updated)+hotel, office building, office building, hotel, etc.

Only the demand for new residential commercial housing and family renewal for new residential commercial housing each year only calculated the demand for family renewal. In 2018, 2019, and 2020, 37.9 million units, 38.23 million units, and 38.57 million units were respectively. The company’s shower production was 18.25 million in 2018. Overall, the demand for the industry is relatively stable, but unfortunately it is a consumer, so the overall scale of the industry is not large. However, the company has a lot of weight in the field of shower.

In addition, with the appearance of various high -end shower such as the button to switch shower, massage shower, Bluetooth music shower, and magnetic shower, the shower is also moving towards intelligent and electronic …

Is this foundry not another foundry? IDM mode accounts for about 54%

世界花洒大王!中国版“高通”,是否名副其实?

▲ Songlin Technology Award -winning works

In terms of sales model, the company mainly provides foundry services for international well -known sanitary brands and large chain building materials retailers, with a proportion of foundry exceeding 99%.

Its foundry service is divided into IDM models (innovative design manufacturers), ODM models (independent design manufacturers), OEM (original equipment manufacturers), with revenue ratio of about 54%, about 27%, respectively. About 18%. Among them, the IDM model is the unique model explored by the company’s years of cooperation. Compared with the traditional ODM model, creative design and technological innovation are more emphasized. This model is more conducive to actively acquiring orders, and it is more helpful to increase cooperation with customers. In the extent, the company will continue to expand the sales scale of the IDM model in the future. This is why the company is doing foundry, but the R & D cost rate of 2016-2018 reached about 5%. In the first quarter of 2019, it was even more than 7%, which was far higher than about 3-4%of the industry.

At present, the company’s main brands are Solux, but the sales scale is relatively low. In 2016-2018, revenue accounted for 0.32%, 0.66%, and 1.65%, respectively.

In addition, Songlin Home’s own brand “Solux” is also incubating, and it is fully promoted through online and offline. Songlin Home’s 2016-2018 revenue was 49.26 million, 11.2036 million, and 33.590 million.

Customers are international brands Moen+TOTO ranking in the top two customers

The top five customers of the company have basically maintained stability, and they are all internationally renowned customers: Moen, TOTO, Messewin Group, Kohler, and Lang, etc., and the period of cooperation is more than 10 years. Among them, Moen’s largest customers in the company’s largest customers, 2016-2018 revenue accounted for 17.08%, 20.56%, and 22.94%, respectively; Dongtao is the company’s second largest customer. %, 11.49%, 9.62%.

More than 75%of export -sales gross margins are much higher than domestic sales than domestic sales

The company is mainly exported, and exports account for more than 75%. Among them, Europe and North America have a high urbanization rate, with revenue accounting for about 33%and 26%, respectively.

The gross profit margin of the company reached about 35%, which is far higher than the level of gross profit margin of about 25%in domestic sales

The main reason is:

The first is the different product structure:

The company’s export products are mainly shower and accessories with high gross profit margin, accounting for 45%, while the hose with low gross profit margin in domestic sales accounts for about 18%.

The second is that the sales model is different. Overseas sales are based on independent design and development IDM and ODM products, and the main is high -end products such as the complete set of faucets, multi -functional shower and shower with relatively complete functions. It is relatively high and the product structure is relatively simple.

Of course, because the company’s exports are relatively large, the exchange rate fluctuations have a greater impact on the company’s profits. The company’s exchange income from 2016-2018 was 19.018 million yuan, -255.242 million yuan, and 1,510,600 yuan.

The price of gross profit margin, the price of exchange rate and raw materials has a greater impact on profits on profits

The company’s gross profit margin level is at a medium level. From 2016-2018, 33.82%, 30.66%, and 32.39%were respectively. Among them, the gross profit level in 2017 was slightly decreased. In 2017, the purchase price rose 21.05%and 27.55%, respectively. In 2018, the small rise in 2018 benefited from the company’s newly developed personal care products, which increased significantly from 5.4534 million yuan in that year to 54.259 million yuan in 2018, and the gross profit margin of such products was higher. But unfortunately, the sales of such products from January to March 2019 have decreased, so the performance of such products needs to be continuously observed.

The company’s gross profit margin in the first half of 2019 was 33.21%, which increased nearly two percentage points. It was caused by the depreciation of the RMB and the decline in raw material prices. Among them, the procurement price of plastic rice, copper -zinc alloy procurement decreased by 8.96%and 4.31%, respectively.

世界花洒大王!中国版“高通”,是否名副其实?

In terms of performance, the company’s revenue in 2017 and 2018 maintained a small increase, an increase of 18.26%and 1.34%year -on -year, but the non -net profit fluctuated in non -net profit. In 2017, non -net profit decreased by 16.65%year -on -year, mainly due to the company’s donation. In 2017, 10 million was donated to the company’s alma mater Nanhua University to help Jian Songlin Building. On the other hand, the equity incentive cost was as high as 34.95 million, and the main is the decline in gross profit margin.

In the first half of 2019, the company’s revenue was 792 million, a year -on -year decrease of 9.13%; the net profit of deduction was 104 million, an increase of 17.86%year -on -year. The company expects that revenue in the first three quarters of 2019 will increase by -7.2%to 7.8%year-on-year, and non-net profit will increase by -3.7%to 11.3%year-on-year. The real estate trend is not good, and the company’s performance growth is also a bit weak.

Songlin’s preparation is also layout

The company has also been frequently moved recently. On September 26th, the first phase of the Zhangzhou Songlin Smart Home Park of Zhangzhou Songlin Smart Home Park, a key project of Fujian provincial key project and a total investment of 2 billion yuan, was held in Zhangzhou Governor. After the park, Songlin Bathroom, and Songlin Kitchen and Bathroom, the fourth industrial park invested in construction.

▲ Xiamen Songlin Show Hall with home products

In addition, Songlin Technology is also experimenting with a “revolutionary” terminal product- “Songlin Realing”. In short, the idea is to distinguish the design, decoration, materials, furniture, soft furnishings and other aspects of the traditional model. Combined with each other, and Songlin Technology is a one -stop service, the concept of “a complete Home”. The project is the company’s general manager Zhou Huasong’s own project manager. It has been explored for five years and has invested more than 100 million yuan. At the end of 2019, a “Songlin. TOEIC” urban experience center with a business area of ​​more than 6,000 square meters will open in Xiamen.

Compared with the company:

Seagulls: high -end water faucet parts, aluminum alloy products in faucet and shower system product market share 12.71%

Retter: The market share of the domestic flushing component is the first, the third in the world

Emperor Home Furnishing:

Huida Sanitary Ware: The output of bathroom ceramic products is about 3.4%

Among them, the seagulls and Ryolt are mainly direct sales, which is more comparable.

Conclusion:

When the concept of artificial meat was swept some time ago, I was lamented that human society made great efforts in our vision, hearing, touch, and even smell. There is no corresponding innovation. When watching Songlin Technology, there are also such emotions. Can such “traditional products” such as shower make huge changes under the current smart society? And Songlin already has intelligent and personalized products such as massage shower, Bluetooth music shower, and magnetic shower. And rich people are not sensitive to prices. This type of product can be completely differentiated, and whether “Songlin pretend” can make the concept implementation great economic benefits. As far as the smart home market is concerned, it is still relatively large. Imagination space. However, because the market has great uncertainty at present and there are many potential competitors, they can only be marked as high -profile points and concept points.

Combined with the current trend and valuation of the company, and the characteristics of the industry, the company is not suitable for the hype of the hotspot of the subject matter concept, which is more suitable for low suction and long -term use, but one thing needs to be noticed because the overall trend of this type of industry is all. It is a large -scale back -up, which is a long -term buying point. Therefore, if Songlin Technology can fall to 20 yuan, it is very investment value, that is, near the issue price.

Finally, you are welcome to talk about your views on Songlin and other new stocks. Your message is the driving force for dolphins for free!

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世界花洒大王!中国版“高通”,是否名副其实?

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