Investment Rating - The report provides an initial coverage rating for the company, indicating a positive outlook for its growth potential in the kitchen small appliance market [2][3]. Core Insights - The company aims to promote its own brand ICOOK, with a projected three-year compound annual growth rate (CAGR) of 14% for net profit attributable to the parent company [4]. - The financial analysis shows a quarterly improvement in revenue for 2023, with a net cash ratio of 205% in 2022 [4]. - The kitchen small appliance market in China is expected to grow to USD 33.55 billion by 2026 [4]. - The valuation comparison indicates that comparable companies in the industry have a price-to-earnings (PE) ratio of 26.2X [4]. Product Overview - The main product, rice cookers, has a CAGR of 13.65% over the past five years, with a revenue share of 76.40% in H1 2023 [6][7]. - The slow cooker and pressure cooker have smaller revenue shares of 19.55% and 2.75%, respectively, while other products contribute less than 1% [6][7]. - The gross margin for rice cookers increased to 18.34% in H1 2023, up 5.44 percentage points from the same period in 2022 [19]. Financial Performance - The company's revenue has shown consistent growth from 2016 to 2022, with a five-year CAGR of 9.54%, reaching CNY 442 million in 2022 [32]. - The net profit attributable to the parent company was CNY 34.45 million in 2022, a 54.11% increase from 2021 [39]. - The gross margin and net margin have been on an upward trend, with the gross margin reaching 19.71% and net margin at 8.62% in Q1-Q3 2023 [57]. Market Dynamics - The company has established a strong presence in the international small appliance supply chain, collaborating with major global brands and large retail chains [14][30]. - The kitchen small appliance industry is characterized by a growing trend towards convenience and quality of life improvements, with a global market size of USD 126.4 billion in 2021 [73][109]. - The company has been expanding its product line and enhancing its brand recognition through its own brand ICOOK, which is sold through various e-commerce platforms [28][54]. Investment Projects - The company plans to invest in three main projects to increase production capacity by 3.03 million units of kitchen small appliances, with an expansion ratio of 48.9% [69]. - The total investment for these projects is approximately CNY 189.38 million, aimed at enhancing production capabilities and R&D [88].
北交所首次覆盖报告：智慧生活小家电领军者，厨师机新品及自主品牌为看点