Shenzhen Honor Electronic (300870)2022-11-17 15:01Financial Performance - In Q1 2022, the company achieved revenue of 621 million CNY, a year-on-year increase of 21.32% [2] - The gross profit for Q1 2022 was 84.33 million CNY, a decrease of 3.62% year-on-year, with a gross margin of 13.59%, down 3.52 percentage points [2] - For the full year 2021, total revenue was 2.572 billion CNY, an increase of 23.45% year-on-year, with Q4 2021 revenue reaching a record high of 723 million CNY [2][3] - The EBITDA for 2021 was 218 million CNY, a decrease of 15.29% year-on-year, while net profit was 111 million CNY, with a net profit margin of 4.32% [3] Business Segment Performance - Power adapters generated revenue of 1.805 billion CNY in 2021, up 15.47% year-on-year, with significant growth in office electronic power adapters (34.07% increase) [3][4] - Server power supplies saw revenue of 288 million CNY in 2021, a remarkable increase of 121.60% year-on-year, with a gross margin of 17.63%, up 0.42 percentage points [3][6] - Other power supplies achieved revenue of 471 million CNY in 2021, reflecting a year-on-year increase of 22.97% [3][4] R&D and Market Strategy - The company plans to increase R&D investment in 2022 to enhance market competitiveness and expand business scale [3][4] - New R&D projects include smart home devices, new energy equipment, and high-power battery chargers [5] - The company has established R&D centers in Shanghai and Hangzhou to optimize its R&D team and capabilities [5] Competitive Advantages - The company has a comprehensive design and manufacturing capability in the switch power supply industry, with a strong focus on R&D innovation [6][7] - It has established a global production capacity with factories in Shenzhen, Dongguan, Ganzhou, and Vietnam, meeting international technical standards [5][6] - The company has become a major supplier in the security monitoring power supply sector, ranking among the top five globally [6] Cost and Management - Management expenses in Q1 2022 were 52.40 million CNY, a significant increase of 154.58% year-on-year, primarily due to stock incentive expenses [7] - The company anticipates total stock incentive expenses for 2022 to be 66.67 million CNY [7]