On the evening of April 22, OPPEIN (603833) released its 2021 annual report. The company will achieve operating income of 20.442 billion yuan in 2021, a year-on-year increase of 38.68%; net profit attributable to the parent is 2.666 billion yuan, a year-on-year increase of 29.23%; basic earnings per share 4.40 yuan. The company plans to distribute a cash dividend of 17.5 yuan (tax included) for every 10 shares.
Delayed release of backlog of consumer demand
The annual report shows that in the first half of 2021, the backlog of household consumption demand that was hit by the epidemic was gradually released, and the company’s various operating data were quickly repaired; Affected to a certain extent, there is a certain delay in purchasing behavior. In the unfavorable environment of intensified competition and sharp fluctuations in raw material prices, the company achieved relatively satisfactory performance growth.
Regarding the development of the industry, OPPEIN said that since 2018, with the changes in the real estate market and the adjustment of channel structure, the overall growth of the furniture industry has been under pressure. Affected by the repeated impact of the new crown epidemic in some regions and cities across the country, there are certain uncertainties in the operating environment and market conditions of furniture enterprises, and terminal retail channels are under pressure. Under the influence of epidemic prevention policies, furniture stores and terminal outlets are temporarily closed. Installation services Personnel cannot come to the door for delivery and installation, which in turn has led to a certain pressure on the overall growth of the furniture manufacturing industry’s operating income in the past two years.
As the epidemic is gradually brought under control, the backlog of consumer demand for some furniture has been delayed, offline stores have resumed normal operations, and the retail market performance of the furniture industry has gradually recovered. According to statistics from the National Bureau of Statistics, as of the end of 2021, the annual operating income of the furniture manufacturing industry will be 800.46 billion yuan, an increase of 16.42% year-on-year in 2020.
Over 1,300 new stores opened throughout the year
On the manufacturing side, during the reporting period, OPPEIN has achieved remarkable results in a number of key projects, such as the upgrade of clean formaldehyde in wardrobes, integrated R&D, production of cabinet doors, and the development and promotion of new door panels; the reform of the lean production model for wooden doors and the special construction of engineering systems Phased results; several projects such as cabinet standardization have achieved initial results. During the reporting period, the company carried out nearly 200 lean improvement projects, and at the same time reduced costs and increased efficiency by means of refined management and control and standardization of operations.
On the marketing side, OPPEIN will open more than 1,300 new and newly-installed stores in 2021, promote retail dealers to cooperate with more than 3,000 decoration companies, and open more than 600 stores in the year with the innovative integrated kitchen business model. At the same time, through the multi-point layout of self-assembly, distribution and integrated kitchen, it leads the development direction of omni-channel.
At the same time, 2021 is the fourth year that OPPEIN has taken the lead in home furnishing and refurbishment. The annual order performance has increased by more than 90% year-on-year, achieving rapid growth.
During the reporting period, on the one hand, the company launched a new brand “StarHomes” to realize the integration of dual brands into the entire customized track; on the other hand, it continued to evolve in the form of customized products as the core + resource integration + Shuanglong alliance, giving full play to the European style. The unique advantages of the products can effectively make up for the shortcomings of the home improvement company’s products and further strengthen the empowerment of the terminal; the third is to carry out a full range of “blood transfusion” and “introduction of intelligence” for large-scale home furnishing distributors. Assist the reconstruction of the terminal operation system, the transformation of the management model and the improvement of the overall operation efficiency.
Bulk business is not affected by minefield projects
In terms of bulk business, in 2021, OPPEIN’s bulk business will actively adjust its business rhythm in line with market changes, strictly control risks, and seek progress while maintaining stability. Cooperate with high-quality strategic customers to carry out a number of joint research parts supporting projects, and provide accurate support; give full play to the advantages of large home furnishing, fully penetrate the hardcover and post-loading business, and transform from a hardcover material supplier to a hardcover whole service provider. In addition, the company is deeply engaged in the development of housing for talents, affordable housing, renovation of old communities, and national key supporting projects in Beijing, Xiong’an New District, Shenzhen and other regions.
Therefore, under the background of severe competition in the real estate fine decoration and supporting business, the engineering business of OPPEIN has hardly been affected by the minefield projects, and has achieved steady growth with the core of preventing risks and keeping the bottom line.
It is worth mentioning that in 2021, many furniture companies will be affected by the “explosion” of related real estate companies to varying degrees. Among them, Sophia’s net profit in 2021 will drop by 89.72%, mainly due to the default of major customers’ due commercial acceptance bills and the provision for impairment; Piano expects a net loss of 710 million-955 million yuan in 2021. The reason for the loss is also Due to the overdue commercial bills of major customers, a large amount of bad debt provision was made.
According to the annual report, OPPEIN currently has a large-scale non-standard customized production capacity of over 900,000 sets of cabinets and an annual output of over 2.9 million wardrobes. The efficiency of each link of technical review, price review, and settlement has correspondingly improved the efficiency of the entire chain, which means shortened order design, order conversion cycle, product delivery cycle, and reduced company and terminal labor costs.
In terms of research and development, during the reporting period, the company completed the research and development of more than 400 new products in 2022, and achieved a comprehensive upgrade, substantial integration, simplification and optimization of the home product system. The development of pre-research technology has achieved remarkable results, effectively reducing costs by more than 10 million yuan.
During the reporting period, more than 7,000 stores in all categories and channels of OPPEIN have realized the comprehensive application of the self-developed CAXA home design software. At present, the CAXA home design software has realized the whole house space (kitchen, clothes, wooden doors, wall panels, bathrooms, and balconies). , Home Furnishing) integrated design and scene sales. In 2021, CAXA design software will have nearly 30,000 charging accounts, forming a cloud computing power support capacity of more than 40,000 online design solutions per day, more than 100,000 orders placed on peak days, and more than 400,000 high-definition renderings per day. The most cloud computing power of domestic customized enterprises.