At a time when the previous generation was still accustomed to watching movies on large-screen televisions, home projectors were gradually popular among young people.
Under this boom, Jimi Technology (688696. SH) successfully landed on the Science and Technology Innovation Board on March 3, 2021, and its stock price (hereinafter referred to as the former reinstatement) reached 883.78 yuan per share on June 28, 2021.
However, after the peak, the company's stock price began to fall continuously. On March 4, 2022, the stock opened 4.94% lower, the intraday decline reached 8.59%, breaking the integer mark of 400 yuan / share, as of the close, Jimi Technology finally fell 7%, closing at 401.01 yuan / share, a new low for listing.
From the news side, the gap of Jimi Technology fell sharply and suffered from the reduction of bearish interest.
The lifting of the ban is to reduce holdings, and Robin Li has made a lot of money
Jimi Technology was established on November 18, 2013, launched the first intelligent projector Z3 in 2014; ranked first in sales in China's projector industry in 2018; launched the first self-developed optical machine in 2019, becoming a domestic brand with self-developed and self-produced optical machine; and in 2020, the new promotion of the main young people's sub-brand MOVEN.
At present, in addition to the research and development, production and sales of intelligent projectors, the company's main business also provides consumers with accessories and Internet value-added services around intelligent projection.
However, from the structural point of view, the projector machine and accessories business contributes most of the company's revenue.
On March 3, Jimi Technology announced that baidu netbed, a shareholder of the company, intends to reduce the number of shares by auction transactions and block transactions to no more than 1.2771 million shares, accounting for 2.55% of the total share capital; Baidu Biwei intends to reduce the number of shares through auction transactions and block transactions to no more than 862,700 shares, accounting for 1.73% of the total share capital.
Jimi Technology also disclosed that the reason for the reduction is its own capital needs, the source of shares are the company's pre-IPO shares, and it has been lifted on March 3, 2022 and listed for circulation.
That is to say, the above two shareholders belong to the shares of Jimi Technology that began to sell as soon as the ban was lifted, which was quite urgent.
In addition, the two shareholders, Baidu Netnews and Baidu Biwei, are enterprises controlled by the same actual controller, and are consistent actors, holding a total of 5.8042 million shares of listed companies, accounting for 11.61% of the total share capital of the company.
It can also be seen from the name that these two shareholders who reduced their holdings belong to the "Baidu system", and the actual controllers behind them are Robin Li.
After inquiry, the issue price of Jimi Technology at the time of listing was 133.73 yuan / share. In general, the stock price of the shares obtained before the IPO should be lower than the issue price, so even if the stock price of 401.01 yuan per share after the sharp decline of Jimi Technology is roughly calculated, Robin Li is still making a lot of money.
After the reduction, Baidu Netcom will still hold no less than 7.33% of the shares of Jimi Technology, still the second largest shareholder of Jimi Technology, and Baidu KPWei will no longer hold the shares of Jimi Technology.
What is the prospect of Jimi Technology?
Although the "Baidu Department" sold some of its positions non-stop after the lifting of the ban, this does not mean that there is any problem in the operation of Jimi Technology. In fact, the company's performance in the past two years has been quite good.
According to the data, the company's revenue increased from 999 million yuan in 2017 to 2.828 billion yuan in 2020, the net profit attributable to the mother also increased from 14.7057 million yuan in 2017 to 269 million yuan in 2020, and the net profit margin attributable to the mother increased from 1.5% in 2017 to 9.5% in 2020.
The latest 2021 annual performance report shows that during the period, Jimi Technology achieved revenue of 4.046 billion yuan, an increase of 43.06% over the same period of the previous year; achieved a net profit attributable to the mother of 489 million yuan, an increase of 81.79% over the same period of the previous year; and realized a non-net profit of 434 million yuan, an increase of 75.48% over the same period of the previous year.
Overall, although the company's performance scale is not too large, the growth rate is considerable.
However, the growth rate of Jimi Technology's attributable net profit shows a downward trend. Looking ahead, does the company's performance have any staying momentum?
From the perspective of the development experience of the industry, Japanese companies such as Epson, Nippon, Sony and other Japanese companies rely on their technical advantages in the field of 3LCD, mainly used in the commercial field, and have a high market share in the early stage of the development of the domestic projector industry.
However, brands such as Jimi, Nuts, and Millet have continuously innovated products in response to consumer pain points in home scenes, becoming a new generation of power in the projector industry and driving the rapid development of the home projector market in China.
According to IDC data, from 2011 to 2015, the compound annual growth rate of China's projector shipments was 8.2%; driven by factors such as household scene penetration, new light source applications and online channels, the industry entered a stage of rapid development, and the compound annual growth rate of China's projector shipments from 2015 to 2019 reached 20.5%. In 2020, due to the impact of the epidemic, domestic commercial projector shipments fell sharply, resulting in a 10% decline in domestic projector shipments in 2020, but among them, household projectors still maintained growth under the epidemic, with a year-on-year growth rate of 8%.
Home projectors can occupy a long time in home entertainment scenes, and are constantly upgraded in terms of brightness, resolution, intelligence, and diversification of entertainment functions, continuously strengthen the cost performance, continuously improve the product experience, and continuously improve the time occupied in the family scene (the average daily use time of Jimi users has increased from 3.91 hours in 2017 to 4.51 hours in January-July 2020). Anxin Securities researchers believe that the popularity of home projectors is expected to further increase.
The research institute estimates that if the penetration rate of home projectors increases to 5% in 2024, then the market size of home projectors can reach nearly 8 million units in 2024.
Of course, Essence Securities' calculation is only a family statement. However, combined with the views of many research institutions, the subdivision of home projectors is a high-growth track with high prosperity.
In this subdivision of the industry, although the product hardware parameters of projector manufacturers such as Epson, Nippon, and Sony are high, they are large in size and high in price, and the use experience and cost performance in household scenarios lag behind the products produced by domestic home projector manufacturers. The result is that in recent years, the share of overseas projector brands has been declining, and the share of the new generation of domestic household projectors such as jimi, nuts, and millet has increased rapidly, and jimi is currently one of the leading domestic brands.
It is worth noting that the above is the domestic market, in fact, as of the first half of 2021, the overseas revenue of Jimi Technology accounted for 7.85% of the total revenue.
In terms of overseas markets, Anxin Securities researchers believe that the overseas home projector market is expected to replicate the development trajectory of the domestic market since 2014. Referring to the development of the domestic home projector industry, regardless of the microcontroller, it is estimated that the overseas home projector market size is expected to reach about 9 million units in 2024, with an annual compound growth rate of 89% from 2020 to 2024.
Therefore, the overseas market actually has a broad space, and it is expected to become a flashpoint for the performance growth of Jimi Technology in the future.
Author: Yan XIV