This report by Huatai Research provides an overview of ZBOM Home's preliminary results for 2021, which show impressive revenue growth of 34.17% YoY. The company's retail and cabinet businesses grew steadily, with accelerated store expansion and optimized distribution systems. While growth in the bulk business may have decelerated, ZBOM Home's cooperation with quality strategic clients and streamlined risk control measures could help reduce collection risk. The company is also actively tapping into the house-decoration business, with revenue from the full-house furnishing business estimated to have recorded triple-digit growth in 2021. ZBOM Home's "channel + all category" strategy is expected to continue in 2022E, with a focus on the retail channel. The company is valued at 17x 2022E PE vs its peers' average of 15x on Wind-consensus estimates, with a target price of RMB34.51 and a rating of OVERWEIGHT.
