Dong Yi Ri Sheng (002713): Net profit increased by 16% in 2018, optimistic about seizing the market share of home improvement


Dong Yi Ri Sheng (002713): Net profit increased by 16% in 2018, optimistic about seizing the market share of home improvement

2018 results basically meet expectations Dong Yi Risheng announced its 2018 annual report: 2018 achieved revenue 42.

30,000 yuan, an increase of 16 in ten years.

36%, net profit 2.

53 trillion, an increase of 16 in ten years.

12%, corresponding profit 0.

96 yuan / share, basically in line with our expectations.

Among them, Q1-Q4 revenue increased by 34 respectively.

3% / 14.

3% / 27.

0% / 2.

5%, net profit attributable to mothers increased (decreased) -5 each year.

7% / 43.

1% / 47.

0% /-4.


At the same time, the company also announced the 2019 first quarter report, 上海夜网论坛 revenue 7.

9.7 billion, an increase of 11.

1%, net profit -0.

800 million, a loss of 0 a year.

1.8 billion.

Development trend 1, A6 business is growing steadily, and Sumei’s business channels are expected to accelerate after adjustment.

In 2018, the company’s revenue increased by 10 in ten years.

36%, by product: 1) Home improvement income increased by 12.

91%, of which A6 stores increased by 13 to 163. We expect to gradually achieve a medium-digit growth. The Sumei channel model will be adjusted to the direct sales model. At the end of 2018, the number of direct sales stores will be 48. Sumei’s revenue is expected to grow rapidly, butThe scale affected by the mode adjustment has increased; 2) Seiko equipment / public equipment / service income increased by 533 respectively.

37% / 21.

77% / 65.

52%, B-side customers expanded smoothly.

In 19, we expect the A6 store to remain stable and revenue to maintain a steady growth rate; after the adjustment of the Sumei business channel model, it is expected that the revenue growth rate will maintain a rapid momentum.

2. Profitability remains stable.

The company achieved a gross profit margin of 37 in 2018.

2%, a year to raise 0.

2ppt, in which the gross profit margin of the home improvement business was boosted by the improvement in efficiency.

68ppt; the company’s period expense ratio is 28.

1%, same as 0.

6ppt, mainly due to the company’s increased marketing investment; the company’s post-investment project operation is in good condition, and investment income increased by 42%.

3. In the first quarter of the new year, the single-month ratio improved, optimistic about the company’s ability to seize market share in the future.

The company announced a unit price of 11.

46 ppm, a ten-year increase of 8.7%, a significant improvement from the 17% decrease in the fourth quarter, we maintain our judgment that the company’s gradual order acceptance and presentation of the quarterly improvement trend.

According to the current situation of industry traffic decentralization, the company’s 2C business increases the speed of online and offline diversified customer acquisition, the 2B business explores differentiated paths such as assembled products, and is optimistic about the subsequent company’s ability to continue to seize the home improvement market through multiple channels.

Earnings forecast We maintain the company’s profit forecast for 2019/20201.


44 yuan / share, corresponding to 16/13 times P / E.

Estimates and recommendations to maintain the recommendation level, based on the estimated conversion and expected increase in market risk, raise the target price by 9% to 22.

8 yuan, corresponding to a 16 times price-earnings ratio in 2020, a 21% increase from previous 四川耍耍网 expectations.

The expansion of risky real estate continued to escalate, industry competition intensified, and raw material prices fluctuated significantly.