From January to September 2009, the company achieved operating income of 208 million yuan, down 7.97% from the same period last year; operating profit was-151 million yuan, down 400% from the same period last year; net profit belonging to the owner of the parent company was-119 million yuan (39.78 million yuan in the same period last year); earnings per share were-0.23 yuan.
From July to September 2009, operating income was 69.65 million yuan, down 11.55% from the same period last year and 0.5% from the previous year. The net profit belonging to the owner of the parent company was-33.28 million yuan (11.08 million yuan from July to September 2008), and earnings per share in a single quarter was-0.042 yuan.
The change in the scope of the consolidated statement led to a decrease in operating income compared with the same period last year. At present, the company's main business is the electronic market business and property rental. In May 2009, the company sold its 50% stake in Chongqing Seg and 100% stake in Seg Communications. Judging from the 2008 data, the network communication business accounts for 10.21% of the company's operating income. Obviously, the divestiture of the network communication business has a greater negative impact on the company's operating income scale.
The loss of investment income leads to a huge loss of net profit. From the perspective of the company's main business operations, the comprehensive gross profit margin from January to September 2009 was 40.12%. Although it decreased by 3.5 percentage points compared with the same period last year, due to the sharp decline in the expense rate during the same period (from 22.45% to 10.3%), it is not enough to cause such a large net profit loss.
From January to September 2009, Seg Samsung (000068), which holds 22.45% of the company's shares, lost 1.324 billion yuan, resulting in a loss of 297 million yuan in investment income according to the equity method, which has become the main reason for the huge loss in the company's net profit.
Seg Samsung has no hope of turning around in 2009, and the company will suffer huge losses.
Seg Samsung's main business is to provide matching glass shell products for color picture tubes, and the CRT glass shell business accounts for about 90% of its revenue. Due to the rapid shrinking demand for CRT color TV sets in the domestic market, every link of the CRT industry chain is in a dilemma. According to the data of the National Bureau of Statistics, the cumulative domestic production of color tubes from January to July 2009 was 12.804 million, a decrease of 64.4% compared with the same period last year. Under such circumstances, it is almost impossible for Seg Samsung to extricate itself from operational difficulties with its color tube business. Seg Samsung 2009 pre-loss of 13.5 ~ 1.55 billion yuan, by this "implicated" deep Seg 2009 net profit has a huge loss is inevitable.
We expect the company's earnings per share from 2009 to 2011 to be-0.26,0.04 and 0.05yuan respectively. According to the closing price on October 22nd and the company's 2010 EPS, the dynamic P / E ratio is 103 times. In view of the sluggish expected revenue growth in the company's main electronic market operation and property rental business, and the fact that it will take time for the participating company, Seg Samsung, to extricate itself from its operating difficulties, we maintain our "neutral" investment rating on the company.