1. Steady growth in performance:
In mid-2016, the company's revenue was RMB 371 million, up 6.35% year on year, and net profit was RMB 92 million, up 2.48% year on year. Net profit after deduction was $89 million, up 3.54% year on year. EPS: 0.12.
2. Entering the beverage industry:
The beverage puree is produced by the company, and the beverage is produced as a substitute in Shandong. Promoting through online platforms, such as Huajiao's live streaming platform, is a big challenge for 7*24h anchors. In this way, online platforms also make money, and the company's products are promoted. Cooperation is also being discussed with the Association of Anchors. The 15-35 year olds are the company's key marketing customers.
3. Online sales:
An online sales team was set up in Beijing, and the original Red Bull team was introduced. The operation team held shares, and the team was highly motivated to sell. Drinks are sold at JD's own stores. Drinks is also partnering with Wanda Cinemas to provide package services. Traditional media, such as CCTV, are expensive, and will moderately choose TV programs to advertise. The focus is still on online media with low investment and quick results.
4. The growth rate of each product line:
There is a large base of laryngeal tablets, an increase of about 10%, and an increase of 30% for laryngeal medicine. Since the beverage products were launched in June of this year, the company has fully prepared the drink. The taste of the drink has been tested repeatedly through 5 years of debugging to achieve that it is better than most herbal teas currently, and the beverage market space is larger.
5. Beverage sales channel layout:
Currently, there are several major channels: large Walmart Carrefour and the like have very high entry fees; they are not the company's main battleground. The supermarket chain is also currently shrinking. Convenience store sales are strong, and physical stores are also good. It is in line with the immediate consumption goals set by the company, and the key layout. There is also cooperation with Meituan for online spending.
6. Merger and acquisition plan:
It mainly revolves around 2 main lines, which are health-biased drugs and health foods.
7. Pharmaceuticals:
Pharmaceutical revenue accounts for 2%, mainly due to production capacity restrictions. The pharmaceutical plant passed the new GMP certification in 2015. Currently, CFDA's flight inspection is very intense. The company's operations are steady and steady. As production capacity is released from the new plant, the proportion of pharmaceuticals will increase. There are 60 drug approvals, including 20 prescription drugs.
8. Equity incentives:
Equity incentives will be considered during the development process.
9. New plant:
The new plant is expected to be completed by the end of next year. Plant expenses of about 200 million dollars. The new plant is mainly used for the production of pharmaceuticals and food.
10. Accounts receivable:
Receivables are repaid well, usually within 30 days.
11. Product price:
The company's products are lower than similar products, there is plenty of room for product price increases, and prices will gradually increase.
12. Summary and suggestions:
The company is a leader in segmenting the industry. The original products are growing steadily. Currently, it is making a strong entry into the beverage industry. The Golden Voice brand is well known, and beverage sales are worth paying close attention to. The variety of products is even richer, so close tracking is recommended.