1. The company's 2013 performance profile: in 2013, the company recorded operating income of 3.805 billion yuan, an increase of 2.8% over the same period last year. ETITDA was 1.813 billion yuan, an increase of 5.8% over the same period last year; the net profit attributable to shareholders was 802 million yuan; it was the same as the same period last year; and earnings per share was 0.15 yuan, up 4% from the same period last year. The company's performance growth is within market expectations.
2. The company's view of the future industry: the company believes that the competition in the industry is still relatively fierce, and the entry of real estate developers intensifies the market competition. The company has taken the initiative to slow down over the past two years, looking for opportunities in a relatively depressed market. At present, the supply exceeds demand in the industry, and there is a demand for integration in the industry in the future. We believe that M & An integration in the industry will not happen soon and a transitional adjustment period is needed.
3. The company's development strategy: the company realizes that the competition of traditional department stores in the industry is becoming more and more fierce, and the company plans to speed up the transformation of the shopping center model and accelerate the sale and realization of non-core assets. The company will add 2-4 stores every year, the pace of store opening is not fast, looking forward to the opportunity of M & An integration in the industry. We believe that the shopping center model is the development trend of the business circle in the future, and the company has a good vision of model transformation, but the traditional department store transformation shopping center will also encounter some problems, which still need to be observed continuously.
4, e-commerce development: the company has established an ERP system, the establishment of positioning to the SKU system can more accurately locate customers in the market and establish a large database of consumers. We believe that the establishment of ERP system is a very positive strategy, which can better carry out accurate sales and enhance customer stickiness. With regard to e-commerce, the company will not hastily speed up its access to the Internet, and the company still believes that the Internet and brick-and-mortar stores are complementary rather than direct competition.
5. Company valuation: the company's PE valuation is expected to be less than 6 times in 2014, and the valuation is not high. We believe that the shopping center model must be the trend of future development, and the positive transformation of the company is a good thing, but whether the transformation is successful or not and the problems encountered during the period still need to be observed. The industry will have the demand of integration in the future, and then M & An integration will not happen soon, and it still needs a certain transition period.
