Revenue fell 1.38% year-on-year, return net profit rose 40.88% year-on-year, 17Q1 realized revenue of 119 million, down 1.38% year-on-year; return net profit-4.6342 million yuan, an increase of 40.88%, a loss reduction of 3.1983 million yuan over the same period last year; deduction of non-return net profit-9.2715 million yuan, an increase of 12.88% over the same period last year. The decline in company revenue is mainly due to the impact of the decline in hotel revenue during the reporting period. The increase in return net profit was mainly due to a 64.79% increase in financial income over the same period last year.
The gross profit margin fell 3.77% year-on-year, and the expense rate rose 6.13% year-on-year. During the reporting period, the gross profit margin was 8.94%, an increase of 3.21 percentage points over the same period last year. The fee for the period was 17.16%, an increase of 2.41% over the same period last year, mainly due to an increase in the three fee rates. Among them, the sales expense rate was 7.12%, up 0.55% from the same period last year; the management expense rate was 6.55%, up 0.41% from the same period last year; and the financial expense rate was 3.5%, up 1.46% from the same period last year, mainly due to the increase in bank borrowing. the corresponding increase in loan interest led to an increase in overall financial expenses of 1.7905 million yuan (+ 68.75%).
Work with donkey mother to find a new mode of management and control. At present, the company's business includes travel agencies and hotels, and the growth is relatively weak. The travel agency company actively explores a new mode of travel agency management and cooperates with donkey mother, hoping to improve the existing travel agency management model with the help of donkey mother's online and offline management experience. Ole small town project capped, the future is expected to thicken the performance. During the reporting period, the company's OUTLETS project of 68000 square meters of commercial + real estate + tourism complex achieved the top. At present, the planning and design plan of Olai town has been determined, the store and commercial district are in the stage of investment planning, and revenue is expected to be confirmed in 2017. Actively explore the new direction of the main industry as the focus of long-term development. Although the restructuring with Sanren Bank failed before, the extension expansion is the company's long-term development strategy, and the expectation is still strong. We believe that the company is still in the process of exploring the next round of restructuring, and does not rule out the possibility that the company will still explore new development directions through capital operation in the future.
Maintain earnings forecasts and maintain "overweight" ratings. Tourism in Shaanxi Province continues to grow, and Xi'an is a key area for the construction of Shaanxi Free Trade Zone, and the market will show a trend of booming supply and demand; the company's frequent financial investment will buy time to explore new directions of the main business, and the expectation of extension expansion is still strong. Do not rule out further expanding and strengthening by means of capital operation. It is estimated that in 17-19, the EPS of the company will be 0.06, 0.07, and the corresponding PE will be 219x/178x/150x, respectively, maintaining the "overweight" rating.
Risk Tip: extreme Weather effects