In 2019, the company's operating income increased by 36.81% over the same period last year, and its net profit increased by 26.02% compared with the same period last year.
In 2019, the operating income reached 4.1 billion yuan, an increase of 36.81% over the same period last year; the net profit returned to the mother was 330 million yuan, equivalent to 0.37 yuan in fully diluted EPS, an increase of 26.02% over the same period last year; and the net profit from non-return was 334 million yuan, an increase of 28.68% over the same period last year, and the performance exceeded expectations. The company's performance growth is mainly due to the opening of Lanzhou Center and other projects in 2019, as well as the warehousing and logistics business disposal of Tianjin Construction, Chengdu Xinjia equity brought a total investment income of about 331 million yuan.
In a single quarter, 4Q2019 achieved an operating income of 1.347 billion yuan, an increase of 16.63% over the same period last year, which was less than 59.82% of the growth of 3Q2019; the net profit of returning to the home was 89 million yuan, a decrease of 59.75% over the same period last year; and the net profit of non-return was 86 million yuan, a decrease of 62.24% over the same period last year.
The comprehensive gross margin decreased by 0.17 percentage points, and the expense rate increased by 1.63 percentage points during the period.
In 2019, the company's comprehensive gross profit margin was 21.94%, down 0.17 percentage points from the same period last year.
The expense rate during the company period in 2019 was 16.03%, an increase of 1.63 percentage points over the same period last year, of which the sales / management / financial expense rate was 8.23%, 4.64% and 3.16%, respectively, and 1.05 percentage points higher than the same period last year.
Retail revenue benefits from new store business, paying attention to the development of warehousing and logistics business.
In terms of the main retail business, with the business of Yongjia Tiandi Store and Dongbaicheng Fu'an Store in Dongbaicheng during the reporting period, Fuzhou regional retail revenue recovered obviously, and Fuzhou department store / shopping center revenue increased by 20.61% / 84.85% during the reporting period. At the same time, Lanzhou Center opened in January 2019, with a superior geographical location, and is expected to become a new benchmark for retail in Lanzhou and even the whole northwest region. The coverage of the company's warehousing and logistics business network nodes continues to expand, and the business model is a light asset operation mode that retains the right of management. It is suggested that we should pay attention to its future growth.
Downgrade profit forecast and maintain "overweight" rating
Taking into account the impact of the epidemic on the format of department stores / shopping centers, we downgrade the company's EPS forecast for 2020-2021 to 0.26 / 0.29 yuan (previously 0.29 / 0.30 yuan), and add 0.31 yuan to 2022. The company's PB is significantly lower than the average in the past three years, maintaining the "overweight" rating.
Risk Tips:
The impact of the epidemic exceeded expectations, the recovery of retail business fell short of expectations, and the cultivation of Lanzhou projects did not meet expectations.