KuaiBao's revenue fell by 3.39% and net profit increased by 19.23% in 1919, which is still under adjustment.
KuaiBao's revenue in 2019 was 438 million yuan, down 3.39% from the same period last year, and the net profit returned to its mother was 47.11 million yuan, an increase of 19.23% compared with the same period last year. The net interest rate in 2019 was 10.75%, an increase of 2.04PCT over the previous year. The decline in revenue in 2019 was mainly due to the optimization of sales channels and adjustment of sales policies in 2019, profit franchisees and distributors, the increase in net profit above income was mainly due to the increase in gross profit and the termination of the equity incentive scheme in 2018, the remaining unamortized equity incentive costs of the company needed to be accelerated in 2018, and the provision for impairment of financial assets available for sale formed by Wuhan Jiangtong Animation was invested to reduce net profit in 2018.
Quarter-by-quarter, 18Q1~19Q4 single-quarter revenue increased by 10.92%, 13.09%, 10.65%,-6.15%,-6.73%,-10.16%, 1.71%,-0.60% respectively. 18Q4~19Q2 revenue continued to decline due to weak terminal retail sales. In the same period, homecoming net profit increased by 22.64%, 6.36%, 0.91%,-156.66%,-28.51%,-15.08%,-17.61%, and reduced losses by 98.00% (loss 410000 yuan). The sharp decline in 18Q4 is mainly due to the accelerated amortization of equity incentive costs, while the lower growth rate of 19Q1~3 net profit is mainly due to the increase in sales expense rate.
It is predicted that 20Q1 revenue will decline by about 50% and net profit by 95.97%, which is mainly affected by the epidemic.
The company forecasts that 20Q1 revenue will decline by about 50%, and net profit will drop by 94.99% to 96.66% compared with the same period last year. The main declines are as follows: 1) affected by the epidemic, most of the customers in the lower reaches of the company and directly operated stores have been delayed to return to work, and the passenger flow to the stores has been significantly reduced after resuming work, which has greatly affected the sales of the company's physical stores and direct business. 2) most of the upstream suppliers of the company failed to resume work and production on schedule, resulting in insufficient release of the production capacity of the company's eliminate virus epidemic prevention products and failure to make up for the decline in sales of other products; 3) in response to social responsibility, the company reduced the price of all kinds of maternal and infant hand sanitizer, disinfection and sterilization in the first quarter, which had a certain impact on gross profit margin; 4) the total amount of cash and materials donated to fight the epidemic was 2 million yuan.
Strengthen research and development, optimize channels and marketing to enhance competitiveness, short-term epidemic situation to increase performance pressure
The company is a professional infant clothing and supplies enterprise in China, the weakness of terminal retail and the intensification of industry competition are a drag on the company's short-term performance, and the company adjusts and upgrades actively in terms of products, channels, marketing and other aspects to actively respond to industry competition. Long-term enhance brand power: 1) products: independent research and development and foreign cooperation double combination, aimed at the special consumer characteristics of infants to improve product design, continue to launch new products At the same time, we will cooperate with well-known foreign brands of baby products, such as shell parents, Ferrari child safety seats, etc., to enrich product categories, and will provide professional services around mothers and infants in the future. 2) Channel: at present, the number of rabbi and next-generation stores is 1100 + and 200 +, of which the next-generation channel gradually turns to brand collection stores, introducing cooperative brands of baby products in addition to selling their own brand products. 3) Marketing: quickly cut into the current hot online celebrity economy, with the help of online celebrity live broadcast to enhance brand image and online sales.
In the short term, considering the weakness of the terminal and the drag of the epidemic, the EPS in 1921 was lowered to 0.13 0.11 PE 0.12 yuan, corresponding to 46 times of the 20-year PE, maintaining the "neutral" rating.
Risk tips: the epidemic situation is higher than expected, the terminal retail is weak, the channel adjustment and optimization is not as expected, and the major shareholder stock reduction plan.