市场经营主业，提租&选位费持续贡献利润增量。上半年公司营收67.7 亿元，同比增长31%，同比增加16.0 亿元，主要系市场经营、商品销售及贸易服务分别同比增加4.7 亿元、10.6 亿元、0.9 亿元，分别同比增长26%、37%、31%，主业延续较快增势。费用端，上半年销售/管理/财务/研发四项期间费用同比减少3412 万元至3.76 亿元。利润端，剔除房地产投资收益的高基数影响，以更反映主业经营的视角来看，上半年“归母净利润-投资收益”实现13.4 亿元，同比增长3.8 亿元，主因上半年部分商铺到期后提租、以及部分确认二区东三层选位费。此外，海城市场剥离进行中，公司4 月与控股股东签订《股权转让协议》，7 月办理股权交割手续，下半年预计完成剥离。上半年海城市场亏损5890万元，但据上述《协议》，公司自2023 年11 月后不再承担其亏损，故其对2024 年业绩无影响。总体而言，主业量价齐升逻辑持续兑现、叠加海城市场亏损的剥离，使得公司即使在房地产投资收益高基数的情况下，全年业绩仍有望实现稳健增长。Description of the event
In the first half of 2024, the company achieved revenue of 6.77 billion yuan, a year-on-year increase of 31%, and net profit to mother of 1.45 billion yuan, a year-on-year decrease of 27.5%. In the second quarter of a single quarter, revenue of 40.9 yuan was achieved, up 34% year on year, and returned to mother 0.73 billion yuan, down 5.3% year on year.
Incident comments
The main business operating in the market, rent increases & seat selection fees continue to contribute to profit growth. In the first half of the year, the company's revenue was 6.77 billion yuan, up 31% year on year, and 1.6 billion yuan year on year. Mainly market operations, product sales and trade services increased by 0.47 billion yuan, 1.06 billion yuan, and 0.09 billion yuan, respectively, up 26%, 37%, and 31% year on year, respectively. The main business continued to grow rapidly. On the cost side, expenses for the four sales/management/finance/R&D periods in the first half of the year decreased by 34.12 million yuan to 0.376 billion yuan year-on-year. On the profit side, excluding the high base impact of real estate investment income, from the perspective of reflecting the operation of the main business, “net profit to mother - investment income” achieved 1.34 billion yuan in the first half of the year, an increase of 0.38 billion yuan over the previous year, mainly due to rent increases in some stores after maturity in the first half of the year and partial confirmation of seat selection fees for the third floor east of Zone 2. Furthermore, the divestment of the Haicheng market is in progress. The company signed an “Share Transfer Agreement” with the controlling shareholder in April, completed the share settlement procedure in July, and is expected to complete the divestment in the second half of the year. The Haicheng market lost 58.9 million yuan in the first half of the year, but according to the above “agreement”, the company will no longer bear its losses after November 2023, so it has no impact on the 2024 results. Overall, the logic of a sharp rise in volume and price in the main business continues to be implemented, compounded by the divestment of losses in the Haicheng market, so the company is expected to achieve steady growth in annual performance even with a high income base from real estate investment.
The new business expanded rapidly, and profits gradually increased. During the reporting period, the company continued to upgrade the Chinagoods digital trade service platform and expand functions such as digital marketing, traffic enablement, and order matching. In the first half of the year, Big Data, the operator of the Chinagoods platform, achieved net profit of 72.79 million yuan, an increase of 57% over the previous year, and the GMV reached 45 billion yuan, an increase of 41% year on year. In the payment business, “free payment” can support 25 currencies, and transactions cover more than 150 countries and regions. There were no risk disputes or card freezing incidents. In the first half of the year, the cross-border transaction volume of RMB exceeded 12 billion yuan (about 8.5 billion yuan for the full year of 2023), achieving net profit of 27.38 million yuan (loss of 5.72 million yuan in the same period last year). The net profit of the Chinagoods platform+payment business reached 0.1 billion yuan in the first half of the year. As the business expands further, profits are expected to accelerate. In the logistics business, the joint venture subsidiary Zhijie Yuangang shipped 0.035 millionteU (standard container) in the first half of the year. It was 0.011 millionteU from January to July last year, which also achieved rapid year-on-year growth. In the first half of the year, the company borne a loss of 5.69 million yuan for the same period last year, compared to 7.17 million yuan in the same period last year.
Investment income and non-recurring profit and loss were drastically reduced year-on-year, and the profit structure was optimized. Investment income in the first half of the year was 0.11 billion yuan, a year-on-year decrease of 0.93 billion yuan. Among them, Pujiang Green Valley (real estate) and Chouzhou Financial Leasing Company contributed 46.32 million yuan and 54.02 million yuan respectively; non-financial income for the first half of the year was 29.07 million yuan (0.159 billion yuan in the same period last year). Overall, the reduction in investment income and non-revenue reflects the two-wheel drive of the main business & new business after optimization of the company's profit structure, strategic transformation, and focus.
Investment advice: From January to June 2024, Yiwu exports grew 21% year on year, Yiwu 1039 model exports grew 29% year on year, and the trend of small commodities leaving the sea continued to be high. Currently, the company is in a strategic transition period from a “commercial property management enterprise” to a “comprehensive foreign trade service provider”. We are optimistic about the company's ability to deliver results under two-wheel drive. It is expected that in 2024-2026, the company's EPS will reach 0.52, 0.56, and 0.73 yuan. The predicted PE corresponding to the current market value is 14.1, 13.0, and 10.0 times, maintaining a “buy” rating.
Risk warning
1. New project construction or investment fell short of expectations;
2. Export trade growth may be hampered by weakening overseas demand or stricter foreign trade policies in some countries towards China.
