Rich to learn that 58.com will soon release the fourth quarter of 2017 financial results, the following is the focus of rich information for you to sort out.

I. authoritative analysts expect

According to Bloomberg statistics, authoritative analysts expect 58.com 's performance in the fourth quarter of 2017 as follows:

GAAP's earnings per share were $0.135; adjusted earnings per share were $0.25. The operating income was 407 million US dollars, up 32.8% from the same period last year. The adjusted net profit was $37 million.

Source: Bloomberg

In terms of ratings, the average rating of 23 analysts in the Bloomberg database is "buy," with an average target price of $88.31.

II. Business highlights

For 58.com, the classified information service of the city has taken the lead after the merger with Ganji.com. However, under the ceiling of the urban Internet, the growth rate of traditional advantage business has slowed down. The rural market, with a total population of 700 million and 201 million Internet users, is an absolute incremental market (as of the end of 2016).

Under this background, on the one hand, 58.com began to cultivate the vertical field in the stock urban market, developing from information service to transaction service, focusing on real estate, recruitment, automobile, second-hand and other fields. and have hatched 58 to home, transfer and other subsidiaries. On the other hand, the "58 same town" project is launched specifically for the rural market to establish a classified information service platform in rural areas.

(1) Urban market: the rapid growth of traffic is no longer, and the stock is used to deeply plough the vertical field.

1. The three "online firsts" in the real estate field?

In the real estate field, 58 Group has reached the first place of online platform in the second-hand housing and rental market. Next, 58.com 's plan is in the new housing market. CEO Yao Jinbo said publicly: "I hope to achieve the first online platform in the new housing market within three years." "

(1) second-hand housing business

At present, the income of second-hand housing is relatively high within 58 groups, but the competition is greater. Therefore, to enhance the experience and empower each other with partners is 58.com 's current strategic positioning. One of the major moves of 58 Group second-hand housing in 2017 is to introduce a perfect broker evaluation system, which is intended to improve the efficiency of users in finding houses and ensure that high-quality brokers find more houses.

(2) Rental business

In terms of rental business, first of all, as a platform port, 58 Group, which owns 58.com and Anjuke, has a high market share and pricing advantage, which ensures the contribution of rental business to 58 Group revenue to a certain extent.

Secondly, in line with the country's series of favorable policies in the leasing industry, 58 Group is also actively innovating and developing the rental business. In December 2017, 58.com announced strategic cooperation with Tencent and the World Bank to build a new model of long-term rent market. On the one hand, work with Shenzhen Housing and Construction Bureau and Tencent to create a new digital leasing platform to face the problems in the rental market and solve the chaos in the industry. On the other hand, share the underlying data with the World Bank, explore the traffic discount model, and transition from the pay-per-click / time-period charging model to the new charging model based on the actual number of products sold.

However, the current situation of the recession of the real estate industry and the rapid decline in market turnover can not be ignored. In January 2018, the price of the port of "58 Series" represented by Anjuke rose as a whole, which triggered a collective boycott by intermediaries. I love my home Lianjia net and other houses have been removed from the shelves one after another. Then 58 collective response, will use 300 million to help intermediaries through the cold winter off-season. There is no response to the increase in port fees, and there seems to be no intention of concession. Song Qinghui, a famous economic expert, believes that the "break" with real estate agents is mainly due to the decline in income faced by the online real estate information platform, which is under great pressure on the performance of listed companies, so they attach great importance to income. The dispute reflects the current situation that the real estate industry is depressed and the market turnover is declining rapidly.

two。 Second-hand idle goods trading platform

Zhuan is a professional second-hand trading platform built by 58 Group, and it is currently one of the three major second-hand trading platforms in China through strategic cooperation with Tencent and with the help of Mini Program.

In 2017, transferred users, transaction volume and Mini Program grew rapidly. The total number of users exceeded 100 million yuan, and the annual transaction volume reached 25.849 billion yuan. The "transfer official" Mini Program has more than 3 million monthly active users, and the number of monthly registered users transferred through Wechat has exceeded the platform. 30% of Android users have been listed in Aladdin Mini Program TOP 10 in the retail sector.

It is worth mentioning that behind the rapid development of transfer, there is a large amount of capital investment. In the third quarter of 2017, the revenue cost of 58 Group rose 29% from the same period last year, mainly due to the increased cost of selling second-hand goods on the transfer platform.

3. Second-hand car business

According to Huachuang Securities Research report, after the increase in car ownership and the increase in car replacement rate, the second-hand car trading market will enter a stage of rapid growth. Societe Generale Research said that compared with used car sales, used car finance is more profitable. From this point of view, the development potential of the used car market is huge.

58 Group owns 58.com used cars and is also an important shareholder of Guazi. At present, 58.com second-hand car has a natural flow base, and Guazi with advertising penetration, the current second-hand car trading volume online second-hand car transactions account for the highest proportion, the fastest growth. However, with the continuous flow of giant capital into the second-hand car market, the increasingly fierce competition, the market pattern may change dramatically at any time. In this hand-to-hand combat, it remains to be seen whether Group 58 can break through the tight encirclement and get a piece of the pie.

(2) Rural market: the potential for traffic growth is huge, and "58 in the same town" permeates the rural network.

58 Tongzhen is a product that 58.com gradually infiltrated into the rural market. Yao Jinbo defined 58 Tongzhen as "the second battlefield where 58.com extends to villages and towns", with the goal of infiltrating 30, 000 townships across the country. Make use of the characteristics of the gradual popularity of rural mobile Internet, to provide rural users with all kinds of second-hand trading, renting, looking for jobs and other life services.

At present, the total population in rural China is about 700 million, and the number of Internet users is only 201 million. The Internet has great potential for development. 58 Tongzhen is expected to become the high-speed growth point of 58 Group in the future, and its progress is particularly worthy of attention.

According to media reports, as of the third quarter of 2017, 58 projects in the same town covered 31 provinces and 195 prefecture-level cities across the country, operating in more than 3000 townships, with more than 1 million daily visitors. It is worth looking forward to the growth rate of the number of townships covered in the fourth quarter and whether it can keep up with Yao Jinbo's expectation of a tenfold increase in one year. (editor / Zhao Xianju)