The interim results in 2010 were in line with expectations: in mid-2010, sales revenue reached 291.9 billion yuan, an increase of 49.6% over the same period last year, and net profit reached-16.03 million yuan, an increase of 37.8% over the same period last year, and earnings per share was-0.09 yuan.
The sales situation has improved, and the company's sales revenue grew by 71.5% in the second quarter compared with the same period last year. Among them, the company's growth mainly comes from the restorative growth of liquor sales.
Cost input is an inevitable measure. The company's management expenses increased by 41% in the first half of the year compared with the same period last year, and the increase in management expenses is related to the company's re-organization and planning of personnel. However, due to the settlement of bad debts, financial expenses have decreased significantly.
Development trend: the sales target is 500 million yuan for liquor business within 3 years. The company through cooperation with Tongda Weisi, to achieve the reconstruction of the sales system, the first step for the Wuwei market. At present, the company will launch 11 new products in August to complete product reengineering, which will become the growth point of Huangtai in the future. Among them, the price of cellar wine in 1992 and 1993 is 1300 yuan per bottle, which is mainly aimed at the government group purchase market, and the group purchase channel will become the first step for the company to resume sales. At present, the company has achieved the growth target of sales revenue in the first half of the year, and the off-season sales are strong, indicating that the measures taken by Shanghai Houfeng are taking effect.
The sales system has been reshaped and the management system has changed greatly. After Houfeng entered Huangtai, it also set up two new sales companies, mainly composed of young employees and new graduates, trained by Tongda Weiss, and will become the core sales team of the company in the future. After the intervention, Shanghai Houfeng has added 150 posts to sort out the main aspects such as personnel administration and sales, so as to build a core management team that belongs to the new shareholders.
Valuation and suggestion: the company has a good month-on-month trend, but due to the high valuation and the limited margin of safety of the current stock price, it is recommended that long-term investors pay attention to the investment rating.