Jiuyang (002242): Steady revenue growth performance in line with expectations

Jiuyang (002242): Steady revenue growth performance in line with expectations

19Q1 revenue exceeded + 15% and export sales were close to 100 million.

1Q1 company revenue 18.

0 billion (+ 15% year-on-year); net profit attributable to mother 1.

600 million (yoy + 11%), net profit after deduction is 1

500 million (+ 8% year-on-year), the performance basically met expectations.

By region, Q1 is expected to contribute close to 100 million in export revenue through SharkNinja related transactions; the growth rate of domestic sales revenue is close to 10%, and the increase in online volume and price is faster than the offline channel. The growth of broken wall cooking machines is obvious, and other categoriesThe growth rate is relatively average.

From the perspective of revenue prospects, in the past two years, Jiuyang has promoted innovation on the product side + category expansion, channel-side storage and brand presentation, and acquired SharkNinja equity to broaden overseas markets, and adhere to the value ascend strategy of creating boutiques and brand marketing to help the company’s stable developmentIt is expected that the company’s revenue growth rate will be 10% -15% in 2019.

The gross profit margin and expense ratio have moved up, so the bottom line of profit growth may be + 8%.

19Q1 gross profit margin 32.

7% (+ 1% year-on-year.

2pct), the situation of 18H2 over the same period has improved. It is expected that the negative growth of raw material prices every 18Q3 will be an intervention factor (raw material reserves 1-2 quarters), and the other two factors will hedge each other: the new strategy of selling expensivePositive impact and relatively low gross margins for high-growth categories (wall breakers and export-oriented nutrition pots).

1Q1 sales expense ratio +0.

3pct, management + R & D expense rate per +1.

Three totals (amortization of fair incentive costs increase, additional expenses caused by organizational structure adjustment), comprehensive look at the replacement position of the parent net 四川耍耍网 interest rate.

3 points.

From the perspective of profit prospects, it is expected that performance stock incentive evaluation will be completed with a high probability in 19 years, that is, income growth ≥11%, net profit growth attributable to mothers ≥8% or the bottom line of performance.

Significant changes in the balance sheet include accounts receivable yoyo + 40% (due to relaxation of the dealer’s account period), inventory yoy + 35%, response accounts yoy + 147%, net operating cycle is -39 days, operating capacity /// momAll have improved.

The leader in high-quality small appliances re-launched, maintaining the “Buy” rating.

Jiuyang has no interest-bearing debts since its listing. Its own funds / total assets have been greater than 30% for a long time. In 2010-18, it gradually paid dividends / accumulated net profit was close to 80%. The average diluted ROE in the past three years was close to 20%. The first quarterly report shows pension funds.Increase the shareholding ratio, Central Huijin’s shareholding ratio is also high (4.

99%).

It is expected that the company’s net profit attributable to its parent in 2019-21 will be 8.

4, 9.

7, 11.

1 ppm, the current sustainable corresponding PE is 19.

9, 17.

3, 15.

2x, maintaining the company’s “Buy” rating.

Risk warning: Shark’s expansion is less than expected, and raw material prices have risen sharply.