Fuling mustard (002507): continuous adjustment of channel sinking products optimization and search for breakthroughs
Event: The company achieved revenue of 10 in 19H1.
86 ppm, a 10-year increase2.
11%, realizing net profit attributable to mother 3.
15 ppm, a 10-year increase3.
14%; 19Q2 achieved income 5.
590,000 yuan, an increase of 0 in ten years.
56%, net profit attributable to mothers1.
60 ppm, a decrease of 16 per year.
18%, lower than expected growth.
The price increase cycle has been extended and the macroeconomic budget has been down, with low single-digit income growth.
The main logic of the high growth of mustard in 16-18 is price increase and volume and price go up. At present, the average price of 180g of main mustard is 2.
5 yuan, the future price increase cycle cycle, 18Q4 price increase inventory has now returned to normal, is expected to be 1-1.
In May, although the inventory returned to normal, as the macroeconomic aggregate coexisting in the price increase cycle declined, the company increased from high to the current adjustment period.
In terms of products, 19H1 mustard income was 9.
24 ppm, a 10-year increase3.
30%, other table appetizers earn 0.
8.3 billion, down 2 every year.
97% of kimchi income is zero.
7.6 billion, down 5 previously.
57%; in terms of regions, the growth rate of 19H1 in East and Southwest China has changed and gradually increased by 13.
35% and 12.
13%, the revenue of the Central Plains area drops by 8 every year.
73%, while South China still has the largest revenue share, totaling 300 million, accounting for 27.
In the next three or four tier cities, the continuous optimization of products and the gradual unification of brands are the company’s normative focus. Broaden channels and seek breakthroughs in products.
The scale effect of warehouses highlights the continuous increase in gross profit margin, and the increase in expenses and net profit margin under pressure.
19H1 company gross profit margin 58.
55%, up 4 each year.
52pct, net interest rate 28.
99%, up 0.
The increase in the company’s gross profit margin is primarily due to the storage of cabbage heads, which account for 40% of the cost of mustard. The continuous strengthening of storage capacity has effectively controlled the cost of cabbage heads.
The small increase in net interest rate was mainly due to the increase in the distribution of sales expenses. From a detailed perspective, it mainly came from marketing expenses and employee salaries.
6 billion, up 24.
03%, salary 0.
1.7 billion, up 54 before.
As the portable market and personnel expansion efforts increase, the effect will gradually appear.
In order to expand the market receivables and increase the breakthrough rate, the construction of intelligent production lines gradually increased prepayments.
2019H1 accounts receivable 0.
4.7 billion, an increase of 66 in ten years.
97%, an increase of 500 from the beginning of the year.
77%, mainly due to the company’s rolling rejection sales policy for some markets in order to enhance the blank market and increase competitiveness. Credit sales funds did not exceed one year and were eventually recovered, so it is expected to eventually improve.
Advance payment 3.
8.9 billion, an increase of 847 in ten years.
49%, an increase of 6464 over the beginning of the year.
16%, mainly due to the company’s pre-paid “Wujiang Fuling mustard green intelligent production base” land purchases increased.
In order to expand the market, the company 杭州桑拿网 relaxed the dealer’s payment system. As the inventory level returned to normal, the effect was obvious.
Profit forecast: It is expected that the company’s revenue in 19-21 will reach 20 respectively.
14 ppm, a six-year increase of 6.
11% / 9.
32% / 17.
70%, net profit realized separately.
4 billion, a ten-year growth of 7.
21% / 10.
22% / 20.
15%, maintaining the “recommended” level.
Risk warnings: 1. The prices of upstream raw materials fluctuate sharply; 2. The downstream demand is less than expected; 3. The macro economy continues to decline