Hailan House (600398): The main brand’s revenue has picked up from the previous month
Report Summary: Events: The company released three quarterly reports. The company achieved revenue in the first three quarters of 2019, net profit attributable to mothers, net profit attributable to non-mothers 146.
8.9 billion, 26.
1.6 billion, 24.
18 ppm, an increase of 12 in ten years.
63%; In Q3 2019, the company realized revenue, net profit attributable to mothers, net profit attributable to non-mothers 39.
6.8 billion, 4.
9.1 billion, 4.
280,000 yuan, an increase of 31% in ten years, -12.
Under the improvement of products and channels, the main brand’s revenue has bucked the trend.
The company’s main brand, Hailan Home (including whale and Haiyi), generated revenue of 115 in the first three quarters.
32 ppm, a ten-year increase of 7.
26%, Q1-Q3 quarterly growth rate of 2 respectively.
16% / 9.
29% / 14.
4%, showing a clear quarterly speedup.
The good performance of the main brand depends on product, channel and other efforts.
In addition to strengthening the cost-effectiveness of products, the product design is also younger and more stylish. Co-branded models have been launched many times this year, which has brought good results to the sales and brand building. The winter goose down series is expected to become a popular model.
In terms of channels, the company’s channel structure has continued to improve, with malls accounting for 20%, and it is expected to increase to 30% -40% in the future, and gradually calculate the Ping effect at 3.
20,000 yuan, outstanding in domestic brands, Ping efficiency will continue to improve through the channel structure to optimize the main brand store efficiency.
Light luxury brands and children’s clothing brands are expected to contribute more performance to the company in the future.
In the third quarterly report, other brands except Hailan House and San Kenuo accounted for 4.
29% (Ying’s only incorporates the data from July to September). Currently, the company’s key brands for development are Hailan’s choice. Women’s OVV and two children’s clothing brand boys and girls. Ying’s.It is expected that the total growth rate next year will be more than 100%.
From the perspective of performance contribution, Hailan Optimization and OVV are still in the incubation period, boys and girls and Yingshi are in the process of profit promotion, and performance contribution will improve next year.
The company’s e-commerce channels and overseas channels have expanded smoothly, opening up new horizons for the company’s business development.
The Hailan brand achieved 39% revenue growth on the e-commerce platform in the third quarter. This is a quarter of the growth rate of the e-commerce business. It is expected that the storage system used at the end of the previous year will become more mature.With potential.
In terms of overseas channels, 杭州夜网论坛 as of the end of the third quarter, the number of overseas stores reached 50+, with revenue of 86 million yuan.
Investment suggestion: We believe that the company’s performance in the third quarter was affected by one-off factors and slightly shifted, but these factors will be eliminated next year, and the company should see positive changes in the income side.
The company is expected to achieve operating income of 208 in 2019-2021.
3.8 billion; net profit attributable to mothers was 38.
3.8 billion, corresponding to PE of 9.14X, 8.
The current estimate is at the expected level, maintaining the “recommended” level.
Risk warnings: 1. Terminal consumption expectations continue to be sluggish; 2. New store development is less than expected.