Gujing Liquor (000596) Research Briefing: Product Structure Efforts to Strengthen the Nationalization of the High-end Market

Gujing Liquor (000596) Research Briefing: Product Structure Efforts to Strengthen the Nationalization of the High-end Market

Key points of investment: The product structure is developed at the second-highest level. The Gu 20 actively cultivated Gujing Gongjiu as the only old eight famous liquor in Anhui Province, and the brand in the province replaced it.

As the consumption upgrade trend in Anhui Province continues, in the past, the gift version, the price of ancient 5 and other wines at 100-200 yuan / bottle was the mainstream, and gradually transitioned to the current price of ancient 8 and ancient 16 and 200-300 yuan / bottle.
On the basis of the active development of the ancient 8, ancient 16, the company began to actively cultivate and develop the ancient 20 (retail price of more than 600 yuan / bottle) last year, the overall product structure moved up, focusing on the sub-high-end.

Judging from the competition pattern of liquor in Anhui Province, there are well-known real estate brands such as Gujing tribute liquor, Kouzi cellar, Yingjia tribute liquor at the price range of 100-200 yuan / bottle, but at the price range of 200-300 yuan / bottle, gujing liquor is used asThe eight famous wines have strong brand power. It is expected to accompany the consumption upgrade in the future. The competitive advantage of Gujing Gongjiu’s sub-high-end products is becoming increasingly apparent.

The nationalization of the market has been promoted, and the Jiangsu, Zhejiang and Shanghai markets have begun to make efforts to nationalize the layout. Although Gujing has the outstanding 杭州桑拿 genes of the eight famous wines and the company’s vigorous promotion of the brand, there are also more local real estate wines in foreign markets, such as Yanghe in Jiangsu., Luzhou Laojiao in Sichuan, Jiannanchun, Langjiu, Fenjiu in Shanxi, Jiujiuji in Hunan, etc. Therefore, the market competition outside the province is more fierce than in the province, but the company believes that no matter how difficult it is to nationalize it, we must continue to promote it.

The market outside the province focused on building the Hebei and Henan markets in the past. In recent years, the Jiangsu, Zhejiang, and Shanghai markets have also begun to exert force, and market feedback has grown even better.

In the past, the Henan market proposed to restructure the Anhui market, and later encountered difficulties in structural adjustment. 天津夜网 However, since last year, the market situation has gradually opened and has started to recover.

The company insists on the unwavering development of markets outside the province, and on the basis of achieving “ten billion” in revenue last year, the company marches towards higher-level goals.

Earnings forecast and investment rating: Upgraded to “Buy” rating to forecast the company’s EPS for 2019/2020/2021 to 4, respectively.



99 yuan, corresponding to PE for 2019/2020/2021 is 25.



01 times, consider optimistic about the company’s future national market development, raise the level to “buy”.

Risk reminders: The structural upgrade in the province is not up to expectations, the market expansion outside the province is not up to expectations, the downside of the macro economy, the impact of intensified industry competition, and food safety.

Suning Tesco (002024) 2019 Interim Report Review: Revenue Growth Declines Same Store Growth Pressured

Suning Tesco (002024) 2019 Interim Report Review: Revenue Growth Declines Same Store Growth Pressured
Revenue growth profit, same-store growth contracting company’s operating income in 1H19 was 1355.7 ‰, an increase of 22 per year.49%, net profit attributable to mother 21.39 trillion, down 64 a year.Looking at the 36% segment, China’s retail and service businesses achieved net profit21.3.6 billion, excluding the impact of the first half of the operating results of Suning Xiaodian and investment income from equity transfers (13.7.8 billion), and Wanda investment income (8.7.1 billion) impact, net profit -1.1.3 billion.In terms of cash flow, excluding small loans, the impact of the increase in loan size on factoring business, the second quarter CFO was -26.47 trillion, a slight improvement from the previous quarter. 1H19 omni-channel GMV 1,842.1.3 billion, an annual increase of 21.80%, online GMV 1,121.5 billion billion increase 26.98%, a small increase.The company has a total of 4,141 self-operated stores (excluding Suning stores), and the area of self-operated stores is 698北京桑拿洗浴保健.700,000 square meters, 3,362 retail cloud franchise stores.In terms of format performance, due to the continued weak external market environment, comparable 3C home furnishing stores / retail cloud-operated stores saw comparable sales decline by 5.66/6.27%; Red Kids’ comparable store sales revenue increases by 16 per year.84%. The gross profit margin decreased, and the total expense ratio increased by 1H19. The consolidated gross profit margin was 14.04%, zero for ten years.39 carats; gross profit margin of core main business 12.7%, ten-year average of 0.73pct, mainly due to the promotion of home furnishings and the expansion of government and enterprise customers.The total expense ratio has increased, including sales / management / R & D / financial expense ratios of 12 respectively.12/1.99/1.08/1.08%, ten years +0.68 / -0.21 / + 0.27 / + 0.83pct, mainly due to the increase in the cost of Suning’s small stores and the initial warehouse construction. Risks suggest that the rapid expansion of multi-format businesses is a drag on performance; expense ratio repairs are less than expected. High-speed growth, omni-channel multi-format construction accelerated, maintain “Buy” rating We maintain our profit forecast, the company’s net profit is expected to be 173 in 2019/2020/2021.29/30.88/48.1.2 billion.Segment estimates based on offline, online platforms, logistics, finance, and own propertiesAmong them, the offline business is estimated at 6.20-8.27 million yuan, and the online business is based on P / GMV = 0.1-0.15x calculation, the estimated interval is 208.3-312.4.5 billion; logistics business is estimated to range from 22.8 billion to 38 billion; financial business assessment is 230.4.4 billion; property value of own stores is 62.7.3 billion.In summary, we believe that the company’s reasonable estimate range is 1349-1812 thousandths, corresponding to 14.48-19.46 yuan.Maintain “Buy” rating.

China National Travel Service (601888): Investing in Haikou Duty Free City: New Island Tax Free Space

China National Travel Service (601888): Investing in Haikou Duty Free City: New Island Tax Free Space

I. Overview of the event China Travel Investment Development Co., Ltd., a wholly-owned subsidiary of the company, plans to invest RMB 128.

The construction of the Haikou International Duty-Free City Project of 600 million US dollars will be built into a composite tourism retail complex with tax-free cores, including tax retail, cultural and entertainment, business office, catering and accommodation.

Second, the analysis and judgment of the location conditions are superior, and the surrounding supporting projects are complete: the company plans to build Haikou Duty-free City in Haikou City, Hainan Province, the western coast of Guangdong-Hainan Railway port area, the west side and the new seaport seamlessly; the city’s main road Binhai Avenue in the eastIt is about 500m away from Nangang and is connected to Haixiu Expressway, Xinhai Port, and the high-speed railroad near Nanhai Island. It is the only way for tourists visiting the islands of the port.

Traffic situation: 20 minutes to reach the core life circle of Haikou, half an hour to cover the Qiongzhou Strait traffic circle, 2 hours to reach the island.

Peripheral planning: The project is located in the sub-center of the West Coast City, bringing together multiple functions such as municipal administrative offices, business exhibitions, and tourism and vacations, including projects such as Haikou City Government and Haikou International Convention and Exhibition Center. The ability to gather people in the future will be lost.

The first phase of the project is based on tax exemption, and the overall investment amount is controllable. According to the company’s feasibility analysis report, the overall project is divided into two phases of investment: (1)

USD 800 million, mainly for development of the second, third, and fifth plots. The land attributes are mainly commercial and residential land. The construction period is expected to be 36 months. Construction will start this year and completion is expected to be completed in 2022.

Judging from the properties of the first phase of the project, after the completion of the first phase, it will mainly be a tax-free commercial complex. The estimated construction area is nearly 200,000 square meters, which is the existing construction area of Haitang Bay.

6 times.

At the same time, the first phase of the project complements some supporting residential real estate projects to achieve rapid return of funds; (2) The total investment of the second phase of the project is 69.

800 million, the development of the remaining three plots, mainly commercial blocks, office buildings and hotels, is expected to start construction after 2021.

Strong profitability According to the company’s internal calculations, the overall profitability of the Haikou project is strong with an internal rate of return of approximately 14.

4%, which is basically consistent with the Haitang Bay Project (14.


Third, investment suggestions From the first half of 2019, the further opening up of the island’s tax-free policy has promoted the sales growth of the four island-free duty-free shops in Sanya, Haikou and Qionghai, and the number of tax-free shopping outlying islands increased by 15 each.

98% / 26.

56%, driving the passenger unit price up nearly 9.

12%, slightly higher than the 5% -8% increase we expect from democracy.

However, from the perspective of penetration rate, we estimated that the penetration rate of tourists’ tax-free shopping on outlying islands in Hainan in 2018 was only 6.

5%, compared with about 30% penetration rate of Jeju Island.

After landing in Haikou Duty-Free City in the future, Haikou City will effectively solve the problem of limited duty-free operating areas in the city in the past, and further increase the penetration rate of tourists’ duty-free shopping in outlying islands. At the same time, it will also replace the Hainan outlying island tax-free new policy for China Exempt Group to achieveIts long-term development goals in the Hainan Outlying Islands duty-free market are based on the expected foundation.

In the near future, the company is expected to be affected by the new management method of outbound duty-free shops and improve.

We believe that the competition pattern of the domestic tax-free industry will not change significantly due to the introduction of this measure. China Exempt Group is still the absolute leader of the industry, and short-term earnings are mainly affected by emotions.

Taking into account the 51% distribution injection in 2020 and the liberalization of tax exemption 佛山桑拿网 policies in the city, it is expected that the company’s EPS for 2019-2021 will be 2 each.

41, 2.

90, 3.

37 yuan, corresponding PE is 36X, 30X, 26X.

Excluding the impact of the opening of the tax exemption policy of the Chinese people, the company’s EPS for 2019-2021 is expected to be 2 each.

41, 2.

63, 3.

34 yuan, the corresponding PE is 35X, 33X, 26X.

Continue to maintain the “recommended” level.

4. Risk warning: The growth of tax-free sales is lower than expected; the progress of new projects and national tax-free policies in the city is lower than expected.

Sanyou Chemical (600409): Results basically bottomed out and expect the viscose industry to pick up

Sanyou Chemical (600409): Results basically bottomed out and expect the viscose industry to pick up

The company achieved revenue of 104 in the first half of 2019.

RMB 780,000, a year-on-year increase of +4.

91%; net profit attributable to mother 3.

900,000 yuan, 66.

88%; Net cash flow from operating activities.

370,000 yuan, 66 year on year.

twenty four%.

Q2 revenue was 52.

980,000 yuan (+0 compared to the same period last year).

68% quarterly +2.

25%); net profit attributable to mother 1.

9.8 billion (yoy-73.

23%, quarter to quarter +3.


The company’s performance has improved, and its attempted potential has been shown.

Viscose staple fiber, silicone, price of caustic soda, shortened price difference, decrease in value, and increase in cost have dragged down performance. In the first half of the year, the company produced soda 171, viscose staple fiber 40, PVC 22 instead, caustic 27 probe, silicone环 体 5。 Ring body 5.

9 Initially, except for viscose staple fiber, which has been producing and selling for many years, the production and sales of other products have remained basically stable.

However, the price of several major products and the sharp fall in the price difference have led to changes in the company’s performance. Among them, Q2 viscose staple fiber (price yoy-13%, price difference yoy-34%), silicone (price yoy -39%,Price difference yoy -55%), caustic soda (price yoy-17%, price difference yoy -19%), soda ash, PVC and other product prices, the price difference has remained basically stable.

Affected by this, the company’s Q2 gross profit margin decreased by 20.

46%, a reduction of 11 pct per year.

Looking at the chain ratio, in addition to the price of caustic soda, the spread is still lower than Q1, Q2 organic silicon (price qoq + 5%, spread qoq + 11%), PVC (price qoq + 8%, spread qoq + 5%), etc.Showing a certain tendency to stop falling and warming up, the company’s Q2 gross profit margin increased by 0 from the previous month.

62 points.

The company’s sales expenses in the first half of the year 4.

580,000 yuan, spending 68.22 million yuan over a year, mainly due to transportation costs, export costs increased.

Management expenses 7.

340,000 yuan, spending more than a year1.

1.8 billion yuan was mainly due to the increase in employee wages and environmental protection expenses.

Finance costs 1.

850,000 yuan, more than 21.16 million yuan a year of expenditure, mainly due to the completion of the viscose project loan repayment costs caused by increased interest expenses.

In addition, the company in the first half of the year due to inventory depreciation and other total impairment losses of 68.91 million yuan, more than one year accrued 48.36 million yuan, but also have a certain impact on the release of current performance.

The company’s net profit level in the first half of the year 4.

34%, ROE3.

43%, basically near the bottom of the company’s history.

The viscose staple fiber industry is replaced across the board, and the industry is recovering. The industry is expected to recover. In 2017 and 2018, the viscose staple fiber industry is gradually replaced across the board to usher in a new round of peak production capacity distribution. Among them, the newly-increased production in 2018 is about 64%, an increase of aboutAt 15%, the industry faces a certain period of excess supply.

Downstream textile and apparel demand was weakened by the friction of the Sino-US trade war, which further aggravated the contradiction between supply and demand in the 苏州桑拿网 industry. The industry operating rate replaced less than 70% in the second quarter.

Market prices continued to fall to 1.

Around 1 million / ton, the upstream raw material pulp remained strong, the price gap narrowed sharply, and the industry was generally severe.

Xingda Chemical Fiber’s subsidiary company twice in the first half of the year.1 ppm ((The net profit of the remaining major subsidiaries is Chlor-Alkali Subsidiary 1, respectively.

6.2 billion, Sanyou Silicon Industry 1.

3.9 billion, multicolored alkali industry1.

1.9 billion). As an industry leader with cost advantages, there are more. We believe that the price of viscose staple fiber has basically bottomed out.

The downstream textile and apparel market chooses to destock under the influence of trade friction. At present, the destocking effect is obvious. The replenishment demand and the trade friction, especially the easing of the tariff levy for the textile and apparel industry, are expected to be summarized in the second halfDemand for vibrating viscose staple fiber.

With the recovery of demand, the gradual digestion of new production capacity, and the general loss of the industry to further drive the clearance of small and medium capacity, we expect the viscose staple fiber industry is expected to recover at the bottom.

The company has a viscose staple fiber production capacity of 78. For every 100 yuan / ton price increase, the company’s net profit attributable to its mother will increase by 0.

47 trillion, elasticity is remarkable.

Profit forecast: It is expected that the prices of major products will decrease sharply and the company’s expenses and other expenses will increase, and the company’s net profit attributable to the parent will be reduced to 9 in 2019-2021.

15, 13.

25, 16.

1.5 billion, corresponding to PE is 11.

8X, 8.

1X, 6.

7X, the company’s PB is less than double, and the safety margin is sufficient to maintain the “overweight” level.

Risk warning: downstream demand is less than expected; product prices are further reduced; raw material prices have risen sharply

Baichuan Energy (600681) 2018 Annual Report Comments: Performance Meets Expectations Expected Expansion Expansion

Baichuan Energy (600681) 2018 Annual Report Comments: Performance Meets Expectations Expected Expansion Expansion
Event: Baichuan Energy released its 2018 annual report.The company’s operating income in 2018 was 47.50,000 yuan,杭州夜生活网 an increase of 59 in ten years.9%; net profit attributable to mother 10.10,000 yuan, an increase of 17 in ten years.3%; EPS 0.98 yuan. The increase in gas purchase costs caused pressure on the fourth quarter performance, and the overall performance was in line with expectations: In 2018, the demand for natural gas supply and demand remained tight.Affected by factors such as the increase in prices of upstream suppliers such as PetroChina and the purchase of high-priced LNG, the company’s single-quarter profit was under pressure.2018Q4 company gross margin 34.6%, each year, down 7 from the previous month.1,5.1 unit; company net interest rate 17.2% per year, down 16 from the previous month.4, 9.7 units.In the fourth quarter of 2018, the company’s net profit attributable to its parent transitioned to 40.3%, but considering the base effect, the overall performance is in line with the expected dividend ratio: the company disclosed the 2018 dividend plan, and cash and cash dividends were 0.5 yuan (including tax), and at the same time use the capital reserve to convert the capital into 4 shares for every 10 shares.According to the dividend distribution plan, the company’s cash dividend ratio in 2018 exceeded 50%, and the current market value translates into a yield of approximately 3.6%.With the company’s performance maintaining relatively rapid growth, a high percentage of dividends is commendable. Outward expansion is expected to become the company’s new performance growth point: in 2017 and 2018, the company successively acquired Jingzhou Natural Gas and Fuyang Gas Company to expand its business territory through outbound mergers and acquisitions to promote performance growth.Fuyang Gas was consolidated on 2018-08-10, and contributed net profit of 0 in 2018.48 million, taking into account the time of consolidation, Fuyang Gas can still contribute performance increase in 2019.In addition, the company’s annual report revealed that in 2019, it plans to continue to expand new operating areas, acquire and acquire high-quality project companies, and accelerate the national market layout.We believe that the dividend of coal-to-gas conversion in Hebei is gradually diminishing, and outbound mergers and acquisitions are expected to become the company’s new performance growth point. Earnings forecast and investment rating: According to the company’s coal-to-gas progress and outbound M & A, the company’s net profit attributable to mothers in 2019 and 2020 will be increased to 12, respectively.0 billion, 12.900 million (11 before adjustment respectively.400 million, 12.300 million), increase the net profit attributable to mothers in 202014.0 million.Regarding dividends (the conversion of provident fund into share capital) and the change in share capital caused by repurchase for the time being, is the company expected to be in 2019?The EPS in 2021 will be, 1.35 yuan, corresponding to PE, 12, 11, 10 times, maintaining the “overweight” level. Risk reminder: the progress of “coal to gas” is slower than expected, and the supplementary expectations exceed expectations; the company ‘s outbound M & A project progress and effect exceed expectations; the risk of reduction or cancellation of connection fees; further decline in natural gas distribution fees leading to lower gas sales revenueRisk, etc.

Huayu Automotive (600741): Q1 performance is expected to continue to improve QoQ due to industry growth

Huayu Automotive (600741): Q1 performance is expected to continue to improve QoQ due to industry growth

Event: The company released the first quarter report of 2019, and achieved revenue of 355 in 19Q1.

700 million (previously -11.

6%), achieving net profit attributable to mother 18.

500 million (decade -36.

6%), deducting non-attributed net profit of 13.

600 million (a year -15.

1%), the performance was in line with expectations.

Comments: 1. The auto industry in 19Q was under pressure, and the company’s situation was basically the same as the industry.

Profit: The company’s 19Q1 net profit attributable to the mother was further reduced due to the one-time investment income generated when the remaining 50% of the Shanghai Xiaoxie car was acquired at the same time in 18 years. If this effect is excluded, net profit attributable to the mother will decrease by 15.

1%, performance is basically in line with expectations.

Gross profit margin: 19Q1 gross profit margin 14.

3%, ten years +1.

2pct, ring than +0.

6pct, showing very good cost control capabilities.

Three rates: 1. Selling expense ratio.

4%, flat for one year, and management expense ratio of 5.

4%, annual reduction of 2pc, effective reduction of expense ratio, financial expense ratio of 0

0%, the overall three rates have declined.

R & D expenses: Q1 invested R & D expenses12.

800 million, accounting for 3% of revenue.

An initial R & D expense ratio of 6%, about $ 18.

3% continued to 杭州夜网 improve.

Investment income from associates and joint ventures: 9 in the first quarter.

5 billion, 23 from the previous decade.


2. 19Q1 is temporarily caused by the downturn in the industry. It is expected that the chain will continue to improve in the second and third quarters. According to data from the China Automobile Association, sales of passenger cars in 19Q1 have decreased.

9%, meanwhile, SAIC’s Q1 sales increased during a ten-year period.

9%, the company’s main business revenue increased by more than 50%, SAIC Group, affected by industry interests, the company’s Q1 revenue slightly better than the industry’s range of change, the performance side is basically flat, the overall performance in line with expectations.

From the current production and sales of the industry, in March 19, the industry’s 南京桑拿网 retail end was -12%, and the wholesale end was -14%. The retail end has improved, and the industry’s destocking has come to an end. It is expected that the extension in the second quarter will gradually narrow.Low and high trends are expected, and the company’s second and third quarter results are expected to continue to improve.

3. Actively lay out electric and intelligent fields. Internationalization provides companies with broad space. The company implements the “3 + 2 + 1” strategy, that is, intelligent networking, electrification, and lightweighting. There are three professional sectors, interior and exterior trim, and two chassisIntegrated platform, international and domestic synergy of an investment and financing platform business system construction requirements.

In 2018, the company acquired a 50% stake in Huayu Vision, and batch delivery to millimeter-wave radars after 24GHz. 77-GHz millimeter-wave radars are targeted for mass production in 2019.

Huayu Electric provides driving motors for SAIC passenger cars, suppliers of driving motors for SAIC-GM new energy vehicles, and driving motors for Volkswagen’s global electric vehicle platform (MEB platform).

Huayu Magna Electric Drive System Co., Ltd. has been awarded by SAIC-Volkswagen and FAW-Volkswagen regarding the products of Volkswagen’s global electric vehicle platform (MEB platform) electric drive system assembly.

4. Profit forecast and rating: The company is a leading domestic component company. It is actively deploying electrification and intelligence. With the gradual growth of the industry, the company’s performance is stable.

Driven by the three-level strategy, the company’s competitive leadership continues to increase, and the future development space is broad.

In 2019, the company’s consolidated operating income target is 1600 trillion, and the operating cost target is controlled within 137 billion. The company will actively promote cost reduction and efficiency improvement.

Expected 19 years?
In 21 years, the company’s net profit attributable to its parent was 71.
9 billion, 75.
600 million, 78.

300 million, maintaining the “strongly recommended-A” level.

5. Risk reminder: the growth rate of the domestic auto industry, the price increase of upstream raw materials, and the downstream customers demanding a high price reduction

Zhaoyi Innovation (603986) Third Quarterly Review: Product structure improvement demand drives NORFLASH upward cycle

Zhaoyi Innovation (603986) Third Quarterly Review: Product structure improvement demand drives NORFLASH upward cycle

Financial report: On October 30, 2019, the company disclosed the 2019 third quarter report.

In the first three quarters of 2019, the company’s main business income22.

40,000 yuan, an increase of 28 in ten years.

04%; operating profit 4.

56 ppm, an increase of 16 in ten years.

76%; net profit attributable to mother 4.

50 ppm, an increase of 22 in ten years.

42%; non-net profit attributable to mother 3.

95 ppm, an increase of 15 in ten years.

46%; net cash flow from operating activities7.

30,000 yuan, an increase of 133 in ten years.

49%; basic return 1.

53 yuan / share, an annual increase of 16.

79%; estimated average return on net assets is 14.

75%, a decrease of 5 from last year.

24 units.

In the third quarter of 2019, the company achieved main business income10.

20,000 yuan, an increase of 62 in ten years.

97%; operating profit 2.

68 ppm, an increase of 88 in ten years.

34%; net profit attributable to mother 2.

62 ppm, an increase of 98 in ten years.

21%; net cash flow from operating activities 3.

53 ppm, an increase of 200 per year.

82%; basic profit income is 0.

82 yuan / share, an increase of 75 in ten years.

73%; ROE 6.

12%, a 重庆夜生活网 decrease of 0 from last year.

94 units.

Comment: Company profile: The company’s main business is flash memory chips (NOR Flash and NANDFlash), microcontrollers (MCU) and fingerprint sensors newly added in 2019. It is currently the leading domestic flash memory chip design company.

According to third-party statistics, in 2018, the company maintained the top 10 in the revenue of China’s IC design industry; ranked 10th in the global ranking of flash memory products; NOR Flash ranked 5th in the world, ranking 10th in the total market share.

9%; Serial NOR Flash ranks third globally.

MCU ranks third in China, with a total market share of 9.

4%, formerly replaced by STMicroelectronics and NXP.

In the 2018 annual report, memory chips, microcontrollers, technical services and other revenues accounted for 81% of 深圳spa会所 revenue.

89%, 18.

01%, 0.

09%; territorial and overseas revenue ratios are 13 respectively.24% and 86.


Business continued to develop rapidly.

In the first three quarters of 2019, the conductive increase in sales of memory chips and the subdivision of the US dollar against the RMB exchange rate have become the main contribution to revenue growth, which has translated into a significant increase in MCU business.

In Q3 2019, the company’s revenue increased by 63 in Q2.

41% continued to grow on the basis of 34.

31%, the business achieved rapid development; operating profit increased by 339 in Q2.

02% on the basis of continued growth of 75.


The product structure has been improved, and new products have been released.

From the perspective of sales structure, the proportion of overseas companies increased, the proportion of emerging industries increased, and the introduction of new and new products had a positive impact on gross profit margin.

In Q3 2019, the company’s gross profit margin was 40.

58%, the highest in a single season in the past two years.

55nm products are expected to be successively introduced into mass production in 2020; M23 and M33 series new products are expected to be released in November 2019 and the first quarter of 2020; LCD screen fingerprint solutions have matured, and screen optical fingerprint products are expected to continue in the second half of this year and next yearWith heavy volume, the comprehensive competitiveness of products is expected to further improve.

Demand drives Nor Flash’s upward cycle, providing tight expectations continue.

5G and IoT (including wearables, smart homes, etc.) and other technical fields drive this round of Nor Flash uplink cycles. It is expected that there will be continued growth in the medium and long term. TWS isometric fields are expected to go up in volume and price.

Slightly tight supply due to tight capacity at Foundry is expected to continue in the fourth quarter.

Layout of DRAM, leading to break through the monopoly of giants.

On October 1, the company announced a non-public issuance plan and planned to raise 43.

24 ppm for DRAM chip R & D and industrialization projects and supplementary working capital.

The total estimated investment for the DRAM project is 39.

92 million, it is planned to use raised funds33.

2.4 billion.

The project development period is 6 years.

The company intends to develop DRAM technology under 1Xnm (19nm, 17nm) process through this project, design and develop DDR3, LPDDR3, DDR4, LPDDR4 series DRAM chips.

Through the layout of the DRAM field, the company’s product structure in the storage field will be further enriched, enhancing international competitiveness, and gradually breaking through the monopoly of the three giants Samsung, Hynix and Micron in the domestic DRAM market.

Investment suggestion: in the short to medium term, the supply of Nor Flash is tight, the company’s product structure is improved, new products are continuously being ramped up, and the overall product competitiveness is improved.

In the medium to long term, demand for Nor Flash is expected to continue to increase, and the DRAM market has huge space.

It is recommended to pay attention to the company in the medium and long term, and pay attention to the risk of the company affected by the trade war.

Risk reminders: trade war risks; intellectual property risks; downside risks to the industry boom; risks of intensified industry competition; less-than-expected technological development risks; exchange rate risks

Haier Zhijia (600690): Cost dividend expected to continue

Haier Zhijia (600690): Cost dividend expected to continue

Event: Haier Zhijia announced the 2019 Interim Report.

The company’s single-quarter revenue in Q2 2019 was +8 year-on-year.

7%, the growth rate slowed down by 1 MoM.

5pct; performance +6.

3%, the growth rate decreased by 3 from the previous quarter.

1 point, deduct YoY + 3 for non-performance.


The company’s Q2 revenue and performance growth basically met the expectations of the capital market.

Overseas revenue growth performance is bright: According to the announcement, Haier’s overseas revenue YoY + 23 in the first half.

6%, the proportion of total income increased to 47%, even if replaced by Candy consolidation, the overseas growth rate is still 13%.

By region: North American GEA’s revenue contribution resistance increased by 12% in the first half of the year.

6%, the second quarter growth rate is higher than Q1; each year, Europe, South Asia market growth rate is higher than Haier’s average overseas business, helping the company’s revenue growth sustainability.

The newly acquired Candy was consolidated in January 2019, contributing 46 in the first half of the year.

600 million, net profit -1.

The negative profit of 30,000 yuan was mainly affected by factors such as merger and acquisition consolidation and integration expenses, sales changes, and M & A loan index expenditures.

Domestic revenue growth has improved: In earlier overseas markets, domestic business themes were affected by more intense macroeconomic patterns and industry competition. In the first half of the year, Haier’s domestic business revenue was YoY-1.


We estimate that the company ‘s Q2 air conditioning business revenue growth rate may be higher than Q1, and the refrigerator and washing machine growth rates are also vertical, but the performance is still better than the industry as a whole. According to Zhongyikang offline monitoring data, Haier ‘s refrigerator and washing machine market share have increased respectively.Up to 1.

3pct and 2.

7 points.

There is still room for improvement in the gross profit margin of domestic business: According to the announcement, the gross profit margin of Haier’s domestic appliance business increased by 0 in the first half of the year.

9pct, we think is benefiting from product price increases and cost dividends.

According to Zhongyikang offline retail monitoring data, the average price of Haier refrigerators in the second quarter was YoY + 6.

5%, washing machine average price YoY + 6.

7%, and at the cost side, we calculated that the overall cost of ice and washing decreased by 5 respectively.

0% or more.

Therefore, we believe that the company’s domestic business in the second half of the year is expected to continue to enjoy the margin of margin scissors.

It is worth noting that: 1) Q2’s overall gross profit margin decreased by 0%.

4pct, which is not the same as the growth trend of the gross profit margin of the domestic appliance business. We believe that gradually the gross profit margin of overseas businesses gradually reduces the domestic gross profit margin, which structurally affects the performance of the overall gross profit margin;

4 points, in addition to the increase in overseas share, is also related to the product structure. In the first half of the year, the commander-in-chief washing machine revenue YoY + 23%, the growth rate exceeded the Haier brand, a certain degree of impact on the gross profit margin.

The expense rate control is better, and the R & D investment continues to increase: the company’s management expense rate in Q2 exceeded flat, and the sales expense rate decreased slightly by 0.

3pct, R & D expense ratio increased by 0.

3 points.

Net cash flow from the company’s Q2 operating activities YoY-31.

6%, related to the acquisition of Candy, is expected to improve on a month-on-month basis.

Investment suggestion: Qingdao Haier has achieved industry leadership in high-end brands and layout. The high growth of overseas revenue in the first half of the year has also ensured that the company’s revenue-side growth rate is stable.

What do we expect the company 2019?
The EPS in 2021 杭州夜生活网 will be 1.

47 yuan, maintain Buy-A investment rating, 6-month target price of 18.

7 yuan, equivalent to 15 times dynamic price-earnings ratio in 2019.

Risk warning: the price of raw materials rises sharply, foreign trade policies, exchange risks.

Xianfeng Pharmaceutical (002332): First-quarter results exceed expectations The company’s inflection point has now arrived

Xianfeng Pharmaceutical (002332): First-quarter results exceed expectations The company’s inflection point has now arrived

The core view of the annual 杭州桑拿网 report was in line with expectations, and the first quarter performance exceeded expectations.

The company announced its annual report and quarterly report, and achieved revenue of 36 in 18 years.

22 ppm, an increase of 26 in ten years.

97%, net profit attributable to shareholders of listed companies is 3.

10,000 yuan, an increase of 45 in ten years.

85%, in line with market expectations, and the company plans to distribute cash to every shareholder of 0 for every 10 shares.

65 yuan; quarterly, the company’s revenue in Q4 18 of 9.

72 ppm, an increase of 12 in ten years.

49%, net profit attributable to mother is 0.

90,000 yuan, an increase of 36 in ten years.

55%; in the first quarter, the company achieved revenue of 9 in Q1.

26 ppm, an increase of 0 in ten years.

7%, the net profit attributable to shareholders of the company is 0.

58 ppm, an increase of 43 in ten years.

23%, slightly surpassing market expectations. Approximately, the high growth in Q1 of 19 was achieved on the basis of the high base of Q1 in 18, and the company is expected to perform well in 19 years.

In terms of expenses, the company increased sales expenses by 32 in 18 years.

99%, an increase of 2 from last year.

19 totals, management costs 7.

12%, an increase of 0 from last year.

The 71 average values are all within the controllable range.

In terms of R & D, the company’s initial R & D investment for 18 years1.

43 ppm, an increase of 62 in ten years.

07% is mainly related to the gradual implementation of the company’s related consistency assessment varieties. It is expected that in 19 years, it will continue to maintain a high level of anesthesia and the respiratory tract continues to grow at a high speed.

In terms of business, the company’s 18-year preparation business income was 18.

650,000 yuan, of which 17 are self-managed agents.

77 ‰, an increase of 9 in ten years.

2%, pharmaceutical investment income is 0.

880,000 yuan, down 43 every year.

6%, mainly due to the promotion of the two-vote system, the company’s investment promotion business intervention breakthrough.

Specifically, income from sales of gynecological family planning products5.

16 ppm, a ten-year increase4.

5%, income from anesthesia muscle pine products4.

8 ‰, an increase of 21% in ten years, respiratory products1.

93 ppm, an increase of 71% in ten years, and high-margin anesthesia and respiratory lines still maintain rapid growth.

For APIs, revenue from independent API business.

USD 600 million, with an annual growth rate of 23%. It is expected to grow steadily. It is expected to maintain steady growth in the future. Through the completion of company process changes, the profit contribution of internal drug substances will gradually increase.

65 ppm, a year-on-year growth of 11%, is still maintained at a stable level, and the steroid field is well-positioned, which is optimistic about the company’s long-term development.

The production process barrier of steroidal APIs is very high. The company is one of the few domestic companies that simultaneously merges two production routes of “diene” and “saponin”, and has a complete variety of layouts. Until now, the company has been developing steroidal APIs.The competitive advantage in the field is very obvious. Reorganization. The company set up a joint venture subsidiary with Saito Bio in the upstream, which has certain advantages in cost. Gradually, the acquisition of Newchem and Effechem downstream will make the company go further in the internationalization of the drug substance.Leading in the steroids field, the right to speak will continue to increase in the future, optimistic about the company’s long-term development. Financial Forecast and Investment Suggestions We maintain the company’s EPS forecast for 19-21 to be zero.



76 yuan, maintaining the company’s 19-year estimate of 19 times, the corresponding target price is 8.

28 yuan, maintain BUY rating.

Risks remind that preparations sales fall short of expectations; API business falls short of expectations

Gemdale Group (600383): The new year coincides with new possibilities.

Gemdale Group (600383): The new year coincides with new possibilities.
Practising the development road of “stability” and “increase” The company insists on investing in the first-tier and second-tier investment strategies.Before 2016, affected by internal and external factors such as the trend of first- and second-line restrictions and conservative development strategies, the company’s sales growth accelerated.After 2016, on the basis of the first- and second-tier recovery, the company took land and sales turned positive.And in 2019, the industry as a whole is weak, achieving high growth against the trend.”Proceeding with stability” confirms the development of Gemdale for over thirty years. The land reserves are well-positioned and the stocks are abundant. The counter-cyclical land acquisition efforts will not decrease. Before 2016, the company’s land acquisition was conservative.In 2017, the intensity of land acquisition was significantly increased, and the increase in soil storage and construction area increased by 144.8%, the amount of land acquisition accounted for 71 of the current sales amount.3%, in 2018 and 2019H1, the holding strength remained above 60%.As of the end of 2019, the company’s full-caliber soil reserves reached 47.6 million countries, corresponding to equity soil reserves of 25.5 million countries.Among the saleable value, the first and second tiers accounted for about 78 in total.5%.The abundant soil reserves can meet the company’s development needs in the next 3 years, and its superior layout helps to maintain high sales growth. The city’s deep cultivation, enhanced penetration, and qualitative growth in sales The company’s sales level has rebounded since 2015, and its sales exceeded 100 billion yuan in 2016. From 2015 to 2018, the compound growth rates 南宁桑拿 of sales amount and sales area reached 38% and 25%.On January 11, 2019, the sales amount was 31% per year, and the sales area was 25 for half a year.6%, to achieve contrarian growth.There is no doubt that the company’s sales achieved high growth rather than simply layout expansion, but the competitive advantage and penetration increase brought about by the deep cultivation of the city.Judging from the sales amount, the contribution of the single city is from 20, 2012.1 million to 42 in 2018.700 million.In the past two years, the company has chosen to sink underground to a strong third line with potential and a second line with a better market foundation. On the basis of continued cultivation in the future, the sales contribution distribution is expected to be more balanced and the scale increase can be expected. Financial stability and prominent financing advantages are attributed to the contrarian land grab in the past two years, and the company’s leverage level has improved. The net debt ratio in the third quarter of 2019 reached 60.1%, but still low in the industry.In the case of overall tight industry financing in 2019, the company’s financing channels were unblocked, and the average financing cost was reduced in the first half of the year4.87%.Law, low leverage will provide more room for the company’s future development. We expect the company’s EPS to be 2 in 2019-2021.17, 2.58,3.00 yuan / share, corresponding to the current sustainable PE of 6.6,5.6,4.8 times.Give “overweight” rating. Risk warning: tightening of first-tier and second-tier budget policies, tightening of financing end than expected.