Vantage Holdings (002035) Commentary Report: Revenue Restructuring in the First Quarter, Double-digit Net Profit Growth, Further Improved Channel Operation Efficiency

Vantage Holdings (002035) Commentary Report: Revenue Restructuring in the First Quarter, Double-digit Net Profit Growth, Further Improved Channel Operation Efficiency

The event company released the 2018 annual report and the 19th quarterly report on the evening of April 28.

Investment Highlights Revenue growth rate in the first quarter, net profit maintained double-digit growth The company achieved operating income of 60 in 2018.

95 ppm, a ten-year increase6.

36%, achieving net profit attributable to shareholders of the parent company.

770,000 yuan, an annual increase of 32.

83%, budget benefit 0.

77 yuan.

At the same time, the company distributed a cash dividend of 3 to every 10 shares of all shareholders.

00 yuan (including tax).

The company achieved revenue of 13 in the first quarter.

31 ppm, a ten-year average of 6.

54%, achieving net profit attributable to shareholders of the parent company.

32 ppm, an increase of 14 in ten years.

80%, budget benefit 0.

15 yuan.

In 18 years, the range of smoke stoves was basically the same. In terms of the rapid growth of water heaters and embedded products, the company’s traditional range of smoke stoves was basically the same in 18 years (Smoke Machine 23).

56 trillion, +1.

42%; cooker 16.

140,000 yuan, -3.

38%). At the same time, based on the market capacity of the water heater industry and the lack of mid-end brands in the competitive landscape, the company will determine a new growth focus and increase publicity and promotion.

63 ppm, an increase of 24 in ten years.


In addition, embedded products such as dishwashers, electric steam boxes, and electric ovens are recognized by more consumers. The company quickly expanded its research and development and patented the layout, and introduced a series of products such as cabinets, electric steam boxes, and electric ovens. 18The annual embedded products achieved an increase of over 30%.

In 18 years, e-commerce & engineering channels grew rapidly. In 19 years, the focus of channel operations shifted to improving efficiency. In terms of ensuring offline channels, the company set out to establish a distribution management platform. The first- and second-tier dealers were adjusted to be retail-oriented and second-tier.Distributors transform the distribution model of flagship store retailers, guide the gradualization of the distributor channel, and help the company better monitor and manage the sales of distributors, terminal channels, and inventory data.

Under the brand upgrade strategy, the company continued to upgrade and sink its channels. 失败:重查 In 2018, the company’s flagship store’s prefecture-level city and above reached 56.

8%, an increase of 20 per year.

2 units; 111 new KA flagship stores, with a single store area of 77 square meters and an extension of 35.


In 18 years, 186 Vantage brand flagship stores, 322 specialty stores, and 67 community outlets were added. 346 Black & Decker brand exclusive stores and 356 township outlets were added.

Affected by the downturn in real estate in 2018, offline channels realized revenue34.

20,000 yuan, the average ten years 3.


In terms of e-commerce channels, the company creates large-scale themed events during promotional festivals, and combines the habits and characteristics of online users to create online boutiques that are different from offline products.

In 18 years, the company’s e-commerce channel realized operating income16.

$ 2.5 杭州桑拿 billion.

34%, ranking the forefront of the industry for three consecutive years.

In terms of engineering channels, the company added 14 strategic procurement customers including Sunac Real Estate, China Railway Construction, Aoyuan Group, and Shanhuhai Group in 18 years. It has gradually cooperated with 41 strategic procurement customers.

At the same time, the company actively explored engineering channel agents, and signed a total of 9 agents.In 18 years, the company’s engineering channels achieved operating income4.

390,000 yuan, an increase of 54 in ten years.

49%, the company multi-channel joint efforts to promote sales growth.

Gross profit and net profit increased steadily, and operating cash rebates were better18.

87 up to 47.

34%, net interest rate increased by 2 in the short term.

19 up to 11.


The company’s gross profit margin increased in the first quarter of 192.

77 up to 48.

13%, mainly because the cost of raw materials has eased the pressure on the expense side. The sales and management expense ratio increased in the first quarter, and the net interest rate increased by 1.

87 averages to 10.

18%, overall, the company’s profitability trend is improving.

In terms of financial indicators, the company’s accounts receivable and bills at the end of the first quarter of 1915.

68 yuan, an increase of 54 each year.

8%, mainly due to the company’s increased support for channels, increased credit to downstream dealers and changes in channel structure.

Inventory 4.

50,000 yuan, an annual increase of 42.

2%, notes payable 14.

3.6 billion, an increase of 136 per year.


The company’s monetary funds + wealth management 21.

31 ppm, an increase of 28 per year.

1%, the company’s net operating cash flow in the first quarter increased by 88 per year.

3% to 1.

92 million, better cash creation ability.

Profit forecast and forecast The company will continue to increase its R & D investment. The company’s higher marketing promotion in the first two years has achieved good results, and will improve afterwards.

We expect the company to achieve net profit for 2019-2021.

1 billion, 9.

600 million and 11.

20,000 yuan, an annual increase of 20.

1%, 17.

8% and 17.

0%, corresponding to EPS0.

92 yuan, 1.

09 yuan and 1.

27 yuan, corresponding to the current expected estimate of 14.

0 times, 11.

9 times and 10.

2x, maintain “Buy” rating. Risks suggest recession in the real estate market; increased competition in the industry; risk of rising raw material prices