Jinshiyuan (603369) Third Quarterly Report Review: Performance in line with expectations

Jinshiyuan (603369) Third Quarterly Report Review: Performance in line with expectations

Event: The company achieved revenue 41 in the first three quarters of 2019.

13 ppm, an increase of 30 in ten years.

20%, achieving net profit of return to mother 12.

0.94 million yuan, an increase of 25 in ten years.

74%, basic income 1.

03 yuan, an annual increase of 25.


Performance was in line with expectations, and the proportion of national borders continued to increase.

In 19Q3, the company’s revenue and net profit attributable to mothers increased by 32 respectively.

27% and 28.

30%, mainly due to the rapid volume of national margin series products. On the whole, the revenue growth and profit growth in the first three quarters are basically consistent with the target, and the performance is in line with expectations. The progressive target is expected to be achieved smoothly.

In terms of products, the revenue growth rate of special 杭州桑拿网 A + products in 19Q3 was 57.

26%, an increase of 12 from the first half.

93pct, the first three quarters are expected to open four large products, folio products revenue growth rate of more than 40%, V series small growth rate resumed, it is expected that the national margin in the company’s total revenue has increased to about 70%, product structureContinue to upgrade; 19Q3 special A product revenue growth rate was 18.

09%, waist products continued to grow steadily.

In terms of regions, the company’s revenue growth in the province in 19Q3 was 29.

55%, an increase of 1 over the first half of the year.

16pct, of which Huai’an, Sunan, Yancheng, Nanjing, Central Jiangsu, Xuzhou market revenue growth rate were 9 respectively.

38%, 40.

43%, 22.

11%, 44.

11%, 26.

09%, 57.

88%, in which the southern Jiangsu 北京桑拿洗浴保健 market accelerated significantly, mainly because southern Jiangsu ‘s overall recognition of provincial brands was not high in the past. This year, the potential of the brand of Soviet wine has increased significantly in southern Jiangsu; 19Q3 the company ‘s external revenue growth rate was 95.

97%, the chain continued to accelerate in the first half of the year, mainly because the “1 + 2 + 4” market performed well. In August, the Shandong market increased by 81% compared with the same period last year. It is expected that some markets will double this year.

In terms of investment promotion, the company’s provincial network increased by 18 in the first three quarters of 19, of which Southern Jiangsu and Central Jiangsu increased by 14, 15 respectively, mainly due to the company’s focus on weak areas. In southern Jiangsu and Central Jiangsu, resources continued to increaseRaising and channel construction; There was a net increase of 109 dealers outside the province, and the number and quality of dealers outside the company achieved synchronous improvement.

The gross profit margin decreased slightly, and the expense ratio decreased significantly.

19Q3 company gross margin was 73.

95%, a slight decrease of 0 a year.

86pct, the company transferred some of the items that were originally charged into the cost (such as handbags) into the cost, dragging the gross profit margin to a certain length.

19Q3 company period expenses23.

07%, a decrease of 3 per year.

95pct, of which selling expenses cost 17.

39%, down 2 every year.

The reduction of 77pct is due to the transfer of some items from sales expenses, the annual increase in the level of reduction in fee discount ratios, and management expenses.

70%, falling by 1 every year.

26pct; Finance Expenses cost -0.

02%, 0 per year.09 points.

19Q3 company net profit was 20.

95%, a decline of 0 every year.

69pct, mainly due to the decline in gross profit margin and the increase in tax rate, 19Q3 tax and additional ratio of 26.

39%, an increase of 2 per year.

85pct, mainly realized the company turnover tax in the reporting period.

19Q3 The company’s net cash flow from operating activities was 2.

52 ppm, a decrease of 36 per year.

27%, mainly because some dealers have completed their tasks well, and do not need to pay in advance, which caused the amount of advance receipts to drop by 20.


The potential energy of the brand continues to rise, and the growth momentum is still sufficient.

This year is the fifteenth year of the company’s national border series, and the first year of the new five-year strategy.

The company’s performance has ushered in accelerated growth since 18 years, mainly due to the quantitative change to qualitative change brought about by the market cultivation in the province for many years, the brand’s rising pull, and the channel’s sinking thrust to jointly promote the release of potential energy.

The company merged to enjoy the incremental dividend brought by the consumption upgrade in Jiangsu Province, and continued to increase the recognition of the brand in the province to seize the stock allocation of other brands.

From a high-level point of view, fostering group purchases in the province + sinking to the county to ensure steady growth, expanding investment promotion in key markets outside the province will gradually enter a rapid harvest period.

Considering that the company will continue to seize the share in the short term, it is expected that the company will enter a rapid growth period in which the revenue growth rate is faster than the profit growth rate, so as to achieve the target achievement.

Investment suggestion: Maintain “Buy” rating.

We expect the company’s operating income to be 48 in 2019-2021.



94 ppm, an increase of 29 in ten years.

80% / 25.

62% / 22.

87%; net profit is 14.



50 ppm, an increase of 24 in ten years.

97% / 23.

07% / 21.

46%, corresponding EPS is 1.



72 yuan.

Risk warnings: Sangong ‘s efforts to suppress consumption continue to increase; consumption upgrades are below expectations; food safety issues.