Zhejiang Meida (002677) First Quarterly Report Review 2019: Double-high growth in revenue and performance

Zhejiang Meida (002677) First Quarterly Report Review 2019: Double-high growth in revenue and performance

[Investment Highlights]The company released the first quarter report of 2019, reporting that the company has achieved initial income2.

900,000 yuan, an increase of 31 in ten years.

63%; net profit attributable to mother is 0.

75 ppm, an increase of 22 in ten years.


The company’s quarterly revenue and performance growth increased by 5 from 18Q4.


59 points, always outstanding.

We believe that with the recovery of real estate expectations, the post-cycle segment has once again entered the repair channel. As a leader in the segmentation of kitchen appliances, the company has shown a stronger Matthew effect. The double-high revenue and performance growth in the first quarter also feeds back to the marketPositive signs of demand improvement.

Speeding up e-commerce and credit rollovers pushed up receivables.

In 1Q1, the company’s bills receivables and accounts receivable reached zero.

41 trillion, fractional increase at the beginning of 134.

55%, mainly due to the increase in the scale of e-commerce sales revenue at the end of the period and to give some dealers with high reputation and large potential for development have certain credit line support.

The company has been vigorously developing e-commerce channels since 18 years. We expect that the e-commerce channels in 19Q1 will make a conductive contribution to the revenue side.

Advance receipts improved and cash on hand was plentiful.

In 1Q1, the company’s advance accounts receivable increased slightly, and the ranking at the beginning of the period increased by 5.

22%, indicating that the dealer’s funds are in good condition.

The company has abundant cash on hand, 8 trillion currency funds in 19Q1, cash flow remains stable, and reports a series of net operating cash flows of zero.

USD 4.2 billion, an annual growth rate of 68%. It is expected that the continuous terminal market will pick up after the second quarter, and e-commerce and dealers will receive more active payments, and the company’s accounts receivable and cash flow will be further improved.

Gross profit margin stabilized, marketing expenses plus basic net interest margin.

The price of raw materials fluctuated smoothly in 19Q1, and the company’s gross profit margin 成都桑拿网 was 53.

84%, a slight decline of 0 a year.

73pct, but up 1 from 18Q4.

87pct, we think mainly benefit from the stabilization of raw material prices and the optimization of product structure.

In the first quarter, the company further strengthened the advertising and promotion of high-speed rail, anti-aircraft guns, new media, etc., and the sales expense ratio increased.

88pct to 15.

50%, but the company’s operating management efficiency is improved, and the management expense ratio is reduced by 3.

32pct to 5.

At the same time, the company increased R & D investment and the R & D expense ratio increased by 0.

27 points, the comprehensive impact caused the extension of the net profit margin in 19Q12.

04pct to 26.


We believe that with the increase of new entrants and the increase in the number of 武汉夜生活网 traditional kitchen appliances brands, the integrated stove industry will maintain an intensified competition in the future layout. The company, as the industry leader, has achieved a solid foundation of product quality in the early stages.However, in the face of industry reshuffle, short-term profits in exchange for long-term shares are still the main way to consolidate.

[Investment suggestion]It is estimated that the company’s operating income in 19/20/21 will be 16 respectively.



6.6 billion, net profit attributable to mothers was 4


11 trillion, EPS is 0.



95 yuan, corresponding to PE 18.



04 times, maintaining the “overweight” level.

[Risk Tips]The real estate boom is further down; the construction of the KA channel is less than expected; industry competition is intensifying.