Midea Group (000333): Multi-dimensional expansion of channels accelerates the transformation of multi-brand retail
Continue to share growth dividends for shareholders and maintain a “Buy” rating On April 19, 2019, the company disclosed its 2018 annual report, which basically met our previous expectations, resulting in a total operating income of 2618.20 trillion, ten years +8.23%, net profit attributable to mother 202.31 ppm, +17 a year.05%, and intends to distribute a cash dividend of 13 yuan for every 10 shares to all shareholders.At the same time, the company plans to launch a large-scale equity incentive plan that covers global core management teams, middle and senior management personnel, scientific researchers and grass-roots management personnel, and formulates shareholder return plans for the next three years. It is expected that cash dividends will exceed 30%.We expect the company’s EPS to be 3 in 2019-2021.52, 4.11, 4.65 yuan, maintaining the 杭州桑拿 company’s “Buy” rating. Domestic sales consolidate advantages, export sales expand the market, and are optimistic about the company’s revenue-side growth space. The company’s total operating income in 2018 was 2618.20 trillion, ten years +8.twenty three%.Among them, 2018Q4 company achieved operating income of 544.15 ‰, +0 for ten years.48%.In terms of business, HVAC revenue was 1093.95 ‰, +14 for ten years.73%, consumer electronics business income 1029.930,000 yuan, +4 for ten years.30%, robot and automation system business income of 256.780,000 yuan, at least -5.03%.The sales growth of the air-conditioning business led the increase in domestic sales, which achieved 1492 in domestic sales.57 trillion, ten years +9.14%, export sales were dragged down by KUKA business, with revenue of 1,104.7.5 billion, ten years +6.twenty one%.The 武汉夜生活网 initial net profit attributable to mother is 202.31 ppm, +17 a year.05%.In the fourth quarter of 2018, due to the impact of revenue, net profit attributable to mothers was achieved23.310,000 yuan, +1 a year.97%. Control the pricing power of the industrial chain, the increase in average price and the improvement of the robot business to drive the gross profit margin upward. Although some raw material prices are operating at high levels, the company controls the pricing power of the industrial chain(+5% / + 20% / + 24% shortened, leading the industry’s growth rate, the industry’s average price of air-washing and ice-washing rose by +4% / + 11% / + 11%, respectively). We believe that the company’s average price has improved and the robot business has improved.Pulled the overall gross profit margin upward, and the gross profit margin reached 28.13%, +2 for ten years.73%.Among them, 2018Q4 gross profit margin was 29.25%, ten years +4.77%.In terms of products, the gross margin of air conditioners is 30.63%, ten years +1.59PCT, gross margin of consumer electronics 29.16%, ten years +1.79PCT, gross profit margin of the robot business 22.85%, ten years +8.37PCT.Net purity profit in 20187.73%, ten years +0.58PCT, 2018Q4 net profit margin4.28%, ten years +0.06PCT. The acceleration of the transformation of sales channels, the steady promotion of research and development, and the consolidation of product strength. In 2018, the company increased multi-category joint promotions and promoted the construction of experience stores (gradually opening 139 experience centers in the building materials market and upgrading 375 flagship stores as experience centers). The sales expense ratioReach 11.87%, ten years +0.82 units.Affected by the increase in R & D expenses, the company’s management and R & D expenses6.86%, ten years +0.75PCT.At the same time, fluctuations in the RMB exchange rate have brought exchange gains for the company4.At the same time, US $ 8.5 billion, while interest income increased from the previous, and internal finance costs were -18.2000000000. The advantage of the industrial chain may maintain the leading edge of average price improvement. We are optimistic about the future growth of the company’s robotics business. We are optimistic about the company’s ability to increase the average price of its products, as well as the development of domestic robotics business and the improvement of gross profit margin.3.52, 4.11, 4.65 yuan (average 3 before 19-20 years).49, 4.10 yuan), with reference to comparable companies’ 2019 PE forecast of 14.At 96x, the company has certain advantages in ROE and net profit growth. At the same time, considering that the company has the composite attributes of robots and white goods small appliances, it is recognized and given to the company in July 2019.5?19.The price-earnings ratio is 5 times, corresponding to the target price of 61.60?68.64 yuan, maintain “Buy” rating. Risk warning: competition in the home appliance industry is intensifying.Unfavorable price fluctuations of raw materials, etc.