Sofia (002572) 2019 Annual Report Commentary Comment: Q4 Revenue Growth Rise, Expense Control Effect Shows Profit Acceleration

Sofia (002572) 2019 Annual Report Commentary Comment: Q4 Revenue Growth Rise, Expense Control Effect Shows Profit Acceleration
The company announced that the 2019 performance report: 2019 revenue of 77.27 ppm, a five-year increase of 5.7%; realized net profit attributable to mother 10.7 ppm, an increase of 11 in ten years.6%, the net profit of non-attributed mothers 9 was realized.70 ppm, a five-year increase of 5.8%; of which Q4 achieved revenue of 24 in a single quarter.16 ppm, an increase of 9 in ten years.5%, to achieve net profit attributable to mother 3.50 ppm, an increase of 31 in ten years.0%, realizing deduction of non-returned net profit3.33 ppm, an increase of 33 in ten years.3%. Wardrobe linkage, cabinet business accelerated; expense control and profit stability.In Q4 2019, the company’s revenue increased by 9.5%, compared with the third quarter (+2.4%).We believe that the main reasons are: 1) The company’s gradual advancement and marketing policy improvement have obvious effects. In 2019, the company actively promoted the closet-socket linkage to realize the collaborative management of dealers. We expect that the revenue growth of Simi Cabinet in 2019 will exceed 20%With Q1-3 天津夜网 in 2019 increased by 12.1%); 2) In terms of brand and product, the company re-determines brand positioning and builds cabinet customization experts. The proportion of Kangchun board continues to increase, creating product appeal and increasing customer unit price; 3) In terms of channel management, channel managementManagement adjusted to eight regional centers, marketing decision-making process, and improved marketing efficiency.The company’s perspective on control of sales expenses and management expenses in 2019, the effect of fee control appeared, the net profit attributable to mothers increased in the fourth quarter of 20192.4 points to 14.5%. During the Spring Festival, online channel drainage was carried out in advance to reserve orders for the first half of the year; the national base was perfected to supplement the 淡水桑拿网 production capacity in Hubei.  In 2019, the company’s online drainage orders accounted for 25%. During the Spring Festival, the company actively launched online promotions to grasp online traffic.Initiate online drainage in advance to hedge against downward pressure on offline traffic caused by the new coronavirus-infected pneumonia epidemic.The company’s five major bases across the country have a well-organized layout, which can hedge the impact of shutdowns and late resumption of individual bases. Marketing shortcomings were initially made up, and the dealer system was consolidated to maintain buying!Since 2018, it has continued to open stores high, and the strength of overlapping dealers is outstanding; multiple categories, one city, and one business are conducive to bringing single diversions between categories and increasing customer unit prices.Leader adjustments, new heads of marketing in place, marketing policies and dealer management implementation in place.In the medium and long-term perspective, informatization and flexible factories create barriers to cost advantages, and the dealer system is more stable, highlighting long-term growth value.Due to the gradual transition of the company’s management, and the effect gradually emerged, we raised the company’s net profit profit forecast to return to mother to 2019-2021.7 billion, 11.98 ppm and 13.1.8 billion (was 10).1.9 billion, 11.77 ppm and 13.4.9 billion), currently sustainable (19.69 yuan) corresponding to 2019-2021 PE is 17 times, 15 times and 14 times, keep buying!