Recently, as an A-share typical white horse stock Hangzhou Boss Electric Co., Ltd. (hereinafter referred to as 'Boss Electric', 002508.SZ) I do not know how? The company's stock price continued to decline, leading to evaporation of 10 billion yuan in market value within a few days.
Many market participants lamented that this fall has dropped the company’s gains for the entire year!
It is understood that the owner’s 2017 net profit was 1.45 billion yuan, a year-on-year increase of 20.18%, which was the lowest growth rate since the company’s listing. So, what are the main reasons behind the sharp decline in the growth rate of the boss’s electrical performance? What measures will be taken to improve it?
In addition, the competition in the kitchen appliance market is becoming more and more fierce, and traditional household appliance giants such as Haier and Midea are all joining in. This measure will inevitably drag down the gross margin of the entire industry. Researching the boss's financial report we found that its operating profit growth rate is Decline year by year, what will the company depend on to compete with industry giants for differentiation?
To this end, the "Investor" reporter interviewed the relevant person in charge of the boss's electrical strategy marketing department and obtained some replies.
Market value evaporates 10 billion yuan
In the past 15 trading days, the owner of electrical appliances to become the focus of the A-share market. During this period, since the listing of six years since the stock price rose more than 10 times the boss appliance suffered the first stop since the listing.
Among them, from February 23 to March 5, during the five trading days, the owner’s stock price fell by 22.29%. Its stock price dropped from 50.21 yuan to 39.02 yuan. Once it fell, it fell from the entire year last year. In the increase, the market value of circulation evaporated 10.619 billion yuan at the same time, from 47.649 billion yuan on February 26 to 37.03 billion yuan. On March 6, the boss's electrical appliance was sold by the deep stock net to 215 million yuan, setting a single day. The net selling amount is the highest record, and it is sold in net for 4 consecutive trading days.
In the last few trading days, the share price of the owner’s appliance has stabilized slightly. According to statistics of Wind, from February 22 to March 15, the owner’s share price dropped from 50.21 yuan to 39.95 yuan, and also hit 38.1 yuan during the period. The latest low.
For the stock price decline during this period, the relevant person in charge of the boss’s strategic marketing department told the “Investor” reporter: “Since 2014, there has been a round of ups and downs each year, forming a cyclical trend. Since recently, our stock price has been Stabilized, and there has been a pick-up.'
Why is the owner of a white horse stocks experiencing such a downturn? Perhaps it can be seen from its performance.
The data shows that since the listing of the owner's appliance in 2010, it has maintained an unbeaten myth of high growth in operating income and net profit. According to previous years' financial reports, the operating income of the owner's electrical appliances increased from 1.232 billion yuan in 2010 to 5.795 billion yuan in 2016. , And the growth rate over the years are higher than 25%. Net profit increased from 134 million yuan in 2010 to 1.207 billion yuan in 2016, the annual growth rate is higher than 40%.
According to the 2017 performance report released by the owner’s electrical appliance, the company’s operating revenue for 2017 was 7 billion yuan, up 21% year-on-year; net profit was 1.45 billion yuan, an increase of 20.18% year-on-year, which also hit the lowest level after the company’s listing. Growth rate.
Talking about the performance of 2017, the above-mentioned sources explained to reporters: '2017 is the beginning of the company's new three-year (2017-2019) development strategy. On the one hand, the company is facing the follow-up impact of real estate regulation, raw material costs, etc. Unfavorable factors; on the other hand, we must work hard to achieve technology-driven transformation and brand upgrading, and better complete the set of indicators set at the beginning of the year.
Executives reduce their cash or principal causes
If the decline in the growth rate of the boss's electrical performance is the internal cause of this round of decline, then the reduction of holdings by senior executives and executives’ relatives may be the main external cause of investor confidence.
According to statistics, from February 2017 to the end of the current year, the owner's electrical appliances have accumulated a total amount of nearly 200 million yuan.
According to the owner’s electrical bulletin, in February 2017, the boss’s electrical executive Ren Jianyong reduced his 125,000 shares and his shareholding price was 42.8 yuan. In mid-May, the company’s management reduced his holdings, accumulatively reduced 2,844,400 shares. The market value was about 108 million yuan. In the fourth quarter, executives and executives re-em- plified a large share of their holdings. The chairman of the boss, Ren Jianhua, the spouse, Shen Guoying, reduced its holdings to 1.8 million shares by auctioning, and reduced the average price by 49.2 yuan. Calculations, cash amount of 88.56 million yuan.
Data show that as of the end of last year, a total of 54 funds held 47.1177 million shares of the owner's electrical appliances, holding the stock market value of 226,636,130 yuan, in the fourth quarter of 2017 decreased by 14,163,700 shares, quarterly changes in the proportion of positions of -23.11%.
According to the relevant person in charge of the boss’s strategic marketing department, the reporter said: “Over the past few years, the employees’ incentives have been honored each year. It is important to note that the objective of the equity incentive system design is to allow executives to gain value in the future of their labor, while centralized cashing is the owner’s electrical appliance. An important measure to activate the enthusiasm of management cadres. '
Kitchen appliance market intensifies competition
In recent years, the kitchen and electric power market has gradually increased its attention. Investors reported earlier this year from the China Household Electrical Appliances and Consumer Electronics Expo that the kitchen and electric appliances exhibition area has doubled directly from last year's basic scale, and its area has soared to 30,000 square meters. And it is hard to get a seat.
In addition, according to Zhong Yikang’s data, the kitchen power market in 2017 was nearly 100 billion, with the scale of range hoods, gas stoves, and sterilizers growing by 12.8%, 11.5%, and 8.8% year-on-year, respectively. It reached 6.57 billion yuan, an increase of 38.1% year-on-year, and it has great potential.
Because of this, in the past two years, Haier, Midea, Gree, etc. have all invested more in the field of kitchen appliances, and frequently launched their own kitchen appliance new products.
Although the owner’s appliance is a listed company with kitchen power as the main business, with the participation of giants, this measure will inevitably drag down the gross profit margin of the entire industry. Moreover, once these giants exert their energies, their catching up potential will not be tolerated. Xiao Yan.
In this regard, home appliance industry analyst Liang Zhenpeng has also said that 'including Haier, the United States and other large groups into the field of kitchen appliances, will form a certain pressure on the original leader.'
In this case, what factors will the bosses rely on to compete with industry giants for differentiated competition?
The relevant person in charge of the boss's electrical strategy marketing department expressed this: 'The company is currently facing the most important issue is how to lead the industry where to go, rather than looking for differences with the appliance giant.'