Meng Jie Home Textile Expects 13-15 Years EPS To Be 0.46, 0.55 And 0.67 Yuan To Maintain "Overweight" Rating.

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< p > Meng Jie Home Textile Co., Ltd. as a Home Textile Leader located in Central China, has been consistently inferior to similar brands since its listing. The company has fully realized the weak points in its operation and has made great efforts to improve its operation.

We believe that the company has room for improving and controlling the quality of shops. The main investment logic is focused on improving potential.

Due to the full release of the risk of 12 years of performance, we are confident that this year's performance will be improved.

Medium term revenue growth is expected to be about 15-20%, with net profit of around 10%.

EPS is expected to be 0.46, 0.55 and 0.67 yuan in 13-15 years.

Maintain "overweight" rating.

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< p > Q2 is improving month by month, and its revenue is expected to increase by about 10%-15%.

The company's sales in June were better than 4-5 months, and its overall growth was more than 20%, joining about 20-30%.

From last year to this year, under the relatively weak consumption pressure, franchisees' operation level and sales skills have been improved; the activities of shopping malls have increased, and the popularity has been enhanced.

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< p > big promotion, restart + electricity supplier, contribute revenue increment.

The sales scale of the company has always been smaller than that of the same brand, and the proportion of sales promotion, group buying and e-commerce business is not high, which is one of the main reasons.

The company's promotion in 12 years is only carried out in some parts of the country. Sales revenue is not as good as in previous years. This year, the two big promotion activities at the company level are resumed this year, and the intensity of promotion and goods allocation in August will be larger than that in March.

In the 12 year, the annual electricity supplier income is nearly 50 million. In the first half of this year, it is expected to be about about 20000000. The minimum annual demand is 20% growth, which is expected to be over 60 million.

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< p > in the first half of the year, "Meng Jie" recovered obviously, and "insomnia" was still weak.

It is estimated that "Meng Jie" (revenue accounts for nearly 80%) has a good sales and gross profit, and its revenue has increased by more than 20%. Due to the slow recovery of shopping malls, the high-end "sleep" brand (revenue accounts for about 18%, department stores account for about 75%) is expected to grow in single digits, and other "Meng Jie Bao" and "plain aesthetics" are not high enough, and expect more than 20% normal growth.

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< p > pay attention to the quality of shop opening, slow down the speed, and dig out the store effect.

The new store opened this year is more prudent, especially in the direct operation of the company. By May, it was a net increase of about 40 (12H is 158).

There are about 30 stores.

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< p > because the company is now examining the single store business every month, and has no firm profits, especially in the past three years, which has opened up new stores (1060 new stores in 10-12 years).

The number of new shops is expected to be around 200-300 this year.

And the slow down of shop speed on the basis of sales also shows that the efficiency of single store is improving.

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< p > this year, the cost control has been continuously strengthened and revenue has been rebounded. The annual performance is expected to maintain an improvement trend.

Last year, the internal combing was basically completed. This year, the overall accounting is implemented and the single store accounting is strengthened.

Especially in terminal construction to reduce decoration standards.

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< p > at the same time, there will be no major renovation in this year.

Some rigid expenses, such as the maintenance cost of shopping malls, will be diluted with the increase in sales. Meanwhile, some shops rent and decoration expenses will be apportioned in the first half of the year, and the second half is expected to decrease.

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In the whole year of P, last year, the company basically did not pressurized goods, and the company level also actively supported dealers to inventory, and the pressure of channel inventory was not large.

Although the terminal has not been significantly warmer now, taking into account the big push to restart and the contribution of the promotion of e-commerce business, and the late low base, it is estimated that the annual revenue growth of about 20%.

And the improvement of revenue performance is expected to be more obvious than that of last year. The annual profit growth is expected to be around 15-20%.

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