Op Lighting (603515): Q3 revenue growth bottoms out, actual profitability gradually increases
Lowered profit forecast, lowered target price, and maintained “overweight” rating.
The growth rate of Q3 income was affected by the adjustment of family channels, and 武汉夜生活网 the gross profit margin was extended and increased.
Channel and internal management adjustments affect short-term performance, lowering EPS forecasts for 2019-2021 to 1.
66 yuan (the original value is 1.
87 yuan, -12% /-11% /-11%), with reference to comparable companies to give 26xPE in 19 years, cut the target price to 32 yuan (the original value of 41.
5 yuan, -23%), maintaining the “overweight” rating.
Q3 revenue performance was slightly lower than market expectations.
19Q3 income 19.
9.1 billion (-3.
32%), net profit attributable to mother 1.
9.7 billion (-7.
5.9 billion (+7.
94%), gross profit margin 37.
93pct), net interest rate 9.
19Q1-Q3 progressive income 57.
700 million (+3.
26%), net profit attributable to mother 6.
2 billion (+5.
16 billion (+4.
05%), gross profit margin 36.
54pct), with a net interest rate of 10.
Q3 revenue growth was faster than expected and actual profitability improved.
The Q3 household channel was affected by channel and product adjustments. The growth rate increased month-on-month. E-commerce maintained double-digit growth. Commercial licenses continued to grow at a high level. The overseas product certification gradually increased the growth rate of revenue.
In Q3, the price of raw materials fell and the overseas product structure was upgraded, and the gross profit margin rose by 0.
93 points, deducting non-mother net profit +7.
94%, the actual 北京桑拿洗浴保健 profitability improved significantly. The channel adjustment was basically completed, and the improvement trend gradually changed.
Q3 revenue bottomed out, Q4 household channel revenue growth is expected to gradually recover, and e-commerce / commercial photos / overseas continue to grow better.
The company is a domestic general lighting leader. It has first-mover advantages in channels, products, and brands. It has a large space for integration in the future. The Q3 channel and internal management adjustment are nearing completion, and the trend has improved.