Jinjia Co., Ltd. (002191): High-growth new-type tobacco in color box business is actively deployed
Investment Highlights Event: The company announced its semi-annual report for 2019, and the company achieved operating income of 18H1.
65 ppm, an increase of 15
in ten years.
90%; net profit attributable to mothers4.
65 ppm, an increase of 22 in ten years.
Among them, in the second quarter of 2019, a single quarter achieved operating income8.
55 ppm, a ten-year increase of 7.
53%; net profit attributable to mothers2.
0.6 million yuan, an increase of 23 in ten years.
The 2019H1 performance has steadily increased, and the net profit attributable to mothers is expected to increase by 20% -30% in the first three quarters.
Following the gradual release of the three-year development strategic plan, the company continued to consolidate its main business of cigarette labeling, promote the packaging of wine packages and other social products, and develop new tobacco emerging industries, with steady growth in performance. In the first half of the year, company revenue and net profit attributable to mothers increased respectively15
In terms of product structure, cigarette labels, laser packaging materials have steadily increased, and color boxes have continued to grow at a high rate. In the first half of the year, the company’s cigarette labels, laser packaging materials, and color boxes respectively achieved operating income13.
3.6 billion, an increase of 6 each year.
The company estimates that net profit attributable to mothers is expected to be 6 in the first three quarters of 2019.
09 million yuan, an increase of 20% -30% in ten years.
The overall gross profit margin and net profit margin increased slightly, and the cost control during the period was good.
In the first half of the year, the company’s overall gross profit margin was 43.
05%, a year rose by 0.
99pct, gross profit margin remained relatively stable, of which the gross profit margin of cigarette labels, laser packaging materials, and color boxes were 43.
71%, which changes by -0 each year.
The period expense ratio was well controlled, and the company’s period expense was 13 in the first half of the year.
01%, a year down by 0.
73pct, in which the sales expense ratio, the management expense ratio (comprehensive research and development expense ratio) caused the decline.
Thanks to good expense control, the company’s net profit in the first half of the year was 26.
83%, a slight increase of 0 every year.
The color box has a high growth, and the gross profit margin has increased significantly.
The color box business has maintained high growth in recent years, and the company’s color box business grew by 80% in the first half of the year.
64%, the growth rate has been increased from 2018.
The market growth rate of the company’s color box products continues to grow, showing a good momentum of continuous growth in the field of color box packaging such as fine tobacco packaging, electronic product packaging, and fast-moving consumer goods packaging.
Among them, in terms of fine wine boxes, after Moutai, the company strategically cooperated with Wuliangye. In April this year, the joint venture company Jiamei Packaging was exquisitely printed with Wuliangye subsidiary Wuliangye. It is expected to start production in September this year. The wine box business may remain high in the second half of the year.Growth; in the field of electronic product packaging, the company has obtained the qualification of supplier of mobile phone brands such as Zhongnuo and Haipai; transformation, and the company’s new customers include new rhinoceros, Dimo, Tweep, magic flute and other new tobacco brands to promote the high-quality of the box businessincrease.
Gradually, the color box business continued to optimize production capacity efficiency, implemented refined management, and reduced gross profit margin6.
With 66 averages, the improvement is significant.
The new tobacco business is leading the way, with B-side and C-side businesses continuing to advance.
With the increase in global tobacco control efforts and the demand of smokers for health and environmental protection, the rapid development of new tobacco products.
According to Euromonitor International’s estimates, there will be more than 40 million consumers of new tobacco products in 2018, and it is expected to grow to 64 million by 2022. In 2018, new tobacco products will total $ 24.7 苏州夜网论坛 billion, an increase of 45.
The company actively promotes the layout of new tobacco. The B-side provides research and development and foundry services for China Tobacco and FOOGO, WEBACCO, GIPPRO, LUMIA and other brands. The C-side launches the e-cigarette product foogo K series in the first half of the year. It is expected to launch the e-cigarette product J this year.Series and heating non-combustion Q series products.
Investment suggestion: We predict that the company’s earnings from 2019 to 2021 will be 0.
71 and 0.
81 yuan, return on net assets were 12 respectively.
5% and 15.
8%, maintaining the overweight-A recommendation.
Risk warning: policy risks in the tobacco industry; new product expansion is less than expected.