Macalline (601828): New retail layout for home furnishing with strong revenue growth steadily advancing

Macalline (601828): New retail layout for home furnishing with strong revenue growth steadily advancing
Event:深圳桑拿网 H1 achieved revenue of 77 in 2019.6 ppm, an increase of 21 in ten years.7%; net profit to mother 27.100 million, down 11 a year.0% (mainly the return of diabetes and net fair value gains for the same period in 18 years); net profit after deduction is 17.1 ppm, a six-year increase of 6.1%.2019Q1 / 2019Q2 revenues increased by 22 respectively.4% / 21.2%; net profit attributable to mothers increased by ten years respectively.1% and down 25.0%.The company’s performance is in line with market expectations. The self-operated growth is steady, the management is accelerated, and the new retail business is developing rapidly: ① Self-operated shopping malls: Enter a period of stable development and improve the quality of operations.During the reporting period, revenue was 39.5 trillion, the revenue growth rate in ten years was 11.8%, gross margin increased by 1.3 points to 79.5%; ② Entrusted shopping malls: go deeper into the third- and fourth-tier cities, and quickly occupy the market with an asset-light model.Reported significant realized revenue21.6 trillion, revenue growth rate of 23 in ten years.6%, gross margin increased by 4.9 points to 65.5%, the gross margin performance is good; ③Construction and design: operating income of 9 in the reporting period.4 trillion, revenue increased 104 in ten years.3%, achieving high growth; ④ New retail: Ali joined strategically and business advances smoothly.The front-end design, product retail and Ali cooperation have developed smoothly, and online drainage has driven offline revenue growth; ⑤ During the rapid development period, costs have generally risen, and the profit quality is expected to improve in the second half of the year.The comprehensive gross profit margin is 67.0%, a decrease of 2 per year.3 pct. Due to business expansion, the period expense rate has increased. The “two-wheel drive” model of “self-employed + commissioned” has been steadily advancing, and Ali has steadily laid out new retail in cooperation with Ali: The company has established a stable brand and expanded its channels.Entering new retail, business model transformation and upgrading brings growth momentum. Investment suggestion: We are optimistic about Mackay ‘s integrated bargaining power in the home furnishing industry chain. The “self-employed + commissioned” model brings steady growth in performance. At the same time, it is committed to new retail to further enhance its comprehensive competitiveness. It is expected that the company’s market share will continue.Promotion.Refer to comparable companies for an average of 10 in 2020.3 times PE, we give the company 10 times PE estimation, corresponding to the target price of 16.4 yuan, the first coverage given a “buy” rating. Risk warning: Real estate sales are less than expected, and home demand is weak; new retail model expansion is not smooth.