Shanxi Fen Liquor (600809): Take the reform as a fulcrum and go further
By reforming to promote the upgrading of energy, we can go a step further.
Fenjiu has become a brand of great revival, product quality and public foundation. After replacing the leading position in the liquor industry for six consecutive years 都市夜网 from 1988 to 1993, due to strategic choice and external environment, it has undergone high-end reform in 2002/2008 marketing system remodelingReforms: In 2017, there were three reforms in the mixed reform of state-owned enterprises, which realized the upgrading of kinetic energy under historical conditions.
After the completion of the state-owned enterprise mixed reform in 2019, the company dated China Resources’ war investment and implemented distribution incentives, trying to take the reform as a fulcrum, continue to go further, and achieve the great goal of the rejuvenation of Fenjiu.
After the product strategy “grasping the middle of the two heads” to drive growth, the future will focus on blue and white to improve the quality of growth.
At present, the liquor industry is experiencing squeezed growth characteristics, product 北京夜生活 structure is upgraded, high-end and sub-high-end demand are rapidly growing, the mid-range wine market is stable, and the low-grade wine bottle wine has maintained a rapid growth rate.
In response to the current situation, the company has gradually promoted the strategy of “grasping the middle of the two belts” since 2017. Blue and white and Bfen have achieved rapid growth in recent years.
Standing on the basis of 10 billion, the company will focus on blue and white in the future to improve growth quality and brand height, and maintain the overall size of Bfen stable.
With the upward optimization of the product structure, the company’s profitability will continue to increase.
The market layout has deepened nationalization, and the market south of the Yangtze River has rebuilt growth poles.
In 2016, the province’s market achieved comprehensive coverage of more than 1,100 townships and towns, laying a solid foundation.
The market around Shanxi has grown rapidly in recent years, and regions such as Luyu have entered the stage of refined operation, but the overall scale is still small, and there is still room for transformation and development.
In the strategic market, the company clearly put forward the East China strategy of “crossing the Yangtze River, breaking East China, and occupying Shanghai”. The three small sections create key urban agglomerations. The market south of the Yangtze River strives to achieve an average annual growth rate of 50% in the next three years, creating another growth pole.
The reform of the marketing system and mechanism has promoted the steady improvement of marketing capabilities.
In terms of marketing capacity building, the company established a market-oriented assessment mechanism, continuously promoted the mixed reform of marketing companies, actively innovated marketing models, attached importance to brand marketing collaboration, refined cost control, and steadily improved marketing capabilities.
Profit forecast and investment suggestions: It is expected that the company’s net profit attributable to the parent in 2019/2020/2021 will be 20 respectively.
65 billion / 28.
2.8 billion / 34.
070000 yuan, corresponding to the current PE of 39X / 28X / 23X, maintaining the “buy” level.
Risk warning: food safety issues; increased competition in the industry.