Annual report series of special analysis of TMT company (7): China UCAR (838006): Net profit turned to profit and China Shenzhou-Baowo Automobile new retail platform officially launched
Event: The company released its 2018 annual report and achieved operating income of 59.
4.9 billion yuan; net profit attributable to mothers2.
70 million, turned losses into profits, an increase of 203 in ten years.
Preliminary results of the company’s performance growth in 2018: (1) the company’s various businesses have developed well, operating efficiency has gradually improved, and the special car business continued 杭州夜网 its profitability trend since last year; (2) the sales of the car and car business have improved compared to the previous year, and the sales methodThe adjustment and optimization are expected to gradually narrow; (3) The performance of the car flash loan business has grown significantly, and has contributed expected profits to the company.
(Company annual report) B2C and C2C special car models complement each other to create China’s largest car and travel sharing platform: Facing the huge and fast-growing special car market, the company will play a role in the strongest policy compliance and clear profit model.Leading advantages in the B2C special car field, further improving the scale and efficiency of the special car business. By continuously providing customers with safe, reliable, high-quality services, deepening brand influence, and realizing a virtuous circle of its own profit model, in order to maintain its absolute leadership in the B2C field.
At the same time, the company will continue to open and open the excellent driving and open platform to carry out C2C model business, while diversifying the B2C model business, change the existing competitive landscape.
The B2C model and the C2C model complement each other and complement each other. The company is expected to achieve a comprehensive leading position in the field of automobile travel sharing.
The company has basically built a human-vehicle ecosystem that covers the entire automotive industry chain. In the future, the company will make full use of industry resource accumulation and synergies to further develop other businesses in the automotive industry chain.
(Company Annual Report) The gross profit margin of the special car service business has increased, the flash loan business has developed rapidly, and the operation management has been improved: the special car service income in 2018 was 34.
61 trillion, down 38 a year.
93% gross profit margin from 12 in 2017.
61% rose to 21 in 2018.
26%; Flash loan services and other income in 2018 was 11.
950,000 yuan, an increase of 64 from 2017.
69%; revenue ratio is 20.
08%, an increase of 12 over 2017.
The gross profit margin was 72% from 16 in 2017.
41% rose to 71 in 2018.
With the promulgation of the policy of the online ride-hailing industry and the continuous strengthening of regulatory measures, the company has actively improved the operation and management of the private car business and gradually cleared out non-compliant vehicles and drivers. Due to this, the private car business income has declined, but at the same timeWith the improvement of operating efficiency and the accumulation of industry resources, the scale effect has gradually improved and the gross profit margin has been significantly improved; the Shenzhou car flash loan business channel has continued to sink and penetrate, and its performance has increased significantly, contributing more profits to the company.
(Company Annual Report) The revenue of the car buying business has declined, the scale has been shrinking, and the sales model has been adjusted and optimized: the revenue of the car buying business in 2018 was 12.
93 trillion, down 62 a year.
66% of net defects were up from 1 in 2017.
1.5 billion to 0 in 2018.
67 ppm, with a revenue share of 21.
74%, a decrease of 13 from 2017.
In 2018, the company continued to adjust and optimize the sales model of the Shenzhou car buying business. The company gradually shifted from underwriting to consignment sales, and comprehensively promoted the new retail strategy of Shenzhou Baowo Automobile, so that the profit model was further clear. At the same time, the sales volume of the car buying business was slightly higher than the previous yearAs inventory increases, inventory decreases and gradually narrows.
(Company Annual Report) Rapid intelligent network connection and new energy vehicle layout to promote platform interconnection: In March 2018, the company acquired 29% of China Car Rental in cash, becoming its largest shareholder, deepening cooperation and jointly building China’s largest integrated car.Sharing and travel sharing platform; In April 2018, the company joined the National Automotive Standardization Technical Committee Intelligent Connected Vehicle Sub-Technical Committee and became the only member unit of the China Smart City Industry and Technology Innovation Strategic Alliance in the travel field;Signed strategic cooperation agreements with Putian New Energy, State Grid Electric Vehicle Company, Special Call, and Wanbang New Energy, further accelerating the company’s layout of new energy vehicles. In August 2018, the company reached a strategic cooperation with Baidu to accelerate the development of China Optimus.The intelligent layout of vehicles will jointly create a new business ecology of intelligent network connection and autonomous driving.
(Company Annual Report) Jointly released a new strategy with Beijing Baowo to officially launch the “Shenzhou-Baowo Automobile New Retail Platform”: In January 2019, the company and Beijing Baowo Automobile Co., Ltd. formally launched the “Shenzhou-Baowo Automobile New Retail Platform””” Through the transformation of the industrial chain and platform empowerment, we have achieved a complete separation of production and sales, reshaped channels, reorganized automobile consumption, and redefined new automobile retail.
Relying on its established domestic leading car sharing service system and new car retail service platform, the company will achieve comprehensive and in-depth strategic cooperation with Beijing Baowo in the fields of automobile manufacturing, vehicle procurement and fleet operation, sales system expansion and joint marketing.Exploit the “new auto retail” model, give full play to the advantages of common resources, and achieve common development.
Through the new strategic cooperation with Beijing Bao Wo, the company expanded its business scope and business scale, while reducing the company’s procurement costs and overall operating costs, further improving profitability, improving the company’s automotive industry chain layout, and enhancing overall market competitiveness.
(Company Annual Report) Investment suggestion: The company will become the leader in online ride-hailing service providers in China that fully meets the new ride-hailing regulatory standards of the online ride-hailing industry and has a clear profit model. The current city size is 45.2 billion.
Risk warning: profit fluctuation risk, policy risk in the ride-hailing industry, and customer default risk.