Securities code: 003012 securities abbreviation: Guangdong Dongpeng Holdings Co.Ltd(003012) Guangdong Dongpeng Holdings Co.Ltd(003012)
Record of investor relations activities
No.: 2022-01
□ specific object research □ analyst meeting
□ media interview □ performance briefing
Investor relations
□ press conference □ Roadshow
Activity category
□ site visit
☑ Others (online telephone communication)
Zhongtai Securities Co.Ltd(600918) , Harvest Fund, Boshi fund, CCB fund, huitianfu fund, Taikang assets, Yuancheng investment, CITIC asset management, Galaxy fund, Puyi investment, Shenzhen Jingtai Lifeng investment, Wudi investment, Great Wall Fund, Gefei assets, Xinyin wealth management, the names of Chinese participating units, Anxin fund, Taiping fund, Shenzhen Mingyuan asset management Taikang assets, Xinghe personnel fund, CITIC Capital, BOC asset management, Ruiyuan fund, guolian’an fund, Xueshi assets, Soochow Fund, CAITONG asset management, Hongkai investment, China Europe Ruibo, Guoshou pension, Oriental alpha fund, Ping’an pension, Mingyao investment, Ping’an foundation, Cathay Pacific Fund, Guohua life insurance Yinhua Fund, Everbright Prudential fund and Yongjin investment have a total of 45 people.
Time: 9:30-10:30 am, February 17, 2022
Location Zhongtai Securities Co.Ltd(600918) online exchange of 2022 annual capital market meeting
listed company
Huang Zheng, board secretary and vice president
Name of receptionist
1、 Company profile
The company disclosed the performance forecast for 2021: in 2021, there will be investor relations activities outside China
Repeatedly, the state has strengthened regulation and control of the real estate industry, and some real estate enterprises have exploded thunder and lightning. Double main contents are introduced
Under the influence of carbon policy, power and production restriction, rising prices of energy and raw materials and other adverse factors, the company’s overall operating revenue still increased. It is expected to achieve an operating revenue of 7.516-8.590 billion yuan in 2021, with a year-on-year increase of 5% – 20%.
The main reason for the growth of the company’s operating income and the decline of profit in this year is that the company has made impairment provision for the receivables of customers in the real estate industry; As of December 31, 2021, the total receivable balance between the company and a real estate customer was 798 million yuan. The management of the company analyzed and evaluated the recoverability of receivables from customers in the real estate industry and made a large proportion of credit impairment reserves.
If the recoverability of the above impaired assets shows signs of improvement in the future, they will be recoiled and the profits of the current period will be increased.
The average annual business volume of the company and a large real estate enterprise in recent years is only 200-300 million yuan, accounting for about 3% of the annual sales. The real estate customers have little impact on the overall income of the company. The large amount of receivables causing this impairment is the result of accumulation in recent years. At present, the company only carries out cash and spot business with it.
From the perspective of Dongpeng’s revenue composition, about 80% of Dongpeng’s operating revenue comes from big C-end (retail + small B + small V). In the future, the company will continue to adhere to the main battlefield of retail and strive to develop high gross profit business. In 2021, the company’s real estate strategic engineering business accounted for only about 10%. In the future, the company will control the development of engineering business on the basis of ensuring the safety of funds.
The company will closely follow a series of national policies of “double carbon” and power and production restriction, actively adjust the industrial layout, actively optimize the capacity arrangement of major production bases, and improve the output of high-value products of the base; At the same time, we will continue to add new production lines and do a good job in OEM planning, and make arrangements for capacity expansion. In addition, the future national double carbon policy will also accelerate the withdrawal of small and medium-sized enterprises and industry integration. The company will make use of the advantages of the capital platform to do a good job in the future capacity layout and arrangement, and cooperate with the dual carbon policy to carry out technological transformation and upgrading of the company’s production line.
Nearly 15% of Dongpeng’s revenue is from the sanitary ware business. Dongpeng’s packaged sanitary ware will be based on the positioning of healthy sanitary ware, strive towards health and intelligence, and launch a series of products with multiple antibacterial and five-year replacement. In the future, the company will do a good job in the bathroom business in the direction of intelligent toilet, packaged bathroom, bathroom cabinet, shower room and nano coated hardware.
The company will also continue to expand in ecological new materials and packaged home.
2、 Question and exchange session Q1: a major real estate developer accounts for about 200 million of the company’s annual revenue, and the proportion of the whole strategic project in the company’s revenue is about 10%. Would you like to ask whether there will be impairment risk behind the remaining customers? A: in this performance forecast, the real estate customers have been subject to impairment treatment according to the risk level. Generally speaking, a relatively high impairment proportion has been taken into account, and the provision has been quite sufficient. Q2: the third quarterly report of the company disclosed the accounts receivable with a real estate developer, of which 144 million have reached a preliminary housing arrival solution. What is the latest progress in this area? A: the 144 million mortgage repayment work is still being implemented, and online signing agreements are being signed one after another. The subsequent specific progress needs to be handled according to the control of the local government. At the same time, the performance forecast also made a unified impairment arrangement for the 144 million yuan and dealt with it together. Q3: what is the final customer structure of the company? Distribution or direct selling, retail or engineering end (construction enterprise, engineering team general contracting, real estate). A: Dongpeng’s business structure is divided into two categories. The first type is large C-end, and the second type is large b-end. Big b-end is a strategic engineering business for real estate enterprises. The large C-end is further divided into three parts. The first is the direct to C, that is, the consumer oriented retail end, as well as the small b-end and small v-end. Small b-end refers to home decoration, tooling and large package business. Small V business is a variety of small, medium and micro projects, such as schools, hospitals or local small, medium and micro projects. Most of these projects are undertaken by the company’s dealers, and some are undertaken by the direct stores of the company’s headquarters. Therefore, for Dongpeng, in addition to the direct C-end business for consumers in retail stores, there are also small b-business for home decoration companies, tooling companies and large package companies, as well as small v-engineering business for single or small and medium-sized projects.
After the company sells the products to the dealers, the dealers sell them through store retail and small, medium and micro engineering. From the proportion of dealers, retail and Engineering
The overall composition is basically 50-50. Q4: last year, the company’s distribution accounted for about 60% and direct sales accounted for about 40%. Can it be understood that 40% of these direct sales are all real estate bidding? A: No. Dongpeng currently has subsidiaries in Beijing, Shanghai, Guangzhou, Shenzhen, Foshan, Xi’an, Nanning and Kunming. The subsidiaries have both retail and engineering. Therefore, direct selling includes not only the retail and small and medium-sized projects of subsidiaries, but also the small B business such as packaging and large package of headquarters and the large B business of strategic engineering. The strategic engineering business of real estate bidding accounts for about 10%, which is done by the company’s headquarters and implemented with the cooperation of dealers. Q5: are sanitary wares also sold through direct marketing? A: No. Sanitary ware is also mainly a distribution model. Sanitary ware dealers are much less than ceramic tiles, and there are only about 100. Q6: aren’t ceramic tile dealers and sanitary ware dealers universal? A: No. The two are often separated. This is the previous structure of the company, but in the future, the company will promote 1 + N, which is to drive the marketing of sanitary ware, auxiliary materials and decoration through a very large network of ceramic tiles. Because there are more than 1700 ceramic tile dealers, while there are only 100 sanitary ware dealers. Many ceramic tile dealers have not sold sanitary ware, and there is still a lot of space to dig. Q7: how about the cost of ceramic tiles this year? A: affected by the sharp rise in the prices of energy and raw materials last year, the prices of coal, chemical raw materials and packaging materials rose sharply. However, since the second half of last year, especially the fourth quarter, the prices of bulk commodities have fallen, especially coal. Therefore, the cost of raw materials this year may be lower than last year. At the beginning of the new year, coupled with the cold weather, the supply of coal or natural gas is also tightening. Q8: among all products, what is the proportion of products using natural gas? A: the twelve major production bases of Dongpeng are now only Hunan and Shanxi. Because Shanxi is a big coal province, Hunan may be transformed into natural gas in the future, and other bases have completed the transformation from coal to gas.
Q9: about the acceptance of customers after the price increase? A: at the end of last year, the company raised the price due to the rise of energy and raw materials, power restriction and other factors. This is the general trend of the whole industry; The retail pricing of ceramic tile industry itself is opaque and the price increase rate is very high, so dealers and consumers also accept it. Q10: what is the competition pattern of the industry after the general price rise of products? A: the future trend of the industry is integration, much like the previous cement and glass industries. Finally, it will be concentrated in state-owned holding or listed companies to concentrate the scattered small and medium-sized production capacity. At present, the national “double carbon” and energy consumption related policies will force small and medium-sized enterprises to integrate into large enterprises (unless it has strong strength to update environmental protection equipment and production lines to improve efficiency), because the employment, taxation and environmental protection of small and medium-sized enterprises are not standardized. With the tightening of national policies, the living space of such enterprises will be smaller and smaller. This trend is beneficial to the company. Dongpeng was listed in Hong Kong in 2013 and returned to A-Shares with red chips. It is the earliest to standardize production in the industry. The company has advantages in the subsequent integration process. Of course, the company will continue to improve the efficiency and emission reduction of the production line. Q11: are there any restricted movies in the company’s factories at present? A: at the end of September and October last year, the film of limited production was launched. This year has passed the peak of power and production restriction. Last year, the practice of limiting power and production across the board was also criticized. I believe that all localities will make an overall arrangement for the energy consumption and power consumption of the whole year this year. Q12: last year’s big b-end was affected. What was the situation in the fourth quarter of last year? A: since the third quarter of last year, the whole industry has been in a state of decline due to the impact of the general environment, such as the thunderstorm of a real estate developer and the rise of national macro-control and raw material prices. In addition, the company’s rapid growth in the third and fourth quarters of 2020 and the highest monthly sales revenue in December have made the year-on-year index in 2021 affected by the high base in 2020. However, since December last year, the margin of real estate financing policy has been relaxed, and the bank mortgage loan and development loan policy have been relaxed. The policy surface is a feeling of reaching the bottom. Generally speaking, the government has set a stable tone for the real estate industry, which is good for the recovery of the company’s performance, but the recovery of growth is not so obvious, because today
The Spring Festival was relatively early in, and many decoration stopped in January. It takes 15 years after the first month to start one after another. 315 is the first big promotion.
In terms of this year’s marketing planning, Dongpeng is a ceramic tile supplier for the Beijing Winter Olympics. This year is the 50th anniversary of Dongpeng’s establishment. The company will do a good job in marketing through these two major events and present a gift to the “50th anniversary”.
Q13: what is the use of ecological stone? Is it similar to the artificial stone used to make bay windows and background walls on the market?
A: These are two different types of products. At present, the artificial stone is basically organic artificial stone. This product can not be used outdoors, and the organic components will degrade. The ecological stone made by the company is a non burning product with inorganic components. The raw materials used are industrial waste residue, such as aluminum plant slag and construction waste. The company hopes to build it into a city friendly factory as a product of green concept. Dongpeng’s ecological stone is a product between ceramic tile and natural stone. Its physical and chemical properties are close to ceramic tile and better than natural stone. It will also reduce the cost in the future.
The above contents do not involve inside information.
The list of attachments (if any) does not provide written materials.
Record date: February 18, 2022
