\u3000\u3 China Vanke Co.Ltd(000002) 033 Lijiang Yulong Tourism Co.Ltd(002033) )
The company achieved a revenue of 358 million yuan in 21 years, yoy-16.87%; The net loss attributable to the parent company was 378032 million yuan, a year-on-year decrease of 153.63%; Deduct 328254 million yuan of net loss not attributable to parent company, yoy-146.28%.
Key points supporting rating
The spread of the epidemic has put pressure on the main business, and the company’s performance has changed from profit to loss year-on-year. In 21 years, the company realized an operating revenue of 358 million yuan, a year-on-year decrease of 16.87%; The operating revenue of the hotel was – 32.3% / + 1.66% / cableway, respectively, with a year-on-year operating revenue of – 32.3% / + 1.66%. Affected by the spread of the epidemic, Yunnan Province suspended inter provincial tourism activities three times, and the traditional summer tourism peak season was almost closed. The three Cableways of the company received a total of 2.614 million tourists throughout the year, a year-on-year decrease of 22.4%. The impression of Lijiang was a total of 334 performances, receiving 477600 tourists, a year-on-year decrease of 26.68%. In 2021, the net loss attributable to the parent company was 378032 million yuan, a year-on-year decrease of 153.63%.
The cost is rigid, and the increase of passenger flow is expected to reverse the profitability. In 21 years, the company realized gross profit margin / net profit margin of 46.14% / – 10.49%, with a year-on-year increase of -9.4pct / – 28.09pct. The operating costs of the company are mainly labor costs and depreciation, and there is little room for adjustment during the decline of income, so the profitability shows a downward trend. With the gradual recovery of passenger flow, costs and expenses are diluted, and the profitability is expected to be reversed.
Steadily promote the construction of the project and actively layout the greater Shangri La tourism ecosystem. The company has the core tourism resources of Yulong Snow Mountain, a number of business services are located in Yulong Snow Mountain scenic spot, and the development of Yulong Snow Mountain Tourist Distribution Center and other projects. The company actively expands the great Shangri La tourism circle. At present, the layout of high-quality small ring road has been basically completed, and the Lugu Lake Mosuo town project is advancing steadily. In 21 years, the revenue in Shangri La was 200762 million yuan, a year-on-year increase of 213.73%. With the implementation of new projects and the gradual integration of high-quality scenic spot resources, it will further promote the performance improvement of the company.
Valuation
According to the company’s 2021 annual report, the company’s EPS from 2022 to 2024 is adjusted to 0.18/0.26/0.30 yuan, and the corresponding P / E ratio is 36 / 25 / 21 times. The current epidemic situation has repeatedly led to the company’s short-term operation is still under pressure. With the gradual recovery of the epidemic situation, the company is expected to recover rapidly with its outstanding resource endowment advantages and continuously improved industrial chain. The landing of new projects is expected to boost the company’s profitability and maintain the overweight rating.
Main risks of rating
Covid-19 has the risk of repeated epidemic, fierce market competition and cableway operation safety.
