Recently, Skshu Paint Co.Ltd(603737) ( Skshu Paint Co.Ltd(603737) ) released its annual report for 2021. In 2021, the operating revenue of Skshu Paint Co.Ltd(603737) ( Skshu Paint Co.Ltd(603737) ) was 11.429 billion yuan, the first to break the industry’s 10 billion yuan, an increase of 3.228 billion yuan over 2020, a year-on-year increase of 39.37%. So far, the industry shackle of national coating brands without 10 billion yuan has been broken. It is noteworthy that at the beginning of 2022, the quarterly report of Skshu Paint Co.Ltd(603737) q1 achieved contrarian growth, with a revenue of 1.698 billion yuan, a year-on-year increase of 14.49%, and the gross profit margin was basically equal to that of the same period last year, which also made the industry full of more expectations for the transformation of Skshu Paint Co.Ltd(603737) ‘s retail strategy.
retail strategy continues to make efforts to drive substantial growth in revenue
The report shows that Skshu Paint Co.Ltd(603737) in 2021 was affected by the downturn of the upstream real estate industry, the rise of raw materials, the high base in the first quarter and the blocked delivery caused by the epidemic. Withstand the pressure and become the first national coating brand to break through 10 billion, showing a strong endogenous growth momentum. During the reporting period, Skshu Paint Co.Ltd(603737) various businesses maintained a steady growth trend, and the sales revenue brought by home decoration wall paint, base materials and auxiliary materials, adhesives, waterproof coiled materials and increased by 102.97%, 29.15%, 83.26%, 82.87% and 36.61% respectively year-on-year. The continued strong retail business led to the high growth of the company’s overall operating revenue Skshu Paint Co.Ltd(603737) in 2021, by actively implementing high-end retail strategy and expanding channel diversification, accelerate the layout of C-end and b-end markets, take the lead in seizing a new wave of industry growth and achieve high-quality development in the future.
According to the analysis, Skshu Paint Co.Ltd(603737) high-end retail strategy has become a new trend in the development of the industry. In the counter trend development in 2021, it can be said that focusing on the retail business is very forward-looking. The contrarian growth of Q1 quarterly performance further affirmed the development path of the enterprise. With the upgrading of Chinese consumption and the rise of national fashion, Skshu Paint Co.Ltd(603737) such high-end national brands are more and more popular in the market Skshu Paint Co.Ltd(603737) the high-end and young brands, one-stop health products and artistic and rich color system have also well catered to the consumption trend of the times and will officially open the retail Pro cycle era.
Winter Olympics successfully added brand effect and created new brilliance
In Q1 2022, Skshu Paint Co.Ltd(603737) relying on the great success of this winter Olympics, further strengthened the improvement of brand image and green health quality, and demonstrated China’s strength to the world Skshu Paint Co.Ltd(603737) as the exclusive supplier of official coatings for Beijing 2022 Winter Olympic Games and winter Paralympic Games, it has participated in the construction of more than 10 Winter Olympic venues and supporting projects such as “xueruyi”, and set an industry benchmark for green engineering; Developed and designed an “excellent helmet” with helmet coating and pattern for the short track speed skating team, which integrates the beauty of science and technology, culture and sports, and is widely praised by everyone; In addition, the medals painted with Skshu Paint Co.Ltd(603737) special medal protection coating realize the “assured bite of your own medals”. These excellent performances in the Winter Olympics have fully reflected the concept of “health, nature and green” of Skshu Paint Co.Ltd(603737) products and services, and maximized the effect of products and brands. At the same time, Skshu Paint Co.Ltd(603737) signed the Winter Olympic champions Wu Dajing, Gu Ailing and the national team of China’s short track speed skating as spokespersons and partners to shine together in the Winter Olympic field, and achieved good results of 4 gold, 2 silver and 1 copper. With the blessing of the spokesperson of the champion star, Skshu Paint Co.Ltd(603737) also continued to break the circle, making the brand influence to a new height and becoming another focus of attention in the coating industry.
industry recovery policies are favorable and usher in new opportunities for development
Under the macro situation, China’s GDP growth target is 5.5%. The large infrastructure and new infrastructure led by the government will drive medium and high-speed economic growth, which will benefit downstream enterprises. With the increase of countercyclical price adjustment, the central government has invested 640 billion yuan to carry out infrastructure investment and construction moderately ahead of schedule. The guaranteed rental housing market is expected to build 2.4 million units and other series of favorable conditions. It is expected that the industry will stabilize and recover in the second quarter. The policy support of green building materials to the countryside and innovative high-tech manufacturing enterprises are also expected to pry the 100 billion market, providing greater market opportunities for Skshu Paint Co.Ltd(603737) .
It is believed that in the future, Skshu Paint Co.Ltd(603737) will continue to rely on the Winter Olympics brand support to speed up the retail development and further enhance the brand share of high-end retail business. We will continue to focus on innovation and micro innovation, increase cost reduction and efficiency increase, control risks, seek speed in stability, and achieve high-quality development. (CIS)
