Securities code: 600679 900916 stock abbreviation: Shanghai Phoenix Enterprise (Group) Co.Ltd(600679) Phoenix B share No.: 2022-003
Shanghai Phoenix Enterprise (Group) Co.Ltd(600679) enterprise (Group) Co., Ltd
Announcement on receiving research activities of institutional investors
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents. Shanghai Phoenix Enterprise (Group) Co.Ltd(600679) enterprise (Group) Co., Ltd. (hereinafter referred to as the company) held a research activity to receive institutional investors on January 18, 2022. The relevant information is hereby announced as follows:
1、 Institutional Research
Meeting time: 4:00 pm, January 18, 2022
Venue: room 510, Phoenix Center, block 6, No. 518, Fuquan North Road, Shanghai
Meeting form: on-site meeting exchange
Participants:
Wang Chaoyang, director of the company and President of Shanghai Phoenix Enterprise (Group) Co.Ltd(600679) Bicycle Co., Ltd., and Liu Feng, deputy general manager and Secretary of the board of directors of the company. Shenyin Wanguo Research Institute, Chang’an fund, Huaan Securities Co.Ltd(600909) , Shanghai Lanxu investment, CIC education investment, Shanghai yisidentai investment, Shanghai Tongxiao investment, Shanghai Yingbo and some individual investors.
2、 Main research contents
(I) enterprise introduction and site visit
The Secretary of the board of directors of the company introduced in detail the company’s development history, existing Phoenix and marbles brands, main subsidiaries and other basic information to the researchers, and explained the company’s major asset restructuring in 2020, fund-raising, R & D center construction and the company’s operating data in the first three quarters of 2021.
The Secretary of the board of directors accompanied the researchers to visit the company’s product exhibition hall and introduced the company’s current key products.
(II) main questions raised by investors and replies of the company
1. What bicycles lack in the future are popular brands and high-end products. Phoenix has great advantages. Whether the overseas market will be the main direction in the future and how to further develop the Chinese market
Reply: after more than ten years of development, the company has laid a solid foundation in the bicycle industry and will continue to maintain rapid development in the future. The company has formed a multi category and multi series product system. In the future, the company will focus on export, domestic sales of adult cars and domestic sales of infants and children, and promote the improvement of product structure as a whole. The company focuses on lithium powered bicycles and high-end bicycle products, and has made certain investment and accumulation for a long time. The company also has mature channels in the markets of developed countries such as Japan, which will become the basis for the development of lithium powered bicycles and high-end bicycles in the future.
Lithium assisted bicycle. Markets in foreign developed countries: on the one hand, the terminal price is high, and the sales gross profit performance is better than that of ordinary bicycle products; On the other hand, lithium assisted bicycles have not been fully standardized, and have high requirements for technology and capital. In the future, they will be led by the leading enterprises in the industry. Chinese market: lithium assisted bicycles still belong to the category of electric vehicles, and there are many requirements for use. However, under the framework of “carbon peak and carbon neutralization”, lithium assisted bicycles have great development space and will become one of the keys to changing China’s bicycle industry.
High end bicycle products. The company launched the fnix brand, becoming the representative of the company’s high-end products, and launched a series of products in mountain bikes, infants and children. Among the export products, mountain bike and sports bike products have accounted for 60% of the total foreign sales, and 50% of the domestic products.
Marketing and channel. The company is actively promoting the transformation and development of Internet marketing channels, expanding from the original Tmall and Jingdong flagship stores to the new marketing mode of jomin and Xiaohong, and has established a new cross-border e-commerce channel through Ali international tiktok. The company also built a platform for the publicity of Phoenix brand among young people with the help of Phoenix post station.
2. Does the company invest in lithium battery parts
Reply: the lithium battery product industry has not been standardized yet, so we need to increase capital and technology investment. As a brand holder, the company pays more attention to brand cultivation and channel expansion of lithium battery products.
3. Could you introduce the design and R & D of lithium battery products of the company
Reply: in recent years, the company has increased investment in R & D and has formed two R & D teams. The team of Shanghai R & D center focuses on product R & D and the team of Jiangsu production base focuses on product landing. During the year, the company’s R & D team is expected to expand to 42 people, which will further attract high-end talents in the industry in the future. For lithium battery products, the company is in the stage of establishing a product system. At present, it has launched several products in lithium battery products. In the future, it will launch a richer series of lithium battery products for different application scenarios. At the same time, the company is also actively building sales channels and brands of lithium battery products at home and abroad. The company’s testing center has become one of the three CNAs national certified laboratories in the industry.
4. How to control the cost of raw materials in 2021
Reply: in recent years, the prices of various raw materials have increased significantly, but the transmission of price increases in the industry has a certain lag. The company is paying high attention to the price rise of raw materials and taking relevant factors into account in advance in the quotation process. At the same time, the company also uses its own industry influence to improve the parts supply system, enhance the adaptability of the procurement system and digest some of the factors of price rise.
5. Could you introduce the competition situation of the industry and our position
Reply: the company has always been in a leading position in the bicycle industry and is one of the key enterprises in the industry. In terms of high-end products, the company’s main competitors are giante, Yongqi, etc; In terms of infant and child products, the company’s main competitors are good children and so on.
It is hereby announced.
Shanghai Phoenix Enterprise (Group) Co.Ltd(600679) enterprise (Group) Co., Ltd. January 20, 2022
