Jianlang Hardware (002791): Scale effect of hardware faucet platform first appeared
Core Aspects: The construction hardware industry is very fragmented, with many categories and specifications.
The company invested a lot in the early stage to establish a wide-ranging front-end marketing network and a strong back-office management system, and built a multi-product line integrated supply platform, which has been affected to some extent.
But gradually transforming the finished product category, gradually improving into the mature period, and improving performance flexibility.
We estimate that the company’s net profit attributable to its parent for 2018-2020 will be 1.
72 and 3.
80,000 yuan, the corresponding EPS is 0.
2 yuan, corresponding PE is 26, 16, 12 times; we believe that by quoting companies in the same industry, the company’s business model bidding service attributes and customer stickiness, the compound growth rate of performance changes, the first coverage assigned a “buy” rating.
The integrated supply of construction hardware “manufacturing + service” system has become a competitive direction.
Construction hardware has the characteristics of “discrete main body, 无锡桑拿网 supplemented by processes”, diverse products, scattered orders, and short delivery periods. Especially in the high-end market, the demand for customized and personalized products is high.
Under the development trend of construction hardware consumption, high turnover real estate development model and refined decoration development trend, can it provide systematic product packages with high quality and competitive prices, fast and accurate delivery and timely and convenient after-sales service become the core competence of suppliers,”Service” has become the development direction of construction hardware.
How to control costs is a major problem for suppliers.
We believe that scale + digital management is the main point of the new model to reduce the cost of the whole chain.
Jianlang Hardware: Channels + services + management expand competitive advantages, and multi-category layout gradually harvests.
1) “Jianlang” is the first domestic brand of door and window hardware, and its revenue scale far exceeds other racks.
2) Provide one-stop purchasing and technical services to customers through self-built leading and perfect direct sales channels.
The sales team has more than 3800 people, and the sales network covers all domestic first-tier cities and key second- and third-tier city markets.
3) The long-term service relationship can help the company deeply explore the potential of customer demand. New categories and existing models are complementary and highly synergistic, sharing sales and customer channels.
4) More than 30 transit warehouses have been established nationwide, improving delivery and after-sales efficiency.
5) Digitize the entire business process, optimize management, improve efficiency, and expand management boundaries.
Risk reminders: downstream construction industry risks, main raw material price risks, new market development risks to sustainable business growth, merger and acquisition integration risks, and accounts receivable risks.