Jianlang Hardware (002791) Company Research: Launch of Employee Stock Ownership Plan Demonstrates Confidence
The company issued the first phase of the employee stock ownership plan (budget): The size of the fund to be raised in this employee stock ownership plan does not exceed 100 million, and the total number of employees participating in the employee stock ownership plan does not exceed 250; the source of the stock is the company’s special securities for repurchaseThe total number of shares repurchased in the account shall not exceed 734.
61.98 million shares, accounting for 2 of the company’s total share capital.
29%, the transfer price is the average price of the repurchased shares, which is 13.
61 yuan / share.
Company performance appraisal requirements: Based on the annual operating income of 2016-2018, the growth rate of operating income in 2019, 2020, and 2021 is not less than 55%, 95%, and 140%, respectively.
The introduction of employee stock ownership plans is conducive to the company’s long-term development and motivates the team.
The company’s top management focuses on the integrated supply direction of building accessories. Through the sharing of brand, customer resources, sales channels and production capacity, it increases sales channel expansion and category expansion, and initially forms a strategy for building hardware integration suppliers with building doors, windows, curtain wall hardware as 深圳桑拿按摩网 the core.layout.
The introduction of the first employee stock ownership plan helps the company to attract and retain middle management, core technology and business backbones, improve employee benefit-sharing mechanisms and increase the motivation of the core team to stimulate team development momentum.
The forthcoming assessment criteria for the company’s target performance and personal performance: The company’s performance requirements are based on the 2016-2018 operating income itself, and the operating income reduction from 2019-2021 is not less than 55%, 95%, 140%, that is,Revenue growth in 2019 is not less than 30.
6%, the compound revenue of revenue for 2019-2021 is not less than 26.
The assessment target of 5% helps to achieve the company’s confidence in future development and performance growth.
Investment suggestion: The company’s multi-category gradually matures and the channel improvement stabilizes. The scale effect and synergy of the integrated supplier are gradually released. The revenue growth rate has been stepped forward for several consecutive quarters. With the increase in sales per capita, the profit margin has rebounded.The trend is expanding, and the performance elasticity has already appeared. At the same time, the new category expansion and market expansion modes have also been initially clarified. It is expected that the expansion of multiple products will continue to increase in volume in the future.
It is expected that the company’s net profit attributable to the parent in 2019-2021 will be 3 respectively.
96 and 6.
97 trillion, corresponding to EPS respectively 1.
5 and 2.
2 yuan, the corresponding PE is 26.
6x; Maintain “Buy” rating.
Risk reminders: the risk of downward macroeconomic growth and related policy changes, the risk of sharp changes in raw material prices, the risk of intensified market competition, and the risks brought about by new business expansion.