Seven Wolf Inventory Pressure Increased Revenue Growth Negative Growth

　　 Seven wolves The annual report released in 2014 showed that profits continued to decline for two consecutive years.

The main business achievements are as follows: during the reporting period, the company achieved operating income of 2 billion 391 million yuan, down 13.79% compared to the same period last year; the net profit attributable to shareholders of listed companies was 289 million yuan, down 23.84% compared to the same period last year; the basic earnings per share was 0.38 yuan / share, down 24% compared with the same period last year, of which the fourth quarter earnings per share were 0.08 yuan / share.

Company implementation in 2014 Business income 2 billion 391 million yuan, down 13.79% compared with the same period last year. Revenue in the fourth quarter was 660 million yuan, up 42.36% from the same period last year, a sharp rebound compared with the third quarter -20.24% growth.

The company's gross profit margin in 2014 was 44.74%, a slight decrease of 2.27 percentage points over last year. Among them, the fourth quarter Gross profit margin At 42.54%, it was reduced by 3.84 percentage points compared with the third quarter.

The company's inventory is increased by entrustment, and accounts receivable decreases with revenue.

In order to optimize the company's operating structure, it plans to invest 315 million yuan in its own capital to participate in the establishment of reinsurance company, which will account for 10.5% of the registered capital of the reinsurance company. We expect the company's EPS for 2015-2016 years to be 0.43 yuan and 0.49 yuan, corresponding to the current stock price being 36 times and 31 times. Maintain the "prudent recommendation" rating.

At the end of 2014, the company's inventory was 742 million 675 thousand and 400 yuan, an increase of 12.99% over the same period, accounting for 10.74% of the total assets. Among them, the book balance of entrusted consignment goods was 212 million yuan, a 972% increase over the beginning of the year. Accounts receivable was 294 million 747 thousand and 800 yuan, a decrease of 33.12% over the same period last year.

The company has a good foundation in brand, product, channel and supply chain, and it can resist the adverse external environment to a certain extent, and ensure that the company has more time to carry out the transformation of business mode. At the same time, the company's financial condition is good and cash flow is abundant, which provides a strong guarantee for the transformation of the company. However, over the years, over reliance on the extensive growth mode of channel expansion has made the transformation of the company limited by its own scale, which has affected the progress of the company's retail adjustment.