Home Business Donge Ejiao’s third quarter net profit increased by 295.58% year-on-year, and the recovery of inventory was confirmed.

Donge Ejiao’s third quarter net profit increased by 295.58% year-on-year, and the recovery of inventory was confirmed.

by news dir

Original title: Dong Ejiao’s third-quarter net profit increased by 295.58% year-on-year, and inventory recovery was confirmed

In the evening of October 30th,Don EjiaoThe third quarterly report for 2020 is released. The report shows thatDon EjiaoAchieved in the first three quartersOperating income2.041 billion yuan, realized attributable to listingthe companyshareholderofNet profit-21 million yuan.But it’s worth noting that the company’s third quarterPerformanceContinued to pick up, achieving operating income of 945 million yuan,Year-on-yearIncreased by 0.6%, realizing theNet profit63 million yuan, the third quarter of last year’s netprofitAn increase of 295.58%.

After suffering its first loss on the market last year,Don EjiaoThrough destocking and digital marketing transformation, it has been seeking to stop the decline in performance.From the perspective of single-quarter performance changes, the company’s first quarter of 2020LossThe amount is 83.87 million yuan, and the net profit attributable to shareholders of listed companies in the first half of the year was -84.02 million yuan, which also means that Dong-e Ejiao basically achieved a breakeven in the second quarter. By the third quarter, Donge Ejiao not only achieved a turnaround in performance, but also achieved substantial year-on-year growth.

According to industry estimates, the logic of Donge Ejiao’s “recovery of inventory bottoming out” has been confirmed.Stock up, Under the circumstance that the terminal demand of the pharmacy gradually recovers, the companyShipmentThe volume is expected to increase further in the fourth quarter.

Donge Ejiao pointed out in the previous performance forecast that due to the domestic new crown pneumonia epidemic, during the reporting period, especially in the first quarter, the resumption of work and production by some domestic distributors was postponed, and sales places such as pharmacies were generally consideredPassenger flowThe severe downturn in volume has caused the company’s offline business to be greatly affected.

However, offline business is blocked, and it is also a company in disguiseAccelerationThe transformation of wordization has increased motivation.This year, the company will movethe InternetAs an infrastructure, grafting traditionindustry, Make full use of offline resources, empower each other online and offline, and deepenbusinessModel reform, establish and perfect digital operation platform, and promote traditionalBrandDigital transformation of marketing.

At the same time, the company continues to optimize and enrichproductThe system continuously introduces Ejiao products that are convenient, ready-to-eat and meet the needs of different consumers, effectively enhancing the comprehensive value of products; actively expand the extension business, create a new category of Ejiao bird’s nest, deepen the ready-to-eat,DifferentiationCompetition to promote the innovative development of new volume business.

Some analysts believe that Dong Ejiao’s profitability cannot be separated from two major factors. One is the company’s newly launched Ejiao powder and Ejiao beads (Chinese herbal medicine decoction pieces) and other convenient and instant products. Second, the online and offline customer operations were exerted to a certain extent to hedge against the adverse effects in the first half of the year.

It is understood that in 2020, Donge Ejiao officially started its digital transformation, and its new social retail platform “Jiao Life” has a total of 1.08 million customers.The analysis pointed out that digital transformation can help Dong-e E-Jiao to further clear its inventory at the same time, and may also stimulate Dong-e E-Jiao to innovate and adapt.marketdemand.

With the initial results of the digital transformation, the destocking of Ejiao faucet is also coming to an end. The company also said that the current channel inventory is gradually decreasing. While digesting the existing inventory, the company rationally controls shipments and promotes a healthy and healthy cycle of channels.Clear inventory according to channelsjobsProgress, it is expected that by the end of this year, the channel will be generally healthy.

(Source: Securities Daily)

(Editor in charge: DF532)

Solemnly declare: The purpose of this information is to spread more information, and it has nothing to do with this stand.


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