Wuliangye (000858): The reform accelerates the promotion of the recognized channel is circulating dividends

Wuliangye (000858): The reform accelerates the promotion of the recognized channel is circulating dividends

We have recently participated in the Wuliangye Shareholders’ Meeting. The company’s systematic reform work has been further refined. Team-building, channel change, brand combing and other large-scale work are the key points. The reform has been carried out step by step.

Once the subsequent channel positive cycle is opened, the channel pushes and the brand pull will form a synergy of upward cycles. The release of dividends will promote the company’s growth rate higher than the industry average.

Taking into account the price increase bonus in the second half of the year and the channel’s positive circulating dividend, we raise the EPS forecast for 19-20 to 4.

47 and 5.

49 yuan, 24 times PE for 20 years, raise target price to 130 yuan, repeat highly recommended.

The report is accompanied by detailed records of the shareholders’ meeting and is recommended for reading.

The systematic reform work was further refined, and the implementation was carried out step by step.

The number of participants in the 18th Annual General Meeting of Wuliangye reached a record high of 458.

Jointly communicate with participating investors with an open attitude and face the progress and problems of the initial reform of the market.

The focus of the reform strategy was further refined, and the implementation was carried out step by step, and the marketing reform dividend was gradually released: (1) Organizational reform: Team building is in sight, and recruitment has gradually advanced.

Since the initial marketing structure was changed from seven marketing centers to 21 marketing battlefields, the marketing system has been gradually segmented.

On the basis of internal selection, a nationwide open recruitment of middle-level and marketing personnel was conducted in April to conduct a unified recruitment written test selection, and the team building was substantially carried out.

The number of sales staff is expected to gradually approach the level of 1,000 people during the year. At the same time, the quality of services is promoted, and team building is effectively implemented to provide protection for external channel transformation.

(2) Channel reform: Distributors and terminals sort out the key points and vigorously promote modern marketing reform.

The company focuses on two aspects of the dealer scale reform. One is to change the concept and promote the joint transformation of dealers and manufacturers, aware of the interaction between terminal services and consumers, and the second is to adjust the structure and resources to have teams, channels, and financial strength.The high-quality dealers leaned to terminate the elimination mechanism.

Terminal entities, specialty stores focus on regional literacy and empowerment standards, solve problems such as specialty store management, brand image and channel services, Mingyan Hotel focuses on selection and in-depth binding, and improves the problems that are not in place in the early two years of reform. KA The terminal integrates the dealer platform to open up the nationwide supply chain system and regional assessment.

In addition, the e-commerce channel is committed to level maintenance, and a new group purchase channel establishes a cooperation mechanism.

(3) Brand combing: Brand “subtraction” is strengthened, focusing on the core product structure, and brand “addition” is pave the way.

The company has adopted a programmatic direction document for brand combing, and the strategy guide is more clear and clear. The number of Wuliangye and series brands has tried to reach about 45 (about 18 at the end of 800), and the number of barcodes can reach up to about 350 (at the end of 3,500)), High-end products focus on “1 + 3”, series of wine focus on “4 + 4”, based on the current subtraction, in the future will reduce channel investment, increase consumer investment, and further increase brand height.

Dealer confidence is picking up, new products are expected to be sold at reasonable prices, and channels are opening up in a significant cycle.

Under the protection of strong policies such as setting up an inspection team to monitor prices and strictly controlling shipments, dealers have demanded that the supply price has reached 919 yuan at the end of April.

Recent channel survey feedback has shown that the approval price of Wuliangye has accelerated to more than 890 yuan.

At present, the dealer’s confidence has clearly rebounded. The brand power of Wuliangye has a strong appeal to consumers at around 1,000 yuan. The channel thrust will determine the approval price level. It is currently expected that new products will be sold at a price based on the ex-factory price of about 889 yuan.

Once the subsequent channel positive cycle is 佛山桑拿网 opened, the channel pushes, the brand pull will form an upward synergy, and the release of dividends will promote the company’s growth rate higher than the industry average.

Investment suggestion: The reform is accelerating. It is recognized that the channel is circulating a dividend and the target price is raised to 130 yuan.

The company’s marketing organization has been gradually promoted since the beginning. The reform has entered a critical period. With the support of strong execution, the key points have been cut in the direction. The reform has been gradually implemented and channel confidence has picked up.

We raised our EPS forecast for 19-20 to 4.

47 and 5.

49 yuan (previously 4).

24, 5.

08 yuan), it is estimated that the discount is expected to gradually improve, given 24 times PE for 20 years, raising the target price to 130 yuan, enough to cause strong recommendation.

Risk warning: the impact of heavy competition, the price increase is not up to expectations, and the overall demand is not up to expectations