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The article talks about the raw materials, manufacturing, channels, sales, quality, service, pricing, etc. involved in China’s home furnishing industry will be affected by macro factors from 2019. Customized furniture, home textiles and other circuits presented a unique situation, while the overall development of the sanitary ware market was stable.
Today, the international trade rules are reshaping. In the past half century, the Chinese home furnishing industry, which relies on the advantages of labor and manufacturing costs, has been greatly affected. Excluding macro factors, China’s multi-year high GDP growth has also ended, entering a period of gradual growth. In contrast, the custom home that is most sought after by entrepreneurs in the home sector —— has also ended years of rapid growth.
According to historical development experience, the economic cycle, enterprise cycle, and market cycle will occur cyclically. There is a period of decline in the economy with a high-speed growth. From the current trend, starting from 2019, raw materials, manufacturing, channels, sales, quality, service, pricing, etc. involving China’s home furnishing industry will be affected by macro factors. At the same time, the trend of full decoration has taken a big step, and the home industry enterprises are faced with more macro and complex business decisions and problems. How to solve problems becomes the key to stable development.
“Home 2019 exam series, from international trade, investment and financing, full decoration, customization, decoration, kitchen and bathroom, mattress, home textile, home appliances, flooring, wood, lighting, smart home, etc. more than 10 The sub-divisions, through a more comprehensive perspective, report on the current status of home business and the latest events for industry reference.
Overall poor performance, 82% of companies’ revenue growth rate is less than 25%
Overview of the performance of the 39 listed home furnishing companies in the first quarter of 2019, the performance is not satisfactory . First, in terms of revenue, 32 companies’ revenue growth rate is generally lower than 25%, accounting for 82% of the overall proportion; more than 9 companies have negative revenue growth rates; in terms of net profit, 31 companies are net The profit growth rate is less than 20%, accounting for 79% of the 39 listed companies; another 12 companies have a negative net profit growth rate, accounting for 31%.
These data reflect that the home industry in the first quarter of 2019 is not optimistic. Enterprises with negative net profit growth rate and negative growth rate of revenue are distributed in various segments, indicating that the industry as a whole is experiencing a low season.
Customization: Ou Pai is a big one, and the rest of the company’s net profit is less than 25%
The entire custom home business slowed down in the first quarter, except for my home. The growth rate of the other 8 companies did not exceed 20%.
Among them, Ou Pai Home is still the leader of the first echelon with a revenue of 2.203 billion yuan, an increase of 15.57%. Shangpin’s home with the revenue of 12.74 yuan ranked second, an increase of 15.66%. In addition, Piano, with a small volume, also showed impressive results with revenue of 185 million yuan and year-on-year growth of 16.32%. These three well-performing companies all achieved a growth rate of 15%.
The revenue growth rate of Zhibang Home, Hao Laike, Gold Kitchen Cabinet and Dinggu Jiu Chuang four custom brands are all below 10%. Sophia, which ranked second with 1.185 billion yuan in revenue, grew 4.67%.
According to the usual practice, the first quarter of the opening year is the off-season of the home building materials market. In addition, there are certain lags in the orders of the custom industry. Many orders have not been counted in the performance, and the entire home market is near two. The performance of three years is not satisfactory. It is expected and reasonable to slow down the revenue of customized companies and slow down the growth of profit margins.
Home Textiles: 50% of companies have negative net profit growth, and Dream Lily runs away
As of 2019, there are 8 home textile listed companies in the home furnishing industry. Among them, Vosges, Luolai Life, Xilinmen and Fuanna had negative growth in the first quarter. The net profit of Luolai Life, Fu Anna, Luolai Life and Xilinmen was negative in the first quarter.
During the reporting period, the most outstanding performance was Dream Lily. With a revenue growth rate of 28.78%, the net profit growth rate soared to 1547.30% in the first quarter. In the industry analysis, Dream Lily’s profitability improved significantly thanks to the steady growth of ODM business; and actively created a multi-level brand matrix, based on “mlily dream lily”, developing sub-brands such as Cr and raccoon; At the same time as opening a store and upgrading the store and brand image, actively optimize new channels.
As for the performance of the entire home textile industry in the first quarter, neither the revenue nor the net profit growth was uneven, the growth rate could not reach a consistent level, and the negative growth was more. It remains to be seen whether the 2019 will break through the whole year.
Kitchen Appliances: Boss, Vantage and the two giants in parallel
The listed companies in the kitchen appliance industry are only Boss Electric and Vantage. In the first quarter of 2019, Boss Electric had a total revenue of 1.60 billion yuan, a year-on-year growth rate of 4.30%; net profit reached 320 million yuan, a year-on-year increase of 5.84%; Vantage’s first quarter revenue reached 1.331 billion yuan, revenue It fell by 6.54%, but the net profit increased by 14.80%.
The performance of kitchen appliances in Q19 in 2019 can be said to be good. In the past 2018, the overall pressure on the kitchen appliance industry was severe. The market size of the national range hoods, gas stoves and gas water heaters has been shrinking, while the market size of new dishwashers and embedded electric ovens has reached 20%. Market size growth rate.
In 2019, real estate is picking up. Under the promotion of multi-channels such as hardcover rooms, I believe that there is still room for growth in the kitchen appliance industry.
Floor and board: serious losses, revenue & net profit growth decline
There are four listed companies in the flooring industry, Da Ya Sheng Xiang, Yi Hua Life, Del Future, Filminger, looking at four In the 2019 performance of Q1, except for the remaining three of Daya St., the net profit growth rate was negative. The growth rate of revenue is not optimistic. Yihua Life and Filminger’s revenue growth have declined respectively, while the growth of Daya and Elephant in the future has a growth rate of less than 3%.
The performance of the flooring industry in the first quarter of 2019 can be said to be unsatisfactory and the losses are serious. This aspect stems from the fact that the overall prosperity of real estate in January-February 19 is low; on the other hand, the export business is affected by the international situation, and the decrease in overseas demand has led to the overall lag of floor sales.
Bathroom: Steady improvement, overall trend is good
In the sanitary field, the performance of various companies is relatively stable. In addition to the seagull workers have a relatively obvious decline in net profit, the other three Diou home, Huida bathroom, Mona Lisa have shown a good growth trend.
In particular, the overall performance of Diou Home, revenue growth rate and profit growth rate were as high as 37.64%, 48.82%. In terms of channels, Diou has always maintained cooperation with large real estate companies such as Country Garden, Vanke and Evergrande to protect the company’s tooling business; at the same time, it has diversified layouts nationwide. As of April 2019, the national distributors are over 700 dealers. The store has over 1,700 stores.
Looking at the performance of home-listed companies in the first quarter of 2019, the decline in performance is a difficult trend to cover up. The slowdown in revenue and net profit growth also indicates that the industry situation is not optimistic. Many people believe that this year’s off-season is even lighter than in previous years.
Downturn in property sales, rising raw material costs, and increased industry competition are all risks that home furnishing companies may face in 2019. Only by focusing on the brand itself, improving product quality, accelerating production and sales efficiency, and improving the price competitiveness of products …… can change in order to occupy a favorable terrain in a rapidly changing situation. (*This article has indicated the source and source, the copyright belongs to the original author, if there is any infringement, please contact us)
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