Annual report express series of thematic analysis by cultural media companies (1): Yongle Culture (837736): Revenue scale expands and grows by 64%. Venue business has become a new bright spot
Event: The company released the 2018 results flash report, reporting a series of realized operating income8.
950,000 yuan, an increase of 64 in ten years.
39%, operating profit of 99.69 million yuan, an annual increase of 5.
25%, achieving a net profit of 9010.
280,000 yuan, an increase of 19 in ten years.
(Company announcement) Continue to promote the strategic layout of horizontal, vertical and vertical, and the rapid growth of ticketing business.
Yongle Culture is a platform company based on ticket agency business, integrating venue operations + content investment.
According to the performance report, the company’s ticketing business grew rapidly in 2018, with a year-over-year growth rate of more than 30%.
According to the semi-annual report, in the first half of 2018, the company established strategic cooperation with Warner Music (one of the world’s three largest record companies) and Vlacom (the third largest media company in the United States). In the future, it will be committed to the development of performance resources, ticket market cooperation andPlatform promotion to jointly build a Chinese music festival brand with global global influence.
Hand in hand with brother companies to strengthen content investment business.
The company’s content investment includes offline performances, shows, and shows such as cultural performances, sports events and parent-child entertainment.
At the scale of the report, while predicting independent investment projects, the company strengthened its cooperation with siblings in the industry, gradually diversified risks, and further enhanced the company’s business integration capabilities and industry influence, and achieved business revenue growth.
According to the semi-annual report, the company’s performance investment projects in the first half of 2018 were close to 50, including the first-time European and American superstars such as John Legend, Fall Out Boy, and Luo Dayou, Wang Ruolin and other well-known domestic artists.
Strategic layout of scarce venue resources, the cinema line Olive officially put into operation.
For the scale of the report, the company adjusted its business layout, expanded and contracted the film business, replaced related assets, and replaced the expansion of the theater line Olive business based on ticketing + performing arts investment. At present, the live entertainment industry layout has been completed.
In March 2018, the Wuliangye Chengdu Performing Arts Center (referred to as the “Great Rubik’s Cube”) officially started operation. Yongle Culture officially rented out as an operating service provider. In June 2018, the renovation of the Olive venue was completed and began to be replaced. Wang Ruolin ‘s concert was Olive The start-up operation started the first shot, and the launch of Olive has aroused heated discussions among all parties in the show industry.
In the long run, the venue business is the cornerstone of the company’s business development and the only way for the company to pursue long-term stable development. It is of great significance 北京夜网 to the company’s future revenue and profit growth.
(Company Express and Semi-Annual Report) New breakthroughs have been made in the technology business, which is the basis for future development potential.
According to the performance report, based on the internal humanities overview business, the technology business in 2018 has obtained the operating rights of the Badaling Great Wall People Flow Management System, which provides another classic case for the company’s technology business expansion in natural scenic areas, and the company’s technology businessGrowth lays the foundation for sustainability.
Gross margin from 44.
60% dropped to 29.
04%, the scale of some business income has not yet been reflected.
The company implements a variety of performance projects and stars, appropriately supports and invests in second- and third-line artists, and the proportion of non-first-line star performances has increased. The scale of investment sponsorship has basically remained the same as that of the previous year, resulting in a certain reduction in performance project returns. The company will continue toStrengthen the performance integration operation ability and business team building to improve the company’s profitability.
At the same time, the company’s strategic layout of scarce venue resources is still in its infancy, and the scale of revenue has not been fully reflected, but costs have begun to amortize, which has reduced the company’s gross profit margin to a certain extent.
60% dropped to 29.
The venue business is a strategic support point for the company’s business layout in the next few years, although it will cause some pressure on the company’s profitability in the short term.
Investment suggestion: As of the latest, the company’s market size is 12.
76 ppm, corresponding to 14X PE in 2018, it is recommended to pay attention.
Risk warning: cash management risk, market competition risk, short-term repayment risk of bank loans.