下载/Bowang Finance
In the environment of uncertainty that macroeconomic is under pressure and the epidemic is circulating in multiple points, Yili once again delivered a report card of steady growth.
On October 27, Yili released its performance report for the first three quarters of 2022, achieving total operating income of 93.861 billion yuan, continuing to achieve double-digit growth, and net profit attributable to shareholders of 8.061 billion yuan. So far, Yili has been growing continuously for 29 consecutive years and is one of the only two companies in A shares that have grown continuously for 29 years.
Yili can achieve steady growth under the pressure of the epidemic, which is hard-won. You should know that in the first three quarters of this year, the epidemic has been circulated in many places and in multiple places, and has brought considerable challenges to consumer companies. Especially in downline cities, strict control has greatly affected the dairy consumption scenarios. As the company with the widest channel layout in the industry and the highest channel penetration rate of in the channel, Yili has also been relatively affected.
However, Yili also sent a positive signal at the performance communication meeting. It said that the company has begun to actively prepare for the peak season of the Spring Festival, and is expected to achieve double-digit growth in the fourth quarter, and the profit margin will also increase to a certain extent. "We still maintain the goal of not declining profit margins for the whole year." Behind the resilience and confidence in development, Yili's stability and determination as the leader of Asian dairy industry are highlighted.
1. Stabilize the price and improve inventory and adhere to long-term development stability
Yili's development is quite trending to "hold on to the green mountains and not relax".
focuses on long-term development. Yili will set goals according to different development stages of the company and make strategic arrangements for it. Yili’s current goal is to “the world’s dairy industry first”. Even under the influence of the epidemic, Yili still insists on long-term layout and investment, and looks at the long-term growth path of the company from a long-term strategy.
Under the current market state, Yili fully considers the interests of upstream and downstream partners and introduces a series of channel support policies that conform to the actual market to reduce the pressure on channel partners. According to industry insiders, Yili spent a lot of effort to stabilize price and optimize inventory in the first three quarters, and ensure the healthy development of the channel ecology.
Because Yili firmly believes that the impact of the epidemic is short-lived, consumers have a stronger demand for healthy foods, especially dairy products, and the rapid development of milk drinking habits, these long-term rigid factors have not changed. Although this may put pressure on performance growth in the short term, in the medium and long term, solid price orders and healthy inventory are more beneficial to sustainable development. This means that as the epidemic situation slows down, Yili's performance growth will return to the track of rapid growth.
2. Increase the layout of the second growth curve to accumulate long-term high-quality growth
Against the background of pressure on industry growth, Yili can seize the "time window" to make long-term strategic layout in key areas and accumulate strength for the company's future growth.
, especially in terms of brand investment, although facing external macro environment challenges, Yili did not give up the investment in the window period of brand development due to short-term epidemic pressure. Instead, it focused on the long-term strategic vision, continued to strengthen brand building, and continued to lay out top sports resources such as the Winter Olympics; and for high-contribution categories, it also has a preference in brand investment, which is expected to improve the input-output efficiency of .
can be seen from the performance of the first three quarters that the effectiveness of Yili’s brand investment strategy, with its milk powder and dairy products revenue of 18.728 billion yuan, and increased by 60.5% year-on-year, continuing to "fast forward".
Among them, the milk powder business has successfully broken through with its solid technological innovation strength with the opportunity of the "new national standard" industry. The endogenous growth rate of the milk powder business continues to remain the first in the industry. By acquiring the " goat milk powder leader" Aoyou Dairy , it has promoted the strategic advantage of "both cow and sheep" in the milk powder product line, making it already have the strength to win the "global milk powder first". In terms of cheese business, Yili has quickly become the second in the industry after three years of entering the market, and the upward momentum is also strong.
3. Solid core competitiveness. Multiple institutions maintain the buy rating
From the market perspective, Yili's basic market has grown steadily.In the first three quarters, Yili Liquid Milk's revenue was 64.102 billion yuan, and its scale and market share continued to rank first in the industry. According to Nelson data, Yili Pure Milk and Jindian Organic both achieved double-digit growth. Celebrities such as Jindian Organic and Anmuxi continued to maintain the first brand in sub-categories, and Anmuxi's market share continued to expand.
channel advantages are Yili's greatest confidence. As of the end of September 2022, Yili dealers had a total of 19,321, an increase of 4,762 year-on-year. The ability to master sales terminals was further strengthened, and it was undoubtedly the company with the widest channels and deepest operations in the industry.
is even more commendable. Yili has driven the stable development of the upstream and downstream of the industrial chain with its own stability, truly played the role of the industry ballast, and protected the foundation of the industry's sustainable development.
Yili's achievements are obvious to all. Many brokerages including Shenwan Hongyuan , Huatai Securities and China Merchants Securities , etc., have also maintained a "buy" or "strongly recommended" rating because they are optimistic about Yili's medium- and long-term growth space and development logic.
The capital market has never judged heroes by temporary success or failure. Yili, whose business ideas are clear enough, has a solid core competitiveness and strong enough development determination, will inevitably usher in the fastest rebound under the general trend of macro stabilization and consumption recovery.
