Zhongnan Media (601098) 2018 Annual Report Comments: Dividend Rate Hits New High, 2019 is expected to increase steadily
The company’s publishing and distribution business has developed steadily, and has actively deployed a number of circuits such as digital education, pan-entertainment and media integration.
In the fall of 2018, the market education aids have rebounded. We judge that the company’s core main business will return to the performance growth channel in 2019.
Taking into account the company’s textbook teaching and auxiliary business with high certainty, underestimated high dividends, strong balance sheet and other advantages, maintain “Buy” rating, target price of 16.
Affected by market education aids in 2018, the performance bottomed out, and it is expected to increase steadily in 2019.
The company achieved revenue of 95 in 2018.
7 ‰, a ten-year average of 7.
60%; net profit attributable to mothers12.
4 ‰, the ten-year average of 18.
2%; net profit after deducting non-attribution to mother 11.
0 million yuan, an average of 21 in ten years.
Since the second half of 2017, the Hunan Province’s market-oriented education and rectification has gradually started the company’s 2018 performance.
In the autumn of 2018, the sales of teaching aids in the market rebounded several times. We judge that the company’s core main business will maintain a steady and increasing trend in 2019.
The core business developed steadily, and media integration continued to advance.
At the core of the report, the company’s general book publishing revenue5.
10,000 yuan (+16 compared with the same period last year).
1%), the yardage market share reached 3.
1%, ranking second in the country; in terms of distribution business, the company’s campus bookstores reached 1062, the annual revenue growth of 106%, through channel sinks, regional responsibility system and other development of the auxiliary education market.
At the same time, the company’s affiliate Rednet and more than 70 counties and cities in the province reached a cooperation agreement on the constr