Bai Xinglong: Give the story background to the product image and enhance the brand value with cultural creativity

Huang Jianbo/Photo by Peng Chunxia/Cartography

Securities Times reporter Liang Qiuyan

The exhibition hall full of creative design is full of classic packaging design works: Yanghe Blue Classic, Niulanshan Erguotou...... Recently, a reporter from the Securities Times walked into Bai Xinglong, a company on the Beijing Stock Exchange, visited the company's exhibition hall on the spot, interviewed the company's executives, and learned about the company's development prospects.

Different from the traditional packaging business, Baixinglong is driven by creative design as its core business. The company provides customers with comprehensive creative services, from brand strategic planning, to product design, to technology research and development, to the implementation of the four-in-one service model. Huang Haiying, secretary of the board of directors of Baixinglong, introduced.

"Landing on the Beijing Stock Exchange has brought a lot of beneficial improvements to the company's brand and other aspects. Regarding the transfer of the board that the market is concerned about, Huang Haiying said that at present, it is still necessary to stick to the Beijing Stock Exchange and make the company solid, which is the most important first step. "We have confidence in the company and the Beijing Stock Exchange. ”

Create a "four-in-one" creative service

When it comes to outer packaging, people will unconsciously associate it with the traditional light industry manufacturing industry. In fact, the brand strategic planning and creative design of the company is the starting point of the company's business.

At present, the company mainly provides customers in the fields of wine, cosmetics and boutiques, tea, food and other consumer goods customers with brand strategic planning, creative design, technology research and development, and product delivery.

"The service tenet of Baixinglong is to enhance the product image of customers through the above-mentioned four-in-one, and improve the market sales of customer products and increase the added value of products through comprehensive services. It's our core business and role. Huang Haiying told reporters.

Huang Haiying said that although the company belongs to the packaging and decoration and other printing manufacturing industries according to the securities industry, the company has given the customer's products a story background and also contains the genes of the cultural and creative industry.

In Bai Xinglong's showroom, there is a patent wall full of the company's various inventions and patents, and a number of trophies are placed on the display case. According to reports, the company has won 115 international design awards, including the German Red Dot Award, the United Nations WPO World Star, the IF Award, the Mobius Advertising Award, the Pentawards Packaging Design Award, etc., and has obtained 191 authorized patents, including 13 invention patents, and has won a series of honorary qualifications such as "National High-tech Enterprise", "China's Top 100 Packaging", "China Patent Excellence Award", "Guangdong Engineering Research Center", "Guangdong Industrial Design Center" and "Shenzhen Industrial Design Center".

In September this year, the company won the Muse International Design Series Award, among which "Zhenjiu Golden Bottle" won the highest award of the 2023 Muse Creative Award Platinum Muse. "At the Muse International Design Awards, they found out that our designers turned out to be a group of young people. Huang Haiying shared an interesting scenario. During the visit, the young working group of the company's creative design department left an impression on everyone.

Baixinglong is a high-tech enterprise, and the company has maintained a high investment in research and development. "The company's annual R&D investment is about 4% of the year's revenue. According to Huang Haiying, the whole process of the product needs to be supported by research and development, "the new style of new products belongs to the design process, new materials include some new processes, printing on packaging, some special processes, including anti-counterfeiting processes, as well as automation and intelligence, such as some AI software applied on the design side, all need to be developed to improve quality, efficiency and cost savings." ”

Actively expand multipolar growth

In the first three quarters of 2023, the company achieved operating income of 367.6453 million yuan, a year-on-year increase of 2.98%, net profit attributable to shareholders of listed companies of 29.9638 million yuan, a year-on-year decrease of 16.78%, and net profit after deducting non-profits of 27.8955 million yuan, a year-on-year decrease of 22.79%.

"In terms of revenue, we grew by 2% in the third quarter. The main reason for the decline in net profit is that the consumption of downstream alcohol customers we serve is still in the recovery stage, and the recovery of the alcohol sector may still be a slow process. However, our customer base is the leading brand in the industry, so the order volume has slowly picked up to the growth trend. Among them, the international business accounted for nearly 40% of the total revenue, and the export revenue achieved a significant year-on-year increase by the end of the third quarter. Huang Haiying said.

The liquor sector is the beginning of the company's business, and Baixinglong is also actively expanding its product image service business in more fields. In 2023, the company further clarified the business development direction of multi-polar growth in the future: continue to deepen the packaging of wine and international cosmetics, expand domestic cosmetics, tea, food and luxury packaging, and actively develop related product design, including inner packaging design (wine bottles, tea sets and cosmetics inner packaging, etc.), cultural and creative product design, gift box design (including packaging box + ancillary products).

According to reports, in the fields of food, health and jewelry, the company has provided creative packaging services for Huasheng Aquatic Products, Neptune Health Home, Lude Medical, Chow Tai Sheng, Zhou Shengsheng and Ferrari. These have brought new growth breakthroughs for the company's business development.

Although expanding business in many fields, Baixinglong will firmly do a good job in the main business. "The company still focuses on a large field to specialize in refinement, which is a key point of our current operation. Packaging is mainly a large industry, according to statistics, the packaging market size of more than one trillion, its market capacity and development space is huge. The company has developed from the original wine packaging to the current cosmetics, jewelry, luxury goods, tea, food industry, has been very wide, such as baking, health care including health, and leisure food and beverages. Therefore, we will first focus on the current positioning of these sectors to serve customers, and the market still has a lot of room for excavation and development. Huang Haiying said.

Under the concern of the overall weak consumer market this year, Bai Xinglong, whose main business specializes in high-end consumer goods packaging, is not immune to attention, however, in Huang Haiying's view, these will not have a greater impact on the company, "The company has been deeply involved in the consumer goods market for many years, and has formed a good cooperation stickiness with customers in the downstream consumer field. ”

At present, the company has 5 production bases, which are in Huizhou, Guizhou, Shanxi, Jiangsu and Hebei regions. According to reports, one of the fund-raising projects, Huizhou's intelligent manufacturing production and construction project has been capped, and is currently undergoing plant decoration, and the construction will be completed by the end of 2025 according to the plan.

The layout of the production base is close to the location of the company's customers, which can effectively reduce costs. "Our product is a packaging box, which is produced in our core supply Huizhou factory, which is the nearest Pearl River Delta, and after the flat process is completed, the flat paper is shipped to the mainland customer's place for assembly and molding, so that the transportation cost is reduced accordingly. For example, Huang Haiying said, "For example, our factory in Suqian, Jiangsu Province, is very close to customers such as Yanghe and Shuanggou, and the production line can respond quickly to what products customers want, which can reduce costs and ensure that customers respond quickly." ”

Enhance the internal and external capabilities of the enterprise

On December 14, 2022, Baixinglong was officially listed on the Beijing Stock Exchange. "The company's listing speed is very fast, from the application was accepted to the meeting lasted only more than 3 months, to the official listing of about half a year. The company went public at a good time. Huang Haiying introduced.

Landing on the Beijing Stock Exchange has brought a positive effect to Bai Xinglong. Huang Haiying said, "As a listed company, from corporate restructuring to preparation for listing, the company's operation and management, internal control and other aspects are gradually improving, which is one thing. On the other hand, from the market level, including bank financing, the company's credit endorsement and other aspects will be better, as a listed company, including the cooperation trust when participating in the bidding and bidding of customers, as well as the overall strength of the company can be fully demonstrated. Overall, it is a relatively good positive effect. ”

After being listed on the Beijing Stock Exchange, the company's shares have experienced a long period of downturn in the secondary market, and recently the Beijing Stock Exchange market has come out of the overall active market, with individual stocks taking turns to rise sharply, and Bai Xinglong has also had a strong daily limit on December 6, 2023, and the company's share price has risen from 8.38 yuan on November 20 to 14.52 yuan on December 6, returning to the issue price, with a cumulative increase of 73%.

Recently, the topic of the transfer of companies on the Beijing Stock Exchange has been hot. In this regard, Huang Haiying said that the company was recognized as a specialized and special new enterprise in 2019, and the GEM encourages entrepreneurial and innovative enterprises to go public. "The Beijing Stock Exchange and the Shanghai and Shenzhen Stock Exchanges are both A-shares, and they are also a market for specialized and special new enterprises to gather and list, and the development of the Beijing Stock Exchange is getting better and better. ”

"The company is optimistic about the development of the Beijing Stock Exchange, and the company firmly believes that no matter which sector it is in, as long as the company's bright spots and business operations are solid, and the majority of investors are rewarded with excellent performance, investors will naturally see the value of the company. Huang Haiying thinks.

In the face of the downturn in stock trends in the first half of this year, Baixinglong has taken many measures to stabilize stock prices and boost investor confidence. According to Huang Haiying, the company's directors, supervisors and senior executives have increased their holdings this year, and announced a repurchase plan in October, "Before October, the Beijing Stock Exchange market was still relatively sluggish, and the company also continued to increase and repurchase shares according to market conditions." ”

According to the company's repurchase plan, the repurchase price does not exceed 15.27 yuan per share, and the total amount of funds to be repurchased shall not be less than 8 million yuan and not more than 10 million yuan, and the number of shares to be repurchased is expected to range from 523,800 shares to 654,800 shares, accounting for 0.81% to 1.01% of the company's current total share capital.

Recently, the company's stock price has returned to above the issue price, and Bai Xinglong said that the company's management has confidence in the company's value and future development. The company will continue to promote the share repurchase plan according to the company's operating conditions and financial conditions. The purpose of the share repurchase is to implement employee equity incentives, with the purpose of closely combining the personal interests of employees with the interests of shareholders and the interests of the company to ensure the realization of the company's long-term business goals.