Chengde Lulu's performance in the first half of 2021: open up blank channels, the overall performance increased, but the gross profit margin declined

On August 12, Chengde Lulu issued an announcement that in the first half of 2021, it achieved operating income of 1.36 billion yuan, up 36.44% over the same period last year; achieved a net profit of 283 million yuan, up 38.14% over the same period last year. However, the gross profit margin of the product fell by nearly 4%.

Chengde Lulu said in the announcement that in 2020, due to the epidemic situation, sales were affected, and in 2021, with the increase of marketing efforts and the expansion of the blank market, the revenue increase was larger. Last year, Chengde Lulu increased its market development efforts, including the development of blank spots in channels such as catering, campuses, banquets, and stations, and launched image stores and benchmark stores, of which 92,300 new catering blank spots and 888 high-speed rail terminals were developed.

Due to the impact of the epidemic, sales revenue and production in the first half of 2020 were affected. According to Wonder data, in the first half of 2020, Chengde Lulu's revenue was 997 million yuan, down 20.69% year-on-year, and the net profit was 203 million yuan, down 22.51% year-on-year.

It is worth noting that although the net profit of Chengde Lulu increased by nearly 40% in the first half of 2021, the gross profit margin has declined. According to the data, the revenue of Chengde Lulu almond dew series products was 1.338 billion yuan, and the gross profit margin reached 50.92%, but it was still reduced by 3.56%. Although the gross profit margin of the nut walnut series increased by 1.9%, it still decreased by 3.73% overall.

In addition, Chengde Lulu also increased her publicity efforts. Advertising and publicity expenses increased by 45.4% year-on-year, mainly because of the increase in advertising efforts compared with the past, the expansion of the audience base, and the form of advertising focus on reality, including variety media, outdoor big brands, bus bodies, promotional materials, terminal packaging and so on.

This article originated from Blue Whale Finance