Starting from the 2024 growth target of 5%, Oppai, Oriental Yuhong, Weixing New Materials, and Hollywood are cautious

Dacai Research, Chief Analyst: Deng Chaoming, Pan Home Furnishing Boss Business Internal Reference, Manager's Daily Reading, Business Staff of Front-line Personnel, to create an influential large home furnishing construction and decoration research institution, professional evaluation and communication center.

Combined with institutional research, corporate announcements and other information, some home building materials companies have successively revealed their business goals for 2024, generally mentioning that they should maintain a growth rate of more than 5%.

Of course, this kind of goal is only the internal management control goal of the enterprise, and does not represent a performance forecast, let alone a performance commitment.

In any case, the courage to set growth targets within the company reflects to a certain extent that the confidence and fighting spirit of the management are still strong, which is worth learning. Announcing the target and mentioning specific figures in detail is also a reflection of courage and boosting market confidence.

However, compared with the early years, combined with the data of the current announcement of clear targets, everyone is still relatively conservative, with limited optimism about the market environment, and cautious about seizing a larger market share.

Some listed companies even believe that the market environment in 2024 will be severe, and home building materials companies are still facing greater pressure. However, it is generally believed that the basic needs are still there, and the market has a large potential space, which requires enterprises to find ways to create a new situation.

In response to investors' questions, Oppai Home said that in 2024, the company will strive to achieve a year-on-year increase of 5%-10% in operating income and a 5% year-on-year increase in net profit.

However, at the same time as the reply, it was added that the above indicators are intended to clarify the company's operating and internal management control objectives, and do not represent the company's 2024 performance guidance or profit forecast, let alone the performance commitment to investors.

In response to market changes and efforts to achieve performance targets, Oppai announced a series of measures, including:

Comprehensively promote the reform of large home furnishings and large delivery, optimize the product system, solve customer pain points, and improve customer value, create a city-centered operation model - flexible and effective, adapt measures to local conditions, and overcome city by city, realize multi-dimensional drainage, and empower terminals in an all-round way, and gradually transform large home furnishings.

Judging from the first quarter of 2024, Opai is still far from the target and needs to make up the gap in the follow-up time.

According to the report, the operating income of Opai Home Furnishing in the first quarter was 3.621 billion yuan, a year-on-year increase of 1.43%, and the net profit attributable to shareholders of listed companies was 218 million yuan, a year-on-year increase of 43.00%.

During the institutional research, Hollywood made an outlook for 2024, which mentioned that in the next few years, focus on market share improvement, and the assessment target of the employee stock ownership plan requires the company's operating income in 2024 to increase by more than 5%-8% year-on-year in 2023, and operating income in 2025 to increase by more than 10%-16% year-on-year in 2023.

While paying attention to the growth of operating income, Hollywood said that it would take multiple measures to improve the company's profitability.

At present, the results of the first quarter have been announced, with revenue of 403 million yuan, a year-on-year increase of 15.86%, and net profit attributable to shareholders of listed companies of 12.6498 million yuan, an increase of 5.35%.

For the 2024 plan, the company has taken a number of measures, such as continuing to promote the urban operation platform model in the top cities, and actively laying out the sinking market to accelerate the store coverage in blank cities. Accelerate the investment promotion and construction of art decoration stores, and promote the transformation of dealer decoration business.

At the same time, it adheres to product leadership, continues to enrich the product matrix, and newly launches five sets of products such as Monet series and four major kitchen products such as mousse series.

On the interactive platform of investor relations of Panorama.com, Weixing New Materials replied to investors' questions and said that the operating income target for 2024 is 7.3 billion yuan, with a synchronous growth of about 1 billion yuan, and the original business growth target is about 10% after deducting the contribution of Zhejiang Kerui and other consolidated statements.

At the same time, Weixing New Materials believes that the current external environment is indeed difficult, and the challenges and pressures faced by the company are indeed greater, and the company needs to make greater efforts to overcome difficulties and promote the company's sustainable and high-quality development.

According to the report, in 2023, Weixing New Material's operating income will be about 6.378 billion yuan, a year-on-year decrease of 8.27%, and the net profit attributable to shareholders of listed companies will be about 1.432 billion yuan, a year-on-year increase of 10.4%.

From the first quarter, Weixing New Material's revenue performance was indeed good, achieving about 997 million yuan, an increase of 11.19% year-on-year. However, the net profit attributable to shareholders of listed companies was about 154 million yuan, a year-on-year decrease of 11.56%.

From a business point of view, Weixing New Materials is mainly engaged in plastic pipes, which is the main force in the current old reform market.

The pipeline is divided into three series, one is PPR series products, which are mainly used in cold and hot water supply in buildings, the other is PE series products, which are mainly used in municipal water supply, heating, gas, drainage and sewage and other fields, and the third is PVC series products, which are mainly used in drainage and power sheath and other fields.

At the same time, the company focuses on the strategy of "concentric circle product chain", and actively expands new businesses such as indoor waterproofing and whole-house water purification, and the overall scale of new businesses is not large.

For 2024, Weixing proposes to focus on key points, comprehensively increase market share, adhere to "risk control first", do a good job in improving the quality and transformation of engineering business, promote internationalization in an orderly manner, expand new business opportunities, closely follow the company's strategy, and do a good job in the implementation of safeguard measures.

We will continue to adjust our strategies, such as increasing our market share and expanding our retail business, while we will increase our efforts to expand our non-real estate business such as hotels, public buildings and industrial parks, so as to reduce our dependence on real estate.

Dongfang Yuhong's "2024 Financial Budget Report" has formulated the main financial budget indicators for 2024, with revenue of 36 billion yuan and net profit of 3.6 billion yuan, which is also used as an internal management control indicator, and does not represent the company's profit forecast or the company's performance commitment to investors.

In terms of the annual plan, the record of its investor relations activities is as follows:

We will make every effort to develop partners, promote "platform + maker", enhance product and service capabilities with science and technology, give priority to risk control, give priority to retail, and achieve comprehensive market leadership, upgrade business model, promote the development of sand powder technology group, and make every effort to promote overseas layout.

From the perspective of 2023, Dongfang Yuhong's revenue will be 32.823 billion yuan, a year-on-year increase of 5.15%, and the net profit attributable to shareholders of listed companies will be 2.273 billion yuan, a year-on-year increase of 7.16%.

In the whole revenue, the revenue of waterproofing membrane was 13.314 billion yuan, accounting for 40.56%, and the revenue of coating was 9.685 billion yuan, accounting for 29.51%. The two are superimposed together to reach more than 7% of revenue.

In terms of retail projects, retail revenue was 9.287 billion yuan, a year-on-year increase of 28.11%. Its subsidiary, China Democratic Construction Group, had revenue of 8.18 billion yuan, a year-on-year increase of 34.58%.

In fact, according to the combing of Dazai Research, in addition to the above-mentioned companies, since the end of 2023, many companies have released their business goals for 2024 at annual meetings, dealer meetings and other occasions.

Large companies, in particular, are naturally aiming for positive growth, and some companies have even shouted the slogan of double-digit growth.

What the result is, it depends on the team to work hard and fight for it little by little.