Disu Fashion (603587): 2019Q3 company performance continues to maintain high growth

Disu Fashion (603587): 2019Q3 company performance continues to maintain high growth

Core point of view: The company’s main business maintained high growth in the first three quarters. The company’s transitional revenue in the first three quarters17.

50,000 yuan, an increase of 15 in ten years.

90%, net profit attributable to mother 4.

80 ppm, a six-year increase of 6.

65%, net profit after deduction 4

33 ppm, an increase of 21 in ten years.


Single-quarter revenue in Q3 2019 5.

0.94 million yuan, an increase of 18 in ten years.

78%, net profit attributable to mother 1.

4 billion US dollars, an annual increase of 23.

01%, single quarter profit growth faster than revenue growth is mainly due to the increase in gross profit margin2.

19 singles to 74.


  The growth trend of each brand is upward, and the same-store data of offline channels is good. According to the operating data of the first three quarters, by brand, DAZZLE revenue was 9.

77 ppm, an increase of 13 in ten years.

05%, diamond fan camp 1.

32 ppm, a ten-year increase of 8.

78%, d’zzit revenue was 5.

84 ppm, an increase of 22 in ten years.

83%, RAZZLE revenue is 7.49 北京桑拿洗浴保健 million yuan, an annual increase of 41.


By channel, online 2.

15 yuan, an annual increase of 28.

75%, direct sales 7.

63 ppm, an increase of 17 in ten years.

92%, 366 stores, 12 net clearance, the growth of direct-operable stores gradually comes from the same store growth, distribution7.

23 ppm, an increase of 10 in ten years.

76%, 702 stores, 18 net openings.

  Operating indicators continued to improve, and cash flow was good. The inventory turnover and accounts receivable turnover days of the first three quarters were 182/8.

71 days, at least 19/0 reduction.

06 days, net cash flow from operating activities5.

33 ppm, an increase of 51 in ten years.


  Earnings forecast and investment rating In the fourth quarter, the number of stores is expected to improve. The company ‘s retail training and 北京夜生活 incentive programs have achieved significant results. The same store continues to improve. EPS is expected to be 1 in 2019-2021.



14 yuan / share, the current price corresponds to a 19-year PE valuation of 14 times, comparable to the company’s 19-year average PE valuation of 15 times, giving it a reasonable PE valuation of 15 times in 19, a reasonable value of 24.9 yuan / share, maintaining the “overweight” rating.

  Risks indicate the risks of increasing market competition; failure to respond to trend risks; risk of terminal retail recession