Quanjude made up losses year on year in the third quarter: the expected profit exceeded 40 million yuan, and the dishes were adjusted significantly

China Quanjude (Group) Co., Ltd. (hereinafter referred to as "Quanjude", 002186) turned losses into profits in the third quarter of this year on a year-on-year basis (compared with the same period of the previous year, the same below).

On October 17, Quanjude released the performance forecast for the first three quarters of 2023, which showed that in the third quarter of this year, the company's net profit attributable to shareholders of listed companies (hereinafter referred to as "net profit") was 40 million to 46 million yuan, compared with a loss of 22.59 million yuan in the same period of 2022.

At the same time, in the first three quarters of 2023, Quanjude's net profit was 68 million yuan to 74 million yuan, compared with 175 million yuan in the same period last year.

As for the changes in performance during the reporting period, Quanjude pointed out in the announcement that, on the one hand, since 2023, China's catering consumption demand has been released significantly, and the catering market has rebounded significantly. In the third quarter, the company seized the opportunity to seize revenue and create efficiency, and carried out the "100 day campaign" with the theme of "increasing reputation, revenue, and efficiency". Both operating revenue and total profit have achieved a significant increase year-on-year.

"During the reporting period, the company adhered to integrity and innovation, focused on the strategic positioning of the leading diversified catering industry group in China, and promoted the completion of various work. The catering sector further consolidated profitability, and achieved remarkable results in dish innovation and adjustment; In the food sector, the food oriented project of catering products has been carried out in an orderly manner, and the star blockbuster products have been continuously created. Both sectors have shown a benign development trend of operation. " Quanjude further pointed out.

With the release of catering consumption market demand, Quanjude, a time-honored brand, has achieved outstanding performance since this year.

Quanjude's 2023 semi annual report shows that in the first half of this year, Quanjude's revenue doubled to 668 million yuan, a year-on-year increase of 104.06%; The net profit was 27.9167 million yuan. Among them, the main catering industry contributed 78.21% of Quanjude's income in the first half of the year, amounting to 522 million yuan. At the same time, the gross profit rate of Quanjude increased significantly in the first half of the year. The semi annual report of 2023 shows that the gross profit rate of Quanjude's catering business in the first half of the year is 13.02%, up 43.16% year on year; The gross profit rate of commodity sales was 37.81%, up 26.26% year on year.

In the past three years, many stores in Quanjude have closed or closed their restaurants due to macro factors, which has had a serious impact on the operation, resulting in six years' earnings not equal to the losses in the past three years.

Public information shows that Quanjude, founded in 1864, has a history of 159 years. The main business of the company is catering service and food processing and sales. Its brands include "Quanjude", "Fangshan", "Fengzeyuan", "Sichuan Hotel", etc. In 2007, Quanjude was listed in Shenzhen Stock Exchange.

In the first half of this year, the number of stores in Quanjude increased slightly. By the end of the first half of the year, Quanjude had opened 104 catering stores in Beijing, Shanghai, Hangzhou, Changchun and other places and overseas, including 91 Quanjude brand stores, 6 Fengzeyuan brand stores, 6 Sichuan hotel brand stores, and 1 Fangshan brand store. By the end of last year, there were 102 stores, including 92 "Quanjude" stores.

In terms of business, Quanjude catering business mainly adopts chain operation mode, including direct stores and franchise stores. Quanjude pointed out in the financial report that the company invested construction funds and working capital in opening direct stores, granted franchise rights to franchise stores, and the company headquarters implemented unified management of direct stores and franchise stores.

In addition to Chinese dinner, Quanjude is also vigorously expanding its group meal business. The food industry of the company has two production bases, Quanjude Fangshan Food Company and Quanjude Sanyuan Jinxing Food Company. At the same time, online and offline promotion has been carried out simultaneously, forming a multi-channel catering business structure with equal emphasis on "on-site food, online dual platform takeaway and non on-site food business".

In terms of equity, Quanjude's 2023 semi annual report shows that as of the end of the reporting period, the company's shareholders holding more than 5% of the shares are only Beijing Capital Tourism Group Co., Ltd., holding 43.67% of the shares.

By the end of October 17, Quanjude had closed at 11.08 yuan/share, up 0.73%.

key word: Quanjude variety of dishes Year on year growth Catering products Net profit