Helen Piano: art education platform build molding
Art training project quick landing: company announcements and dealers cooperation in the establishment of education culture company, following the September announced the establishment of 3, November announced the establishment of 5, this adds 2, the total number of education companies reached 10, located in Kunming, Chengdu, Nanning, Fujian, Quanzhou, Ningbo, Shanghai, Shenzhen, 2015 commitment to achieve a net profit amounted to 34 million 100 thousand yuan, the company achieved equity capital respectively accounted for 10-20%, total capital of 14 million 310 thousand yuan, 3 times the valuation of the Target Corp in accordance with the measurement of PE net profit in 2015.
The promise of profits and dividends: the signing of "basic book" the intention of cooperation in the early stage, the market for the company to make further investigation for the art training market, to complete the registration formalities in the newly established company, signed the "investment agreement" in the specific content, refinement of the investment scheme, operation management, performance commitments, valuation adjustment the mechanism and the terms of the repurchase, on the 2016 and 2017 promised profits totaled 41 million 680 thousand yuan (with the increase of 50 million 240 thousand yuan (22.2%), with the increase of 20.5%); at the same time promised to give investors the capital funds of not less than 15% of the cash dividend.
Build molding art education platform: we think that the progress in the transformation of art education business soon, on the one hand reflects the management strategic transformation determination and implementation ability, on the other hand also reflects the enthusiasm of the company as a musical instrument art education platform listed the scarcity and partners. Companies involved in equity related companies aimed at project nurturing, and further improve the proportion of shareholding, we expect the company in 2015 throughout the training program is expected to continue rapid progress.
Earnings forecasts and investment recommendations: 2014-2016 years the company expects revenue growth of 3.2%, 16.8%, 14.4%; -15.0%, 39.7%, net profit growth of 29.1%; earnings per share of 0.20 yuan, 0.29 yuan, 0.37 yuan, to maintain overweight rating and “ -A” target price of 25 yuan, the extension line on the line, optimistic about the company subsequent art education business and development prospects.
Risk warning: art, education, training, market risk and lack of company experience.