DEHUA TB(002043)2022-11-21 15:48Group 1: Company Overview and Business Strategy - The company focuses on decorative materials as its main business, with customized home furnishing as a supplementary strategy, achieving growth in both areas this year [5] - The establishment of branch operations has significantly improved marketing and after-sales service, leading to increased sales across various regions [5] - The company has implemented a multi-channel sales strategy for board materials, responding to market trends towards high-quality, eco-friendly custom furniture [6] Group 2: Sales and Product Development - The optimization of product structure has led to increased sales of high-margin products, with stable profit margins despite rising raw material costs [6] - The rapid development of customized retail and project business has been supported by the enhancement of store images and the company's strong influence in the board materials market [6] - The company plans to upgrade traditional ecological boards to higher-spec custom furniture boards and enhance design and processing techniques [6] Group 3: Market Challenges and Responses - The company faces challenges in the easy-installation business due to market diversification, leading to a strategic adjustment in its goals [7] - The demand for board materials is expected to grow, despite pressures from rising raw material costs and environmental regulations [7] - The company aims to stabilize its core customer base while developing high-quality clients to ensure steady growth [7] Group 4: Financial Outlook and Shareholder Returns - The company has a low risk of bad debts, with a decreasing trend in accounts receivable [7] - A three-year shareholder return plan has been established, committing to distribute at least 50% of the annual distributable profits in cash [8] - The company anticipates a growth rate of 2%-3% in the artificial board industry for 2021, with significant market opportunities available [7]