Valuation Pressure of Natural Scenic Spots Company before National Day

category:Finance
 Valuation Pressure of Natural Scenic Spots Company before National Day


Earlier, on September 12, the Henan Development and Reform Commission announced on its official website that tickets for scenic spots in Henan were expected to continue to fall. On September 6, the Henan Development and Reform Commission organized a video conference on ticket price reduction in state-owned scenic spots of the whole provinces development and reform system. It asked the price authorities to intensify their efforts. For 4A and 5A scenic spots which are clearly included in the scope of price reduction in Henan Province, it is necessary to launch a number of scenic spots and announce price reduction plans before the eleventh period.

On the same day, Shandong Development and Reform Commission issued the Notice on Integrating and Reducing the Ticket Prices of Qufu Sankong and Other Scenic Spots, saying that from October 1 to September 30, 2022, Shandong will integrate seven scenic spots such as Confucius Temple, Confucius Mansion, Confucius Lin, Yanmiao, Zhou Gongmiao, Shaohaoling and Meng Mulin, and the price will be reduced to 140 yuan. After the price reduction, the three scenic spots of Confucius Temple, Confucius Temple and Confucius Forest retained single tickets. The entrance price of Confucius Temple was 60 yuan, that of Confucius Temple was 80 yuan, and that of Confucius Forest was 10 yuan. The four scenic spots of Yanmiao, Zhou Gongmiao, Shaohaoling and Meng Mulin were opened free of charge.

Prior to that, in Zhejiang Province, the 11th Grand Buddha Scenic Area of Xinchang, the largest Buddha in the south of the Yangtze River with a history of more than 1600 years, will also be reduced. Tickets for Dafo Temple Cultural Tourist Area will be reduced from 100 yuan per person to 80 yuan per person, and the new fare will be implemented from September 30.

Lanzhou Development and Reform Commission has also recently decided to adjust the ticket prices of Yuzhong Qingcheng Ancient Town scenic spot from 35 yuan to 30 yuan; off-season (November 1 to March 31 each year) tickets are free.

Valuation Pressure of Natural Scenic Spot Company

For some traditional scenic spots which are accustomed to the business model of sitting on the ground and enclosing money, the price reduction of admission tickets makes them suffer. According to public data, the revenue of leisure and natural scenic spots increased by 2.5% and 9.0% respectively in the first half of this year, while the net profit of denominated mother decreased by 2.5% and 22.6% respectively. The net profit of Guilin tourism, Lijiang tourism, Huangshan tourism, Zhangjiajie and other well-known scenic spots declined year on year, and it is generally mentioned that the impact of fare cuts.

Pre-festival price reduction tide, although it has not yet affected listed companies, but the relevant listed companies are likely to meet the risk points brought by the second price reduction, institutions rarely allocate this sector. Gold Securities reporter contacted Shanghai securities analysts to speak frankly. The latest Pacific Securities Research also pointed out that from the current trend, the price reduction project may not only be limited to scenic spots tickets, but also extend to the tourism industry chain such as cableways, environmental protection vehicles. It is expected that the performance of Listed Companies in state-owned scenic spots will continue to be under pressure in the second half or even next year.

Gold Securities reporter found that although we firmly believe that the National Day Golden Holiday is coming, residentsenthusiasm for travel is rising, and the tourism consumer market will usher in the third quarter of the peak season, but in the near future, listed companies in natural scenic spots have rarely appeared in the allocation list of brokerage research papers. Based on the growth rate of the industry, the industry prosperity of each sector is tax-free > leisure scenic spot > peoples clothing > Hotel > outbound tourism > Natural Scenic spot. As for listed companies in natural scenic spots, the general view is that the extension growth is weak, ticket prices are lowered and passenger flow growth is weak, and performance and valuation will continue to be under pressure. In the view of the foregoing securities analysts, only traffic improvement, scenic area expansion and state-owned enterprise reform can be expected to save the natural scenic area plate in the future. Taking Emeishan as an example, the company still has more than half of the development space. In addition, traffic improvements have been implemented continuously, Xicheng High-speed Railway has been taken over, and Chengdu-Guizhou High-speed Railway is expected to open at the end of the year, providing incremental passenger flow for next year. As for Huangshan tourism, the Huang-Hangzhou high-speed railway was officially opened at the end of December 2018, expanding the number of visitors from Shanghai and Hangzhou. In the first half of the year, it received 1.62 million people, an increase of 9.6% compared with the same period last year. The company expects to achieve the target of 3.6% increase in passenger reception by 3.5 million in 2019, hedging the pressure of revenue decline brought by the reduction of ticket prices. Source of this article: Author of Gold Securities: Liable Editor of Gold Securities: Wang Honggui_NF7326

Gold Securities reporter found that although we firmly believe that the National Day Golden Holiday is coming, residentsenthusiasm for travel is rising, and the tourism consumer market will usher in the third quarter of the peak season, but in the near future, listed companies in natural scenic spots have rarely appeared in the allocation list of brokerage research papers. Based on the growth rate of the industry, the industry prosperity of each sector is tax-free > leisure scenic spot > peoples clothing > Hotel > outbound tourism > Natural Scenic spot. As for listed companies in natural scenic spots, the general view is that the extension growth is weak, ticket prices are lowered and passenger flow growth is weak, and performance and valuation will continue to be under pressure.

In the view of the foregoing securities analysts, only traffic improvement, scenic area expansion and state-owned enterprise reform can be expected to save the natural scenic area plate in the future. Taking Emeishan as an example, the company still has more than half of the development space. In addition, traffic improvements have been implemented continuously, Xicheng High-speed Railway has been taken over, and Chengdu-Guizhou High-speed Railway is expected to open at the end of the year, providing incremental passenger flow for next year. As for Huangshan tourism, the Huang-Hangzhou high-speed railway was officially opened at the end of December 2018, expanding the number of visitors from Shanghai and Hangzhou. In the first half of the year, it received 1.62 million people, an increase of 9.6% compared with the same period last year. The company expects to achieve the target of 3.6% increase in passenger reception by 3.5 million in 2019, hedging the pressure of revenue decline brought by the reduction of ticket prices.