Ordinary People (603883) Company Announcement Comments: Launching Stock Incentive Plan to Work Together to Help the Company’s Development

Ordinary People (603883) Company Announcement Comments: Launching Stock Incentive Plan to Work Together to Help the Company’s Development
Event: On the evening of March 11, the company issued an additional stock incentive plan, and plans to award 181 incentive targets.820,000 shares of the budget, of which 165 were awarded for the first time.The price of 440,000 shares is 30.12 yuan / share (50% of the previous day’s average transaction price), unlocked in three phases, linked to the company’s overall performance and personal performance assessment. Opinions This incentive plan is conducive to enhancing the enthusiasm of the core staff and forming long-term benefits.A total of 208 incentive objects were involved in the first phase, including: 7 executives + 201 core technical / business personnel, for a total of 165.440,000 shares (accounting for 0 of the share capital year).58%) and expected 16.380,000 shares (accounting for a cumulative share capital of 0.06%).This is 深圳桑拿网 the first time that the company has expanded its stock incentive plan since its listing. It further expands the coverage of motivated employees and is conducive to motivating those who join the company team after the stimulus.We believe that this incentive is conducive to further improve the corporate governance structure, stimulate the enthusiasm of the core business backbone, and promote the sustainable development of the company. The evaluation of the incentive plan takes into account the company and the individual as a whole, and the plan is reasonable.The first and approved stocks are unlocked in three phases. The first to third phases are unlocked by 40%, 30%, and 30% respectively. The set assessment targets are divided into company size and individual size.Basically, it is required that the net profit attributable to mothers will increase by ≥20%, 45%, and 70% in 2019-21 (that is, the extended growth rate + 20% / +20.8% / + 17.2%); personal annual performance evaluation completion rate ≥ 90%.In our opinion, the plan considers both the whole and the individual, and the plan is reasonable. Stock incentive costs are generally controllable.According to the announcement, it is estimated that the first stock incentive expenses of this time will be 55.51 million yuan, and the amortization expenses of 36 natural months from the actual grant date will be 3608.15, 1387.75, 555.100,000 yuan.Assuming that the grant is completed by the end of March 2019, we expect that the amortization expense in 2019-20 will account for 4% of the net profit increase for the year.9%, 2.7%, the impact of the incentive costs on performance is generally controllable. Profit forecast and investment advice: We expect the company’s net profit to be 4 in 2018-20.35, 5.51, 7.1.6 billion yuan, corresponding to EPS 1.53,1.93, 2.51 yuan.For reference, the PE of the comparable company is 31 times in 2019. Because the people are the only private retail pharmacy leader in the country, we give the company 36-38 times of PE in 2019, a reasonable value range of 69.62-73.49 yuan.Corresponds to PS 1 in 2019.66-1.75 times, the reference company’s 2019 PS is 2.0 times, at a reasonable level, giving a “merger big city” rating risk reminder: there is uncertainty in the incentive plan, the expansion of integration does not meet the expected risk, and the risk of price limit for medical insurance drugs.