YOUNGOR: Profits Decline &Nbsp; Share Price Reluctant To Sell Cause Disaster

Yesterday, the A stock semi annual report released the last day, YOUNGOR announced half year results.

During the reporting period, the company's operating profit, gross profit and net profit attributable to shareholders of listed companies decreased by 57.16%, 47.99% and 59% respectively over the same period last year.

Behind the figures, YOUNGOR once prides itself on the "three carriages" of clothing, real estate and equity investment, which has written the six months of capital ups and downs. As the market changes, a data in the earnings report has attracted a lot of attention: in the first half of 2010, the market value of the 16 stocks sold by YOUNGOR shrank by nearly 2 billion, and real estate also encountered Waterloo.

Equity investment was the strongest support for YOUNGOR, the clothing giant.

However, Cheng also Xiao He, defeated Xiao He.

Semi annual report shows that YOUNGOR's first half of this year's securities investment business loss of up to 1 billion 978 million yuan.

The year-on-year decline in performance was mainly due to the reduction in the sale of stocks.

In the first half of last year, the yield of investment stocks was 870 million, compared with 135 million this year.

As of June 30, 2010, YOUNGOR held a total of 16 listed companies' equity (for sale of financial assets).

Among them, the proportion of shares holding extensive shares reached 14.95% of all shares of the company.

However, due to the shock of the A share market in the first half of this year, these shares did not bring YOUNGOR "once brilliant", but a loss of up to 1 billion 978 million yuan.

Of the 16 (for sale) stocks invested by YOUNGOR, only three in the first half of the year brought YOUNGOR float.

Among them, 002036.SZ brings 428 thousand and 500 yuan, and 000980.SZ and 600875.SH bring 5 million 30 thousand yuan and 5 million 240 thousand yuan respectively.

But limited floatation can not change the pattern of overall floating loss.

Take CITIC Securities (600030.SH) as an example, the stock that had brought huge profits to YOUNGOR fell continuously in the first half of this year, which brought a shadow to the annual investment income of the fourth largest shareholder YOUNGOR, and the 156 million shares of CITIC Securities shrank by about 1100000000 yuan in the first half of this year.

The initial loss of shares (600376.SH) also amounted to up to 117 million yuan.

Policy sluice, real estate investment fell 30%

The real estate that once contributed more than 50% of YOUNGOR's profits can reappear brilliantly?

In the real estate developers in Zhejiang, YOUNGOR, who left the road, kept the three driving strategy of clothing, real estate and equity investment, and the proportion of equity investment and real estate sector in listed companies is increasing.

Just like two sides of a coin, the skeptics say that Li Rucheng is not honest, and the admirers refer to it as "China Buffett".

In its base camp, Ningbo, Zhejiang, YOUNGOR has long been a real estate owner.

Because there is no project delivery, YOUNGOR is still a recruits in Hangzhou.

In July 2007, the auction site of the former Hangzhou business district in the central cultural and educational District of Hangzhou was successfully sold. The YOUNGOR property was successfully won by 1 billion 476 million yuan. The floor price was as high as 15712 yuan / square meter, and the refreshing record became the "sky price" plot. YOUNGOR became the focus of the real estate industry at once.

Semi annual report shows that by the national real estate industry regulation and control measures, the first half of YOUNGOR's real estate development and sales revenue fell 29.49%, the net profit in the first half of 190 million, down 26%.

"Real estate projects are mainly concentrated in the second half of the year, which accounts for a large proportion of the whole year. At present, there is no problem of net profit of 1 billion for the whole year."

YOUNGOR Securities Department official said.

The net profit of YOUNGOR's real estate business was 1 billion 190 million last year.

Against this background, YOUNGOR's imperial West Lake has attracted much attention.

At present, the price is 35 thousand ~4 yuan / square meter, with a total construction area of about 120 thousand square meters.

Sales geometry, whether or not to make YOUNGOR real estate turn the corner, still need market and time test.

The clothing industry can not afford to lose, focusing on strategic layout.

In contrast, in the traditional field, "earn a stitch of money", once the marginalized clothing industry in real estate and equity investment has been hit hard, was placed high hopes.

Compared with its industry revenue, reporters found that YOUNGOR's traditional main garment and textile industry still achieved a positive growth in operating revenue in the first half of the year, of which garment business revenue grew 5.55% in the first half year, and textile business income increased by 1.51% over the same period last year.

Of course, operating costs have also risen.

There is another plan for YOUNGOR to upgrade the garment industry, which is the gradient pfer of the industrial base to be completed in the next 35 years.

At present, YOUNGOR has made some moves.

Not long ago, YOUNGOR bought a shirt factory in Hanoi, Vietnam for $about 4000000.

In the future, this Vietnam factory will develop into one of YOUNGOR shirts processing bases.

As the helm of leading domestic garment enterprises, Li Rucheng obviously wants to go a long way.

He stressed that YOUNGOR has been developing together with three main industries, namely, brand clothing, real estate and equity investment, to complement each other in terms of capital and brand resources.

The implication is that the main industry will not give up, but must strengthen the pformation from manufacturing enterprises to brand marketing enterprises.