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    Textile And Garment Performance Is Expected To Grow Steadily, And Market Share Will Be Further Concentrated.

    2011/6/16 11:10:00 37

    Steady Growth Of Textile And Apparel Performance

    In the context of higher product prices and better consumption environment, the vast majority

    Spin

    First half of this year

    achievement

    It is expected to maintain good growth momentum.

    Among them,

    Order goods

    Will lock ahead of the results, brand clothing enterprises profit growth this year is more determined.

    However, under the influence of a series of factors, such as high cost and slow export growth, there will be some hidden troubles in the future development of the textile and garment industry. The trend of industry differentiation will be more obvious, and the market share of leading enterprises will be further concentrated.


    Interim results continue to grow


    According to Wind statistics, as of June 15th, 40 listed companies in the Shenyang Wanguo textile and garment industry have announced the interim results for the 2011. Most of the company's profits have maintained a good growth momentum compared with the same period last year.

    Among them, 34 companies pre - pleased, accounting for 85%, 6 companies in the first half of the performance loss or year-on-year decline.

    It is noteworthy that the company's forecast net profit in the medium term increased by more than 50%, reaching 12, accounting for 30%.


    The medium-term performance forecast reflects that this year, in the context of good export and domestic demand, the overall operation environment of the textile and garment industry has improved considerably. The enterprises have expanded the market to bring in income increase, and the product price increase has also improved profitability. In the first quarter, the overall trend of the industry has been extended in the middle of this year.


    In the first half of the year, net profit increased by 600% in the United States, costumes said that in recent years, the rapid upgrading of the company's product design level and brand marketing capability has made the company's product competitiveness continuously enhanced and its reputation improved continuously. The terminal retail management capability of direct and franchisees has been continuously improved, and the number of terminal shops has increased steadily, and the sales revenue has increased considerably.

    The net profit of Changshan shares is up by 100% over the same period last year, mainly due to the increase in product prices and the increase in gross margin.


    In fact, as many textile and garment enterprises are in line with the order production, from the spring and summer ordering situation of some brand clothing enterprises, the growth rate of their orders is good, the growth rate is basically above 30%, which basically locked the performance this year. The industry therefore expects that the average profit growth of the textile and garment industry this year may exceed 40%.


    Pathfinder expects medium term net profit to grow by 50% over the same period last year. The reason for the sharp increase in performance is that the company's main business has developed well and the market scale has been expanding. In the spring and summer of 2011, the product futures booking is in good condition and is expected to be basically implemented effectively.

    Kaiser clothing and seven wolves and other brand clothing enterprises also expect growth in performance due to the good order of orders.


    Hidden worries appear


    Although the overall operation environment of textile and apparel industry is getting better, there are unavoidable worries, such as the rising cost of raw materials and labor, the pressure of exports, the difficulties in the operation of some small and medium-sized enterprises, and the unstable consumption environment of domestic demand.


    Customs data show that in 2011 1-5, China's textile and apparel exports totaled $88 billion 835 million, an increase of 26.55% over the previous year, and the growth rate dropped by 0.84 percentage points compared with 27.39% in the previous 4 months.

    Among them, the export of textiles was US $37 billion 549 million, an increase of 31.52% over the previous year, and exports of clothing and accessories reached US $51 billion 286 million, up 23.14% over the same period last year.


    The industry pointed out that the substantial increase in export volume was mainly due to the increase in the prices of export products, while the number of exports that really reflected the export level did not increase significantly. In the context of the huge foreign trade base, considering the changes in the world economic situation and economic demand, the export growth rate will inevitably decline. The growth rate of textile exports will be reduced to around 15% in 2011, and the increase will be the main driving factor for export growth.


    In terms of cost, although cotton prices continue to weaken in the near future, they still maintain a higher price, and the rise of labor costs is also increasing.

    The net profit in the first half of this year is 50% lower than that in the first half of the year, mainly due to the rapid rise in cost factors such as domestic fabrics, accessories, exchange rates and employment, and the decline in orders for major customers.


    Dongfang securities Shi Hongmei said that under the influence of factors such as high cost of raw materials, labor costs and RMB appreciation, some small and medium-sized textile and garment enterprises that are not competitive will be in a state of shutting down production. Transformation and upgrading of competitiveness will become their only way out. It is predicted that the market share of leading enterprises with real competitive advantages will be further concentrated in the process of the more passive industries suffering from pain. China's textile and garment industry will also move to a new stage, changing from a big country of textile and garment to a strong country.

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