Two "Leisure Giant" Multi Brand Strategy Force

In the first half of the year, the textile and apparel industry as a whole Management In the rapid growth of performance, the overall performance of the advantageous brand enterprises is one of the greatest characteristics. From the point of view of the segmentation industry, apart from the outstanding achievements of the three leading enterprises in the brand home textile industry, the two big tycoons in the leisure industry, the United States and the costumes, have also made brilliant achievements and maintained a rapid growth momentum.

American Apparel: the cost rate is effectively controlled.

Mei Bang dress (002269) in 2011 1-6 months to achieve the main business income of about 3 billion 770 million yuan, an increase of 49% over the same period, the main business gross margin reached 47%, compared with 43% in the same period last year increased 4 percentage points; net profit of about 376 million 360 thousand yuan, compared with the same period last year 40 million 340 thousand yuan increased by 833%.

First half fee rate reduce 5% to 34.7%; ending inventories increased by 340 million yuan to 2 billion 900 million yuan compared with the end of 2010, down from the end of the first quarter. The turnover rate continued to drop to 1.48. The increase in stock was mainly stocked with new products, of which inventory had been digested in 2010. Accounts receivable decreased by 340 million yuan to 600 million yuan compared with the end of 2010, with an annual turnover rate of 10 times, which was basically the same as that at the end of 2010, but there was still a gap compared with 16 in the same period last year. Because of the large capital stock, the operating cash flow of the company is still negative.

The company expects net profit growth of 120%-140% to parent company in 1-9 months (Q3 growth rate of 17%-40% in single quarter).

The increase in profit stems from gross margin raising and cost control.

During the reporting period, the total revenue of the company increased rapidly, and all channels and brands were all growing rapidly. keep A good growth momentum. In addition to the 833% increase in net profit, the effective control of the period cost has a significant effect on the rapid growth of net income, except for the contribution of income and gross profit growth.

During the reporting period, the total cost of sales, management and finance of the company amounted to about 1 billion 300 million yuan, with a cost rate of 34.68%, which was 5.05 percentage points lower than that of 39.73% in the same period last year. During the reporting period, the company's sales expenses and management expenses increased by 23.49% and 27.36% respectively compared with the same period last year. The cost growth rate is much lower than the income and gross profit growth rate. At the same time, the above two expenses share a certain decline in the proportion of income compared with the same period last year.

Guoxin Securities researcher Fang Junping analysis pointed out that in the first half of the year, the operation efficiency of the company joining system increased by more than 20%, and the revenue growth reached 55%. In 2010, the company joined 629 stores and expanded nearly 3400 stores at the end of June 2011. The franchisee matured and the company increased its support for suppliers. The gross profit margin was promoted to jointly promote the revenue growth of the company's affiliate system by 55% to 1 billion 873 million yuan, and the operating profit of the franchise system reached 400 million yuan. In the first half of the year, the company paid 80 million yuan for the supplier's production margin.

The turning point of direct operation system has appeared, with revenue growth of 44% and profit margin of 2% improvement track established. After the listing, the company vigorously expanded the large stores and invested heavily in the MC brand, resulting in 2009-2010 consecutive years of no direct contribution to the MC system. After the second half of 2010, the main stores and MC were re planned. In the first half of 2011, the number of Direct stores increased by about 100 to 800, and the direct operation system achieved 1 billion 897 million yuan on schedule, an increase of 44% over the same period and a profit of 40 million yuan. In the first half of this year, the company paid rent of about 330 million yuan, an increase of 27% over the same period, and the direct selling expense rate steadily declined.

MC series benign development

MCKIDS rapid development

From the brand point of view, this year Meters/bonwe (MB) brand The Division continued to promote the support strategy of franchising channels, and the number of terminal stores in the franchise grew steadily. After ME&CITY adjustment, the brand has maintained a stable and healthy development momentum over the year and new development channels, and realized the rapid development of ME&CITYKIDS brand for children's wear.

CITIC Securities researcher Li Xin and Ju Xinghai analysis pointed out that the company's MB series is becoming more and more complete, and the MC series expects to make profits in 2012. MB brand product development and brand promotion operation gradually mature, of which the introduction of urban series and children's wear series makes the product category richer, and the "advertisement" implantation is also very creative. MC brand is in the improvement of the improvement of the flat efficiency, and is expected to make profits and join in 2012. The resources of the "state purchase" platform integrate online and offline, and it is expected to make profits in 2012.

Huatai Securities researcher Cheng Yuan analysis pointed out that in the first half of the year, the MB brand's product design and brand marketing capabilities continued to improve, and the terminal retail management capability was continuously strengthened, which could be significantly improved than that of the same store. MC brand has entered a healthy development channel, and MCKIDS brand has developed rapidly. This year, the MC brand has a steady growth in revenue and new expansion channels, showing a good momentum of development.

Apparel: two brands go hand in hand.

In the first half of 2011, costumes (002563) achieved operating income of 3 billion 9 million yuan, which was higher than that of last year. Synchronization An increase of 36.64%, a profit of 598 million yuan, an increase of 29.83% over the same period, and a net profit of 437 million 500 thousand yuan attributable to the parent company, an increase of 29.12% over the same period last year.

Among them, the "brand" brand income increased by 32.75% compared with the same period last year, and the gross profit margin of the brand increased by 2.76% compared to the same period last year. The brand income increased by 57.48% compared with the same period last year, and the gross profit margin of the brand decreased by 7.2% compared with the same period last year.

During the reporting period, the company's operating costs increased by 501 million yuan over the previous period, an increase of 35.66%, mainly due to the synchronous growth of the current operating revenue.

The company's sales expenses increased by 132 million yuan over the same period last year, an increase of 56.33%, mainly due to the rapid growth of sales, the continuous expansion of the marketing network and the new subsidiary companies. The cost of advertising, store rentals, decoration costs, staff salaries, depreciation fees and other expenses were increased over the same period last year.

The company's management expenses increased by 35 million 169 thousand and 200 yuan over the same period last year, the growth rate was 53.45%, mainly due to the increase of staff salaries, depreciation fees and related issues such as the issuance and listing of shares.

Two strong brands and strong demand.

In the first half of the year, the brand joined hands with the art stars and launched the "TEE" creative campaign vigorously, which led the "TEE TEE" to become the fashion index of the fashion market this year. Balbala brand's "childhood is not the same" brand concept extends the theme of "playing the same brand". Through TV Promo, Internet interaction, children's Carnival, and so on, with the "cool" and the cinema line, the idea of "let TA play" is brought to 22 cities in China. Barbara brand Influence In May, balbala trademark was recognized by the state trademark administration as "China's well-known trademark".

Huatai Securities researcher Cheng Yuan analysis pointed out that in the first half of the company's performance significantly improved, multi-dimensional upgrading of brand competitiveness, product enrichment and strengthening publicity is the key. In order to meet the higher requirements of product scale with the ever expanding terminal scale, the company enriches product categories by increasing product categories and introducing new product lines, and strengthens the buying system to broaden product design channels, enrich product styles and enhance product merchantability. In the future, the company will also consider outsourcing some product design to further improve the design efficiency.

Moreover, the company's future business strategy is clear, and "product" and "join" are the key words. Judging from the low customer loyalty of the casual wear and children's wear brands, the company believes that the focus of the brand development at this stage is to increase the product richness and improve the customer's repeat purchase rate, while brand promotion and terminal management take the second place in the strategic position.

Yu Chunyan, a Securities researcher, pointed out that "Qi" is now the second largest casual wear brand in China. Balbala, when the domestic children's clothing brand is not yet mature, has quickly become the first brand of children's clothing in China. The two brands went hand in hand in the first half of this year to boost their growth. The "base" is relatively large, with an average annual growth rate of about 30% in the next two years, while the growth potential of "Barbara" is huge. It is estimated that operating income will grow by about 40% a year in the next two years.

Wang Fenghua, a researcher at Hongyuan securities, also pointed out that the two largest clothing company brand The demand is strong and the market prospect is very good.

Channel expansion accelerated more than 700 new stores in the first half year

In terms of channel construction, in the first half of the year, the company made flexible strategies according to the market situation, improved the number and quality of stores through various ways such as extension, integration and expansion, and improved the layout of marketing network. At the same time, through the fund-raising projects, the construction of direct and franchise systems was promoted in an orderly way.

In the first half of the year, Barbara brand opened more than 350 new stores, totaling more than 700, including 50 new outlets, including 21 and 29 Barbara. At the same time, through the transformation of the organization, the company has optimized the organizational system mainly based on commodity chain, supply chain and market chain, increased investment in product design and product development, and expanded product categories and styles. At the same time, the company has intensified the integration of the supply chain system, effectively controlling the rise of supply costs.

Yu Chunyan, a Securities researcher, pointed out that the construction of the two major brand channels of the company has been strengthened, and the extension of the stores has been expanding rapidly. The total number of stores in 2010 reached 6683, and the total number of stores was 4007, of which 3862 were franchises, 145 were direct stores, and 2676 were Barbara stores, of which 2551 were franchise stores and 125 were direct stores. Under the promotion of fund-raising funds, the expansion of the channel is expected to accelerate, and the capacity of channel management is also expected to be improved. It is estimated that 2011 companies will add about 1300 stores, of which 600 will increase by about 600.

Huatai Securities researcher Cheng Yuan analysis pointed out that in the first half of the year, the company's performance basically met expectations, and revenue grew by 36.64%, mainly due to three aspects: brand promotion, channel expansion and price increase. Among them, the expansion of channel expansion results in new stores, expansion of old stores and new stores coming into maturity. In the future, the company believes that franchising channels have greater advantages than direct channel in terms of business motivation, agency costs, acquisition of shop resources, taxation and human resources, so the expansion of the channel will continue to be dominated by franchising in the future.