1 Billion 500 Million Birds Shop

China Securities Regulatory Commission announced its approval in June 1st

The issuance of no more than 100 million new shares requires the birds to raise funds not more than 1 billion 500 million yuan, and the purpose of raising funds is marketing network construction, which is mainly used to purchase shops.

For a clothing enterprise, it is understandable to raise funds to buy new shops and lay out outlets to achieve extensive development. However, some market participants pointed out that the news birds had repeatedly adjusted their fundraising schemes to buy new stores, and changed many new stores to rents.

Moreover, other observers pointed out that the cash flow reported in 2011 was inconsistent with the income and inconsistent with the age of accounts receivable of the same customer. There was suspicion of false statements.

Confusing accounts of wedding birds

As a matter of fact, as early as 2010, the A stock counterfeiting expert Xia Cao wrote that the gross profit margin of the good bird is not up to its scale, and the company has been suspected of concealing e-commerce losses and associated acquisitions.

Looking at the annual report, which was released not long ago: in April 17th, the annual report released by the bird announced that the company's operating income increased 61% to 2 billion 30 million yuan over the same period last year, and its net profit was 3.68 billion, up 51.66% over the same period last year. The results were quite gratifying, but the increase in revenues and profits did not come from real gold and silver, but the accounts receivable increased year by year.

The accounts receivable increased by 172% to 717 million yuan in 2011, while the operating cash flow dropped to -711 million yuan. The reason given by the company is that it has increased the credit sale ratio to the excellent franchisees, which is dwarfed by 300 million over the same period in 2010.

At this time, the media immediately pointed out that cash flow and income disclosed by the birds were unable to correspond, and the difference between them was around 300 million, perhaps because the internal pactions were not fully offset.

There are also problems in accounts receivable: for different statistics of the same customer, the account amount is the same and the age is different, while the bad debts are based on the age of accounts, which directly corresponds to the inflated profits. The total accounts receivable is about 65 million.

The birds responded quickly with action.

In June 19th, the company issued an updated annual report. It acknowledges that "due to staff negligence, there is a clerical error in the description part of the aged accounts of other accounts receivable in the full text of the annual report". In the new annual report, second, fourth, fifth of the top five accounts receivable were all 1 years old, and the corresponding adjustments were made within 1 years and 1-2 years respectively, and the company's 2011 annual financial statements were compiled correctly. The accounts receivable account for the other accounts receivable has been calculated according to the corrected age. Therefore, this correction does not affect the results of the 2011 financial statements, and has no effect on the company's 2011 annual performance.

In fact, the amount of bad debts mentioned in different years is not the same. Taking the bird for example, it is mentioned in 5% years in 1 years, and 10% in 1-2 years. After that, the provision for bad debts is 20%, 50% and 80% respectively.

According to the second non related parties disclosed, the balance of accounts receivable is 13 million 810 thousand yuan, and the original age is less than one year. After correction, it is 1 million 508 thousand yuan in one year and 12 million 300 thousand yuan in 1-2 years. The difference is very far from the bad debts.

According to the latest corrections announcement, the account of the bad debt is proposed in accordance with the correction of the age of the book, although the account is wrong, but the bad accounts have not been wrong, what is the credibility of the statement? Guo Haiyan, an analyst at CICC, said: "as the company's receivables and inventory increase lead to more reduction preparations, the loss of assets in 2011 increased by 285% to 63 million 870 thousand yuan."

Liu Wei, an analyst with the company, said that "our ratings are based on facts and based on past facts, and rumors in the market are not all credible".

When reporters suggested that although the company's profit growth, but the cash flow has dropped sharply, Liu Wei said: "it can only be said that this company is very typical in the industry, more representative, and others in the rating report is very clear."

In 2012, the quarterly data remained the same: the total business revenue was 5.5 billion, an increase of 57.75%, net profit of about 53 million yuan, an increase of 46.7% over the same period, while the operating cash flow was still -3290.5 million, down 8.9% from the same period last year.

Net profit growth in the first half is expected to be between 30%-60%.

"

The value continued to improve, the effect of extension expansion was better, sales grew faster, and the business of treasure birds continued to pick up, and the profit increased significantly compared with the same period last year. The growth of San Jie Luo brand is in line with expectations, and other brands are developing steadily.

The company said.

In 2011, the average gross profit margin of the company was 58.87%, rising steadily from 51.5% in the 2009 and 54.3% in 2010.

The reporter inquired about the seven wolves (27.87, -0.53, -1.87%) of the same industry. The gross profit margin of the company in 2010 and 2011 was around 42%, while in 2009 it was 38%.

And last year, seven wolves operating income of 2 billion, net profit of 4.1 billion seems to have a larger scale advantage, but cash flow did not appear as a good bird like decline, but to maintain stability.

Old brand

(8.90, -0.15, -1.66%) the gross gross profit margin of clothing in 2011 was 45.41%, and that of Shanshan stock (12.73, -0.26, -2.00%) was only 24.92%.

Why is the gross profit margin of the birds so high? The joint credit rating said: the main business of the company is Western-style clothes (tops and trousers), which are still the most important source of income and profit, accounting for about half of the total income and profit level.

From the point of view of gross margin, gross profit margins of all kinds of products except jacket have increased at different ranges.

Among them, the gross profit margin of the jacket reached 60.90%, an increase of 6.27% over the previous year, and the gross profit margin of western trousers reached 59.09%, an increase of 6.37% over the previous year.

Overall, the company's main business still maintains a high level of profitability.

Open shop "strange circle"

According to the Shenyang Wanguo (micro-blog) side, it is estimated that the new bird will be completed by the end of November.

In fact, the 5 years since the listing of the birds has made two additional issuance and one corporate debt, together with nearly 3 billion of the total fund raising. Except for the company's debts mainly invested in loans and supplementary working capital, the investment projects are basically focused on the marketing network construction, that is, the opening of new stores.

In November 2011, the company's public offering of A shares was conditionally approved. According to the feasibility study report released by the company, the fund-raising fund will be used to build 280 shops, including 180 main shops of good bird brands and 100 main shops of San Tilo brand.

After the completion of the project, the annual sales revenue will reach 983 million yuan, with an average annual profit of 316 million yuan.

In 2012, the company will actively promote the launch of the above additional projects.

The joint credit rating believes that the smooth implementation of the new issuance will further enrich the company's marketing network level, speed up the expansion of the market, improve the company's profitability and sustainable development capability.

In 2011, with the integration and expansion of the company's marketing network, especially with the smooth implementation of the big shop project and the franchisee's "giant plan", the number and quality of the sales outlets of the company were improved and profitability improved significantly.

In 2011, the company consolidated operating income of 2 billion yuan, an increase of 61.23% over the same period, and total profit of 430 million yuan, an increase of 47.46% over the same period last year.

It is worth noting that the rapid expansion has brought about a relatively rapid increase in the cost of the company's related period: in 2011, the company's 3 period cost reached 680 million, a significant increase of 86.46% over the previous year, and the cost income ratio increased from 29.08% to 33.63% last year. During this period, the rapid growth of expenses made the company's profit increase less than the growth rate of revenue.

At the same time, the plan of the bird shop has changed frequently: in 2007, the company issued the prospectus for the first time, and one of the fund-raising investment projects was the chain marketing network construction project.

The total investment of the project is 107 million 940 thousand yuan, of which 102 million 300 thousand yuan is planned for raising funds, and 21 stores are planned to build direct stores in 21 cities. 6 cities are selected to build 6 flagship stores by purchasing shops.

And several Direct stores are currently in the state of rental sublease: among them, a direct store in 6 yedU Road, Wuhou District, Chengdu, has been rented to third parties, and 294 shops in Xunyang Road, Jiujiang have been changed from direct battalion to external rental. 63 shops of 1B, 2B and 3B in Panjin Xinglongtai District West District have been temporarily closed because of the demolition; Baoding unit 9, unit 115 and 116 of the West Road area 1, are converted to rentals; 5 shops on Wudu Road, Zhangye Road, Lanzhou City, temporarily change to rent, and 13 shops in Hefei city are temporarily rented.

Similarly, 6 of the 43 shops that were publicly released in 2009 changed their shop plans and rented out.

The above behavior of the good bird confirms the challenge raised by summer grass: "the company's public fund-raising funds exceed the current net assets, and the main funds are used in the purchase of shops.

At present, the core competitiveness of the garment manufacturing industry is not how many shops you own, but the enterprise's R & D, brand, channels, supply chain management capabilities, such as the United States, the production outsourcing, the main channel is the franchisee, the business mode from traditional manufacturing to supply chain management, unfortunately, the high price system of A share enterprises, so that the United States will also raise funds to invest mainly in the purchase of shops, which is actually going back to the road, from light asset mode to heavy asset mode.