Textile And Apparel: Lack Of Highlights In Short Term Industries

The Statistics Bureau released PPI in September 2012, down 3.6%, a 35 month low.

Entering the four quarter, focusing on overseas orders and autumn and winter

Sales situation.

Hongkong, France and Germany grew well, and Q2 growth in the UK and Mainland China slowed.

1.

The clothing sector is superior to that of the Shanghai textile industry in the past week, and the Shanghai Composite Index rose 2.44%. The Shanghai Composite Index rose 0.9%. Among them, the card slave Road (002656) rose (9.11%), the seven wolves (4.33%), AOKANG International (603001) (4.35%), rzi (002612) (3.62%), search special (002503) (3.24%) and fuanna (3.24%), and other gainers, except for the textile companies except Lutai, the other performances were dull.

2, the macro and industry data are still downward. Due to insufficient demand, the domestic textile enterprises' efficiency has declined significantly. The profit margin of textile industry has dropped by about 12% compared with the same period last year, and the deficit of loss making enterprises has increased by more than 100% over the same period of 1-8.

In the weak international market, domestic demand for textile products is also decreasing. 1-8 months above the National Garment Enterprises above designated size.

The growth rate of retail sales of cap and needle textiles decreased by 6.5 percentage points compared with the same period last year.

In the Hongkong market, the average per capita consumption of mainland tourists dropped from 7000 to 5000 yuan during the golden week. The overall sales of luxury goods is expected to drop by 10%, which reflects the decline of consumption momentum from the side.

The Bureau of Statistics announced that in September 2012, PPI fell 3.6%, a 35 month low, a decrease of 0.1%, while the purchasing price of industrial producers decreased by 4.1% compared with the same period last year, rising by 0.1%.

In the four quarter, we focused on overseas orders and sales of autumn and winter clothing.

3, clothing prices have fallen further, we expect to enter the autumn and winter.

The price is obviously down. Besides demand factors, the price of cotton can not be ignored as an important raw material of clothing.

Cotton price fluctuation usually takes about half a year to the retail terminal. Last year, cotton price once reached 30000 yuan / ton, which stimulated the average price of autumn winter clothing increased by 20% last year. After August last year, cotton price fluctuated below 20000 yuan / ton. The price of winter clothing will be affected by this factor.

4, the international fast selling brand channel has a strong desire to sink, and the most difficult period of domestic brands seems to be yet to come.

Fast Retailing Co. benefited from the expansion of stores in the US and Asia. In the fiscal year ended August, sales and profits grew steadily, with net profit reaching 71 billion 650 million yen, up 32% from 54 billion 350 million yen in the previous year, but lower than 79 billion, and expected to grow 18% in the next fiscal year.

The company will accelerate its opening up in China in the future, focusing on the two or three line market, and the long-term planning will add more than 1000 large shops in 10 years.

5, the two quarter of luxury sales growth declined, Burberry announced the first half of 2012/13 earnings, revenue of 883 million pounds, an increase of 8%, the same store sales increased 3% (Q1 increased 6%, Q2 1%).

The slowdown in the two quarter was mainly due to lower average expenditure on high-end consumption and strong performance in men's goods and accessories.

Hongkong, France and Germany grew well, and Q2 growth in the UK and Mainland China slowed.

Investment suggestion: Recently, media questioned American state.

(002269) inventory digestion, affecting its share price fell by 6.23% last week, suggests short-term avoidance.

In the four quarter, we will focus on overseas orders and the sales of autumn and winter products. The continuous adjustment of brand clothing and home textiles can bring the opportunity of "falling out" for the next stage of layout, and quality companies deserve long-term attention.