BELLE'S Intention To Pform Retail Fashion Is Obvious.

< p > Belle International Holdings Ltd (hereinafter referred to as BELLE) released the results at the end of 2013, showing a net profit of 4 billion 490 million yuan, an increase of 3.2% over the same period last year, reversing the decline in net profit in the first half of last year.

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< p > reporter noted that BELLE's a target= "_blank" href= "http://www.91se91.com/" > shoes < /a > business growth is not as good as before, and 5.9% revenue growth is further slower than the first half of 6.8%.

In the industry view, in addition to the objective environmental impact, this is also the inevitable problem of adjustment due to adjustment in the pition period.

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< p > BELLE said that it will further develop e-commerce business in the future and open multi brand stores in shopping centers.

In addition, BELLE also said it will enter new markets, including the development of low price popular women's shoes market.

Analysts pointed out that BELLE's intention to pform is obvious, that is, to occupy all market segments, to retail and fashion pformation is a major trend.

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< p > < strong > reverse downward trend of net profit < /strong > < /p >

< p > according to the data released by BELLE, as at the end of 2013, the net profit of BELLE was 4 billion 490 million yuan, an annual increase of 3.2%, exceeding the market expectation.

In the first half of 2013, BELLE's net profit fell by 3.4% to 2 billion 170 million yuan at the end of June.

In the whole year, the trend of net profit decline has been reversed.

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< p > in addition, BELLE's revenue grew 10% to 36 billion 250 million yuan last year, and the gross profit margin increased by 0.9 percentage points to 57.5%.

According to the classification, the income of BELLE footwear business increased by 5.9% to 22 billion 278 million yuan, a further slowdown compared with 6.8% in the first half of last year.

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< p > reporter noted that in the footwear business, private brand revenue increased by 8.1% compared to 55.9%, but its proxy brand and international trade did not increase, and revenue declined by 9% and 28.6% respectively.

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< p > BELLE pointed out that as of the end of 2013, the footwear business growth of the group began to slow down, mainly due to the weak growth of same store sales, the slow down of shop opening and the termination of individual agency brand business.

Footwear sales in the same store grew by only 2% in 2013.

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< p > by the end of 2013, the number of self operated retail outlets in BELLE footwear business was about 13 thousand, a net increase of 1093, an annual increase of 9%.

BELLE said it expects to keep the store open in 2013 in the next two or three years, because many small and medium-sized cities and new communities in the mainland have not yet been effectively covered. Meanwhile, the demand of department stores and shopping centers will exist for a long time.

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< p > it is worth mentioning that BELLE's campaign < a target= "_blank" href= "http://www.91se91.com/" > dress < /a > business performance is relatively strong.

The report showed that the income of sportswear business increased by 18.3% to 13 billion 971 million yuan.

In addition, the same store sales of sportswear increased by about 5.5%, of which the selling price increased by about 2% and sales increased by about 3%.

For the rapid growth of sports apparel business, BELLE said it was brought about by the new acquisition business.

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Last March, BELLE completed its full equity interest in acquiring BigStepLimited with a total of 880 million yuan. Acquired company sells and distributes sports apparel products in China, mainly Nike and Adidas, with hundreds of self owned stores. P

The acquisition increased BELLE's sports apparel stores by more than 500.

Last year, BELLE's sports apparel stores increased by 420, but the number of stores still declined despite the takeover.

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< p > CICC's latest report points out that BELLE's performance shows some signs of stability. Last year's profit growth slowed down, mainly due to increased spending and restructuring of BigStep.

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< p > < strong > pformation to retail fashion is trend < /strong > < /p >.

Less than P, compared with the growth of many growth, BELLE's operating interest rate decline and the increase in inventories are very eye-catching.

The report shows that BELLE's overall operating interest rate narrowed by 0.8 percentage points to 15.6%, while the profit margin of footwear business segment performance was 22.9%, down from 2012.

BELLE said that the decline in operating interest rates was due to an increase in labor costs. On the other hand, it was due to the lower growth in the same store sales and the relatively low output of new stores, resulting in a slight decrease in the average single store sales.

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In addition to P, BELLE's stock is still rising substantially.

As of December 31, 2013, the company's inventory balance was 7 billion 934 million yuan, an increase of 12.8% over the same period last year.

BELLE explained that the main reason is that sports apparel business stocks increased slightly faster.

The main contradiction of China's sportswear market's weakness is not the stock cycle that the capital market is more concerned about, but the business mode of the dealer's profitability and business continuity.

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< p > in the industry view, the footwear industry's competitive situation is more intense, and the impact from the electricity supplier is obvious.

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< p > in fact, not only is the electricity supplier, but the rise of shopping centers is also a great blow to traditional retailers.

BELLE also admitted that although shopping centers and e-commerce did not effectively replace department stores, customer diversion had had a direct impact on the group's retail business.

The Future Ltd will develop e-commerce business, and also set up multi brand stores in the shopping center.

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"P > BELLE chief executive Sheng Bai Jiao pointed out that the rise of electricity providers had to have an impact on offline sales.

The slowdown in BELLE's overall sales growth is not a cyclical one, but a structural one. The biggest test now is how to adapt and develop new channels.

Therefore, Future Ltd will strive to build its own online platform, hoping to establish a comprehensive support system for online and offline integration.

At the same time, BELLE does not rule out the development of new brands on the Internet platform.

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< p > due to the weakness of traditional business growth, BELLE also said that it would enter new markets, such as developing a low price mass female shoe market, introducing quality brands into the high-end fashion shoes and high-end casual shoes market, and entering the fashion women's clothing market with the Japanese bartender project acquired last year as the breakthrough point.

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Cui Hongbo, founder and chief executive officer of Shanghai Zheng Jian Brand Management Consultants Ltd., told the daily economic news reporter that BELLE has been adjusting its business model at present, P.

"Last year, there were more stores and more quickly."

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< p > Cui Hongbo said that from wholesale to retail, BELLE's pformation intention has been very obvious: to occupy all the market segments, to pform to retail and fashion is a major trend. "But a target=" _blank "href=" http://www.91se91.com/ "> clothing < /a > and shoes mode are different, BELLE will face some challenges.

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