"Four Swordsmen" Performance Growth Is Blocked, The Domestic Women's Shoes Market Is Facing A Shuffle.

After many years of rapid expansion and rapid growth in performance, the 4 women in 2013 shoes The growth of enterprises is in a predicament. Market competition intensified, revenue growth declined significantly or even negative growth, net profits fell sharply in 3 enterprises, slowed down in the opening of new stores, and large-scale closure of inefficient shops... After sporting goods, popular youth leisure and men's wear, women's shoes have become another industry entering into shuffling and adjusting period.

According to the annual results of the 14 months of February 28, 2014, released by BELLE international in May 26th in the domestic market, the total revenue of the group was 43 billion 67 million 200 thousand yuan, up 10.06% from the same period last year. Operating profit was 6 billion 634 million yuan, an increase of 4.12% over the same period last year. Net profit was 5 billion 159 million yuan, a slight increase of about 0.97% over the same period last year, with a gross profit margin of 57.1% and a profit margin of 15.4%.

However, BELLE international footwear business revenue growth has slowed down significantly. The income of its footwear products was 26 billion 392 million 300 thousand yuan during the period, up 5.04% from the 25 billion 125 million 300 thousand yuan at the end of February 2013. Its footwear business and store sales increased by only 0.6%, of which the average transaction price increased by more than 2%, and the sales volume declined slightly. A slight decrease in sales in the same store is mainly due to the weak passenger flow and inadequate consumption intention in department stores.

BELLE international currently mainly includes footwear business and sports. Clothes & Accessories Two big business. Among them, the private brands of footwear business mainly include BELLE, Teenmix, Tata, Staccato, Basto, Jipi, Japa, Millies, Joy &Peace, 15MINS, SKAP and Mirabell, etc. In the 14 months ended February, the proportion of footwear business income in the group's total revenue was 61.3% (including 0.9% of the international trade business share, and the proportion was 64% in 2012).

During the period, when the private brand income continued to increase slightly, the income of agency brand declined significantly. BELLE international footwear own brand revenue was 24 billion 19 million yuan, the growth rate was 6.8%, accounting for 55.7% of the group's total revenue (89.1% in 2012); agency brand income was 2 billion 4 million 100 thousand yuan, down 7.8% compared to the same period last year, accounting for 4.7% of the group's total income (8.9% in 2012).

It is especially important to note that as the core business of BELLE international, its footwear business revenue growth has declined significantly since 2012. Especially during the period, its growth rate dropped sharply from the two digit growth rate in the previous years to 5.04% of the single digit figure, and the growth rate slowed down obviously.

Earnings data show that in 2010~2012, BELLE international total revenue growth was 20%, 22.1%, 13.5%, respectively. Among them, the core footwear business revenue growth was 24.9%, 26.5%, 13.6%.

The other 3 women's shoes listed companies are not optimistic. In addition to the positive growth in Saturday's revenue, Daphne international and the company's revenue, gross profit and net profit have declined to varying degrees, and Saturday's net profit has also declined sharply.

The turnover of Daphne shoes, the "big woman" of the Volkswagen women's shoes, was HK $10 billion 446 million 500 thousand in 2013, a decrease of 0.8% compared with the same period last year. Gross profit was HK $5 billion 838 million 300 thousand, down 6.3% compared to the same period last year. Net profit was HK $329 million 100 thousand, a sharp decline of 65.56%. In fact, in 2012, Daphne international sales continued to grow rapidly. In that year, its turnover increased by 22.8% to HK $10 billion 529 million 100 thousand, gross profit increased by 18.8% to HK $6 billion 228 million 800 thousand, net profit increased 2.4% to HK $955 million 700 thousand.

Among them, its core brand business, Daphne and shoe cabinet, accounted for 90% of total turnover in 2013, accounting for HK $9 billion 561 million 300 thousand, a slight decrease of 0.32% compared with HK $9 billion 591 million 900 thousand in 2012. And due to the decline in sales, coupled with the relatively high base in 2012, the core business in the same store sales in 2013 showed a double-digit decline.

In addition, Daphne international operates high-end brands including private brands and international brands with exclusive distribution rights, such as love, Step Higher, ALDO and Ernest.

In 2013, the turnover of these brands increased by 5.9% from HK $690 million 900 thousand in 2012 to HK $731 million 800 thousand, accounting for 7% of the total turnover of the group, which was unchanged from 2012. However, its mid - and high-end brand portfolio is still in a state of loss because of its business restructuring, and its deficit has narrowed to HK $-8610 from HK $-1.276 billion in 2012.

In the first quarter of 2014, the overall sales situation of Daphne international still did not improve. In the first quarter, Daphne's same store sales growth rate was 9.5%.

In 2013, the total income of another women's shoes company, which was the same as Hong Kong stock, was 2 billion 430 million yuan, a slight decrease of 0.1% compared with the same period last year. Gross profit was 1 billion 507 million 700 thousand yuan, a decrease of 2.1% compared with the same period last year. The operating profit dropped 20.1% to 347 million 700 thousand yuan, and the net profit dropped by 26.2% to 231 million 300 thousand yuan. Gross margin was 62%, down 1.3 percentage points from 63.3% in the same period last year. In the same store sales, the same store sales in 2013 dropped by about 6.9% due to the severe market environment.

A shares the only female shoe listed company on Saturday 2013 revenue grew 17.53%, to 1 billion 844 million yuan, but net profit fell 39.07%, to 34 million 21 thousand and 500 yuan.

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　　 A large number of low efficiency shops are closed, and the speed of opening new stores is obviously slowing down.

Along with the slow growth and negative growth of performance, the expansion speed of 4 women's shoes business stores in 2013 also slowed down significantly.

In 2010~2012, the net increase in the number of self operated retail outlets of BELLE international footwear products in the mainland was 1562, 1958 and 1820 respectively. The net increase in the number of sportswear stores was 793, 1025 and 794 respectively; the total number of net added shops in each year was 2355, 2983 and 2614 respectively; as of the end of each year, the total number of retail outlets was 12139, 15112, and 15112.

However, as of the end of February 2014, the number of self retailing outlets of BELLE international footwear products in mainland China was 13252, with 12134 private brand retail outlets and 1118 self agency retail outlets. The total number of stores was 19177, a net increase of 1613 compared with the end of 2012, and the net number of shops increased significantly.

The total number of stores in Daphne international increased by 966 to 6165 in 2011 and 716 in 2012. But in the second half of 2013, it began a rigorous assessment of the entire store network and closed stores that did not perform well. The core brand in the fourth quarter of 2013 significantly streamlined the store network, making the sales point net decrease of 50 year-round, including 17 closure in the third quarter and 245 in the fourth quarter, while the net sales increased by 767 in 2012. At the end of the year, the number of its core brand retail outlets was 6319, including 5491 Direct stores and 828 franchised stores.

During the period, the number of other brands sold by Daphne international also decreased from 129 to 383 (512 in 2012). By the end of 2013, the number of retail outlets in Daphne international was 6702, a net decrease of 179 over 2012. In the first quarter of 2014, the number of Daphne sales outlets dropped by 53.

In 2013, a total of 156 self operated stores were added, but 36 agency retailers were closed. By the end of 2013, there were 2286 retail outlets, including 1712 self operated retail outlets and 574 retail agencies.

On Saturday, 555 new self operated stores were added in 2012, of which 196 were purchased from Heppe shoes, 359 from new self operated stores, and 2351 by the end of 2012. However, as of the end of 2013, the number of brand chain stores increased by only 12, to 2363, of which 1868 were self owned stores, the number was 1868 in 2013, and 495 in distribution stores, 12 more than in 2012.

In fact, closing down inefficient stores and slowing down the expansion of new stores are the measures that brands can take to bear the brunt of the sluggish sales market. But in the long run, as the retail outlets of every brand are becoming saturated, it is inevitable to start shop slowdown.

BELLE International believes that the group "shoe shop outlets to expand progress basically returned to normal range." BELLE International says that as a retailer, the company has always believed that opening stores needs to maintain a sound and reasonable speed. It is difficult to get effective support in human resources and management resources due to the fast progress of opening stores, resulting in the low quality of new stores, and the original shops will also be affected. Slow progress in opening stores will affect group brand's customer training and weaken long-term competitiveness.

BELLE international also said that in the next two or three years, it is desirable to maintain proper shop opening progress. The opening space mainly comes from: the existing department stores increase the appropriate coverage of competitive brands, the active coverage of brand in shopping mall channels, and the further expansion of new brands.

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　　 Shopping center and electricity supplier double attack, labor costs rise rapidly, lower profit margins.

The bad performance is obviously the result of many negative factors.

BELLE International said that there were four main reasons for the obvious slowdown in group footwear business income: first, the weak growth of same store sales; two, the slow pace of opening stores; three, the termination of individual agency brand business, and the new proxy brand could not be completely replaced in the short term. The four is warm winter in 2013, and relatively cold in spring in 2014. clothing Seasonal products have had a significant impact on sales in the past two quarters.

The deeper reason is that with the gradual deepening of economic restructuring and the slowing down of economic growth, consumer confidence continues to slump and consumption will not be strong. Moreover, the rapid evolution of the channel pattern, the serious diversion of the department store customers, and the fast developing shopping mall and e-commerce channel have not yet become effective sales channels for high quality footwear products. As we all know, the Dalian lock department store has been the main channel for the sales of women's shoes brand in China. At present, shopping centers, e-commerce channels under the line "double attack", sales have been greatly affected.

At the same time, the rising rigidity of labor costs and the plaguing of inventory are also important reasons for engulfing profits.

At the end of February, the cost of sales and distribution expenses of BELLE international was 15 billion 104 million 800 thousand yuan, 14.26% higher than the 13 billion 220 million yuan at the end of February 2013, and 35.1% of the total revenue. Meanwhile, as of the end of February, the average stock turnover of BELLE international footwear products increased to 189 days.

BELLE International said that the first reason is the labor cost of footwear and sports and apparel business, including wages and social security expenditures continue to maintain a rigid rise. In recent years, the wages and social security expenses of grass-roots employees have been rising rapidly, which has become the primary factor in the decline of operating profit margins. The two is the growth of footwear sales in the same store is weak, the output of new stores is relatively low, and the average single store sales output has declined slightly.

Daphne international also said that due to the substantial promotion of over season products, the provision for inventory impairment increased significantly, resulting in the gross profit margin of its core brand in 2013 dropped from 59% to 55.9%, down 3.1 percentage points. In addition, the pressure of staff and rental costs is rising. Under the weak market environment, the negative leverage effect is significant, and the additional impairment loss caused by the closure of poor stores has decreased the operating profit margin of its core brand business from 15.4% in 2012 to 6.4%, a sharp decrease of 9 percentage points. Meanwhile, the number of days of inventory turnover increased from 188 days in 2012 to 198 days, but it has declined compared with the 209 worst days in the first half of 2013.

At the end of 2013 Saturday, the inventory value was 1 billion 181 million 232 thousand and 700 yuan, an increase of 135 million 308 thousand and 500 yuan compared with the beginning of the year. During the period, the company actively through the network sales, sale and other channels to digest inventory, improve inventory structure.

Facing the next industry competition pattern, BELLE international indicated that in the next two years, the overall economic situation is not optimistic, and the retail market is facing the continuing pressure of low consumption sentiment. The channel pattern has changed rapidly, and the traditional retail channels such as street stores and department stores have been diverted, but new channels have not yet been able to make effective use of fashion shoes and clothing brands. Growth slowdown has become a new norm and profitability has been continuously challenged.

Shoes and clothing industry observers Ma Gang pointed out that women's shoes industry competition is more intense, the impact of the electricity supplier is obvious. Take Daphne as an example, its brand "route" is wide, but it is mainly low and medium end products. This part of the product is more pressure than the high-end brand because of the impact of the electricity supplier, and sales decline is inevitable. In addition, after a long period of development, the market development of every enterprise is in a state of saturation.

By comparison, the millennium development plan is more optimistic. In the long run, the Chinese shoe market will continue to flourish, and the high-end ladies' footwear market is expected to grow steadily.