Parkson's Profit Fell Sharply Last Year.

The Malaysia department store Parkson business group, which has the reputation of the first foreign capital, has been caught up in the storm recently.

Following the announcement of the closure of the East Fourth Ring store in Beijing, the only store in Tianjin will be closed in March 31, 2015.

Public information shows that since 2012, Parkson has closed at least 8 stores.

Behind the big shut down shop,

The performance is also not satisfactory. The three consecutive years of declining performance and declining profits have forced the once glorious department store to choose a pformation.

As in September 2012, Parkson went on its own.

In 2015, Parkson announced that it had entered into a joint venture with the Malaysia catering brand AUM through the wholly-owned Affiliated Companies Baisheng Commercial Co., Ltd. to set up a joint venture contract to develop catering business in China.

However, all this did not seem to change the downward trend of Parkson's profit growth. According to the 2014 annual report released by Parkson's latest business, as of December 31, 2014, the total sales revenue of the company dropped by 4.23% to 16 billion 742 million yuan.

The profits attributable to the parent company fell by 33.5% to 235 million yuan.

Insiders said in an interview with reporters that in addition to external environmental reasons, Parkson group did not adapt to changes in the market and environment in time to make adjustments.

No innovation or the root cause of frequent withdrawal.

Parkson's fate seems impossible to avoid. Following the closure of Beijing East Fourth Ring store, it is reported that the only Parkson store in Tianjin will close in March 31, 2015.

It is understood that Tianjin Baisheng Commercial Development Co., Ltd. requires all businesses to complete the goods exit from April 1st to 10.

According to incomplete statistics of public information, since 2012, Parkson has closed many stores: in July 2012, Shanghai Hongqiao store and Guiyang Phoenix Phoenix store closed, 2013 June Guiyang fresh flower shop closed, 2013 2013 Shijiazhuang shop closed, and even decided to close four stores that were not well listed, and then it went to Tianjin shop.

Cities in Shanghai, Guiyang, Shijiazhuang, Ji'nan, Changzhou, Beijing and Tianjin can be seen in one or two or three cities.

Such a move can even be interpreted as a full retreat for the well-known retail chain in Malaysia.

Another source said that the small and medium-sized department stores under the Parkson's unprofitable 30 thousand square meters would be the key targets to be turned off.

Insiders said that the biggest reason for Parkson's frequent closings is not to make money. According to the 2013 annual report released by Parkson commercial group, Parkson had a slight increase in sales except for other main business indicators, and net profit plunged 58.4% to 354 million yuan, which is the worst level in the 9 years of public listing.

In addition, according to the 2014 annual report released by Parkson commerce, as of December 31, 2014, the total sales income of the company decreased by 4.23% to 16 billion 742 million yuan.

The profits attributable to the parent company fell by 33.5% to 235 million yuan.

According to public information, the Parkson Retail Group Ltd was incorporated in the Cayman Islands in August 3, 2005 as a limited company. Its main business location is the 54 floor of Hehe center, 183 Queen's Road East, Hongkong. The main business of the company and its Affiliated Companies is to operate and manage department store networks in People's Republic of China. The company is a company registered in Malaysia and listed on the Malaysia Stock Exchange: Parkson Holdings Berhad.