Women'S Clothing Giant Plummeted, Women'S Market Is Facing Heavy Reshuffle

Baoji's net profit plunged 70% in the first half or conservative development strategy

Once

Giant baozi is trapped in the embarrassment of declining annual performance.

A few days ago, Baoji parent International Holdings Limited released the interim report. By the end of June 2015, the world's net profit was 16 million 280 thousand yuan, down 74% compared with the same period last year.

But the industry interpreted the move as the decline of local women's wear brands.

Will face the reshuffle.

The report shows that the volume of international sales in the first half of the year was 850 million yuan, down 12.1% from the same period last year, and the turnover declined for half a year in three consecutive years.

In the first half of the year, retail sales decreased by 11.3% to 780 million yuan from 880 million yuan in the same period last year. The international management believes that the decline is mainly due to the Chinese government's anti luxury policy, which has continued to affect the consumption of luxury goods in China.

At the same time, the medium-term operating profit quadruple down, operating profit in the first half of this year recorded 56 million yuan, down 48.1% compared to the same period.

In the first half of this year, Po international operates 311 stores in mainland China, Hongkong and the United States and Canada, with only 1 new outlets.

According to the analysis, as a former local high-end women's clothing brand giant, Baozi in the past few years from prosperity to decline is mainly constrained by conservative development strategy, unable to keep pace with the development of the electricity supplier and the pfer of consumer habits.

Under the double impact of foreign brands and new Internet brands, Baozi no longer has design advantages, but has always insisted on a high pricing strategy.

Reporters at baozi Tmall official flagship store saw the best selling piece of 1040 yuan.

The total sales volume is 445.

Baoguo international sold Baozhuang brand Ports Asia Holdings (Hong Kong) Limited 20% at the end of May this year.

To Shenzhen Oriental Fuhai Cci Capital Ltd, and may then sell the remaining 80% stake to orient Fuhai.

Kenneth Chan, chief executive of Baoguo international, said the paction was intended to return A shares from H-shares to enhance the market value of baozi.

However, the industry will interpret the move as the decline of the local women's wear brand, and the women's clothing market will face a reshuffle.