COACH: Sales In China Continue To Fall.

COACH has made many efforts to reclaim its performance, but it is still difficult to rewrite its declining performance. COACH group yesterday released its first quarter 2016 fiscal year ending September 26, 2015. Among them, COACH brand sales decreased by 9% in the first quarter compared with the same period last year. By region, sales volume in North America is still declining, but the decline is narrowing. Sales growth in China has continued to decline due to the impact of Hong Kong and Macao.

COACH's life has not been easy recently. Earlier, COACH was closed in flagship store in central Hongkong, becoming the first brand to evacuate the core retail business in Hongkong market, which aroused great concern in the industry.

At the same time, COACH's earnings in the 2015 fiscal year ended June 27th showed that the net income of the brand was US $402 million, a decrease of 48.5% over the previous year's US $781 million. The growth rate of sales in fiscal year 2015 was 9%, the first digit growth in China's fiscal year sales.

COACH has come out with various changes in recent days. COACH Group expects COACH brand to be calculated at a constant exchange rate and based on 52 weeks, and is expected to gain an increase in sales volume in the 2016 fiscal year.

Earnings report shows that COACH brand in the first quarter Net sales It fell 9% to $943 million over the same period last year. According to the constant sales rate, the total sales in the first quarter decreased by 5% compared with the same period last year, narrowing compared with the same period last year.

By contrast, sales in the North American market fell by 16% to $691 million in the fourth quarter of last fiscal year. According to the financial report, the sales volume of COACH brand in North America decreased by 11% from US $634 million last year to US $561 million, and by 10% at the constant exchange rate. Same store sales fell 9.5% year-on-year, including sales of the same store decreased by about 1.5% due to the reduction of official online sale activities.

However, COACH International sales of brands increased. Financial reports show that Brand international Sales fell 3% to $369 million from $381 million in the same period last year. According to constant exchange rate, international sales increased by 6% over the same period last year. In terms of dollar terms, sales in China increased by 2% over the same period last year, up 3% from a year earlier.

Among them, sales in mainland China were double-digit growth, while same store sales also achieved positive growth, but some business growth was offset by continued weak sales in Hongkong and Macao.