Jian Sheng Group's Revenue In The First Half Of 297 Million

According to the latest data, in the past year of 2016, the revenue of Jonsson group reached 297 million, and the second half of the year is expected to be improved.

Jen Sheng group released its semi annual report in 2016, which opened the curtain for the 82 textile and apparel listed companies in Shanghai and Shenzhen stock markets.

Reporters noted that with "cotton socks, stockings,"

The half year report released by Jen Sheng group, the main category of clothing brand names, showed that in 2016 1-6, JSG achieved a business income of 297 million yuan, a decrease of 19.39% compared with the same period last year, a net profit of 75 million yuan attributable to shareholders of listed companies, an increase of 26.58% compared with the same period last year, and a net asset of 1 billion 796 million yuan attributable to shareholders of listed companies, up 131.95% compared with the same period last year. During the reporting period, the total assets of Jian Sheng group reached 2 billion 137 million yuan, up 78.34% over the same period last year.

For the 19.39% decline in operating income, Jian Sheng group explained that the company's export orders were mainly pferred by the company, and sales declined. The operating cost decreased by 17.73% compared with the previous year, mainly due to the corresponding decline in the cost of sales decline. Sales expenses increased by 24.87% over the same period last year. The main reason is that the company actively promotes the development of self-service brands, and vigorously develops the domestic market. The management fees increase by 23.84% over the same period last year. The first is the preparatory work of the SAP system on the line, the related expenses increase, and two is the company's investment in new product development.

Also said that the first half of the company's business situation is not as expected, mainly due to the pfer of individual customers' orders, while the domestic market independent brand development is still in its infancy, resulting in a decline in sales.

In addition, during the reporting period, the company invested heavily in the construction of information system and the development of domestic market, and the net profit after deducting non operating nature also declined.

At present, the company has actively negotiated with the above customers. Orders will return in the second half of the year. In addition, the company has also developed new customers such as H&M and GILDAN (UA). It is expected that sales will improve in the second half of this year.

Jian Sheng group said that in the first half of the year, the company actively explored the domestic market and enhanced the brand influence of the company in the domestic market. In the first half of this year, the company has opened 4 offline stores in Zhejiang Province, and plans to add 50 outlets next year in 2016.

In addition to stabilizing the high-end foreign trade customers, the company uses the "parity strategy" to develop the low and middle end customer market, making full use of the advantages of scale advantage, capital advantage and overseas factory layout to further expand the market and actively develop new customers.

During the reporting period, the company's individual customer orders were pferred, resulting in a decline in sales. At present, the company has actively negotiated with the customer. Orders will return in the second half of the year. In addition, the company has developed H&M, GILDAN (UA) and other new customers, laying a solid foundation for consolidating and expanding the export market.

Wang Peng, a researcher at Zhejiang Merchants Securities, said that on the one hand, Jian Sheng's family, through the application of big data, information technology, Internet of things technology and robot equipment, combined with rich experience in production management of socks industry, can achieve the upgrading of technological process, efficiency and management of enterprises, and establish a product supply chain base with "smart factory" as the core, so as to ensure production quality, high quality and low price, and supply timely and on-demand.

On the other hand, the company intends to build a O2O model of "entity store + Internet", and build a close fitting clothing retail brand with the core of "healthy home" as the core to realize the successful pformation from manufacturing to "intelligent manufacturing + brand operation +O2O retail".

Wang Peng believes that the main driving factors of the performance of JSG include three aspects: first, the release of domestic and Vietnamese capacity, which will break the bottleneck of production capacity and increase the performance; 2) increase investment in Vietnam, which is expected to reduce the cost of products and enhance the competitiveness of products by using the labor cost of Vietnam and the tariff advantages under TPP; and 3) the company will further bring new profit growth points by expanding its category to stockings and underwear.

It also indicated that the accelerated development of the urbanization process will become the main driving force for the development of China's socks industry, including the Jian Sheng group. With the continuous development of China's economy, the trend of increasing the quality of cotton socks consumption, the quality of fashion and functionality, and the increase of consumption grades will gradually increase, and the consumption proportion of medium and high grade cotton socks will continue to improve.