Women'S Shoes Industry Has Plummeted, And The "Domino Effect" Has Hit The Pond.

Just landed on A shares in June.

Commerce and trade (China) Limited by Share Ltd (hereinafter referred to as "Hasen business") is Hasen.

The semi annual report showed that the net profit in the first half of the year was 54 million yuan, down 37.44% from the same period last year, and the operating income was 866 million yuan, down 17.08% compared with the same period last year.

Saturday, 100, Daphne, AOKANG and so on have been listed in Hongkong or the domestic capital market. From the perspective of the whole industry, both revenue and profits have slipped and stores have been reduced.

Hasen explained to the business side that the company has been shut down by some of its poor business prospects due to the decline in the overall performance of the industry, resulting in reduced costs and a corresponding reduction in store promotion, advertising and decoration costs.

Hasen's "decline in the overall performance of the industry" is not alarmist.

Daphne group has issued a profit warning report to investors: as of June 30, 2016, the same store sales fell 11.7% in the first half of 2016, and the number of sales points decreased by 450, including 400 Direct stores and 50 franchised stores.

Daphne attributed the loss in the first half to frequent rainstorms and floods in the mainland, which greatly affected the flow of shops.

But this is not the first performance decline.

Daphne's turnover in 2015 was 8 billion 379 million yuan, compared with 10 billion 355 million yuan in 2014, down 19.1% compared with the same period last year, while gross profit margin dropped to 17.7%.

Since 2015, Daphne group has closed 1277 stores.

BELLE international, which was listed on the Hong Kong stock exchange with Daphne, also released its 2015 financial year results report in early July. During the reporting period, the company's net profit was HK $2 billion 934 million, down 38.41% compared with the same period last year. Meanwhile, BELLE's core business footwear business was down 8.5% in the same store, while the mainland's shoe retail outlets were reduced by 366.

On the other hand, the brand of another A shoe brand reached a profit of 1 billion 642 million yuan on Saturday, 2015, a decrease of 6.6% compared with the same period last year. Net profit attributable to shareholders of listed companies was 22 million 534 thousand and 600 yuan, a decrease of 37.32% compared with the same period last year.

The decline of women's shoes industry has been passed to the manufacturing enterprises upstream of the industrial chain.

Xingye science and technology is a company engaged in the development, production and sale of middle and top grade cow top shoe upper leather. Its customers mainly include nearly 20 famous enterprises such as AOKANG, BELLE, Teenmix, Daphne and so on.

In the 1-6 month of 2016, Xingye technology achieved a business income of 1 billion 26 million yuan, an increase of 8.37% compared with 947 million yuan in the same period last year, and net profit of 9 million 600 thousand yuan, down 32.36% compared with 14 million yuan in the same period last year.

Industry insiders think that because of the weak demand of the downstream footwear market and the difficulty of improving the order price, the overall performance of Xingye technology is difficult to recover in one stroke, and the sharp decline in the technical performance of Xingye indicates that the future of the local footwear listed companies is still to be reversed in the future.