Apparel Textile Industry Needs A Strong Heart.

The rising tide of consumer escalation in China has booked cross-border e-commerce, cultural tourism and consumer entertainment industry, but at the same time, it has also turned the profits of most domestic brand clothing and ODM manufacturers to the ground.

The same is selling a piece of cloth, ZARA, MK and other foreign fashion brands have become the big winners in the domestic strong consumption ability, and the survival rate of domestic brands can be imagined from the gross margin of some enterprises below 20%.

According to the 75 families

According to the statistics of relevant listed companies, there were 14 enterprises in the first half of this year. There were losses in the textile industry, which accounted for 9 of the basic processing and manufacturing enterprises, with a proportion of 23.7%, 5 of the garment industry, accounting for 16.7%, while the leather and footwear industry companies had not yet suffered losses even though their profits were not high.

The 75 companies whose total market capitalization still amounted to 627 billion 50 million yuan, the total revenue in the first half increased by only 5.1%, while the net profit in the same period has gone up to 7%.

The textile industry's revenue increased by 2.4% in specific industries, but net profit fell by 6.4%, with an average net profit margin of 6.1%.

The impact of the location is less than that of the garment industry directly facing consumers.

By contrast, the apparel industry is indeed worrying. In the first half of this year, the revenue growth rate reached a maximum of 9.1%, but the profit decline was the fastest and the rate of decline was as high as 8.2%. The net profit margin declined by 1.7 percentage points to 8.2%, compared with the same period last year.

The leather shoes industry's profit and earnings both slipped. Fortunately, the rate of profit decline was slower than that of revenue. It was only -0.6%, with a net profit margin of 8.2%, a 0.2 percentage point increase from last year's counter trend.

Billion euro continued to count the top 20 list of revenue and profit growth of the listed companies in the textile and garment industry. The profit growth charts were excluded from the list in order to prevent interference caused by fluctuations in the base size.

As can be seen from the list, clothing enterprises in

The number of growth charts is obviously less than that in the revenue growth charts. It is evident that under fierce competition, the strategy of market share without profit is widely adopted.

But with the popularity of e-commerce and network information, the consumption concept and consumption level of the two or three tier urban population are gradually becoming the first tier cities. This is very negative for domestic manufacturers whose brand is not well preserved.

In the clothing industry of "qualification", the average time of domestic listed companies is only 15.8 years. The average textile industry has a longer duration of 19.6 years. Compared with the brand history of nearly 100 years abroad, the textile industry is indeed a little thin, and the establishment of the brand still needs the national cognition created by the flourishing economy.

Therefore, if we do not consider the performance growth of garment enterprises through pformation and upgrading temporarily, it is not exaggerated that these garment enterprises will be able to face decades of downturn.

Since the growth potential of private brand and profit is not seen in the short term, many enterprises choose to carry out diversified pformation or double main business mode. A small number of enterprises even change the direction of development, and abandon the original main business completely. Among them, there are successes and failures in the case, and then billion euro will take inventory of the pformation and upgrading of the textile and garment industry.