Ningbo Shanshan Went To Hong Kong To Be Listed On The Hong Kong Stock Exchange And Agreed To Net Profit Of 49 Million 370 Thousand In 2017.

Ningbo Shanshan Limited by Share Ltd (hereinafter referred to as "Shanshan stock") issued a notice today (June 10th) at night. The brand of Shanshan, a controlling subsidiary, was informed by its sponsor, Dongxing securities. Dongxing Securities yesterday received the letter from Hongkong stock exchange, in principle, agreed with the application of the public offering of H shares issued by the Shanshan brand and the listing on the main board of the Hongkong stock exchange.

Before the listing of the Chinese fir brand, the final approval of the Hongkong stock exchange is still needed.

Public information shows that the brand of Shanshan is currently running four men's clothing brands including FIRS, SHANSHAN, MARCOAZZALI and LUBIAM.

The brand of Shanshan said that in view of the declining sales performance of MARCOAZZALI and LUBIAM brand products, "to redistribute our resources strategically to develop our two core brands (i.e. FIRS and SHANSHAN brand"), Shanshan brand decided to sell the above two brands to the third party.

This is also a result of the restructuring of the Shanshan Group after its business restructuring in 2016.

Business contracted strategically.

Shanshan Group is the largest shareholder of Ningbo Shanshan Limited by Share Ltd, the parent company of Shanshan brand.

First textile network reporter noted that in early July 2017, the Shanshan brand went to Hong Kong to be listed and accepted by the SFC. The registered capital of H shares is RMB 100 million yuan. Shanshan brand is the only business platform for Shanshan Limited by Share Ltd to run its brand clothing business. Application for listing on the main board of the Hongkong stock exchange can maximize the subjective initiative of its subsidiaries.

In 2015, the net profit of the company's clothing business was 52 million 220 thousand yuan, and the impact of stripping garment business on the company's management and performance was relatively small.

First textile network reporter learned here that Shanshan stock holding company, Shanshan brand operation Limited by Share Ltd is the only clothing management platform of the company, and has become a leading professional clothing brand in the country.

The company's clothing business started in 1989, and now owns many famous brands such as FIRS, SHANSHAN, MARCOAZZALI, LUBIAM and so on.

However, under the development strategy of the company focusing on new energy business, the company's apparel business is gradually being stripped.

In January 2018, the company once again submitted to the SFC the application of Shanshan brand operation Limited by Share Ltd H-share listing, and continued to implement the divestiture plan.

As the first listed garment company in China, the clothing business has been the main business of Shanshan. The original brand of Shanshan is stable from both cash flow and profit contribution. Multi brand business and personalized consumption are the trend of the garment industry, and clothing, food and shelter are all necessities of life. Therefore, Shanshan believes that the development of multi brand business has a bright future. At the same time, in the face of the changes in the clothing industry's consumption and the impact of online sales, Shanshan also actively adjusts the existing sales mode, so as to adapt to market changes and development.

As for the constant adjustment of clothing business, Shanshan people also said: "this is the company's initiative, and it is hoped to contribute to the long-term development of the company's clothing business."

Insiders said that the clothing business of Shanshan stock has been in the adjustment period since 2012, and the profit situation still needs to reverse at the bottom.

With the continuous adjustment of clothing business of Shanshan, it is expected that the profitability of its clothing business will be improved in the future.

The first textile net reporter learned from the announcement that the subsidiary company of Shan Shan brand includes fashion clothes, Jeeich and Lou Piang M. Its business scope is brand operation management, brand planning, clothing, knitwear, leather products, labor protection products manufacturing, processing, wholesale and retail.

The business scope of fashion clothing is "clothing brand management, planning, clothing, knitwear, leather products manufacturing (restricted branch business), wholesale, self import or acting for import and export of goods and technologies, except for goods and technologies restricted by the state or prohibiting import and export (subject to approval by relevant departments after approval according to law").

Jeeich's business scope is "clothing, clothing,"

The manufacture, processing and sale of clothing, hats, knitted goods, textiles, leather products and garment accessories; wholesale of garment accessories, textile materials and leather; brand management; business management consulting, business information consulting, and enterprise marketing planning services (approved by law according to the approval of relevant departments). "

Lou Piang M's business scope is "high-end clothing".

The manufacture and processing of shoes and hats and leather products shall be carried out according to the approved items according to law and approved by the relevant departments. "

According to the financial report, in 2017, Shanshan stock company realized business income of 8 billion 270 million yuan, an increase of 51.07% over the same period last year, and realized a net profit of 896 million yuan, an increase of 171.42% compared with the same period last year. Net profit after deducting non recurring gains and losses was 441 million yuan, an increase of 72.07% over the same period last year.

Among them, the new energy business achieved 7 billion 489 million yuan, accounting for 90.5% of the total business revenue; the apparel brand operation business was 666 million yuan, accounting for 8.1% of the total revenue of the company, and the net profit attributable to 49 million 374 thousand and 800 yuan, accounting for 5.5%.