Performance Improvement, Closing Speed Slowed Down 9% Of The Net Profit Growth In The First Half Of 17.1%

Insiders believe that business

Since the end of the 2016 year recovery, the overall strength has been improved, and the closing of inefficient stores has come to an end. Stock pressure has eased.

Especially since the two quarter of 2018, China's overall social consumption growth has slowed down. From the China Daily report, the growth rate of income growth in the first quarter was higher than that in the two quarter.

However, from the analysis of specific companies in each sub sector, we find that the premium brands still show an increase over the industry average.

Looking ahead to the three quarter, it is estimated that the quality performance of 7-8 month old quality companies is better than the industry average level, and from the companies that have disclosed the report, the quality brands are more optimistic about sales in the second half of the year, and make positive preparations.

After pre adjustment, high-quality brand clothing enterprises have achieved qualitative changes in product end, brand operation strategy and channel layout.

On the whole,

Still in the doldrums, some brands have yet to find a successful pformation direction, and their profitability is weak.

In the first half of this year, nine Mu Wang's business income reached 1 billion 260 million yuan, an increase of 10.68% over the same period last year. The net profit attributable to shareholders of listed companies was 263 million yuan, an increase of 17.1% over the same period last year.

Basic earnings per share of 0.46 yuan.

The company's latest distribution plan is not distributed without increase.

The reason for the changes in the company's performance during the reporting period is: 1. The company continues to upgrade its channel structure and adjust its main brand.

The store efficiency and the average area of single store have been continuously improved; 2. The FUN performance of sub brand has maintained a significant growth.

However, in the second quarter of 2018, the growth rate of all indicators in the first quarter of 2018 declined slightly. On the one hand, it was affected by the overall slowdown in the retail industry. On the other hand, the company continued to optimize its channel structure, and closed down inefficient and loss shops. However, the progress of the new shop failed to reach the expected level.

According to sub brands, in the first half of the year, the income of the nine Mu Wang brands increased by 5.46% compared with the same period last year, and the gross profit margin increased by 0.22pct compared with the same period last year. The offline channels are still being adjusted and optimized, and there are 92 outlets (31 direct outlets and 61 houses). The FUN brand has benefited from terminal expansion and product upgrading, and the revenue has increased 77.09% over the same period last year.

To upgrade 0.38pct, add 32 stores (15 battalion, 17 to 17); in 2018, Korean designer Chao brand NASTYPALM gradually replaced J1 brand, sold in the original J1 channels and new stores, and two brand stores totaled 28, achieving 1380.58 RMB million yuan.

The high-end trousers brand VIGANO opened 2 stores in the first half of the year, and the "ZIOZIA" brand, which was acquired in April, has 135 terminals in China. The Beentrill brand will be opened in the second half of the year.

In 2017, the company's online sales grew by 17.86%, and sales increased to 11.31%.

Shi Hongmei, an Oriental Securities analyst, believes that the overall quality of the business is steady.

In the first half of the year, the company consolidated gross profit margin increased by 0.28pct, and the cost rate decreased by 1.38pct during the period. The sales expense rate decreased by 2.10pct and the management fee rate increased by 0.96pct. The net cash flow of operating activities increased by 11.61% compared with the same period last year. At the end of the year, the accounts receivable of the company increased by 5.24% compared with the beginning of the year, the inventory decreased by 15.75% compared with the beginning of the year, and the gross profit margin of the two quarter decreased slightly compared with that of the beginning of the year, which is expected to be related to the increase of the proportion of the electricity supplier's income.

Shi Hongmei has decided that in the future, the company will continue to promote terminal retail pformation, strengthen store operation and single store profitability. The main brand is expected to maintain steady growth, and the rapid growth of FUN brand is expected to become one of the new attractions.