La Natsu Bell Aura Retreat: Share Price Plunged 75% Net Profit Decreased 90%

When the age abandons you, you will not even say goodbye.

La Natsu Bell, the former clothing leader, is now falling off the altar.

On the stock market, it once had great scenery: after its listing in Hong Kong in 2014, La Natsu Bell was listed on the Shanghai Stock Exchange in September 2017 and became the first A+H listed clothing company in China.

At the beginning of the listing, it was highly sought after by capital and continued to limit.

Up to now, its total market capitalization is only 4 billion 170 million yuan, nearly 7 billion 520 million yuan higher than the previous 7 billion 520 million yuan, the current price of 7.62 yuan per share has long been broken, the 75% point higher than the high point of 30.62 yuan per share.

In operation, it was once one of the most expensive clothing enterprises: in 2014, the net profit growth rate was as high as 21.36%; in 2015, the net profit increased by 28.7; in 2016, La Natsu Bell's net profit for the first time appeared to be a loss of 688 million yuan, down 15.58% compared with the same period last year, although it rebounded slightly in 2017.

But in January 31, 2019, La Natsu Bell announced the performance notice. The company's net profit attributable to shareholders of Listed Companies in 2018 was reduced by 459 million yuan over the 2017 year, down about 92% from the same period last year.

Once the leading industry has dropped to 33 in the list of apparel enterprises, the total market value of 417 billion 500 million yuan or even less than 4 billion 660 million yuan industry average.

In the past three years, the average net interest rate was 7.17%, less than 7.51% of the industry average, which is far from the net interest rate of the 26.87% of the earth and 26.87% of the Hai Lan home.

There are signs that La Natsu Bell's aura is fading.

For the reasons for the collapse of performance, La Natsu Bell attributed to the "decline in terminal retail sales", "department store business adjustment, passenger flow decline" and "some brands of investment cooperation are still in the early stages of cultivation and development". The company said that the current measures should be to adhere to the flat management of sales, improve the fine service and operation management capabilities of stores, set up a cloud Center for members, and improve the full channel marketing management system with the core of consumer demand.

The answer to net profit fell by 92% over the same period, which is rather perfunctory.

La Natsu Bell has dominated the 234 tier cities to occupy the sinking market. This part of the market is less affected by the electricity supplier and the international fast selling brand, which is also its past business advantage.

However, in recent years, with the traffic dividend reaching the top, Taobao and many other business giants began to exert a strong impact on the sinking market. H&M, ZARA and other international fast fading brands also began to try to sink the channel, and La Natsu Bell faced increasingly fierce market competition.

The main sinking market, to some extent, means that the commodity prices and profits of enterprises are relatively low.

A consumer told the market, "La Natsu Bell relatively parity, general single product price not more than 300 yuan, and more discount."

She usually chooses La Natsu Bell when she takes a big discount.

This has led to La Natsu Bell's single store performance has not been ideal.

Take the 2016 data as an example, La Natsu Bell's counter stores earn 710 thousand yuan, and the exclusive stores earn 1 million 110 thousand yuan, compared with Vigna S's 3 million 950 thousand yuan, Taiping Bird 2 million 170 thousand yuan and an Zheng 1 million 700 thousand yuan. La Natsu Bell's single store turnover is lower than the industry average level.

Judging from gross profit margin, La Natsu Bell John was 65%, and the average number of other listed garment enterprises was 73.84%.

It is worth mentioning that the sales mode of its direct sales has greatly increased the sales cost, and has also intensified its revenue difficulties.

At present, the listed clothing enterprises generally implement direct sales and franchised sales mode, and the selling expenses are relatively low.

Some industry analysts said that the sales scale of La Natsu Bell's brands was directly proportional to the number of shops. The sales volume of the group was slightly higher than that of the shops. This indicates that the growth of the old stores is weak, and the growth of business performance is driven by a large number of new stores.

This also explains why La Natsu Bell is still crazy about expanding and running around in the stock market and performance double kill.

As early as the early days of listing, La Natsu Bell said that in the next three years, there will be more than 3000 retail outlets under the new line, and the total number of stores will exceed 10000.

In 2015, the total number of outlets throughout La Natsu Bell was 7893; in 2016, the data became 8907; by 2017, it increased by 20% to 9448.

According to the 2018 semi annual report, as of June 30, 2018, La Natsu Bell's store has grown to 9764, and the number has increased by 316 in half a year.

La Natsu Bell is also trying to change.

According to the financial report, from 2018 to September, La Natsu Bell opened 1228 new stores and closed 1051 stores.

That is to say, La Natsu Bell is also trying to shut down those old stores with poor revenue while insisting on expansion of stores and distribution of network coverage.

However, such changes will not make much progress in the short term.

The capital market does not seem to be patient enough to wait for your change.

The reality is that the stock prices continue to decline, the securities companies continue to downgrade the company ratings, confidence frustrated big shareholders have begun to try to reduce cash holdings.

By September 25, 2020, the company will have 187 million shares lifted, accounting for 34.16% of the total share capital, accounting for 128.31% of the total shares.

By then, if La Natsu Bell's business performance has not improved significantly, there will be a large probability of shareholders' collective cash holdings and stock price crash.

BELLE's delisting is a lesson from the past.

There may not be much time left for La Natsu Bell.

Author: Yang Kai