The Cancellation Of Subsidiaries Has Resulted In A Sharp Reduction In The Net Profit Of 2018 Yuan.

Shenzhen Hui Jie group Limited by Share Ltd (hereinafter referred to as "Hui Jie shares") today (February 18th) issued a 2018 annual performance bulletin, during the reporting period, the company achieved operating income of 2 billion 354 million yuan, an increase of 10.22% over the same period, and realized operating profit of 273 million yuan, down 16.29% from the same period last year. The total profit was 274 million yuan, a decrease of 16.56% compared with the same period last year; the net profit attributable to shareholders of listed companies was 165 million yuan, a decrease of 25.48% over the same period.

Hui Jie shares said that in 2018, the company constantly optimized product structure, terminal image, channel layout, etc., increased investment in brand building, direct business, e-commerce, distribution channels all realized business revenue growth, while decoration costs and brand construction costs increased.

During the reporting period, the company decided to cancel the wholly-owned subsidiary of Shantou city man Ni Finn Garments Co., Ltd., resulting in a larger sum of dismissal benefits.

During the reporting period, the company's operating income increased, but the profit index declined.

In addition, the company reported a total assets of 2 billion 426 million yuan at the end of the period, up 10.32% from the beginning of the year, and 1 billion 808 million yuan of ownership attributable to shareholders of the listed company, an increase of 2.79% over the beginning of the period.

According to public information, Hui Jie shares is a comprehensive underwear enterprise specializing in underwear ergonomics research, process technology research, brand planning and promotion, development and design, production and marketing. It was listed on the Shenzhen Stock Exchange in June 2015.

The main products of the company are products such as "COYEEE", "Bodybeauty", "secret weapon", "bra", "underwear", "warm clothing" and "functional underwear".

In 2015, "Joe hundred" men's underwear, warm clothing and household products were added in 2015, and the "Man Nifen" sub brand cosmetics and skin care products were added in 2016.

February 2018, the new line of men's clothing brand "potato".

As of 2017, the main brands of the company were "man", "Yves", "Lan Zhuoli" and "plus one COYEEE". The scale of brand revenue was 1 billion 344 million yuan, 309 million yuan, 224 million yuan and 161 million yuan respectively. As of December 31, 2017, Hui Jie shares total 1284 outlets, 1304 outlets, and 2588 total outlets.

According to the financial report, in the first three quarters of 2018, Hui Jie shares achieved an operating income of 1 billion 684 million yuan, an increase of 9.42% over the same period last year. The net profit attributable to shareholders of listed companies was 180 million yuan, down 20.73% from the same period last year.

The three quarter single quarter revenue and net profit were 533 million yuan and 245 thousand and 800 yuan respectively. The single quarter growth rate was 5.98% and -99.50% respectively, slower than the 11.09% quarter and 1.30% growth rate in the two quarter. The main reason for the slow down was the Manifen liquidation of the subsidiary company in the three quarter. The dismissal welfare cost was 38 million 111 thousand and 900 yuan, which resulted in a large non recurrent loss and a drag on the net profit growth.

In recent years, the company's revenue and net profit have shown an increasing trend. The compound growth rate of operating revenue in 2012-2017 years is 9.59%, and the net growth rate of net profit is 19.57%.

Shi Hongmei, an analyst at Orient Securities, has said that Hui Jie shares a broad space based on multi brand and multi category layout. From the observation, Hui Jie shares the leading position in the channel and R & D advantages, and its multi brand and multi category strategy fits the characteristics of the underwear industry. The multi Brand Distribution Bureau in the underwear field has achieved the complete coverage of the various market segments, and the multi category testing water in the beauty field will also lay a good foundation for the company's future possible follow-up of the consumer goods domain. Taking into account the competition pattern, concentration degree and development trend of the domestic underwear market, it is expected that the future will have greater development space relying on the capital market platform.