CABBEEN Netted More Than Two Hundred Million Last Year, Thanks To The Electricity Supplier.

China's leading menswear designer brand Cabbeen Fashion Limited (2030.HK) CABBEEN apparel made a net profit of 210 million 200 thousand yuan last year, an increase of 3.5% from 203 million 200 thousand yuan in 2017 and an increase of 7.6% in earnings per share, from 29.45 to 31.68 points.

In 2018, CABBEEN's clothing revenue rose 16.9% to 1 billion 273 million 500 thousand yuan, mainly due to the strong growth of the electricity supplier channel.

CABBEEN apparel said that under the multi-channel investment of the group, the EPR system simplified the cross channel unified inventory view, connected the physical store with the online shopping mall, and provided online booking of physical store pick up services to customers, optimizing customer experience and full channel services.

CABBEEN apparel annual online revenue jumped 50.2%, from 283 million 200 thousand yuan to 430 million 500 thousand yuan, accounting for 33.8%, while physical store sales fell slightly by 3.7% to 847 million 100 thousand yuan.

In 2018, the Group recorded a gross profit margin of 578 million 700 thousand yuan, an increase of 7.7% over the same period last year, and the gross margin fell from 49.4% in 2017 to 45.4%, mainly due to the increase of 36 million 800 thousand yuan in the provision of rebate points. Meanwhile, the increase in product discount in the past quarter also had a negative impact on gross margin.

By the end of December, CABBEEN apparel operates 910 stores, 65 more than 845 at the end of 2017. Most retail stores are located in the two or three line city, of which 37% of the stores are located in the mall; the number of WeChat fans and members on the online channel is 1 million 800 thousand, about 700 thousand higher than 1 million 100 thousand at the end of 2017.

The group's year-round retail revenue increased by 4% over the same period last year, mainly due to an increase of 26% in online channel retail revenue. The retail sales remained flat in the same period.

CABBEEN apparel said that the final interest rate was 4.8 Hong Kong cents, a total annual dividend of 18 Hong Kong cents, an increase of 24.1% over the 14.5 cents in 2017, much higher than the increase in profits.

RMB 109 million 100 thousand yuan (hereinafter referred to as "Yuan"), compared with the same period of 87 million 979 thousand yuan in 2017 rose 24.1%, earnings per share 0.1637 yuan, an increase of 31.2% compared to 0.1248 yuan in 2017.

The Cabbeen Fashion Limited (2030.HK) CABBEEN apparel price jumped sharply on Wednesday afternoon, reaching a maximum of 5.90% HK $3.05.

In the case of rising profits, the Guangzhou based company increased the median dividend by 120%, from 6 Hong Kong cents in the same period last year to 13.2 Hong Kong cents, with a dividend payout rate of 70%.

In the first half of 2018, CABBEEN clothing recorded a 558 million 100 thousand yuan income, an increase of 37.5% over the same period last year, and 406 million yuan in the first half of 2017.

Yang Ziming, founder and chairman of CABBEEN apparel, said that as of the end of the first half of June, group business continued to move forward steadily. Retail outlets improved and e-commerce achieved encouraging results. I believe that online channels will continue to be the main force of the group business.

In 1-6, CABBEEN's clothing retail business entity store sales rose 8.5%, revenue increased 5.2%, and the overall retail business benefited from online channel revenue soared 66.9% to 11.7%. During the reporting period, online revenue increased from 128 million 200 thousand yuan in 2017 to 214 million yuan in the same period.

Wu Shaoqiang, chief executive of the group, said in an interview with no fashion Chinese net that since the brand's business in 2015, the channel has shown explosive growth, mainly because the core customer of the brand is 20-35 years old, and is the most active user group embracing the online channel.

Besides opening online flagship stores on the mainstream platforms such as Tmall.com Tmall, jd.com Jingdong, WeChat WeChat and vip.com vip.com, CABBEEN apparel also actively invested in social media and KOL marketing, relying on the unique positioning of designer brand to improve customer loyalty and stickiness.

As of the end of June, the number of CABBEEN clothing WeChat members and fans accounts for 3 million 119 thousand, compared with the previous year's end of June increased by more than 60%, of which 360 thousand of the purchase amount of members reached 788 million 600 thousand yuan, up 15.7% over the same period last year.

Cabbeen Lifestyle CABBEEN leisure is still the main source of income for CABBEEN apparel during the reporting period, accounting for 82%.

Yang Ziming, chairman of CABBEEN fashion, said in an interview with the no fashion Chinese network (micro signal: nofashioncn) that the group continued to adopt a multi brand strategy and adjusted accordingly. With the increase of brand awareness and the increase of retail channels, the scale of Cabbeen Urban CABBEEN metropolis business will grow rapidly.

At the same time, the group is remodeling the young brand 2AM at two o'clock in the morning, locating the middle end, young and fashion trend brand, and has recently launched Cabbeen Love CABBEEN children's clothing.

Positioning the 3-12 year old children's mid-range fashionable children's wear brand, continuing CABBEEN city street and sports style, the main trend of light luxury series, the group plans to set up a special Cabbeen Love CABBEEN children's wear shop, and synchronously through the micro Mall for online sales.

On Tuesday's closing, CABBEEN's share price rose narrowed with the Hang Seng Index, but it still recorded a 2.43% rise of HK $2.95, while the Hang Seng index plunged 0.85% or 242.27 points on the shadow of trade war. So far this year, CABBEEN's clothing price has soared 30%, far better than the hang Seng Index over 7% over the same period. In the past 12 months, the stock rose by 36%, while the Hang Seng Index rose less than 3%.