"Biggest Shoemaker" Nine Xing Holdings Revenue Increased By 0.72%

In March 21st, the nine Hsing holdings, known as the "biggest shoemaker", announced that the company realized revenue of $1 billion 589 million for the year ended December 31, 2018, a slight increase of 0.72% over the same period last year, and a gross profit of 277 million US dollars, up 2.56% over the same period last year.

It is noteworthy that in the first half of 2018, nine Xing holding two customers, Nine West and Rockport, entered the bankruptcy protection stage in the United States, and Nine West still had a balance of $8 million 200 thousand outstanding.

In the future, nine Hing Holdings will continue to recover the outstanding debts of Nine West.

Before that, Nine West group was once one of the world's largest women's leather shoes designers, manufacturers and distributors.

It is reported that the shipment volume of nine Hing Holdings increased by 6.4% to 60 million 200 thousand pairs, while the average selling price of footwear products in the fourth quarter of 2018 increased positively with the increase in the price of some products.

Nonetheless, due to changes in product mix and changes in customer mix, the average selling price per pair decreased by 3.4% to 25.8 dollars a year.

Fashion footwear is the largest segment of the group, contributing 36.4% of total revenue as of December 31, 2018.

The contribution of casual shoes and fashion sports shoes is 28.7% and 32.1% respectively, while the group's own retail brands account for 2.8% of total income.

By region, North America and Europe still hold two largest markets for nine Xing holdings, accounting for 51.1% and 29.2% of the group's total revenue respectively. Secondly, the Chinese market, including Hongkong, accounts for 10%, while the Asian market excluding China accounts for 6.4%, while other regions account for 3.3%.

In response, nine Xing holding management pointed out that the biggest challenge in 2018 is China's rising labor costs.

Looking forward to 2019, the board expects shipments to be roughly the same as in 2018, and the focus of development is to further increase profitability.

To this end, the nine Hing Holdings will further expand the output of Vietnam's new factories, while increasing the profit margins of fashion sports products, raising the prices of some products, and actively controlling orders and combinations as required.

It is reported that nine Hing Holdings is a leading developer and manufacturer of premium footwear and leather products, founded in 1982 to provide one-stop service for the design, development and manufacture of luxury footwear, fashion sports shoes and leather products.

The group is positioned at the high end of the value chain.

In 2006, the brand business was launched, and the two fashion brands, Stella Luna and What For, were founded.

For the Chinese region, the nine Hsing holdings executives said they would continue to selectively reduce the capacity of parts of China to improve utilization and protect margins.

Meanwhile, two executives from nine Xing holdings have stepped down.

Among them, Jiang Zhigang will be resigned as chairman of the board of directors and all other incumbent positions of the company; Zhao Mingjing will also be resigned as vice chairman of the board and pferred to non-executive director respectively from the date of promulgation.

The position of chairman was replaced by Chen Limin.