Lies Dan'S Annual Performance From Profit To Loss Shareholders Accounted For 28 Million 30 Thousand Yuan Loss

On the evening of May 21st, Lies Dan released the annual results for the year ended February 28, 2019.

By the end of February 28, 2019, Lies Dan lost 28 million 32 thousand yuan (RMB, the same below), and the net profit was 59 million 670 thousand yuan in the same period last year.

Annual turnover fell by 19.6% to about 909 million yuan.

A loss of 3.97 cents per share and no final dividend, but a special dividend at the end of 35 cents per share.

Due to the integration of retail stores and the same store sales, the group's overall revenue fell 19.6% to 909 million yuan over the same period last year.

The group's retail sales in mainland China dropped by 20.4% to 851 million yuan, compared with 1 billion 69 million yuan in the same period last year.

At the same time, in order to cope with the unhealthy market climate, the group changed its pricing strategy. The gross profit margin decreased by 3.1 percentage points to 62.7% in the same period last year, and the gross profit margin decreased by 23.3% to 570 million yuan compared with the same period last year.

Prior to March, Lies Dan said that the group's net loss attributable to shareholders in the financial year 2018/2019 was due to the need to integrate retail stores in the mainland's continuous sluggish retail market, resulting in a decrease in total retail sales.

In order to cope with the unhealthy market climate and change the pricing strategy of retail prices, the gross profit margin has been reduced, and the non core income of RMB 33 million 131 thousand has been sold during the same period last year due to the sale of a sale of financial assets.

In February 28, 2019, the group had 526 retail outlets in mainland China, Hongkong and Macao, with a net decrease of 161 compared with the same period last year.

These include 464 self operated shops located in the mainland of China, Hongkong and Macao, and 62 franchised stores located in the mainland of China.

During the year, 152 stores were reduced and 9 franchised shops were reduced.

In February 28, 2019, the core brand lesaunda decreased by 126 stores, at the end of the year, it was 380 shops. The number of high-end fashion brands LINEAROSA stores decreased by 5 compared with the end of last year, and 67.

Lies Dan said in a notice that in the short term, it is imperative to raise the sales of individual stores to the track to improve the performance of stores.

With regard to future business expansion, the group will focus on developing one or second tier cities in China. The rest of the region with high growth will actively seek suitable partners to expand the local market in the form of franchising and wholesale business.

At the same time, the group is also actively considering the advantage of brand awareness to expand its overseas market.

(chart and source of data: Lies Dan's annual performance bulletin for the year ended February 28, 2019)