La Natsu Bell Nagh's Impasse To Darkest Moment

Loss, close shop, explosion warehouse, La Natsu Bell ushered in the darkest hour. On the evening of August 9th, La Natsu Bell replied to the Beijing Commercial Daily reporter, in response to the decline in performance, the company will accelerate the pace of transformation and adjustment, focusing on product strength improvement, channel layout and mode adjustment, capital structure optimization, and investment project operation improvement, giving full play to its existing brand and channel advantages, strengthening core competence building, and striving to achieve profitability as soon as possible.

Prior to that, La Natsu Bell experienced a burst of positions and losses. How much more chance is there for La Natsu Bell, who has been marginalized? Textile and clothing management expert Cheng Weixiong said that at present, what La Natsu Bell needs is breaking up and establishing, but how to break and how to establish, we need to ease the pressure of operation by introducing external strategic investors and transforming smart retailing.

Pledge default

La Natsu Bell, known as the "Chinese version of ZARA," ushered in the "darkest hour" in 2019. The latest disclosure of the semi annual report of loss warning, La Natsu Bell is facing the first half of 2400 stores, is expected to lose 540 million yuan. In August 8th, the disclosure announcement showed that the percentage of La Natsu Bell's controlling shareholder xingjiaxing's equity pledge was close to 100%, which constituted a breach of contract.

In the early warning of losses, La Natsu Bell said that the company's business transformation and adjustment, and the measures to reduce costs and increase efficiency are being actively promoted, but the actual effect has not yet appeared. In response to the specific measures for the adjustment of business transformation, La Natsu Bell, responsible person, told the Beijing Commercial Daily reporter that the company will accelerate the pace of transformation and adjustment, focusing on product strength improvement, channel layout and mode adjustment, capital structure optimization, and investment project operation improvement, etc., so as to give full play to its existing brand and channel advantages, and strengthen the construction of core competence, and strive to achieve profitability as soon as possible.

In response to the actual control of the person's default pledge, La Natsu Bell relevant responsible person said, at present, xingjiaxing mortgage shares are limited sale conditions of shares, at present, Xing Xing Xing is maintaining continuous communication with the pledgee, and plans to solve the problem of collateral breach by supplementing collateral, additional margin or early redemption of pledge shares.

Although La Natsu Bell is still optimistic about losing money and explosion, Song Qinghui, an economist, believes that, in the face of the double problems of pledged default and large losses, La Natsu Bell has little more to retreat than to withdraw or restructure.

Double puzzle

For Xing Jia Xing shares pledge breach of contract constitutes a breach of contract, La Natsu Bell relevant responsible person to Beijing Business Daily reporter said, pledged shares Xingxing Xing personal arrangement, pledge defaulting matters and the company's business operation has nothing to do.

La Natsu Bell's performance forecast shows that La Natsu Bell net profit is expected to be 236 million yuan in the first half of 2019. Net profit is expected to be 440 million -5.4 billion yuan compared with the same period last year, down by about 286.6%-329%.

The main reason for the loss is expected to be affected by the continuing downturn in the domestic retail market and the dual impact of the company's initiative to optimize the channel structure. La Natsu Bell's operating income in the first half of 2019 has fallen by more than 20%. At the same time, the company accelerated the sale of over season products, resulting in a decline in the average gross profit margin of commodities. In addition, the performance forecast pointed out that due to changes in external financing environment, La Natsu Bell continued to return bank loans during the reporting period, which had a negative impact on the company's purchase and purchase of goods in spring and summer in 2019, and so on.

Although La Natsu Bell denied the relationship between the pledge and the business, Song Qinghui still believed that the default of the pledge had a positive correlation with the continuous decline of the post market performance, and said that the incident would bring many adverse effects on the operation and development of the company, and would give the cold water to La Natsu Bell who had already gone downhill.

Destroy and erect

In fact, La Natsu Bell's current plight is not a problem in the clothing industry. It is also a clothing company. Bosideng, Semir clothing and other stock prices are acceptable. Therefore, strategic judgment and risk control have become the top priority for La Natsu Bell.

Public information shows that before 2011, La Natsu Bell had only three women's clothing brands, including La Chapelle, Puella and Candie 's, with only 1841 stores. As of December 31, 2018, the number of La Natsu Bell outlets was 9269, expanding by 5 times in eight years. However, La Natsu Bell also tasted the bitter fruit of the crazy expansion. In the first half of 2019, the performance forecast showed that in the first half of the year, La Natsu Bell expected to close 2400 stores.

In response to the rectification problem, La Natsu Bell, the person in charge, has said that the company is currently conducting pilot joint ventures and joining two terminal channel business models on the basis of direct operation mode, and continues to explore the mass fashion consumer market in a differentiated multi brand strategy.

Insiders said that the main consumer groups now include "after 90" and "00 after", they are more self assertion, rather than brand proposition. Therefore, whether it is design or operation, we should not only lay out the layout of the Internet e-commerce, but also layout the media and social business providers. La Natsu Bell can learn from the international brands such as UNIQLO to launch joint marketing and other marketing initiatives, so as to maintain market share and influence.