"Light Luxury Clothing Brand" Gathered In The Winter: Market Value Evaporated Over 90%

　 The "sports first stock" obsessed with capital operation

From the take off to the fall, the bird has gone through less than ten years.

In 2011, when the sports brands such as Lining, Anta and XTEP declined as a whole, one brand attacked all the competitors, leaving their competitors far behind.

The "bird of fashion" has adopted the "fashionable sports brand" such a differentiated route, attacking the two or three tier cities, signing a large number of performing stars, such as Andy Lau, Cecilia Cheung, Lin Chiling, Huang Xiaoming, and the Hunan TV's happy family. It also sponsored a group of young people's explosions, such as happy men's voice, my own show and so on.

In the next few years, birds of a noble nature can sing all the way and fly at top speed.

According to the data, in 2011, there were as many as 5000 stores, and 5560 by 2013, and it was ambitious to shop in three or four years.

January 24, 2014 is the highlight time of the precious birds. On this day, the aura of "A shares movement brand first share" landed on the Shanghai Stock Exchange. For this day, the precious birds have worked hard for 28 years.

After the listing, the company's share price climbed all the way, and its market value exceeded 40 billion yuan at the highest peak. Lin Tianfu, founder of the company, joined the "Hurun rich list" in 2015 with a value of 19 billion yuan, squeezing Shi Wenbo of the Heng An Group and reaching the richest man in Quanzhou.

However, the high flying moment of the precious birds is as short as fireworks, and after that, the noble birds never fly again.

After the listing, the human bird is no longer satisfied with only selling sports shoes and clothing, and has begun to implement the company's comprehensive strategic upgrading. From "traditional sports shoes and clothing industry" to "sports industry group based on sports apparel manufacturing and coordinated development of a variety of sports industry forms" transformation, and using capital means to rapidly expand its own sports industry layout.

In 2015, the first important investment of the precious bird was invested in tiger puff, becoming the second largest shareholder of the company. With the help of tiger puff, its investment in the sports industry was accelerated. Then, the precious birds invested and Huopu set up sports industry fund Huai mobile domain capital. In 2016, the "bird of honor" joined the tiger again to establish the second sports industry fund competition domain.

Data from the sky eye show that up to now, the company has invested 31 companies overseas, including football, basketball, running, fitness, outdoor sports and other Internet plus projects, including sports, sports lottery and other Internet related projects. It has even invested a lot in sports and coffee industry in Shanghai with GOGO.

However, most of the investment projects of the birds are not very successful, and only the investment of tiger flop is the most successful.

If the investment before is all the birds in the small test, then, in 2017, the expensive bird tried to buy the chain fitness institution Conway fitness by 2 billion 700 million yuan (its brand "Welsh"). It was determined to make great efforts in the sports industry, but ultimately, the acquisition did not succeed.

With the blind expansion, the core brand is shrinking.

From 2014 to 2017, the gross profit margin of the brand was reduced from 40.99% to 37.84%. Meanwhile, the scale of brand revenue fell from 1 billion 920 million yuan to 1 billion 796 million yuan.

The company's asset liability ratio soared from 46.84% in 2014 to 65.36% in 2017, and the financial cost increased from 51 million 180 thousand yuan to 228 million yuan.

More intuitively, the number of stores is decreasing.

In 2014, it closed 534, closed 561 in 2015, closed 359 in 2016, closed 376 in 2017, closed 857 in 2018, and closed 188 in the first half of 2019, leaving 2685 households in the latest stores.

People in the industry commented that since the listing of "noble bird", it has actually abandoned and withdrawn its main business market. In the past three or four years, when running shoes can produce an explosive product, it actually gave up the running shoes market, only produced casual shoes such as board shoes. At the same time, it put most of its energy on capital operation, and wanted to make a layout of a big sports industry.

In the second half of 2019, the birds and birds were getting worse. Recently, there was news that the debt of 1 billion 147 million yuan was due to expire in November and December, while the latest report on the birds only had 125 million yuan in cash. The company's funds had already raised the alarm.

In addition, in October 10th, the company announced that the company and its chief financial officer were criticized by the Shanghai stock exchange for financial violation.

According to the circular, it was found that, in 2015, 2016 and 2017, the "noble birds" provided financial assistance to dealers 1 billion 942 million yuan, 1 billion 745 million yuan and 1 billion 419 million yuan respectively, accounting for 86.85%, 73.2% and 50.9% of the latest net audited assets of the company. The financial assistance balances at the end of the three year were 67 million 13 thousand yuan, 102 million 698 thousand and 600 yuan and 90 million 270 thousand yuan respectively.

The above financial assistance matters reached the criteria for shareholders' meeting and information disclosure standards, but the birds did not submit the above matters to the shareholders' meeting in a timely manner, nor did they fulfill the obligation of information disclosure in time.

In earlier September 17th, both the company's main body and its bond rating were downgraded. The adjusted bond rating was A, the main rating was A, and the rating outlook was negative. The main reason was that there was a risk of default on the bonds.

In this year's semi annual report, it is hard for expensive birds to speak frankly, and some financial institutions are lending money. The company said that it was still unable to find new financing channels for the capital market. Some financial institutions had difficulty in disposing of loans, increasing loans or increasing credit conditions. At the same time that we can not get financing, the negative impact of early debt centralized payment and financial institutions' pressure loan on the main business funds is gradually showing.

Many factors have pushed the birds to the edge of the cliff.

Today, the price of the bird is less than 4 yuan / share. By the evening of November 3rd, the price of the bird was 3.80 yuan, and the market value was about 40000000000 from the peak, to only 2 billion 389 million yuan now, and the market value evaporated more than 90%.

At present, the precious birds who have been on the road for four years are ready to return to the sporting goods industry. But it has to be said that in the increasingly fierce competition in the apparel industry, there is a lack of competitiveness among products and channels.

　 Fast weight loss "China Version ZARA"

La Natsu Bell, once known as "the king of women's clothing", "China's version of ZARA" and "the first A+H share clothing company in China", has been short of money to lease the headquarters building to relieve financial pressure.

The headquarters office building of La Natsu Bell group in Minhang District, Shanghai, has just been in operation for over a year, and the poster for external rental has recently been posted on the outside of the building. In addition, there are many information about the rental of La Natsu Bell office building. There are five investment managers, La Natsu Bell headquarters, a total of two buildings, external rental, "now just start business, the rental rate is still very low."

It was shorter than La Natsu Bell, and it took less than two years to list from the scenery to the mire.

Founded in 1998, La Natsu Bell started her career as a women's clothing brand. At the very beginning, Xing Jiaxing, the founder, was determined to make La Natsu Bell a "China Version of Zara".

After listing in Hong Kong in 2014, La Natsu Bell was listed on the Shanghai Stock Exchange in 2017 and became the first "A+H" listed clothing company in China. He also shouted the slogan of "3000 new outlets in 3 years". In 2017, La Natsu Bell's revenue was nearly 10 billion 400 million yuan, the highest in the country's women's clothing listed companies.

La Natsu Bell had a turning point.

In 2018, La Natsu Bell realized operating income of 10 billion 176 million yuan, a decrease of 269 million yuan compared with the same period last year, and a loss of 160 million yuan in net profit to the parent company, down 132% from the same period last year, the first loss since the listing.

La Natsu Bell's explanation is that gross profit and operating income have declined, and the gross profit of the company has decreased by 427 million yuan over the same period.

After entering 2019, La Natsu Bell's performance is still deteriorating. In the first half of this year, La Natsu Bell's net loss expanded to 498 million yuan.

Cause the crisis today, and La Natsu Bell in the past few years blind expansion of the brand, big shop, inventory backlog and so on.

Before 2011, La Natsu Bell had only 3 women's wear brands and 1841 stores. Under the strategy of "multi brand and full direct battalion", in 2017, La Natsu Bell's brand increased to nearly 19, covering women's wear, men's wear and children's wear, and the number of stores was 9448, which spread all over the country's major shopping malls.

The sharp increase in the number of stores brought about high inventory and accounts receivable. According to the 2019 China Daily, the book value of the company's stock was as high as 2 billion 159 million yuan, and the turnover days of the inventory also increased continuously, rising from the 273.51 day of the 2014 annual report to the 311.24 day of the 2019 paper. Accounts receivable have been maintained at more than 1 billion yuan a year since 2014 and 631 million yuan in 2019.

Under this background, the pressure of cash flow can be imagined.

According to CCTV reports, in the face of performance losses and debt crisis, La Natsu Bell will also choose to sell real estate to tide over difficulties. As a result of the loss of performance, its retail stores are shrinking rapidly. As of June 30th, the number of retail outlets in La Natsu Bell was 6799, a sharp decrease of 2470 in half a year, and a shrinkage of 27%, with 13 shops closed on average every day.

In order to save himself, La Natsu Bell started to cut his wrist to survive.

In October 17th, La Natsu Bell announced that the controlling shareholder Jack Walker (Shanghai) Garments Co., Ltd. (hereinafter referred to as Jack Walker) could not continue to operate because of a continuous loss, and intends to apply for bankruptcy and liquidation to the people's court. In view of the fact that the bankruptcy liquidation is yet to be accepted and ruled by the court, there is still uncertainty in the matter.

Prior to that, La Natsu Bell issued a notice in May and June this year that he was selling shares of his controlling shareholder, Agel Ecommerce Ltd Hangzhou (seven grid) and Tianjin star Kuang enterprise management consulting partnership (limited partnership).

Clothing analyst Ma Gang said: "La Natsu Bell is gradually" thin "and focused on the main business. Only by thoroughly understanding the main business can we have the possibility of diversification and multi brand. "

Today, La Natsu Bell's market capitalization is only 2 billion 486 million yuan, less than 1/4 of A shares listed.

However, under the strong enemy of current performance pressure and internal and external troubles, Xing Xing Xing still has confidence in La Natsu Bell's future. "Maybe half a year to a year, we can go back to a relatively benign state to run." He said that in the first 10 years (La Natsu Bell), almost no money was earned, and he persisted; in the second second years, the company found the right direction and developed rapidly; in 2019, it was the beginning of third ten years, and La Natsu Bell must change.

In the semi annual report of 2019, La Natsu Bell also stressed that the company will take advantage of the advantages of resources to develop the core women's clothing brand, clear the brand positioning, build a differentiated brand matrix, respond to market trends and consumer demand, improve the proportion of buyers' stores, improve management, promote operational efficiency and quality of operation and other measures to boost performance.

　　 The "light of domestic products"

In the process of "do not take the unusual road", Metersbonwe "hit the wall".

Metersbonwe's semi annual report showed that business income was 2 billion 699 million in the first half of this year, down 31.47% from the same period last year. Net profit attributable to shareholders of listed companies was 138 million yuan, down 359.61% from the same period last year.

For this sudden loss, Metersbonwe explained that this was mainly due to the optimization of the channel structure and the impact of shutting down inefficient Direct stores. In the first half of the year, the factors of commodity delivery affected the rhythm of new product listing in spring and summer in 2019, which affected the response to market demand.

In the consumer's impression, Metersbonwe, who was willing to spend money, was one of the brightest stars in the clothing industry.

Together with the meteor shower, Transformers and other movies and TV plays, we can see its shadow, Jay Chou, Aaron Kwok, Willber Pan, Angela Chang... Stars who speak for it are also popular. It is said that Metersbonwe has paid tens of millions of RMB in order to show several seconds of billboards in Transformers 2.

The price of advertising has not been wasted. In 2010, Metersbonwe achieved 43.8% revenue growth and 63.4% profit growth. In 2011, the United States reached its peak, with a revenue of 9 billion 945 million yuan and a net profit of 1 billion 206 million yuan.

In addition to the amount of business, the number of Metersbonwe stores is showing a very fast upward trend. In 2007, Metersbonwe's stores were 2106, but by 2012, only 5 years later, Metersbonwe's number of stores in the country has reached 5220, and the number of stores has expanded 1.5 times.

However, the rush hour is a turning point in the history of the development of the United States.

By the end of 2011, Metersbonwe had been exposed by the media by 2 billion 560 million yuan. In addition, the fatal threat of the United States is far from that.

In the time of brand prosperity such as the US bond, international brands also came in. This means that there are only a few brands of competition between the United States, Semir, JEANSWEST and Giordano. At the same time, there is a large number of international brand competition, and products and marketing have no advantage at all.

Since 2013, the number of Metersbonwe's stores has started to become "nearly 5000", "more than 4000" and "more than 3700". In 2017, vague numbers became a mystery, and the official saying became "marketing networks all over the country".

Insiders say that the core reason for Metersbonwe's current crisis is "the main industry is not doing well, the cross-border industry is too big, and the ambitions and capabilities do not match". Itself is the three or four line brand, there is no need to blow up the fat in the second tier market.

Against this background, Metersbonwe has opened up a difficult transformation path. It has launched a series of O2O projects such as state purchase, "fan" and "intelligent manufacturing". It is raising 9 billion yuan of funds to transform to the Internet, including launching 100 experience stores. However, these have not played the role of improving the performance. The huge amount of capital investment has increased the pressure of transformation for later operation.

However, in the process of promoting Internet reform, the US state is still not enough to compete against the impact of the Internet. The industry believes that the entire garment industry is affected by the Internet the most thorough, and the United States in this aspect of action is actually not enough, and its current Internet level is not enough to compete against the Internet marketing. If it can be transformed into an Internet retail companies, it may not be so gloomy.

In a few transformations, Metersbonwe seems to go all the way, but in fact it is forced to do so, and is increasingly away from the needs of young people.

　 Is there spring in China's clothing industry?

Closing shop is only one of the epitome of the industry.

"Since the beginning of 2016, the garment industry in China has been stagnant. It is thought that it will be better to bite and bite." A Hong Kong stock listed garment company executives reluctantly said.

According to the data released by the National Bureau of statistics, in 2019 1-6, the total profit of Industrial Enterprises above Designated Size in textile clothing and apparel industry dropped 0.8 percentage points year-on-year, which is the first negative growth in the data in 10 years. At the same time, in the above unit retail sales, clothing shoes and hats and needle textiles increased by 3% over the same period last year, and the growth rate was 6.2 percentage points lower than that of the same period last year.

It is easy to see that Chinese garment enterprises have released the first half of 2019 earnings reports, and the current business situation of the enterprises is not very satisfactory.

In the case of the big brands in winter, the Australian brand JEANSWEST has been privatized, and the "Italy" Baleno 250 million has been sold, and its parent companies have returned to the old road of OEM. YISHION, Tonlion and so on have become "Amoy brands". Online businesses are better than offline businesses. There are occasional stores, but the passenger flow is sparse. The A shares listed companies such as Semir have begun to transform, and children's clothing business has overtaken adult clothing; Daphne has lost four years.

Although they are in the same winter, the causes of freezing are different. Every weak enterprise in the field has a "hard nut to crack". A clothing company often has problems in inventory. To see who can make money in this industry is to see whose inventory is cleaner, which is the universal law of this industry.

The latest research of Dongfang securities shows that most apparel enterprises have more than 150 days' stock days, and very few enterprises can control the stock days in less than 100 days. Inventory is the life and death war of enterprises, which is a long-term game between efficiency and cost. Metersbonwe, La Natsu Bell, Semir... Basically, all clothing enterprises have felt the pain of inventory.

Inventory affects the development of Companies in two ways.

On the one hand, warehousing costs and manpower and transportation costs will directly bring down profits. This is also a major reason why domestic apparel retailing has such a high profit margin. High profit is to cover inventory risk.

On the other hand, clothing will gradually reduce the price, and every 1 years of the inventory cycle will lead to the sale of clothing, which will eventually lead to a decline in profit margins.

In the view of the industry, the cold winter of China's clothing industry will not pass in the short term. Therefore, how to transform and upgrade and eliminate the malady has become a top priority for the enterprises.

At present, China's garment industry will usher in a period of deep adjustment. Some experts believe that this is just like the sporting goods industry a few years ago. After fierce and full competition in the industry, some brands will be eliminated, and some brands will find their own way of development. The entire garment industry will usher in the overall reshuffle, and some enterprises will be reborn, just like today's Lining and Anta.

Financial reports show that after several years of labor pains, Lining and Anta have ushered in their own high-speed growth this year. In the first half of this year, Lining's sports business income increased 33% to 6 billion 255 million yuan compared with the same period last year, net profit increased 196% to 795 million yuan, Anta sports business income 14 billion 810 million yuan, an increase of 40.3% over the same period last year, net profit of 2 billion 480 million yuan, an increase of 27.7% over the same period.

It seems that "Lining and Anta" have found their own new tactics, and this time tests the ability of other players to survive the winter. If we can't get through, we can only stay in this winter.