Shandong Ruyi Holdings Limited Hongkong Li Bang In The First Half Of The Year Finally Turned Into A Profit.
Hongkong's men's clothing retailer, Li Bang Holdings Limited, has launched a drastic reform and transformation plan since Shandong acquired its majority stake. The new top management team is gradually improving the production and sales links, optimizing the store network and closing the profitable stores.
From last June to June this year, Li Bang has dismissal 450 employees and removed 3 Chinese offices, which are located in Guangzhou, Chengdu and Beijing, and closed about 35 poorly profitable entity stores. At the same time, most of the services of Li Bang are also outsourced.
In terms of products, Li Bang has taken a series of new initiatives, including reducing sales promotion and discounts, enriching product categories, and introducing more leisure series and women's garments. In addition, Li Bang also plans to launch private custom services and series.
In terms of sales channels, Li Bang gradually abandoned the retail distribution network and shifted its focus to wholesale and e-commerce channels. In the first half of 2019, the wholesale channel and authorized business grew by 286%, accounting for nearly 50% of the total sales volume.
At present, Li Bang employs about 1667 employees and operates 232 stores, of which 224 are located in Greater China and the remaining 8 are in Europe. Li Bang's brand Cerruti 1881 has a total of 84 stores; Gieves & Hawkes has 47 stores; Kent & Curwen has 81 stores; D 'URBAN has 20 stores.
In August this year, Li Bang announced its mid 2019 earnings report, which achieved profitability in the first half. Net sales rose 15.6% to HK $1 billion 29 million, and net profit was HK $76 million 600 thousand (a loss of HK $196 million 800 thousand in the same period last year).
In addition, other sources revealed that Cerruti 1881, the French menswear brand of Li bang, will be absent from the Paris Fashion Week held in January 2020.
Since the departure of the brand creative director Jason Basmajian in July last year, the selection of creative director of Cerruti 1881 has not yet been determined, and the clothing series is designed by its Paris studio. Cerruti 1881 said: "like more and more fashion brands, we are evaluating new ways of promoting our works. We will not hold a fashion show in January next year. Once we appoint a new creative director, we will make a decision.
Claire Landrau, who has just been appointed Vice President of global marketing and communications by Cerruti 1881 this year, said: "Cerruti 1881's Paris design studio is working hard to launch new creative product lines, and will expand online channels to achieve multi-channel growth."
In November 2017, Shandong Ruyi bought about 51% stake in Hongkong by 2 billion 215 million Hong Kong dollars.
As of June 30th, the key financial data for the first half of the 2019 financial year were:
Net sales increased 15.6% to HK $1 billion 29 million.
Gross profit is HK $703 million.
Gross profit margin fell 1.3 percentage points to 68.3%
Operating profit was HK $108 million.
Net profit was HK $76 million 600 thousand (a loss of HK $196 million 800 thousand in the same period last year).
Source: Gorgeous writer: Xu Bin
- Related reading
- Fashion brand | Stussy Hongkong Special Store Releases The Notes List, Which Will Be Officially Opened On Friday.
- Instant news | Why Did Costco Expose The Lies Of New Retail?
- Instant news | Coach同店連續(xù)8季度增長 中國與歐洲市場業(yè)績優(yōu)秀
- Instant news | 山東如意控股的香港利邦上半年終于扭虧為盈
- policies and regulations | Zhejiang Printing And Dyeing "Standardization +" Energy Consumption Increased By 813.59 Yuan / Ton Of Standard Coal
- News Republic | Vitality Jiangcheng Fashion Pioneer -- 2019 Wuhan Fashion Week Opens Ceremoniously
- News Republic | LV老板阿諾特再超蓋茨成全球第二大富豪
- Industry Overview | "Keqiao International Textile Capital Pavilion" First Entered Africa
- Pregnant baby | Double 11 Parcel Volume Or New High Packaging "Thin Green" Is Not Easy.
- Pregnant baby | Gome And Samsung Signed 5 Billion Cooperation Involving Smart Home Solutions
- Zhejiang Printing And Dyeing "Standardization +" Energy Consumption Increased By 813.59 Yuan / Ton Of Standard Coal
- Vitality Jiangcheng Fashion Pioneer -- 2019 Wuhan Fashion Week Opens Ceremoniously
- LV老板阿諾特再超蓋茨成全球第二大富豪
- "Keqiao International Textile Capital Pavilion" First Entered Africa
- Double 11 Parcel Volume Or New High Packaging "Thin Green" Is Not Easy.
- Gome And Samsung Signed 5 Billion Cooperation Involving Smart Home Solutions
- Nanchang Subsidized Express Logistics Enterprises Each Enterprise Up To 1 Million Yuan.
- “智造”賦能紡織發(fā)展新征程,2020中國國際紡織機械展覽會暨ITMA亞洲展覽會匯集紡織“十三五”智造成果
- Ministry Of Industry And Commerce: Technical Guide For Printing And Dyeing (Digital Printing) Industry Green Development (2019 Edition)
- Long Sawing Long Lines Or Pushing High Cotton Prices After The Sino US Agreement Is Reached