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    Anta Sports Over 60% Stores Are Still Closed, Expected To Affect The First Half Of The Epidemic Financial

    2020/2/18 17:03:00 0

    Anta

    A few days ago, Anta sports (HK:02020) issued a voluntary announcement, disclosing the current operation of the company under the new coronavirus epidemic situation: as of February 14, 2020, nearly 40% of the brand stores in mainland China have resumed business, and over 60% stores are still closed. Anta sports said that the epidemic will inevitably affect the financial performance of the group in the first half of 2020 and is expected to return to normal level in the second half of the year.

    Anta sports announced in the announcement that after the outbreak, the board of directors of the group attached great importance to the task force, and set up an emergency team and headed by Zheng Jie, executive director, to deal with the epidemic. In addition, the Group donated RMB 10 million yuan in cash to the China Charity Federation on 25 January 2020, and donated 20 million yuan worth of cold clothing and related materials in February 13, 2020 to finance front-line health care workers.

    In terms of business, Anta sports said that the sales network of the group covers many provinces and cities in mainland China. In response to the epidemic, the stores in different regions of the group have been suspended. As of February 14, 2020, nearly 40% of the brand stores in mainland China have resumed operations, and all employees of the group have started working at home. In addition, the group has actively encouraged consumers to achieve certain results through online shopping. At the same time, because the proportion of Anta brand self-produced shoes and clothing is only 34.4% and 11.9%, the group will closely communicate with the distributors, and inspect the orders and orders in the next quarter according to the actual situation, so as to take timely measures to reduce risks.

    In terms of finance, Anta sports said that the Group expects that under special circumstances, the epidemic will inevitably affect the financial performance of industries and groups in the first half of 2020. It is expected that the normal level will not be recovered until the second half of the year. The group will strengthen control costs and take appropriate measures in time to control the impact of the epidemic on the group.

    Anta sports announced in January the fourth quarter of 2019 and the latest business performance bulletin showed that in 2019, Anta's brand retail sales increased by 10% to 20% over the previous year, and the retail sales of FILA brand increased 55% to 60% over the previous year. Meanwhile, the retail sales of other brands of the group increased 30% to 35% over the previous year.


    Source: China net financial writer: Guo Shuai

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