The War Epidemic Has Semir'S Dress, And Now It Will Add Masks And Mother To Child Business.

Zhejiang Semir apparel Limited by Share Ltd (hereinafter referred to as "Semir dress") announced today (March 4th) evening that the company decided to increase its business scope by adding "retail of daily necessities, wholesale of daily necessities, wholesaling of personal hygiene products, wholesaling supplies, retail of mother and infant, daily masks (non medical) sales, book rental, periodicals renting, publications retailing". "At the same time, the relevant contents of the articles of association shall be amended. However, the motion should be submitted to the second provisional shareholders' meeting in 2020 for deliberation, and the Licensing Companies Board of directors will handle the relevant change procedures.

The first textile network reporter learned from the China clothing association that as of February 26th, there were over 109 enterprises in the clothing industry to produce protective clothing and isolation clothing, and more than 65 enterprises had switched over all kinds of masks, and the protective clothing and isolation clothing reached 975 thousand units / day, and the productivity of all kinds of masks reached 8 million 258 thousand / day. The industry believes that with the recent stage of more and more textile and garment enterprises to increase the production of masks and protective clothing to actively respond to the epidemic, short-term stock prices are expected to continue to be active with thematic catalysis.

According to public information, Semir group was formally established in 2002. It is a conglomerate dominated by casual wear and children's clothing. It has two major brand clusters: adult casual wear represented by Semir brand and children's clothing represented by Barbara brand. Among them, Semir brand was first established in 1996, positioning young, fashionable, dynamic, cost-effective public casual wear, products are mainly oriented to 16-30 year old fashion trends, young people. The Barbara brand was founded in 2002, advocating professionalism, fashion and vitality, facing 0-14 year old children's consumer groups. The product is located in a middle-income family. According to Ou Rui data, the market share of Semir brand in men's clothing ranks ninth, 0.9%, and the market share in women's clothing ranks ninth, 0.6%, while the children's wear brand balbala ranks first in the market of children's wear, which is 5.6%.

According to the financial report, in 2019, Semir's clothing business income was 19 billion 359 million yuan, an increase of 23.15% compared with 15 billion 719 million yuan in the same period last year; operating profit was 2 billion 158 million yuan, an increase of 3.74% over the same period last year; the net profit attributable to shareholders of listed companies was 1 billion 546 million yuan, 8.72% lower than that of the same period last year; the net profit attributable to shareholders of listed companies after deducting non recurring gains and losses was 1 billion 485 million yuan. It was 11.29% higher than the 1 billion 334 million yuan in the same period last year.

In the fourth quarter of 2019, Semir apparel achieved a total revenue of 6 billion 97 million yuan, an increase of 2.39% over the same period last year, operating profit of 424 million yuan, an increase of 28.33% over the same period last year.

For changes in performance, Semir apparel explains:

The growth of operating revenue in 2019 is mainly due to the growth of domestic business and the growth brought by the French SofizaSAS company. Among them, the growth of domestic business contributed about 40%, and the revenue growth brought by the French SofizaSAS company contributed about 60%.

The decline in net profit in the 2019 year was mainly due to the acquisition and the influence of France's SofizaSAS company. The company acquired a one-time negative goodwill when it acquired last year, resulting in a higher net profit base in 2018, and the loss of the company's current reporting period affected the net profit of the current period. If the impact of French SofizaSAS company is deducted, the profitability of Semir casual wear and Barbara children's clothing will continue to be consolidated and upgraded, and the business foundation will be solid and healthy.

The first textile network reporter learned here that the main office areas of Semir clothing, Shanghai, Wenzhou and Hangzhou parks, have been orderly resumed since February 10th. By February 17th, the companies in various parts of the park have returned to work in full scale. At present, the number of resumed workers in the company is about 90%. At present, the epidemic is not yet over. Semir clothing is directing shops in various regions. In accordance with the requirements of the local government, it has applied for the resumption of business applications, and actively promoted the resumption of work in shops. Shops in some areas have started to open and store business, and the number of shops is increasing rapidly.

Semir clothing revealed that the short-term adverse effects of the epidemic on the operation objectively exist. In the long run, it will promote innovation and innovation in the industry and promote the maturity and development of the new business mode. The end of the epidemic will eventually release consumer demand, and the market adjustment will optimize the reconfiguration of resource allocation, and the industry will accelerate the development of the dominant enterprises. Semir needs to consolidate its foundation and make preparations. 。

In addition, the first textile network reporter noted that Semir clothing also said that the outbreak of the epidemic, resulting in offline stores closed, logistics and transportation blocked, the industry has an objective adverse impact, especially on the impact of cash flow will be relatively large, although it is short-term, but for some enterprises is a fatal blow. For enterprises that can overcome difficulties, there will be better opportunities for development. Because the industry will have a batch of production capacity blank, will re shuffle, promote the advantages of enterprises to further integrate resources and achieve rapid development. In particular, the leading companies in the clothing industry, after years of development, have a solid corporate governance standard, a solid financial foundation, sufficient capital reserves, and stable and healthy business. Facing the epidemic, they will highlight their own competitive advantages and become more competitive. Semir has good cash reserves, industry status, brand influence and excellent business team. The company has launched online retail, WeChat community, live broadcast and other forms of retail sales to promote full staff sales.

In addition, Semir apparel strengthened the control of wholesale business in the second half of 2019, reasonably arranged the delivery rhythm, slowed down the growth of financial revenue, matched more with the growth of retail business, improved the inventory level, improved the quality of business, promoted the healthy development of business, and effectively reduced the pressure of inventory. Semir clothing said frankly, the current epidemic has adverse effects on retail sales, and will also affect the company's future inventory level. The specific situation remains to be further observed.

The first textile network reporter learned from the financial report also learned that in 2019, Semir clothing inventory inventory price drop to prepare 648 million yuan, accounting for 1 billion 694 million of the audited net profit in 2018, 38.28%, while the sale price of the resale inventory was 658 million yuan. In 2019, the balance of inventory depreciation was 827 million yuan at the end of the year, the balance at the beginning of the year was 837 million yuan, and the balance at the end of the year decreased slightly compared with the beginning of the year.

As of the first textile net reporter, Semir clothing reported 8.02 yuan / share, a decrease of 0.25%, the market value of 21 billion 600 million yuan.