The Capital Chain Of The Expensive Bird Is Facing Pressure And The Prospect Is Hard To Say.

The recent news of bad news from sports brands is that the assets of the company nearly 1 billion 90 million yuan have been frozen, and eight dealers have received 240 million yuan of arrears. In addition, the company also issued an early warning of performance, because it has been losing money for two consecutive years, the company's stock will be implemented after the 2019 annual report on the delisting risk warning. For the expensive birds, there is not much time to save themselves.

Dealers owe 240 million yuan.

In March 10th, you said eight dealers (defendants) owed the company 240 million yuan. It is reported that the eight defendants were originally dealers of the brand of the noble bird brand (that is, the original company customer). But as of December 31st last year, the total amount of eight defendants owning the birds was 240 million yuan, which has not yet been paid. In order to safeguard the legitimate rights and interests of listed companies, the great bird has filed a civil lawsuit against the intermediate people's Court of Quanzhou, Fujian Province on disputes over the payment of such goods.

Specifically, the eight dealers are Chongqing GUIYAO sporting goods Co., Ltd., Guangzhou Tianmin Sports Goods Co., Ltd., Jiangsu Changshu Yuan Sheng Sports Goods Trading Co., Ltd., Shanghai Hongyuan Sports Goods Co., Ltd., Gansu Lanzhou Hongtai Sheng sports goods limited company, Nanjing Hai Wang Sheng sporting goods Co., Ltd., Hangzhou Tianqun sports goods Co., Ltd. Guangzhou Tianyu sporting goods Co., Ltd.

China Commercial Daily telephoned Nanjing Hai Wang Sheng sporting goods Co., Ltd., its staff told the China Commercial Daily reporter that at present, the responsible person is not in touch, and the situation is unclear.

In the announcement, the company said that the company had no longer had any business cooperation with the eight defendants since the beginning of last year. In addition, since the end of 2018, the company has gradually started to optimize its sales mode, which has been transformed from the original company's authorized regional distributors to the company's direct responsibility for the joint operation of the stores in the region. Therefore, this lawsuit will not have a significant adverse effect on the operation of the brand.

Huge financial pressure

It is reported that the "noble bird" is a sports clothing brand located in the three or four line city. As of June 30th last year, the number of retail outlets of the brand reached 2685. Among them, there are 287 retail outlets in first tier cities, 568 retail outlets in second tier cities, 1084 retail outlets in three tier cities, and 746 retail outlets in four tier cities.

Liu Liang, a clothing industry expert, told the China Commercial Daily reporter that the main consumer groups of "noble birds" are in the three or four tier cities. The consumption capacity of consumers in the three or four tier cities is not as high as that in the second tier cities. Under the increasingly fierce competition of sports brand, "cheap" has become the biggest advantage of the "noble bird product".

In order to seize more markets, promotions, sales rebates and channel buyback fees began to increase. In the structure of sales expenses in 2018, the first time increased the promotional fee of 13 million 460 thousand yuan, the sales rebate of 122 million yuan and the repurchase fee of 128 million yuan, and the scale of these three fees far exceeded the advertising fees and brand promotion fees of the company.

Liu Liang thinks, from the structure of sales expenses, we can see that in 2018, the way of creating brand has changed from original advertising to sales promotion, sales rebate and so on, which means that expensive birds were occupying the market through price war.

Although many expenses have been added, the noble bird has not achieved the desired result. The income of 2018 was 2 billion 812 million yuan, down 13.52% from the same period last year. Net loss was 686 million yuan, down 536.01% compared with the same period last year. In the first three quarters of last year, the company's revenue was 1 billion 169 million yuan, down 49.2% compared to the same period last year. Net loss was 166 million yuan, down 1134% from the same period last year. In January 21st this year, the company issued a performance warning that the company had been losing money for two consecutive years, and the company's stock will be implemented after the 2019 annual report was released.

How long can the birds fly?

By the end of the third quarter of last year, only 15 million 290 thousand yuan had been used for money, but short-term loans were as high as 1 billion 177 million yuan.

At the same time, the price of the precious bird has fallen below the level of the performance guarantee contract set by the relevant agencies. The shares held by the group have been raged after the two auction, and the actual controller of the listed company may change at any time. In addition, the two announcement of the "progress announcement on the freezing of assets by self-examination" was released by the "noble birds". As of March 4th this year, the company's total frozen assets accounted for 1 billion 91 million yuan, accounting for 22.95% of the total assets of the company in the previous year.

Liu Liang said that from the current situation, the capital chain of great bird is facing great pressure, and its prospects are hard to say.