Transforming The Cost Of 590 Million Fashion Into 2 Billion 300 Million Revenue, What Is The Net Profit Of Last Year'S Net Profit Of 6 Hundred Million?

The design of the high-end high-end ladies' brand group, Limited by Share Ltd, is released in 2019 on the evening of April 7th. During the reporting period, the company achieved operating income of 2 billion 378 million yuan, an increase of 13.23% over the same period, and realized a net profit of 624 million yuan attributable to shareholders of listed companies, an increase of 8.75% over the same period last year.

As of December 31, 2019, the total profit of the TSE fashion was 819 million yuan, and it was intended to distribute 10 yuan (including tax) to all shareholders every 10 shares. As at December 31, 2019, the total share capital of the total is 401 million shares, and the total cash dividend is 401 million yuan (including tax). The net profit ratio is 64.22%. The company intends to use capital reserve to increase 2 shares to all shareholders every 10 shares, a total of 80 million 200 thousand shares.

As of December 31, 2019, there were 1104 retail terminals in the country, including 380 terminal outlets and 724 distribution terminals. Due to the market positioning of high-end brand women's clothing, the company's sales terminals are mainly located in high-end commercial properties. During the reporting period, the company has established cooperative relations with Beijing SKP, Wangfujing, Yintai, Jiu Guang, Yi ddan and other high-end department stores and Huarun, Heng Long, Dy, Kowloon warehouse, Sun Hung Kai and other commercial real estate groups.

By the end of 2019, there were more than 500 thousand active members of the consumption system in VIP, including more than 250 thousand members. The new customer relationship management system will further complete the integration of the shopping guide front end with the WeChat tools in 2020, so as to help the shopping guide to strengthen the personalized management and service for every customer.

Di Su fashion said that the company's existing four core brands have already enjoyed certain popularity and market share in the industry. The company will continue to strengthen market promotion efforts in order to enhance brand reputation, optimize the image and shopping environment of terminal stores, and strengthen member management in the future. At the same time, the company considers extending the category design to enhance the added value of the brand, and tries to introduce new brands and businesses around the concept of big fashion, so as to develop more brands.

Di Su fashion said that with the continuous improvement of women's professionalism level, disposable income and aesthetic ability, women's clothing consumption ability will further enhance, and the market share of women's clothing is expected to continue to grow. Under the dual influence of the overall development of the garment industry and the structural improvement of women's clothing market share, the middle and high-end women's clothing industry will have a larger growth space.

As a typical group of "having money, leisure and pursuit", the town youth benefit from the promotion of consumption promotion and the two-way promotion of channel sinking. The consumption mode has gradually become the first tier city, and has become a new force that can not be neglected in luxury consumption. Town youth will become the main force of the consumer market in the next 10 years. It is estimated that by 2030, the consumption of three or four line urban residents will reach 45 trillion yuan. With the continuous improvement of consumption quality and consumption structure in the sinking market, the consumption potential of the high-end women's clothing industry in the sinking market is larger.

In 2020, di Su fashion will take advantage of the Internet tools, combined with the popular way of dissemination and promotion, and continue to carry out marketing plans such as streaming media, and achieve commercial realisation through fans' value. In 2019, the company's brand attracted the attention of more 25-29 year olds, increasing by 25% over the same period in 2018. This generation of people is more concerned about fashion and fashion, and is the potential brand of the company. It is also a new direction for the company in the future. In addition, the company also considers the pilot store digital operation project, through the new technology to collect passenger flow data, thermal chart data, consumer behavior data, use the collected data to optimize and adjust the display of goods, statistics shop shop outside passenger flow, identify new and old customers and shop to wake up, quickly get membership tags, personalized service and precise marketing to members, improve sales. Conversion rate and associated rate.

In addition, di Su fashion will continue to increase input in information and digital construction. It will integrate data from OMS, WMS, supply chain, CRM, HR and other systems, and conduct intelligent data analysis. On the one hand, we can understand consumers' changing consumer behaviors and ways through data, make consumers and brands interact more effectively, and provide consumers with more than expected consumption. Experience, implement precision marketing, on the other hand, also provide accurate, complete and timely data support for the company's management decisions, and comprehensively improve the level of management and operation.

Public information shows that in 2002, "Di Su fashion" was founded in Shanghai, China. It is a multi brand fashion group. Since its inception, the company has focused on high-end brand positioning, creating four famous clothing brands: "DAZZLE", "DIAMONDDAZZLE", "d" zzit and "RAZZLE", forming a multi-dimensional and deep-seated penetration into the fashion industry.

As of December 31, 2019, there were 198 members in the design and research center of Di Su fashion. The company has established a good brand image in China's fashion industry through strong design and research, rich product mix, agile supply chain management, strategic marketing network layout, accurate brand positioning, all-round brand promotion and excellent customer base cultivation.

With its outstanding fashion design ability and strong brand building ability, the product fashion has considerable influence in the industry, but the performance of terminal stores is lower than that of peers. Take Dazzle as an example, the growth rate of single store in the same store in 2015-2017 years is low, and the store effect is about 2 million 500 thousand / year, much lower than that of Vigna S, George, and so on. Therefore, we believe that on the basis of product design, supply management and brand building industry, the terminal store efficiency of the company has a larger room for improvement.

Ju Xinghai, an analyst with Guosheng securities, said that the profit margin of the company was higher than that of its peers, and its gross profit margin remained above 70%, showing a steady upward trend, which was higher than the average gross margin level of the company, which was 60.5% higher than that of the company. This was mainly due to several factors. First, the company's brand ladder extended from the high-end to the light luxury, and the higher price increase rate laid the foundation for the high gross margin; and the two was the strict control. Discount activities and VIP discount threshold is high, so the direct operating gross margin level is high; franchisee's management ability is strong, 4.1~4.5's discount rate is maintained, the gross profit margin of franchising channels is higher; three, inventory management is better, discount sales promotion products account for a small proportion.

Observation, as China's high-end fashion leader, the four major brands of Di Su fashion are misplaced, and the products are highly designed. With the continuous improvement of terminal management capabilities, the company's growth rate of the same store has increased to 10% in the past two years under the background of low industry prosperity. It is estimated that the future growth rate of the same store is expected to maintain a relatively high growth rate in 2019. At the same time, it is expected that the store will grow in 80-100 stores in 2019-2021 years, and the online sales growth will be faster than that under the line.