What Is The Result Of The Strategy Adjustment On Saturday?

On Saturday, July 14, the performance forecast for the half year of 2021 was released. The report showed a net loss of about $40 million to $60 million on Saturday in the first half of 2021.

In response to the loss in the first half of the year, the company said in the announcement on Saturday that the continuous impact of the epidemic since last year has had a major impact on the company's overall business. During the reporting period, the company adjusted its business strategy in accordance with the epidemic situation and market changes, so as to ensure the smooth operation of the company.

So what are the results of Saturday's adjustment strategy?

According to the announcement, the company's social e-commerce business has achieved sustained and rapid development, the scale of fans has increased significantly, and the sales volume has also been rapidly improved. In addition, the company has had in-depth cooperation with several well-known domestic brands on the platforms of Kuaishou and shuoyin.

Let's take a look at the shoe business. Although the business situation has improved year on year, the company's footwear business is still in a loss state in the first half of the year due to weak consumer demand and additional expenses arising from the company's business transformation.

Despite the continuous growth of social e-commerce business, the continuous loss of shoes business, together with the 36.4 million yuan expenses generated by the equity incentive plan implemented by the company during the reporting period, led to the loss of performance in the first half of Saturday.

As early as in the 2020 annual report, the plan to optimize the main footwear business and improve the channel structure and product structure was put forward on Saturday. Now, the first half of 2021 has passed, and the decline of the main footwear business has not been significantly improved. It can be seen that the strategic transformation of Saturday still needs a long time. We will continue to pay attention to the follow-up development.