Giordano'S Three Quarter Results Slipped Inventory Management Highlights

Usually downlink performance often has a negative impact on stock movements, but this rule is in Giordano (00709, HK), an old brand.

The brand is "out of order".

Giordano's stock price is "thriving" in the near future after the three quarter's revenue fell 5%.

Recently, Giordano released the three quarterly report.

In the third quarter, the sales volume of the company was HK $1 billion 270 million, a year-on-year decrease of 5%, gross margin of HK $733 million, a decrease of 4% compared with the same period last year, and gross profit margin increased by 0.2 percentage points to 57.7% from 57.5% in the same period last year.

The company said sales decline in the three quarter was mainly due to the weakness of consumer demand and the delay of consumers' demand for new products designed for autumn and winter.

Within a few days after the announcement, Giordano's shares rose sharply.

In this regard, Xiong Xiaokun, a consultant of light industry in China investment consultant, told the daily economic news reporter that Giordano's performance was hit by the gradual decline in demand for clothing industry and the increasingly fierce competition in the industry.

But Giordano stock management is relatively reasonable, which has won the recognition of investors.

As of September 30, 2012, the stock to cost turnover ratio was 73 days, 22 days lower than the 95 day of the beginning of the year, and 9 days lower than the 82 day of the same period last year.

In addition, some analysts believe that

The performance of stock price is also good or it is related to its higher dividend payout. Better dividends will attract more investors' attention.

In the three quarter, Giordano sent an interim dividend of HK $231 million, according to its interim report date (September 11th) share price, the interest rate of which was close to 2.44%.

However, with the rise of fast fashion, Giordano's main T-shirts are no longer the only and primary choice for people.

Xiong Xiaokun said that the electricity supplier's strong invasion of the clothing field also seized Giordano's market share.

Cui Hongbo, founder and chief executive officer of Shanghai Zheng Jian Brand Management Consulting Co., Ltd., told reporters that some stock price incentives may have contributed to the rise in stocks.

"There have been rumors in the market earlier that ZARA's parent company wanted to buy it."

Cui Hongbo told reporters that in terms of Giordano, whether the follow-up can be acquired or its biggest bright spot.

"In addition to the original brand awareness and resources on the channel, Giordano wants to make a big change in the brand vitality is also more difficult."

Giordano must make products, channels, and so on.

Otherwise, its current performance level, market share and stock price trend will inevitably be compromised.

Xiong Xiaokun said.