Nine Mu Wang Earned Nearly Five Hundred Million Last Year, But Spanformation And Development Are Imminent.

In the evening of April 24th, Men's pants Started clothing 601566.SH disclosed its annual report. The company's revenue in 2017 was 2 billion 565 million yuan, an increase of 12.94% over the same period last year. Net profit was 494 million yuan, an increase of 16.81% over the same period last year.

Combing financial reports can find that the company sells too much reliance on the single brand of JOENOE.

In 2017, the brand's business revenue accounted for more than 90% of the company's annual operating income.

All along, the company is also actively developing multi brand businesses, including "VIGANO", "FUN", "NASTYPALM", "BEENTRILL" and "ZIOZIA". However, the operation ability of other brands is weak. 　　

Source: earnings. Unit: 10000 yuan

FUN brand is the second brand of the company's revenue. During the reporting period, FUN brand realized business income of 131 million yuan, an increase of 76.97% over the same period last year, but its revenue share was still low, only 5.2%.

In the spring and summer of 2016, the company launched the fashion quality brand J1. The main customer group is a fashionable consumer who is 25-35 years old in pursuit of quality. He is committed to creating "refined, simple and dynamic" brand style. During the reporting period, J1 brand has set up 34 independent stores with a revenue of 21 million 117 thousand and 200 yuan.

The J1 brand has a lower gross margin in the company's multi brand, which is 37.37%. In August 2017, we won the Korean designer's "NASTYPALM" exclusive rights and trademark rights in mainland China. The "NASTYPALM" brand style is positioned as designer tide card with both commodity trend, richness and actual wear. The "NASTYPALM" brand launched the market in 2018 and officially replaced the "J1" brand.

The high-end trousers brand "VIGANO" opened in the first store in August 2017, and as of December 31, 2017, it has set up 7 influential independent stores in key shopping malls nationwide. The brand currently has the highest gross profit margin among its brands, 77.13%.

Industry analysts said: "nine Mu Wang currently operates other domestic menswear brands through mergers, acquisitions and agency. How to operate these new businesses will pose a greater challenge to the company's multi brand operation capability. At this stage, the brand operation capability of the company is relatively weak. "

Another risk faced by the company is the improvement of the profitability of franchisees. The proportion of the company's business is larger than that of the total business. If the franchisee's profitability can not be improved obviously, it will further affect the achievement of the business goal. 　　

Source: earnings. Unit: 10000 yuan

According to the financial report, as of the end of 2017, there were 2633 entity stores, compared with the 2779 price in 2016. There are 1836 franchisees, accounting for 69.7% of the total number of stores.

In 2017, the total operating income of franchised stores was 1 billion 320 million yuan, and the direct store was 870 million yuan. The revenue of franchised stores accounted for more than half of the total, while the gross profit margin of franchised stores was 53.32%, an increase of 0.42% over the previous year. The gross profit margin of the direct store was 66.54%, an increase of 1.57% over the same period last year. The difference is obvious.

In the earnings report, the company also said that the company has already taken the retail spanformation of "terminal shop profitability" as its core. strategy Direction of development. However, from extensive growth to market The fine spanformation of retail operation requires time and experience accumulation, which may not be achieved in a short time.

In recent years, downstream sales channels have changed greatly, and shopping centers and e-commerce channels have been developing rapidly in China. Various channels such as integrated stores are also gradually emerging, which has caused a great impact on traditional channels such as department stores and street shops.

"If the nine shepherd kings fail to make timely spanition to emerging channels, they may have adverse effects on the company's performance." The industry analysts said.