Haining Leather City Fashion Town Last Year, Shops Earn More Than 350 Million, Until The Commencement Of 170 Thousand Square Meters Of Land Or Do These Things.

The development, leasing and service of local leather professional market, Limited by Share Ltd, China Leather City Limited by Share Ltd, Haining (hereinafter referred to as "Haining city") has recently released its 2018 annual performance bulletin. During the reporting period, the company achieved a total revenue of 1 billion 714 million yuan, down 8.96% from a year earlier, and the net profit attributable to shareholders of listed companies was 364 million yuan, an increase of 20.45% over the same period last year.

For the change of company performance during the reporting period, the city of Haining explained the main reasons:

1, shops and supporting property sales, fashion town projects to achieve sales of 351 million yuan, an increase of 20.35% over the same period;

2, in terms of property leasing and management, the tenancy work remained stable in 2018, and the rental and management income of property leasing was 995 million 651 thousand and 600 yuan, down 6.56% from the same period in 2017.

3, other income, affected by the macroeconomic environment, subsidiary import and export companies to adjust business scope, business volume decreased, commodity circulation income 218 million yuan, year-on-year drop 34.22%; hotel service income 33 million 299 thousand and 800 yuan, down 11.62%.

The company and its subsidiaries further strengthened internal control. The cost of operation was reduced by 6.53% during the current period. The sales cost decreased by 9.98% compared with the same period last year, and the financial expenses decreased by 112.40% compared with the same period last year. The management expenses increased by 4.98% compared with the same period last year.

By the end of the reporting period, the total assets of Haining's leather city were 11 billion 35 million yuan, down 6.77% from the beginning of the period, mainly due to the reduction of the monetary fund of the company's current return bonds and the acquisition of fashion town projects. The owner's equity of the shareholders belonging to the listed company was 7 billion 459 million yuan, which was 7.10% lower than the beginning of the period.

The industry believes that the fashion town project currently only 88 thousand square meters can be rented commercial district began trial operation, 50 thousand square meters of the rental housing area at the end of 2018 has just been delivered, 170 thousand square meters of land has not yet started construction, will bring the continuous growth of Haining Leather City performance development; import and export commodity circulation, hotel income services, health care and other businesses are in the ascendant, the future is expected to form a new growth point of performance.

First textile network reporter noted that in order to reduce the impact of the cyclical fluctuations in the leather industry on the company's operating conditions, while looking for new sources of revenue growth, Haining leather city began to pform into the fashion industry since 2016. In 2017, it put forward the strategic policy of "consolidating the main business of fur clothing, superposing and developing the fashion industry, and steadily starting the second main industries".

Huatai Securities Research Institute Ding Zhechuan believes that Haining has more favorable internal and external conditions for the pformation of the fashion industry. From the external conditions, the surrounding Hangzhou and other big cities have a tendency to adjust the layout of urban planning, and the large garment wholesale market has a trend of pformation. Haining is close to Hangzhou, which is expected to undertake. From the internal conditions, Haining's mature leather production and processing industry chain and experience will also provide a basic guarantee for fashion pformation.

Judging from the effect of pformation, there are more leather manufacturing enterprises in Haining pforming into four seasons fashion design and production, forming the large fashion enterprises such as an Zheng fashion, dun Nu dress and so on.

In 2017, Haining leather city has taken the lead in adjusting the G International Pavilion to the four seasons fashion wholesale Museum, as a breakthrough point in developing the fashion industry format. Since 2018, Haining city has also begun to increase its publicity efforts in major events.

It is reported that at present, Haining Leather City fashion town is mainly engaged in the first phase of the creative core area, which is mainly engaged in leather garment accessories.

The project adopts the business mode of "initial investment and rent combination, followed by business leasing", of which the commercial part is rented together (the rental ratio is about 6:4), and the whole residential part is sold.

In addition, the company will co-ordinate the development and construction of the future projects in the fashion town. It plans to build or operate major projects such as "GH flyover", "fashion business park", "four seasons fashion house two phase", "Hangzhou Intercity Railway Underground Space Development" and "designer entrepreneurial dream factory" in the next three years (2018-2020) in the planning of Haining leather fashion Town, which is expected to continue to contribute to the income and performance increment of Haining city.