The US Internet Dividend Has Become The Most Popular New Product In The Fashion Industry.
American net red is really sweet!
At the beginning of April, the share price of Chinese net shares, such as NASDAQ:RUHN, went on the market for $12.5, and the stock price collapsed all the way for two months. After leaving only a few cents left, the US net share Revolve GroupInc. (NYSE:RVLV) rose like a rainbow.
The fashion dealer in Losangeles landed on the New York Stock Exchange on Friday for $18 A share, raising $212 million at the market capitalization of $1 billion 200 million.
The first day's trading was 40% higher, and the intraday market surged more than 110%, and it closed at $34 a day, an increase of 89%.
Earlier this Monday, the stock rose further to a maximum of 31.7% to 44.77 dollars, with a market value of $3 billion, becoming the most fashionable new share of the fashion industry in the past year.
London luxury electric business Farfetch Ltd. (NYSE:FTCH) surged 53% in September 21, 2018, closing the market price of $19.76 on Friday, down 1.2% from the listing price of 20 US dollars in September 21, 2018.
The Levi Strauss & Co. (NYSE:LEVI) in the denim industry opened 30% higher on the day of landing in the NYSE in March this year, with an increase of 23.4% as of Friday's close. The Kontoor Brands Inc. (NYSE:KTB) split from the VF Corp. (NYSE:VFC) group was weaker.
The Realreal Inc., a second-hand luxury goods supplier, submitted the S-1 document equivalent to the prospectus to the US Securities Regulatory Commission last week (SEC) and formally launched the listing process.
Revolve Group Inc. and its shareholders separately sell 2 million 940 thousand shares and 8 million 820 thousand A-class shares. The group plans to repurchase B class shares from TSGConsumer Partners, the only external investor TSGConsumer who invested $15 million in 2012, using the $40 million 800 thousand of the proceeds from the rights allotment to help the chief executive Michael Karanikolas and Michael Mente control the voting rights of the group after the IPO. The remaining benefits will be used to strengthen brands, expand international businesses and set up physical stores, and do not rule out the acquisition or investment of external brands and businesses.
"In the visible future", the group has no intention of distributing dividends.
The Revolve Group Inc., founded in 2003 by Michael Karanikolas and Michael Mente, claims to be "the new generation of fashion retailers for the millennial generation and Z generation consumers". It now has 21 self operated brands, including Nike, Levi, s, and Michael, and more than 500 cooperative brands.
On the basis of the electronic commerce platform of the same name, the group launched superdown, a low-priced fashion garment for Z generation this year, and started buying a boutique store for Hollywood, a luxury boutique business Forward by Elyse Walker, from 2012.
In 2018, Revolve Group Inc. achieved sales of $498 million 700 thousand, an increase of 24.8% compared to 2017's $399 million 600 thousand, and sales of Revolve and Forward by Elyse Walker platforms accounted for 87% and 13%, respectively, and overseas income was 18%.
Net profit rose more than four times to $30 million 700 thousand, adjusted EBITDA to $46 million 500 thousand, an annual increase of 63.7%.
The net sales of 89% came from the previous year's repeat customers. In 2018, the full price sales rate increased from 79% in 2017 to 79%, and the gross profit margin was 53.2%.
Net sales in the first quarter of 2019 continued to rise by 21.1% to $137 million 300 thousand, net profit of $5 million and adjusted 8 million 500 thousand of US $6.9% fell by 6.9% and 1.7%, respectively.
The watchdog is the downward trend of passenger unit price. In the first quarter, the unit price of passenger dropped to US $259 from 282 US dollars in the same period last year.
The Revolve Group Inc., a data-driven sales model, introduced in the S-1 document submitted to the US Securities Regulatory Commission (SEC) that they could use data analysis to slow down inventory risk while carrying more than 1000 new products per week, and promote marketing with cash, clothing and tourism selling more than 3500 Internet red and brand partners worldwide.
Photo social networking platform Instagram is the group's most important media.
Last year, group marketing cost was $74 million, equivalent to 15% of annual net sales.
The word "influencer" appears in the S-1 file 78 times, so we can see that the relationship between RevolveGroup Inc. and net red economy is inextricably linked.
The group has held more than 100 events every year around the world. The highlight is Coachella Revolve's Festival inviting party, celebrities, supermodels, fashion bloggers and Internet Celebrities.
Professor Justin Blaney, who opened the online marketing course at University of Washington, pointed out that the biggest challenge for Revolve Group Inc. is that consumers are becoming more vigilant about advertising in social media information flow. Their trust in Internet promotion is also decreasing. At the same time, authorities are more and more strict in supervising and monitoring net red advertisements.
The professor expects that the current strategy of RevolveGroup Inc. will fail within two or three years.
On the second trading day of the New York Stock Exchange, the momentum of Revolve Group Inc. (NYSE:RVLV) gradually weakened, and it fell 2.8% to 33.05 dollars in late trading, closing at 33.3 US dollars, down 2.1%.
Source: no fashion Chinese net: Lin Biying
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