Jiangnan Cloth Performance Gradually Slowed Down Fans Economy Encountered Bottlenecks?

Recently, Jiangnan Buyi released the 2020 half year financial year performance report. In the report of the head office, we can see that the company realized total revenue of RMB 2 billion 136 million yuan during the period, an increase of 5.3% over the same period last year, and the profit attributable to shareholders 430 million yuan, an increase of 12.87% over the same period last year, and the basic earnings per share were 0.84 yuan.

From past historical data, we can see that in the 2020 half year of the financial year of Jiangnan Buyi, the medium-term revenues and profits have hit a new high in history. However, it is regrettable that the growth of the company's performance obviously slowed down.

Among them, revenue growth is less than 17.25% compared with the same period last year, and profit growth is less than 18.14% compared with the same period last year. Because of the obvious slowing down of the performance, the price of Jiangnan cloth clothing has been declining, and the decline has reached more than 20% during the year. Obviously, we can see that the performance of Jiangnan cloth has slowed down, most of which may be due to this.

It can be learned from the company's financial reports that in the 2020 half of fiscal year, the sales revenue of the company depended heavily on its members. During the period, the retail sales contributed by the members accounted for about 70% of the total retail sales.

In the total amount of purchases in 2019, just over 5000 yuan membership accounts for 210 thousand, while in 2018 it was about Jovan, but its retail sales reached 2 billion 500 million yuan, which was 2 billion 170 million yuan in 2018, and contributed more than 40% to the total sales volume of offline outlets.

Unfortunately, the number of members of the company began to slow down in the first half of the fiscal year. By December 31, 2019, the number of member accounts in the south of the Yangtze River has reached 3 million 900 thousand, an increase of 8.3% over the June 30, 2019 figure of 3 million 600 thousand, which is lower than the 24% increase in the same period last year.

According to the analysis of earnings data, the growth rate of members of Jiangnan Buyi has slowed down, which may have a certain degree of impact on the company's strategy for opening stores and the launch time of new brands.

In the first half of the fiscal year, we can see that the number of stores under the brand of Jiangnan cloth clothing has been gradually closed from 2018 in June 30, 2019 to 1993 in December 31, 2019.

Among them, the number of mature brands - JNBY stores grew by 48 to 932, while the number of stores in growth brands decreased by 30 to 1008, while the number of new brand stores decreased by 43 to 53. Many brands in Jiangnan Buyi banner not only have a sharp decline in the number of shops, but also the ability to make profits.

But anyway, we hope that Jiangnan cloth can quickly solve the problem of slowing down the growth of performance and so on. We will return to the image of Baima as soon as possible and bring more returns to investors.