Further strengthen the special shoe in order to promote sustainable growth
Special steps in 2009 in the first half revenue rose 19% year on year to 1.677 billion yuan, so the profit is also an increase of 20% to 306 million yuan. Main Internet Step footwear average selling price rose 7.2% to 80.4 yuan, driving its overall gross profit margin increased 1.8 percentage points to 38.6%. The company continues to expand its sales in retail shops will also help the growth period, the company added 337 stores, number of outlets increased to 5,869 rooms. If not part of the company's orders were canceled, will be dragged down by about 5% of its revenue, the company's revenue will be more desirable.
Special step up advertising and promotional expenses jumped 71%, the operating expenses and turnover ratio from 15.6% in the first half of 2008 increased to 19.3% in the first half of 2009. As of the end of the first half of 2009, the company has 2.1 billion yuan in cash and no debt, its financial position remains sound; and with the accelerated turnover of its assets, the company's cash flow also improved.
Xtep brand remains the main source of income of the company, the brand's revenues in 2009 increased by 18% in the first half year, accounting for about 92% of total turnover. The brand's gross profit margin increased 2.2 percentage points to 38.5%. Xtep brand clothing sales increased 24% year on year, the average selling price also rose by 2.7% year on year to 46.1 yuan, driving the business's sales rose 27%, 52% of total revenue of the brand. Footwear business, benefit from the average price rose 7% to 80.40 yuan and sales of a modest increase of 3%, its sales increased by 11%. The 6 months, special step increase in 349 stores to 5,405 the total number of rooms.
By region, eastern and southern regions of the company's main revenue source, respectively, 39% of their total turnover and 30%. Jiangsu, Zhejiang, Anhui, Shandong, Hunan and Hebei Province are the main selling point of the company. In addition, Zhejiang Province, the economic growth in these areas are higher than the national level, its retail sales also recorded a faster growth.
In addition, the company sports Disney brand and the brand Colin income totaling 8% of the total turnover, up 35% year on year to 129 million yuan. However, the cost of footwear and apparel products increased, the margin of the two brands fell from 3.2 to 40.4%. Footwear business increased 55% year over year sales of two brands of the main driver of revenue growth, representing revenue of the two brands to 43%; and accessories business, revenue jumped 96% year over year, accounting for the total of the two brands income is only 6%. In the first half of 2009, the reduction in the number two brand shops 12-464.
Special-step product for the mass market, and primarily target young people, so its relatively cheap price. Therefore, the weak economic environment, the company is more resilience in the retailer. We estimate that the 2008-2010 compound annual growth rate in earnings per share of 20% calculation, and assuming that particular step of the price-earnings ratio than Li Ning (2331.HK, $ 24.30, hold), Anta Sports (2020.HK, $ 10.70, buy ) and the trend (3818.HK, $ 5.41, buy) the current average price-earnings ratio of 20% discount to our target price for special steps to 4.74 yuan, equivalent to a lower price-earnings ratio of 14.4 times 2009 estimated earnings growth rate or the City 0.72 times.
I am a professional writer from China Products, which contains a great deal of information about $keyword_li, welcome to visit!
Processing your request, Please wait....
