Urban Beauty Is Still The Biggest Brand Underwear Enterprise In China.

At present, closing shop tides are so popular. Why are urban beauties so popular? Let's take a look.

Recently, the semi annual report released by urban beauty showed that during the reporting period, the sales revenue of the company increased by 27.2% over the same period last year, which was about 2 billion 200 million yuan, mainly due to the increase in the number of franchised stores and self operated stores, which led to the increase in the sales volume of the products sold, plus

And self shop performance has improved.

It should be noted that the gross profit margin of the company increased from 40.1% to 44.7%. In the annual report, the company's explanation is: "the main reason is that the company continuously improves sales channels and product mix, further integrates the industry supply chain, and continues to consolidate the economies of scale."

Zheng Yaonan, executive director and chief executive officer of urban beauty, said frankly, "we are still the largest brand underwear enterprise in China in terms of total retail sales in 2014".

At the same time, Zheng Yaonan said, "we will continue to focus on developing the mass market and expand its share in the high-end clothing market, while continuing to build a wide distribution network of cities and townships in different levels throughout China."

This formulation needs attention.

Recently, urban beauty has been taking frequent moves in mergers and acquisitions and acquiring well-known high-end products.

Brands, namely Ordifen, ruby and Yi Xia.

These acquisitions allow companies to acquire sales channels and customers for high-end Chinese personal clothing.

After the acquisition, the urban beauty successfully improved the retail management and reduced the sales cost of the acquisition brand. By upgrading the operation and management, the city acquired the brand and began to make profits.

Everbright Securities Research Report, the Ordifen assets acquired by city beauty began in June, and at the same time, its performance was realized on a timely basis.

CICC said in its research report that the potential mergers and acquisitions in the supply chain will become the company's share price catalyst.

The target price is raised to HK $2.1% to HK $11.09 (22 times 2016 P / E), corresponding to 35% of the upstream space.

City beauty says that by the end of June 30th this year, there were 578 brands.

Most of the shopping centers and department stores are located in the first and second tier cities of China.

This layout is considered to be conducive to the expansion of the company's business in high-end channels.

In addition to buying brand channels, urban beauty's first half year's shop speed has not slowed down a bit.

In the first half of this year, the company opened 649 stores, the number of stores reached 8253, 6859 franchisees, 1394 self operated stores, and the growth rate of self operated stores was faster than that of franchised stores.

Ordifen has 578 stores.

The average store growth was 5%, and the growth rate of self owned stores was higher, reaching a high single digit.

According to the channel, the income of franchised stores decreased slightly to 63%, and the proportion of self owned stores increased to 35%. It is worth noticing that the growth rate of electricity suppliers in the first half of the year has been rapid, increasing by 1062.8% compared to the same period last year, and the proportion of revenue has reached 2%.

Urban beauty expects to expand the retail network in the second half of the year, similar to the first half of the year.

At the same time, the number of network sales platforms will be increased in the second half of the year, and the integration of online and offline sales channels will continue to be strengthened.

It's unthinkable. How many people dream of opening a shop?

We expect urban beauty to create better results in the future.