Report Bird Performance Reversal Trend Clear

Recently, the reporter has investigated the news birds, and has communicated with the management of the company. We believe that the bottom of the company's fundamentals has passed, and the future reversal trend is determined.

Brand and price adjustment ends.

Similar to most companies in men's clothing industry, facing economic adjustment and anti-corruption.

The adverse effects of the company have undergone 13 or 14 years of more in-depth adjustment. At present, the company has reduced the poor brand, series and higher price category, and reduced the original dozen brands to 8.

Overall, the price band (average price) dropped by about 1/3.

In the future, the company will reduce the product rate and create a brand with higher cost performance.

We should pay full attention to online channel sales, R & D and internal management to make full use of the Internet.

From 2013, the advertising investment in traditional media gradually dropped to 2015.

The focus is on new media.

The sale of online channels is now 5% of the online sales of the birds, and it is hoped that online sales will account for 10%.

Other brands are also online.

The company attaches importance to the Internet on the other hand, which is reflected in the internal management and R & D, and the internal management of the Internet. The original designer LED R & D system has been pformed into a commodity planning oriented. Through the analysis of big data, the production and sales rate has been raised, making product design more close to the needs of consumers, and production and marketing are more effective.

Build multi brand, full channel and international brand.

In the future, the company will do more brand and channel operation around men's business and leisure areas.

All brands are covered by online and offline channels. In addition to reporting birds, Haggis's online business target accounts for 20% of the brand's sales. In addition, there is also the operation of a pure e-commerce brand.

Internationalization mainly refers to the brand of international standard, that is, low rate, high yield and Gaoping efficiency.

The rate of international brand is usually about 5 times. At present, the wedding bird is 7 times.

The company will further reduce the rate of reporting birds and keep pace with the international market.

At the same time, return to the essence of business, pay attention to the profitability of terminal channels, and turn off non profitable shops.

Volume body

Business opening up new space, it is worth looking forward to.

The company will focus on the volume of private custom business, through the intelligent pformation of production lines (Anhui, Shanghai, Wenzhou three lines will be completed this year), to achieve low-cost, fast production.

The company has expanded the business model of more than 20 quantity teachers in the whole country to more than 300 quantity division stores. Many brands have launched the volume customization business. The volume business will effectively enhance the customer's viscosity, the customized business space is larger, and the entry threshold is relatively high. The company will carry out the volume business as a regular business, and the future is worth looking forward to.

Maintain "recommended" rating.

After 2 years of adjustment, the company's assets structure, cash flow and inventory have significantly improved. With the resumption of terminal revenue growth in the 15 years, profits are expected to increase substantially.

Our forecast for the company's 2015-2016 year EPS is 0.44 yuan, 0.57 yuan, and maintain the "recommended" rating.