Ruyi Group'S Net Profit In The Three Quarter Decreased By 20 Million 340 Thousand Compared To The Same Period Last Year, 36.37%

In October 22nd, Shandong Ruyi woolen garment group Limited by Share Ltd ("Ruyi group") issued the third quarter report in 2019. In the third quarter, a number of performance data of Ruyi group declined, achieving a profit of 242 million yuan, a year-on-year decrease of 19.19%, net profit of 20 million 342 thousand and 900 yuan, a decrease of 36.37% over the same period last year, and a net profit of 12 million 452 thousand and 300 yuan, a decrease of 48.4% over the same period last year.

In the first three quarters of 2019, Ruyi group's revenue was 840 million yuan, down 5.07% compared with the same period last year. Net profit and net profit were 70 million 894 thousand and 300 yuan and 48 million 939 thousand and 900 yuan respectively, up 16.48% and 37.05% compared with the same period last year. Net cash flow from operating activities dropped by 332.03% to -1.72 billion yuan. According to public notice, the reason for this reduction is the increase in cash paid for purchases of goods compared with the same period last year, resulting in an increase in cash flow from operating activities.

In the third quarter, Ruyi group announced in July that it acquired the stock of Ruyi Technology (Hongkong) and Jining Ruyi brand, and then indirectly controlled Li bang and Ya Ge Dan Dan holdings, so as to control the international high-end fashion brands such as CERRUTI 1881, GIEVES&HAWKES and KENT&CURWEN. If the transaction is completed, the business scope of Ruyi group will extend from wool spinning line, fabric and clothing production to high value-added fashion brand operation.

According to the third quarter report, due to the large number of overseas entities of the target company, the audit, assessment, due diligence and other work of the exchange are still being further promoted.