A few days ago, Lining (2331) released the 2019 results announcement.
According to the announcement, in 2019, Lining realized operating income of 13 billion 870 million yuan, an increase of 32% over the same period last year, and realized a net profit of 1 billion 499 million yuan, an increase of 110% over the same period last year. After deducting disposable profit and loss related to business, the net profit increased by 77% to 1 billion 266 million yuan, and the gross profit margin expanded 1 percentage points to 49.1%; and the cash flow increased by 110% to 3 billion 503 million yuan.
Lining believes that the increase in gross margin is mainly due to the improvement of brand recognition. The discount offered by the group to the franchisee has been improved. The sales discount of the old and new products has been improved, and the cost ratio of the tag has been further optimized.
Judging from the classification of products, clothing accounts for 51.2% to 7 billion 110 million yuan of total revenue, footwear accounts for 43.9% to 6 billion 85 million yuan of total revenue, and equipment and accessories account for 4.9% to 674 million yuan of total revenue.
Sales growth of group and various outlets in 2019
From 2015 to 2019, Lining accounted for the sales of various channels.
Sub channel, Lining revenue 98.1% from the Chinese market, overseas income accounted for 1.9% of the total.
Among them, the income from franchisees accounted for 49.5%, the direct business accounted for 26.1%, e-commerce channel revenue increased by about 40%, accounting for 22.5% of the total revenue.
By the end of 2019, the number of Lining sales outlets in China (excluding Lining YOUNG) totaled 6449, a net decrease of 115 from the end of last quarter.
With a net decrease of 214 retail business, wholesale business increased by 319, and 105 in early 2019. The number of children's clothing brand Lining YOUNG sales points totalling 1101, a net increase of 308.
Lining, executive chairman and co chief executive officer of Lining group, pointed out that in 2019, in the face of increasingly subdivision of sports consumption demand, we continued to focus on building and consolidating Lining experience value. Through diversification strategy, integrate the advantages of online and offline platform, and use digital marketing strategy to further connect the brand with different consumer groups, and enhance the brand image and value of Lining. During the year, the group's main operational indicators were further optimized, and the group's revenue grew steadily and profitability continued to improve.
Regarding the future, Lining said that he would take every step of the way and devote major resources to sports knowledge learning and technology research and development, and actively seek and explore more business development space. In the face of the impact of the new crown pneumonia epidemic on the whole industry, Lining analyzed that after the outbreak of the epidemic, people would pay more attention to physical training and physical fitness, and the potential of the industry remains to be released.