Diversified Channels and Improved Product Administration Brings Progress Momentum
HONG KONG, CHINA – Media OutReach – 27 October 2020 – The main worldwide sportswear model enterprise within the PRC, China Dongxiang (Group) Co., Ltd. (“China Dongxiang” or “the Firm”, along with its subsidiaries, “the Group”, HKEx inventory code: 3818) proclaims its operational outcomes for the three months ended 30 September 2020 (2Q FY2020/21) and the six months ended 30 September 2020 (1H FY2020/21).
For the 2Q FY2020/21, the retail efficiency of Kappa shops (excluding Kappa youngsters’ attire enterprise and Japan enterprise) for the general platform registered a mid-single-digit progress on a year-on-year foundation, of which the offline enterprise recorded a flat progress, and the e-commerce enterprise recorded a mid-to-low thirties progress. The retail efficiency of the general platform for the 1H FY2020/21 recorded a low-single-digit progress on a year-on-year foundation, of which the offline enterprise recorded a mid-single-digit lower and the e-commerce enterprise recorded a mid-to-low thirties progress.
As for the same-store-sales (SSS) throughout 2Q FY2020/21, in respect of Kappa shops (excluding Kappa youngsters’ attire enterprise and Japan enterprise) which have been in operation for the reason that starting of the identical quarter the earlier 12 months, the SSS for the general platform registered a mid-to-low single-digit progress, of which the offline enterprise recorded a mid-to-low single-digit lower and the e-commerce enterprise recorded a mid-to-low thirties progress. The identical-store gross sales for the general platform for the 1H FY2020/21 recorded a mid-single-digit progress on a year-on-year foundation, of which the offline enterprise recorded a high-single-digit lower and the e-commerce enterprise recorded a mid-to-low thirties progress.
For the second quarter ended 30 September 2020, the variety of Kappa-branded shops of the Group was 1,153 (excluding Kappa youngsters’ attire enterprise and Japan enterprise), representing a web enhance of 24 as in contrast with that as at 31 March 2020 (the tip of FY2019/20). Within the subsequent step, the Group will proceed to shut inefficient shops.
Mr. Zhang Zhiyong, CEO, President and Government Director of China Dongxiang, stated, “For the reason that implementation of ”direct-franchise” mannequin, the Group has continued to reform. Interim progress has been achieved in Kappa model enterprise which has been in step with administration’s expectation. Through the Interval, progress momentum of the offline gross sales was principally derived from structural optimisation of channels in addition to persevering with regular progress in enterprise efficiency of shops and buying centres. In the meantime, the Firm has made progress in reform and development of the product administration and design group. By way of a collection of efficient measures, attire product ranges had been additional diversified within the interval, registering a progress in mix-and-match gross sales. As well as, we’re creating a brand new enterprise platform which helps to construct a stable basis for the event of our e-commerce enterprise. The Firm will proceed to implement localised administration of gross sales groups, additional speed up the merchandise turnover in omni-channel retailing and strengthen the skilled capabilities of product groups. We are going to carefully monitor the modifications of the pandemic, strengthening supervision and management over our operations to guard the Group’s worth and shareholders’ pursuits.”
About China Dongxiang (Group) Co., Ltd. (Inventory code: 3818)
China Dongxiang (Group) Co., Ltd. is a number one worldwide sportswear model enterprise in China which has been listed on the Essential Board of the Hong Kong Inventory Alternate since 10 October 2007. The Group is primarily engaged within the design, improvement, advertising and wholesale of branded sportswear in China. At the moment, China Dongxiang owns all rights to the internationally famend Kappa model in China and Macau. On 1 Might 2008, China Dongxiang accomplished the acquisition of Phenix, a Japanese sportswear enterprise. Phenix is the most well-liked ski model in Japan with the most important market share, in addition to a well known model within the worldwide market.
For extra info, please go to http://www.dxsport.com/