Daily Fashion Women'S Clothing Three Years 13 Sampling Failed

According to the world clothing shoes and hats net, in May 31st,

Group Limited by Share Ltd (hereinafter referred to as "day fashion") officially landed on the main board of the Shanghai Stock Exchange listing and listing, stock code: 603196.

The company's main business is brand clothing creative design, technology research and development, production and sales, and focuses on high-end fashion.

Field.

The company's existing brands are "broadcast: broadcast", "PERSONAL POINT" and "CRZ", and the three brands are

There are certain differences in style, brand positioning and target customers, but complementation and extension are realized.

On the day of fashion, the net capital raised by this project is 38120.31 yuan for the marketing network construction project, the R & D design center project and the information system upgrade project.

Public information shows that in April 13, 2017, the latest prospectus was released on the day.

The first application was approved in April 24, 2017.

In May 17th, the Japanese fashion purchase was opened, the purchase code was 732196, the purchase price was 7.08 yuan, the purchase limit of a single account was 24000 shares, and the number of purchase was 1000 times of the total number.

The lead underwriter is Haitong Securities.

The number of shares issued is 60 million shares.

The number of final issue on Internet is 5400 million shares, accounting for 90% of the number of the issue.

The issue price is RMB 7.08 yuan / share, with a P / E ratio of 22.99 times.

More than 98 thousand shares were abandoned by investors. Among them, online investors gave up the subscription amount of 88313 shares, and the net investors gave up the subscription amount of 9290 shares.

The final success rate of online distribution is 0.03750329%.

The stock price trend shows that since the listing in May 31st, the daily fashion has been trading for eight consecutive trading days. As of June 9th, the stock closed at 19.87 yuan.

According to the latest prospectus, the company's operating income in 2012, 2013, 2014, 2015 and 2016 is 778 million 20 thousand and 300 yuan, 929 million 29 thousand and 200 yuan, 911 million 75 thousand and 700 yuan, 897 million 701 thousand and 500 yuan, 948 million 930 thousand and 800 yuan respectively.

Net profits were 129 million 635 thousand and 500 yuan, 112 million 728 thousand and 400 yuan, 84 million 370 thousand and 300 yuan, 75 million 264 thousand and 100 yuan and 77 million 350 thousand and 200 yuan respectively.

The net receivables were 64 million 94 thousand and 500 yuan, 50 million 657 thousand and 100 yuan, 49 million 815 thousand and 200 yuan, 73 million 288 thousand and 600 yuan and 67 million 414 thousand and 500 yuan respectively.

The turnover rate of accounts receivable was 13.63, 16.19, 18.14, 14.58 and 13.49 respectively.

The book value of stock is 177 million 693 thousand and 100 yuan, 205 million 15 thousand and 200 yuan, 198 million 161 thousand and 700 yuan, 21839.52 yuan and 21750.75 yuan respectively.

Inventory turnover rates were 2.05, 2, 1.86, 1.65 and 1.67 respectively.

At the end of -2016 2014, the company's inventory balance was 229 million yuan, 256 million yuan and 259 million yuan respectively, representing 51.12%, 52.7% and 48.19% of current assets respectively.

The balance of merchandise inventory was 169 million yuan, 184 million 400 thousand yuan and 183 million 800 thousand yuan respectively, accounting for 70% of the total inventory balance.

In 2012-2016 years, the consolidated gross profit margin of the company was 57.16%, 58.73%, 58.84%, 61.73% and 61.74% respectively.

The total liabilities were 297 million 306 thousand and 900 yuan, 239 million 477 thousand and 300 yuan, 185 million 801 thousand and 900 yuan, 234 million 492 thousand and 800 yuan and 235 million 662 thousand and 700 yuan respectively.

Current liabilities were 271 million 819 thousand and 400 yuan, 210 million 923 thousand and 700 yuan, 151 million 716 thousand yuan, 199 million 86 thousand and 600 yuan and 196 million 93 thousand and 500 yuan respectively.

In 2017, the company's operating income was 1-3 yuan, 237 million 403 thousand and 200 yuan, and its net profit was 11 million 794 thousand and 100 yuan.

The issuer reasonably expects to achieve operating income of about 423 million 510 thousand yuan to around 443 million 677 thousand and 200 yuan in the first half of 2017, representing an increase of about 5% from the first half of 2016 to about 10%. After deducting non recurring gains and losses, the net profit attributable to shareholders of the parent company is about 17 million 352 thousand and 200 yuan to 18 million 219 thousand and 800 yuan, an increase of 0% or 5% from the first half of 2016, and there is no risk of a sharp decline in operating performance.

Prospectus also shows that the company in the past three years 13 sampling failed.

The company has been punished by the administrative authorities for three times because of the quality of its products, and has been investigated and notified by the relevant regulatory authorities for many times.

In response, the main board issued an inquiry on the penalty situation in the sixty-first meeting of 2017.

The representative of the issuer is requested to further explain that the internal control system of product quality in the reporting period and up to now, issuers on product development, raw material procurement, production, packaging, pportation, inventory management, after sales service and so on is sound and effective. Whether there are major defects in the relevant internal control system of the issuer, whether there are other undisclosed product quality violations, notification or punishment matters, whether there are disputes or lawsuits arising from product quality problems, whether the issuer's information disclosure is accurate and complete, and whether the disclosure of relevant risks is adequate or not.

It is reported that during the 2014-2016 year reporting period, the company's main brands are "broadcast: broadcast", "PERSONALPOINT" and "CRZ", and the sales revenue accounts for 80.54%, 3.95% and 15.51% of the main business income of the fashion business respectively.

The business performance of the day's fashion depends to a large extent on the brand performance of "broadcast: broadcast".

It is reported that in the next three years, there will be 209 new direct shops.

However, in the past 2014-2016 years, the company has shut down 121 Direct stores because of its failure in performance.

As for the practice of closing the stores so fast, the industry pointed out that many shoe and clothing enterprises are now in the closures of the shops, and the rental costs of the shops are still high and the impact of the electricity providers is increasing.

It is reported that the number of sales of clothing products has dropped continuously during the reporting period. The total sales volume in 2014 -2016 was 4 million 84 thousand and 500, 3 million 430 thousand and 700 and 3 million 265 thousand and 500 respectively.

Up to now, five brokerages have released research reports.

Among them, Everbright Securities gives the company stock 8.96-10.56 yuan.

Shen Wan Hongyuan securities gives the company a stock price of 13.5-15.8 yuan.

In response to the above situation, China Economic Net interviewed the fashion director of the fashion agency and did not receive a reply at the end of the press release.

The company focuses on brand clothing production and sales, one of the real controllers, and has the right of permanent residence in the UK.

According to the prospectus, the company is a well-known clothing brand operation management group. Its main business is the creative design, technological research and development, production and sales of brand clothing, and has a strong designer team and professional management team, advanced operation mechanism and distribution network of major cities throughout the country.

Since its inception, the company has focused on high-end fashion women's clothing.

The company adheres to the principle of original design, adheres to the brand concept of "designing and innovating life", implements the multi brand combination strategy guided by "creativity and design", and actively and persistently creates brand image, and provides exquisite clothing for the high-end and mainstream consumer groups.

At present, the company's own brand is "broadcast: broadcast", "PERSONALPOINT" and "CRZ". The three brands have certain differences in the design style, brand positioning and target customers. They complement each other and extend them. They can produce a good brand synergy effect while expanding the coverage of the company's product market, and effectively enhance the market influence of the company's products.

The company adopts the sales mode of "offline sales and online sales as a supplement", among which the sale under the line includes three modes: direct marketing, joint marketing and distribution. At present, the company's marketing network has covered 30 provinces, autonomous regions and municipalities directly under the central government.

As of December 31, 2016, the company had 886 sales terminals in the country, including 179 Direct stores, 82 joint stores and 625 outlets.

The company's profitability is relatively strong, the company's revenue in the past three years has remained stable throughout the past three years, the average value of 919 million 236 thousand yuan.

The controlling shareholder of the company is the daily broadcasting holding company, which directly owns 129 million 600 thousand shares of the company and its shareholding ratio is 72%.

The actual control of the company is Mr. Wang Weidong and Qu Jiangting, who directly hold 25% shares of the company and indirectly control 72% of the company's shares through daily Broadcasting Holdings, which together controls 97% of the company's shares.

Wang Weidong, male, has Chinese nationality and has no permanent residence right abroad.

Qujiang Pavilion, female, Chinese nationality, has the right of abode in the United Kingdom.

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Since its inception, the company has been engaged in creative design, technology development, production and sales of brand clothing, and has strong innovation ability. The apparel industry belongs to the most important part of fashion industry.

According to CSRC's guidelines on industry classification of listed companies released in October 2012, the company's business is "18, textile, clothing and apparel industry" under the "C".

On the day of fashion, the net amount raised is 381 million 203 thousand and 100 yuan for marketing network construction projects, R & D design center projects, and information system upgrading projects.

Business performance fell sharply in the first half of 2016

According to the news, in April 24, 2017, the motherboard issued a trial committee on the sixty-first meeting of the 2017 audit results announcement, put forward a lot of questions about the day fashion.

1, the representative of the issuer is invited to explain the relevant internal control and implementation of selecting qualified outsourcing processing suppliers, dispatching processing orders and product quality related accountability mechanisms.

The sponsor representative shall explain the existence of the relationship between the external co processing suppliers and the actual controllers, shareholders, directors, supervisors, senior managers and their close family members, and the verification of the completeness of the outsourcing processing costs issued by the issuers.

And has been repeatedly investigated and notified by the relevant regulatory authorities, and the internal control system of product quality such as product development, raw material procurement, production, packaging, pportation, inventory management and after sale service has been effectively implemented during the reporting period and up to now. Whether there are major defects in the relevant internal control system of issuers, (2) whether there are other undisclosed product quality violations, bulletin or punishment items, whether there are disputes or lawsuits arising from product quality problems, whether the issuers' information disclosure is accurate and complete, and whether the exposure of relevant risks is adequate; (3) whether the issuer's production and operation comply with the provisions of laws and regulations of the product quality law and the basic safety technical specification for national textiles. 2, the representative of the issuer shall further explain: (1) the issuer has been punished by the administrative authorities for three times because of the quality of the products.

The sponsor representative shall explain the verification method, process, basis and conclusion, and explain whether the issuer is in conformity with the relevant provisions of the "IPO issuance and listing management measures".

　　3、请发行人代表进一步说明：(1)报告期各期发行人新开门店和关闭门店较多的具体原因，报告期内经销商门店减少的具体情况、退出经销门店的收入对当期收入的占比情况、以及退出经销门店转为联销门店的商品处理及其相应会计处理情况;(2)发行人对联销销售模式和托管经营模式下的各类门店的具体管理方法和措施，包括但不限于收入确认方法、存货确认、相关销售人员和管理人员的聘用、市场推广费和广告费等相关费用承担等;(3)发行人对经销商的主要权利及义务，如运输费责任、保证金的缴纳政策及情况、退换货政策及报告期内各年度经销商退换货的具体数量和金额，以及对于退换货的处置情况;(4)发行人与经销商之间是否存在关联关系，发行人对经销商是否存在延长信用期限、增加信用额度、提供担保、借款等财务支持或其他利益安排的情形;(5)对直营销

The specific circumstances of the mode of trusteeship in the selling mode are further explained, including: the specific number of households, sales volume, the way to confirm revenue, the specific control and business reasons; the specific circumstances of the trustee, the way of selection, whether it is related to the issuer, the number of salesmen involved, whether the relevant personnel pay social insurance according to law, whether the staff concerned has ever issued a labor contract relationship for the issuer, whether there is a case of avoiding social security for employees, and whether the mode should also belong to the direct mode and the specific difference with the joint marketing mode.

During the reporting period, the specific amount of inventories and the specific reasons for the larger share of the issuer were compared. Based on the characteristics of the industry, production mode, sales mode, sales cycle and number of direct outlets, the paper compares the stock proportion and stock turnover rate of the listed companies in the same industry, and explains whether it is reasonable. (3) the balance and rationality of the main shops of the issuers; (4) the reasons and reasonableness of the main memory of the main stores; (4) the reasons and reasonableness of the inventory turnover rate below the same industry level during the reporting period; and (5) combining the product sales cycle, product market situation, material preparation cycle, commodity warehouse age, business mode, and the impairment provision of the comparable listed companies, further illustrates whether the inventories' adequacy of inventory depreciation preparation during each reporting period is adequate and whether they fully indicate the relevant risks. 4, the representative of the issuer shall further explain: (1) the relevant internal control system and effective implementation of inventory and its depreciation provision; (2)

Requests the sponsor representative to issue verification opinions.

In addition, in April 13, 2017, the SFA issued a lot of inquiries about the fashion of the day in the initial application feedback.

The prospectus disclosed that in the 2013-2016 years and 1-6 months, the issuer's operating income during the reporting period was 929 million 29 thousand and 200 yuan, 911 million 75 thousand and 700 yuan, 897 million 701 thousand and 500 yuan and 403 million 342 thousand and 900 yuan respectively, while operating income declined slightly during the reporting period, and the operating performance in the first half of 2016 dropped significantly.

Please compare the first half of 2016 with the first half of 2015, and compare the main items of the balance sheet between the end of 2016 6 and the end of 2015 6. The reasons for the change in the reporting period of the listed companies in the same industry are compared. If there is a big difference, please analyze the reasons for the difference.

The sponsors and accountants should check the above matters and issue verification opinions.

The prospectus disclosed that the gross profit margin of the issuer's main business during the reporting period was 60.07%, 61.32%, 62.82% and 66.95% respectively.

Please make additional disclosures in the "management discussion and analysis" of the prospectus: (1) please further subdivide the different brands under different sales channels, and combine the changes in the unit cost of various products (changes in materials, labor and fees), the prices of raw materials, the proportion of unit cost and the consumption of raw materials, and so on.

Broker Pricing: 8.96-15.8 yuan

China Merchants Securities released research reported that the day fashion as a well-known brand of domestic fashion women, the overall quality of development is relatively good, and sound business performance.

In the later stage, we will speed up the opening of stores in a second tier city, improve the control of channel terminals, and enhance the level of supply chain management, so as to achieve sustained and rapid development.

It is estimated that 17-19 years EPS will be 0.34, 0.40 and 0.48 yuan / share respectively, taking into account the valuation premium of new shares, giving 17 years 30XPE as the center, and a reasonable two market price center of 10.20 yuan.

Risk hint: 1) the speed of direct store construction is accelerated and the cost is increased; 2) the risk of fluctuation of the main brand style after the departure of the original design director; 3) the development of multi brand system and the progress of joint venture are slower than expected.

In the 2014-16 years, the company's direct revenue accounted for 30.1%, 31.1% and 34.5%, and steadily increased.

With the promotion of investment projects, the proportion of Direct stores will continue to improve, which will enhance the company's ability to control sales channels.

In addition, the R & D center will further enhance the R & D capability of the company and contribute to the improvement of the company's product competitiveness.

We expect revenue growth to come mainly from the increase in the number of direct outlets.

The gradual increase in the proportion of direct income will also contribute to the improvement of gross margin and promote performance growth.

Risk hints: brand risk, inventory management and inventory fall risk, industry growth risk and so on.

Everbright Securities said that the company issued no more than 60 million shares, raising 381 million new 209 Direct stores, R & D centers, and information system upgrading.

It is estimated that the diluted EPS will be 0.32, 0.35 and 0.39 yuan after 17-19 years.

Consider the company's 3 year CAGR7.76%, reference to the company's location close to the new shares of Taiping bird, the positive fashion valuation level, giving 17 years 28-33 times PE, corresponding to a reasonable value range 8.96-10.56 yuan / share.

Risk warning: Designer turnover, new brands and overseas expansion are not as good as expected, terminal weakness and weather anomalies.

Shen Wan Hongyuan issued a research report that it is a clothing brand operation management group of high-end women's clothing. Its main brand is developing steadily, and actively fostering new independent brands and layout designer brand. It is expected to build a multi-layer and distinctive brand ecosystem in the future.

In the future, relying on our company's further development in channel layout, brand development and category increase, we will continue to enhance our company's overall operational efficiency in line with information technology.

It is estimated that EPS will be 0.45/0.52/0.59 yuan after 2017-2019 years' full dilution. We will give the company a reasonable valuation interval of 30-35 times in 2017, corresponding to the company's reasonable price range of 13.5-15.8 yuan.

Risk Disclosure: macroeconomy, industry competition, inventory management and inventory depreciation, single brand and channel expansion.

Three years 13 random sampling failed

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The prospectus shows that in the above matters, there are three fines for the issuer to impose administrative penalties.

1. The garments sold by Guangzhou Tengyi Beijing third sales branch are judged to be unqualified by sampling inspection. The Changping sub Bureau of Beijing Administration for Industry and commerce, Guangzhou, Tengyi Beijing third sells branch offices to confiscate the illegal income of 3455.7 yuan yuan, and impose a fine of 8495 yuan on administrative penalties.

Guangzhou Tengyi Beijing third sales branch has paid the fines in time and in full, and promptly disqualified the unqualified products.

2. Guangzhou Tengyi sales account for CDI3R353's down coat is not qualified for the GB/T\14272-2011, according to the requirements of GB/T\14272-2011 2016]. The West Branch of the Beijing Administration for Industry and Commerce issued the word "administrative punishment" to the Tengyi company in Guangzhou on the 11 th day of the year, and decided to impose an administrative penalty of confiscating the illegal income of 765.85 yuan and a fine of 8792 yuan.

Guangzhou Tengyi has paid the fines in full and on time, and promptly disqualified the unqualified products.

3, the Fengtai branch of the Beijing Administration for Industry and commerce was judged to be unqualified on the color fastness to light fastness of Beijing Chuang Mei products, and the following penalties were imposed on Beijing Chuang Mei: confiscation of illegal income of 450.8 yuan; confiscation of products; a fine of 2038.4 yuan.

The company said that in the course of its operation, it focused on product quality problems, and through strict internal control measures to control the quality of products, there were very few quality problems.

In the course of operation, the company actively coordinates the work of the administrative departments such as the quality supervision department, the industry and Commerce Department, and so on. When the above inspection fails, the defective products are promptly and voluntarily disposed of, recalled, and rectify defective products. In addition to the above unqualified sampling inspection and administrative penalty, the company's products do not have any other quality problems, and there are no disputes or lawsuits arising from product quality problems.

According to the verification by sponsors and lawyers, according to the certificate of compliance issued by the Shanghai Administration for Industry and Commerce in April 14, 2015, October 14, 2015, April 13, 2016 and 2017, 12 months and 1 days respectively, the issuer did not record any administrative penalty by the industrial and commercial administration for the past three years in violation of the laws and regulations of the industry and commerce administration. According to the compliance certificate issued by Songjiang District quality and Technical Supervision Bureau of Songjiang District and Shanghai Songjiang District market supervision and Administration Bureau in May 14, 2015, October 21, 2015, October 21, 2015 and Hong Kong, the issuer has not been punished by the quality and technology supervision and management department for violating the quality and technical supervision laws and regulations in the past three years.

The administrative departments for Industry and commerce, the quality and technology supervision and management departments of the issuers of the controlling subsidiaries are also certified by the relevant laws and regulations of the industrial and commercial administration, quality and technology supervision, etc. of the issuers' production and business activities.

Sponsors and lawyers have searched the issuer's product quality disputes through public enquiry channels, and obtained the confirmation that the issuer's main customers and distributors have no product quality disputes with the issuer.

The issuer has also made a commitment to promise that there is no product quality dispute with the customer or distributor during the course of operation. Except for the unqualified sampling and administrative penalty, the products manufactured by the controlling shareholder and its subsidiary companies have been in compliance with the relevant national technical indicators and quality standards since 2014 years ago. There is no record of poor quality of products, and no penalty has been received by the administrative departments for Industry and commerce administration, quality and technical supervision and management, because of product quality problems.

The competent department conducted an interview, and according to the relevant provisions of the product quality law and the implementation measures of the administrative penalty discretion of the Beijing Administration for Industry and Commerce (hereinafter referred to as the "implementation measures"), the value of the penalty for the unqualified products of Guangzhou Tengyi, Guangzhou Tengyi Beijing third sales branch and Beijing Chuang Mei was all less than 1 million yuan, and the fines were 1 times the value of the products involved, which is the lowest level of illegal offenses stipulated in the "implementation measures". The Guangzhou sales company, Guangzhou Tengyi Beijing third sales branch and Beijing Chuang Mei have paid the fine in full and timely rectification. The sponsor and issuer lawyer shall punish the issuer as geological supervisor.

Based on the above verification, sponsors and lawyers believe that Guangzhou Tengyi, Guangzhou Tengyi Beijing third sales branch and Beijing Chuang Mei's previous sales of substandard products do not constitute major violations of law.

In addition to the above administrative penalties, the issuer has not been punished by administrative departments of industry and commerce administration, quality and technology supervision and management departments and other administrative departments for the last three years because of the quality of products. There is no product quality dispute between the issuer and its main customers and main distributors.

Single brand income accounts for high risk of expansion and sales network risks.

According to reports, during the 2014-2016 year reporting period, the main brands of the issuers were "broadcast: broadcast", "PERSONALPOINT" and "CRZ". The average sales revenue accounted for 80.54%, 3.95% and 15.51% of the main business revenue of the fashion business respectively.

It can be seen that the business performance of the daily fashion depends to a large extent on the brand performance of "broadcast: broadcast".

According to the prospectus, the single brand sales revenue of "broadcast: broadcast" during the reporting period were 717 million yuan, 706 million yuan and 751 million yuan, slightly higher than the comparable level of the same industry listed companies.

However, its sales performance declined slightly in 2015, and it did not improve much in the three years.

At the same time, the multi brand development strategy of actively developing the day fashion fashion is also mixed. Among them, the tide brand brand "CRZ" has a good development trend, but the scale is small, and the income is 122 million yuan, 140 million yuan and 158 million yuan respectively during the reporting period, while "PERSONALPOINT" has been declining year after year after the expansion of the business, and the income has been realized 45 million yuan, 37 million yuan and 24 million yuan respectively in the reporting period.

At present, the daily fashion is dominated by the single brand strategy of the leading brand "broadcast: broadcast", which makes it inferior to the competition in the same industry.

The single brand risk of day fashion fashion led to a reduction in the overall number of styles. Nearly five years of data showed that the number of "PERSONALPOINT" clothing and accessories styles continued to decrease, while the "CRZ" decreased slightly in 2015, with a slight increase every year.

But the main brand "broadcast: broadcast" clothing styles are 1035, 1245, 1257, 841 and 927, respectively, which are quite different from their competitors.

It is reported that in the next three years, there will be 209 new direct shops.

However, in the past 2014-2016 years, the daily broadcasting group has shut down 121 Direct stores because of its failure in performance.

As for the practice of closing the stores so fast, the industry pointed out that many shoe and clothing enterprises are now in the closures of the shops, and the rental costs of the shops are still high and the impact of the electricity providers is increasing.

Kang Lanxin, director of the school of clothing and accessories, also pointed out that in recent years, mainstream consumer groups usually choose online shopping, and the demand for physical stores gradually decreases. The newly opened stores should not simply undertake the previous sales function, but should also enhance their consumption experience and store services. Otherwise, a large number of shops will not have a positive effect on the brand.

For the problem of unbalanced development of the brand of the day fashion, Kang Lanxin said that it usually takes about 4-5 years to successfully operate a sub brand, which involves various details such as brand positioning and store opening. However, after "six years' development," PERSONAL POINT "has not yet formed a better performance.

According to the prospectus, the clothing and accessories styles of PERSONAL POINT actually showed a decreasing trend year by year, from about 570 in 2014 to 409 in 2016.

Kang Lanxin pointed out that after the listing has been raised, the fashion of the day may consider investing more in the weaker brands, so as to balance the brand development.

Clothing sales decline, inventory accounts for nearly 50% of liquid assets.

According to reports, from the overall performance of the company, the 2014-2016 years of the daily fashion were 911 million yuan, 898 million yuan and 949 million yuan respectively, and the compound growth rate was 4%. The net profit for the same period was 844 million yuan, 753 million yuan and 774 million yuan respectively, with a compound growth rate of -9%.

The sales volume of clothing products has been declining continuously during the reporting period compared with the day's fashionable business income. The total sales volume in 2014 -2016 was 4 million 84 thousand and 500, 3 million 430 thousand and 700 and 3 million 265 thousand and 500 respectively.

In this regard, the explanation of the day fashion is explained by the adjustment of the company's commodity strategy to the development of quality products, the improvement of the quality of goods and the average unit price.

Similar to most other garment enterprises, the daily fashion is facing high inventory trouble.

Prospectus shows that at the end of -2016 in 2014, the book balance of daily fashion inventory was 229 million yuan, 256 million yuan and 259 million yuan respectively, accounting for 51.12%, 52.7% and 48.19% of current assets respectively.

The balance of merchandise inventory was 169 million yuan, 184 million 400 thousand yuan and 183 million 800 thousand yuan respectively, accounting for 70% of the total inventory balance.

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Day end fashion 2014-2016 inventory data

Insiders said that if the inventory rate continued to grow in the future fashion, the proportion of stock occupied funds would be further expanded, which would easily lead to business risks.

In addition, the company makes use of inventory to deal with the risk of inventory. Once the inventory rate increases, the inventory will be further increased or will affect the company's performance.

The prospectus shows that the amount of allowance for inventory depreciation is 31 million 284 thousand and 300 yuan, 37 million 249 thousand and 200 yuan and 41 million 842 thousand and 900 yuan respectively in the 2014-2016 years of fashion.

It is understood that the same focus on high-end women's clothing Vigna S in the first time when the impact of IPO was not, the Commission issued an explanation given by the Commission, one of which is "substantial increase in inventories, the future profitability of the existence of greater uncertainty."

The gross profit margin in recent three years is lower than that of an Zheng fashion, Vigna S.

The company's gross margin level

Prospectus shows that in 2012-2016 years, the company's consolidated gross profit margin was 57.16%, 58.73%, 58.84%, 61.73% and 61.74% respectively.

The company said that in 2014, 2015 and 2016, the company's consolidated gross margins were 58.84%, 61.73% and 61.74%, respectively, at a relatively high level.

The company's gross margin level is mainly affected by commodity multiplying rate, sales discount and sales channel distribution.

During the reporting period, the consolidated gross profit margin of the company maintained a slight upward trend.

Gross profit margin of different brands under different sales channels

During the reporting period, the gross profit margins of broadcast: and CRZ were similar in the products of the company, while the gross margin of PERSONALPOINT was relatively low. The main part of the company dealt with the original brand products after repositioning the PERSONAL POINT brand in 2014. During the reporting period, the stock of the original brand gradually declined, and the proportion of new PERSONALPOINT products continued to rise, resulting in a gradual increase in the gross profit margin of PERSONAL POINT.

Comparative analysis of company gross margin and the same industry

In 2014, the gross profit margins of -2016 were 58.84%, 61.73% and 61.74% respectively.

Domestic clothing companies: Mass Phil, Xin he shares, Jiangnan Buyi, an Zheng fashion, Lang Zi shares, Song Li Si, Wei nunsi 2015 gross profit rate reached 79.74%, 67.21%, 61.40%, 68.87%, 58.99%, 67.61%, 70.33% respectively, among them, the positive fashion, Vigna S 2016 gross profit margin 71.06%, 70.24%.

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The prospectus shows that the price of the company's CRZ distribution mode in 2014, 2015 and 2016 is 249 yuan, 247 yuan and 245 yuan respectively.

In the first five years of listing, the total dividend was 270 million yuan.

According to the prospectus, the dividend in mid 2012: through the shareholders' meeting held in December 20, 2012, the company allocated the total undistributed profits at the end of 2012 7, and the allotment amount was 100 million yuan (including tax), which has been implemented.

2012 dividends: after the shareholders' meeting was approved in April 29, 2013, the company allocated the total undistributed profits as at the end of 2012, and the allotment amount was 17 million yuan (including tax), which has been implemented.

2014 annual dividends: through the 2014 annual meeting of shareholders held in May 22, 2015, the company has allocated a total of undistributed profits by the end of 2014, and the amount is 70 million yuan (including tax), which has been completed.

2015 annual dividends: through the 2015 annual meeting of shareholders held in April 25, 2016, the company has allocated a total of undistributed profits by the end of 2015, and the amount is 37 million 500 thousand yuan (including tax), which has been completed.

2016 dividends: after the 2016 annual general meeting held in April 13, 2017, the company allocated the accumulated undistributed profits as at the end of 2016, and the allotment amount was 10 million yuan (including tax), which has been implemented.

More interesting reports, please pay attention to the world clothing shoes and hats net.