Source of this article: Times Business School Author: Chen Lina
Source | Times Business School
Author | Lina Chen
Edit | Sun Yiming
On April 23, Garman Clothing (301276. SZ) released its 2023 annual report and 2024 first quarter report. According to the annual report, in 2023, the company's operating income will be 1.152 billion yuan, a year-on-year increase of 0.76%, net profit will be 180 million yuan, a year-on-year increase of 8.55%, and the net profit after deducting non-attributable to the parent will be 124 million yuan, a year-on-year decrease of 9.46%, which has declined year-on-year for two consecutive years.
In the first quarter of this year, the performance of Garman clothing was unsatisfactory, with revenue and net profit both declining, down 2.18% and 17.51% year-on-year respectively.
As a mid-to-high-end children's clothing operation company, Jiaman Apparel has built a diversified omni-channel sales model of online and offline, direct sales and franchise. Among them, in 2023, the company's online sales will account for more than 30% of its revenue.
Times Business School research found that in recent years, the return rate of Jiaman's online channels has increased. In 2021, the return rates of Jiaman Apparel on Vipshop, Tmall, and Douyin were 25.79%, 20.24%, and 17.57%, respectively, and in 2022, the return rates of the above three major e-commerce platforms were 35.51%, 21.05%, and 18.82%, respectively, all of which increased year-on-year.
In the 2023 annual report, Jiaman Clothing did not disclose the corresponding return rates of the above-mentioned major e-commerce platforms, only showing that its return rates on the top four e-commerce platforms were 44.14%, 29.27%, 30.13%, and 18.84% respectively. However, the company pointed out in its annual report that its main online channels are still Vipshop, Tmall, JD.com, Douyin, etc.
At the same time, in 2023, the number of directly operated stores under Garman clothing will also regress.
According to the financial report, at the end of each year from 2021 to 2023, there will be 189, 169 and 165 directly-operated stores of Garman Apparel respectively, and 157, 158 and 148 directly-operated stores that have been in operation for more than 12 months.
In terms of inventory management, Wind data shows that at the end of each year from 2021 to 2023, the inventory turnover days of Garman Apparel were 262.79 days, 325.12 days, and 339.40 days respectively, showing an upward trend year by year.
In the secondary market, after the listing, the share price performance of Jiaman Apparel was also unsatisfactory.
Jiaman Clothing successfully landed on the GEM on September 9, 2022, with an issue price of 40.66 yuan per share, overraising 474 million yuan, but the stock price broke on the first day of listing, and then started a volatile downward trend, staging a "listing is the peak" drama. As of April 23 this year, its closing price was 20.16 yuan / share, a decline of 49.71% relative to the issue price (before the resumption).
However, after raising funds through the IPO, except for the supplementary liquidity project, the investment progress of the other three fund-raising projects of Jiaman Apparel is 0.
According to the 2023 annual report, as of December 31, 2023, Jiaman Apparel has used 725 million yuan of raised funds to purchase bank wealth management products, accounting for 72.86% of the total amount raised.
In terms of the progress of fundraising and investment projects, as of the end of 2023, in addition to the supplementary liquidity project, the cumulative investment amount of the three major projects of marketing system construction project, e-commerce operation center construction project, and enterprise management informatization project is still zero.
(955 characters in the full text)
Disclaimer: This report is intended for use by Times Business School clients only. The Company does not consider the recipient to be a client by virtue of receipt of this report. This report has been prepared on the basis of publicly available information that the Company believes to be reliable, but the Company does not guarantee the accuracy or completeness of such information. The opinions, assessments and forecasts contained in this report reflect the views and judgments expressed as of the date of publication. The Company does not guarantee that the information contained in this report will be kept up to date. The information contained in this report may be modified without notice, and investors should pay attention to the corresponding updates or modifications. The Company strives to be objective and fair in the content of the report, but the views, conclusions and recommendations contained in this report are for informational purposes only and do not constitute an offer or solicitation to buy or sell the securities described. Such views and recommendations do not take into account the specific investment objectives, financial situation and specific needs of individual investors and do not constitute private investment advice to clients at any time. Investors should fully consider their own specific circumstances and fully understand and use the contents of this report, and should not regard this report as the sole factor in making investment decisions. Neither the Company nor the author shall be liable for any consequences arising from the reliance on or use of this report. To the best of their knowledge, the Company and the author have no legally prohibited interest in the securities or investment targets referred to in this report. To the extent permitted by law, the Company and its affiliates may hold positions and trade in securities issued by the companies mentioned in the report, and may provide or seek to provide investment banking, financial advisory or financial products and other related services. The copyright of this report is only owned by the Company. Without the written permission of the company, no institution or individual shall infringe the company's copyright in any form such as reprinting, copying, publishing, quoting or redistributing it to others. If the quotation and publication are carried out with the consent of the Company, they shall be used within the permitted scope, and the source shall be indicated as "Times Business School", and this report shall not be quoted, abridged or modified in any way contrary to the original intention. The Company reserves the right to pursue such liabilities. All trademarks, service marks and marks used in this report are trademarks, service marks and marks of the Company.