How to solve the tens of billions of inventory problems of local clothing listed companies?

At the beginning of the new year, although the listed apparel companies have not released the 2016 financial report, the inventory changes are similar. Inventory of the end of the third quarter of 2016 for 10 apparel companies including Haishu House, Youngor and Metersbonwe.

Haicang House: 9.438 billion yuan at the end of the period; the balance at the beginning of the year was 9.58 billion yuan

Although the net profit of Haishu Home has dropped sharply in the third quarter, it has added a large number of stores and expects to solve the inventory problem in an “alternative way”. The financial report shows that Haishu House opened a total of 972 stores in the first three quarters. Among them, the brand Haishu Home has increased the number of directly operated stores, franchise stores and shopping malls opened 722 new; its brands, Aizhuju and Haijia, have added a number of franchise stores and shopping malls.

As of the end of 2015, Haishu's home has a stock of up to 9.5 billion yuan. The company's bought-out inventory accounts for more than 20%. The remaining inventory can be returned to the supplier, so the high-pressure inventory still has little impact on the company. Haicang House said it will integrate the storefront to meet the company's current development needs.

Youngor: At the end of the period, 13.615 billion; the balance at the beginning of the year was 140.30 billion

As of September 30, 2016, Youngor's inventory was 13.615 billion yuan, a year-on-year balance of 14.03 billion yuan, down 415 million. This mainly depends on the company's continuous promotion of the big store strategy and moderate price cuts to inventory.

Senma: 2.83 billion yuan at the end of the period; initial balance of 1.596 billion yuan

As of September 30, 2016, Senma's inventory was 2.48 billion yuan, a year-on-year balance of 1.596 billion yuan, a full increase of 887 million yuan, and the inventory change ratio was more than half, reaching 55.58%. In the financial report, Senma explained that the main winter goods were imported into the warehouse. It is worth mentioning that Senma has a relatively complete database system. Through data modeling, it will make predictions and analysis on key elements such as styles, colors and fabrics of popular clothing this year, making design development and production more complete. Precision.

Ge Lisi: 251 million yuan at the end of the period; the balance at the beginning of the year was 178 million yuan

As of September 30, 2016, the company’s inventory was 251 million yuan, a year-on-year balance of 178 million yuan, an increase of 73 million yuan. Ge Lisi explained in the financial report that it was mainly due to the balance of Tangli International, a consolidated subsidiary of the current period. . As early as 2015, the company's director secret blue has revealed the company's inventory management mechanism: the company's products within 2 years of the store are not discounted sales, more than 2 years will be based on the age of the library to use offline outlets, online Sales and stocking methods are digested.

Red bean shares: 2.922 billion yuan at the end of the period; initial balance of 3.501 billion

In the third quarter 2016 financial report disclosed by Hongdou, its inventory has been significantly reduced, reaching 579 million yuan. Although there is no specific reason for mentioning in the financial report, this may be related to the supply chain reform carried out by Haitong Securities analyst Yu Xuhui. During the period, Hongdou shares increased by 70 Hodo men's clothing stores, and clothing stocks will gradually decline and remain stable.

Metersbonwe: RMB 2.063 billion at the end of the period; initial balance of RMB 1.875 billion

At the end of 2011, Smith Barney suffered an inventory crisis. It was exposed by the media of 2.56 billion inventories. In the third quarterly report released in 2016, Smith Barney's inventory was 2.063 billion yuan, an increase of 188 million yuan from the opening balance of 1.875 billion yuan. Under the pressure of inventory, Metersbonwe offered a discount on clearing inventory. It is understood that Smith Barney will also hold a sale to sell inventory.

Shanshan shares: 931 million yuan at the end of the period; initial balance of 862 million yuan

As of September 30, 2016, Shanshan's stock was 931 million yuan, a year-on-year balance of 862 million yuan, an increase of 69 million yuan.

From 2013 to 2015, Shanshan’s average inventory turnover days were 186 days, 205 days, and 231 days. According to Shanshan Company, the increase in inventory turnover days in 2014 was mainly related to the development of e-commerce platforms. In 2015, the competition in China's men's wear industry increased sales. As of June 30, 2016, Shanshan’s average inventory turnover days were 222 days. Although it was almost the same as the data at the end of 2015, it still increased from the previous two years.

Pathfinder: 642 million yuan at the end of the period; initial balance of 544 million yuan

According to the third quarterly report released by Pathfinder, from January to September 2016, the company's revenue and net profit both fell year-on-year, mainly due to the fact that the outdoor products sector continued to destock in the first three quarters, the pathfinder robbers, the company is in the process of destocking. The cycle, but the inventory of 642 million yuan at the end of the period, is still more than 98 million yuan than the initial 544 million yuan.

Jiu Mu Wang: 721 million yuan; initial balance of 584 million yuan

As of September 30, 2016, the stock of Jiu Muwang was 721 million yuan, a year-on-year balance of 548 million yuan, an increase of 173 million yuan. The change ratio of inventories reached 31.57%. Although at the end of 2015, its inventory problem has improved slightly, down 1.52% from the previous period, but 2016 does not seem to last 15 years of optimism.

Busen shares: RMB 210 million at the end of the period; 211 million yuan at the beginning of the period

As of September 30, 2016, Busen's inventory was 210 million yuan, compared with the initial balance of 210 million yuan, no significant change. It is reported that Busen will continue to increase new orders and launch new products; to ensure that the company reduces inventory and receivables.

For apparel companies, inventory is always one of its main pain points. Product backlog not only occupies the company's operating funds, but also increases the company's management costs and profit costs, lengthening the product's turnover cycle, thereby reducing the company's overall profit. For the huge inventory, closing the poorly-operated stores, discount sales have become the traditional practice of most clothing companies to inventory.