Vigna S Expects Net Profit Growth 145%-165% To Strengthen Multi Brand Stereoscopic

On the evening of July 12th, Vigna S fashion Limited by Share Ltd (short: Vigna S, securities code: 603518) issued semi annual performance forecast for 2018, with net profit expected to grow by 145%-165% over the same period last year.

Vigna S estimated that the net profit attributable to shareholders of Listed Companies in the first half of 2018 was about 10920 yuan to 118 million 110 thousand yuan, an increase of 64 million 630 thousand yuan to 73 million 540 thousand yuan compared with the same period last year, up 145% to 165% over the same period last year.

Vigna S said that the growth of performance mainly benefited from the acquisition of TEENIE WEENIE brand assets and business in 2017, and has been actively promoting the optimization of brand channels and adjusting the store structure. Brand integration has worked, and brand income and net profit have shown growth.

At the same time, Vigna S pointed out that compared with the first half of 2017, VGRASS brand and TEENIE WEENIE brand continued to maintain steady growth in main business income and operating profit in the first half of 2018.

2018 the company has reduced its financial cost through the financing of non-public offering shares and its own funds to repay part of the M & A loans and related contributions.

In addition, compared with the same period last year, the caliber of the consolidated statements in the first half of 2018 also increased the financial data of the TEENIE WEENIE brand from 1 to February.

In the face of the increasing competition in the clothing market, wagnas strengthened the brand diversification strategy, and acquired the brand of Nanjing Yun Brocade and TEENIE WEENIE children's clothing, and promoted the multi brand stereoscopic pattern, to the luxury brand construction and the high-end customization service, enhanced the synergy effect of the brands, and laid the foundation for the sustainable development in the future.

Wignus owns three brands: "VGRASS", "Yuan Qian" and "TEENIE WEENIE". The VGRASS brand is located in the high-end women's wear line brand, "yuan first" brand positioning in the top fashion brands, TEENIE WEENIE brand positioning in the less ladies in the middle brand, three brand positioning in different markets to achieve diversified goals, build Pyramid multi brand layout, seize the clothing market share.

From Vigna S's acquisition of TEENIE WEENIE brand, its growth ability is outstanding. In the first quarter of 2018, its business revenue achieved 13.8% growth; in 2017, the "double eleven" entered the top ten of women's clothing sales, and the year-on-year online sales grew 48%, which became a new growth point of the enterprise's performance.

According to China apparel network, after the acquisition of TEENIE WEENIE brand, the company adjusted its store structure. As of the first quarter of 2018, a total of 1305 stores were closed, and the number of stores decreased by 1.46% compared to the same period last year, which reduced the cost of certain expenditures, and promoted the stability of the number of shops, the improvement of store efficiency and the stable channel structure.

Changes in consumption structure,

Enterprises continue to innovate strategies to cope with changes

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Vigna S also put forward the strategy of "promoting brand competitiveness according to brand characteristics", comprehensively implementing different positioning and upgrading strategies for the three brands, innovating products, channels and layout, forming a multi brand stereoscopic pattern, expanding development space, and marching towards the international high-end women's clothing brand.

With children's clothing industry becoming clothing

In the new growth field of development, wienas will expand TEENIE WEENIE children's clothing, develop new channels, integrate online and offline mode to seize the market of baby children's clothing.

In the future, Vigna S will expand the target market through mergers and acquisitions to consolidate its position in the apparel market.