361O2019 Revenue 5 Billion 630 Million, Profit Attributable To Shareholders Increased By 42.4%

On March 17th, 361o group released its annual report of 2019 performance. The report shows that as of December 31, 2019, 361o group's revenue reached RMB 5 billion 630 million yuan, an increase of 8.6% compared with the same period last year. The group's equity holders should account for an increase of 42.4% compared to the same period last year, reaching RMB 430 million yuan.

Among them, children's clothing business income accounted for 17.7% of the total income; other businesses (including shoe sales) accounted for 1.5%; the remaining 80.8% income was mainly contributed by 361o core brand products, 361o international and e-commerce business.

Sales of 361o core products (footwear, clothing and accessories) showed an upward trend, with an annual growth of 7.9%, 3% and 31.8% respectively. In the year of review, the percentage of footwear sales to total revenue was slightly increased from 42.7% to 42.4%, while clothing sales decreased slightly from 38.5% to 36.6%. Footwear is still the most powerful driving force for all 361o core brand products of the group.

In terms of 361o international business, revenue increased by 41.4% to RMB 132 million, accounting for 2.3% of the group's total revenue in 2019. At present, 361o group has established a wholly-owned Affiliated Companies in the US, Brazil and Europe. Through the local sales team, it has sold the products of 361o international line to the local multi brand sporting goods shop.

The income of 361o children's clothing increased by 22.4% to 999 million yuan per year, accounting for 17.7% of the total income. The increase was mainly due to an increase of 22% in sales and an average increase of 0.3% in wholesale prices per annualized year. Unlike 361o core brands, the growth driving force of 361o children's clothing business is mainly clothing products, not footwear products.

It is understood that since its appearance in 2010, 361o children's clothing has been operating as an independent business department. Its products are mainly oriented to children's demand for sportswear from three to twelve years of age. In 2019, the 361o children's wear brand further expanded the product age coverage span, and extended the shoes and clothing products suitable for children under three years old.

In the year of review, the online sales volume of 361o e-commerce business increased by 23.9% to 916 million yuan, accounting for about 16.3% of the total revenue. 361o believes that E-business will continue to contribute and will continue to grow.

It is understood that 361o e-commerce business mainly through Tmall, Taobao, Jingdong and other e-commerce platforms and WeChat mall small program and official website. These online platforms are authorized to sell specialized products online and form differentiated marketing with products sold by entities.

In the chairman's report, the 361o group summed up the 2019 annual results:

Operational efficiency upgrade, profitability steady

Since 2018, meticulous management of supply chain and distribution chain has been gradually promoted. In terms of supply chain, the transfer of production from high cost areas to low cost areas, and the upgrading of offline channels and e-commerce platforms on the basis of existing mature distribution models on the basis of existing distribution models, the above measures have achieved remarkable results today.

Focus on core brand and continuously enhance brand power

In 2019, the group will focus more on 361o core brand, continuously enhance core brand competitiveness, and concentrate its advantages on Brand Company. In 2020, this business strategy will continue to consolidate the core competitiveness.

Win the market by quality, and actively enhance product strength.

Over the years, 361o has persisted in investing in technology research and development, and continuously accumulated technological strength. In addition, we have always adhered to the positioning of "mass professional sports", long-term deep tillage products, sponsoring marathon events for many years, signing many elite runners, improving product quality from a professional perspective, and better meeting the needs of consumers' professional sports.

361o sponsored events

Faced with the development in 2020, 361o once A new coronavirus disease is predicted (C). OVID -19) the epidemic will affect the industry and 360 degree Brand 2020 has a certain impact on its operating and financial performance in the first half of the year. In the short term, China's sports consumption demand is under pressure, but in the long run, after the extinction of the epidemic, people's physical training needs will rise, and the sports industry trend will continue to improve.