Daphne's Performance Was Bad, Annual Profit Decreased By 3.4%

After a brief increase in the same store sales in the three quarter, Daphne International Holdings Limited Daphne International Holdings Limited announced on Thursday that the core brand business of the group dropped 7.5% in the four quarter, with a 3.4% decline throughout the year.

　　 Daphne In December, sales were particularly weak, mainly due to the depressed consumer sentiment in mainland China, and the Spring Festival in February, which did not support consumption before the holidays of the same period last year. In addition, regional competition and the promotion of large-scale online shopping in the fourth quarter also hurt the same store sales.

Fourth quarter Daphne recorded an average decline in the median figure, mainly because during the period, the Group actively cleaned up over the past stock, resulting in lower average selling price, and thus significantly dragged down gross margins.

Daphne competed for 91 outlets in the fourth quarter, including 172 straight outlets and 81 close stores. In 2014, the total number of sales outlets for core brand business increased to 6402.

In November 2014, Bank of America Merrill Lynch, Merrill Lynch, released a report that lowered the Daphne rating from buying to neutral. Mebm Merrill said that the shoe maker's profitability was expected to recover. Other market or downgrading expectations for Daphne this year and next two years, as well as private equity TPG convertible bonds and other unfavorable factors, were the reasons for the bank's downward expectations. Mein Merrill Lynch is expected to be affected by the warm weather in the early four quarter. It is expected that Daphne's same store sales will continue to fall in the same quarter, while the promotion action will continue to press Daphne's gross margins to be pressurized.

On Thursday, Daphne's shares fell 1.05% to HK $2.83.

　 Extended reading:

Daphne (Daphne International Holdings Ltd)

Daphne International Holdings Ltd was originally named Wing on International Group In 1990, the company foresaw the great potential of China's high quality footwear market. The group founded its own brand "Daphne", which made and sold women's footwear and became one of the most successful domestic brands in China. Since 1996, it has been awarded the title of best selling domestic products for many years. At present, "Daphne" is divided into two series: "D28" and "D18". The target customers are 20 to 45 years old and 15 to 30 years old women.

　　 Brand introduction

The name "Daphne" comes from Greek mythology, so Daphne's LOGO design uses many Greek elements, and Daphne's D is the basic element.

The love myth of Greek goddess Daphne and Sun God Apollo is the theme of Daphne space design. "I hope that every woman stepping into Daphne is like talking about a love affair, experiencing a gorgeous drama, and even finding her true self, so no matter today's girl or tomorrow's woman, confident women will be led by Daphne."

This is endowed with Women's shoes in mythological style Logo design is simple and generous, giving people simple and clean, often simple things will give people a kind of pleasing to the eye, plus myth, its logo design uses the Greek elements, for Daphne put a veil.

Love is an everlasting theme. Myth endows the brand with magical charm. It also gives Daphne the design space. Every woman wants to talk about a gorgeous love affair. Daphne grabs the feminine mentality, integrates the mystical elements into the shoes, and combines with the fashionable elements of the current generation, innovates boldly, and makes every effort to create a pair of shoes for women, so that every woman wearing Daphne shoes can find her true self and recover confidence from it.