Men'S Supply Chain Integration Effect Is Remarkable.

The effect of supply chain rectification is remarkable.

The main business revenue decline is mainly the impact of the contraction of real estate business, but the rapid expansion of men's clothing online and offline has achieved a growth rate of over 100% of the company's performance.

From 2012, the company began to carry out the supply chain rectify and rectify the supply chain.

The "direct franchise" mode is adopted in the downstream. The franchisee provides funds and locations, and the company provides unified management and staff training, so that the company can control the terminal channel with the help of the rapid expansion of the franchisee's funds.

Through several years of rectification, the inventory of the buyout period has been completely digested. From the financial data, the inventory turnover and accounts receivable turnover rate of the company have increased rapidly.

Business is expected to usher in an outbreak.

At present, men's online and offline sales account for 85% and 15% respectively. As of the end of March 2016, the stores now have 787 men's stores through internal rectification, of which 57 are directly owned and 730 are joined.

The extension of franchised stores under the line is the most important growth point of red bean menswear in recent years.

In terms of Ping efficiency, the efficiency of direct store is higher than that of franchised stores, but the total cost of funds occupied by franchisees is relatively low. This will be the main way of expansion for the company in the future. We expect that the speed of opening stores in the second half of this year is expected to accelerate.

In the long run.

In 2015, the company set up the Shenzhen smart wear company and acquired 80% stake in red bean Jun Da Asset Management Co.

The company was shown in the 2015 Jiangsu industrial design week Wuxi branch.

The cool shirt and Ho-band bracelet, the layout of the big data era has taken an important step.

Facing the future of things interconnection and interconnection of all things, the development space of wearable intelligent industry is huge.

Given the "recommended" rating, it is assumed that the main business growth of the company in the next few years is mainly from

Under the extension of line extension, with the change of company's efficiency and online sales policy, gross profit margin has steadily increased. Accordingly, Forecast Ltd's 2016-2018 year EPS is 0.08 yuan, 0.11 yuan and 0.15 yuan respectively, corresponding to PE 115 times, 83 times and 61 times respectively, taking into account the company's

Business growth and scale effect is significant, and is expected to become a group in the future.

Class platform, the total market capitalization of about 12 billion 500 million yuan, to give "recommended" rating.

Risk warning: macroeconomic downside risk; offline expansion is not up to expectations; market systemic risk.

Investors can be right.

Pay close attention to investment.