Bosideng International Holdings, China’s largest maker and distributor of down clothing, last week said gross profit surged 30 percent from CNY1.08b to CNY1.4 billion (USD224.8 million) for the six months ended on 30 September 2012. Gross profit margin increased to 45.6 percent from 39.4 percent in last corresponding period, representing an increase of 6.2 percentage points. Revenue increased 12.4 percent to CNY3.08b.
During the period under review, revenues of branded down apparel business and non-down apparel business were CNY1.84b and CNY487.8m, accounting for 59.8 percent and 15.8 percent of the group’s total revenue respectively. With the introduction of JESSIE ladies’ wear, contribution from non-down apparel business rose 3.6 percentage points compared to 12.2 percent last year.
The clothing retailer has added 3,483 outlets by 30 September 2012 ever since April which brings the company’s total store count to 13,499. The significant increase in the number of outlets was mainly attributable to the division of sales channels which transformed the multi-brand stores into mono brand stores, while the total sales area only slightly increased by approximately 5.4 percent to 919,000 square metres.
Bosideng started its internationalisation development this October by launching the flagship store in Europe. The store mainly offers premium line of Bosideng’s menswear, the "Bosideng‧ London" collection. The collection of menswear products is mostly manufactured in Europe.
"In view of the domestic and overseas environment, the group has formulated the ‘3+1’ strategy for the 2012/13 financial year to develop the down apparel business as its core business, introduce new brands and non-seasonal products and expand the international markets. It is the mid- to long-term goal of the group to become an internationally renowned integrated apparel brand operator," said Gao Dekang, Chairman and CEO of Bosideng.