Shenzhou International Group Holdings Limited · HKEX:2313
Shenzhou International — FY2015 Earnings Presentation
20 slides from Shenzhou International's earnings presentation, March 2016
Slide 1: Annual Results 2015
ANNUAL RESULTS 2015 March, 2016
Slide 2: Agenda
Agenda Page 1 Financial Highlights 3 2 Business Review 12 3 Strategies and Plans 17 4 Open Forum 20 2
Slide 3: Financial Highlights
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Slide 4: Financial Highlights
Financial Highlights For the 12 months ended 31 Dec (RMB '000) % Change 2015 2014 Turnover 12,639,332 11,131,532 +13.5% Gross profit 3,848,916 3,226,621 +19.3% Profit attributable to equity holders 2,354,664 2,065,867 +14.0% Basic EPS (RMB) 1.68 1.48 +13.5% 4
Slide 5: Sales Analysis
Sales Analysis Turnover Profit Attributable to Equity Holders (RMB million) (RMB million) 12,639.3 2,354.7 11,131.5 2,065.9 2014 2015 2014 2015 Maintained outstanding growth in revenue and achieved decent operating results Satisfactory revenue increase in sportswear sales Increased productivit
Slide 6: Profit Margins Analysis
Profit Margins Analysis Gross Profit Net Profit (RMB million) (RMB million) 30.5% 4,500 3,000 20.0% 29.0% 30.0% 18.56% 18.63% 4,000 3,848.9 18.0% 28.0% 2,500 2,354.7 3,500 2,065.9 16.0% 3,226.6 26.0% 2,000 3,000 14.0% 24.0% 1,500 2,500 22.0% 12.0% 2,000 20.0% 1,000 10.0% 2014 2015 2014 2015 GP GPM N
Slide 7: Dividend and Payment Ratio
Dividend and Payment Ratio (HK$) 7
Slide 8: Domestic and International Cotton Prices
Domestic and International Cotton Prices Domestic cotton (328) Cotlook A 1% customs Cotlook A sliding price duties duties 12-Jan 19,247 16,291 16,780 12-Feb 19,505 16,224 16,690 12-Mar 19,462 16,563 17,045 12-Apr 19,351 16,050 16,551 12-May 18,731 13,116 14,181 12-Jun 18,164 13,113 14,179 12-Jul 18,
Slide 9: Turnover Breakdown by Products
Turnover Breakdown by Products Growth in sportswear sales mainly attributed to the increasing demand for international brands products in the European and the mainland China market Increase in casual wear sales was driven by the growing demand for casual wear from Japan and Mainland China Reve
Slide 10: Turnover Breakdown by Regions
Turnover Breakdown by Regions Decrease in sales from the Japanese market was primarily attributable to considerable decrease in the import demand for garment and the purchasing demand for lingerie products, as well as the Group’s reducing some of the orders from small- to medium-sized customers
Slide 11: Key Financial Indicators
Key Financial Indicators 2015.12.31 2015.06.30 2014.12.31 Inventory turnover days 121 132 116 Debtor turnover days 53 54 49 Creditor turnover days 24 24 20 2015.12.31 2015.06.30 2014.12.31 Gross gearing ratio (debt to equity) (%) 28.8 34.4 24.7 Current ratio (times) 5.1 4.6 8.1 Cash and Cash Equival
Slide 12: Business Review
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Slide 13: Major Achievements in 2015
Major Achievements in 2015 Further expansion of the overseas production bases The construction of Phase II of the fabric factory and all kinds of facilities for the new garment factory in Vietnam was basically completed The operation management of the fabric factory in Vietnam had become compara
Slide 14: Major Achievements in 2015 (con't)
Major Achievements in 2015 (con’t) Further strengthened the R&D and innovation of new fabric Further reinforcing its lean production management. Production efficiency was further raised in the garment factory in Cambodia and Anhui Facilitated the transformation and upgrade of domestic production
Slide 15: Optimization of Product Structure
Optimization of Product Structure Sportswear customers Casual wear customers Strengthened cooperation with strategic customers by prioritizing the allocation of production resources and reducing the orders the Group obtained from small-to medium- sized customers, the Group also introduced certain
Slide 16: Retail Business Update
Retail Business Update Sustained the stable growth of retail business Directly managed 47 stores in cities within the Yangtze River Delta region Target to open 10 new stores in 2016 16
Slide 17: Strategies & Plans
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Slide 18: Future Strategies
Future Strategies Accelerate the establishment of vertical integration business model and continue to expand the capacity of overseas production Continue the transformation of its domestic production base towards the environment- friendly, resources-effective green corporation Strengthen R&D a
Slide 19: Future Strategies
Future Strategies The Group Holds a Cautiously Optimistic View on 2016 Prospects Positive New capacity Depreciation of Relatively low New material from new plants RMB against USD cotton prices products increasing in Vietnam Negative Stringent environmental Increasing wages Customs duty protection po
Slide 20: Open Forum
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Shenzhou International Group Holdings — FY2015 Earnings Presentation on 6ix