Bosideng International Holdings Limited · HKEX:3998
Bosideng International — 1H FY2022/23 Earnings Presentation
40 slides from Bosideng International's earnings presentation, Nov 25, 2022
Slide 1: 2022/23 Interim Result
2022/23 Interim Result November 25, 2022
Slide 2: Disclaimer
Disclaimer The information contained in this presentation is intended solely for your personal reference. Such information is subject to change without notice, its accuracy is not guaranteed and it may not contain all material information concerning Bosideng International Holdings Limited (the “Comp
Slide 3: Contents
Contents 01Financial 02 Business 03 Future Review Review Development Plan 3
Slide 4: Financial Review
Financial Review
Slide 5: Financial Highlights
Financial Highlights For the six months ended Sep 30 (RMB million) Change 2022 2021 Revenue 6,180.5 5,417.0 +14.1% Gross profit 3,089.1 2,748.2 +12.4% Profit from operations 945.2 794.6 +18.9% Excluded impairment losses on goodwill 1,043.2 794.6 +31.3% of ladieswear Profit attributable to equity hol
Slide 6: Revenue Breakdown
Revenue Breakdown RMB 5,417.0 million RMB 6,180.5 million 340.2 87.8 (RMB million) 416.4 71.8 (RMB million) (5.5%) (1.4%) (7.7%) (1.3%) Revenue increased by 1,428.0 1H 1,895.4 (26.4%) +14.1% (30.7%) 1H FY21/22 3,500.8 FY22/23 3,857.1 (64.6%) (62.4%) Branded down appareal OEM management Ladieswear Di
Slide 7: Revenue Breakdown by Business
Revenue Breakdown by Business For the six months ended Sep 30 (RMB million) Change 2022 2021 Branded down apparel 3,857.1 3,500.8 +10.2% OEM management 1,895.4 1,428.0 +32.7% Ladieswear 340.2 416.4 -18.3% Diversified apparels 87.8 71.8 +22.3% Total 6,180.5 5,417.0 +14.1% 7
Slide 8: Revenue Breakdown - Branded Down Apparel Business
Revenue Breakdown - Branded Down Apparel Business For the six months ended Sep 30 (RMB million) Change % Change 2022 2021 Bosideng 3,522.0 3,255.9 +266.1 +8.2% Snow Flying 174.4 134.8 +39.6 +29.4% Bengen 36.8 33.2 +3.6 +11.0% Other* 123.9 76.9 +47.0 +61.2% Total 3,857.1 3,500.8 +356.3 +10.2% * Repre
Slide 9: Revenue Breakdown - Ladieswear Business
Revenue Breakdown - Ladieswear Business For the six months ended Sep 30 (RMB million) Change % Change 2022 2021 JESSIE 114.7 123.1 -8.4 -6.8% BUOU BUOU 86.3 112.0 -25.7 -22.9% KOREANO & KLOVA 139.2 181.3 -42.1 -23.2% Total 340.2 416.4 -76.2 -18.3% 9
Slide 10: Revenue Breakdown - Diversified Apparels Business
Revenue Breakdown - Diversified Apparels Business For the six months ended Sep 30 (RMB million) Change % Change 2022 2021 Sameite 76.2 55.8 +20.4 +36.6% Other brands and others* 11.6 16.0 -4.4 -27.8% Total 87.8 71.8 +16.0 +22.2% * Included children’s wear, menswear and Bosideng HOME 10
Slide 11: Gross Margin
Gross Margin For the six months ended Sep 30 Business Change 2022 2021 Branded down apparel 63.6% 61.4% +2.2ppt. OEM management 20.4% 19.1% +1.3ppt. Ladieswear 66.2% 73.6% -7.4ppt. Diversified apparels 26.9% 28.2% -1.3ppt. The Group 50.0% 50.7% -0.7ppt. 11
Slide 12: Gross Margin
Gross Margin +2.9% -0.7% 50.0% +4.3% 42.3% +1.2% 1H FY +2.2% 63.6% +5.0% +1.3% 20.4% +1.0% +3.5% +3.8% 17.7% -3.4% +2.3% 50.6% 1H FY 1H FY 12
Slide 13: Gross Margin - Branded Down Apparel
Gross Margin - Branded Down Apparel For the six months ended Sep 30 Change 2022 2021 Bosideng 66.5% 62.6% +3.9ppt. Snow Flying 46.4% 49.4% -3.0ppt. Bengen 25.8% 20.6% +5.2ppt. Branded Down Apparel 63.6% 61.4% +2.2ppt. 13
Slide 14: Gross Margin - Ladieswear
Gross Margin - Ladieswear For the six months ended Sep 30 Change 2022 2021 JESSIE 64.6% 67.4% -2.8ppt. BUOU BUOU 65.6% 68.8% -3.2ppt. KOREANO & KLOVA 67.8% 80.8% -13.0ppt. Ladieswear 66.2% 73.6% -7.4ppt. 14
Slide 15: Operation Expenditure
Operation Expenditure (RMB million) Expense-to- Expense-to- sales ratio sales ratio • Distribution Expenses: the distribution 2,400 expenses as a percentage of the Group’s total revenue effectively decreased 3.5ppt, it was mainly because the Group has strengthened and effectively managed the expense
Slide 16: Inventories
Inventories As at As at (RMB million) % Change Sep 30, 2022 Sep 30, 2021 Raw materials 1,022.2 1,254.6 -18.5% Work in progress 28.7 41.7 -31.1% Finished goods 2,382.9 2,247.8 +6.0% Total 3,433.8 3,544.1 -3.1% 16
Slide 17: Working Capital Management - Average Inventory Turnover Days
Working Capital Management - Average Inventory Turnover Days For the six months ended Sep 30 Change 2022 2021 Average inventory turnover days* 181 212 -31 days * Calculated as average inventory divided by cost of sales, multiplied by 365 days/2 Inventory Turnover Days (Unit : Day) • Inventory turnov
Slide 18: Working Capital Management - Trade Receivables Turnover Days
Working Capital Management - Trade Receivables Turnover Days For the six months ended Sep 30 Change 2022 2021 Average trade and bills receivables turnover 84 75 +9 days days* * Calculated as average trade and bills receivables divided by revenue, multiplied by 365 days/2 Trade Receivables Turnover D
Slide 19: Working Capital Management - Trade Payables Turnover Days
Working Capital Management - Trade Payables Turnover Days For the six months ended Sep 30 Change 2022 2021 Average trade and bills payables 243 247 -4 days turnover days* * Calculated as average trade and bills payables divided by cost of sales, multiplied by 365 days/2 Trade Payables Turnover Days
Slide 20: Total Cash and Net Cash
Total Cash and Net Cash As at As at As at (RMB million) Sep 30, 2022 Mar 31, 2022 Sep 30, 2021 Cash and cash equivalents 1,766.9 2,502.6 1,895.4 Time deposits with maturity over 3 months 569.5 324.3 315.8 Pledged bank deposits 1,368.6 952.1 1,187.9 Other financial assets 4,080.7 6,521.3 3,721.9 Tota
Slide 21: Total Cash and Net Cash
Total Cash and Net Cash As at As at As at (RMB million) Sep 30, 2022 Mar 31, 2022 Sep 30, 2021 Net cash inflow/(outflow) from operating activities (1,665.3) 2,670.1 (1,223.8) Net cash inflow/(outflow) from investment activities 1,817.6 (685.9) 2,493.0 Net cash inflow/(outflow) from financing activit
Slide 22: Business Review
Business Review
Slide 23: Branded Down Apparel Business
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Branded Down Apparel Business RMB 3,500.8 million RMB 3,857.1 million (RMB million) 33.2 76.9 (RMB million) 36.8 134.8 (0.9%) (2.2%) 123.9 (3.9%) 174.4 (1.0%) (3.2%) (4.5%) Revenue fro
Slide 24: Revenue by Sale Category
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Revenue by Sale Category (RMB million) 4,200 3,857.1 3,500.8 For the six months ended Sep 30 123.9 3.2% 3,500 2.2% (RMB million) 76.9 Change 2022 2021 2,800 2,239.2 64.0% 2,513.0 65.2%
Slide 25: Brand Building
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Brand Building Keep it foothold of being the “World’s Leading Expert in Down Apparel” • Based on the two key points of “product professional innovation” and “consumer experience breakt
Slide 26: Operation Management
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Operation Management Supply Chain Management • High-quality and quick response is an important competitive strength for the Group’s continued success in the industry and core competiti
Slide 27: Business Highlights in 1H FY22/23
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Business Highlights in 1H FY22/23 01 Successfully launched a new generation of ultralight down jackets 02 02 Expanded the new generation of younger customer groups 03 Further enhancing
Slide 28: Successfully Launched a New Generation of Ultralight Down Jackets
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business 1. Successfully Launched a New Generation of Ultralight Down Jackets Bosideng overturned the status quo that conventional light warm down apparel is similar in style and cannot ensure
Slide 29: Expanded the New Generation of Younger Customer Groups
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business 2. Expanded the New Generation of Younger Customer Groups • Continued the use of corporate WeChat to build a more convenient communication bridge with customers • The Bosideng brand ha
Slide 30: Further Enhancing Sales Channel and Fine-tuning Retail Stores Management
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business 3. Further Enhancing Sales Channel and Fine-tuning the Retail Stores Management London Flagship Store • Paid attention to the quality of existing stores and elevated the “single store
Slide 31: Further Enhancing Sales Channel and Fine-tuning Retail Stores Management
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business 3. Further Enhancing Sales Channel and Fine-tuning the Retail Stores Management Retail Network Total As at Sep 30, 2022 No. of No. of No. of No. of Change Change Change Change stores s
Slide 32: Consistently Raising Operational Efficiency at Single Store Operation
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business 4. Consistently Raising Operational Efficiency at Single Store Operation Motivated store Implemented manager – Iron Ultimately commodity and Triangle – the achieved the retail operatio
Slide 33: High and Quality Business Growth through Traditional Online and New Media Platforms
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business 5. High and Quality Business Growth through Traditional Online and New Media Platforms (RMB million) • Key focus for vigorous development of online Revenue of Online Sales of sales cha
Slide 34: OEM Management Business
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business OEM Management Business • The OEM management business maintained stable and healthy development, which was mainly due to： Revenue (RMB million) 1. Steady increase in orders from existi
Slide 35: Ladieswear Business
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Ladieswear Business • In the highly competitive ladieswear market in the PRC, won the favor of Chinese female consumers through its rich product hierarchical image and brand positionin
Slide 36: Retail Network
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Retail Network Total As at Sep 30, 2022 No. of No. of No. of No. of No. of Change Change Change Change Change stores stores stores stores stores Specialty stores Operated by the Group
Slide 37: Diversified Apparels Business
1. Branded Down Apparel Business 2. OEM Management Business 3. Ladieswear Business 4. Diversified Apparels Business Diversified Apparels Business • Revenue from diversified apparels business continued to record (RMB million) Revenue by Brand stable growth with an increase of 22.2% as compared to tha
Slide 38: Future Development Plan
Future Development Plan
Slide 39: Future Development
Future Development Continue to demonstrate its development resilience, build up its core competitiveness and strive to enhance its global leading position Down Apparel Business • Focus on positioning itself as the “world ‘s leading expert in down apparel” and insist on the “brand Leadership” develop
Slide 40: ikl &
ikl & BOSIDENG
Bosideng International Holdings — 1H FY2022/23 Earnings Presentation on 6ix