Shenzhou International Group Holdings Limited · HKEX:2313
Shenzhou International — FY2012 Earnings Presentation
19 slides from Shenzhou International's earnings presentation, Aug 21, 2020
Slide 1: Annual Results
oe a Shenzhou International Group Holdings Limited FP OH BBR Se 22 BR RS)” Stock Code AR 1) 485%: 2313 2012 Annual Results
Slide 2: Agenda
Agenda • Financial Highlights • Business Review • Strategies and Plans • Open Forum 2
Slide 3: Financial Highlights
Financial Highlights
Slide 4: Financial Highlights
Financial Highlights Year ended 31 December (RMB '000) 2012 2011 % Change Turnover 8,937,578 9,043,442 (1.2%) Gross profit 2,544,555 2,601,837 (2.2%) Profit attributable to equity holders 1,620,158 1,703,845 (4.9%) Basic EPS (RMB) 1.24 1.37 (9.5%) Final divided per share (HK$) 0.70 0.50 40% - Final
Slide 5: Sales Analysis
Sales Analysis Turnover Profit Attributable to Equity Holders RMB Mn RMB Mn Year ended 31 Dec Year ended 31 Dec • Sustainable sales amid tough operating environment: – No large scale of expansion on new production capacity over the past two years – Softer-than-expected sales performance in Japanese
Slide 6: Profit Margins Analysis
Profit Margins Analysis Gross Profit Net Profit RMB Mn RMB Mn 2,601.8 2,544.6 28.8% 28.5% 28.2%* 27.6%* 2011 2012 GP Net gain from curre ncy hedge Year ended 31 Dec GPM GPM* Year ended 31 Dec *Excluding the gain from foreign currency forward hedges • Excluding the gain from foreign currency forward
Slide 7: Domestic and International Cotton Prices
Domestic and International Cotton Prices Domestic Cotlook A 1% Cotlook A cotton (328) customs duties sliding price duties Unit price (dollar/tonne) Aug-10 18,005 16,270 16,755 Sep-10 22,684 19,572 20,024 43,000 Oct-10 26,760 24,142 24,550 Nov-10 26,248 24,277 24,682 40,500 Dec-10 27,508 28,966 29,32
Slide 8: Turnover Breakdown by Products
Turnover Breakdown by Products • Mild sales growth in sportswear as a result of sharp fall in sales of domestic sportswear • Proportion of sales of sportswear continued to increase thanks to well-established long-term strategic cooperation with internationally renowned sports brands • Shrinking cons
Slide 9: Turnover Breakdown by Regions
Turnover Breakdown by Regions • Sales in Japanese market decreased mainly due to lower consumption demand and the exceptional climate conditions in the year • Sales in European market decreased due to weak consumption demand amid a vulnerable economy • Sales from the U.S. and other foreign markets i
Slide 10: Key Financial Indicators
Key Financial Indicators 2012.12.31 2011.12.31 Inventory turnover days 111 107 Debtor turnover days 55 45 Creditor turnover days 25 28 2012.12.31 2011.12.31 Gross gearing ratio 9.7 20.4 (debt to equity) (%) Net gearing ratio N/A 3.5 (Net debt to equity) (%) Cash and Cash Equivalent 2,144.4 1,029.6 (
Slide 11: Business Review
Business Review
Slide 12: Major Achievements in 2012
Major Achievements in 2012 Optimization of the layout of production base • Construction of a new garment factory Phase II in Cambodia underway • New garment factory Phase II in Anqing City, Anhui Province completed, currently hiring new employees • New garment factories Phase II in Cambodia and Anqi
Slide 13: Major Achievements in 2012 (cont'd)
Major Achievements in 2012 (cont’d) Prestigious awards in recognition of Group’s effort • “Top 100 HK-listed Companies 2012” by in terms of comprehensive strength by QQ.com and Finet • Mr. Huang Guanlin, General Manager, named 2nd runner-up in 2012 Forbes China Best CEOs List • Substantial effort in
Slide 14: Major Achievements in 2012 (cont'd)
Major Achievements in 2012 (cont’d) Strengthening employees’ welfare • A relatively stable team of employees ensure the best performance of the lean production and management • Apart from increasing employees’ salaries, the Group continues to improve the living condition and working environment for
Slide 15: Optimization of Product Structure
Optimization of Product Structure Sports wear customers Casual wear customers • Three renowned sports wear customers, ADIDAS, NIKE and PUMA, accounted for 52.3% (2011: 49.9%) of Group’s total turnover 15
Slide 16: Retail Business Update
Retail Business Update • Prudent control over store expansion • Direct operating 17 stores across 11 cities in Zhejiang, Shanghai and Jiangsu Province • Optimistic with the long-term development of the domestic retail market 16
Slide 17: Strategies & Plans
Strategies & Plans
Slide 18: Future Strategies
Future Strategies Further optimization of the layout of industrial chains to enhance production efficiencies Step up R&D efforts to raise value for products and expand market share Further solidify the leading Strengthen customer service and position in the cooperation relationships with strategic c
Slide 19: Open Forum
Open Forum
Shenzhou International Group Holdings — FY2012 Earnings Presentation on 6ix