Listed Company: Annell Releases Its Semi Annual Financial Report For 2024

At the end of August, Shenzhen Annell Co., Ltd., a domestic children's clothing listed company, released its semi annual report for 2024. The report shows that in the first half of 2024, the company realized an operating income of 343 million yuan, a year-on-year decline of 16.29%, and the net profit attributable to shareholders of listed companies was - 30079100 yuan, a year-on-year decline of 15.91%. As of June 30, 2024, the total assets of the company were 1.163 billion yuan, and the net assets attributable to shareholders of the listed company were 791 million yuan.

As an old brand enterprise that has been deeply engaged in children's wear for 28 years, children's wear business now accounts for 99.10% of its revenue, which is not only the core business revenue, but also close to the source of all revenue.

In terms of stores, in the first half of the year, 44 direct stores were closed and 11 new stores were opened; 21 franchised stores were closed and 2 newly opened; 25 affiliated stores were closed and 26 new ones were opened. From the perspective of store system, the direct marketing system is the main sales channel of Annell, the franchise system is severely reduced, and the joint venture system is growing rapidly.

In terms of costs and expenses, in the first half of 2024, all kinds of expenses are falling, including operating costs by 15.01%, selling expenses by 21.05%, administrative expenses by 10.73%, and R&D investment by 19.51%.

On the whole, from the report data, both revenue and cost are declining, but the decline in cost can not make up for the gap caused by the decline in revenue, thus forming a loss. Considering that the direct sales system is dominated by the core business of children's clothing, and the revenue of the direct sales system has declined 19.42% year on year, it is impossible to make up for the loss caused by the decline in revenue without a large number of stores being closed.

On the other hand, the terminal consumer market is weak, white brand manufacturers step forward in sales, brand inventory pressure and the interaction of online roll in sales naturally affect brand terminal sales; In addition, the brand R&D expenses have declined significantly, which has affected the competitiveness of products and gradually transferred them to the consumer market.

As an old brand of children's clothing, Annelle has a large number of stable loyal consumer groups. In addition, it has been constantly optimizing and adjusting its channel system. As long as Annelle continues to reasonably optimize its channel costs and enhance its product strength, the future will be better!