Article | financial world Zhang Mengyi requests
Edit | Yang jie
Selling off assets and suffering huge losses, the first women's shoe stock of A shares went farther and farther on Saturday.
January 18, the announcement announced that the company intends to completely transfer 100% equity of its wholly-owned subsidiary Saturday Shoes to further advance the company's business strategy, and ultimately achieve a focus on brand management, supply chain management of asset-light operation mode.
On the same day, the company also released an earnings preview on Saturday, showing a net loss attributable to shareholders of listed companies of 430 million yuan to 645 million yuan by the end of December 2021, compared with a profit of 24.2978 million yuan in 2020.
Even before the disclosure of the huge loss, Saturday had already been Mired in performance losses, large-scale store closures in the mire. Then Saturday became more and more deviated from the main business of women's shoes, announcing that it would transform the online celebrity live track, "off" the heat of Li Ziqi, and now, it will create virtual human IP.
"Women's shoes first stock" said goodbye to the women's shoe business
As for the performance decline, Saturday said, the domestic repeated epidemic has caused a long-term impact on the local economy, the overall weak consumer demand, offline commercial sales and the digestion of the company's footwear inventory had a great impact; In addition, the company due to the business transformation of the additional costs, resulting in shoe business all year in the operating loss.
In addition, in order to optimize the recovery of inventory funds, the company also increased promotional efforts, it is estimated that the provision of bad debt and inventory depreciation reserves of about 280 million yuan to 350 million yuan.
In 1994, the first "ST& SAT "store opening, officially opened the Chain business model of China's shoe industry. After the growing development of the company, it owns ST& SAT (Saturday), Sophia, Diffus, Fabriel and many other brands. In 2009, it was listed on the Shenzhen Stock Exchange on Saturday, becoming the "first women's shoes stock" of A-shares.
However, with the rise of e-commerce and new retail channels, the traditional offline women's shoes business suffered a big impact, Saturday's performance also declined year after year. As of the end of 2017, Saturday's net loss reached 352 million yuan, plunging 1,789.31 percent year on year, while the company only earned 490 million yuan in the eight years from 2009 to 2016.
Saturday's performance never recovered. By 2020, the company's net profit shrank 83.85 percent year-on-year to 24.2978 million yuan. At the same time, the number of stores decreased from 2,363 in 2013 to 988 in 2020.
In this regard, Saturday also admitted that under the background of consumption upgrading and channel changes, the footwear and apparel field has witnessed slow growth and even negative growth, and has entered a deep adjustment zone, facing the risk of declining market share and sales performance.
Not only Saturday, in fact, in recent years, women's shoe enterprises as a whole are not very prosperous, has entered the stock market stage by high-speed growth stage. According to a report by Qianzhan Industry Research Institute, China's leather shoes industry is in an important period of quality upgrading, product structure adjustment and low-end production capacity contraction; In the long run, the scale of the domestic leather shoe industry is slowly declining, and it is expected that the domestic leather shoe industry output will shrink to 1.7 billion pairs in 2026. Under the background of the flagging industry, Belle, Daphne, red Dragonfly and other shoe giants have also fallen into a slump in performance, large-scale store closure in the predicament.
Ma Gang, a footwear analyst, said, "There are several reasons for the slump in the women's shoe industry. First, the shoe consumption circuit has become more refined, with more categories and a more complex consumption scene, which means the target market for old brands like Saturday and Belle has become smaller. Second, the complex consumption environment, a large number of people into first-tier cities, the traditional consumption channel has been restructured, and the popularity of e-commerce has intensified the restructuring of such consumption channel, the traditional way of selling can not adapt to the change of consumption situation, resulting in the decline of sales of such old brands."
On Saturday, the company first proposed to create "her fashion ecosystem" and "fashion IP ecosystem", but failed to achieve results. Then the company began to transform to a new retail platform, and gradually shed women's shoes business.
In December 2019, Saturday announced that the company sold 100% of the equity of its wholly-owned subsidiary Foshan Saturday Technology RESEARCH and Development Co., Ltd. for 13.85 million yuan, and said that it would not retain production capacity in the future.
Now, Saturday further plans to integrate the company's footwear sales related businesses and assets, in addition to the footwear business trademark overall transfer. In the future, the company said it will shift to a "light" asset operation focused on brand licensing, brand management and supply chain services, which is expected to produce good positive earnings.
Incubate Internet celebrity anchor, virtual human IP, Saturday fall in love with rub heat?
Set foot on the road of transformation, Saturday in 2018 for 1.788 billion yuan acquired 89.4% of the shares of Yao Wang Network.
It is understood that Yao Wang network is a comprehensive digital marketing company, which has signed a number of entertainer anchors such as Lou Yixiao, Chen Iru and Shen Tao, and is the head MCN company of Kuaishou. The company was listed on the New Third Board in December 2015, but delisted on March 22, 2017. Fang Jian, president of Wangwang Network, has publicly revealed that "the NEW Third Board market is not that active, and we want to go to the more mainstream capital market." Accordingly, the personage of the industry had guessed, wangwang network was purchased by Saturday, is actually its want to go on the market by the back door.
At the beginning of the acquisition of Yuanwang, Saturday also tried to integrate the shoe industry with the Internet business, selling the company's footwear products through short videos and live broadcasts on various platforms. But Saturday has since moved away from the women's shoe business to focus on its online social e-commerce business as a new source of growth. In 2021, the company also announced that it would mass-produce cargo hosts and sign 156 stars and Internet celebrities anchors in a year.
The popularity of "Internet celebrities" and livestreaming e-commerce also helped lift Saturday's share price. In 2019, there were rumors in the market that Saturday took an indirect stake in The company "Ziqi Culture," which is owned by Internet star Li Qi.
At that time, Li Qi in Sichuan Zi Qi cultural Communication Co., Ltd. the actual controlling shareholder micro read technology. In the list of shareholders of Micro Read Technology, Guangzhou Zhuoshi Growth Equity Investment enterprises (limited partnership) holds 5.66% of its shares. Shenzhen Saturday Investment Holding Co., LTD., the largest shareholder of Saturday, holds 21.53 percent of guangzhou Zhuoshi.
In this way, Saturday was once regarded as a "plum concept stock" market. By the end of 2019, The a-share market was one of the hottest, with Saturday gaining 17 daily trading limits in 26 trading days.
"Li Qi is not an Internet celebrity signed by the company," said a statement on the Shenzhen Stock Exchange platform on Saturday, Dec. 26, 2019. As of Saturday, January 20, 2020, the share price surged to 34.1 yuan per share, and the total market value reached 25.182 billion yuan.
But the surge from the popularity of "live influencer" did not extend to "Save" Saturday. By the close of January 20, 2022, the share price on Saturday was 18.8 yuan/share, down 8.04%, and the market value has shrunk to 16.45 billion yuan.
And now, the old shoe company is taking on the heat of virtual idols. December 2021, said Saturday, the company integrated the domestic top production team and IP resources, the current choice of short video platform incubation virtual human IP, and do related video development, is expected to launch the first virtual human IP account within this year.
However, whether it is the economic model of Internet celebrities or virtual idols, its business model is not perfect, moving to a new track Saturday can reverse the decline in performance?