Lining'S Losses Narrowed 48% In 2014

Li Ning Co Ltd announced its annual performance in 2014.

Revenue increased by 16% to 6 billion 728 million yuan per year.

2014 in the second half of this year, revenue grew by 23%.

According to the announcement, in 2014, the pre tax profit plus depreciation and amortization loss was 323 million yuan, and the second half was amortized for 28 million yuan.

The loss attributable to equity holders was 781 million yuan, with a loss of 196 million yuan in the second half.

Amortization of allowance for bad debts and one-time costs recorded a significant improvement compared with last year.

The annual loss narrowed by 48%, while the second half narrowed by 82%.

And the operating capital has improved.

Inventory is mainly due to the expansion of self retailing business.

In terms of gross margin,

The overall cost of sales in 2014 was 3724092000 yuan, and the gross gross profit margin was 44.6%, compared with 44.5% in 2013.

In response, Lining said that because of the strong recovery in the performance of new products this year, sales accounted for a significant increase in gross margins.

At the same time, the increase in procurement costs will further impact on the lower prices.

The clean-up and other factors have brought about the loss of gross margin to a certain extent, which has offset the impact of the rising gross margin of new products.

It will further focus on cost control to ensure the stable performance of gross margin.

Cost of sales, Lining 2014 annual

For the 3262312000 yuan, the gross profit margin was 45%, a slight decrease in the same ratio.

In other words, Lining group's core brand Lining's income accounted for 88.2% of the group's total revenue, reaching 5 billion 930 million yuan, an increase of 16.7% over the same period last year.

In the second half of 2014, orders for orders were up to five year-on-year in the third quarter of 2015, with a year-on-year growth of more than 15% in the latest quarter.

Coupled with the positive growth in the same quarter sales in the second half of 2014, the number of units increased in the fourth quarter of 2014, all of which increased Lining's income, especially in the second half of the year.

The revenue of the red double joy card has been growing steadily, and the income growth rate is 11.3%.

As of December 31, 2014, the number of shops in Lining regular stores, flagship stores, factory shops and discount stores was 5626, a 289 decrease compared with December 31, 2013.

51 dealers, 4 fewer than in December 31, 2013.

In addition, Mr. Lining, executive chairman and executive director of the Lining group, has been appointed as the acting chief executive officer of the company since March 18, 2015.