Bosideng'S High Price Poaching Daphne'S Executives' Performance Declines To Be Rescued

Bosiden announced today evening that Gao Dekang, the current chairman and CEO of the company, will no longer serve as the CEO of Bosiden from May 15, 2014. Liang Xuhui, the former chief strategic officer of Daphne, will take over his position as CEO of Bosiden. It is reported that Liang Xuhui signed a contract with Bosiden for three years, with an annual salary of up to 5 million yuan.

As for the personnel change, Bosiden said that it mainly took into account the growing scale of Bosiden and the need to introduce more professionals for fine division of labor and management to lay a more stable foundation for long-term business development. "And effectively improve the corporate governance level of the company".

It is understood that Liang Xuhui once served as Goodchild Operation Director of Children's Products Group. In March 2011, Liang Xuhui announced his resignation less than 4 months after Goodchild's listing. In January 2012, Liang Xuhui joined Daphne Group as the Chief Strategic Officer, responsible for the strategic development of Daphne Group and the decision-making of its main operating projects.

Some analysts pointed out that Bosiden recruited Daphne Liang Xuhui at this time node. This is mainly because of the sharp decline of Bosiden's performance in recent years. At the end of March this year, Bosiden issued a profit warning for last year. The announcement said that Bosiden expected that its revenue would fall by "low double digit" compared with the same period of last year in the 2013 fiscal year as of March 31, 2014. Bosiden explained that the main reason for the sharp decline in revenue was that "the temperature in most areas of China last winter was higher than normal winter". In addition, Bosiden also said that due to the continued increase in business development support, the company's net profit decline in 2013 will be higher than its revenue decline.

According to the interim performance of Bosiden in 2013, as of the first half of September 30, 2013, Bosiden's revenue fell 8.8% to 2.809 billion yuan; Operating profit income dropped by 19.67% to 343 million yuan on a year-on-year basis. In terms of down jacket brands under Bosiden, in the first half of the fiscal year ended September 30, 2013, the sales revenue of Bosiden, Xuezhongfei, Bingjie, Kangbo and other down jacket brands were 1.008 billion yuan, 281 million yuan, 165 million yuan, 202 million yuan and 46 million yuan respectively. Except for the sales revenue of Bosiden and Kangbo brands, Xuezhongfei, Bingjie The sales revenue of other down jacket brands fell by 11%, 26% and 29% respectively compared with the same period last year.

In addition, Bosiden men's wear business, which Bosiden Group places high hopes on, continues to be depressed, and its performance is still unsatisfactory. According to its 2012 annual report, Bosiden's men's wear sales were 480 million yuan, down 30% year on year. Bosiden men's clothing had previously proposed the goal of opening 1000 stores, but the plan has now run aground. In the first half of the fiscal year ended September 30, 2013, the number of Bosiden men's clothing stores again decreased by 92 stores to 663 stores.

The store is not only closed for Bosiden men's wear, but also the "theme" of Bosiden Group brands. Data shows that in the first half of the fiscal year ended September 30, 2013, Bosiden Group had a net decrease of 503 stores, including 344 stores in down business and 159 stores in non down business. Among them, Bosiden and Combo reduced 256 and 306 stores respectively, and Bosiden Men's Wear, Jesse and Mogo reduced 92, 27 and 41 stores respectively. According to the annual report of Bosiden last fiscal year, Bosiden added 4665 to 13009 stores in one year.