Pathfinder Plunged Into A Dilemma, Diversification Dragged Down Performance For Two Consecutive Years.

Diversification drag down performance, return to the main industry is facing slowdown in the industry, "outdoor goods first share" Pathfinder in a dilemma.

Since the march of tourism and sports in 2015, the performance of Pathfinder has been falling year after year.

In 2018, the Pathfinder's performance remained disappointing, with losses widened from 84 million 850 thousand yuan in 2017 to 182 million yuan.

In February 20th, the Pathfinder disclosed that the company's revenue fell 33.91% to 2 billion 5 million yuan in the 2018 fiscal year, and the loss expanded to 182 million yuan.

As for the decline in revenue, the Pathfinder announcement said that due to the strategic optimization of the structure of the travel service business, the initiative to adjust the scale of business to reduce the international airline tickets with low profit margins has greatly reduced the income of travel services.

At the same time, the loss of other business operations of the non outdoor main business and the accumulated amount of goodwill, investment and asset impairment in 2018 will be over 200 million yuan, resulting in a loss of performance in 2018.

Cheng Weixiong, a garment analyst, told China Internet Financial reporter that the loss of the pathfinder for two consecutive years is the result of Pan outdoor layout, which is a bitter pill brought about by capitalization operations. "After capital financing has started, it has begun to get away from business and neglect its main business."

The Pathfinder set up in 1999 was listed on the gem as one of the first enterprises in 2009 and became the leader brand of China's outdoor products market.

In 2015, Pathfinder opened the road of diversification. This year, Pathfinder set foot in tourist services and sports, but diversification led to the achievements of Pathfinder.

After the first net profit decline in the third quarter of 2015, the net profit fell for the 13 consecutive quarter in the third quarter of 2018.

The Pathfinder who has been dragged down by diversification has begun to re-examine the diversification strategy and propose to return to the main business, but this time has missed the "golden age" of the outdoor products industry.

In 2017, Pathfinder founder Sheng Faqiang proposed the idea of stripping the sideline and returned to the outdoor products industry.

In the first half of 2018, the Pathfinder said in the first half of the year's earnings report that the Pathfinder has launched the divestiture plan for a relatively small travel and sports business which is less related to the outdoor main business, but it will take some time to quit completely.

"The draught has passed, especially in 2017, and the change has not been realized in that year", Cheng Weixiong told China Internet Financial reporter. The Pathfinder had long ago abandoned his main business before returning to the main business in 2017, and had no 35 years to focus on the main business.

Outdoor products industry is in the doldrums.

According to the 2017 China outdoor products Market Research Report, the total retail sales of domestic outdoor markets in 2017 were 24 billion 460 million, an increase of 5.07% over the same period last year, and the total shipment volume was 13 billion 790 million yuan, up 5.19% over the same period last year.

The growth rate of domestic outdoor products market continued to slow down, and the growth rate of the whole industry was the lowest in nearly 15 years.