Gem 2Nd Anniversary: Deciphering The Growth Curse Of Textile Stocks

In October 30, 2011, the growth enterprise market was two years old.

Data show that after 194 furniture has comparable data in GEM companies, post listing net profit The growth rate was less than 70% before the listing, of which 41 companies listed negative growth in net profit, accounting for 20%.

"High growth" as a halo on the gem, at the same time carrying too many doubts. "1 years of gold, 2 years of silver, 3 years of copper", which is repeatedly verified by the A stock board, is it necessary to repeat itself in the growth enterprise market?

As the first gem share in textile and apparel industry, the net profit of the Pathfinder in 2008 increased by 132.36% compared with the previous year, while the net profit growth in the first year (2009) narrowed to 72.92%, and the growth in the second year (2010) performance further narrowed to 22.39% after the listing. After that, anoits, three dimensional silk and Amway shares were listed on the gem. strategy In the field of industrial textiles with high status and growth potential, it is regrettable that after the three companies went public, two performances declined sharply, and the growth rate dropped. Is it possible to continue the high bargaining power? Can we improve the R & D capability? Can we give full play to the efficiency of the super fund raising? This is the key point for these companies to return to the high growth channel.

It is undeniable that the existing value of the gem is not doubted. Future 。 But at the time of 2nd anniversary, it is believed that the gem needs a deep introspection and reflection, and the introspection and reflection are also reflected in the A share of the motherboard.

According to statistics, in the 17 textile and apparel stocks listed in the past three years, the growth rate of the first year performance after the listing dropped by 13, accounting for 76.47%, of which 6 had continued to narrow in second, including 2.

According to the analysis, a common feature of the textile and apparel listed companies with relatively fast growth is that they have the leading core technologies and products, and the companies with declining performance have one thing in common, that is, they depend on the weather and eat on the policy. Accordingly, the core elements of "high growth" are self-evident.

Among the listed companies with the largest growth rate, the main reason for the substantial growth of their performance is to "increase the intensity of new technology promotion, stabilize sales, and exceed the expected revenue growth". For example, in the end of 2009, fuanna, listed in the middle of October 2010, the net profit growth in 2010 has expanded to varying degrees. Among them, the net profit increased from 6.2% in 2009 to 29.40% in 2010, while fuanna increased from 30.96% to 48.37%. In the first half of 2011, the net profit of two companies increased to 50.63% and 79.28% respectively. A continuous growth of net profit is the main business revenue. In 2010, the two company's main revenue growth was 18.01% and 34.80% respectively, which was significantly expanded compared with the previous year.

The reasons for the decline in performance are numerous. Through the surface, the essence is nothing but listing fraud and malicious money collection. Another growing shrinkage is the increasingly frequent "break". In the two tier market, the "break" has become the mainstream feature of the IPO in the past year. Of the 14 textile and apparel stocks listed in the past year, 12 of them were "breaking", accounting for 85.71%, of which 4 were GEM stocks, and 3 were "breaking".

After listening to the enthusiastic applause from investors, the investors will sigh with regret. After seeing the investors' face suspicion, I believe that the bosses of these companies are a little bit hung up. If they face the future, should they be deeply introspective and introspection?

Some people in the industry suggest that the core of market regulation should focus on the guideline of "wide access and strict retention", and the establishment of a delisting system in the medium and long term is imperative for the gem and even the main board A shares. The same is the gem, the U.S. NASDAQ about 8% of the company's annual delisting, while the UK gem AIM delisting rate is as high as 12%, are significantly higher than the main board market. Only the gem can pass. market Turn the flow into a real high growth incubator. {page_break}

First years of gem

Amway shares: high bargaining power without fear of external risks

Time to market: May 18, 2011

Issue price: 18 yuan / share

October 21, 2011 restoration price: 16.45 yuan / share

Growth playback:

As of October 21, 2011, the stock revaluation price of 16.45 yuan / share, compared with the issue price of 18 yuan, listing for 5 months will declare "break." However, Amway shares are exposed everywhere and are not afraid of the stock price deviations caused by systemic risk.

In 2011, influenced by factors such as the fluctuation of production factor cost, the gross profit margin of synthetic leather industry generally declined, while the ecological gross margin of Amway shares went up against the market, reaching 24.52%. Operating income in the first half of this year was 473 million yuan, an increase of 18.85% over the same period last year, and net profit of 39 million 454 thousand and 200 yuan, an increase of 17.6% over the same period last year.

The company's excellent profitability benefits from the patent advantage of eco leather technology and the "Amway" brand advantage, so that it has certain bargaining power for the downstream. In this way, the price of eco leather is about 40% higher than that of ordinary leather, and the gross profit of unit product is 85% higher than that of ordinary leather. On the other hand, the company is also effective in cost control. After the launch, it will quickly start the investment projects, expand production capacity and promote its timely production. The company will have a capacity of 66 million 500 thousand meters after the completion of the project, which is nearly double that of early 2011. The 2 dry 2 wet production line of the recruitment project has been in production in June 2011. The production capacity of 30 thousand tons of polyurethane resin that will be put into operation will also achieve all self-sufficiency of the raw material polyurethane resin, while ensuring product quality and extending the industrial chain at the same time. With strong bargaining power and cost control advantages, the company can maintain gross margins and profitability even though the external environment is more risky. stability 。

Taking into account the gradual entry of eco leather into the mainstream and the policy bias towards environmental protection products, Amway shares seem to be temporarily undervalued.

Second years of gem

Pathfinder: outdoor heroes rush a little bit.

Time to market: October 30, 2009

Issue price: 19.80 yuan / share

October 21, 2011 restoration price: 69.80 yuan / share

Growth playback:

As the first outdoor enterprise to impact the growth enterprise market, the company is a real "Pathfinder". After successfully landing the gem, the company resolutely implemented internal and external integration, and the year after that was a year of adjustment.

Due to the higher cost of publicity and improvement of management structure, the growth of company performance after listing is reduced. Net profit before 2008 increased by 132.36% compared with the previous year, while net profit growth in the first year (2009) narrowed to 72.92%, and the growth rate in 2010 (second) was further narrowed to 22.39% after the listing. The growth rate of 22% was only evaluated as "meeting market expectations" at that time.

Although the growth rate is somewhat "discouraged", the company's share price is running fast. The share price has risen 66.35% since the listing, and the market has fallen by 21.73% over the same period. Investors wonder: how much more room is there for the company's performance growth to continue to narrow?

According to the latest disclosure of the company, the company opened 183 new stores in the first half of 2011, strengthening the expansion of the street floor shops and the large shopping malls rentals. Direct business and franchising increased by 83.01% and 70.52% respectively. The semi annual report in 2011 showed that the company achieved operating income of 249 million yuan during the reporting period, an increase of 61.89% over the same period last year, and realized operating profit and net profit attributable to parent company increased by 86.39% and 72.37% respectively over the same period last year. Obviously, the first half of the year has seen a turn for the better.

It seems that the steady growth of the Pathfinder in 2011 has accelerated the expansion of store expansion. In addition, the company's e-commerce has also become one of the highlights, the company's new e-commerce company, and Jingdong network, good Le, excellence and other websites launched strategic cooperation, the first half of 2011 e-commerce business grew by 420.34%. With the "Outdoors" and the main secondary market as the main concept, the leading enterprises of domestic outdoor products will continue to closely follow the industry's high growth.

Anoits: gross profit margin slipped seriously.

Time to market: April 21, 2010

Issue price: 21.20 yuan / share

October 21, 2011 restoration price: 13.20 yuan / share

Growth playback:

From 21 yuan to 13 yuan, we can see that the development of anoits is not good enough for one year. In 2010, the company achieved a total revenue of 187 million 685 thousand and 500 yuan, down 4.26% from the same period last year. The net profit attributable to shareholders of listed companies was 27 million 100 thousand and 200 yuan, down 41.48% from the same period last year. One of the main culprits of sharp drop in net profit is the sharp decline in gross profit margin of the company's products. Gross profit margin in 2010 dropped by 4.96 percentage points, mainly due to the rising cost of raw materials and the higher cost of developing the market. The average price of aniline products in 2009 was 8000 yuan / ton, and the average price in 2010 exceeded 11000 yuan / ton.

In the first half of 2011, the company's business status improved, and two patents were obtained: "active navy blue dye for liquid ammonia mercerizing and wet chain crosslinking treatment for cellulose fibers" and "reactive black dye for post mercerizing for cellulose fibers". In the first half of the year, operating income and net profit increased by 23.54% and 17.48%, but Mao interest rate Is still declining, down 2.67 percentage points year-on-year.

Gross profit slipped, performance was bad and share prices fell. Anor seemed to have entered a blind alley, but investors still hoped that the $200 million fund that had not yet been used could be used in the future.

The company is actively improving, while speeding up the promotion of investment projects, while supplementing and improving the industrial chain through mergers and acquisitions or restructuring measures. In October 10, 2011, it announced that it would use the super fund to acquire 90% stake in Zhejiang Huasheng Chemical Company. Whether the company can make a beautiful turnover in the future depends on the implementation and market development of various investment projects.

Whether the company's stock price can go back and forth with the perfection of the industrial chain? Investors will wait and see.

Three dimensional wire: boost stock price and highlight R & D advantage

Time to market: February 26, 2010

Issue price: 21.59 yuan / share

October 21, 2011 restoration price: 21.39 yuan / share

Growth playback:

The biggest feature of Xiamen three dimensional silk environmental protection Limited by Share Ltd is independent research and development. The company's products have their own intellectual property rights. The long-term technical superiority makes it strong and powerful when it first enters the gem. On the day of the listing, the four companies of the second board of the gem landed on the top of the day, taking the 75% increase. In less than 1 months, the company announced its annual report in March. Its net profit increased by 80%. In 2009, the company achieved operating income of 132 million yuan, an increase of 54.80% over the same period last year, and realized a total profit of 26 million 699 thousand and 500 yuan, of which 22 million 643 thousand and 400 yuan net profit, an increase of 78.87% over the same period.

In 2010, the company made steady progress and expanded its scale in a rhythmic way. First, we adjusted the marketing layout, expanded the sales team, and strengthened the marketing and brand building. In the early stage of the thermal power market with a dominant position, we should strive to develop cement, waste incineration, foreign trade and bag changing market, and raise investment projects. 3 million square meters high performance high-temperature filter materials will be put into operation in a planned way. In 2010, its performance was stable, operating income of 171 million yuan, an increase of 29.19% over the same period last year, net profit of 21 million 160 thousand yuan, a decrease of 6.55% compared with the same period last year, net profit of 20 million 60 thousand yuan after deducting non profits, an increase of 9.72% over the same period last year, and a consolidated gross profit margin of 29.49%, an increase of 0.72 percentage points over the same period last year.

As of October 21, 2011, the stock price of 21.39 yuan / share has been "broken" compared with the issuing price of 21.59 yuan. The lifting of the company's share price also needs to give full play to its expertise.

In the first half of 2011, in the background of the market demand of high temperature filter media industry and the completion of the company's marketing layout, the company showed a significant upward trend. In the first half of the year, the main business revenue was 114 million yuan, up 54.13% over the same period last year. Net profit was 14 million 400 thousand yuan, up 34.95% over the same period last year. The bag type dust removal industry has developed rapidly in recent years, and its application areas are expanding year by year. The future expansion of bag type dust collection will directly affect the company's benefit level. {page_break}
First year quality differentiation of A shares

Over recruitment

Rongsheng petrochemical

Time to market: November 2, 2010

Issue price: 53.8 yuan / share

October 21, 2011 restoration price: 45.3 yuan / share

Fund-raising and investment orientation:

Rongsheng petrochemical listed in November last year, issuing 56 million shares. At that time, it was expected to raise about 949 million yuan, while the actual fund-raising was as high as 3 billion 13 million yuan, and the fund raised 2 billion 64 million yuan, which was 2.17 times the planned fund-raising, far ahead of the textile and apparel companies listed in the latest year. The company is located in enterprises with PTA, polyester chip and polyester polyester industry chain integration advantages. After the listing, we will promote technological transformation and expand production capacity. After the completion of Yisheng Dahua technology transformation project, the capacity will reach 1 million 560 thousand tons / year. After the completion of Yisheng Petrochemical two phase project, the total capacity will reach 3 million tons. At the same time, the company is developing 900 thousand tons / year aromatics project. The company plans to gradually expand to the upstream large petrochemical industry and further consolidate its profitability. In 2011, the market demand was strong and the production capacity was enlarged. The price of products increased smoothly, and production and sales flourishing. Net profit increased by 8 in the first half, operating income of 10 billion 754 million yuan, an increase of 52.38% over the same period, the net profit attributable to shareholders of listed companies was 1 billion 45 million yuan, an increase of 81.71% over the same period last year.

Lancy

Time to market: August 30, 2011

Issue price: 35 yuan / share

October 21, 2011 restoration price: 34.67 yuan / share

Fund-raising and investment orientation:

The plan to issue 50 million shares is expected to raise 850 million yuan, raising 1 billion 750 million yuan in real terms and raising nearly 900 million yuan, which is more than 1 times the planned fund-raising. "Rhine" and "Chao Ke" brand stores appeared explosive growth in the first half year. With the implementation of the investment projects, the company plans to add about 100 stores a year. The second tier cities will accelerate their entry, and the first two bureaus will be issued. With the promotion of multi brands, the company plans to launch two new brands in the second half of this year. The first store in the company's brand system, located in the relatively low-grade "Marie Marie" brand, has opened in Xi'an. The company will try to operate more high-end brands and promote sales with existing brands at the same time.

Breaking the weak Emperor

Jiangsu broad-minded

Time to market: 07 December 2010

Issue price: 20.1 yuan / share

October 21, 2011 restoration price: 14.19 yuan / share

Stock price track:

Listing less than a year, downhill all the way. On the first day of listing, it rose 15.67%, to 23.25 yuan, and the exchange rate reached 67.1% throughout the day. The dynamic P / E ratio has climbed 40 times on that day. Then, in December 24, 2010, the stock went public for only 14 days. In January 24, 2011, the stock price reached a new low of 18.16 yuan; from October 11, 2011 to October 11, 2011, the stock hit a new low of 11.18 yuan, which deviated 8.92 yuan from the issue price and deviated from the price. Jiangsu broad-minded not only fell below the issue price, but also slightly weak in its performance. In the first half of this year, the net profit attributable to shareholders of listed companies was 65 million yuan, an increase of 18.96%, and the consolidated gross profit margin dropped by 3.96 percentage points.

The company is actively improving this situation, and jointly invested with Shanghai Luwan industrial investment and operation company to set up "Shanghai Broadway Pads Automotive interior decoration Co., Ltd.". The controlling shareholder bought the seat fabric business and related assets of Shanghai Peng mat factory, and acquired the sole supplier of SAIC Group's fabric cover. In addition, the construction projects of high-grade automotive interior fabrics and color difference fibers for automotive decoration are advancing. It is expected that the products will reach production in 2011 and 2012 respectively, and the total output can be increased by 53 million 480 thousand yuan per year after tax. But whether we can achieve the expected result is still to wait and see.

Wordsworth

Time to market: 02 November 2010

Issue price: 22 yuan / share

October 21, 2011 restoration price: 16.60 yuan / share

Stock price track:

The price earnings ratio of the shares is up to 75.86 times, and the overvaluation is a hidden danger for the post market trend. The first day of listing fell 28.64%, the first day of turnover 66.96%. Then, the first 7 days went up, and then it fell rapidly, once close to the issue price until May 5, 2011. In October 19, 2011, the stock hit a new low of 16.31 yuan, and it deviated 5.69 yuan from the issue price, with a deviation of -25.86%.

Fur raw materials prices continue to rise, raising production costs, the company's stock prices of raw materials increased by an average of 20%, the pressure on the company, consolidated gross margin of 22.4%, a slight decrease of 1.07 percentage points. The business structure is still readjustment. In the first half of 2011, the fur clothing business with high added value grew well, the income increased by 27.47% compared with the same period last year, and the income of fur fabric business decreased rapidly, which decreased by 28.72% compared with that of the previous year, and the business of fur accessories fell 17%. Since 2011, we have attached importance to domestic market development and industry promotion. Through the construction of the two phase of fur market, we will create a trading place similar to the world's fur auction. The company will speed up its opening up in China. At the same time, we will work with the world fur association to standardize and promote the domestic fur trade standards.

A shares have accumulated in second years

Fire line expansion

Home textile

Time to market: 09, 10, 2009

Issue price: 27.16 yuan / share

October 21, 2011 restoration price: 81.65 yuan / share

Territory expansion route:

The expansion strategy of Roley's home textile is more radical, and rapidly increasing the channel network with franchising as its main priority. After the listing, the construction of direct sales network will be strengthened, and the channel strategy of "some large central cities direct + other regional joining" will be implemented. The proportion of direct investment will increase to become an important contribution point of profits. The gradient will develop many brands. Besides the core brand "Luo Lai" keeps high growth, Xue Ruidan, Shang Ma Ke, Disney and other brands will go hand in hand to release their achievements.

Roley home textiles is undoubtedly the leader of the three home textile listed companies. According to the data of the first half of 2011, the income of Luo Lai home textile in the first half of the year was 1 billion 3 million yuan, and fuanna and Meng Jie were 608 million yuan and 554 million yuan respectively. Roley's home textile net profit increased by 109.77% over the same period, and fuanna and Meng Jie were 79.28% and 46.86% respectively. There are four core competitiveness of brokers: first, the high-level structure is stable, the management team is strong; the two is the unique franchisee system, the channel is very strong; the three is the product and brand advantages; and the four is the good image of the shop.

China Lee

Time to market: September 25, 2009

Issue price: HK $3.9 / share

October 21, 2011 restoration price: HK $7.24 / share

Territory expansion route:

The endogenous growth and expansion of the company are well motivated. With the steady growth of outlets, the group can effectively increase the efficiency of retail outlets by improving the quality and image and optimizing store design. In the 2007-2010 years, the contribution of China's single store revenue increased from 423 thousand yuan to 754 thousand yuan, and the compound annual growth rate was 21.2%. China's prudent opening up strategy helps to reduce the potential risks of overexpansion in the face of the unstable external economic situation and the slowing down of China's economy.

In July 2010, the L2 products were officially launched to the market. The young fashion sub label is still in the breeding stage. In the autumn and winter ordering meeting held in January and April this year, the total order amount of L2 increased by 135% over the same period last year. In the first half of 2011, the company's operating income was 1 billion 32 million yuan, an increase of 31.2% over the same period last year, the average sales price increased by 13.2% to 163 yuan, gross profit increased 37.7% to 376 million yuan, and gross profit margin increased 1.7 percentage points to 36.4%. The value of the order of the 2012 spring and summer fair increased by 28.5%, and the average selling price and volume increased by two digits.

Unique positioning potential stock

Search for special

Time to market: November 17, 2010

Issue price: 75 yuan / share

October 21, 2011 restoration price: 68.68 yuan / share

Potential:

After a year's baptism, the stock market, which was listed on the market with a price earnings ratio of 113.64 times, fell sharply, but the high growth rate remained unchanged. In the first half of 2011, the main revenue grew by 67.40%, and net profit increased by 70.53%. The company took advantage of the advantages of listed capital to expand rapidly and seize the three or four line blank market. The rapid expansion of franchising channels promoted high growth, and the company added 352 new businesses in 2010, with a growth rate of 52%. The main body of domestic casual wear brand has always been concentrated in the second tier cities, and the sinking speed of the three or four line has been restricted. It has found a clear positioning and preemptive occupancy, and has been rapidly coming to the fore in the three or four line cities that have been dominated by wholesale brands with brand and operation advantages.

The situation of commercial real estate is uncertain, and domestic brand competition is intensified. At the same time, while enjoying high growth, this year, we began to consciously control risks and focus on improving management level. In 2010, the main business revenue and net profit of the company increased by 67.09% and 67.96% respectively. The main business revenue and net profit increased 67.40% and 70.53% respectively over the first half of this year.

Jia Lin Jie

Time to market: October 15, 2010

Issue price: 10.90 yuan / share

October 21, 2011 restoration price: 9.74 yuan / share

Potential:

The project will be put into operation gradually, and the company will expand its capacity by 56.7%. The annual output of all kinds of knitted fabrics reaches 18 million 800 thousand meters. Focusing on the production of professional outdoor fabrics, providing 12 independent well-known outdoor sports brands and 6 high-end mass sports brands with their own intellectual property knitted fabrics, forming a long-term strategic partnership with Icebreaker, Polartec, Kathmandu and other high-end outdoor sports brands.

After the listing company increased investment in brand building, its own brand Kroceus has about 20 retail outlets. In June 2011, 50 million yuan was added to the private brand subsidiary with over raised funds to accelerate the opening speed. It is estimated that Kroceus will have 40 stores this year. In 2010, the company's main business revenue and net profit increased by 40.13% and 43.71% respectively. The main business revenue and net profit increased by 43.33% and 30.5% respectively over the first half of this year.

A shares surprised in third years

Step by step and strive for strength

American Apparel

Time to market: August 28, 2008

Issue price: 19.67 yuan / share

October 21, 2011 restoration price: 42.10 yuan / share

The price increase of performance increase:

Three years ago, at the same time, the unveiled new brand ME&CITY was unveiled at the same time. In the industry, there was not much praise for the chase. In 2008 and 2009, the sales cost of American Apparel rose sharply, and the growth rate was slow. In the first half of 2010, the net profit fell by 80%, and the situation was worrying. In the second half of 2010