BOSIDENG(HK:03998)2022-07-21 14:00Financial Performance - Bosideng's revenue for the fiscal year 2021/22 reached approximately RMB 16.21 billion, representing a year-on-year growth of 20.0%[21]. - The profit attributable to shareholders was approximately RMB 2.06 billion, an increase of 20.6% compared to the previous year[21]. - The gross profit margin improved to 60.1%, up from 58.6% in the previous year[21]. - The company declared a final dividend of HKD 13.5 cents per share, in addition to an interim dividend of HKD 4.5 cents, resulting in a total dividend payout ratio of 80.2%[21]. - The company achieved a net current asset of RMB 8.13 billion, an increase from RMB 7.43 billion in the previous year[21]. - The company's revenue for the fiscal year 2021/22 was approximately RMB 16,213.6 million, representing a year-on-year increase of about 20.0%[35]. - The brand down jacket business generated revenue of approximately RMB 13,223.0 million, accounting for 81.6% of total revenue, with a year-on-year growth of 21.4%[35]. - The OEM management business recorded revenue of RMB 1,901.3 million, making up 11.7% of total revenue, and saw a year-on-year increase of 23.8%[35]. - The women's wear business reported revenue of RMB 903.7 million, which accounted for 5.6% of total revenue, experiencing a year-on-year decline of 4.5%[35]. - The diversified clothing business achieved revenue of RMB 185.6 million, representing 1.1% of total revenue, with a year-on-year increase of 28.3%[35]. Market Position and Brand Recognition - Bosideng was ranked 48th in the Brand Finance "2022 Global Most Valuable Apparel Brands" list, showcasing its strong market presence[13]. - The company has been recognized as a leading brand in the down jacket sector, maintaining the highest national sales for 27 consecutive years from 1995 to 2021[8]. - The company ranked first in global sales and volume in the down jacket market, according to Euromonitor International[22]. - Bosideng's brand down jacket business revenue increased by 16.3% year-on-year, reaching approximately RMB 11,617.7 million, while the overall brand down jacket segment revenue rose by 21.4% to about RMB 13,223.0 million[38]. - Bosideng's brand awareness and net promoter score (NPS) reached 56, with brand favorability at 9.11, making it the preferred down jacket expert for over 71% of Chinese consumers[38]. Innovation and Product Development - Bosideng's revenue for the fiscal year 2021/22 was significantly driven by its innovative integration of classic trench coat designs with down jacket features, creating a new category for business wear[2]. - The company launched innovative products, including the first-ever trench coat down jacket, and received international design awards for its products[25]. - The company introduced the "Dengfeng 2.0" high-end down jacket, reinforcing its leading position in consumer perception and showcasing original Chinese design and craftsmanship[41]. - The company has focused on product innovation by integrating consumer preferences and conducting precise development across different product series[52]. - The company has received multiple awards, including the Red Dot Design Award for its eco-friendly down jackets, highlighting its commitment to innovation and design excellence[13]. Sustainability and Corporate Social Responsibility - The company is committed to sustainability, actively exploring green products and sustainable fashion practices as part of its corporate social responsibility initiatives[7]. - The company is committed to sustainable fashion development and has donated approximately RMB 50 million in materials and cash for disaster relief in Shanxi during the 2021/22 fiscal year[28]. - The MSCI ESG rating for the company has improved from B to BBB, reflecting advancements in corporate governance, employee management, and product carbon footprint[114]. - The company has established a three-tier ESG management framework to ensure effective implementation of ESG goals and timely performance oversight[114]. - The company has established and continuously optimized its environmental management system to enhance environmental protection efforts[174]. Strategic Initiatives and Future Plans - Bosideng's new three-year strategic plan emphasizes professional leadership and brand comprehensiveness, aiming to transition from single sales to a global brand leader[4]. - The company aims to enhance its brand development strategy, focusing on product, channel, and terminal upgrades to become a globally respected fashion functional apparel group[8]. - The company plans to leverage the "post-Winter Olympics" economic development trend in ice and snow sports to expand its market presence in outdoor functional apparel[31]. - The company aims to strengthen its brand recognition among younger consumers, particularly targeting Generation Z[30]. - The company plans to enhance channel quality and efficiency by focusing on high-quality store openings in key urban areas[73]. Digital Transformation and E-commerce - The company is focusing on digital transformation, emphasizing "user, retail, and product" as three core business scenarios to enhance operational efficiency[27]. - The company expanded its online presence, with 6.1 million new members added through WeChat and over 6.3 million followers on its WeChat public account[26]. - The company's online flagship store on Tmall achieved approximately 6.6 million members and over 16.9 million fans as of March 31, 2022, with an increase of over 3.7 million new members on JD and Douyin platforms[98]. - Online sales revenue reached RMB 4,024.8 million, up 12.3% year-on-year, with the down jacket business contributing RMB 3,931.0 million, accounting for 29.7% of its total revenue[99]. - The proportion of online sales for down jackets priced over RMB 1,800 increased significantly from 31.8% to 46.9% year-on-year[98]. Corporate Governance and Management - The board of directors consists of eight members, with five executive directors and three independent non-executive directors, ensuring compliance with listing rules[132]. - The company has implemented measures to ensure that all directors are kept informed of the group's development progress and can make timely decisions[133]. - The board is committed to reviewing and monitoring the company's practices to maintain high standards of corporate governance[138]. - The company has adopted a board diversity policy, emphasizing the importance of diverse skills, experiences, and backgrounds in board member selection[145]. - The company has a structured approach to risk management, including risk identification, assessment, response, and monitoring[148]. Employee and Workforce Development - The company has increased its workforce to 10,118 full-time employees as of March 31, 2022, up from 9,028 the previous year, reflecting a year-on-year increase of 1,090 employees[121]. - The company's employee costs for the year were approximately RMB 1,715.7 million, compared to RMB 1,613.7 million in the previous fiscal year[121]. - The company has established a talent cultivation system that includes strategic interpretation, business path analysis, and organizational structure assessment, resulting in the output of 357 outstanding university graduates, 46 reserve managers, 28 reserve directors, and 16 outstanding retail general managers[125]. - The company has continuously updated its talent evaluation standards and processes to align with strategic implementation, ensuring a robust talent development framework[125]. - The company has implemented major human resources transformation projects to support brand and business strategy upgrades[169]. Shareholder Relations and Transparency - The management believes effective communication with investors is crucial since the company's listing in October 2007, engaging in regular briefings and investor forums[155]. - The company aims to ensure all shareholders receive the same information, reinforcing transparency and trust[155]. - Shareholders have the right to request special meetings if they hold at least 10% of the paid-up capital, with meetings to be held within two months of the request[156]. - The company has adhered to the disclosure requirements for related party transactions, ensuring transparency in its dealings with major shareholders[197]. - The company emphasizes strict adherence to disclosure regulations, ensuring timely and accurate information for shareholders[155].