Group 1 - The event held on November 7 in Shanghai aimed to promote the integration of domestic and international textile markets and expand textile and apparel consumption in Liaoning Province [1] - Over 100 Liaoning brand apparel items were showcased at the event, highlighting the province's industrial cluster advantages and innovative vitality of textile enterprises [1] - Liaoning's textile industry has established 11 national-level characteristic cities and towns, with a diverse product system including swimwear, cotton clothing, pants, socks, custom clothing, silk, and outdoor sportswear, exporting to over 160 countries and regions [1] Group 2 - The Secretary-General of the China National Textile and Apparel Council emphasized that Liaoning has a rich heritage and distinctive characteristics in the textile and apparel industry, achieving significant results in growth, innovation, branding, and market expansion [2] - The Council will continue to focus on policy coordination and standard alignment to support the quality and consistency of products from Liaoning and across the country [2]

Core Viewpoint - The company reported a decline in revenue and net profit for the first half of 2025, indicating challenges in its operational performance and market conditions [2][3]. Financial Performance - The company achieved a revenue of 1.375 billion yuan, a decrease of 5.93% compared to the same period last year [3][11]. - The net profit attributable to shareholders was 160 million yuan, down 13.93% year-on-year [3][11]. - The net profit after deducting non-recurring gains and losses was only 29 million yuan, a significant drop of 61.35% [3][9]. - The net cash flow from operating activities was -22.6 million yuan, a decline of 245.21% year-on-year [3][11]. Product Performance - Revenue from main products saw a decline across the board, with outerwear down 0.57% to 244 million yuan, T-shirts down 2.69% to 311 million yuan, and pants down 0.69% to 238 million yuan [4][6]. - The company’s total assets decreased by 8.58% to approximately 9.878 billion yuan [3][11]. Sales Channels - Online sales revenue decreased by 5.27% to 489 million yuan, while direct sales increased by 17.12% to 463 million yuan [6][11]. - Franchise sales revenue dropped by 28.77% to 270 million yuan [6][11]. Store Operations - The company opened 46 new physical stores but closed 128, resulting in a net decrease of 82 stores [8][9]. - High return rates on e-commerce platforms were noted, with rates of 50.43% on Tmall, 58.9% on Douyin, and 49.53% on Vipshop [7][8]. Cost and Expenses - The company reported a significant increase in sales expenses, which rose by 16.68% to 546 million yuan [9][11]. - Research and development expenses were less than one-twentieth of sales expenses, decreasing by 41.98% to approximately 1.911 million yuan [9][11]. Asset Impairment - The company planned to recognize asset impairment provisions of 59.66 million yuan, with inventory impairment accounting for 60.65 million yuan [9][10].