Core Viewpoint - The overall consumption environment in the first half of the year was not particularly favorable, but the performance of the company, Biyinlefen, was relatively good compared to the A-share market in the domestic apparel sector. The company aims to continue its efforts for improvement [1] Financial Performance - In the first half of 2025, Biyinlefen achieved operating revenue of 2.103 billion yuan, a year-on-year increase of 8.63%. However, the net profit attributable to shareholders decreased by 13.56% to 414 million yuan [5] - The gross profit margin was 75.92%, and the average return on equity was 18.38% [5] - In contrast, the apparel industry saw a decline in revenue and profit, with a 1.43% decrease in revenue and a 12.92% drop in total profit for large-scale enterprises [5] Strategic Focus - The company is accelerating its transformation towards youthfulness and internationalization, having acquired global trademarks for luxury brands "CERRUTI 1881" and "KENT&CURWEN" [2] - Biyinlefen is focusing on appealing to younger consumers, with approximately 70% of its VIP customers being from the "80s" and "90s generations, and over 30% of its Tmall flagship store followers being under 30 [2] - The company plans to break the perception that it only produces men's clothing and will continue to invest in the women's market [3] Pricing Strategy - The company is adapting its product pricing to be more appealing to younger, price-sensitive consumers while maintaining a high-end image [2] - Biyinlefen adheres to a strict pricing system, with discounts capped at 5% for regular customers and 10% for VIPs, ensuring brand integrity [6] Channel Development - The company is enhancing its presence in core shopping districts and high-end shopping centers, aiming to upgrade the consumer experience and strengthen its high-end brand image [6] - Biyinlefen's e-commerce revenue reached 214 million yuan, a year-on-year increase of 71.82%, accounting for 10.18% of total revenue [5] Market Trends - The luxury goods market is experiencing a decline, leading to a concentration of resources and talent among leading brands, which may result in a reshuffling of the luxury market landscape [7] - The traditional "moat" of luxury products is diminishing, making it essential for brands to adapt and reposition themselves in the changing market [7]