Core Viewpoint - Dazzle Fashion Co., Ltd. will close all offline stores of its menswear brand RAZZLE in China by the end of August 2025 due to business adjustments, focusing future efforts on women's clothing [1][2][9] Group 1: RAZZLE Brand Closure - RAZZLE will cease operations and close its micro-store by May 30, 2025, with all offline stores shutting down by August 31, 2025 [2][4] - Consumers can still use their membership cards in physical stores until the closure and can transfer their benefits to DAZZLE membership cards [4] - As of now, RAZZLE's flagship store on JD.com is no longer visible, while its Tmall store remains operational [4] Group 2: Performance Issues - RAZZLE has been underperforming, with a reported revenue of 41.26 million yuan in 2024, a year-on-year decline of 11.79%, accounting for only 1.86% of the group's total revenue [6] - The number of RAZZLE's offline stores decreased from 22 at the end of 2023 to 18 by the end of 2024 [6] - The brand's target demographic is men aged 25 to 40, but it has struggled to gain market traction despite a mid-to-high-end positioning [5][6] Group 3: Overall Company Performance - Dazzle Fashion's total revenue fell by 16.23% to 2.219 billion yuan in 2024, with all brands, including DAZZLE, DIAMOND DAZZLE, and d'zzit, experiencing declines [7][8] - The company closed 243 stores in 2024, resulting in a total of 890 stores, marking the first time since its IPO in 2018 that the number of stores fell below 1,000 [8] - The menswear market in China is undergoing significant changes, with traditional business menswear struggling, leading to increased competition for RAZZLE [8][9]

Core Viewpoint - Dazzle Fashion has decided to close its underperforming men's brand RAZZLE by August 31, aiming to reallocate resources towards its women's clothing business [1][4]. Group 1: Brand Performance - RAZZLE, launched in 2017, was intended to target quality-conscious male consumers aged 25-40 but has failed to gain significant traction, with revenue never exceeding 50 million yuan and consistently accounting for less than 2% of Dazzle's overall revenue [3]. - In 2024, RAZZLE's revenue declined by 11.79%, contributing to Dazzle's overall revenue drop of 16.23% to 2.219 billion yuan and a net profit decrease of 38.52% to 304 million yuan [3][5]. - The number of RAZZLE stores decreased from 22 to 18, part of a broader trend where Dazzle closed 147 stores in the same year [3]. Group 2: Strategic Shift - The decision to shut down RAZZLE is part of a strategy to focus more on the women's clothing segment, which has also faced challenges, as all women's brands under Dazzle reported revenue declines in 2024 [4][5]. - Dazzle's main brand, DAZZLE, saw an 18.37% revenue drop to 1.163 billion yuan, while the high-end line DIAMOND DAZZLE fell by 17.78% to 120 million yuan [5]. - The competitive landscape for women's fashion is intensifying, with both domestic and international fast-fashion brands increasing their presence, posing significant challenges for Dazzle as it seeks to revitalize its performance through a focus on women's clothing [5].