KORRUN(SZ:300577)2023-08-29 02:44Group 1: Company Overview and Clientele - The company has established itself as a leader in the bag manufacturing sector, serving major clients such as Nike, Decathlon, VF Corporation, and Puma in the sports and leisure segment, as well as Dell, HP, and Asus in the IT sector [3]. - In 2023, both sports leisure and IT clients are experiencing significant order pressure due to inventory reduction cycles and a continuous decline in global PC shipments for six consecutive quarters [3]. Group 2: Financial Performance - The gross margin for the brand operation segment increased by 4.15% year-on-year in the first half of 2023, attributed to strategic pricing and a focus on brand and product strength [3]. - The company anticipates a continued upward trend in gross margin as new products are launched and a differentiated product matrix is established across various channels [3]. Group 3: Risk Management - To mitigate foreign exchange risk, the company has engaged in forward foreign exchange contracts and options with financial institutions, with amounts not exceeding USD 20 million, aimed at locking in costs and preventing adverse impacts on operational performance [3]. Group 4: Brand Positioning - The company's primary self-owned brand "90 Points" targets a price range of RMB 400 to 1000, offering stylish and high-quality travel products through platforms like Tmall and JD [4]. - In contrast, the collaboration with Xiaomi focuses on a cost-price procurement and profit-sharing model, targeting a lower price range of RMB 200 to 400, aimed at young professionals and students [4].