Presentation is loading. Please wait.

Presentation is loading. Please wait.

INTERIM RESULTS HIGHLIGHTS FOR THE SIX MONTHS ENDED JUNE 30, 2007.

Similar presentations


Presentation on theme: "INTERIM RESULTS HIGHLIGHTS FOR THE SIX MONTHS ENDED JUNE 30, 2007."— Presentation transcript:

1 INTERIM RESULTS HIGHLIGHTS FOR THE SIX MONTHS ENDED JUNE 30, 2007

2 23 Aug 2007Giordano 2007 Interim Results2 Results Highlights Six Months Ended June 30 Group turnover 15.2% Retail turnover 11.8% Comparable store sales4.3% Mainland China retail sales26.9% Manufacturing 3 rd party sales57.2% Gross margin2.4% pts due to winter stock clearance Operating margin 0.9% pt Profits attributable to shareholders5.3% Earnings per share9.6 HK cents Interim dividend 6.5 HK cents

3 23 Aug 2007Giordano 2007 Interim Results3 Amounts in HK$M ChangeRemarks Turnover2,3282, % Jul-07 turnover up double digit. Target double digit growth in 2H07. Gross profit1,1191,0219.6%Jul-07 gross profit up double digit. EBITDA % Operating profit % Profit before tax % Profit attributable to Shareholders % Earnings per share (HK cents) % Interim dividend per share (HK cents) Ordinary4.5 - Special2.0 - Dividend payout ratio (%)67.7%64.4%NM Group Financial Highlights Six Months Ended June 30

4 23 Aug 2007Giordano 2007 Interim Results4 Amounts in HK$M Remarks Net cash & bank balances final dividend of HK$298M paid in May-07. Cash inflow from operating activities Inventory turnover on sales Capital Expenditure6145HK$130M budgeted for Current ratio (x) Gross margin48.1%50.5% 1Q07 was 46.1% due to winter stock clearance. Increased to 50.1% in 2Q07. EBITDA margin11.4%12.5% Operating expenses up 10.7% from rising rentals. Operating margin8.2%9.1% Expect to improve in 2H07 from better gross margin. Net margin6.1%7.5% 1 As at December 31, 2006 Group Financial Highlights Six Months Ended June 30

5 23 Aug 2007Giordano 2007 Interim Results5 Amounts in HK$M TurnoverOperating Profit Change Change Retail & Distribution2,0891, % % Garment Trading & Manufacturing % % Intra-division Elimination(218)(328)- 33.5%--- Sales to Third Parties %--- Total2,3282, % % Divisional Highlights Six Months Ended June 30

6 23 Aug 2007Giordano 2007 Interim Results6 Group Turnover by Business Segment Six Months Ended June 30, 2007 Giordano Ladies 5% (5%) Giordano core line & Giordano Junior 75% (80%) Note: 1H06 figures in brackets Garment Trading & Manufacturing (sales to third party) 10% (7%) Bluestar Exchange/BSX 6% (8%) Giordano Concepts 4% (NA)

7 23 Aug 2007Giordano 2007 Interim Results7

8 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) 1 1,7551, % 1H07 ASP up 14.1% YOY to HK$97. Jul-07 sales up double digit YOY. Target double digit sales growth in 2H07. As % Total Retail Turnover 1 84%87% Comp Store Sales %- 5.9% Number of Outlets 1 1,6421, Opened in Vancouver and Los Angeles. Target to add about 40 new stores in 2H07, majority in Mainland China. Giordano core-line & Junior Six Months Ended June 30 1 Includes Giordano core-line and Giordano Junior. Excludes Giordano Concepts. 2 As at December 31, 2006

9 23 Aug 2007Giordano 2007 Interim Results9

10 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % Sales grew by double digit in all markets except Taiwan in 1H07. 1H07 ASP up 11.4% YOY to HK$302. Gross margin increased by 1.5 percentage points YOY in 1H07. Jul-07 sales up double digit YOY. Target double digit sales growth in 2H07. As % Total Retail Turnover 5% Comp Store Sales+ 14.4%+ 6.4% Number of Outlets Launch in Kuala Lumpur in 2H07. Giordano Ladies Six Months Ended June 30 1 As at December 31, 2006

11 23 Aug 2007Giordano 2007 Interim Results11

12 23 Aug 2007Giordano 2007 Interim Results Remarks Turnover (HK$M)82 1H07 ASP was HK$129, 33.0% higher than Giordano core-line. As % Total Retail Turnover4% Comp Store SalesNA Number of Outlets9 Launched in three stores in Hong Kong in 4Q07. Added six stores in Shanghai, Hong Kong, Taipei and Singapore as at in 1H07. Additional stores planned for Guangzhou, Taipei and Kuala Lumpur in 2H07. Giordano Concepts Six Months Ended June 30

13 23 Aug 2007Giordano 2007 Interim Results13

14 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % 1H07 gross margin up 0.9 percentage point YOY. 1H07 ASP up 34.9% YOY to HK$58 due to BSX conversion. As % Total Retail Turnover 7%8% Comp Store Sales- 6.9%- 6.1% Number of Outlets BSX launched in Mar-07 in Hong Kong with five stores by end Jun-07. Align store portfolio with new brand positioning. Bluestar Exchange / BSX Six Months Ended June 30 1 As at December 31, 2006

15 23 Aug 2007Giordano 2007 Interim Results15 Hong Kong 21% (23%) Mainland China 29% (25%) Others 10% (10%) Note: 1H06 figures in brackets Malaysia 3% (3%) Indonesia 4% (4%) Australia 6% (6%) Singapore 9% (10%) Taiwan 15% (17%) Thailand 3% (2%) Retail & Distribution Turnover by Market Six Months Ended June 30, 2007

16 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % Jul-07 sales up double digit YOY. Target double digit growth in 2H07. Comp Store Sales+ 20.6%+ 7.2% Number of Outlets Two Giordano Concepts stores opened in Shanghai in 1H07. One more planned for Guangzhou in 3Q07. Net increase of 20 stores planned for 2H07. Mainland China Six Months Ended June 30 1 As at December 31, 2006

17 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % Jul-07 sales flat YOY. Target high single digit growth in 2H07. Comp Store Sales+ 7.8%+ 4.4% Number of Outlets Rapidly rising rental a concern. Small reduction in store network expected in 2H07. Hong Kong Six Months Ended June 30 1 As at December 31, 2006

18 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % Jul-07 sales flat YOY. Target single digit sales growth in 2H07. Comp Store Sales- 3.5%- 13.7% Number of Outlets Opened two Giordano Concepts stores in Taipei in 1H07. Plans to add one more in 2H07. Net reduction of five locations in 1H07. More closures of under-performing locations planned for 2H07. Taiwan Six Months Ended June 30 1 As at December 31, 2006

19 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % Jul-07 sales down single digit YOY because of GST hike. Target high single digit sales growth in 2H07. Comp Store Sales- 4.6%- 15.7% Number of Outlets No net increase in store network planned in Singapore Six Months Ended June 30 1 As at December 31, 2006

20 23 Aug 2007Giordano 2007 Interim Results20 Turnover (HK$M) ChangeRemarks Australia % Jul-07 sales up double-digit YOY. Target double digit sales growth in 2H07. Malaysia % Jul-07 sales and 2H07 target same as above. Launch Ladies and Concepts in 2H07. Indonesia % Jul-07 sales and 2H07 target same as above. Thailand % Jul-07 sales and 2H07 target same as above. Other markets % Jul-07 sales and 2H07 target same as above. Other Markets Six Months Ended June 30

21 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % Gross margin increased by 1.1 percentage points YOY in 1H07. Comp Store Sales- 12.0%- 9.6% Number of Outlets Introduced Giordano Her and Giordano Him. Target to add 10 outlets in 2H07. South Korea Six Months Ended June 30 1 As at December 31, 2006

22 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Turnover (HK$M) % Gross margin increased by 0.6 percentage point YOY in 1H07. Jul-07 sales up double digit YOY. Target double digit growth in 2H07. Comp Store Sales+ 2.4%+ 5.8% Number of Outlets Six new stores planned for Mumbai and other cities in India in 2H07. Middle East & India Six Months Ended June 30 1 As at December 31, 2006

23 23 Aug 2007Giordano 2007 Interim Results ChangeRemarks Sales including intra-group sales (HK$M) % Sales to third party customers (HK$M) % 1H07 third party sales account for 52.3% of division sales. Jul-07 third party sales up double- digit YOY. Target double digit growth in 2H07. Percentage of Retail & Distributions total purchase Operating Profit (HK$M) % HK$2M decrease in operating profit due to higher cost of acquiring and servicing new third party clients. Operating Margin (%)3.9%4.2% Garment Trading & Manufacturing Six Months Ended June 30

24 23 Aug 2007Giordano 2007 Interim Results24 Number of Outlets Dec 31, H07 Change 2H07 Target Remarks Mainland China At least 20 additional stores planned for 2H07. Hong Kong & Singapore Small reduction in store network expected. Taiwan More closures of under-performing locations planned for 2H07. Malaysia, Thailand & Indonesia Launch Ladies and Concepts in Malaysia Australia South Korea Open additional Giordano Her and Him outlets. Middle East & India Six new stores planned for Mumbai and other cities in 2H07. Other Markets Opened one store each in Vancouver and LA in 1H07. Second LA store planned for 2H07. Total1, Development Plan

25 23 Aug 2007Giordano 2007 Interim Results25 No. of Outlets As at Jun 30, 2007 As at Dec 31, 2006 YTD Change Giordano & Junior Giordano Concepts Giordano Ladies Bluestar Exchange Total Mainland China Hong Kong Taiwan Singapore Australia Malaysia Indonesia Thailand South Korea Middle East & India Philippines Japan Others Total1, ,8271, Global Retail Network


Download ppt "INTERIM RESULTS HIGHLIGHTS FOR THE SIX MONTHS ENDED JUNE 30, 2007."

Similar presentations


Ads by Google