Market review: the overall performance of textile and clothing sector is better than the market. In February, the A-share market rose slightly, the Hong Kong stock market and the US stock market fell, and the Taiwan stock market was flat; The overall performance of the textile sector is better than the market.
Brand channel: retail sales maintained a slight year-on-year decline, and online sales slowed down slightly. In the second half of the year, the overall operating pressure of the retail end of clothing consumption was large, but the decline showed a narrowing trend, with a year-on-year decrease of - 0.5% / - 2.3% from November to December respectively.
The annual online retail sales of wearing goods increased by + 8% year-on-year. In January, the retail sales of tmall Jingdong sports shoes and clothing increased by double digits year-on-year, and the rest of the sectors fell to varying degrees. In February, among the official flagship stores of tmall sports textile clothing, the top five brand stores with growth were China Li Ning, kolonsport, lululemon, Salomon and archeryx Archaeopteryx, with sales of 892, 1240, 3549, 8727 and 13088 million yuan respectively, up 164%, 159%, 155, 154% and 109% respectively.
In terms of channel, sales tiktok of key sports brands fluctuated less, and MW men's brands performed better.
Manufacturing exports: Vietnam's textile exports recovered and the appreciation of RMB continued. From October to December, China's textile exports were 7% / 10% / 16% and clothing exports were 25% / 23% / 14% year-on-year, maintaining prosperity; Vietnam's textile exports have recovered significantly since November 2021, with a year-on-year increase of 40% / 44% / 19% in November 2021, December 2021 and January February 2022 respectively. China PMI, Keqiao index, yarn and cloth output in January; At the end of February, the price of 328 cotton was + 0.1% month on month, and the comprehensive freight rate in February was - 3.9%. The exchange rate of the US dollar against the RMB fell slightly to 6.33.
Keep will be launched soon - the world's largest online fitness platform. The 400 billion online fitness industry has accelerated growth and broad space. In 2021, keep's share in online fitness reached 25% (MUA caliber). In terms of finance, its revenue growth was strong, its gross profit margin was high, its operating efficiency was healthy, its own brand contributed more than half of its revenue, and its high gross profit member subscription business grew rapidly.
Announcement of textile and clothing sector company and industry news: in terms of a shares, Winner Medical Co.Ltd(300888) announced the share repurchase Biem.L.Fdlkk Garment Co.Ltd(002832) , Zhe Jiang Taihua New Material Co.Ltd(603055) shareholder reduction Zhejiang Semir Garment Co.Ltd(002563) directors transfer shares to senior executives; In terms of overseas companies, the performance growth of Nike and Adidas slowed down in the third quarter, and luxury brands such as LV announced to raise their prices.
Investment suggestion: the fundamentals of sports brands and the upcoming listing of keep show that the sports consumption track is still in a highly prosperous situation. We are optimistic about the potential improvement of high-quality local brands and the growth prospects of the industry. Manufacturing enterprises benefit from the situation of sufficient orders and tight supply. The fundamental trend is relatively better. They are optimistic about leading companies and high value-added manufacturing enterprises with growth certainty and bargaining power. Our Hong Kong stocks mainly recommend Shenzhou International, Anta sports, Li Ning and Tebu international, and A-Shares mainly recommend Huali Industrial Group Company Limited(300979) , Zhe Jiang Taihua New Material Co.Ltd(603055) , Zhejiang Weixing Industrial Development Co.Ltd(002003) .
Risk tips: repeated impacts of the epidemic, intensified vicious competition among enterprises, international political and economic risks, and sharp fluctuations in exchange rates and raw material prices.
