China Lilang, a prominent menswear manufacturer and retailer from China, fears 2020 could be contradictory to what 2019 was as far as sales are concerned.
The menswear brand saw an impressive surge of 15 per cent in sales last year touching US $ 515.78 million. And how did this happen!
Amidst huge store expansions all through 2019, many outlets were relocated as a part of business strategy to enhance its exposure to customers.
Here it is noteworthy that China Lilang opened, on an average, 3 stores every week in 2019. Now that’s some number!
While profit from operation increased to US $ 138 million (11.1 per cent), net profit touched US $ 114.5 million last year, which is a jump of a little over 8 per cent.
However, the retailer is worried about 2020. The Coronavirus has, reportedly, hit the sales in a big way, which may force it to bring down the production of Autumn 2020 items so as to help outlets destock Spring inventories.
Wang Dong Xing, Chairman and Executive Director, China Lilang, said that while the first half of 2020 is going to have some effect on the firm, the Group expects China Lilang to bounce back in the later half of the year owing majorly to its original designs.
