In The Two Quarter Of This Year, The Same Store Sales Slumped In 17.7% And Closed 167 Stores In Daphne.

Daphne International Holdings Limited Daphne International Holdings Ltd released surplus police, said group as of the two quarter of June 30, 2015, core brand business same store sales continued to plunge 17.7%, the first half of the same store sales overall fell 16.9%.

The company's same store sales fell 15.9% in the first quarter.

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After endorsement and renovation, the performance slightly improved, but then continued to weaken with the big market.

As the core business was weak, Daphne continued to implement a closed shop strategy in the two quarter, shutting down 167 shops, including 141 Direct stores and 26 franchised stores, which reduced the total number of stores to 6221. The company closed 181 stores in the first half of this year, including 117 117 stores and 64 64 franchises.

Daphne said that in the first half of the year, long consumption was weak, the weather was erratic, and competitors' early and increased discount efforts intensified competition. Although the company maintained its original discount strategy, the sales of core businesses in the first half of this year would have a low digit drop, but the gross margin was improved by the sales mix improvement, which was in line with expectations.

However, Daphne also pointed out that the net interest rate would be affected by the high fixed costs and negative leverage effects of the retail industry, but the company did not point out a specific decline in the net profit, and the company's net profit in the medium term would be significantly reduced.

The Daphne group is the only sector that has gained growth. The company also says it maintains profitability.

As for the outlook for the second half of the year, Daphne said that the outlook is still uncertain, with the aim of improving the business situation in the second half of the year.

At the end of April, Daphne released the Q1 data of the same store's selling slump, which was followed by the big line. Bank of America Merrill Lynch (NYSE:BAC) mein Merrill Lynch lowered its target price from HK $3.35 to HK $3, maintaining a "buy" rating.

While JPMorgan Chase & Co (NYSE:JPM) Morgan chase maintained a target price of HK $1.7, and the rating was lowered from "neutral" to "reduction".

Since July, Daphne's share price has fallen below the 1.7 HK dollar target price, which fell by 0.61% at HK $1.63 on Thursday. The stock price of the company has fallen more than 42% so far this year. It is estimated that Friday's investment bank will adjust the price again.