Textile Industry Cold Wave Hits Xinhua Jin Performance Decline

< p > recently, Xinhua company, a listed company in Qingdao, disclosed its 2013 annual report.

Compared with 2012, the operating income and net profit of Xinhua brocade have declined to varying degrees.

In fact, the performance of Xinhua Jin also reflects, to a certain extent, the depression of the whole industry of < a target= "_blank" href= "//www.sjfzxm.com/" > textile < /a >.

Judging from the performance of the A share textile plate published in the annual report, both the Huafang textile and the German cotton share have suffered losses.

The industry believes that the weak demand in Europe and the United States, leading to a decline in exports, the textile industry is the root cause of the cold.

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< p > < strong > Xinhua Jin textile income has been halved in three years < /strong > < /p >

< p > April 12th, Xinhua Jin annual report shows that in 2013, the operating income was 1 billion 340 million yuan, a decrease of 18.87% over the same period in 2012, and the net profit attributable to shareholders of listed companies was 45 million 870 thousand yuan, down 17.18% from the same period in 2012.

Its main business textile was obviously dragged down. In 2013, Xinhua brocade operating income in textile business was 312 million yuan, down 33.57% from the same period in 2012.

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< p > comparing with the recent 3 years' annual report of Xinhua Jin, it can be found that its performance in textile business shows a continuous downward trend.

In 2011, Xinhua brocade contributed 720 million yuan to its textile revenue, which was reduced to 470 million yuan in 2012. By 2013, this figure had dropped to 312 million yuan, and the sales revenue of Xinhua brocade has been reduced by more than half in three years.

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< p > in fact, the annual report of listed textile enterprises can be found that the performance of Xinhua brook is not a case in point.

For example, the loss of Huafang textile in 2013 was 60 million 340 thousand yuan, an astonishing 1289.22% compared with the same period last year. Then, this loss spread. The loss of Jilin chemical fiber and Xia Ke environmental protection in 2013 reached 394 million yuan and 200 million yuan respectively, down 4066.04% and 3000.53% respectively.

By contrast, the performance of Xinhua brocade is among the best in the textile sector.

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< p > < strong > < a > href= > //www.sjfzxm.com/news/index_c.asp > > Xinhua Jin > /a > decline is due to business pformation < /strong > /p >

< p > for this reason, Li Zhengguang, an investment consultant of Tibet Tongxin securities Qingdao business department, believes that the textile industry has suffered from the sharp decline of import demand in the European and American markets, leading to the huge loss of textile enterprises mainly exported to foreign trade.

In addition, in 2013, the appreciation of the RMB has increased the pressure on foreign trade enterprises.

Xinhua Jin's annual report also confirms this view. In 2013, Xinhua's revenue in the field of international trade was 976 million yuan, down 23.65% from the same period in 2012.

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< p > CITIC Wantong Hongkong Middle Road business department investment adviser Yu Liang said: "to the good side, in the case of irreversible development of the industry, after this round of survival of the fittest, the textile industry in the future should take the low end pfer, reduce costs and upgrade the technology advantages."

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< p > at the same time, Zong Yuliang believes that in the short term, the best choice for textile enterprises to turn losses into profits is to carry out business pformation.

He said: "the performance of Xinhua brocade in the textile industry is so depressed that there has not been a noticeable decline in its performance, which stems from its development in the field of hair products, real estate, financial investment and so on."

In addition, he said, "textile enterprises can learn Lu Tai A. The performance of the company last year is commendable. The main mode is to build factories overseas. This mode helps to reduce labor and tax costs.

In addition, < a href= "//www.sjfzxm.com/news/index_p.asp > > Qingdao < /a > bidding for the Sino Korean free trade zone is also a great benefit to the export enterprises such as Xinhua."

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