Xinda Footwear Industry Will Increase Production

Liu Shunhui, executive director and chief executive officer of XinDa, said yesterday after the general meeting of shareholders that the sales volume of the same store in Hongkong and the mainland in June this year was double digit growth. Beijing and Jiangsu also recorded an increase of more than 40%.

In terms of average unit price, Hongkong recorded double-digit growth in June this year, while the mainland recorded close to double digit growth.

In terms of wages, she said the company had raised its unit figures in March this year, and it is expected that there will be double digit pay increases this year.

When asked whether double-digit sales growth could be maintained in the same store in the second half of the year, she expects sales growth in the second half of this year to be less than the first half, but it is still expected to maintain healthy growth.

She expects two-way sales growth in the mainland and Hong Kong in the same year.

In addition, the number of branches can be increased to 750 to 800 by the end of February.

Beijing Jiangsu sales increased by more than 40% in June.

She also estimated that this year's capital expenditure will be 50 million yuan, of which 20 million yuan will be used to expand the production line. The company is now preparing sixth production lines. At the beginning of July this year, it opened a new factory in Gaoming. It is also in the trial production stage. There will be at most 6 production lines in the future.

She continued to point out that this year's output is expected to be 150 more than that of last year's shoes, and it hopes that the output will reach 1 million 800 thousand pairs of shoes. At present, more than 80% of the company's products are produced by themselves, and the proportion of self production in the future will be even higher.

When asked whether the increase in cost would bring pressure on the company to raise the price, she said that because of the limited impact of the increase in material cost pressure and the increase in the price reduction of products and the increase in the supply of new goods, I believe that the average unit price would have room for improvement.