Anna Le
Lauren Peacher
Billy Hazel
Nhi Py
Weronika Kumanek
Next plc, UK based retailer announced trading statement.
Outlook for Profits and Earnings Per Share
Despite very challenging trading conditions in the run up to Christmas, Next plc confirms that its profit forecast for the year ending January 2011 remains within the guidance issued in September and November.
We now estimate that full year profit before tax will be in the range of £540m to £555m and is in line with current market expectations. This would represent an increase of between 7% and 10% on last year. Earnings per share have been enhanced through cash generation and share buybacks. Assuming profits fall within the above range, EPS will be between 15% and 18% ahead of last year.
Sales Performance 1 August to 24 December
Total Next Brand sales (excluding VAT) were up 0.2%, just within our +0% to +3% guidance.
Retail sales were down 3.1% and Directory finished the season up 8.7%.
Retail sales were significantly affected by extreme weather conditions and increased competitor discounting on the high street before Christmas. We estimate that we lost £22m of full price sales as a result of the snow (representing 2.2% of the season's total sales) leaving like for like sales down 6.1%. Retail sales were also somewhat affected by limited stock availability on best-selling lines in the run up to Christmas.
New Retail space has continued to perform well and we have been particularly pleased with our 9 new Home stand alone stores.
Directory initially benefited from the adverse weather conditions with people ordering from home rather than braving the cold. However, in the immediate run up to Christmas the fear of failed deliveries reduced demand. Overall we believe the effect of weather on Directory was neutral.
The End of Season Sale started well and clearance rates are in line with our expectations.
Outlook for 2011
The outlook for 2011 is uncertain. The impact of Government cuts on consumer spending is still unclear and we have yet to fully understand the impact of rising retail selling prices on overall demand. We reconfirm that our own prices will be increasing by circa 8% as a result of higher input costs and the rise in VAT. Our best guess is that price rises will moderately suppress like for like sales, though we believe this will be offset by the addition of profitable new Retail space and continued growth of Directory's online business.
We will give more detailed guidance for sales and profits for the year ahead with our full year results, which we anticipate announcing on Thursday 24 March.
Organized by Eurovet, the world's leading lingerie and beachwear trade show organizer and supported by Hong Kong Intimate Apparel and Industries' Association (HKIAIA), the fifth Interfilière Hong Kong – Mode Lingerie will be held on March 30-31, 2011 at the Hong Kong Convention and Exhibition Centre 1 Expo Drive, Wanchai, Hong Kong.
This year, the leading sourcing platform for intimates and beachwear has taken a new name, "Interfilière Hong Kong – Mode Lingerie 2011" to put forward the 20 years old brand "Interfilière" which is known worldwide. In addition, this annual trade event for world class intimate apparel leaders has taken a "green" look with the aim at fostering green behavior of the industry. Not only do all pamphlets are printed with recycled paper, but greener behavior are also promoted, for instance, questionnaires were sent to exhibitors to study their green initiations in business and product development.
Interfilière Hong Kong – Mode Lingerie has formed a strong strategic relationship with Hong Kong Intimate Apparel and Industries' Association (HKIAIA) for five years. This alliance has proven that this trade event is truly authoritative platform in the whole region for the lingerie and beachwear industry. It is also a truly international event with the highest quality as only industry-related visitors are invited to the show.
Last year, there were over 3,600 qualified and selected visitors from all over the world at the Interfilière Hong Kong – Mode Lingerie including international brands, manufacturers, buyers, wholesalers and importers. Eurovet believes that Interfilière Hong Kong – Mode Lingerie continues to provide unparalleled business opportunities and connect the largest industry experts worldwide. It is estimated to have over 170 exhibitors from Europe and Asia showcasing lingerie aspects with the highest quality – from fibers to fabrics, laces, embroideries, latest innovations and technology to accessories for lingerie and beachwear.
With the phenomenal success of the past four consecutive years, Eurovet has proven that Hong Kong is the important strategic location for lingerie trade shows. Not only is Hong
Kong the hub for advanced intimate apparel manufacturing technology, but as Asia's World City, it is also perfect meeting point for buyers and exhibitors from around the world.
With its extensive experience in organizing professional and international lingerie trade show, Eurovet is the authority in trend forecast of lingerie industry. Interfilière Hong Kong – Mode Lingerie will decode the latest lingerie trends, designs, creations and innovations at the Trends Forum in co-operation with Concepts Paris. In addition, seminars and conferences will be organized during the Interfilière Hong Kong – Mode Lingerie to provide participants in-depth market updates to improve efficiency and introduce "green" initiatives as well as solutions for "greener" businesses.
Simultaneously, Eurovet supports the 4th International Symposium of Intimate Apparel to be held at the Chiang Chen Studio Theatre, The Hong Kong Polytechnic University on March 29, 2011 between 09:30 to 13:00. With the theme of "Modern Shapewear", various international lingerie designers, retailers, suppliers and manufacturers will provide insights on the future development of shapewear market.
Escalate Retail, the leading provider of solutions that help retailers reinvent the shopping experience for their customers, announced that Century 21, a discount department store offering high-end designer merchandise, has successfully implemented Escalate's Enterprise1 ERP solution for management of the retailer's merchandising, inventory and financials.
Known to celebrities, professional athletes and "fashionistas" as the best kept secret in Manhattan, Century 21 is by far the city's most ambitious, fashion-forward discount retailer accommodating thousands of bargain-thirsty shoppers every day. The retailer chose Escalate's Enterprise1 to more effectively keep pace with the enormous amount of inventory that goes through the store every day.
After thoroughly evaluating the retail industry's most prominent software vendors, Century 21 selected Escalate's Enterprise1 because of the functionality and scalability of the solution, in addition to Escalate's company-wide focus on multi-channel retailing and experienced professional services team. "Enterprise1 has driven more discipline to our fast-moving and highly adaptive business processes in all of the major functional areas," said Harry Roberts, CIO, Century 21.
Easy to implement and use, Enterprise1 delivers inventory, merchandising and supply chain solutions designed to drive merchandising effectiveness and inventory efficiency that lead to faster turns, higher margins and increased sales. Built on a modern technology infrastructure, Enterprise1 provides a suite of flexible applications designed to optimize operations in Century 21's demanding environment.
"Escalate's Enterprise1 software has helped us to facilitate the constant flow of high-demand merchandise throughout our organization. Additionally, the Escalate team worked closely with us to enhance the application through customization features such as vendor style number matching and time in motion improvement," said Roberts.
"Escalate has been a reliable partner from the onset, and we look forward to successfully growing with them in the years to come," said Raymond Gindi, CEO, Century 21.
"We are currently working with Century 21 on additional customization features for Enterprise1, and they have already implemented our Ecometry Direct Commerce Suite across their operations," said Rich Harmatiuk, Vice President and General Manager, Escalate. "We are pleased to be working closely with Century 21 to power their next generation of growth by developing assortments that are driven by margins, revenue, brand image and return on investment."
The 11th China (Yiwu) International Exhibition on Hosiery, Knitting, Dyeing & Finishing Machinery, successfully concluded at Yiwu International Expo Centre on Nov 26, 2010. YIWU H&G 2010, with the tenet of "showcase, communication, trade, innovation, win-win, development", aimed to construct a business-matching platform for exhibitors and buyers. The quantity of machineries displayed onsite, buyers and professional visitors were recorded high, the professionalism and branded exhibition of YIWU H&G have been further proven.
YIWU H&G 2010 occupied an exhibiting area of 7,600 sqm.150 high quality exhibitors from 9 countries and regions including Germany, France, Korea, China, Switzerland, Taiwan, Turkey, Hong Kong, Italy participated, showcasing 299 machineries. The 3-day show attracted 7,506 visitor flow to source onsite.
In addition, it was the first time for Hong Kong Productivity Council to organize more than 20 textile-related enterprises to visit the show, while it was the second visit of Zhuji Hosiery Industry Association, Haining Hosiery Industry Association and Pujiang County Knitting, Printing and Dyeing Industry Association to the show, bringing more than 100 members to discuss and source for machineries onsite.
Exhibitors Highly Satisfied with the Branded Exhibition
Among the 150 exhibitors of YIWU H&G 2010, quite a lot of them have participated in YIWU H&G for several editions successively and given their appreciations and recognitions to YIWU H&G 2010. It was told that the receipt of purchasing orders, reservation of products and enquiries from potential buyers were better than last year.
Many overseas exhibitors mentioned that in order to satisfy the demand of the rapid growing China's market, they will increase the investment in YIWU H&G 2011 and bring more technological advanced machineries to the next show. Santoni (Italy), Chemtax (Hong Kong), Wellknit (Taiwan), Cixin (Ningbo), Runyuan (Changzhou), etc. were satisfied with the exhibiting result as the exhibition built an effective trade and exchange platform successfully.
Asia's famous knitting and hosiery manufacturer, Jinheng Technology, expressed that they would like to launch their new products at YIWU H&G 2011, which could enhance the reputation of the brand and explore more extensive markets. New exhibitors, such as Ming Jang and YIN Group have also revealed that they will continue support and join the show. After all, many exhibitors have reserved booths of YIWU H&G 2011 onsite and some even mentioned that they would invest much more in the show.
Buyers Responded Overwhelmingly and Created Enormous Business Opportunities
YIWU H&G 2010 has aroused the attention of buyers and attracted many renowned enterprises to visit and source at the show, such as: Langsha Group, MengNa Hosiery, Zhenhan Socks, Shengfeng Group, Manzi Hoisery, Fenli Group, Yarun Socks, Yiting Knitting, China Bonas Group, etc.
Mr. Weng Rong Di, the CEO of Langsha Group said, "The exhibition gathered lots of international famous machinery manufacturers whose the technologies are most-advanced, if it can be fully utilized, it will greatly improve our production automation."
Mr. Zhu Xi Huang, the CEO of Zhejiang Shaxue Garments mentioned, "It is good to have such machinery exhibition at home town, we can learn and compare the machinery of different exhibitors at the exhibition" The representative of MengNa Group shared that YIWU H&G is an excellent platform for interaction among industry players, demonstration of hi-tech machinery and release of new products.
Mr. Wu Gui Jun, the Product Director of Yiting Knitting expressed, "The starting point of seamless industry is very high, we are quite concern about the imported machineries and equipments. YIWU H&G 2010 gathered many international seamless enterprises, providing the industry players with a platform to learn industry's latest news, information and encourage the industry upgrade and automation."
Buyer delegation representatives including Shengfeng Group, Zhuji Jia Neng Socks, Zhuji Jiu Yu Knitting of Zhuji Hosiery Industry Association and Liuliu Knitting of Pujiang County Knitting, Printing and Dyeing Industry Association, etc. have sourced suitable machineries and equipments at the show; while the buyer group organized by Haining Hosiery Industry Association mentioned that they had great harvest onsite. Most of the association members collected the information of potential enterprises and they will further discuss and negotiate after the show.
Sparkling Concurrent Activities Led the Trend
On the first day of the exhibition, "Founding Ceremony of China Underwear Committee" was held while in the afternoon, "China Underwear Summit 2010" was presented which focused on "The breakthrough in a perfect competition market". The speakers and industry players discussed how to upgrade the underwear industry and boost the competitiveness of the enterprises and the industry.
The innovative & highlighted activity of YIWU H&G 2010, "Hosiery & Knitting Collections Display Zone", demonstrated the development process of hosiery and knitting industry, the breakthrough of innovative technology and the new trend of textile industry and internationalization Visitors and buyers could learn and experience more about the industrial chain from the products displayed. Another popular activity was the 3 sessions of fashion parade held by Santoni (Italy) on first show day (P.M) and second day (A.M & P.M), which not only demonstrated the fashion trend, but also the development and achievements of the latest technology.
The next show, The 12th China (Yiwu) International Exhibition on Hosiery, Knitting, Dyeing & Finishing Machinery (YIWU H&G 2011), will be held on 24-26 November 2011 at Yiwu International Expo Centre. A trade platform with more exhibits and business opportunities are expected for knitting industry.
Hong Kong Research Institute of Textiles and Apparel - HKRITA is glad to showcase a designer collection of metallised textiles by applying sputtering technology with alloys of in the Hong Kong Fashion Week for Fall/Winter.
The design is derived from the investigation of the HKRITA project “Functional and Decorative Textile Products through Sputtering Technology”. This project investigates the potential benefits of metallised textile and fashion design process by applying sputtering technology with alloys of metals. A series of treatments are undertaken, including pre-treatment, sputtering and post-treatment. Its advantages include:
Deposited metal particles are dense and evenly distributed, it can coat on different types of textile structures and fibres.
Coated fabrics have metallic appearance and soft handle with nano-metallic film, as well as unique functional performance.
It is a non-aqueous process, without discharging any polluted water and materials.
In the Hong Kong Fashion Week for Fall/Winter, we shall display a series of innovative design adopting this technology from 17-20 Jan 2011. Come and visit us at:
Booth no.: 3CON-049
Venue: Hong Kong Convention and Exhibition Centre,
1 Expo Drive, Wan Chai, Hong Kong
Hong Kong Research Institute of Textiles and Apparel - HKRITA
Cherokee Inc, a global brand management company, released photos from its recent launch of the Cherokee Brand in China with RT Mart Stores. RT Mart is a division of Ruentex Industries Limited, a premier textile, retail and trading company. RT Mart is one of the leading and fastest growing retailers in China. Operating over 134 hypermarket stores today, RT Mart's success is driven by their focus on the regional requirements and needs of their consumers.
Peter Huang, CEO & President, RT Mart said, "We have launched the Cherokee Brand with much success and based on initial results, there is tremendous potential for category and product expansion. In addition, as we continue with our plan to open more stores throughout China, Cherokee will become one of the larger family lifestyle brands in our country. We look forward to working closely with the Cherokee team and share much success together."
Larry Sass, Executive Vice President, Cherokee Inc. said, "Our launch in China with RT Mart is a watershed occasion for our company. We will continue to diligently work together with RT Mart and build on our initial successes."
Fransisca Chang, Senior Regional Director, Cherokee Inc. said, "RT Mart is the premier retailer in China. We are honored and excited to partner with such a great company as RT Mart and look forward to working closely with their teams to develop and grow the Cherokee brand throughout China."
On December 9th, Rieter will host a ceremony to celebrate the start of construction of the second plant at Changzhou. This opens a new chapter of Rieter’s activities in China. More than 100 distinguished guests from local authorities, association leaders and customers will be invited to attend the groundbreaking ceremony.
Rieter will establish a new plant in Changzhou some four kilometers close to the existing one. The new plant construction aims to support the growing demand for textile machinery and provide Rieter Textile Systems with in-depth technology for Chinese customers, covering all major products: from blowroom to cards, drawframes and combers, as well as ring spinning and rotor spinning machines.
The new plant is planned to further expand facilities up to approx. 60 000 m2 within the next few years. The first phase, around 17 000 m2, will be constructed in 2011 and is expected to begin operation in the 4th quarter of 2011.
Latest technology will be adopted in the new construction, which will ensure the state-of-the-art production and quality for Rieter customers. In addition, extension of customer services is planned in the new area.
With the extension of the Changzhou facility, Rieter is accelerating its pace in China and thus getting closer to Chinese market. It is expected that Chinese customers will certainly benefit from further localized Swiss-quality Rieter products. At the same time, Rieter is very enthusiastic about the prospects of the Chinese textile industry and the new plant demonstrates its commitment to contribute to the industry’s future success.
Rieter is a Swiss-based industrial group with activities in all regions of the world. The group is a leading supplier of high technology products, systems and services in the automotive and textile industries.
Rieter has been successful in its business dealings with China for more than 80 years. Rieter Textile Systems started its Changzhou operations in 1998 and currently operates with about 600 employees. The extension of operations in China will facilitate close ties to Chinese customers and provide them with easier access to the developments and products offered by Rieter Textile Systems.
Now in its 8th edition, Yarn Expo will once again run in tandem with Intertextile Beijing Apparel Fabrics in Beijing this spring. Taking place at the China World Trade Centre from 31 March – 2 April 2011, free shuttle bus service is available for buyers of both events. Last year, 4,556 visitors from 44 countries and regions attended the fair in search of some of the finest cotton yarns, polyester fibres and new material suppliers from around the world.
A special return highlight is the Pakistan zone that groups several leading cotton fibre and yarn suppliers. “Being part of a country zone helps buyers with a particular focus to find us more easily and helps us project our company’s brand,” said return exhibitor, Mr Nauman Shakil, General Marketing Manager for Saif Textile Mills Ltd, cotton yarn spinning specialists for both coarse counts and fine counts as well as producing yarns with tencel, bamboo, acrylic, viscose, flax and nylon fibres.
In addition to the strong presence of Pakistan yarn and fibre manufacturers, several suppliers from China will showcase a diverse range of environmentally-friendly materials. This is a clear reflection of the recent rise in eco awareness across all industry sectors, especially in apparel manufacturing. Exhibitors will display regenerated yarns, recycled polyester fibres as well as bamboo and functional fibres and yarns that feature anti-bacterial, germicidal and anti-UV effects.
Other highlights this year include the 2012/13 Trend Forum and the Product Presentations offered on-site.
A Crossover of industry events in Beijing offers multiple business opportunities
Thousands of industry professionals will be in Beijing to attend Intertextile Beijing Apparel Fabrics(30 March - 1 April 2011), which features around 1,000 Chinese and international textile suppliers and the China International Clothing and Accessories Fair (CHIC) (28 - 31 March 2011), one of China’s leading garment fairs. Together, these events will benefit all textile industry related professionals and help garner business opportunities.
Yarn Expo is organised by Messe Frankfurt (HK) Ltd, the Sub-Council of Textile Industry – CCPIT, China Cotton Textile Association, China Wool Textile Association, China Chemical Fibres Association, China Bast & Leaf Fibres Textiles Association, and China Textile Information Centre.
Magic Streetwear, a leading online supplier of urban and hip hop clothing, is an official sponsor of the Enter the Battle dance event in London’s indigO2 arena.
Enter the Battle is a fantastic dance battle event that is expected to fill London’s IndigO2 arena on 28 November 2010. With performances from some of the best international up-and-coming dance acts, this show is sure to provide stunning choreography and hypnotising moves that will leave the audience mesmerised. Also, two of the stars from the recent cinema hit Street Dance 3D will be attending this exciting event as special guests.
Magic Streetwear are a leading online UK supplier of the best urban clothing brand names in the industry, such as Baby Phat, Ringspun and Rocawear. They pride themselves on their range of clothing which incorporates music with clothing, which is why they are the proud sponsors of the Enter the Battle event. The doors for this dance event will open at 4pm with the show scheduled to start at 5pm, and tickets are available to purchase from one of the leading UK ticket agencies, Ticketmaster.
Shadim Hussain, CEO of Magic Streetwear, commented: “We are delighted to be the proud sponsors of the exciting Enter the Battle dance event. We are dedicated to ensuring we are up-to-date with the best and most recent talent and style on the urban scene. With performances from young talent such as America’s Got Talent’s B. Boy Ivan and professional stuntman Damien Walters, this is sure to be a spectacular experience. Many of our customers are extremely interested in the urban dance scene, which is why they buy their urban clothing from us, and we hope this event will be the perfect way to learn dance moves from some of the best up-and-coming talent in the industry.”
Magic Streetwear stock hip hop jeans, hoodies, jackets, tracksuits, hats and other accessories designed by renowned urban wear brands including Baby Phat, Apple Bottom, Raw Blue, Akademks, Rocawear, Ringspun and many more on their website.
Forget the runway show and the catwalk. Say goodbye to fashion shows in which clothing is presented completely out of the context in which it was meant to be worn. Fashion Designer Bijou Champagne has a new vision, and he has created Project 2011 a two-week-long Beauty and Fashion Extravaganza to bring it to fruition.
"When a designer creates a garment,” explains Bijou, “it is meant to evoke a particular emotion in the wearer and the onlooker. Our vision is to showcase fashion in a setting that reflects this. How and where should the clothing be worn? How should it affect the community? How will a woman feel when she puts that item on? Project 2011 event will present fashions in context, in scenes meant to portray the emotion and relevance of the designs.”
Imagine, for example, a stage set with a detailed summer party scene, complete with swimming pool, barbecue and patio furniture. Models enter in swim suits and summer clothing, interacting with each other as though they’re enjoying a social event. Later in the day new props are brought out, and the scene turns into a cruise ship deck, where formally attired models are arriving for a dinner dance.
Various techniques will be used to add to the realism of the scenes, such as wind blowing, water falls, clouds, bright day, dark skies and more. Creative sound effects will be designed for each scene, to further enhance the visual impact and atmosphere created. All sound used during the show will be performed live (no DJs).
Project 2011 Beauty and Fashion Extravaganza is expected to attract major players in the beauty, fashion and entertainment industries, as well as members of the general public. Each day of the December 2011 event will feature different, elaborately created theatrical scenes. Over the course of the two-week Extravaganza, the works of fifty different fashion designers will be showcased. This ambitious event is structured to stimulate the garment business and lead the way to a new era in fashion display.
Leading up to the December 2011 Fashion Extravaganza will be monthly events designed to stimulate the garment industry, held at major venues throughout the country. An extensive marketing campaign will advertise the event; sponsorships are available. The entire Project will be officially launched: December 11
