Due to inventory pressure in the global bicycle supply chain, the insufficient cash flow situation may be further triggered, and the market has reported that a huge (9921-TW) sent a letter to the third party to coordinate the extension of the 45-day subscription period, which aroused the market’s attention. In this regard, Giant responded today (12) that the company’s operations are currently secure and that the outside world need not worry.
Huge pointed out that since the second half of this year, the bicycle market has grown rapidly due to the epidemic in the past two years, and the situation has gradually returned to normal. The demand for low-priced models has decreased, and the the inventory of general models has increased significantly and the clutter in the supply chain has not yet eased. Facing the headwinds of the general environment, Juju Group, as the leading manufacturer and brand in the bicycle industry, has shared responsibility with supply chain partners, actively addressed risk dispersion and inventory, and has Tried to work with partners to straighten out the supply chain within months. Returning to normal is a huge responsibility that cannot be eased.
Huge pointed out that Huge is deeply grateful to all cooperative partners, including Japanese manufacturers, for their flexible cooperation and active adjustment of orders or payments.
Huge pointed out that due to the slowdown in the global market, Huge expects inventory to gradually return to normal levels in the first half of next year. Jujufang announced on November 24 that it had completed the cash capital increase and raised 6.75 billion yuan in convertible corporate bonds, and its working capital is normal. In the long term, consumers around the world have greatly improved their awareness of environmental protection and health, and Huge is still very optimistic about the long-term development and prospects of the bicycle market.
Giant said the letters that caused concern about the market outflows are mainly communication documents between Giant Group and its supply chain cooperative partners. The content has confidentiality clauses and cannot be explained to the outside world. I am deeply sorry that the leak of this letter has caused much speculation from the outside world.
Juju’s revenue in November 1, 2022 will be 86.428 billion yuan, an annual increase of 14.56%, and exceeded 81.84 billion yuan for the full year of 2021. (pedal assist bicycles), the women’s bicycle market and sales of peripheral parts and components are the main growth drivers.
Huge pointed out that revenue in November 2022 will be 7.607 billion yuan, a monthly decline of 4.19% and an annual increase of 8.52%. Cumulative revenue for November 1 is 86.428 billion yuan, with an annual increase of 14.56%.
Huge’s revenue in the first three quarters of 2022 is 70.874 billion yuan, with a gross profit margin of 23.25%, an annual decline of 1.46 percentage points, net profit after tax of 5.63 billion yuan, an annual increase of 16.5%, and net income of 15.01 yuan per share.
