City Chic Collective Ltd
ASX:CCX
If you don’t study any companies, you have the same success buying stocks as you do in a poker game if you bet without looking at your cards.
Utilize notes to systematically review your investment decisions. By reflecting on past outcomes, you can discern effective strategies and identify those that underperformed. This continuous feedback loop enables you to adapt and refine your approach, optimizing for future success.
Each note serves as a learning point, offering insights into your decision-making processes. Over time, you'll accumulate a personalized database of knowledge, enhancing your ability to make informed decisions quickly and effectively.
With a comprehensive record of your investment history at your fingertips, you can compare current opportunities against past experiences. This not only bolsters your confidence but also ensures that each decision is grounded in a well-documented rationale.
Do you really want to delete this note?
This action cannot be undone.
| 52 Week Range |
0.073
0.15
|
| Price Target |
|
We'll email you a reminder when the closing price reaches AUD.
Choose the stock you wish to monitor with a price alert.
This alert will be permanently deleted.
City Chic Collective Ltd
City Chic Collective Ltd. engages in the retailing of women's clothing in Australia, New Zealand, South Africa, and the U. S. It offers its products through various brands, such as Millers, Crossroads, Katies, Autograph, and Rivers. The company is headquartered in Alexandria, New South Wales and currently employs 640 full-time employees. The firm specializes in plus-size women’s apparel, footwear and accessories. Its brands include City Chic, Avenue, Evans, CCX, Hips & Curves and Fox & Royal. City Chic and CCX appeal to fashion forward women and its multi-channel model comprises of a network of approximately 89 stores across Australia and New Zealand (ANZ), and websites operating in ANZ and the United States. Avenue and Evans target a customer base across conservative and fashion segments, both with a long history and online customer following. Hips & Curves in the United States, Fox & Royal in ANZ and the United Kingdom are online intimates brands. City Chic Collective owns European-based online marketplace Navabi and also sells its collective of brands through third-party marketplace and wholesale partners in the United States, Canada, United Kingdom and Europe.
City Chic Collective Ltd. engages in the retailing of women's clothing in Australia, New Zealand, South Africa, and the U. S. It offers its products through various brands, such as Millers, Crossroads, Katies, Autograph, and Rivers. The company is headquartered in Alexandria, New South Wales and currently employs 640 full-time employees. The firm specializes in plus-size women’s apparel, footwear and accessories. Its brands include City Chic, Avenue, Evans, CCX, Hips & Curves and Fox & Royal. City Chic and CCX appeal to fashion forward women and its multi-channel model comprises of a network of approximately 89 stores across Australia and New Zealand (ANZ), and websites operating in ANZ and the United States. Avenue and Evans target a customer base across conservative and fashion segments, both with a long history and online customer following. Hips & Curves in the United States, Fox & Royal in ANZ and the United Kingdom are online intimates brands. City Chic Collective owns European-based online marketplace Navabi and also sells its collective of brands through third-party marketplace and wholesale partners in the United States, Canada, United Kingdom and Europe.
Sales Decline: Revenue for H1 FY23 was $168.6 million, down 8% year-on-year, with particular weakness in the USA and EMEA regions.
Margin Pressure: Gross margin fell to 51.7%, 8.3 percentage points lower than last year, mainly due to heightened promotions and increased logistics costs.
Inventory Write-Down: An additional $19.6 million inventory provision was taken, mostly focused on EMEA due to slow-moving stock and logistical costs.
Cost Controls: Marketing spend was cut by 34% and CapEx by 54% as part of tight cost management.
EBITDA Loss: Underlying EBITDA before the provision was a loss of $3.4 million, and a loss of $23.1 million after the provision, in line with guidance.
Inventory & Cash Position: Inventory reduction is on track, with a year-end target of $105–115 million and an expectation to be in a net cash position by fiscal year-end.
Operational Changes: Warehouse and logistics consolidation is underway, aiming to reduce costs and improve fulfillment efficiency.
Improvement Expected: Management anticipates margin and cost benefits to flow through in late H2 and into FY24, supported by more agile inventory and supply chain management.
