High-end dining downturn increasingly competitive limit 'Three' consumer background, high-end restaurant downturn dilemma in 2013, Xiangeqing also suffered heavy losses. I understand "fairy tale cosplay " that Xiangeqing announced in February that shut down five stores, since last July, reached a total of 13 stores closed. The company is currently actively seeking a new way. Xiangeqing April 24 announcement that the capital increase to 68 million yuan, a wholly owned subsidiary of Beijing Xiangeqing Ltd. (hereinafter referred to as Xiangeqing Trade and Industry). Xiangeqing hoping to disperse the risk of high-end dining, enter the food industry. In addition, the small southern, Quanjude and other food and beverage companies also have to find a new way, to move closer to mass. 68 million bet on the food industry reported that, following last year's closure of some stores, the Xiangeqing the end of February this year and announced the closure of Wuhan, Nanjing, Hohhot five stores, and reduce Beijing Xidan Store business area, to Xiangeqing bring original store opened renovated formed long look amortization expenses and loss of fixed assets totaling about 86,460,200 yuan.
Plus last July announced the closure of eight stores, Xiangeqing total off store up to 13. We see in Xiangeqing official website, the company currently there are 15 stores nationwide. In other words, nearly half Xiangeqing closed stores. Xiangeqing Annual Report 2013 showed a loss of 564 million yuan last year, up 788.86 percent year on year declines. Business conditions in the first quarter of this year, after several amendments expects earnings Xiangeqing 30 million ~ 40 million yuan, but in fact the restaurant business is still a loss, and its results after losing last amendment to 4,500 yuan. Xiangeqing desperate need of new profit growth point. Late last year, Xiangeqing skills acquisition Hefei days Yan Biological Technology Co., Ltd. (hereinafter referred to as Hefei days Yan) and Jiangsu Sheng Yi Environmental Protection Technology Co., Ltd., and in this year through the acquisition of Hefei days Yan remaining 49% of the shares to reach full control. In addition, Xiangeqing also cross-cultural industries, in March this year announced plans to acquire flute female television media (Shanghai) Co., Ltd. 51% stake. Xiangeqing yesterday's announcement, intended to be part of the assets and cash to a wholly owned subsidiary of Beijing Xiangeqing Ltd. replenishment of 68 million yuan. Through this funding, Xiangeqing Trade and Industry registered capital by 2 million yuan to 70 million yuan. Xiangeqing from the capital increase, the Xiangeqing mainly look through this subsidiary into the food industry, the main industry catering cosplay black butler dispersion 'Waterloo' tremendous pressure on the operation. In order to achieve as soon as these processed foods are homegrown, 2013 Xiangeqing has begun construction of two projects in Xiangeqing Trade and Industry (the original company central kitchen) on the basis of existing production facilities, in order to successfully apply for a 'corporate food production license' (QS standard), thereby completing the output of processed foods and market the work. High-end catering enterprises face a reshuffle 'in 2014 catering industry reshuffle has become the industry consensus.'
Jiang Hui told the author, in February this year, China Cuisine Association released a report, in 2013 the catering income 2.5392 trillion yuan, an increase of 4.6% year on year decline , the growth rate hit the lowest in 21 years. After years of rapid development, the food and beverage industry for the first time into the 'winter.' In fact, in the last year to limit spending public funds 'hurricane' swept not cosplay costumes for sale only Xiangeqing, Quanjude (002186, SZ), a small southern (03666, HK), also have to seek transformation and find new profit growth point. Data show that Quanjude about 110 million yuan net profit last year, down 27.62%. Xiaonanguo net profit fell 99.4 percent to 67 million. It is reported that, the popular high-end restaurants catering mainly to change direction. Wherein the small southern South Kodate and little by way of a southern country began to get involved in the mid-market. Quanjude mainly through internal restructuring, such as the development of new dishes, discover O2O mode. Wuhan vertical cable technology to help the majority of small and medium sized food enterprises, particularly the introduction of secondary development of micro-channel services, but also for businesses to provide marketing solutions that help businesses to seize opportunities in the food and beverage industry significant competitive pressure. Investment Advisor in the hotel and catering industry researcher Xiao Yujia analysis, a small Southern state-owned certain brand influence, if higher than the industry average in both food and service, then the expected successful transition. The Quanjude due to considerable consumer awareness of Beijing roast duck, so the broader consumer groups, if Quanjude adjust product structure, service level and business model, its transformation achievements worth the wait. In fact, last year Xiangeqing also try to mass change, but the effect is not ideal. Xiao Yujia this analysis, Xiangeqing popularity of high-end dining restaurants include their own change, corporate mergers and acquisitions group meals and fast-food aspects. If the high-end restaurant itself change does have some difficulty, because of the high cost of high-end stores catering, mass catering transition will cost, and many other challenges.
In addition, the popular restaurant competition is more intense popularity of the important reasons is difficult to have good performance of food and beverage is Xiangeqing. Jiang Hui believes that high-end mass catering catering industry in transition, due to withstand the high rent, high long-term prepaid expenses, will allow financial strength is not strong food prices face a reshuffle. On the other hand, a large number of high-end food and beverage companies flock to mass catering, mass catering will make the competition more intense.