Reducing Lost Sales and Improving Gross Margin through Ordering and Inventory Management

「下半期は秋冬の重衣料や機能性商品の販売強化に加え、卸売先での店頭販売状況に応じた出荷、仕入れの抑制による在庫圧縮、経費の見直しなどを進める。」

「After monthly sales in December fell below the initial plan due to the mild winter and changes in spending by visitors to Japan, the company throughout the fourth quarter restrained discounting intended to build sales volumes in the short term and maintained a sales policy prioritizing gross margin and the health of inventory for the following fiscal year.」

「Gross margin improved 1.5 percentage points year on year to 51.4% as appropriate cost design at the procurement stage, selective price revisions and progress in inventory sell-through contributed to the improvement.」

「However, affected by higher raw material costs and foreign exchange movements, gross margin fell 0.8 percentage points from the previous fiscal year to 52.1%.」

「Amid continued increases in raw material prices and foreign exchange volatility, the company reviewed procurement costs and sought to maintain selling prices. However, discounts on some spring products due to extreme heat, as well as the absence in the current interim period of the special demand for Canterbury replica jerseys generated by the Rugby World Cup held in the previous period, caused gross margin to fall 0.9 percentage points year on year to 49.9%.」

「Despite the impact of higher raw material costs and foreign exchange movements, gross margin rose 0.7 percentage points from the previous fiscal year to 52.9% and remained firm, partly because excessive discounting was restrained.」

「As noted above, sales of core autumn/winter products got off to a slow start, but the company responded to higher raw material costs and the weaker yen by revising selling prices for approximately 10% of products by approximately 30%, maintaining gross margin at 53.3%, nearly the same level as in the year-earlier period.」

「Gross profit for the cumulative consolidated second quarter was ¥25,959 million, up 12.9% year on year. As noted above, summer items remained solid in the latter half of the season, and narrowing the range of products subject to sale discounts and limiting discount rates improved gross margin, which rose 0.1 percentage points year on year to 50.8%.」

「As production lead times are 6–9 months, higher raw material prices for spring and summer products ordered last autumn caused gross margin to fall 2.1 percentage points year on year to 50.6%.」

「The company proceeded with selling-price revisions for some products in response to higher raw material costs and the weaker yen, but saw no evidence of consumers holding back on purchases due to the price increases and secured sales volumes above expectations. Gross margin was maintained at 53.2%, nearly the same level as in the year-earlier period.」

「Gross profit for the cumulative consolidated second quarter was ¥22,987 million, up 17.9% year on year. In addition to partially reviewing selling prices, the company identified appropriate order volumes, a key strength, thoroughly managed inventory in circulation during the season and maintained sales efficiency at directly operated stores, resulting in gross margin of 50.7%, compared with 51.0% in the year-earlier period.」

「In procurement, the company has established long-standing co-development relationships with material manufacturers and therefore entered into long-term contracts for many of its core materials, minimizing the impact of prices for spring and summer products. In production, it has been reducing manufacturing costs through planned production during off-peak periods for core year-round products, mainly outdoor apparel. As a result, gross margin rose 0.1 percentage points year on year to 52.7%.」

「Gross margin was 52.7% due to the expansion of directly managed sales, including sales at directly operated stores and through e-commerce, as well as reduced sales losses through stronger order-flow management and an improved full-price sales ratio.」

「The customer base at suburban stores broadened, particularly among families, and full-price sell-through progressed, enabling gross margin to be maintained at 53.7%, nearly the same level as in the year-earlier period.」

「Gross margin fell 0.1 percentage points year on year to 51.0% due to a change in the sales mix resulting from increased sales at suburban stores, including outlets, compared with sales at directly operated stores, mainly in central urban areas.」

「As a result of thorough order-flow management, operating profit for the cumulative consolidated first quarter was ¥1,135 million, compared with an operating loss of ¥479 million in the same period of the previous year.」

「In addition to reducing advertising and promotional expenses due to the cancellation of events scheduled at directly operated stores and other factors, the company continued to achieve steady results in reducing sales losses from returns and markdowns, although」

「In addition to reducing marketing expenses due to the cancellation of events scheduled at directly operated stores and other factors, the company continued to achieve steady results in reducing sales losses from returns and markdowns, although」

「Company-managed sales through directly operated stores and e-commerce expanded, while reductions in sales losses through tighter order and inventory-flow controls and an improved full-price sales ratio brought the gross margin to 53.5%.」

「In addition to the increase in gross profit from higher revenue, the expansion of directly managed sales through directly operated stores and e-commerce, reductions in sales losses such as returns and discounts, and a lower procurement cost ratio improved the gross margin, resulting in a substantial year-on-year increase in gross profit. Although infrastructure investment for sustainable growth and brand marketing expenses increased, the increase in gross profit absorbed these higher expenses, resulting in a ¥4,580 million year-on-year increase in profit.」

「In addition to the increase in gross profit from higher sales, gross margin improved through the expansion of directly managed sales, including sales at directly operated stores and through e-commerce, reduced sales losses including returns and markdowns, and a lower procurement cost ratio, resulting in a substantial increase in gross profit from the previous fiscal year.」

「In addition to the increase in gross profit from higher sales, gross margin improved through the expansion of directly managed sales, including sales at directly operated stores and through e-commerce, as well as the reduction of sales losses, including returns and markdowns, and a lower procurement cost ratio.」

「In addition to the increase in gross profit from higher sales, gross margin improved through the expansion of directly managed sales, including sales at directly operated stores and through e-commerce, and the reduction of sales losses for athletic brands such as ellesse, Speedo and DANSKIN through a lower procurement cost ratio and stronger order-flow management.」

「In addition to the increase in gross profit from higher sales, gross margin improved through the expansion of directly managed sales, including sales at directly operated stores and through e-commerce, as well as the reduction of sales losses, including returns and markdowns, and a lower procurement cost ratio.」

「As a result of the expansion of directly managed sales through directly operated stores and e-commerce, reductions in sales losses such as returns and discounts, and an improved gross margin resulting from a lower procurement cost ratio, net sales were ¥14,818 million, up 19.7% year on year, operating profit was ¥1,176 million, up 127.2%, ordinary profit was ¥1,070 million, up 60.3%, and net income attributable to owners of the parent was ¥588 million, up 42.8%.」

「Winter-related brands posted a slight increase in sales by thoroughly adjusting sales and promoting in-store sales amid excess distribution inventory, thereby reducing sales losses from returns and markdowns.」

「Operating profit increased significantly as gross profit rose on higher sales, company-managed sales including those through directly operated stores and the web expanded, sales losses declined through tighter control of order and inventory flows, and the full-price sales ratio improved. The gross margin rose by 2.4 percentage points.」

「Operating profit was supported by a substantial increase in gross profit, resulting from higher revenue, the expansion of directly managed sales centered on directly operated stores and the web, and progress in reducing sales losses and improving the full-price sales ratio through stronger inventory flow management. The gross margin improved by 2.3 percentage points, resulting in a substantial increase in gross profit.」

「Operating income increased by ¥781 million year on year, as gross profit rose on higher sales, retail sales through directly operated stores and the web expanded, sales losses such as returns and discounts declined, and the procurement cost ratio fell. These factors improved the gross margin by 3.1 percentage points and significantly increased gross profit, more than offsetting the increase in selling, general and administrative expenses, including directly operated store-related costs.」

「Gross margin improved by 2.2 percentage points and gross profit increased substantially, as stronger order-flow management reduced sales losses, improved the full-price sales ratio and lowered the procurement cost ratio.」

「Gross margin improved by 2.1 percentage points and gross profit increased substantially, as efficiency initiatives such as thorough order-flow management and sales-loss reduction through inventory optimization progressed, while procurement costs were also reduced.」

「In addition to the increase in gross profit from higher sales, gross margin improved by 1.7 percentage points due to the expansion of retail sales, mainly at directly operated stores, and the reduction of sales losses, including returns and markdowns, resulting in a substantial increase in gross profit.」

「Operating loss was reduced by ¥264 million from the same period of the previous fiscal year, as the expansion of retail sales, mainly at directly operated stores, and the reduction of sales losses through more efficient order-flow management improved gross margin by 1.3%, with the increase in gross profit exceeding the rise in selling, general and administrative expenses related to directly operated stores and other costs.」

「Gross margin improved significantly year on year, resulting in substantial profit growth, due to reduced sales losses through order-flow management and stronger inventory management, as well as a higher full-price sales ratio.」