US airlines have been growing their capacity at a lower rate compared to Chinese airlines.
China Southern Airlines had a fleet size of 561 aircraft in FY13, which is the largest among Chinese airlines.
China Southern’s net margin in FY13 was higher than its operating margin, primarily due to the appreciation of the renminbi against the US dollar.
More than half of China Southern’s total operating expenses in FY13 were related to flight operating expenses.
Of the Big Three Chinese players, China Southern Airlines has the largest domestic network, but the smallest international network.
In FY13, revenue declined by 1%, mainly due to the slowing GDP growth that negatively affected the aviation industry.
The global financial crisis in 2008 hit China’s airline industry after it enjoyed double-digit growth in passenger traffic for more than a decade.
China Southern Airlines’ network connects 1,024 destinations in 187 countries, including all major cities in Asia, Europe, the United States, Australia, and Africa.
During the company’s 3Q14 earnings call, management said it wanted to get back to an A- credit rating within four or five years. But that won’t be easy.
Previously in this series, we’ve looked at how cable and satellite TV companies are struggling in the traditional pay-TV market. These companies are offsetting the slowdown in TV advertising by increasingly delivering…
In July 2014, Verizon introduced an innovative service called Speed Match, which allows customers to receive upload speeds that match their download speeds.
Major product lines include fitness pants, shorts, tops and jackets. It also has a range of fitness-related accessories like bags, socks, and yoga mats.
LULU has been focusing on getting its core product assortment right. It’s also introduced new lines incorporating prints, colors, and textures.
For relatively new companies competing in an industry with many players, building a well-recognized and reputed brand is essential.
Manufacturer base: There were about 35 manufacturers producing the company’s products as of the fiscal year ending February 2, 2014.
LULU’s sale through wholesale channels is much lower than its competitors VF Corporation, NIKE, and Under Armour. This is why LULU’s margins are higher.
LULU’s global store count was estimated at 289 at the end of 3Q15. Stores are company-owned, with most located in the US (201) and Canada (57).
These changes should lower future inventory levels and probably result in higher inventory turnover and lower inventory-to-cash days.
Lululemon Athletica announced an increase of 10.4% in its revenues to $419.4 million in the third quarter of fiscal 2015 compared to $379.9 million in 3Q14.
Online or e-commerce sales have become a favored retail channel for consumers. They’ve grown steadily over the years.