Wig giant Rebecca's annual revenue was 1.33 billion, and its net profit fell by more than 80%!

Under the influence of the epidemic, wig sales have suffered a significant impact. Recently, Rebecca released its 2020 performance report. Let's take a look at its sales last year!

Rebecca's revenue and net profit both declined!

Rebecca Company focuses on the research and development, design, production and sales of hair products. Its main products include six categories: craft springs, chemical fiber springs, human hair wigs, chemical fiber wigs, training heads, and composite fiber materials. It owns independent brands such as "Rebecca", "Sleek", "NOBLE", "JOEDIR", "Magic", and "QVR" around the world.

During the reporting period, the company achieved main business revenue of 1.33 billion yuan, a year-on-year decrease of 26.92%; the company achieved net profit attributable to shareholders of listed companies of 38.1415 million yuan, a year-on-year decrease of 81.99% .

It can also be seen from the pictures shared by Tonghuashun Finance that Rebecca 's total operating income, net profit and non-net profit in 2020 have all declined significantly compared with previous years.

(Photo source: Tonghuashun)

Rebecca disclosed the reasons for the decline in performance in its financial report: in terms of operating income, Rebecca mainly mentioned the impact of market demand, logistics problems and low-value products ; in terms of net profit, Rebecca attributed the decline in profits to the decline in income levels and the depreciation of the US dollar exchange rate .

The global hair products market remains resilient

However, in a report by China Daily in January this year, Rebecca said that despite the ongoing COVID-19 pandemic, it had little impact on its overseas sales, and cross-border e-commerce platforms helped its revenue grow.

Rebecca's latest first quarter report for 2021 shows that the company achieved operating income of 308 million yuan in January-March, a year-on-year increase of 17.09%; the net profit attributable to the listed company was 17.8272 million yuan, a year-on-year increase of 22.02% .

Yuzhou Shenlong Hair Products Co., Ltd., also located in Henan Province, also mentioned in the report that the negative impact on wig sales began to ease in the second half of last year. Since October, the company has even received more orders than before the epidemic.

Overall, wigs have a wide audience. Wigs are a necessity for African people around the world, a traditional accessory for white women in Europe and America, a hairstyle accessory for fashionable Asian women, a daily wear item for people with less hair or hair loss around the world, and a practical product that meets the needs of groups such as performing arts, lawyers, and beauty education .

In addition, considering that hair loss is one of the sequelae of the new crown, some sellers speculate that the demand for wigs among overseas consumers may further increase.

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