Viva Goods (00933.HK) has been restructuring its international footwear brand Clarks since last year. CFO Zhang Zhi revealed that the restructuring of Clarks is still proceeding in an orderly manner, with expected one-time restructuring costs to be incurred within the year. The related benefits will also be reflected in the next two to three years. He emphasized that all necessary provisions have been made in the past, and is confident that the brand will return to profitability next year.

In the first half of the year, Clarks contributed approximately 86% to the group's total revenue, with an annual sales volume of 10 billion yuan. He mentioned that in the past, Clarks accounted for nearly 90% of the group's revenue, considering the stable cash flow and continuous sales growth. The medium to long-term goal is to increase sales to 20 billion yuan. He stressed that if there is profit, the board of directors is willing to distribute dividends and share the results with shareholders.

The group invested approximately 1 million yuan in September to open a self-operated concept store for the high-end sub-brand Clarks Originals on Nathan Road, Tsim Sha Tsui. There are plans to open more Clarks stores in Kwun Tong, Kai Tak, Causeway Bay, and Tung Chung within the year, expecting a total of about 10 self-operated stores in Hong Kong. He described the rent level in Tsim Sha Tsui as reasonable, and the sales performance of the store that opened less than a month ago has been better than expected.

He also mentioned that in the past, agents in Hong Kong mainly used a large retail store model to sell Clarks products, offering a variety of products. Currently, after reshaping the brand, the product variety is decreasing, focusing on developing high-end products. There are currently no plans to introduce too many discount promotions.

Regarding Bossini Int'l (00592.HK)'s future development, he stated that there are currently only more than 20 existing bossini stores in Hong Kong, all of which are expected to be closed or converted to the new store format 'bossini.X' by 2025. Recently, bike-themed bossini.X stores have been opened in Tseung Kwan O and Kwun Tong. The brand's product positioning in the future will focus on sporty and minimalist styles, positioning pricing at a mid-range level.