Financial
Analysis
Report

Bauhaus & I.T
(Financial year 2010/2011)

Content
1) Summary
2) Company background
3) Industry outlook
4) Ration analyses
5) Limitation on analyses of ratio
6) Forecast of the company’s future prospect
7) Conclusion

1) Summary
Bauhaus and I.T are the two fashion retail store company to be compared in this report. These two companies present the similarity on the brand image (unique multi-brand) and share the resembling target customer in the same region. They are target on fashion lovers who tend to be unique, stylish and trendy.
As they are the competitor within the market, the retailing strategies to be used are similar. Therefore, it is easier to collect and compare the financial data and draw out the conclusion to see which company would be worthier to invest. The report covers the company and industry background, ratio analysis, future forecast of two companies’ performance.

2) Company Background
Bauhaus (0483, HK)
Bauhaus was found in 1991. It has been listed on HKEX stock market since 2005. There are more than 200 retails store and over corners and point of sales in Hong Kong, Macau ,mainland China and Taiwan,. Apart from selling different foreign brand, liked Cheap Monday, G-Star, EVISU etc, Bauhaus also building the local brand liked Salad, T Tough Jeansmith and 80/20. It is a leading retail store in selling casual wear, especially for jeans item.
There are 234 Bauhaus shops in Asia. Using the wholesale strategy, Bauhaus can expand the business from Asia to Western country. In the future, it may diversify its product line like launch more foreign brand to increase its competiveness.
I.T (0999, HK) I.T was found in November of 1988. It has been listed on HKEX stock market since 2005. The Group has an extensive self managed retail network extending to nearly 450