For decades, Septwolves (Fujian Septwolves Industry Co.) was the undisputed 'Jacket King' of China, a staple of the burgeoning middle class and a symbol of homegrown manufacturing prowess. However, the company’s 2025 annual report paints a starkly different picture of a legacy brand in freefall. While the firm reported a headline net profit of 333 million RMB, its non-recurring net profit—the measure of its core business health—collapsed by a staggering 86.91%, falling to just 9.61 million RMB.
This cliff-edge drop in core profitability highlights a structural crisis within the brand. Total revenue for the year dipped 4.35% to 3.004 billion RMB, with declines seen across both digital and physical footprints. Online sales, once touted as the savior for traditional retailers, shrank by 7.36%, while offline revenue fell 2.62%. The discrepancy between the headline net profit and the core profit suggests that the company’s bottom line is being buoyed by non-operating income, such as government subsidies or investment gains, rather than the sale of its signature menswear.
The most visible sign of Septwolves' retreat is its vanishing retail presence. From a peak of 4,007 stores in 2012, the company’s network has withered to a mere 1,706 locations by the end of 2025. In the last year alone, the company shuttered nearly 100 more stores than it opened, reflecting an aggressive but painful consolidation as the brand loses its foothold in high-traffic shopping districts. Even as it tries to pivot toward more premium 'image stores' in top-tier malls, the sheer loss of scale remains a massive headwind.
To stem the tide, Septwolves is attempting a high-stakes brand revitalization. By appointing rising star actor Yu Shi as its new spokesperson and doubling down on a 'Jacket Expert' marketing strategy, the company hopes to capture a younger demographic that currently views the brand as a relic of their fathers' generation. However, with consumer confidence in China’s retail sector remaining fragile and competition from ultra-fast fashion and global outdoor brands intensifying, the road back to relevance for this former market leader appears increasingly narrow.