OmniaLuo (OLOU)

Website: OmniaLuo

OmniaLuo is Expanding its Presence from 211 stores to More than 250 by the end of 2008.

OmniaLuo’s (OTCBB: OLOU) idea is quite simple, yet very profitable; benefiting from the rapid and enormous urbanization being currently experienced in China. In 2005, Chinese spending in women’s apparel was $25 billion with branded women’s apparel comprising 12% of the total ($3 billion). As China’s consumer class continues to evolve, spending naturally gravitates toward branded luxury items.

Fashion products are one prominent staple industry for a wealthier and more empowered society. That’s where OmniaLuo comes in.

Chief designer and CEO Cindy Luo, and the OmniaLuo brand have been featured in Harper’s Bazaar, L’Official , Marie Claire, Vogue, Jessica and Cosmopolitan. Ms.Luo has been interviewed in the national and international media, including China Central Television (“CCTV”), the largest TV network in China, Hong Kong Phoenix TV, French Fashion TV, Italian Orbit TV, Vogue UK and Washington Daily.

The Company reported four-fold growth in revenue to $7.9 million in 2007 from $1.5 million for 2006. Strong growth is attributable to the opening of 100 new retail stores throughout China last year. In addition, OmniaLuo boosted gross margin from 46.7% in 2006 to 54% in 2007 and ended the year with more than $3.1 million cash on its balance sheet.

At year-end 2007, the Company’s retail store network consisted of 26 Company-owned stores (accounting for 14.1% of 2007 revenues); 32 Co-owned stores (9.4% of 2007 revenues) and 126 independently-owned stores (76.5% of 2007 revenues).

OmniaLuo is projected to more than double its revenue and net income in the next 18 months. Growth in 2008 and 2009 will come from: (1) developing the new higher-end OmniaLuo collections for “golden collar” professional women with disposal income greater than $22,500 annually, with a national launch planned in the third quarter of 2008;  (2) expanding the retail store network to more than 250 stores by year-end 2008 and increasing the number of higher  margin independent distributor stores; (3) the rollout of a marketing campaign that will leverage Cindy Luo’s reputation by aggressively promoting the OmniaLuo brand in major fashion magazines and TV outlets; and (4) extending the target market to include designer apparel for Chinese women between the ages of 35 and 45.

• Announced it has opened 24 new stores in March, 2008, a Company record.

• OmniaLuo announced in late March the Company's operating results for the quarter and year ended December 31, 2007. Reported revenue of approximately $7.9 million for the year ended December 2007. Meanwhile, the Company reported revenue of approximately $2.7 million for the quarter ended December 31, 2007, compared to approximately $1.5 million for the quarter ended December 31, 2006 -- an 80% increase.

• OmniaLuo announced in early April the Company's full year 2008 revenue, net income and earnings per share guidance figures. OLOU anticipates 2008 revenue of approximately $13.0 - $14.5 million, net income of approximately $4.3 - $4.8 million and earnings per share of approximately $0.19 - $0.21.

• OmniaLuo is projecting to essentially double revenue and net income in 2008, achieving earnings of roughly $0.20/share.

• Announced that it achieved overwhelming success with the exhibition of its 2008 Summer Line at the 16^th annual China International Clothing and Accessories Fair (“CHIC 2008”) in Beijing from March 28-31, 2008. Over the four-day show, OmniaLuo received international exposure to the more than 120,000 attendees and enlisted 15 independent distributors (similar to franchisees) for stores to be opened in 2008. 

• Led by Chief Designer Ms. Zheng (Cindy) Luo, winner of many of China’s most prestigious fashion design awards, OmniaLuo's design team develops 1,600 designs each year with a fashionable business casual emphasis.

• OLOU has 211retail stores across 32 provinces in China. Retail stores will increase to more than 250 by year-end 2008, with emphasis on high-margin independent distributor stores.

• China’s $25 billion women’s apparel market is growing at 25-29% each year; within that market recognized brands such as OmniaLuo are continuing to capture greater and greater market share.

• The combined disposable income of OmniaLuo's target customers is projected to increase over 300% in each of the next two decades, exploding to $2.3 trillion by 2025.

• 85% of the stores in 2007 are and 83% of the stores in 2008 will be operated as independent distributor or co-owned stores, with average net profit margins of 40 -53%.

Recent News and Press Releases

OmniaLuo Enlists 15 New Independent Distributors at China's Largest International Trade Show 

OmniaLuo Shifts into High Growth Mode, Opening a Record 24 New Stores in March

OmniaLuo Provides 2008 Financial Guidance

OmniaLuo Reports Record Annual Revenue of $7.9 Million