CHENGDU, Dec.2 (NBD) -- 2016 Victoria’s Secret fashion show kicked off on Wednesday in Paris, France. While the angels were attempting to peacock “a celebration of culture” for the 22nd holiday extravaganza since the first show in 1995, Regina Miracle International, a Chinese supplier of bras for the Victoria's Secret brand, has been through a tough time.

According to the Mid-year Financial Statement released Monday by Regina Miracle, its profits plunged by 90%.

Regina Miracle is not the exception. Other underwear enterprises in China are struggling as well. Listed companies including Cosmo Lady (02298, HK) and Embry Form (01388, HK) released either profit warnings or revenue declining for the passing first half year of 2016.

Data from the research institution Mintel shows, China’s underwear market doubled in last five years to 18 billion dollars. Euromonitor predicts that the retail value of women’s underwear market in China will possibly climb to 25 billion dollars, twice of the US market. That figure is likely to reach 33 billion dollars by 2020. Despite the expanding market, yet many underwear enterprises are facing sliding revenue and decreasing profits.

Ma Gang, the independent observer of shoes and clothing, told NBD that two reasons are accounted for the downward sales. Firstly, brands of same market positioning further divide the market. Unlike the market positioning divided by different age, new brands attract customers from the angle of functionality. Such new brands grab the market shares previously owned by some brands, which would suffer customer loss and hence profit loss. Secondly, the emerging e-commerce, Wechat business in particular, begins to capture the market occupied previously by traditional sales channels.

Ma added, future underwear market may generate two characteristics. Market concentration of mass-market brands will increase, which means major market shares to be grabbed by minority brands. On the contrary, market targeting niche customers will be subdivided. Therefore, brands of niche market take over part of the market, further dividing the market.