Financial Performance - Gross revenue for the year ended December 31, 2023, was RMB 976.7 million, an increase of 15.2% from RMB 847.8 million in 2022[4] - Revenue decreased to RMB 363.8 million, down 3.1% from RMB 376.1 million in the previous year[4] - Loss attributable to equity shareholders increased to RMB 453.3 million, compared to RMB 361.7 million in 2022, representing a 25.3% increase in losses[4] - Basic loss per share for 2023 was RMB 0.389, compared to RMB 0.155 in 2022, indicating a significant increase in loss per share[16] - The company reported a loss for the year of RMB 460,143,000 in 2023, compared to a loss of RMB 378,941,000 in 2022, representing an increase in loss of approximately 21.5%[19] - Total comprehensive expense for the year was RMB 345,348,000, up from RMB 301,665,000 in the previous year, indicating a year-over-year increase of about 14.5%[19] - The Group reported a loss from operations of RMB 233.0 million, compared to RMB 211.6 million in 2022, indicating a worsening operational performance[14] - Loss before taxation for 2023 was RMB 463,552,000, compared to a loss of RMB 378,994,000 in 2022, indicating a worsening of financial performance[58] Assets and Liabilities - Net assets of the Group decreased to RMB 948.6 million from RMB 1,507.0 million in 2022, reflecting a decline of 37%[6] - Current liabilities decreased significantly from RMB 4,442,302,000 in 2022 to RMB 2,259,514,000 in 2023, a reduction of about 49.1%[21] - The company's net current liabilities improved from RMB 4,242,470,000 in 2022 to RMB 1,967,172,000 in 2023, showing a decrease of approximately 53.7%[21] - Total equity attributable to equity shareholders decreased to RMB 924,366,000 in 2023 from RMB 1,475,838,000 in 2022, a decline of about 37.4%[23] - Cash at bank and on hand increased to RMB 49,725,000 in 2023 from RMB 19,542,000 in 2022, representing a growth of approximately 154.5%[21] - Non-current assets increased to RMB 7,399,745,000 in 2023 from RMB 7,353,273,000 in 2022, reflecting a growth of approximately 0.6%[21] Revenue Breakdown - Revenue from sales of goods decreased to RMB 191,395,000 in 2023 from RMB 230,323,000 in 2022, reflecting a decline of about 16.9%[42] - Net income from concession sales increased to RMB 82,344,000 in 2023 from RMB 77,124,000 in 2022, marking an increase of approximately 6.4%[42] - Management and administrative service fee income rose to RMB 44,782,000 in 2023 from RMB 35,560,000 in 2022, an increase of about 26%[42] - Gross revenue from concession sales increased to RMB 695,224,000 in 2023, up from RMB 548,810,000 in 2022, marking a growth of about 26.7%[46] - Gross rental income rose to RMB 45,305,000 in 2023, compared to RMB 33,063,000 in 2022, reflecting an increase of approximately 37.0%[46] Operational Efficiency - Annualised area efficiency per square meter decreased to RMB 11,746 from RMB 12,400, a decline of 5.3%[9] - The adjusted EBITDA for the reportable segments showed a profit of RMB 4,913,000 in 2023, a significant improvement from a loss of RMB 18,499,000 in 2022[57] - The department stores and shopping mall segment reported a loss of RMB 2,068,000 in adjusted EBITDA for 2023, while the supermarkets segment achieved a profit of RMB 6,981,000[57] Financial Costs - Net finance costs rose to RMB 231,802,000 in 2023 from RMB 204,084,000 in 2022, reflecting an increase of approximately 13.6%[58] - The borrowing costs capitalized for the year ended December 31, 2023, were at a rate of 7.02%, slightly up from 6.98% in 2022[62] Future Plans and Strategies - A new department store is expected to open in 2024, indicating plans for market expansion[49] - The company plans to expand its retail operations by opening new branches, primarily funded through bank borrowings[143] - The company aims to achieve healthy growth in second- and third-tier cities based on successful practices in trendy department stores and supermarkets[153] - The company is focused on new retail concepts, implementing technology, service, and management upgrades to achieve breakthroughs in various operational aspects[154] Shareholder Information - Hony Capital holds 28.07% of the company's ordinary share capital, making it the second-largest shareholder after additional capital contributions for business expansion[160] - The company does not recommend the payment of a dividend for the reporting period[166] Acquisitions and Disposals - The company has disposed of a total of 7,327,400 A-Shares of Ginwa Enterprise (Group) Inc. during the Disposal Mandate period, generating total proceeds of RMB62.2 million at a disposal price of RMB8.5 per A-Share[175] - The company completed the sale of a property in Xi'an for RMB 12,000,000, which has been fully received[188]

Financial Performance - Gross revenue for the six months ended June 30, 2023, was RMB 512.3 million, an increase from RMB 495.3 million in the same period of 2022, representing a growth of approximately 3.9%[11]. - Revenue decreased to RMB 190.4 million from RMB 230.6 million year-on-year, indicating a decline of about 17.4%[11]. - Loss attributable to equity shareholders increased to RMB 200.1 million from RMB 185.8 million, reflecting a rise of approximately 7.0%[11]. - Basic loss per share was reported at 17.0 cents, compared to 8.0 cents in the previous year, indicating a significant increase in losses per share[11]. - Loss for the period was RMB 204,292,000, compared to a loss of RMB 195,556,000 in the previous year, reflecting an increase in loss of 4.4%[20]. - Basic and diluted loss per share increased to RMB 0.17 from RMB 0.08, indicating a worsening financial performance[16]. - Total comprehensive income for the period was RMB (169,081,000), slightly improved from RMB (177,951,000) in the prior year[22]. - For the six months ended June 30, 2023, the company reported a loss of RMB 200,090,000, compared to a loss of RMB 200,090,000 in the same period of 2022[36]. Assets and Liabilities - Net assets of the Group decreased to RMB 1,124.8 million from RMB 1,507.0 million, a decline of about 25.4%[11]. - NAV per ordinary share fell to RMB 0.98 from RMB 1.31, representing a decrease of approximately 25.2%[11]. - Non-current assets totaled RMB 7,360,802,000 as of June 30, 2023, showing a marginal increase from RMB 7,353,273,000 at the end of 2022[26]. - Current liabilities decreased significantly to RMB 2,385,946,000 from RMB 4,442,302,000, indicating improved liquidity management[26]. - Non-current liabilities increased significantly to RMB 4,145,332,000 as of June 30, 2023, compared to RMB 1,603,771,000 at December 31, 2022, representing a growth of approximately 158%[28]. - Total equity attributable to equity shareholders of the Company fell to RMB 1,099,349,000 from RMB 1,475,838,000, a decrease of approximately 25.5%[28]. - Share capital decreased from RMB 199,369,000 to RMB 103,602,000, reflecting a reduction of about 47.9%[28]. - The Group's total financial liabilities measured at amortised cost increased to RMB 858,616,000 as of June 30, 2023, compared to RMB 652,991,000 as of December 31, 2022, marking a growth of around 31.5%[164]. Cash Flow and Financing - Cash at bank and on hand increased to RMB 51,919,000 from RMB 19,542,000, reflecting better cash flow management[26]. - Cash used in operating activities increased to RMB 101,840,000 from RMB 67,319,000 in the previous year[38]. - Net cash generated from investing activities was RMB 32,803,000, compared to a cash outflow of RMB 25,632,000 in the same period of 2022[38]. - Proceeds from new bank loans amounted to RMB 44,900,000, while repayments of bank loans were RMB 164,550,000[42]. - The company reported a net increase in cash and cash equivalents of RMB 22,358,000, compared to a decrease of RMB 3,282,000 in the previous year[42]. - As of June 30, 2023, cash and cash equivalents totaled RMB 33,866,000, up from RMB 26,994,000 at the end of June 2022[42]. - The Group's borrowings are primarily unsecured and unguaranteed, amounting to RMB 2,705,052,000 as of June 30, 2023[168]. Operational Highlights - Sales per ticket increased to RMB 1,258 from RMB 922, indicating a growth of approximately 36.5%[15]. - Annualised area efficiency decreased to RMB 12,732 per m² from RMB 13,827 per m², reflecting a decline of about 7.9%[15]. - The company’s principal activities include the operation of department stores, a shopping mall, and supermarkets in the People's Republic of China[44]. - The Group's revenue is derived from the sales value of goods sold, net income from concession sales, gross rental income, and management and administrative service fee income[63]. - The group operates two department stores and a shopping mall, with one department store expected to re-open in 2025[80]. Cost Management - Staff costs decreased to RMB 43,273,000 from RMB 51,329,000, a reduction of 15.7%, contributing to cost control efforts[16]. - Depreciation expenses rose to RMB 95,740,000 from RMB 78,015,000, an increase of 22.7%, indicating potential investments in fixed assets[16]. - Total borrowing costs increased to RMB 152,774,000 for the first half of 2023, compared to RMB 143,450,000 in the same period of 2022[94]. Taxation and Compliance - The provision for PRC Corporate Income Tax for the six months ended June 30, 2023, was RMB 205,000, significantly lower than RMB 1,924,000 for the same period in 2022, reflecting a decrease of approximately 89.3%[100]. - The company did not make any provision for Hong Kong Profits Tax for the six months ended June 30, 2023, as there were no assessable profits, similar to the previous year[102]. - The interim financial report is unaudited but has been reviewed by an independent auditor[52]. Future Outlook - The Group's financial performance in department store and supermarket operations did not meet management's expectations due to slowing economic growth and intense competition[134]. - The company has not indicated any new product launches or market expansion strategies during this reporting period[108]. - The company expects an annual sales growth rate beyond the five-year period to stabilize at 2%[139].

Hong Kong Exchanges and Clearing Limited and The Stock 香港交易及結算所有限公司及香港聯合交 Exchange of Hong Kong Limited take no responsibility for 易所有限公司對本公告的內容概不負責， the contents of this announcement, make no representation 對其準確性或完整性亦不發表任何聲明， as to its accuracy or completeness and expressly disclaim any 並明確表示，概不對因本公告全部或任何 liability whatsoever for any loss howsoever arising from or in 部分內容而產生或因倚賴該等內容而引致 reliance upon the whole or any part of the contents of this 的任何損失承擔任何責任。 announcement. CENTURY GINWA RETAIL HOLDINGS LIMIT ...

Financial Performance - Gross revenue for the year ended December 31, 2022, was RMB 847.8 million, a decrease of 35.5% from RMB 1,316.4 million in 2021[12]. - Revenue from continuing operations was RMB 376.1 million, down 24% from RMB 494.3 million in the previous year[20]. - The company reported a loss attributable to equity shareholders of RMB 361.7 million, slightly improved from a loss of RMB 368.0 million in 2021[12]. - Basic loss per share for 2022 was 15.5 cents, compared to 15.8 cents in 2021[12]. - Net assets of the Group decreased to RMB 1,507.0 million from RMB 1,808.3 million in 2021, reflecting a decline of 16.6%[12]. - NAV per ordinary share fell to RMB 1.31 from RMB 1.57 in the previous year, a decrease of 16.5%[12]. - The gross rental income and management service fee income for the year ended December 31, 2022, was RMB 68.6 million, down from RMB 110.0 million in 2021, reflecting a decline of 37.5%[47]. - The Group's loss from operations (EBIT) for the year ended December 31, 2022, was RMB 211.6 million, compared to a loss of RMB 189.1 million in 2021, with the operating profit margin worsening from -14.4% to -25.0%[47]. - The Group's consolidated net asset value as of December 31, 2022, was RMB 1,507.0 million, down from RMB 1,808.3 million in 2021, indicating a decrease of 16.6%[50]. - The current ratio of the Group as of December 31, 2022, was 0.04, slightly down from 0.05 in the previous year[50]. - The gearing ratio as of December 31, 2022, was 2.81, an increase from 2.13 in 2021, indicating higher financial leverage[50]. - The Group reported a loss for the year ended December 31, 2022, with no dividends recommended for distribution[154]. Operational Efficiency and Strategy - The company continues to focus on improving operational efficiency and exploring new market opportunities to enhance revenue streams[11]. - Future strategies include potential market expansion and the development of new products and technologies to drive growth[11]. - The supermarket business will focus on enhancing operational efficiency and expanding toB business within three kilometers of stores to increase sales volume[34]. - Digital management tools will be further utilized to improve operational efficiency and enhance consumer profiling and digital services[39]. - The Company will optimize its cost structure and improve management efficiency to create value for customers and maximize shareholder returns[77]. - The Company plans to integrate consumer finance and develop mobile shopping guide applications based on member consumption behavior data[85]. - The Group is committed to continuous monitoring and improvement of its operations and compliance with local regulations across its department stores[147]. Market Expansion and Projects - The company expects the Daming Palace project to significantly enhance its market share in Xi'an after its opening in early 2024, following the acquisition of a 20-year operating lease[27]. - The Xi'an Saigo project reached trial operation status in January 2023, introducing several first-opening brands to the region, which is anticipated to improve asset value and market influence[26]. - The Company plans to conduct market research in Xianyang city to identify new commercial investment opportunities and increase market share[33]. - Specific strategies include active expansion in Xi'an and second- and third-tier cities, optimizing revenue, and enhancing capital liquidity[84]. Human Resources and Corporate Governance - As of December 31, 2022, the Group's total staff was approximately 2,000, a decrease from 2,500 as of December 31, 2021, with approximately 1,000 directly employed full-time employees[90]. - The gender distribution among employees was approximately 17.5% male (around 350) and 82.5% female (around 1,650)[90]. - Employee remuneration, promotions, and salary increments are assessed based on the Group's performance and individual experience, with discretionary bonuses granted based on performance[90]. - The Group emphasizes fair employment practices, ensuring merit-based recruitment without gender discrimination[91]. - The Group's management team includes experienced professionals with backgrounds in finance, investment, and retail management, enhancing strategic decision-making capabilities[97][98][101]. - The Group's focus on high-caliber staff is regarded as a key factor for corporate success, highlighting the importance of human resources in achieving business objectives[90]. Shareholder and Financial Information - Hony Capital holds 28.07% of the Company's ordinary share capital, making it the second-largest shareholder, following a capital contribution of approximately HK$470 million for business expansion[78]. - The Group does not recommend the payment of a dividend for the reporting period, consistent with the previous year where no dividend was paid[89]. - As of December 31, 2022, the Company's reserves available for distribution amounted to RMB 995,255,000, unchanged from the previous year[160]. - The share premium of the Company was approximately RMB 1,136,595,000 as of December 31, 2022, also unchanged from the previous year[164]. - Major shareholders owning 5% or more of the company's issued ordinary shares were disclosed as per the Securities and Futures Ordinance[200]. Compliance and Risk Management - The Group has ensured full compliance with relevant laws and regulations impacting operations, including product safety and customer rights[128]. - The Group operates department stores and supermarkets in the PRC, facing risks such as burglary and fire, and has implemented security measures to mitigate these risks[136]. - The Group has established a vendor evaluation system based on price, quality, and service to ensure sustainable supply of goods and services[146]. - The company has established appropriate insurance arrangements for potential legal claims against its directors and senior management, which remain effective as of the report date[182]. - The independent non-executive directors confirmed their independence as of December 31, 2022, in accordance with the Listing Rules[182]. Environmental, Social, and Governance (ESG) - The Group has established an Environmental, Social and Governance (ESG) Committee to promote sustainable development and monitor ESG-related matters[126]. - An energy conservation project team has been set up to implement measures aimed at reducing electricity consumption and pollutant discharge[127].

Hong Kong Exchanges and Clearing Limited and The Stock 香港交易及結算所有限公司及香港聯合交 Exchange of Hong Kong Limited take no responsibility for 易所有限公司對本公告的內容概不負責， the contents of this announcement, make no representation 對其準確性或完整性亦不發表任何聲明， as to its accuracy or completeness and expressly disclaim any 並明確表示，概不對因本公告全部或任何 liability whatsoever for any loss howsoever arising from or in 部分內容而產生或因倚賴該等內容而引致 reliance upon the whole or any part of the contents of this 的任何損失承擔任何責任。 announcement. CENTURY GINWA RETAIL HOLDINGS LIMIT ...

Financial Performance - Gross revenue for the six months ended June 30, 2022, was RMB 495.3 million, a decrease of 40.5% compared to RMB 832.6 million for the same period in 2021[10]. - Revenue for the same period was RMB 230.6 million, down 20.2% from RMB 288.9 million in 2021[10]. - EBITDA for the six months ended June 30, 2022, was a loss of RMB 22.1 million, compared to a profit of RMB 21.3 million in 2021[10]. - Loss attributable to equity shareholders was RMB 185.8 million, an increase of 39.2% from RMB 133.4 million in the previous year[10]. - Basic loss per share increased to RMB 0.08 from RMB 0.06 in the same period last year[16]. - For the six months ended June 30, 2022, the company reported a loss of RMB 195,556,000, compared to a loss of RMB 138,201,000 for the same period in 2021, indicating an increase in loss of approximately 41.4%[19]. - Total comprehensive income for the period was RMB (177,951,000), significantly lower than RMB (43,397,000) in the previous year, reflecting a decline of approximately 309.5%[21]. - The company reported a loss from operations of RMB 100.1 million, compared to a loss of RMB 55.7 million in the same period last year[16]. - Adjusted EBITDA for the same period was RMB 12,656,000, down 38.1% from RMB 20,411,000 in the prior year[88]. - Reportable segment profit decreased significantly, with a loss before taxation of RMB 201,998,000 for the first half of 2022, compared to a loss of RMB 130,452,000 in 2021[88]. Assets and Liabilities - Net assets of the Group decreased to RMB 1,630.3 million as of June 30, 2022, down from RMB 1,808.3 million at the end of 2021[10]. - Non-current assets totaled RMB 7,030,445,000, slightly down from RMB 7,058,735,000 at the end of 2021, a decrease of approximately 0.4%[25]. - Current liabilities increased to RMB 3,467,994,000 from RMB 2,789,331,000, marking an increase of about 24.4%[25]. - The total assets less current liabilities stood at RMB 3,678,183,000, down from RMB 4,420,114,000, indicating a decrease of approximately 16.8%[25]. - The company's inventories decreased to RMB 21,930,000 from RMB 24,523,000, reflecting a decline of about 10.6%[25]. - Trade receivables from third parties, net of loss allowance, decreased to RMB 16,812,000 as of June 30, 2022, from RMB 26,227,000 at the end of 2021[145]. - The group’s total trade and other receivables were RMB 40,922,000 as of June 30, 2022, compared to RMB 59,595,000 at the end of 2021[145]. - The ageing analysis of trade receivables shows that receivables over three months increased to RMB 6,160,000 as of June 30, 2022, from RMB 15,069,000 at the end of 2021[148]. - The group’s inventories decreased from RMB 24,523,000 at the end of 2021 to RMB 21,930,000 as of June 30, 2022[141]. Cash Flow and Financing - Cash used in operating activities was RMB 67,319,000, a decrease from RMB 286,035,000 in the previous year[37]. - Net cash used in investing activities amounted to RMB 25,632,000, compared to RMB 734,000 in the same period last year[41]. - The company generated net cash from financing activities of RMB 89,669,000, down from RMB 337,968,000 in the previous year[41]. - As of June 30, 2022, cash and cash equivalents decreased to RMB 26,994,000 from RMB 156,227,000 at the beginning of the period[41]. - The company incurred capital lease payments of RMB 8,959,000 and interest payments of RMB 10,740,000 during the period[41]. - Proceeds from new bank loans were RMB 90,000,000, while repayments of bank loans totaled RMB 200,000,000[41]. - The Group used net cash of RMB 67,319,000 in operating activities during the same period[55]. - The directors believe that the Group will have adequate funds to meet its liabilities for at least twelve months from the end of the reporting period, supported by a loan facility of RMB 4 billion from Qujiang Financial Holdings[55][56]. Revenue Breakdown - Total revenue for the six months ended June 30, 2022, was RMB 495,294,000, a decrease of 40.5% compared to RMB 832,620,000 for the same period in 2021[73]. - Sales of goods amounted to RMB 143,003,000, slightly increasing from RMB 142,176,000, representing a growth of 0.6%[73]. - Gross revenue from concession sales was RMB 309,085,000, down 50.8% from RMB 627,841,000 in the previous year[73]. - Gross rental income decreased to RMB 23,565,000 from RMB 33,711,000, reflecting a decline of 30.1%[73]. - Management and administrative service fee income was RMB 19,641,000, down from RMB 28,892,000, a decrease of 31.9%[73]. - Revenue recognition by timing showed RMB 187,404,000 recognized at a point in time and RMB 43,206,000 recognized over time[73]. Operational Challenges - The Group's department store and supermarket operations did not meet management's expectations due to economic slowdown and intense competition[128]. - The ongoing COVID-19 pandemic has introduced additional uncertainties affecting the Group's operations and financial position[128]. - The Group operates five department stores and one shopping mall, with two department stores and one mall closed for renovations, expected to reopen in November 2022 and July 2023[79]. Shareholder Information - The Company does not recommend the payment of an interim dividend for the six months ended June 30, 2022, consistent with the previous year where no interim dividend was paid[175]. - No final dividend for the previous financial year has been approved for the six months ended June 30, 2022, mirroring the situation from the previous year[175]. Impairment and Valuation - The company reported an impairment loss on intangible assets of RMB 30,164,000 for the first half of 2022, with no such losses reported in the same period of 2021[88]. - An impairment loss of RMB 30,164,000 was recognized for intangible assets related to the Ginwa Bell Tower cash-generating unit for the six months ended June 30, 2022[130]. - The Group's trademark "Ginwa" is regarded as having an indefinite useful life, with a carrying amount of RMB 100,000,000[121]. Financial Instruments and Fair Value - As of June 30, 2022, the fair value of equity securities designated at FVOCI was RMB 228,600,000, while financial assets measured at FVPL amounted to RMB 16,139,000[187]. - A 10% increase or decrease in net assets would result in a RMB 1,614,000 increase or decrease in the fair value of financial assets measured at FVPL, impacting the Group's profit by the same amount[191]. - The carrying amounts of the Group's financial instruments carried at cost or amortised cost were not materially different from their fair values as of June 30, 2022, and December 31, 2021[194].

Financial Performance - Gross revenue for the year ended December 31, 2021, was RMB 1,316.4 million, an increase from RMB 1,282.0 million in 2020, representing a growth of 2.7%[12] - Revenue for the same period was RMB 494.3 million, up from RMB 397.0 million in 2020, indicating a growth of 24.5%[12] - The loss attributable to equity shareholders of the Company was RMB 368.0 million, a decrease from RMB 635.1 million in 2020, showing an improvement of 42.0%[12] - Basic loss per share improved to (15.8) cents from (27.3) cents in the previous year[12] - EBITDA for the year was (33.0) million, an improvement from (487.0) million in 2020[12] - EBIT (Loss from operations) improved to (189.1) million from (603.0) million, indicating a significant reduction in operational losses[12] - The Group's loss for the year ended 31 December 2021 was RMB 381.4 million, a significant decrease from RMB 665.2 million for the nine months ended 31 December 2020[44] - The loss attributable to shareholders for the year ended 31 December 2021 was RMB 368.0 million, down from RMB 635.1 million for the nine months ended 31 December 2020[44] Assets and Liabilities - Net assets of the Group decreased to RMB 1,808.3 million from RMB 2,038.0 million, reflecting a decline of 11.3%[12] - NAV per ordinary share decreased to 1.57 yuan from 1.73 yuan, a reduction of 9.2%[12] - Non-current assets as of 31 December 2021 amounted to RMB 7,058,735,000, an increase from RMB 6,397,191,000 in the previous year[24] - Current assets as of 31 December 2021 were RMB 150,710,000, down from RMB 687,307,000 in the previous year[24] - Current liabilities as of 31 December 2021 were RMB 2,789,331,000, compared to RMB 2,733,966,000 in the previous year[24] - The Group's cash at bank and on hand decreased to RMB 36.5 million from RMB 393.6 million as of 31 December 2020[46] - The current ratio as of 31 December 2021 was 0.05, a decline from 0.25 as of 31 December 2020[46] - The gearing ratio increased to 2.13 as of 31 December 2021, compared to 1.38 as of 31 December 2020[46] Market and Operational Strategies - The Group emphasized a "customer-centered" approach to enhance service quality and optimize store operations[27] - The Group adopted measures to enhance core competitiveness amidst the impact of the pandemic and fierce industry competition[27] - The domestic consumer market in the PRC continued to recover, with online retail sales increasing significantly compared to offline sales[26] - The Group aims to expand its community fresh business and enhance its digital business processes to improve user experience and marketing models[34][36] - The Group plans to secure asset-light projects to ensure a strong market share and enhance brand influence in the future[35] - The Group opened a total of 5 new stores under the Xi'an Ginwa Fresh Supermarket during the year, focusing on community fresh business[32] - The delivery-to-home business achieved sales of nearly RMB 10 million after its official launch in the first half of the year[32] Governance and Management - The Company has a strong management team with qualifications including CPA and PhD in economic management[89][92] - The Company is actively involved in mergers and acquisitions to enhance its market position[94][100] - The Company aims to leverage its directors' diverse backgrounds to drive strategic growth initiatives[92][100] - The Company has established a robust governance structure with various committees including audit and remuneration[92] - The Board is responsible for overall management, strategic development, and risk management policies[167] - The Company has received annual confirmations of independence from all independent non-executive Directors[174] - The roles of the Chairman and Chief Executive Officer are separate, with Mr. Huang Shunxu serving as Chairman and Mr. Qin Chuan as CEO, ensuring better corporate governance[194] Compliance and Risk Management - The Group emphasizes compliance with laws and regulations impacting operations, including product safety and customer rights protection[108] - The Group operates under the jurisdictions of national and local regulators, ensuring compliance with applicable laws and regulations[118] - The Company has complied with all requirements of the Listing Rules regarding connected transactions, including disclosure requirements[134] - The Company has sufficient public float of more than 25% of its shares in the market as required under the Listing Rules[157] Employee and Stakeholder Relations - Employees are considered the most valuable assets, with comprehensive recruitment and performance appraisal policies in place to promote career development[116] - The Group aims to enhance customer service through a consistent labeling system and clear pricing, while also addressing customer complaints and feedback[116] - The Group has set up various channels for customer communication, including satisfaction surveys and feedback cards, to improve service quality and market share[116] - The Group's commitment to "Green management and balanced development" will guide its ongoing review and optimization of energy-saving measures[107] Shareholding Structure - Hony Capital, the company's second largest shareholder, holds 28.07% of the ordinary share capital and has contributed US$60 million (approximately HK$470 million) for business expansion and working capital, reducing the group's debt burden[65] - The shareholding structure reveals a complex network of interests among major shareholders, particularly involving Hony Capital and Glory Keen[152] - The Company has a significant concentration of shareholding, with major shareholders holding over 28% each[146] - The long position of 1,294,774,999 underlying shares represents the interest in the conversion shares which may be issued under the Hony Convertible preferred shares[154]

Financial Performance - Gross revenue for the six months ended June 30, 2021, was RMB 832.6 million, an increase from RMB 763.6 million in the same period of 2020, representing a growth of approximately 9.1%[10] - EBITDA improved to RMB 21.3 million compared to a loss of RMB 494.5 million in the prior year, indicating a significant recovery in operational performance[10] - Loss attributable to equity shareholders decreased to RMB 133.4 million from RMB 614.6 million year-over-year, reflecting a reduction of approximately 78%[10] - Basic loss per share improved to (5.7) cents from (26.4) cents, showing a notable decrease in losses per share[10] - Revenue for the six months ended June 30, 2021, was RMB 288,920,000, an increase of 9.4% compared to RMB 264,945,000 for the same period in 2020[17] - Loss for the period was RMB 138,201,000, a significant reduction from RMB 646,319,000 in the previous year, indicating improved financial performance[19] - Basic and diluted loss per share improved to RMB 0.06 from RMB 0.26 year-over-year[17] - Total comprehensive income for the period was a loss of RMB 43,397,000, compared to a loss of RMB 618,535,000 in the same period last year[21] - The company reported a total comprehensive loss for the period of RMB 584,657, compared to a loss of RMB 614,596 in the previous period[32] - The accumulated losses reached RMB 1,516,968, reflecting ongoing financial challenges[32] Revenue and Sales Metrics - Sales per ticket increased to RMB 1,157 from RMB 1,102, indicating a rise of about 5% in average transaction value[14] - Annualised area efficiency per square meter rose to RMB 20,100 from RMB 18,300, representing an increase of approximately 9.8%[14] - Sales of goods amounted to RMB 142,176,000, up 21.8% from RMB 116,644,000 in the previous year[74] - Gross revenue from concession sales reached RMB 627,841,000, a rise of 5.7% compared to RMB 594,361,000 for the same period in 2020[74] - Gross rental income was RMB 33,711,000, increasing from RMB 32,477,000, reflecting a growth of 3.8%[74] Asset and Liability Management - Net assets of the Group as of June 30, 2021, were RMB 1,994.6 million, slightly down from RMB 2,038.0 million at the end of 2020[10] - NAV per ordinary share decreased to RMB 1.69 from RMB 1.73, reflecting a minor decline in net asset value per share[10] - Non-current assets totaled RMB 6,479,765,000 as of June 30, 2021, slightly up from RMB 6,397,191,000 at the end of 2020[25] - Current liabilities decreased to RMB 2,479,991,000 from RMB 2,733,966,000 at the end of 2020, reflecting improved liquidity management[25] - Cash at bank and on hand rose to RMB 447,305,000 from RMB 393,556,000, enhancing the company's cash position[25] Operational Efficiency and Strategy - The company continues to focus on enhancing operational efficiency and exploring market expansion opportunities[12] - Future strategies include the development of new products and technologies to drive growth and improve market positioning[12] - The company reported an increase in other comprehensive income of RMB 86,825,000, contributing positively to the total comprehensive income[35] - The management's cash flow forecast indicates that the Group will have adequate funds to meet its liabilities for at least twelve months from the end of the reporting period[59] Borrowings and Financial Support - The Group has secured a financial support letter from Xi'an Qujiang Cultural Financial Holdings, agreeing to provide an indefinite loan facility of RMB 2.5 billion[59] - As of June 30, 2021, the Group had an unutilized facility of RMB 1.35 billion and short-term loans of RMB 1,151,009,000 extended by Qujiang Financial Holdings[59] - A new long-term loan of RMB 300,000,000 was obtained from a financial institution after the reporting period[59] - The total borrowing costs for the six months ended June 30, 2021, were RMB 113,539,000, down from RMB 117,282,000 in the same period of 2020[96] Taxation and Deferred Tax - The effective corporate income tax rate for the Group's subsidiaries in the PRC remained at 25% for the six months ended June 30, 2021[106] - The Group's subsidiaries will not be entitled to tax benefits under the new policies effective from January 1, 2021, impacting future profitability[107] - Deferred tax liabilities recognized in the consolidated statement of financial position increased to RMB (625,099,000) as of June 30, 2021, compared to RMB (610,889,000) as of December 31, 2020[200] Inventory and Receivables - The Group's total trade and other receivables amounted to RMB 336,637,000 as of June 30, 2021, compared to RMB 237,430,000 as of December 31, 2020, showing an overall increase in receivables[156] - Trade receivables from third parties decreased from RMB 23,167,000 as of December 31, 2020, to RMB 15,476,000 as of June 30, 2021, reflecting a reduction in outstanding receivables[156] - The Group's inventory decreased from RMB 34,516,000 as of December 31, 2020, to RMB 29,277,000 as of June 30, 2021, indicating improved inventory management[152] Employee and Operational Costs - Staff costs increased to RMB 60,446,000 for the six months ended June 30, 2021, compared to RMB 48,255,000 for the same period in 2020, indicating a rise in employee-related expenses[99] - Provisions for compensation related to the closure of two department stores and a shopping mall amounted to RMB 43,541,000, impacting other operating expenses significantly[105] Impairment and Goodwill - The impairment losses for goodwill totaled RMB 150,689,000 for the period, increasing the accumulated impairment losses to RMB 1,379,685,000[133] - The carrying amount of goodwill is RMB 72,129,000, unchanged from December 31, 2020[133] Miscellaneous - The Group's financial report is unaudited, indicating potential variability in the final figures[115] - The Group's operations are entirely based in the Shaanxi province, PRC, with no geographical revenue analysis presented[69] - The Group's customer base is diversified, with no significant reliance on any single customer[70]

Financial Performance - Gross revenue for the nine months ended December 31, 2020, was RMB 1,282.0 million, a decrease from RMB 1,812.7 million for the year ended March 31, 2020, representing a decline of approximately 29.3%[12]. - Revenue for the nine months ended December 31, 2020, was RMB 397.0 million, down from RMB 642.0 million for the year ended March 31, 2020, indicating a decrease of about 38.1%[12]. - The EBITDA for the nine months ended December 31, 2020, was a loss of RMB 487.0 million, compared to a loss of RMB 1,032.9 million for the year ended March 31, 2020[12]. - Loss attributable to equity shareholders of the Company for the nine months ended December 31, 2020, was RMB 635.1 million, compared to RMB 1,279.1 million for the year ended March 31, 2020[12]. - Basic loss per share for the nine months ended December 31, 2020, was (27.3) cents, compared to (55.0) cents for the year ended March 31, 2020[12]. - The Group's loss for the nine months ended 31 December 2020 was RMB 665.2 million, a decrease from RMB 1,312.6 million for the year ended 31 March 2020[68]. - The loss attributable to shareholders for the same period was RMB 635.1 million, down from RMB 1,279.1 million for the year ended 31 March 2020[68]. Assets and Liabilities - Net assets of the Group as of December 31, 2020, were RMB 2,038.0 million, down from RMB 2,708.7 million as of March 31, 2020[12]. - NAV per ordinary share as of December 31, 2020, was 1.73 yuan, compared to 2.28 yuan as of March 31, 2020[12]. - Non-current assets as of 31 December 2020 totaled RMB 6,397,191,000, down from RMB 6,669,619,000 in 2019, indicating a decrease of approximately 4.1%[24]. - Current liabilities as of 31 December 2020 were RMB 2,733,966,000, an increase from RMB 2,645,748,000 in 2019, reflecting a rise of about 3.3%[24]. - Cash at bank and on hand decreased to RMB 393.6 million from RMB 500.8 million as of 31 March 2020[68]. - The current ratio as of 31 December 2020 was 0.25, slightly down from 0.27 as of 31 March 2020[68]. - The gearing ratio increased to 1.38 as of 31 December 2020, compared to 0.85 as of 31 March 2020[68]. Market and Economic Environment - The service industry in China saw an increase in added-value of 2.1% in 2020, with the service sector contributing 54.5% to the GDP[31]. - Online retail sales of commodity goods increased by 14.8% in 2020, significantly outpacing the total retail sales growth rate by 18.7 percentage points, accounting for 24.9% of total retail sales[31]. - The business volume of express delivery reached 83.36 billion pieces in 2020, representing a growth rate of 31.2% compared to the previous year[31]. - The cumulative traffic of mobile Internet in China reached 149.50 billion GB from January to November 2020, reflecting a year-on-year growth rate of 35.1%[31]. - In 2020, total retail sales of consumer goods amounted to RMB 39,198.1 billion, representing a year-on-year decrease of 3.9%, which narrowed by 3.3 percentage points compared to the first three quarters of 2020[35]. - National online retail sales increased by 10.9% compared to the previous year, which was 1.2 percentage points higher than the growth rate in the first three quarters of 2020[35]. Business Strategy and Operations - The company aims to regain its position as the market leader in Shaanxi and has set new operational goals[54]. - The online business has been relaunched, aiming to surpass competitors in technology[54]. - The company plans to explore new business areas including self-operated, commerce, and supermarket businesses[54]. - The company will adjust strategies to improve operating capabilities and competitiveness in Xi'an and nationwide[57]. - The company intends to expand its coverage in Shaanxi through asset-heavy investments and mergers[58]. - The company will introduce well-known domestic and foreign brands to enhance consumer choices[59]. - The Group plans to expand its retail operations by opening new branches, funded primarily through bank and other borrowings[71]. Management and Governance - The Group has established an Environmental, Social and Governance (ESG) Committee to promote sustainable development and set key performance indicators[103]. - The Group emphasizes maintaining good relationships with stakeholders, including employees, customers, and suppliers, to ensure long-term success[113]. - The Company is committed to high standards of corporate governance practices to enhance investor confidence and maximize shareholder returns[183]. - The Board regularly reviews its corporate governance practices and risk management policies to meet stakeholder expectations and regulatory requirements[183]. - The Company received written confirmations of independence from all independent non-executive Directors for the nine months ended December 31, 2020[187]. Human Resources - The Group's staff count decreased to approximately 6,100 as of December 31, 2020, down from 6,500 on March 31, 2020[81]. - The directors do not recommend the payment of a dividend for the reporting period, consistent with the previous year where no dividend was paid[81]. Shareholder Information - Hony Capital has invested HK$1,330.5 million in convertible bonds and an additional US$60 million (approximately HK$470 million) for business expansion, reducing the group's debt burden and strengthening its financial position[75]. - The Company has a substantial shareholder structure with multiple entities holding significant stakes, including interests in controlled corporations[157]. - The Company did not report any new product developments or market expansions in the provided documents[158].

Financial Performance - Gross revenue for the six months ended September 30, 2020, was RMB 763.6 million, a decrease of 22% from RMB 977.5 million in the same period of 2019[10] - EBITDA for the same period reported a loss of RMB 494.5 million, compared to a loss of RMB 158.4 million in 2019[10] - The loss attributable to equity shareholders was RMB 614.6 million, resulting in a basic loss per share of 26.4 cents, compared to a loss of RMB 289.7 million and 12.5 cents per share in 2019[10] - Revenue for the six months ended September 30, 2020, was RMB 264,945,000, a decrease of 22.2% from RMB 340,486,000 in 2019[17] - Loss for the period was RMB 646,319,000, compared to a loss of RMB 292,259,000 in the same period of 2019, representing a 121.1% increase in losses[19] - Basic and diluted loss per share was RMB 0.264, compared to RMB 0.125 in 2019, indicating a significant increase in loss per share[17] - Total comprehensive income for the period was RMB (618,535,000), compared to RMB (325,459,000) in 2019, reflecting a worsening financial position[22] - Total comprehensive income for the six months ended September 30, 2020, was RMB (618,535,000), highlighting ongoing financial challenges[41] - Loss before taxation for the six months ended September 30, 2020, was RMB 648,317,000, compared to a loss of RMB 292,091,000 in 2019[104] Assets and Liabilities - Net assets of the Group decreased to RMB 2,090.6 million from RMB 2,708.7 million as of March 31, 2020[10] - NAV per ordinary share fell to RMB 1.78 from RMB 2.28 in the previous year[10] - Non-current assets decreased to RMB 6,314,289,000 from RMB 6,669,619,000, indicating a reduction in long-term asset value[26] - Current liabilities decreased to RMB 2,723,348,000 from RMB 2,645,748,000, showing a slight improvement in short-term financial obligations[26] - Net assets as of September 30, 2020, were RMB 2,090,575,000, down from RMB 2,708,718,000, indicating a decline in overall equity[28] - Total equity as of September 30, 2020, is RMB 2,090,575,000, a decrease from RMB 2,708,718,000 as of March 31, 2020, representing a decline of approximately 22.8%[29] - The company reported retained profits of RMB (1,516,968,000) as of September 30, 2020, indicating accumulated losses[42] - As of September 30, 2020, the Group reported net current liabilities of RMB 1,937,453,000 and a net loss of RMB 646,319,000 for the six months ended September 30, 2020[65] Cash Flow and Financing - For the six months ended September 30, 2020, the net cash used in operating activities was RMB (424,840,000), compared to RMB 35,797,000 in the same period of 2019[46] - The company generated net cash from investing activities of RMB 3,369,000 in the first half of 2020, while it had a net cash used of RMB (67,542,000) in the same period of 2019[49] - Proceeds from new bank loans amounted to RMB 1,416,253,000 in the first half of 2020, significantly higher than RMB 336,000,000 in 2019[49] - The company reported a net increase in cash and cash equivalents of RMB 3,202,000 for the period, compared to a net decrease of RMB (219,212,000) in the previous year[49] - The total cash and cash equivalents at the end of the period were RMB 28,823,000, down from RMB 34,395,000 at the end of the same period in 2019[49] - The repayment of bank loans in the first half of 2020 was RMB (1,423,862,000), compared to RMB (260,966,000) in the same period of 2019[49] - The company incurred other finance costs paid amounting to RMB (177,167,000) in the first half of 2020, compared to RMB (101,808,000) in 2019[49] - The net cash generated from financing activities was RMB 424,673,000 in the first half of 2020, contrasting with a net cash used of RMB (187,467,000) in the same period of 2019[49] Operational Performance - Sales per ticket decreased to RMB 1,102, down from RMB 1,152 in 2019[15] - Annualised area efficiency dropped to RMB 18,300 per m² from RMB 23,200 per m² in the previous year[15] - Sales of goods amounted to RMB 116,644,000, down 26% from RMB 157,733,000 year-on-year[82] - Net income from concession sales and management service fees was RMB 95,686,000, a decline of 20% compared to RMB 120,315,000 in 2019[82] - Gross rental income decreased to RMB 32,477,000 from RMB 36,490,000, representing an 11% drop[82] - Revenue recognized at a point in time was RMB 212,330,000, down 24% from RMB 278,048,000 in the previous year[93] - Revenue recognized over time was RMB 52,615,000, a decrease of 16% from RMB 62,438,000 in 2019[93] - The Group operates 5 department stores and 7 supermarkets, with no single customer accounting for more than 10% of total revenue[77] Impairment and Depreciation - The company reported an impairment loss on goodwill and intangible assets of RMB 365,855,000, significantly higher than RMB 197,426,000 in 2019, indicating potential challenges in asset valuation[17] - Impairment losses on goodwill and intangible assets increased significantly to RMB 365,855,000 in 2020 from RMB 197,426,000 in 2019[104] - The accumulated impairment losses for intangible assets as of September 30, 2020, were RMB 215,166,000, reflecting a significant impairment charge during the period[153] - The company reported a charge for the year in depreciation of RMB 165,095,000[127] Taxation - The company did not make any provision for Hong Kong Profits Tax for the six months ended September 30, 2020, as there were no assessable profits[115] - The PRC Corporate Income Tax rate applicable to the company's subsidiaries in the PRC remained at 25% for the six months ended September 30, 2020[119] - The company is subject to a corporate income tax rate of 25% in China, with certain subsidiaries eligible for a reduced rate of 15% under specific tax incentives from 2011 to 2020[121] Other Financial Information - The financial report is unaudited, indicating that the figures may be subject to change upon final audit[130] - The interim financial report is unaudited but has been reviewed by KPMG, ensuring compliance with relevant standards[60] - The financial information for the year ended March 31, 2020, included in the report is derived from statutory financial statements, which received an unqualified opinion from auditors[64] - The company has terminated its share award scheme, which may impact future equity compensation strategies[42] - The company has begun cooperation with the prepaid card management company since 2009, but terminated the original cooperation agreement on October 31, 2019[196]