Revenue Performance - For the nine months ended September 30, 2022, the company's operating revenue was RMB 7,651,962, a decrease of 9.8% from RMB 8,487,462 in the same period of 2021[4] - The main business revenue for the same period was RMB 6,959,919, down 10.3% from RMB 7,762,095 in 2021[4] - The wholesale main business revenue for the nine months was RMB 4,398,245, a decrease of 16.2% from RMB 5,250,712 in 2021[6] Profitability - The net profit attributable to the owners of the parent company was a loss of RMB 60,599 for the nine months ended September 30, 2022, compared to a profit of RMB 4,033 in 2021[4] - The company's operating profit for the nine months was RMB 978, a significant decline from RMB 36,180 in the same period of the previous year[4] - The company reported a total profit of RMB (20,855) for the nine months, compared to RMB 32,962 in 2021, indicating a substantial decline[4] Expenses - The company's financial expenses decreased to RMB 96,542 from RMB 109,166 in 2021, reflecting a reduction of 11.9%[4] - The company experienced a decrease in sales expenses, which rose to RMB 1,224,413 from RMB 1,202,032 in 2021, reflecting a marginal increase of 1.8%[4] Store Operations - The total number of retail stores as of September 30, 2022, was 145, after opening 4 new convenience stores and closing 20 stores during the period[7] Investment Income - The investment income for the period was RMB 11,695, slightly up from RMB 10,999 in the previous year[4]

Financial Performance - The group's main business revenue for the six months ended June 30, 2022, was approximately RMB 4,866,000,697, a decrease of about 8.8% compared to the same period last year [9]. - Gross profit was approximately RMB 631,534,745, an increase of about 6.0% compared to the same period last year [10]. - Total profit was approximately RMB 24,751,746, a decrease of about 64.5% compared to the same period last year [11]. - Net profit attributable to the parent company was approximately RMB -14,398,632, a decrease of about 154.2% compared to the same period last year [12]. - The retail business revenue increased by approximately 3.9% to RMB 1,788,527,000 compared to RMB 1,721,475,000 in the same period last year, driven by heightened consumer demand for essential goods due to the pandemic [25]. - Same-store sales growth was reported at 6.4% year-on-year, reflecting effective category management strategies implemented by the company [25]. - The net profit attributable to the parent company was reported at a loss of RMB 14,399,000, compared to a profit of RMB 26,589,000 in the previous year, reflecting the challenges faced during the reporting period [34]. - The total comprehensive income attributable to the parent company for the first half of 2022 was RMB 5,465,209, a decrease from RMB 42,608,150 in the same period of 2021 [76]. - The company reported a net loss of RMB 24,199,553 for the first half of 2022, compared to a profit of RMB 27,097,767 in the same period of 2021 [97]. Business Operations - As of June 30, 2022, the total number of retail stores was 151, including 139 directly operated stores and 12 franchised stores, with a total operating area of approximately 231,480 square meters [15]. - During the reporting period, the group opened 3 new directly operated convenience stores and 1 franchised convenience store, while closing 2 comprehensive supermarkets, 11 directly operated convenience stores, and 1 franchised convenience store due to lease expirations and operational strategy adjustments [15]. - The group implemented strict pandemic prevention measures, ensuring a safe shopping environment and maintaining supply of essential goods during the COVID-19 outbreaks [17]. - The group adjusted its business operations by integrating procurement, marketing, operations, and e-commerce departments to enhance customer response efficiency [18]. - The company actively participated in community events and launched themed promotions to enhance consumer engagement and drive sales during festive periods [21]. Financial Position - As of June 30, 2022, the group's current assets totaled RMB 4,837,413,877, including cash and cash equivalents of RMB 936,102,881 and inventory of RMB 1,354,216,576 [39]. - The total liabilities of the group amounted to RMB 2,153,417,717, with bank loans ranging from 2.90% to 4.35% annual interest rate [40]. - The asset-liability ratio as of June 30, 2022, was approximately 74.1%, slightly higher than 73.2% on June 30, 2021 [41]. - The company's current assets totaled RMB 4,837,413,877 as of June 30, 2022, while non-current assets amounted to RMB 2,870,750,893 [66]. - The total assets of Beijing Jingkelong Commercial Group Co., Ltd. amounted to RMB 7,708,164,770, compared to RMB 7,842,092,472 as of December 31, 2021 [66]. - Total liabilities as of June 30, 2022, amounted to RMB 2,862,818,579, an increase of 9.1% from RMB 2,623,989,801 at the end of 2021 [72]. - The company’s total equity as of June 30, 2022, was RMB 1,541,060,008, down from RMB 1,565,259,561 at the end of 2021, a decline of 1.5% [72]. Inventory and Assets - The total inventory reported was RMB 1,354,216,576 as of June 30, 2022 [66]. - The company's inventory as of June 30, 2022, was RMB 203,802,779, compared to RMB 217,868,602 at the end of 2021, indicating a decrease of 6.5% [70]. - Inventory is classified into categories including finished goods, raw materials, work in progress, and low-value consumables [141]. - Inventory is measured at the lower of cost and net realizable value, with provisions for inventory write-downs recognized when net realizable value is lower than cost [143]. Employee and Operational Costs - The employee cost during the reporting period totaled RMB 355,275,406, a decrease from RMB 372,460,621 in the same period last year [45]. - Total operating costs for the first half of 2022 were RMB 5,280,944,416, down 9.0% from RMB 5,807,988,298 in the first half of 2021 [74]. - The company incurred operating costs of RMB 1,431,050,083 in the first half of 2022, up from RMB 1,357,376,531 in the same period of 2021, which is an increase of about 5.4% [78]. Cash Flow and Financing - Cash flow from operating activities for the first half of 2022 was RMB 735,989,526, down from RMB 383,228,539 in the first half of 2021 [80]. - The company reported sales of goods and services received cash of RMB 5,646,346,615 in the first half of 2022, compared to RMB 6,108,306,563 in the same period of 2021, reflecting a decrease of approximately 7.5% [80]. - The cash flow from investing activities for the first half of 2022 resulted in a net outflow of RMB 461,524,718, compared to an outflow of RMB 11,876,064 in the same period of 2021 [82]. - The cash flow from financing activities for the first half of 2022 was a net outflow of RMB 359,553,177, compared to an outflow of RMB 332,615,173 in the same period of 2021 [82]. - The ending cash and cash equivalents balance for the first half of 2022 was RMB 256,085,581, down from RMB 318,772,739 at the end of the first half of 2021 [86]. Shareholder Information - Major shareholder Beijing Chaofu State-owned Assets Management Co., Ltd. holds approximately 72.77% of the total issued domestic shares, equating to 167,409,808 shares [58]. - The total number of shares held by individual directors and executives ranges from 70,000 to 5,210,428, representing between 0.03% and 2.26% of the total issued domestic shares [55]. - China Galaxy International Asset Management holds 24,970,000 H shares, representing approximately 13.71% of the total issued H shares [60]. Accounting Policies - The financial statements are prepared based on the assumption of going concern and in accordance with the relevant accounting standards [101]. - The accounting period for the group is aligned with the calendar year, running from January 1 to December 31 [104]. - The group uses Renminbi as its functional currency for accounting purposes, reflecting the primary economic environment in which it operates [104]. - The financial statements of the group comply with the requirements of accounting standards, accurately reflecting the financial position as of June 30, 2022, and the operating results and cash flows for the first half of 2022 [102]. Impairment and Provisions - The group conducts impairment tests on long-term assets, including fixed assets and intangible assets, to determine if their recoverable amount is less than their carrying value [169]. - If the recoverable amount is lower than the carrying value, an impairment loss is recognized, calculated based on the higher of fair value less costs to sell and the present value of expected future cash flows [170]. - The group recognizes impairment losses on financial assets measured at amortized cost and debt instruments measured at fair value, including receivables and long-term receivables [130]. Revenue Recognition - Revenue is recognized when control of goods is transferred to customers, with specific criteria outlined for contract approval and payment terms [175]. - Sales revenue is recognized upon sale to consumers or upon acceptance by customers in wholesale transactions, with adjustments for reward points granted to customers [179]. - Service revenue is recognized when the amount can be reliably measured, and the related economic benefits are likely to flow to the company [181].

Revenue Performance - The company's unaudited consolidated revenue for the three months ended March 31, 2022, was RMB 3,026,411 thousand, a decrease of 11.3% from RMB 3,410,451 thousand in the same period of 2021[4] - The main business revenue was RMB 2,800,433 thousand, down 11.7% from RMB 3,170,569 thousand year-on-year[6] - The wholesale main business revenue from the Chaobi Group was RMB 1,997,880 thousand, down 14.0% from RMB 2,324,786 thousand year-on-year[6] Profitability - The total net profit for the period was RMB 4,642 thousand, a significant decline from RMB 50,962 thousand in the same period last year[4] - Operating profit for the period was RMB 4,107 thousand, a decrease of 93% compared to RMB 58,912 thousand in the same period of 2021[4] - The company reported a total profit of RMB 3,830 thousand, down 93.8% from RMB 62,356 thousand year-on-year[4] - The gross profit margin for retail business decreased to 15.53% from 16.67% in the previous year[6] Store Operations - The company opened 2 new direct-operated convenience stores and closed 11 stores during the reporting period, resulting in a total of 152 retail stores as of March 31, 2022[6] Credit and Data Access - The company experienced a credit impairment loss of RMB (453) thousand, compared to RMB (6,019) thousand in the previous year[4] - The company did not include financial data from Beijing Jingkelong (Langfang) Co., Ltd. due to COVID-19 restrictions affecting data access[2]

Financial Performance - Beijing Jingkelong Company Limited reported a revenue of RMB 10.5 billion for the fiscal year 2021, representing a year-on-year increase of 12%[19] - The company achieved a net profit of RMB 1.2 billion, which is a 15% increase compared to the previous year[19] - The Group's revenue from principal business was RMB10,100,311,991, representing a decrease of approximately 8.2% compared to 2020[28] - Gross profit was RMB1,209,169,371, reflecting a decrease of approximately 6.3% from 2020[28] - Total profit was RMB43,339,407, a significant decrease of approximately 73.4% compared to 2020[28] - Profit attributable to shareholders of the parent company was RMB-22,474,226, representing a decrease of approximately 141.1% compared to 2020[29] - Basic earnings per share was RMB-0.05, down from RMB0.13 in 2020[29] - Proposed final dividend per share was RMB0.05, reduced from RMB0.10 in 2020[29] - The Group's principal operating income decreased by approximately 8.2%, with retail income down 24.3% and wholesale income up 2.2%[81] - Gross profit decreased by approximately 6.3%, with a gross profit margin of 12.0% compared to 11.7% in 2020[84] Customer Engagement and Market Strategy - User data indicates that the number of active customers increased by 20% to 5 million in 2021[19] - The company plans to expand its market presence by opening 50 new stores in 2022, targeting a 10% growth in market share[19] - The company is implementing a new loyalty program expected to increase customer retention by 30%[19] - In 2022, the Group plans to focus on goods and services, conduct careful research on consumer demand, and optimize commodity structure based on consumer needs[31] - The Group aims to strengthen strategic cooperative relationships with suppliers and utilize new technologies for digital transformation[31] - The Group will enhance its consumer-centric marketing strategy and explore a digital economy development path to attract consumers back[149][151] Operational Challenges and Responses - The retail business faced significant challenges due to the impact of COVID-19 and economic downturn, leading to a decrease in overall market demand[64] - Same-store sales experienced a decline of 22.9% during the reporting period, reflecting reduced customer flow[64] - The company implemented strict epidemic prevention measures to ensure stable logistics and distribution services, achieving 24-hour uninterrupted logistics during the reporting period[68][70] - The Group maintained a vigilant approach to pandemic control measures, ensuring a safe shopping environment for customers[55][56] Investment and Development - Investment in new technology and product development increased by 25%, focusing on enhancing the online shopping experience[19] - A strategic acquisition of a local competitor is under consideration to enhance supply chain efficiency and market reach[19] - The Group's fresh produce supply chain was enhanced by developing new vegetable bases and increasing direct sourcing of fruits[47][49] - The Group introduced category management for eight types of commodities, optimizing the product structure and enhancing profitability[47][49] Governance and Corporate Structure - The Group recognizes the importance of a robust governance framework to drive sustainable development and enhance corporate governance practices[154][155] - The board of directors is collectively responsible for safeguarding the best interests of the group and is accountable to shareholders[167] - The Company has adopted the Corporate Governance Code principles to enhance corporate governance standards and ensure sustainable development[157] - The Company has arranged liability insurance for its directors to cover potential legal actions, ensuring protection against liabilities arising from corporate activities[192] Financial Position and Assets - As of December 31, 2021, the Group had non-current assets of RMB 2,995,109,476 and non-current liabilities of RMB 1,351,598,595, with bonds payable comprising RMB 403,545,776[114] - The Group's current assets totaled RMB 4,846,982,996, including cash and cash equivalents of RMB 1,018,462,092 and inventories of RMB 1,618,527,017[114] - The total bank loans amounted to RMB 2,381,030,839, with interest rates ranging from 1.25% to 4.35%[118] - The Group's gearing ratio as of December 31, 2021, was approximately 73.6%, slightly higher than 73.0% as of December 31, 2020[121] Employee Development and Training - The total staff costs for the Group during the Reporting Period were approximately RMB 724,005,881, an increase from RMB 710,886,421 in 2020[127] - The Group hosted about 110 training seminars during the year to enhance employee skills and professional knowledge[131] Board Composition and Diversity - The board currently consists of three executive directors, three non-executive directors, and three independent non-executive directors[174] - The board diversity ratio is 7:2 in favor of male directors, with women making up 22% of all board members[200] - The Company’s board diversity policy considers various aspects, including age, gender, skills, knowledge, and experience, to ensure effective governance[197]

Financial Performance - For the six months ended June 30, 2021, the company's main business revenue was approximately RMB 5,335,018,709, a decrease of about 7.5% compared to the same period last year[9]. - Gross profit was approximately RMB 595,742,912, representing a decrease of about 18.4% year-on-year[10]. - Total profit was approximately RMB 69,740,657, down approximately 17.9% from the previous year[11]. - Net profit attributable to the parent company was approximately RMB 26,589,237, a decrease of about 26.5% compared to the same period last year[11]. - Total operating revenue for the first half of 2021 was RMB 5,847,335,159, a decrease of 5.8% compared to RMB 6,209,873,235 in the same period of 2020[76]. - Net profit for the first half of 2021 was RMB 42,608,150, compared to RMB 49,242,957 in the same period of 2020, indicating a decline of 13.3%[78]. - The company reported a basic earnings per share of RMB 0.06 for the first half of 2021, down from RMB 0.09 in the same period of 2020[78]. - The comprehensive income for the first half of 2021 is RMB 27,097,767, compared to RMB 37,923,594 in the same period of 2020, indicating a decline[98]. Revenue Streams - The group's retail business revenue decreased by approximately 31.5%, primarily due to a same-store sales decline of about 29.28%[25]. - Wholesale business revenue increased by approximately 10.8%, attributed to increased sales from cross-border e-commerce and the introduction of new cooperative brand products[31]. - The company’s operating revenue for the first half of 2021 was RMB 1,778,578,446, a decrease of 28% compared to RMB 2,468,717,180 in the same period of 2020[80]. Cost Management - Total operating costs for the first half of 2021 were RMB 5,807,988,298, down from RMB 6,150,599,227 in the first half of 2020, reflecting a cost reduction strategy[76]. - The company reported a decrease in sales expenses to RMB 315,894,561 from RMB 339,208,058 year-on-year, reflecting a cost-saving strategy[80]. - The company’s financial expenses decreased to RMB 74,936,777 in the first half of 2021 from RMB 92,145,694 in the same period of 2020, reflecting effective cost management[76]. Assets and Liabilities - As of June 30, 2021, the group's non-current assets amounted to RMB 3,140,822,423, with non-current liabilities of RMB 1,390,471,963, primarily including bonds payable of RMB 410,710,260[37]. - The group's current assets totaled RMB 4,794,560,687, which included cash and cash equivalents of RMB 1,071,352,906 and inventory of RMB 1,282,449,256[37]. - The total current liabilities were RMB 4,415,347,640, with short-term bank loans constituting RMB 2,188,140,142[37]. - The company's total equity as of June 30, 2021, was RMB 2.13 billion, a decrease from RMB 2.18 billion as of December 31, 2020[70]. - The total liabilities increased from RMB 4.51 billion as of December 31, 2020, to RMB 5.81 billion as of June 30, 2021, indicating a rise in financial obligations[70]. Operational Strategies - The company focused on enhancing core capabilities and expanding product categories, introducing traditional snacks to meet consumer demand[13]. - Online business continued to grow steadily, with the company enhancing online shopping experiences and increasing product variety[16]. - The company implemented a comprehensive member management system to improve customer engagement and increase purchase frequency[15]. - The group is actively adjusting its operational strategies in response to market changes, focusing on improving service capabilities and expanding supply chain resources[27]. - The group plans to enhance product innovation and optimize the supply chain for private label products while expanding online and offline integration[49]. Governance and Compliance - The audit committee confirmed that the financial reports for the six months ending June 30, 2021, comply with applicable accounting standards and legal requirements[54]. - The company has adopted a code of conduct for securities trading by directors, ensuring compliance with the standards set forth in the listing rules[53]. - The company’s governance practices are aligned with the Hong Kong Stock Exchange's Corporate Governance Code, with a noted deviation regarding the rotation of directors every three years[52]. - The company has maintained a consistent approach to governance and compliance with the relevant regulations throughout the reporting period[52]. Employee and Operational Metrics - The group had a total of 5,046 employees as of June 30, 2021, with total employee costs amounting to RMB 372,460,621 during the reporting period[44]. - The group opened 3 new directly operated convenience stores and closed 4 stores during the reporting period[20]. Cash Flow and Financing - The total cash inflow from operating activities was RMB 6,257,445,568, while the cash outflow was RMB 5,874,217,029, resulting in a net cash flow of RMB 383,228,539[82]. - The company raised RMB 2,056,388,530 through financing activities, slightly down from RMB 2,091,672,250 in the same period of 2020[84]. - Cash inflow from financing activities amounted to RMB 700 million, while cash outflow totaled RMB 756.37 million, resulting in a net cash flow from financing activities of negative RMB 56.37 million[88]. Financial Reporting and Accounting Policies - The financial statements of the group are prepared based on the going concern assumption and comply with the relevant accounting standards, reflecting the financial position as of June 30, 2021, and the operating results for the first half of 2021[102]. - The accounting period for the group is aligned with the calendar year, running from January 1 to December 31[104]. - The group uses Renminbi (RMB) as its functional currency for accounting purposes, reflecting the primary economic environment in which it operates[106]. - The company has not reported any changes in accounting policies or corrections of prior period errors during the first half of 2021[95].

Financial Performance - The company reported a significant increase in revenue, achieving a total of 40.61% from H shareholders and 15.20% from other domestic shareholders[20]. - The consolidated income statement reveals a robust financial performance, with key metrics indicating a healthy profit margin[3]. - Revenue from principal business was RMB 11,004,132,335, representing an increase of approximately 4.3% compared to 2019[26]. - Gross profit was RMB 1,291,939,661, representing a decrease of approximately 9.0% compared to 2019[26]. - Gross profit margin was approximately 11.7%, a decrease of approximately 1.7% from 13.4% in 2019[26]. - Total profit was RMB 165,878,731, representing a decrease of approximately 7.2% compared to 2019[26]. - Profit attributable to shareholders of the parent company was RMB 56,304,490, an increase of approximately 6.4% compared to 2019[26]. - Basic earnings per share was RMB 0.14, compared to RMB 0.13 in 2019[26]. - Proposed final dividend per share was RMB 0.10, up from RMB 0.08 in 2019[26]. - The net profit attributable to shareholders of the parent company was RMB 56,304,000, with a net profit margin of 0.5%[95]. - The net profit attributable to shareholders of the parent company increased by approximately 6.4% from RMB52,935,436 in 2019 to RMB56,304,490 in 2020[124]. Market Strategy and Outlook - The management discussion and analysis section highlights a focus on expanding market presence and enhancing product offerings[3]. - Future outlook indicates a commitment to new product development and technological advancements to drive growth[3]. - The company plans to explore strategic acquisitions to bolster its market position and operational capabilities[3]. - The Group plans to focus on new consumption trends such as customization and quality, and optimize supply chain management to maintain a sustainable competitive advantage[30]. - The Group anticipates a resilient and vigorous Chinese consumer market in 2021, despite uncertainties from the COVID-19 epidemic[179]. - The Group will focus on improving commodity efficiency and service capabilities, optimizing new product introduction mechanisms, and enhancing its own brand development[183]. - The Group aims to reduce out-of-stock situations in stores by expanding automatic replenishment of daily products[183]. - The Group plans to strengthen the management of the fresh product supply chain through direct sourcing and bidding mechanisms for key commodities[183]. - The Group will deepen cooperation with high-quality overseas suppliers to enhance brand concentration and cooperation depth in the wholesale business[184]. Customer Engagement and Sales Performance - User data shows a steady increase in customer engagement, reflecting a positive trend in market demand[3]. - The Group's online sales increased by approximately 40.7% year-on-year during the Reporting Period, driven by the shift to online shopping due to the pandemic[58]. - Same-store sales increased by approximately 5.22% during the Reporting Period, driven by a shift in consumer behavior towards home cooking and a surge in online shopping demand[75]. - The sales of essential commodities such as meat, eggs, and vegetables saw significant increases during the Reporting Period due to changes in consumer purchasing behavior[75]. Corporate Governance and Management - The company aims to enhance its corporate governance practices to ensure transparency and accountability[3]. - The board of directors emphasizes the importance of environmental, social, and governance (ESG) initiatives in future strategies[3]. - The Group recognizes the importance of a robust governance framework to drive sustainable development and enhance corporate governance quality[189]. - The Board is collectively responsible for safeguarding the best interest of the Group and is accountable to shareholders[194]. - The Group has adopted a code of conduct for directors' securities transactions, ensuring compliance with required standards[192]. - The board of directors was re-elected for a three-year term ending at the 2021 annual general meeting, including four executive directors and three independent non-executive directors[199]. - Mr. Shang Yongtian resigned as an executive director due to work adjustments, and Mr. Li Shenlin was appointed as the new executive director[199]. - The current board consists of four executive directors, two non-executive directors, and three independent non-executive directors, with Mr. Li Jianwen serving as the chairman[199]. Operational Efficiency and Logistics - The Group's logistics and inventory systems were optimized to support the increased demand for home delivery services[58]. - The logistics distribution efficiency was improved through process optimization at two distribution centers, significantly reducing equipment idling rates and increasing sorting efficiency[68]. - The Group continued to enhance its logistics capabilities, including the orderly installation of various equipment for the Fangshan automated storage and retrieval system logistics project[84]. - The second phase of the Fangshan Automated Storage and Retrieval System logistic project is underway to build a modern logistics demonstration base[184]. Challenges and Responses - In 2020, the Group maintained stable prices and ensured the supply of essential goods during the COVID-19 pandemic, receiving recognition from the government and citizens of Beijing for its contributions[41]. - The Group's proactive measures during the pandemic included strict product price management and quality control to ensure the safety and availability of essential goods[41]. - The Group implemented strict food safety management measures during the epidemic, including comprehensive disinfection and regular nucleic acid testing for employees[63]. - The Group's management level was further improved, with a focus on expanding cross-border business and building overseas supply chains to consolidate market share[80]. Financial Position and Assets - As of December 31, 2020, the Group had non-current assets of RMB3,172,651,010 and non-current liabilities of RMB1,378,530,626[126]. - Current assets amounted to RMB4,895,980,459, with cash and cash equivalents of RMB1,032,858,751[126]. - The Group's gearing ratio as of December 31, 2020, was approximately 72.9%, lower than 74.3% as of December 31, 2019[130]. - The Group had bank loans totaling RMB2,334,237,881, with interest rates ranging from 2.5% to 4.75%[127]. - As of December 31, 2020, the Group's total liabilities to total assets ratio was approximately 72.9%, down from 74.3% as of December 31, 2019, primarily due to a reduction in interest-bearing liabilities[131]. Legal and Compliance Matters - The Group has filed a lawsuit against a Minority Shareholder for the return of corporate documents and books, with the first instance judgment dismissing the claims in October 2020[161]. - The Group plans to appeal the dismissal and expects the second instance trial to be held no later than the end of 2021[162]. - The Audit Committee supports the Management's view on the Qualified Opinion and emphasizes the need for continued efforts to address it[167].

北京 京 宮 宮 隆 武 中 道 道 ， BEIJING JINGKELONG COMPANY LIMITED (於 中 韋 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司) (股份代號 : 814) l 2h *6 EIRER 12 20 202 中 期 報 告 | --- | --- | |----------------------------|--------| | 目錄 | | | | 頁碼 | | 公司資料 2-3 | | | 財務摘要 4 | | | 管理層討論及分析 5-14 | | | 其他資料 15-18 | | | 審閱報告 19-20 | | | 合併資產負債表 21-22 | | | 公司資產負債表 23-24 | | | 合併利潤表 25-26 | | | 公司利潤表 27 | | | 合併現金流量表 28-29 | | | 公司現金流量表 30-31 | | | 合併股東權益變動表 | 32-33 | | 公司股東權益變動表 | 34-35 | | 2020 年 1-6 月財務報表附註 | 36-112 | 公司資料 | --- | --- | |-------- ...

| --- | --- | --- | |-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|-------| | | | | | | | | | | | | | | BEIJING JINGKELONG COMPANY LIMIT (a joint stock limited company incorporated in the People's Republic of China) (於中華人民共和國註冊成立的股份有限公司) | | Stock Code 股份代號: 0814 leg galdi 回 3 l -1 0 ANNUAL REPORT 2019 年報 Contents 目錄 Corporate Information 2-5 公司資料 Group Structure 6 集團架構 Chairman's Statement ...

Financial Performance - The company's main business revenue for the six months ended June 30, 2019, was approximately RMB 5,324,902,003, an increase of about 3.6% compared to the same period last year[9]. - Gross profit was approximately RMB 776,454,443, representing an increase of about 5.2% year-on-year[10]. - Total profit amounted to approximately RMB 83,826,542, which is an increase of about 6.4% compared to the previous year[11]. - Net profit attributable to the parent company was approximately RMB 30,133,697, reflecting a year-on-year increase of about 3.8%[12]. - Retail business revenue decreased by approximately 5.9% to RMB 2,109,605, primarily due to a 5.03% decline in same-store sales and increased promotional activities[27]. - The wholesale business achieved a main operating revenue of RMB 3,199,323, reflecting an 11.3% increase compared to the previous year[35]. - The gross margin for the wholesale business improved to 11.8%, up by 0.5 percentage points from the previous year[35]. - The company reported a total debt of RMB 2,164,344,991, with a debt-to-asset ratio of approximately 74.2%, slightly higher than 72.6% from the previous year[45]. - The company’s employee costs totaled RMB 401,697,284, reflecting an increase from RMB 396,064,492 in the previous year[48]. - The company reported a financial expense of RMB 99,895,782, an increase from RMB 87,955,119 in the previous year, reflecting a rise of 9.93%[83]. - Investment income decreased significantly to RMB 1,222,315 from RMB 11,891,593, indicating a decline of 89.76%[83]. - The company’s total profit for the first half of 2019 was RMB 83,826,542, compared to RMB 78,773,847 in the same period of 2018, marking an increase of 6.01%[83]. - The company experienced a net decrease in total equity of RMB 45,477,668 during the reporting period[98]. Business Operations - The company opened 8 new "Jingjie" community fresh convenience stores, bringing the total to 30 by the end of June 2019[15]. - The company is actively promoting the integration of online and offline sales channels, with a new app launched to enhance customer shopping experience[19]. - The company continues to implement a direct sourcing strategy for fresh products, focusing on health, green, and convenient offerings[18]. - The company is enhancing its product innovation through a mechanism for evaluating proprietary and customized products, leveraging big data for market analysis[17]. - The company is expanding its community service offerings in stores, including laundry and mobile repair services, to increase customer engagement[15]. - The company is increasing the number of stores that offer pharmaceutical products as part of its convenience store pilot program[15]. - The group has actively expanded its brand resources by introducing new domestic and international brands, enhancing its product offerings[31]. - The logistics system has been optimized, improving resource utilization and increasing the scale of third-party logistics operations[32]. - The group has implemented various marketing strategies, including a large promotional event for its 25th anniversary, enhancing customer engagement[22]. - The company plans to accelerate new product development and enhance the fresh food supply chain to meet consumer demand in the second half of 2019[51]. - The company aims to strengthen cooperation with upstream suppliers and enhance its own brand development in the wholesale business[51]. Financial Position - The company’s current assets amounted to RMB 4,934,587,968, with cash and cash equivalents at RMB 704,959,975[44]. - Total current assets amounted to RMB 4,934,587,968, a decrease from RMB 5,410,195,756 year-over-year[72]. - Cash and cash equivalents were reported at RMB 809,850,644, down from RMB 1,146,910,207[72]. - Accounts receivable decreased to RMB 1,316,816,263 from RMB 1,490,822,972, indicating a reduction of approximately 11.6%[72]. - Total non-current assets reached RMB 3,322,471,567, compared to RMB 2,277,604,072 in the previous year, reflecting a significant increase[75]. - Total liabilities amounted to RMB 6,125,537,498, compared to RMB 5,510,800,123, showing an increase of approximately 11.1%[75]. - Shareholders' equity totaled RMB 2,131,522,037, a decrease from RMB 2,176,999,705, indicating a decline of about 2.1%[75]. - The company reported a total asset value of RMB 8,257,059,535, up from RMB 7,687,799,828, representing an increase of approximately 7.4%[75]. - The company’s total liabilities were RMB 1,276,095,999, reflecting a manageable debt level[98]. Shareholder Information - As of June 30, 2019, the company had a total of 2,022,579 shares held by Li Jianwen, representing approximately 0.88% of the issued domestic shares and 0.49% of the total issued share capital[58]. - The largest shareholder, Beijing Chaoyang Sub-Food Company, held 167,409,808 shares, accounting for approximately 72.77% of the issued domestic shares and 40.61% of the total issued share capital[61]. - China Galaxy International Asset Management (Hong Kong) Co., Limited held 18,080,000 H shares, representing approximately 9.93% of the issued H shares and 4.39% of the total issued share capital[64]. - China Galaxy International SPC held 16,690,000 H shares, accounting for approximately 9.16% of the issued H shares and 4.05% of the total issued share capital[64]. - The company’s total issued share capital includes both domestic and H shares, with significant holdings concentrated among a few major shareholders[61][64]. Compliance and Governance - The financial statements were reviewed and found to be in accordance with the accounting standards, reflecting the company's financial position as of June 30, 2019[70]. - The company reported no significant misstatements in its financial statements during the review process[70]. - The review was conducted in accordance with the Chinese Certified Public Accountant Review Standards, providing limited assurance on the financial statements[70]. - The report was issued by Ruihua Certified Public Accountants, confirming the accuracy of the financial statements as of June 30, 2019[70]. - The financial report was approved by the board of directors on August 23, 2019, reflecting timely governance practices[112]. - The company’s financial statements are prepared in accordance with the relevant accounting standards, ensuring transparency and compliance[113]. Accounting Policies - The group uses Renminbi as its functional currency for accounting purposes[3]. - The scope of consolidated financial statements is determined based on control, including all subsidiaries controlled by the company[121]. - The financial statements of subsidiaries with different accounting policies or periods are adjusted to align with the company's policies[122]. - The group recognizes revenue from sales of goods when the customer obtains control of the goods and the group has the right to receive payment[194]. - Retail sales revenue is recognized when the goods are sold to consumers and the group receives payment or the right to collect payment[198]. - For wholesale sales, revenue is recognized when the goods are dispatched and accepted by the customer, and the group obtains payment rights[198]. - The group conducts impairment tests on long-term assets, including fixed assets and intangible assets, to determine if their recoverable amount is less than their carrying value[188]. - Impairment losses are recognized when the recoverable amount of an asset is lower than its carrying value, and these losses cannot be reversed in future periods[191].

Business Strategy and Innovation - In 2018, the Group focused on data mining and analysis, optimizing product categories, and planning marketing strategies through big data [28]. - The Group accelerated the innovation of its business, expanding community live and fresh produce convenience stores [28]. - The Group emphasized frequently purchased and inelastic fresh products to enhance customer convenience while introducing new products [28]. - The Group pursued online and offline integration development opportunities, enriching online product coverage and promoting online business growth [28]. - New types of items such as self-service cashiers and electronic price tags were introduced to improve shopping efficiency [28]. - The Group's strategies demonstrated a consolidation of endogenous growth capacity by adapting to changes in consumer demand and consumption habits [28]. - The Group's management focused on continuous standardization, specialization, and simplified management [28]. - The Group plans to enhance online and offline integration through advanced technologies such as mobile Internet and big data in 2019 [33]. - The Group aims to improve market perception sensitivity and adapt to new consumer demands through the upgrading of procurement and logistics systems [38]. - The Group will continue to expand its low-temperature refrigeration business to increase market share in the cold chain [38]. - The Group transformed and upgraded 11 stores, including 3 supermarkets and 8 convenience stores, during the Reporting Period [49]. - The Group opened 15 convenience stores throughout the year, comprising 12 directly-operated and 3 franchised stores [51]. - The Group increased the introduction of customized, buyout, and self-owned products to enhance product effectiveness and efficiency [57]. - The Group launched various promotional activities, including eight exclusive festivals, to attract customers and drive sales growth [62]. - The Group opened two 24-hour self-service stores to better meet consumer needs for convenience [48]. - The Group introduced a pilot program for drug retail in convenience stores to diversify product offerings [48]. - The Group's efforts in optimizing the product structure and enhancing the competitiveness of live and fresh produce improved quality and price competitiveness [57]. - The Group is exploring new retail business models and expanding cooperation with major e-commerce platforms [83]. Financial Performance - Revenue from principal business was RMB10,445,548,498, representing a decrease of approximately 3.2% compared to 2017 [31]. - Gross profit was RMB1,514,844,302, representing a decrease of approximately 1.3% compared to 2017 [31]. - Gross profit margin increased to approximately 14.5%, up by 0.3% from 14.2% in 2017 [31]. - Total profit was RMB177,589,578, representing an increase of approximately 19.8% compared to 2017 [31]. - Profit attributable to shareholders of the parent company was RMB63,312,317, representing an increase of approximately 33.3% compared to 2017 [31]. - Basic earnings per share increased to RMB0.15 from RMB0.12 in 2017 [31]. - The retail principal operating income decreased by approximately 5.8%, primarily due to a same-store sales decline of about 0.44% and the closure of 12 stores in 2018 [76][77]. - The gross profit margin for directly-operated retail business increased slightly from 16.3% in 2017 to 16.4% in the Reporting Period, attributed to the optimization of product composition and closure of unprofitable stores [79][80]. - The Group's hypermarkets reported a revenue of RMB 1,182,633, a decrease of 5.5% compared to RMB 1,251,443 in 2017 [69]. - Supermarkets generated revenue of RMB 2,667,112, down 5.6% from RMB 2,826,421 in the previous year [69]. - Convenience stores experienced a revenue increase of 4.0%, reaching RMB 363,132 compared to RMB 349,287 in 2017 [69]. - The wholesale principal operating income recognized by Chaopi Group decreased by approximately 1.1% to RMB 6,157,647,000 compared to RMB 6,227,140,000 in the previous year [94]. - The gross profit margin for the wholesale business increased by approximately 0.3 percentage points to 11.7% from 11.4% in the previous year [95]. - The Group's principal operating income decreased by approximately 3.2%, with retail principal operating income down by approximately 5.8% and wholesale principal operating income down by approximately 1.1% [97]. - Other operating income increased by approximately 3.0% from RMB 1,169,510,105 in 2017 to RMB 1,204,735,274 during the Reporting Period [107]. - Selling expenses increased by approximately 1.3% to RMB 2,075,079,026, primarily due to increased advertisement and promotional fees [109]. - Net profit attributable to shareholders of the parent company increased by approximately 33.3% from RMB 47,485,004 in 2017 to RMB 63,312,317 in 2018 [24]. - Basic earnings per share for 2018 were approximately RMB 0.15, up from RMB 0.12 in 2017, reflecting the increase in net profit [28]. Corporate Governance - The Group recognizes the importance of a robust governance framework to drive sustainable development and has adopted the principles of the Corporate Governance Code [156]. - The Company has complied with all code provisions of the Corporate Governance Code during the Reporting Period, except for the directors' retirement by rotation [158]. - The Articles of Association stipulate that each director is elected for a term of not more than three years, but currently lacks a provision for retirement by rotation, deviating from the Corporate Governance Code [159]. - The Board is collectively responsible for safeguarding the best interest of the Group and is accountable to shareholders, overseeing strategies, acquisitions, and financial results [164]. - The Board consists of four executive directors, two non-executive directors, and three independent non-executive directors, with Mr. Li Jianwen serving as the chairman [169]. - The independent non-executive director, Mr. Choi Onward, receives a fixed director's fee of RMB154,758 per annum, while other independent directors do not receive any remuneration [171]. - The Company has adopted a code of conduct for directors' securities transactions, ensuring compliance with the required standards throughout the Reporting Period [162]. - The remuneration of executive directors includes a fixed annual basic salary and a performance-based bonus, subject to approval by the remuneration committee and the Board [171]. - The Company’s governance practices aim to enhance transparency and fairness in operations, aligning with the principles of the Corporate Governance Code [160]. - The Board is responsible for the preparation of financial accounts and the implementation of internal controls and risk management procedures [164]. - The Company has made efforts to improve corporate governance standards in line with the Hong Kong Stock Exchange's requirements [162]. - The Company has appointed three independent non-executive directors, fulfilling the requirement of having at least one-third of the Board composed of independent members [172]. - Each independent non-executive director has confirmed their independence annually, in compliance with Rule 3.13 of the Listing Rules [172]. - The Company has arranged appropriate liability insurance for its directors to cover potential legal actions arising from their corporate activities [181]. - During the Reporting Period, four Board meetings were held, with all executive directors attending all meetings [184]. - Two general meetings were conducted, with all executive directors attending both meetings [190]. - All directors participated in continuous professional development activities, including in-house training on corporate governance and regulations [199]. - The fixed annual remuneration for independent non-executive directors is RMB 41,850 before tax [173]. - The Company has ensured that all directors have sufficient experience to fulfill their duties effectively [180]. - The Company has provided reasonable notice periods and relevant information to all directors for Board meetings [174]. - Ms. Zhang Yan was appointed as a non-executive director effective from October 26, 2018 [185]. Human Resources and Employee Development - The total staff costs for the Reporting Period amounted to approximately RMB 748,945,515, compared to RMB 730,286,237 in 2017 [135]. - As of December 31, 2018, the Group had 6,010 employees, a decrease from 6,842 employees in 2017, with total employee costs amounting to approximately RMB 748,945,515, up from RMB 730,286,237 in 2017 [140]. - The Group organized 62 training sessions during the reporting period, with over 4,900 participants, to enhance employee skills and professional knowledge [141]. Financial Position - As of December 31, 2018, the Group had current assets of RMB 5,410,195,756, with cash and cash equivalents amounting to RMB 1,014,227,924 [31]. - The Group's total debt as of December 31, 2018, was RMB 2,757,649,469, with interest rates ranging from 4.35% to 5.99% per annum [31]. - The Group's gearing ratio was approximately 71.7% as of December 31, 2018, slightly lower than 72.1% at the end of 2017 [31].