Financial Performance - Revenue for the year ended December 31, 2023, was RMB 11,514,983 thousand, a decrease of 18.4% compared to RMB 14,138,320 thousand in 2022[3] - Gross profit for the same period was RMB 7,033,253 thousand, down from RMB 8,844,699 thousand, resulting in a gross margin of 61.1% compared to 62.6% in 2022[3] - The company reported a net loss of RMB 2,570,418 thousand for 2023, contrasting with a profit of RMB 816,884 thousand in 2022, leading to a loss attributable to owners of the company of RMB 2,412,713 thousand[3][5] - Other income for 2023 was RMB 319,480 thousand, down from RMB 447,559 thousand in 2022[5] - The company incurred a significant increase in expected credit loss impairment, amounting to RMB 1,303,571 thousand compared to RMB 385,205 thousand in the previous year[5] - The company’s basic and diluted loss per share for 2023 was RMB (0.55), compared to earnings of RMB 0.16 per share in 2022[6] - The company reported a net loss of RMB 2,570,418 thousand for the year ended December 31, 2023[12] - The company’s total equity was RMB 55,143,135 thousand, down from RMB 58,002,716 thousand in 2022[12] - The company’s bank and other borrowings decreased to RMB 19,713,654 thousand from RMB 24,508,990 thousand in the previous year[12] - The company’s contract liabilities decreased to RMB 1,137,850 thousand from RMB 1,839,930 thousand in 2022[12] Assets and Liabilities - Total assets as of December 31, 2023, were RMB 124,186,609 thousand, a decline from RMB 129,482,459 thousand in 2022[7] - The company’s investment properties decreased to RMB 98,480,200 thousand from RMB 100,022,185 thousand year-over-year[7] - As of December 31, 2023, the company's net current liabilities amounted to RMB 18,607,903 thousand, an increase from RMB 14,210,208 thousand in 2022[12] - Total assets minus current liabilities were RMB 95,595,068 thousand, down from RMB 104,120,867 thousand in 2022[12] - Non-current liabilities totaled RMB 40,451,933 thousand, a decrease from 46,118,151 thousand in the previous year[12] - The company’s current liabilities increased to RMB 28,591,541 thousand from RMB 25,361,592 thousand in 2022[12] Operational Metrics - The number of self-operated malls decreased to 87 from 94, with a self-operated mall average occupancy rate of 82.80%, down from 85.20% in the previous year[4] - The average rental rate for managed malls was 85.70%, a decrease from 86.70% in 2022[4] - The segment profit for the self-owned/leased malls was RMB 3,381,871 thousand, while the construction and design segment reported a loss of RMB (98,740) thousand[19] - The group reported total revenue from external customers of RMB 11,514,983 thousand for the year ended December 31, 2023[19] Strategic Initiatives - The company plans to expand its market presence in mainland China, with a focus on enhancing service offerings and product sales in the home decoration sector[22] - The company is exploring strategic acquisitions to bolster its market position and diversify its revenue streams[22] - The company launched the M+ high-end design center in March 2023, aiming to create a comprehensive home ecosystem that integrates design, materials, and brands[46] - The company has established strategic partnerships in the new energy vehicle sector, with over 10,000 square meters dedicated to EV brands like Tesla and BYD[45] Economic Context - In 2023, China's GDP grew by 5.2%, an acceleration of 2.2 percentage points compared to 2022, outperforming the global growth estimate of around 3%[41] - The per capita disposable income of residents increased by 6.3% nominally, with a real growth of 6.1% after adjusting for price factors[41] - The total retail sales of consumer goods increased by 7.2% year-on-year, with retail sales of goods growing by 5.8%[41] Employee and Administrative Costs - Total employee costs amounted to RMB 2,584,844 thousand in 2023, compared to RMB 3,016,422 thousand in 2022, reflecting a decrease of approximately 14.3%[29] - The company’s administrative expenses were RMB 42,764 thousand, and other income was RMB 319,480 thousand[18] Investment and Financing - The company has engaged in discussions with banks and financial institutions regarding financing matters to improve liquidity[12] - The company continues to implement plans to enhance its financial position, including utilizing unused bank loan facilities[12] - The total amount raised from the A-share issuance was RMB 3,222,450,000, with net proceeds amounting to RMB 3,050,007,849 after deducting issuance costs[79] - The total amount raised from the private placement of shares was RMB 3,701,299.9 thousand, with a net amount of RMB 3,678,363.8 thousand after deducting issuance costs of RMB 22,936.1 thousand[82] Compliance and Governance - The company has complied with the Corporate Governance Code, with adjustments made to separate the roles of Chairman and CEO as of August 15, 2023[75] - The company has confirmed compliance with the Standard Code of Conduct for securities trading by all directors and supervisors for the year ending December 31, 2023[76]

Financial Performance - The company's operating revenue for the nine months ended September 30, 2023, was RMB 8,675,386,414.22, a decrease of 17.3% compared to RMB 10,483,872,179.16 in the same period of 2022[2]. - The net profit attributable to the owners of the parent company for the same period was a loss of RMB 560,527,154.92, a decline of 142.53% from a profit of RMB 1,317,956,964.82 in 2022[3]. - The total comprehensive income attributable to the owners of the parent company was a loss of RMB 783,580,901.15, compared to a profit of RMB 732,337,805.19 in the same period last year[3]. - The company anticipates a net profit attributable to the owners of the parent company for the first three quarters of 2023 to be between RMB -600 million and RMB -500 million, a decrease of 137.9% to 145.5% year-on-year[3]. Financial Costs and Expenses - The company reported a significant increase in financial costs, totaling RMB 1,878,704,823.68, compared to RMB 1,771,406,018.09 in the previous year, reflecting a rise of 6.05%[2]. - Research and development expenses decreased to RMB 13,771,845.42 from RMB 34,414,109.82, indicating a reduction of 60.0%[2]. - The company reported a decrease in interest income to RMB 124,654,518.65 from RMB 174,617,731.89, a decline of 28.6%[2]. - The company recognized impairment losses of over RMB 130 million for entrusted management business and over RMB 210 million for construction-related business due to slow recovery in the real estate sector[6]. - The company made an impairment provision of approximately RMB 166 million for long-term equity investments with poor operating conditions[6]. - The company plans to adjust its future operational direction for high-end imported furniture retail business and intends to conduct a bulk clearance of existing inventory, leading to an impairment loss of nearly RMB 100 million[6]. Cash Flow and Assets - The net cash flow from operating activities for the nine months ended September 30, 2023, was RMB 2.77 billion, down from RMB 3.98 billion in the same period of 2022, representing a decline of approximately 30.4%[8]. - The company reported a net increase in cash and cash equivalents of approximately RMB 510 million for the period, compared to a decrease of approximately RMB 906 million in the same period of 2022[8]. - As of September 30, 2023, the total current assets amounted to approximately RMB 11.70 billion, an increase from RMB 11.45 billion at the end of 2022[9]. Liabilities and Equity - The total liabilities as of September 30, 2023, were approximately RMB 70.21 billion, a decrease from RMB 71.12 billion at the end of 2022[13]. - As of September 30, 2023, the total equity attributable to shareholders of the parent company is RMB 52,492,976,026.81, a decrease from RMB 53,547,605,431.72 as of December 31, 2022, representing a decline of approximately 1.96%[14]. - The total liabilities and equity amount to RMB 126,075,090,926.67, down from RMB 128,110,669,113.82 in the previous year, indicating a decrease of about 1.60%[14]. - The total borrowings of the group as of the reporting date stand at RMB 32,695,451,845.44[14]. - The capital reserve increased slightly to RMB 6,884,592,342.60 from RMB 6,881,596,618.59, reflecting a growth of approximately 0.02%[14]. - Other comprehensive income decreased to RMB 715,747,273.47 from RMB 1,012,724,841.48, showing a decline of about 29.3%[14]. - The retained earnings as of September 30, 2023, are RMB 38,249,175,184.77, down from RMB 39,009,822,745.68, which is a decrease of approximately 1.93%[14]. - The total equity of the group is RMB 55,861,999,814.51, a decrease from RMB 56,995,357,087.59, representing a decline of about 1.99%[14]. - The minority interest amounts to RMB 3,369,023,787.70, down from RMB 3,447,751,655.87, indicating a decrease of approximately 2.27%[14]. Operational Adjustments - The company updated its operational assessment for underperforming rental malls and decided to terminate leases, resulting in an operating expense of nearly RMB 68 million for the reporting period[8]. - The company plans to discuss rental and management fee discounts for eligible merchants to support the ongoing development of the home furnishing and building materials industry[1]. - The company experienced a decline in rental rates, impacting the valuation of investment properties and leading to a corresponding adjustment in property valuations[5]. Legal and Governance - The company reached a settlement regarding a civil lawsuit with Runliang Investment, agreeing to pay RMB 63.35 million in compensation and terminate the related cooperation agreements[8]. - The board of directors includes both executive and non-executive members, ensuring a diverse governance structure[15]. - The company emphasizes that the financial data provided is unaudited and based on internal records, cautioning shareholders and potential investors to act prudently[15]. Investment Properties - The fair value change loss of investment properties accumulated to RMB 457 million, representing an increase in loss of RMB 557 million year-on-year[5].

Financial Performance - For the six months ended June 30, 2023, the company reported operating revenue of RMB 5,659,926 thousand, a decrease of 18.6% from RMB 6,956,620 thousand in 2022[8]. - The gross profit for the same period was RMB 3,622,346 thousand, with a gross margin of 64.0%, down from 66.7% in the previous year[8]. - The profit attributable to owners of the company was RMB 128,196 thousand, representing a significant decline of 87.0% compared to RMB 982,069 thousand in 2022[8]. - The core profit attributable to owners was RMB 251,260 thousand, down 78.0% from RMB 1,143,076 thousand in the prior year, with a core profit margin of 4.4%[8][9]. - The group's operating revenue for the first half of 2023 was RMB 5,659.9 million, a decrease of 18.6% compared to RMB 6,956.6 million in the same period of 2022[18]. - The group's net profit attributable to shareholders was RMB 128.2 million, an 86.9% decrease from RMB 982.1 million in the same period last year[27]. - Core net profit attributable to shareholders was RMB 251.3 million, down 78.0% from RMB 1,143.1 million in 2022[27]. - The company reported a net loss of RMB 241,926 thousand from other gains and losses, compared to a loss of RMB 31,143 thousand in the previous year[96]. - The company reported a pre-tax profit of RMB 288,200 thousand, significantly lower than RMB 1,721,922 thousand in the prior year[96]. - Net profit for the period was RMB 113,449 thousand, a decrease of 88.2% from RMB 959,747 thousand in the same period last year[96]. - Total comprehensive income for the six months ended June 30, 2023, was RMB 86,003 thousand, a decrease of 86.2% compared to RMB 624,974 thousand in the same period of 2022[97]. - The total profit attributable to the owners of the company for the six months ended June 30, 2023, was RMB 128,196 thousand, down 87.0% from RMB 982,069 thousand in the same period of 2022[97]. - Basic and diluted earnings per share for the six months ended June 30, 2023, were RMB 0.03, a decline of 86.9% compared to RMB 0.23 in the same period of 2022[97]. Revenue and Expenses - Rental income from self-owned/leased malls decreased from RMB 4,153.4 million in 2022 to RMB 3,376.9 million in 2023, reflecting a decline due to lower occupancy rates and rent exemptions[18]. - The group's sales and distribution expenses increased to RMB 606.2 million, accounting for 10.7% of operating revenue, compared to 8.6% in the previous year[24]. - Administrative expenses rose to RMB 905.8 million, representing 16.0% of operating revenue, up from 12.0% in 2022[25]. - The company incurred a financial cost of RMB 1,258.0 million, with interest expenses remaining stable at RMB 1,426.6 million[26]. - The total operating expenses, including selling, administrative, and R&D expenses, amounted to RMB 1,521,397 thousand, an increase from RMB 1,455,962 thousand in 2022[96]. - The financial cost for the first half of 2023 was RMB 1,258,002 thousand, which is a significant expense impacting overall profitability[127]. Assets and Liabilities - The group's accounts receivable amounted to RMB 1,654.9 million, a decrease of RMB 307.3 million compared to the end of 2022, primarily due to a decline in operating revenue[29]. - The group's cash and cash equivalents decreased to RMB 2,498.4 million, down RMB 108.9 million from RMB 2,626.3 million at the end of 2022[32]. - Total debt amounted to RMB 33,949.0 million, with bank and other borrowings at RMB 31,526.4 million and bonds at RMB 1,821.4 million[35]. - The debt-to-asset ratio was 54.8%, slightly down from 55.2% at the end of 2022[38]. - The group's non-current assets totaled RMB 116,699,287 thousand as of June 30, 2023, a decrease of 1.4% from RMB 118,331,075 thousand as of December 31, 2022[98]. - Current assets amounted to RMB 10,948,519 thousand as of June 30, 2023, down 1.8% from RMB 11,151,384 thousand as of December 31, 2022[98]. - Total assets decreased to RMB 127,647,806 thousand as of June 30, 2023, from RMB 129,482,459 thousand as of December 31, 2022, reflecting a decline of 1.4%[98]. - Total current liabilities were RMB 24,554,106 thousand as of June 30, 2023, a decrease of 3.2% from RMB 25,361,592 thousand as of December 31, 2022[100]. - The company reported a net asset value of RMB 57,742,942 thousand as of June 30, 2023, down from RMB 58,002,716 thousand as of December 31, 2022[101]. Market and Strategic Initiatives - The company is actively implementing a "heavy operation" strategy, focusing on expanding categories such as smart appliances and dining, and exploring new retail models[14]. - The company aims to enhance its online and offline integrated retail network, leveraging initiatives like "Gold Medal Sales Live Broadcast Plan" and "Same City Station Product Aggregation" to boost performance[14]. - The overall market for retail consumption in China showed a recovery, with a year-on-year growth of 8.2% in the first half of 2023, indicating potential for future growth in the home decoration and furniture industry[16]. - The company is committed to optimizing mall category layouts and expanding its presence in new hot-selling brands to drive recovery in performance[14]. - The company has increased its restaurant category coverage to 44% nationwide and 85% in its mall format, collaborating with major brands like McDonald's and Starbucks[55]. - The company has implemented a digital upgrade in its core malls, focusing on product, user, and content operations, resulting in a 400%+ increase in traffic from live streaming events[57]. - The company is actively pursuing strategic partnerships and collaborations to expand its market presence and operational capabilities[54]. - The company aims to become China's leading and most professional "home decoration and furniture industry omnichannel platform service provider" as part of its development goal[59]. Corporate Governance and Shareholder Information - The company has adhered to the corporate governance principles and has maintained high standards to protect shareholder rights and enhance corporate value[61]. - The company has complied with all applicable provisions of the Corporate Governance Code, except for a deviation regarding the roles of the chairman and CEO[62]. - The audit committee, consisting of independent non-executive directors, has reviewed and confirmed the company's interim report for the six months ending June 30, 2023[66]. - The company completed the election of the fifth board of directors and supervisory board, with Mr. Zheng Yongda as the chairman of the board[69]. - As of June 30, 2023, the total number of issued shares was 4,354,732,673, including 3,613,447,039 A shares and 741,285,634 H shares[73]. - The company did not purchase, sell, or redeem any listed securities during the six months ended June 30, 2023[72]. - The company did not recommend any dividend payment for the six months ending June 30, 2023[86]. - The company declared dividends amounting to RMB 348,295,000 during the reporting period, compared to RMB 435,473,000 in the previous year[103]. Employee and Operational Metrics - The group employed 15,977 staff, a decrease from 20,526 staff in the same period last year, with total salary expenses of RMB 1,354.4 million[45]. - Total employee costs for the period were RMB 1,356,070 thousand, a decrease of 6.4% from RMB 1,448,976 thousand in 2022[151]. - The company has implemented risk management measures to address foreign exchange risks, which are not expected to significantly impact operational performance[44]. - The company has maintained a cash reserve and appropriate credit lines to meet liquidity needs[42].

Financial Performance - Revenue for the first half of 2023 was RMB 5,659,926, a decrease of 18.6% compared to RMB 6,956,620 in the same period of 2022[2] - Gross profit for the first half of 2023 was RMB 3,622,346, with a gross margin of 64.0%, down from 66.7% in the first half of 2022[2] - Profit attributable to owners of the company was RMB 128,196, representing a significant decline of 87.0% from RMB 982,069 in the same period last year[2] - Core profit attributable to owners was RMB 251,260, down 78.0% from RMB 1,143,076 in the first half of 2022, with a core profit margin of 4.4%[2][3] - Other income for the first half of 2023 was RMB 146,906, down from RMB 182,685 in the same period of 2022[6] - The company’s basic and diluted earnings per share were RMB 0.03, a decrease from RMB 0.23 in the first half of 2022[7] - The company reported a net loss from changes in the fair value of investment properties of RMB 296,248, compared to a loss of RMB 226,429 in the previous year[6] - The company reported a total profit attributable to owners of RMB 128.2 million, an 86.9% decrease from RMB 982.1 million in the same period of 2022[53] - Basic and diluted earnings per share for the period were RMB 0.03, consistent with the previous year[16] - The company incurred a total income tax expense of RMB 174,751 thousand for the six months ended June 30, 2023, down from RMB 762,175 thousand in the same period of 2022, representing a decrease of about 77%[33] Assets and Liabilities - Total assets as of June 30, 2023, were RMB 127,647,806, a decrease from RMB 129,482,459 as of December 31, 2022[8] - As of June 30, 2023, total current liabilities decreased to RMB 24,554,106 thousand from RMB 25,361,592 thousand as of December 31, 2022, representing a reduction of approximately 3.2%[10] - Non-current liabilities totaled RMB 45,350,758 thousand as of June 30, 2023, down from RMB 46,118,151 thousand as of December 31, 2022, reflecting a decrease of about 1.7%[10] - Shareholders' equity as of June 30, 2023, was RMB 57,742,942 thousand, slightly down from RMB 58,002,716 thousand as of December 31, 2022, showing a decrease of approximately 0.4%[11] - The company reported a decrease in trade payables and other payables to RMB 12,614,753 thousand from RMB 12,996,449 thousand, a decline of about 2.9%[10] - The company's total liabilities as of June 30, 2023, were RMB 13,148,671 thousand, a slight decrease from RMB 13,552,690 thousand as of December 31, 2022[40] Operational Metrics - The number of self-operated malls decreased to 91 from 94, while the average occupancy rate improved to 85.7% from 85.2%[5] - The total number of malls operated decreased to 372 from 378, with a total operating area of 22,203,217 square meters[5] - The average occupancy rate for self-managed malls was 85.7%, while for managed malls it was 87.7%[67] - The company organized three major promotional events in the first half of 2023, resulting in significant consumer engagement and brand collaboration[70] - Customer satisfaction for home service activities reached 98%, with over 170,000 households served across 276 malls during the reporting period[74] Investment and Capital Expenditure - The company has utilized approximately 89% of the net proceeds from its A-share issuance for designated investment projects and to supplement working capital as of June 30, 2023[81] - The total amount raised from the A-share issuance was RMB 3,222,450,000, with a net amount of RMB 3,050,008,000 after deducting issuance costs[82] - The company has fully invested in several projects, including the Tianjin Beichen Mall and Hohhot Yuquan Mall, with total planned investments of RMB 245,137,000 and RMB 76,825,000 respectively[83] - The total planned investment across all projects is RMB 3.68 billion, with RMB 1.83 billion invested to date[87] Strategic Initiatives - The company is actively exploring new strategies for market expansion and product development, although specific details were not disclosed in the earnings call[21] - The company aims to solidify its market leadership by expanding its mall network and brand portfolio under a "light asset, heavy operation" business model[75] - Future plans include enhancing the full-cycle service for home decoration consumption and establishing a comprehensive service system[75] - The company has implemented a member system to increase customer loyalty, hosting nearly 500 member events in the first half of 2023[73] - The company is focused on digital strategies to enhance long-term competitiveness in the market[75] Governance and Compliance - The board of directors confirmed compliance with the standard code of conduct for securities trading for all directors and supervisors for the six months ending June 30, 2023[79] - The audit committee reviewed the interim results for the six months ending June 30, 2023[88] - The interim report will be published on the Hong Kong Stock Exchange and the company's website[89]

Financial Performance - In 2022, the company's revenue was RMB 14,138,320 thousand, a decrease of 8.8% from RMB 15,512,792 thousand in 2021[7]. - Gross profit for 2022 was RMB 8,844,699 thousand, down from RMB 10,160,616 thousand in 2021, reflecting a decline in gross margin[7]. - The total profit for the year was RMB 816,884 thousand, with a profit margin of 62.6%, compared to RMB 2,100,698 thousand and a margin of 65.5% in 2021[7]. - Profit attributable to owners of the company was RMB 678,566 thousand, significantly lower than RMB 1,963,619 thousand in the previous year[7]. - Basic and diluted earnings per share were RMB 0.16, down from RMB 0.49 in 2021[7]. - The company's net profit attributable to shareholders was RMB 678.6 million, a significant decline of 65.4% from RMB 1,963.6 million in 2021, with a profit margin of 4.8%[60][61]. - Core net profit increased by 6.0% to RMB 1,672.9 million from RMB 1,578.5 million in 2021, with a core profit margin of 11.8%[60][61]. - The company's operating costs decreased from RMB 5,352.2 million in 2021 to RMB 5,293.6 million in 2022, a decline of 1.1%, attributed to the reduced scale of managed mall operations and related businesses[51]. Market Presence and Operations - The company operated 94 self-managed malls and 284 managed malls, covering 223 cities across 30 provinces, municipalities, and autonomous regions in China[3]. - The total operating area of the malls managed by the company reached 22,508,291.30 square meters, providing over 36,000 brands[3]. - The company's market share in the Chinese chain home decoration and furniture mall industry was 19.0%, and 8.4% in the overall home decoration and furniture mall industry[3]. - As of December 31, 2022, the company operated 378 shopping malls, an increase from 373 in 2021, with a total operating area of 22,508,291 square meters[11]. - The average occupancy rate for self-operated malls decreased to 85.2% in 2022 from 94.1% in 2021, while the average occupancy rate for managed malls decreased to 86.7% from 91.4%[11]. - The company has expanded its presence in lower-tier cities, with 94 self-operated malls and 284 managed malls, and has established strategic partnerships with 8 home furnishing malls[13]. Strategic Initiatives - The company aims to strengthen its market leadership through a light-asset model and expand its business in lower-tier markets[3]. - The company is focusing on digital transformation and enhancing its online operations through strategic cooperation with Alibaba, particularly with the "Tmall Same City Station" initiative[16]. - The company aims to optimize its product categories and explore new market potentials, while strengthening its core online operations and customer acquisition strategies[18]. - The company is committed to a "light asset, heavy operation" strategy, focusing on operational excellence and leveraging its extensive commercial network[18]. - The company plans to continue its three-year business strategy, focusing on multi-store layouts and theme halls, while enhancing online and offline integration[18]. Economic Context - In 2022, China's GDP grew by 3.0% year-on-year, while per capita disposable income increased by 5.0% nominally[20]. - The total retail sales of consumer goods in 2022 decreased by 0.2% year-on-year, with commodity retail sales growing by 0.5%[20]. - The home furnishing retail market size declined to RMB 2.9 trillion in 2022, with a compound annual growth rate of -0.3% from 2017 to 2022[21]. - Urbanization rate in China reached 65.22% in 2022, an increase of 0.50 percentage points from the previous year[20]. - The demand for home renovation is expected to grow due to the aging of properties delivered since the 1998 housing reform[21]. Risk Management and Governance - The company has implemented risk management measures to address foreign exchange risks, including the use of forward contracts and currency swaps[81]. - The company has a strong internal risk control framework, including a dedicated financial management center and legal compliance department to ensure adherence to relevant laws and regulations[115]. - The company has a comprehensive strategy for environmental, social, and governance (ESG) risk management, with the board responsible for evaluating and determining related risks[114]. - The company has maintained compliance with environmental laws and regulations, with no significant fines or penalties imposed for violations since its operations began[115]. Employee and Talent Management - The group employed a total of 18,101 employees as of the end of the reporting period, down from 21,514 employees at the end of 2021[82]. - The company is facing risks related to talent shortages and turnover, necessitating the establishment of various talent development programs[86]. - The company is committed to providing various training opportunities to enhance employee skills and operational performance[82]. Shareholder and Dividend Information - The company proposed a dividend of RMB 0.034 per share for the end of 2022, maintaining dividend continuity despite challenges[12]. - The company's profit distribution policy mandates a cash dividend distribution of no less than 20% of the net profit available for distribution to shareholders each year, provided the company is profitable and has positive retained earnings[116]. - The board proposed a final dividend of RMB 0.034 per share for the year ended December 31, 2022, totaling RMB 148,025,387.68, with RMB 122,821,676.13 for A-share shareholders and RMB 25,203,711.56 for H-share shareholders[133]. Future Outlook - The company plans to continue its transformation towards a "light asset, heavy operation" model, expanding its home furnishing mall network in attractive cities while maintaining a leading position in first and second-tier cities[91]. - The company anticipates that the demand for home decoration and furniture will continue to grow due to rising income levels and urbanization[83]. - The company provided a positive outlook for the next quarter, projecting a revenue increase of 10% to 1.32 billion RMB[97].

Financial Performance - The group's operating revenue for the three months ended March 31, 2023, was RMB 2,616,557,956.86, a decrease of 22.5% compared to RMB 3,374,807,743.81 for the same period in 2022[2]. - The net profit attributable to the owners of the parent company for the reporting period was RMB 145,881,841.14, down 79.1% from RMB 697,952,954.57 in the same period last year[3]. - The group's financial expenses for the reporting period were RMB 526,684,902.61, down from RMB 570,674,287.07 in the same period last year, indicating a reduction of 7.7%[2]. - Research and development expenses decreased significantly to RMB 4,971,244.23 from RMB 13,629,995.02, a decline of 63.5% year-over-year[2]. - The group's investment income showed a loss of RMB 7,265,630.33, contrasting with a profit of RMB 52,430,162.93 in the same period last year[2]. - The total comprehensive income attributable to the owners of the parent company for the reporting period was RMB 204,288,064.24, compared to RMB 72,773,205.92 in the same period last year[3]. Cash Flow and Liquidity - The group's net cash flow from operating activities was RMB 1,076,288,459.82, compared to RMB 1,260,086,068.27 for the same period in 2022, reflecting a decrease of 14.5%[4]. - The group's cash and cash equivalents at the end of the reporting period were RMB 2,415,117,287.45, down from RMB 5,844,857,779.19 in the same period last year[4]. Assets and Liabilities - The total assets as of March 31, 2023, amounted to RMB 11,170,093,018.71, a slight decrease from RMB 11,453,589,462.96 at the end of 2022[5]. - The total assets as of March 31, 2023, were RMB 127,651,062,456.68, down from RMB 128,110,669,113.82 as of December 31, 2022, indicating a decrease of about 0.36%[9]. - Current liabilities totaled RMB 24,848,681,151.19 as of March 31, 2023, compared to RMB 25,361,591,834.26 as of December 31, 2022, reflecting a reduction of approximately 2.02%[7]. - The total liabilities as of March 31, 2023, were RMB 70,404,399,408.19, a decrease from RMB 71,115,312,026.23 as of December 31, 2022, indicating a decline of approximately 1.00%[8]. - The total equity attributable to shareholders as of March 31, 2023, was RMB 53,747,596,379.46, an increase from RMB 53,547,605,431.72 as of December 31, 2022, showing a growth of about 0.37%[9]. Non-Current Assets and Investments - As of March 31, 2023, total non-current assets amounted to RMB 116,480,969,437.97, a slight decrease from RMB 116,657,079,650.86 as of December 31, 2022, representing a decline of approximately 0.15%[6]. - Long-term investments decreased from RMB 3,757,062,104.96 as of December 31, 2022, to RMB 3,608,113,353.82 as of March 31, 2023, a decline of approximately 3.95%[6]. - Deferred tax assets increased from RMB 2,998,869,059.68 as of December 31, 2022, to RMB 3,127,438,276.88 as of March 31, 2023, representing an increase of about 4.31%[6]. Inventory and Retained Earnings - The group reported a decrease in inventory to RMB 284,289,763.29 from RMB 302,869,151.08, reflecting a reduction of 6.1% year-over-year[5]. - The company's retained earnings increased from RMB 39,009,822,745.68 as of December 31, 2022, to RMB 39,223,499,964.65 as of March 31, 2023, reflecting an increase of about 0.55%[9]. - The company's capital reserve decreased slightly from RMB 6,881,596,618.59 as of December 31, 2022, to RMB 6,877,299,502.09 as of March 31, 2023, a decrease of approximately 0.06%[9].

Financial Performance - Revenue for the year ended December 31, 2022, was RMB 14,138,320, a decrease of 8.8% from RMB 15,512,792 in 2021[3] - Gross profit for the same period was RMB 8,844,699, down 13.0% from RMB 10,160,616 in 2021, resulting in a gross margin of 62.6% compared to 65.5% in the previous year[3] - Total profit for the year was RMB 816,884, a significant decline of 61.0% from RMB 2,100,698 in 2021[3] - Profit attributable to owners of the company was RMB 678,566, down 65.4% from RMB 1,963,619 in 2021, with a corresponding profit margin of 4.8% compared to 12.7%[3] - Basic and diluted earnings per share were RMB 0.16, down from RMB 0.49 in 2021[3] - The company reported a net profit attributable to shareholders of RMB 678.6 million, a decline of 65.4% from RMB 1,963.6 million in 2021, resulting in a profit margin of 4.8%[66] - The company reported a core net profit of RMB 1,672.9 million, an increase of 6.0% from RMB 1,578.5 million in 2021, with a core profit margin of 11.8%[67] Assets and Liabilities - Total assets as of December 31, 2022, were RMB 129,482,459, a decrease from RMB 136,611,075 in 2021[10] - As of December 31, 2022, total current liabilities amounted to RMB 25,361,592 thousand, a decrease from RMB 32,131,539 thousand in 2021, representing a reduction of approximately 21.5%[11] - Non-current liabilities totaled RMB 46,118,151 thousand, showing a slight increase from RMB 45,900,038 thousand in 2021[11] - The net asset value of the company was RMB 58,002,716 thousand, down from RMB 58,579,498 thousand in the previous year[11] - The total equity attributable to shareholders was RMB 54,446,965 thousand, compared to RMB 54,951,294 thousand in 2021, indicating a decrease of about 0.9%[11] - The company reported a net current liability of RMB (14,210,208) thousand, improving from RMB (17,262,452) thousand in 2021[11] Operational Metrics - The number of operating malls increased to 378 as of December 31, 2022, from 373 in 2021, with a total operating area of 22,508,291 square meters[6] - The average occupancy rate for self-operated malls decreased to 85.2% from 94.1% in the previous year, while the average occupancy rate for managed malls decreased to 86.7% from 91.4%[6] - The company managed 284 commissioned malls with a total operating area of 14,138,489 square meters and an average occupancy rate of 86.7%[52] - The company operated 94 self-operated malls with a total operating area of 8,369,802 square meters and an average occupancy rate of 85.2%[51] Revenue Breakdown - Total revenue from external customers for the year ended December 31, 2022, was RMB 14,138,320 thousand, with the largest contribution from self-owned/leased malls at RMB 7,867,647 thousand[27] - Revenue from contracts with customers for the year ended December 31, 2022, was RMB 6,193,737 thousand, a decrease from RMB 7,280,385 thousand in 2021[30] - The segment revenue from home decoration and merchandise sales was RMB 641,384 thousand, contributing to the overall revenue[27] - Rental and related income from self-operated malls decreased by 2.8%, attributed to a temporary decline in occupancy rates and the introduction of rent-free policies[58] - Revenue from managed malls declined by 27.0%, mainly due to economic fluctuations and delays in project execution, resulting in reduced consulting service income compared to 2021[58] Financial Costs and Expenses - The financial costs incurred during the year were RMB 2,503,313 thousand, impacting the overall profitability[26] - The financial cost for the year 2022 was RMB 2,694,541 thousand, compared to RMB 2,503,313 thousand in 2021, indicating an increase in financial expenses[33] - Administrative expenses decreased by 25.2% to RMB 1,861.8 million, compared to RMB 2,489.3 million in 2021, representing 13.2% of total revenue[63] Strategic Initiatives - The company plans to expand its market presence and enhance its product offerings in the upcoming fiscal year[30] - The company aims to enhance its operational management capabilities and expand its market share through a strategy of "light assets, heavy operations" by increasing the number of commissioned and franchised malls[51] - The company is leveraging its supply chain integration capabilities and operational management experience to enhance home decoration service offerings[50] - The company plans to continue its transformation towards a "light asset, heavy operation" business model to solidify its market leadership[81] Corporate Governance - The company has complied with the principles and provisions of the Corporate Governance Code during the reporting period[90] - The board consists of 13 members, with 5 independent non-executive directors, ensuring a balance of power and responsibilities[91] - The company will continue to review the effectiveness of its corporate governance structure, particularly the separation of the roles of Chairman and CEO[91] Shareholder Matters - The company proposed a final dividend of RMB 0.034 per share for the year ended December 31, 2022, down from RMB 0.1 per share for the previous year[36] - The company plans to repurchase shares with a budget between RMB 150 million and RMB 300 million, but no shares have been repurchased as of the announcement date[88] - The company has repurchased a total of 1,044,800 A-shares, representing 0.0240% of the total share capital, with a total expenditure of RMB 5,003,480.17[93] Market Conditions - In 2022, China's GDP grew by 3.0%, while per capita disposable income increased by 5.0% nominally, with a real growth of 2.9%[48] - The total retail sales of consumer goods in China decreased by 0.2% in 2022, with furniture retail declining by 7.5% and building materials by 6.2%[48]

Financial Performance - The company's operating revenue for 2021 was RMB 15,512,792, an increase of 8.95% from RMB 14,236,460 in 2020[12] - Gross profit for 2021 reached RMB 9,566,316, with a gross margin of 61.7%, slightly up from 61.5% in 2020[12] - Net profit attributable to the owners of the parent company was RMB 2,047,402, representing a 18.3% increase from RMB 1,730,582 in 2020[12] - The net profit margin attributable to the owners of the parent company improved to 13.2% in 2021, compared to 12.2% in the previous year[12] - The earnings per share for 2021 was RMB 0.51, up from RMB 0.44 in 2020[12] - The company achieved a revenue of RMB 15,513 million and a net profit attributable to shareholders of RMB 2,047 million for the year ended December 31, 2021[16] - The company's operating revenue for the reporting period was RMB 15,512.8 million, an increase of 9.0% compared to RMB 14,236.5 million in 2020[78] - Rental income from self-owned and leased malls increased by 21.1%, contributing significantly to the revenue growth[78] - The company's operating costs rose to RMB 5,946.5 million, an increase of 8.5% from RMB 5,480.2 million in 2020, primarily due to increased business activities[79] - Gross profit for the period was RMB 9,566.3 million, up 9.3% from RMB 8,756.3 million in 2020, with a gross margin of 61.7%[81] - Selling expenses increased by 21.8% to RMB 2,063.5 million, accounting for 13.3% of operating revenue, due to increased advertising and promotional activities[82] - Management expenses rose by 19.2% to RMB 2,004.1 million, representing 12.9% of operating revenue, as normal business operations resumed[83] - The company's accounts receivable amounted to RMB 1,957.7 million, a slight increase from RMB 1,934.8 million at the end of 2020[90] - Other receivables decreased to RMB 935.7 million from RMB 1,524.7 million in 2020, mainly due to reduced transactions with merchants[91] - The company held equity investments valued at RMB 4,170.0 million, focusing on strategic investments in the home industry and AI-related product manufacturing[92] - The group's investment property book value reached RMB 95,575.0 million, an increase of 2.6% compared to RMB 93,150.0 million at the end of 2020[93] - Capital expenditures for the period amounted to RMB 2,388.2 million, a decrease of 17.6% from RMB 2,897.0 million in 2020, reflecting the company's strategy of "heavy operations, light assets, and reducing leverage"[94] - The group held cash and cash equivalents of RMB 6,903.7 million, up from RMB 6,511.1 million at the end of 2020, an increase of RMB 392.6 million[95] - Net cash inflow from operating activities was RMB 5,380.7 million, an increase of RMB 1,221.0 million compared to RMB 4,159.7 million in 2020, primarily due to the impact of the pandemic on rent and management fee collections in the previous year[96] - Net cash outflow from investing activities was RMB 126.8 million, significantly reduced from RMB 4,851.8 million in 2020, due to increased recoveries from investments and disposals of subsidiaries[97] - Net cash outflow from financing activities was RMB 5,053.6 million, an increase of RMB 4,871.7 million compared to RMB 181.9 million in 2020, mainly due to increased debt repayments[97] - Total debt amounted to RMB 39,511.6 million, with bank and other borrowings at RMB 28,737.8 million and bonds payable at RMB 4,436.3 million[99] - The group’s debt repayment schedule includes RMB 7,131.5 million due within one year and RMB 9,042.0 million due in over five years[103] - The group’s fixed-rate borrowings ranged from 3.40% to 15.40%, while floating-rate borrowings ranged from 4.25% to 8.00%[100] - The total amount of commercial real estate mortgage-backed securities was RMB 5,442.3 million, down from RMB 6,284.9 million in 2020[103] - The company's debt-to-asset ratio improved to 57.4% as of December 31, 2021, down from 61.2% in 2020[104] - The net debt-to-equity ratio decreased to 56.7% in 2021 from 76.9% in 2020[104] - The interest coverage ratio was 1.94 for 2021, slightly down from 2.01 in 2020[104] - The company completed the transfer of logistics company shares, realizing a disposal gain of approximately RMB 448 million, which accounted for about 16.0% of the pre-tax profit for 2021[110] - The company has committed capital expenditures of RMB 1,479.2 million for acquiring and developing investment properties[111] - Future major investments will focus on acquiring and constructing investment properties in strategically attractive cities in China, with a planned capital expenditure of RMB 1,479.3 million[114] Market Position and Strategy - The company operated 95 self-managed malls and 278 managed malls, covering 224 cities across 30 provinces, municipalities, and autonomous regions in China[4] - The total operating area of the malls managed by the company was 22,303,547.50 square meters, providing over 34,900 brands[4] - The company's market share in the Chinese chain home decoration and furniture mall industry was 17.5% in terms of retail sales for 2021[4] - The company aims to strengthen its market leadership by expanding its network in lower-tier markets and focusing on home decoration services[5] - The company plans to continue expanding its presence in third-tier and lower-tier cities, with over 70% of new projects located in these areas[20] - The company has opened 253 home decoration stores across more than 200 cities in 25 provinces, municipalities, and autonomous regions[25] - The company is focusing on digital transformation and enhancing its online and offline integrated operation system in collaboration with Alibaba[24] - The company has established a high-end traffic ecosystem across building materials, furniture, and home appliances through nine themed pavilions[17] - The company emphasizes a "heavy operation" strategy to enhance operational capabilities and adapt to the evolving consumer landscape[21] - The company plans to continue expanding its multi-store layout and refine traditional categories while exploring new categories with market potential[29] - The company aims to enhance online operations through strategic partnerships with key online traffic platforms, focusing on increasing traffic and improving business closure[29] - The company is leveraging its extensive operational management experience and nationwide commercial network to provide personalized home decoration services[37] - The company anticipates steady growth in the home decoration and furniture industry due to rising household income and ongoing urbanization[36] - The company has a strategic partnership with Shandong Yinzuo Home Co., Ltd., holding a 46.5% stake, which operates 10 home malls in China[47] - The company has implemented a strategy of "light assets, heavy operations," focusing on user mindset and optimizing mall category layout through the establishment of nine major themed pavilions, covering categories such as smart appliances and high-end customization[50] - The company has successfully hosted twelve "Super Category Festivals," achieving over 2.1 billion total exposures, thereby establishing a national single-category consumption IP and enhancing consumer loyalty to the brand[57] - The company has signed a strategic cooperation agreement with the largest domestic home exhibition brand, aiming to enhance the depth and breadth of collaboration, and to create a new development pattern for chain exhibitions[54] - The company has established a招商业务中台 (招商 business platform) to enhance service capabilities for brands and distributors, promoting an integrated online and offline招商 model[55] - The company has focused on fine-tuning marketing strategies, resulting in a significant increase in consumer engagement and brand recognition through targeted promotional activities[57] - The company achieved a monthly active user base of over 100,000 for its community marketing initiatives, enhancing low-cost social communication and customer acquisition[59] - The digital marketing tools have achieved full coverage across major core shopping malls, integrating platforms like Douyin, Tencent, and Alibaba for comprehensive marketing[60] - The company has established a joint marketing model that integrates upstream marketing resources, enhancing the value for ecosystem partners and addressing marketing pain points such as high traffic costs[61] - The company has launched five major national promotional events throughout the year, achieving a total marketing exposure of 3 billion times, further solidifying its market presence[57] Operational Efficiency and Development - The company has completed the development of a new generation home decoration platform, enhancing its digital marketing capabilities[48] - The company has implemented a digital upgrade in its core malls, improving online selection, content supply, and digital operations[49] - The company has a total of 19 self-operated malls under preparation as of the end of the reporting period[45] - The company aims to accelerate the development of managed malls in response to the ongoing urbanization strategy and rising disposable income[46] - The same-store growth rate for mature malls during the reporting period was 16.8%[45] - The company opened 20 new managed malls and closed 14 during the reporting period, with over 70% of the new projects located in third-tier cities and below[46] - The company has diversified its business channels, including direct stores in home furnishing malls and partnerships with real estate developers for bulk decoration projects, effectively reducing customer acquisition costs[68] - The company has developed multiple home decoration brands, including "Jia Bei De" for mid-to-high-end customization, "Geng Hao Jia" for the mid-range market, and "Zhen Yang" for high-end clientele, enhancing market differentiation[69] - The company has implemented a "271" product stratification strategy, focusing on 20% traffic-driving products, 70% bestsellers, and 10% image products, enhancing product operation granularity[73] - The company has established a new retail model in collaboration with Alibaba, integrating online and offline services to improve customer experience through localized digital displays[71] - The company has optimized its online marketing strategies across platforms like WeChat and Douyin, enhancing the efficiency of traffic acquisition and conversion for merchants[74] - The "Firefly Engine" tool has been developed to assist merchants in content marketing, allowing for easy generation and distribution of promotional materials, thus reducing production costs[75] - The company has achieved significant advancements in digital marketing capabilities, establishing a professional digital marketing system that supports advertising, consumer lead acquisition, and traffic redistribution[70] - The company has successfully launched a panoramic video feature in five cities, enhancing product visibility and engagement through immersive experiences[73] - The company has focused on integrating online and offline marketing efforts, utilizing a dual-channel approach to reach consumers effectively[73] Corporate Governance and Management - The company is committed to improving corporate governance and adhering to legal and ethical standards while actively fulfilling social responsibilities[133] - The management team includes professionals with extensive backgrounds in finance and investment, enhancing the company's strategic decision-making capabilities[143][144] - The company is actively involved in corporate governance and audit matters, with independent directors providing oversight and strategic advice[149] - The leadership team has a diverse educational background, including degrees from prestigious institutions, which supports informed decision-making[150][151] - The independent directors have significant experience in listed companies, contributing to effective governance and strategic direction[149] - The management's commitment to financial integrity and transparency is reflected in their extensive experience in accounting and finance[149][150] - The company is well-equipped to navigate market challenges with a robust team of professionals dedicated to financial analysis and investment strategies[141][143] - The company has established independent departments for financial management, legal affairs, and internal compliance to ensure adherence to relevant laws and regulations[181] - The company has no contingent liabilities as of the reporting period[190] Environmental and Social Responsibility - The company reported a compliance cost of approximately RMB 92.47 million for environmental regulations related to new mall openings in 2021, with expectations for similar costs in the future[177] - The company has not faced any significant fines or penalties for environmental law violations since the commencement of its mall operations[177] - The company is committed to adhering to various environmental laws and regulations, ensuring compliance through specific measures and contractor supervision[176] - The company has a structured approach to environmental, social, and governance (ESG) risk management, with the board responsible for evaluating and determining related risks[178] Future Outlook - The company plans to expand its mall network in attractive cities, focusing on first and second-tier cities while selectively opening new malls in core cities[127] - The company aims to transform into a "light asset, heavy operation" model to solidify its market leadership position[127] - The company will enhance its marketing capabilities and continue to drive national promotions and category festivals to empower brands and merchants[128] - The company intends to deepen its focus on home decoration business, providing a full-cycle service from design to construction and product offerings[131] - The company will leverage its extensive mall network of over 400 locations to enhance service quality and standardize construction processes[131] - The fair value of investment properties is influenced by macroeconomic growth, urbanization, disposable income levels, and real estate market policies[125] - The company is investing in talent development programs to mitigate risks associated with talent shortages and turnover[120] - The company will continue to explore new internet-related products and services based on its extensive consumer database[123] - The company will strengthen digital operations in shopping malls while exploring new online retail channels to enhance customer acquisition and marketing[132] - The company aims to reduce capital expenditures and optimize its capital structure, focusing on a "de-leveraging" strategy to lower interest-bearing debt and asset-liability ratios[133] - The company will continue to support traditional brands and distributors in developing online operational capabilities, enhancing product selection and marketing strategies[132]

Financial Performance - The company reported a revenue of RMB 6,024.4 million for the six months ended June 30, 2020, a decrease of 22.3% compared to RMB 7,757.1 million in the same period of 2019[7]. - Gross profit was RMB 4,029.8 million, with a gross margin of 66.9%, slightly down from 67.0% in the previous year[7]. - Net profit attributable to the owners of the parent company was RMB 1,101.3 million, resulting in a net profit margin of 18.3%, down from 34.9% in 2019[7]. - The company’s net profit after excluding non-recurring items was RMB 700.8 million, a significant decline of 59.1% from RMB 1,713.0 million in the same period last year[17]. - Revenue from self-owned/leased malls decreased by 23.4% to RMB 3,027.9 million, primarily due to lower occupancy rates and the implementation of rent-free policies[23]. - Revenue from managed malls fell by 15.4% to RMB 1,828.9 million, impacted by delayed project progress and waived management fees[26]. - The company's gross profit was RMB 4,029.8 million, down 22.4% from RMB 5,194.7 million in 2019, with a gross margin of 66.9%[30]. - Operating costs were RMB 1,994.6 million, a reduction of 22.2% from RMB 2,562.5 million in the previous year, attributed to effective cost control measures[27]. - Financial expenses increased by 36.9% to RMB 1,348.4 million from RMB 984.7 million in the same period of 2019, primarily due to increased bank borrowings for liquidity[35]. - Investment income decreased by 58.0% to RMB 142.6 million from RMB 339.7 million in the same period of 2019, attributed to fewer disposals of financial assets[36]. - Net profit attributable to the parent company was RMB 1,101.3 million, down 59.3% from RMB 2,705.5 million in the same period of 2019, mainly due to the impact of the pandemic[38]. Cash and Debt Management - As of the end of the reporting period, the company had cash and cash equivalents of RMB 9,507.9 million, an increase of 31.5% from RMB 7,229.2 million at the end of 2019[17]. - The total debt as of the reporting period was RMB 48,335.0 million, with bank loans amounting to RMB 26,944.0 million and bonds payable at RMB 11,285.7 million[49]. - The net capital liability ratio increased to 78.1% from 69.4% at the end of 2019[17]. - The asset-liability ratio increased to 61.7% in 2020 from 59.9% in 2019, indicating a rise in financial leverage[53]. - The portion of total debt due within one year was RMB 16,957.4 million, indicating significant short-term obligations[52]. - The company has pledged investment properties and fixed assets valued at RMB 79,192.6 million to secure borrowings totaling RMB 34,114.0 million[55]. Operational Overview - The company operated 334 malls as of June 30, 2020, with a total operating area of 20,953,810 square meters, covering 209 cities[10]. - The average occupancy rate for self-operated malls was 90.2%, down from 93.4% at the end of 2019[10]. - The company continues to focus on a dual-driven business model of self-operated and managed malls, with 87 self-operated and 247 managed malls[14]. - The company has increased the number of self-owned/leased malls by 3, with a total operating area increase of 156,079 square meters compared to June 2019[23]. - The company has 33 self-operated malls under preparation, focusing on strategic layouts in core areas of first- and second-tier cities[101]. - The company has a total operating area of 7,698,002 square meters for self-operated malls, with a new mall opened and one closed during the reporting period[101]. - The company operates 247 managed shopping malls with a total operating area of 13,255,808 square meters and an average occupancy rate of 90.1%[102]. Strategic Initiatives - The company aims to enhance its competitiveness through new retail transformations and the development of home decoration services as a second growth curve[13]. - The company plans to strategically open new malls in attractive cities in China to leverage long-term growth trends in the home decoration and furniture industry[60]. - The company has implemented a strict selection and review mechanism to ensure the steady and rapid development of managed shopping malls[102]. - The company is upgrading its home decoration platform system to improve operational efficiency and capture a larger market share[112]. - The company has established long-term partnerships with 13,000 brand merchants and 46,000 distributors, facilitating a seamless design-to-purchase experience[118]. - The "Same City Retail" initiative, launched in collaboration with Alibaba, has expanded to 22 cities, covering 56 malls and over 9,800 brands, enhancing the new retail transformation in the home decoration and furniture industry[126]. Employee and Governance - The total number of employees as of the reporting period is 25,361, a slight decrease from 25,463 employees as of June 30, 2019[21]. - Total compensation expenses for the reporting period amounted to RMB 1,425.7 million, down from RMB 1,689.1 million in the same period last year, reflecting a decrease of approximately 15.6%[21]. - The company has successfully recruited 145 mall managers and 822 key personnel at the managerial level to support the opening and preparation of over 70 malls[174]. - The company has won eight prestigious employer brand awards, including "Most Loved Company by Employees" and "China's Exemplary Employer"[174]. - The company’s governance structure remains unchanged since the 2019 annual report[191]. Marketing and Customer Engagement - The company achieved a net promoter score of 67.75%, an increase of 12.63% year-on-year, and an overall customer satisfaction rate of 95.22%, up 4.05% from the previous year[138]. - The company enhanced its marketing model through the IMP smart marketing platform, significantly increasing brand loyalty and rental income[132]. - The average consumer spending through community channels was 39% higher than non-community channels, significantly boosting user spending[149]. - The company conducted over 46,000 live broadcasts in the first half of 2020, leading the home furnishing industry in multiple metrics on the Taobao live streaming platform[150]. - The company has established a massive private traffic pool, connecting 200,000 mall guides and home decoration KOLs, achieving over 1 million precise participant numbers for various events[149]. Risk Management and Compliance - The company implemented a comprehensive risk management strategy, maintaining a "zero accident" record for fire and personal injury across all malls during the reporting period[162]. - The company has adopted the "Standard Code" for securities trading by directors and supervisors, confirming compliance for the six months ending June 30, 2020[189]. - The Audit Committee has reviewed and confirmed the interim results announcement and financial statements for the six months ending June 30, 2020[190]. - There have been no changes in the positions and information of directors, supervisors, and senior management since January 1, 2020[194].