Financial Performance - The total revenue for the first half of 2023 was approximately RMB1,375.3 million, representing a year-over-year increase of approximately 7.7% compared to RMB1,277.5 million in the same period of 2022[11]. - Gross profit for the first half of 2023 was approximately RMB1,001.3 million, reflecting a year-over-year increase of approximately 3.3% from RMB969.1 million in the same period of 2022[11]. - Profit attributable to shareholders for the semi-annual period was approximately RMB10.3 million, a significant decrease of approximately 83.2% compared to RMB61.3 million in the same period of 2022[11]. - Basic and diluted earnings per share for the profit attributable to shareholders was approximately RMB0.02, down from RMB0.13 for the six months ended June 30, 2022[11]. - The Group's revenue for the Reporting Period was approximately RMB1,375.3 million, an increase of approximately 7.7% compared to RMB1,277.5 million in the same period of 2022[13]. - Revenue from third-party e-commerce platforms was approximately RMB1,304.0 million, representing an increase of approximately RMB103.7 million, or approximately 8.6%, compared to RMB1,200.3 million in the same period of 2022[14]. - Revenue from North America was approximately RMB1,286.5 million, an increase of approximately RMB66.4 million, or approximately 5.4%, compared to RMB1,220.1 million in the same period of 2022[19]. - The Group's cost of sales for the Reporting Period was RMB374.0 million, an increase of approximately RMB65.6 million, or approximately 21.3%, compared to RMB308.4 million in the same period of 2022[22]. - Gross profit amounted to approximately RMB1,001.3 million, an increase of approximately RMB32.2 million compared to RMB969.1 million in the same period of 2022, with a gross profit margin of approximately 72.8%, down 3.1 percentage points from 75.9%[24]. - Selling expenses and distribution costs amounted to approximately RMB923.9 million, an increase of approximately RMB85.6 million, or approximately 10.2%, compared to RMB838.3 million in the same period of 2022[33]. - General and administrative expenses increased by approximately RMB10.2 million, or approximately 16.2%, to RMB73.1 million for the Reporting Period compared to RMB62.9 million in the same period of 2022[34]. - Profit before income tax decreased by approximately 85.1% to approximately RMB10.7 million for the Reporting Period from approximately RMB71.3 million for the six months ended 30 June 2022[41]. - Total comprehensive income attributable to shareholders decreased by approximately 83.2% to approximately RMB10.3 million for the Reporting Period from approximately RMB61.3 million for the six months ended 30 June 2022[48]. Operational Efficiency - The company expanded its product categories and focused on various core brand directions to enhance its market presence[7]. - New sales channels, including the Temu platform, were introduced to optimize the Group's revenue structure[7]. - A one-stop sales management system was established to improve operational efficiency through digitalization[8]. - The company adjusted its organizational structure for centralized management and resource allocation to enhance management efficiency[7]. - Sales through third-party e-commerce platforms, particularly on Amazon, contributed significantly to revenue growth[6]. - The company aims to become a world-renowned e-commerce operator in fashion apparel and footwear products[6]. - The company plans to explore new sales channels, such as TikTok, and develop overseas physical stores to achieve broader market coverage[64]. - Continuous upgrades to the product portfolio will cater to diverse fashion preferences and personalized needs, enhancing sales performance of hot-selling products[64]. - The company aims to consolidate brand concentration and implement a high-end branding strategy to increase product added value[64]. - Investment in digitization will be increased to develop IT systems for new product development and refined operation of the entire product lifecycle[65]. - The company will enhance inventory turnover efficiency through expanded sales channels and refined operations to improve inventory structure[65]. - Development of a global supply chain and full digitalization is planned to establish a flexible, efficient, green, and digital global supply chain platform[66]. Financial Position - As of June 30, 2023, the Group had cash and cash equivalents of approximately RMB314.6 million, an increase from approximately RMB294.5 million as of December 31, 2022, representing a growth of about 6.4%[53]. - The Group's total liabilities to total assets ratio (gearing ratio) remained stable at approximately 42.1% as of both June 30, 2023, and December 31, 2022[54]. - As of June 30, 2023, the Group's borrowings amounted to approximately RMB147.6 million and lease liabilities were approximately RMB62.0 million, indicating a total indebtedness of approximately RMB209.6 million[55]. - Total staff costs incurred by the Group during the Reporting Period were approximately RMB110.0 million, reflecting a year-over-year increase of approximately 47.7% compared to RMB74.5 million in the same period of 2022[60]. - The Group did not experience any significant operational difficulties due to fluctuations in currency exchange rates during the Reporting Period[58]. - The Group does not have any pledged assets as of June 30, 2023[58]. - The Group's employee count stood at 1,155 full-time employees as of June 30, 2023, primarily based in mainland China[60]. Corporate Governance - The company has established an Audit Committee consisting of three independent non-executive Directors to ensure compliance with the Listing Rules and Corporate Governance Code[87]. - The interim financial results for the Reporting Period have not been audited but are considered compliant with relevant accounting standards[88]. - The company is committed to maintaining high standards of corporate governance to safeguard shareholder interests and enhance corporate value[83]. - The company has complied with the Corporate Governance Code, except for a deviation regarding the separation of roles between the chairman and the chief executive officer[84]. - The company will continue to review and monitor its corporate governance practices to ensure compliance with the Corporate Governance Code[85]. - The company is governed by a trust structure involving multiple shareholders and their interests in controlled corporations[72]. - The report indicates no other directors or chief executives have interests in the shares as of June 30, 2023[72]. Shareholder Information - As of June 30, 2023, Mr. Hua Bingru holds 261,144,457 shares, representing 52.23% of the shareholding[69]. - Mr. Wang Shijian holds 44,466,717 shares, representing 8.89% of the shareholding[69]. - Mr. Wang Weiping holds 22,608,772 shares, representing 4.52% of the shareholding[69]. - As of June 30, 2023, the total number of shares issued by the company is 500,000,000[70]. - Hone Ru and its subsidiaries collectively hold 236,056,036 shares, accounting for about 47.21% of the total shareholding[74]. - The company has disclosed interests and short positions of substantial shareholders as required by the SFO[73]. - The company did not recommend the payment of an interim dividend for the Reporting Period, consistent with the previous year[82]. Cash Flow and Investments - The company generated cash from operations amounting to RMB 74,881,000, a significant increase from RMB 17,311,000 in the same period of 2022, representing a growth of approximately 333%[119]. - The net cash generated from operating activities for the first half of 2023 was RMB 57,332,000, compared to RMB 12,038,000 in the prior year, indicating a year-over-year increase of about 376%[119]. - The company incurred net cash used in investing activities of RMB 2,962,000 for the first half of 2023, a decrease from RMB 8,325,000 in the same period of 2022, showing an improvement of approximately 64%[120]. - The company reported a net cash used in financing activities of RMB 42,201,000 for the first half of 2023, compared to RMB 3,710,000 in the same period of 2022, representing an increase of approximately 1035%[121]. - The dividends distributed to shareholders amounted to RMB 21,885,000 during the reporting period[117]. Taxation - Current income tax expenses were RMB3.977 million for the Reporting Period, down from RMB11.597 million in the same period of 2022[45]. - The Group's total income tax expense for the six months ended June 30, 2023, was RMB 379,000, down from RMB 10,034,000 in 2022, a decrease of approximately 96.2%[178]. - The corporate income tax rate for the Company's subsidiaries in China is generally 25%, but certain subsidiaries qualified as high-tech enterprises benefit from a reduced rate of 15% for three years[187]. - Several subsidiaries in China qualified as small and micro enterprises, enjoying a corporate income tax rate of 20% for the six months ended June 30, 2023[189]. - A 10% withholding tax is levied on dividends declared by PRC subsidiaries to foreign holding companies, which may be reduced to 5% under certain tax treaty arrangements[191]. Future Outlook - In the second half of 2023, the market will face various unknown challenges, affecting overall performance in the consumer goods market[64]. - The company plans to enhance sales and branding capabilities, with an estimated HK$81.2 million allocated for this purpose, expected to be fully utilized by the end of 2025[97]. - The expected timetable for the use of unutilized net proceeds is by the end of 2025 for various projects[99].

Revenue Performance - Total revenue for the first half of 2023 was approximately RMB1,375.3 million, representing a period-over-period increase of approximately 7.7%[8] - The revenue increase was primarily driven by sales through third-party e-commerce platforms, particularly on the Amazon platform[8] - Revenue from third-party e-commerce platforms was approximately RMB1,304.0 million, an increase of approximately RMB103.7 million or 8.6% compared to RMB1,200.3 million in the same period of 2022[16] - Revenue for the six months ended June 30, 2023, was RMB 1,375,293, an increase of 7.67% compared to RMB 1,277,527 for the same period in 2022[110] - Revenue from self-operated online stores decreased significantly to RMB 28,362 from RMB 74,756, representing a decline of 62.1%[158] Profitability and Expenses - Gross profit for the reporting period was approximately RMB1,001.3 million, reflecting a year-on-year increase of approximately 3.3% from RMB969.1 million in the same period of 2022[13] - The Group's gross profit margin decreased to approximately 72.8%, down 3.1 percentage points from approximately 75.9% in the same period of 2022[26] - Profit attributable to shareholders for the first half of 2023 was approximately RMB10.3 million, a decrease of approximately 83.2% compared to RMB61.3 million in the same period of 2022[13] - Operating profit decreased significantly to RMB 15,825, down 80.01% from RMB 79,113 in the prior year[110] - Selling expenses and distribution costs amounted to approximately RMB923.9 million, representing an increase of approximately RMB85.6 million, or approximately 10.2%, compared to approximately RMB838.3 million in the same period of 2022[35] - General and administrative expenses increased by approximately RMB10.2 million, or approximately 16.2%, to approximately RMB73.1 million compared to approximately RMB62.9 million in the same period of 2022[36] Cash Flow and Financial Position - Cash and cash equivalents increased to RMB 314,550 from RMB 294,539 as of December 31, 2022[113] - The total balance at June 30, 2023, was RMB 775,712,000, a decrease from RMB 787,321,000 at the beginning of the year[119] - Cash generated from operations for the six months ended June 30, 2023, was RMB 74,881,000, significantly up from RMB 17,311,000 in the same period of 2022, marking an increase of approximately 333.33%[121] - Net cash generated from operating activities was RMB 57,332,000 for the six months ended June 30, 2023, compared to RMB 12,038,000 in 2022, reflecting an increase of approximately 376.73%[121] Strategic Initiatives and Future Plans - The company plans to explore new sales channels, including TikTok, and develop overseas physical stores to achieve broader market coverage and drive new business growth[66] - Continuous upgrades to the product portfolio will cater to diverse fashion preferences and personalized needs, enhancing sales performance of hot-selling products[66] - Investment in digitization will be increased to develop IT systems that assist in new product development and refine the entire product lifecycle operation[67] - The company will focus on improving inventory turnover efficiency through expanded sales channels and refined operations[67] - A global supply chain will be developed with full digitalization to establish a flexible, efficient, green, and customer-oriented platform[68] Shareholding and Corporate Governance - As of June 30, 2023, Mr. Hua Bingru holds 261,144,457 shares, representing 52.23% of the shareholding[71] - The company is governed by a trust structure involving multiple shareholders and their interests in controlled corporations[74] - The company continues to maintain compliance with corporate governance standards as outlined in the report[75] - The company has complied with the Corporate Governance Code, except for a deviation regarding the separation of roles between the chairman and the CEO[85] Taxation and Financial Regulations - The corporate income tax rate for subsidiaries in China is generally 25%, but small and micro enterprises may qualify for a reduced rate of 20%[191] - A 10% withholding tax is levied on dividends declared by PRC subsidiaries to foreign holding companies, with a potential reduced rate of 5% if a tax treaty exists[193] - The company's subsidiary in the United States is subject to a profits tax at a rate of 21% plus state tax rates[193] Financial Reporting and Compliance - The interim financial results for the reporting period have not been audited but are considered compliant with relevant accounting standards[90] - The Group's accounting policies remain consistent with those of the annual financial statements for the year ended 31 December 2022[130] - The Group adopted several amended standards effective from 1 January 2023, including IFRS 17 on Insurance Contracts and amendments to IAS 12 regarding deferred tax[133][136]

Financial Performance - Zibuyu Group's revenue for 2022 reached RMB 3,066.3 million, representing a year-on-year increase of 30.7%[17]. - The gross profit for 2022 was RMB 2,347.8 million, compared to RMB 1,765.5 million in 2021, indicating a significant growth[14]. - Profit for the year was RMB 110.7 million, down from RMB 200.5 million in 2021, reflecting the impact of economic challenges[14]. - Total assets as of December 31, 2022, amounted to RMB 1,360.7 million, an increase from RMB 1,019.7 million in 2021[15]. - Total equity increased to RMB 787.3 million in 2022, up from RMB 373.0 million in 2021, showcasing strong financial health[15]. - In 2022, the company's revenue reached approximately RMB 3,066.3 million, representing a year-on-year increase of approximately 30.7%, marking a historical high despite the global economic downturn[19][25]. - Gross profit for the year was approximately RMB 2,347.8 million, reflecting a year-on-year increase of approximately 33.0%[32][34]. - Profit attributable to shareholders decreased by approximately 44.8% to RMB 110.7 million compared to RMB 200.5 million in 2021[32][34]. - Basic and diluted earnings per share were approximately RMB 0.24, down from RMB 0.44 in 2021[32][34]. Market Expansion and Sales Growth - Footwear sales on Amazon increased by over 1.5 times compared to the previous year, indicating strong growth in this category[26][29]. - The company expanded its sales channels by collaborating with platforms such as TEMU, enhancing its sales network[27][29]. - The top ten best-selling brands saw nearly double sales growth year-on-year, showcasing effective brand cultivation capabilities[28][30]. - Revenue from third-party e-commerce platforms was approximately RMB2,939.0 million, representing an increase of approximately RMB886.7 million, or approximately 43.2%, compared to RMB2,052.3 million for the year ended 31 December 2021[39][40]. - Revenue from North America was approximately RMB2,949.3 million, an increase of approximately RMB919.9 million, or approximately 45.3%, compared to RMB2,029.4 million for the year ended 31 December 2021[43][44]. Strategic Initiatives and Future Plans - The company aims to enhance its product development, brand marketing, and multi-channel sales capabilities to improve consumer shopping experiences[16]. - The company aims to enhance its competitiveness by increasing investments in information technology and enriching management talent in design, development, supply chain, and marketing[20][23]. - The company is committed to becoming an internationally renowned operator of fashionable apparel and footwear products, providing timely and seamless service to global consumers[21][23]. - The Group plans to continue expanding sales channels and market coverage as part of its future strategies[107]. - The company anticipates that fiscal year 2023 will be a challenging year due to global economic conditions and high inflation in certain regions[106]. - The company aims to enhance its product innovation capabilities and increase the premium of new products[114]. - The company plans to increase investment in branding to raise the market share of core brands[114]. - The company will continue to invest in digital management capabilities to improve operational efficiency[114]. - The company intends to expand its management talent in supply chain and marketing to strengthen competitive advantages[114]. Management and Governance - Mr. Dong Zhenguo has over nine years of experience in sales and marketing, overseeing the management of self-operated online stores[128]. - Mr. Xu Shijian has more than twenty years of experience in finance and business management, responsible for financial management and compliance[132]. - Ms. Hua Hui was appointed to promote gender diversity at the Board level, having previously served as the sales director for seven years[136]. - The company has expanded its management team with experienced professionals in various roles to enhance operational efficiency[130][134]. - The management team is expected to drive the Group's business development and operational strategies effectively[136]. - The company emphasizes the importance of technology strategies in product development and operational efficiency[156]. - The management team collectively brings years of experience from various industries, contributing to the company's growth and innovation[164]. Risks and Challenges - Major risks include disruptions in relationships with third-party platforms like Amazon and Wish, which could adversely affect business operations[190]. - The company does not manufacture products but relies on OEM suppliers, making it vulnerable to supply shortages or quality issues[190]. - The company recognizes its social responsibilities in monitoring and reducing environmental risks associated with its operations[190]. - The company operates in the competitive cross-border e-commerce export B2C apparel and footwear industry in China, facing risks that could materially affect its customer base, market share, and profitability[193]. - Changes in international trade policies and the ongoing U.S.-China trade conflict could adversely affect the company's business[193]. - The company is subject to risks associated with foreign exchange rate fluctuations[193]. Operational Efficiency - Selling expenses and distribution costs increased by approximately 47.5% to approximately RMB2,085.9 million for the year ended 31 December 2022 from approximately RMB1,413.7 million for the year ended 31 December 2021[59][61]. - General and administrative expenses rose by approximately RMB33.1 million to approximately RMB142.1 million for the year ended 31 December 2022 from approximately RMB109.0 million for the year ended 31 December 2021[60][62]. - The Group's focus on self-operated online stores is a key strategy for driving sales growth and improving customer engagement[128]. - The company emphasizes maintaining good relationships with suppliers and providing high-quality services to customers, which are crucial for creating value[185]. - The management actively establishes risk management and internal control mechanisms to address operational, financial, and regulatory risks[191].

Annual Performance Announcement - The company provided a supplementary announcement regarding its annual performance for the year ended December 31, 2022[1]. - The announcement includes details about the suspension of share transfer registration from June 15 to June 20, 2023, to determine eligibility for the annual general meeting[1]. - All transfer documents must be submitted by June 14, 2023, at 4:30 PM to qualify for the meeting[1]. Governance Structure - The board of directors includes both executive and independent non-executive members, ensuring diverse governance[2].

Financial Performance - Revenue for the year ended December 31, 2022, was RMB 3,066,331 thousand, representing a 30.7% increase from RMB 2,346,543 thousand in 2021[2] - Gross profit for the same period was RMB 2,347,755 thousand, up 33.0% from RMB 1,765,535 thousand in 2021[3] - Profit before tax decreased to RMB 127,190 thousand, down 46.5% from RMB 237,631 thousand in the previous year[3] - Net profit attributable to shareholders was RMB 110,694 thousand, a decline of 44.8% compared to RMB 200,509 thousand in 2021[2] - Basic and diluted earnings per share were RMB 0.24, down from RMB 0.44 in the previous year[3] - Total revenue for the year ended December 31, 2022, was RMB 110,694,000, a decrease from RMB 200,509,000 in 2021, resulting in a basic earnings per share of RMB 0.24 compared to RMB 0.44 in the previous year[29] - The company's net profit attributable to shareholders was approximately RMB 110.7 million, a decrease of about 44.8% compared to RMB 200.5 million in 2021[43] Assets and Liabilities - Total assets increased to RMB 1,360,708 thousand, compared to RMB 1,019,675 thousand in 2021, reflecting a growth of 33.5%[4] - Total liabilities decreased to RMB 573,387 thousand from RMB 646,699 thousand, a reduction of 11.3%[5] - Cash and cash equivalents at year-end rose to RMB 294,539 thousand, significantly up from RMB 80,855 thousand in 2021[6] - The debt-to-asset ratio improved from approximately 63.4% as of December 31, 2021, to about 42.1% as of December 31, 2022, due to the conversion of redeemable convertible preferred shares into ordinary shares and increased equity from retained earnings[63] Revenue Sources - Revenue from third-party e-commerce platforms was RMB 2,939,005,000, up from RMB 2,052,279,000 in the previous year, indicating a growth of 43.0%[14] - The North America region generated revenue of RMB 2,949,292,000 in 2022, a significant increase of 45.4% from RMB 2,029,381,000 in 2021[13] - Revenue through the company's self-operated website decreased to RMB 116,156,000 in 2022 from RMB 257,319,000 in 2021, a decline of 54.8%[14] Expenses - The total cost of sales, selling expenses, and general and administrative expenses for the year ended December 31, 2022, was RMB 2,946,527,000, compared to RMB 2,103,682,000 in 2021, reflecting an increase of 40%[19] - Sales and distribution expenses increased by approximately 47.5% to about RMB 2,085.9 million, primarily due to increased shipping and insurance costs[53] - General and administrative expenses rose to approximately RMB 142.1 million, an increase of about RMB 33.1 million from the previous year[54] Cash Flow - Operating cash flow for the year was RMB 92,084 thousand, recovering from a cash outflow of RMB 207,049 thousand in the previous year[6] - The company issued new shares post-listing, raising RMB 210,818 thousand, contributing to its financing activities[6] Shareholder Information - The company proposed a final dividend of HKD 0.05 per share for the year ended December 31, 2022, totaling approximately RMB 21,885,000, compared to no dividend in 2021[27] - The board proposed a final dividend of HKD 0.05 per share for the year ended December 31, 2022, compared to no dividend in 2021, subject to shareholder approval on June 20, 2023[69] Corporate Governance - The company has adhered to the corporate governance code since its listing, with the exception of the separation of the roles of Chairman and CEO, which are held by the same individual, Mr. Hua[71] - The audit committee, consisting of three independent non-executive directors, has reviewed the audited consolidated results for the year ended December 31, 2022, confirming compliance with applicable accounting principles[76] - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[70] Future Outlook - The company plans to continue expanding sales channels and markets, enhance product innovation capabilities, and increase brand investment to improve market share[68] - The company anticipates that the fiscal year 2023 will remain challenging due to ongoing global economic recovery issues and high inflation in Europe and the United States[67] Inventory and Receivables - The company’s total inventory provision increased to RMB 54,768,000 in 2022 from RMB 21,162,000 in 2021, indicating a growing concern over inventory management[19] - Trade receivables as of December 31, 2022, amounted to RMB 176,792,000, an increase of 47.5% from RMB 119,825,000 as of December 31, 2021[32] - The provision for impairment of trade receivables increased to RMB 884,000 as of December 31, 2022, from RMB 599,000 as of December 31, 2021, indicating a rise in expected credit losses[34] Significant Events - The company went public on November 11, 2022, with shares listed on the Hong Kong Stock Exchange[80] - There were no significant events affecting the group after the fiscal year ended December 31, 2022[70]