各位尊敬的股东投资者以及分析师早上好感谢大家抽空出席江南不一有限公司2024-25中期业绩发布会首先让我为各位介绍今天出席的管理层分别是江南不一董事会主席兼创始人吴建先生 Ken执行董事兼首席执行官吴华婷女士 Lu 首席财务官范永奎先生Brian以及投资者关系总监强硬男女士Emily 今天的发布会分为两个部分第一部分管理层将针对2024-25中企业机投资亮点以及发展策略为我们做深入讲解之后是问答环节现在我把时间交给CFO Brian谢谢 各位投资人朋友及分事朋友们大家好欢迎来到江南不一二五财年中期业绩发布会的现场我是Brian很高兴再次见面今天我跟大家分享一下在二五财年中期的一个业绩表现也希望跟大家能够进一步地互动交流 江南不易已经走过了30周年在座的各位也有一些是伴随我们多年成长的投资人朋友那么在接下来的介绍中我们还是会从集团概览中期业务表现运营情况ESG理念和实践以及我们的未来发展规划五个维度来进行阐述首先我来介绍一下江南不易的概览因为在座的也有一些是新的朋友 大家都关心江南布伊是一家什么样的公司未来的发展的方向是什么所以我们一定要介绍一下我们江南布伊整个愿景是什么我们想要做一家有影响力的设计师品牌公司那 ...

Brand Portfolio and Market Strategy - Jiangnan Buyi's brand portfolio includes multiple brands across different stages, such as the mature brand JNBY and three growth brands: Sketch, jnby by JNBY, and LESS, along with emerging brands like POMME DE TERRE and onmygame, enhancing market segmentation [5]. - The company has established a multi-channel interactive platform consisting of physical retail stores, online platforms, and WeChat-based social media marketing, crucial for attracting and converting potential fans into loyal customers [10]. - In 2024, Jiangnan Buyi expanded its brand matrix by acquiring the children's clothing brand onmygame, further diversifying its offerings to cater to a broader age demographic [10]. - The company plans to continue focusing on design-driven strategies and multi-brand development to enhance market presence and brand strength [16]. - The company plans to enhance its brand power and optimize its designer brand portfolio to drive sustainable long-term growth [19]. - The company aims to expand its retail network and improve its smart supply chain capabilities to create value-added services for its fans [19]. - The company has implemented a multi-brand strategy to attract different consumer segments, with each brand catering to specific preferences [50]. Financial Performance - Revenue for the fiscal year ending June 30, 2024, reached RMB 5,238,149 thousand, a 17.3% increase from RMB 4,465,124 thousand in the previous year [12]. - Gross profit increased to RMB 3,470,485 thousand, reflecting a 19.0% growth compared to RMB 2,916,992 thousand in the prior year [12]. - Operating profit rose by 39.2% to RMB 1,194,266 thousand from RMB 857,898 thousand year-over-year [12]. - Net profit for the year was RMB 848,139 thousand, a 36.5% increase from RMB 621,283 thousand in the previous year [12]. - The company achieved a net cash flow from operating activities of RMB 1,602,967 thousand, up 70.7% from RMB 939,119 thousand [12]. - The gross margin improved to 66.3%, up from 65.3% in the previous year, indicating enhanced profitability [12]. - The company reported a net profit margin of 16.2%, an increase from 13.9% year-over-year [12]. - The group's profit before tax increased from RMB 850.8 million in fiscal year 2023 to RMB 1,213.1 million in fiscal year 2024, reflecting a growth of 42.6% [33]. Retail and Sales Performance - The number of independent retail stores increased from 1,990 to 2,024, with a total of 924 stores under the mature brand JNBY and 1,043 stores under growth brands [20]. - Comparable store sales for physical retail locations grew by 10.7% in fiscal year 2024, driven by store image upgrades and the introduction of new consumer scenarios [25]. - Active membership accounts increased to over 550,000, up from nearly 510,000 in the previous fiscal year, contributing over 80% of total retail sales [25]. - The number of member accounts with annual purchases exceeding RMB 5,000 rose to over 310,000, with total retail sales from these members reaching RMB 4.49 billion, up from RMB 3.54 billion [25]. - Online sales revenue grew by 18.4% to RMB 1,008.4 million, while offline sales revenue increased by 17.1% to RMB 4,229.7 million [29]. Operational Efficiency and Management - Inventory turnover days decreased to 155.9 days from 190.9 days, indicating improved inventory management [13]. - The debt-to-asset ratio improved to 49.4% from 51.3%, reflecting a stronger financial position [13]. - The company plans to continuously upgrade its information technology systems to support ongoing operational and business growth [54]. - The company emphasizes the importance of its information technology systems for operational efficiency, integrating various management systems to analyze operational data in real-time [54]. - The company has established a robust risk management and internal control system to ensure asset safety and protect shareholder interests, with an annual review of its effectiveness [120]. Sustainability and ESG Initiatives - The company is committed to integrating Environmental, Social, and Governance (ESG) practices into its corporate governance framework, with a goal to achieve its 2025 ESG commitments [35]. - The proportion of sustainable raw materials in total raw material procurement reached 22.4% as of the fiscal year 2024, with a target of 30% by the end of fiscal year 2025 [135]. - The company achieved a 139.2% year-on-year increase in the recycling and utilization of inventory fabrics, totaling 189,000 meters [140]. - The company has integrated ESG factors into its business strategy, establishing an ESG governance framework led by the board of directors [145]. - The company emphasizes the use of organic cotton, organic linen, hemp, and ramie, which do not require significant pesticide or fertilizer use, thus reducing environmental impact [166]. Corporate Governance - The company has adopted a corporate governance code and has adhered to all applicable provisions during the fiscal year 2024 [96]. - The board consists of three executive directors, one non-executive director, and three independent non-executive directors, complying with the listing rules regarding board composition [96]. - The company emphasizes diversity in its board composition, considering various factors such as age, culture, and professional experience [96]. - The company has established a whistleblowing policy to allow employees to report concerns regarding financial reporting and internal controls confidentially [108]. - The company has a dedicated internal audit department responsible for annual risk reporting procedures and evaluating risk management practices [120]. Employee and Management Practices - The total employee count increased to 1,596 as of June 30, 2024, up from 1,508 a year earlier, with total employee costs amounting to RMB 486.5 million, representing 9.3% of revenue [34]. - The company provides competitive compensation and training opportunities to employees, aiming to attract and retain dedicated staff [57]. - The company has implemented a comprehensive quality management system, achieving ISO 9001 certification and multiple product certifications, including OEKO-TEX® STANDARD 100 for infant products [188]. - The company emphasizes customer experience and satisfaction through a fully integrated sales network combining offline and online platforms [196]. Challenges and Risks - The company faces significant competition in the designer fashion market, with competitors potentially having stronger brand recognition and financial resources [51]. - The company acknowledges the risk of not meeting sales targets for new brands or product categories, which could adversely affect cash flow and growth prospects [52]. - The company relies on selected domestic OEM suppliers for production, which may be affected by industry downturns or natural disasters, potentially leading to supply shortages [53].

Brand Portfolio and Strategy - The company has categorized its brand portfolio into three stages: mature brands (JMBY), growth brands (men's wear Su Xie, women's wear Less), and emerging brands (Penma, Relab, OMYGAME) [1] - Each brand has a unique brand language and market positioning, collectively building a diverse and rich brand matrix for the company [1] Business Lines and Market Positioning - The growth brands include Su Xie for men's wear and Less for women's wear, indicating a focus on expanding in the apparel sector [1] - Emerging brands such as Penma, Relab, and OMYGAME suggest the company is exploring new market segments and diversifying its offerings [1] Market and Industry Competition - The company's strategy of maintaining a diverse brand portfolio with distinct market positioning reflects a competitive approach to capture different consumer segments [1] Management Commentary and Future Outlook - No specific management commentary or future outlook was provided in the document [1] Other Important Information - No other significant information was mentioned in the document [1] Q&A Session - No Q&A session was recorded in the document [1]

Financial Performance - For the fiscal year ending June 30, 2024, the total revenue of JNBY Design Limited was RMB 5,238.1 million, an increase of 17.3% or RMB 773.0 million compared to RMB 4,465.1 million for the fiscal year ending June 30, 2023[2]. - The gross profit for the fiscal year 2024 was RMB 3,470.5 million, up 19.0% or RMB 553.5 million from RMB 2,917.0 million in the previous fiscal year, with a gross margin increase from 65.3% to 66.3%[2]. - The net profit for the fiscal year 2024 reached RMB 848.1 million, representing a 36.5% increase or RMB 226.9 million compared to RMB 621.3 million in fiscal year 2023[2]. - The operating profit for the fiscal year ending June 30, 2024, was RMB 1,194,266,000, compared to RMB 857,898,000 for the previous year, indicating a significant increase of about 39.4%[20]. - The company reported a profit attributable to shareholders of RMB 849,087,000 for the year ended June 30, 2024, up from RMB 621,292,000 in 2023, representing a growth of 36.6%[28]. - The net cash inflow from operating activities for fiscal year 2024 was RMB 1,603.0 million, a significant increase of 70.7% or RMB 663.9 million from RMB 939.1 million in fiscal year 2023[2]. - The total comprehensive income for the fiscal year 2024 was RMB 869.2 million, compared to RMB 642.4 million in the previous year, indicating a growth of 35.3%[5]. Dividends and Shareholder Returns - The board proposed a final dividend of HKD 0.86 per share, totaling approximately RMB 824.8 million, which accounts for 97% of the company's net profit for fiscal year 2024[2]. - The total dividends declared and paid for the year ended June 30, 2024, amounted to RMB 726,533,000, significantly higher than RMB 391,864,000 in 2023, showing an increase of 85.5%[31]. - The company has adopted a general annual dividend policy to distribute 75% of the net profit available for distribution each fiscal year[26]. Assets and Liabilities - The total assets of the company as of June 30, 2024, were RMB 4,372.3 million, an increase from RMB 4,065.8 million in the previous year[8]. - The total liabilities decreased slightly to RMB 2,160.8 million from RMB 2,084.3 million in the previous year, reflecting improved financial stability[9]. - The company's equity attributable to shareholders increased to RMB 2,169.2 million from RMB 1,981.5 million, showing a growth of 9.5%[9]. - The company's total liabilities increased to RMB 780,935,000 in 2024 from RMB 640,322,000 in 2023, marking a rise of 22%[47]. Revenue Breakdown - Revenue from mature brands in mainland China was RMB 2,919,867,000, while growth brands generated RMB 2,176,553,000, and emerging brands contributed RMB 109,619,000 for the fiscal year ending June 30, 2024[19]. - Revenue from the geographical segment of mainland China accounted for 99.4% of total revenue, increasing by 17.7% to RMB 5,206.0 million[67]. - Revenue from the mature brand JNBY increased by 17.1% to RMB 2,944.2 million, while the growth brand segment saw a 17.0% increase to RMB 2,184.1 million[63]. - Online sales channel revenue grew by 18.4% to RMB 1,008.4 million, while offline sales channels increased by 17.1%[66]. Operational Highlights - The number of independent retail stores globally increased from 1,990 to 2,024, with a presence in all provinces and regions of mainland China and nine other countries[56]. - Comparable store sales growth for physical retail stores was recorded at 10.7% in fiscal year 2024, driven by strategic investments in store image upgrades and the successful launch of "Jiangnan Buyi+" multi-brand stores[60]. - Active member accounts exceeded 550,000, a significant increase from nearly 510,000 in fiscal year 2023, contributing over 80% of total retail sales[61]. - The company operates 514 self-operated stores and 1,488 distributor stores in mainland China as of June 30, 2024[58]. Expenses and Costs - Employee benefits expenses increased to RMB 486,503,000 for the fiscal year ending June 30, 2024, compared to RMB 434,792,000 in the previous year, marking an increase of about 11.9%[21]. - Selling and marketing expenses for fiscal year 2024 were RMB 1,827.1 million, accounting for 34.9% of total revenue, down from 38.0% in the previous year[70]. - The cost of goods sold for the fiscal year ending June 30, 2024, was RMB 1,620,362,000, up from RMB 1,374,982,000 in the previous year, indicating an increase of approximately 17.8%[21]. Investments and Acquisitions - The company acquired a 51% stake in Huiju for approximately RMB 96,441,000, gaining effective control with three out of five board seats[49]. - The fair value of identifiable net assets acquired from Huiju was RMB 88,410,000, with goodwill recognized at RMB 51,352,000 due to expected high growth and synergies[50]. - The company's cash outflow for the acquisition of Huiju, net of cash acquired, was RMB 39,121,000[51]. Governance and Compliance - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange's listing rules and has complied with all applicable provisions during the fiscal year 2024[85]. - The audit committee reviewed the accounting principles and practices adopted by the group for the fiscal year 2024[88]. - The auditors confirmed that the figures in the performance announcement align with the audited consolidated financial statements for the fiscal year 2024[89].

Financial Performance - Total revenue for the six months ended December 31, 2023, was RMB 2,975.5 million, an increase of 26.1% compared to RMB 2,360.0 million for the same period in 2022[9]. - Gross profit for the same period was RMB 1,947.7 million, reflecting a growth of 27.6% from RMB 1,526.2 million year-on-year[9]. - Operating profit increased by 55.2% to RMB 803.1 million, up from RMB 517.3 million in the previous year[9]. - Net profit rose by 54.5% to RMB 574.1 million, compared to RMB 371.7 million for the same period last year[9]. - Cash flow from operating activities increased significantly by 173.5% to RMB 1,059.7 million, up from RMB 387.4 million[9]. - The company reported total comprehensive income of RMB 577,126 thousand, compared to RMB 375,802 thousand in the same period last year, an increase of about 53%[57]. - Basic earnings per share rose to RMB 1.14, compared to RMB 0.74 in the prior year, showing a 54% increase[57]. - The company's profit attributable to shareholders for the six months ended December 31, 2023, was RMB 574,121,000, representing a 54.5% increase from RMB 371,716,000 in the same period of 2022[90]. Operational Efficiency - The company’s gross margin improved to 65.5%, up from 64.7% in the previous year[9]. - The operating margin increased to 27.0%, compared to 21.9% in the prior year[9]. - The net profit margin rose to 19.3%, up from 15.8% year-on-year[9]. - Sales and marketing expenses for the first half of fiscal year 2024 were RMB 926.3 million, representing 31.1% of total revenue, a decrease from 34.6% in the previous year, indicating improved operational efficiency[22]. - The total operating expenses for the six months ended December 31, 2023, were RMB 1,172,462 thousand, compared to RMB 1,042,710 thousand in 2022, representing an increase of approximately 12.4%[81]. Retail Expansion - The number of independent retail stores increased from 1,990 as of June 30, 2023, to 2,036 as of December 31, 2023[11]. - The comparable store sales for offline retail stores recorded a growth of 23.9% in the first half of fiscal year 2024, driven by strategic investments in store image upgrades and the introduction of new retail concepts[16]. - The revenue from the mature brand JNBY increased by 24.0%, amounting to RMB 328.6 million, while the growth brands collectively saw a revenue increase of 29.7%[18]. Cash and Assets - Cash and cash equivalents as of December 31, 2023, amounted to RMB 1,093.3 million, up from RMB 525.1 million as of June 30, 2023[26]. - Total assets amounted to RMB 4,529,440 thousand, an increase from RMB 4,065,827 thousand as of June 30, 2023, representing a growth of approximately 11.4%[58]. - Current assets increased to RMB 2,852,977 thousand from RMB 2,222,646 thousand, reflecting a significant rise of approximately 28.4%[58]. - The company’s cash reserves for statutory surplus reserves were RMB 241,000 as of December 31, 2023, compared to RMB 249,000 as of June 30, 2023, showing a decrease of approximately 3.2%[105]. Corporate Governance - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange's listing rules and has complied with all applicable provisions during the six months ending December 31, 2023[36]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited interim results for the six months ending December 31, 2023[38]. - The company will continue to review and monitor its corporate governance practices to ensure compliance with the governance code[36]. Dividends - The board declared an interim dividend of HKD 0.46 per share (approximately RMB 0.42) for the six months ended December 31, 2023[33]. - A special interim dividend of HKD 0.39 per share (approximately RMB 0.36) was also declared to celebrate the company's 30th anniversary[34]. - The final dividend paid for the six months ended December 31, 2023, was RMB 322,591,350, compared to RMB 259,004,000 for the same period in 2022, reflecting a 24.6% increase[91]. Shareholder Information - Wu Jian and Li Lin each hold 318,458,000 shares, representing 61.39% of the company, as beneficiaries of a trust[41]. - Wu Huateng holds 9,694,000 shares, representing 1.87% of the company, as a beneficial owner[41]. - Cititrust Private Trust (Cayman) Limited holds 309,258,000 shares, representing 59.62% of the company, as a trustee[44]. - The company has adopted a restricted share plan with a total of 70,000,000 shares, not exceeding 13.5% of the issued shares, effective until June 30, 2029[47]. Financial Risk Management - The company’s financial risk management includes assessing the impact of economic changes on fair value estimates, particularly regarding interest rates and inflation[74]. - The fair value of financial assets measured at fair value as of December 31, 2023, totaled RMB 252,290 thousand, with RMB 181,976 thousand classified as Level 3 instruments[75].

Revenue and Profit Growth - Total revenue for the first half of fiscal year 2024 reached RMB 2,975.5 million, a 26.1% increase compared to RMB 2,360.0 million in the same period of fiscal year 2023[2] - Net profit for the first half of fiscal year 2024 was RMB 574.1 million, a 54.5% increase compared to RMB 371.7 million in the same period of fiscal year 2023[2] - Total revenue for the six months ended December 31, 2023, was RMB 2,975.5 million, a 26.1% increase compared to the same period in 2022[43] - Total revenue increased by 27.6% to RMB 1,947.7 million in the first half of 2024 compared to RMB 1,526.2 million in the same period of 2023[57] - Net profit grew by 54.5% to RMB 574.1 million in the first half of 2024, with a net profit margin increasing from 15.8% to 19.3%[60] - Profit for the period rose to RMB 574,121 thousand in the first half of 2023, compared to RMB 371,716 thousand in the first half of 2022[11] - Net profit attributable to shareholders rose to RMB 574,121 thousand, compared to RMB 371,716 thousand in the prior year[30] Gross Profit and Margin - Gross profit for the first half of fiscal year 2024 was RMB 1,947.7 million, up 27.6% from RMB 1,526.2 million in the first half of fiscal year 2023, with the gross profit margin increasing by 0.8 percentage points to 65.5%[2] - Gross profit increased by 27.6% to RMB 1,947.7 million, with the gross margin rising from 64.7% to 65.5% due to enhanced brand strength[56] Cash Flow and Financial Position - Net cash inflow from operating activities for the first half of fiscal year 2024 was RMB 1,059.7 million, a 173.5% increase compared to RMB 387.4 million in the same period of fiscal year 2023[2] - Net cash generated from operating activities increased to RMB 1,187,793 thousand in the first half of 2023, up from RMB 566,525 thousand in the same period of 2022[12] - Cash and cash equivalents at the end of the period stood at RMB 1,093,255 thousand, compared to RMB 657,787 thousand at the end of the same period in 2022[13] - Net cash used in financing activities was RMB 541,644 thousand in the first half of 2023, higher than RMB 338,227 thousand in the same period of 2022[13] - Net cash generated from investing activities was RMB 49,992 thousand in the first half of 2023, compared to RMB 13,124 thousand in the same period of 2022[12] - Cash and cash equivalents increased to RMB 1,093.3 million as of December 31, 2023, up from RMB 525.1 million as of June 30, 2023[63] Dividends and Shareholder Returns - The Board declared an interim dividend of HK$0.46 per ordinary share and a special interim dividend of HK$0.39 per ordinary share, totaling HK$0.85 per ordinary share, amounting to HK$440.9 million in total[2] - The company declared an interim dividend of HKD 0.46 per ordinary share (approximately RMB 0.42 per share) for the six months ended December 31, 2023, payable on April 19, 2024[71] - A special interim dividend of HKD 0.39 per ordinary share (approximately RMB 0.36 per share) was declared to celebrate the company's 30th anniversary, payable on April 19, 2024[72] - Dividends paid amounted to RMB 322,591 thousand in the first half of 2023, up from RMB 259,004 thousand in the same period of 2022[11][10] - The company paid a final dividend of RMB 322,591,350, up from RMB 259,004,000 in the previous year[31] Earnings Per Share (EPS) - Earnings per share (EPS) for the first half of fiscal year 2024 were RMB 1.14 (basic) and RMB 1.11 (diluted), compared to RMB 0.74 in the same period of fiscal year 2023[6] - The group's basic earnings per share were RMB 1.14, calculated based on a profit attributable to shareholders of RMB 574,121 thousand and a weighted average number of ordinary shares of 505,179 thousand[28] - Diluted earnings per share increased to RMB 1.11, up from RMB 0.74 in the previous year[30] - The weighted average number of ordinary shares for diluted EPS calculation increased to 515,700 thousand from 504,383 thousand[30] Assets and Liabilities - Total assets as of December 31, 2023, were RMB 4,529.4 million, an increase from RMB 4,065.8 million as of June 30, 2023[7] - Total liabilities as of December 31, 2023, were RMB 2,257.5 million, compared to RMB 2,084.3 million as of June 30, 2023[8] - Net assets as of December 31, 2023, were RMB 2,271.9 million, up from RMB 1,981.5 million as of June 30, 2023[8] - Total equity increased to RMB 2,271,928 thousand as of December 31, 2023, from RMB 1,826,644 thousand as of December 31, 2022[10][11] Expenses and Costs - Sales and marketing expenses accounted for 31.1% of revenue in the first half of 2024, down from 34.6% in the same period of 2023 due to improved operational efficiency[59] - Administrative expenses decreased to 8.3% of revenue in the first half of 2024 from 9.0% in the same period of 2023[59] - Unallocated sales and marketing expenses, administrative expenses, and net impairment losses on financial assets amounted to RMB (324,757) thousand[19] - Employee headcount increased to 1,551 as of December 31, 2023, with total employee costs accounting for 7.8% of revenue[67] Brand and Revenue Breakdown - Total revenue for the group reached RMB 2,975,542 thousand, with mature brands contributing RMB 1,699,763 thousand, growth brands contributing RMB 1,227,805 thousand, and emerging brands contributing RMB 47,974 thousand[19] - The group's operating profit totaled RMB 803,080 thousand, with mature brands contributing RMB 716,858 thousand, growth brands contributing RMB 376,487 thousand, and emerging brands contributing RMB 2,885 thousand[19] - Total revenue for the first half of fiscal year 2024 increased by 26.1% to RMB 2,975.5 million, with mature brand JNBY growing by 24.0% and growth brands collectively increasing by 29.7%[50][51] - Revenue from mainland China accounted for 99.4% of total revenue, growing by 26.5%, while non-mainland revenue decreased by 23.4%[55] Retail and Channel Performance - Offline channel revenue grew by 26.5%, with self-operated stores increasing by 36.7% and distributor stores by 18.2%, while online channel revenue rose by 24.2%[53][54] - Offline channel revenue increased by 27.8% to RMB 1,615.7 million, with self-operated stores growing by 37.5% and distributor stores by 18.0%[58] - Online channel revenue rose by 27.0% to RMB 332.0 million in the first half of 2024[58] - Comparable same-store sales for offline retail stores increased by 23.9% in the first half of fiscal year 2024, driven by store image upgrades and the success of multi-brand collection stores[48] - The inventory sharing and allocation system contributed an incremental retail sales of RMB 596.8 million, a 48.7% increase compared to the first half of fiscal year 2023[48] Membership and Customer Engagement - The company's membership accounts exceeded 7.4 million as of December 31, 2023, with members contributing over 80% of total retail sales[49] - The number of active members increased to over 550,000 in 2023, up from 420,000 in 2022, with members spending over RMB 5,000 contributing RMB 4.33 billion in retail sales[49] Store and Geographic Expansion - The number of independent physical retail stores globally increased from 1,990 as of June 30, 2023, to 2,036 as of December 31, 2023[43] - JNBY brand stores increased from 921 to 935, while CROQUIS (速写) stores increased from 300 to 311 during the same period[44] - In mainland China, self-operated stores decreased from 564 to 549, while franchised stores increased from 1,402 to 1,464 as of December 31, 2023[46] - Over 50% of retail sales in mainland China were concentrated in first- and second-tier cities[46] Inventory and Accounts Receivable - The company's inventory of finished goods increased to RMB 1,204,721 thousand from RMB 1,179,752 thousand[34] - Inventory provision increased by RMB 28,569 thousand in the first half of 2023, compared to RMB 37,547 thousand in the same period of 2022[35] - Accounts receivable increased to RMB 242,521 thousand as of December 31, 2023, from RMB 144,721 thousand as of June 30, 2023[35] - 91.1% of accounts receivable were within 3 months as of December 31, 2023, compared to 85.0% as of June 30, 2023[36] - Accounts payable increased to RMB 334,611 thousand as of December 31, 2023, from RMB 232,094 thousand as of June 30, 2023[38] - Sales return provision increased to RMB 245,663 thousand as of December 31, 2023, from RMB 166,891 thousand as of June 30, 2023[41] Capital Expenditures and Investments - Capital expenditures decreased to RMB 48.0 million in the first half of 2024 from RMB 69.0 million in the same period of 2023[61] - The company invested RMB 6.0 million in a venture capital fund as of December 31, 2023[65] ESG and Corporate Governance - The company is building an ESG governance framework to promote ESG practices and achieve its 2025 ESG commitments[70] - The company has adopted the Corporate Governance Code under Appendix C1 of the Listing Rules and has complied with all applicable code provisions during the six months ended December 31, 2023[74] - The company has adopted the Model Code for Securities Transactions by Directors under Appendix C3 of the Listing Rules, and all directors confirmed compliance during the six months ended December 31, 2023[75] - The company did not purchase, sell, or redeem any of its listed securities during the six months ended December 31, 2023[76] Future Plans and Strategies - The company plans to optimize its designer brand and product portfolio through self-incubation or acquisitions, enhancing design and R&D capabilities[70] - The company aims to strengthen its domestic and international retail networks using internet thinking and technology, focusing on visual and image development for stores[70] - The company is committed to data-driven operations, technology as a carrier, and fan economy as the core, aiming to enhance the fan experience across its retail network[70] Other Financial Metrics - Total comprehensive income for the period increased to RMB 577,126 thousand in the first half of 2023, up from RMB 375,802 thousand in the first half of 2022[11][10] - Other income and gains net amounted to RMB 31,607 thousand, including government subsidies of RMB 28,227 thousand[23] - The group's financial income net amounted to RMB 24,951 thousand, with interest income from cash and cash equivalents and time deposits with initial terms exceeding three months contributing RMB 21,835 thousand[24] - The group's current income tax expense was RMB 217,507 thousand, with deferred income tax expense of RMB 16,194 thousand, totaling RMB 233,701 thousand[26] - Total property, plant, and equipment decreased to RMB 448,859 thousand from RMB 455,588 thousand[32] - Right-of-use assets decreased to RMB 698,749 thousand from RMB 797,254 thousand, with an increase of RMB 81,748 thousand in retail lease properties[33] - Intangible assets increased to RMB 21,552 thousand from RMB 19,307 thousand, with an addition of RMB 2,645 thousand in computer software[34] - Accumulated depreciation for property, plant, and equipment increased to RMB 309,888 thousand from RMB 254,678 thousand[32]

Brand Positioning and Market Presence - Jiangnan Buyi ranked first in the Chinese designer brand fashion industry based on retail sales in 2022, according to Zhi Shi Consulting[30]. - The brand portfolio includes multiple brands across three stages: mature brand JNBY, three growth brands (CROQUIS, jnby by JNBY, and LESS), and emerging brands like POMME DE TERRE and JNBYHOME[30]. - JNBY is recognized as the most unique and recognizable women's clothing designer brand in China, with the highest brand loyalty among the top ten women's designer brands based on repeat customer numbers[30]. - The company operates a retail network covering all provinces, autonomous regions, and municipalities in mainland China, as well as nine other countries and regions globally[40]. - The company has diversified its product offerings beyond women's wear, including men's and children's clothing, which have shown strong growth in recent years[79]. Financial Performance - For the fiscal year ending June 30, 2023, the company's revenue reached RMB 4,465,124, an increase of 9.3% compared to RMB 4,085,868 in the previous year[33]. - Gross profit for the same period was RMB 2,916,992, reflecting an 11.9% increase from RMB 2,607,370 in the prior year[33]. - Net profit increased by 11.2% to RMB 621,283, up from RMB 558,873 year-over-year[33]. - The company's operating profit rose to RMB 857,898, marking a 10.6% increase from RMB 775,852 in the previous year[33]. - The gross margin improved to 65.3%, up from 63.8% in the previous year, indicating enhanced profitability[35]. Customer Engagement and Marketing Strategies - The company has established a comprehensive omnichannel interactive platform consisting of physical retail stores, online platforms, and WeChat-based social media marketing services[30]. - New consumer scenarios and products, such as "Not Just a Box" and "Jiangnan Buyi+" multi-brand collection stores, have been launched to enhance customer experience and provide added value[30]. - The target customer demographic includes middle to high-income individuals who express their personality through fashion[30]. - The company aims to create a fan economy system that attracts and retains loyal customers through lifestyle advocacy[30]. - The company is focused on optimizing its fan-centric retail network to adapt to changing consumer behaviors and preferences[76]. Operational Efficiency and Innovations - The company continues to innovate in product offerings and marketing strategies to meet evolving consumer needs and preferences[30]. - The company plans to focus on enhancing brand power and optimizing its multi-brand retail network to adapt to changing consumer behaviors[37]. - The company is committed to data-driven operations, focusing on fan economy to create value-added services and improve the fan experience across a diversified retail network[62]. - The company is actively expanding its retail presence and exploring new consumer scenarios through various social channels[62]. - The company emphasizes continuous innovation in operations to enhance the overall retail experience for fans[62]. Sustainability and ESG Initiatives - The company focuses on sustainable development across various areas, including sustainable materials, talent development, environmental sustainability, and community support[151]. - The company has a strong commitment to environmental, social, and governance (ESG) principles, ensuring accurate and traceable key performance indicators[151]. - The company aims to achieve a sustainable materials procurement ratio of 30% or more by the end of fiscal year 2025, with the current ratio at 16.6%[178]. - The company is committed to reducing chemical pollution through the use of organic cotton and linen, which adhere to organic farming standards[184]. - The company has established an ESG governance structure with the board of directors as the highest decision-making body[156]. Corporate Governance and Leadership - The board consists of seven members, including three executive directors, one non-executive director, and three independent non-executive directors, ensuring diverse leadership[63]. - The company has adopted the Corporate Governance Code and has complied with all applicable provisions during the fiscal year 2023[113]. - The board has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee to oversee specific areas of governance[115]. - The company emphasizes the importance of board diversity and has established measurable targets for selecting board candidates based on various diversity criteria[131]. - The company provides necessary training and updates to all newly appointed directors to ensure understanding of operations and responsibilities[116]. Risk Management and Compliance - The company has established a robust risk management and internal control system to ensure asset safety and protect shareholder interests[139]. - The company emphasizes effective communication with shareholders to enhance investor relations and ensure timely disclosure of information[144]. - The company has implemented a risk identification and assessment process to manage significant risks impacting its operations[140]. - The internal audit department collaborates with senior management to review and assess risks and address any significant internal control deficiencies[139]. - The company has a whistleblowing policy to allow employees to report concerns regarding financial reporting and internal controls confidentially[127]. Employee Engagement and Development - The company provides competitive compensation and training opportunities for employees to foster personal development and retain talent[84]. - The total employee cost for fiscal year 2023 was RMB 434.8 million, representing 9.7% of revenue, up from 9.0% in fiscal year 2022[60]. - The company has established a retirement and employee benefits plan detailed in the financial statements[90]. - The management team includes professionals with backgrounds in various sectors, including e-commerce and manufacturing, enhancing the company's operational capabilities[73][74]. - The company aims to attract and retain suitable personnel through the implementation of the Restricted Share Plan[98]. Product Quality and Safety - The company emphasizes the importance of product quality and safety, which is a key concern for stakeholders[165]. - The company has implemented a comprehensive quality control system, including third-party testing for fabric components, color fastness, and harmful substances, ensuring compliance with internal standards[171]. - The company has achieved STANDARD 100 by OEKO-TEX® certification for its baby products, ensuring they are free from 100 known toxic substances[173]. - The company has developed a product recall management system to address defective products and protect consumer rights[174]. - The company continues to integrate sustainable development concepts into its operations and regularly reviews its ESG strategies and goals[167].

Financial Performance - Total revenue for the fiscal year ended June 30, 2023, was RMB 4,465.1 million, an increase of 9.3% or RMB 379.2 million compared to RMB 4,085.9 million for the fiscal year ended June 30, 2022[2] - Net profit for the fiscal year ended June 30, 2023, was RMB 621.3 million, up 11.2% or RMB 62.4 million from RMB 558.9 million in the previous fiscal year[2] - The gross profit for the fiscal year was RMB 2,916.99 million, compared to RMB 2,607.37 million in the previous year[5] - Basic earnings per share for the fiscal year was RMB 1.24, an increase from RMB 1.12 in the previous year[6] - The company reported a total comprehensive income of RMB 642,388 thousand for the year ended June 30, 2023, up from RMB 555,484 thousand in the previous year, representing a growth of approximately 15.6%[10] - The operating profit for the year ended June 30, 2023, was RMB 857,898 thousand, compared to RMB 775,852 thousand in the previous year, indicating an increase of about 10.6%[17][18] - The company reported a profit attributable to shareholders of RMB 621,292 thousand for the year ended June 30, 2023, compared to RMB 558,880 thousand in the previous year, indicating an increase of about 11.2%[10] - The company’s profit attributable to shareholders for the year ended June 30, 2023, was RMB 621,292,000, an increase of 11.1% from RMB 558,880,000 in 2022[25] - The net profit for fiscal year 2023 was RMB 621,300,000, reflecting an 11.2% growth from RMB 558,900,000 in fiscal year 2022, with a net profit margin increase from 13.7% to 13.9%[58] Retail and Membership Growth - The total number of retail stores increased from 1,956 to 1,990, covering all provinces, autonomous regions, and municipalities in mainland China, as well as 9 other countries and regions globally[2] - The number of unique member accounts exceeded 6.9 million, with over 6.7 million being WeChat accounts, maintaining a stable electronic WeChat member ratio of over 90%[2] - Active member accounts contributing to retail sales accounted for approximately 80% of total retail sales, with nearly 510,000 active members and around 260,000 members spending over RMB 5,000[2] - Comparable store sales growth for physical retail stores was 9.1% in fiscal year 2023, driven by strategic investments in store image upgrades and the introduction of new retail concepts[45] - Active member accounts increased to over 510,000 in fiscal year 2023, up from over 420,000 in fiscal year 2022, contributing approximately 80% of total retail sales[46] Assets and Liabilities - Total assets as of June 30, 2023, amounted to RMB 4,065.83 million, compared to RMB 3,899.84 million in the previous year[7] - Total liabilities decreased from RMB 2,214.87 million to RMB 2,084.30 million[8] - As of June 30, 2023, the total equity amounted to RMB 1,981,523 thousand, an increase from RMB 1,684,965 thousand as of June 30, 2022, reflecting a growth of approximately 17.6%[10] - The company’s total liabilities decreased to RMB 1,000,000 thousand as of June 30, 2023, from RMB 1,200,000 thousand a year earlier, reflecting a reduction of approximately 16.7%[10] Cash Flow and Dividends - The net cash generated from operating activities for the year ended June 30, 2023, was RMB 939,119 thousand, compared to RMB 852,874 thousand for the previous year, indicating an increase of about 10.1%[11] - The company paid dividends totaling RMB 391,864 thousand during the year, a decrease from RMB 612,085 thousand in the previous year, reflecting a reduction of about 36%[11] - The board proposed a final dividend of HKD 0.67 per share, approximately RMB 0.63 per share[3] - The total dividends distributed and paid by the company for the year ended June 30, 2023, amounted to RMB 391,864,000, a decrease of 36% from RMB 612,085,000 in 2022[28] Expenses and Financial Management - Employee benefits expenses, including share-based payments, rose to RMB 434,792 thousand, compared to RMB 367,454 thousand in the previous year, marking an increase of about 18.3%[19] - Selling and marketing expenses for fiscal year 2023 amounted to RMB 1,695,100,000, representing 38.0% of total revenue, up from 37.0% in fiscal year 2022[56] - Administrative expenses for fiscal year 2023 were RMB 445,600,000, accounting for 10.0% of total revenue, compared to 9.2% in fiscal year 2022[56] Investments and Capital Expenditures - The company incurred a net cash outflow from investing activities of RMB 239,773 thousand for the year, compared to a net cash inflow of RMB 190,175 thousand in the previous year[11] - Capital expenditures for fiscal year 2023 totaled RMB 155,400,000, an increase from RMB 140,000,000 in fiscal year 2022[59] - The company’s investment in property, plant, and equipment amounted to RMB 148,734 thousand for the year, compared to RMB 134,439 thousand in the previous year, reflecting an increase of approximately 10.6%[11] Future Outlook and Strategy - The company anticipates continued economic recovery in China, creating new opportunities for high-quality development, driven by consumer demand for personalized and fashionable products[68] - The company plans to optimize its designer brand portfolio through self-incubation or acquisitions, enhancing design and R&D capabilities[68] - The company aims to strengthen its retail network using internet technology and enhance its marketing platform and supply chain capabilities[68] - The company is committed to implementing ESG practices and achieving its 2025 commitments for sustainable development[69] Audit and Compliance - The audit committee has reviewed the accounting principles and practices adopted by the company for the fiscal year 2023[74] - The external auditor, PwC, confirmed that the figures in the performance announcement align with the audited consolidated financial statements for the fiscal year 2023[74] - The annual performance announcement is available on the Hong Kong Stock Exchange website and the company's website[75]

Financial Performance - Total revenue for the six months ended December 31, 2022, was RMB 2,360.0 million, a decrease of 5.0% compared to RMB 2,484.7 million for the same period in 2021[9]. - Gross profit for the same period was RMB 1,526.2 million, down 3.0% from RMB 1,573.8 million in 2021[10]. - Operating profit decreased by 15.7% to RMB 517.3 million from RMB 613.8 million year-on-year[10]. - Net profit for the six months was RMB 371.7 million, a decline of 16.2% compared to RMB 443.8 million in the previous year[10]. - The revenue from the mature brand JNBY decreased by 4.8% or RMB 68.7 million, while the growth brand segment saw a decline of 5.6%[21]. - The net profit for the first half of fiscal year 2023 was RMB 371.7 million, a decrease of 16.2% or RMB 72.1 million from RMB 443.8 million in the same period of fiscal year 2022, with a net profit margin dropping from 17.9% to 15.8%[26]. - The profit before tax decreased from RMB 614.6 million in the first half of fiscal year 2022 to RMB 514.5 million in the first half of fiscal year 2023, a decline of 16.3%[28]. - Basic earnings per share for the period were RMB 0.74, down from RMB 0.89 in the same period last year[63]. - The profit attributable to shareholders for the six months ended December 31, 2022, was RMB 371,716,000, a decrease of 16.3% compared to RMB 443,836,000 for the same period in 2021[94]. Margins and Ratios - The company maintained a gross profit margin of 64.7%, up from 63.3% in the previous year[12]. - Operating profit margin decreased to 21.9% from 24.7% year-on-year[12]. - Net profit margin also declined to 15.8% from 17.9% in the previous year[12]. - The company's asset-liability ratio improved to 56.1% from 58.9% year-on-year[12]. Cash Flow and Liquidity - Cash flow from operating activities decreased significantly by 49.9% to RMB 387.4 million from RMB 772.8 million[11]. - The net cash inflow from operating activities in the first half of fiscal year 2023 was RMB 387.4 million, a decrease of 49.9% from RMB 772.8 million in the first half of fiscal year 2022[29]. - The company incurred a net cash outflow from financing activities of RMB 338,227 thousand, compared to RMB 706,964 thousand in the previous year, indicating a reduction in financing costs[70]. - The total cash and cash equivalents at the end of the period was RMB 657,787 thousand, a decrease of 23% from RMB 853,180 thousand at the end of the previous year[70]. Store Expansion and Membership - The number of independent retail stores increased from 1,956 as of June 30, 2022, to 2,004 as of December 31, 2022[13]. - Membership accounts exceeded 6.4 million as of December 31, 2022, up from over 5.9 million on June 30, 2022, with active members contributing over 80% of total retail sales[20]. - As of December 31, 2022, the total number of independent retail stores globally reached 2,004, an increase from 1,956 on June 30, 2022, representing a growth of 2.4%[14]. Expenses - Sales and marketing expenses for the first half of fiscal year 2023 were RMB 817.5 million, representing 34.6% of total revenue, an increase from 32.1% in the previous year[25]. - Administrative expenses rose to RMB 211.7 million in the first half of fiscal year 2023, accounting for 9.0% of total revenue, compared to 7.7% in the previous year[25]. - The total employee cost for the first half of fiscal year 2023 was RMB 201.9 million, representing 8.6% of revenue, compared to 7.1% in the first half of fiscal year 2022[34]. Corporate Governance - The company adhered to all applicable provisions of the corporate governance code during the six months ended December 31, 2022[41]. - The company continues to review and monitor its corporate governance practices to ensure compliance with the corporate governance code[41]. - The company has established a standard code for securities trading by directors, which was adhered to during the reporting period[42]. Shareholder Information - The board declared an interim dividend of HKD 0.30 per share, approximately RMB 0.27 per share, expected to be paid on April 20, 2023[39]. - Directors and senior management held a total of 320,681,000 shares, representing 61.82% of the company[47]. - Credit Suisse Trust Limited holds 308,881,000 shares, representing 59.54% of the company's issued shares[50]. - Ninth Capital Limited owns 154,100,000 shares, equivalent to approximately 29.71% of the company's issued shares[50]. - The company paid dividends amounting to RMB 259,004 thousand, a decrease of 44% compared to RMB 459,613 thousand in the previous year[70]. Assets and Liabilities - As of December 31, 2022, the company's cash and cash equivalents amounted to RMB 657.8 million, an increase from RMB 591.7 million as of June 30, 2022[29]. - Total liabilities amounted to RMB 2,332,763 thousand, up from RMB 2,214,870 thousand, indicating a growth of 5.30%[64]. - The company’s lease liabilities increased to RMB 440,687 thousand, up from RMB 342,658 thousand, reflecting a growth of 28.60%[64]. - The total number of restricted shares granted under the restricted share plan is capped at 70,000,000 shares, valid until June 30, 2029[53]. Future Outlook - The company plans to optimize its designer brand portfolio through self-incubation or acquisitions, enhancing design and R&D capabilities[37]. - The company plans to continue its market expansion and product development strategies to enhance future growth prospects[71]. - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[97].

Financial Data and Key Metrics Changes - The company continues to operate under online webcast and conference call formats due to the government's ongoing mask mandate, indicating a cautious approach to in-person interactions [1] Company Strategy and Development Direction and Industry Competition - The company expresses gratitude to investors and analysts for their participation, highlighting the importance of communication and engagement during the current operating environment [1] Other Important Information - The company welcomes face-to-face interactions during the post-conference roadshow, suggesting a commitment to maintaining relationships with stakeholders despite current restrictions [1] Q&A Session All Questions and Answers - No specific questions and answers were provided in the content [1]