Financial Performance - The company reported a consolidated profit of RMB 500 million for the six months ended June 30, 2024, representing a 15% increase compared to the same period last year[50]. - Revenue for the six months ended June 30, 2024, was RMB 32,855,766, a decrease of 24.3% compared to RMB 43,376,803 for the same period in 2023[15]. - Profit attributable to equity shareholders for the period was RMB 229,269, down 40.1% from RMB 382,957 in 2023[15]. - The profit attributable to equity shareholders of the Company amounted to approximately RMB 0.13 billion, representing a year-on-year decrease of 49.0%[19]. - The overall gross profit margin improved to 3.5%, an increase of 0.5 percentage points compared to the same period last year[19]. - Gross profit for the period was RMB 1,142,231, representing 3.5% of total revenue, a decline of 11.7% from RMB 1,293,539 in the previous year[15]. - Basic earnings per share for the period was RMB 0.23, compared to RMB 0.44 for the same period last year[163]. - Total comprehensive income for the period was RMB 229,298, down from RMB 382,948 in 2023[165]. Revenue and Sales - Revenue from commerce business was RMB 32,385,207, accounting for 98.6% of total revenue, down 24.7% from RMB 42,989,790 in 2023[15]. - Revenue from member retail stores increased to 43.8% from 35.6% for the same period last year[19]. - In the first half of 2024, the Group recorded total revenue of approximately RMB 32.86 billion, representing a year-on-year decrease of 24.3%[19]. - Revenue from the service business increased by 12.0% year-on-year, totaling RMB 384,499,000 for 2024 compared to RMB 343,162,000 for 2023[52]. - SaaS+ subscription revenue grew by 13.6% year-on-year, reaching RMB 306,849,000 in 2024, driven by enhanced customer service capabilities[53]. User and Market Growth - User data showed a growth of 20% in active users, reaching 10 million by June 30, 2024[50]. - Total number of registered member retail stores increased to 246,287, a growth of 13.2% from 217,592 in the previous year[16]. - Number of active member retail stores rose to 92,493, reflecting a 19.3% increase compared to 77,514 in 2023[16]. - Total number of SaaS+ subscription users reached 127,363, up 5.1% from 121,209 in the previous year[16]. - Paid SaaS+ users increased to 47,887, marking a significant growth of 28.8% from 37,182 in 2023[16]. Strategic Initiatives - The company is expanding its market presence in Southeast Asia, targeting a 30% market share by the end of 2025[50]. - The Group focused on building independent supply chain capacity and deepening cooperation with leading brands across various sectors[22]. - The Group aims to enhance corporate operation capability and risk management in the second half of 2024, laying the foundation for achieving strategic objectives over the next five years[36]. - The Group plans to optimize its digital product matrix and provide customized services for large enterprises and SaaS services for SMEs[42]. - The Group will continue to attract industry-leading talents to support breakthroughs in new industries and models[42]. Cost Management and Efficiency - The management discussed plans to enhance operational efficiency, aiming for a 5% reduction in costs by the end of 2024[50]. - Selling and marketing expenses decreased by 8.0% to RMB 572,554,000 in 2024, representing 1.7% of revenue[59]. - Administrative and other operating expenses fell by 7.2% to RMB 160,052,000 in 2024, accounting for 0.5% of revenue[61]. - Research and development expenses increased by 18%, totaling RMB 80 million, focusing on innovative technologies[50]. - Research and development costs decreased by 15.8% to RMB 38,600,000 in 2024, reflecting improved efficiency in R&D capabilities[66]. Financial Position and Cash Flow - The company reported a cash flow of RMB 200 million, reflecting a strong liquidity position[58]. - Net cash generated from operating activities was RMB 125,087, a decrease of 49.0% from RMB 245,128 in the previous year[15]. - Cash and cash equivalents amounted to RMB 3,473.5 million and RMB 3,748.9 million as at June 30, 2024 and December 31, 2023, respectively[69]. - The net cash generated from operating activities for the six months ended June 30, 2024, was RMB 248,976,000, a decrease of 58% from RMB 599,597,000 in the same period of 2023[190]. - The net decrease in cash and cash equivalents for the six months ended June 30, 2024, was RMB (275,288) thousand, compared to an increase of RMB 590,238 thousand for the same period in 2023[192]. Shareholder and Corporate Governance - The Company has been listed on the "Fortune China 500" for three consecutive years, indicating its strong market position[33]. - The Company granted a total of 4,842,500 RSUs on April 6, 2023, representing approximately 0.86% of the total issued shares and 2.69% of the total H Shares as of the Latest Practicable Date[126]. - The Company’s RSU Scheme allows the Board to determine vesting criteria and conditions during its validity[126]. - The Company does not issue or allot additional new Shares in connection with the RSU grants, ensuring no dilution effect on existing shareholders[128]. - The Company has established an audit committee consisting of three independent non-executive directors[138]. Compliance and Audit - The independent auditor's review confirmed the accuracy of the financial statements, ensuring compliance with regulatory standards[48]. - The interim financial report was authorized for issue on August 28, 2024, and prepared in accordance with International Accounting Standard 34, ensuring compliance with relevant regulations[197]. - The independent auditor's review did not identify any issues that would suggest the interim financial report is not prepared in accordance with International Accounting Standard 34[159]. - The Company is in compliance with the relevant provisions of the Listing Rules and International Accounting Standards for the preparation of the interim financial report[155].
汇通达网络(09878) - 2024 - 中期财报