STO(002468)2021-08-29 16:00Financial Performance - Revenue for the reporting period increased by 19.00% to RMB 11,017,596,019.18 compared to the same period last year[34] - Net profit attributable to shareholders of the listed company decreased by 306.99% to a loss of RMB -146,295,024.47[34] - Net cash flow from operating activities increased by 162.73% to RMB 250,732,137.72[34] - Basic earnings per share decreased by 300.00% to RMB -0.10[34] - Total assets increased by 19.55% to RMB 19,070,945,316.91 compared to the end of the previous year[34] - Equity attributable to shareholders of the listed company decreased by 1.89% to RMB 8,624,391,643.30[34] - Revenue reached RMB 11,017.596 million, a year-on-year increase of 19.00%[66] - Net profit attributable to shareholders was RMB -146.295 million, a year-on-year decrease of 306.99%[66] - Revenue for the reporting period increased by 19.00% to RMB 11,017,596,019.18, driven by increased business volume[118] - Operating costs rose by 21.60% to RMB 10,775,135,830.16 due to higher business volume[118] - Net cash flow from operating activities surged by 162.73% to RMB 250,732,137.72, attributed to improved accounts receivable management and controlled accounts payable[118] - Total revenue increased by 21.60% to 10.78 billion yuan compared to the previous year[128] - Other business revenue decreased by 39.92% to 81.67 million yuan, accounting for 0.76% of total revenue[128] - Investment income decreased by 23.42% to 40.74 million yuan, mainly due to lower returns from financial products[129] - Monetary funds decreased by 2.40% to 2.65 billion yuan, accounting for 13.92% of total assets[131] - Fixed assets increased by 0.42% to 5.20 billion yuan, representing 27.25% of total assets, driven by capacity expansion and capital expenditure[133] - Short-term borrowings increased by 4.63% to 3.72 billion yuan, mainly due to new bank loans[133] - The company invested 1.23 billion yuan in the reporting period, a 39.29% increase compared to the same period last year[140] - The company's subsidiary, STO Express, reported a net loss of 46.61 million yuan, with total assets of 15.44 billion yuan[146] - The company's financial assets, including trading financial assets, amounted to 2.70 billion yuan at the end of the reporting period[135] Business Operations and Expansion - The company completed a business volume of 4.832 billion pieces, a year-on-year increase of 37.39%[66] - The company has 68 transit centers, with a self-operated rate of approximately 95.59%[69] - The company plans to complete 48 expansion and renovation projects in 2021, with 20 already completed by the end of June, increasing daily throughput capacity to 35 million orders. An additional 28 projects are expected to be completed by the end of the year, aiming for a daily throughput capacity of 42 million orders[70] - The company has deployed 225 sets of automated sorting equipment, including 147 cross-belt sorting devices (an increase of 17 sets from 2020) and 78 swing-arm devices (an increase of 2 sets from 2020)[71] - The company's self-operated fleet consists of 3,532 vehicles, with large-capacity trailers accounting for 70% of the fleet. It has opened approximately 2,500 trunk transportation routes[75][77] - The company's accident rate decreased by 37% year-over-year due to the installation of collision prevention systems and improved fleet management through digitalization[73] - The company's network coverage reached 88.12% of China's fourth-level administrative units (streets, townships, etc.), with 4,440 independent outlets nationwide, including over 100 new outlets developed in the first half of 2021[79] - The company's parcel business achieved a 52% year-over-year growth in daily volume, covering 30 provinces and 206 cities, with a 94% order acceptance rate and a 98.5% timely return rate[87] - The company's warehousing business handled an average of 100,000 orders per day, with a total warehouse area of 100,000 square meters, including cold storage facilities for fresh produce[85] - The company's C2M (Customer-to-Manufacturer) logistics solutions have expanded to 9 provinces and municipalities, with plans to open new warehouses in the second half of 2021[86] - The company's smart customer service system can handle at least 60% of customer inquiries automatically, reducing labor costs and improving customer retention[84] - The company's Kunlun system, a smart operations platform, enables real-time data analysis and resource optimization, supporting cost control and network efficiency improvements[80] - Grid warehouse business has covered 17 provinces and municipalities including Hunan, Hubei, and Fujian, with plans to expand further in the second half of the year[90] - The company completed full cloud migration in 2020, achieving a concurrency processing capability of 100 million transactions per second and second-level warning capabilities[97] - The company's Kunlun system optimizes routing and budget control, integrating cost perspectives into business operations to reduce costs and improve efficiency[99] - The company uses big data and algorithms to optimize cost structures, with a labor efficiency model that predicts daily volume and improves operational efficiency[100] - The company has built a courier center using OCR, NLP, and automated SMS cloud calling technologies, improving delivery efficiency and reducing costs[101] - The company's self-operated transfer centers increased to 65, with a self-operation rate of approximately 95.59%, and the number of independent outlets reached 4,440, an increase of 8.29% year-on-year[107] - The company has upgraded its tracking system to a unified operational platform, enabling real-time verification and interception capabilities for millions of packages daily, enhancing operational efficiency[112] - The company has implemented a cloud-native technology-based DevOps platform, achieving rapid system iteration and automated operations, ensuring smooth system performance during peak periods like "Double Eleven"[111] - The company has developed a differentiated fulfillment service capability, including pre-sale sinking and "Spring Festival不打烊" (non-stop service during the Spring Festival), which have achieved significant success[112] - The company has established a comprehensive brand image recognition system, ensuring standardized brand representation across all scenarios[108] - The company has a well-established talent structure, focusing on transforming single-type talents into compound talents, and has implemented a comprehensive talent development strategy[113] - The company has received numerous awards, including "China Famous Trademark" and "Shanghai Famous Trademark," reflecting its strong brand recognition and market influence[114] - The company's business model of "direct operation of transfer centers and franchise of outlets" has been systematically optimized, further improving the network layout[107] - The company has leveraged cloud-based big data solutions and AI computing power to enhance intelligent prediction and routing, driving business innovation[111] - The company's parcel volume in H1 2021 reached approximately 4.832 billion pieces, a year-on-year increase of 37.39%[124] - Single-ticket revenue for information services decreased by 42.86% to RMB 0.12, influenced by adjusted market policies[125] - Delivery income per ticket dropped by 11.89% to RMB 1.26 due to adjusted market policies aimed at boosting business volume[125] - Transportation costs increased by 14.83% to RMB 1,733,976,583.02, driven by higher business volume[125] - Employee compensation costs rose by 24.38% to RMB 1,476,825,349.48, reflecting increased business volume and new transit centers[125] - Depreciation and amortization expenses grew by 31.43% to RMB 512,655,972.44 due to new buildings and transit center equipment[125] - Other transit costs surged by 50.43% to RMB 529,188,557.52, driven by increased subsidies for transit center operations[125] - The company established four new subsidiaries during the reporting period, including Inner Mongolia Deze Logistics Co., Ltd., which had no significant impact on overall operations[146] - The company's wholly-owned subsidiary, STO Express, is one of the earliest private express delivery companies in China, with a highly covered express service network[149] - The company is focusing on "digital intelligence operation" and has strengthened infrastructure construction, optimized trunk line capacity, empowered end outlets, and promoted digital transformation[149] Industry and Market Trends - The express delivery industry is benefiting from policy support, with regulations aimed at curbing price wars and improving industry standards[91] - The express delivery industry is experiencing a trend of consolidation, with leading companies gaining advantages through scale and infrastructure investments[101] - The national express delivery business volume reached 493.9 billion pieces in the first half of 2021, a year-on-year increase of 45.8%, with business revenue reaching 484.21 billion yuan, up 26.6% year-on-year[106] - National online retail sales reached 6.1133 trillion yuan in the first half of 2021, a year-on-year increase of 23.2%, with physical goods online retail sales accounting for 23.7% of total retail sales[94] - China's internet user base reached 989 million by December 2020, with an internet penetration rate of 70.4%[94] - E-commerce live streaming user base reached 388 million by December 2020, accounting for 39.2% of the total internet user base, with 66.2% of live streaming users directly converting to online shoppers[95] - The express delivery industry is strongly positively correlated with macroeconomic growth, and economic fluctuations will impact the industry's service volume and company performance[150] - The domestic express delivery market is highly competitive, and the company faces challenges from e-commerce giants building their own logistics systems[152] Risk Management and Mitigation - The company faces risks and has detailed corresponding measures in the "Management Discussion and Analysis" section[8] - The company will closely monitor macroeconomic changes and implement targeted measures to mitigate risks[151] - The company will adjust its business positioning and long-term development strategy to respond to market competition[155] - Rising fuel prices could increase transportation costs, and the company will optimize route planning and loading rates to mitigate this risk[157] - The company operates under various laws and regulations, and changes in industry policies could impact its performance[158] - The company's franchise model for business outlets poses risks if key franchisees change, and the company will strengthen franchisee management[159] - The company leases some business outlets and transfer centers, and there is a risk of not being able to renew leases, but the company has taken measures to mitigate this risk[162] - Some operating outlets or transfer centers face risks due to incomplete property rights of leased premises, potentially leading to disputes and losses. The company is actively communicating with lessors to improve property rights and has strengthened internal management to reduce the proportion of such properties[163] - Road transport safety accidents pose significant risks, potentially leading to compensation, vehicle damage, and penalties. The company plans to enhance vehicle management, driver training, and insurance coverage to mitigate these risks[166] - The company's information system, while comprehensive, has experienced localized and temporary network failures. The company is prioritizing system upgrades and data backup protocols to prevent data loss and service interruptions[167] - Natural disasters and adverse weather conditions are unavoidable risks that could disrupt operations. The company has established emergency response mechanisms to minimize losses from such events[168] Corporate Governance and Social Responsibility - The company does not plan to distribute cash dividends, issue bonus shares, or convert capital reserve into share capital[9] - The company's registered address is in Zhejiang Province, and its office address is in Shanghai[30] - The company's stock is listed on the Shenzhen Stock Exchange with the stock code 002468[28] - The 2020 annual general meeting had a 63.71% investor participation rate, and the 2021 first extraordinary general meeting had a 64.11% participation rate[172] - Key management changes include the election of new directors and executives, such as Chen Dejun as Chairman and Wang Wenbin as Director and General Manager[174][177] - The company reported no profit distribution or capital reserve conversion into share capital for the first half of the year[178] - No equity incentive plans, employee stock ownership plans, or other employee incentive measures were implemented during the reporting period[179] - The company and its subsidiaries are not classified as key pollutant discharge units and reported no environmental penalties during the reporting period[183] - The company transported over 30 million orders of local specialties such as tea, mugwort, and snail noodles, and sold nearly 70,000 pounds of agricultural products, helping to increase local income by nearly 10 million yuan[185] - The company allocated 10 million yuan in special funds to support disaster relief efforts in Henan, and dispatched over 50 vehicles to transport more than 300 tons of relief supplies[188] - The company's RFID eco-friendly bag usage rate reached 99%, electronic waybill usage rate reached 99.55%, and slim tape usage rate reached 100%, with 8,000 recycling boxes deployed[189] - The company provided over 200,000 yuan in financial assistance to more than 10 employees in need[190] Non-Recurring Items and Other Financial Data - Non-current asset disposal gains amounted to RMB 6,855,002.60[42] - Government subsidies related to business operations totaled RMB 7,761,592.45[42] - Investment gains from entrusted assets reached RMB 34,502,821.10[42] - Gains from financial assets and liabilities totaled RMB 20,279,792.79[42] - Total non-recurring gains and losses amounted to RMB 22,018,902.35[42]