Financial Performance - The company's operating revenue for the nine months ended September 30, 2023, was RMB 8,675,386,414.22, a decrease of 17.3% compared to RMB 10,483,872,179.16 in the same period of 2022[2]. - The net profit attributable to the owners of the parent company for the same period was a loss of RMB 560,527,154.92, a decline of 142.53% from a profit of RMB 1,317,956,964.82 in 2022[3]. - The total comprehensive income attributable to the owners of the parent company was a loss of RMB 783,580,901.15, compared to a profit of RMB 732,337,805.19 in the same period last year[3]. - The company anticipates a net profit attributable to the owners of the parent company for the first three quarters of 2023 to be between RMB -600 million and RMB -500 million, a decrease of 137.9% to 145.5% year-on-year[3]. Financial Costs and Expenses - The company reported a significant increase in financial costs, totaling RMB 1,878,704,823.68, compared to RMB 1,771,406,018.09 in the previous year, reflecting a rise of 6.05%[2]. - Research and development expenses decreased to RMB 13,771,845.42 from RMB 34,414,109.82, indicating a reduction of 60.0%[2]. - The company reported a decrease in interest income to RMB 124,654,518.65 from RMB 174,617,731.89, a decline of 28.6%[2]. - The company recognized impairment losses of over RMB 130 million for entrusted management business and over RMB 210 million for construction-related business due to slow recovery in the real estate sector[6]. - The company made an impairment provision of approximately RMB 166 million for long-term equity investments with poor operating conditions[6]. - The company plans to adjust its future operational direction for high-end imported furniture retail business and intends to conduct a bulk clearance of existing inventory, leading to an impairment loss of nearly RMB 100 million[6]. Cash Flow and Assets - The net cash flow from operating activities for the nine months ended September 30, 2023, was RMB 2.77 billion, down from RMB 3.98 billion in the same period of 2022, representing a decline of approximately 30.4%[8]. - The company reported a net increase in cash and cash equivalents of approximately RMB 510 million for the period, compared to a decrease of approximately RMB 906 million in the same period of 2022[8]. - As of September 30, 2023, the total current assets amounted to approximately RMB 11.70 billion, an increase from RMB 11.45 billion at the end of 2022[9]. Liabilities and Equity - The total liabilities as of September 30, 2023, were approximately RMB 70.21 billion, a decrease from RMB 71.12 billion at the end of 2022[13]. - As of September 30, 2023, the total equity attributable to shareholders of the parent company is RMB 52,492,976,026.81, a decrease from RMB 53,547,605,431.72 as of December 31, 2022, representing a decline of approximately 1.96%[14]. - The total liabilities and equity amount to RMB 126,075,090,926.67, down from RMB 128,110,669,113.82 in the previous year, indicating a decrease of about 1.60%[14]. - The total borrowings of the group as of the reporting date stand at RMB 32,695,451,845.44[14]. - The capital reserve increased slightly to RMB 6,884,592,342.60 from RMB 6,881,596,618.59, reflecting a growth of approximately 0.02%[14]. - Other comprehensive income decreased to RMB 715,747,273.47 from RMB 1,012,724,841.48, showing a decline of about 29.3%[14]. - The retained earnings as of September 30, 2023, are RMB 38,249,175,184.77, down from RMB 39,009,822,745.68, which is a decrease of approximately 1.93%[14]. - The total equity of the group is RMB 55,861,999,814.51, a decrease from RMB 56,995,357,087.59, representing a decline of about 1.99%[14]. - The minority interest amounts to RMB 3,369,023,787.70, down from RMB 3,447,751,655.87, indicating a decrease of approximately 2.27%[14]. Operational Adjustments - The company updated its operational assessment for underperforming rental malls and decided to terminate leases, resulting in an operating expense of nearly RMB 68 million for the reporting period[8]. - The company plans to discuss rental and management fee discounts for eligible merchants to support the ongoing development of the home furnishing and building materials industry[1]. - The company experienced a decline in rental rates, impacting the valuation of investment properties and leading to a corresponding adjustment in property valuations[5]. Legal and Governance - The company reached a settlement regarding a civil lawsuit with Runliang Investment, agreeing to pay RMB 63.35 million in compensation and terminate the related cooperation agreements[8]. - The board of directors includes both executive and non-executive members, ensuring a diverse governance structure[15]. - The company emphasizes that the financial data provided is unaudited and based on internal records, cautioning shareholders and potential investors to act prudently[15]. Investment Properties - The fair value change loss of investment properties accumulated to RMB 457 million, representing an increase in loss of RMB 557 million year-on-year[5].
红星美凯龙(01528) - 2023 Q3 - 季度业绩