桂发祥(002820) - 2024 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions This section contains standard report declarations, ensuring the truthfulness, accuracy, and completeness of the report content, and defines specific terms for clarity Important Notice This section contains standard report declarations, where the company's board of directors, supervisory board, and senior management ensure the truthfulness, accuracy, and completeness of the report content and assume corresponding legal responsibilities, also clarifying no semi-annual profit distribution is planned - Company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of this semi-annual report, free from false records, misleading statements, or major omissions[2] - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the 2024 semi-annual period[2] Table of Contents and Definitions This section provides the complete directory structure of the report and clearly defines specific terms used, such as abbreviations for company entities, controlling shareholder, and actual controller, providing guidance for subsequent reading - The actual controller of the report is the State-owned Assets Supervision and Administration Commission of Hexi District, Tianjin Municipality[5] Company Profile and Key Financial Indicators This section provides the company's basic business registration information and key financial performance metrics for the reporting period Company Profile This section provides the company's basic business registration information, including stock abbreviation "Guifa Xiang", stock code "002820", and the company's full Chinese and English names, legal representative, and other core details Company Basic Information | Item | Content | | :--- | :--- | | Stock Abbreviation | Guifa Xiang | | Stock Code | 002820 | | Listed Exchange | Shenzhen Stock Exchange | | Legal Representative | Li Lu | Key Accounting Data and Financial Indicators During the reporting period, the company achieved operating revenue of 268 million Yuan, a year-on-year increase of 2.87%, but net profit attributable to shareholders was 22.72 million Yuan, a significant year-on-year decrease of 43.39% Key Financial Indicators for H1 2024 | Indicator | Current Period | Prior Year Period | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue (Yuan) | 267,920,357.13 | 260,454,886.97 | 2.87% | | Net Profit Attributable to Shareholders of Listed Company (Yuan) | 22,719,580.81 | 40,130,285.17 | -43.39% | | Net Profit after Non-recurring Items (Yuan) | 21,540,679.17 | 38,038,550.83 | -43.37% | | Net Cash Flow from Operating Activities (Yuan) | 43,100,742.06 | 74,741,427.16 | -42.33% | | Basic Earnings Per Share (Yuan/share) | 0.11 | 0.20 | -45.00% | | Weighted Average Return on Net Assets | 2.36% | 4.15% | -1.79% | | Indicator | End of Current Period | End of Prior Year | YoY Change | | Total Assets (Yuan) | 989,352,779.79 | 1,058,374,113.89 | -6.52% | | Net Assets Attributable to Shareholders of Listed Company (Yuan) | 915,921,512.51 | 982,271,540.74 | -6.75% | - Non-recurring gains and losses totaled 1.1789 million Yuan during the reporting period, primarily from government subsidies and wealth management income[13][14] Management Discussion and Analysis This section provides an in-depth analysis of the company's operational performance, financial results, core competencies, investment activities, and risk management strategies Overview of Operations In the first half of 2024, facing insufficient consumer demand, the company achieved operating revenue of 268 million Yuan, a 2.87% year-on-year increase, but net profit decreased by 43.39% to 22.72 million Yuan due to increased sales and administrative expenses supporting national expansion - The company continuously enriched its product matrix, including developing light gift products and new Chinese-style pastries, and cross-industry collaborations with IPs like Yangliuqing New Year Paintings to enhance product cultural attributes[16] - E-commerce channel improvements were significant, achieving operating revenue of 22.13 million Yuan, a year-on-year increase of 73.51%, while the distribution channel focused on expanding into external markets, with sales outlets reaching over a dozen provinces and cities[17] - The company actively explored a "youthful" brand strategy by sponsoring e-sports teams, organizing study tours, and collaborating with cultural tourism projects to build connections with young consumers[18] - Direct sales channels underwent management upgrades, exploring four models: "traditional sales stores, time-honored brand collection stores, Guixiang Dieyu, and Xiangyun Jincai," forming a multi-format layout for food retail[19] Retail Business Operations The company's retail business primarily consists of direct stores and online self-operated channels, with 59 direct stores in Tianjin accounting for approximately 71% of total revenue, and online self-operated channel revenue growing rapidly by 67.62% year-on-year Direct Store Operations (Tianjin Area) | Indicator | Quantity/Amount | | :--- | :--- | | Number of Direct Stores | 59 | | Operating Revenue (Yuan) | 190,300,380.94 | | Contract Area (sqm) | 16,063.95 | - During the reporting period, 2 new direct stores (TEDA Hui Store, Nezha Town Store) were opened, and 2 were closed (Tianhuali Store, Baodi Store), maintaining the total number of stores[22] - Online platform direct sales business achieved operating revenue of 15.2484 million Yuan, a year-on-year increase of 67.62%, with online transaction volume (GMV) of 21.3864 million Yuan[24] Food Manufacturing Business Operations The company's food manufacturing business, covering traditional specialty foods like Mahua and pastries, saw Mahua products remain the core revenue source at 65% of main business revenue, with online distribution and external regional distribution revenue growing rapidly by 88.16% and 74.37% respectively Revenue by Sales Model | Sales Model | Operating Revenue (Yuan) | YoY Change | | :--- | :--- | :--- | | Direct Sales | 205,548,793.26 | 2.10% | | Distribution | 59,939,113.61 | 5.82% | Revenue by Product Category | Product Type | Operating Revenue (Yuan) | YoY Change | | :--- | :--- | :--- | | Mahua Products | 174,128,723.57 | 3.64% | | Outsourced Food | 45,423,836.59 | -3.10% | | Pastries and Convenience Food | 31,008,507.65 | 7.28% | | OEM Products | 14,926,839.06 | 5.39% | - Within distribution channels, online distribution and external regional revenue increased by 88.16% and 74.37% year-on-year respectively, while the Tianjin region decreased by 2.23% year-on-year[32][33] - The total number of distributors increased from 310 to 338 during the reporting period, a net increase of 28, representing a 9.03% growth[33] Analysis of Core Competencies The company's core competencies are primarily reflected in its strong brand cultural advantage, comprehensive channel control, strict food quality control, leading production technology and scale, and continuous R&D capabilities - Brand cultural advantage: As a "Chinese Time-honored Brand," the production technique of its flagship product "Shibajie Mahua" is listed as a National Intangible Cultural Heritage[38] - Channel control advantage: A comprehensive marketing network system has been formed, primarily consisting of 59 direct stores, combined with distributors, supermarkets, and e-commerce[39] - R&D advantage: As of the end of the reporting period, a total of 13 invention patents have been obtained, continuously introducing new food elements into traditional products[41] Financial Analysis of Main Business Sales expenses and administrative expenses increased by 23.69% and 23.13% respectively, mainly due to increased personnel costs and higher e-commerce and advertising investments, leading to a net decrease of 69.59 million Yuan in cash and cash equivalents, while e-commerce channel revenue surged by 73.51% Key Financial Data YoY Changes | Item | Current Period | Prior Year Period | YoY Change | Main Reasons for Change | | :--- | :--- | :--- | :--- | :--- | | Sales Expenses | 74,147,103.51 | 59,945,373.81 | 23.69% | Increase in sales personnel salaries and bonuses, e-commerce agency operation service fees, and advertising investment | | Administrative Expenses | 22,769,855.04 | 18,492,626.21 | 23.13% | Increase in employee bonuses and benefits, and amortization of office building renovation expenses | | Net Cash Flow from Investing Activities | -10,517,212.60 | 1,952,883.09 | -638.55% | Decrease in wealth management income, increase in store renovation and equipment investment | | Net Cash Flow from Financing Activities | -102,174,702.20 | -47,553,740.97 | -114.86% | Increase in share repurchase through centralized bidding and dividend distribution | Operating Revenue Composition (by Region) | Region | Current Period Revenue (Yuan) | % of Total Revenue | YoY Change | | :--- | :--- | :--- | :--- | | Tianjin Region | 242,908,511.66 | 90.66% | -1.27% | | E-commerce | 22,133,185.24 | 8.26% | 73.51% | | Other Regions | 2,878,660.23 | 1.08% | 72.99% | - Advertising and design fees within sales expenses surged by 320.72% year-on-year, mainly for increasing outdoor advertising in key business districts and transportation hubs, and participating in various exhibitions[47][48][49] Analysis of Investment Status During the reporting period, the company's investment amounted to 13.33 million Yuan, primarily for two fundraising projects, "Airport Economic Zone Production Base Construction Project" and "Marketing Network Construction Project," both still under construction with progress rates around 64% Progress of Major Non-Equity Investment Projects | Project Name | Investment Method | Amount Invested in Current Period (Yuan) | Cumulative Actual Investment (Yuan) | Project Progress | | :--- | :--- | :--- | :--- | :--- | | Airport Economic Zone Production Base Construction Project | Self-built | 903,501.00 | 265,175,310.98 | 64.78% | | Marketing Network Construction Project | Self-built | 6,565,419.59 | 64,189,676.24 | 64.48% | - The company publicly issued shares in 2016, raising a net amount of 484 million Yuan, with 7.1875 million Yuan used this period, a cumulative use of 474 million Yuan, and 56.9519 million Yuan remaining for committed projects[59] Analysis of Major Holding and Participating Companies This section analyzes the operating performance of major subsidiaries, noting that the Airport Company met profit expectations due to increased output, and Guifa Xiang Food Sales Company achieved a turnaround from loss to profit due to adjusted internal procurement settlement prices Operating Performance of Major Subsidiaries | Company Name | Main Business | Operating Revenue (Yuan) | Net Profit (Yuan) | | :--- | :--- | :--- | :--- | | Airport Company | Food Production and Processing | 36,737,744.60 | 3,974,189.40 | | Guifa Xiang Food Sales | Food Sales | 258,568,516.76 | 9,722,487.23 | Risks and Countermeasures The company identified five major risks: food quality control, trademark infringement, lower-than-expected returns from fundraising projects, direct store operational risks, and over-reliance on the single Tianjin market, with corresponding countermeasures in place - Food quality control risk: Strict quality control measures are implemented through ISO9001 and ISO22000 system certifications[69] - Trademark infringement risk: Counterfeit products are combated through legal means and by expanding the coverage of direct stores[69] - Reliance on a single market risk: The company's revenue from the Tianjin market accounts for over 90%, and it is mitigating this risk by expanding online and offline omni-channel markets and focusing on leisure and convenience foods[70] Corporate Governance This section details the company's corporate governance structure, including shareholder meetings and changes in senior management Shareholder Meetings and Executive Changes During the reporting period, the company held three shareholder meetings, approving proposals such as share repurchase, annual report, profit distribution, and director re-election, while also completing the appointment of a new general manager and election of a director due to executive retirements - A total of 1 annual shareholder meeting and 2 extraordinary general meetings were held during the reporting period[72][73] - Former Deputy General Manager Jiang Guijie and former General Manager Li Mingxiang resigned due to retirement, and the board of directors has appointed Long Jian as the new General Manager and elected Ma Tianlu as the new Director[75] Environmental and Social Responsibility This section outlines the company's commitment and performance regarding environmental protection and social contributions Environmental and Social Responsibility Status The company is not classified as a key pollutant-discharging unit and received no administrative penalties for environmental issues during the reporting period, strictly adhering to environmental regulations and actively participating in community building and charitable activities - The company is not a key pollutant-discharging unit and had no environmental administrative penalties during the reporting period[78] - The company actively fulfills its social responsibilities, carrying out activities such as comfort and assistance, community co-construction, and social charity[78] Significant Matters This section covers major events and transactions that occurred during the reporting period, including share repurchases, profit distribution, and related party transactions Overview of Significant Matters During the reporting period, the company completed its share repurchase plan and implemented the 2023 annual profit distribution, also gaining approval to use up to 300 million Yuan of temporarily idle self-owned funds for short-term wealth management products, alongside executive changes and related party transactions - During the reporting period, the company had no non-operating fund occupation by the controlling shareholder or illegal external guarantees[79] - The company repurchased its shares using self-owned funds through centralized bidding, completing the repurchase during the reporting period[94] - The company and its holding subsidiaries used up to 300 million Yuan of temporarily idle self-owned funds to purchase highly secure short-term wealth management products[93][95] - Significant related party transactions primarily involved leasing office buildings, production plants, and direct store properties from the controlling shareholder, Guifa Xiang Group[88] Share Changes and Shareholder Information This section provides details on changes in the company's share capital and the composition of its shareholders Share Changes and Shareholder Information During the reporting period, the company's total share capital remained unchanged, with an increase in restricted shares due to a director's retirement, and a completed share repurchase of 5,525,200 shares (2.75% of total capital), while the controlling shareholder, Tianjin Guifa Xiang Mahua Catering Group Co., Ltd., holds 33.99% - During the reporting period, the company implemented a share repurchase, cumulatively repurchasing 5,525,200 shares, accounting for 2.75% of the total share capital, with a total payment of approximately 50 million Yuan[97] Top Five Shareholders' Holdings | Shareholder Name | Shareholder Nature | Holding Percentage | Number of Shares Held | | :--- | :--- | :--- | :--- | | Tianjin Guifa Xiang Mahua Catering Group Co., Ltd. | State-owned Legal Person | 33.99% | 68,273,314 | | Nantong Kaipude Equity Investment Partnership (Limited Partnership) | Domestic Non-state-owned Legal Person | 2.50% | 5,021,556 | | Li Huizhong | Domestic Natural Person | 2.04% | 4,106,147 | | Qu Xiaogang | Domestic Natural Person | 1.13% | 2,264,400 | | Li Lin | Domestic Natural Person | 1.03% | 2,077,260 | Preferred Shares Information This section confirms the absence of preferred shares in the company's capital structure Preferred Shares Status The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[102] Bonds Information This section confirms the absence of bond-related activities for the company Bonds Status The company had no bond-related information during the reporting period - The company had no bond-related information during the reporting period[103] Financial Report This section presents the company's comprehensive financial statements and detailed notes for the reporting period Financial Statements This section provides the company's unaudited 2024 semi-annual consolidated and parent company financial statements, including the balance sheet, income statement, cash flow statement, and statement of changes in owners' equity, showing total assets of 989 million Yuan, net profit of 22.72 million Yuan, and net cash flow from operating activities of 43.10 million Yuan Key Items from Consolidated Balance Sheet (2024-06-30) | Item | Amount (Yuan) | | :--- | :--- | | Cash and Bank Balances | 571,624,577.23 | | Total Assets | 989,352,779.79 | | Total Liabilities | 73,431,267.28 | | Equity Attributable to Parent Company Owners | 915,921,512.51 | Key Items from Consolidated Income Statement (H1 2024) | Item | Amount (Yuan) | | :--- | :--- | | Total Operating Revenue | 267,920,357.13 | | Total Operating Costs | 245,831,055.71 | | Total Profit | 25,009,438.78 | | Net Profit | 22,719,580.81 | Key Items from Consolidated Cash Flow Statement (H1 2024) | Item | Amount (Yuan) | | :--- | :--- | | Net Cash Flow from Operating Activities | 43,100,742.06 | | Net Cash Flow from Investing Activities | -10,517,212.60 | | Net Cash Flow from Financing Activities | -102,174,702.20 | | Net Increase in Cash and Cash Equivalents | -69,591,172.74 | Notes to Financial Statements The notes section details the company's basic information, financial statement preparation basis, significant accounting policies, and accounting estimates, highlighting an accounts receivable year-end balance of 22.58 million Yuan, inventory book value of 34.60 million Yuan, and a 50 million Yuan share repurchase recorded as treasury stock - Accounts receivable year-end book balance was 22.5774 million Yuan, with a bad debt provision of 3.6389 million Yuan, resulting in a book value of 18.9385 million Yuan, of which approximately 83% is within 1 year[201][202] - Inventory year-end book value was 34.5954 million Yuan, entirely consisting of raw materials and merchandise inventory, with no inventory impairment provision made during the reporting period[219] - During the reporting period, the company increased treasury stock by 49,999,551.36 Yuan due to share repurchase[259] - Current period non-recurring gains and losses totaled 1.1789 million Yuan, primarily including government subsidies and wealth management income[327]