Financial Performance - For the fiscal year ending December 31, 2020, the total revenue of China Shun Ke Long Holdings Limited was approximately RMB 888.7 million, a decrease of about RMB 56.5 million compared to the previous year[8]. - The net loss attributable to shareholders for the fiscal year 2020 was approximately RMB 16.5 million, narrowing by about RMB 4.1 million compared to the previous year[8]. - In the fiscal year 2020, the company's revenue was approximately RMB 888.7 million, a decrease of about RMB 56.5 million or 6% compared to the fiscal year 2019, primarily due to the impact of COVID-19 on wholesale distribution sales[38]. - Retail store business revenue for fiscal year 2020 was approximately RMB 691.7 million, an increase of about RMB 27.3 million or 4.1% compared to fiscal year 2019, attributed to refined management and improved customer service[38]. - Wholesale distribution revenue for fiscal year 2020 was approximately RMB 197.0 million, a decrease of about RMB 83.8 million or 29.8% compared to fiscal year 2019, mainly due to the termination of low-margin sugar business and the impact of COVID-19 on clients[38]. - The gross profit margin for the company in fiscal year 2020 was 14.2%, slightly down from 14.3% in fiscal year 2019, primarily due to increased sales discounts during promotional activities[39]. - Other operating income for fiscal year 2020 was approximately RMB 35.0 million, a decrease of about RMB 2.7 million or 7.2% compared to fiscal year 2019, mainly due to reduced promotional income from suppliers[42]. Supply Chain and Operations - The company has established partnerships with 26 fruit and vegetable bases to strengthen its fresh supply chain for the fiscal year 2020[10]. - The company operates over 700 suppliers, maintaining exclusive distribution rights for 26 brands in the Foshan, Jiangmen, and Zhaoqing regions[10]. - The company aims to strengthen its regional leadership position through supply chain enhancements, which is a fundamental business logic in fresh produce competition[10]. - The company retained exclusive distribution rights for 26 brands in Foshan, Jiangmen, and Zhaoqing, focusing on expanding its distributor client base rather than retail clients[23]. - The company has implemented a reward and punishment mechanism to enhance employee motivation and has provided comprehensive training for its staff[12]. - The company is actively expanding its fresh food retail format "Shun Ke Long Fresh Community" to meet community needs and is also expanding its wholesale business with significant projects[29]. Market and Community Engagement - The company emphasizes community marketing through its platform "Shun Ke Long Youxuan" and collaborates with e-commerce platforms like "Taoxian Da," "Ele.me," and "JD Daojia" to enhance online and offline integration[9]. - The company has responded to government poverty alleviation initiatives by connecting with 13 poverty alleviation bases and purchasing over 30 poverty alleviation products[12]. - The company has achieved approximately 600,000 followers through various member application scenarios, leveraging platforms like Ele.me and JD Daojia[28]. - The company plans to expand its market presence in the Guangdong-Hong Kong-Macao Greater Bay Area and other provinces, particularly in the Hainan Free Trade Zone[14]. Environmental, Social, and Governance (ESG) Practices - The company emphasizes sustainable development as a key to ongoing success, integrating environmental, social, and governance (ESG) considerations into its business strategy[66]. - The board oversees the company's ESG direction and ensures effective risk management and internal control mechanisms related to ESG matters[67]. - The total greenhouse gas emissions for the group were 16,639.27 tons of CO2 equivalent in fiscal year 2020, down from 19,214.26 tons in fiscal year 2019, indicating a reduction of approximately 13.4%[89]. - The group has implemented ISO 14001:2015 environmental management system to ensure sustainable business practices[88]. - The group has adopted the "4R principles" (Reduce, Reuse, Recycle, Replace) for waste management to minimize environmental impact[88]. - The company emphasizes environmental protection and sustainable practices in its operations[105]. Employee and Management Structure - The group had a total of 1,295 employees as of December 31, 2020, a slight decrease from 1,308 employees as of December 31, 2019[90]. - The average training hours per employee during the reporting period is 2.78 hours, with male employees averaging 2.58 hours and female employees averaging 2.85 hours[131]. - The company has achieved OHSAS 18001 certification for its occupational health and safety management system, ensuring a safe working environment[120]. - The company has implemented measures to prevent child labor and forced labor, strictly adhering to local laws and regulations[132]. - The company has a diverse board with independent directors, which may enhance governance and oversight[162]. - The management team has a strong educational background, with Mr. Han holding an MBA from Tsinghua University, which may contribute to informed decision-making[160]. Corporate Governance - The company emphasizes high standards of corporate governance, adhering to the principles outlined in the Hong Kong Stock Exchange's Corporate Governance Code[172]. - The company has established a balanced power structure within the board, consisting of two executive directors, one non-executive director, and three independent non-executive directors, to safeguard shareholder interests[173]. - The company has been compliant with the Corporate Governance Code since July 27, 2020, after appointing Du Xiaoping as Chairman and Han Wei as CEO[173]. - The board is responsible for leading and controlling the company, overseeing business strategies and performance[188]. - All directors contribute valuable business experience and knowledge to ensure effective board operations[188].
中国顺客隆(00974) - 2020 - 年度财报