Rebecca(SH:600439)2014-03-04 16:00Financial Performance - The company's operating revenue for 2013 was CNY 2,129,142,076.55, a decrease of 5.18% compared to CNY 2,245,546,469.98 in 2012[19] - Net profit attributable to shareholders for 2013 was CNY 172,572,916.30, an increase of 8.86% from CNY 158,532,737.72 in 2012[19] - The net cash flow from operating activities improved significantly to CNY 45,103,986.93 in 2013, compared to a negative cash flow of CNY 83,847,372.78 in 2012[19] - The total assets at the end of 2013 were CNY 4,044,715,416.97, a decrease of 4.79% from CNY 4,248,251,350.50 at the end of 2012[19] - The company's net assets attributable to shareholders increased by 3.42% to CNY 2,250,326,770.01 at the end of 2013[19] - Basic earnings per share for 2013 were CNY 0.1829, reflecting an increase of 8.80% from CNY 0.1681 in 2012[20] - The weighted average return on equity for 2013 was 7.81%, an increase of 0.43 percentage points from 7.38% in 2012[20] Market Performance - Sales revenue in the Americas market was CNY 960,653,183.74, down 19.74% year-on-year due to slow economic recovery[24] - The African market saw sales revenue of CNY 607,169,864.08, an increase of 21.10% year-on-year, driven by product adjustments and market expansion[25] - The European market generated sales revenue of CNY 229,856,880.02, a decrease of 2.84% year-on-year, affected by economic challenges[25] - Domestic sales revenue reached CNY 192,480,135.20, an increase of 11.29% year-on-year, despite adjustments in direct stores[27] Research and Development - The company launched 1,439 new products, generating approximately CNY 800 million in output value[28] - Research and development expenses amounted to CNY 65,375,116.17, a decrease of 3.26% year-on-year[29] - The company has applied for 23 patents and 27 trademark registrations, enhancing its intellectual property protection[28] - The company's total R&D expenditure was 65,375,116.17 RMB, which accounted for 3.07% of total revenue and 2.90% of net assets[39] Strategic Initiatives - The company plans to distribute a cash dividend of CNY 0.80 per 10 shares, totaling CNY 75,465,696.00, subject to shareholder approval[6] - The company is focusing on strategic adjustments and transformation to enhance product value and profitability amid intensified market competition[60] - The company plans to achieve a revenue target of 2.27 billion RMB in 2014, with a control on expenses at 460 million RMB[64] - The company aims to enhance its market share by deepening the development of domestic and international markets[65] - The company is committed to increasing R&D investment to improve its independent innovation and R&D capabilities[65] Financial Position - Cash and cash equivalents decreased by 42.57% to 540,833,979.63 RMB, while inventory increased by 3.19% to 2,130,646,306.59 RMB[49] - The company reported a long-term loan of CNY 450 million, representing 11.13% of total liabilities, indicating a strategic shift towards increasing long-term financing[49] - The company reported a total shareholding increase of 490,000 shares by director Zheng Guihua during the reporting period, raising her total shares from 1,504,965 to 1,994,965[88] - The total remuneration for the board members amounted to 128.5 million yuan before tax during the reporting period[88] Governance and Compliance - The company has established a governance structure that complies with relevant laws and regulations, ensuring effective decision-making and operational independence[100] - The independent directors adhere to legal and regulatory requirements, fulfilling their duties to protect the interests of the company and minority shareholders[101] - The company has strengthened its governance and internal control systems in 2013, ensuring compliance with relevant laws and regulations[102] - The audit committee has recommended the reappointment of Zhongxi CPA as the financial audit and internal control audit institution for 2014[107] Operational Efficiency - The company has implemented a cash dividend policy, distributing 0.8 RMB per 10 shares to shareholders based on 943,321,200 shares[70] - The company is facing risks from international market demand fluctuations and exchange rate volatility, which could impact its operational stability[67][68] - The company plans to optimize its asset structure and improve cash flow in 2014 while managing costs effectively[66] - The company has implemented a comprehensive employee training and re-education mechanism, with various training levels and modes to enhance employee skills[97] Subsidiaries and Investments - The company's subsidiaries, such as the Fashion Company, reported a net profit of CNY 25.81 million, showing significant growth compared to the previous year's loss of CNY 6.99 million[60] - The Ghana subsidiary achieved a net profit of CNY 16.32 million, reflecting a strong increase in sales revenue and gross margin[60] - The South Africa subsidiary reported a net profit of CNY 12.90 million, also benefiting from increased sales revenue and improved profitability[60] - The company has established multiple subsidiaries across China from 2008 to 2009, each with a registered capital of 1 million yuan, to enhance domestic market development[160][161][162] Financial Reporting - The company’s financial reports are prepared based on the principle of going concern and comply with accounting standards[170] - The company’s accounting period runs from January 1 to December 31 each year[171] - The company’s accounting currency is Renminbi[172] - The company maintains a standard unqualified audit opinion from Zhongxi CPA for the financial report as of December 31, 2013[112]