SHD(SH:600630)2014-03-25 16:00Financial Performance - In 2013, the company achieved a net profit attributable to shareholders of 52,236,805.49 CNY, an increase of 14.40% compared to 2012[5]. - The company's operating revenue for 2013 was 4,189,144,332.01 CNY, representing a decrease of 11.32% from 2012[24]. - The basic earnings per share for 2013 was 0.12 CNY, reflecting a 9.09% increase from 0.11 CNY in 2012[22]. - The total profit for the year was 68.42 million RMB, representing a 7% increase year-on-year, exceeding the budget target by 2%[28]. - The net profit attributable to the parent company was 52.24 million RMB, up 14% year-on-year, meeting the budget target[28]. - The company reported a significant decline in net profit after deducting non-recurring gains and losses, with a loss of 92,415,661.59 CNY in 2013[24]. - The company reported a net cash flow from operating activities that decreased year-on-year, primarily due to reduced sales revenue impacting cash inflows[33]. - The company reported a net cash outflow from financing activities of CNY -61,595,049.84, a decrease of 56.67% compared to the previous year[42]. - The company reported a net loss of RMB 52,236,854.00 for the year, an improvement from a loss of RMB 73,806,771.27 in the previous year[125]. - The net profit for the current period is RMB 21,569,917.27, contributing significantly to the increase in retained earnings[139]. Cash Flow and Assets - The net cash flow from operating activities decreased by 60.03% to 57,211,965.84 CNY in 2013 compared to 143,131,139.13 CNY in 2012[24]. - Cash and cash equivalents decreased by 6.81% to CNY 265,989,965.64, accounting for 10.55% of total assets[48]. - Accounts receivable increased by 3.45% to CNY 294,855,666.71, representing 11.69% of total assets[48]. - Inventory decreased by 9.14% to CNY 666,123,564.08, which is 26.41% of total assets[48]. - The total assets of the company at the end of 2013 were 2,521,877,789.20 CNY, a decrease of 1.93% from the previous year[24]. - Cash inflow from operating activities totaled RMB 2,846,589,669.70, down 17.8% from RMB 3,464,398,444.50 in the prior period[135]. - Cash outflow from operating activities decreased to RMB 2,792,773,443.71, compared to RMB 3,474,664,796.20 last year, reflecting a reduction of 19.7%[135]. - The ending cash and cash equivalents balance was RMB 82,617,683.10, up from RMB 76,111,096.76 in the previous period[135]. - The total liabilities decreased to CNY 952,781,510.58 from CNY 1,055,173,155.99, a reduction of 9.7%[129]. - The total equity increased to CNY 1,569,096,278.62 from CNY 1,516,354,342.35, reflecting a growth of 3.5%[129]. Revenue and Sales - The company achieved a total operating revenue of 4,120.37 million RMB in 2013, a decrease of 11% year-on-year, primarily due to a 22% decline in export business as a risk management measure[34]. - E-commerce sales revenue reached 114.25 million RMB, marking a significant increase of 265% compared to the previous year[30]. - Revenue from the East China region increased by 23.14%, amounting to CNY 3,675,291,908.11, while the overseas region saw a decline of 20.14%[47]. - The total sales revenue for Shanghai Longtou (Group) Co., Ltd. in 2013 reached 6,776.63 million RMB[79]. - The company recorded sales of 246.09 million in the shirt market, representing a 0.93% market share[78]. Investments and Subsidiaries - The company has four joint ventures and six other equity investments, with a total balance of CNY 10,969,000, reflecting a 1.38% increase from the beginning of the year[50]. - The company completed the transfer of 100% equity of its wholly-owned subsidiary Shanghai Haicui Clothing Co., Ltd. for a transaction price of 143.31 million RMB[79]. - The company sold 100% of its subsidiary Shanghai Haicui Garment Co., Ltd. for CNY 14,330.71 million, resulting in a loss of CNY 10,380.02 million[73]. - The company has not undergone any bankruptcy reorganization during the reporting period[72]. Governance and Management - The company has maintained a stable management structure with no changes in the board of directors and senior management during the reporting period[98][99]. - The total remuneration for the board members and senior management during the reporting period amounted to 332.7 million yuan, with a total payable remuneration of 221.07 million yuan[97]. - The average age of the board members and senior management is approximately 53 years, indicating a mature leadership team[96][97]. - The company emphasizes its commitment to maintaining a strong governance structure with independent directors and a diverse management team[98][99]. - The company has established a clear division of responsibilities among the shareholders, board of directors, and management, ensuring effective governance[106]. Future Outlook and Strategy - The company expects a total revenue of 4 billion yuan for 2014, with a gross profit margin of 18% and a period expense ratio of 17.5%[62]. - The company plans to transition from a traditional "manufacturing + sales" model to a brand management-focused supply chain management model by 2015[61]. - The company aims to enhance its brand value and core competitiveness by leveraging both online and traditional sales channels amidst increasing market competition[64]. - The company will continue to invest in brand building and expand its e-commerce business to ensure steady growth in its main operations[62]. - The company is focusing on market expansion and new product development to drive future growth[134]. Compliance and Reporting - The company has established a comprehensive internal control system to ensure compliance and operational efficiency, with ongoing improvements based on external changes[115]. - An independent audit of the internal control effectiveness was conducted by Lixin Accounting Firm, which issued a standard unqualified opinion[116]. - The company is committed to enhancing the transparency and quality of its financial disclosures[117]. - The management is responsible for the fair presentation of financial statements in accordance with accounting standards[119]. - The company has revised its dividend policy to comply with the requirements of the China Securities Regulatory Commission and the Shanghai Stock Exchange[107].