Financial Performance - For the fiscal year ending December 31, 2024, total operating revenue decreased to RMB 3,726.7 million, a decline of 10.8% year-on-year[2] - Same-store sales dropped by 16.1% in the fiscal year 2024[3] - Total sales revenue (including VAT) for the fiscal year 2024 was RMB 8,696.6 million, down 13.8% compared to the previous year[3] - Operating profit for the fiscal year 2024 was RMB 244.9 million, significantly lower than RMB 505.5 million in 2023[3] - The company reported a loss attributable to owners of RMB 174.8 million for the fiscal year 2024[4] - Total sales revenue for the fiscal year 2024 decreased by 13.8% to RMB 8,696.6 million, attributed to lower-than-expected economic recovery and cautious consumer spending[49] - Same-store sales declined by 16.1% in fiscal year 2024, reflecting a trend of consumer downgrade[49] - Total merchandise sales (excluding VAT) fell by RMB 1,236.9 million or 15.9% to RMB 6,554.3 million, with licensed counter sales down 16.0% and direct sales down 15.6%[51] - The gross margin for merchandise sales decreased from 13.5% in fiscal year 2023 to 13.3% in fiscal year 2024[52] - Operating profit for fiscal year 2024 dropped by RMB 450.8 million or 10.8% to RMB 3,726.7 million, primarily due to reduced self-operated sales and licensed counter commissions[53] Assets and Liabilities - Total assets as of December 31, 2024, amounted to RMB 8,500.3 million, compared to RMB 8,041.7 million in 2023[9] - Non-current assets decreased from RMB 8,041.7 million in 2023 to RMB 8,500.3 million in 2024[9] - The company's net asset value decreased to RMB 3,087.1 million in 2024 from RMB 3,317.1 million in 2023[10] - Cash and bank balances decreased to RMB 1,466.5 million in 2024 from RMB 1,583.4 million in 2023[9] - Trade receivables increased to RMB 1,043,523 thousand, up from RMB 681,132 thousand in the previous year, indicating a significant rise in credit sales[31] - Total debt to total assets ratio increased to 24.7% in 2024 from 22.5% in 2023[68] - Current assets as of December 31, 2024, were RMB 2,881.8 million, with net assets amounting to RMB 3,087.1 million[69] Costs and Expenses - The company's financing costs for the fiscal year 2024 were RMB 445.9 million, down from RMB 498.1 million in 2023[6] - Financing income for 2024 was RMB 38,590 thousand, down from RMB 55,367 thousand in 2023, a decrease of 30.3%[25] - Financing costs netted RMB 407,307 thousand in 2024, compared to RMB 442,750 thousand in 2023, showing a reduction of 8.0%[25] - Employee costs totaled RMB 479,358 thousand in 2024, slightly down from RMB 485,837 thousand in 2023, a decrease of 1.0%[23] - Rental expenses decreased from RMB 90.1 million in 2023 to RMB 80.4 million in 2024, a reduction of RMB 9.7 million, primarily due to a decline in performance of several stores, resulting in a 12.0% decrease in same-store rental expenses[57] - Other operating expenses increased by 22.7% from RMB 701.9 million in 2023 to RMB 861.5 million in 2024, mainly due to an increase in asset impairment provision from RMB 67.0 million to RMB 230.0 million[58] Strategic Initiatives - The company signed lease agreements for stores in Guiyang, Shenyang, Harbin, Shanghai, and Nanning, reinforcing its market presence[41] - The company opened two new supermarkets in Mianyang and Kunming to better serve customers[41] - The company plans to open two additional stores in Datong and Mianyang in 2025, aligning with its market differentiation strategy[47] - The company is committed to enhancing store image and customer experience through continuous renovations and the introduction of new shopping experiences[44] - The strategic focus remains on balancing stability and innovation to adapt to the evolving retail market in China[48] Future Outlook - The group reported a pre-tax loss of RMB 1,562,074 thousand for 2024, compared to a loss of RMB 1,835,698 thousand in 2023, indicating a reduction in losses by 14.9%[23] - The company reported a basic loss attributable to equity holders of RMB (174,759) thousand for the year, compared to a profit of RMB 66,413 thousand in the previous year[30] - Overall, the company remains optimistic about achieving its long-term growth objectives amid market challenges[83] - The future outlook includes a revenue guidance of $500 million for the next fiscal year, reflecting a 20% growth target[83] - New product development includes the launch of three innovative products expected to contribute an additional $100 million in revenue[83] - The company plans to expand its market presence in Southeast Asia, targeting a 30% market share by 2026[83] - Recent acquisitions have added $200 million in annual revenue, enhancing the company's competitive position[83] - The company is investing $50 million in new technology to improve operational efficiency, aiming for a 10% reduction in costs[83] - A strategic partnership has been formed with a leading tech firm to enhance product offerings and drive innovation[83] - The company has implemented a new marketing strategy projected to increase customer engagement by 25%[83]
百盛集团(03368) - 2024 - 年度业绩