Financial Performance - Revenue increased by 1.2% to approximately RMB 505,436,000 (2023: RMB 499,688,000) [2] - Gross profit rose by 1.4% to approximately RMB 305,202,000 (2023: RMB 300,877,000) [2] - Gross profit margin improved by 0.2 percentage points to 60.4% (2023: 60.2%) [2] - Profit attributable to owners decreased by 1.4% to approximately RMB 171,366,000 (2023: RMB 173,734,000) [2] - Earnings per share decreased by 1.4% to approximately RMB 0.6890 (2023: RMB 0.6985) [2] - Total revenue for the year ending December 31, 2024, was RMB 505,436,000, compared to RMB 499,688,000 in 2023, reflecting a growth of approximately 1.5% [18] - Online sales revenue decreased to RMB 209,636,000 in 2024 from RMB 211,468,000 in 2023, a decline of about 0.9% [18] - Offline sales revenue increased to RMB 290,161,000 in 2024 from RMB 282,441,000 in 2023, representing a growth of approximately 2.6% [18] - Franchise fee income rose to RMB 1,179,000 in 2024 from RMB 1,118,000 in 2023, an increase of about 5.5% [18] - Direct sales from retail stores generated RMB 4,460,000 in 2024, slightly down from RMB 4,661,000 in 2023, indicating a decrease of around 4.3% [18] Assets and Liabilities - Total assets less current liabilities increased to RMB 911,063,000 (2023: RMB 837,583,000) [5] - Non-current assets increased to RMB 471,312,000 (2023: RMB 289,458,000) [5] - Cash and cash equivalents decreased to RMB 41,714,000 (2023: RMB 67,381,000) [5] - Total equity attributable to owners increased to RMB 883,959,000 (2023: RMB 808,484,000) [6] - Total inventory increased to RMB 292,498,000 in 2024 from RMB 248,136,000 in 2023, with raw materials rising to RMB 230,711,000 [37] - Trade receivables increased to RMB 7,153,000 in 2024 from RMB 6,808,000 in 2023, with a provision for losses rising to RMB 69,000 [39][41] - Trade payables increased to RMB 9,507,000 in 2024 from RMB 6,856,000 in 2023, with significant increases in the 31-60 days category [42] Expenses and Profitability - Employee benefits expenses increased to RMB 107,047,000 in 2024 from RMB 101,746,000 in 2023, reflecting a rise in salaries and retirement contributions [21] - Pre-tax profit rose to RMB 212,934,000 in 2024 compared to RMB 209,691,000 in 2023 [25] - Total tax expense increased to RMB 41,455,000 in 2024 from RMB 35,917,000 in 2023, influenced by various tax incentives and adjustments [25] - The company reported a net loss from the fair value change of investment properties of RMB 7,470,000 in 2024, compared to a loss of RMB 5,550,000 in 2023 [20] - The total cost of sales increased to RMB 197,383,000 in 2024 from RMB 196,738,000 in 2023, indicating a slight rise in inventory costs [21] Dividends - Proposed final dividend per share is HKD 0.3663 (2023: HKD 0.3864), subject to shareholder approval [2] - Proposed final dividend per share for 2024 is HKD 36.63, equivalent to RMB 34.43, compared to HKD 38.64 (RMB 34.98) in 2023, totaling RMB 85,632,000 [27] - Approved final dividend for the fiscal year ending December 31, 2023, is HKD 38.64 per share, equivalent to RMB 36.18, up from HKD 25.03 (RMB 22.86) in 2022, totaling RMB 89,996,000 [28] Business Operations and Strategy - The company plans to focus on governance, performance targets, market expansion, new product development, and brand building in 2024 [43] - The company has no significant revenue from any single external customer exceeding 10% of total revenue [33] - Over 90% of the company's revenue and assets are derived from the manufacturing and distribution of wooden crafts and ornaments [32] - The company has no significant business activities outside of China, with all major assets located within the country [32] - The offline business achieved POS sales of 131.47% of the target plan, with a year-on-year growth of 4.88% [46] - A total of 223 new stores were opened, with the number of specialty stores increasing significantly post-pandemic, reaching 1,254 stores by December 31, 2024, up from 1,170 stores in 2023 [47][48] - The company launched 44 new products during the year, focusing on practicality and artistic design, enhancing consumer choice and experience [51] - The membership system registered over 1.19 million members, with a 76.77% increase in new members and an 87.99% increase in processed redemption orders compared to the previous year [50] Marketing and Sales - The brand's advertising and promotion efforts included diverse channels such as LED screens and subway ads, enhancing brand exposure and market penetration [49] - The company generated RMB 19.28 million in sales through its official mini-program, marking a significant step in developing new retail channels [46] - Online sales reached RMB 235 million, achieving 102.17% of the annual target, but down 0.84% year-on-year due to the overlap of Valentine's Day and Spring Festival affecting February sales [56] - The marketing activities executed during the year included 13 campaigns, with significant sales increases such as a 24.86% year-on-year growth during the Women's Day event [60] - The Douyin channel promotion resulted in 320 videos published, reaching over 6.23 million total exposures and 143.2 thousand interactions [59] Innovation and Development - The company is committed to continuous innovation in product design and cultural exploration to enhance brand development [53] - The company completed the design and development of 16 new product projects and launched 44 regular new products, achieving a success rate of 79.4% for products that passed trial sales [71] - The company has implemented advanced design software and technologies, such as AI-assisted design, to improve design efficiency and quality [75] - The new product series inspired by traditional Chinese culture includes several limited edition items, showcasing a blend of tradition and modern fashion [52] Governance and Compliance - The company has adopted the corporate governance code and has complied with all applicable provisions during the review year [129] - The audit committee held two meetings during the review year to review the audited consolidated financial statements for the year ending December 31, 2023, and the unaudited interim financial statements for the six months ending June 30, 2024 [132] - The audit committee also monitored the effectiveness of the internal control measures and reviewed the independence of the external auditors [133] Future Outlook - The focus for 2025 includes market expansion and operational management, emphasizing brand integrity and avoiding price wars [116] - The company plans to enhance its brand image and marketing strategies, including 4-6 promotional events and a design competition to celebrate its 10th anniversary [118] - The company aims to establish a direct store in Singapore by 2025 as part of its international expansion strategy [70]
谭木匠(00837) - 2024 - 年度业绩