Financial Performance - The company's revenue for the year ending December 31, 2024, was approximately RMB 19.71 billion, a year-on-year decrease of about 9.7%[2] - Gross profit amounted to approximately RMB 2.37 billion, down approximately 14.7% year-on-year, with a gross margin of 12.03%, a decline of about 0.71 percentage points[2] - The total comprehensive income reached RMB 4.71 billion, a decrease of approximately 9.3% year-on-year, with a comprehensive income rate of 23.90%, an increase of about 0.12 percentage points[2] - The operating loss was approximately RMB 257 million, an increase in loss of about RMB 29 million year-on-year, while the annual loss attributable to shareholders was approximately RMB 359 million, a decrease in loss of about RMB 432 million year-on-year[2] - The group's total revenue for the year 2024 was RMB 20,970,516,000, a decrease of 10% from RMB 23,255,978,000 in 2023[16] - Sales of goods accounted for RMB 19,710,114,000, down from RMB 21,835,879,000 in the previous year, representing a decline of approximately 9.7%[16] - Revenue from services, including income from suppliers and franchise fees, totaled RMB 1,260,402,000, compared to RMB 1,420,099,000 in 2023, indicating a decrease of about 11.3%[16] - Total revenue for 2024 was RMB 21,411,964 thousand, a decrease of 10.3% from RMB 23,739,445 thousand in 2023[18] - Revenue from product sales was RMB 19,710,114 thousand, down 9.7% from RMB 21,835,879 thousand in the previous year[18] - Revenue from service contracts decreased to RMB 1,260,402 thousand, a decline of 11.3% compared to RMB 1,420,099 thousand in 2023[18] - Rental income from leased shops was RMB 441,448 thousand, down 8.7% from RMB 483,467 thousand in 2023[23] - The performance of the large-scale supermarket segment reported revenue of RMB 9,174,143 thousand, a decrease of 15.0% from RMB 10,777,339 thousand in 2023[27] - The supermarket segment generated revenue of RMB 10,705,355 thousand, down 4.7% from RMB 11,232,233 thousand in the previous year[27] - The convenience store segment's revenue fell to RMB 1,470,005 thousand, a decline of 10.3% from RMB 1,638,780 thousand in 2023[27] - The overall pre-tax loss for 2024 was RMB 251,070 thousand, an improvement from a loss of RMB 589,389 thousand in 2023[27] - The company reported a net loss of RMB 358,765,000 attributable to shareholders in 2024, an improvement from a net loss of RMB 791,317,000 in 2023[39] - The basic loss per share was RMB 0.32, compared to RMB 0.71 in the previous year[3] - The gross profit for the same period was approximately RMB 2.37 billion, down by about RMB 409 million or 14.7% year-on-year, resulting in a gross margin of 12.03%, a decline of 0.71 percentage points from the previous year[53] - Other income for the period was approximately RMB 1.70 billion, a decrease of about RMB 202 million or 10.6% year-on-year, primarily due to a reduction in income from suppliers[54] Store Operations - The company opened 257 new stores during the review period, bringing the total number of stores to 3,152[2] - The company closed 461 stores during the review period, including 121 direct-operated stores and 340 franchise stores, while opening 257 new stores, resulting in a net decrease of 204 stores[82][85] - The company has a total of 3,152 stores as of December 31, 2024, with 84.0% located in the Greater East China region[86] - The supermarket segment opened 231 new stores and closed 296, with a focus on differentiated operations to match consumer trends[85] Financial Position - Non-current assets totaled RMB 11.38 billion, down from RMB 13.39 billion in the previous year[4] - Current assets amounted to RMB 7.92 billion, an increase from RMB 7.60 billion year-on-year[5] - Total liabilities decreased to RMB 19.59 billion from RMB 20.54 billion in the previous year[6] - The group's net current liabilities as of December 31, 2024, were RMB 7,454,930,000, down from RMB 8,505,312,000 in 2023, reflecting a reduction of approximately 12.3%[doc id='7'] - The group has reduced its non-current unrestricted deposits available for withdrawal to RMB 1,690,000,000 from RMB 2,955,015,000 in the previous year, a decrease of about 42.9%[doc id='7'] - Total assets decreased to RMB 19,662,370 thousand in 2024 from RMB 20,989,143 thousand in 2023, reflecting a decline of 6.3%[30] - As of December 31, 2024, accounts payable amounted to RMB 2.77 billion, a decrease from RMB 2.95 billion in the previous year[47] Cost Management - Distribution costs and administrative expenses were approximately RMB 4.71 billion, a decrease of about RMB 362 million or 7.1% year-on-year[2] - Distribution and selling costs were approximately RMB 3.99 billion, a decrease of about RMB 296 million or 6.9% year-on-year, due to enhanced budget management and cost control measures[56] - Administrative expenses were approximately RMB 717 million, down by about RMB 66 million or 8.4% year-on-year[57] - The total employee costs amounted to RMB 1,935,739,000 in 2024, down from RMB 2,171,162,000 in 2023, showing a decrease of about 10.8%[36] Strategic Initiatives - The company plans to enhance its core business by focusing on community-based and small-scale operations, with 5 new large-scale supermarkets opened and 16 closed during the review period[84] - The company aims to improve its supply chain and product competitiveness through deep reforms and continuous innovation[82] - The company has implemented a strategic upgrade in the supermarket segment, establishing a three-tier operational matrix to better serve community needs[85] - The company achieved significant progress in supply chain optimization, reducing inefficient inventory rates and significantly shortening inventory turnover days[89] - The company is committed to enhancing profitability while restructuring and reducing costs through strategic focus on various operational areas[95] - The company initiated a "reform and restructuring" strategic transformation project, focusing on "restructuring + transformation" as a dual-driven strategy[96] - The company is exploring new business models such as live commerce and health economy to improve product reach and efficiency[107] - The company aims to optimize its organizational structure and improve employee incentives to address challenges related to talent shortages and low overall employee income[99] Compliance and Governance - The board of directors has proposed not to distribute a final dividend for the year ending December 31, 2024[109] - The audit committee has reviewed the annual performance for 2024 and confirmed that the results are prepared in accordance with applicable accounting standards and regulations[110] - Deloitte has verified the consolidated financial statements for the year ending December 31, 2024, but does not provide any guarantees regarding the announcement[111] - The company has adopted the Securities Trading Standard Code for all directors and supervisors, ensuring compliance during the review period[112] - The company confirms compliance with the Corporate Governance Code, except for certain deviations regarding the rotation of directors[113] - The company held multiple board meetings and shareholder meetings throughout 2024, with some non-executive directors absent due to other commitments[115][116][118] Related Party Transactions - The company has established a business contract review mechanism to ensure that service terms and prices are in line with market standards[127] - The company will conduct at least two regular reviews annually to assess whether related party transactions are conducted according to the entrusted management agreement and pricing policies[134] - The external auditor will perform an annual audit of the pricing policy and annual caps for related party transactions[136] - Independent non-executive directors will review the implementation and execution of related party transactions annually[136]
联华超市(00980) - 2024 - 年度业绩