Financial Performance - Revenue for the six months ended June 30, 2025, decreased by 17.1% to approximately RMB 672.9 million from approximately RMB 811.3 million in the same period of 2024[4] - Gross profit for the same period decreased by 16.5% to RMB 354.2 million, with a gross margin increase from 52.3% to 52.6%[4] - Profit for the six months ended June 30, 2025, decreased to RMB 48.7 million from RMB 69.1 million in 2024[4] - Basic earnings per share for the period were RMB 0.04, down from RMB 0.06 in the previous year[4] - For the six months ended June 30, 2025, the company's total revenue was RMB 672,943 thousand, a decrease of 17.0% compared to RMB 811,278 thousand for the same period in 2024[22] - Revenue from tea sales was RMB 462,654 thousand, down 19.1% from RMB 571,793 thousand in the previous year[22] - The company reported a net profit of RMB 48,747 thousand for the six months ended June 30, 2025, compared to RMB 69,114 thousand for the same period in 2024, reflecting a decline of 29.5%[22][23] - For the six months ended June 30, 2025, the company's profit attributable to shareholders was RMB 48,747,000, a decrease of 29.5% compared to RMB 69,114,000 for the same period in 2024[34] - The basic earnings per share for the six months ended June 30, 2025, was RMB 0.04, down from RMB 0.06 in 2024, reflecting a decline of 33.3%[34] - Total other income for the six months ended June 30, 2025, was RMB 9,299,000, a decrease of 36.5% from RMB 14,678,000 in 2024[25] - The company incurred income tax expenses of RMB 23,083,000 for the six months ended June 30, 2025, down from RMB 30,705,000 in 2024, reflecting a reduction of 24.8%[27] Assets and Liabilities - Total assets as of June 30, 2025, were RMB 2,951.5 million, slightly down from RMB 2,973.6 million as of December 31, 2024[7] - Total liabilities increased to RMB 1,219.6 million from RMB 1,208.2 million at the end of 2024[7] - Total assets as of June 30, 2025, amounted to RMB 2,951,453 thousand, while total liabilities were RMB 1,219,554 thousand[23] - The total assets for the company as of December 31, 2024, amounted to RMB 2,973,619,000, with total liabilities of RMB 1,208,193,000[24] - The company’s rental liabilities as of June 30, 2025, were RMB 154,268,000, a decrease from RMB 162,679,000 as of December 31, 2024[38] - The company’s total liabilities related to short-term leases amounted to RMB 8,289,000 for the period ending June 30, 2025, down from RMB 12,293,000 in the previous year[39] Cash Flow and Financing - Cash and cash equivalents increased to RMB 542.4 million from RMB 340.5 million at the end of 2024[6] - The net cash inflow from operating activities for the six months ended June 30, 2025, was RMB 292.0 million, while net cash outflow from investing activities was RMB 26.0 million and from financing activities was RMB 63.1 million[69] - The company had long-term bank loans of RMB 15 million, guaranteed by directors, and short-term bank loans of RMB 559.193 million, an increase from RMB 546.380 million as of December 31, 2024[50] - Financing costs rose by 4.3% from RMB 12.0 million for the six months ended June 30, 2024, to RMB 12.5 million for the six months ended June 30, 2025, reflecting an increase in net foreign exchange losses[65] Operational Highlights - The company operates in tea classification, packaging, sales, and related food and beverage sectors primarily in China[8] - The company continues to focus on its core business segments, primarily in tea classification, packaging, and sales, with all sales and operating profits derived from China[19][21] - The company has adjusted its retail network, reducing the number of retail outlets and specialty stores to 1,335 as of June 30, 2025, a net decrease of 14 from 1,349 as of December 31, 2024[52] - The company has established a food research and development department to diversify its product line, including traditional delicacies such as pork floss strips and ready-to-eat bird's nest[52] - The company has strengthened cost control measures, resulting in a reduction in distribution costs and administrative expenses compared to the same period in 2024[52] - The company plans to expand its retail network and optimize its distribution channels, focusing on third and fourth-tier cities to increase market penetration[53] - New product development will focus on tea-related products to align with changing consumer preferences and trends[53] Shareholder Returns - The board declared an interim dividend of HKD 0.02 per share, equivalent to RMB 0.018 per share[4] - The company declared an interim dividend of RMB 19,504,000 for the six months ended June 30, 2025, compared to RMB 29,326,000 for the same period in 2024, representing a decrease of 33.5%[35] - The interim dividend declared is HKD 0.02 per share, equivalent to RMB 0.018, which is 50% of the group's after-tax consolidated profit for the six months ended June 30, 2025[84] Corporate Governance and Compliance - The company has complied with the corporate governance code and has not deviated from any of its provisions during the six months ended June 30, 2025[82] - The audit committee reviewed the group's accounting principles and discussed risk management and internal controls for the six months ended June 30, 2025[86] Employee and Labor Costs - As of June 30, 2025, the group had a total of 3,302 employees, with labor costs amounting to RMB 145.4 million, a decrease from RMB 163.3 million in the same period of 2024[78] - The company did not encounter any significant difficulties in recruitment or experience any major employee turnover during the reporting period[78] Market Position and Recognition - The company received the "Best Practice Award" in the Wind ESG Hong Kong Stock Consumer Goods Industry for 2022 and ranked fourth in the Wind ESG rating distribution for beverages in 2023[52] - The company continues to enhance its brand positioning, having received multiple awards and recognitions in the tea industry, including being named one of the top 10 tea brands in China for 2024[51] - The board believes that the current trading price of the shares does not reflect their intrinsic value, indicating confidence in the long-term business outlook[80]
天福(06868) - 2025 - 中期业绩