北京京客隆(00814) - 2025 - 中期业绩

Financial Data Consolidated Balance Sheet As of June 30, 2025, the Group's total assets and liabilities decreased from year-end 2024, with significant declines in current assets and liabilities, while cash increased and accounts receivable and inventory decreased Consolidated Balance Sheet (RMB) | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Total Assets | 6,408,414,812.83 | 6,977,601,312.59 | -8.2% | | Total Current Assets | 4,287,817,607.75 | 4,699,606,788.48 | -8.8% | | Cash and Cash Equivalents | 886,615,327.25 | 652,046,262.73 | +36.0% | | Accounts Receivable | 1,026,066,987.90 | 1,243,392,844.39 | -17.5% | | Inventories | 1,348,518,720.93 | 1,672,686,872.12 | -19.4% | | Total Liabilities | 4,920,652,805.69 | 5,355,803,037.64 | -8.1% | | Total Current Liabilities | 4,454,416,575.16 | 4,799,784,477.83 | -7.2% | | Short-term Borrowings | 2,645,639,091.44 | 2,971,227,478.02 | -10.9% | | Total Shareholders' Equity | 1,487,762,007.14 | 1,621,798,274.95 | -8.2% | Consolidated Income Statement For the six months ended June 30, 2025, the Group's total operating revenue decreased year-on-year, leading to expanded operating and net losses, with net loss attributable to parent company shareholders also increasing Consolidated Income Statement (RMB) | Item | Jan 1 to Jun 30, 2025 (RMB) | Jan 1 to Jun 30, 2024 (RMB) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Total Operating Revenue | 4,390,170,244.81 | 4,962,446,162.47 | -11.6% | | Total Operating Costs | 4,504,140,888.25 | 5,050,161,043.36 | -10.8% | | Operating Profit | -117,575,343.44 | -82,958,606.58 | -41.7% | | Total Profit | -117,298,246.46 | -82,055,345.35 | -42.9% | | Net Profit | -115,354,949.31 | -85,736,636.26 | -34.5% | | Net Profit Attributable to Parent Company Shareholders | -109,054,958.34 | -91,561,995.45 | -19.1% | | Basic Earnings Per Share | -0.26 | -0.22 | -18.2% | Notes to Financial Statements Company Profile Beijing Jingkelong Commercial Group Co., Ltd., established in 2004, primarily engages in retail and wholesale of daily consumer goods, listed on the HKEX main board in 2008. As of June 30, 2025, the company's total share capital was 412.22 million shares, with Beijing Chaofu State-owned Assets Management Co., Ltd. as the controlling shareholder - The company primarily engages in retail and wholesale of daily consumer goods, listed on the HKEX main board in 2008[8] - As of June 30, 2025, the company's total issued share capital was 412.22 million shares, with Beijing Chaofu State-owned Assets Management Co., Ltd. as the controlling shareholder[8] Basis of Preparation for Interim Financial Report The Group's financial statements are prepared on a going concern basis, adhering to Chinese Enterprise Accounting Standards, Hong Kong Companies Ordinance, and Listing Rules, using the accrual basis and historical cost measurement - Financial statements are prepared on a going concern basis, in accordance with Chinese Enterprise Accounting Standards, Hong Kong Companies Ordinance, and Listing Rules[9] - Accounting is based on the accrual method, with most items measured at historical cost, except for certain financial instruments[9] Analysis of Receivables and Payables This section details the aging structure and credit impairment provisions for accounts receivable, and the composition and aging analysis of notes and accounts payable, showing accounts receivable are mostly within one year, while notes payable significantly increased year-on-year Accounts Receivable As of June 30, 2025, total accounts receivable amounted to RMB 1,117,113,877.74, with 75% aged within one year, and total credit impairment provisions of RMB 91,046,889.84 Accounts Receivable Aging (RMB) | Aging | Amount (RMB) | Proportion (%) | Credit Impairment Provision (RMB) | Carrying Value (RMB) | | :--- | :--- | :--- | :--- | :--- | | Within 1 year | 835,536,921.33 | 75 | 1,384,704.87 | 834,152,216.46 | | 1 to 2 years | 49,356,318.96 | 4 | 1,480,689.57 | 47,875,629.39 | | 2 to 3 years | 140,619,285.84 | 13 | 16,833,363.19 | 123,785,922.65 | | 3 to 4 years | 22,916,806.43 | 2 | 6,977,472.92 | 15,939,333.51 | | 4 to 5 years | 8,708,642.54 | 1 | 4,394,756.65 | 4,313,885.89 | | Over 5 years | 59,975,902.64 | 5 | 59,975,902.64 | – | | Total | 1,117,113,877.74 | 100 | 91,046,889.84 | 1,026,066,987.90 | Notes and Accounts Payable As of June 30, 2025, notes payable significantly increased by 102.6% year-on-year, while accounts payable slightly decreased; accounts payable are primarily for goods within one year, with amounts over one year mainly representing outstanding supplier payments Notes and Accounts Payable (RMB) | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Notes Payable | 214,246,957.80 | 105,750,091.50 | +102.6% | | Accounts Payable | 554,561,103.49 | 555,842,474.01 | -0.2% | | Total | 768,808,061.29 | 661,592,565.51 | +16.2% | - As of June 30, 2025, guarantee deposits for issuing bank acceptance bills amounted to RMB 21,567,527.88[10] - Accounts payable are predominantly within one year, with amounts exceeding one year primarily representing outstanding payments to suppliers[11] Retained Earnings and Dividend Policy As of June 30, 2025, the Group's retained earnings significantly decreased due to the net loss attributable to parent company shareholders for the period, and the Board recommended no interim dividend, consistent with the prior year Retained Earnings (RMB) | Item | Jan 1 to Jun 30, 2025 (RMB) | Jan 1 to Jun 30, 2024 (RMB) | | :--- | :--- | :--- | | Adjusted Retained Earnings at Beginning of Period | 139,088,761.53 | 299,762,293.04 | | Add: Net Profit Attributable to Parent Company Shareholders for the Period | -109,054,958.34 | -91,561,995.45 | | Retained Earnings at End of Period | 30,033,803.19 | 208,200,297.59 | - The Board recommended no interim dividend for the six months ended June 30, 2025, maintaining a zero dividend payout consistent with the prior year[14] Operating Revenue and Cost Structure In the first half of 2025, the Group's operating revenue and costs both decreased year-on-year, with primary business revenue, mainly from retail and wholesale, accounting for the largest share and both experiencing declines Overall Operating Revenue and Costs In the first half of 2025, the Group's operating revenue was RMB 4,390,170,244.81 and operating costs were RMB 3,648,245,716.51, both decreasing from the prior year Overall Operating Revenue and Costs (RMB) | Item | Jan 1 to Jun 30, 2025 (RMB) | Jan 1 to Jun 30, 2024 (RMB) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 4,390,170,244.81 | 4,962,446,162.47 | -11.6% | | Operating Costs | 3,648,245,716.51 | 4,093,625,852.02 | -10.9% | Primary Business Revenue and Costs Primary business revenue, mainly from retail and wholesale, saw year-on-year declines in both segments during the first half of 2025, primarily from sales of food, non-staple food, daily consumer goods, beverages, and alcohol Primary Business Revenue and Costs (RMB) | Item | Jan 1 to Jun 30, 2025 (RMB) | Jan 1 to Jun 30, 2024 (RMB) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Total Primary Business Revenue | 3,984,419,068.29 | 4,418,443,343.08 | -9.8% | | Retail Business Revenue | 1,077,392,855.23 | 1,362,551,512.41 | -20.9% | | Wholesale Business Revenue | 2,902,661,033.46 | 3,054,007,202.96 | -5.0% | | Total Primary Business Costs | 3,641,355,894.98 | 4,079,117,792.86 | -10.8% | - Primary business revenue is mainly derived from sales of food, non-staple food, daily consumer goods, beverages, and alcohol[16] Income Tax Expense The Group's income tax expense for the first half of 2025 was negative, primarily due to negative deferred income tax expense and the impact of unrecognized deductible temporary differences or deductible losses Income Tax Expense (RMB) | Item | Jan 1 to Jun 30, 2025 (RMB) | Jan 1 to Jun 30, 2024 (RMB) | | :--- | :--- | :--- | | Current Income Tax Expense | 7,024,567.42 | 16,862,376.00 | | Deferred Income Tax Expense | -8,967,864.57 | -13,181,085.09 | | Total | -1,943,297.15 | 3,681,290.91 | - Income tax expense was negative, mainly influenced by negative deferred income tax expense and unrecognized deductible temporary differences or deductible losses for the period[18] Earnings Per Share The Group's basic earnings per share for the first half of 2025 was RMB -0.26, an expanded loss compared to RMB -0.22 in the prior year, reflecting the decrease in net profit attributable to parent company shareholders Earnings Per Share (RMB) | Item | Jan 1 to Jun 30, 2025 (RMB) | Jan 1 to Jun 30, 2024 (RMB) | | :--- | :--- | :--- | | Net Profit Attributable to Parent Company Shareholders | -109,054,958.34 | -91,561,995.45 | | Number of Ordinary Shares for Basic EPS Calculation | 412,220,000.00 | 412,220,000.00 | | Basic Earnings Per Share | -0.26 | -0.22 | Liquidity Ratios As of June 30, 2025, the Group's net current assets were negative, with the deficit expanding from year-end 2024, indicating increased liquidity pressure, and total assets less current liabilities also showed a declining trend Net Current Assets As of June 30, 2025, the Group's net current assets were RMB -166,598,967.41, further deteriorating from RMB -100,177,689.35 at year-end 2024 Net Current Assets (RMB) | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | | :--- | :--- | :--- | | Current Assets | 4,287,817,607.75 | 4,699,606,788.48 | | Less: Current Liabilities | 4,454,416,575.16 | 4,799,784,477.83 | | Net Current Assets | -166,598,967.41 | -100,177,689.35 | Total Assets Less Current Liabilities As of June 30, 2025, total assets less current liabilities amounted to RMB 1,953,998,237.67, a decrease from year-end 2024 Total Assets Less Current Liabilities (RMB) | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | | :--- | :--- | :--- | | Total Assets | 6,408,414,812.83 | 6,977,601,312.59 | | Less: Current Liabilities | 4,454,416,575.16 | 4,799,784,477.83 | | Total Assets Less Current Liabilities | 1,953,998,237.67 | 2,177,816,834.76 | Performance Review and Operating Analysis Macro Environment and Operating Strategy In the first half of 2025, facing a complex international trade environment and fierce market competition, the Group focused on brand building, empowering product and service capabilities, strengthening core businesses, and promoting enterprise transformation to adapt to changes in household consumption expenditure patterns - The international trade environment is complex, the domestic consumer market shows strong resilience but faces many external uncertainties, and the proportion of food, tobacco, and alcohol consumption expenditure has decreased[21] - The Group leverages brand building, focuses on enhancing target customer value, empowers both product and service capabilities, strengthens core businesses, and promotes enterprise transformation and upgrading[21] Retail Business The Group's retail business closed some stores during the reporting period, leading to a decrease in primary business revenue, but gross margin improved through category development, product upgrades, store operation optimization, and technological empowerment, with logistics distribution centers integrated for efficiency Store Network and Operations As of June 30, 2025, the Group operated a total of 91 retail stores, comprising 83 directly operated stores and 8 franchised stores, with a total net operating area of approximately 99,218 square meters, having closed 9 stores during the reporting period Store Count (Units) | Store Type | Directly Operated Stores (units) | Franchised Stores (units) | Total (units) | | :--- | :--- | :--- | :--- | | Department Stores | 1 | - | 1 | | Hypermarkets | 8 | - | 8 | | Supermarkets | 34 | - | 34 | | Convenience Stores | 40 | 8 | 48 | | Total | 83 | 8 | 91 | Net Operating Area (Square Meters) | Store Type | Directly Operated Stores (sqm) | Franchised Stores (sqm) | Total (sqm) | | :--- | :--- | :--- | :--- | | Department Stores | 20,724 | - | 20,724 | | Hypermarkets | 23,722 | - | 23,722 | | Supermarkets | 46,611 | - | 46,611 | | Convenience Stores | 6,485 | 1,676 | 8,161 | | Total | 97,542 | 1,676 | 99,218 | - During the reporting period, 4 hypermarkets and 5 directly operated convenience stores were closed due to lease expirations and operational strategy adjustments, with no new retail stores opened[23] Product Competitiveness and Supply Chain Optimization The Group enhanced the cost-effectiveness and competitiveness of fruits, vegetables, meat, and eggs by optimizing the supply chain, implementing direct sourcing from bases, and introducing geographical indication products, while also optimizing product structure through new product selection and a "last-place elimination" mechanism, and integrating omni-channel supply chain resources - Continuously improved the cost-effectiveness of fruits, vegetables, meat, and eggs, with increased penetration rates for vegetables, fruits, meat, and fresh eggs compared to the prior year, and a comprehensive upgrade in targeted category development[24] - Implemented direct sourcing from bases, established direct supply channels for single items, and introduced geographical indication products and selected high-quality single items[24] - Adjusted new product strategy to a selection model, implemented a "last-place elimination" mechanism, phased out inefficient suppliers and slow-moving products, and optimized product structure[25] Operations Management and Customer Experience The Group adjusted store layouts, optimized product displays, closed unprofitable stores, and actively conducted "Jingkelong Supermarket into Community" activities to enhance customer shopping comfort, brand influence, and overall customer experience - Adjusted layouts of multiple stores, optimized product placement and display, standardized stack height and display standards, enhancing shopping comfort[26] - Closed unprofitable stores, focused management efforts on high-potential stores, and actively conducted nearly 200 "Jingkelong Supermarket into Community" special events to expand brand influence[26] - Strengthened basic management, refined operational standards for fresh produce, general management, store services, operational implementation, and safety, resulting in an increase in average daily customer traffic compared to the prior year[27] Technology Empowerment and Safety Control The retail business system completed infrastructure and core function upgrades, enabling automatic replenishment and one-click checkout at stores, and offline scan-to-pay and electronic member interoperability for customers, while continuously strengthening food safety risk prevention and emergency drills - The retail business system completed infrastructure and core function upgrades, enabling automatic replenishment for ambient and fresh products, automatic acceptance for direct delivery products, and one-click checkout at stores[28] - Customer-side features include offline scan-to-pay, interoperability between stored-value cards and electronic memberships, quick returns, and electronic members checking omni-channel order details[28] - Consistently implemented food safety risk prevention and control, steadily advanced food safety training, and organized the first system-wide food safety emergency drill[29] Logistics Distribution Center Integration The Group integrated its fresh and ambient distribution centers into a Logistics Business Unit to enhance logistics resource utilization efficiency, promote full product warehousing, adjust inventory structure, and leverage fresh processing capabilities to develop semi-finished ready-to-cook products for stores - Integrated fresh and ambient distribution centers to establish a Logistics Business Unit, promoting full product warehousing and increasing inbound efficiency[30] - Adjusted inventory structure to accelerate turnover, and utilized fresh processing capabilities to develop various semi-finished ready-to-cook products for stores, enhancing processing efficiency and unified food safety control[30] Retail Operating Performance During the reporting period, the Group's retail primary business revenue decreased by 20.9%, mainly due to store closures; however, the gross margin for directly operated retail business increased from 15.3% to 16.6%, benefiting from category development and product structure upgrades Retail Operating Performance (CNY thousand) | Item | 2025 (CNY thousand) | 2024 (CNY thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Hypermarket Revenue | 328,233 | 394,558 | -16.8% | | Supermarket Revenue | 673,232 | 869,689 | -22.6% | | Convenience Store Revenue | 75,927 | 98,305 | -22.8% | | Total Retail Primary Business Revenue | 1,077,392 | 1,362,552 | -20.9% | | Gross Margin for Directly Operated Hypermarkets, Supermarkets, and Convenience Stores | 16.6% | 15.3% | +1.3% | - Retail primary business revenue decreased by approximately 20.9%, primarily attributed to sales decline due to the closure of some stores[31] - Gross margin for directly operated retail business increased to 16.6%, mainly benefiting from deepened targeted category development, supply chain optimization, product structure upgrades, omni-channel supply chain integration, and member product development[32] Wholesale Business The Group's wholesale primary business revenue decreased by 5.0% year-on-year, mainly due to reduced sales in liquor and grain/oil categories; however, gross margin improved through product structure optimization and vendor policy adjustments Full-Chain Collaboration and Market Expansion The Group's wholesale business continues to deepen omni-channel development, strategically expanding into refined processing and supply for group meals, and strengthening supply chain ecosystem collaboration through supplier partnerships, co-branded SKU launches, and introduction of quality brands - Continuously deepened omni-channel development and strategically expanded into refined processing and supply for group meals[33] - Deepened cooperation with suppliers, launched over 30 co-branded SKUs, consolidating traditional supermarket channels and expanding into emerging business formats[33] - Introduced quality brands, adhered to a "full category + omni-channel" marketing dual-drive strategy, and strengthened supply chain ecosystem collaboration capabilities[33] Logistics Management Capability Enhancement The Group rationally adjusted logistics warehouse layouts, optimized storage space utilization, and enhanced transportation efficiency through the TMS transport management system, while also providing professional logistics solutions to third-party clients to reduce supply chain costs - Rationally adjusted logistics warehouse layouts, dynamically optimized storage space utilization, regularly analyzed inventory and turnover data, maximizing warehouse utilization[34] - Leveraged the TMS transport management system to flexibly allocate transportation resources, improving vehicle loading rates and average daily loading rates[34] - Continuously provided full-process warehousing and distribution services to third-party clients, reducing customer supply chain costs through optimized inventory management and other measures[34] Wholesale Operating Performance During the reporting period, wholesale primary business revenue decreased by 5.0%, mainly due to fluctuations in liquor business and channel adjustments for grain and oil categories; Chaopi Group's gross margin increased by 1.3% to 5.6%, benefiting from new brands and vendor policy adjustments Wholesale Operating Performance (CNY thousand) | Item | 2025 (CNY thousand) | 2024 (CNY thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Chaopi Group Primary Business Revenue | 3,042,576 | 3,193,246 | -4.7% | | Consolidated Wholesale Primary Business Revenue | 2,902,661 | 3,054,007 | -5.0% | | Gross Margin | 5.6% | 4.3% | +1.3% | - Wholesale primary business revenue decreased by approximately 5.0%, mainly due to fluctuations in liquor business from upstream supply chain and market price adjustments, and reduced sales in grain and oil categories due to some channels shifting to direct operation and decreased sales to Wumart system[36] - Chaopi Group's gross margin increased by 1.3% to 5.6%, primarily due to the addition of Yili brand ambient milk and yogurt business, optimized product structure, and vendor policy adjustments for Unilever brand e-commerce channels in the personal care category[36] Overall Operating Performance In the first half of 2025, the Group's primary business revenue decreased by 9.8% overall, but gross profit slightly increased by 1.1% year-on-year, with gross margin rising to 8.6%; however, both EBIT and net profit attributable to parent company showed losses, with the deficit expanding Primary Business Revenue During the reporting period, the Group's primary business revenue decreased by 9.8%, with retail business down 20.9% and wholesale business down 5.0% Primary Business Revenue (CNY thousand) | Item | 2025 (CNY thousand) | 2024 (CNY thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Primary Business Revenue | 3,984,419 | 4,418,443 | -9.8% | Gross Profit and Gross Margin During the reporting period, the Group's gross profit increased by 1.1% year-on-year, with gross margin improving from 7.7% in the prior year to 8.6% Gross Profit and Gross Margin (CNY thousand) | Item | 2025 (CNY thousand) | 2024 (CNY thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Gross Profit | 343,063 | 339,326 | +1.1% | | Gross Margin (%) | 8.6% | 7.7% | +0.9% | Net Profit Attributable to Parent Company During the reporting period, net loss attributable to parent company expanded by 19.1%, and the EBIT loss also significantly increased Net Profit Attributable to Parent Company (CNY thousand) | Item | 2025 (CNY thousand) | 2024 (CNY thousand) | Change (%) | | :--- | :--- | :--- | :--- | | EBIT | -64,831 | -25,055 | -158.8% | | Net Profit | -115,355 | -85,737 | -34.5% | | Net Profit Attributable to Parent Company | -109,055 | -91,562 | -19.1% | | Net Profit Attributable to Parent Company Margin (%) | -2.7% | -2.1% | -0.6% | Financial Position and Liquidity Sources of Funds and Asset-Liability Structure The Group primarily funds its operations through internal cash flow and bank loans; as of June 30, 2025, non-current assets mainly comprised fixed assets, investment properties, and land use rights, while current assets primarily included cash, inventory, and accounts receivable - The Group primarily funds its operations through internally generated cash flow and bank loans[41] - As of June 30, 2025, non-current assets amounted to RMB 2,120,597,205.08, primarily comprising fixed assets, investment properties, and land use rights[41] - Current assets amounted to RMB 4,287,817,607.75, primarily including cash and cash equivalents, inventory, and accounts receivable[41] Liabilities and Asset Pledges As of June 30, 2025, the Group's total borrowings were RMB 2,645,639,091.44, including bank loans factored against accounts receivable and unsecured bank loans, with annual interest rates ranging from 2.35% to 4.50%; some guarantee deposits secured notes payable - The Group's total borrowings amounted to RMB 2,645,639,091.44, including bank loans factored against accounts receivable and unsecured bank loans[42] - All bank loans carried annual interest rates ranging from 2.35% to 4.50%[42] - Guarantee deposits of RMB 21,567,527.88 secured notes payable of approximately RMB 214,246,957.80[42] Financial Ratios As of June 30, 2025, the Group's asset-liability ratio was approximately 76.8%, and the capital-to-debt ratio was approximately 3.3 times, both showing an increase from the prior year Financial Ratios | Indicator | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Asset-Liability Ratio | 76.8% | 75.9% | | Capital-to-Debt Ratio | 3.3 times | - | Foreign Exchange Risk All of the Group's operating income and expenses are primarily denominated in RMB, and its operations and cash flows were not significantly affected by currency exchange rate fluctuations during the reporting period - All of the Group's operating income and expenses are primarily denominated in RMB[45] - During the reporting period, the Group's operations and cash flows were not significantly affected by currency exchange rate fluctuations[46] Employee Information As of June 30, 2025, the Group's total number of employees was 3,837, a decrease from the prior year, with total staff costs for the reporting period amounting to RMB 327,370,218.17, slightly higher than the prior year Employee Information | Item | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Total Employees | 3,837 employees | 4,260 employees | | Total Staff Costs (RMB) | 327,370,218.17 | 323,702,437.00 | - Employee remuneration is determined based on position, responsibilities, experience, performance, and market levels to maintain competitiveness[47] Contingent Liabilities As of June 30, 2025, the Group had no significant contingent liabilities - As of June 30, 2025, the Group had no significant contingent liabilities[48] Significant Litigation The Group is involved in a land expropriation and compensation agreement dispute with the People's Government of Guanzhuang Township, Chaoyang District, Beijing; the first instance judgment rejected the company's claims, while the second instance ruled to overturn the first instance judgment and remand for retrial, with legal proceedings ongoing - In July 2022, the company filed a lawsuit against Guanzhuang Township Government and Nonggongshang Company, seeking to declare the land compensation agreement invalid and reclaim compensation fees of RMB 45,132,000 plus interest[49] - The first instance court ruled that the company pay land leveling fees and restore the land to arable conditions, rejecting all of the company's claims[49][50] - The second instance court ruled to overturn the first instance judgment and remand for retrial, with retrial legal proceedings still ongoing as of the announcement date[50] Outlook and Future Strategies Overall Outlook The Group anticipates strong resilience and great potential in China's economy in the second half of 2025, and will continue to solidify its foundation for high-quality development, driven by reform and innovation, focusing on brand building, enhancing product and service capabilities, strengthening core businesses, and promoting enterprise transformation and upgrading - China's economy is expected to maintain strong resilience and significant development potential in the second half of 2025[51] - The Group will continue to solidify its foundation for high-quality development, addressing challenges through reform and innovation, focusing on brand building, promoting dual empowerment of product and service capabilities, strengthening core businesses, and striving for new breakthroughs in enterprise transformation and upgrading[51] Retail Business Outlook The retail business aims to enhance customer experience, employee well-being, and establish benchmark retail stores in Beijing, deepening brand building, precisely matching differentiated product demands, strengthening digital intelligence empowerment, and reinforcing talent pipeline development - Aiming to enhance customer experience, improve employee well-being, and establish benchmark retail stores in Beijing, the Group will further deepen brand building[51] - Precisely match differentiated product demands, comprehensively enhance the core competitiveness of targeted categories; continuously optimize business systems, strengthen digital intelligence empowerment; and reinforce talent pipeline development[51] Wholesale Business Outlook The wholesale business will focus on high-quality development, accelerating central kitchen construction, promoting standardization across categories, expediting new ready-to-eat product development, building an efficient group meal supply chain, and fostering community canteen business to open new growth avenues - Focusing on high-quality development, accelerating central kitchen construction, and promoting standardization across various categories[51] - Accelerate the development of new ready-to-eat product categories, build an efficient group meal supply chain, promote the development of community canteen businesses, and open new growth avenues[51] Events During the Reporting Period Changes in Board Members At the Annual General Meeting on May 16, 2025, the company approved resolutions to change directors, appointing new executive, non-executive, and independent non-executive directors, and adjusting Board committee member roles - Zhang Liwei, Wang Hong, Zhang Hongbo, and Yang Wensheng were appointed as executive directors; Zhang Yan and Li Ying were appointed as non-executive directors; Ge Wenda, Wang Liping, and He Mingke were appointed as independent non-executive directors[52] - Mr. Li Jianwen was not re-elected as a non-executive director, Mr. Chen Liping was not re-elected as an independent non-executive director, and Mr. Chen no longer serves as Chairman of the Board Nomination Committee and a member of the Audit and Remuneration Committees[53] - Mr. He Mingke was appointed as Chairman of the Board Nomination Committee, and a member of the Audit and Remuneration Committees[53] Events After the Reporting Period No Significant Events As of the announcement date, no other significant events affecting the Group's operations and financial performance occurred after the reporting period - As of the announcement date, no other significant events affecting the Group's operations and financial performance occurred after the reporting period[54] Other Information Corporate Governance During the reporting period, the company applied and complied with the principles and code provisions of the Listing Rules' Corporate Governance Code, with a deviation in the director rotation mechanism; all directors confirmed compliance with the standard code for securities transactions - During the reporting period, the company applied and complied with the principles and all code provisions of Part 2 of Appendix C1, Corporate Governance Code, under the Listing Rules[55] - The company's articles of association currently do not explicitly stipulate a director rotation mechanism, thus deviating from Code Provision B.2.2 of the Corporate Governance Code[55] - All directors confirmed their compliance with the standards for securities transactions set out in the Model Code for Securities Transactions by Directors of Listed Issuers and the company's code of conduct during the reporting period[56] Audit Committee Report The company's Audit Committee reviewed the Group's unaudited interim consolidated results for 2025 and deemed them compliant with applicable accounting standards, HKEX requirements, and Hong Kong legal provisions - The Audit Committee considered and reviewed the accounting principles and methods adopted by the Group with management and independent auditors, and discussed matters such as internal control and financial reporting[57] - The Audit Committee believes that the Group's interim results announcement for the six months ended June 30, 2025, complies with applicable accounting standards, HKEX requirements, and Hong Kong legal provisions, and appropriate disclosures have been made[57] Disclosure of Interests This section discloses the interests of directors, chief executives, and substantial shareholders in the company's shares, including holdings of domestic shares and H shares Interests of Directors and Chief Executives As of June 30, 2025, Zhang Liwei, Wang Hong, and Zhang Hongbo held domestic shares in the company, representing 0.10%, 0.05%, and 0.02% of the total share capital, respectively Interests of Directors and Chief Executives (Shares) | Name | Capacity | Number of Domestic Shares Held | Approximate % of Total Issued Domestic Shares | Approximate % of Total Issued Share Capital | | :--- | :--- | :--- | :--- | :--- | | Zhang Liwei | Individual | 400,100 | 0.17 | 0.10 | | Wang Hong | Individual | 186,696 | 0.08 | 0.05 | | Zhang Hongbo | Individual | 100,000 | 0.04 | 0.02 | - Save as disclosed above, none of the company's directors, chief executives, or their associates had any disclosable interests or short positions in the shares, underlying shares, or debentures of the company or any associated corporation[59] Interests of Substantial Shareholders As of June 30, 2025, Beijing Chaofu State-owned Assets Management Co., Ltd. was the company's largest shareholder, holding 72.77% of domestic shares, representing 40.61% of total share capital; China Galaxy International Asset Management (Hong Kong) Co., Limited and its affiliates held 13.71% of H shares Interests of Substantial Shareholders (Domestic Shares) | Name | Capacity | Number of Domestic Shares Held | Approximate % of Total Issued Domestic Shares | Approximate % of Total Issued Share Capital | | :--- | :--- | :--- | :--- | :--- | | Beijing Chaofu State-owned Assets Management Co., Ltd. | Beneficial Owner | 167,409,808 | 72.77 | 40.61 | Interests of Substantial Shareholders (H Shares) | Name | Number of Issued H Shares Held | Approximate % of Total Issued H Shares | Approximate % of Total Issued Share Capital | | :--- | :--- | :--- | :--- | | China Galaxy International Asset Management (Hong Kong) Co., Limited | 24,970,000(L) | 13.71 | 6.06 | | China Galaxy International SPC (acting for and on behalf of China Galaxy Value Fund I SP) | 24,970,000(L) | 13.71 | 6.06 | - Save as disclosed above, no other person (other than the company's directors or chief executives) had any disclosable interests or short positions in the shares, underlying shares, or debentures of the company[63] Dealings in Listed Securities During the reporting period, the company held no treasury shares, and neither the company nor any of its subsidiaries purchased, redeemed, or sold any of the company's listed securities - During the reporting period, the company held no treasury shares[64] - During the reporting period, neither the company nor any of its subsidiaries purchased, redeemed, or sold any of the company's listed securities[64] Material Investments The company had no material investments (including those representing 5% or more of the Group's total assets) during the reporting period - The company had no material investments (including those representing 5% or more of the Group's total assets) during the reporting period[65] Material Acquisitions and Disposals During the reporting period, the Group had no material acquisitions or disposals of subsidiaries, associates, or joint ventures - During the reporting period, the Group had no material acquisitions or disposals of subsidiaries, associates, or joint ventures[66] Board Information This announcement was signed by Chairman Mr. Zhang Liwei and lists all executive, non-executive, and independent non-executive directors as of the announcement date - This announcement was signed by Chairman Mr. Zhang Liwei[67] - As of the announcement date, the executive directors are Zhang Liwei, Wang Hong, Zhang Hongbo, and Yang Wensheng; non-executive directors are Zhang Yan and Li Ying; and independent non-executive directors are Ge Wenda, Wang Liping, and He Mingke[68]