Financial Performance - For the six months ended June 30, 2025, the company's revenue decreased by approximately 10.6% to RMB 425.2 million from RMB 475.7 million for the same period in 2024[11]. - The company's net profit attributable to shareholders for the same period was RMB 12.1 million, a decrease of about 8.3% compared to RMB 13.2 million in 2024[9]. - Gross profit for the period was RMB 179.1 million, a decrease of approximately 8.7% from RMB 196.2 million for the same period in 2024[14]. - Other income significantly decreased by approximately 81.3% to RMB 0.3 million from RMB 1.6 million in the previous year, primarily due to reduced sales of raw materials and a one-time high-interest bank deposit income in 2024[15]. - Profit for the period decreased by 8.3% from RMB 13.2 million to RMB 12.1 million[23]. - Earnings per share for the period was RMB 9.05, down from RMB 9.90 in 2024[56]. - The company reported a total depreciation and amortization expense of RMB 22,109,955, an increase from RMB 16,001,685 in the previous year[79]. - The company's income tax expense for the six months ended June 30, 2025, was RMB 3,644,182, a decrease of 43.3% from RMB 6,392,999 in the same period of 2024[83]. Revenue Breakdown - Revenue from the FIRS brand accounted for 67.5% of total revenue, amounting to RMB 286.98 million, while SHANSHAN brand revenue was RMB 136.07 million, representing 32.0% of total revenue[13]. - Retail sales through e-commerce platforms accounted for 34.3% of total revenue, amounting to RMB 146.02 million, down from 36.0% in the previous year[12]. - Revenue from apparel trading was RMB 374,483,426, down from RMB 421,878,831, reflecting a decline of 11.2% year-over-year[74]. - E-commerce platform sales decreased to RMB 146,022,393 from RMB 171,229,861, a decline of 14.7%[77]. Operational Changes - The total number of retail stores decreased by approximately 11.2%, from 662 stores as of December 31, 2024, to 588 stores as of June 30, 2025[10]. - The company has optimized its e-commerce platform, leading to a decline in e-commerce revenue during the period[11]. - The company has emphasized brand culture and launched new product lines, including a light business series under the SHANSHAN brand, which has gained consumer favor[9]. - Sales and distribution expenses decreased by approximately 2.7% from RMB 151.7 million to RMB 147.6 million, mainly due to a decline in revenue from franchisee channels[17]. - Administrative expenses decreased by approximately 14.2% from RMB 21.8 million to RMB 18.7 million, primarily due to reduced professional consulting fees[18]. Investments and Projects - The company is advancing its 5G new productivity industrial park project in Ningbo, expected to be completed in Q4 2025, focusing on technological research and digital transformation[10]. - The estimated total cost for the industrial park project is RMB 280 million, with RMB 41.3 million already paid for land use rights as of June 30, 2025[31]. - The company has a significant investment in a new integrated building for product R&D and smart manufacturing, indicating a focus on technological advancement and market expansion[85]. Shareholding Structure - The company and its affiliates hold a total of 52,021,000 domestic shares, representing approximately 39.00% of the total issued shares[35]. - The total shareholding structure indicates significant concentration among major shareholders, with the top shareholders holding substantial percentages of the total shares[43][44]. - The latest report indicates a shift in ownership dynamics following the passing of Mr. Zheng, impacting the overall share distribution[44]. - As of June 30, 2025, Mr. Luo and Ms. Zhou collectively own 52,021,000 domestic shares, representing 52.021% of the domestic shares and 38.996% of the total issued shares[41]. Financial Position - Cash and cash equivalents were approximately RMB 59.1 million as of June 30, 2025, down from RMB 106.5 million as of December 31, 2024[25]. - Current assets decreased to RMB 543,971,128 from RMB 655,385,875, with a notable decline in inventory and trade receivables[58]. - Total liabilities decreased from RMB 525,604,168 to RMB 441,273,041, indicating improved financial stability[58]. - Operating cash flow for the six months was a net outflow of RMB 40,102,503, compared to RMB 24,101,011 in the previous year, indicating increased cash usage[63]. Corporate Governance - The audit committee consists of three independent non-executive directors who reviewed and approved the interim results for the period[49]. - The company did not repurchase any of its H-shares during the reporting period and holds no treasury shares as of June 30, 2025[50]. - There are no reported conflicts of interest among directors, supervisors, or major shareholders with respect to the company's business[52]. - Changes in the board of directors include the resignation of Mr. Shen Jinxin and the appointment of Mr. Wang Mingming as a non-executive director effective June 9, 2025[53].
杉杉品牌(01749) - 2025 - 中期财报