Financial Performance - Gross revenue for the six months ended June 30, 2022, was RMB 495.3 million, a decrease of 40.5% compared to RMB 832.6 million for the same period in 2021[10]. - Revenue for the same period was RMB 230.6 million, down 20.2% from RMB 288.9 million in 2021[10]. - EBITDA for the six months ended June 30, 2022, was a loss of RMB 22.1 million, compared to a profit of RMB 21.3 million in 2021[10]. - Loss attributable to equity shareholders was RMB 185.8 million, an increase of 39.2% from RMB 133.4 million in the previous year[10]. - Basic loss per share increased to RMB 0.08 from RMB 0.06 in the same period last year[16]. - For the six months ended June 30, 2022, the company reported a loss of RMB 195,556,000, compared to a loss of RMB 138,201,000 for the same period in 2021, indicating an increase in loss of approximately 41.4%[19]. - Total comprehensive income for the period was RMB (177,951,000), significantly lower than RMB (43,397,000) in the previous year, reflecting a decline of approximately 309.5%[21]. - The company reported a loss from operations of RMB 100.1 million, compared to a loss of RMB 55.7 million in the same period last year[16]. - Adjusted EBITDA for the same period was RMB 12,656,000, down 38.1% from RMB 20,411,000 in the prior year[88]. - Reportable segment profit decreased significantly, with a loss before taxation of RMB 201,998,000 for the first half of 2022, compared to a loss of RMB 130,452,000 in 2021[88]. Assets and Liabilities - Net assets of the Group decreased to RMB 1,630.3 million as of June 30, 2022, down from RMB 1,808.3 million at the end of 2021[10]. - Non-current assets totaled RMB 7,030,445,000, slightly down from RMB 7,058,735,000 at the end of 2021, a decrease of approximately 0.4%[25]. - Current liabilities increased to RMB 3,467,994,000 from RMB 2,789,331,000, marking an increase of about 24.4%[25]. - The total assets less current liabilities stood at RMB 3,678,183,000, down from RMB 4,420,114,000, indicating a decrease of approximately 16.8%[25]. - The company's inventories decreased to RMB 21,930,000 from RMB 24,523,000, reflecting a decline of about 10.6%[25]. - Trade receivables from third parties, net of loss allowance, decreased to RMB 16,812,000 as of June 30, 2022, from RMB 26,227,000 at the end of 2021[145]. - The group’s total trade and other receivables were RMB 40,922,000 as of June 30, 2022, compared to RMB 59,595,000 at the end of 2021[145]. - The ageing analysis of trade receivables shows that receivables over three months increased to RMB 6,160,000 as of June 30, 2022, from RMB 15,069,000 at the end of 2021[148]. - The group’s inventories decreased from RMB 24,523,000 at the end of 2021 to RMB 21,930,000 as of June 30, 2022[141]. Cash Flow and Financing - Cash used in operating activities was RMB 67,319,000, a decrease from RMB 286,035,000 in the previous year[37]. - Net cash used in investing activities amounted to RMB 25,632,000, compared to RMB 734,000 in the same period last year[41]. - The company generated net cash from financing activities of RMB 89,669,000, down from RMB 337,968,000 in the previous year[41]. - As of June 30, 2022, cash and cash equivalents decreased to RMB 26,994,000 from RMB 156,227,000 at the beginning of the period[41]. - The company incurred capital lease payments of RMB 8,959,000 and interest payments of RMB 10,740,000 during the period[41]. - Proceeds from new bank loans were RMB 90,000,000, while repayments of bank loans totaled RMB 200,000,000[41]. - The Group used net cash of RMB 67,319,000 in operating activities during the same period[55]. - The directors believe that the Group will have adequate funds to meet its liabilities for at least twelve months from the end of the reporting period, supported by a loan facility of RMB 4 billion from Qujiang Financial Holdings[55][56]. Revenue Breakdown - Total revenue for the six months ended June 30, 2022, was RMB 495,294,000, a decrease of 40.5% compared to RMB 832,620,000 for the same period in 2021[73]. - Sales of goods amounted to RMB 143,003,000, slightly increasing from RMB 142,176,000, representing a growth of 0.6%[73]. - Gross revenue from concession sales was RMB 309,085,000, down 50.8% from RMB 627,841,000 in the previous year[73]. - Gross rental income decreased to RMB 23,565,000 from RMB 33,711,000, reflecting a decline of 30.1%[73]. - Management and administrative service fee income was RMB 19,641,000, down from RMB 28,892,000, a decrease of 31.9%[73]. - Revenue recognition by timing showed RMB 187,404,000 recognized at a point in time and RMB 43,206,000 recognized over time[73]. Operational Challenges - The Group's department store and supermarket operations did not meet management's expectations due to economic slowdown and intense competition[128]. - The ongoing COVID-19 pandemic has introduced additional uncertainties affecting the Group's operations and financial position[128]. - The Group operates five department stores and one shopping mall, with two department stores and one mall closed for renovations, expected to reopen in November 2022 and July 2023[79]. Shareholder Information - The Company does not recommend the payment of an interim dividend for the six months ended June 30, 2022, consistent with the previous year where no interim dividend was paid[175]. - No final dividend for the previous financial year has been approved for the six months ended June 30, 2022, mirroring the situation from the previous year[175]. Impairment and Valuation - The company reported an impairment loss on intangible assets of RMB 30,164,000 for the first half of 2022, with no such losses reported in the same period of 2021[88]. - An impairment loss of RMB 30,164,000 was recognized for intangible assets related to the Ginwa Bell Tower cash-generating unit for the six months ended June 30, 2022[130]. - The Group's trademark "Ginwa" is regarded as having an indefinite useful life, with a carrying amount of RMB 100,000,000[121]. Financial Instruments and Fair Value - As of June 30, 2022, the fair value of equity securities designated at FVOCI was RMB 228,600,000, while financial assets measured at FVPL amounted to RMB 16,139,000[187]. - A 10% increase or decrease in net assets would result in a RMB 1,614,000 increase or decrease in the fair value of financial assets measured at FVPL, impacting the Group's profit by the same amount[191]. - The carrying amounts of the Group's financial instruments carried at cost or amortised cost were not materially different from their fair values as of June 30, 2022, and December 31, 2021[194].
世纪金花(00162) - 2022 - 中期财报