Financial Performance - For the year ended December 31, 2021, the Group recorded revenue of RMB 230.1 million, a decrease of 52.2% from RMB 481.1 million in 2020[29]. - The loss attributable to owners of the Company was RMB 438.0 million, compared to a loss of RMB 75.1 million in 2020, indicating a significant deterioration in performance[29]. - The Group reported an operating loss of RMB 398.7 million for 2021, compared to an operating profit of RMB 28.1 million in 2020[14]. - Fair value losses of RMB 157.1 million were incurred on listed equity securities, significantly impacting the financial results[29]. - The department store business contributed RMB 230.1 million in revenue for the year ended December 31, 2021, while the property business generated no revenue during the same period[53]. - The department store business contributed RMB 230.1 million in revenue for 2021, down from RMB 254.2 million in 2020, representing a decline of 9.5%[62]. - Rental income decreased by 2.2% to RMB 208.9 million in 2021 from RMB 213.6 million in 2020[62]. - Direct sales fell by 30.4% to RMB 11.0 million in 2021 from RMB 15.8 million in 2020[62]. - Income from the reversal of long-aged unredeemed pre-paid cards and membership card reward points decreased by 59.4% to RMB 9.9 million in 2021 from RMB 24.4 million in 2020[62]. - Other operating revenue decreased by 25.3% to RMB 32.5 million for the year ended December 31, 2021, down from RMB 43.5 million in 2020[66]. - Other gains – net amounted to RMB 20.4 million for the year ended December 31, 2021, compared to RMB 49.4 million in 2020[66]. - The operating loss of the department store business segment was RMB 131.5 million for the year ended 31 December 2021, compared to an operating loss of RMB 29.9 million in 2020, indicating a significant increase in losses[73][77]. - The property business segment reported an operating loss of RMB 236.8 million for the year ended 31 December 2021, compared to a profit of RMB 95.6 million in 2020[83]. - The loss attributable to the property business segment was RMB 243.2 million for the year ended December 31, 2021, compared to a profit of RMB 43.7 million in 2020[90]. Assets and Liabilities - Total assets as of December 31, 2021, were RMB 3,971.3 million, down from RMB 4,248.5 million in 2020, reflecting a decrease of 6.5%[12]. - Total liabilities increased to RMB 2,293.4 million in 2021 from RMB 2,129.7 million in 2020, representing a rise of 7.7%[12]. - The net assets of the Group decreased to RMB 1,677.9 million as of December 31, 2021, representing a decrease of 20.8% from RMB 2,118.8 million in 2020[95]. - The Group's long-term and short-term borrowings were RMB 561.5 million and RMB 95.4 million, respectively, as of December 31, 2021, compared to RMB 293.2 million and RMB 78.8 million in 2020, resulting in a gearing ratio of 39.1% (2020: 17.6%) due to the acquisition of Zhuhai Xiangyao[95]. - As of December 31, 2021, the Group's cash and cash equivalents and restricted bank deposits amounted to RMB 91.1 million, a decrease of 34.6% from RMB 139.2 million as of December 31, 2020[94]. Economic Environment - The economic slowdown in China during the second half of 2021 was attributed to fiscal tightening and recurring COVID-19 outbreaks, affecting consumer spending[27]. - The gross domestic product (GDP) of the PRC in 2021 was RMB 114.4 trillion, representing an increase of 8.1% from the previous year[28]. - The Group's financial results have been significantly affected by the COVID-19 pandemic, impacting both the PRC property market and retail business[51]. Strategic Initiatives - The Group is focusing on transforming its department stores into "Shirble Plaza," a one-stop shopping mall concept to enhance customer experience[35]. - The Group is exploring online platforms, including WeChat accounts and mobile shopping mini programs, to stimulate consumer enthusiasm and attract more customers[36]. - The Group plans to consolidate resources and adopt prudent business strategies to mitigate economic slowdown pressures[45]. Governance and Management - The Group's strategic planning is overseen by a team of experienced directors with diverse backgrounds in finance, law, and business management[104][107][108][113]. - Independent non-executive directors play a crucial role in the governance and oversight of the company's financial practices and strategic decisions[107][113]. - The company is committed to maintaining high standards of corporate governance and transparency in its operations[107][113]. - The company is focused on enhancing its operational directions and overall management strategies to drive business growth[104]. Shareholding and Dividends - The Board has decided not to recommend any final dividend for the year ended December 31, 2021, consistent with the previous year[93]. - The company reported a retained profit of RMB 697.8 million and a share premium of RMB 751.1 million as of December 31, 2021[124][127]. - The company is wholly owned by Ms. HUANG Xue Rong through Xiang Rong Investment Limited, which holds 1,374,167,500 shares[145]. - The total number of shares held by Shirble Department Store Limited is 1,374,167,500, which is significant for the company's control structure[145]. - The report indicates a lack of new substantial shareholders beyond those already disclosed, suggesting a stable ownership landscape[153]. Employee and Compensation - The total number of employees as of December 31, 2021, was 327, with a remuneration policy based on market conditions and individual performance[100]. - Employee benefit expenses decreased by 18.7% to RMB 50.6 million for the year ended December 31, 2021, from RMB 62.2 million in 2020[70]. - The remuneration policy for employees and directors is based on comparable companies' salaries, experience, responsibilities, and group performance[165]. Customer and Supplier Concentration - The aggregate revenue from the Group's largest customer was 24.2% of the total revenue for the year[183]. - The total revenue from the five largest customers accounted for 33.0% of the Group's total revenue for the year[183]. - The aggregate purchases from the Group's largest supplier were 22.6% of the total purchases for the year[183]. - The total purchases from the five largest suppliers represented 69.9% of the Group's total purchases for the year[183].
岁宝百货(00312) - 2021 - 年度财报