Liqun Co.,Ltd.(SH:601366)2023-04-25 16:00Financial Performance - The company's total revenue for 2022 was RMB 7,860,175,208.11, representing a decrease of 2.76% compared to RMB 8,083,644,410.14 in 2021[24]. - The company reported a revenue of RMB 7,798,354,322.13 after excluding non-core business income, which is a decline of 3.02% from RMB 8,041,396,271.16 in the previous year[24]. - The net profit attributable to shareholders was -172,830,803.47 RMB, a significant decline compared to 80,214,468.66 RMB in the previous year, representing a decrease of 315.46%[25]. - The basic earnings per share (EPS) was -0.20 RMB, down from 0.11 RMB in 2021, reflecting a decrease of 281.82%[26]. - The operating cash flow net amount was 574,437,604.29 RMB, a decrease of 8.69% from 629,109,501.32 RMB in the previous year[25]. - The company reported a significant increase in investment cash flow, with a net cash flow of approximately -¥625.63 million, an improvement of 48.43% compared to -¥1.21 billion in the previous year[64]. - The company reported a revenue increase of 15% year-over-year, reaching 1.2 billion RMB in the latest quarter[120]. - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the fiscal year, representing a 15% year-over-year growth[124]. Dividend and Profit Distribution - The net profit available for distribution as of December 31, 2022, was RMB 1,600,144,704.96, with a proposed cash dividend of RMB 1.00 per 10 shares, totaling RMB 84,973,336.4[6]. - The total number of shares for dividend distribution is 849,733,364, with the remaining undistributed profit carried forward to future years amounting to RMB 1,515,171,368.56[6]. - The company declared a cash dividend of 84,973,336.40 RMB, which is not applicable to the net profit attributable to ordinary shareholders of the consolidated financial statements, which was -172,830,803.47 RMB[154]. - The company did not propose a cash profit distribution plan despite having a positive profit available for distribution to shareholders[153]. Operational Developments - The company opened new retail stores that are still in the market cultivation phase, impacting net profit by 55.77 million RMB[27]. - The company opened a total of 44 new stores in 2022, with a significant focus on self-owned properties, including the 119,192 m² West Coast Jinding Plaza in Qingdao[84]. - The total area of newly opened stores in 2022 reached approximately 1,000,000 m², enhancing the company's market presence in Shandong province[84]. - The company is strategically focusing on high-traffic areas, as evidenced by the establishment of stores in major shopping districts[84]. - The company is actively pursuing a mix of leasing and owning properties to optimize its operational costs and asset management[86]. Supply Chain and Logistics - The company has established a comprehensive supply chain integration strategy, enhancing its logistics capabilities and expanding its external sales channels[43]. - The company operates 4 large logistics centers with a total storage area exceeding 600,000 square meters, enhancing its distribution capabilities across Shandong, Jiangsu, Anhui, and Shanghai[92]. - The logistics division reported a 25% improvement in efficiency, reducing delivery times to an average of 24 hours[124]. - The logistics centers support various functions, including cold chain logistics and fresh processing, ensuring efficient handling of perishable goods[92]. Market Expansion and Strategy - The company plans to further enhance its market expansion strategy by exploring additional locations in neighboring provinces[84]. - The company is focusing on expanding its footprint in Jiangsu and Shandong, with multiple stores established in key urban areas[86]. - The company aims to increase its market share by 10% in the next fiscal year through aggressive marketing and promotional strategies[84]. - The company is considering strategic acquisitions to enhance its product portfolio, with a budget of 300 million RMB for potential deals[124]. Governance and Compliance - The company adheres to regulations such as the Company Law and Securities Law, ensuring effective governance and decision-making processes[112]. - The company has established a robust internal control governance mechanism, ensuring independence from major shareholders in operations and finances[112]. - The company conducted its shareholder meetings in compliance with legal requirements, allowing equal participation for all shareholders, especially minority ones[112]. - The company has established a framework for the election and appointment of board members to enhance governance[126]. Employee and Management - The total number of employees in the parent company is 193, while the main subsidiaries employ 6,953, resulting in a total of 7,146 employees[138]. - The company has implemented a comprehensive training plan to enhance employee skills, including both hard and soft skills training, to support sustainable development[141]. - The company has established a performance evaluation mechanism for senior management based on operating profit indicators and comprehensive management, ensuring alignment with long-term interests[160]. - The total remuneration for all directors, supervisors, and senior management at the end of the reporting period amounted to 9.0706 million yuan[125]. Financial Management - The company has implemented strict financial management and internal audit supervision for its subsidiaries to enhance operational efficiency and asset protection[162]. - The company has a structured approach to employee compensation, with various components including base salary, performance bonuses, and benefits[139]. - The company has established a salary increase system based on economic performance, with annual increments typically ranging from 10% to 20%[140]. Risks and Challenges - The company recognizes the challenges posed by macroeconomic risks, including demand contraction and supply shocks, which may impact future growth[107]. - The retail industry faces intense competition, with the top 100 chain enterprises accounting for less than 10% of total retail sales, indicating a fragmented market[108]. - The company has not encountered any violations regarding guarantees during the reporting period[188]. Future Outlook - In 2023, the company anticipates a recovery in the retail market as consumer confidence improves, driven by government policies to stimulate consumption[42]. - The company provided a future outlook with a revenue guidance of 1.5 billion RMB for the next quarter, representing a 25% increase compared to the current quarter[120]. - Overall, the management remains optimistic about sustaining growth and improving profitability in the upcoming quarters[124].