YONGHUI SUPERSTORES(SH:601933)2020-04-28 16:00Financial Performance - In 2019, Yonghui Superstores achieved a revenue of RMB 84.88 billion, representing a year-on-year increase of 20.36% compared to RMB 70.52 billion in 2018[22]. - The net profit attributable to shareholders of the listed company was RMB 1.56 billion, up 5.63% from RMB 1.48 billion in the previous year[22]. - The net profit after deducting non-recurring gains and losses was RMB 1.06 billion, an increase of 18.34% from RMB 896.95 million in 2018[22]. - The total assets of the company reached RMB 52.35 billion, reflecting a significant growth of 32.11% compared to RMB 39.63 billion in 2018[22]. - The basic earnings per share increased to RMB 0.16, a rise of 6.67% from RMB 0.15 in 2018[23]. - The company proposed a cash dividend of RMB 1.3 per 10 shares, totaling RMB 1.24 billion, which accounts for 79.11% of the net profit attributable to shareholders[6]. - The net cash flow from operating activities was RMB 416.33 million, a decrease of 76.36% from RMB 1.76 billion in 2018[22]. - The company reported a weighted average return on equity of 7.96%, slightly up from 7.89% in the previous year[23]. - The company’s net assets attributable to shareholders were RMB 20.11 billion, an increase of 3.88% from RMB 19.35 billion in 2018[22]. - The gross profit margin for the company was 21.56%, a decrease of 0.58% compared to the previous year[47]. Store Expansion and Operations - A total of 205 new stores were opened during the reporting period, with 244 new store contracts signed, bringing the total number of stores to 911 across 24 provinces[37]. - The company expanded its mini store format, opening 573 new mini stores while closing 44, covering 19 provinces[37]. - The company ranked 137th, 127th, and 106th in Deloitte's Global Retail Power Rankings for the years 2018 to 2020, indicating a significant improvement in its global standing[31]. - The company maintained profitability in most regions while continuing its expansion strategy in new provinces such as Gansu, Shandong, Qinghai, and Inner Mongolia[37]. - The number of newly opened large stores in 2019 was 205, covering an area of 1,255,100 square meters, with a total of 911 large stores operational nationwide[73]. Marketing and Customer Engagement - The company implemented targeted marketing strategies using big data to engage potential customers effectively[38]. - Online and offline sales reached RMB 3.51 billion, a year-on-year increase of 108%, accounting for 4.4% of total sales, up 2% year-on-year[39]. - The company signed a partnership with Australia's largest supermarket Woolworths, becoming the first retail channel for full-category sales in China[39]. - The number of registered customers for the cloud finance platform reached 392,900, with total payments of RMB 20.737 billion and a loan balance of RMB 4.4 billion, up 132% year-on-year[42]. Legal and Compliance Issues - 安徽永辉 is involved in a civil lawsuit with 商之都, claiming a total amount of 829,333.25 RMB for unpaid rent and damages[123]. - 河南永辉 is engaged in a legal dispute with 宏基公司 over a rental contract, with a claim amount of 2,416,000 RMB[124]. - 四川永辉 is pursuing legal action against 银龙 and 玉龙 companies for a total claim of 61.447 million RMB, including damages and rental fees[125]. - The ongoing legal disputes may impact 安徽永辉's and 河南永辉's operational performance and financial stability[123][124][125]. - The company is actively involved in litigation that could affect its market expansion and strategic decisions[123][124][125]. Investment and Future Outlook - The company plans to continue its expansion strategy with an estimated 20% increase in project launches for the upcoming year[81]. - The company plans to open 130 new stores in 2020 and aims to achieve online sales of 10 billion RMB, with an addition of millions of new app registered users[104]. - The company aims to enhance its supply chain by integrating a digital platform for food safety and consumer demand monitoring, establishing a comprehensive digital or IoT system[105]. - The company anticipates a positive outlook for 2020, driven by new store openings and strategic partnerships[85]. Social Responsibility and Community Engagement - The company established "Gansu Min County Yonghui Modern Agricultural Development Co., Ltd." with a total investment of CNY 20 million to promote local employment and agricultural development[181]. - The company provided CNY 2.15 million in funds and CNY 109.9927 million in material discounts for poverty alleviation efforts[183]. - The company was awarded the "Advanced Private Enterprise in the Precision Poverty Alleviation Action" by the Fujian Provincial United Front Work Department and the Fujian Provincial Federation of Industry and Commerce[184]. - The company plans to continue its "Precision Poverty Alleviation" efforts, focusing on agricultural development and creating job opportunities for local labor[184].