ST易购(002024) - 2021 Q4 - 年度财报

Financial Performance - The company's operating revenue for 2021 was CNY 138.90 billion, a decrease of 44.94% compared to CNY 252.30 billion in 2020[11]. - The net profit attributable to shareholders for 2021 was a loss of CNY 43.26 billion, representing a decline of 912.11% from a loss of CNY 4.27 billion in 2020[11]. - The net cash flow from operating activities for 2021 was a negative CNY 6.43 billion, a decrease of 296.48% compared to a negative CNY 1.62 billion in 2020[11]. - Total assets at the end of 2021 were CNY 170.74 billion, down 19.49% from CNY 212.08 billion at the end of 2020[11]. - The net assets attributable to shareholders decreased by 58.24% to CNY 32.10 billion in 2021 from CNY 76.86 billion in 2020[11]. - The company reported a basic earnings per share of -4.65 yuan in 2021, a significant decline from 1.07 yuan in 2019[11]. - The company recorded a total loss of CNY 85.63 billion when excluding impairment provisions and other factors[12]. - The weighted average return on equity was -79.42% in 2021, down from 11.77% in 2019[11]. - The company experienced a quarterly revenue decline, with Q4 2021 revenue at CNY 23.33 billion, down from CNY 54.01 billion in Q1 2021[15]. - In 2021, the company faced significant operational challenges, resulting in a net loss attributable to shareholders of 85.63 billion yuan after accounting for various asset impairment provisions and investment losses totaling 347.02 billion yuan[18]. Operational Adjustments - The company closed or adjusted several underperforming businesses, including the Tian Tian Express small parcel service and some loss-making home appliance stores, to focus on core retail operations[17]. - The company recognized a financial expense increase of 16.57 billion yuan due to the impact of new leasing standards and liquidity issues, although operational expenses excluding financial costs decreased by 20.30% compared to 2020[17]. - The company plans to continue enhancing operational efficiency and asset management to navigate the ongoing market challenges[19]. - The company is focusing on optimizing the Carrefour supermarket business to adapt to the rapid development of e-commerce and community group buying[31]. - The company is enhancing its logistics and service capabilities, particularly in large and medium-sized home appliance delivery and installation services[31]. Market Trends and Strategies - The retail market in China showed signs of recovery in 2021, but faced challenges such as demand contraction and rising costs, necessitating a shift in operational strategies[25]. - The company aims to enhance its core business in home appliances and 3C products, focusing on user demand for new and high-end appliances[28]. - The company is actively developing its e-commerce procurement business, leveraging its self-operated logistics and local service advantages[30]. - The company aims to expand its retail services in lower-tier markets through its retail cloud business[41]. - The company plans to enhance its physical store network through various projects, improving competitiveness in the "Internet+" environment[107]. Store and Inventory Management - The company opened 2,678 new retail cloud stores in 2021, bringing the total to 9,178 stores[29]. - As of December 31, 2021, the company had 11,281 offline stores, including 2,103 self-operated stores and 9,178 retail cloud franchise stores[32]. - The company’s inventory levels dropped to historical lows due to liquidity issues, impacting both sales and procurement scales[18]. - The total number of self-operated stores decreased by 546, with a total of 139 stores remaining open, covering an area of 19.31 million square meters[38]. - The company reported a net decrease of 373 stores in the home appliance and 3C category, with a total of 132 stores remaining open[41]. Financial Management and Investments - The company has established 19 new subsidiaries in 2021, while 37 subsidiaries were deregistered, indicating a strategic restructuring[60]. - The company plans to enhance liquidity and inventory levels in the second half of the year, focusing on promotional activities to boost sales[55]. - The company has implemented significant strategic adjustments in response to market conditions, particularly in fast-moving consumer goods and communication products[55]. - The company has repurposed CNY 1,930,712.0 thousand of interest income from raised funds to permanently supplement working capital[95]. - The company has allocated CNY 3,000,000.0 thousand for permanent working capital, achieving 100% investment progress[98]. Governance and Shareholder Engagement - The company held six shareholder meetings during the reporting period, ensuring effective communication and decision-making with shareholders[143]. - The board of directors and supervisory board operated efficiently, ensuring compliance and protecting the rights of shareholders[144]. - The company maintains a transparent performance evaluation and incentive mechanism for directors and senior management, promoting management performance improvement[145]. - The company has established an independent financial department and accounting system, ensuring no interference from controlling shareholders in financial decisions[150]. - The company has no controlling shareholder or actual controller since July 30, 2021, ensuring operational independence[150]. Future Outlook and Growth Plans - The company aims to restore profitability in its core home appliance and 3C business by achieving monthly profitability starting March 2022 and overall profitability for the year[137]. - The company plans to accelerate the development of three business systems: Retail Cloud, Easy Procurement Cloud, and Social Cloud, which are expected to drive significant growth and profitability in 2022[137]. - The company targets a 15%-20% contribution from its omnichannel strategy in the home appliance sector in 2022, which is anticipated to enhance gross profit levels[140]. - The company recognizes the need for a cultural shift to enhance individual responsibility and promote a work environment focused on efficiency and collective success[141]. - The company expresses confidence in the Chinese economy and retail market, driven by government policies and evolving consumer trends towards quality and personalized service[134].