Financial Performance - The company's revenue decreased by 23.1% from RMB 6,147.3 million in 2021 to RMB 4,724.8 million in 2022[5]. - The total loss for the year amounted to RMB 331.2 million, compared to a loss of RMB 283.1 million in the previous year[2]. - The total net income for the group was RMB 2,259.5 million in 2022, down from RMB 2,359.3 million in 2021[18]. - The company reported a net loss of RMB 331.2 million for the year ended December 31, 2022, compared to a net loss of RMB 283.1 million in 2021[60]. - The company reported a loss attributable to shareholders of RMB 353,052,000 for the year ended December 31, 2022, compared to a loss of RMB 293,212,000 in 2021[91]. - The pre-tax loss increased from RMB 213.7 million in 2021 to RMB 350.9 million in 2022[47]. - The company reported a total loss before tax of RMB 350,935 thousand for the year ended December 31, 2022[75]. Dividend and Shareholder Information - The company recommended a final dividend of RMB 0.028 per share, totaling approximately RMB 30 million[3]. - The board proposed a final dividend of RMB 0.028 per share for the year ended December 31, 2022, subject to shareholder approval[59]. - The total dividends declared for the year were RMB 60,000,000, consistent with the previous year[93]. Restaurant Operations and Expansion - The company opened 86 new restaurants in 2022, including 41 Xiabuxiabu restaurants and 44 Coucou restaurants, while closing 84 restaurants[7]. - The restaurant network totaled 1,026 locations by the end of 2022[7]. - In 2023, the group plans to open no less than 100 new restaurants for the Xiaobai brand, with at least 50% of these located in first-tier cities in southern China, such as Shanghai and Guangzhou[23]. - The group launched a new brand, "Chenshao," in September 2022, with plans to expand into first-tier cities like Shanghai, Beijing, Shenzhen, and Hangzhou in 2023[23]. - The company plans to continue expanding its restaurant operations in mainland China, focusing on enhancing customer experience and operational efficiency[70]. Customer Insights and Trends - The average customer spending in first-tier cities was RMB 67.9, compared to RMB 65.6 in the previous year[12]. - The average customer spending in first-tier cities increased by 7.3% to RMB 150.9 in 2022 from RMB 140.6 in 2021[20]. - The average customer spending in second-tier cities increased to RMB 137.0 in 2022 from RMB 129.7 in 2021[17]. - The company expects a positive outlook for the restaurant industry in 2023 following the end of pandemic restrictions[6]. - The company plans to explore the potential of online business models and delivery services in response to changing consumer habits[6]. Financial Position and Assets - Cash and cash equivalents decreased to RMB 300.7 million by December 31, 2022, down RMB 619.8 million from RMB 920.5 million at the end of the previous year[51]. - The company's net asset value decreased to RMB 1,521,421 thousand in 2022 from RMB 2,011,302 thousand in 2021, a decline of approximately 24.3%[63]. - Non-current assets decreased to RMB 2,778,293 thousand in 2022 from RMB 2,954,916 thousand in 2021, a reduction of about 5.9%[62]. - The company held financial assets measured at fair value through profit or loss totaling RMB 390.2 million as of December 31, 2022, with expected annual returns between 3.8% and 4.8%[52]. Cost Management and Efficiency - Employee costs decreased from RMB 1,829.7 million in 2021 to RMB 1,553.5 million in 2022, a reduction of 15.1%, while the employee count dropped from 28,536 to 27,059[41]. - The cost of raw materials and consumables decreased by 23.2% from RMB 2,341.3 million in 2021 to RMB 1,798.9 million in 2022, maintaining a consistent percentage of 38.1% of total revenue[40]. - Property rental and related expenses fell by 15.5% from RMB 298.1 million in 2021 to RMB 251.8 million in 2022[42]. - The company is focusing on a "high cost-performance" model, with pricing between RMB 50 to 60, aimed at attracting young consumers[30]. Strategic Initiatives and Future Plans - The group plans to focus on high-quality ingredients, improving dining experiences, and enhancing brand recognition in 2023[22]. - The group believes that the integration of its diverse platforms, including Xiaobai Xiaobai, Coucou, and online delivery services, will create strong synergies for business growth[22]. - The company plans to enhance its digital strategy by introducing a barcode scanning system and a simplified app for online ordering and loyalty rewards[33]. - The company is upgrading its internal systems with a new WMS supply chain system to better track ingredient flow and reduce management costs[33]. - The company plans to introduce new product categories in 2023, including "Curry Seafood Hot Pot Base" and seasonal offerings like "Lamb Spine Flavor Hot Pot Base" to enhance customer choices[28]. Governance and Compliance - The board consists of one executive director, two non-executive directors, and three independent non-executive directors, ensuring strong independence[113]. - The audit committee reviewed the group's annual performance for the year ended December 31, 2022, in collaboration with management and external auditors[117]. - The annual performance announcement is published on the Hong Kong Stock Exchange and the company's website[119].
呷哺呷哺(00520) - 2022 - 年度业绩