Financial Performance - For the year ended December 31, 2023, the Group reported revenue of RMB 190.666 million, a decrease of 0.5% from RMB 191.576 million in 2022[10] - The Group incurred an operating loss of RMB 356.338 million, improving from a loss of RMB 595.402 million in the previous year[10] - The loss attributable to owners of the Company was RMB 340.982 million, compared to a loss of RMB 556.117 million in 2022, indicating a significant improvement[10] - The Group recorded revenue of RMB190.7 million for the year ended 31 December 2023, a slight decrease of 0.5% compared to RMB191.6 million in 2022[34] - Loss attributable to owners of the Company amounted to RMB341.0 million in 2023, significantly improved from a loss of RMB556.1 million in 2022[34] - Other operating revenue decreased to RMB29.9 million in 2023 from RMB32.0 million in 2022, primarily due to a reduction in promotion and management income[48] - The operating profit for the department store business segment was RMB3.1 million in 2023, a significant recovery from an operating loss of RMB402.97 million in 2022[40] - The Group's accumulated loss as of December 31, 2023, amounts to RMB 637.3 million, while the share premium is RMB 751.0 million[135][140] Assets and Liabilities - Total assets decreased to RMB 2.342 billion in 2023 from RMB 2.899 billion in 2022, representing a decline of approximately 19.2%[12] - Total liabilities decreased to RMB 1.557 billion in 2023 from RMB 1.783 billion in 2022, a reduction of about 12.7%[12] - The Group's net current liabilities as of December 31, 2023, were RMB 427.2 million, compared to RMB 73.1 million as of December 31, 2022[85] - The gearing ratio increased to 70.8% as of December 31, 2023, compared to 52.5% as of December 31, 2022[79] - The asset-liability ratio as of December 31, 2023, was 70.8%, significantly up from 52.5% as of December 31, 2022[84] - The group's net asset value as of December 31, 2023, was RMB 785.8 million, down from RMB 1,116.5 million as of December 31, 2022[85] Revenue Sources - The Group's rental income accounted for 96.3% of total revenue in 2023, while direct sales contributed 3.4%[17] - Rental income decreased slightly by 0.9% to RMB182.9 million in 2023 from RMB184.5 million in 2022, while direct sales increased by 13.8% to RMB7.4 million[44] Economic Environment - The Chairman's statement highlighted ongoing challenges in business operations despite the lifting of pandemic control measures in China[19] - The economic recovery momentum in China has slowed down due to weak internal demand and uncertainty in the real estate market[21] - The ongoing uncertainty in the property sector and deflationary pressures in China may impact consumer spending and pose challenges for the physical department store business in 2024[27] Management and Strategy - The Group plans to focus on its core department store business and adopt prudent strategies to mitigate economic slowdown pressures and seize future market opportunities[28] - The company aims to expand its market presence and enhance operational efficiency through strategic initiatives[121] - The company is committed to developing new products and technologies to meet market demands and improve customer experience[121] - The company continues to explore opportunities for mergers and acquisitions to strengthen its market position[121] Employee and Operational Metrics - As of December 31, 2023, the total number of employees was 216, a decrease from 254 as of December 31, 2022[88] - Employee benefit expenses decreased by 35.4% to RMB27.7 million for the year ended December 31, 2023 from RMB42.9 million in 2022[57] - Depreciation and amortisation expenses decreased significantly by 74.0% to RMB3.2 million for the year ended December 31, 2023 from RMB12.3 million in 2022[58] Corporate Governance - The company has a strong management team with over 15 years of experience in business affairs, led by Ms. Huang Xue Rong as the Chairperson[104] - The financial oversight is managed by Mr. Chow Chun Pong, the Chief Financial Officer, who has been with the company since April 2010[114] - The board includes independent non-executive directors with extensive experience in finance and law, enhancing corporate governance[112] - The company is focused on compliance and financial matters to ensure transparency and accountability in its operations[114] Shareholder Information - As of December 31, 2023, Ms. HUANG Xue Rong holds 8,324,000 shares, representing 0.33% of the total shares[163] - Shirble BVI, wholly owned by Xiang Rong, holds 1,374,167,500 shares, accounting for 55.08% of the total shares[173] - Mr. HAO Jian Min is a beneficial owner of 374,250,000 shares, which is 15.00% of the total shares[173] - The total number of shares held by substantial shareholders, including Shirble BVI and Xiang Rong, is 1,374,167,500, which constitutes 55.08% of the total shares[173] Dividends and Financial Policies - The Board has decided not to recommend any final dividend for the year ended December 31, 2023[123][129] - The remuneration policy for employees and directors is based on comparable salaries, experience, responsibilities, and performance, with a share award scheme conditionally adopted[177] Connected Transactions - On November 23, 2023, the group entered into a lease agreement for office premises in Shenzhen, which is considered a connected transaction under the Listing Rules[90] - On December 29, 2023, the group renewed a lease agreement for one of its department stores in Shenzhen, which constitutes a major transaction and received approval from a controlling shareholder holding 55.08% of the shares[95]
岁宝百货(00312) - 2023 - 年度财报