Financial Performance - Revenue for the six months ended September 30, 2023, was RMB 35,768 million, a decrease of 11.9% compared to RMB 40,611 million in the same period of 2022[2] - Gross profit for the same period was RMB 8,889 million, down 12.1% from RMB 10,112 million year-on-year[2] - Operating profit significantly declined to RMB 19 million, a decrease of 96.2% from RMB 500 million in the previous year[2] - The company reported a loss attributable to owners of the company of RMB 378 million, compared to a loss of RMB 87 million in the prior year, representing an increase of 334.5%[2] - Basic and diluted loss per share for the six months ended September 30, 2023, was RMB (0.04), compared to RMB (0.01) in the same period of 2022[4] - The net loss for the six months ended September 30, 2023, was RMB 378 million, an increase of RMB 291 million or 334.5% compared to a loss of RMB 87 million for the same period in 2022[52] - The loss attributable to owners of the company for the six months ended September 30, 2023, was RMB 359 million, an increase of RMB 290 million or 420.3% from RMB 69 million in the same period in 2022[53] Assets and Liabilities - Total assets as of September 30, 2023, were RMB 65,253 million, reflecting a 1.8% increase from RMB 64,118 million as of March 31, 2023[2] - Total liabilities increased by 4.8% to RMB 41,840 million from RMB 39,921 million as of March 31, 2023[2] - The company’s net asset value decreased by 3.2% to RMB 23,413 million from RMB 24,197 million as of March 31, 2023[2] - Trade and other receivables totaled RMB 2,330 million as of September 30, 2023, down from RMB 3,073 million as of March 31, 2023[31] - Cash and cash equivalents increased to RMB 14,809 million as of September 30, 2023, compared to RMB 12,408 million as of March 31, 2023[34] - Trade payables rose to RMB 12,797 million as of September 30, 2023, from RMB 11,478 million as of March 31, 2023[38] - The company had restricted cash of RMB 2,929 million as of September 30, 2023, reflecting funds subject to specific usage restrictions[34] Revenue Breakdown - Revenue from merchandise sales was RMB 34,225 million, down from RMB 39,084 million, while rental income from tenants increased slightly to RMB 1,543 million from RMB 1,527 million[12] - Revenue from merchandise sales for the six months ended September 30, 2023, was RMB 34.225 billion, a decrease of RMB 4.859 billion or 12.4% compared to RMB 39.084 billion for the same period in 2022[43] - Same-store sales growth for the same period was -5.9%, primarily due to a decline in the consumer price index for pork and fresh vegetables, a contraction in supply guarantee business, and a decrease in average transaction size[43] - Rental income for the six months ended September 30, 2023, was RMB 1.543 billion, an increase of RMB 0.016 billion or 1.0% compared to RMB 1.527 billion for the same period in 2022[43] Expenses and Costs - Employee benefits expenses totaled RMB 4,634 million, down from RMB 5,044 million, reflecting a decrease of 8.1%[15] - Selling and marketing expenses for the six months ended September 30, 2023, were RMB 8.718 billion, a decrease of RMB 0.66 billion or 7.0% compared to RMB 9.378 billion for the same period in 2022[46] - Administrative expenses for the same period were RMB 898 million, a decrease of RMB 138 million or 13.3% compared to RMB 1.036 billion for the same period in 2022[47] - The total income tax expense for the six months ended September 30, 2023, was RMB 184 million, down from RMB 352 million in the same period of 2022, reflecting a significant reduction of 47.2%[21] - The group reported a total financial expense of RMB 213 million for the six months ended September 30, 2023, down from RMB 234 million in the same period of 2022[20] Cash Flow - Net cash generated from operating activities for the six months ended September 30, 2023, was RMB 2.801 billion, a decrease of RMB 326 million or 10.4% compared to RMB 3.127 billion for the same period in 2022[53] - Cash inflow from investment activities for the six months ended September 30, 2023, was RMB 263 million, a decrease of RMB 681 million or 72.1% from RMB 944 million in the same period of 2022[55] - Cash outflow from financing activities for the six months ended September 30, 2023, was RMB 663 million, a decrease of RMB 524 million or 44.1% from RMB 1.187 billion in the same period of 2022[56] Corporate Governance and Compliance - The company emphasizes maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[69] - The company has complied with all provisions of the Corporate Governance Code for the six months ended September 30, 2023[70] - No dividends were declared for the six months ended September 30, 2023, consistent with the previous period[72] - There were no purchases, sales, or redemptions of the company's listed securities by the company or its subsidiaries during the six months ended September 30, 2023[71] - No significant events or transactions that could impact the group have occurred since September 30, 2023, up to the date of this announcement[73] Operational Developments - The company continues to focus on enhancing operational efficiency and exploring new market opportunities despite the current financial challenges[3] - The company has launched over 100 private label products as of September 30, 2023, achieving a penetration rate of nearly 10% in the relevant subcategories[60] - The first M membership store opened in April 2023, with over 50,000 paid members and a total membership close to 100,000 as of September 30, 2023[61] - The company has completed the reconstruction of 8 stores and partial renovations of over 50 stores as of September 30, 2023, focusing on enhancing customer experience[60] - The company has a total of 505 physical stores as of September 30, 2023, including 485 hypermarkets and 19 medium-sized supermarkets[62] - The company plans to open three new hypermarkets and 18 medium-sized supermarkets, with six under construction as of September 30, 2023[63] - The company aims to enhance customer satisfaction and optimize fulfillment costs, with daily online store orders continuing to grow[60] - The company will continue to focus on differentiated product offerings and expand its store network, with plans to convert two existing stores into membership stores in 2024[61][68] - Approximately 66.7% of the total building area of hypermarkets and medium-sized supermarkets is leased, while 33.3% is owned by the company[62] Employee Information - Employee count decreased to 102,101 as of September 30, 2023, down from 114,490 a year earlier, with total employee benefits expenditure amounting to RMB 4,634 million[67]
高鑫零售(06808) - 2024 - 中期业绩