Core Viewpoint - The recent controversies surrounding Minhua Holdings (HK01999) and its brand Zhi Huashi have sparked significant public discussion, particularly regarding employee penalties and the company's declining financial performance in the 2025 fiscal year [1][2][3]. Financial Performance - In the 2025 fiscal year, Minhua Holdings reported a revenue of HKD 16.903 billion, a decrease of 8.2% year-on-year, and a net profit of HKD 2.063 billion, down 10.4% from the previous year [4][5]. - The domestic market revenue fell by 17.2%, contributing to a decline in overall sales, with sofa and bedding sales experiencing significant drops [5][4]. Product Sales - Sofa and related products generated approximately HKD 11.743 billion, down 7.2% from HKD 12.659 billion the previous year, while bedding and related products saw a 19.4% decline, from HKD 2.988 billion to HKD 2.408 billion [5]. - Despite domestic challenges, the overseas market showed positive performance, with exports of sofa products increasing by 13% to approximately 884,000 sets [5]. Market Position - Zhi Huashi remains a leading brand in the functional sofa market, holding a 45.3% market share in China, and has been recognized as the top global seller of functional sofas [4][6]. Operational Changes - The company increased its store count by 131 to a total of 7,367, while reducing its workforce by over 3,700 employees, resulting in a 12% decrease in total staff [7]. - The gross profit margin reached 40.5%, the highest in five years, attributed to a 9.9% decrease in the cost of sold goods, including an 11.2% drop in raw material costs [7][8]. Management Compensation - Despite the overall reduction in employee costs, the compensation for directors increased to approximately HKD 20.956 million, up from HKD 17.406 million the previous year [8].
吃东西？罚！电脑没关？罚！芝华仕“花式扣罚”引关注，母公司敏华控股2025财年业绩下滑，员工减少3700名