SUNING.COM(SZ:002024) Guan Cha Zhe Wang·2025-06-23 07:09Core Viewpoint - The retail giant Suning.com is struggling under debt and has shifted its strategic focus to core home appliance and 3C businesses, divesting non-core assets to reduce debt burden [4][6]. Group 1: Company Actions - Suning.com announced the sale of 100% equity in four Carrefour subsidiaries for a total of 4 yuan, which is expected to increase the company's net profit by approximately 572 million yuan [4]. - The company has been actively reducing its debt through various measures, including the sale of its stake in Tian Tian Express for 10 million yuan, which helped eliminate 561 million yuan in liabilities and contributed over 500 million yuan to net profit [5]. - In 2024, Suning.com reached debt settlement agreements with creditors, resulting in a debt reduction of 502 million yuan [5]. Group 2: Financial Performance - In Q1 2025, Suning.com reported revenue of 12.894 billion yuan, a year-on-year increase of 2.5%, and a net profit attributable to shareholders of 17.96 million yuan, up 118.54% year-on-year [6]. - Despite the profit increase, the net profit excluding non-recurring gains and losses was still a loss of 199 million yuan, indicating ongoing challenges in core business profitability [6]. Group 3: Carrefour's Decline - Carrefour, once a leader in the Chinese retail market, has seen a significant decline in its operations since being acquired by Suning.com, with the number of stores dropping from 210 in 2019 to just 41 in the first half of 2023 [6][7]. - The company faced numerous operational challenges, including supply chain issues and a lack of liquidity, leading to the closure of traditional hypermarkets and a significant drop in revenue [4][7]. - Carrefour's attempts to revitalize its business through new formats have yielded limited success, with reported revenue of 648 million yuan and a loss of 546 million yuan in 2024 [7].