Core Viewpoint - The company, Juran Smart Home (居然智家), reported a mixed performance in its semi-annual report, with revenue growth but a significant decline in net profit due to market pressures and strategic support for merchants [1] Financial Performance - For the first half of 2025, the company achieved operating revenue of 6.445 billion yuan, representing a year-on-year increase of 1.54% [1] - The net profit attributable to shareholders was 328 million yuan, showing a year-on-year decrease of 45.52% [1] - Basic earnings per share were reported at 0.05 yuan [1] Market Conditions - The decline in net profit was primarily attributed to fluctuations in the domestic economic environment and cyclical impacts on the real estate market, leading to intensified competition in the home furnishing and building materials market [1] - The company, as a leading player in the home furnishing and building materials sector, faced significant operational pressures on its merchants [1] Strategic Responses - To support merchants during challenging times, the company provided certain quality merchants with rent and management fee reductions, which resulted in a temporary decline in rental and management income [1] - In response to the revenue decline, the company innovated its market cooperation model and strengthened cost control management, leading to a gradual decrease in fixed rental costs [1] - The management expense ratio, sales expense ratio, and financial expense ratio all showed significant improvement year-on-year [1]
居然智家:上半年净利润3.28亿元 同比下降45.52%