Core Viewpoint - The article discusses the decline and impending delisting of *ST Renle (人人乐), once known as the "first private supermarket stock" in China, highlighting its financial struggles and the broader challenges facing the retail industry in China [1][2][7]. Company Overview - *ST Renle was founded in 1996 and initially thrived, achieving peak sales of 12.913 billion yuan in 2012 and operating nearly 150 stores [2]. - The company went public in 2010, marking its status as a significant player in the retail sector [2]. - However, it faced a turning point in 2012 when it reported its first loss post-IPO, leading to a prolonged period of financial difficulties [2][3]. Financial Performance - By 2024, *ST Renle's net assets had deteriorated to -4.04 billion yuan, triggering delisting warnings [1][3]. - The company's revenue plummeted by 49.86% year-on-year to 1.43 billion yuan in 2024, with a further decline of 77.81% to 129.4 million yuan in Q1 2025 [1][3]. - Despite attempts to sell assets and restructure, the company reported a loss exceeding 17 million yuan for the year [4]. Strategic Missteps - The company attempted various business models, including premium supermarkets and community fresh food stores, but was criticized for lacking a coherent strategy [4]. - Management instability, with three changes in leadership within six years, contributed to inconsistent strategic direction [5]. Industry Context - The retail sector in China is experiencing a significant downturn, with at least 782 supermarket closures in 2024, including major players like Yonghui Supermarket [7]. - In contrast, new retail formats such as Sam's Club and the phenomenon of Pang Donglai are thriving, indicating a shift in consumer preferences and market dynamics [7][8]. - The article emphasizes that the essence of retail lies in trust and value rather than mere scale and capital [8].