Group 1: Business Strategy and Development - The company aims to transform into smart home experience centers, with 20 stores upgraded by the end of March 2025 [1] - The establishment of 15 integrated experience centers has been achieved by the end of March 2025 [1] - The company has launched thousands of themed marketing activities to embrace policy benefits [1] Group 2: Digital Transformation and Innovation - The company is developing a smart招商管理 system to enhance supply-demand matching through digitalization [1] - AI design tools are being utilized to promote smart home decoration and marketing, with overseas expansions in North America and Singapore [1] - The company is focusing on four new consumption scenarios: smart living, green low-carbon living, smart elderly care, and health management [1] Group 3: International Expansion - The company is preparing to open a store in Kuala Lumpur, Malaysia, in Q3 2025 as part of its international strategy [2] - The international strategy emphasizes "industry collaboration and collective overseas expansion" [2] Group 4: Financial Management and Shareholder Communication - The company is committed to enhancing profitability and shareholder value amidst stock price fluctuations due to macroeconomic factors [2] - Various market value management tools are being employed to improve shareholder returns [2] - The company is actively communicating with investors to enhance value transmission [2] Group 5: Audit and Compliance Issues - The company is addressing audit concerns related to the actual controller's legal issues, ensuring normal operations continue [2] - Measures are being taken to eliminate the impact of the audit report's reserved opinion [2] - The company is committed to complying with legal obligations regarding information disclosure [2]

Core Viewpoint - The company is actively addressing the impact of its chairman's detention on operations and is implementing measures to improve net profit and operating cash flow, with plans to consolidate and enhance its market share in the home furnishing sector by 2025 [1][4][5]. Group 1: Chairman's Detention and Company Operations - The chairman's detention has not affected the company's operational cooperation, as other executives continue to perform their duties normally, and control of the company remains unchanged [1][2]. - The chairman's shares, totaling 372 million, have been judicially frozen, representing 5.97% of the company's total share capital, but there are no significant debts or legal issues affecting the company [2]. - The company maintains that the detention of the chairman has not impacted its strategic cooperation with Jinju Group, with ongoing collaboration in various business areas [2]. Group 2: Financial Performance and Measures - In 2024, the company reported a revenue decline of 4.04% to 12.966 billion yuan and a net profit drop of 40.83% to 769 million yuan, primarily due to pressures on merchants and reduced rental income from supportive measures [4]. - The company is taking steps to improve net profit and operating cash flow, including enhancing sales through online and offline marketing, adjusting franchise management, and optimizing cost structures [4][5]. Group 3: Future Business Strategy - For 2025, the company plans to enhance its market share in the home furnishing sector through various initiatives, including upgrading smart home experience centers and offering comprehensive service commitments [5][6]. - The company aims to leverage national subsidy policies to create a closed-loop system that efficiently converts policy benefits into market momentum [5][6]. - The company targets to sign at least 30 new stores and open no fewer than 25 stores in 2025, including one overseas location [6].