Yifeng Pharmary(603939)2024-09-02 07:41Financial Performance - Revenue for the first half of 2024 reached 11.762 billion yuan, a year-on-year increase of 9.86% [3] - Net profit attributable to the parent company was 798 million yuan, up 13.13% year-on-year [3] - Non-GAAP net profit was 786 million yuan, representing a 15.77% increase [3] - Proposed cash dividend of 0.25 yuan per share, totaling 303 million yuan [4] Store Operations - Total stores reached 14,736 by the end of the reporting period, including 3,426 franchise stores [3] - Added 1,575 new stores in H1 2024: 842 self-built, 293 acquired, and 440 franchise stores [3] - Relocated 17 stores and closed 72 stores during the reporting period [3] New Retail Business - Membership base reached 96.16 million, with member sales accounting for 77% of total sales [3] - O2O business covered over 10,000 directly operated stores across major cities [3] - Internet sales reached 1.096 billion yuan, a 20.18% year-on-year increase [3] - O2O sales: 878 million yuan, up 26.33% [3] - B2C sales: 218 million yuan, up 0.46% [3] Industry Trends and Strategy - Pharmacy remains a crucial community health gateway, especially for elderly customers [4] - Online platforms complement rather than replace physical stores due to the need for face-to-face services [4] - Global pharmacy trends show diversification into cosmetics, functional foods, and daily necessities [5] - China's 1-2 person households (50% of total) increasingly rely on pharmacies for health services [6][7] Challenges and Responses - Q2 growth slowdown attributed to reduced health product consumption and inventory adjustments [8] - Intensified competition expected to ease as some stores close in July [8] - M&A activity slowed due to market uncertainty, with significant deals expected to resume next year [9] Future Focus Areas - Store optimization through "people-goods-field" transformation [10] - Enhanced professional service models to improve customer engagement [10] - Expansion of health product procurement and sales systems [10] - Comprehensive cost reduction and digital system construction [10] - Organizational innovation and talent system development [10]