LFX(SH:600612)2024-09-20 09:44Group 1: Market Performance and Pricing Impact - The rapid increase in gold prices has significantly affected consumer demand, with a noticeable decline in retail sales of gold and jewelry since April 2024 [4][5]. - In the first half of 2024, the national gold consumption decreased by 5.61% compared to the same period in 2023, with gold jewelry sales dropping by 26.68% [5][6]. - The company's stock price fell by 44% in the second quarter of 2024, with a current dividend yield of only 3.9%, lower than competitors [6][7]. Group 2: Company Strategy and Growth Drivers - The company focuses on core business and actively expands both domestic and international markets, enhancing market coverage and share [3][4]. - In 2023, the company established a new subsidiary in Hubei to strengthen its competitive position in the region [3]. - The company has launched new sales channels, including live streaming and member shopping, to attract diverse customer groups [3][4]. Group 3: Financial Performance and Dividend Policy - Cumulative dividends from 2018 to 2023 amounted to 4.373 billion CNY, with a dividend payout ratio of 43.78% [5][8]. - The company plans to distribute at least 30% of its net profit as cash dividends annually, including mid-term dividends [5][8]. - The company has a history of 23 cash dividend distributions since its listing, totaling 7.533 billion CNY, which is 40.32% of its cumulative net profit [7][8]. Group 4: Risk Management and Operational Efficiency - The company employs various tools to manage gold procurement risks, including trading tools from the Shanghai Gold Exchange and bank leasing [4][5]. - The company has implemented measures to optimize channel management and dealer cooperation, focusing on themed stores to adapt to new consumer scenarios [3][4]. - The company emphasizes enhancing its core capabilities in brand, quality, technology, standards, and service to drive high-quality development [4][6].