Financial Performance - The pre-tax profit for the period was RMB 51.8 million, an increase of 139.8% or RMB 30.2 million compared to RMB 21.6 million in 2022, primarily due to increased gross profit[9] - The net profit for the period was RMB 37.2 million, representing a 295.7% increase or RMB 27.8 million from RMB 9.4 million in 2022[12] - Total revenue for the year ended December 31, 2023, was RMB 2,329.0 million, a slight increase of 0.1% or RMB 2.7 million compared to RMB 2,326.3 million for the year ended December 31, 2022[54] - The total gross profit for the period was RMB 1,212.2 million, an increase of 6.5% or RMB 74.3 million compared to RMB 1,137.9 million in 2022, with a gross margin rising to 52.0% from 48.9%[38] - The company's profit before tax for 2023 was RMB 51,809,000, an increase of 139.8% compared to RMB 21,630,000 in 2022[81] Revenue Breakdown - Revenue from offline sales channel was RMB 1,485.8 million, online sales channel was RMB 834.3 million, and other sales amounted to RMB 9.0 million, totaling RMB 2,329.0 million[68] - The main brand GXG saw a revenue increase of 9.2% or RMB 169.6 million compared to 2022, driven by a recovery in offline consumer spending[120] - Revenue from gxg.kids decreased by 55.3% or RMB 110.3 million due to strategic adjustments focusing on the main brand GXG[121] - Online channel sales revenue decreased by 19.5% or RMB 201.9 million to RMB 834.3 million, primarily due to negative impacts on the overall e-commerce industry and a reduction in the scale of small brand operations[124] - Sales revenue from partner stores decreased by 11.0% or RMB 16.5 million to RMB 134.1 million, mainly due to brand strategy adjustments and the sale of higher discount older inventory[123] Cost Management - The total cost of goods sold decreased to RMB 1,142,806,000 in 2023 from RMB 1,206,962,000 in 2022, reflecting a reduction of approximately 5.3%[6] - Selling and distribution expenses increased by 4.2% or RMB 37.3 million to RMB 920.8 million, accounting for 39.5% of total revenue, up from 38.0% in 2022[28] - Employee benefits expenses, excluding directors and key management personnel, totaled RMB 101,849,000 in 2023, down from RMB 131,902,000 in 2022, a reduction of about 22.8%[6] - The company reduced its total employee costs to RMB 100.0 million in 2023, down from RMB 132.6 million in 2022, representing 4.3% of total revenue[171] Asset and Liability Management - The debt-to-asset ratio improved to 44.1% as of December 31, 2023, down from 50.3% in 2022, mainly due to reduced pledged borrowings[17] - Non-current liabilities decreased from RMB 716.2 million in 2022 to RMB 526.8 million in 2023, with interest-bearing bank and other borrowings reducing from RMB 588.2 million to RMB 442.4 million[61] - The company's total liabilities decreased to RMB 1,329,811,000 in 2023 from RMB 1,772,240,000 in 2022, a reduction of approximately 25.0%[86] - Total assets less current liabilities amounted to RMB 1,238.4 million as of December 31, 2023, down from RMB 1,404.7 million as of December 31, 2022[61] Store Operations - The number of offline stores decreased from 1,122 as of December 31, 2022, to 1,022 as of December 31, 2023, due to the closure of underperforming stores[7] - The total number of stores decreased from 1,122 at the end of 2022 to 1,022 by December 31, 2023, as part of a strategy to improve store efficiency[36] - The sales revenue of gxg jeans decreased by 17.1% or RMB 37.4 million, mainly due to a reduction in the number of stores to enhance efficiency[141] Strategic Initiatives - The company did not engage in any significant investments or acquisitions during the period and continues to seek new business development opportunities[19] - The company aims to enhance operational efficiency by reforming its organizational structure and business model, integrating online and offline sales channels[139] - The group aims to enhance gross margins by strengthening omnichannel management and leveraging new retail technologies[116] Governance and Compliance - The company aims to continue reviewing and monitoring its corporate governance practices to ensure compliance with the corporate governance code[155] - The audit committee has been established and consists of three independent non-executive directors, with Mr. Gu Jiong as the chairman, responsible for reviewing the company's financial information and overseeing the financial reporting system, risk management, and internal control systems[175] Miscellaneous - The company did not have any single customer contributing 10% or more to total revenue during the year[70] - The company will not declare any final dividend for the year ending December 31, 2023[155] - The company has not proposed any final dividend for the year, consistent with 2022[81] - The annual report for the fiscal year ending December 31, 2023, will be sent to shareholders in a timely manner and will be published on the stock exchange and the company's website[176]
慕尚集团控股(01817) - 2023 - 年度业绩