Financial Performance - Revenue for the year ended December 31, 2023, was RMB 450,539,000, representing a 38.4% increase from RMB 325,604,000 in 2022[6] - Gross profit for the same period was RMB 298,992,000, with a gross margin of 66.4%, slightly down from 67.5% in the previous year[6] - The net loss for the year was RMB 47,170,000, a 29.0% improvement compared to a net loss of RMB 66,436,000 in 2022[6] - Basic loss per share improved to RMB (2.1) from RMB (3.2), reflecting a 34.3% reduction in losses per share[6] - Total revenue increased from RMB 325.6 million in 2022 to RMB 450.5 million in 2023, representing a growth of 38.4%[86] - Restaurant business revenue rose from RMB 312.5 million in 2022 to RMB 441.6 million in 2023, an increase of 41.3%[87] - Comparable restaurant sales increased by RMB 163.4 million in 2023, a growth of 68.6% compared to 2022[91] - Loss attributable to equity holders of the parent company for 2023 was approximately RMB 45.4 million, a reduction of RMB 23.8 million from a loss of RMB 69.2 million in 2022[80] - Net loss for the year reduced from RMB 66.4 million in 2022 to RMB 47.2 million in 2023, with the net loss margin decreasing from 20.4% to 10.5%[95] Assets and Liabilities - Total assets decreased by 32.3% to RMB 256,010,000 from RMB 378,336,000 in the previous year[6] - As of December 31, 2023, the company's current liabilities exceeded its current assets by approximately RMB 169,896,000[189] - The total liabilities of the company exceeded its total assets by approximately RMB 73,752,000 as of December 31, 2023[189] - The company had cash and cash equivalents of approximately RMB 20,658,000 as of December 31, 2023[189] - The carrying amounts of property and equipment and right-of-use assets were approximately RMB 26,084,000 and RMB 115,462,000, respectively, as of December 31, 2023[192] Operational Changes - The number of restaurants decreased to 29 from 38, marking a 23.7% reduction in locations[6] - The company operated 24 "Shanghai Xiao Nan Guo" restaurants, one "Hui Gong Guan" restaurant, three "Nan Xiao Guan" restaurants, and one "Wolfgang Puck" restaurant in 2023[80] - The number of restaurants in mainland China decreased from 30 to 23 for the "Shanghai Xiao Nan Guo" and "Hui Gong Guan" brands, while revenue increased from RMB 229.3 million to RMB 338.0 million[81] - The group recruited approximately 544 employees in mainland China and Hong Kong, a decrease of 22% from 694 employees in the previous year[108] Shareholder and Governance - The company does not recommend a final dividend for the year ended December 31, 2023[12] - The board of directors consists of executive directors Gu Tongshan (Chairman) and Ping Guoqin, as well as non-executive directors Wang Huili and Wu Wen, and independent non-executive directors Lei Weiming, Liang Yaozu, Zhang Zhenyu, and Li Yuping[51] - Independent non-executive directors have confirmed their independence according to the listing rules, ensuring compliance with regulatory standards[52] - The company has a share incentive plan that awarded Gu Tongshan and Ping Guoqin 110,651,550 and 62,739,425 shares respectively, effective from November 25, 2021[65] - The company has adopted a board diversity policy since 2013, emphasizing the importance of diversity in achieving strategic goals and sustainable development[124] Risk Management and Compliance - The independent auditor's report highlighted significant uncertainties regarding the company's ability to continue as a going concern due to its financial position[189] - The company confirmed that its risk management and internal control systems are effective and sufficient as of December 31, 2023[161] - The company has established arrangements for employees to report concerns regarding financial reporting and internal controls[144] - The company emphasizes compliance with applicable laws and regulations in the Cayman Islands, mainland China, and Hong Kong[39] Environmental and Social Responsibility - The company has established environmental protection measures to reduce its impact on the environment, including the use of eco-friendly takeaway packaging[38] - The company has a policy in place to provide fair compensation and equal opportunities for employees[40] - The company has developed mutually beneficial relationships with suppliers, emphasizing corporate social responsibility in supplier selection[42] Financial Reporting and Audit - The company’s board of directors is responsible for the preparation of the consolidated financial statements for the year ending December 31, 2023, ensuring their accuracy and fairness[159] - The Audit Committee held three meetings during the year ended December 31, 2023, to review the company's annual and interim financial statements[143] - The annual audit fee payable to external auditors for the year ending December 31, 2023, was RMB 1.08 million, with no non-audit service fees paid[167] Future Outlook and Strategy - The management has adjusted strategies in response to challenges in the domestic economy, focusing on the development of small and medium-sized new business formats[110] - The group aims to optimize operational management costs and resource allocation to maintain stability and steady development during economic fluctuations[111] - The management is confident in overcoming current market challenges and is actively preparing resources for the next phase of development[111]
上海小南国(03666) - 2023 - 年度财报