Securities code: 002291 securities abbreviation: Saturday Co.Ltd(002291) Announcement No.: 2022-011 Saturday Co.Ltd(002291)
Announcement on the reply to the letter of concern of Shenzhen Stock Exchange
The company and all members of the board of directors guarantee that the information disclosed is true and accurate
Accurate and complete, without false records, misleading statements or major omissions.
Saturday Co.Ltd(002291) (hereinafter referred to as "the company") received the attention letter on Saturday Co.Ltd(002291) from Shenzhen Stock Exchange on January 21, 2022 (company Department attention letter [2022] No. 25) (hereinafter referred to as "the attention letter"). The company has replied to some of the questions listed in the attention letter on January 25, 2022. For details, see the announcement on reply to the attention letter of Shenzhen Stock Exchange (Announcement No. 2022-010). For some questions that have not been replied, the company plans to complete the reply before January 27, 2022. Now the company's reply to all questions in the letter of concern is announced as follows:
1. For performance forecast, please your company:
In combination with the operating income and its deduction in 2021, explain whether your company still touches on item (IV) of paragraph 1, article 5.1.1 of the stock listing rules (revised in 2022). If so, please supplement the performance forecast and fully disclose the risk indication in a timely manner.
The annual audit accountant is requested to check the above problems and give clear opinions.
Reply: according to the third quarter report of 2021 disclosed by the company, the company achieved an operating revenue of about RMB 1.671 billion in the first three quarters of 2021 (the data is Unaudited). At the same time, according to the preliminary calculation results of the company's financial department for the annual operating revenue of 2021, It can be judged that the operating income and deduction of the company in 2021 will not touch item (IV) of paragraph 1, article 5.1.1 of the stock listing rules (revised in 2022), that is, "the lower of the net profit before and after deducting non recurring profits and losses is negative, and the operating income after deducting the business income irrelevant to the main business and the income without commercial substance is less than 100 million yuan".
2. With regard to inventory falling price reserves, please your company:
In combination with the changing factors such as industry environment, business development and promotion strength, explain the reasons and rationality of the significant increase in the provision for inventory falling price in 2021 compared with that in 2020, and whether the accounting policy and determination basis for the provision for inventory falling price in 2021 have changed significantly compared with that in 2020. If so, explain the specific reasons for the change, On this basis, explain whether the provision for inventory falling price in previous years is sufficient and whether your company has earnings management.
The annual audit accountant is requested to check the above problems and give clear opinions.
Reply: the company's accounting policies and determination basis for withdrawing inventory falling price reserves in 2021 have not changed compared with 2020. After a comprehensive inventory of inventories at the end of the accounting period, the company shall withdraw or adjust the inventory falling price reserves according to the lower of the inventory cost and net realizable value. The net realizable value of finished products, goods in stock, materials for sale and other goods inventories directly for sale shall be determined by the amount of the estimated selling price of the inventory minus the estimated selling expenses and relevant taxes in the normal process of production and operation; For the inventory of materials that need to be processed, in the normal production and operation process, the net realizable value is determined by the estimated selling price of the finished products minus the estimated cost to be incurred at the time of completion, estimated selling expenses and relevant taxes; The net realizable value of inventories held for the execution of sales contracts or labor contracts is calculated based on the contract price. If the quantity of inventories held is more than the quantity ordered in the sales contract, the net realizable value of excess inventories is calculated based on the general sales price.
At the end of the period, the inventory falling price reserves are accrued according to a single inventory item; However, for the inventory with large quantity and low unit price, the inventory falling price reserves shall be withdrawn according to the inventory category; If the inventories are related to the product series produced and sold in the same region, have the same or similar end use or purpose, and are difficult to be measured separately from other items, the inventory falling price reserves shall be accrued jointly.
If the factors affecting the previous write down of inventory value have disappeared, the amount of write down shall be restored and reversed within the amount of inventory falling price reserve originally withdrawn, and the reversed amount shall be included in the current profit and loss.
The company determines the estimated selling price based on the average selling price of single or similar inventories in the current period. The classification basis of the company's provision for inventory falling price includes year, brand, category and applicable season. Year refers to the year of product output, brand refers to the brand operated by the company, mainly including "St & SAT" ( Saturday Co.Ltd(002291) ), "D: fuse", "SAFIYA" ({Sofia), "Saturday mode", "fondberryl"), etc. category refers to shoes Bags and accessories, applicable seasons mainly refer to sandals, spring single shoes, autumn single shoes, short boots, medium boots, high top boots, long boots, cotton boots, deep mouth shoes, shallow mouth shoes, etc.
The categories selected by the company for withdrawing inventory falling price reserves have covered the main factors affecting product pricing, namely brand, year, category and applicable season. The falling price risk of single or similar products is similar. Therefore, it is reasonable for the company to take the current average sales price of single or similar inventory as the estimated selling price.
The company divides the stock age according to the output year of the products. The stock age of the current year and the next spring is less than 1 year, the stock age of the last model year is 1-2 years, and so on. For footwear products with a storage age of less than 1 year, the company will not make provision for falling price according to historical experience and pricing policy; For footwear products with a storage age of more than 1 year and less than 4 years, the company takes the average sales price of the same product number or similar products in the current year as the basis of the estimated sales price according to the actual sales situation in the past; For footwear products with a storage age of more than 4 years, the company estimates the future sales price of footwear products according to the actual sales situation in the past, combined with the company's promotion strategy and the expectation of price discount in the future. The company's estimation method of the estimated selling price when calculating the inventory falling price reserves in 2021 has not changed compared with that in 2020.
In 2021, affected by covid-19 epidemic, in order to further expand its performance and return of funds, the company carried out hundreds of large and small special sales and promotion activities all over the country, and actively carried out batch cutting. Both special sales and cutting activities reduced the average transaction price, The average transaction price of products with a storage age of more than 3 years, 22.67%, 10.71% and 11.28% lower than that of 2020 were obtained from the company's depreciation and impairment measurement data.
Discount rate refers to the sales share given to shopping malls or e-commerce platforms according to a certain proportion of sales.
When calculating the inventory falling price reserves, the company estimates the discount rate by the proportion between the discount amount and sales after deducting the business with related parties. Expense rate is the ratio between the total expense and the sales volume calculated according to the expenses directly linked to the sales volume in the sales expense combined with a certain allocation proportion. The detailed accounts and allocation proportion of relevant expenses are as follows:
Expense account allocation proportion description
Promotion fee 100.00% this fee is incurred for sales, so 100% affects sales
Office expenses 100.00% this expense is the office expenses incurred by the salesperson. Because it is impossible to distinguish which is for sales and which is not for sales, it is 100% apportioned.
Low value consumables 100.00% this expense is the low-cost consumables incurred by the salesperson. Because it is impossible to distinguish which are for sales and which are not for sales, it is 100% apportioned
Material consumption 100.00% this expense is the material consumption incurred by the salesperson. Because it is impossible to distinguish which is for sales and which is not for sales, it is 100% apportioned.
Service charge 95.00%. Most of this charge is the service charge charged by the mall according to a certain proportion of sales, and a small part is the service charge collected by the regional center.
Shopping malls' miscellaneous fees are 100.00%. This fee is charged by Saturday Co.Ltd(002291) company. The charging standard is a certain proportion of sales, so 100% affects sales
100.00% of the cost of repairing shoes. This cost is mainly the cost of repairing shoes for sales
75.00% of the clerk's salary is based on the basic salary system. 25% is the basic salary and 75% is the sales performance commission. The company believes that 25% has no impact on sales, so the sharing proportion is 75%
50.00% of the salary of managers in the regional center is mainly for coordination work, so we think that 50% of the salary has an impact on sales
The salary of logistics personnel in the regional center has no absolute relationship with sales, but if there is no logistics personnel with 20.00% of the salary of logistics personnel, sales will also be affected. Therefore, we think that the proportion of 20% has an impact on sales
100.00% of the transportation fee. This fee mainly refers to the freight incurred in online sales, including the transportation fee for the transfer of goods from small regional centers to the headquarters, but it accounts for a relatively small proportion, so the sharing proportion is 100%.
This fee is the company's fee charged by the mall according to the amount agreed in the contract. The amount is large and the management fee is 55.00%, which has no impact on sales. We think it is reasonable to share 55%.
100.00% of advertising expenses are incurred for sales, so 100% will affect sales
100.00% of the business promotion expenses are incurred for sales, so 100% will affect sales
100.00% of commercial service expenses are incurred for sales, so 100% of them affect sales
The company's estimation method of discount rate and expense rate when calculating the inventory falling price reserves in 2021 has not changed compared with that in 2020.
Compare the discount rate and expense rate in two years:
Project changes from 2021 to 2020
Discount and expense rate 32.20% 31.18% 1.02%
The slight increase in discount and expense rate over the previous year is mainly due to the increase in discount rate caused by the increase in promotional activities. To sum up, the reason why the provision for inventory falling price in 2021 increased significantly compared with that in 2020 is that the average selling price used to calculate the net realizable value of inventory decreased compared with that in the previous year due to the decrease of selling price and the increase of discount expense rate. The provision for inventory falling price in the previous year is reasonable and sufficient, and the company does not have earnings management.
3. For fashion Fengxun and Beijing Shixin, please your company:
(1) Explain the specific process of goodwill impairment test for the two companies, including the selection of core parameters, relevant calculation basis and the recognition method of goodwill impairment loss, and the differences (if any) and rationality compared with the selection of relevant core parameters and calculation basis of goodwill impairment test in 2020;
(2) Explain whether your company has not made any provision for goodwill impairment for the above companies in 2020, whether it is cautious, reasonable and accurate, whether it complies with relevant provisions such as accounting standards for business enterprises, and whether it affects the nature of your company's profit and loss in 2020.
The annual audit accountant is requested to check the above problems and give clear opinions.
reply:
1、 Reply to question (1):
(I) the goodwill impairment test process of fashion Fengxun company is as follows:
1. Forecast of operating revenue and revenue growth rate
As a well-known company in the field of fashion beauty and new media, fashion Fengxun company completed its business in 2021
After a series of transformation and upgrading work such as transformation and personnel adjustment, we will continue to strengthen the influence of the whole platform in 2022, focus on the budget investment needs of brand customers, deeply cultivate the three main lines of media, social networking and e-commerce, and strengthen the in-depth coordination and cooperation with the group's Yuanwang network to further enrich the way of flow realization. At present, the first mock exam of the whole market is the beauty and makeup brand customers' budget mainly focuses on the combination of brand communication and planting grass and goods, including A, star Cooperation (with the topic of positive energy flow, star actors, endorsement or bycampaign cooperation, and the production of large video materials. B, social media marketing (based on micro-blog / little red book / jitter /B station / tiktok social platform for grass planting and live goods); C. Offline IP activities (landing activities such as various types of exhibition salons). The company's future business plan includes (1) building all media volume; (2) All media IP creation; (3) Strengthen institutional attributes, expand integrated social marketing, etc.
In combination with the company's development strategy and market conditions, the main business income in the future is predicted as follows:
