Dashang Co.Ltd(600694) : the net profit in 2021 increased by 40.6% year-on-year, and it is proposed to pay 20 yuan for 10 yuan

Dashang Co.Ltd(600694) ( Dashang Co.Ltd(600694) ) issue the annual report of 2021 on the evening of April 8. During the reporting period, the company achieved an operating revenue of 7.932 billion yuan, basically the same as that of the previous year; The net profit attributable to the shareholders of the listed company was 702 million yuan, a year-on-year increase of 40.6%. The company plans to distribute a cash dividend of 20 yuan (including tax) for every 10 shares.

In 2021, Dashang Co.Ltd(600694) actively adjusted the business category structure and business model, constantly explored the innovation and upgrading of retail business model, actively resumed business and safeguarded and consolidated business results in view of the changes in consumption habits and consumption patterns brought about by the epidemic.

The company continues to promote and implement the policy of "four self operation, joint marketing contracting and partnership entrepreneurship", implement the business philosophy of "selling their own goods, selling their own goods and selling the best goods in the world", and gradually increase the introduction and sales of global geographical indication scarce goods; Stimulate the enthusiasm, initiative and creativity of employees through "joint marketing contracting and partnership entrepreneurship"; Using the technology and platform of tiangou.com, combined with wechat applet, carry out nationwide live broadcasting activities, take supermarket goods as the core, and provide consumers with a variety of contactless shopping channels and scenes through "online ordering and offline drainage". In addition, the company redistributed the business sites of various stores, adjusted the layout and improved the overall average floor efficiency.

Dashang Co.Ltd(600694) also continue to deepen and strengthen management and do a good job in increasing profits and reducing fees. The company increases its revenue and profit by increasing the proportion of products purchased and directly operated, increasing the proportion of high gross profit products, developing promotion areas, expanding advertising booths and other means; At the same time, we deepened the adjustment and reform of store structure, closed down some stores that had suffered long-term losses and had no hope of turning losses, further adjusted the layout, optimized the allocation of resources and improved business efficiency; Strictly control the cost, establish a supervision system in the links of budget, investment and settlement, strengthen the awareness of cost control, and continuously tap the potential and save expenses.

With regard to the key work in 2022, Dashang Co.Ltd(600694) said it would lay out first tier cities and optimize the physical network. Next, according to the actual situation, we will promote the construction of business entities in first tier cities such as Shanghai as a business platform for the "South-to-North goods transfer" and an expansion platform for the first tier "urban paradise"; Continue to promote the application of tax-free license, strive for the qualification of tax-free business in Hainan outlying islands, and make use of the location advantages, market advantages, resource advantages and policy advantages of first tier cities and Hainan free trade port to expand the spatial dimension and business depth of the company's development.

The company will rapidly expand the wholesale business of international scarce commodities. Due to the avoidance of horizontal competition, Dashang group has operated a large-scale international scarce commodity wholesale business in China for many years by the company. The Shanghai Wholesale Corporation to be established by the company will fully carry out business in accordance with the purchase agreement signed with Dashang group, break the difficult dilemma of traditional business and make it a new direction for the operation and development of the company.

Under the organization of three clusters of food, clothing and use, the company's stores adapt to consumer demand, actively adjust the category structure of stores, expand the site proportion of food related projects to more than 60%, and adjust the items related to clothing and supplies to about 40%, so as to achieve the goal of structural optimization and benefit improvement through category structure adjustment.

The company will actively promote the digital transformation, realize the comprehensive digitization of commodity sector, supply chain sector, member sector, scene sector, finance sector, human office sector, Internet platform and middle platform, reduce costs and increase efficiency, and fully empower operation and management.

In the process of digitalization and other reforms, the company will use new technologies and new businesses to give physical stores richer and more effective means, build new and multi-dimensional shopping scenes, strive to improve the consumption experience, and promote the innovation of store business philosophy and the comprehensive transformation and upgrading of business model.

In addition, we will continue to promote and implement the policy of "four self operation, joint marketing contracting and partnership entrepreneurship", expand the introduction channels and categories of high-quality scarce commodities, especially geographical indication food and drinks, comply with the consumption upgrading trend and residents' consumption demand, and further enhance the competitive advantage of differentiation.

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