[年报]晨光股份(603899):上海晨光文具股份有限公司2024年年度报告（英文版）
原标题:晨光股份:上海晨光文具股份有限公司2024年年度报告（英文版） Adhering to Long-termism and Basing on Facts Letter to Shareholders 2024 was a year of challenges and progress for M&G. Amid increasing global and domestic economic uncertainties, rapid market fluctuations, accelerated industry transformations, weaker-than-expected consumer demand, and intensifying competition, we remained committed to long-termism and steadily advanced our new five-year strategy. With consistent strategies, we effectively navigated the pressures and challenges imposed by short-term external factors on our operations. Throughout 2024, M&G’s management and employees worked in unity and dedicated themselves to driving development through innovation, even amid challenges. We responded strategically to shifting market dynamics. With a focus on product capability enhancement and omni-channel development, we leveraged intelligent and digital technologies to accelerate our R&D, manufacturing, and service. This has led to improvements in quality, efficiency, and the cultivation of new quality productive forces. We also invigorated lean production and fostered sustainable development. Efforts to build brand culture and expand into international markets have made significant strides. All above factors provided essential momentum for the Company's long-term, sustainable growth. In 2024, the Company recorded revenue of RMB24,228 million, an increase of 3.76%, and a net profit attributable to its shareholders of RMB1,396 million, a decrease of 8.58%. Excluding share-based payments, the net profit attributable to shareholders was RMB1,446 million, a decrease of 2.81%. The Company maintained a stable and healthy trajectory. We actively laid the groundwork for a diversified long-term development strategy on our core traditional business. The new businesses—direct office supplies and large retail stores—continued to grow, providing a solid foundation for sustainable future growth. In 2024, with regard to the capital market, we adhered to a scientific, consistent, and steady dividend policy. Taking into account the Company's development stage and long-term capital needs, we enhanced the predictability of our cash dividends and progressively increased our payout ratio to ensure the continuity and stability of shareholder return. With the 2024 profit distribution plan, the Company has distributed over RMB4.4 billion in cash dividends since its listing. In February 2025, the Company completed its second share repurchase since going public. This boosted market confidence, actively maintained the Company's value, and safeguarded the overall and long-term interests of our shareholders. Every persistence makes the progress more stable; every innovation makes the future more promising. Looking ahead to 2025, in an ever-evolving and complex market environment, we will adhere to long-termism and pragmatic approaches, and rise to challenges head-on. We will remain consumer-centric and strive to improve quality and efficiency whilst prioritizing shareholder return. We will push forward in key areas such as technological innovation and transformation, original design, green, intelligent and digital transformation, differentiation, balanced and coordinated development, brand value enhancement, and global expansion. This will enable the Company to achieve sustainable, high-quality growth and deliver greater value to our shareholders. We will be committed to long-termism in development, branding and capital market operations. By remaining steadfast in this vision, we believe we can transcend short-term fluctuations and stay competitive in the long run. Common prosperity is our ultimate goal. We would like to express our deepest gratitude to our employees for their hard work and dedication, to our partners for their unwavering support, and to our shareholders for their continued trust. Together, we further advance our brand with commitment, shape the future using technology, and empower value through culture. Together, we will embrace a future of high-quality development for M&G! Board of Directors of Shanghai M&G Stationery Inc. 24 March 2025 Important Notice I. The Board of Directors, Supervisory Committee, directors, supervisors and senior management of the Company warrant that the contents of this report are true, accurate and complete, without any misrepresentation, misleading statements or material omissions, and severally and jointly bear the legal responsibilities thereof. II. All directors of the Company attended the Board meeting. III. BDO China Shu Lun Pan CPAs (LLP) has issued the audit report with unqualified opinions to the Company. IV. Chen Huwen, the chairman of the Company, Tang Xianbao, CFO of the Company and Zhai Yu, the head of the accounting department (person in charge of accounting), warrant the truthfulness, accuracy and completeness of the financial report in this annual report. V. Profit distribution plan or plan to convert surplus reserves into share capital approved by the Board of Directors during the Reporting Period The Company proposes to distribute cash dividend of RMB10.00 (tax inclusive) per 10 shares based on the Company's total share capital (exclusive of shares in the Company’s special securities account for repurchased shares) registered as at the registration date for the implementation of dividend distribution. The profit distribution plan is subject to being submitted to the Company's 2024 Annual General Meeting of Shareholders for deliberation. VI. Risks statement of the forward-looking statements √ Applicable □ Not applicable Forward-looking statements including future plans and development strategies involved in this annual report do not constitute the Company's substantive commitments to investors. The investors are advised to pay attention to investment risks. VII. Is there any non-operating misappropriation of funds of the Company by any controlling shareholders and their related parties No VIII. Has the Company provided any external guarantees in violation of the decision-making procedures No IX. Are there more than half of the directors who cannot warrant the truthfulness, accuracy and completeness of the annual report disclosed by the Company No X. Warning on significant risks The Company has illustrated various risks and corresponding measures that the Company might face in the production and operation. Please refer to the "Potential Challenges and Risks" set out in "Section III Management Discussion and Analysis". Investors are advised to pay attention to risk of investment. XI. Others □ Applicable √ Not applicable 本报告分别以中、英文编制，在对中外文文本的理解上发生歧义时，以中文文本为准。 This English version is converted from the Chinese version. In case of any discrepancy between the Chinese version and the English version, the Chinese version shall prevail. Contents Section I Definition ........................................................................................................................... 7 Section II Company Profile and Key Financial Indicators ............................................................. 8 Section III Management Discussion and Analysis ........................................................................... 12 Section IV Corporate Governance ................................................................................................... 38 Section V Environmental and Social Responsibility ..................................................................... 54 Section VI Major Events ................................................................................................................... 57 Section VII Changes in Shares and Shareholders ............................................................................ 69 Section VIII Preferred Shares .............................................................................................................. 76 Section IX Bonds ................................................................................................................................ 77 Section X Financial Report .............................................................................................................. 78
Section I Definition I. Definition In this report, unless the content requires otherwise, the following terms shall have the following
Section II Company Profile and Key Financial Indicators I. Company Information
II. Contact Information
III. Introduction to General Information
IV. Information Disclosure and Place for Obtaining the Report
V. Stock Information
VI. Other Relevant Information
VII. Major Accounting Data and Financial Indicators for the Past Three Years (I) Major accounting data
(II) Key financial indicators
Explanation of major accounting data and financial indicators for the past three years by the end of the Reporting Period □ Applicable √ Not applicable VIII. Difference in the Accounting Information under the PRC Accounting Standards for Business Enterprise ("PRC GAAP") and Overseas Accounting Standards (I) Difference in net profit and net asset attributable to shareholders of the listed company in financial reports disclosed under International Accounting Standards and PRC GAAP □ Applicable √ Not applicable (II) Differences in net profit and net assets attributable to shareholders of the listed company in financial reports disclosed under International Accounting Standards and PRC GAAP □ Applicable √ Not applicable (III) Explanation on the differences between PRC GAAP and Overseas Accounting Standards: □ Applicable √ Not applicable IX. Key Financial Data for the Year of 2024 by Quarter
Explanation on difference between information by quarter and information disclosed in periodical reports □ Applicable √ Not applicable X. Items and Amounts of Non-recurring Gains or Losses √ Applicable □ Not applicable
Items unlisted in the Explanatory Announcement on Information Disclosure by Companies Offering Securities to the Public No. 1: Non-Recurring Profits and Losses are identified as non-recurring profit and loss items and the items are of a significant amount, and non-recurring profit and loss items listed in the Explanatory Announcement on Information Disclosure by Companies Offering Securities to the Public No. 1: Non-Recurring Profits and Losses are defined as recurring profits and losses □ Applicable √ Not applicable XI. Items Measured at Fair Values √ Applicable □ Not applicable
XII. Others □ Applicable √ Not applicable Section III Management Discussion and Analysis I. Discussion and Analysis of Operation 2024 was a year of difficulties and challenges, but also a year of striving and forging ahead. The complexity and uncertainty of the external environment have increased, with rapid changes in the market, insufficient effective demand, and continued changes in consumer preferences, buying habits, and consumption scenarios. In this context, the Company has adhered to long-termism and pragmatic approaches, and remained consumer- and market-oriented. Supported by technological innovation and lean management, the Company has improved quality and efficiency to cultivate new quality productive forces. It consolidated the competitive edges of its core traditional business, continued to develop new business, and actively expanded into international markets. Digital tools have been employed to drive organizational upgrades and transformation, further enhancing the Company’s overall competitiveness. Although the annual business goals were not fully achieved, the Company has maintained strong confidence in its development, stayed committed to its strategy, and faced challenges head-on. We believe we have the capabilities to navigate through economic cycles. In the Reporting Period, the Company recorded revenue of RMB24,228 million, an increase of 3.76%, and a net profit attributable to its shareholders of RMB1,396 million, a decrease of 8.58%. Excluding share-based payments, the net profit attributable to shareholders was RMB1,446 million, a decrease of 2.81%. Operation of the Company in 2024 is reported as follows: 1. Core traditional business focused on product capability enhancement to meet diversified consumer needs During the Reporting Period, the Company emphasized quality over quantity in product development to increase the on-shelf ratio and sales contribution of single products. New products were developed from the perspective of consumers, cultivating high-quality, functional products that are both attractive and easy to use. The product structure was optimized, further expanding the brand lineup and enriching the product line to increase the on-shelf ratio of must-have products. By combining internal independent cultivation and collaboration with external IPs and leveraging international design resources, the Company has provided consumers with a wider range of purchasing options. Mass market stationery segment. The strategy of "exploitation of potential, collaboration, and product capability" was followed, continuously developing products that meet the essential needs of the general public. The Company has brought customers a full range of stationery products of reliable quality and essential functions, whist scientifically managing the products across their lifecycle. It has continuously optimized the product structure and maintained competitiveness. Based on the completeness of category structure and positioning, the Company has enhanced product layout and developed product tiers. Through in-depth exploration and response to consumers' evolving expectations and needs, the Company has consistently launched high-quality products that resonate with consumers. Premium stationery segment. The Company has actively optimized the product structure, increased the on-shelf ratio of best-selling products at key offline stationery shops, exerted efforts in the arrangements, promotion, and cultivation of products in all categories in the online market, and focused on developing the best-selling products and delving into leading shops. The development of high-function products continued to innovate, with the CMF innovative design (a refined selection and combination of color, material, and finish) offering precise emotional value to enhance consumer experience and providing more high-quality product choices. Arts and kids drawing segment. Strong functional products were developed based on consumer preferences and user experience, promoting the product offering of "food-grade, easy-to-clean, and anti-bacterial" high-end products. Offline, efforts were made to enhance the on-shelf ratio in key stores; online, platform data was analyzed to explore the potential of channel benchmark roles and promote the refined operations in segmented categories and store arrangements, continuously improving the arts and kids drawing segment in online channels. Office stationery segment. The Company has strengthened the development and promotion of office products, combining traffic price-quality ratio with differentiated innovation in product development to stimulate innovation and create distinctive products that enhance competitiveness. The M&G Blackblade Pro Hobby Knife developed by the Company won the 2024 Red Dot Design Award continued to expand M&G office stores and model office stores, advance channel transformation and empower services, and enhance the service capabilities in order to meet the demands of professional channels. The Company has actively positioned itself in IP and Animation-, Comics, and Games (“ACGN”)-related products favored by younger consumers, accelerating the cultural transformation of stationery products. By empowering stationery with IP, the products offer both practical value (usability), interest value, and emotional value (fun). “Qizhihaowan” is an independent trendy brand under the Company, focusing on independent IP incubation, IP operation, joint brand development, and trendy toy derivatives. The brand is aimed at young consumers' emotional value and value propositions, actively engaging in the "ACGN IP" field. By combining independent IP incubation and collaborations with popular domestic and international IPs, the brand has deeply operated an IP product matrix, developing products such as "Goods and Stationery" to establish a deeper connection and communication with users. During the Reporting Period, Qizhihaowan experienced rapid growth, collaborating with various well-known domestic and international IPs to produce and distribute goods and stationery products, which received positive market feedback. 2. Core traditional business continued omni-channel, and improved retail service capabilities During the Reporting Period, the Company continued to promote omni-channel development of its core traditional business. Based on changes in consumer demand and habits, the Company continued to optimize retail operation towards a channel structure with a multi-level distribution system as core. This omni-channel and multiple contact point enabled more direct access to customers through new offline channels, online channels and direct supply channels. Further the change from a wholesaler toward a brand retail service provider. Develop traditional channels with a focus on improving the quality of single stores and the construction of positions. Efforts have been made to improve the quality of single model stores, thus empowering stores to enhance business quality and sales. The Company has further enhanced the construction of category positions based on the categories prioritised by the Company and optimised store displays. The promotion of the best-selling product offering has helped improve the on-shelf ratio of key categories at stores, achieve channel upgrades, expand business district coverage, and increase market share. Improve the operational efficiency of channels with digital tools. The information-based channels and high data effectiveness have effectively assisted in enhancing operational efficiency. M&G Alliance APP's role of linking the headquarters to stationery store owners was leveraged to empower store owners through information sharing and private domain live streaming, which enhances store engagement. The "JUBAOPEN" APP acts as a fundamental operational tool for daily business checks, providing real-time and accurate sell-through data to empower the real-time promotion decisions on business of stationery shops and enhancing their capability in "the right match between right shops and right products". Actively promote direct model. Continued efforts were made to promote headquarters direct supply, partner direct supply, office direct supply and premium stationery to create incremental sales. The office direct supply model further empowered business and developed and tapped the potential of offline professional channels. The premium stationery segment focused on core customers, and intended to set a benchmark for large stores of premium products, and lead the ways of high-quality stores next to schools. The Company output the product offerings of large stores at retail summits to enhance the cooperative engagement with leading large stores in the industry. Increase online channels. The Company vigorously developed online business, with the online direct sales model and distribution model working in synergy to tap into the potential for online growth. Collaboration between product segments and channels has been strengthened, with a focus on the exploitation of product line arrangements and product capability of online categories. The Company has developed platform-specific products, joint creations, and customised products, offering a range of new products to meet the differentiated consumer demands of various platforms. The development of new channel business has been accelerated, quickly seizing market share. During the Reporting Period, M&G Technologies' revenue was RMB1,144 million, an increase of 33%. 3. Actively promote overseas markets layout The Company has actively developed overseas markets, deepening its localized layout in product on-shelf ratio to meet the diversified needs of overseas consumers, strengthening the competitiveness of overseas products. During the Reporting Period, the Company continued to expand into the African and Southeast Asian markets, with the mission of "providing affordable stationery for local students" and carried out product promotion activities. During the Reporting Period, the Company achieved revenue of RMB1,038 million in the overseas market, an increase of 21%. Whilst overseas sales grew rapidly, the Company refined its overseas business models, channel models, team models, and product models, establishing a solid foundation for the continuous development of the Company's overseas market. 4. Continue to strengthen brand presence During the Reporting Period, the Company focused on high-end products that are “exquisite and thoughtful” and meet “upgraded consumer needs”, using scenarios such as Jiumu Store and flagship stores as channel matrices, and platforms such as Douyin, Xiaohongshu, and personal media as communication matrices. This approach has driven the brand upgrade, providing "quality stationery for everyone" and deepening consumers' impressions of an exquisite and high-quality brand. The aim is to make consumers feel the "young consumer-centric and distinct M&G". Through more consumer-centric product development and promotion methods, brand marketing content and strategies closer to the users’ inner world, and content formats such as “store visits,” “product recommendations”, and “emotional value,” the Company has empowered products and channels with the brand, carrying out the fusion innovation of national trend and brand. The brand has continuously delivered emotional value, conveying brand warmth in ways favored by younger generations. During the Reporting Period, the Company won the 2024 BrandZ China Inspirational Star of Innovation award, showcasing the power of Chinese stationery brands to the world. 5. Consolidate and improve the Company's middle-end and back-end platform capabilities Promote design and R&D. Adhering to the consumer-centric philosophy, the Company actively performed forward-looking research and design, focusing on technological innovation and transformation, and original design. It has striven to optimise and improve details, accelerate the speed of technological progress and results transformation, and continuously inject new content and design possibilities into traditional stationery. Based on category structure and category positioning completeness, the Company has improved its product layout and created product tiered groups, offering consumers high-quality, aesthetically appealing, and cost-effective products to enhance their usage experience. By collaborating with domestic and international design resources, the Company has continuously improved the capability of international design and facilitated its global landscape. During the Reporting Period, M&G's smart large screen microscope won the 2024 Red Dot Design Award and the Golden Award for Creative Educational Products at the 2024 “Best Stationery of China” Awards. M&G Business System (MBS). The Company has comprehensively and deeply promoted the MBS system, integrating it with business operations and further improving the system. Through structural reforms and capability platform building, the Company has established an MBS-driven lean operation system, improving product capability and operational efficiency, whilst reducing costs, increasing efficiency, improving quality, and mitigating risks. The Company has established a lean talent management model and MBS mechanisms, using the MBS for issue addressing and flow improvement among employees, promoting regular improvement activities, and forming a "continuous improvement + talent development" dual-drive model. Coordinate supply chain. The Company proactively promoted the application of intelligent manufacturing technologies in the production and testing processes of the stationery industry, as well as the application of machine vision technology in key links, thus significantly improving production and testing efficiency. The quality assurance procedures were optimized, and the development of the supply chain quality system was refined. The core supply chains have received focused attention, empowerment, and optimization, raising their overall quality. Matching with the product capability enhancement strategy, the Company has constructed a product capability based on high quality, optimal cost, fast delivery, and strong innovation. Logistics support. The Company is committed to building a logistics service system that can support multiple business models. It has provided differentiated, refined and efficient logistics service support for each business department based on their business types and requirements. The Company has reasonably planned the logistics and capacity across the country, achieving the nationwide layout and China, and Central China". Utilizing digital tools and launching an intelligent scheduling system, the Company has visualized and digitalized logistics services, providing comprehensive support for the development of various business platforms and significantly enhancing the operation and cost control capabilities of all warehouses. Digitalization development. The Company has fully advanced digital transformation, focusing on three core goals: "business empowerment, efficiency enhancement, and ecosystem collaboration". It has strengthened the construction of its big data platform to capture and deeply analyze data from various business, market, and customer sources to provide scientific support for business decisions. By collaborating with departments such as finance, supply chain, sales, business segments, logistics, and human resources, the Company has enhanced the mid-end and back-end platform operations through data-driven improvements and overall digital management capabilities. This transformation supports product upgrades, service upgrades, industry upgrades, and the exploration of incremental development opportunities. Construction of organization and talent. Talent development is the core driving force for sustainable development. The Company has always regarded talent as the first resource and has established a systematic, multi-level talent management framework aligned with its strategic goals. The Company has gradually formed a virtuous cycle mechanism for "attracting, developing, utilizing, and retaining talent". It is committed to building a dynamic organization, fostering a people-oriented and inclusive corporate culture, continuously improving its compensation and benefits system, and inspiring employees’ potential and innovation abilities. The Company has advanced the "Four Transformations" (online, experiential, digital, intelligent) of human resources, providing support for the rapid growth and efficient operation of the enterprise. 6. Large retail store business steadily developed Jiumu Store has a clear positioning in the Company’s strategy, which is to become the bridgehead for the M&G brand and product upgrading, and also to become a national leading premium recreation and creativity retail brand. More exposure of the M&G brand can help drive development of M&G's premium stationery products, strengthen retail capabilities, provide timely consumer insights, and provide feedback for the brand's continuous upgrading and market expansion. During the Reporting Period, the number of offline stores for Jiumu Store continued to expand. The stores made further improvements in product portfolios, refined operations and consumer insights and （未完）  |