Yintai Commercial releases 2013 annual report, with profit growth of 9.5% last year

Yintai Commercial (01833. HK) released its 2013 annual report today, achieving a total sales revenue of approximately RMB 15.692 billion during the reporting period, a year-on-year increase of 12.6%;

Yintai Commercial stated that the company's sales growth was mainly due to an approximately 8.0% increase in same store sales, as well as positive sales performance from new stores opened in 2012 and 2013.

The annual report also shows that in 2013, the total sales revenue of Intime Commercial accounted for 86.1% (2012: 87.2%) from franchise sales, and 11.5% (2012: 10.5%) from direct sales. In addition, the revenue from franchise sales increased by 11.1% to 13.504 billion yuan.

In terms of rental income, Yintai Commercial's revenue increased by 21.2% year-on-year to 350 million yuan. The increase is mainly due to more efficient use of leased area and the increase in rentable area due to the opening of new stores in 2013 and 2012.

In addition, Yintai Commercial signed three equity transfer agreements with Xintai Investment Co., Ltd. in 2013 to sell all 70% of its equity in Wenling Taiyue Real Estate Development Company, Wenling Yintai Hotel Development Co., Ltd., and Wenling Yintai Real Estate Co., Ltd. for a total cash consideration of 406 million yuan.

Yintai Commercial, which has frequently collaborated with Alibaba on O2O (online and offline cooperation), has stated that it will continue to develop its online platform and utilize its existing physical stores to enhance the integration of its online and offline business.

Yintai Commercial 2013 Annual Report Download Link: http://www.hkexnews.hk/listedco/listconews/sehk/2014/0325/LTN20140325423_C.pdf