Suning Lost 690 Million? "Offline Store Adjustment + Online Revenue Growth Fast" Layout New Business

Recently, I was told that

After the first half year report was released by cloud merchants, the major media reported competing for 68 billion 715 million yuan in revenue and 121 million of losses in the first half of 2016.

Combing Su Ningyun business report found that in the first half of the year, the net profit of Suning's main business (the net profit attributable to shareholders of listed companies after deducting non recurring gains and losses) amounted to 690 million yuan, compared with the net profit loss of 749 million of last year's main business, and the loss rate decreased by 7.89%.

It is understood that Suning cloud business disclosed in its earnings report that the company's net profit loss in the first half was only 121 million, which means that 569 million of its main business net profit deficit was compensated.

It is understood that this part of the gap comes from government subsidies and disposal of illiquid assets.

Offline store adjustment: cloud store and suning.com service station are the key support objects.

In addition to the above indicators, combing Suning's half yearly financial report, it also found the following changes.

In the first half of the year, Suning has adjusted, while the number of sunning cloud stores has increased by 38 compared with the end of last year, while the number of flagship stores, community stores and supermarket stores has been greatly reduced, of which community stores have decreased by 37.

At present, community stores, central stores, flagship stores and cloud stores account for a larger proportion in the lower stores of Suning line.

Judging from the market level, the proportion of the first half of the current line stores is three, the first and the two, respectively, and the number of the market and the four tier market is decreasing.

In fact, the distribution of the store data is also closely related to the strategic layout of suing's offline store.

Suning side analysis said that from the future store structure trend, Suning's storefront will be divided into two types: one is the cloud store and flagship store deployed in the core business circle; the other is convenient stores in the urban community and the three or four level market.

The sales revenue of all kinds of stores in the first half of the year showed that only the flagship store and cloud store revenue grew year-on-year, while the income of central stores, community stores and County stores decreased year by year, and the community stores and County stores decreased by more than 10%.

In this regard, Suning side said that Future Ltd will focus on promoting the development of cloud stores and flagship stores in the one or two tier market core business circle, and accelerate the pformation of the three or four tier cities' central stores, community stores and County stores, so as to develop towards suning.com service stations.

Understand that as a three or four tier city

Suning.com, an important carrier, is developing well.

Data show that the sales of suning.com service stations opened in 2015 in the first half of 2016 increased by 17% compared with the same period in 2015, accounting for 62% of the Yi Hui service station in June 2016 has achieved a single month profit.

Online revenue growth is fast, main industry gross margin drop

In addition to the adjustment of offline stores, there is another change in Su Ningyun's first half year's earnings report, that is, the growth of online revenue is fast.

According to its earnings report, in the first half of the year, the total volume of commodity trading in sunning cloud online platform increased by 80.31% over the same period, and the proportion of mobile terminal orders increased to 72%. The growth of online sales scale also brought a sharp increase in revenue.

It is understood that in the first half of this year, the proportion of total revenue of Suning online increased from 19.80% in the same period last year to 31.88% this year, or about 21 billion 900 million yuan.

However, it is worth noticing that in the first half of the year, the gross profit margin of the main business was reduced by 0.96%, up to 13.62% while the main business income increased by 8.79% compared to the same period last year, and the growth rate of the main business revenue was slower than that of the main business cost 10.02%.

In addition, from its earnings report, we learned about the revenue of Suning's products in the first half of the year.

According to the data, products with over 10 billion revenue in the first half of the year include communication products, small household electrical appliances (including kitchen and bathroom appliances, living appliances, mother and baby, department stores, daily necessities, etc.), digital and IT products, refrigerators and washing machines. Among them, the fastest growth rate was the communication products and digital and IT products, while the growth rate of refrigerators and washing machines last year showed a downward trend.

However, the gross profit margin of communications products, digital and IT products with a growth rate of more than 27% is only 7.18% and 4.34%, respectively, and has a downward trend compared with the same period last year.

Although the gross domestic product rate of small household appliances and refrigerators and washing machines is over 17%, it has also declined compared with the same period.

According to the analysis of the insiders, the revenue of the communication digital and IT products that belong to the standard product grew faster. In fact, its online sales grew faster, while the gross profit margin of online gross margins was not high, while the consumers of their non standard products such as refrigerators, color TV and other small appliances were not very heavy on their lines, and their gross margins were not very low, but their income growth was slower and some showed a downward trend.

With product

In the future, the gross profit margin of Suning's main products will continue to decline, leading to a loss in its main business net profit for a short time.

However, sunning Yun is aware of this and is actively engaged in the layout of new businesses. From its earnings report, it has learned that the gross profit margin attributable to "other products" is very high, reaching 68.75%, much higher than the gross margin of other products, and the cost is decreasing while the income is increasing substantially.

It is understood that this part is attributable to other products, including suning.com platform Commission revenue and advertising revenue, Suning.

Service business related income, Suning logistics social income and commercial property sales revenue, but this part of the income is only 719 million yuan, accounting for about 1% of its total revenue, and the earnings report did not disclose the detailed revenue of each business.