annual report 2015 annual repor t 2015

175 Pages·2016·4.52 MB·English

Stock Code: 0980
ANNUAL REPORT 2015
A
N
N
U
A
L

R
E
P
O
R
T

2
0
1
5
3,883
39 57 28 0
1,444 229 197 0
996 165 0 313
Shanghai Zhejiang Jiangsu Liaoning
5 3 9 0
178 1 38 12
0 129 0 0
Guangxi Beijing Anhui Jiangxi
8 0 0 2
8 9 3 0
0 0 0 0
Henan Inner Shandong Sichuan
Mongolia
1 2 0 2
0 0 1 0
0 0 0 0
Heilong Tianjin Hebei Fujian
jiang
1 0 0
1 1 1
0 0 0
Guangdong Hubei Chongqing
Hypermarket
Supermarket
Convenience Store
Contents
2 Corporate Information
4 Major Achievements
10 Chairman’s Statement
16 Five Years Financial Highlights
20 Management Discussion and Analysis
40 Profiles of Directors, Supervisors and Senior Management
52 Shareholding Structure
56 Report of the Directors
81 Report of Corporate Governance
103 Report of the Supervisory Committee
105 Independent Auditor’s Report
106 Consolidated Statement of Profit or Loss and Other Comprehensive Income
107 Consolidated Statement of Financial Position
109 Consolidated Statement of Changes in Equity
110 Consolidated Statement of Cash Flows
112 Notes to the Consolidated Financial Statements
Lianhua Supermarket Holdings Co., Ltd. (“Lianhua Supermarket” or the “Company”) commenced
its business in Shanghai in 1991. In the past 25 years, it has developed into a nationwide chain
retail operator with a full range of retail segments, expanding through a combination of organic
growth, franchises and merger and acquisitions. As at 31 December 2015, Lianhua Supermarket
and its subsidiaries (the “Group”) operated a total of 3,883 outlets (excluding those operated
by the Company’s associated companies) spanning 19 provinces and municipalities across the
nation. The Company has maintained its leading position in the fast moving consumer goods
retail industry in the People’s Republic of China (the “PRC”). Lianhua Supermarket was one of
the first Chinese retail chain operators to be listed on The Stock Exchange of Hong Kong Limited
(the “Stock Exchange”), on 27 June 2003.
The Group operates in three main retail segments – hypermarkets, supermarkets and convenience
stores, in order to cater for the diverse needs of consumers. These segments operate under the
brand names of “Century Mart”, “Lianhua Supermarket”, “Hualian Supermarket” and “Lianhua
Quik”, respectively. In recent years, “Lianhua Supermarket”, “Hualian Supermarket” and
“Lianhua Quik” have been singled out as one of the China Outstanding Franchise Brand by the
Franchise Committee of China Chain Store & Franchise Association.
Corporate Information
Directors Strategic Committee
Mr. Ye Yong-ming (Chairman)
Executive Directors
Mr. Zhang Xuan-song
Mr. Chen Jian-jun (Resigned on 17 November 2015)
Ms. Qi Yue-hong
Mr. Hua Guo-ping (Resigned on 17 November 2015)
Mr. Gu Guo-jian
Ms. Qi Yue-hong (Vice Chairman)
Mr. Chen Jian-jun (Resigned on 17 November 2015)
Mr. Zhou Zhong-qi (Resigned on 17 November 2015)
Mr. Li Guo-ding (Resigned on 17 November 2015)
Mr. Shi Hao-gang (Resigned on 17 November 2015)
Mr. Hua Guo-ping (Resigned on 17 November 2015)
Mr. Zhang Hui-ming (Resigned on 17 November 2015)
Non-Executive Directors
Mr. Ye Yong-ming (Chairman) Nomination Committee
Mr. Zhang Xuan-song
Mr. Gu Guo-jian (Chairman)
Mr. Qian Jian-qiang
Mr. Xia Da-wei
Ms. Zheng Xiao-yun
Mr. Wang Jin
Mr. Zhang Jing-yi
Ms. Qi Yue-hong
Mr. Li Guo-ding (Resigned on 17 November 2015)
Mr. Zhang Hui-ming (Resigned on 17 November 2015)
Ms. Wu Jie-qing (Resigned on 17 November 2015)
Mr. Huo Jia-zhen (Resigned on 17 November 2015)
Mr. Wong Tak Hung
Supervisors
Independent Non-Executive Directors
Mr. Lv Yong (Chairman)
Mr. Xia Da-wei
Mr. Wang Zhi-gang (Resigned on 28 December 2015)
Mr. Lee Kwok Ming, Don
Ms. Tao Qing
Mr. Gu Guo-jian
Mr. Shi Hao-gang
Mr. Wang Jin
Ms. Qian Li-ping (Resigned on 30 November 2015)
Mr. Zhang Hui-ming (Resigned on 17 November 2015)
Mr. Huo Jia-zhen (Resigned on 17 November 2015)
Joint Company Secretary
Board Committees Ms. Hu Li-ping
Mr. Stephen Mok
Audit Committee
Mr. Lee Kwok Ming, Don (Chairman) Authorised Representatives
Mr. Xia Da-wei
Mr. Gu Guo-jian Ms. Qi Yue-hong
Mr. Wang Jin Ms. Hu Li-ping
Mr. Zhang Hui-ming (Resigned on 17 November 2015)
International Auditor
Mr. Huo Jia-zhen (Resigned on 17 November 2015)
Deloitte Touche Tohmatsu
Remuneration and Appraisal Committee
Mr. Xia Da-wei (Chairman) Legal Advisers to the Company
Mr. Gu Guo-jian
As to Hong Kong laws
Mr. Wang Jin
Eversheds
Ms. Qi Yue-hong
Mr. Zhang Hui-ming (Resigned on 17 November 2015)
As to PRC laws
Mr. Huo Jia-zhen (Resigned on 17 November 2015)
Grandall Law Firm (Shanghai)
Mr. Hua Guo-ping (Resigned on 17 November 2015)
2 Lianhua Supermarket Holdings Co., Ltd.
Corporate Information
Investors and Media Relations Consultant Shareholder’s Enquiries
Christensen China Limited Contact Information of the Company
Office of Board of Directors
Principal Bankers Tel: [phone]
Fax: [phone]
Industrial and Commercial Bank of China
Pudong Development Bank
Hong Kong Share Registrar and Transfer Office
China Merchants Bank
Computershare Hong Kong Investor Services Limited
Shops 1712-1716
Registered and Business Office
17th Floor, Hopewell Centre
Registered Office in the PRC 183 Queen’s Road East
Wanchai
Room 713, 7th Floor
Hong Kong
No. 1258 Zhen Guang Road
Shanghai, PRC
Share Information
Listing Place
Place of Business in the PRC
The Stock Exchange of Hong Kong Limited
5th to 14th Floors
No. 1258 Zhen Guang Road
Listing Date
Shanghai, PRC
27 June 2003
Place of Business in Hong Kong
SEHK Stock Code
26th to 27th Floors
980
Harcourt Building
39 Gloucester Road
Number of H shares Issued
Wanchai
372,600,000 H shares
Hong Kong
Year-end Date
Telephone
31 December
86 (21) 5262 9922
Results Announcements
Fax
Interim Results for 2015 were published on 28 August 2015
86 (21) 5279 7976 Annual Results for 2015 were published on 30 March 2016
Company Website Dividends
lianhua.todayir.com Interim Dividends: Nil
per share Proposed Final Dividends: Nil
2015 Annual General Meeting
To be convened at 10:00 a.m. on Monday, 13 June
2016
Annual Report 2015 3
Major Achievements
1 2
JANUARY FEBRUARY
Shanghai Century Lianhua Supermarket 1 February Longchang Store of Shanghai
Development Company Limited (上海世紀聯華超 Lianhua Supermarket Development Co., Ltd.
市發展有限公司) (“Century Lianhua”), a subsidiary (上海聯華超級市場發展有限公司) (“New
of the Company, was awarded the honorable title Supermarket”), a subsidiary of the Company, was
of “Old Taste, Old Story, Old Brand – the Power of launched after transformation to become the
Adhering to Faith cum 2014 Shanghai Food Safety transformed flagship store of New Supermarket.
Demonstration Enterprise” (老味道、老故事、老
品牌—堅守誠信的力量暨2014年上海市食品安全 11 February Guangxi Lianhua Supermarket
示範企業) by Shanghai Food Safety Work Council Joint Stock Co., Ltd. (Guangxi Lianhua), a
(上海市食品安全工作聯合會) after its review. subsidiary of the Company, has established its
Vegetables and Fruit Product Procurement Station.
Century Lianhua and Shanghai Lianhua Quik
Convenience Stores Company Limited (上海聯華快 Yanping Store of Century Lianhua was awarded
客便利有限公司) (“Lianhua Quik”), a subsidiary of the honorable title of Excellent Representative
the Company, were awarded the honorable title of Enterprise of Home of Workers (職工之家優秀代
Shanghai Famous Trademark (上海市著名商標) by 表企業) for Changping District in Beijing City and
Shanghai Administration for Industry & Commerce. granted a bonus of RMB10,000 for the better
construction of “Home of Workers”.
4 Lianhua Supermarket Holdings Co., Ltd.
Major Achievements
3 5
MARCH MAY
Shanghai Caojiadu Store of New Supermarket Li Lan, the store manager of Daxing Store of
was awarded the honorable title of 2013－ Century Lianhua was awarded the honorable
2014 Shanghai March Eighth Red Flag Collective title of “2010-2014 Shanghai Model Worker”.
by Shanghai Women’s Federation and Shanghai Shanghai Qingpu Store of Century Lianhua was
Municipal Human Resources and Social Security awarded the honorable title of “2010-2014
Bureau. Shanghai Model Collective”.
Youth League Committee of the Company was
4 awarded the honorable title of “2014 Shanghai
APRIL May 4th Red Flag Youth League Committee”
by Shanghai Municipal Committee of the
Communist Youth League. Hou Yu-ting, Secretary
of the Youth League Committee of the Company,
was awarded the honorable title of “2014
Century Lianhua, New Supermarket, and Lianhua
Shanghai Youth May 4th Medal”. Gao Hua,
Quik were awarded the honorable title of
Secretary of the Youth League Committee of
“2013-2014 Shanghai Civilized Unit by Shanghai
New Supermarket, was awarded the honorable
Municipal People’s Government”.
title of “2014 Shanghai Youth Post Expert”.
Tianjin Guangdong Lu Store of Century Lianhua
and Wuhu Zhongshan Store were awarded
the honorable titles of “2013-2014 Tianjin
Price Integrity Unit” and “2014 Anhui Integrity
Enterprise” by the Tianjin Municipal Development
and Reform Commission and the Federation of
Enterprises of Anhui Province respectively.
Annual Report 2015 5
Major Achievements
7 8
JULY August
Weng Yu-jie, the Secretary of Communist Party Hangzhou Lianhua Huashang Group Co., Ltd.
Committee and Chairman of Lianhua Quik, was (“Hangzhou Lianhua Huashang”), a subsidiary of
awarded the honorable title of “2014-2015 the Company, held the Thai Food Festival lasting
Person of the Year of China Retail Industry” half a month at Heping Shopping Mall (和平
jointly by China General Chamber of Commerce, 購物城). The project was co-organized by the
China Retailers Convention Organizing Commercial Section Thai Consulate-General in
Committee and China Business Daily. Xiamen and Hangzhou Lianhua Huashang. Over
250 varieties of premium commodities of 12
enterprises from Thailand were exhibited during
the festival.
6 Lianhua Supermarket Holdings Co., Ltd.
Major Achievements
9 10
September OCtOBER
1 September The Group convened the oath 25 October The Cai Niao Yi Zhan Project of
taking rally for the Hundred-day Action project at Lianhua Quik commenced online operation covering
the conference room of Bailian Tower. the 380 directly-operated stores in the region of
Shanghai to provide consumers who shopped
The shareholders of the Company including online with the express parcel and “ordering
Shanghai Bailian Co., Limited (“Shanghai Bailian”, online for collection at the store” services.
a company listed on the Shanghai Stock Exchange
with Stock No. 600827), Shanghai Baiqing Fong Yu-qun, the store manager of Xianghua
Investment Co., Ltd. (“Baiqing Investment”), Store of New Supermarket was awarded the
Bailian Group Co., Ltd. (“Bailian Group”) honorable title of “Model Worker of National
and Yonghui Superstores Co., Ltd. (“Yonghui Trading Distribution Service Industry” by the
Superstores”) completed the transfer of shares by Ministry of Human Resources and Social Security
means of equity transfer and equity swap through and the China General Chamber of Commerce.
the China Securities Depository and Clearing The stadium store of Century Lianhua was
Corporation Limited. Yonghui Superstores became awarded the honorable title of “2014 Shanghai
the major shareholder of the Company. Team Pioneering Characteristic Group” by the
Shanghai Federation of Trade Unions.
11
NOVEMBER
Qingchun Store of Hangzhou Lianhua Huashang
was awarded the honorable title of “Advanced
Collective of National Trading Distribution Service
Industry” jointly by the Ministry of Human
Resources and Social Security and the China
General Chamber of Commerce.
Annual Report 2015 7