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EQS-News: GOME Retail Holdings Limited: GOME's Super Live Streaming Events Recorded New High Empowering and Accelerating the Future Development of Local Digital Retail Industry

EQS-News / 12/08/2020 / 10:33 UTC+8 
 
            GOME's Super Live Streaming Events Recorded New High 
 
 Empowering and Accelerating the Future Development of Local Digital Retail 
                                  Industry 
 
    GOME (493.HK) has completed its third super live streaming events "Super 
  Shopping Across China For a Better Life" with CCTV News last 
         week, and then joined hands with JD.com to announce their strategic 
  cooperation on annual RMB30,000 million procurement. It will make good use 
    of mutual advantages on various resources, enable both companies further 
                                                      expand their business. 
 
 Since the record-breaking live streaming event "Fighting For a Better Life" 
                 co-organized with CCTV News has completed on 1 May 2020 and 
      achieved sales revenue of approximately RMB500 million within 3 hours, 
     GOME's live streaming events co-operated with its business partners had 
become a "hot" topic in China. According to market sources, these super live 
      streaming events have recorded sales revenue of approximately RMB4,000 
                                               million in recent two months. 
 
Although as stated in the announcement that GOME's sales revenue for the six 
        months ended 30 June 2020 (the "Reporting Period") is expected to be 
   impacted by the outbreak of novel coronavirus ("COVID-19"). However, GOME 
withstood this stress test and its affected bulk home appliance business has 
  improved in the second quarter this year following the gradual alleviation 
  of the epidemic, achieved 103% sales growth quarter on quarter. Especially 
         in June 2020, sales revenue was basically flat as compared with the 
    corresponding period last year. The consolidated gross profit margin has 
  shown a trend of month-on-month recovery in the second quarter and reached 
                                                  approximately 15% in June. 
 
     During the Reporting Period, GMV of the Group is expected to be flat as 
compared with the corresponding period last year. Among which, GMV of online 
 community + GOME APP is expected to grow by over 70% and daily GMV exceeded 
    RMB 1 billion. In the meanwhile, the number of online communities of the 
  Group grew over 40% year on year to over 200,000 with more than 66 million 
users, which demonstrated 65% increase year on year. With regard to capital, 
the Group maintained sufficient capital after the full repayment of overseas 
         bonds with a principal amount of US$500 million in total during the 
 Reporting Period. As of 30 June 2020, the Group's cash and cash equivalents 
   are expected to exceed RMB10,000 million. In generally, the impact of the 
epidemic on the Group's business was transient and temporary. Leveraging the 
       competitive advantages gained over the years in respect of nationwide 
   chain-store network, new technologies, online-offline integration, supply 
      chain, logistics and professional services, the Group will continue to 
         explore opportunities of the retail industry, grasp the development 
potentials arising from consumption upgrade, 5G and IoT, leading and further 
                             probing the new development of retail industry. 
 
      Further enhances full-fledged retail business by grasping market trend 
 
  In the first half of 2020, leveraging the advanced local networking layout 
  and the consumption upgrade of the "Stay Home Economy", the Group actively 
       expanded its online community by centering on its physical stores and 
expanding to the surrounding 3-5 km communities. At the same time, GOME made 
good use of the comprehensive upgrade of "Store" channel on GOME APP to grow 
 the sales conversion rate by more than 150% year on year. Additionally, the 
            Group fully leveraged its resources and capabilities through the 
  comprehensive operation on supply chain, online communities, logistics and 
         services, creating a quality live streaming model with a feature of 
"authority + knowledge + scenario". As of now, the Group already hosted over 
 1,000 live streaming events with various themes and scale, reached over 100 
     million people. In four of the super live streaming events, the Group's 
                                   sales revenue totalled RMB 2,500 million. 
 
 In the second half of this year, the Group and the authoritative media CCTV 
        News will jointly hold the live streaming events across 31 provinces 
         nationwide, showcasing the "New Store Mode" of GOME to thousands of 
               households, bringing consumers an upgraded living experience. 
 
   In addition, the Company makes great efforts on C2M reverse customization 
    and enhances the digital engagement of product selection, having created 
 chart-topping items under different brands. In the first half of this year, 
 the proportion of the customized and differentiated products increased from 
 37% to 45%. Together with the Company's advantage of integration solutions, 
     package sales, solution-based products and services, it will enable the 
    Company to maintain its gross profit margin at the high-end range of the 
                                                                   industry. 
 
     Strategically synergizes with partners to enjoy mutual benefits through 
                                                               collaboration 
 
          The Group reached strategic cooperation agreements with JD.com and 
Pinduoduo.com respectively in the first half of the year and already entered 
 into the in-depth cooperation phase. JD.com has provided non-home appliance 
  products to the Group, expanding Gome's SKUs to comprehensive product mix. 
In the first half of the year, the sales revenue of the Group generated from 
JD.com [1], Pinduoduo.com and other e-commerce platforms is expected to grow 
   more than 100 times year on year and the Group will strive to achieve RMB 
20,000 million annual sales goal in the second half of this year. Along with 
 the in-depth strategic cooperation with these two companies, the Group will 
            further accelerate its implementation of "Home?Living" strategy. 
 
  Completed infrastructure construction and entered into the new development 
                                                                       stage 
 
  Since 2017, the Group adopted an unswerving strategy of developing into an 
 Internet-based enterprise. Leveraging the convergence of online and offline 
        channels, the Group built a comprehensive platform featuring retail, 
      services and smart connection. The Group steadily become an integrated 
solution, service solution and supply chain provider under the "Home?Living" 
       strategy, meeting customers' diversified needs and their pursuit of a 
     wonderful life in the new era. The Group has successfully completed its 
     infrastructure construction, with the integration of online and offline 
      operations and the optimization of the store network. In addition, the 
          business model of "In-store", "In-home" and "In-online" has become 
 increasingly mature. Starting from this year, the Group enters a remarkable 
development stage. GOME will seize the development trend of retail industry, 
   redefining the home community by meeting households' various material and 
        spirit requirements. Targeting on different age groups and stages of 
   families, the Group will create multi-function living communities to meet 
    their requirements of catering, shopping, culture, entertainment, social 
      intercourse, family gathering and fitness, by forming a new online and 
  offline integrated community services platform. GOME strives to become the 
 leading digital local community retailer and persists on creating a quality 
                                 and wonderful life for households in China. 
 
File: GOME's Super Live Streaming Events Recorded New High Empowering and 
Accelerating the Future Development of Local Digital Retail Industry [2] 
 
12/08/2020 Dissemination of a Financial Press Release, transmitted by EQS 
Group. 
The issuer is solely responsible for the content of this announcement. 
 
Media archive at www.todayir.com 
 
1: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=2ee082c461ead0e7fab95536e60b4fe1&application_id=1115805&site_id=vwd&application_name=news 
2: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=bf38d57d1a99f9053aa9c4291eda6e2a&application_id=1115805&site_id=vwd&application_name=news 
 

(END) Dow Jones Newswires

August 11, 2020 22:33 ET (02:33 GMT)

© 2020 Dow Jones News
Die USA haben fertig! 5 Aktien für den China-Boom
Die Finanzwelt ist im Umbruch! Nach Jahren der Dominanz erschüttert Donald Trumps erratische Wirtschaftspolitik das Fundament des amerikanischen Kapitalismus. Handelskriege, Rekordzölle und politische Isolation haben eine Kapitalflucht historischen Ausmaßes ausgelöst.

Milliarden strömen aus den USA – und suchen neue, lukrative Ziele. Und genau hier kommt China ins Spiel. Trotz aller Spannungen wächst die chinesische Wirtschaft dynamisch weiter, Innovation und Digitalisierung treiben die Märkte an.

Im kostenlosen Spezialreport stellen wir Ihnen 5 Aktien aus China vor, die vom US-Niedergang profitieren und das Potenzial haben, den Markt regelrecht zu überflügeln. Wer jetzt klug investiert, sichert sich den Zugang zu den neuen Wachstums-Champions von morgen.

Holen Sie sich den neuesten Report! Verpassen Sie nicht, welche 5 Aktien die Konkurrenz aus den USA outperformen dürften, und laden Sie sich das Gratis-PDF jetzt kostenlos herunter.

Dieses exklusive Angebot gilt aber nur für kurze Zeit! Daher jetzt downloaden!
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