Xinxiuli Transferred $970 Million In The Medium Term And Did Not Pay The Medium-Term Interest

Xinxiuli announced that it had a loss of 974 million yuan (US dollars, the same below) for the six months ended June 30, 2020 (the same below) (the profit of the same period in 2019 was 49.1 million yuan), with a loss of 68 cents per share and no interim interest.

During the period, net sales amounted to $802 million, down 54.3% year-on-year. Among them, net sales in North America, Asia, Europe and Latin America fell by 50.9%, 55.1%, 56.3% and 46.3% respectively on a year-on-year basis.

With the slow restart of the global market, sales pressure eased in June, with net sales down 74.1% year-on-year, lower than 80.9% and 79.1% in April and may. The decline in net sales in July further narrowed to 69.8%, and continued to improve gradually in August, but it is expected that the operating environment will remain difficult in the second half of the year.

In the first half of the year, the gross profit margin was 49.4%, a year-on-year decrease of 6.6 percentage points. During the period, the net decrease was 49 stores.

Health events have a serious impact on global transportation, tourism and economy. It will have a serious negative impact on the group's performance in the first half of 2020, and will also have a negative impact on the performance of the whole year in 2020.