Gaoxin Retail (06808) fell by more than 5%. As of press release, it was down 5.3% to HK$1.25, with a turnover of HK$9.743 million.
The Zhitong Finance App learned that Gaoxin Retail (06808) fell by more than 5%. As of press release, it was down 5.3% to HK$1.25, with a turnover of HK$9.743 million.
According to the news, recently, news of store closures has been reported one after another in Zhenjiang, Jiangsu, Deyang, Sichuan, and Zhuzhou, Hunan. According to incomplete statistics, since January 2023, at least 13 Darunfa stores have closed or announced their closure, involving various provinces such as Hunan, Jiangsu, Hubei, and Sichuan. According to the Financial Network, Lin Xiaohai, executive director and CEO of Gaoxin Retail, responded for the first time to Da Runfa's “wave of store closures,” admitting that the past few years have been a “painful transition period” for large stores. The recent “wave of store closures” is an unavoidable situation during the painful period. While closing, new stores are constantly being opened. It is expected that 5 new stores will be opened in fiscal year 2025, and 15 stores are expected to open within 3 years.
Furthermore, the signing ceremony for the Gaoxin Retail M Member Store (Jiangyin) project was held at the Shanghai M Member Store headquarters a few days ago, marking the official establishment of M Member Store in Jiangyin, Jiangsu. According to reports, up to now, M member stores have opened 3 stores in Yangzhou, Changzhou, and Nanjing. HSBC previously stated that the Group's investment in growth areas and the rationalization of cost trends is beneficial to development, but fierce competition has hidden concerns about whether it can achieve the 2026 target.