The latest financial report from Chinese electronics retailer Suning shows for the first half of this year that the company's total business revenue reached RMB18.9 billion, an increase of 60.58% compared with that of the same period of last year.
The company's net profit reached RMB578 million, an increase of 110.63% over the same period of the previous year. Suning estimated that its accumulated net profit in the first nine months of 2007 will increase by 70%-100% compared with that of the same period of 2006.
In the first six months of the year, Suning expanded into 13 district level cities in China and opened 71 new stores. And by the end of June 30, Suning had owned a total of 413 franchise stores in more than 103 cities across China, with a total business area of 1.6317 square meters, up 40.16% over the same period of last year.
Suning said that it had filed an application with the China Securities Regulatory Commission and it hopes to further improve its franchise business and enlarge its scale through a non-public issuance of stock.
Regarding strategic cooperations, Suning signed a strategic cooperation agreement with Motorola in April 2007 which allowed the company to use Motorola's MMI and DSD for its sales network.