Reborn, back to a small county town to become a wealthy family

Chapter 712 Shocking Data

On Tuesday morning, Luo Yang went directly to Luoshengtang to listen to Qiandaizi's second-quarter financial report.

Before nine o'clock, he sat down in his office, yawning and talking to An Ying who followed him in.

"Has Chairman He and the others not arrived yet?"

“They notified us a week ago, and even called us yesterday afternoon.”

An Ying replied in a good mood, "I reckon they'll be here soon. After all, it's a good thing to make money, so Chairman He and the others will definitely be quite enthusiastic."

"A good thing to count money"

Luo Yang smiled and said, "It seems the second quarter results were quite good."

"Let me lay an ambush first; the specific figures will be announced at the meeting."

An Ying was quite relaxed in front of Luo Yang. Seeing her boss yawn, she could even crack a few jokes: "Boss, you seem to be sleep-deprived. Were you very tired last night?"

"These next few nights I'll be keeping a close eye on the US crude oil futures market. Last night was just the beginning; for the next week, I estimate I won't be able to rest until 2 or 3 a.m. every day."

Luo Yang glared at An Ying: "I have to attend meetings during the day, and I even have to squeeze in time to catch up on sleep. Do you really think I have it easy?"

"Is the market starting to move?"

As the boss's trusted lieutenant, An Ying knew some inside information.

After hearing what Luo Yang said, he immediately realized what was going on.

It looks like the fund that raised a whopping 9300 million US dollars is about to make a move.

"Last night was relatively peaceful."

Luo Yang muttered something to himself, then added, "But I estimate it will be either tonight or tomorrow night. If you're interested, you can go and observe it in the next couple of days."

"forget it."

An Ying wasn't very interested in this, and she had other things to do: "I'd been wanting to go out, but the timing of the second-quarter financial report meeting was uncertain, so I stayed at the company. After the meeting today, I'm flying to Jiangcheng this afternoon."

What are you going to Jiangcheng for?

Luo Yang asked curiously, "Is it about setting up distribution channels for Hualong Spicy Strips?"

"It's not about Hualong Spicy Strips."

An Ying replied with a smile, "The raw material production plant that Dong Xing helped to acquire has been settled. Jiangcheng is the first batch, and because of its geographical location, Jiangcheng, which is a transportation hub connecting nine provinces, is a major base for radiating to surrounding provinces. This time, I will integrate the production base and distribution channels together with it."

This was an agreement that Dong Xuan and Luo Yang had reached long ago.

She leveraged her connections in the banking sector to acquire non-performing assets such as food ingredient manufacturers in key cities, and then resold them to An Ying, helping Luo Shengtang build a food ingredient production base that could serve the national market.

As originally agreed, the first transaction was to be completed starting in July.

Meanwhile, Lemon CC, a subsidiary of Luoshengtang, received its first funding from Sequoia Capital in July, totaling 150 million yuan.

This money was used to acquire milk tea ingredient manufacturers, which is perfectly legitimate.

"Well, you have worked hard during this period."

Luo Yang nodded and said, "I'll treat you to dinner when you come back from Jiangcheng."

"It's really uncertain whether we'll have that time anytime soon."

An Ying wasn't particularly enthusiastic about that; her focus was on career success: "Hualong Spicy Strips has already started production and sales. After I finish things in Jiangcheng, I won't return to Shanghai immediately. I still need to go to several surrounding provinces to build sales channels. The money from Sequoia Capital has arrived, and I need to spend it as soon as possible."

She truly deserves to be called a career-driven woman; between men and career, the latter takes higher priority.

Of course, there's an exception if Luo Yang insists on forcing it.

"Chairman, General Manager An, it's almost 9:30."

Sun Wei, Luo Yang's secretary, knocked on the door to remind him, "Everyone else is already seated in the conference room, you see."

"Let's go."

Luo Yang stood up: "I'm really looking forward to today's report."

When he led An Ying and Sun Wei into the conference room, he saw a series of familiar faces.

The three shareholders, He Maosong, Liu Haishan, and Cai Fujun, sat on one side of the rectangular conference table, while the head seat on the other side was empty, undoubtedly reserved for An Ying.

Seated in order were Zhou Linbao, Chief Operating Officer of Nayuki Tea; He Zhong, Chief Operating Officer of Lemon CC; Xu Zhenzhen, Financial Director of Luoshengtang; Guo Xiaoya, Human Resources Director; Zou Yimin, Marketing Director; Yu Chenglin, Purchasing Director, and other senior executives.

Director of the Board Office, Xi Yuwei, sat at the end of the table. Behind her, two young girls, presumably administrative staff, sat in a row of chairs against the wall.

"Hello, Chairman! Hello, General Manager An!"

"Please be seated, everyone. The meeting will begin according to the agenda."

Luo Yang wasn't too concerned with formalities; as he sat down, he gestured for everyone to stop standing.

Since it is the second quarter financial report meeting, the first person to report is naturally the financial director.

"Chairman, Chairman He, Chairman Liu, Chairman Cai, General Manager An, and colleagues, good morning. I will now report on the company's financial summary data for the second quarter."

CFO Xu Zhenzhen has become increasingly composed, radiating strong confidence, and speaking with great vigor when reporting financial data.

"First, I would like to report to all leaders and colleagues on Nayuki's financial revenue statement for the second quarter of 2012."

As is customary, the projection was turned on before the presentation began, and the presentation content was clearly displayed on the screen in the form of a PowerPoint presentation.

Nayuki has been established for almost two years now, and the standardization and institutionalization of its headquarters have been continuously strengthened.

Not only in finance, but also at Luo Yang's request, the meeting reporting formats and forms of all departments in the company have been standardized.

As Xu Zhenzhen began her explanation, the PPT on the projected screen started flipping through the pages, and the tables displayed showed the number of Nayuki's four-level stores, their business hours, sales revenue, and sales data statistics for each store.

"As of June 30, 2012, Nayuki had 49 A-level stores, with an operating period of 143.4 months in the first quarter, sales revenue of 23355.56 million yuan, average monthly sales per store of 162.87 million yuan, highest monthly sales per store of 205.55 million yuan, and lowest monthly sales per store of 153.42 million yuan."

Because the four first-tier cities of Beijing, Shanghai, Guangzhou and Shenzhen have well-established layouts, and each provincial capital city has also set up an A-level store, only 4 new stores were added in the second quarter.

These four stores are located in cities with independent planning status and economically developed prefecture-level cities, and their sales performance is even better than that of some provincial capitals.

Although the number of new A-level stores was relatively small in the second quarter, the overall financial data was still quite impressive. Compared with the data in the first quarter, both the average and the sales data per store showed good growth.

Moreover, as everyone knows, the second half of the year is the peak season for milk tea sales, and the data for the third and fourth quarters will only be even better.

We are all workplace elites, and we still vaguely remember the summary report data from the end of last year. In the entire year of 2011, the operating time of Grade A stores was only close to 200 months, and the annual sales revenue was nearly 3 million yuan.

However, looking at the revenue data of A-level stores in the first and second quarters, at this rate, the sales data in the fourth quarter may be equivalent to the total sales of last year. Assuming the number of A-level stores remains relatively stable, the sales revenue for the whole of 2012 is expected to exceed 9 million yuan.

A-level stores alone generate 9 million yuan in sales annually. With the increasing proportion of self-produced and self-sold raw materials and the decreasing costs, the annual gross profit may exceed 3.5 million yuan.

He Maosong, Liu Haishan, and Cai Fujun, who were sitting in the conference room listening to the report, were filled with excitement.

Even if they didn't know the exact figure of 3.5 million, they roughly estimated it to be around 3 million. How could they not be happy?
"As of June 30, 2012, Nayuki had 117 B-level stores, operating for 323.25 months in the second quarter, with sales revenue of 343,257,320 yuan. The average monthly sales per store were 133.82 million yuan, with the highest monthly sales per store reaching 159.26 million yuan and the lowest reaching 118.7 million yuan." The second quarter saw the addition of 25 B-level stores, a significant number compared to A-level stores, and these new stores genuinely contributed to higher sales revenue.

Compared to the first quarter, sales increased by nearly 100 million yuan.

Looking at the full-year data for 2011, B-level stores generated over 4 million yuan in sales revenue, which is roughly equivalent to a quarter's sales now.

Based on the current situation, it shouldn't be a problem to break through 13 billion for the whole of 2012.

This is a little scary.

Even if we calculate based on the median figure of 12.5 billion, the annual gross profit would still be around 5 million.

Of course, the data from the directly operated stores at levels A and B did not impress Luo Yang, because it was quite different from An Ying's mysterious approach.

"As of June 30, 2012, Nayuki had 216 C-level stores, with an operating period of 610.59 months in the first quarter, sales revenue of 63220.49 million yuan, average monthly sales per store of 103.54 million yuan, highest monthly sales per store of 125.51 million yuan, and lowest monthly sales per store of 926,800 yuan."

The C-level store's total sales revenue last year was close to 6 million yuan, and now it has already reached over 6.3 million yuan in the second quarter.

Compared to the first quarter, sales increased by almost 50%.

If the number of C-level directly operated stores continues to expand at this rate, the sales revenue for 2012 will need to be reassessed. It now appears that the total revenue for the year could very well reach 25 to 28 billion yuan.

This data is quite impressive.

Luo Yang smiled, looked at An Ying, and nodded in approval.

"As of June 30, 2012, Nayuki had 183 D-level stores. The operating period in the second quarter was 426.64 months, with sales revenue of 39391.67 million yuan. The average monthly sales per store reached 923,300 yuan, with the highest monthly sales per store reaching 148.53 million yuan and the lowest monthly sales per store reaching 711,900 yuan."

Although there were few D-level stores at the beginning, they actually had the largest market potential.

Because the number of fourth- and fifth-tier counties with slightly better economies across the country, plus third-tier prefecture-level cities with slightly worse economies, is already a fixed market size, when Luoshengtang was able to free up its resources and start focusing on developing D-level stores, the number of directly operated stores suddenly increased.

Of course, due to the rapid expansion, both the average monthly sales per store and the lowest monthly sales per store have declined.

In terms of sales, the highest single-store sales multiple is even higher than the lowest single-store sales.

This demonstrates the uneven economic development across cities nationwide.

In the first quarter, it was estimated that the annual sales of D-level stores would reach 5 million yuan, but at the current rate of store expansion, it is possible that the annual sales could exceed 10 billion yuan.

"Wow~~~ Last quarter we predicted that the annual sales might reach 44 billion, now they're even aiming for 60 billion!"

As soon as CFO Xu Zhenzhen finished her first-stage report, Liu Haishan couldn't help but interject: "Nayuki alone made over two billion yuan in profit this year. That's more than double what it was last year. I've really struck it rich this year."

The meeting room erupted in laughter at such direct remarks.

He Maosong opened his mouth, but ultimately suppressed the urge to speak.

As for Cai Fujun, he had already been looking at Luo Yang with eyes sparkling with excitement.

"Director Xu, please continue!"

Luo Yang didn't express any sentiments, because An Ying's feigned mystery had already prepared him for Nayuki's explosive sales growth in the second quarter.

Right now, he's not thinking about the possibility of annual sales exceeding 60 billion yuan; he's thinking about next year and the year after.

The overall market capacity of the 33 provinces, municipalities, and autonomous regions across the country, excluding a very few unsuitable provincial-level markets, is there.

The number of A-level directly operated stores will remain relatively stable at around 50; while the number of B-level directly operated stores has some room for growth, Luo Yang estimates it will not exceed 150.

However, it's different for C-level directly operated stores; around 350 to 380 stores isn't a lot. As for D-level stores, if the standards are relaxed a bit, reaching more than 500 stores wouldn't be a problem.

When Nayuki's four levels of stores reach 1100 and reach their full potential, the total number of operating months in a year will exceed 13200 months. Coupled with the increase in the unit price of milk tea due to currency inflation, Nayuki's annual sales revenue is likely to exceed 200 billion yuan.

Keep in mind that this sales data comes entirely from directly operated stores!

Luo Yang was really reluctant to sell such a fat cash cow.

After the laughter that Liu Haishan interrupted subsided, Xu Zhenzhen reported on Nayuki's financial data, including profits and expenses.

Luo Yang didn't pay much attention to these things until Lemon CC's presentation began, which brought his scattered thoughts back to the PPT spreadsheet.

"The above is a report on Nayuki's financial data for the second quarter."

Xu Zhenzhen paused here, looked at Luo Yang's expression, and seeing that he didn't intend to speak, she switched the table on the projection screen and said, "Next, I will report Lemon CC's financial data for the second quarter to all leaders and colleagues."

Everyone in the conference room perked up, because they all knew that starting from the second quarter, Lemon CC's expansion had entered a frenzied phase.

Not only that, but they also opened up the market to agents, resulting in a number of new stores that far exceeded the imagination of ordinary people.

The hushed conversation in the meeting room immediately ceased, and everyone turned their attention to the projected screen.

“截止2012年6月30日，柠檬CC在营业店铺2566家（其中代理商开设店铺1033家），筹办中的店铺数量达到3385（其中代理商准备开设店铺2951家）家 698家，筹办中的店铺数量达到507家。”

When this number was announced, even though Luo Yang was still there, there was still an uncontrollable gasp of astonishment in the conference room.

When we tallied up the numbers at the end of last year, Lemon CC had fewer than 400 stores in operation and just over 200 more about to open. By the first quarter of this year, the total number of stores, including those in operation and those in preparation, was only 1200.

Only two quarters have passed, and Lemon CC has opened more than 2500 stores nationwide. Even if 1033 of them are opened by agents, the number of directly operated stores has exceeded 1500.

Even describing it as rapid expansion is an understatement.

Moreover, as everyone knows, after entering July, Sequoia Capital's first investment of 150 million yuan was deposited into Lemon CC's account, and the subsequent expansion speed will be even more frightening.

With the addition of stores opened by agents, the goal for the whole year is to reach 8000 stores.

"As of June 30, 2012, there were a total of 200 model stores, with a total operating time of 557 months throughout the year. The total sales amounted to 32099 million yuan, with an average monthly sales of 576,300 yuan per store, a highest monthly sales of 752,100 yuan per store, and a lowest monthly sales of 465,300 yuan per store."

In the second quarter, Lemon CC added 50 new model stores, and its sales revenue almost doubled compared to the first quarter.

The main purpose of setting up model stores is to promote the agency system. Now that the agency system has been liberalized, the number of model stores will increase, but not too much. The total number for the whole year will not exceed 300.

Even so, based on an increase of 50 stores per quarter, it is foreseeable that the sales revenue in the third and fourth quarters will not be less than 70% to 80% higher than the previous quarter.

"As of June 30, 2012, there were a total of 1333 non-model stores, with a total operating time of 3372.49 months throughout the year. The total sales reached 1,762,800,500 yuan, with an average monthly sales of 522,700 yuan per store, a highest monthly sales of 655,100 yuan per store, and a lowest monthly sales of 366,200 yuan per store."

"Such high sales figures for non-model stores in the second quarter?"

When the figure of 17 billion was revealed, even He Maosong couldn't help but exclaim.

He gaped in shock: "Wouldn't the combined sales for the two quarters in the second half of the year exceed 50 billion yuan?"

After receiving 4.4 million yuan in funding from Sequoia Capital, the number of non-model stores expanded even faster in the second half of the year.

"Chairman He is right. Lemon CC's expansion speed is even faster in the second half of the year. Although it is impossible to estimate accurately now, I think the annual sales revenue may reach around 70 to 80 billion yuan."

This doesn't even include the sales figures for franchise stores.

For a moment, the conference room was unusually quiet.

(End of this chapter)