On the evening of November 12, Yonghui Superstores announced that it received a "Share Reduction Plan Notice" from Chairman Zhang Xuansong and his concerted parties. Due to personal funding needs, they plan to reduce their holdings by no more than 90.75 million shares (1% of the company's total shares) through centralized bidding, with the reduction price determined by market conditions. The reduction period is set from December 4, 2025, to March 3, 2026.
Zhang Xuansong, serving as director and chairman of Yonghui, held 1,274,987,806 shares (14.05% of total shares) alongside his concerted parties as of June 30, 2025. Based on the closing price of 4.74 yuan per share on November 11, the reduction amount is estimated at approximately 430 million yuan.
Just four days prior to this announcement, Vice President Luo Wenxia completed a share reduction. On November 7, Yonghui disclosed that Luo sold 108,700 shares (0.0012% of total shares) at 4.59 yuan per share, totaling 498,900 yuan. This reduction aligned with the plan disclosed on October 16, 2025, and has now been fully executed.
The consecutive reductions by executives come amid Yonghui's ongoing financial struggles. In the first three quarters of this year, the company reported revenue of 42.43 billion yuan, down 22.21% year-on-year, with net losses attributable to shareholders widening over eightfold to 710 million yuan from 77.87 million yuan in the same period last year.
Q3 2025 saw revenue decline 25.55% year-on-year to 12.49 billion yuan, while net losses expanded by 116 million yuan to 469 million yuan. Yonghui attributed the revenue drop to fierce industry competition, shifting consumer habits, and declining foot traffic and average spending at traditional stores. The company is currently optimizing and closing underperforming stores, reducing its total store count.
Yonghui noted that as of Q3, 222 stores had undergone restructuring, with plans to reach 300 by early 2026. These revamped stores are expected to significantly boost performance. According to Yonghui's website, restructured stores saw an average 80% increase in foot traffic in October, with over 60% of stabilized locations achieving five-year profitability highs.
At the time of reporting, Yonghui's shares closed at 4.61 yuan, down 2.74%.
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