Pathfinder Again Issued A Risk Warning For Suspension Of Listing, As Losses Continued To Expand.

On the evening of December 10th, the Pathfinder holding group Limited by Share Ltd (the Pathfinder) issued the "risk warning notice on the possibility of a stock being suspended", and announced that it might face the Shenzhen stock exchange's suspension of the company's stock listing because of its net profit.


The impairment of assets and the loss of the assets of the Pathfinder group Limited by Share Ltd for 2017 consecutive years and 2018 years. According to article 13.1.1 (1) of the Listing Rules of the Shenzhen stock exchange gem stock market, the "Shenzhen stock exchange can decide to suspend the listing of its shares" on the basis of the three consecutive consecutive years of loss in the listed companies (based on the audited net profit disclosed in the latest three years' annual financial accounting report). If the Pathfinder continues to make a loss in 2019 (Note: according to the third quarter report that has been disclosed by the Pathfinder in 2019, the Pathfinder has achieved net profit of 99 million 489 thousand and 500 yuan belonging to the shareholders of the listed company in the three quarter of 2019, and expects to achieve a net profit of not less than 100 million yuan in 2019). The stock exchange of Shenzhen may suspend the listing of the company's stock. The announcement shows that, for a long period of time, a large amount of goodwill, investment and investment have been put forward for the investment projects that have not yet reached the expected level.


Pathfinder pointed out that if the 2019 annual audit report was eventually identified as a loss, according to the provisions of article 13.1.6 of the Shenzhen stock exchange GEM Listing Rules, the stock will be suspended from the date of the 2019 annual report, and the Shenzhen stock exchange will decide whether to suspend the listing of the company's stock within 15 trading days after the suspension.


Pathfinder began to face the danger of declining performance in 2014, and the losses continued to expand. The net profit of the Pathfinder in 2016 -2018 was 294 million yuan, 263 million yuan, 166 million yuan, -8485 million yuan and -1.81 billion yuan respectively, and the net profit loss was serious year by year. Faced with this predicament, Pathfinder has made relevant strategies to improve performance, focus on outdoor products, enhance product competitiveness, brand culture and brand spirit have further enhanced the impact of users' dissemination. More detailed sense of the shop's upgrading and transformation has been orderly promoted, refined management of sales terminals and continuous improvement of channel structure, but the effect has been minimal.


In fact, this is not the first time that Pathfinder has issued a risk warning announcement that it may be suspended. Since August this year, Pathfinder has issued 14 risk warning for suspending the listing, pointing out that further losses will be suspended.


In this regard, Pathfinder actively takes various operational measures to promote performance and achieve goals. For the last quarter, Pathfinder said:


1, focus on resources to consolidate and promote the steady development of the main industries of outdoor products, further tap the subdivision needs of target customers, continue to precipitate and enhance the core competitiveness of products, strengthen the promotion of brand building and dissemination of brand spirit culture to users, optimize and upgrade the channel structure, measure and follow up various indicators of sales terminals, continuously improve the level of retail management, and strive to ensure the achievement of annual business performance goals.


2, through the implementation of information upgrading and meticulous management measures, we will continue to improve the management efficiency and per capita benefits of the operation system, strictly control budgets and control, reduce expenses scientifically, and strive to achieve cost saving and synergy.


3, in view of the non main business, based on the progress of the post investment management that has been achieved (refer to the periodic reports and related announcements disclosed by the company), we should continuously optimize the related business structure of the non outdoor main business, integrate the projects with deep collaboration with the main industry, and continue to restructure and withdraw from the business which is not related to the outdoor main business.