Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2022 shares | |
Document and Entity Information | |
Document Type | 20-F |
Amendment Flag | false |
Document Registration Statement | false |
Document Annual Report | true |
Document Period End Date | Dec. 31, 2022 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-39088 |
Entity Registrant Name | Aesthetic Medical International Holdings Group Ltd |
Entity Incorporation, State or Country Code | E9 |
Entity Address, Address Line One | 1122 Nanshan Boulevard |
Entity Address, Address Line Two | Nanshan District |
Entity Address, City or Town | Shenzhen |
Entity Address, Address Line Three | Guangdong Province |
Entity Address, Country | CN |
Entity Address, Postal Zip Code | 518052 |
Entity Common Stock, Shares Outstanding | 94,044,740 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Emerging Growth Company | true |
Entity Ex Transition Period | false |
ICFR Auditor Attestation Flag | false |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Entity Central Index Key | 0001757143 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | FY |
Auditor Name | Union Power HK CPA Limited |
Auditor Firm ID | 3004 |
Auditor Location | Hong Kong |
Business Contact | |
Document and Entity Information | |
Contact Personnel Name | Wu Guanhua |
Contact Personnel Email Address | toby@pengai.com.cn |
Entity Address, Address Line One | 1122 Nanshan Boulevard |
Entity Address, Address Line Two | Nanshan District |
Entity Address, City or Town | Shenzhen |
Entity Address, Address Line Three | Guangdong Province |
Entity Address, Country | CN |
Entity Address, Postal Zip Code | 518052 |
Country Region | 86 |
City Area Code | 755 |
Local Phone Number | 2665 0533 |
American depositary shares | |
Document and Entity Information | |
Title of 12(b) Security | American depositary shares, each |
Trading Symbol | AIH |
Security Exchange Name | NASDAQ |
Ordinary shares | |
Document and Entity Information | |
Title of 12(b) Security | Ordinary shares, par value US$0.001 per share* |
No Trading Symbol Flag | true |
Security Exchange Name | NASDAQ |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS | |||
Revenue | ¥ 670,091,000 | ¥ 645,593,000 | ¥ 901,573,000 |
Cost of sales and services rendered | (314,505,000) | (376,092,000) | (356,796,000) |
Gross profit | 355,586,000 | 269,501,000 | 544,777,000 |
Selling expenses | (226,474,000) | (404,683,000) | (510,608,000) |
General and administrative expenses | (150,379,000) | (206,971,000) | (230,646,000) |
Operating result | (21,267,000) | (342,153,000) | (196,477,000) |
Finance income | 155,000 | 113,000 | 1,185,000 |
Finance costs | (21,635,000) | (27,230,000) | (29,189,000) |
Other gains/(losses), net | (24,920,000) | 6,074,000 | 600,000 |
Fair value loss of convertible note | (26,506,000) | (4,240,000) | (1,599,000) |
Impairment of non-current assets | (313,959,000) | (32,969,000) | |
Share of (losses)/profits of investments accounted for using the equity method | 81,000 | (1,043,000) | |
Loss before income tax | (94,173,000) | (681,314,000) | (259,492,000) |
Income tax credit | 18,067,000 | 11,798,000 | 12,587,000 |
Loss for the year | (76,106,000) | (669,516,000) | (246,905,000) |
Items that may be subsequently reclassified to profit or loss | |||
Currency translation differences | (665,000) | 574,000 | (731,000) |
Revaluation of investment properties upon transfer from property, plant and equipment | 5,964,000 | ||
Total other comprehensive income/(loss) for the year, net of tax | 5,299,000 | 574,000 | (731,000) |
Total comprehensive income/(loss) for the year | (70,807,000) | (668,942,000) | (247,636,000) |
Loss attributable to: | |||
Owners of the Company | (76,247,000) | (586,619,000) | (235,479,000) |
Non-controlling interests | 141,000 | (82,897,000) | (11,426,000) |
Loss for the year | ¥ (76,106,000) | ¥ (669,516,000) | ¥ (246,905,000) |
Loss per share for loss attributable to owners of the Company (in RMB per share) | |||
-Basic | ¥ (0.93) | ¥ (8.89) | ¥ (3.61) |
-Diluted | ¥ (0.93) | ¥ (8.89) | ¥ (3.61) |
Total comprehensive loss attributable to: | |||
Owners of the Company | ¥ (70,948,000) | ¥ (586,045,000) | ¥ (236,210,000) |
Non-controlling interests | 141,000 | (82,897,000) | (11,426,000) |
Total comprehensive income/(loss) for the year | ¥ (70,807,000) | ¥ (668,942,000) | ¥ (247,636,000) |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Non-current assets | ||
Property, plant and equipment | ¥ 320,816 | ¥ 358,749 |
Investment properties | 23,065 | |
Intangible assets | 37,270 | 37,238 |
Investments accounted for using the equity method | 1,160 | 4,904 |
Prepayments and deposits | 25,299 | 16,574 |
Deferred income tax assets | 61,163 | 45,765 |
Total non-current assets | 468,773 | 463,230 |
Current assets | ||
Inventories | 27,853 | 30,566 |
Trade receivables | 6,193 | 7,772 |
Other receivables, deposits and prepayments | 25,887 | 31,692 |
Amounts due from related parties | 2,873 | 4,391 |
Restricted cash | 1,547 | |
Asset held-for-sale | 1,083 | |
Cash and cash equivalents | 12,161 | 39,289 |
Total current assets | 77,597 | 113,710 |
Total assets | 546,370 | 576,940 |
Equity attributable to owners of the Company | ||
Share capital | 626 | 469 |
Treasury shares | (2,023) | (2,023) |
Accumulated losses | (1,140,771) | (1,064,524) |
Other reserves | 1,028,510 | 909,411 |
Total equity attributable to owners of parent | (113,658) | (156,667) |
Non-controlling interests | (12,222) | (29,755) |
Total equity | (125,880) | (186,422) |
Non-current liabilities | ||
Borrowings | 29,110 | 77,607 |
Lease liabilities | 99,304 | 105,754 |
Convertible note | 38,059 | |
Deferred income tax liabilities | 285 | |
Total non-current liabilities | 128,414 | 221,705 |
Current liabilities | ||
Trade payables | 46,752 | 31,256 |
Accruals, other payables and provisions | 43,738 | 72,848 |
Contingent consideration and consideration payable | 6,200 | 7,100 |
Amounts due to related parties | 473 | |
Contract liabilities | 169,725 | 236,476 |
Borrowings | 172,766 | 156,208 |
Convertible note | 64,565 | |
Lease liabilities | 27,352 | 28,278 |
Current income tax liabilities | 12,738 | 9,018 |
Total current liabilities | 543,836 | 541,657 |
Total liabilities | 672,250 | 763,362 |
Total equity and liabilities | ¥ 546,370 | ¥ 576,940 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - CNY (¥) | Share capital | Treasury shares | Other reserves | Accumulated losses | Attributable to owners of the Company | Non-controlling interests | Total |
Balance at the beginning at Dec. 31, 2019 | ¥ 469,000 | ¥ (41,000) | ¥ 789,285,000 | ¥ (242,232,000) | ¥ 547,481,000 | ¥ 43,117,000 | ¥ 590,598,000 |
Comprehensive loss | |||||||
Loss for the year | (235,479,000) | (235,479,000) | (11,426,000) | (246,905,000) | |||
Currency translation differences | (731,000) | (731,000) | (731,000) | ||||
Total comprehensive loss for the year | (731,000) | (235,479,000) | (236,210,000) | (11,426,000) | (247,636,000) | ||
Transactions with owners | |||||||
Transfer to statutory reserve | 194,000 | (194,000) | |||||
Transactions with non-controlling shareholders | 2,640,000 | 2,640,000 | (5,000) | 2,635,000 | |||
Share-based payment | 78,967,000 | 78,967,000 | 78,967,000 | ||||
Business combinations | 32,669,000 | 32,669,000 | |||||
Disposal of a subsidiaries | (28,579,000) | (28,579,000) | |||||
Dividend to non-controlling shareholders | (936,000) | (936,000) | |||||
Share repurchase | (1,982,000) | (1,982,000) | (1,982,000) | ||||
Total transactions with owners | (1,982,000) | 81,801,000 | (194,000) | 79,625,000 | 3,149,000 | 82,774,000 | |
Balance at the end at Dec. 31, 2020 | 469,000 | (2,023,000) | 870,355,000 | (477,905,000) | 390,896,000 | 34,840,000 | 425,736,000 |
Comprehensive loss | |||||||
Loss for the year | 0 | 0 | 0 | (586,619,000) | (586,619,000) | (82,897,000) | (669,516,000) |
Currency translation differences | 574,000 | 574,000 | 574,000 | ||||
Total comprehensive loss for the year | 574,000 | (586,619,000) | (586,045,000) | (82,897,000) | (668,942,000) | ||
Transactions with owners | |||||||
Transactions with non-controlling shareholders | 3,020,000 | 3,020,000 | (1,586,000) | 1,434,000 | |||
Share-based payment | 35,462,000 | 35,462,000 | 35,462,000 | ||||
Business combinations | 163,000 | 163,000 | |||||
Disposal of a subsidiaries | 20,840,000 | 20,840,000 | |||||
Dividend to non-controlling shareholders | (1,115,000) | (1,115,000) | |||||
Total transactions with owners | 38,482,000 | 38,482,000 | 18,302,000 | 56,784,000 | |||
Balance at the end at Dec. 31, 2021 | 469,000 | (2,023,000) | 909,411,000 | (1,064,524,000) | (156,667,000) | (29,755,000) | (186,422,000) |
Comprehensive loss | |||||||
Loss for the year | (76,247,000) | (76,247,000) | 141,000 | (76,106,000) | |||
Currency translation differences | (665,000) | (665,000) | (665,000) | ||||
Total comprehensive loss for the year | 5,299,000 | (76,247,000) | (70,948,000) | 141,000 | (70,807,000) | ||
Revaluation of investment properties upon transfer from property, plant and equipment | 5,964,000 | 5,964,000 | 5,964,000 | ||||
Transactions with owners | |||||||
Transactions with non-controlling shareholders | (2,613,000) | (2,613,000) | (748,000) | (3,361,000) | |||
Share-based payment | 27,515,000 | 27,515,000 | 27,515,000 | ||||
Disposal of a subsidiaries | 18,140,000 | 18,140,000 | |||||
Deregister of subsidiary | 17,000 | 17,000 | 17,000 | ||||
Issuance of shares | 157,000 | 94,009,000 | 94,166,000 | 94,166,000 | |||
Transaction costs related to issuance of shares | (5,128,000) | (5,128,000) | (5,128,000) | ||||
Total transactions with owners | 157,000 | 113,800,000 | 113,957,000 | 17,392,000 | 131,349,000 | ||
Balance at the end at Dec. 31, 2022 | ¥ 626,000 | ¥ (2,023,000) | ¥ 1,028,510,000 | ¥ (1,140,771,000) | ¥ (113,658,000) | ¥ (12,222,000) | ¥ (125,880,000) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities | |||
Cash generated from operations | ¥ (74,499) | ¥ 51,715 | ¥ 5,582 |
Income tax paid | (627) | (624) | (6,425) |
Net cash (used in)/generated from operating activities | (75,126) | 51,091 | (843) |
Cash flows from investing activities | |||
Net cash used in business combinations | (642) | (7,273) | (69,951) |
Proceeds from disposal of property, plant and equipment | 166 | 11 | |
Purchase of and deposit paid for property, plant and equipment | (1,597) | (33,237) | (38,355) |
Purchase of and deposit paid for intangible assets | (81) | (205) | (6,807) |
Deposit of long term investment | (21,287) | ||
Deposit from investors | 20,000 | ||
Restricted cash | (1,547) | 8,712 | (8,712) |
Balances with related parties | (2,690) | 1,550 | (3,446) |
Interest income received | 155 | 113 | 1,185 |
Proceeds from disposal of subsidiaries | 9,536 | (1,351) | 19,994 |
Proceeds from Ceased Operations of Subsidiaries | (23) | ||
Net cash (used in)/(generated from) investing activities | 3,111 | (11,525) | (127,368) |
Cash flows from financing activities | |||
Proceeds from borrowings | 164,300 | 97,880 | 276,595 |
Repayment of borrowings | (141,920) | (68,928) | (217,675) |
Repayment of lease liabilities | (11,041) | (50,575) | (59,646) |
Proceeds from other borrowings | 112,014 | 143,018 | 3,000 |
Repayment of other borrowings | (157,098) | (152,687) | (3,915) |
Proceeds from convertible note, net | 32,797 | ||
Interest paid | (14,606) | (12,828) | (10,541) |
Issuance of shares | 94,153 | ||
Dividends paid to non-controlling interests | (250) | (1,115) | (936) |
Share repurchase | (1,982) | ||
Net cash generated from/(used in) financing activities | 45,552 | (45,235) | 17,697 |
Net decrease in cash and cash equivalents | (26,463) | (5,669) | (110,514) |
Cash and cash equivalents at beginning of the year | 39,289 | 44,384 | 154,490 |
Effect of changes in foreign exchange rates | (665) | 574 | 408 |
Cash and cash equivalents at end of the year | ¥ 12,161 | ¥ 39,289 | ¥ 44,384 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS - Cash Reconciliation - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Analysis of the balances of cash and cash equivalents at 31 December | ||||
Bank and cash balances | ¥ 12,161 | ¥ 39,289 | ¥ 44,384 | ¥ 154,490 |
Cash and cash equivalents | ¥ 12,161 | ¥ 39,289 | ¥ 44,384 |
General information
General information | 12 Months Ended |
Dec. 31, 2022 | |
General information | |
General information | 1 General information Aesthetic Medical International Holdings Group Limited (the “Company”) was incorporated in the Cayman Islands on 27 May 2011 as an exempted company with limited liability under the Companies Law, Cap. 22 (Law 3 of 1961, as consolidated and revised) of the Cayman Islands. The address of its registered office is Offshore Incorporations (Cayman) Limited, Scotia Centre, 4th Floor, P.O. Box 2804, George Town, Grand Cayman KY1-1112, Cayman Islands. The Company and its subsidiaries (together, the “Group”) are engaged in the provision of non-surgical aesthetic medical services, surgical aesthetic medical services, other aesthetic medical services and general healthcare services in the People’s Republic of China (the “PRC”). The principal activities of the subsidiaries are set out in Note 36. The Company completed its initial public offering and listing of American Depositary Shares (“ADSs”) on the NASDAQ Global Market in October, 2019, and raised net proceeds of US$27,600,000 from the offering. Each ADS represents three ordinary shares. These consolidated financial statement are presented in Renminbi (“RMB”) and rounded to the nearest thousand yuan, unless otherwise stated. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2022 | |
Summary of significant accounting policies | |
Summary of significant accounting policies | 2 Summary of significant accounting policies The principal accounting policies applied in the preparation of these consolidated financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. 2.1 Basis of preparation The consolidated financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board. These consolidated financial statements have been prepared under the historical cost convention, as modified by the revaluation of convertible note, investment properties and assets held for sale, which were carried at fair value. Going Concern The consolidated financial statements of the Company have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As a result, the Group had a loss of RMB76,106,000 for the year ended 31 December 2022. As of 31 December 2022, the Group had net current liabilities of RMB466,239,000 and net liabilities of RMB125,880,000. These factors raise substantial doubt about the Company’s ability to continue as a going concern. Besides continuing to negotiate with the banks, the Company is evaluating several measures of financing, such as external financings,which will also be considered. Currently, the Company intends to raise loans from financial institutions and potential funders to maintain its normal operations. The Company’s ability to continue as a going concern is primarily dependent on the Company’s ability to arrange adequate financing arrangements and generate cash flows from its operations. The Company closed its private placement with Hainan Oriental Jiechuang Investment Partnership (“Jiechuang”) for aggregate gross proceeds of RMB170 million in February 2023 and utilized the money to fund its business development and working capital. Binhua Wu who represents the major sharehoder signed a letter of continuing financial support with the Company, in which she undertakes to enable the company to meet its liabilities and obligations as and when they fall due, for at least 12 months from the date of 20-F for the year ended December 31, 2022. In addition to the aforementioned financial investment, Binhua Wu also leverages her corporate management and talent training advantages to optimize the operations of the Company. 2 Summary of significant accounting policies (Continued) 2.2 Changes in accounting policy and disclosures 2.2.1 New standards and amendments to standards adopted by the Group The following new standards and amendments to standards are mandatory for accounting periods beginning on or after 1 January 2022. The adoption of these new standards and amendments to standards does not have a significant impact to the results and financial position of the Group: Amendments to IFRS 3: Reference to the Conceptual Framework Amendments to IAS 16: Proceeds Before Intended Use Amendments to IFRS 1, IFRS 9, IFRS 16 and IAS 41: Annual Improvements to 2018-2021 cycle Amendments to IAS 37: Onerous Contracts - Costs of Fufilling a Contract Amendments to IFRS 9: Financial Instruments – Fees in the ’10 per cent’ test for derecognition of financial liabilities 2.2.2 New standards, amendments to standards and interpretations not yet adopted The following are new standards, amendments to standards and interpretations which have been issued but are not effective and have not been early adopted. The Group plans to adopt these new standards, amendments to standards and interpretations when they become effective: Amendments to IFRS 10 and IAS 28 (2011): Sale or Contribution of Assets Between an Investor and Its Associate or Joint Venture To be determined IFRS 17: Insurance Contracts and related amendments 1 January 2023 Amendments to IAS 1: Classification of Liabilities as Current and Non-current 1 January 2023 Amendments to IAS 1: Disclosure of accounting policies 1 January 2023 Amendments to IAS 8: Definition of accounting estimates 1 January 2023 Amendments to IAS 12: Deferred Tax Related to Assets and Liabilities Arising from a Single Transaction 1 January 2023 2 Summary of significant accounting policies (Continued) 2.2 Changes in accounting policy and disclosures (Continued) 2.2.2 New standards, amendments to standards and interpretations not yet adopted (Continued) Management is in the process of assessing the impact of these standards, amendments and interpretations to existing IFRS. None of these is expected to have a significant effect on the consolidated financial statements of the Group. 2.3 Subsidiaries Consolidation A subsidiary is an entity (including a structured entity) over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. Subsidiaries are consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases. (a) Business combinations The Group applies the acquisition method to account for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair values of the assets transferred, the liabilities incurred to a assumed from the former owners of the acquiree and the equity interests issued by the Group. The consideration transferred includes the fair value of any asset or liability resulting from a contingent consideration arrangement. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The Group recognises any non-controlling interest in the acquiree on an acquisition by acquisition basis. Non-controlling interests in the acquiree that are present ownership interests and entitle their holders to a proportionate share of the entity’s net assets in the event of liquidation are measured at either fair value or the present ownership interests’ proportionate share in the recognised amounts of the acquiree’s identifiable net assets. All other components of non-controlling interests are measured at their acquisition date fair value, unless another measurement basis is required by IFRS. Acquisition-related costs are expensed as incurred. If the business combination is achieved in stages, the acquisition date carrying value of the acquirer’s previously held equity interest in the acquiree is re-measured to fair value at the acquisition date; any gains or losses arising from such re-measurement are recognised in consolidated statement of comprehensive income. Any contingent consideration to be transferred by the Group is recognised at fair value at the acquisition date. Subsequent changes to the fair value of the contingent consideration that is deemed to be an asset or liability is recognised in accordance with IFRS 9 in consolidated statement of comprehensive income. Contingent consideration that is classified as equity is not remeasured, and its subsequent settlement is accounted for within equity. The excess of the consideration transferred, the amount of any non-controlling interest in the acquiree and the acquisition-date fair value of any previous equity interest in the acquiree over the fair value of the identifiable net assets acquired is recorded as goodwill. If the total of consideration transferred, non-controlling interest recognised and previously held interest measured is less than the fair value of the net assets of the subsidiary acquired in the case of a bargain purchase, the difference is recognised directly in the statement of comprehensive income. 2 Summary of significant accounting policies (Continued) 2.3 Subsidiaries (Continued) Consolidation (Continued) (a) Business combinations (Continued) Intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the transferred asset. When necessary, amounts reported by subsidiaries have been adjusted to conform with the Group’s accounting policies. (b) Changes in ownership interests in subsidiaries without change of control Transactions with non-controlling interests that do not result in a loss of control are accounted for as equity transactions - that is, as transactions with the owners of the subsidiary in their capacity as owners. The difference between fair value of any consideration paid and the relevant share acquired of the carrying amount of net assets of the subsidiary is recorded in equity. Gains or losses on disposals to non-controlling interests are also recorded in equity. (c) Disposal of subsidiaries When the Group ceases to have control, any retained interest in the entity is re-measured to its fair value at the date when control is lost, with the change in carrying amount recognised in consolidated statement of comprehensive income. The fair value is the initial carrying amount for the purposes of subsequently accounting for the retained interest as an associate, joint venture or financial asset. In addition, any amounts previously recognised in other comprehensive income in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. It means the amounts previously recognised in other comprehensive income are reclassified to the consolidated statement of comprehensive income or transferred to another category of equity as specified/permitted by applicable IFRSs. (d) Contractual arrangements with respect to equity interests in certain PRC subsidiaries Since the Industry Catalog for Guiding Foreign Investment (Revision 2015) became effective in April 2015, PRC law only allows foreign investment in PRC medical institutions through joint venture entities, and the foreign shareholding in these entities is limited to 70.0%. The Company historically held more than 70.0% equity interest in certain of its PRC subsidiaries that are medical institutions which the Company acquired or established after the effective date of the Industry Catalog for Guiding Foreign Investment (Revision 2015). The Company had decreased its shareholding to 70.0% in such PRC subsidiaries by transferring excessive equity interests to Dr. Zhou Pengwu and certain employees of the Group since 2018. As of December 31, 2022, Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd., Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd., Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd., Shanghai Pengai Aesthetic Medical Outpatient Department Co., Ltd., Shanghai Jiahong Aesthetic Medical Outpatient Department Co., Ltd., Yantai Pengai Cosmetic Surgery Hospital Co., Ltd., Beijing Aomei Yixin Investment Consultant Co., Ltd., and Beijing Aomei Yixin Investment Consultant Co., Ltd. Pengai Aesthetic Medical Clinic (collectively “Relevant Subsidiaries”) were held by Dr. Zhou Pengwu directly or indirectly as to 27%, 26%, 19%, 12%, 24%, 25% and 25% respectively. Changsha Pengai Aesthetic Medical Hospital Co., Ltd. and Nanchang Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd. were divested in October 2022 and Hangzhou Pengai Aesthetic Medical Outpatient Department was ceased operation in August 2022. Shenzhen Miaoyan Aesthetic Medical Clinic was divested in December 2022. These Contractual Arrangements enable the Company to (i) exercise control over the Target Equity Interests in the Relevant Subsidiaries; (ii) receive economic benefits from the Target Equity Interests in Relevant Subsidiaries; and (iii) have an exclusive option to purchase all or part of the Target Equity Interests when and to the extent permitted by PRC laws. 2 Summary of significant accounting policies (Continued) 2.3 Subsidiaries (Continued) Consolidation (Continued) (d) Contractual arrangements with respect to equity interests in certain PRC subsidiaries (Continued) As of December 31, 2022, several of the above-mentioned subsidiaries have been divested or ceased operation of, including Changsha Pengai Aesthetic Medical Hospital Co., Ltd., Nanchang Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd., Hangzhou Pengai Aesthetic Medical Outpatient Department and Shenzhen Miaoyan Aesthetic Medical Clinic. The principal terms of the Contractual Arrangements are described below: (i). Loan agreement Shenzhen Pengai Investment, as the lender, entered into certain loan agreements with Dr. Zhou Pengwu, as the borrower. Pursuant to each of these loan agreements, Shenzhen Pengai Investment agrees to extend a loan to Dr. Zhou Pengwu in an equivalent amount to the purchase price to be paid by Dr. Zhou Pengwu for acquiring the Target Equity Interests. Pursuant to each of these loan agreements, Dr. Zhou Pengwu shall repay the loan by transferring the current and future economic interest of the Target Equity Interests to Shenzhen Pengai Investment. (ii). Economic interest transfer agreement Dr. Zhou Pengwu, Shenzhen Pengai Investment and each of the Relevant Subsidiaries entered into certain economic interest transfer agreements. Pursuant to each of these economic interest transfer agreements, the economic interest in relation to the Target Equity Interests currently held and subsequently acquired by Dr. Zhou Pengwu, including but not limited to (i) incomes arising from the disposal of the Target Equity Interests (including derivative equity interest of the Target Equity Interests) under any circumstance; (ii) dividends and bonus obtained on the basis of the Target Equity Interests (including derivative equity interest of the Target Equity Interests) under any circumstance; (iii) residual assets and other economic profits allocated after the liquidation of the Relevant Subsidiaries, and (iv) any other cash income, property and economic benefit arising from the Target Equity Interests (including derivative equity interest of the Target Equity Interests), shall be transferred to Shenzhen Pengai Investment. Upon the execution of each economic interest transfer agreement, the repayment obligation of Dr. Zhou Pengwu under each loan agreement is deemed fully discharged. (iii). Exclusive option agreement Dr. Zhou Pengwu, Shenzhen Pengai Investment and each of the Relevant Subsidiaries entered into certain exclusive option agreements. Pursuant to these exclusive option agreements, Dr. Zhou Pengwu irrevocably granted Shenzhen Pengai Investment an exclusive right to purchase, or have its designated person(s) to purchase, at its discretion, all or part of his equity interest in the Relevant Subsidiaries, and the purchase price shall be the lowest price permitted by applicable PRC law. Each of Dr. Zhou Pengwu and the Relevant Subsidiaries undertakes that, among others, without the prior written consent of Shenzhen Pengai Investment, he or it shall or shall cause the Relevant Subsidiaries not to declare any dividends or distribute any residual profits, change or amend its articles of association, increase or decrease its registered capital, or change its structure of registered capital in other manners. In the event that Dr. Zhou Pengwu increases his capital injection into the Relevant Subsidiaries, Dr. Zhou Pengwu undertakes and confirms that any additional equity so acquired shall be subject to the purchase option. Unless terminated by Shenzhen Pengai Investment at its sole discretion, the exclusive option agreement will remain effective until all equity interest in the Relevant Subsidiaries held by Dr. Zhou Pengwu is transferred or assigned to Shenzhen Pengai Investment or its designated person(s). 2 Summary of significant accounting policies (Continued) 2.3 Subsidiaries (Continued) Consolidation (Continued) (d) Contractual arrangements with respect to equity interests in certain PRC subsidiaries (Continued) (iv). Power of attorney Pursuant to a relevant power of attorney executed by Dr. Zhou Pengwu, he has irrevocably authorized Shenzhen Pengai Investment or its designated person(s) to exercise all of such shareholder’s voting and other rights associated with the Target Equity Interests in each of the Relevant Subsidiaries, including but not limited to, the right to attend shareholder meetings, the right to vote, the right to sell, transfer, pledge or dispose of the Target Equity Interests and the right to appoint legal representatives, directors and other management. The proxy agreement remains effective as long as Dr. Zhou Pengwu remains a shareholder of the Relevant Subsidiaries, unless Shenzhen Pengai Investment has given contrary written instructions. (v). Equity interest pledge agreement Dr. Zhou Pengwu as pledgor, Shenzhen Pengai Investment as pledgee, and each of the Relevant Subsidiaries entered into certain equity interest pledge agreements. Pursuant to these equity interest pledge agreements, Dr. Zhou Pengwu has pledged all of the Target Equity Interests in Relevant Subsidiaries and agreed to pledge all future equity interest in the Relevant Subsidiaries acquired by him to Shenzhen Pengai Investment to guarantee the performance by Dr. Zhou Pengwu and the Relevant Subsidiaries of their respective obligations under the loan agreement, the economic interest transfer agreement, the exclusive option agreement and the power of attorney. If the Relevant Subsidiaries or Dr. Zhou Pengwu breach any obligations under these agreements, Shenzhen Pengai Investment, as pledgee, will be entitled to dispose of the pledged equity and have priority to be compensated by the proceeds from the disposal of the pledged equity. Dr. Zhou Pengwu shall not permit the existence of any security interest or other encumbrance on the pledged equity interest or any portion thereof, without the prior written consent of Shenzhen Pengai Investment and the Relevant Subsidiaries shall not assent to or assist in such actions. These equity interest pledge agreements will remain effective until Dr. Zhou Pengwu discharges all the obligations under the loan agreement, the economic interest transfer agreement, the exclusive option agreement and the power of attorney and the full payment of all direct, indirect and derivative losses and losses of anticipated profits, suffered by the pledgee, incurred as a result of any breach by Dr. Zhou Pengwu or the Relevant Subsidiaries under these agreements or invalidity, revocation and termination of any of these agreements. (vi). Spousal consent letter Pursuant to relevant spousal consent letters executed by Ms. Ding Wenting, she unconditionally and irrevocably agreed that the equity interest in each of the Relevant Subsidiaries held or to be held by Dr. Zhou Pengwu and registered or to be registered in his name will be disposed of pursuant to the loan agreement, the economic interest transfer agreement, the exclusive option agreement and the power of attorney. Ms. Ding Wenting agreed not to assert any rights over the equity interest in the Relevant Subsidiaries held or to be held by Dr. Zhou Pengwu. In addition, in the event that Ms. Ding Wenting obtains any equity interest in each of the Relevant Subsidiaries for any reason, she agreed to be bound by the Contractual Arrangements. (e) Risks in relation to the Contractual Arrangements In the opinion of the Company’s management, the Contractual Arrangements are in compliance with the current PRC laws and are legally binding and enforceable. However, uncertainties in the interpretation and enforcement of the PRC laws, regulations and policies could limit the Company’s ability to enforce these contractual arrangements. 2 Summary of significant accounting policies (Continued) 2.3 Subsidiaries (Continued) Consolidation (Continued) (e) Risks in relation to the Contractual Arrangements (Continued) In January 2015, the Ministry of Commerce (“MOFCOM”), released for public comment a proposed PRC law, the Draft Foreign Investment Enterprises (“FIE”) Law, that appears to include contractual arrangements within the scope of entities that could be considered to be FIEs, that would be subject to restrictions under existing PRC law on foreign investment in certain categories of industry. Specifically, the Draft FIE Law introduces the concept of “actual control” for determining whether an entity is considered to be an FIE. In addition to control through direct or indirect ownership or equity, the Draft FIE Law includes control through contractual arrangements within the definition of “actual control”. If the Draft FIE Law is passed by the People’s Congress of the PRC and goes into effect in its current form, these provisions regarding control through contractual arrangements could be construed to include the Company’s contractual arrangements, and as a result, the Relevant Subsidiaries could become explicitly subject to the current restrictions on foreign investment in certain categories of industry. The Draft FIE Law includes provisions that would exempt from the definition of FIEs where the ultimate controlling shareholders are either entities organized under PRC law or individuals who are PRC citizens. The Draft FIE Law is silent as to what type of enforcement action might be taken. If the restrictions and prohibitions on FIEs included in the Draft FIE Law are enacted and enforced in their current form, the Company’s ability to use the contractual arrangements and the Company’s ability to conduct business through the contractual arrangements could be severely limited. The Company’s ability to control the Target Equity Interests in the Relevant Subsidiaries also depends on the power of attorney exercised by Shenzhen Pengai Investment to vote on all matters requiring shareholders’ approvals in the Relevant Subsidiaries. As noted above, the Company believes these powers of attorney are legally binding and enforceable but may not be as effective as direct equity ownership. In addition, if the Company’s corporate structure or the contractual arrangements were found to be in violation of any existing PRC laws and regulations, the PRC regulatory authorities could, within their respective jurisdictions: ● revoke the Contractual Arrangements; ● impose fines, confiscating the income from the Relevant Subsidiaries, or imposing other requirements with which the Company may not be able to comply; ● discontinue or restrict the Company’s operations in the PRC; ● impose conditions or requirements with which the Company may not be able to comply; or ● take other regulatory or enforcement actions that could be harmful to the Company’s business. The imposition of any of these restrictions or actions may result in a material adverse effect on the Company’s ability to conduct its business. In addition, if the imposition of any of these restrictions causes the Company to lose the right to direct the activities of the Relevant Subsidiaries or the right to receive their economic benefits, the Company may no longer be able to consolidate the financial statements of the Relevant Subsidiaries. In the opinion of management, the likelihood of losing the benefits in respect of the Company’s current ownership structure or the contractual arrangements is remote. 2 Summary of significant accounting policies (Continued) 2.4 Associates An associate is an entity over which the Group has significant influence but not control, generally accompanying a shareholding of between 20% and 50% of the voting rights. Investments in associates are accounted for using the equity method of accounting. Under the equity method, the investment is initially recognised at cost, and the carrying amount is increased or decreased to recognise the Company’s share of the comprehensive income of the investee after the date of acquisition. The Group’s investments in associates include goodwill identified on acquisition. Upon the acquisition of the ownership interest in an associate, any difference between the cost of the associate and the Group’s share of the net fair value of the associate’s identifiable assets and liabilities is accounted for as goodwill. The Group’s share of post-acquisition profit or loss is recognised in the statement of comprehensive income, and its share of post-acquisition movements in other comprehensive income is recognised in other comprehensive income with a corresponding adjustment to the carrying amount of the investment. If the ownership interest in an associate is reduced but significant influence is retained, only a proportionate share of the amounts previously recognised in other comprehensive income is reclassified to profit or loss where appropriate. When the Group’s share of losses in an associate equals or exceeds its interest in the associate, including any other unsecured receivables, the Group does not recognise further losses, unless it has incurred legal or constructive obligations or made payments on behalf of the associate. The Group determines at each reporting date whether there is any objective evidence that the investment in the associate is impaired. If this is the case, the Group calculates the amount of impairment as the difference between the recoverable amount of the associate and its carrying value and recognises the amount adjacent to ‘share of profit of investments accounted for using equity method’ in the consolidated statement of comprehensive income. Profits and losses resulting from upstream and downstream transactions between the Group and its associate are recognised in the Group’s financial statements only to the extent of unrelated investor’s interests in the associates. Unrealised losses are eliminated unless the transaction provides evidence of an impairment of the asset transferred. Accounting policies of associates have been changed where necessary to ensure consistency with the policies adopted by the Group. Gain or losses on dilution of equity interest in associates are recognised in the consolidated statement of comprehensive income. 2.5 Segment reporting Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker, which is the Board of Directors. In the respective periods presented, the Company had one single operating and reportable segment, namely the provision of non- surgical aesthetic medical services, surgical aesthetic medical services, other aesthetic medical services and general healthcare services. As the Company’s long-lived assets are substantially all located in the PRC and substantially all of the Company’s revenue is derived from within the PRC, no geographical information is presented. 2.6 Foreign currency translation (a) Functional and presentation currency Items included in the consolidated financial statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (the “functional currency”). The consolidated financial statements are presented in RMB, which is the Company’s functional and the Group’s presentation currency. 2 Summary of significant accounting policies (Continued) 2.6 Foreign currency translation (Continued) (b) Transactions and balances Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions or valuation where items are re- measured. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in consolidated statement of comprehensive income. Exchange differences on Series A Preferred Shares, convertible note and exchangeable note liabilities were recorded in “fair value (loss)/gain of convertible redeemable preferred shares”, “fair value loss of convertible note” and “fair value (loss)/gain of exchangeable note liabilities”, respectively. (c) Group companies The results and financial position of all the Group entities (none of which has the currency of a hyper-inflationary economy) that have a functional currency different from the presentation currency are translated into the presentation currency as follows: (i) assets and liabilities for each balance sheet presented are translated at the closing rate at the reporting date; (ii) income and expenses for each statement of comprehensive income are translated at average exchange rates (unless this average is not a reasonable approximation of the cumulative effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the rate on the dates of the transactions); and (iii) all resulting exchange differences are recognised in other comprehensive income. Goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign entity and translated at the closing rate. Currency translation differences arising are recognised in other comprehensive income. 2.7 Property, plant and equipment Property, plant and equipment are stated at historical cost less depreciation. Historical cost includes expenditure that is directly attributable to the acquisition of the items. Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item can be measured reliably. The carrying amount of the replaced part is derecognised. All other repairs and maintenance are charged to the consolidated statement of comprehensive income during the financial period in which they are incurred. 2 Summary of significant accounting policies (Continued) 2.7 Property, plant and equipment (Continued) Depreciation of property, plant and equipment is calculated using the straight-line method to allocate cost of each asset to their residual values over their estimated useful lives, as follows: - Leasehold improvements Shorter of remaining lease term and the estimated useful lives of the assets - Right of use assets Shorter of the asset’s useful life and the lease term on a straight-line basis - Machinery and equipment 10 years - Office equipment, furniture, fixture and motor vehicles 5 - 10 years - Buildings 20 - 50 years The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period. An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its estimated recoverable amount. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised within “general and administrative expenses” in the consolidated statement of comprehensive income. Gains and losses on lease modification relating to the full termination of the leases are recognised within “general and administrative expenses” in the consolidated statement of comprehensive income. 2.8 Investment properties Properties that are held for long – term rental yields or for capital appreciation or both, and that are not occupied by the companies in the Group, are classified as investment properties in the consolidated financial statements. Investment properties are carried at fair value basis and its movement will be reviewed annually. If an owner-occupied property becomes an investment property because its use has changed, any difference resulting between the carrying amount and the fair value of this property at the date of transfer is recognised in equity as a revaluation of property, plant and equipment. However, if the fair value of the property at the date of transfer which results in a reversal of the previous impairment loss, the write-back is recognised in the consolidated income statement. Subsequent expenditure is included to the asset’s carrying amount only when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item can be measured reliably. All other repairs and maintenance costs are expensed in consolidated statement of comprehensive income during the financial periods in which they are incurred. 2.9 Intangible assets (a) Goodwill Goodwill arising on the acquisition of subsidiaries represents the excess of the consideration transferred, the amount of any non-controlling interest in the acquire and the acquisition- date fair value of any previous equity interest in the acquiree over the |
Financial risk management
Financial risk management | 12 Months Ended |
Dec. 31, 2022 | |
Financial risk management | |
Financial risk management | 3 Financial risk management 3.1 Financial risk factors The Group’s activities expose it to a variety of financial risks: market risk (including currency risk, fair value interest rate risk and cash flow interest rate risk), credit risk and liquidity risk. The Group’s overall risk management programme focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the Group’s financial performance. (a) Market risk (i) Foreign exchange risk The majority of Group companies operate in the PRC and the majority of the transactions are denominated in RMB which is the Company’s and other Group Company’s functional currency, except for the US$ denominated convertible note. With all other variables held constant, if the average exchange rate of RMB against US$ had strengthened or weakened by 5%, the Group’s post-tax results would increase or decrease by RMB4,000 (2021: RMB267,000). 3 Financial risk management (Continued) 3.1 Financial risk factors (Continued) (a) Market risk (Continued) (ii) Credit risk The Group has no significant concentrations of credit risk. The carrying amounts of cash at banks, trade receivables, deposits and other receivables and amounts due from related parties included in the consolidated balance sheets represent the Group’s maximum exposure to credit risk in relation to its financial assets. The majority of the Group’s cash at banks are deposited in major reputable financial institutions located in the PRC. Most of the Group’s revenue are settled by cash or credit cards. Trade receivables of the Group are mainly due from financial institutions with sound financial standing. There has been no history of default in relation to these external parties. Management does not expect any losses arising from non-performance by these counterparties. Based on the Group’s historical experiences in collection of trade receivables, other receivables and amounts due from related parties, the directors consider the Group’s credit risk of these receivables to be low. The Group considers that adequate provision for unrecoverable trade receivables, other receivables and amounts due from related parties has been made in the relevant accounting period after considering the Group’s experience in collection of trade receivables, other receivables and amounts due from related parties. Management does not expect any losses from non-performance by these counterparties. (iii) Cash flow and fair value interest-rate risk The Group’s income and operating cash flows are substantially independent of changes in market interest rates as the Group has no significant interest-bearing assets except for cash at banks. The Group’s exposures to changes in interest rates are mainly attributable to its borrowings and loans. Borrowings issued at variable rates expose the Group to cash flow interest rate risk which is partially offset by cash held at variable rates. At the reporting date, if interest rates on borrowings had been 10 basis points higher/ lower with all other variables held constant, the Group’s post-tax results for the year would have been RMB48,070 lower/higher in 2021, mainly as a result of higher/lower interest expense on floating rate borrowings. In 2022, the interest rate risk was effectively mitigated through a contractual agreement with banks that secured a fixed interest rate. (b) Liquidity risk The Group is exposed to liquidity risk due to the impact of COVID–19 and it had net current liabilities of RMB466,239,000 as at 31 December 2022. As detailed in Note 2.1, the directors of the Company concluded that the Group has sufficient financial resources to meet its financial obligations as and when they fall due in the coming twelve months after the issuance of these consolidated financial statements. Prudent liquidity management implies maintaining sufficient cash and cash equivalents and the availability of funding through an adequate amount of committed credit facilities. The Group’s primary cash requirements have been the payments for operating expenses and purchases of fixed assets. The Group mainly finances its working capital requirements through internal resources and proceeds from bank borrowings and issuance of ordinary shares. 3 Financial risk management (Continued) 3.1 Financial risk factors (Continued) (b) Liquidity risk (Continued) The Group’s policy is to regularly monitor current and expected liquidity requirements to ensure it maintains sufficient cash and cash equivalents and adequate amount of committed credit facilities to meet its liquidity requirements in the short and long term. At the reporting date, the contractual undiscounted cash flows of the Group’s current financial liabilities approximate their respective carrying amounts due to their short maturities. The table below analyses the Group’s non-derivative financial liabilities into relevant maturity groupings based on the remaining period at the reporting date to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows, including interest if applicable. a. Convertible note in 2020: The maximum exposure is 100% of the issue price, plus an amount accruing at a rate of 15% per annum (Note 27). Less than Between 1 and Between 2 and After 1 year 2 years 5 years 5 years Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 At 31 December 2021 Borrowings 160,646 77,948 — — 238,594 Convertible note — 38,059 — — 38,059 Lease liabilities 32,964 30,810 58,745 38,282 160,801 Trade payables 31,256 — — — 31,256 Accruals and other payables (excluding accrued employee benefits, other taxes, provision and deposits received) 43,396 — — — 43,396 Amounts due to related parties 473 — — — 473 268,735 146,817 58,745 38,282 512,579 At 31 December 2022 Borrowings 172,766 24,533 4,577 — 201,876 Convertible note 64,565 — — — 64,565 Lease liabilities 34,444 33,832 51,865 30,902 151,043 Trade payables 46,752 — — — 46,752 Accruals and other payables (excluding accrued employee benefits, other taxes, provision and deposits received) 17,001 — — — 17,001 335,528 58,365 56,442 30,902 481,237 3 Financial risk management (Continued) 3.2 Capital risk management The Group’s objectives when managing capital are to safeguard the Group’s ability to continue as a going concern in order to provide returns for shareholders and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital. In order to maintain or adjust the capital structure, the Group may adjust the dividend payments to shareholders, return capital to shareholders, issue new shares or obtain bank borrowings. Consistent with others in the industry, the Group monitors capital on the basis of the gearing ratio. This ratio is calculated as net debt divided by total capital. Net debt is calculated as total borrowings (include current and non-current bank borrowings, convertible note as shown in the consolidated balance sheets) less cash and cash equivalents and restricted bank deposit. Total capital is calculated as “equity”, as shown in the consolidated balance sheets, plus net debt. The gearing ratios at 31 December 2021 and 2022 were as follows: 2021 2022 RMB’000 RMB’000 Total borrowings 233,815 201,876 Add: Convertible note (Note 27) 38,059 64,565 Less: Cash and cash equivalents (Note 19) (39,289) (12,161) Restricted cash (Note 19) — (1,547) Net debt 232,585 252,733 Total equity (186,422) (125,880) Total capital 46,163 126,853 Gearing ratio 503.83 % 199.23 % 3.3 Fair value estimation The table below analyses financial instruments carried at fair value as at 31 December 2021 and 2022 by level of the inputs to valuation techniques used to measure fair value. Such inputs are categorised into three levels with a fair value hierarchy as follows: ● Quoted prices (unadjusted) in active markets for identical assets or liabilities (level 1). ● Inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices) (level 2). ● Inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs) (level 3). 3 Financial risk management (Continued) 3.3 Fair value estimation (Continued) The following table presents the Group’s financial assets and liabilities that are measured at fair value as at 31 December 2022. Level 1 Level 2 Level 3 Total RMB’000 RMB’000 RMB’000 RMB’000 As at 31 December 2022 Assets Investment properties (Note 14) — — 23,065 23,065 — — 23,065 23,065 Liabilities Financial liabilities at fair value through profit or loss - Convertible note (Note 27) — — 64,565 64,565 — — 64,565 64,565 The fair value of financial instruments that are not traded in an active market (for example, over- the-counter derivatives) is determined by using valuation techniques. These valuation techniques maximise the use of observable market data where it is available and rely as little as possible on entity specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2. If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. Specific valuation techniques used to value financial instruments include: ● Quoted market prices or dealer quotes for similar instruments. ● Other techniques, such as discounted cash flow analysis including dividend growth model, are used to determine fair value for the remaining financial instruments. There were no significant transfers of financial assets between level 1, level 2 and level 3 fair value hierarchy classifications. The following table presents the changes in level 3 liability instrument for the year ended 31 December 2021: Convertible note (Note 27) Total RMB’000 RMB’000 Opening balance 34,190 34,190 Unrealised exchange difference (371) (371) Change in fair value 4,240 4,240 Closing balance 38,059 38,059 3 Financial risk management (Continued) 3.3 Fair value estimation (Continued) The following table presents the changes in level 3 liability instrument for the year ended 31 December 2022: Convertible note (Note 27) Total RMB’000 RMB’000 Opening balance 38,059 38,059 Change in fair value 26,506 26,506 Closing balance 64,565 64,565 |
Critical accounting estimates a
Critical accounting estimates and judgments | 12 Months Ended |
Dec. 31, 2022 | |
Critical accounting estimates and judgments | |
Critical accounting estimates and judgments | 4 Critical accounting estimates and judgments Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below. (a) Goodwill and propety, plant and equipment impairment assessment The Group tests annually whether goodwill and propery, plant and equipment have suffered any impairment, in accordance with the accounting policy stated in Note 2.9(a). The recoverable amounts of cash-generating units have been determined based on value-in-use calculations. These calculations require the use of estimates. The value-in-use calculations primarily use cash flow projections based on financial budgets approved by the Board of Directors. There is a number of assumptions and estimates involved in the preparation of cash flow projections for the periods covered by the approved budgets. Key assumptions include the expected growth rates, timing of future capital expenditures and selection of discount rates to reflect the risks involved. Management prepares the financial budgets reflecting actual and prior year performance and market development expectations. (b) Purchase price allocation The application of business combination accounting requires the use of significant estimates and assumptions. The purchase method of accounting for business combinations requires the Group to estimate the fair value of assets acquired and liabilities assumed to properly allocate purchase price consideration between assets that are depreciated and amortised from goodwill. This exercise requires the use of management’s assumptions, which would not reflect unanticipated events and circumstances that may occur. (c) Fair values of convertible notes The convertible notes is not traded in an active market and the respective fair values are determined by using valuation techniques. The directors have used the market comparable approach to determine the underlying equity value of the Company and adopted equity allocation model to determine the fair values of the convertible notes. 4 Critical accounting estimates and judgments (Continued) (d) Estimated useful lives of property, plant and equipment and intangible assets The Group’s management determines the estimated useful lives and related depreciation and the amortisation charges for the Group’s property, plant and equipment and intangible assets with reference to the estimated periods that the Group intends to derive future economic benefits from the use of these assets. Management performs periodic review of the estimated useful lives of property, plant and equipment and intangible assets, and will revise the depreciation and amortisation charges where estimated useful lives are different than those previously estimated. (e) Deferred tax assets Deferred tax assets are recognised for unused tax losses to the extent that it is probable that taxable profit will be available against which the losses can be utilized. Significant management judgement is required to determine the amount of deferred tax assets that can be recognised, based upon the likely timing and the level of future taxable profits, together with future tax planning strategies. The Group has RMB343,995,000 (2021: RMB240,008,000) of tax losses carried forward. These losses relate to subsidiaries that have a history of losses, do not expire, and may not be used to offset taxable income elsewhere in the Group. The Group has considered the future utilization of accumulated tax losses by performing cash flow forecasts. On this basis, the Group has determined that deferred tax assets of RMB61,163,000 (2021: RMB45,765,000) was recognised for the tax losses carried forward. |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2022 | |
Revenue | |
Revenue | 5 Revenue 2020 2021 2022 RMB’000 RMB’000 RMB’000 Non-surgical aesthetic medical services 452,670 334,248 482,285 Surgical aesthetic medical services 401,645 243,070 132,628 General healthcare services and other aesthetic medical services 47,258 68,275 55,178 901,573 645,593 670,091 |
Expenses by nature
Expenses by nature | 12 Months Ended |
Dec. 31, 2022 | |
Expenses by nature | |
Expenses by nature | 6 Expenses by nature 2020 2021 2022 RMB’000 RMB’000 RMB’000 Employee benefit expenses (Note 7) 322,563 309,250 234,142 Advertising and marketing expenses 380,794 255,534 132,202 Cost of inventories and consumables 163,881 174,991 160,152 Operating lease rental expenses 4,860 15,836 12,822 Amortisation and depreciation 106,405 99,135 61,485 Utilities and office expenses 52,666 76,579 39,085 Travelling and entertainment expenses 17,136 12,818 7,009 Bank charges 4,350 3,213 4,035 Loss on disposal of property, plant and equipment 915 — 20,465 Legal and professional fees 19,273 30,570 14,743 Other expenses 25,207 9,820 5,218 1,098,050 987,746 691,358 |
Employee benefit expenses
Employee benefit expenses | 12 Months Ended |
Dec. 31, 2022 | |
Employee benefit expenses | |
Employee benefit expenses | 7 Employee benefit expenses 2020 2021 2022 RMB’000 RMB’000 RMB’000 Wages and salaries 225,085 250,773 183,193 Share-based compensation expenses 78,967 35,463 27,528 Pension costs - defined contribution plans 5,841 16,942 15,651 Other staff welfare expenses 12,670 6,072 7,770 322,563 309,250 234,142 |
Finance income and costs
Finance income and costs | 12 Months Ended |
Dec. 31, 2022 | |
Finance income and costs | |
Finance income and costs | 8 Finance income and costs 2020 2021 2022 RMB’000 RMB’000 RMB’000 Finance costs Interest expense on bank borrowings (8,897) (7,844) (579) Interest expense on other borrowings (3,599) (6,542) (12,375) Interest expense on lease liabilities (16,693) (12,844) (8,681) (29,189) (27,230) (21,635) Finance income Interest income on short-term bank deposits 1,185 113 155 Finance costs – net (28,004) (27,117) (21,480) |
Other gains (losses) net
Other gains (losses) net | 12 Months Ended |
Dec. 31, 2022 | |
Other gains (losses) net | |
Other gains (losses) net | 9 Other gains (losses) net The Company recognised other losses, net of RMB24.9 million in 2022 and other gains, net of RMB6.1 million in 2021. The other losses in 2022 mainly due to loss on disposal of subsidiaries of RMB11.3million and compensation loss to suppliers of RMB9.8million. |
Income tax expense
Income tax expense | 12 Months Ended |
Dec. 31, 2022 | |
Income tax expense | |
Income tax expense | 10 Income tax expense PRC corporate income tax have been provided for subsidiaries established and operating in Mainland China at the rate of 25% (2020 and 2021: 25%) on the estimated assessable profit for the year. 2020 2021 2022 RMB’000 RMB’000 RMB’000 Current tax PRC enterprise income tax 486 8,208 3,308 Deferred tax Origination and reversal of temporary differences (Note 23) (13,073) (20,006) (21,375) Income tax credit (12,587) (11,798) (18,067) The taxation on the Group’s loss before income tax differs from the theoretical amount that would arise using the taxation rate of PRC, the principal place of the Group’s operations, as follows: 2020 2021 2022 RMB’000 RMB’000 RMB’000 Loss before income tax (259,492) (681,314) (94,173) Calculated at a taxation rate of 25% (64,873) (170,329) (23,543) Expenses not tax deductible 42,824 42,450 7,223 Income not subject to tax (1,165) — — Utilisation of previously unrecognised tax losses (428) — — Recognition of previously unrecognised temporary difference (520) — — Tax losses not recognized 13,034 117,454 5,531 Difference in overseas tax rates 351 (304) (400) Over‑provision in respect of prior years (1,810) (1,069) (6,878) Income tax expense/(credit) (12,587) (11,798) (18,067) 10 Income tax expense (Continued) (a) Cayman Islands Income Tax The Company is incorporated in the Cayman Islands as an exempted company with limited liability under the Companies Law of Cayman Islands and accordingly, is exempted from Cayman Islands income tax. (b) Hong Kong Profits Tax Hong Kong profits tax rate has been provided at the rate of 16.5% on the estimated assessable profit for each of the years ended 31 December 2020,2021 and 2022. (c) PRC Enterprise Income Tax (“EIT”) The income tax provision of the Group in respect of operations in the PRC has been calculated at the tax rate of 25% on the estimated assessable profits for each of the years, based on the existing legislation, interpretations and practices in respect thereof. (d) Singapore Corporation income tax The income tax provision of the Group in respect of operations in the Singapore has been calculated at the tax rate of 17% on the estimated assessable profits for each of the year, based on the existing legislation, interpretations and practices in respect thereof. |
Loss per share
Loss per share | 12 Months Ended |
Dec. 31, 2022 | |
Loss per share | |
Loss per share | 11 Loss per share (a) Basic loss per share Basic earnings per share (“EPS”) is calculated by dividing the loss attributable to owners of the Company by the weighted average number of ordinary shares in issue during the year. (b) Diluted loss per share Diluted loss per share is calculated by adjusting the weighted average number of ordinary shares outstanding to assume conversion of all dilutive potential ordinary shares. For the year ended 31 December 2020, 2021 and 2022, the Company has two categories of dilutive securities: Convertible note and share option. These dilutive securities are assumed to have been converted into ordinary shares, and the net losses for the year is adjusted to eliminate the fair value gain or loss of these dilutive potential ordinary shares less related income tax effect. 11 Loss per share (Continued) (b) Diluted Loss per share (Continued) The following table sets forth the computation of basic and diluted Loss per share: 2020 2021 2022 RMB’000 RMB’000 RMB’000 (Note ii) (Note ii) (Note ii) Numerator: Loss attributable to owners of the Company – basic (235,479) (586,619) (76,247) Loss attributable to owners of the Company – diluted (235,479) (586,619) (76,247) Shares (denominator): Weighted average number of shares – basic 65,297,485 65,960,235 81,911,577 Weighted average number of shares – diluted 65,297,485 65,960,235 81,911,577 Loss per share – basic (RMB) (3.61) (8.89) (0.93) Loss per share – diluted (RMB) (3.61) (8.89) (0.93) Note i As the Group incurred losses for the years ended 31 December 2021 and 2022, share option and the conversion of convertible note would be anti-dilutive and therefore, related changes in fair value is not included in the computation of diluted loss per share. Diluted loss per share and basic loss per share are the same for the year ended 31 December 2021 and 2022. |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property, plant and equipment | |
Property, plant and equipment | 12 Property, plant and equipment Office equipment, Machinery furniture fixtures Leasehold and and motor Right of use Buildings improvements equipment vehicles assets Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 At 31 December 2021 Opening net book amount 60,635 195,601 65,622 14,388 195,695 531,941 Additions — 34,734 40,617 3,377 3,321 82,049 Impairment loss (Note 15) — (76,375) (14,352) (4,453) (44,638) (139,818) Disposal — (3,675) (8,539) (4,271) (3,612) (20,097) Business combination (Note 29) — 527 557 — 2,159 3,243 Disposal of subsidiaries (Note 30) — (975) (1,635) (605) (524) (3,739) Depreciation charges (3,399) (39,933) (14,871) (3,009) (31,953) (93,165) Translation adjustments — (68) (1,179) (418) — (1,665) Closing net book amount 57,236 109,836 66,220 5,009 120,448 358,749 Year ended 31 December 2021 At 31 December 2021 Cost 64,739 302,000 132,655 27,756 208,559 735,709 Accumulated depreciation and impairment (7,503) (192,164) (66,435) (22,747) (88,111) (376,960) Net book amount 57,236 109,836 66,220 5,009 120,448 358,749 At 31 December 2022 Opening net book amount 57,236 109,836 66,220 5,009 120,448 358,749 Additions 105 20,861 11,509 2,999 70,177 105,651 Disposal — — (930) (1,211) (22,381) (24,522) Disposal of subsidiaries (Note 30) — (23,469) (2,900) (340) (14,161) (40,870) Depreciation charges (3,305) (13,845) (12,364) (1,421) (30,156) (61,091) Transfer to Investment Properties (17,101) — — — — (17,101) Closing net book amount 36,935 93,383 61,535 5,036 123,927 320,816 Year ended 31 December 2022 At 31 December 2022 Cost 37,021 289,207 131,668 25,663 214,787 698,346 Accumulated depreciation and impairment (86) (195,824) (70,133) (20,627) (90,860) (377,530) Net book amount 36,935 93,383 61,535 5,036 123,927 320,816 As at 31 December 2021 and 2022, property, plant and equipment with net book value amounting to approximately RMB57,238,000 and RMB48,285,000 respectively, were pledged as security for the bank and other borrowings. |
Lease
Lease | 12 Months Ended |
Dec. 31, 2022 | |
Lease | |
Lease | 13 Lease (a) Amounts recognised in the consolidated balance sheets: Right-of-use assets are classified as property, plant and equipment (Note 12). As at As at As at 31 December 31 December 31 December 2020 2021 2022 RMB RMB RMB Lease liabilities Current 35,868 28,278 27,352 Non-current 178,983 105,754 99,304 214,851 134,032 126,656 (b) Amounts recognised in the consolidated statements of comprehensive income: 2020 2021 2022 RMB RMB RMB Interest expense (included in finance costs) (Note 8) 16,693 12,844 8,681 Expense relating to short-term leases (included in cost of goods sold and administrative expenses) 4,860 15,836 12,822 The total cash outflow for leases in 2022 was approximately RMB31,263,000 (2021: RMB50,575,000). |
Investment properties
Investment properties | 12 Months Ended |
Dec. 31, 2022 | |
Investment properties | |
Investment properties | 14 Investment properties 2021 2022 RMB’000 RMB’000 Fair value At 1 January — — Transfer from property, plant and equipment — 23,065 At 31 December — 23,065 Investment properties represents buildings held in the PRC. Investment properties with fair value amounting to RMB23,065,000 as of December 31, 2022 were pledged as security for the bank loans at the reporting date. Amounts recognised in the consolidated income statements for investment properties: 2020 2021 2022 RMB’000 RMB’000 RMB’000 Rental income 851 — — As at 31 December 2022, the fair values of the investment property are based on valuation performed by Dacheng Assessment, an accredited independent valuer. Dacheng Assessment is a specialist in valuing these types of investment properties in China. A valuation model in accordance with that recommended by the International Valuation Standards Committee has been applied. |
Intangible assets
Intangible assets | 12 Months Ended |
Dec. 31, 2022 | |
Intangible assets | |
Intangible assets | 15 Intangible assets Computer Medical Goodwill software licenses Tradenames Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Year ended 31 December 2021 Opening net book amount 141,312 7,692 — 59,425 208,429 Additions — 251 — — 251 Disposal — (1,350) — — (1,350) Business combination (Note 29) 14,697 19 — 2,400 17,116 Disposal of subsidiaries (Note 30) (735) (146) — (10,623) (11,504) Amortisation — (1,797) — (4,173) (5,970) Impairment loss (Note) (122,099) (3,956) — (43,679) (169,734) Closing net book amount 33,175 713 — 3,350 37,238 At 31 December 2021 Cost 54,389 12,010 9,585 4,637 80,621 Impairment (21,214) (3,954) — (719) (25,887) Accumulated amortisation — (7,343) (9,585) (568) (17,496) Net book amount 33,175 713 — 3,350 37,238 Year ended 31 December 2022 Opening net book amount 33,175 713 — 3,350 37,238 Additions — 606 — — 606 Disposal — (3) — — (3) Business combination (Note 29) 779 — — — 779 Disposal of subsidiaries (Note 30) (955) — — — (955) Amortisation — (395) — — (395) Closing net book amount 32,999 921 — 3,350 37,270 At 31 December 2022 Cost 54,213 12,813 9,585 5,039 81,650 Impairment (21,214) (3,954) — (719) (25,887) Accumulated amortisation — (7,938) (9,585) (970) (18,493) Net book amount 32,999 921 — 3,350 37,270 Note: Goodwill of RMB14,697,000 and RM779,000 arose from acquisitions of subsidiaries in 2021 and 2022 respectively. The subsidiaries are principally engaged in the provision of non-surgical aesthetic treatments and surgical aesthetic treatments in the PRC. 15 Intangible assets (Continued) During the year ended 31 December 2021, the Company decided to strategically focus on treatment centres in East China, South China and Southwest China and devote much less resources to treatment centres in other regions of China. As a result, the Company recognized impairment of goodwill of RMB122,099,000 (2020: RMB18,809,000), tradenames of RMB43,679,000 (2020: RMB8,124,000), computer software of RMB3,956,000 (2020: nil), property, plant and equipment of RMB139,818,000 (2020: RMB6,036,000) and associate of RMB4,407,000 (2020: nil) of certain treatment centres in other regions of China. During the year ended 31 December 2022, the Company has not recognized any impairment to property, plant and equipment and intangible assets. Management reviews the business performance of each operating entity (also regarded as a CGU). Goodwill is allocated to relevant operating entities. The recoverable amount of a CGU is determined based on a value-in-use calculation. It is calculated using pre-tax discounted cash flow projections based on financial budgets approved by management covering a five-year period. Cash flow beyond the five-year period is extrapolated using the estimated growth rates as stated below. 2021 2022 Annual compound revenue growth rate 6.0% ~ 10.0% 6.0% ~ 10.0% Annual gross profit ratio 57.7% ~ 75.0% 53.8% ~ 65% Discount rate 16% 5.7% Management considers that because of their experience and expertise knowledge in the aesthetic medical treatment business in the PRC, a cash flow period of five years Management determined budgeted gross margin based on past performance and its expectations of the market development. The average annual revenue growth rate used is consistent with the forecasts of the market from a industry study. The discount rate used is pre-tax and reflects specific risks relating to the entity. The cash flows beyond the five year |
Investments accounted for using
Investments accounted for using the equity method | 12 Months Ended |
Dec. 31, 2022 | |
Investments accounted for using the equity method | |
Investments accounted for using the equity method | 16 Investments accounted for using the equity method 2021 2022 RMB’000 RMB’000 At 1 January 8,330 4,904 Acquisition 900 860 Disposal — (600) Impairment (4,407) — Share of loss 81 — Transfer to assets held-for-sale — (4,004) At 31 December 4,904 1,160 Set out below are the associates of the Group as at 31 December 2021 and 2022 which, in the opinion of the directors, are material to the Group. The associates as listed below have share capital consisting solely of ordinary shares, which are held directly by the Group. The places of establishment are also their principal places of business. 16 Investments accounted for using the equity method (Continued) Nature of investments in associates as at 31 December 2021 and 2022: Place of % of ownership Nature of the Measurement Name of entity establishment 2021 2022 relationship method Moyan (Shenzhen) Network Technology Co., Ltd. The PRC 46 % 46 % Note 1 Equity (美約(深圳)網路技術有限公司) Mendis Aesthetic PTE. Ltd. Singapore 44.4 % — % Note 2 Equity Jinan Pengai Meikang Aesthetic Medical Clinic Co., Ltd. (濟南鵬愛美康醫療美容診所有限公司) The PRC 30 % — % Note 3 Equity Shenzhen Huayanyuese Health Management Consulting Co., Ltd. (深圳市花顔悅色健康管理咨詢有限公司) The PRC 30 % 30 % Note 4 Equity Shenzhen Pengai Lizhi Aesthetic Medical Clinic (深圳鹏爱荔枝医疗美容诊所) The PRC — % 43 % Note 5 Equity Note 1: Moyan (Shenzhen) Network Technology Co., Ltd. (“Moyan”) is engaged in internet marketing services. Note 2: Mendis Aesthetic PTE. Ltd. (“Mendis”) is engaged in the provision of aesthetic medical services. The Company transformed the investment to assets held-for-sale during the year (Note 20). Note 3: Jinan Pengai Meikang Aesthetic Medical Clinic Co., Ltd. (“Jinan Meikang”) is engaged in the provision of aesthetic medical services. The Company’s subsidiary Shenzhen Pengai Hospital Investment Management Co. Ltd. signed a share purchase agreement with Shandong Aiyue Yimei Medical Technology Co., Ltd. (“Aiyue”), where Aiyue purchased 30% shares in Jinan Meikang on 27 September 2022 by receiving cash and equivalent medical consumables of an aggregate amount of RMB495,513 from the Company. Note 4: Shenzhen Huayanyuese Health Management Consulting Co., Ltd. is engaged in investment holding and provision of management services. Note 5: Shenzhen Pengai Lizhi Aesthetic Medical Clinic (“Lizhi”) is engaged in the provision of aesthetic medical services. The Company’s subsidiary Shenzhen Miaoyan Medical Technology Investment Co., Ltd. ("Miaoyan Technology”) signed an investment cooperation agreement with Shenzhen Zimu Culture Investment Development Co., Ltd., where Miaoyan Technology subscribed 60% shares in Lizhi on 31 December 2021 for a consideration of RMB2 million, after which Miaoyan Technology signed a share purchase agreement with Zihan Chen, where Zihan Chen purchased 17% shares in Lizhi for a consideration of RMB2 million. On January 10, 2023, the Company entered into a share purchase agreement with a non-affiliated third party, under which it transferred 100% shares in Miaoyan Technology to this third party for a consideration of RMB1.9 million. As of the date of this annual report, the transaction has not been closed. Moyan, Mendis, Jinan Pengai Meikang Aesthetic Medical Clinic Co., Ltd., Summarised financial information for associates Set out below are the summarised financial information for investments accounted for using the equity method: 16 Investments accounted for using the equity method (Continued) Summarised balance sheet 2021 2022 RMB’000 RMB’000 Current Cash and cash equivalents 1,108 33 Other current assets (excluding cash and cash equivalents) 295 4,611 Total current assets 1,403 4,644 Financial liabilities (excluding trade payables) (14) — Other current liabilities (including trade payables) (425) (2,654) Total current liabilities (439) (2,654) Total non-current assets 3,050 300 Net assets 4,014 2,290 Summarised statement of comprehensive income 2021 2022 RMB’000 RMB’000 Revenue 1,951 — Depreciation and amortisation (69) — Interest expense (22) — Loss before income tax 354 — Income tax expense — — Loss for the year 354 — The information above reflects the amounts presented in the financial statements of the associates (and not the Group’s share of those amounts) adjusted for differences in accounting policies between the Group and the associates. |
Trade and other receivables, de
Trade and other receivables, deposits and prepayments | 12 Months Ended |
Dec. 31, 2022 | |
Trade and other receivables, deposits and prepayments | |
Trade and other receivables, deposits and prepayments | 17 Trade and other receivables, deposits and prepayments 2021 2022 RMB’000 RMB’000 Trade receivables 7,772 6,193 Other receivables 1,550 1,460 Deposits 15,204 17,976 Prepayments 31,471 31,030 Advances to employees 41 720 48,266 51,186 Less: Non-current portion Prepayments and deposits (16,574) (25,299) Current portion 31,692 25,887 The carrying amounts of trade and other receivables, deposits and prepayments are denominated in RMB and approximate their fair values. Trade receivables are all aged within 30 days and are neither past due or impaired. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2022 | |
Inventories | |
Inventories | 18 Inventories 2021 2022 RMB’000 RMB’000 Pharmaceuticals 914 1,304 Medical consumables 29,652 26,549 30,566 27,853 The cost of inventories recognised as expense and included in cost of inventories and consumables amounted to RMB160,152,000 (2021: RMB174,991,000). |
Restricted cash and cash and ba
Restricted cash and cash and bank balances | 12 Months Ended |
Dec. 31, 2022 | |
Restricted cash and cash and bank balances | |
Restricted cash and cash and bank balances | 19 Restricted cash and cash and bank balances 2021 2022 RMB’000 RMB’000 Restricted cash — 1,547 2021 2022 RMB’000 RMB’000 Cash and cash equivalents Cash at banks 35,685 12,138 Time deposit 3,000 — Cash on hand 604 23 Total 39,289 12,161 The analysis of bank and cash balances for the purpose of the consolidated statement of cash flows is as follows: 2021 2022 RMB’000 RMB’000 Cash and cash equivalents 39,289 12,161 The carrying amounts of the Group’s restricted bank deposit and cash and cash equivalents are denominated in the following currencies: 2021 2022 RMB’000 RMB’000 RMB 31,021 10,857 US dollars 7,125 96 Hong Kong dollars 6 5 Singapore dollars 1,137 2,750 39,289 13,708 Cash at banks earns interest at floating rates based on daily bank deposit rates. The Group’s balances of cash at bank which are denominated in RMB are deposited with banks in the PRC. The conversion of these RMB-denominated balances into foreign currencies and the remittance of funds out of the Mainland China are subject to the rules and regulations of foreign exchange control promulgated by the Government of the PRC. |
Assets held-for-sale
Assets held-for-sale | 12 Months Ended |
Dec. 31, 2022 | |
Assets held-for-sale | |
Assets held-for-sale | 20 Assets held-for-sale The discontinued operation includes an investment in an associate of Mendis Aesthetic PTE. Ltd. (“Mendis”) with a carrying amount of RMB4,004,000. In March 2022, the Group entered into a sales and purchase agreement to sell 44.4% of equity interest of Mendis. The sale of shares is completed in two equal tranches. The first tranche to sell 22.2% of equity interest was completed in March 2022. The second tranche is not completed up to the date of this report. The investment was reclassified as assets held-for-sale in March 2022. As at the date of reclassification, the carrying amount equals the fair value of the instrument, which is the consideration of the sales of shares. The Company recorded a loss on fair value of RMB2,920,000 in other gain/(loss), net for the year ended 31 December 2022. |
Share capital
Share capital | 12 Months Ended |
Dec. 31, 2022 | |
Share capital | |
Share capital | 21a Share capital Ordinary shares of USD 0.001 each Number of Nominal Nominal shares value value USD’000 RMB’000 Authorised: As at 1 January 2020, 31 December 2020, 1 January 2021, 31 December 2021, 1 January 2022 and 31 December 2022 1,500,000,000 1,500 10,599 Issued and paid: As at 1 January 2020, 31 December 2020, 1 January 2021, 31 December 2021, 1 January 2022 and 31 December 2022 70,838,671 72 469 Issuance of shares to Hawyu (HK) Limited (Note i) 21,413,276 21 144 Issuance of shares under Performance Incentive Plan (Note ii) 1,927,793 2 13 As at 31 December 2022 94,179,740 95 626 Note i: In May 2021, we entered into definite share subscription agreement for the issuance of 5,329,410 ordinary shares to Lafang China Co., Ltd. (“Lafang”), a daily consumer products producer in China, at a sale price of US$8.50 for every three ordinary shares (equivalent to US$8.50 per American Depositary Share of the Company), which amounted to US$15.1 million in proceeds. In May 2022, we entered into an amendment to the above share subscription agreement with Lafang. Pursuant to this amendment, we issued 21,413,276 ordinary shares to Hawyu (HK) Limited, a wholly-owned subsidiary of Lafang, at a sale price of RMB4.67 per ordinary share (equivalent to approximately US$2.1 per American Depositary Share based on the exchange rate as of 31 May 2022), which amounted to RMB100 million (US$15 million) in proceeds. The private placement was closed in July 2022. We utilized the money from this private placement to fund our business development and working capital. Note ii: On 29 July 2022, the Company issued 1,927,793 new ordinary shares to certain employees, representing an aggregate 2.0% of the total number of outstanding ordinary shares, at nil consideration in accordance with the 2019 Performance Incentive Plan proposed in September 2019. The purpose of this share option plan is to recognize contributions made by key employees on the negotiation and execution of the financing with Lafang China Co., Ltd. and Jiechuang, as well as to provide an incentive to retain a long-term relationship with the Company under the alignment of interests . 21b Treasury Shares Number of shares RMB’000 As at 1 January 2020, 31 December 2020, 1 January 2021, 31 December 2021, 1 January 2022 and 31 December 2022 135,002 2,023 21 Share capital (Continued) Note i: On 13 October 2020, the Company announced that its board of directors had approved a share repurchase program, under which the Company was authorized to repurchase in the open market up to US$6.0 million worth of its American depositary shares (“ADSs”) from time to time until 12 October 2021, depending on general market conditions, trading price and other factors, as well as subject to the applicable laws and the Company’s securities trading policy. During the applicable period, 135,000 ordinary shares were repurchased as treasury shares with a total consideration of approximately RMB2 million. |
Other reserves
Other reserves | 12 Months Ended |
Dec. 31, 2022 | |
Other reserves. | |
Other reserves | 22 Other reserves Share ‑ based Capital Merger Statutory compensation Other reserve reserve reserve reserve reserve Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Note (a) Note (b) Note (c) Note (d) Note (e) At 1 January 2020 707,510 (10,000) 42,583 115,748 (66,556) 789,285 Translation of foreign operations — — — — (731) (731) Transfer to statutory reserve — — 194 — — 194 Further acquisition of interests in a subsidiary (Note 31) — — — — 92 92 Partial disposal of interests in a subsidiary without loss of control (Note 31) — — — — 2,548 2,548 Share-based payment reserve — — — 78,967 — 78,967 Share re-purchase — — — — — — At 31 December 2020 707,510 (10,000) 42,777 194,715 (64,647) 870,355 At 31 December 2020 and 1 January 2021 707,510 (10,000) 42,777 194,715 (64,647) 870,355 Translation of foreign operations — — — — 574 574 Further acquisition of interests in a subsidiary (Note 31) 380 — — — (935) (555) Partial disposal of interests in a subsidiary without loss of control (Note 31) — — — — 3,575 3,575 Share-based payment reserve — — — 35,462 — 35,462 At 31 December 2021 707,890 (10,000) 42,777 230,177 (61,433) 909,411 At 31 December 2021 and 1 January 2022 707,890 (10,000) 42,777 230,177 (61,433) 909,411 Translation of foreign operations — — — — (665) (665) Revaluation of investment properties upon transfer from property, plant and equipment — — — — 5,964 5,964 Deregister of subsidiary 17 — — — — 17 Partial disposal of interests in a subsidiary without loss of control (Note 31) — — — — (2,613) (2,613) Issuance of shares 94,153 — — — (144) 94,009 Transaction costs related to issuance of shares (5,128) — — — — (5,128) Share-based payment reserve — — — 27,515 — 27,515 At 31 December 2022 796,932 (10,000) 42,777 257,692 (58,891) 1,028,510 Notes (a) Capital reserve The capital reserve mainly represents capital contribution made by an owner and shareholders of the Company. 22 Other reserves (Continued) (b) Merger reserve Merger reserve is mainly attributable to business combinations under common control. (c) Statutory reserve In accordance with the PRC regulations and the articles of association of the companies now comprising the Group, before distributing the net profit of each year, companies registered in the PRC are required to set aside 10% of their statutory net profit for the year after offsetting any prior year’s losses as determined under relevant PRC accounting standards to the statutory surplus reserve fund. When the balance of such reserve reaches 50% of each company’s share capital, any further appropriation is optional. (d) Share-based compensation reserve As at 1 January 2018, share-based compensation reserve amounting to RMB67,960,000 was attributable to share options which were granted to certain consultants and employees of the Group in previous years and fully lapsed in 2015. On 1 June 2019, the Group adopted a share-based compensation plan. For the year ended 31 December 2022, share-based compensation expenses amounting to RMB27,515,000 (2021: RMB35,462,000) was charged to share-based compensation reserve (Note 32). (e) Other reserve Other reserve mainly represents the differences of carrying amount of non-controlling interests acquired, consideration paid to non-controlling interests and reduction of reserve as a result of the issuance of exchangeable note liabilities. |
Deferred income tax
Deferred income tax | 12 Months Ended |
Dec. 31, 2022 | |
Deferred income tax | |
Deferred income tax | 23 Deferred income tax 2021 2022 RMB’000 RMB’000 The deferred tax assets comprise attributable to: - Tax losses 43,323 60,002 - Other temporary differences 2,442 1,161 45,765 61,163 The deferred tax liabilities comprise temporary differences attributable to: - Medical licenses and tradenames (285) — - Others — — (285) — Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current income tax assets against current income tax liabilities and when the deferred income taxes relate to the same fiscal authority. The balances shown in the consolidated balance sheets are, after appropriate offsetting, as follows: 2021 2022 RMB’000 RMB’000 Deferred income tax assets: - Deferred income tax assets to be recovered after more than 12 months 45,765 61,163 45,765 61,163 Deferred income tax liabilities: - Deferred income tax liabilities to be settled after more than 12 months (285) — (285) — Deferred income tax assets – net 45,480 61,163 The movement in deferred income tax assets and liabilities during the year, without taking into consideration the offsetting of balances within the same taxation jurisdiction is as follows: The gross movement on deferred income tax accounts is as follows: 2021 2022 RMB’000 RMB’000 At 1 January 17,995 45,480 Disposal of subsidiaries (Note 30) 7,479 (5,292) Credited to consolidated statement of comprehensive income 20,006 21,375 Translation adjustment — (400) At 31 December 45,480 61,163 23 Deferred income tax (Continued) Deferred income tax assets Tax losses Others Total RMB’000 RMB’000 RMB’000 At 1 January 2021 27,988 4,658 32,646 Disposal of a subsidiary (Note 30) (6,144) (743) (6,887) Credited to consolidated statement of comprehensive income 21,479 (1,473) 20,006 At 31 December 2021 and 1 January 2022 43,323 2,442 45,765 Disposal of subsidiaries (Note 30) (5,292) — (5,292) Credited to consolidated statement of comprehensive income 22,371 (1,281) 21,090 Translation adjustment (400) — (400) At 31 December 2022 60,002 1,161 61,163 Deferred income tax liabilities Medical licenses and tradenames Others Total RMB’000 RMB’000 RMB’000 At 1 January 2021 14,425 226 14,651 Disposal of subsidiaries (Note 30) (14,140) (226) (14,366) At 31 December 2021 and 1 January 2022 285 — 285 Credited to consolidated statement of comprehensive income (285) — (285) At 31 December 2022 — — — Deferred income tax assets are recognised for tax loss carry-forwards to the extent that the realisation of the related tax benefit through future taxable profits is probable. The Group has unrecognised tax losses as at 31 December 2022 of RMB103,988,000 (2021: RMB91,221,000) which can be carried forward against future taxable income and their expiry dates are as follows: 2021 2022 RMB’000 RMB’000 Tax loss expiring within 5 years 91,221 103,988 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2022 | |
Borrowings | |
Borrowings | 24 Borrowings 2021 2022 RMB’000 RMB’000 Non ‑ current Bank borrowings - secured 23,470 3,248 Other borrowings - secured 54,137 25,862 77,607 29,110 Current Bank borrowings - secured 82,680 108,534 Other borrowings - secured 73,528 64,232 156,208 172,766 233,815 201,876 The carrying amounts of borrowings approximate their fair values and are denominated in RMB. The effective interest rates on the borrowings from banks was as 7.8% at 31 December 2022. Bank borrowings are secured by the following: (i) property, plant and equipment and investment properties of the Group (Note 12 and Note 14); (ii) personal properties provided by Dr. Zhou Pengwu and Ms. Ding Wenting (Note 35(d)); (iii) personal guarantee provided by Dr. Zhou Pengwu, Dr. Zhou Yitao and Ms. Ding Wenting, Mr Zhou Xichun (Note 35(d)); and (iv) corporate guarantee provided by a related company controlled by Dr. Zhou Pengwu (Note 35(d)). Other borrowings are secured by the following: (i) property, plant and equipment of the Group (Note 12); and (ii) corporate guarantee provided by a related company controlled by Dr. Zhou Pengwu (Note 35(d)). |
Trade and accruals, other payab
Trade and accruals, other payables and provisions | 12 Months Ended |
Dec. 31, 2022 | |
Trade and accruals, other payables and provisions | |
Trade and accruals, other payables and provisions | 25 Trade and accruals, other payables and provisions 2021 2022 RMB’000 RMB’000 Trade payables 31,256 46,752 Accrued employee benefits 26,458 15,004 Accrued operating expenses 5,516 5,772 Accrued professional service fees 9,857 1,749 Deposits received 826 1,147 Duty and tax payable other than corporate income tax 2,172 4,375 Other payables to suppliers of plant and equipment 779 177 Others 27,240 15,514 104,104 90,490 The carrying amounts of trade and other payables are denominated in RMB. The carrying amounts approximate their fair values due to their short-term maturities. |
Contract liabilities
Contract liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Contract liabilities | |
Contract liabilities | 26 Contract liabilities 2021 2022 RMB’000 RMB’000 Advance receipt for treatment packages 236,476 169,725 As at end of 31 December 2022, the contract liabilities are aged within one year from the date when the sales contracts in respect of treatment packages were entered into. |
Convertible note
Convertible note | 12 Months Ended |
Dec. 31, 2022 | |
Convertible note | |
Convertible note | 27 Convertible note Convertible note in 2020 On 17 September 2020, the Company entered into a convertible note purchase agreement, pursuant to which, the Company issued a convertible note to ADV at a principal amount of US$5,000,000 (equivalent to approximately RMB33,474,000) at a maturity date of 17 March 2023. Nevertheless, in July 2022, the Company entered into a Share Purchase Agreement, a Subscription Agreement, a Shareholders' Agreement and a Cooperation Agreement (collectively “Financing Agreements”) with ADV and other parties, under which the Company settled with ADV on the above convertible note purchase agreement. According to the Financing Agreements, the aforementioned convertible note held by ADV will no longer accrue interest after July 2022 and ADV undertakes to covert the outstanding principal amount as well as interest into the Company’s ordinary shares at the price of RMB4.203 per ordinary share without cash payment upon the closing of the Financing Agreements before 31 May 2023. The key terms of the convertible note are summarised as follows: (a) Conversion feature Convertible note is convertible into American Depository Receipts (“ADRs”) of the Company, at the option of the holder after 6 months from the issue date to the maturity date, unless the Company has previously elected to redeem the convertible note. (b) Redemption feature The Company has a right to redeem all of the outstanding convertible note after one year from the issue date. The holder has a right to redeem all outstanding convertible note at maturity date at a price equivalent to a 12.5% internal rate of return compounded annually from the issue date to maturity date. The Company can elect to redeem all outstanding convertible note after one year from the issue date at a price equivalent to 15% internal rate of return compounded annually from the issue date to the redemption date. Before the first anniversary of the issuance of the convertible note, the convertible note is redeemable at the option of the Company and by giving notice in writing to the convertible note holder. As a part of the financing plan of convertible note, on 17 September 2020, the Company also entered into an exit payment agreement with ADV to compensate ADV for a maximum of US$2,700,000 if certain requirements are not fulfilled. On 20 July 2022, the Company granted a warrant to ADV for a right to purchase the Company’s shares at USD equivalent of RMB4.67 per share as a substitute to the exit payment. The warrant of exit payment is measured at fair value of RMB19,390,000 included in convertible note. 27 Convertible note (Continued) Convertible note in 2020 (Continued) (c) Fair value measurement The Group monitors the convertible note on a fair value basis which is in accordance with its risk management strategy and does not bifurcate any feature from its debt host instrument and designates the entire hybrid contract as a financial liability at fair value through profit or loss with the changes in the fair value recorded in consolidated statement of comprehensive income. As at 31 December 2022, the directors used the binominal method. The movement of the convertible note is set out as below: RMB’000 For the year ended 31 December 2021 At 1 January 2021 34,190 Unrealised exchange difference (371) Change in fair value 4,240 At 31 December 2021 38,059 Fair value changes for the year included in consolidated statement of comprehensive income for liabilities held at the year end 4,240 For the year ended 31 December 2022 At 1 January 2022 38,059 Unrealised exchange difference — Change in fair value 26,506 At 31 December 2022 64,565 Fair value changes for the year included in consolidated statement of comprehensive income for liabilities held at the year end 26,506 |
Cash generated from operations
Cash generated from operations | 12 Months Ended |
Dec. 31, 2022 | |
Cash generated from operations | |
Cash generated from operations | 28 Cash generated from operations 2020 2021 2022 RMB’000 RMB’000 RMB’000 Loss before income tax (259,492) (681,314) (94,173) Adjustments for: Finance income (1,185) (113) (155) Finance costs 29,189 27,230 21,635 Amortisation of intangible assets (Note 15) 8,130 5,970 395 Depreciation of property, plant and equipment (Note 12) 97,232 93,165 61,091 Depreciation of investment properties (Note 14) 1,043 — — Loss on disposal of property, plant and equipment 703 14,349 20,465 Loss on disposal of intangible assets — 1,350 3 Share of losses/(profits) investments accounted for using the equity method 1,043 (81) — Fair value loss of convertible note 1,599 4,240 26,506 Transaction cost related to issuance of convertible note 677 — — Reversal of contingent consideration — (1,523) — Share-based payment 78,967 35,463 27,528 Impairment of non-current assets 32,969 313,959 — Unrealised exchange difference 515 (373) — Loss on disposal of associates 928 — 2,920 Loss on disposal of subsidiaries (Note 30) 1,531 21,558 11,329 Loss on ceased operation of subsidiaries — — — (6,151) (166,120) 77,544 Changes in working capital: - Inventories (8,971) (800) (294) - Trade receivables (7,781) 3,849 1,302 - Other receivables, deposits and prepayments 10,470 34,108 1,718 - Balances with related parties — — — - Trade payables 15,969 4,543 16,394 - Accruals, other payables and provisions 15,191 (52,018) (104,435) - Contract liabilities (13,145) 228,153 (66,728) Cash flow from operating activities 5,582 51,715 (74,499) This section sets out an analysis of net debt and the movements in net debt for the years: Liabilities from financing activities Lease Lease Borrowing Borrowing liabilities liabilities due within due after due within due after 1 year 1 year 1 year 1 year Total Net debt RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 As at 1 January 2021 (135,814) (75,931) (35,868) (178,983) (426,596) Cash flows (20,394) (1,676) 7,590 73,229 58,749 As at 31 December 2021 (156,208) (77,607) (28,278) (105,754) (367,847) As at 1 January 2022 (156,208) (77,607) (28,278) (105,754) (367,847) Cash flows (16,558) 48,497 926 6,450 39,315 As at 31 December 2022 (172,766) (29,110) (27,352) (99,304) (328,532) |
Business combination
Business combination | 12 Months Ended |
Dec. 31, 2022 | |
Business combination | |
Business combination | 29 Business combination (a) Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. On 14 October 2021, the Group acquired 73% of the share capital of Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. (“Guangzhou Pengai Xiuqi”), an aesthetic medical treatment provider operating in the PRC at the cash consideration for RMB7,300,000 and obtained control. As a result of the acquisition, the Group is expected to increase its presence in Guangzhou. The goodwill of RMB6,300,000 arising from the acquisition is attributable to synergies expected to be generated from the acquisition. None of the goodwill recognised is expected to be deductible for income tax purpose. The assets and liabilities recognised as a result of the acquisition are as follows: RMB’000 Other receivables 100 Inventories 400 Property, plant and equipment 500 Net identifiable assets acquired 1,000 Add: goodwill (Note 15) 6,300 Net assets acquired 7,300 An analysis of net outflow of cash and cash equivalents in respect of the acquisition is as follows: RMB’000 Cash consideration (7,300) Cash and cash equivalents — Net outflow of cash and cash equivalents included in cash flows from investing activities (7,300) Acquisition-related costs have been charged to general and administrative expenses in consolidated statement of comprehensive income for the year ended 31 December 2021. For the year ended 31 December 2021, the revenue included in the consolidated statement of comprehensive income since 14 October 2021 contributed by Guang zhou Pengai Xiuqi was approximately RMB3,797,000. Guangzhou Pengai Xiuqi also contributed a loss of approximately RMB333,000 over the same period. The following table sets out the pro-forma revenue and profit after tax of the Group had the acquisition taken place from 1 January 2021: 2021 RMB’000 Pro forma consolidated statement of comprehensive income: Revenue 3,797 Loss after tax (333) 29 Business combination (Continued) (b) Beijing AomeiYixin Investment Consultant Co., Ltd. (“Beijing Aomei”) On 1 January 2021, the Group acquired 95% of the share capital of Beijing Aomei Yixin Investment Consultation Company (“Beijing Aomei”), an aesthetic medical treatment provider operating in the PRC at the cash consideration for RMB11,500,000 and obtained control. As a result of the acquisition, the Group is expected to increase its presence in Beijing. The goodwill of RMB8,397,000 arising from the acquisition is attributable to synergies expected to be generated from the acquisition. None of the goodwill recognised is expected to be deductible for income tax purpose. The assets and liabilities recognised as a result of the acquisition are as follows: RMB’000 Cash and cash equivalents 27 Intangible assets 2,419 Trade receivables and other receivables 1,113 Inventories 57 Property, plant and equipment 2,743 Trade payables and other payables (122) Lease liabilities (2,362) Deferred income tax liabilities (600) Current income tax liabilities (9) Non-controlling interest (163) Net identifiable assets acquired 3,103 Add: goodwill (Note 15) 8,397 Net assets acquired 11,500 An analysis of net outflow of cash and cash equivalents in respect of the acquisition is as follows: RMB’000 Cash consideration — Cash and cash equivalents 27 Net outflow of cash and cash equivalents included in cash flows from investing activities 27 Acquisition-related costs have been charged to general and administrative expenses in the consolidated statement of comprehensive income for the year ended 31 December 2021. For the year ended 31 December 2021, the revenue included in the consolidated statement of comprehensive income since 1 January 2021 contributed by Beijing Aomei was approximately RMB4,877,000. Beijing Aomei also contributed a loss of approximately RMB7,566,000 over the same period. (c) Shenzhen Miaoyan Aesthetic Medical Clinic On 30 May 2022, the Group acquired 100% of the share capital of Shenzhen Miaoyan Aesthetic Medical Clinic, an aesthetic medical treatment provider operating in the PRC at the cash consideration for RMB 1,000,000 and obtained control. As a result of the acquisition, the Group is expected to increase its presence in Shenzhen. The goodwill of RMB778,698 arising from the acquisition is attributable to synergies expected to be generated from the acquisition. None of the goodwill recognised is expected to be deductible for income tax purpose. 29 Business combination (Continued) (c) Shenzhen Miaoyan Medical Beauty Clinic (Continued) The assets and liabilities recognised as a result of the acquisition are as follows: RMB’000 Property, plant and equipment 2,832 Prepayments 430 Inventories 348 Trade and other receivables 109 Cash and cash equivalents 119 Trade payables and other payables (3,617) Net identifiable assets acquired 221 Add: goodwill (Note 15) 779 Net assets acquired 1,000 An analysis of net outflow of cash and cash equivalents in respect of the acquisition is as follows: RMB’000 Cash consideration (1,000) Other payables 300 Cash and cash equivalents 119 Net outflow of cash and cash equivalents included in cash flows from investing activities (581) Acquisition-related costs have been charged to general and administrative expenses in the consolidated statement of comprehensive income for the year ended 31 December 2022. For the year ended 31 December 2022, the revenue included in consolidated statement of the comprehensive income since 30 May 2022 contributed by Shenzhen Miaoyan Aesthetic Medical Clinic was approximately RMB1,113,000. Shenzhen Miaoyan Aesthetic Medical Clinic also contributed loss of approximately RMB1,223,000 over the same period, and de-registrated on 13 December 2022. The following table sets out the pro-forma revenue and profit after tax of the Group had the acquisition taken place from 1 January 2022: 2022 RMB’000 Pro forma consolidated statement of comprehensive income: Revenue 1,113 Loss after tax (1,223) |
Disposals of subsidiaries
Disposals of subsidiaries | 12 Months Ended |
Dec. 31, 2022 | |
Disposals of subsidiaries | |
Disposals of subsidiaries | 30 Disposals of subsidiaries (a) The Company entered into an Equity Transfer Agreement with an independent third-party regarding the sales of certain subsidiaries including Chongqing Pengai Aesthetic Medical Hospital Co., Ltd., Chengdu Pengai Yueji Aesthetic Medical Clinic Co., Ltd., Shenzhen Pengai Yuexin Aesthetic Medical Hospital, Shenzhen Pengai Yueji Aesthetic Medical Hospital, Xi’an New Pengai Yueji Aesthetic Medical Clinic Co., Ltd., Jiangsu Liangyan Hospital Management Co., Ltd., Yunnan Liangyan Aesthetic Medical Clinic Co., Ltd., Kunming Liangyan Aesthetic Medical Clinic Co., Ltd. and Kunming Liangyan Hospital Management Co., Ltd. Details of the net assets of these subsidiaries disposed of and their financial impacts are summarised as follows: RMB’000 Net assets disposed of: Property, plant and equipment 2,949 Intangible assets 10,903 Goodwill — Deferred tax assets — Inventories 3,462 Trade and other receivables 9,911 Cash and cash equivalents 1,329 Income tax payables (18,410) Trade payables and other payables (22,047) Borrowings — Contract liabilities (304) Lease liabilities — Non-controlling interests (37,565) Net assets of subsidiary (49,772) Loss on disposal of subsidiary 37,688 Consideration (12,084) Satisfied by: Cash consideration — Settlement of pre-existing balances (12,084) (12,084) An analysis of the net outflow of cash and cash equivalents in respect of the disposal of these subsidiaries is as follows: 2021 RMB’000 Cash received — Cash and cash equivalents disposed of (1,329) Net cash inflow in respect of disposal (1,329) 30 Disposals of subsidiaries (Continued) (b) Nanchang Peng’ai Xiuqi Aesthetic Medical Hospital Co., Ltd. In October 2022, the Group disposed of its entire equity interest in Nanchang Peng’ai Xiuqi Aesthetic Medical Hospital Co., Ltd. to a third party. Details of the net assets of Nanchang Peng’ai Xiuqi Aesthetic Medical Hospital Co., Ltd. disposed of and their financial impacts are summarised as follows: RMB’000 Net assets disposed of: Property, plant and equipment 3,480 Deferred tax assets 1,449 Prepayments 306 Inventories 1,165 Trade and other receivables 298 Cash and cash equivalents — Trade payables and other payables (5,005) Lease liabilities (7,496) Non-controlling interests 6,589 Net assets of subsidiary 786 Gain on disposal of subsidiary 2,214 Cash consideration 3,000 An analysis of the net outflow of cash and cash equivalents in respect of the disposal of the Nanchang Peng’ai Xiuqi Aesthetic Medical Hospital Co., Ltd. is as follows: 2022 RMB’000 Cash received 3,000 Net cash inflow in respect of disposal of Nanchang Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd. 3,000 30 Disposals of subsidiaries (Continued) (c) Changsha Peng’ai Aesthetic Medical Hospital Co., Ltd. In October 2022, the Group disposed of its entire equity interest in Changsha Peng’ai Aesthetic Medical Hospital Co., Ltd. to a third party. Details of the net assets of Changsha Peng’ai Aesthetic Medical Hospital Co., Ltd. disposed of and their financial impacts are summarised as follows: RMB’000 Net assets disposed of: Property, plant and equipment 15,425 Goodwill 176 Deferred tax assets 3,435 Prepayments 159 Inventories 1,843 Trade and other receivables 1,844 Cash and cash equivalents 52 Trade payables and other payables (7,461) Contract liabilities (51) Income tax liabilities (506) Lease liabilities (8,304) Non-controlling interest 11,551 Net assets of subsidiary 18,163 Loss on disposal of subsidiary (13,543) Cash consideration 4,620 An analysis of the net outflow of cash and cash equivalents in respect of the disposal of the Changsha Peng’ai Xiuqi Aesthetic Medical Hospital Co., Ltd. is as follows: 2022 RMB’000 Cash received 4,620 Cash and cash equivalents disposed of (52) Net cash inflow in respect of disposal of Changsha Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd. 4,568 |
Transactions with non-controlli
Transactions with non-controlling interests | 12 Months Ended |
Dec. 31, 2022 | |
Transactions with non-controlling interests | |
Transactions with non-controlling interests | 31 Transactions with non-controlling interests During the year ended 31 December 2020, 2021 and 2022, the Group completed the following transactions with non-controlling interests and the impact is as below: Debit to Total net (Debit)/credit non-controlling (debit)/credit to to other reserve interests Equity RMB’000 RMB’000 RMB’000 For the year ended 31 December 2020 Acquisition of additional interests in a subsidiary: - Shanghai Pengai (Note a) 92 (217) (125) Disposal of interests in a subsidiary without loss of control: - Shanghai Jiahong (Note b) (65) 65 — - Guangzhou Pengai (Note c) 2,613 147 2,760 2,640 (5) 2,635 31 Transactions with non-controlling interests (Continued) Debit to Total net (Debit)/credit non-controlling (debit)/credit to to other reserve interests Equity RMB’000 RMB’000 RMB’000 For the year ended 31 December 2021 Acquisition of additional interests in a subsidiary: - Huizhou Pengai (Note d) (220) (140) (360) - Changsha Pengai (Note e) (715) 400 (315) Disposal of interests in a subsidiary without loss of control: - Changsha Pengai (Note f) 3,575 (2,000) 1,575 2,640 (1,740) 900 Debit to Total net (Debit)/credit non-controlling (debit)/credit to to other reserve interests Equity RMB’000 RMB’000 RMB’000 For the year ended 31 December 2022 Acquisition of additional interests in a subsidiary: - Shenzhen Pengai Xiuqi(Note g) (224) (526) (750) - Guangzhou Pengai (Note h) 2,054 (4,814) (2,760) - Guangzhou Pengai Xiuqi (Note i) 86 (86) — - Yantai Pengai (Note j) 288 (588) (300) 2,204 (6,014) (3,810) (a) Acquisition of interest in Shanghai Pengai 2020 RMB’000 Carrying amount of non-controlling interests acquired (92) Consideration paid to non-controlling interests (125) Excess of consideration paid to non-controlling interest recognised within equity (217) On 25 March 2020, the Group purchased an additional 5% equity interest of Shanghai Pengai at consideration of RMB125,000 which resulted in an increase in the Group’s equity interest in Shanghai Pengai from 80% to 85%. (b) Disposal of interest in Shanghai Jiahong without loss of control 2020 RMB’000 Carrying amount of non-controlling interests disposed of (65) Less: consideration received from non-controlling interest — Gain on disposal within equity (65) On 9 December 2020, the Group disposed a 12% equity interest in Shanghai Jiahong at a total consideration of RMB864,000 which resulted in a decrease in the Group’s equity interest in Shanghai Jiahong from 80% to 68%. 31 Transactions with non-controlling interests (Continued) (c) Disposal of interest in Guangzhou Pengai without loss of control 2020 RMB’000 Carrying amount of non-controlling interests disposed of (147) Less: consideration received from non-controlling interest 2,760 Gain on disposal within equity 2,613 On 7 December 2020, the Group disposed a 20% equity interest in Guangzhou Pengai at a total consideration of RMB2,760,000 which resulted in a decrease in the Group’s equity interest in Guangzhou Pengai from 96% to 76%. (d) Acquisition of interest in Huizhou Pengai 2021 RMB’000 Carrying amount of non-controlling interests acquired 140 Consideration paid to non-controlling interests (360) Excess of consideration paid to non-controlling interest recognised within equity (220) On 13 September 2021, the Group purchased an additional 2% equity interest of Huizhou Pengai at consideration of RMB360,000 which resulted in an increase in the Group’s equity interest in Huizhou Pengai from 65.5% to 67.5%. (e) Acquisition of interest in Changsha Pengai 2021 RMB’000 Carrying amount of non-controlling interests acquired (400) Consideration paid to non-controlling interests (315) Excess of consideration paid to non-controlling interest recognised within equity (715) On 24 September 2021, the Group purchased an additional 3% equity interest of Changsha Pengai at consideration of RMB315,000, which resulted in an increase in the Group’s equity interest in Changsha Pengai of 3%. (f) Disposal of interest in Changsha Pengai without loss of control 2021 RMB’000 Carrying amount of non-controlling interests disposed of 2,000 Less: consideration received from non-controlling interest 1,575 Gain on disposal within equity 3,575 On 24 September 2021, the Group disposed a 15% equity interest in Changsha Pengai at a total consideration of RMB1,575,000 which resulted in a decrease in the Group’s equity interest in Changsha Pengai of 15%. 31 Transactions with non-controlling interests (Continued) (g) Acquisition of interest in Shenzhen Pengai Xiuqi 2022 RMB’000 Carrying amount of non-controlling interests acquired 224 Consideration paid to non-controlling interests (750) Excess of consideration paid to non-controlling interest recognised within equity (526) On 30 May 2022, the Group purchased an additional 5% equity interest of Shenzhen Pengai Xiuqi at consideration of RMB750,000, which resulted in an increase in the Group’s equity interest in Shenzhen Pengai Xiuqi of 5%. (h) Acquisition of interest in Guangzhou Pengai 2022 RMB’000 Carrying amount of non-controlling interests acquired (2,054) Consideration paid to non-controlling interests (2,760) Excess of consideration paid to non-controlling interest recognised within equity (4,814) On 15 June 2022, the Group purchased an additional 20% equity interest of Guangzhou Pengai at consideration of RMB2,760,000, which resulted in an increase in the Group’s equity interest in Guangzhou Pengai of 20%. (i) Acquisition of interest in Guangzhou Pengai Xiuqi 2022 RMB’000 Carrying amount of non-controlling interests acquired (86) Consideration paid to non-controlling interests — Excess of consideration paid to non-controlling interest recognised within equity (86) On 20 June 2022, the Group’s a equity interest in Guangzhou Peng Ai Xiuqi changed from 55% to 70%, because of the increase in the Group’s equity interest in Guangzhou Pengai of 20%. (j) Acquisition of interest in Yantai Pengai 2022 RMB’000 Carrying amount of non-controlling interests acquired (288) Consideration paid to non-controlling interests (300) Excess of consideration paid to non-controlling interest recognised within equity (588) On 12 July 2022, the Group purchased an additional 1% equity interest of Yantai Pengai at consideration of RMB 2,760,000 |
Share based compensation
Share based compensation | 12 Months Ended |
Dec. 31, 2022 | |
Share based compensation | |
Share based compensation | 32 Share based compensation The Group has adopted a share-based compensation plan, namely the Aesthetic Medical International Holdings Group Limited Share Incentive Plan, (the “Share Incentive Plan”) and Performance Incentive Plan (the “Performance Incentive Plan”). The Share Incentive Plan was approved by the board of directors of the Company on 1 June 2019. According to the Share Incentive Plan, 5,940,452 ordinary shares were held as treasury shares of the Company as of 31 December 2019. These ordinary shares have been reserved to be issued to any qualified employees, directors and consultant as determined by the board of directors of the Company. The options will be exercisable only if option holders continue their employment before exercising the options. The maximum term of any issued stock option is ten years from the grant date. One-fourth (1/4) The option holder may elect at any time to exercise any part or all of the vested options before the expiry date. Movements in the number of options for the year ended 31 December 2021 and 2022 are as follows: Weighted- Weighted- Number of average average grant options exercise price date fair value RMB RMB Outstanding as of 1 January 2021 2,493,404 0.007 28.01 Vested during the year (note) (1,222,959) Outstanding as of 31 December 2021 1,270,445 0.007 28.01 Vested during the year (note) (1,270,445) Outstanding as of 31 December 2022 — 0.007 28.01 Note: The Group vested the options to certain option holders in advance. The fair value of share options were valued at grant date using Binomial option-pricing model. Assumptions used in the Binomial option-pricing model are presented below: Risk free interest rate 2.2 % Expected dividend yield 0 Expected volatility 57.87 % Exercise multiples 2.2 Contractual life 10 Share options outstanding as of 31 December 2022 have the following expiry date and exercise prices: Share options as of Grant date Expiry date Exercise price 31 December 2022 1 June 2019 31 May 2029 US$0.001 — Weighted average remaining contractual life of options outstanding at end of period: Not applicable Performance Incentive Plan was approved by the board of directors in September 2019. On July 29, 2022, the Company issued 1,927,793 new ordinary shares to certain employees, representing an aggregate 2.0% of the total number of outstanding ordinary shares, at nil consideration in accordance with the Performance Incentive Plan. The share-based compensation expenses of approximately RMB27,528,000 (2021:RMB35,463,000) has been charged to the consolidated statements of comprehensive income in the current year. |
Summarised financial informatio
Summarised financial information of subsidiaries with material non-controlling interests | 12 Months Ended |
Dec. 31, 2022 | |
Summarised financial information of subsidiaries with material non-controlling interests | |
Summarised financial information of subsidiaries with material non-controlling interests | 33 Summarised financial information of subsidiaries with material non-controlling interests Set out below is the summarised financial information for each subsidiary that has non-controlling interests that are material to the Group. As at 31 December 2020, 2021 and 2022, the non-controlling interests attributable to these entities accounted for 84%, 21% and 40% of the total non-controlling interests for the respective year end. Summarised balance sheets Huizhou Pengai Shanghai Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Current - Assets 17,386 17,024 23,004 13,641 13,772 14,761 - Liabilities (3,655) (15,541) (17,145) (15,626) (46,764) (50,260) Total current net assets/(liabilities) 13,731 1,483 5,859 (1,985) (32,992) (35,499) Non‑current - Assets 2,046 3,868 5,466 36,302 40,871 41,102 - Liabilities — (733) (3,495) (31,607) (29,040) (29,174) Total non‑current net assets 2,046 3,135 1,971 4,695 11,831 11,928 Net assets/(liabilities) 15,777 4,618 7,830 2,710 (21,161) (23,571) Xiuqi Pengai Haikou Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Current - Assets 9,140 10,252 8,773 3,033 4,546 4,510 - Liabilities (11,464) (33,393) (32,844) (14,405) (23,484) (22,396) Total current net liabilities (2,324) (23,141) (24,071) (11,372) (18,938) (17,886) Non‑current - Assets 22,437 26,429 30,261 22,783 18,964 15,295 - Liabilities — — — (6,144) (5,808) (5,450) Total non‑current net assets 22,437 26,429 30,261 16,639 13,156 9,845 Net assets/(liabilities) 20,113 3,288 6,190 5,267 (5,782) (8,041) 33 Summarised financial information of subsidiaries with material non-controlling interests (Continued) Summarised balance sheets (Continued) Yantai Pengai 2020 2021 2022 RMB’000 RMB’000 RMB’000 Current - Assets 14,806 3,753 2,909 - Liabilities (24,410) (31,845) (25,394) Total current net liabilities (9,604) (28,092) (22,485) Non-current - Assets 35,387 33,234 28,832 - Liabilities (17,748) (17,086) (16,778) Total non-current net assets 17,639 16,148 12,054 Net assets/(liabilities) 8,035 (11,944) (10,431) Summarised statements of comprehensive income Huizhou Pengai Shanghai Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Revenue 26,852 21,561 32,679 29,839 21,674 41,585 Profit/(loss) before income tax 2,743 (8,222) 4,261 (3,884) (25,217) (3,213) Income tax (expense)/credit (685) 297 1,049 157 1,347 (803) Profit/(loss) and total comprehensive income/(loss) for the year 2,058 (7,925) 3,212 (3,727) (23,870) (2,410) Total comprehensive income/(loss) allocated to non‑controlling interests 710 (2,734) 1,044 (746) (4,737) (482) Dividend paid to non‑controlling interests 750 1,116 — — — — Xiuqi Pengai Haikou Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Revenue 28,530 28,251 37,106 20,184 24,134 30,474 (Loss)/Profit before income tax (1,135) (19,411) 3,871 (1,696) (10,966) (2,946) Income tax (expense)/credit (139) 2,586 968 192 (84) (688) (Loss)/Profit and total comprehensive (loss)/income for the year (1,274) (16,825) 2,903 (1,504) (11,050) (2,258) Total comprehensive (loss)/income allocated to non‑controlling interests (140) (1,851) 174 (196) (1,436) (294) Dividend paid to non‑controlling interests — — — 186 — — 33 Summarised financial information of subsidiaries with material non-controlling interests (Continued) Summarised statements of comprehensive income (Continued) Yantai Pengai 2020 2021 2022 RMB’000 RMB’000 RMB’000 Revenue 25,958 15,295 36,763 Profit/(loss) before income tax (2,465) (21,773) 2,018 Income tax (expense)/credit 307 1,795 505 Profit/(loss) and total comprehensive income/(loss) for the year (2,158) (19,978) 1,513 Total comprehensive income/(loss) allocated to non-controlling interests (237) (2,198) 166 Dividend paid to non-controlling interests — — — Summarised statements of cash flows Huizhou Pengai Shanghai Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Cash flows from operating activities Cash generated from operations 3,192 1,217 (1,905) (2,240) 2,587 (11,224) Income tax paid (1,070) (211) (136) (444) (27) — Net cash generated from/(used in) operating activities 2,122 1,006 (2,041) (2,684) 2,560 (11,224) Net cash used in investing activities (78) (589) (68) (5,407) (2,437) (20) Net cash used in financing activities (2,175) (18) 2,520 (2,082) — 10,783 Net (decrease)/increase in cash and cash equivalents (131) 399 411 (10,173) 123 (461) Cash and cash equivalents at beginning of the year 427 296 695 10,634 461 584 Cash and cash equivalents at end of the year 296 695 1,106 461 584 123 Xiuqi Pengai Haikou Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Cash flows from operating activities Cash generated from/(used in) operations 7,208 (1,419) (81) 2,462 2,162 779 Income tax paid — — — (14) (8) (50) Net cash generated from/(used in) operating activities 7,208 (1,419) (81) 2,448 2,154 729 Net cash used in investing activities (4,305) (767) (13) (1,673) (1,300) (594) Net cash (used in)/generated from financing activities (3,081) 2,880 (505) (629) (100) (586) Net (decrease)/increase in cash and cash equivalents (178) 694 (599) 146 754 (451) Cash and cash equivalents at beginning of the year 187 9 703 76 222 976 Cash and cash equivalents at end of the year 9 703 104 222 976 525 33 Summarised financial information of subsidiaries with material non-controlling interests (Continued) Summarised statements of cash flows (Continued) Yantai Pengai Jiayan 2020 2021 2022 RMB’000 RMB’000 RMB’000 Cash flows from operating activities Cash generated from operations 2,544 47 58 Income tax paid — — — Net cash generated from operating activities 2,544 47 58 Net cash used in investing activities (1,848) — (115) Net cash used in financing activities (1,646) — (163) Net increase/ (decrease) in cash and cash equivalents (950) 47 (220) Cash and cash equivalents at beginning of the year 1,464 514 561 Cash and cash equivalents at end of the year 514 561 341 |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2022 | |
Commitments | |
Commitments | 34 Commitments (a) Capital commitments 2021 2022 RMB’000 RMB’000 Contracted but not provided for - Property, plant and equipment — — - Investments — — — — (b) Operating lease commitments The Group leases premises for aesthetic healthcare services and offices under non-cancellable operating agreements. The lease terms are between 3 and 9 years, and a majority of lease agreements are renewable at the end of the lease period at market rate. From 1 January 2021, the Group has recognised right-of-use assets for these leases, except for short-term as stated in note 2.25 and note 13. The future aggregate minimum lease payments under non-cancellable operating leases as follows: 2021 2022 RMB’000 RMB’000 Not later than 1 year 10 20 (c) Contingencies Certain subsidiaries of the Company have been named as defendants in two litigations in the PRC. The maximum amount of the damages claimed by the plaintiffs amounted to an aggregate of approximately RMB18,200,000 (2021: RMB1,944,655). No restricted cash was reserved as at December 31, 2022. |
Related party transactions
Related party transactions | 12 Months Ended |
Dec. 31, 2022 | |
Related party transactions | |
Related party transactions | 35 Related party transactions Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control, common significant influence or joint control. Members of key management and their close family member of the Group are also considered as related parties. The following significant transactions were carried out between the Group and its related parties in addition to the related party information shown elsewhere in these consolidated financial statements. In the opinion of the directors of the Company, the related party transactions were carried out in the normal course of business and at terms negotiated between the Group and the respective related parties. (a) Transactions with related parties 2021 2022 RMB’000 RMB’000 Depreciation, interest expense and building rental - A related company 2,040 1,890 Medical Equipment rental and transactions -A related company 3,218 5,942 (b) Balances with related parties 2021 2022 RMB’000 RMB’000 Current (Note i) Amounts due from related parties Amounts due from related companies — 2,217 Amounts due from non‑controlling interests 4,391 656 4,391 2,873 Amounts due to related parties Amounts due to related companies 473 — Amounts due to non‑controlling interests — — 473 — Note i: Balances due from/to related parties are unsecured, interest free, repayable on demand and are denominated in RMB. Their carrying values approximate to their fair values. (c) Key management compensation Key management includes directors and senior managements. The compensation paid or payable to key management for employee services is shown below: 2021 2022 RMB’000 RMB’000 Basic salaries and bonus 17,740 15,609 Share based compensation 24,547 27,528 Pension costs - defined contribution plans 376 319 42,663 43,456 35 Related party transactions (Continued) (d) Personal guarantees from Dr. Zhou Pengwu, Dr. Zhou Yitao, Zhou Xichun and Ms. Ding Wenting and corporate guarantee from a related company controlled by Dr. Zhou Pengwu 2021 2022 RMB’000 RMB’000 Bank borrowings of the Group secured by personal guarantees from Dr. Zhou Pengwu, Dr. Zhou Yitao and Ms. Ding Wenting and corporate guarantee from a related company 94,270 78,977 Bank borrowings of the Group secured by personal properties from Dr. Zhou Pengwu and Ms. Ding Wenting 9,000 32,805 |
Particulars of the subsidiaries
Particulars of the subsidiaries | 12 Months Ended |
Dec. 31, 2022 | |
Particulars of the subsidiaries | |
Particulars of the subsidiaries | 36 Particulars of the subsidiaries The following is a list of the principal subsidiaries at 31 December 2021 and 2022: Place of incorporation/ Registered capital/ Interest held Name establishment issued share capital Principal activities 2021 2022 Directly hold: Dragon Jade Holdings Limited British Virgin Islands (The “BVI”) Registered capital of 1 share without par value Investment holding and provision of management services 100 % 100 % (龍翠控股有限公司) Stargaze Wealth Limited BVI Registered capital of 50,000 shares without par value Investment holding and provision of management services 100 % 100 % (遙望星空有限公司) Indirectly hold: Peng Oi Investment (Hong Kong) Holdings Limited Hong Kong 10,000 ordinary shares Investment holding and provision of management services 100 % 100 % (鵬愛投資(香港)集團有限公司) Peng Yida Business Consulting (Shenzhen) Co., Ltd. The PRC Registered capital of Hong Kong dollar 500,000,000 Investment holding and provision of management services 100 % 100 % (鵬意達商務諮詢(深圳)有限公司) Shenzhen Pengai Hospital Investment Management Co., Ltd. The PRC Registered capital of RMB115,000,000 Investment holding and provision of management services 100 % 100 % (深圳鵬愛醫院投資管理有限公司) Aesthetic Medical International Holdings (Singapore) Pte. Ltd. Singapore Singapore dollars 10 Investment holding and provision of management services 100 % 100 % (中國醫美控股(新加坡)有限公司) Shenzhen Pengcheng General Hospital Co., Ltd. The PRC Registered capital of RMB36,000,000 Provision of aesthetic medical services and general healthcare services 100 % 100 % (深圳鵬程醫院有限公司) Shenzhen Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB130,000,000 Provision of aesthetic medical services 100 % 100 % (深圳鵬愛醫療美容醫院有限公司) Shenzhen Pengai Beauty Promise Cosmetic Co., Ltd. The PRC Registered capital of RMB100,000 Sales of cosmetic products 100 % 100 % (深圳市鵬愛美麗約定美容有限公司) Haikou Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB3,000,000 Provision of aesthetic medical services 87 % 87 % (海口鵬愛醫療美容醫院有限公司) Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB6,000,000 Provision of aesthetic medical services 67.5 % 67.5 % (惠州鵬愛醫療美容醫院有限公司) Jinan Pengai Cosmetic Surgery Hospital Co., Ltd. The PRC Registered capital of RMB5,210,000 Provision of aesthetic medical services 95 % 95 % (濟南鵬愛美容整形醫院有限公司) Shanghai Pengai Medical Technology Co., Ltd. The PRC Registered capital of RMB500,000 Provision of medical aesthetic technical consulting and management services 100 % 100 % (上海鵬愛醫療科技有限公司) Shanghai Qiyue Medical Techonology Co., Ltd. The PRC Registered capital of RMB 20,000,000 Provision of medical aesthetic technical consulting and management services 51 % 51 % ( 上海祺嶽醫療科技有限公司 ) Shengli Aesthetic Technology Investment,Hong Kong Company Limited Hong Kong 10,000 ordinary shares Investment holding and provision of management services 100 % 100 % Aih Investment Management Corp. U.S.A Registered capital of 1,000,000 shares with a par of USD 0.01 per share Investment holding and provision of management services 100 % 100 % 36 Particulars of the subsidiaries (Continued) Place of incorporation/ Registered capital/ Interest held Name establishment issued share capital Principal activities 2021 2022 Indirectly hold (Continued): Shenzhen Pengai Culture Broadcast Co., Ltd. The PRC Registered capital of RMB 1,000,000 Provision of cultural, artistic activities, corporate image, exhibition planning and advertising service 100 % 100 % ( 深圳鵬愛文化傳播有限公司 ) Changsha Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB 500,000 Provision of aesthetic medical services 77 % — ( 長沙鵬愛醫療美容醫院有限公司 ) Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. The PRC Registered capital of RMB 3,000,000 Provision of aesthetic medical services 80 % 80 % ( 上海鵬愛醫療美容門診部有限公司 ) Newa Medical Aesthetics Limited Hong Kong 1,000,000 ordinary shares Provision of aesthetic medical services 100 % 100 % Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB 18,800,000 Provision of aesthetic medical services 76 % 96 % ( 廣州鵬愛醫療美容門診部有限公司 ) Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co. Ltd. The PRC Registered capital of RMB 12,000,000 Provision of aesthetic medical services 89 % 89 % ( 廣州鵬愛醫療美容醫院有限公司 ) Hangzhou Pengai Aesthetic Medical Clinic Co., Ltd. ( 杭州鹏爱医疗美容门诊部有限公司 ) The PRC Registered capital of RMB 6,000,000 Provision of aesthetic medical services 100 % 100 % Shanghai Jiahong (formerly known as Shanghai Mingyue Yueji) Aesthetic Medical Clinic Co., Ltd. ( 上海嘉泓医疗美容门诊部有限公司 ) The PRC Registered capital of RMB 5,000,000 Provision of aesthetic medical services 64 % 64 % Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. ( 廣州鵬愛秀琪醫療美容門診部有限公司 ) The PRC Registered capital of RMB 1,000,000 Provision of aesthetic medical services 55.5 % 70.1 % Beijing AomeiYixin Investment ConsultantCo., Ltd. ( 北京澳美醫信投資顧問有限公司 ) The PRC Registered capital of RMB 500,000 Investment holding and provision of management services 95 % 95 % Beijing Haiyue Xingguang Aesthetic Medical Clinic ( 北京海悅星光醫療美容診所 ) The PRC — Provision of aesthetic medical services 95 % 95 % Yantai Pengai Cosmetic Surgery Hospital Co., Ltd. ( 煙台鵬愛美容整形醫院有限公司 ) The PRC Registered capital of RMB 10,000,000 Provision of aesthetic medical services 89 % 89 % |
Additional information_ condens
Additional information: condensed financial statements of the Company | 12 Months Ended |
Dec. 31, 2022 | |
Additional information: condensed financial statements of the Company | |
Additional information: condensed financial statements of the Company | 37 Additional information: condensed financial statements of the Company The condensed financial statements of Aesthetic Medical International Holdings Group Limited have been prepared in accordance with Securities and Exchange Commission Regulation S-X Rule 5-04 and Rule 12-04. The Company records its investments in subsidiaries under the equity method of accounting. Such investments and loans to subsidiaries are presented on the condensed financial statements as “Investment in subsidiaries and due from subsidiaries” and the profit of the subsidiaries is presented as “Profit from subsidiaries” in the condensed statements of comprehensive income. The footnote disclosures contain supplemental information relating to the operations of the Company and, as such, these financial statements should be read in conjunction with the notes to the consolidated financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with IFRS have been condensed or omitted. As of December 31, 2021 and 2022, there were no material contingencies, significant provisions for long-term obligations, or guarantees of the Company, except for those, if any, which have been separately disclosed in the consolidated financial statements. 37 Additional information: condensed financial statements of the Company (Continued) Condensed balance sheets of the parent company 2021 2022 RMB’000 RMB’000 ASSETS Non ‑ current assets Investments in subsidiaries and due from subsidiaries — — Current assets Other receivables, deposits and prepayments — — Cash and cash equivalents 5,250 84 5,250 84 Total assets 5,250 84 EQUITY AND LIABILITIES Equity attributable to owners of the Company Share capital and treasury shares (1,554) (1,397) Other reserves (42,434) (72,728) Total equity (43,988) (74,125) LIABILITIES Non ‑ current liabilities Convertible note 38,059 — 38,059 64,565 Current liabilities Accruals, other payables and provisions 11,179 9,644 Convertible note — 64,565 11,179 74,209 Total liabilities 49,238 74,209 Total equity and liabilities 5,250 84 37 Additional information: condensed financial statements of the Company (Continued) Condensed statements of comprehensive income of the parent company 2020 2021 2022 RMB’000 RMB’000 RMB’000 Loss from subsidiaries (140,096) (469,724) (30,294) Selling expenses (1,228) (511) — General and administrative expenses (103,982) (47,188) (34,575) Finance income — — 5,269 Finance costs — (338) — Other loss, net — (6,968) (7) Fair value loss of convertible note (1,599) (4,240) (26,506) Loss before income tax (246,905) (528,969) (86,113) Income tax expense — — — Loss for the year (246,905) (528,969) (86,113) Other comprehensive income/(loss): Items that may be subsequently reclassified to profit or loss Currency translation differences (731) 574 (665) Total other comprehensive income/(loss) for the year, net of tax (731) 574 (665) Total comprehensive loss for the year (247,636) (528,395) (86,778) Condensed statements of cash flows of the parent company 2020 2021 2022 RMB’000 RMB’000 RMB’000 Net cash used in operating activities (76,639) (6,250) (88,987) Net cash used in investing activities (8,372) — — Net cash generated from financing activities 30,953 — 94,153 Net increase/(decrease) in cash and cash equivalents (54,058) (6,250) (5,166) Cash and cash equivalents at beginning of the year 65,558 11,500 5,250 Cash and cash equivalents at end of the year 11,500 5,250 84 |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2022 | |
Subsequent events | |
Subsequent events | 38 Subsequent events On January 10, 2023, the Company entered into a share purchase agreement with a non-affiliated third party, under which it transferred 100% of the equity of its wholly-owned subsidiary, Shenzhen Miaoyan Medical Technology Investment Co., Ltd. to this third party for a consideration of RMB1.9 million. As of the date of this annual report, the transaction has not been closed. In February 2023, the Subscription Agreement between the Company and Jiechuang was closed through the issuance and allotment of 36,402,570 ordinary shares for a consideration of RMB170 million to MY Universe (HK) Limited as designated by Jiechuang. The Company utilized the money from this private placement to fund its business development and working capital. Concurrently with the Subscription Agreement with Jiechuang, the Company entered into a Share Purchase Agreement with Dr. Pengwu Zhou and Ms. Wenting Ding (the “Founders”), certain of our existing shareholders controlled by the Founders, and Wanda. Pursuant to the Share Purchase Agreement, Seefar Global Holdings Limited, Jubilee Set Investments Limited, and Pengai Hospital Management Corporation (collectively referred as to the “Sellers”) agreed to sell and Wanda as the buyer agreed to purchase, an aggregate of 21,321,962 of its ordinary shares (the “Sale Share”) for the total consideration in USD that is equivalent of RMB100 million, representing a price of RMB4.67 per Sale Share. The Share Purchase Agreement has not yet been closed at the date of this annual report. |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Summary of significant accounting policies | |
Basis of preparation | 2.1 Basis of preparation The consolidated financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board. These consolidated financial statements have been prepared under the historical cost convention, as modified by the revaluation of convertible note, investment properties and assets held for sale, which were carried at fair value. Going Concern The consolidated financial statements of the Company have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As a result, the Group had a loss of RMB76,106,000 for the year ended 31 December 2022. As of 31 December 2022, the Group had net current liabilities of RMB466,239,000 and net liabilities of RMB125,880,000. These factors raise substantial doubt about the Company’s ability to continue as a going concern. Besides continuing to negotiate with the banks, the Company is evaluating several measures of financing, such as external financings,which will also be considered. Currently, the Company intends to raise loans from financial institutions and potential funders to maintain its normal operations. The Company’s ability to continue as a going concern is primarily dependent on the Company’s ability to arrange adequate financing arrangements and generate cash flows from its operations. The Company closed its private placement with Hainan Oriental Jiechuang Investment Partnership (“Jiechuang”) for aggregate gross proceeds of RMB170 million in February 2023 and utilized the money to fund its business development and working capital. Binhua Wu who represents the major sharehoder signed a letter of continuing financial support with the Company, in which she undertakes to enable the company to meet its liabilities and obligations as and when they fall due, for at least 12 months from the date of 20-F for the year ended December 31, 2022. In addition to the aforementioned financial investment, Binhua Wu also leverages her corporate management and talent training advantages to optimize the operations of the Company. |
Changes in accounting policy and disclosures | 2.2 Changes in accounting policy and disclosures Management is in the process of assessing the impact of these standards, amendments and interpretations to existing IFRS. None of these is expected to have a significant effect on the consolidated financial statements of the Group. |
Subsidiaries | 2.3 Subsidiaries Consolidation A subsidiary is an entity (including a structured entity) over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. Subsidiaries are consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases. (a) Business combinations The Group applies the acquisition method to account for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair values of the assets transferred, the liabilities incurred to a assumed from the former owners of the acquiree and the equity interests issued by the Group. The consideration transferred includes the fair value of any asset or liability resulting from a contingent consideration arrangement. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The Group recognises any non-controlling interest in the acquiree on an acquisition by acquisition basis. Non-controlling interests in the acquiree that are present ownership interests and entitle their holders to a proportionate share of the entity’s net assets in the event of liquidation are measured at either fair value or the present ownership interests’ proportionate share in the recognised amounts of the acquiree’s identifiable net assets. All other components of non-controlling interests are measured at their acquisition date fair value, unless another measurement basis is required by IFRS. Acquisition-related costs are expensed as incurred. If the business combination is achieved in stages, the acquisition date carrying value of the acquirer’s previously held equity interest in the acquiree is re-measured to fair value at the acquisition date; any gains or losses arising from such re-measurement are recognised in consolidated statement of comprehensive income. Any contingent consideration to be transferred by the Group is recognised at fair value at the acquisition date. Subsequent changes to the fair value of the contingent consideration that is deemed to be an asset or liability is recognised in accordance with IFRS 9 in consolidated statement of comprehensive income. Contingent consideration that is classified as equity is not remeasured, and its subsequent settlement is accounted for within equity. The excess of the consideration transferred, the amount of any non-controlling interest in the acquiree and the acquisition-date fair value of any previous equity interest in the acquiree over the fair value of the identifiable net assets acquired is recorded as goodwill. If the total of consideration transferred, non-controlling interest recognised and previously held interest measured is less than the fair value of the net assets of the subsidiary acquired in the case of a bargain purchase, the difference is recognised directly in the statement of comprehensive income. (a) Business combinations (Continued) Intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the transferred asset. When necessary, amounts reported by subsidiaries have been adjusted to conform with the Group’s accounting policies. (b) Changes in ownership interests in subsidiaries without change of control Transactions with non-controlling interests that do not result in a loss of control are accounted for as equity transactions - that is, as transactions with the owners of the subsidiary in their capacity as owners. The difference between fair value of any consideration paid and the relevant share acquired of the carrying amount of net assets of the subsidiary is recorded in equity. Gains or losses on disposals to non-controlling interests are also recorded in equity. (c) Disposal of subsidiaries When the Group ceases to have control, any retained interest in the entity is re-measured to its fair value at the date when control is lost, with the change in carrying amount recognised in consolidated statement of comprehensive income. The fair value is the initial carrying amount for the purposes of subsequently accounting for the retained interest as an associate, joint venture or financial asset. In addition, any amounts previously recognised in other comprehensive income in respect of that entity are accounted for as if the Group had directly disposed of the related assets or liabilities. It means the amounts previously recognised in other comprehensive income are reclassified to the consolidated statement of comprehensive income or transferred to another category of equity as specified/permitted by applicable IFRSs. (d) Contractual arrangements with respect to equity interests in certain PRC subsidiaries Since the Industry Catalog for Guiding Foreign Investment (Revision 2015) became effective in April 2015, PRC law only allows foreign investment in PRC medical institutions through joint venture entities, and the foreign shareholding in these entities is limited to 70.0%. The Company historically held more than 70.0% equity interest in certain of its PRC subsidiaries that are medical institutions which the Company acquired or established after the effective date of the Industry Catalog for Guiding Foreign Investment (Revision 2015). The Company had decreased its shareholding to 70.0% in such PRC subsidiaries by transferring excessive equity interests to Dr. Zhou Pengwu and certain employees of the Group since 2018. As of December 31, 2022, Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd., Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd., Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd., Shanghai Pengai Aesthetic Medical Outpatient Department Co., Ltd., Shanghai Jiahong Aesthetic Medical Outpatient Department Co., Ltd., Yantai Pengai Cosmetic Surgery Hospital Co., Ltd., Beijing Aomei Yixin Investment Consultant Co., Ltd., and Beijing Aomei Yixin Investment Consultant Co., Ltd. Pengai Aesthetic Medical Clinic (collectively “Relevant Subsidiaries”) were held by Dr. Zhou Pengwu directly or indirectly as to 27%, 26%, 19%, 12%, 24%, 25% and 25% respectively. Changsha Pengai Aesthetic Medical Hospital Co., Ltd. and Nanchang Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd. were divested in October 2022 and Hangzhou Pengai Aesthetic Medical Outpatient Department was ceased operation in August 2022. Shenzhen Miaoyan Aesthetic Medical Clinic was divested in December 2022. These Contractual Arrangements enable the Company to (i) exercise control over the Target Equity Interests in the Relevant Subsidiaries; (ii) receive economic benefits from the Target Equity Interests in Relevant Subsidiaries; and (iii) have an exclusive option to purchase all or part of the Target Equity Interests when and to the extent permitted by PRC laws. (d) Contractual arrangements with respect to equity interests in certain PRC subsidiaries (Continued) As of December 31, 2022, several of the above-mentioned subsidiaries have been divested or ceased operation of, including Changsha Pengai Aesthetic Medical Hospital Co., Ltd., Nanchang Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd., Hangzhou Pengai Aesthetic Medical Outpatient Department and Shenzhen Miaoyan Aesthetic Medical Clinic. The principal terms of the Contractual Arrangements are described below: (i). Loan agreement Shenzhen Pengai Investment, as the lender, entered into certain loan agreements with Dr. Zhou Pengwu, as the borrower. Pursuant to each of these loan agreements, Shenzhen Pengai Investment agrees to extend a loan to Dr. Zhou Pengwu in an equivalent amount to the purchase price to be paid by Dr. Zhou Pengwu for acquiring the Target Equity Interests. Pursuant to each of these loan agreements, Dr. Zhou Pengwu shall repay the loan by transferring the current and future economic interest of the Target Equity Interests to Shenzhen Pengai Investment. (ii). Economic interest transfer agreement Dr. Zhou Pengwu, Shenzhen Pengai Investment and each of the Relevant Subsidiaries entered into certain economic interest transfer agreements. Pursuant to each of these economic interest transfer agreements, the economic interest in relation to the Target Equity Interests currently held and subsequently acquired by Dr. Zhou Pengwu, including but not limited to (i) incomes arising from the disposal of the Target Equity Interests (including derivative equity interest of the Target Equity Interests) under any circumstance; (ii) dividends and bonus obtained on the basis of the Target Equity Interests (including derivative equity interest of the Target Equity Interests) under any circumstance; (iii) residual assets and other economic profits allocated after the liquidation of the Relevant Subsidiaries, and (iv) any other cash income, property and economic benefit arising from the Target Equity Interests (including derivative equity interest of the Target Equity Interests), shall be transferred to Shenzhen Pengai Investment. Upon the execution of each economic interest transfer agreement, the repayment obligation of Dr. Zhou Pengwu under each loan agreement is deemed fully discharged. (iii). Exclusive option agreement Dr. Zhou Pengwu, Shenzhen Pengai Investment and each of the Relevant Subsidiaries entered into certain exclusive option agreements. Pursuant to these exclusive option agreements, Dr. Zhou Pengwu irrevocably granted Shenzhen Pengai Investment an exclusive right to purchase, or have its designated person(s) to purchase, at its discretion, all or part of his equity interest in the Relevant Subsidiaries, and the purchase price shall be the lowest price permitted by applicable PRC law. Each of Dr. Zhou Pengwu and the Relevant Subsidiaries undertakes that, among others, without the prior written consent of Shenzhen Pengai Investment, he or it shall or shall cause the Relevant Subsidiaries not to declare any dividends or distribute any residual profits, change or amend its articles of association, increase or decrease its registered capital, or change its structure of registered capital in other manners. In the event that Dr. Zhou Pengwu increases his capital injection into the Relevant Subsidiaries, Dr. Zhou Pengwu undertakes and confirms that any additional equity so acquired shall be subject to the purchase option. Unless terminated by Shenzhen Pengai Investment at its sole discretion, the exclusive option agreement will remain effective until all equity interest in the Relevant Subsidiaries held by Dr. Zhou Pengwu is transferred or assigned to Shenzhen Pengai Investment or its designated person(s). (e) Risks in relation to the Contractual Arrangements (Continued) In January 2015, the Ministry of Commerce (“MOFCOM”), released for public comment a proposed PRC law, the Draft Foreign Investment Enterprises (“FIE”) Law, that appears to include contractual arrangements within the scope of entities that could be considered to be FIEs, that would be subject to restrictions under existing PRC law on foreign investment in certain categories of industry. Specifically, the Draft FIE Law introduces the concept of “actual control” for determining whether an entity is considered to be an FIE. In addition to control through direct or indirect ownership or equity, the Draft FIE Law includes control through contractual arrangements within the definition of “actual control”. If the Draft FIE Law is passed by the People’s Congress of the PRC and goes into effect in its current form, these provisions regarding control through contractual arrangements could be construed to include the Company’s contractual arrangements, and as a result, the Relevant Subsidiaries could become explicitly subject to the current restrictions on foreign investment in certain categories of industry. The Draft FIE Law includes provisions that would exempt from the definition of FIEs where the ultimate controlling shareholders are either entities organized under PRC law or individuals who are PRC citizens. The Draft FIE Law is silent as to what type of enforcement action might be taken. If the restrictions and prohibitions on FIEs included in the Draft FIE Law are enacted and enforced in their current form, the Company’s ability to use the contractual arrangements and the Company’s ability to conduct business through the contractual arrangements could be severely limited. The Company’s ability to control the Target Equity Interests in the Relevant Subsidiaries also depends on the power of attorney exercised by Shenzhen Pengai Investment to vote on all matters requiring shareholders’ approvals in the Relevant Subsidiaries. As noted above, the Company believes these powers of attorney are legally binding and enforceable but may not be as effective as direct equity ownership. In addition, if the Company’s corporate structure or the contractual arrangements were found to be in violation of any existing PRC laws and regulations, the PRC regulatory authorities could, within their respective jurisdictions: ● revoke the Contractual Arrangements; ● impose fines, confiscating the income from the Relevant Subsidiaries, or imposing other requirements with which the Company may not be able to comply; ● discontinue or restrict the Company’s operations in the PRC; ● impose conditions or requirements with which the Company may not be able to comply; or ● take other regulatory or enforcement actions that could be harmful to the Company’s business. The imposition of any of these restrictions or actions may result in a material adverse effect on the Company’s ability to conduct its business. In addition, if the imposition of any of these restrictions causes the Company to lose the right to direct the activities of the Relevant Subsidiaries or the right to receive their economic benefits, the Company may no longer be able to consolidate the financial statements of the Relevant Subsidiaries. In the opinion of management, the likelihood of losing the benefits in respect of the Company’s current ownership structure or the contractual arrangements is remote. |
Associates | 2.4 Associates An associate is an entity over which the Group has significant influence but not control, generally accompanying a shareholding of between 20% and 50% of the voting rights. Investments in associates are accounted for using the equity method of accounting. Under the equity method, the investment is initially recognised at cost, and the carrying amount is increased or decreased to recognise the Company’s share of the comprehensive income of the investee after the date of acquisition. The Group’s investments in associates include goodwill identified on acquisition. Upon the acquisition of the ownership interest in an associate, any difference between the cost of the associate and the Group’s share of the net fair value of the associate’s identifiable assets and liabilities is accounted for as goodwill. The Group’s share of post-acquisition profit or loss is recognised in the statement of comprehensive income, and its share of post-acquisition movements in other comprehensive income is recognised in other comprehensive income with a corresponding adjustment to the carrying amount of the investment. If the ownership interest in an associate is reduced but significant influence is retained, only a proportionate share of the amounts previously recognised in other comprehensive income is reclassified to profit or loss where appropriate. When the Group’s share of losses in an associate equals or exceeds its interest in the associate, including any other unsecured receivables, the Group does not recognise further losses, unless it has incurred legal or constructive obligations or made payments on behalf of the associate. The Group determines at each reporting date whether there is any objective evidence that the investment in the associate is impaired. If this is the case, the Group calculates the amount of impairment as the difference between the recoverable amount of the associate and its carrying value and recognises the amount adjacent to ‘share of profit of investments accounted for using equity method’ in the consolidated statement of comprehensive income. Profits and losses resulting from upstream and downstream transactions between the Group and its associate are recognised in the Group’s financial statements only to the extent of unrelated investor’s interests in the associates. Unrealised losses are eliminated unless the transaction provides evidence of an impairment of the asset transferred. Accounting policies of associates have been changed where necessary to ensure consistency with the policies adopted by the Group. Gain or losses on dilution of equity interest in associates are recognised in the consolidated statement of comprehensive income. |
Segment reporting | 2.5 Segment reporting Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker, which is the Board of Directors. In the respective periods presented, the Company had one single operating and reportable segment, namely the provision of non- surgical aesthetic medical services, surgical aesthetic medical services, other aesthetic medical services and general healthcare services. As the Company’s long-lived assets are substantially all located in the PRC and substantially all of the Company’s revenue is derived from within the PRC, no geographical information is presented. |
Foreign currency translation | 2.6 Foreign currency translation (a) Functional and presentation currency Items included in the consolidated financial statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (the “functional currency”). The consolidated financial statements are presented in RMB, which is the Company’s functional and the Group’s presentation currency. (b) Transactions and balances Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions or valuation where items are re- measured. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in consolidated statement of comprehensive income. Exchange differences on Series A Preferred Shares, convertible note and exchangeable note liabilities were recorded in “fair value (loss)/gain of convertible redeemable preferred shares”, “fair value loss of convertible note” and “fair value (loss)/gain of exchangeable note liabilities”, respectively. (c) Group companies The results and financial position of all the Group entities (none of which has the currency of a hyper-inflationary economy) that have a functional currency different from the presentation currency are translated into the presentation currency as follows: (i) assets and liabilities for each balance sheet presented are translated at the closing rate at the reporting date; (ii) income and expenses for each statement of comprehensive income are translated at average exchange rates (unless this average is not a reasonable approximation of the cumulative effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the rate on the dates of the transactions); and (iii) all resulting exchange differences are recognised in other comprehensive income. Goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign entity and translated at the closing rate. Currency translation differences arising are recognised in other comprehensive income. |
Property, plant and equipment | 2.7 Property, plant and equipment Property, plant and equipment are stated at historical cost less depreciation. Historical cost includes expenditure that is directly attributable to the acquisition of the items. Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item can be measured reliably. The carrying amount of the replaced part is derecognised. All other repairs and maintenance are charged to the consolidated statement of comprehensive income during the financial period in which they are incurred. Depreciation of property, plant and equipment is calculated using the straight-line method to allocate cost of each asset to their residual values over their estimated useful lives, as follows: - Leasehold improvements Shorter of remaining lease term and the estimated useful lives of the assets - Right of use assets Shorter of the asset’s useful life and the lease term on a straight-line basis - Machinery and equipment 10 years - Office equipment, furniture, fixture and motor vehicles 5 - 10 years - Buildings 20 - 50 years The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period. An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its estimated recoverable amount. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised within “general and administrative expenses” in the consolidated statement of comprehensive income. Gains and losses on lease modification relating to the full termination of the leases are recognised within “general and administrative expenses” in the consolidated statement of comprehensive income. |
Investment properties | 2.8 Investment properties Properties that are held for long – term rental yields or for capital appreciation or both, and that are not occupied by the companies in the Group, are classified as investment properties in the consolidated financial statements. Investment properties are carried at fair value basis and its movement will be reviewed annually. If an owner-occupied property becomes an investment property because its use has changed, any difference resulting between the carrying amount and the fair value of this property at the date of transfer is recognised in equity as a revaluation of property, plant and equipment. However, if the fair value of the property at the date of transfer which results in a reversal of the previous impairment loss, the write-back is recognised in the consolidated income statement. Subsequent expenditure is included to the asset’s carrying amount only when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item can be measured reliably. All other repairs and maintenance costs are expensed in consolidated statement of comprehensive income during the financial periods in which they are incurred. |
Intangible assets | 2.9 Intangible assets (a) Goodwill (Continued) Goodwill impairment reviews are undertaken annually or more frequently if events or changes in circumstances indicate a potential impairment. The carrying value of the CGU containing the goodwill is compared to the recoverable amount, which is the higher of value in use and the fair value less costs of disposal. Any impairment is recognised immediately as an expense and is not subsequently reversed. See note 15 for the goodwill impairment charges recognised in the respective years presented. (b) Computer software Acquired computer software licenses are capitalised on the basis of the costs incurred to acquire and bring the specific software into usage. These costs are amortised using the straight-line method over their estimated useful lives of 5 years. Cost associated with maintaining computer software programmes are recognised as an expense as incurred. (c) Medical licenses and tradenames |
Impairment of non-financial asset | 2.10 Impairment of non-financial asset Intangible assets that have an indefinite useful life or intangible assets not ready to use are not subject to amortisation and are tested annually for impairment. Assets that are subject to amortisation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs of disposal and value in use. For purposes of periodic impairment assessment performed at each reporting date, assets are grouped at the lowest levels for which there are separately identifiable cash flows (cash-generating units). Non-financial assets other than goodwill that suffered an impairment are reviewed for possible reversal of the impairment at each reporting date. |
Financial assets | 2.11 Financial assets 2.11.1 Classification The Group classifies its financial assets in the following measurement categories: (i) those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and (ii) those to be measured at amortised cost. The classification depends on the Group’s business model for managing the financial assets and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss. 2.11 Financial assets (Continued) 2.11.1 Classification (Continued) For assets measured at fair value, gain and loss will either be recorded in profit or loss or other comprehensive income. For investments in debt instruments, this will depend on the business model in which the investment is held. For investments in equity instruments, this will depend on whether the Group has made an irrevocable election at the time of initial recognition to account for the equity investment at fair value through other comprehensive income. The Group reclassifies debt investments when and only when its business model for managing those assets changes. 2.11.2 Recognition and measurement Debt instruments Subsequent measurement of debt instruments depends on the Group’s business model for managing the asset and the cash flow characteristics of the asset. There are two measurement categories into which the Group classifies its debt instruments: ● Amortised cost: Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and interest are measured at amortised cost. A gain or loss on a debt investment that is subsequently measured at amortised cost and is not part of a hedging relationship is recognised in the consolidated statement of profit or loss when the asset is derecognised or impaired. Interest income from these financial assets is included in finance income using the effective interest rate method. ● Fair value through profit or loss: Assets that do not meet the criteria for amortised cost or financial assets at fair value through other comprehensive income are measured at fair value through profit or loss. A gain or loss on a debt investment that is subsequently measured at fair value through profit or loss and is not part of a hedging relationship is recognised in profit or loss and presented net in ‘other gains, net’ in the period in which it arises. Equity instruments The Group subsequently measures all equity investments at fair value. Where the Group’s management has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains and losses to profit or loss following the derecognition of the investment. Dividends from such investments continue to be recognised in profit or loss as other income when the Group’s right to receive payments is established. Changes in the fair value of financial assets at fair value through profit or loss are recognised in other gains, net in the consolidated statement of comprehensive income as applicable. Impairment losses (and reversal of impairment losses) on equity investments measured at fair value through other comprehensive income are not reported separately from other changes in fair value. 2.11.3 Derecognition Financial assets are derecognised when the rights to receive cash flows from the financial assets have expired or have been transferred and the Group has transferred substantially all the risks and rewards of ownership. |
Offsetting financial instruments | 2.12 Offsetting financial instruments |
Impairment of financial assets | 2.13 Impairment of financial assets The Group has the following types of financial assets subject to IFRS 9’s expected credit loss model: ● Trade receivables ● Other receivables and deposits ● Cash and cash equivalents ● Amounts due from related parties The Group assesses on a forward looking basis the expected credit losses associated with its assets carried at amortised cost. For trade receivables, the Group applies the simplified approach permitted by IFRS 9, which requires expected lifetime losses to be recognised from initial recognition of the receivables. Impairment on other receivables, deposits, amounts due from related parties are measured as either 12-month expected credit losses or lifetime expected credit loss, depending on whether there has been a significant increase in credit risk since initial recognition, then impairment is measured as lifetime expected credit losses. To manage risk arising from pledged deposits and cash and cash equivalents, the Group only transacts with state-owned or reputable financial institutions. There has been no recent history of default in relation to these financial institutions. |
Inventories | 2.14 Inventories Inventories are stated at the lower of cost and net realisable value. Cost is determined using the weighted average method. Net realisable value is the estimated selling price in the ordinary course of business, less applicable variable selling expenses. |
Cash and cash equivalents | 2.15 Cash and cash equivalents In the consolidated statement of cash flows, cash and cash equivalents includes cash in hand and deposits held at call with banks. |
Assets (or disposal groups) held-for-sale | 2.16 Assets (or disposal groups) held-for-sale Assets (or disposal groups) are classified as held for sale when their carrying amount is to be recovered principally through a sale transaction and a sale is considered highly probable. The assets (except for certain assets as explained below), (or disposal groups), are stated at the lower of carrying amount and fair value less costs to sell. Deferred tax assets, assets arising from employee benefits, financial assets (other than investments in subsidiaries and associates) and investment properties, which are classified as held for sale, would continue to be measured in accordance with the policies set out elsewhere in Note 2. |
Share capital | 2.17 Share capital Ordinary shares are classified as equity. Mandatorily redeemable preference shares are classified as liabilities. Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds. |
Trade and other payables | 2.18 Trade and other payables Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if payment is due within one year or less (or in the normal operating cycle of the business if longer). If not, they are presented as non-current liabilities. Trade and other payables are recognised initially at fair value and subsequently measured at amortised cost using the effective interest method. |
Borrowings | 2.19 Borrowings Borrowings are recognised initially at fair value, net of transaction costs incurred. Borrowings are subsequently carried at amortised cost; any difference between the proceeds (net of transaction costs) and the redemption value is recognised in consolidated statement of comprehensive income over the periods of the borrowings using the effective interest method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the periods of the facility to which it relates. Preference shares, if mandatorily redeemable at a specific date or redeemable at the option of the holder, are classified as liabilities. The dividends on these preference shares are recognised in the consolidated statement of comprehensive income as interest expense. Borrowings are removed from the consolidated balance sheets when the obligation specified in the contract is discharged, cancelled or expired. The difference between the carrying amount of a financial liability that has been extinguished or transferred to another party and the consideration paid, including any non-cash assets transferred or liabilities assumed, is recognised in consolidated statement of comprehensive income as other income or finance costs. Where the terms of a financial liability are renegotiated and the entity issues equity instruments to a creditor to extinguish all or part of the liability (debt for equity swap), a gain or loss is recognised in consolidated statement of comprehensive income, which is measured as the difference between the carrying amount of the financial liability and the fair value of the equity instruments issued. Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of the liability for at least 12 months after the end of the reporting period. |
Current and deferred income tax | 2.20 Current and deferred income tax (a) Current income tax The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the reporting date in the countries where the Company’s subsidiaries and associates operate and generate taxable income. Management periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected to be paid to the tax authorities. (b) Deferred income tax Inside basis differences Deferred income tax is recognised, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the consolidated financial statements. However, deferred tax liabilities are not recognised if they arise from the initial recognition of goodwill, the deferred income tax is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business combination that at the time of the transaction affects neither accounting nor taxable profit or loss. Deferred income tax is determined using tax rates (and laws) that have been enacted or substantively enacted by the balance sheet date and are expected to apply when the related deferred income tax asset is realised or the deferred income tax liability is settled. Deferred income tax assets are recognised only to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilised. Outside basis differences Deferred income tax liabilities are provided on taxable temporary differences arising from investments in subsidiaries and associates, except for deferred income tax liability where the timing of the reversal of the temporary difference is controlled by the Group and it is probable that the temporary difference will not reverse in the foreseeable future. Generally the Group is unable to control the reversal of the temporary difference of associates. Only when there is an agreement in place that gives the Group the ability to control the reversal of the temporary difference in the foreseeable futures, deferred tax liability in relation to taxable temporary difference arising from the associate’s undistributed profits is not recognised. Deferred income tax assets are recognised on deductible temporary differences arising from investments in subsidiaries and associates only to the extent that it is probable the temporary difference will reverse in the future and there is sufficient taxable profit available against which the temporary difference can be utilised. (c) Offsetting Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income taxes assets and liabilities relate to income taxes levied by the same taxation authority on either the taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. |
Employee benefits | 2.21 Employee benefits (a) Pension obligations The group companies incorporated in the PRC contribute based on certain percentage of the salaries of the employees to a defined contribution retirement benefit plan organised by relevant government authorities in the PRC on a monthly basis. The government authorities undertake to assume the retirement benefit obligations payable to all existing and future retired employees under these plans and the Group has no further obligation for post-retirement benefits beyond the contributions made. Contributions to these plans are expensed as incurred. Assets of the plans are held and managed by government authorities and are separate from those of the Group. (b) Profit-sharing and bonus plans The Group recognises a liability and an expense for bonuses, based on performance and takes into consideration the profit attributable to the Group’s shareholders after certain adjustments. The Group recognises a provision where contractually obliged or where there is a past practice that has created a constructive obligation. (c) Share based compensation The Group measures share-based compensation at the grant date based on the fair value of the equity awards determined using the Binomial option-pricing model. As the Group has granted share options with a service-only condition, the Group elected to recognize compensation expense over the period in which the recipient is required to provide service in exchange for the equity award. |
Provisions | 2.22 Provisions Provisions are recognised when the Group has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount has been reliably estimated. Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations may be small. Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as interest expense. |
Revenue recognition | 2.23 Revenue recognition Revenue is recognised when or as the control of the goods or services is transferred to the customer at an amount that reflects the consideration to which the Group expects to be entitled in exchange for those goods or services. Depending on the terms of the contract and the applicable laws, services may be provided over time or at a point in time. When control of goods or services is transferred over time, revenue is recognised over the period of the contract by reference to the progress towards complete satisfaction of that performance obligation. Otherwise, revenue is recognised at a point in time when the customer obtains control of the goods or services. 2.23 Revenue recognition (Continued) The progress towards complete satisfaction of the performance obligation is measured based on one of the following methods that best depict the Group’s performance in satisfying the performance obligation: ● direct measurements of the value transferred by the Group to the customer; or ● the Group’s efforts or inputs to the satisfaction of the performance obligation. A contract asset is the Group’s right to consideration in exchange for goods and services that the Group has transferred to a customer. A receivable is recorded when the Group has an unconditional right to consideration. A right to consideration is unconditional if only the passage of time is required before payment of that consideration is due. A contract liability is recognised when the Group has the obligation to transfer services to the customers for which the consideration received (or an amount of considerations is due) exceeds the measure of the remaining unsatisfied performance obligations. The Group recognises the costs of obtaining and fulfilling a contract with a customers within the contract assets if the Group expects to recover those costs. The following is a description of the accounting policy for the principal revenue streams of the Group: (i) Non-surgical aesthetic medical services, surgical aesthetic medical services and other aesthetic medical services The period of these services rendered is usually within a day, except for certain large-scale surgical aesthetic medical services in which customers receive inpatient treatment. The period of inpatient stays usually does not exceed more than a week. The Group has certain aesthetic medical services package in 2022 for which customers pay in advance. The packages can be utilized for one year from the effective date. If the package has not been used within one year time period, any payment received is recorded as a contract liability in the consolidated balance sheet. Revenue is recognised at a point in time when the respective services are rendered or a contract lability has been fulfilled. For certain aesthetic medical services package issued in 2022, revenue is recognised over time according to the proportion of the services performed as compared to the total services offered. (ii) General healthcare services Revenues are recognised upon the provision of the relevant services for which the service period is usually within a day. Revenue is recognised at a point in time when the respective services are rendered. Management reviews the utilisation pattern of contract liabilities and treatment progress of individual customers on a regular basis to determine full recognition of the corresponding contract liabilities in the consolidated statement of comprehensive income. |
Interest income | 2.24 Interest income Interest income is recognised using the effective interest method. |
Leases | 2.25 Leases The Group leases certain properties. Lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions. The lease agreements do not impose any covenants. Leases are recognised as a right-of-use asset and a corresponding liability at the date on which the leased asset is available for use by the Group. Each lease payment is allocated between the liability and finance cost. The finance cost is charged to profit or loss over the lease period so as to produce a constant periodic rate of interest on the remaining balance of the liability for each period. Assets and liabilities arising from a lease are initially measured on a present value basis. Lease liabilities include the net present value of the following lease payments: ● fixed payments (including in-substance fixed payments), less any lease incentives receivable; and ● payments of penalties for terminating the lease, if the lease reflects the lessee exercising that option The lease payments are discounted using the interest rate implicit in the lease, if that rate can be determined, or the Group’s incremental borrowing rate. Right-of-use assets are measured at cost comprising the following: ● the amount of the initial measurement of lease liability; ● any lease payments made at or before the commencement date less any lease incentives received; and ● any initial direct costs The right-of-use asset is depreciated over the shorter of the asset’s useful life and the lease term on a straight-line basis. Payments associated with short-term leases and leases of low-value assets are recognised on a straight-line basis as an expense in profit or loss. Short-term leases are leases with a lease term of less than 12 months. |
Compound financial instruments | 2.26 Compound financial instruments Compound financial instruments of the Group is convertible note. 2.26 Compound financial instruments (Continued) (a) Convertible notes in 2020 The Group designated the convertible note as a financial liability at fair value through profit or loss. Convertible note is initially recognised at fair value. Any directly attributable transaction costs are recognised as finance costs in the consolidated statement of comprehensive income. Subsequent to initial recognition, the convertible note is carried at fair value with changes in fair value recognised in the consolidated statement of comprehensive income. The convertible note is classified as a non-current liability unless the Group has an obligation to settle the liability within 12 months after the end of the reporting period. For the convertible note issued in 2020, it is redeemable at the option of the Company and the holder. This instrument can be converted into American Depository Receipts of the Company as set out in Note 27. |
Dividend distribution | 2.27 Dividend distribution Dividend distribution to the Company’s shareholders is recognised as a liability in the Group’s consolidated financial statements in the period in which the dividends are approved by the Company’s Board of Directors. |
Summary of significant accoun_3
Summary of significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Summary of significant accounting policies | |
Summary of new standards, amendments to standards and interpretations not yet adopted | Amendments to IFRS 10 and IAS 28 (2011): Sale or Contribution of Assets Between an Investor and Its Associate or Joint Venture To be determined IFRS 17: Insurance Contracts and related amendments 1 January 2023 Amendments to IAS 1: Classification of Liabilities as Current and Non-current 1 January 2023 Amendments to IAS 1: Disclosure of accounting policies 1 January 2023 Amendments to IAS 8: Definition of accounting estimates 1 January 2023 Amendments to IAS 12: Deferred Tax Related to Assets and Liabilities Arising from a Single Transaction 1 January 2023 |
Summary of estimated useful lives of property, plant and equipment | - Leasehold improvements Shorter of remaining lease term and the estimated useful lives of the assets - Right of use assets Shorter of the asset’s useful life and the lease term on a straight-line basis - Machinery and equipment 10 years - Office equipment, furniture, fixture and motor vehicles 5 - 10 years - Buildings 20 - 50 years |
Financial risk management (Tabl
Financial risk management (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Fair Value Of Assets And Liabilities [Line Items] | |
Summary of non derivative financial liabilities by maturity groupings | Less than Between 1 and Between 2 and After 1 year 2 years 5 years 5 years Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 At 31 December 2021 Borrowings 160,646 77,948 — — 238,594 Convertible note — 38,059 — — 38,059 Lease liabilities 32,964 30,810 58,745 38,282 160,801 Trade payables 31,256 — — — 31,256 Accruals and other payables (excluding accrued employee benefits, other taxes, provision and deposits received) 43,396 — — — 43,396 Amounts due to related parties 473 — — — 473 268,735 146,817 58,745 38,282 512,579 At 31 December 2022 Borrowings 172,766 24,533 4,577 — 201,876 Convertible note 64,565 — — — 64,565 Lease liabilities 34,444 33,832 51,865 30,902 151,043 Trade payables 46,752 — — — 46,752 Accruals and other payables (excluding accrued employee benefits, other taxes, provision and deposits received) 17,001 — — — 17,001 335,528 58,365 56,442 30,902 481,237 |
Summary of gearing ratios | The gearing ratios at 31 December 2021 and 2022 were as follows: 2021 2022 RMB’000 RMB’000 Total borrowings 233,815 201,876 Add: Convertible note (Note 27) 38,059 64,565 Less: Cash and cash equivalents (Note 19) (39,289) (12,161) Restricted cash (Note 19) — (1,547) Net debt 232,585 252,733 Total equity (186,422) (125,880) Total capital 46,163 126,853 Gearing ratio 503.83 % 199.23 % |
Summary of financial liabilities that are measured at fair value | Level 1 Level 2 Level 3 Total RMB’000 RMB’000 RMB’000 RMB’000 As at 31 December 2022 Assets Investment properties (Note 14) — — 23,065 23,065 — — 23,065 23,065 Liabilities Financial liabilities at fair value through profit or loss - Convertible note (Note 27) — — 64,565 64,565 — — 64,565 64,565 |
Level 3 [Member] | |
Disclosure Of Fair Value Of Assets And Liabilities [Line Items] | |
Summary of financial liabilities that are measured at fair value | The following table presents the changes in level 3 liability instrument for the year ended 31 December 2021: Convertible note (Note 27) Total RMB’000 RMB’000 Opening balance 34,190 34,190 Unrealised exchange difference (371) (371) Change in fair value 4,240 4,240 Closing balance 38,059 38,059 3 Financial risk management (Continued) 3.3 Fair value estimation (Continued) The following table presents the changes in level 3 liability instrument for the year ended 31 December 2022: Convertible note (Note 27) Total RMB’000 RMB’000 Opening balance 38,059 38,059 Change in fair value 26,506 26,506 Closing balance 64,565 64,565 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Revenue | |
Summary of revenue | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Non-surgical aesthetic medical services 452,670 334,248 482,285 Surgical aesthetic medical services 401,645 243,070 132,628 General healthcare services and other aesthetic medical services 47,258 68,275 55,178 901,573 645,593 670,091 |
Expenses by nature (Tables)
Expenses by nature (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Expenses by nature | |
Summary of expenses by nature | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Employee benefit expenses (Note 7) 322,563 309,250 234,142 Advertising and marketing expenses 380,794 255,534 132,202 Cost of inventories and consumables 163,881 174,991 160,152 Operating lease rental expenses 4,860 15,836 12,822 Amortisation and depreciation 106,405 99,135 61,485 Utilities and office expenses 52,666 76,579 39,085 Travelling and entertainment expenses 17,136 12,818 7,009 Bank charges 4,350 3,213 4,035 Loss on disposal of property, plant and equipment 915 — 20,465 Legal and professional fees 19,273 30,570 14,743 Other expenses 25,207 9,820 5,218 1,098,050 987,746 691,358 |
Employee benefit expenses (Tabl
Employee benefit expenses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Employee benefit expenses | |
Summary of employee benefit expenses | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Wages and salaries 225,085 250,773 183,193 Share-based compensation expenses 78,967 35,463 27,528 Pension costs - defined contribution plans 5,841 16,942 15,651 Other staff welfare expenses 12,670 6,072 7,770 322,563 309,250 234,142 |
Finance income and costs (Table
Finance income and costs (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Finance income and costs | |
Summary of finance income and costs | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Finance costs Interest expense on bank borrowings (8,897) (7,844) (579) Interest expense on other borrowings (3,599) (6,542) (12,375) Interest expense on lease liabilities (16,693) (12,844) (8,681) (29,189) (27,230) (21,635) Finance income Interest income on short-term bank deposits 1,185 113 155 Finance costs – net (28,004) (27,117) (21,480) |
Income tax expense (Tables)
Income tax expense (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income tax expense | |
Summary of income tax expense | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Current tax PRC enterprise income tax 486 8,208 3,308 Deferred tax Origination and reversal of temporary differences (Note 23) (13,073) (20,006) (21,375) Income tax credit (12,587) (11,798) (18,067) |
Summary of taxation on the Groups loss before income tax differs from the theoretical amount that would arise using the taxation rate of PRC | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Loss before income tax (259,492) (681,314) (94,173) Calculated at a taxation rate of 25% (64,873) (170,329) (23,543) Expenses not tax deductible 42,824 42,450 7,223 Income not subject to tax (1,165) — — Utilisation of previously unrecognised tax losses (428) — — Recognition of previously unrecognised temporary difference (520) — — Tax losses not recognized 13,034 117,454 5,531 Difference in overseas tax rates 351 (304) (400) Over‑provision in respect of prior years (1,810) (1,069) (6,878) Income tax expense/(credit) (12,587) (11,798) (18,067) |
Loss per share (Tables)
Loss per share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Loss per share | |
Summary of computation of basic and diluted profit/(loss) per share | 2020 2021 2022 RMB’000 RMB’000 RMB’000 (Note ii) (Note ii) (Note ii) Numerator: Loss attributable to owners of the Company – basic (235,479) (586,619) (76,247) Loss attributable to owners of the Company – diluted (235,479) (586,619) (76,247) Shares (denominator): Weighted average number of shares – basic 65,297,485 65,960,235 81,911,577 Weighted average number of shares – diluted 65,297,485 65,960,235 81,911,577 Loss per share – basic (RMB) (3.61) (8.89) (0.93) Loss per share – diluted (RMB) (3.61) (8.89) (0.93) Note i As the Group incurred losses for the years ended 31 December 2021 and 2022, share option and the conversion of convertible note would be anti-dilutive and therefore, related changes in fair value is not included in the computation of diluted loss per share. Diluted loss per share and basic loss per share are the same for the year ended 31 December 2021 and 2022. |
Property, plant and equipment (
Property, plant and equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, plant and equipment | |
Schedule of property, plant and equipment | Office equipment, Machinery furniture fixtures Leasehold and and motor Right of use Buildings improvements equipment vehicles assets Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 At 31 December 2021 Opening net book amount 60,635 195,601 65,622 14,388 195,695 531,941 Additions — 34,734 40,617 3,377 3,321 82,049 Impairment loss (Note 15) — (76,375) (14,352) (4,453) (44,638) (139,818) Disposal — (3,675) (8,539) (4,271) (3,612) (20,097) Business combination (Note 29) — 527 557 — 2,159 3,243 Disposal of subsidiaries (Note 30) — (975) (1,635) (605) (524) (3,739) Depreciation charges (3,399) (39,933) (14,871) (3,009) (31,953) (93,165) Translation adjustments — (68) (1,179) (418) — (1,665) Closing net book amount 57,236 109,836 66,220 5,009 120,448 358,749 Year ended 31 December 2021 At 31 December 2021 Cost 64,739 302,000 132,655 27,756 208,559 735,709 Accumulated depreciation and impairment (7,503) (192,164) (66,435) (22,747) (88,111) (376,960) Net book amount 57,236 109,836 66,220 5,009 120,448 358,749 At 31 December 2022 Opening net book amount 57,236 109,836 66,220 5,009 120,448 358,749 Additions 105 20,861 11,509 2,999 70,177 105,651 Disposal — — (930) (1,211) (22,381) (24,522) Disposal of subsidiaries (Note 30) — (23,469) (2,900) (340) (14,161) (40,870) Depreciation charges (3,305) (13,845) (12,364) (1,421) (30,156) (61,091) Transfer to Investment Properties (17,101) — — — — (17,101) Closing net book amount 36,935 93,383 61,535 5,036 123,927 320,816 Year ended 31 December 2022 At 31 December 2022 Cost 37,021 289,207 131,668 25,663 214,787 698,346 Accumulated depreciation and impairment (86) (195,824) (70,133) (20,627) (90,860) (377,530) Net book amount 36,935 93,383 61,535 5,036 123,927 320,816 |
Lease (Tables)
Lease (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Lease | |
Schedule of amounts recognised in the consolidated balance sheets | As at As at As at 31 December 31 December 31 December 2020 2021 2022 RMB RMB RMB Lease liabilities Current 35,868 28,278 27,352 Non-current 178,983 105,754 99,304 214,851 134,032 126,656 |
Schedule of amounts recognised in the statements of comprehensive income | 2020 2021 2022 RMB RMB RMB Interest expense (included in finance costs) (Note 8) 16,693 12,844 8,681 Expense relating to short-term leases (included in cost of goods sold and administrative expenses) 4,860 15,836 12,822 |
Investment properties (Tables)
Investment properties (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investment properties | |
Schedule of investment properties | 2021 2022 RMB’000 RMB’000 Fair value At 1 January — — Transfer from property, plant and equipment — 23,065 At 31 December — 23,065 |
Schedule of amounts recognised in consolidated income statement for investments properties | Amounts recognised in the consolidated income statements for investment properties: 2020 2021 2022 RMB’000 RMB’000 RMB’000 Rental income 851 — — |
Intangible assets (Tables)
Intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Intangible assets | |
Schedule of intangible assets | Computer Medical Goodwill software licenses Tradenames Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Year ended 31 December 2021 Opening net book amount 141,312 7,692 — 59,425 208,429 Additions — 251 — — 251 Disposal — (1,350) — — (1,350) Business combination (Note 29) 14,697 19 — 2,400 17,116 Disposal of subsidiaries (Note 30) (735) (146) — (10,623) (11,504) Amortisation — (1,797) — (4,173) (5,970) Impairment loss (Note) (122,099) (3,956) — (43,679) (169,734) Closing net book amount 33,175 713 — 3,350 37,238 At 31 December 2021 Cost 54,389 12,010 9,585 4,637 80,621 Impairment (21,214) (3,954) — (719) (25,887) Accumulated amortisation — (7,343) (9,585) (568) (17,496) Net book amount 33,175 713 — 3,350 37,238 Year ended 31 December 2022 Opening net book amount 33,175 713 — 3,350 37,238 Additions — 606 — — 606 Disposal — (3) — — (3) Business combination (Note 29) 779 — — — 779 Disposal of subsidiaries (Note 30) (955) — — — (955) Amortisation — (395) — — (395) Closing net book amount 32,999 921 — 3,350 37,270 At 31 December 2022 Cost 54,213 12,813 9,585 5,039 81,650 Impairment (21,214) (3,954) — (719) (25,887) Accumulated amortisation — (7,938) (9,585) (970) (18,493) Net book amount 32,999 921 — 3,350 37,270 Note: Goodwill of RMB14,697,000 and RM779,000 arose from acquisitions of subsidiaries in 2021 and 2022 respectively. The subsidiaries are principally engaged in the provision of non-surgical aesthetic treatments and surgical aesthetic treatments in the PRC. |
Schedule of estimated growth rates used for cash flow projections | 2021 2022 Annual compound revenue growth rate 6.0% ~ 10.0% 6.0% ~ 10.0% Annual gross profit ratio 57.7% ~ 75.0% 53.8% ~ 65% Discount rate 16% 5.7% |
Investments accounted for usi_2
Investments accounted for using the equity method (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investments accounted for using the equity method | |
Schedule of changes in investments accounted for using the equity method | 2021 2022 RMB’000 RMB’000 At 1 January 8,330 4,904 Acquisition 900 860 Disposal — (600) Impairment (4,407) — Share of loss 81 — Transfer to assets held-for-sale — (4,004) At 31 December 4,904 1,160 |
Schedule of nature of investments in associates | Place of % of ownership Nature of the Measurement Name of entity establishment 2021 2022 relationship method Moyan (Shenzhen) Network Technology Co., Ltd. The PRC 46 % 46 % Note 1 Equity (美約(深圳)網路技術有限公司) Mendis Aesthetic PTE. Ltd. Singapore 44.4 % — % Note 2 Equity Jinan Pengai Meikang Aesthetic Medical Clinic Co., Ltd. (濟南鵬愛美康醫療美容診所有限公司) The PRC 30 % — % Note 3 Equity Shenzhen Huayanyuese Health Management Consulting Co., Ltd. (深圳市花顔悅色健康管理咨詢有限公司) The PRC 30 % 30 % Note 4 Equity Shenzhen Pengai Lizhi Aesthetic Medical Clinic (深圳鹏爱荔枝医疗美容诊所) The PRC — % 43 % Note 5 Equity Note 1: Moyan (Shenzhen) Network Technology Co., Ltd. (“Moyan”) is engaged in internet marketing services. Note 2: Mendis Aesthetic PTE. Ltd. (“Mendis”) is engaged in the provision of aesthetic medical services. The Company transformed the investment to assets held-for-sale during the year (Note 20). Note 3: Jinan Pengai Meikang Aesthetic Medical Clinic Co., Ltd. (“Jinan Meikang”) is engaged in the provision of aesthetic medical services. The Company’s subsidiary Shenzhen Pengai Hospital Investment Management Co. Ltd. signed a share purchase agreement with Shandong Aiyue Yimei Medical Technology Co., Ltd. (“Aiyue”), where Aiyue purchased 30% shares in Jinan Meikang on 27 September 2022 by receiving cash and equivalent medical consumables of an aggregate amount of RMB495,513 from the Company. Note 4: Shenzhen Huayanyuese Health Management Consulting Co., Ltd. is engaged in investment holding and provision of management services. Note 5: Shenzhen Pengai Lizhi Aesthetic Medical Clinic (“Lizhi”) is engaged in the provision of aesthetic medical services. The Company’s subsidiary Shenzhen Miaoyan Medical Technology Investment Co., Ltd. ("Miaoyan Technology”) signed an investment cooperation agreement with Shenzhen Zimu Culture Investment Development Co., Ltd., where Miaoyan Technology subscribed 60% shares in Lizhi on 31 December 2021 for a consideration of RMB2 million, after which Miaoyan Technology signed a share purchase agreement with Zihan Chen, where Zihan Chen purchased 17% shares in Lizhi for a consideration of RMB2 million. On January 10, 2023, the Company entered into a share purchase agreement with a non-affiliated third party, under which it transferred 100% shares in Miaoyan Technology to this third party for a consideration of RMB1.9 million. As of the date of this annual report, the transaction has not been closed. |
Schedule of summarised financial information for associates | Summarised balance sheet 2021 2022 RMB’000 RMB’000 Current Cash and cash equivalents 1,108 33 Other current assets (excluding cash and cash equivalents) 295 4,611 Total current assets 1,403 4,644 Financial liabilities (excluding trade payables) (14) — Other current liabilities (including trade payables) (425) (2,654) Total current liabilities (439) (2,654) Total non-current assets 3,050 300 Net assets 4,014 2,290 Summarised statement of comprehensive income 2021 2022 RMB’000 RMB’000 Revenue 1,951 — Depreciation and amortisation (69) — Interest expense (22) — Loss before income tax 354 — Income tax expense — — Loss for the year 354 — |
Trade and other receivables, _2
Trade and other receivables, deposits and prepayments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Trade and other receivables, deposits and prepayments | |
Schedule of Trade receivables, Other Receivables, deposits and prepayments | 2021 2022 RMB’000 RMB’000 Trade receivables 7,772 6,193 Other receivables 1,550 1,460 Deposits 15,204 17,976 Prepayments 31,471 31,030 Advances to employees 41 720 48,266 51,186 Less: Non-current portion Prepayments and deposits (16,574) (25,299) Current portion 31,692 25,887 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventories | |
Inventories | 2021 2022 RMB’000 RMB’000 Pharmaceuticals 914 1,304 Medical consumables 29,652 26,549 30,566 27,853 |
Restricted cash and cash and _2
Restricted cash and cash and bank balances (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Restricted cash and cash and bank balances | |
Schedule of cash and cash equivalents | 2021 2022 RMB’000 RMB’000 Restricted cash — 1,547 2021 2022 RMB’000 RMB’000 Cash and cash equivalents Cash at banks 35,685 12,138 Time deposit 3,000 — Cash on hand 604 23 Total 39,289 12,161 |
Schedule of cash and cash equivalents for consolidated statement | 2021 2022 RMB’000 RMB’000 Cash and cash equivalents 39,289 12,161 |
Schedule of cash and cash equivalents denominated in currencies | 2021 2022 RMB’000 RMB’000 RMB 31,021 10,857 US dollars 7,125 96 Hong Kong dollars 6 5 Singapore dollars 1,137 2,750 39,289 13,708 |
Share capital (Tables)
Share capital (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share capital | |
Schedule of Share capital | Ordinary shares of USD 0.001 each Number of Nominal Nominal shares value value USD’000 RMB’000 Authorised: As at 1 January 2020, 31 December 2020, 1 January 2021, 31 December 2021, 1 January 2022 and 31 December 2022 1,500,000,000 1,500 10,599 Issued and paid: As at 1 January 2020, 31 December 2020, 1 January 2021, 31 December 2021, 1 January 2022 and 31 December 2022 70,838,671 72 469 Issuance of shares to Hawyu (HK) Limited (Note i) 21,413,276 21 144 Issuance of shares under Performance Incentive Plan (Note ii) 1,927,793 2 13 As at 31 December 2022 94,179,740 95 626 Note i: In May 2021, we entered into definite share subscription agreement for the issuance of 5,329,410 ordinary shares to Lafang China Co., Ltd. (“Lafang”), a daily consumer products producer in China, at a sale price of US$8.50 for every three ordinary shares (equivalent to US$8.50 per American Depositary Share of the Company), which amounted to US$15.1 million in proceeds. In May 2022, we entered into an amendment to the above share subscription agreement with Lafang. Pursuant to this amendment, we issued 21,413,276 ordinary shares to Hawyu (HK) Limited, a wholly-owned subsidiary of Lafang, at a sale price of RMB4.67 per ordinary share (equivalent to approximately US$2.1 per American Depositary Share based on the exchange rate as of 31 May 2022), which amounted to RMB100 million (US$15 million) in proceeds. The private placement was closed in July 2022. We utilized the money from this private placement to fund our business development and working capital. Note ii: On 29 July 2022, the Company issued 1,927,793 new ordinary shares to certain employees, representing an aggregate 2.0% of the total number of outstanding ordinary shares, at nil consideration in accordance with the 2019 Performance Incentive Plan proposed in September 2019. The purpose of this share option plan is to recognize contributions made by key employees on the negotiation and execution of the financing with Lafang China Co., Ltd. and Jiechuang, as well as to provide an incentive to retain a long-term relationship with the Company under the alignment of interests . |
Schedule of treasury shares | Number of shares RMB’000 As at 1 January 2020, 31 December 2020, 1 January 2021, 31 December 2021, 1 January 2022 and 31 December 2022 135,002 2,023 Note i: On 13 October 2020, the Company announced that its board of directors had approved a share repurchase program, under which the Company was authorized to repurchase in the open market up to US$6.0 million worth of its American depositary shares (“ADSs”) from time to time until 12 October 2021, depending on general market conditions, trading price and other factors, as well as subject to the applicable laws and the Company’s securities trading policy. During the applicable period, 135,000 ordinary shares were repurchased as treasury shares with a total consideration of approximately RMB2 million. |
Other reserves (Tables)
Other reserves (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other reserves. | |
Schedule of other reserves | Share ‑ based Capital Merger Statutory compensation Other reserve reserve reserve reserve reserve Total RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Note (a) Note (b) Note (c) Note (d) Note (e) At 1 January 2020 707,510 (10,000) 42,583 115,748 (66,556) 789,285 Translation of foreign operations — — — — (731) (731) Transfer to statutory reserve — — 194 — — 194 Further acquisition of interests in a subsidiary (Note 31) — — — — 92 92 Partial disposal of interests in a subsidiary without loss of control (Note 31) — — — — 2,548 2,548 Share-based payment reserve — — — 78,967 — 78,967 Share re-purchase — — — — — — At 31 December 2020 707,510 (10,000) 42,777 194,715 (64,647) 870,355 At 31 December 2020 and 1 January 2021 707,510 (10,000) 42,777 194,715 (64,647) 870,355 Translation of foreign operations — — — — 574 574 Further acquisition of interests in a subsidiary (Note 31) 380 — — — (935) (555) Partial disposal of interests in a subsidiary without loss of control (Note 31) — — — — 3,575 3,575 Share-based payment reserve — — — 35,462 — 35,462 At 31 December 2021 707,890 (10,000) 42,777 230,177 (61,433) 909,411 At 31 December 2021 and 1 January 2022 707,890 (10,000) 42,777 230,177 (61,433) 909,411 Translation of foreign operations — — — — (665) (665) Revaluation of investment properties upon transfer from property, plant and equipment — — — — 5,964 5,964 Deregister of subsidiary 17 — — — — 17 Partial disposal of interests in a subsidiary without loss of control (Note 31) — — — — (2,613) (2,613) Issuance of shares 94,153 — — — (144) 94,009 Transaction costs related to issuance of shares (5,128) — — — — (5,128) Share-based payment reserve — — — 27,515 — 27,515 At 31 December 2022 796,932 (10,000) 42,777 257,692 (58,891) 1,028,510 |
Deferred income tax (Tables)
Deferred income tax (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Deferred income tax | |
Schedule of gross tax assets and liabilities | 2021 2022 RMB’000 RMB’000 The deferred tax assets comprise attributable to: - Tax losses 43,323 60,002 - Other temporary differences 2,442 1,161 45,765 61,163 The deferred tax liabilities comprise temporary differences attributable to: - Medical licenses and tradenames (285) — - Others — — (285) — |
Schedule of deferred tax assets and liabilities by recovery period | 2021 2022 RMB’000 RMB’000 Deferred income tax assets: - Deferred income tax assets to be recovered after more than 12 months 45,765 61,163 45,765 61,163 Deferred income tax liabilities: - Deferred income tax liabilities to be settled after more than 12 months (285) — (285) — Deferred income tax assets – net 45,480 61,163 |
Summary of gross movement on deferred income tax accounts | 2021 2022 RMB’000 RMB’000 At 1 January 17,995 45,480 Disposal of subsidiaries (Note 30) 7,479 (5,292) Credited to consolidated statement of comprehensive income 20,006 21,375 Translation adjustment — (400) At 31 December 45,480 61,163 Deferred income tax assets Tax losses Others Total RMB’000 RMB’000 RMB’000 At 1 January 2021 27,988 4,658 32,646 Disposal of a subsidiary (Note 30) (6,144) (743) (6,887) Credited to consolidated statement of comprehensive income 21,479 (1,473) 20,006 At 31 December 2021 and 1 January 2022 43,323 2,442 45,765 Disposal of subsidiaries (Note 30) (5,292) — (5,292) Credited to consolidated statement of comprehensive income 22,371 (1,281) 21,090 Translation adjustment (400) — (400) At 31 December 2022 60,002 1,161 61,163 Deferred income tax liabilities Medical licenses and tradenames Others Total RMB’000 RMB’000 RMB’000 At 1 January 2021 14,425 226 14,651 Disposal of subsidiaries (Note 30) (14,140) (226) (14,366) At 31 December 2021 and 1 January 2022 285 — 285 Credited to consolidated statement of comprehensive income (285) — (285) At 31 December 2022 — — — |
Summary of unrecognized tax losses by expiry period | 2021 2022 RMB’000 RMB’000 Tax loss expiring within 5 years 91,221 103,988 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Borrowings | |
Schedule of Borrowings | 2021 2022 RMB’000 RMB’000 Non ‑ current Bank borrowings - secured 23,470 3,248 Other borrowings - secured 54,137 25,862 77,607 29,110 Current Bank borrowings - secured 82,680 108,534 Other borrowings - secured 73,528 64,232 156,208 172,766 233,815 201,876 |
Trade and accruals, other pay_2
Trade and accruals, other payables and provisions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Trade and accruals, other payables and provisions | |
Schedule of Trade and accruals, other payables and provisions | 2021 2022 RMB’000 RMB’000 Trade payables 31,256 46,752 Accrued employee benefits 26,458 15,004 Accrued operating expenses 5,516 5,772 Accrued professional service fees 9,857 1,749 Deposits received 826 1,147 Duty and tax payable other than corporate income tax 2,172 4,375 Other payables to suppliers of plant and equipment 779 177 Others 27,240 15,514 104,104 90,490 |
Contract liabilities (Tables)
Contract liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Contract liabilities | |
Schedule of contract liabilities | 2021 2022 RMB’000 RMB’000 Advance receipt for treatment packages 236,476 169,725 |
Convertible note (Tables)
Convertible note (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Convertible note 2020 [Member] | |
Disclosure of detailed information about borrowings [line items] | |
Summary of movement of the debt | RMB’000 For the year ended 31 December 2021 At 1 January 2021 34,190 Unrealised exchange difference (371) Change in fair value 4,240 At 31 December 2021 38,059 Fair value changes for the year included in consolidated statement of comprehensive income for liabilities held at the year end 4,240 For the year ended 31 December 2022 At 1 January 2022 38,059 Unrealised exchange difference — Change in fair value 26,506 At 31 December 2022 64,565 Fair value changes for the year included in consolidated statement of comprehensive income for liabilities held at the year end 26,506 |
Cash generated from operations
Cash generated from operations (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Cash generated from operations | |
Schedule of cash generated from operations | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Loss before income tax (259,492) (681,314) (94,173) Adjustments for: Finance income (1,185) (113) (155) Finance costs 29,189 27,230 21,635 Amortisation of intangible assets (Note 15) 8,130 5,970 395 Depreciation of property, plant and equipment (Note 12) 97,232 93,165 61,091 Depreciation of investment properties (Note 14) 1,043 — — Loss on disposal of property, plant and equipment 703 14,349 20,465 Loss on disposal of intangible assets — 1,350 3 Share of losses/(profits) investments accounted for using the equity method 1,043 (81) — Fair value loss of convertible note 1,599 4,240 26,506 Transaction cost related to issuance of convertible note 677 — — Reversal of contingent consideration — (1,523) — Share-based payment 78,967 35,463 27,528 Impairment of non-current assets 32,969 313,959 — Unrealised exchange difference 515 (373) — Loss on disposal of associates 928 — 2,920 Loss on disposal of subsidiaries (Note 30) 1,531 21,558 11,329 Loss on ceased operation of subsidiaries — — — (6,151) (166,120) 77,544 Changes in working capital: - Inventories (8,971) (800) (294) - Trade receivables (7,781) 3,849 1,302 - Other receivables, deposits and prepayments 10,470 34,108 1,718 - Balances with related parties — — — - Trade payables 15,969 4,543 16,394 - Accruals, other payables and provisions 15,191 (52,018) (104,435) - Contract liabilities (13,145) 228,153 (66,728) Cash flow from operating activities 5,582 51,715 (74,499) |
Schedule of net debt and the movements in net debt | Liabilities from financing activities Lease Lease Borrowing Borrowing liabilities liabilities due within due after due within due after 1 year 1 year 1 year 1 year Total Net debt RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 As at 1 January 2021 (135,814) (75,931) (35,868) (178,983) (426,596) Cash flows (20,394) (1,676) 7,590 73,229 58,749 As at 31 December 2021 (156,208) (77,607) (28,278) (105,754) (367,847) As at 1 January 2022 (156,208) (77,607) (28,278) (105,754) (367,847) Cash flows (16,558) 48,497 926 6,450 39,315 As at 31 December 2022 (172,766) (29,110) (27,352) (99,304) (328,532) |
Business combination (Tables)
Business combination (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. | |
Business combination | |
Summary of assets and liabilities recognised as a result of the acquisition | The assets and liabilities recognised as a result of the acquisition are as follows: RMB’000 Other receivables 100 Inventories 400 Property, plant and equipment 500 Net identifiable assets acquired 1,000 Add: goodwill (Note 15) 6,300 Net assets acquired 7,300 |
Summary of analysis of net outflow of cash and cash equivalents in respect of the acquisition | An analysis of net outflow of cash and cash equivalents in respect of the acquisition is as follows: RMB’000 Cash consideration (7,300) Cash and cash equivalents — Net outflow of cash and cash equivalents included in cash flows from investing activities (7,300) |
Summary of pro forma revenue and profit after tax | The following table sets out the pro-forma revenue and profit after tax of the Group had the acquisition taken place from 1 January 2021: 2021 RMB’000 Pro forma consolidated statement of comprehensive income: Revenue 3,797 Loss after tax (333) |
Beijing Aomei | |
Business combination | |
Summary of assets and liabilities recognised as a result of the acquisition | The assets and liabilities recognised as a result of the acquisition are as follows: RMB’000 Cash and cash equivalents 27 Intangible assets 2,419 Trade receivables and other receivables 1,113 Inventories 57 Property, plant and equipment 2,743 Trade payables and other payables (122) Lease liabilities (2,362) Deferred income tax liabilities (600) Current income tax liabilities (9) Non-controlling interest (163) Net identifiable assets acquired 3,103 Add: goodwill (Note 15) 8,397 Net assets acquired 11,500 |
Summary of analysis of net outflow of cash and cash equivalents in respect of the acquisition | An analysis of net outflow of cash and cash equivalents in respect of the acquisition is as follows: RMB’000 Cash consideration — Cash and cash equivalents 27 Net outflow of cash and cash equivalents included in cash flows from investing activities 27 |
Shenzhen Miaoyan Aesthetic Medical Clinic | |
Business combination | |
Summary of assets and liabilities recognised as a result of the acquisition | The assets and liabilities recognised as a result of the acquisition are as follows: RMB’000 Property, plant and equipment 2,832 Prepayments 430 Inventories 348 Trade and other receivables 109 Cash and cash equivalents 119 Trade payables and other payables (3,617) Net identifiable assets acquired 221 Add: goodwill (Note 15) 779 Net assets acquired 1,000 |
Summary of analysis of net outflow of cash and cash equivalents in respect of the acquisition | An analysis of net outflow of cash and cash equivalents in respect of the acquisition is as follows: RMB’000 Cash consideration (1,000) Other payables 300 Cash and cash equivalents 119 Net outflow of cash and cash equivalents included in cash flows from investing activities (581) |
Summary of pro forma revenue and profit after tax | The following table sets out the pro-forma revenue and profit after tax of the Group had the acquisition taken place from 1 January 2022: 2022 RMB’000 Pro forma consolidated statement of comprehensive income: Revenue 1,113 Loss after tax (1,223) |
Disposals of subsidiaries (Tabl
Disposals of subsidiaries (Tables) - Disposals of subsidiaries | 12 Months Ended |
Dec. 31, 2022 | |
Disposals of subsidiaries [Member] | |
Disposals of subsidiaries | |
Schedule of net assets of subsidiary disposed of and their financial impacts | RMB’000 Net assets disposed of: Property, plant and equipment 2,949 Intangible assets 10,903 Goodwill — Deferred tax assets — Inventories 3,462 Trade and other receivables 9,911 Cash and cash equivalents 1,329 Income tax payables (18,410) Trade payables and other payables (22,047) Borrowings — Contract liabilities (304) Lease liabilities — Non-controlling interests (37,565) Net assets of subsidiary (49,772) Loss on disposal of subsidiary 37,688 Consideration (12,084) Satisfied by: Cash consideration — Settlement of pre-existing balances (12,084) (12,084) |
Schedule of analysis of the net outflow of cash and cash equivalents in respect of the disposal of subsidiary | 2021 RMB’000 Cash received — Cash and cash equivalents disposed of (1,329) Net cash inflow in respect of disposal (1,329) |
Nanchang Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd | |
Disposals of subsidiaries | |
Schedule of net assets of subsidiary disposed of and their financial impacts | RMB’000 Net assets disposed of: Property, plant and equipment 3,480 Deferred tax assets 1,449 Prepayments 306 Inventories 1,165 Trade and other receivables 298 Cash and cash equivalents — Trade payables and other payables (5,005) Lease liabilities (7,496) Non-controlling interests 6,589 Net assets of subsidiary 786 Gain on disposal of subsidiary 2,214 Cash consideration 3,000 |
Schedule of analysis of the net outflow of cash and cash equivalents in respect of the disposal of subsidiary | 2022 RMB’000 Cash received 3,000 Net cash inflow in respect of disposal of Nanchang Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd. 3,000 |
Changsha Peng'ai Aesthetic Medical Hospital Co., Ltd | |
Disposals of subsidiaries | |
Schedule of net assets of subsidiary disposed of and their financial impacts | RMB’000 Net assets disposed of: Property, plant and equipment 15,425 Goodwill 176 Deferred tax assets 3,435 Prepayments 159 Inventories 1,843 Trade and other receivables 1,844 Cash and cash equivalents 52 Trade payables and other payables (7,461) Contract liabilities (51) Income tax liabilities (506) Lease liabilities (8,304) Non-controlling interest 11,551 Net assets of subsidiary 18,163 Loss on disposal of subsidiary (13,543) Cash consideration 4,620 |
Changsha Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd | |
Disposals of subsidiaries | |
Schedule of analysis of the net outflow of cash and cash equivalents in respect of the disposal of subsidiary | 2022 RMB’000 Cash received 4,620 Cash and cash equivalents disposed of (52) Net cash inflow in respect of disposal of Changsha Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd. 4,568 |
Transactions with non-control_2
Transactions with non-controlling interests (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Schedule of transactions with non controlling interests and their impacts | During the year ended 31 December 2020, 2021 and 2022, the Group completed the following transactions with non-controlling interests and the impact is as below: Debit to Total net (Debit)/credit non-controlling (debit)/credit to to other reserve interests Equity RMB’000 RMB’000 RMB’000 For the year ended 31 December 2020 Acquisition of additional interests in a subsidiary: - Shanghai Pengai (Note a) 92 (217) (125) Disposal of interests in a subsidiary without loss of control: - Shanghai Jiahong (Note b) (65) 65 — - Guangzhou Pengai (Note c) 2,613 147 2,760 2,640 (5) 2,635 31 Transactions with non-controlling interests (Continued) Debit to Total net (Debit)/credit non-controlling (debit)/credit to to other reserve interests Equity RMB’000 RMB’000 RMB’000 For the year ended 31 December 2021 Acquisition of additional interests in a subsidiary: - Huizhou Pengai (Note d) (220) (140) (360) - Changsha Pengai (Note e) (715) 400 (315) Disposal of interests in a subsidiary without loss of control: - Changsha Pengai (Note f) 3,575 (2,000) 1,575 2,640 (1,740) 900 Debit to Total net (Debit)/credit non-controlling (debit)/credit to to other reserve interests Equity RMB’000 RMB’000 RMB’000 For the year ended 31 December 2022 Acquisition of additional interests in a subsidiary: - Shenzhen Pengai Xiuqi(Note g) (224) (526) (750) - Guangzhou Pengai (Note h) 2,054 (4,814) (2,760) - Guangzhou Pengai Xiuqi (Note i) 86 (86) — - Yantai Pengai (Note j) 288 (588) (300) 2,204 (6,014) (3,810) |
Changsha Pengai Aesthetic Medical Hospital Co. Ltd. | |
Schedule of disposal of non-controlling interests without loss of control | 2021 RMB’000 Carrying amount of non-controlling interests disposed of 2,000 Less: consideration received from non-controlling interest 1,575 Gain on disposal within equity 3,575 |
Schedule of acquisition of interest | 2021 RMB’000 Carrying amount of non-controlling interests acquired (400) Consideration paid to non-controlling interests (315) Excess of consideration paid to non-controlling interest recognised within equity (715) |
Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co. Ltd. | |
Schedule of acquisition of interest | 2022 RMB’000 Carrying amount of non-controlling interests acquired 224 Consideration paid to non-controlling interests (750) Excess of consideration paid to non-controlling interest recognised within equity (526) |
Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. | |
Schedule of disposal of non-controlling interests without loss of control | 2020 RMB’000 Carrying amount of non-controlling interests disposed of (147) Less: consideration received from non-controlling interest 2,760 Gain on disposal within equity 2,613 |
Schedule of acquisition of interest | 2022 RMB’000 Carrying amount of non-controlling interests acquired (2,054) Consideration paid to non-controlling interests (2,760) Excess of consideration paid to non-controlling interest recognised within equity (4,814) |
Hangzhou Pengai Aesthetic Medical Clinic Co., Ltd. | |
Schedule of acquisition of interest | 2021 RMB’000 Carrying amount of non-controlling interests acquired 140 Consideration paid to non-controlling interests (360) Excess of consideration paid to non-controlling interest recognised within equity (220) |
Yantai Pengai Jiayan | |
Schedule of acquisition of interest | Acquisition of interest in Yantai Pengai 2022 RMB’000 Carrying amount of non-controlling interests acquired (288) Consideration paid to non-controlling interests (300) Excess of consideration paid to non-controlling interest recognised within equity (588) |
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | |
Schedule of acquisition of interest | 2020 RMB’000 Carrying amount of non-controlling interests acquired (92) Consideration paid to non-controlling interests (125) Excess of consideration paid to non-controlling interest recognised within equity (217) |
Shanghai Jiahong | |
Schedule of disposal of non-controlling interests without loss of control | 2020 RMB’000 Carrying amount of non-controlling interests disposed of (65) Less: consideration received from non-controlling interest — Gain on disposal within equity (65) |
Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. | |
Schedule of acquisition of interest | 2022 RMB’000 Carrying amount of non-controlling interests acquired (86) Consideration paid to non-controlling interests — Excess of consideration paid to non-controlling interest recognised within equity (86) |
Share based compensation (Table
Share based compensation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share based compensation | |
Schedule of the number and weighted average exercise prices of options | Weighted- Weighted- Number of average average grant options exercise price date fair value RMB RMB Outstanding as of 1 January 2021 2,493,404 0.007 28.01 Vested during the year (note) (1,222,959) Outstanding as of 31 December 2021 1,270,445 0.007 28.01 Vested during the year (note) (1,270,445) Outstanding as of 31 December 2022 — 0.007 28.01 |
Schedule of assumptions used to determine fair value of share options | Risk free interest rate 2.2 % Expected dividend yield 0 Expected volatility 57.87 % Exercise multiples 2.2 Contractual life 10 |
Schedule of share options outstanding and weighted average remaining contractual life | Share options as of Grant date Expiry date Exercise price 31 December 2022 1 June 2019 31 May 2029 US$0.001 — Weighted average remaining contractual life of options outstanding at end of period: Not applicable Performance Incentive Plan was approved by the board of directors in September 2019. On July 29, 2022, the Company issued 1,927,793 new ordinary shares to certain employees, representing an aggregate 2.0% of the total number of outstanding ordinary shares, at nil consideration in accordance with the Performance Incentive Plan. |
Summarised financial informat_2
Summarised financial information of subsidiaries with material non-controlling interests (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Summarised financial information of subsidiaries with material non-controlling interests | |
Summary of financial information of subsidiaries with material non-controlling interests | Huizhou Pengai Shanghai Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Current - Assets 17,386 17,024 23,004 13,641 13,772 14,761 - Liabilities (3,655) (15,541) (17,145) (15,626) (46,764) (50,260) Total current net assets/(liabilities) 13,731 1,483 5,859 (1,985) (32,992) (35,499) Non‑current - Assets 2,046 3,868 5,466 36,302 40,871 41,102 - Liabilities — (733) (3,495) (31,607) (29,040) (29,174) Total non‑current net assets 2,046 3,135 1,971 4,695 11,831 11,928 Net assets/(liabilities) 15,777 4,618 7,830 2,710 (21,161) (23,571) Xiuqi Pengai Haikou Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Current - Assets 9,140 10,252 8,773 3,033 4,546 4,510 - Liabilities (11,464) (33,393) (32,844) (14,405) (23,484) (22,396) Total current net liabilities (2,324) (23,141) (24,071) (11,372) (18,938) (17,886) Non‑current - Assets 22,437 26,429 30,261 22,783 18,964 15,295 - Liabilities — — — (6,144) (5,808) (5,450) Total non‑current net assets 22,437 26,429 30,261 16,639 13,156 9,845 Net assets/(liabilities) 20,113 3,288 6,190 5,267 (5,782) (8,041) 33 Summarised financial information of subsidiaries with material non-controlling interests (Continued) Summarised balance sheets (Continued) Yantai Pengai 2020 2021 2022 RMB’000 RMB’000 RMB’000 Current - Assets 14,806 3,753 2,909 - Liabilities (24,410) (31,845) (25,394) Total current net liabilities (9,604) (28,092) (22,485) Non-current - Assets 35,387 33,234 28,832 - Liabilities (17,748) (17,086) (16,778) Total non-current net assets 17,639 16,148 12,054 Net assets/(liabilities) 8,035 (11,944) (10,431) Summarised statements of comprehensive income Huizhou Pengai Shanghai Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Revenue 26,852 21,561 32,679 29,839 21,674 41,585 Profit/(loss) before income tax 2,743 (8,222) 4,261 (3,884) (25,217) (3,213) Income tax (expense)/credit (685) 297 1,049 157 1,347 (803) Profit/(loss) and total comprehensive income/(loss) for the year 2,058 (7,925) 3,212 (3,727) (23,870) (2,410) Total comprehensive income/(loss) allocated to non‑controlling interests 710 (2,734) 1,044 (746) (4,737) (482) Dividend paid to non‑controlling interests 750 1,116 — — — — Xiuqi Pengai Haikou Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Revenue 28,530 28,251 37,106 20,184 24,134 30,474 (Loss)/Profit before income tax (1,135) (19,411) 3,871 (1,696) (10,966) (2,946) Income tax (expense)/credit (139) 2,586 968 192 (84) (688) (Loss)/Profit and total comprehensive (loss)/income for the year (1,274) (16,825) 2,903 (1,504) (11,050) (2,258) Total comprehensive (loss)/income allocated to non‑controlling interests (140) (1,851) 174 (196) (1,436) (294) Dividend paid to non‑controlling interests — — — 186 — — 33 Summarised financial information of subsidiaries with material non-controlling interests (Continued) Summarised statements of comprehensive income (Continued) Yantai Pengai 2020 2021 2022 RMB’000 RMB’000 RMB’000 Revenue 25,958 15,295 36,763 Profit/(loss) before income tax (2,465) (21,773) 2,018 Income tax (expense)/credit 307 1,795 505 Profit/(loss) and total comprehensive income/(loss) for the year (2,158) (19,978) 1,513 Total comprehensive income/(loss) allocated to non-controlling interests (237) (2,198) 166 Dividend paid to non-controlling interests — — — Summarised statements of cash flows Huizhou Pengai Shanghai Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Cash flows from operating activities Cash generated from operations 3,192 1,217 (1,905) (2,240) 2,587 (11,224) Income tax paid (1,070) (211) (136) (444) (27) — Net cash generated from/(used in) operating activities 2,122 1,006 (2,041) (2,684) 2,560 (11,224) Net cash used in investing activities (78) (589) (68) (5,407) (2,437) (20) Net cash used in financing activities (2,175) (18) 2,520 (2,082) — 10,783 Net (decrease)/increase in cash and cash equivalents (131) 399 411 (10,173) 123 (461) Cash and cash equivalents at beginning of the year 427 296 695 10,634 461 584 Cash and cash equivalents at end of the year 296 695 1,106 461 584 123 Xiuqi Pengai Haikou Pengai 2020 2021 2022 2020 2021 2022 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Cash flows from operating activities Cash generated from/(used in) operations 7,208 (1,419) (81) 2,462 2,162 779 Income tax paid — — — (14) (8) (50) Net cash generated from/(used in) operating activities 7,208 (1,419) (81) 2,448 2,154 729 Net cash used in investing activities (4,305) (767) (13) (1,673) (1,300) (594) Net cash (used in)/generated from financing activities (3,081) 2,880 (505) (629) (100) (586) Net (decrease)/increase in cash and cash equivalents (178) 694 (599) 146 754 (451) Cash and cash equivalents at beginning of the year 187 9 703 76 222 976 Cash and cash equivalents at end of the year 9 703 104 222 976 525 33 Summarised financial information of subsidiaries with material non-controlling interests (Continued) Summarised statements of cash flows (Continued) Yantai Pengai Jiayan 2020 2021 2022 RMB’000 RMB’000 RMB’000 Cash flows from operating activities Cash generated from operations 2,544 47 58 Income tax paid — — — Net cash generated from operating activities 2,544 47 58 Net cash used in investing activities (1,848) — (115) Net cash used in financing activities (1,646) — (163) Net increase/ (decrease) in cash and cash equivalents (950) 47 (220) Cash and cash equivalents at beginning of the year 1,464 514 561 Cash and cash equivalents at end of the year 514 561 341 |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Commitments | |
Schedule of capital commitments | 2021 2022 RMB’000 RMB’000 Contracted but not provided for - Property, plant and equipment — — - Investments — — — — |
Schedule of future aggregate minimum lease payments under non cancellable operating leases | The future aggregate minimum lease payments under non-cancellable operating leases as follows: 2021 2022 RMB’000 RMB’000 Not later than 1 year 10 20 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Related party transactions | |
Summary of transactions with related parties | (a) Transactions with related parties 2021 2022 RMB’000 RMB’000 Depreciation, interest expense and building rental - A related company 2,040 1,890 Medical Equipment rental and transactions -A related company 3,218 5,942 |
Summary of balances with related parties | 2021 2022 RMB’000 RMB’000 Current (Note i) Amounts due from related parties Amounts due from related companies — 2,217 Amounts due from non‑controlling interests 4,391 656 4,391 2,873 Amounts due to related parties Amounts due to related companies 473 — Amounts due to non‑controlling interests — — 473 — |
Summary of key management compensation | 2021 2022 RMB’000 RMB’000 Basic salaries and bonus 17,740 15,609 Share based compensation 24,547 27,528 Pension costs - defined contribution plans 376 319 42,663 43,456 |
Summary of personal guarantees and corporate guarantee from related company | 2021 2022 RMB’000 RMB’000 Bank borrowings of the Group secured by personal guarantees from Dr. Zhou Pengwu, Dr. Zhou Yitao and Ms. Ding Wenting and corporate guarantee from a related company 94,270 78,977 Bank borrowings of the Group secured by personal properties from Dr. Zhou Pengwu and Ms. Ding Wenting 9,000 32,805 |
Particulars of the subsidiari_2
Particulars of the subsidiaries (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Particulars of the subsidiaries | |
Schedule of list of the principal subsidiaries | The following is a list of the principal subsidiaries at 31 December 2021 and 2022: Place of incorporation/ Registered capital/ Interest held Name establishment issued share capital Principal activities 2021 2022 Directly hold: Dragon Jade Holdings Limited British Virgin Islands (The “BVI”) Registered capital of 1 share without par value Investment holding and provision of management services 100 % 100 % (龍翠控股有限公司) Stargaze Wealth Limited BVI Registered capital of 50,000 shares without par value Investment holding and provision of management services 100 % 100 % (遙望星空有限公司) Indirectly hold: Peng Oi Investment (Hong Kong) Holdings Limited Hong Kong 10,000 ordinary shares Investment holding and provision of management services 100 % 100 % (鵬愛投資(香港)集團有限公司) Peng Yida Business Consulting (Shenzhen) Co., Ltd. The PRC Registered capital of Hong Kong dollar 500,000,000 Investment holding and provision of management services 100 % 100 % (鵬意達商務諮詢(深圳)有限公司) Shenzhen Pengai Hospital Investment Management Co., Ltd. The PRC Registered capital of RMB115,000,000 Investment holding and provision of management services 100 % 100 % (深圳鵬愛醫院投資管理有限公司) Aesthetic Medical International Holdings (Singapore) Pte. Ltd. Singapore Singapore dollars 10 Investment holding and provision of management services 100 % 100 % (中國醫美控股(新加坡)有限公司) Shenzhen Pengcheng General Hospital Co., Ltd. The PRC Registered capital of RMB36,000,000 Provision of aesthetic medical services and general healthcare services 100 % 100 % (深圳鵬程醫院有限公司) Shenzhen Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB130,000,000 Provision of aesthetic medical services 100 % 100 % (深圳鵬愛醫療美容醫院有限公司) Shenzhen Pengai Beauty Promise Cosmetic Co., Ltd. The PRC Registered capital of RMB100,000 Sales of cosmetic products 100 % 100 % (深圳市鵬愛美麗約定美容有限公司) Haikou Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB3,000,000 Provision of aesthetic medical services 87 % 87 % (海口鵬愛醫療美容醫院有限公司) Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB6,000,000 Provision of aesthetic medical services 67.5 % 67.5 % (惠州鵬愛醫療美容醫院有限公司) Jinan Pengai Cosmetic Surgery Hospital Co., Ltd. The PRC Registered capital of RMB5,210,000 Provision of aesthetic medical services 95 % 95 % (濟南鵬愛美容整形醫院有限公司) Shanghai Pengai Medical Technology Co., Ltd. The PRC Registered capital of RMB500,000 Provision of medical aesthetic technical consulting and management services 100 % 100 % (上海鵬愛醫療科技有限公司) Shanghai Qiyue Medical Techonology Co., Ltd. The PRC Registered capital of RMB 20,000,000 Provision of medical aesthetic technical consulting and management services 51 % 51 % ( 上海祺嶽醫療科技有限公司 ) Shengli Aesthetic Technology Investment,Hong Kong Company Limited Hong Kong 10,000 ordinary shares Investment holding and provision of management services 100 % 100 % Aih Investment Management Corp. U.S.A Registered capital of 1,000,000 shares with a par of USD 0.01 per share Investment holding and provision of management services 100 % 100 % 36 Particulars of the subsidiaries (Continued) Place of incorporation/ Registered capital/ Interest held Name establishment issued share capital Principal activities 2021 2022 Indirectly hold (Continued): Shenzhen Pengai Culture Broadcast Co., Ltd. The PRC Registered capital of RMB 1,000,000 Provision of cultural, artistic activities, corporate image, exhibition planning and advertising service 100 % 100 % ( 深圳鵬愛文化傳播有限公司 ) Changsha Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB 500,000 Provision of aesthetic medical services 77 % — ( 長沙鵬愛醫療美容醫院有限公司 ) Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. The PRC Registered capital of RMB 3,000,000 Provision of aesthetic medical services 80 % 80 % ( 上海鵬愛醫療美容門診部有限公司 ) Newa Medical Aesthetics Limited Hong Kong 1,000,000 ordinary shares Provision of aesthetic medical services 100 % 100 % Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. The PRC Registered capital of RMB 18,800,000 Provision of aesthetic medical services 76 % 96 % ( 廣州鵬愛醫療美容門診部有限公司 ) Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co. Ltd. The PRC Registered capital of RMB 12,000,000 Provision of aesthetic medical services 89 % 89 % ( 廣州鵬愛醫療美容醫院有限公司 ) Hangzhou Pengai Aesthetic Medical Clinic Co., Ltd. ( 杭州鹏爱医疗美容门诊部有限公司 ) The PRC Registered capital of RMB 6,000,000 Provision of aesthetic medical services 100 % 100 % Shanghai Jiahong (formerly known as Shanghai Mingyue Yueji) Aesthetic Medical Clinic Co., Ltd. ( 上海嘉泓医疗美容门诊部有限公司 ) The PRC Registered capital of RMB 5,000,000 Provision of aesthetic medical services 64 % 64 % Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. ( 廣州鵬愛秀琪醫療美容門診部有限公司 ) The PRC Registered capital of RMB 1,000,000 Provision of aesthetic medical services 55.5 % 70.1 % Beijing AomeiYixin Investment ConsultantCo., Ltd. ( 北京澳美醫信投資顧問有限公司 ) The PRC Registered capital of RMB 500,000 Investment holding and provision of management services 95 % 95 % Beijing Haiyue Xingguang Aesthetic Medical Clinic ( 北京海悅星光醫療美容診所 ) The PRC — Provision of aesthetic medical services 95 % 95 % Yantai Pengai Cosmetic Surgery Hospital Co., Ltd. ( 煙台鵬愛美容整形醫院有限公司 ) The PRC Registered capital of RMB 10,000,000 Provision of aesthetic medical services 89 % 89 % |
Additional information_ conde_2
Additional information: condensed financial statements of the Company (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Additional information: condensed financial statements of the Company | |
Schedule of Condensed balance sheets of the parent company | 2021 2022 RMB’000 RMB’000 ASSETS Non ‑ current assets Investments in subsidiaries and due from subsidiaries — — Current assets Other receivables, deposits and prepayments — — Cash and cash equivalents 5,250 84 5,250 84 Total assets 5,250 84 EQUITY AND LIABILITIES Equity attributable to owners of the Company Share capital and treasury shares (1,554) (1,397) Other reserves (42,434) (72,728) Total equity (43,988) (74,125) LIABILITIES Non ‑ current liabilities Convertible note 38,059 — 38,059 64,565 Current liabilities Accruals, other payables and provisions 11,179 9,644 Convertible note — 64,565 11,179 74,209 Total liabilities 49,238 74,209 Total equity and liabilities 5,250 84 |
Schedule of Condensed statements of comprehensive income of the parent company | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Loss from subsidiaries (140,096) (469,724) (30,294) Selling expenses (1,228) (511) — General and administrative expenses (103,982) (47,188) (34,575) Finance income — — 5,269 Finance costs — (338) — Other loss, net — (6,968) (7) Fair value loss of convertible note (1,599) (4,240) (26,506) Loss before income tax (246,905) (528,969) (86,113) Income tax expense — — — Loss for the year (246,905) (528,969) (86,113) Other comprehensive income/(loss): Items that may be subsequently reclassified to profit or loss Currency translation differences (731) 574 (665) Total other comprehensive income/(loss) for the year, net of tax (731) 574 (665) Total comprehensive loss for the year (247,636) (528,395) (86,778) |
Schedule of Condensed statements of cash flows of the parent company | 2020 2021 2022 RMB’000 RMB’000 RMB’000 Net cash used in operating activities (76,639) (6,250) (88,987) Net cash used in investing activities (8,372) — — Net cash generated from financing activities 30,953 — 94,153 Net increase/(decrease) in cash and cash equivalents (54,058) (6,250) (5,166) Cash and cash equivalents at beginning of the year 65,558 11,500 5,250 Cash and cash equivalents at end of the year 11,500 5,250 84 |
General information - (Details)
General information - (Details) | 1 Months Ended |
Oct. 31, 2019 USD ($) | |
General information | |
Net proceeds from offering | $ 27,600,000 |
Summary of significant accoun_4
Summary of significant accounting policies (Details) - CNY (¥) | 1 Months Ended | 12 Months Ended | ||
Feb. 28, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Summary of significant accounting policies | ||||
Impairment carrying value of goodwill | ¥ 169,734,000 | |||
Loss for the year | ¥ (76,106,000) | ¥ (669,516,000) | ¥ (246,905,000) | |
Net current liabilities | 466,239,000 | |||
Net liabilities | 125,880,000 | |||
Consideration from issuance and allotment of ordinary shares | ¥ 170,000,000 | ¥ 94,153,000 | ||
Minimum period of financial support that will be provided by Binhua Wu | 12 months |
Summary of significant accoun_5
Summary of significant accounting policies - Contractual arrangements with respect to equity interests in certain PRC subsidiaries (Details) | 12 Months Ended |
Dec. 31, 2022 | |
PRC subsidiaries | |
Percentage of equity interest held in certain PRC medical institutions after transfer of interests | 70 |
Dr. Zhou Pengwu | |
PRC subsidiaries | |
Equity interest subject to contractual agreements | 27% |
Yantai Pengai Cosmetic Surgery Hospital Co., Ltd. | |
PRC subsidiaries | |
Equity interest subject to contractual agreements | 26% |
Changsha Pengai Aesthetic Medical Hospital Co., Ltd. | |
PRC subsidiaries | |
Equity interest subject to contractual agreements | 19% |
Shanghai Pengai Aesthetic Medical General Outpatient Clinic Co., Ltd. | |
PRC subsidiaries | |
Equity interest subject to contractual agreements | 12% |
Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd. | |
PRC subsidiaries | |
Equity interest subject to contractual agreements | 24% |
Guangzhou Pengai Aesthetic Medical Hospital Co. Ltd. | |
PRC subsidiaries | |
Equity interest subject to contractual agreements | 25% |
Ms. Ding Wenting | |
PRC subsidiaries | |
Equity interest subject to contractual agreements | 25% |
Bottom of Range [Member] | |
PRC subsidiaries | |
Percentage of equity interest historically held in PRC subsidiaries | 70% |
Equity interest in associate (in percent) | 20% |
Top of Range [Member] | |
PRC subsidiaries | |
Allowable percentage of foreign investment in PRC medical institutions through joint venture entities | 70% |
Equity interest in associate (in percent) | 50% |
Summary of significant accoun_6
Summary of significant accounting policies - Segment reporting (Details) | 12 Months Ended |
Dec. 31, 2022 segment | |
Summary of significant accounting policies | |
Number of operating and reportable segments | 1 |
Summary of significant accoun_7
Summary of significant accounting policies - Depreciation of property, plant and equipment (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Machinery and equipment | |
Property, plant and equipment | |
Estimated useful life of property, plant and equipment | 10 years |
Office equipment, furniture, fixture and motor vehicles | Bottom of Range [Member] | |
Property, plant and equipment | |
Estimated useful life of property, plant and equipment | 5 years |
Office equipment, furniture, fixture and motor vehicles | Top of Range [Member] | |
Property, plant and equipment | |
Estimated useful life of property, plant and equipment | 10 years |
Buildings | |
Property, plant and equipment | |
Estimated useful life of property, plant and equipment | 20 years |
Buildings | Top of Range [Member] | |
Property, plant and equipment | |
Estimated useful life of property, plant and equipment | 50 years |
Summary of significant accoun_8
Summary of significant accounting policies - Intangible assets (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Computer software | |
Intangible assets | |
Amortization period | 5 years |
Bottom of Range | Medical licenses | |
Intangible assets | |
Amortization period | 2 years |
Bottom of Range | Tradenames | |
Intangible assets | |
Amortization period | 19 years |
Top of Range | Medical licenses | |
Intangible assets | |
Amortization period | 16 years |
Top of Range | Tradenames | |
Intangible assets | |
Amortization period | 20 years |
Financial risk management - Mar
Financial risk management - Market risk (Details) - CNY (¥) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Foreign exchange risk | ||
Financial risk management | ||
Reasonable possible increase (decrease) in risk assumption | 5% | 5% |
Reasonable possible increase (decrease) in post tax results due to change in risk assumption | ¥ 4,000 | ¥ 267,000 |
Cash flow and fair value interest rate risk | ||
Financial risk management | ||
Reasonable possible increase (decrease) in risk assumption | 0.10% | 0.10% |
Reasonable possible increase (decrease) in post tax results due to change in risk assumption | ¥ 48,070 |
Financial risk management - Liq
Financial risk management - Liquidity risk (Details) - CNY (¥) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Financial risk management | ||
Net current liabilities | ¥ 466,239,000 | |
Undiscounted cash flows, including interest | 481,237,000 | ¥ 512,579,000 |
Within 1 year | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 335,528,000 | 268,735,000 |
Between 1 and 2 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 58,365,000 | 146,817,000 |
Between 2 and 5 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 56,442,000 | 58,745,000 |
After 5 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 30,902,000 | 38,282,000 |
Liquidity risk | ||
Financial risk management | ||
Net current liabilities | 466,239,000 | |
Convertible note | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 64,565,000 | 38,059,000 |
Convertible note | Within 1 year | ||
Financial risk management | ||
Undiscounted cash flows, including interest | ¥ 64,565,000 | |
Convertible note | Between 1 and 2 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 38,059,000 | |
Convertible note 2020 | Liquidity risk | ||
Financial risk management | ||
Maximum exposure to issue price (as a percent) | 100% | |
Accrued amount of maximum exposure (as a percent) | 15% | |
Borrowings | ||
Financial risk management | ||
Undiscounted cash flows, including interest | ¥ 201,876,000 | 238,594,000 |
Borrowings | Within 1 year | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 172,766,000 | 160,646,000 |
Borrowings | Between 1 and 2 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 24,533,000 | 77,948,000 |
Borrowings | Between 2 and 5 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 4,577,000 | |
Lease liabilities | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 151,043,000 | 160,801,000 |
Lease liabilities | Within 1 year | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 34,444,000 | 32,964,000 |
Lease liabilities | Between 1 and 2 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 33,832,000 | 30,810,000 |
Lease liabilities | Between 2 and 5 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 51,865,000 | 58,745,000 |
Lease liabilities | After 5 years | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 30,902,000 | 38,282,000 |
Trade payables | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 46,752,000 | 31,256,000 |
Trade payables | Within 1 year | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 46,752,000 | 31,256,000 |
Accruals and other payables (excluding accrued employee benefits and other taxes) | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 17,001,000 | 43,396,000 |
Accruals and other payables (excluding accrued employee benefits and other taxes) | Within 1 year | ||
Financial risk management | ||
Undiscounted cash flows, including interest | ¥ 17,001,000 | 43,396,000 |
Amounts due to related parties | ||
Financial risk management | ||
Undiscounted cash flows, including interest | 473,000 | |
Amounts due to related parties | Within 1 year | ||
Financial risk management | ||
Undiscounted cash flows, including interest | ¥ 473,000 |
Financial risk management - Cap
Financial risk management - Capital risk management (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Financial risk management | ||||
Total borrowings | ¥ 201,876 | ¥ 233,815 | ||
Add: Convertible note (Note 27) | 64,565 | 38,059 | ||
Less: Cash and cash equivalents (Note 19) | (12,161) | (39,289) | ¥ (44,384) | |
Restricted cash (Note 19) | (1,547) | |||
Net debt | 252,733 | 232,585 | ||
Total equity | (125,880) | (186,422) | ¥ 425,736 | ¥ 590,598 |
Total capital | ¥ 126,853 | ¥ 46,163 | ||
Gearing ratio | 199.23% | 503.83% |
Financial risk management - Fai
Financial risk management - Fair value estimation (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Group's assets and financial liabilities that are measured at fair value | |||
Assets | ¥ 23,065 | ||
Investment properties | |||
Group's assets and financial liabilities that are measured at fair value | |||
Assets | 23,065 | ||
At fair value | Financial liabilities at fair value through profit or loss | |||
Group's assets and financial liabilities that are measured at fair value | |||
Liabilities | 64,565 | ||
At fair value | Convertible note | Financial liabilities at fair value through profit or loss | |||
Group's assets and financial liabilities that are measured at fair value | |||
Liabilities | 64,565 | ||
Level 3 | |||
Group's assets and financial liabilities that are measured at fair value | |||
Assets | 23,065 | ||
Liabilities | 64,565 | ¥ 38,059 | ¥ 34,190 |
Level 3 | Convertible note | |||
Group's assets and financial liabilities that are measured at fair value | |||
Liabilities | 64,565 | ¥ 38,059 | ¥ 34,190 |
Level 3 | Investment properties | |||
Group's assets and financial liabilities that are measured at fair value | |||
Assets | 23,065 | ||
Level 3 | At fair value | Financial liabilities at fair value through profit or loss | |||
Group's assets and financial liabilities that are measured at fair value | |||
Liabilities | 64,565 | ||
Level 3 | At fair value | Convertible note | Financial liabilities at fair value through profit or loss | |||
Group's assets and financial liabilities that are measured at fair value | |||
Liabilities | ¥ 64,565 |
Financial risk management - Cha
Financial risk management - Changes in level 3 liability (Details) - Level 3 - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of changes in fair value measurement, liabilities | ||
Opening balance | ¥ 38,059 | ¥ 34,190 |
Unrealised exchange difference | (371) | |
Change in fair value | 26,506 | 4,240 |
Closing balance | 64,565 | 38,059 |
Convertible note | ||
Reconciliation of changes in fair value measurement, liabilities | ||
Opening balance | 38,059 | 34,190 |
Unrealised exchange difference | (371) | |
Change in fair value | 26,506 | 4,240 |
Closing balance | ¥ 64,565 | ¥ 38,059 |
Critical accounting estimates_2
Critical accounting estimates and judgments (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Critical accounting estimates and judgments | ||
Amount of tax losses carried forward | $ 343,995 | $ 240,008 |
Amount of deferred tax assets was recognised for the tax losses carried forward | $ 61,163,000 | $ 45,765 |
Revenue (Details)
Revenue (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue | |||
Revenue | ¥ 670,091 | ¥ 645,593 | ¥ 901,573 |
Non-surgical aesthetic medical services | |||
Revenue | |||
Revenue | 482,285 | 334,248 | 452,670 |
Surgical aesthetic medical services | |||
Revenue | |||
Revenue | 132,628 | 243,070 | 401,645 |
General healthcare services and other aesthetic medical services | |||
Revenue | |||
Revenue | ¥ 55,178 | ¥ 68,275 | ¥ 47,258 |
Expenses by nature (Details)
Expenses by nature (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Expenses by nature | |||
Employee benefit expenses (Note 7) | ¥ 234,142 | ¥ 309,250 | ¥ 322,563 |
Advertising and marketing expenses | 132,202 | 255,534 | 380,794 |
Cost of inventories and consumables | 160,152 | 174,991 | 163,881 |
Operating lease rental expenses | 12,822 | 15,836 | 4,860 |
Amortisation and depreciation | 61,485 | 99,135 | 106,405 |
Utilities and office expenses | 39,085 | 76,579 | 52,666 |
Travelling and entertainment expenses | 7,009 | 12,818 | 17,136 |
Bank charges | 4,035 | 3,213 | 4,350 |
Loss on disposal of property, plant and equipment | 20,465 | 915 | |
Legal and professional fee | 14,743 | 30,570 | 19,273 |
Other expenses | 5,218 | 9,820 | 25,207 |
Total expenses | ¥ 691,358 | ¥ 987,746 | ¥ 1,098,050 |
Employee benefit expenses (Deta
Employee benefit expenses (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Employee benefit expenses | |||
Wages and salaries | ¥ 183,193,000 | ¥ 250,773,000 | ¥ 225,085,000 |
Share-based payment | 27,528,000 | 35,463,000 | 78,967,000 |
Pension costs - defined contribution plans | 15,651,000 | 16,942,000 | 5,841,000 |
Other staff welfare expenses | 7,770,000 | 6,072,000 | 12,670,000 |
Employee benefit expenses | ¥ 234,142,000 | ¥ 309,250,000 | ¥ 322,563,000 |
Finance income and costs (Detai
Finance income and costs (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Finance costs | |||
Interest expense on bank borrowings | ¥ (579) | ¥ (7,844) | ¥ (8,897) |
Interest expense on other borrowings | (12,375) | (6,542) | (3,599) |
Interest expense on lease liabilities | (8,681) | (12,844) | (16,693) |
Finance costs | (21,635) | (27,230) | (29,189) |
Finance income | |||
Interest income on short-term bank deposits | 155 | 113 | 1,185 |
Finance costs-net | ¥ (21,480) | ¥ (27,117) | ¥ (28,004) |
Other gains (losses) net (Detai
Other gains (losses) net (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other gains (losses) net | |||
Net other loss | ¥ 24,920 | ¥ (6,074) | ¥ (600) |
Loss on disposal of subsidiaries | 11,300 | ||
Amount of compensation loss to suppliers | ¥ 9,800 |
Income tax expense (Details)
Income tax expense (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current tax | |||
PRC enterprise income tax | ¥ 3,308 | ¥ 8,208 | ¥ 486 |
Deferred tax | |||
Origination and reversal of temporary differences | (21,375) | (20,006) | (13,073) |
Income tax credit | ¥ (18,067) | ¥ (11,798) | ¥ (12,587) |
Income tax expense - Taxation o
Income tax expense - Taxation on the Group's loss before income tax (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of tax rates | |||
Loss before income tax | ¥ (94,173) | ¥ (681,314) | ¥ (259,492) |
Calculated at a taxation rate of 25% | (23,543) | (170,329) | (64,873) |
Expenses not tax deductible | 7,223 | 42,450 | 42,824 |
Income not subject to tax | (1,165) | ||
Utilisation of previously unrecognised tax losses | (428) | ||
Recognition of previously unrecognised temporary difference | (520) | ||
Tax losses not recognized | 5,531 | 117,454 | 13,034 |
Difference in overseas tax rates | (400) | (304) | 351 |
Over-provision in respect of prior years | (6,878) | (1,069) | (1,810) |
Income tax credit | ¥ (18,067) | ¥ (11,798) | ¥ (12,587) |
Applicable tax rate | 25% | 25% | 25% |
Income tax expense - Additional
Income tax expense - Additional Information (Details) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income tax expense | |||
Income tax rate | 25% | 25% | 25% |
Hong Kong | |||
Income tax expense | |||
Income tax rate | 16.50% | 16.50% | 16.50% |
PRC | |||
Income tax expense | |||
Income tax rate | 25% | 25% | 25% |
Singapore | |||
Income tax expense | |||
Income tax rate | 17% |
Loss per share - Computation of
Loss per share - Computation of basic and diluted profit/(loss) per share (Details) ¥ / shares in Units, ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 CNY (¥) category ¥ / shares shares | Dec. 31, 2021 CNY (¥) category ¥ / shares shares | Dec. 31, 2020 CNY (¥) category ¥ / shares shares | |
Loss per share | |||
Number of categories of dilutive securities | category | 2 | 2 | 2 |
Loss attributable to owners of the Company - basic | ¥ | ¥ (76,247) | ¥ (586,619) | ¥ (235,479) |
Loss attributable to owners of the Company - diluted | ¥ | ¥ (76,247) | ¥ (586,619) | ¥ (235,479) |
Weighted average number of shares - basic | shares | 81,911,577 | 65,960,235 | 65,297,485 |
Weighted average number of shares - diluted | shares | 81,911,577 | 65,960,235 | 65,297,485 |
Loss per share - basic (RMB) | ¥ / shares | ¥ (0.93) | ¥ (8.89) | ¥ (3.61) |
Loss per share - diluted (RMB) | ¥ / shares | ¥ (0.93) | ¥ (8.89) | ¥ (3.61) |
Property, plant and equipment_2
Property, plant and equipment (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Property, plant and equipment | |||
Additions | ¥ 105,651,000 | ¥ 82,049,000 | |
Impairment loss (Note 15) | (139,818,000) | ||
Disposal | (24,522,000) | (20,097,000) | |
Business combination (Note 29) | 3,243,000 | ||
Disposal of subsidiaries (Note 30) | (40,870,000) | (3,739,000) | |
Depreciation charges | (61,091,000) | (93,165,000) | ¥ (97,232,000) |
Translation adjustments | (1,665,000) | ||
Property, plant and equipment pledged as security for bank loans | 48,285,000 | 57,238,000 | |
Transfer from investment properties | (17,101,000) | ||
Closing net book amount | 320,816,000 | 358,749,000 | 531,941,000 |
Opening net book amount | 358,749,000 | 531,941,000 | |
Buildings | |||
Property, plant and equipment | |||
Additions | 105,000 | ||
Depreciation charges | (3,305,000) | (3,399,000) | |
Transfer from investment properties | (17,101,000) | ||
Closing net book amount | 36,935,000 | 57,236,000 | 60,635,000 |
Opening net book amount | 57,236,000 | 60,635,000 | |
Leasehold improvements | |||
Property, plant and equipment | |||
Additions | 20,861,000 | 34,734,000 | |
Impairment loss (Note 15) | (76,375,000) | ||
Disposal | (3,675,000) | ||
Business combination (Note 29) | 527,000 | ||
Disposal of subsidiaries (Note 30) | (23,469,000) | (975,000) | |
Depreciation charges | (13,845,000) | (39,933,000) | |
Translation adjustments | (68,000) | ||
Closing net book amount | 93,383,000 | 109,836,000 | 195,601,000 |
Opening net book amount | 109,836,000 | 195,601,000 | |
Machinery and equipment | |||
Property, plant and equipment | |||
Additions | 11,509,000 | 40,617,000 | |
Impairment loss (Note 15) | (14,352,000) | ||
Disposal | (930,000) | (8,539,000) | |
Business combination (Note 29) | 557,000 | ||
Disposal of subsidiaries (Note 30) | (2,900,000) | (1,635,000) | |
Depreciation charges | (12,364,000) | (14,871,000) | |
Translation adjustments | (1,179,000) | ||
Closing net book amount | 61,535,000 | 66,220,000 | 65,622,000 |
Opening net book amount | 66,220,000 | 65,622,000 | |
Office equipment, furniture fixtures and motor vehicles | |||
Property, plant and equipment | |||
Additions | 2,999,000 | 3,377,000 | |
Impairment loss (Note 15) | (4,453,000) | ||
Disposal | (1,211,000) | (4,271,000) | |
Disposal of subsidiaries (Note 30) | (340,000) | (605,000) | |
Depreciation charges | (1,421,000) | (3,009,000) | |
Translation adjustments | (418,000) | ||
Closing net book amount | 5,036,000 | 5,009,000 | 14,388,000 |
Opening net book amount | 5,009,000 | 14,388,000 | |
Right-of-use assets | |||
Property, plant and equipment | |||
Additions | 70,177,000 | 3,321,000 | |
Impairment loss (Note 15) | (44,638,000) | ||
Disposal | (22,381,000) | (3,612,000) | |
Business combination (Note 29) | 2,159,000 | ||
Disposal of subsidiaries (Note 30) | (14,161,000) | (524,000) | |
Depreciation charges | (30,156,000) | (31,953,000) | |
Closing net book amount | 123,927,000 | 120,448,000 | ¥ 195,695,000 |
Opening net book amount | 120,448,000 | 195,695,000 | |
Fair value | |||
Property, plant and equipment | |||
Closing net book amount | 698,346,000 | 735,709,000 | |
Opening net book amount | 735,709,000 | ||
Fair value | Buildings | |||
Property, plant and equipment | |||
Closing net book amount | 37,021,000 | 64,739,000 | |
Opening net book amount | 64,739,000 | ||
Fair value | Leasehold improvements | |||
Property, plant and equipment | |||
Closing net book amount | 289,207,000 | 302,000,000 | |
Opening net book amount | 302,000,000 | ||
Fair value | Machinery and equipment | |||
Property, plant and equipment | |||
Closing net book amount | 131,668,000 | 132,655,000 | |
Opening net book amount | 132,655,000 | ||
Fair value | Office equipment, furniture fixtures and motor vehicles | |||
Property, plant and equipment | |||
Closing net book amount | 25,663,000 | 27,756,000 | |
Opening net book amount | 27,756,000 | ||
Fair value | Right-of-use assets | |||
Property, plant and equipment | |||
Closing net book amount | 214,787,000 | 208,559,000 | |
Opening net book amount | 208,559,000 | ||
Accumulated depreciation | |||
Property, plant and equipment | |||
Closing net book amount | (377,530,000) | (376,960,000) | |
Opening net book amount | (376,960,000) | ||
Accumulated depreciation | Buildings | |||
Property, plant and equipment | |||
Closing net book amount | (86,000) | (7,503,000) | |
Opening net book amount | (7,503,000) | ||
Accumulated depreciation | Leasehold improvements | |||
Property, plant and equipment | |||
Closing net book amount | (195,824,000) | (192,164,000) | |
Opening net book amount | (192,164,000) | ||
Accumulated depreciation | Machinery and equipment | |||
Property, plant and equipment | |||
Closing net book amount | (70,133,000) | (66,435,000) | |
Opening net book amount | (66,435,000) | ||
Accumulated depreciation | Office equipment, furniture fixtures and motor vehicles | |||
Property, plant and equipment | |||
Closing net book amount | (20,627,000) | (22,747,000) | |
Opening net book amount | (22,747,000) | ||
Accumulated depreciation | Right-of-use assets | |||
Property, plant and equipment | |||
Closing net book amount | (90,860,000) | ¥ (88,111,000) | |
Opening net book amount | ¥ (88,111,000) |
Lease (Details)
Lease (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Lease liabilities | |||
Current | ¥ 27,352,000 | ¥ 28,278,000 | ¥ 35,868,000 |
Non-current | 99,304,000 | 105,754,000 | 178,983,000 |
Lease liabilities | 126,656,000 | 134,032,000 | 214,851,000 |
Amounts recognised in the statement of comprehensive income: | |||
Interest expense (included in finance costs) | 8,681,000 | 12,844,000 | 16,693,000 |
Expense relating to short-term leases (included in cost of goods sold and administrative expenses) | 12,822,000 | 15,836,000 | ¥ 4,860,000 |
Total cash outflow for leases | ¥ 31,263,000 | ¥ 50,575,000 |
Investment properties (Details)
Investment properties (Details) | 12 Months Ended |
Dec. 31, 2022 CNY (¥) | |
Investment properties | |
Ending balance | ¥ 23,065,000 |
Investment properties pledged as security for bank loans | 23,065,000 |
Fair value | |
Investment properties | |
Transfer from property, plant and equipment | 23,065,000 |
Ending balance | ¥ 23,065,000 |
Investment properties - Amounts
Investment properties - Amounts recognised in income statement and future aggregate minimum lease receipts (Details) ¥ in Thousands | 12 Months Ended |
Dec. 31, 2020 CNY (¥) | |
Investment properties | |
Rental income | ¥ 851 |
Intangible assets (Details)
Intangible assets (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Intangible assets | |||
Opening net book amount | ¥ 37,238,000 | ¥ 208,429,000 | |
Additions | 606,000 | 251,000 | |
Disposal | (3,000) | (1,350,000) | |
Business combination (Note 29) | 779,000 | 17,116,000 | |
Disposal of subsidiaries (Note 30) | (955,000) | (11,504,000) | |
Amortisation | (395,000) | (5,970,000) | ¥ (8,130,000) |
Impairment loss (Note) | (169,734,000) | ||
Closing net book amount | 37,270,000 | 37,238,000 | 208,429,000 |
Goodwill from acquisition of subsidiaries | 779,000 | 14,697,000 | |
Goodwill | |||
Intangible assets | |||
Opening net book amount | 33,175,000 | 141,312,000 | |
Business combination (Note 29) | 779,000 | 14,697,000 | |
Disposal of subsidiaries (Note 30) | (955,000) | (735,000) | |
Impairment loss (Note) | (122,099,000) | (18,809,000) | |
Closing net book amount | 32,999,000 | 33,175,000 | 141,312,000 |
Computer software | |||
Intangible assets | |||
Opening net book amount | 713,000 | 7,692,000 | |
Additions | 606,000 | 251,000 | |
Disposal | (3,000) | (1,350,000) | |
Business combination (Note 29) | 19,000 | ||
Disposal of subsidiaries (Note 30) | (146,000) | ||
Amortisation | (395,000) | (1,797,000) | |
Impairment loss (Note) | (3,956,000) | 0 | |
Closing net book amount | 921,000 | 713,000 | 7,692,000 |
Medical licenses | |||
Intangible assets | |||
Impairment loss (Note) | (4,407,000) | 0 | |
Tradenames | |||
Intangible assets | |||
Opening net book amount | 3,350,000 | 59,425,000 | |
Business combination (Note 29) | 2,400,000 | ||
Disposal of subsidiaries (Note 30) | (10,623,000) | ||
Amortisation | (4,173,000) | ||
Impairment loss (Note) | (43,679,000) | (8,124,000) | |
Closing net book amount | 3,350,000 | 3,350,000 | 59,425,000 |
Property, plant and equipment | |||
Intangible assets | |||
Impairment loss (Note) | (139,818,000) | ¥ (6,036,000) | |
Fair value | |||
Intangible assets | |||
Opening net book amount | 80,621,000 | ||
Closing net book amount | 81,650,000 | 80,621,000 | |
Fair value | Goodwill | |||
Intangible assets | |||
Opening net book amount | 54,389,000 | ||
Closing net book amount | 54,213,000 | 54,389,000 | |
Fair value | Computer software | |||
Intangible assets | |||
Opening net book amount | 12,010,000 | ||
Closing net book amount | 12,813,000 | 12,010,000 | |
Fair value | Medical licenses | |||
Intangible assets | |||
Opening net book amount | 9,585,000 | ||
Closing net book amount | 9,585,000 | 9,585,000 | |
Fair value | Tradenames | |||
Intangible assets | |||
Opening net book amount | 4,637,000 | ||
Closing net book amount | 5,039,000 | 4,637,000 | |
Impairment | |||
Intangible assets | |||
Opening net book amount | (25,887,000) | ||
Closing net book amount | (25,887,000) | (25,887,000) | |
Impairment | Goodwill | |||
Intangible assets | |||
Opening net book amount | (21,214,000) | ||
Closing net book amount | (21,214,000) | (21,214,000) | |
Impairment | Computer software | |||
Intangible assets | |||
Opening net book amount | (3,954,000) | ||
Closing net book amount | (3,954,000) | (3,954,000) | |
Impairment | Tradenames | |||
Intangible assets | |||
Opening net book amount | (719,000) | ||
Closing net book amount | (719,000) | (719,000) | |
Accumulated depreciation | |||
Intangible assets | |||
Opening net book amount | (17,496,000) | ||
Closing net book amount | (18,493,000) | (17,496,000) | |
Accumulated depreciation | Computer software | |||
Intangible assets | |||
Opening net book amount | (7,343,000) | ||
Closing net book amount | (7,938,000) | (7,343,000) | |
Accumulated depreciation | Medical licenses | |||
Intangible assets | |||
Opening net book amount | (9,585,000) | ||
Closing net book amount | (9,585,000) | (9,585,000) | |
Accumulated depreciation | Tradenames | |||
Intangible assets | |||
Opening net book amount | (568,000) | ||
Closing net book amount | ¥ (970,000) | ¥ (568,000) |
Intangible assets - Estimated g
Intangible assets - Estimated growth Rates (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Estimated growth rates for cash flow projections | |||
Period for cash flow projections | 5 years | ||
Discount rate | 5.70% | 16% | |
Extrapolated growth rate | 5% | 5% | |
Impairment of non-current assets | ¥ 169,734,000 | ||
Bottom of Range | |||
Estimated growth rates for cash flow projections | |||
Annual compound revenue growth rate | 6% | 6% | |
Annual gross profit ratio | 53.80% | 57.70% | |
Top of Range | |||
Estimated growth rates for cash flow projections | |||
Annual compound revenue growth rate | 10% | 10% | |
Annual gross profit ratio | 65% | 75% | |
Goodwill | |||
Estimated growth rates for cash flow projections | |||
Impairment of non-current assets | ¥ 122,099,000 | ¥ 18,809,000 | |
Computer software | |||
Estimated growth rates for cash flow projections | |||
Impairment of non-current assets | 3,956,000 | 0 | |
Medical licenses | |||
Estimated growth rates for cash flow projections | |||
Impairment of non-current assets | 4,407,000 | 0 | |
Tradenames | |||
Estimated growth rates for cash flow projections | |||
Impairment of non-current assets | 43,679,000 | 8,124,000 | |
Property, plant and equipment | |||
Estimated growth rates for cash flow projections | |||
Impairment of non-current assets | ¥ 139,818,000 | ¥ 6,036,000 |
Investments accounted for usi_3
Investments accounted for using the equity method - Changes in investments accounted for using the equity method (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Investments accounted for using the equity method | ||
At 1 January | ¥ 4,904 | ¥ 8,330 |
Acquisition | 860 | 900 |
Disposal | (600) | |
Impairment | (4,407) | |
Share of loss | 81 | |
Transfer to assets held-for-sale | (4,004) | |
At 31 December | ¥ 1,160 | ¥ 4,904 |
Investments accounted for usi_4
Investments accounted for using the equity method - Nature of investments in associates (Details) - CNY (¥) | 12 Months Ended | |||||
Jan. 10, 2023 | Sep. 27, 2022 | May 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Summarised balance sheet | ||||||
Payments for acquisition of equity interest | ¥ 581,000 | ¥ 642,000 | ¥ 7,273,000 | ¥ 69,951,000 | ||
Jinan Pengai Meikang Aesthetic Medical Clinic Co., Ltd | ||||||
Summarised balance sheet | ||||||
Equity interest in associate (in percent) | 30% | |||||
Percentage of equity interest sold | 30% | |||||
Consideration for sale of equity interest | ¥ 495,513 | |||||
Shenzhen Pengai Lizhi Aesthetic Medical Clinic | ||||||
Summarised balance sheet | ||||||
Percentage of share capital acquired | 17% | |||||
Payments for acquisition of equity interest | ¥ 2,000,000 | |||||
Shenzhen Miaoyan Medical Technology Investment Co., Ltd | ||||||
Summarised balance sheet | ||||||
Percentage of share capital acquired | 60% | |||||
Payments for acquisition of equity interest | ¥ 2,000,000 | |||||
Shenzhen Miaoyan Medical Technology Investment Co., Ltd | Agreement to Sell Equity Interest | ||||||
Summarised balance sheet | ||||||
Consideration for sale of equity interest | ¥ 1,900,000 | |||||
Agreement to sell equity interest (as a percent) | 100% | |||||
Moyan (Shenzhen) Network Technology Co., Ltd | ||||||
Summarised balance sheet | ||||||
Equity interest in associate (in percent) | 46% | 46% | ||||
Shenzhen Yueji | ||||||
Summarised balance sheet | ||||||
Equity interest in associate (in percent) | 30% | 30% | ||||
Mendis Aesthetic PTE. Ltd | ||||||
Summarised balance sheet | ||||||
Equity interest in associate (in percent) | 44.40% | |||||
Shenzhen Pengai Lizhi Aesthetic Medical Clinic | ||||||
Summarised balance sheet | ||||||
Equity interest in associate (in percent) | 43% |
Investments accounted for usi_5
Investments accounted for using the equity method - Summarised balance sheet (Details) - CNY (¥) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Current | |||
Cash and cash equivalents | ¥ 12,161,000 | ¥ 39,289,000 | ¥ 44,384,000 |
Total current liabilities | (543,836,000) | (541,657,000) | |
Total non-current assets | 468,773,000 | 463,230,000 | |
Net assets | (125,880,000) | ||
Associates | |||
Current | |||
Cash and cash equivalents | 33,000 | 1,108,000 | |
Other current assets (excluding cash and cash equivalents) | 4,611,000 | 295,000 | |
Total current assets | 4,644,000 | 1,403,000 | |
Financial liabilities (excluding trade payables) | (14,000) | ||
Other current liabilities (including trade payables) | (2,654,000) | (425,000) | |
Total current liabilities | (2,654,000) | (439,000) | |
Total non-current assets | 300,000 | 3,050,000 | |
Net assets | ¥ 2,290,000 | ¥ 4,014,000 |
Investments accounted for usi_6
Investments accounted for using the equity method - Summarised statement of comprehensive income (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Summarised statement of comprehensive income | |||
Revenue | ¥ 670,091,000 | ¥ 645,593,000 | ¥ 901,573,000 |
Depreciation and amortisation | (61,485,000) | (99,135,000) | (106,405,000) |
Loss before income tax | (94,173,000) | (681,314,000) | (259,492,000) |
Income tax credit | 18,067,000 | 11,798,000 | 12,587,000 |
Loss for the year | ¥ (76,106,000) | (669,516,000) | ¥ (246,905,000) |
Associates | |||
Summarised statement of comprehensive income | |||
Revenue | 1,951,000 | ||
Depreciation and amortisation | (69,000) | ||
Interest expense | (22,000) | ||
Loss before income tax | 354,000 | ||
Loss for the year | ¥ 354,000 |
Trade and other receivables, _3
Trade and other receivables, deposits and prepayments (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Trade and other receivables, deposits and prepayments | ||
Trade receivables | ¥ 6,193 | ¥ 7,772 |
Other receivables | 1,460 | 1,550 |
Deposits | 17,976 | 15,204 |
Prepayments | 31,030 | 31,471 |
Advances to employees | 720 | 41 |
Less: Non-current portion | ||
Prepayments and deposits | (25,299) | (16,574) |
Current portion | ¥ 25,887 | 31,692 |
Age of trade receivables | 30 days | |
Trade and other receivables , Gross | ¥ 51,186 | ¥ 48,266 |
Inventories (Details)
Inventories (Details) - CNY (¥) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Inventories | ||
Pharmaceuticals | ¥ 1,304,000 | ¥ 914,000 |
Medical consumables | 26,549,000 | 29,652,000 |
Total current inventories | 27,853,000 | 30,566,000 |
Cost of inventories recognised as expense | ¥ 160,152,000 | ¥ 174,991,000 |
Restricted cash and cash and _3
Restricted cash and cash and bank balances (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Restricted cash and cash and bank balances | |||
Restricted cash | ¥ 1,547 | ||
Cash and cash equivalents | |||
Cash at banks | 12,138 | ¥ 35,685 | |
Time deposit | 3,000 | ||
Cash on hand | 23 | 604 | |
Total | ¥ 12,161 | ¥ 39,289 | ¥ 44,384 |
Restricted cash and cash and _4
Restricted cash and cash and bank balances - Purpose of Consolidated Statement (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Restricted cash and cash and bank balances | ||||
Cash and cash equivalents | ¥ 12,161 | ¥ 39,289 | ¥ 44,384 | ¥ 154,490 |
Cash and cash equivalents | ¥ 12,161 | ¥ 39,289 | ¥ 44,384 |
Restricted cash and cash and _5
Restricted cash and cash and bank balances - Denominated in currencies (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Cash and bank balances | ||
Restricted bank deposit and cash and cash equivalents | ¥ 13,708 | ¥ 39,289 |
RMB | ||
Cash and bank balances | ||
Restricted bank deposit and cash and cash equivalents | 10,857 | 31,021 |
US dollars | ||
Cash and bank balances | ||
Restricted bank deposit and cash and cash equivalents | 96 | 7,125 |
Hong Kong dollars | ||
Cash and bank balances | ||
Restricted bank deposit and cash and cash equivalents | 5 | 6 |
Singapore dollars | ||
Cash and bank balances | ||
Restricted bank deposit and cash and cash equivalents | ¥ 2,750 | ¥ 1,137 |
Assets held-for-sale (Details)
Assets held-for-sale (Details) | 1 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 tranche | Dec. 31, 2022 CNY (¥) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Assets held-for-sale | ||||
Investment in associate | ¥ 1,160,000 | ¥ 4,904,000 | ¥ 8,330,000 | |
Assets and liabilities classified as held for sale | ||||
Assets held-for-sale | ||||
Loss on fair value | 2,920,000 | |||
Assets and liabilities classified as held for sale | Mendis Aesthetic PTE. Ltd | ||||
Assets held-for-sale | ||||
Investment in associate | ¥ 4,004,000 | |||
Percentage of equity interest to be sold | 44.40% | |||
Number of equal tranches | tranche | 2 | |||
Percentage of equity interest sold | 22.20% |
Share capital (Details)
Share capital (Details) ¥ / shares in Units, $ / shares in Units, ¥ in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | 36 Months Ended | ||||||||||
Jul. 29, 2022 shares | Oct. 13, 2020 CNY (¥) shares | Feb. 28, 2023 CNY (¥) | May 31, 2021 CNY (¥) ¥ / shares shares | May 31, 2021 USD ($) $ / shares shares | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 CNY (¥) shares | Dec. 31, 2020 CNY (¥) shares | Dec. 31, 2020 USD ($) shares | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2022 USD ($) $ / shares shares | Oct. 13, 2020 USD ($) | |
Nominal value | |||||||||||||
Issuance of shares, Nominal value | ¥ | ¥ 94,166 | ||||||||||||
Issuance of shares under Performance Incentive Plan | ¥ | 27,515 | ¥ 35,462 | ¥ 78,967 | ||||||||||
Number of ordinary shares repurchased | 135,002 | 135,002 | |||||||||||
Total consideration for share repurchases | ¥ | ¥ 1,982 | ¥ 2,023 | |||||||||||
Issuance of shares | ¥ | ¥ 170,000 | 94,153 | |||||||||||
Ordinary shares | |||||||||||||
Authorised: | |||||||||||||
Par value per share | $ / shares | $ 0.001 | $ 0.001 | |||||||||||
American depositary shares | |||||||||||||
Nominal value | |||||||||||||
Authorized to repurchase shares | $ | $ 6,000 | ||||||||||||
Number of ordinary shares repurchased | 135,000 | ||||||||||||
Total consideration for share repurchases | ¥ | ¥ 2,000 | ||||||||||||
Share capital | |||||||||||||
Nominal value | |||||||||||||
Issuance of shares, Nominal value | ¥ | ¥ 157 | ||||||||||||
Share capital | Performance Incentive Plan | |||||||||||||
Number of shares | |||||||||||||
Issuance of shares under Performance Incentive Plan | 1,927,793 | ||||||||||||
Nominal value | |||||||||||||
Aggregate percentage of shares issued on total number of outstanding ordinary shares | 2% | ||||||||||||
Share capital | Lafang | |||||||||||||
Number of shares | |||||||||||||
Issuance of shares to Hawyu (HK) Limited | 5,329,410 | 5,329,410 | |||||||||||
Nominal value | |||||||||||||
Price per share | $ / shares | $ 8.50 | ||||||||||||
Number of shares per ADS | 3 | 3 | |||||||||||
Issuance of shares | $ | $ 15,100 | ||||||||||||
Share capital | Hawyu | |||||||||||||
Number of shares | |||||||||||||
Issuance of shares to Hawyu (HK) Limited | 21,413,276 | 21,413,276 | |||||||||||
Nominal value | |||||||||||||
Price per ADS | (per share) | ¥ 4.67 | $ 2.1 | |||||||||||
Issuance of shares | ¥ 100,000 | $ 15,000 | |||||||||||
Share capital | Ordinary shares | |||||||||||||
Number of shares | |||||||||||||
Authorised, shares | 1,500,000,000 | ||||||||||||
Authorised at ending, Number of shares | 1,500,000,000 | 1,500,000,000 | |||||||||||
Nominal value | |||||||||||||
Authorised, Nominal value | ¥ 10,599 | ||||||||||||
Authorised at ending, Nominal value | ¥ 10,599 | $ 1,500 | |||||||||||
Number of shares | |||||||||||||
Authorised at beginning, Number of shares | 70,838,671 | 70,838,671 | |||||||||||
Issuance of shares to Hawyu (HK) Limited | 21,413,276 | 21,413,276 | |||||||||||
Issuance of shares under Performance Incentive Plan | 1,927,793 | 1,927,793 | |||||||||||
Authorised at ending, Number of shares | 94,179,740 | 94,179,740 | 70,838,671 | 94,179,740 | 94,179,740 | ||||||||
Nominal value | |||||||||||||
Balance at the beginning | ¥ 469 | $ 72 | |||||||||||
Issuance of shares, Nominal value | 144 | 21 | |||||||||||
Issuance of shares under Performance Incentive Plan | 13 | 2 | |||||||||||
Balance at the end | ¥ 626 | $ 95 | ¥ 469 | ¥ 626 | $ 95 |
Other reserves (Details)
Other reserves (Details) - CNY (¥) | 12 Months Ended | |||
Jan. 01, 2018 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other reserves | ||||
Balance at the beginning | ¥ (186,422,000) | ¥ 425,736,000 | ¥ 590,598,000 | |
Translation of foreign operations | (665,000) | 574,000 | (731,000) | |
Deregister of subsidiary | 17,000 | |||
Disposal of a subsidiaries | 18,140,000 | 20,840,000 | (28,579,000) | |
Issuance of shares under Performance Incentive Plan | 27,515,000 | 35,462,000 | 78,967,000 | |
Share re-purchase | 1,982,000 | |||
Issuance of shares | 94,166,000 | |||
Transaction costs related to issuance of shares | (5,128,000) | |||
Share-based payment | 27,528,000 | 35,463,000 | 78,967,000 | |
Balance at the end | (125,880,000) | (186,422,000) | 425,736,000 | |
Reserves | ||||
Other reserves | ||||
Balance at the beginning | 909,411,000 | 870,355,000 | 789,285,000 | |
Translation of foreign operations | (665,000) | 574,000 | (731,000) | |
Revaluation of investment properties upon transfer from property, plant and equipment | 5,964,000 | |||
Deregister of subsidiary | 17,000 | |||
Transfer to statutory reserve | 194,000 | |||
Further acquisition of interests in subsidiaries (Note 31) | (555,000) | 92,000 | ||
Partial disposal of interests in subsidiaries without loss of control (Note 31) | (2,613,000) | 3,575,000 | 2,548,000 | |
Issuance of shares under Performance Incentive Plan | 27,515,000 | 35,462,000 | 78,967,000 | |
Issuance of shares | 94,009,000 | |||
Transaction costs related to issuance of shares | (5,128,000) | |||
Balance at the end | 1,028,510,000 | 909,411,000 | 870,355,000 | |
Capital reserve | ||||
Other reserves | ||||
Balance at the beginning | 707,890,000 | 707,510,000 | 707,510,000 | |
Deregister of subsidiary | 17,000 | |||
Further acquisition of interests in subsidiaries (Note 31) | 380,000 | |||
Issuance of shares | 94,153,000 | |||
Transaction costs related to issuance of shares | (5,128,000) | |||
Balance at the end | 796,932,000 | 707,890,000 | 707,510,000 | |
Merger reserve | ||||
Other reserves | ||||
Balance at the beginning | (10,000,000) | (10,000,000) | (10,000,000) | |
Balance at the end | (10,000,000) | (10,000,000) | (10,000,000) | |
Statutory reserve | ||||
Other reserves | ||||
Balance at the beginning | ¥ 42,777,000 | 42,777,000 | 42,583,000 | |
Transfer to statutory reserve | 194,000 | |||
Threshold percentage of share capital reserves to total share capital after which appropriation is optional | 50% | |||
Balance at the end | ¥ 42,777,000 | 42,777,000 | 42,777,000 | |
Share-based compensation reserve | ||||
Other reserves | ||||
Balance at the beginning | 230,177,000 | 194,715,000 | 115,748,000 | |
Issuance of shares under Performance Incentive Plan | ¥ 27,515,000 | 35,462,000 | 78,967,000 | |
Threshold percentage of share capital reserves to total share capital after which appropriation is optional | 10% | |||
Reserve resulting from lapsing of options | ¥ 67,960,000 | |||
Balance at the end | ¥ 257,692,000 | 230,177,000 | 194,715,000 | |
Other reserve | ||||
Other reserves | ||||
Balance at the beginning | (61,433,000) | (64,647,000) | (66,556,000) | |
Translation of foreign operations | (665,000) | 574,000 | (731,000) | |
Revaluation of investment properties upon transfer from property, plant and equipment | 5,964,000 | |||
Further acquisition of interests in subsidiaries (Note 31) | (935,000) | 92,000 | ||
Partial disposal of interests in subsidiaries without loss of control (Note 31) | (2,613,000) | 3,575,000 | 2,548,000 | |
Issuance of shares | (144,000) | |||
Share-based payment | 27,515,000 | 35,462,000 | ||
Balance at the end | ¥ (58,891,000) | ¥ (61,433,000) | ¥ (64,647,000) |
Deferred income tax (Details)
Deferred income tax (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred income tax | |||
Deferred tax assets | ¥ 61,163 | ¥ 45,765 | ¥ 32,646 |
Deferred tax liabilities | (285) | (14,651) | |
Tax losses | |||
Deferred income tax | |||
Deferred tax assets | 60,002 | 43,323 | 27,988 |
Other temporary differences | |||
Deferred income tax | |||
Deferred tax assets | ¥ 1,161 | 2,442 | 4,658 |
Deferred tax liabilities | (226) | ||
Medical licenses and tradenames | |||
Deferred income tax | |||
Deferred tax liabilities | ¥ (285) | ¥ (14,425) |
Deferred income tax - Deferred
Deferred income tax - Deferred income tax assets - net (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred income tax | |||
Deferred income tax assets | ¥ 61,163 | ¥ 45,765 | |
Deferred income tax liabilities | (285) | ||
Deferred income tax assets - net | 61,163 | 45,480 | ¥ 17,995 |
After more than 12 months | |||
Deferred income tax | |||
Deferred income tax assets | ¥ 61,163 | 45,765 | |
Deferred income tax liabilities | ¥ (285) |
Deferred income tax - Gross mov
Deferred income tax - Gross movement on deferred income tax account is as follows (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Gross movement on deferred income tax accounts | ||
Deferred tax liability (asset) at beginning of period | ¥ 45,480 | ¥ 17,995 |
Disposal of subsidiaries (Note 30) | (5,292) | 7,479 |
Credited to consolidated statement of comprehensive income | 21,375 | 20,006 |
Translation adjustment | (400) | |
Deferred tax liability (asset) at end of period | 61,163 | 45,480 |
Deferred income tax assets | ||
Balance at the beginning | 45,765 | 32,646 |
Disposal of subsidiaries (Note 30) | (5,292) | (6,887) |
Credited to consolidated statement of comprehensive income | 21,090 | 20,006 |
Translation adjustment | (400) | |
Balance at the end | 61,163 | 45,765 |
Deferred income tax liabilities | ||
Balance at the beginning | 285 | 14,651 |
Disposal of subsidiaries (Note 30) | (14,366) | |
Credited to consolidated statement of comprehensive income | (285) | |
Balance at the end | 285 | |
Tax losses | ||
Deferred income tax assets | ||
Balance at the beginning | 43,323 | 27,988 |
Disposal of subsidiaries (Note 30) | (5,292) | (6,144) |
Credited to consolidated statement of comprehensive income | 22,371 | 21,479 |
Translation adjustment | (400) | |
Balance at the end | 60,002 | 43,323 |
Others | ||
Deferred income tax assets | ||
Balance at the beginning | 2,442 | 4,658 |
Disposal of subsidiaries (Note 30) | (743) | |
Credited to consolidated statement of comprehensive income | (1,281) | (1,473) |
Balance at the end | 1,161 | 2,442 |
Deferred income tax liabilities | ||
Balance at the beginning | 226 | |
Disposal of subsidiaries (Note 30) | (226) | |
Medical licenses and tradenames | ||
Deferred income tax liabilities | ||
Balance at the beginning | 285 | 14,425 |
Disposal of subsidiaries (Note 30) | (14,140) | |
Credited to consolidated statement of comprehensive income | ¥ (285) | |
Balance at the end | ¥ 285 |
Deferred income tax - Unrecogni
Deferred income tax - Unrecognised tax losses which can be carried forward against future taxable income (Details) - CNY (¥) | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred income tax | ||
Unrecognised tax losses | ¥ 10 | ¥ 91,221,000 |
Within 5 years | ||
Deferred income tax | ||
Unrecognised tax losses | ¥ 103,988,000 | ¥ 91,221,000 |
Borrowings (Details)
Borrowings (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Non-current | ||
Bank borrowings - secured | ¥ 3,248 | ¥ 23,470 |
Other borrowings - secured | 25,862 | 54,137 |
Non-current borrowings, total | 29,110 | 77,607 |
Current | ||
Bank borrowings - secured | 108,534 | 82,680 |
Other borrowings - secured | 64,232 | 73,528 |
Current borrowings, total | 172,766 | 156,208 |
Borrowings, total | ¥ 201,876 | ¥ 233,815 |
Effective interest rate on the borrowings | 7.80% |
Trade and accruals, other pay_3
Trade and accruals, other payables and provisions (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Trade and accruals, other payables and provisions | ||
Trade payables | ¥ 46,752 | ¥ 31,256 |
Accrued employee benefits | 15,004 | 26,458 |
Accrued operating expenses | 5,772 | 5,516 |
Accrued professional service fees | 1,749 | 9,857 |
Deposits received | 1,147 | 826 |
Duty and tax payable other than corporate income tax | 4,375 | 2,172 |
Other payables to suppliers of plant and equipment | 177 | 779 |
Others | 15,514 | 27,240 |
Trade and accruals, other payables and provisions | ¥ 90,490 | ¥ 104,104 |
Contract liabilities (Details)
Contract liabilities (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Contract liabilities | ||
Advance receipt for treatment packages | ¥ 169,725 | ¥ 236,476 |
Convertible note (Details)
Convertible note (Details) | 1 Months Ended | ||||
Sep. 17, 2020 USD ($) | Jul. 31, 2022 ¥ / shares | Jul. 20, 2022 USD ($) | Jul. 20, 2022 CNY (¥) ¥ / shares | Sep. 17, 2020 CNY (¥) | |
Exit payment agreement | |||||
Redemption feature | |||||
Exercise price of warrant | ¥ 4.67 | ||||
Fair value of warrants | ¥ | ¥ 19,390,000 | ||||
Maximum | Exit payment agreement | |||||
Redemption feature | |||||
Face amount of debt | $ | $ 2,700,000 | ||||
Convertible note 2020 | |||||
Redemption feature | |||||
Face amount of debt | $ 5,000,000 | ¥ 33,474,000 | |||
Conversion price per ordinary share | ¥ 4.203 | ||||
Convertible note 2020 | Note conversion at maturity date | |||||
Redemption feature | |||||
Redemption price as a percent of issuance price | 12.50% | ||||
Convertible note 2020 | Note conversion after one year from the issue date | |||||
Redemption feature | |||||
Percentage of redemption amount accruing from issuance of note till redemption | 15% |
Convertible note - Changes in c
Convertible note - Changes in convertible notes (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Fair value measurement | ||
Liabilities at beginning of period | ¥ 763,362 | |
Liabilities at end of period | 672,250 | ¥ 763,362 |
Convertible note 2020 [Member] | ||
Fair value measurement | ||
Liabilities at beginning of period | 38,059 | 34,190 |
Unrealised exchange difference | (371) | |
Change in fair value | 26,506 | 4,240 |
Liabilities at end of period | 64,565 | 38,059 |
Fair value changes for the year included in consolidated statement of comprehensive income for liabilities held at the year end | ¥ 26,506 | ¥ 4,240 |
Cash generated from operation_2
Cash generated from operations (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash generated from operations | |||
Loss before income tax | ¥ (94,173,000) | ¥ (681,314,000) | ¥ (259,492,000) |
Adjustments for: | |||
Finance income | (155,000) | (113,000) | (1,185,000) |
Finance costs | 21,635,000 | 27,230,000 | 29,189,000 |
Amortisation of intangible assets | 395,000 | 5,970,000 | 8,130,000 |
Depreciation of property, plant and equipment | 61,091,000 | 93,165,000 | 97,232,000 |
Depreciation of investment properties | 1,043,000 | ||
Loss on disposal of property, plant and equipment | (20,465,000) | (14,349,000) | (703,000) |
Loss on disposal of intangible assets | 3,000 | 1,350,000 | |
Share of losses/(profits) investments accounted for using the equity method | (81,000) | 1,043,000 | |
Fair value loss of convertible note | 26,506,000 | 4,240,000 | 1,599,000 |
Transaction cost related to issuance of convertible note | 677,000 | ||
Reversal of contingent consideration | (1,523,000) | ||
Share-based payment | 27,528,000 | 35,463,000 | 78,967,000 |
Impairment of non-current assets | 313,959,000 | 32,969,000 | |
Unrealised exchange difference | (373,000) | 515,000 | |
Loss on disposal of associates | 2,920,000 | 928,000 | |
Loss on disposal of subsidiaries | 11,329,000 | 21,558,000 | 1,531,000 |
Total before changes in working capital | 77,544,000 | (166,120,000) | (6,151,000) |
Changes in working capital: | |||
Inventories | (294,000) | (800,000) | (8,971,000) |
Trade receivables | 1,302,000 | 3,849,000 | (7,781,000) |
Other receivables, deposits and prepayments | 1,718,000 | 34,108,000 | 10,470,000 |
Trade payables | 16,394,000 | 4,543,000 | 15,969,000 |
Accruals, other payables and provisions | (104,435,000) | (52,018,000) | 15,191,000 |
Contract liabilities | (66,728,000) | 228,153,000 | (13,145,000) |
Cash flow from operating activities | ¥ (74,499,000) | ¥ 51,715,000 | ¥ 5,582,000 |
Cash generated from operation_3
Cash generated from operations - Net debt (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jan. 02, 2019 | Dec. 31, 2022 | Dec. 31, 2021 | |
Total | |||
Balance at beginning of year | ¥ (367,847) | ¥ (426,596) | |
Adjusted beginning balance | ¥ 367,847 | ||
Cash Flows | 39,315 | 58,749 | |
Balance at end of year | (328,532) | (367,847) | |
Borrowings due within 1 year | |||
Liabilities from financing activities | |||
Balance at beginning | (156,208) | (135,814) | |
Cash flows | (16,558) | (20,394) | |
Balance at ending | (172,766) | (156,208) | |
Borrowings due after 1 year | |||
Liabilities from financing activities | |||
Balance at beginning | (77,607) | (75,931) | |
Cash flows | 48,497 | (1,676) | |
Balance at ending | (29,110) | (77,607) | |
Lease liabilities due within 1 year | |||
Liabilities from financing activities | |||
Balance at beginning | (28,278) | (35,868) | |
Adjusted beginning balance | (28,278) | ||
Cash flows | 926 | 7,590 | |
Balance at ending | (27,352) | (28,278) | |
Lease Liabilities due after 1 year | |||
Liabilities from financing activities | |||
Balance at beginning | (105,754) | (178,983) | |
Adjusted beginning balance | ¥ (105,754) | ||
Cash flows | 6,450 | 73,229 | |
Balance at ending | ¥ (99,304) | ¥ (105,754) |
Business combination - Guangzho
Business combination - Guangzhou Pengai Xiuqi (Details) - CNY (¥) | 12 Months Ended | ||||||
May 30, 2022 | Jan. 01, 2022 | Oct. 14, 2021 | Jan. 01, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Net outflow of cash and cash equivalents | |||||||
Cash Consideration | ¥ (1,000,000) | ||||||
Cash and cash equivalents | 119,000 | ||||||
Net outflow of cash and cash equivalents included in cash flows from investing activities | ¥ (581,000) | ¥ (642,000) | ¥ (7,273,000) | ¥ (69,951,000) | |||
Pro forma revenue | ¥ 1,113,000 | ||||||
Pro forma profit/(loss) after tax | ¥ (1,223,000) | ||||||
Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. | |||||||
Business combination | |||||||
Percentage of share capital acquired | 73% | ||||||
Consideration paid | ¥ 7,300,000 | ||||||
Goodwill | 6,300,000 | ||||||
Assets and liabilities recognised as a result of the acquisition | |||||||
Other receivables | 100,000 | ||||||
Inventories | 400,000 | ||||||
Property, plant and equipment | 500,000 | ||||||
Net identifiable assets acquired | 1,000,000 | ||||||
Add: goodwill | 6,300,000 | ||||||
Net assets acquired | 7,300,000 | ||||||
Net outflow of cash and cash equivalents | |||||||
Cash Consideration | (7,300,000) | ||||||
Net outflow of cash and cash equivalents included in cash flows from investing activities | (7,300,000) | ||||||
Revenue since acquisition | 3,797,000 | ||||||
Net profit (loss) since acquisition | ¥ 333,000 | ||||||
Pro forma revenue | ¥ 3,797,000 | ||||||
Pro forma profit/(loss) after tax | ¥ (333,000) |
Business combination - Beijing
Business combination - Beijing AomeiYixin (Details) - CNY (¥) | Jan. 01, 2021 | May 30, 2022 |
Assets and liabilities recognised as a result of the acquisition | ||
Cash and cash equivalents | ¥ 119,000 | |
Cash flows from investing activities | ||
Cash consideration | (1,000,000) | |
Cash and cash equivalents | ¥ 119,000 | |
Beijing Aomei | ||
Business combination | ||
Percentage of share capital acquired | 95% | |
Consideration paid | ¥ 11,500,000 | |
Goodwill | 8,397,000 | |
Assets and liabilities recognised as a result of the acquisition | ||
Cash and cash equivalents | 27,000 | |
Intangible assets | 2,419,000 | |
Trade receivables and other receivables | 1,113,000 | |
Inventories | 57,000 | |
Property, plant and equipment | 2,743,000 | |
Trade payables and other payables | (122,000) | |
Lease liabilities | (2,362,000) | |
Deferred income tax liabilities | (600,000) | |
Current income tax liabilities | (9,000) | |
Non-controlling interest | (163,000) | |
Net identifiable assets acquired | 3,103,000 | |
Add: goodwill | 8,397,000 | |
Net assets acquired | 11,500,000 | |
Cash flows from investing activities | ||
Cash and cash equivalents | 27,000 | |
Net inflow of cash and cash equivalents included in cash flows from investing activities | 27,000 | |
Revenue since acquisition | 4,877,000 | |
Net profit (loss) since acquisition | ¥ 7,566,000 |
Business combination - Shenzhen
Business combination - Shenzhen Miaoyan (Details) - CNY (¥) | 12 Months Ended | ||||
May 30, 2022 | Jan. 01, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Assets and liabilities recognised as a result of the acquisition | |||||
Cash and cash equivalents | ¥ 119,000 | ||||
Net outflow of cash and cash equivalents | |||||
Cash consideration | (1,000,000) | ||||
Other payables | 300,000 | ||||
Cash and cash equivalents | 119,000 | ||||
Net outflow of cash and cash equivalents included in cash flows from investing activities | ¥ (581,000) | ¥ (642,000) | ¥ (7,273,000) | ¥ (69,951,000) | |
Pro forma revenue | ¥ 1,113,000 | ||||
Pro forma profit/(loss) after tax | ¥ (1,223,000) | ||||
Shenzhen Miaoyan Aesthetic Medical Clinic | |||||
Business combination | |||||
Increase in equity interest | 100% | ||||
Consideration paid | ¥ 1,000,000 | ||||
Goodwill | 778,698 | ||||
Assets and liabilities recognised as a result of the acquisition | |||||
Property, plant and equipment | 2,832,000 | ||||
Prepayments | 430,000 | ||||
Inventories | 348,000 | ||||
Trade receivables and other receivables | 109,000 | ||||
Cash and cash equivalents | 119,000 | ||||
Trade payables and other payables | (3,617,000) | ||||
Net identifiable assets acquired | 221,000 | ||||
Add: goodwill | 778,698 | ||||
Net assets acquired | 1,000,000 | ||||
Net outflow of cash and cash equivalents | |||||
Cash and cash equivalents | 119,000 | ||||
Revenue since acquisition | 1,113,000 | ||||
Net profit (loss) since acquisition | ¥ 1,223,000 |
Disposals of subsidiaries - Dis
Disposals of subsidiaries - Disposals of subsidiaries financial impacts (Details) - CNY (¥) | 1 Months Ended | 12 Months Ended | |||
Jul. 12, 2022 | Oct. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | |
Net assets disposed of: | |||||
Property, plant and equipment | ¥ 358,749,000 | ¥ 320,816,000 | ¥ 531,941,000 | ||
Deferred tax assets | 45,765,000 | 61,163,000 | 32,646,000 | ||
Prepayments | 31,471,000 | 31,030,000 | |||
Inventories | 30,566,000 | 27,853,000 | |||
Cash and cash equivalents | 39,289,000 | 12,161,000 | 44,384,000 | ||
Contract liabilities | 236,476,000 | 169,725,000 | |||
Lease liabilities | (134,032,000) | (126,656,000) | ¥ (214,851,000) | ||
Non-controlling interests | 29,755,000 | 12,222,000 | |||
Net assets of subsidiary | (125,880,000) | ||||
Other receivables, deposits and prepayments | 31,692,000 | 25,887,000 | |||
Income tax payables | (9,018,000) | (12,738,000) | |||
Borrowings | 156,208,000 | 172,766,000 | |||
Trade payables | (31,256,000) | ¥ (46,752,000) | |||
Yantai Pengai Jiayan | |||||
Disposals of subsidiaries | |||||
Proportion of equity interest held (as a percent) | 1% | ||||
Disposals of subsidiaries | Disposals of subsidiaries [Member] | |||||
Net assets disposed of: | |||||
Property, plant and equipment | 2,949,000 | ||||
Inventories | 3,462,000 | ||||
Trade and other receivables | 9,911,000 | ||||
Cash and cash equivalents | 1,329,000 | ||||
Trade payables and other payables | (22,047,000) | ||||
Contract liabilities | 304,000 | ||||
Non-controlling interests | (37,565,000) | ||||
Net assets of subsidiary | (49,772,000) | ||||
Loss on disposal of subsidiary | 37,688,000 | ||||
Consideration | (12,084,000) | ||||
Intangible assets | 10,903,000 | ||||
Income tax payables | (18,410,000) | ||||
Satisfied by: | |||||
Settlement of pre-existing balance | (12,084,000) | ||||
Total consideration | (12,084,000) | ||||
Analysis of the net outflow of cash and cash equivalents in respect of the disposal of subsidiary | |||||
Cash and cash equivalents disposed of | (1,329,000) | ||||
Net cash inflow in respect of disposal of subsidiary | ¥ (1,329,000) | ||||
Disposals of subsidiaries | Nanchang Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd | |||||
Net assets disposed of: | |||||
Property, plant and equipment | ¥ 3,480,000 | ||||
Deferred tax assets | 1,449,000 | ||||
Prepayments | 306,000 | ||||
Inventories | 1,165,000 | ||||
Trade and other receivables | 298,000 | ||||
Trade payables and other payables | (5,005,000) | ||||
Lease liabilities | (7,496,000) | ||||
Non-controlling interests | 6,589,000 | ||||
Net assets of subsidiary | 786,000 | ||||
Loss on disposal of subsidiary | 2,214,000 | ||||
Consideration | 3,000,000 | ||||
Satisfied by: | |||||
Total consideration | 3,000,000 | ||||
Analysis of the net outflow of cash and cash equivalents in respect of the disposal of subsidiary | |||||
Cash received | 3,000,000 | ||||
Net cash inflow in respect of disposal of subsidiary | 3,000,000 | ||||
Disposals of subsidiaries | Changsha Peng'ai Aesthetic Medical Hospital Co., Ltd | |||||
Net assets disposed of: | |||||
Property, plant and equipment | 15,425,000 | ||||
Goodwill | 176,000 | ||||
Deferred tax assets | 3,435,000 | ||||
Prepayments | 159,000 | ||||
Inventories | 1,843,000 | ||||
Trade and other receivables | 1,844,000 | ||||
Cash and cash equivalents | 52,000 | ||||
Trade payables and other payables | (7,461,000) | ||||
Contract liabilities | 51,000 | ||||
Lease liabilities | (8,304,000) | ||||
Non-controlling interests | 11,551,000 | ||||
Net assets of subsidiary | 18,163,000 | ||||
Loss on disposal of subsidiary | (13,543,000) | ||||
Income tax payables | (506,000) | ||||
Satisfied by: | |||||
Cash consideration | 4,620,000 | ||||
Disposals of subsidiaries | Changsha Peng'ai Xiuqi Aesthetic Medical Hospital Co., Ltd | |||||
Analysis of the net outflow of cash and cash equivalents in respect of the disposal of subsidiary | |||||
Cash received | 4,620,000 | ||||
Cash and cash equivalents disposed of | (52,000) | ||||
Net cash inflow in respect of disposal of subsidiary | ¥ 4,568,000 |
Transactions with non interesti
Transactions with non interesting - Non controlling interests and the impact (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Total impact of transactions with non-controlling interests | ¥ (3,361) | ¥ 1,434 | ¥ 2,635 |
Reserves | |||
Total impact of transactions with non-controlling interests | (2,613) | 3,020 | 2,640 |
Non-controlling interests | |||
Total impact of transactions with non-controlling interests | (748) | (1,586) | (5) |
Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Acquisition of additional interests in subsidiaries | (360) | ||
Total impact of transactions with non-controlling interests | 1,434 | ||
Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. | Reserves | |||
Acquisition of additional interests in subsidiaries | (220) | ||
Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. | Non-controlling interests | |||
Acquisition of additional interests in subsidiaries | (140) | ||
Changsha Pengai Aesthetic Medical Hospital Co. Ltd. | |||
Acquisition of additional interests in subsidiaries | (315) | ||
Changsha Pengai Aesthetic Medical Hospital Co. Ltd. | Reserves | |||
Acquisition of additional interests in subsidiaries | (715) | ||
Changsha Pengai Aesthetic Medical Hospital Co. Ltd. | Non-controlling interests | |||
Acquisition of additional interests in subsidiaries | 400 | ||
Chongqing Pengai | |||
Disposal of interests in subsidiaries without loss of control | 1,575 | ||
Chongqing Pengai | Reserves | |||
Disposal of interests in subsidiaries without loss of control | 3,575 | ||
Chongqing Pengai | Non-controlling interests | |||
Disposal of interests in subsidiaries without loss of control | ¥ (2,000) | ||
Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Acquisition of additional interests in subsidiaries | (750) | ||
Disposal of interests in subsidiaries without loss of control | 2,760 | ||
Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. | Reserves | |||
Acquisition of additional interests in subsidiaries | (224) | ||
Disposal of interests in subsidiaries without loss of control | 2,613 | ||
Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. | Non-controlling interests | |||
Acquisition of additional interests in subsidiaries | (526) | ||
Disposal of interests in subsidiaries without loss of control | 147 | ||
Hangzhou Pengai Aesthetic Medical Clinic Co., Ltd. | |||
Acquisition of additional interests in subsidiaries | (2,760) | ||
Hangzhou Pengai Aesthetic Medical Clinic Co., Ltd. | Reserves | |||
Acquisition of additional interests in subsidiaries | 2,054 | ||
Hangzhou Pengai Aesthetic Medical Clinic Co., Ltd. | Non-controlling interests | |||
Acquisition of additional interests in subsidiaries | (4,814) | ||
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | |||
Acquisition of additional interests in subsidiaries | (125) | ||
Total impact of transactions with non-controlling interests | 2,635 | ||
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | Reserves | |||
Acquisition of additional interests in subsidiaries | 92 | ||
Total impact of transactions with non-controlling interests | 2,640 | ||
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | Non-controlling interests | |||
Acquisition of additional interests in subsidiaries | (217) | ||
Total impact of transactions with non-controlling interests | (5) | ||
Shanghai Jiahong | Reserves | |||
Disposal of interests in subsidiaries without loss of control | (65) | ||
Shanghai Jiahong | Non-controlling interests | |||
Disposal of interests in subsidiaries without loss of control | ¥ 65 | ||
Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. | Reserves | |||
Acquisition of additional interests in subsidiaries | 86 | ||
Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. | Non-controlling interests | |||
Acquisition of additional interests in subsidiaries | (86) | ||
Yantai Pengai | |||
Acquisition of additional interests in subsidiaries | (300) | ||
Yantai Pengai | Reserves | |||
Acquisition of additional interests in subsidiaries | 288 | ||
Yantai Pengai | Non-controlling interests | |||
Acquisition of additional interests in subsidiaries | ¥ (588) |
Transactions with non-control_3
Transactions with non-controlling interests - Shanghai Pengai (Details) - Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. - CNY (¥) | 12 Months Ended | ||||
May 30, 2022 | Mar. 25, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Carrying amount of non-controlling interests acquired | ¥ 92,000 | ||||
Consideration paid for non-controlling interests | ¥ (125,000) | (125,000) | |||
Gain on acquisition within equity | ¥ 217,000 | ||||
Proportion of ownership interest held | 80% | 80% | |||
Equity Interest Purchase | |||||
Equity interests disposed off (as a percent) | 5% | ||||
Equity Interest Sale | |||||
Proportion of ownership interest held | 5% | ||||
Equity interests disposed off (as a percent) | 85% |
Transactions with non-control_4
Transactions with non-controlling interests - Shanghai Jiahong (Details) - Shanghai Jiahong - CNY (¥) | 12 Months Ended | ||
Dec. 08, 2022 | Dec. 09, 2020 | Dec. 31, 2020 | |
Carrying amount of non-controlling interests disposed of | ¥ (65,000) | ||
Less: consideration received from non-controlling interest | ¥ 864,000 | ||
Gain on disposal within equity | ¥ (65,000) | ||
Proportion of ownership interest held | 80% | 68% | |
Equity Interest Sale | |||
Equity interests disposed off (as a percent) | 12% |
Transactions with non-control_5
Transactions with non-controlling interests - Guangzhou Pengai (Details) - Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. - CNY (¥) | 12 Months Ended | ||||||
Dec. 07, 2022 | Jun. 15, 2022 | Dec. 07, 2020 | Mar. 25, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Carrying amount of non-controlling interests acquired | ¥ 2,054,000 | ¥ (147,000) | |||||
Consideration paid for non-controlling interests | (2,760,000) | (2,760,000) | |||||
Excess of consideration paid to non controlling interest recognised within equity | ¥ (4,814,000) | ||||||
Proportion of equity interest held (as a percent) | 96% | 20% | 76% | 96% | 76% | ||
Less: consideration received from non-controlling interest | ¥ 2,760,000 | ||||||
Gain on disposal within equity | ¥ (2,613,000) | ||||||
Equity Interest Purchase | |||||||
Consideration paid for non-controlling interests | ¥ (2,760,000) | ||||||
Increase in equity interest | 20% | ||||||
Equity interests disposed off (as a percent) | 20% | ||||||
Equity Interest Sale | |||||||
Equity interests disposed off (as a percent) | 80% |
Transactions with non-control_6
Transactions with non-controlling interests - Huizhou Pengai (Details) - Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. - CNY (¥) | 12 Months Ended | |||
Sep. 12, 2022 | Sep. 13, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Carrying amount of non-controlling interests acquired | ¥ 140,000 | |||
Consideration paid for non-controlling interests | ¥ 360,000 | 360,000 | ||
Gain on acquisition within equity | ¥ 220,000 | |||
Proportion of equity interest held (as a percent) | 65.50% | 67.50% | 67.50% | 67.50% |
Equity Interest Purchase | ||||
Increase in equity interest | 2% |
Transactions with non-control_7
Transactions with non-controlling interests - Changsha Pengai (Details) - Changsha Pengai Aesthetic Medical Hospital Co. Ltd. - CNY (¥) | 12 Months Ended | ||
Sep. 24, 2021 | May 31, 2019 | Dec. 31, 2021 | |
Carrying amount of non-controlling interests acquired | ¥ 400,000 | ||
Consideration paid for non-controlling interests | ¥ (315,000) | (315,000) | |
Excess of consideration paid to non controlling interest recognised within equity | ¥ (715,000) | ||
Increase in equity interest | 3% | ||
Proportion of equity interest held (as a percent) | 3% | 15% | 77% |
Carrying amount of non-controlling interests disposed of | ¥ 2,000,000 | ||
Less: consideration received from non-controlling interest | ¥ 1,575,000 | 1,575,000 | |
Gain on disposal within equity | 3,575,000 | ||
Consideration paid for non-controlling interests | ¥ 315,000 | ¥ 315,000 | |
Equity Interest Sale | |||
Increase in equity interest | 15% |
Transactions with non-control_8
Transactions with non-controlling interests - Shenzhen Pengai Xiuqi (Details) - Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co., Ltd. - CNY (¥) | 12 Months Ended | |
May 30, 2022 | Dec. 31, 2022 | |
Carrying amount of non-controlling interests acquired | ¥ (224,000) | |
Consideration paid for non-controlling interests | (750,000) | |
Excess of consideration paid to non controlling interest recognised within equity | ¥ (526,000) | |
Equity Interest Purchase | ||
Equity interests disposed off (as a percent) | 5% | |
Equity Interest Sale | ||
Consideration paid for non-controlling interests | ¥ (750,000) |
Transactions with non-control_9
Transactions with non-controlling interests - Guangzhou Pengai Xiuqi (Details). - Guangzhou Pengai Xiuqi Aesthetic Medical Clinic Co., Ltd. - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 20, 2022 | Jun. 19, 2022 | Dec. 31, 2022 | |
Carrying amount of non-controlling interests acquired | ¥ 86 | ||
Excess of consideration paid to non controlling interest recognised within equity | ¥ (86) | ||
Proportion of ownership interest held | 70% | 55% | |
Increase in equity interest | 20% | ||
Proportion of equity interest held (as a percent) | 70% | 55% |
Transactions with non-contro_10
Transactions with non-controlling interests - Yantai Pengai (Details) - Yantai Pengai Jiayan | 12 Months Ended | ||
Jul. 12, 2022 CNY (¥) | Jul. 12, 2022 USD ($) | Dec. 31, 2022 CNY (¥) | |
Carrying amount of non-controlling interests acquired | ¥ 288,000 | ||
Consideration paid for non-controlling interests | ¥ (300,000) | (300,000) | |
Excess of consideration paid to non controlling interest recognised within equity | ¥ (588,000) | ||
Proportion of equity interest held (as a percent) | 1% | 1% | |
Equity Interest Purchase | |||
Excess of consideration paid to non controlling interest recognised within equity | $ | $ (1) |
Share based compensation - Shar
Share based compensation - Share Incentive Plan (Details) | Jun. 01, 2019 item shares |
Share-based compensation | |
Ordinary shares reserved for issued | shares | 5,940,452 |
Percentage of share options vesting one year from date of grant | 25% |
Percentage of share options vesting in equal monthly installments after one year from date of grant | 75% |
Number of equal monthly vesting installments after one year from date of grant | item | 36 |
Top of Range | |
Share-based compensation | |
Stock option term | 10 years |
Share based compensation - Opti
Share based compensation - Option Activity (Details) | 12 Months Ended | |
Dec. 31, 2022 CNY (¥) Option ¥ / shares | Dec. 31, 2021 CNY (¥) Option ¥ / shares | |
Share based compensation | ||
Number of options outstanding at beginning of year | 1,270,445 | 2,493,404 |
Number of options vested | (1,270,445) | (1,222,959) |
Number of options outstanding at end of year | 1,270,445 | |
Weighted average exercise price of share options outstanding at beginning of period | ¥ / shares | ¥ 0.007 | ¥ 0.007 |
Weighted average exercise price of share options outstanding at end of period | ¥ / shares | ¥ 0.007 | ¥ 0.007 |
Weighted average grant date fair value of share options outstanding at beginning of year | ¥ | ¥ 28.01 | ¥ 28.01 |
Weighted average grant date fair value of share options outstanding at end of year | ¥ | ¥ 28.01 | ¥ 28.01 |
Share based compensation - Op_2
Share based compensation - Option Fair Value Assumptions (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Share based compensation | |
Risk free interest rate | 2.20% |
Expected dividend yield | 0% |
Expected volatility | 57.87% |
Exercise multiples | 2.2 |
Contractual life | 10 |
Share based compensation - Addi
Share based compensation - Additional Information (Details) | 12 Months Ended | ||||
Jul. 29, 2022 CNY (¥) shares | Dec. 31, 2022 CNY (¥) | Dec. 31, 2021 CNY (¥) Option | Dec. 31, 2020 CNY (¥) Option | Dec. 31, 2022 $ / shares | |
Share-based compensation | |||||
Exercise price | $ / shares | $ 0.001 | ||||
Number of share options outstanding | Option | 1,270,445 | 2,493,404 | |||
Share-based payment | ¥ 27,528,000 | ¥ 35,463,000 | ¥ 78,967,000 | ||
Performance Incentive Plan | |||||
Share-based compensation | |||||
Number of shares issued | shares | 1,927,793 | ||||
Percentage of outstanding shares issued | 2% | ||||
Consideration for shares issued | ¥ 0 |
Summarised financial informat_3
Summarised financial information of subsidiaries with material non-controlling interests - Summarised balance sheets (Details) - CNY (¥) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Current | |||
Liabilities | ¥ (543,836,000) | ¥ (541,657,000) | |
Total current net assets/(liabilities) | (466,239,000) | ||
Noncurrent | |||
Assets | 468,773,000 | 463,230,000 | |
Liabilities | (128,414,000) | ¥ (221,705,000) | |
Net assets/(liabilities) | ¥ (125,880,000) | ||
Subsidiaries with material non-controlling interests | |||
Summarised financial information of subsidiaries with material non controlling interests | |||
Proportion of non-controlling interests in subsidiaries with material non-controlling interests to total non-controlling interests (as a percent) | 40% | 21% | 84% |
Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Current | |||
Assets | ¥ 23,004,000 | ¥ 17,024,000 | ¥ 17,386,000 |
Liabilities | (17,145,000) | (15,541,000) | (3,655,000) |
Total current net assets/(liabilities) | 5,859,000 | 1,483,000 | 13,731,000 |
Noncurrent | |||
Assets | 5,466,000 | 3,868,000 | 2,046,000 |
Liabilities | (3,495,000) | (733,000) | |
Total noncurrent net assets | 1,971,000 | 3,135,000 | 2,046,000 |
Net assets/(liabilities) | 7,830,000 | 4,618,000 | 15,777,000 |
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | |||
Current | |||
Assets | 14,761,000 | 13,772,000 | 13,641,000 |
Liabilities | (50,260,000) | (46,764,000) | (15,626,000) |
Total current net assets/(liabilities) | (35,499,000) | (32,992,000) | (1,985,000) |
Noncurrent | |||
Assets | 41,102,000 | 40,871,000 | 36,302,000 |
Liabilities | (29,174,000) | (29,040,000) | (31,607,000) |
Total noncurrent net assets | 11,928,000 | 11,831,000 | 4,695,000 |
Net assets/(liabilities) | (23,571,000) | (21,161,000) | 2,710,000 |
Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co. Ltd. | |||
Current | |||
Assets | 8,773,000 | 10,252,000 | 9,140,000 |
Liabilities | (32,844,000) | (33,393,000) | (11,464,000) |
Total current net assets/(liabilities) | (24,071,000) | (23,141,000) | (2,324,000) |
Noncurrent | |||
Assets | 30,261,000 | 26,429,000 | 22,437,000 |
Total noncurrent net assets | 30,261,000 | 26,429,000 | 22,437,000 |
Net assets/(liabilities) | 6,190,000 | 3,288,000 | 20,113,000 |
Haikou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Current | |||
Assets | 4,510,000 | 4,546,000 | 3,033,000 |
Liabilities | (22,396,000) | (23,484,000) | (14,405,000) |
Total current net assets/(liabilities) | (17,886,000) | (18,938,000) | (11,372,000) |
Noncurrent | |||
Assets | 15,295,000 | 18,964,000 | 22,783,000 |
Liabilities | (5,450,000) | (5,808,000) | (6,144,000) |
Total noncurrent net assets | 9,845,000 | 13,156,000 | 16,639,000 |
Net assets/(liabilities) | (8,041,000) | (5,782,000) | 5,267,000 |
Yantai Pengai Jiayan Cosmetic Surgery Hospital Co., Ltd | |||
Current | |||
Assets | 2,909,000 | 3,753,000 | 14,806,000 |
Liabilities | (25,394,000) | (31,845,000) | (24,410,000) |
Total current net assets/(liabilities) | (22,485,000) | (28,092,000) | (9,604,000) |
Noncurrent | |||
Assets | 28,832,000 | 33,234,000 | 35,387,000 |
Liabilities | (16,778,000) | (17,086,000) | (17,748,000) |
Total noncurrent net assets | 12,054,000 | 16,148,000 | 17,639,000 |
Net assets/(liabilities) | ¥ (10,431,000) | ¥ (11,944,000) | ¥ 8,035,000 |
Summarised financial informat_4
Summarised financial information of subsidiaries with material non-controlling interests - Summarised statements of comprehensive income (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Summarised financial information of subsidiaries with material non controlling interests | |||
Revenue | ¥ 670,091 | ¥ 645,593 | ¥ 901,573 |
Profit/(loss) before income tax | (94,173) | (681,314) | (259,492) |
Income tax (expense)/credit | 18,067 | 11,798 | 12,587 |
Profit/(loss) and total comprehensive income/(loss) for the year | (70,807) | (668,942) | (247,636) |
Total comprehensive income/(loss) allocated to noncontrolling interests | 141 | (82,897) | (11,426) |
Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Summarised financial information of subsidiaries with material non controlling interests | |||
Revenue | 32,679 | 21,561 | 26,852 |
Profit/(loss) before income tax | 4,261 | (8,222) | 2,743 |
Income tax (expense)/credit | 1,049 | 297 | (685) |
Profit/(loss) and total comprehensive income/(loss) for the year | 3,212 | (7,925) | 2,058 |
Total comprehensive income/(loss) allocated to noncontrolling interests | 1,044 | (2,734) | 710 |
Dividend paid to noncontrolling interests | 1,116 | 750 | |
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | |||
Summarised financial information of subsidiaries with material non controlling interests | |||
Revenue | 41,585 | 21,674 | 29,839 |
Profit/(loss) before income tax | (3,213) | (25,217) | (3,884) |
Income tax (expense)/credit | (803) | 1,347 | 157 |
Profit/(loss) and total comprehensive income/(loss) for the year | (2,410) | (23,870) | (3,727) |
Total comprehensive income/(loss) allocated to noncontrolling interests | (482) | (4,737) | (746) |
Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co. Ltd. | |||
Summarised financial information of subsidiaries with material non controlling interests | |||
Revenue | 37,106 | 28,251 | 28,530 |
Profit/(loss) before income tax | 3,871 | (19,411) | (1,135) |
Income tax (expense)/credit | 968 | 2,586 | (139) |
Profit/(loss) and total comprehensive income/(loss) for the year | 2,903 | (16,825) | (1,274) |
Total comprehensive income/(loss) allocated to noncontrolling interests | 174 | (1,851) | (140) |
Haikou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Summarised financial information of subsidiaries with material non controlling interests | |||
Revenue | 30,474 | 24,134 | 20,184 |
Profit/(loss) before income tax | (2,946) | (10,966) | (1,696) |
Income tax (expense)/credit | (688) | (84) | 192 |
Profit/(loss) and total comprehensive income/(loss) for the year | (2,258) | (11,050) | (1,504) |
Total comprehensive income/(loss) allocated to noncontrolling interests | (294) | (1,436) | (196) |
Dividend paid to noncontrolling interests | 186 | ||
Yantai Pengai Jiayan Cosmetic Surgery Hospital Co., Ltd | |||
Summarised financial information of subsidiaries with material non controlling interests | |||
Revenue | 36,763 | 15,295 | 25,958 |
Profit/(loss) before income tax | 2,018 | (21,773) | (2,465) |
Income tax (expense)/credit | 505 | 1,795 | 307 |
Profit/(loss) and total comprehensive income/(loss) for the year | 1,513 | (19,978) | (2,158) |
Total comprehensive income/(loss) allocated to noncontrolling interests | ¥ 166 | ¥ (2,198) | ¥ (237) |
Summarised financial informat_5
Summarised financial information of subsidiaries with material non-controlling interests - Summarised statements of cash flows (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities | |||
Cash generated from operations | ¥ (74,499) | ¥ 51,715 | ¥ 5,582 |
Income tax paid | (627) | (624) | (6,425) |
Net cash generated from operating activities | (75,126) | 51,091 | (843) |
Net cash used in investing activities | 3,111 | (11,525) | (127,368) |
Net cash used in financing activities | 45,552 | (45,235) | 17,697 |
Net (decrease)/increase in cash and cash equivalents | (26,463) | (5,669) | (110,514) |
Cash and cash equivalents at beginning of the year | 39,289 | 44,384 | |
Cash and cash equivalents at end of the year | 12,161 | 39,289 | 44,384 |
Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Cash flows from operating activities | |||
Cash generated from operations | (1,905) | 1,217 | 3,192 |
Income tax paid | (136) | (211) | (1,070) |
Net cash generated from operating activities | (2,041) | 1,006 | 2,122 |
Net cash used in investing activities | (68) | (589) | (78) |
Net cash used in financing activities | 2,520 | (18) | (2,175) |
Net (decrease)/increase in cash and cash equivalents | 411 | 399 | (131) |
Cash and cash equivalents at beginning of the year | 695 | 296 | 427 |
Cash and cash equivalents at end of the year | 1,106 | 695 | 296 |
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | |||
Cash flows from operating activities | |||
Cash generated from operations | (11,224) | 2,587 | (2,240) |
Income tax paid | (27) | (444) | |
Net cash generated from operating activities | (11,224) | 2,560 | (2,684) |
Net cash used in investing activities | (20) | (2,437) | (5,407) |
Net cash used in financing activities | 10,783 | (2,082) | |
Net (decrease)/increase in cash and cash equivalents | (461) | 123 | (10,173) |
Cash and cash equivalents at beginning of the year | 584 | 461 | 10,634 |
Cash and cash equivalents at end of the year | 123 | 584 | 461 |
Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co. Ltd. | |||
Cash flows from operating activities | |||
Cash generated from operations | (81) | (1,419) | 7,208 |
Net cash generated from operating activities | (81) | (1,419) | 7,208 |
Net cash used in investing activities | (13) | (767) | (4,305) |
Net cash used in financing activities | (505) | 2,880 | (3,081) |
Net (decrease)/increase in cash and cash equivalents | (599) | 694 | (178) |
Cash and cash equivalents at beginning of the year | 703 | 9 | 187 |
Cash and cash equivalents at end of the year | 104 | 703 | 9 |
Haikou Pengai Aesthetic Medical Hospital Co., Ltd. | |||
Cash flows from operating activities | |||
Cash generated from operations | 779 | 2,162 | 2,462 |
Income tax paid | (50) | (8) | (14) |
Net cash generated from operating activities | 729 | 2,154 | 2,448 |
Net cash used in investing activities | (594) | (1,300) | (1,673) |
Net cash used in financing activities | (586) | (100) | (629) |
Net (decrease)/increase in cash and cash equivalents | (451) | 754 | 146 |
Cash and cash equivalents at beginning of the year | 976 | 222 | 76 |
Cash and cash equivalents at end of the year | 525 | 976 | 222 |
Yantai Pengai Jiayan Cosmetic Surgery Hospital Co., Ltd | |||
Cash flows from operating activities | |||
Cash generated from operations | 58 | 47 | 2,544 |
Net cash generated from operating activities | 58 | 47 | 2,544 |
Net cash used in investing activities | (115) | (1,848) | |
Net cash used in financing activities | (163) | (1,646) | |
Net (decrease)/increase in cash and cash equivalents | (220) | 47 | (950) |
Cash and cash equivalents at beginning of the year | 561 | 514 | 1,464 |
Cash and cash equivalents at end of the year | ¥ 341 | ¥ 561 | ¥ 514 |
Commitments - Operating lease c
Commitments - Operating lease commitments (Details) - CNY (¥) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Commitments | ||
Maximum Amount of Damages Claimed by Plaintiffs | ¥ 18,200,000 | ¥ 1,944,655 |
Restricted cash reserved in escrow account | 0 | |
Within 1 year | ||
Commitments | ||
Minimum future lease payments | ¥ 20,000 | ¥ 10,000 |
Bottom of Range | ||
Commitments | ||
Lease term | 3 years | |
Top of Range | ||
Commitments | ||
Lease term | 9 years |
Related party transactions (Det
Related party transactions (Details) - Related companies - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Related party transactions | ||
Rental expenses | ¥ 1,890 | ¥ 2,040 |
Service fee expenses | ¥ 5,942 | ¥ 3,218 |
Related party transactions - Ba
Related party transactions - Balances with related parties (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Balances with related parties | ||
Amounts due from related parties | ¥ 2,873 | ¥ 4,391 |
Amounts due to related parties | 473 | |
Related companies | ||
Balances with related parties | ||
Amounts due from related parties | 2,217 | |
Amounts due to related parties | 473 | |
Non-controlling interests | ||
Balances with related parties | ||
Amounts due from related parties | ¥ 656 | ¥ 4,391 |
Related party transactions - Ke
Related party transactions - Key management compensation (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Related party transactions | ||
Basic salaries and bonus | ¥ 15,609 | ¥ 17,740 |
Share based compensation | 27,528 | 24,547 |
Pension costs - defined contribution plans | 319 | 376 |
Compensation paid or payable to key management for employee services | ¥ 43,456 | ¥ 42,663 |
Related party transactions - Pe
Related party transactions - Personal guarantees and corporate guarantee from related company (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Related party transactions | ||
Bank borrowings of the Group secured by personal guarantees from Dr. Zhou Pengwu, Dr. Zhou Yitao and Ms. Ding Wenting and corporate guarantee from a related company | ¥ 78,977 | ¥ 94,270 |
Bank borrowings of the Group secured by personal properties from Dr. Zhou Pengwu and Ms. Ding Wenting | ¥ 32,805 | ¥ 9,000 |
Particulars of the subsidiari_3
Particulars of the subsidiaries (Details) | 12 Months Ended | ||||||||||||||
Dec. 07, 2022 | Sep. 12, 2022 | Jun. 15, 2022 | Sep. 24, 2021 | Sep. 13, 2021 | Dec. 07, 2020 | May 31, 2019 | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2021 CNY (¥) shares | Dec. 31, 2022 HKD ($) shares | Dec. 31, 2022 SGD ($) shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 HKD ($) shares | Dec. 31, 2021 SGD ($) shares | Dec. 31, 2021 USD ($) $ / shares shares | |
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 626,000 | ¥ 469,000 | |||||||||||||
Dragon Jade Holdings Limited | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Number of shares issued | shares | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | |||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Stargaze Wealth Limited | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Number of shares issued | shares | 50,000 | 50,000 | 50,000 | 50,000 | 50,000 | 50,000 | 50,000 | 50,000 | |||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Peng Oi Investment (Hong Kong) Holdings Limited | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Number of shares issued | shares | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | |||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Peng Yida Business Consulting (Shenzhen) Co.,Ltd | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | $ | $ 500,000,000 | $ 500,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Shenzhen Pengai Hospital Investment Management Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 115,000,000 | ¥ 115,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Aesthetic Medical International Holdings (Singapore) Pte. Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | $ | $ 10 | $ 10 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Shenzhen Pengcheng General Hospital Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 36,000,000 | ¥ 36,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Shenzhen Pengai Aesthetic Medical Hospital Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 130,000,000 | ¥ 130,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Shenzhen Pengai Beauty Promise Cosmetic Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 100,000 | ¥ 100,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Haikou Pengai Aesthetic Medical Hospital Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 3,000,000 | ¥ 3,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 87% | 87% | |||||||||||||
Huizhou Pengai Aesthetic Medical Hospital Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 6,000,000 | ¥ 6,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 65.50% | 67.50% | 67.50% | 67.50% | |||||||||||
Jinan Pengai Cosmetic Surgery Hospital Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 5,210,000 | ¥ 5,210,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 95% | 95% | |||||||||||||
Shanghai Pengai Medical Technology Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 500,000 | ¥ 500,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Shanghai Qiyue Medical Techonology Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 20,000,000 | ¥ 20,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 51% | 51% | |||||||||||||
Shengli Aesthetic Technology Investment ,Hong Kong Company Limited | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Number of shares issued | shares | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | |||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Aih Investment Management Corp | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |||||||||||||
Registered capital/ issued share capital | $ | $ 1,000,000 | $ 1,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Shenzhen Pengai Culture Broadcast Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 1,000,000 | ¥ 1,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Changsha Pengai Aesthetic Medical Hospital Co. Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 500,000 | ¥ 500,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 3% | 15% | 77% | ||||||||||||
Shanghai Pengai Aesthetic Medical Clinic Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 3,000,000 | ¥ 3,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 80% | 80% | |||||||||||||
Newa Medical Aesthetics Limited | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Number of shares issued | shares | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | |||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Guangzhou Pengai Aesthetic Medical Hospital Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 18,800,000 | ¥ 18,800,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 96% | 20% | 76% | 96% | 76% | ||||||||||
Shenzhen Pengai Xiuqi Aesthetic Medical Hospital Co. Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 12,000,000 | ¥ 12,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 89% | 89% | |||||||||||||
Hangzhou Pengai Aesthetic Medical Clinic Co., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 6,000,000 | ¥ 6,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 100% | 100% | |||||||||||||
Shanghai Jiahong Aesthetic Medical Clinic Co., Ltd | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 5,000,000 | ¥ 5,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 64% | 64% | |||||||||||||
Guangzhou Pengai Xiuqi Aesthetic Medical Clinic | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 1,000,000 | ¥ 1,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 70.10% | 55.50% | |||||||||||||
Beijing AomeiYixin Investment ConsultantCo., Ltd. | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 500,000 | ¥ 500,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 95% | 95% | |||||||||||||
Beijing Haiyue Xingguang Aesthetic Medical Clinic | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Proportion of equity interest held (as a percent) | 95% | 95% | |||||||||||||
Yantai Pengai Cosmetic Surgery Hospital Co., Ltd | |||||||||||||||
PRC subsidiaries | |||||||||||||||
Registered capital/ issued share capital | ¥ 10,000,000 | ¥ 10,000,000 | |||||||||||||
Proportion of equity interest held (as a percent) | 89% | 89% |
Additional information_ Conde_3
Additional information: Condensed balance sheets of the parent company (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets | ||||
Other receivables, deposits and prepayments | ¥ 25,887 | ¥ 31,692 | ||
Cash and cash equivalents | 12,161 | 39,289 | ¥ 44,384 | |
Total assets | 546,370 | 576,940 | ||
Equity attributable to owners of the Company | ||||
Other reserves | 1,028,510 | 909,411 | ||
Total equity | (125,880) | (186,422) | 425,736 | ¥ 590,598 |
Non-current liabilities | ||||
Convertible note | 38,059 | |||
Total non-current liabilities | 128,414 | 221,705 | ||
Current liabilities | ||||
Accruals, other payables and provisions | 43,738 | 72,848 | ||
Total current liabilities | 543,836 | 541,657 | ||
Total liabilities | 672,250 | 763,362 | ||
Total equity and liabilities | 546,370 | 576,940 | ||
Parent company | ||||
Current assets | ||||
Cash and cash equivalents | 84 | 5,250 | ¥ 11,500 | ¥ 65,558 |
Total current assets | 84 | 5,250 | ||
Total assets | 84 | 5,250 | ||
Equity attributable to owners of the Company | ||||
Share capital and treasury shares | (1,397) | (1,554) | ||
Other reserves | (72,728) | (42,434) | ||
Total equity | (74,125) | (43,988) | ||
Non-current liabilities | ||||
Convertible note | 38,059 | |||
Total non-current liabilities | 64,565 | 38,059 | ||
Current liabilities | ||||
Accruals, other payables and provisions | 9,644 | 11,179 | ||
Convertible note | 64,565 | |||
Total current liabilities | 74,209 | 11,179 | ||
Total liabilities | 138,774 | 49,238 | ||
Total equity and liabilities | ¥ 84 | ¥ 5,250 |
Additional information_ Conde_4
Additional information: Condensed statements of comprehensive income of the parent company (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Additional information: condensed financial statements of the Company | |||
Selling expenses | ¥ (226,474,000) | ¥ (404,683,000) | ¥ (510,608,000) |
General and administrative expenses | (150,379,000) | (206,971,000) | (230,646,000) |
Finance income | 155,000 | 113,000 | 1,185,000 |
Finance costs | (21,635,000) | (27,230,000) | (29,189,000) |
Fair value loss of convertible note | (26,506,000) | (4,240,000) | (1,599,000) |
Loss before income tax | (94,173,000) | (681,314,000) | (259,492,000) |
Income tax expense | (18,067,000) | (11,798,000) | (12,587,000) |
Loss for the year | (76,106,000) | (669,516,000) | (246,905,000) |
Items that may be subsequently reclassified to profit or loss | |||
Currency translation differences | (665,000) | 574,000 | (731,000) |
Total other comprehensive income/(loss) for the year, net of tax | 5,299,000 | 574,000 | (731,000) |
Total comprehensive income/(loss) for the year | (70,807,000) | (668,942,000) | (247,636,000) |
Parent company | |||
Additional information: condensed financial statements of the Company | |||
Loss from subsidiaries | (30,294,000) | (469,724,000) | (140,096,000) |
Selling expenses | (511,000) | (1,228,000) | |
General and administrative expenses | (34,575,000) | (47,188,000) | (103,982,000) |
Finance income | 5,269,000 | ||
Finance costs | (338,000) | ||
Other loss, net | (7,000) | (6,968,000) | |
Fair value loss of convertible note | (26,506,000) | (4,240,000) | (1,599,000) |
Loss before income tax | (86,113,000) | (528,969,000) | (246,905,000) |
Loss for the year | (86,113,000) | (528,969,000) | (246,905,000) |
Items that may be subsequently reclassified to profit or loss | |||
Currency translation differences | (665,000) | 574,000 | (731,000) |
Total other comprehensive income/(loss) for the year, net of tax | (665,000) | 574,000 | (731,000) |
Total comprehensive income/(loss) for the year | ¥ (86,778,000) | ¥ (528,395,000) | ¥ (247,636,000) |
Additional information_ Conde_5
Additional information: Condensed statements of cash flows of the parent company (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Additional information: condensed financial statements of the Company | |||
Net cash used in operating activities | ¥ (75,126) | ¥ 51,091 | ¥ (843) |
Net cash used in investing activities | 3,111 | (11,525) | (127,368) |
Net cash generated from financing activities | 45,552 | (45,235) | 17,697 |
Net (decrease)/increase in cash and cash equivalents | (26,463) | (5,669) | (110,514) |
Cash and cash equivalents at beginning of the year | 39,289 | 44,384 | |
Cash and cash equivalents at end of the year | 12,161 | 39,289 | 44,384 |
Parent company | |||
Additional information: condensed financial statements of the Company | |||
Net cash used in operating activities | (88,987) | (6,250) | (76,639) |
Net cash used in investing activities | (8,372) | ||
Net cash generated from financing activities | 94,153 | 30,953 | |
Net (decrease)/increase in cash and cash equivalents | (5,166) | (6,250) | (54,058) |
Cash and cash equivalents at beginning of the year | 5,250 | 11,500 | 65,558 |
Cash and cash equivalents at end of the year | ¥ 84 | ¥ 5,250 | ¥ 11,500 |
Subsequent events (Details)
Subsequent events (Details) - CNY (¥) ¥ / shares in Units, ¥ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jan. 10, 2023 | Feb. 28, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Subsequent events | |||||
Consideration from issuance and allotment of ordinary shares | ¥ 170,000 | ¥ 94,153 | |||
Increase (decrease) through share-based payment transactions, equity | ¥ 27,515 | ¥ 35,462 | ¥ 78,967 | ||
Agreement to Sell Equity Interest | MY Universe (HK) Limited [Member] | |||||
Subsequent events | |||||
Number of shares issued and allotment | 36,402,570 | ||||
Consideration from issuance and allotment of ordinary shares | ¥ 170,000 | ||||
Agreement to Sell Equity Interest | Wanda [Member] | |||||
Subsequent events | |||||
Consideration for sale of equity interest | ¥ 100,000 | ||||
Number of shares issued and allotment | 21,321,962 | ||||
Price per share | ¥ 4.67 | ||||
Shenzhen Miaoyan Medical Technology Investment Co., Ltd [Member] | Agreement to Sell Equity Interest | |||||
Subsequent events | |||||
Agreement to sell equity interest (as a percent) | 100% | ||||
Consideration for sale of equity interest | ¥ 1,900 |