Yonghui Supermarket Co., Ltd. (Yonghui Supermarket) announced on November 12 that the chairman and their concerted action person plan to reduce their holdings by 90,750,000 shares, with a market value of approximately 430 million yuan. The recent news of continuous reduction in holdings by major shareholders of Yonghui Supermarket has attracted attention from the public.
In the notice released by Yonghui Supermarket on the 12th titled “Announcement on the Concentrated Bidding Reduction Plan of Shareholders Holding Over 5% of Shares”, it stated: “The company recently received a ‘Notice of Share Reduction Plan’ issued by Mr. Zhang Xuansong and his concerted action person, proposing to reduce the company’s holdings through concentrated bidding transactions by a total of not more than 90,750,000 shares, not exceeding 1% of the total share capital of the company. The reduction price will be determined based on market conditions. The reduction plan will be implemented within three months after the announcement on the fifteenth trading day.”
Based on the closing price of 4.74 yuan/share on November 11, the amount of this reduction is approximately 430 million yuan. Zhang Xuansong, the legal representative, chairman, and director of Yonghui Supermarket, holds 8.72% of the company’s shares.
Just a few days earlier on November 8, Yonghui Supermarket released the “Announcement of the Results of Senior Management’s Reduction of Shares” which stated: “On November 7, 2025, the company received a ‘Notice of Completion of Reduction Plan’ issued by Ms. Luo Wenxia. As of November 7, 2025, Luo Wenxia reduced 108,700 shares through concentrated bidding, accounting for 0.0012% of the total share capital of the company. The reduction plan has been completed.”
On July 3 this year, Yonghui Supermarket issued the “Announcement on the Results of Shareholder’s Reduction of Shares”, stating: “Recently, the company received a ‘Notice of the Maturity of the Share Reduction Plan and the Reduction Results’ from Beijing JD Century Trade Co., Ltd., stating that during the reduction plan period, JD Century Trade reduced its holdings of the company through concentrated bidding and block trading by a total of 114,050,277 shares, accounting for 1.2567% of the current total share capital of the company. The deadline for this reduction plan has expired.”
Behind the continuous reduction of holdings by Yonghui Supermarket’s top management is the company’s expanding profit losses and the reality of decreasing closed stores.
On October 31, Yonghui Supermarket released its “2025 Third Quarter Report”, which showed that in the first three quarters of this year, Yonghui Supermarket achieved operating income of 42.434 billion yuan, a year-on-year decrease of 22.21%; the attributable net loss was about 710 million yuan, more than 8 times the previous year. In the same period last year, its attributable net loss was 77.8657 million yuan.
The report also indicated that as of September 30, 2025, the company had 450 operating stores, with 2 new stores opened in the third quarter.
Meanwhile, Yonghui Supermarket is also closing stores on a large scale. According to a report by “Jiemian News” on November 12, by the end of the third quarter this year, Yonghui Supermarket had closed 325 stores, including 102 closures in the third quarter.
Facing the declining performance in recent years, Yonghui Supermarket is undergoing transformation and reform. According to a report from the “International Financial News” on November 12, out of the 450 operating stores, a total of 222 stores have undergone adjustments. Although Yonghui Supermarket has repeatedly indicated significant improvements in the operation of its transformed stores, on the other hand, the company’s executives seem to have a pessimistic view on the future stock price, as they have cashed out through multiple reductions this year.
According to some securities firms, Yonghui Supermarket is expected to gradually complete its reform from 2026 to 2027, and all existing stores are expected to return to profitability after the completion of adjustments next year, with profits expected to start to be released by 2027.