香港交易及結算所有限公司以及香港聯合交易所有限公司對本公佈之內容概 不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不會就因本 公佈全部或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任 何責任。 KINGBOARD HOLDINGS LIMITED 建 滔 集 團 有 限 公 司 （於開曼群島註冊成立之有限公司） （股份代號：148） 截 至 二 零 二 二 年 十 二 月 三 十 一 日 止 年 度 業 績 公 佈 財務摘要 二零二二年 二零二一年 財政年度 財政年度 變動 百萬港元 百萬港元 49,375.9 56,755.3 -13% 營業額 未扣除利息、稅項、折舊及 攤銷前盈利* 9,445.3 17,559.9 -46% 除稅前溢利* 7,050.0 15,338.1 -54% 本公司持有人應佔純利 * 3,882.7 10,565.4 -63% －基本純利 3,655.2 10,778.0 -66% －賬面純利 每股基本盈利 * 3.502 9.537 -63% －以基本純利計算 港元 港元 3.297 9.729 -66% ...

Financial Performance - The company's revenue for the six months ended June 30, 2022, was HKD 27,828,186 thousand, an increase of 4.2% compared to HKD 26,701,492 thousand in the same period of 2021[3] - Gross profit for the same period was HKD 8,184,466 thousand, down 5.8% from HKD 8,689,861 thousand year-on-year[3] - The net profit for the period was HKD 2,901,633 thousand, a significant decrease of 51.1% compared to HKD 5,941,244 thousand in the previous year[4] - Basic earnings per share for the period was HKD 2.173, down from HKD 4.573 in the same period last year, reflecting a decline of 52.5%[3] - Total comprehensive income for the period amounted to HKD 1,314,023 thousand, compared to HKD 6,405,307 thousand in the previous year, indicating a decrease of 79.5%[4] - The group's profit before tax was HKD 4,520,747, compared to HKD 7,343,231 in the previous year, indicating a decrease[19] - The group reported a total segment profit of HKD 4,775,339, down from HKD 7,586,074 in the previous period[19] - The basic net profit attributable to the company's shareholders decreased by 50% to HKD 2,522.3 million from HKD 5,061.7 million year-on-year[57] Assets and Liabilities - Non-current assets increased to HKD 54,787,315 thousand as of June 30, 2022, compared to HKD 53,550,772 thousand at the end of 2021[5] - Current assets rose to HKD 46,167,297 thousand, down from HKD 50,264,996 thousand at the end of 2021, reflecting a decrease of 8.3%[5] - The company's total liabilities decreased to HKD 22,259,420 thousand from HKD 26,846,033 thousand, a reduction of 17.1%[6] - Total capital amounted to HKD 68,683,293 thousand, with a decrease of HKD 3,561,080 thousand compared to the previous period[7] - Non-controlling interests were reported at HKD 5,666,121 thousand, reflecting a decrease of HKD 932,928 thousand[7] - Retained earnings stood at HKD 50,261,361 thousand, with a reduction of HKD 3,269,012 thousand[7] Cash Flow - The net cash generated from operating activities was HKD 3,497,605 thousand, while cash used in investing activities was HKD (2,282,477) thousand[9] - The net cash from financing activities was HKD 99,382 thousand, resulting in a net increase in cash and cash equivalents of HKD 1,314,510 thousand[9] - The cash and cash equivalents at the end of the period were HKD 6,826,867 thousand, compared to HKD 4,854,643 thousand in the previous year[9] Market Strategy and Future Plans - The company plans to focus on expanding its market presence and enhancing product development in the upcoming quarters[2] - The group plans to continue expanding its market presence and investing in new technologies to drive future growth[16] - The company aims to increase order volumes as downstream customers begin to replenish low inventory levels, anticipating a gradual recovery in demand in the second half of the year[78] Dividends - The interim dividend declared for the six months ended June 30, 2022, is HKD 0.30 per share, down from HKD 0.56 per share in the same period last year[26] Segment Performance - The chemical segment experienced slight revenue growth due to high prices and strong sales of key products like caustic soda and acetic acid[56] - The copper-clad laminate division's revenue decreased by 26% to HKD 10.74 billion, with EBITDA dropping 49% to HKD 2.26 billion due to high commodity and energy prices[58] - The printed circuit board division's revenue increased by 8% to HKD 6.99 billion, but EBITDA fell 10% to HKD 0.88 billion amid rising overall costs[58] - The chemical division's revenue rose by 5% to HKD 7.93 billion, while EBITDA decreased by 11% to HKD 1.89 billion due to rising raw material prices[58] - The real estate division's revenue surged by 657% to HKD 43.52 billion, with EBITDA increasing by 397% to HKD 2.13 billion, driven by higher residential property deliveries[58] Stock Options and Employee Incentives - The company granted a total of 16,370,000 stock options under the employee stock option plan as of June 30, 2022, with 14,490,000 options awarded to directors and/or their associates, and 1,880,000 options awarded to employees[40] - The estimated fair value of the granted stock options is HKD 77.3 million, with HKD 68.423 million attributed to options granted to directors and/or their associates, and HKD 8.877 million to options granted to employees[40] - The stock options granted under the plan are subject to a ten-year validity period[36] - The plan aims to incentivize participants contributing to the long-term growth and profitability of the company[43] Corporate Governance - The company has adopted and complied with the corporate governance code under the Hong Kong Stock Exchange Listing Rules during the six months ending June 30, 2022[94] - The audit committee has reviewed the accounting policies and practices adopted by the group, including the interim financial report for the six months ending June 30, 2022[93]

Financial Performance - Kingboard Holdings reported a record net profit attributable to shareholders of HK$10,778 million for FY 2021, surpassing the HK$10,000 million milestone[16]. - Revenue for FY 2021 reached HK$56,755.3 million, representing a 30% increase from HK$43,510.3 million in FY 2020[11]. - EBITDA for FY 2021 was HK$17,559.9 million, a significant increase of 75% compared to HK$10,059.2 million in FY 2020[11]. - The underlying net profit for FY 2021 was HK$10,565.4 million, reflecting a 125% increase from HK$4,685.8 million in FY 2020[11]. - Basic earnings per share based on underlying net profit increased by 125% to HK$9.537 from HK$4.241 in FY 2020[11]. - The Group achieved a record annual net profit attributable to shareholders of HK$10,778 million, surpassing HK$10 billion for the first time[18]. - Revenue increased by 30% to HK$56,755.3 million, with underlying net profit (excluding non-recurring items) rising significantly by 125% to HK$10,565.4 million[20][21]. Dividends - The company proposed a final dividend of HK$0.56 per share and a special final dividend of HK$2.44 per share, marking a 144% increase from the previous year[11]. - The Board proposed a final dividend of HK$2.44 per share, subject to shareholder approval[20][21]. - An interim dividend of HK56 cents per ordinary share was declared, amounting to HK$620,924,000, with a proposed final dividend of HK244 cents per share, totaling HK$2,705,452,000[91]. - The Board will review the dividend policy periodically, considering financial results, distributable reserves, and future development plans[95]. Business Segments Performance - The Chemicals Division saw considerable price increases in major products, contributing to strong results driven by market demand[17]. - The Property Division maintained stable performance in both residential pre-sale and rental income during the period[17]. - The Laminates Division sold a total of 124 million sheets, marking an increase of 6 million sheets from 2020, with segment revenue rising 76% to HK$29,205.7 million[25]. - The PCBs Division's revenue increased by 29% to HK$13,600.8 million, with EBITDA rising by 5% to HK$1,756.8 million[25]. - The Chemicals Division's revenue surged by 55% to HK$16,377.3 million, with EBITDA soaring by 184% to HK$4,385.8 million[25]. - The Property Division reported contracted pre-sales worth HK$2,919 million, but revenue declined 71% to HK$2,375 million due to a drop in units handed over[28]. - Rental income in the Property Division increased by 8% to HK$1,200.5 million, attributed to improving occupancy rates post-pandemic[28]. Investments and Capital Expenditure - The Group invested approximately HK$2,900 million in new production capacity and HK$1,800 million in property construction expenses during the period[29]. - The Group's net gearing ratio was approximately 19%, with short-term bank borrowings accounting for 58% of total borrowings[29]. - The group invested approximately HK$2.9 billion in new production facilities and HK$1.8 billion in real estate construction costs during the review period[31]. - The Group is exploring capacity expansion for laminates and PCBs in Thailand to better serve overseas clients[45][46]. Risk Management - The Group faces various risks and uncertainties that may materially affect its business operations and financial condition[78]. - Key risks identified include product defects that could lead to significant liability claims[79]. - The Group's products may contain defects only detectable when incorporated into electronic systems, posing potential risks to operations and reputation[79]. - Customer contracts are typically one-time purchase orders, leading to unpredictable future order amounts[80]. - There is no guarantee that customers will continue to place orders of similar amounts in the future, which may significantly impact operational performance[80]. - The Group has implemented monitoring systems at various production stages to mitigate product defects[79]. Corporate Governance and Management - The Company complied with the Corporate Governance Code throughout the year, except for the deviation regarding independent non-executive Directors not being appointed for specific terms[162]. - The Board will continue to enhance corporate governance practices to comply with the New CG Code effective from 1 January 2022[167]. - The Group's financial management is overseen by a chief financial controller with over 12 years of experience in government finance and economics[66]. - The Group's independent non-executive director has extensive experience in the performance and cultural sector, contributing to the company's governance[66]. - The Group's leadership team includes family members, indicating a strong familial connection and commitment to the company's long-term vision[59]. Employee Management - The Group maintained a global workforce of approximately 36,000 employees, with ongoing training and development programs to retain talent[34]. - The Group regularly reviews its employee remuneration and benefits policies to ensure alignment with market standards, recognizing employees as its most valuable assets[88]. - The remuneration committee determines employee compensation based on performance, qualifications, and work capability[190]. Environmental and Social Responsibility - The Group is committed to environmental sustainability and compliance with relevant laws and regulations, regularly reviewing its environmental policies[86]. - The Group is committed to upgrading research and development capabilities and enhancing environmental friendliness in its operations[44]. Shareholder Information - The register of substantial shareholders showed no shareholder entitled to control one-third or more of the voting power at general meetings[160]. - The Company has sufficient public float of its issued shares as required under the Listing Rules[193]. - The movements in property, plant, and equipment are detailed in the consolidated financial statements[112]. Strategic Outlook - The Group is confident in its development for 2022, focusing on a diversified business portfolio and a vertically integrated production model[44]. - The Group emphasizes strict cash flow management to build a healthier balance sheet while expanding market share[44].

Financial Performance - Revenue for the six months ended June 30, 2021, was HKD 26,701,492 thousand, an increase of 34.1% compared to HKD 19,925,648 thousand in 2020[5] - Gross profit for the same period was HKD 8,689,861 thousand, up from HKD 5,001,066 thousand, reflecting a gross margin improvement[5] - Profit for the period attributable to the company's owners was HKD 5,061,729 thousand, significantly higher than HKD 1,059,192 thousand in 2020, marking a 377.5% increase[5] - Basic earnings per share increased to HKD 4.573 from HKD 0.964, representing a substantial growth in profitability[5] - Total comprehensive income for the period was HKD 6,405,307 thousand, compared to HKD 947,497 thousand in the previous year, indicating a strong recovery[7] - The group reported a total equity of HKD 57,969,650 thousand, with a decrease of HKD 32,076 thousand[18] - The company reported a significant revenue increase of 34% year-on-year, reaching HKD 26,701.5 million for the six months ended June 30, 2021[70] - Net profit attributable to shareholders surged by 378% to HKD 5,061.7 million compared to HKD 1,059.2 million in the previous year[71] - The company achieved a remarkable 140% increase in EBITDA, amounting to HKD 8,352.6 million compared to HKD 3,479.2 million in the previous year[71] Assets and Liabilities - Non-current assets as of June 30, 2021, totaled HKD 48,130,033 thousand, up from HKD 47,691,668 thousand at the end of 2020[9] - Current liabilities increased to HKD 29,791,511 thousand from HKD 23,131,272 thousand, reflecting changes in operational financing[11] - The company’s total liabilities increased to HKD 7,112,933,000 as of June 30, 2021, compared to HKD 6,538,122,000 at the end of 2020, representing an increase of about 8.8%[49] - The company’s goodwill reserve was HKD 1,291,027 thousand, reflecting a decrease of HKD 800,801 thousand[12] - The company’s share premium amounted to HKD 6,565,860 thousand, with a decrease of HKD 42,752 thousand[18] Cash Flow and Financing - Cash generated from operating activities was HKD 3,510,430 thousand, an increase from HKD 3,302,645 thousand in the previous year[20] - Net cash used in financing activities was HKD (5,294,296) thousand, showing an improvement from HKD (5,823,662) thousand in the prior year[20] - The cash and cash equivalents at the end of the period were HKD 4,854,643 thousand, down from HKD 7,004,074 thousand year-on-year[20] - The group’s bank borrowings included HKD 15.50 billion and RMB 2.11 billion as of June 30, 2021[96] - The group’s short-term borrowings (due within one year) increased to HKD 14.27 billion from HKD 8.61 billion on December 31, 2020[97] - The net debt ratio improved to 20%, down from 25% in the previous year, indicating a stronger financial position[71] Dividends and Shareholder Information - The interim dividend declared for the six months ended June 30, 2021, is HKD 0.56 per share, compared to HKD 0.28 per share for the same period in 2020, representing a 100% increase[40] - The net asset value per share increased by 19% to HKD 53.0 from HKD 44.7 in the previous year[71] - Hallgain Management Limited holds 429,935,700 shares, representing 38.78% of the issued share capital of the company[117] - FMR LLC owns 110,514,012 shares, accounting for 9.97% of the issued share capital[117] - Fidelity Puritan Trust has 88,451,221 shares, which is 7.98% of the issued share capital[117] Operational Segments - The group has six main operating segments, including manufacturing and sales of copper-clad laminates and printed circuit boards, which are critical to its revenue generation[27] - The electronics segment benefited from increased consumer demand, leading to a rise in both order numbers and product prices[70] - The chemical division experienced significant growth due to rising commodity prices, particularly for acetic acid and bisphenol A[70] - The copper-clad laminate division sold 65 million units, a 33% increase year-over-year, with revenue rising 116% to HKD 14.44 billion and EBITDA up 225% to HKD 4.44 billion[73] - The printed circuit board division's revenue increased by 51% to HKD 6.46 billion, with EBITDA rising 54% to HKD 0.935 billion, benefiting from demand in 5G, remote work, and electric vehicles[73] - The chemical division's revenue surged 47% to HKD 7.55 billion, with EBITDA skyrocketing 346% to HKD 2.126 billion, driven by rising prices of acetic acid and bisphenol A[73] Corporate Governance - The audit committee reviewed the accounting policies and practices adopted by the group for the six months ended June 30, 2021[120] - The company has complied with the corporate governance code, except for specific deviations regarding the appointment of independent non-executive directors[121] - All directors confirmed compliance with the standard code of conduct for securities trading during the six months ended June 30, 2021[122] - The board of directors includes both executive and independent non-executive members, ensuring a diverse governance structure[125]

Financial Performance - Revenue for FY 2020 was HK$43,510.3 million, an increase of 6% from HK$41,160.9 million in FY 2019[10] - EBITDA for FY 2020 reached HK$10,059.2 million, reflecting a 22% increase from HK$8,245.9 million in FY 2019[10] - Profit before tax for FY 2020 was HK$7,912.1 million, up 42% from HK$5,565.0 million in FY 2019[10] - Underlying net profit attributable to owners of the Company was HK$4,685.8 million, a 37% increase from HK$3,415.8 million in FY 2019[10] - Reported net profit for FY 2020 was HK$4,702.9 million, representing a 52% increase from HK$3,094.4 million in FY 2019[10] - Basic earnings per share based on underlying net profit was HK$4.241, up 35% from HK$3.146 in FY 2019[10] - Proposed final dividend per share for FY 2020 is HK$100 cents, a 67% increase from HK$60 cents in FY 2019[10] - Net asset value per share increased to HK$50.5, up 11% from HK$45.4 in FY 2019[10] - Net gearing improved to 18% from 31% in FY 2019[10] Business Segments Performance - The Group's revenue increased by 6% to HK$43,510.3 million, with underlying net profit rising significantly by 37% to HK$4,685.8 million[18] - The Laminates Division's revenue grew by 1% to HK$16,592.9 million, with EBITDA surging by 40% to HK$3,914.3 million[22] - The PCBs Division's revenue soared by 10% to HK$10,551.1 million, while EBITDA increased by 53% to HK$1,677.6 million[22] - The Property Division recorded a revenue increase of 153% to HK$8,332.1 million, with EBITDA rising by 81% to HK$3,521.6 million[23] - Sales turnover from residential projects in the Property Division totaled HK$7,218.1 million, up by 238%[23] - The Chemicals Division experienced a 21% decrease in revenue to HK$10,558.9 million due to the cessation of coke and methanol production, but EBITDA rose by 13%[22] Strategic Initiatives - The Group's proactive sales and marketing strategy capitalized on the market rebound, leading to a satisfactory growth in orders[16] - The average prices of products improved steadily due to supply shortages and product portfolio enhancements[16] - The Group completed the privatization of Elec & Eltek International Company Limited during the review period[22] - The Group proposed a final dividend of HK100 cents per share and a special final dividend of HK100 cents per share, pending shareholder approval[18] Financial Position and Management - The Group's net current assets as of December 31, 2020, were approximately HK$22.426 billion, with a current ratio of 1.97[25] - The net gearing ratio decreased to approximately 18% from 31% in the previous year, with a balanced short-term and long-term borrowing ratio of 50% each[26] - The Group invested approximately HK$2.0 billion in new production capacity and another HK$2.0 billion in property construction expenses during the review period[26] - The workforce decreased to approximately 36,000 employees as of December 31, 2020, down from 39,000 in the previous year[29] - The Group maintained a prudent financial management policy, with no material foreign exchange exposure during the review period[27] Market Outlook and Growth Potential - The Group anticipates its business volume to double within the next decade due to multiple large-scale investment projects in the pipeline[35] - The management emphasizes technology-driven growth and cost control while promoting research and development and environmental responsibilities[35] - The introduction of 5G is expected to drive new growth momentum in the PCBs market[37] - The chemical sector is benefiting from strong crude oil price trends and a reduction in overseas chemical production capacity, which is favorable for domestic market development[42] - The domestic economy is steadily recovering, leading to an expansion in internal demand and further stimulating the prices of chemical products[42] Corporate Governance and Management Structure - The management team includes experienced professionals with over 50 years of combined experience in various sectors, including finance and manufacturing[56] - The company has appointed independent non-executive directors with extensive backgrounds in finance and public service, enhancing governance[52][55] - The financial controller, Mr. Stanley Chung Wai Cheong, has over 25 years of experience in accounting and financial management, strengthening the financial oversight[57] - The company secretary, Mr. Lo Ka Leong, has been with the group since 1999, ensuring compliance and corporate governance[60] - The Company has adopted a code of conduct for securities transactions by Directors that meets or exceeds the Model Code standards[176] Risks and Challenges - The Group's business operations and financial condition have been adversely affected by recent global market fluctuations and the impact of COVID-19, particularly in the PRC economy[75] - The Group has identified key risks including product defects, customer contract variability, and intense industry competition, which may significantly impact future operations[70] Employee Relations and Corporate Culture - The Group regularly reviews employee remuneration and benefits to ensure alignment with market standards, recognizing employees as valuable assets[76] - The Group aims to maintain high-quality products and services to foster long-term relationships with customers and suppliers[77] - There were no material disputes between the Group and its employees, customers, or suppliers during the year[77] Shareholder Engagement and Dividends - The final dividend for the year ended 31 December 2020 is subject to shareholder approval at the upcoming annual general meeting[79] - The Group's dividend policy aims to allow shareholders to participate in profits while retaining adequate reserves for future growth[82] Investment and Acquisitions - The Group purchased 2,016,000 shares for an aggregate consideration of HK$44,948,120 during the year, aimed at enhancing long-term shareholder value[105] - The Group acquired 49,289,543 ordinary shares of EEIC for a total of HK$875,382,000, leading to EEIC's delisting from the SGX and Stock Exchange[108] - The company acquired 49,289,543 shares of Ailian Da for a total of HK$875,382,000 during the year, leading to Ailian Da's delisting from the stock exchanges on September 25, 2020[109] Compliance and Regulatory Matters - The Company complied with the CG Code throughout the year ended 31 December 2020, except for the deviation regarding independent non-executive Directors not being appointed for a specific term[174] - The Board held four meetings during the year under review and also conducted an annual general meeting on 25 May 2020[179] - The Company has received annual confirmations of independence from each independent non-executive Director as required under Rule 3.13 of the Listing Rules[186]

Financial Performance - Revenue for the six months ended June 30, 2020, was HKD 19,925,648, an increase of 9.2% compared to HKD 18,246,352 for the same period in 2019[10] - Gross profit for the same period was HKD 5,001,066, representing a gross margin of approximately 25.1%, compared to HKD 3,821,431 and a margin of 20.9% in 2019[10] - Profit attributable to shareholders for the period was HKD 1,059,192, a decrease of 26.5% from HKD 1,441,626 in 2019[10] - Basic earnings per share for the period was HKD 0.964, down from HKD 1.331 in the previous year, reflecting a decline of 27.6%[10] - Total comprehensive income for the period was HKD 947,497, significantly lower than HKD 2,247,311 in 2019, indicating a decrease of 57.8%[11] Assets and Liabilities - Non-current assets as of June 30, 2020, totaled HKD 46,092,193, down from HKD 52,467,351 as of December 31, 2019[12] - Current liabilities decreased to HKD 18,477,015 from HKD 21,810,296 at the end of 2019, showing a reduction of 15.5%[13] - Cash and cash equivalents increased to HKD 7,004,074 from HKD 6,256,964, reflecting a growth of 11.9%[12] - Total capital amounted to HKD 57,969,650, with a decrease of HKD 1,214,455 compared to the previous period[14] - Non-controlling interests were HKD 7,781,085, reflecting a decrease of HKD 347,734[14] Cash Flow - Net cash generated from operating activities was HKD 3,302,645, down from HKD 4,512,020 in the previous year[17] - The company reported a net cash used in financing activities of HKD (5,823,662), significantly higher than HKD (669,140) in the previous year[17] - Investment activities generated a net cash inflow of HKD 3,268,127, contrasting with a net cash outflow of HKD (4,284,589) in the previous year[17] Segment Performance - The total external sales amounted to HKD 19,925,648,000, with significant contributions from various segments including HKD 5,592,085,000 from copper-clad laminates and HKD 4,271,597,000 from printed circuit boards[25] - The operating profit for the segments totaled HKD 2,365,940,000, with the highest contribution from the property segment at HKD 1,906,073,000[25] - The real estate sector recorded a significant revenue increase of 442%, reaching HKD 48,579.0 million, driven by project completions and sales in Hong Kong and East China[60] - The copper-clad laminate business maintained its position as the global market leader for 15 consecutive years, despite a 6% revenue decline to HKD 6,685.9 million due to lower product prices[60] - The printed circuit board segment experienced a slight revenue drop of 2% to HKD 4,271.6 million, but EBITDA increased by 7% to HKD 606.2 million due to rising demand for electronic products[60] Tax and Expenses - The company’s income tax expenses for the six months ended June 30, 2020, amounted to HKD 832,838,000, compared to HKD 421,312,000 for the same period in 2019, representing an increase of 97.5%[31] - The financing costs for the period were HKD 287,993,000, a decrease from HKD 361,464,000 in the previous year[30] Shareholder Information - The company declared an interim dividend of HKD 0.28 per share for the six months ended June 30, 2020, consistent with the interim dividend of HKD 0.28 per share in 2019[33] - The company repurchased 1,409,500 shares at a total cost of HKD 29,142,420 during the period ending June 30, 2020[94] - The highest purchase price per share was HKD 24.85, while the lowest was HKD 17.62[95] - The repurchased shares were subsequently cancelled to enhance long-term shareholder value[94] Employee and Stock Options - The company has an employee stock option plan approved in May 2019, allowing eligible participants to purchase shares, with a total issuance cap of 10% of shares outstanding as of the plan's approval date[41] - A total of 29,500,000 stock options were granted on August 14, 2019, with 28,750,000 options awarded to directors and/or their associates, and 750,000 options to employees, with an estimated fair value of HKD 132,625,000[44] - The total number of share options that may be issued under the 2017 Employee Share Option Scheme cannot exceed 10% of the total issued shares as of the approval date[49] Corporate Governance - The audit committee reviewed the accounting policies and practices for the six months ending June 30, 2020[96] - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange rules[97] - All directors confirmed adherence to the standard code of conduct regarding securities trading during the six months ending June 30, 2020[98]

Financial Performance - The Group's revenue decreased by 11% to HK$41,160.9 million in FY 2019 compared to HK$45,994.4 million in FY 2018[11]. - Underlying net profit (excluding non-recurring items) was HK$3,415.8 million, down by 26% from HK$4,603.1 million in the previous year[11]. - Reported net profit fell by 49% to HK$3,094.4 million from HK$6,075.8 million in FY 2018[11]. - Basic earnings per share based on underlying net profit decreased by 27% to HK$3.146 from HK$4.313[11]. - The Group's revenue for the fiscal year ended December 31, 2019, decreased by 11% to HK$41,160.9 million, while the basic net profit (excluding non-recurring items) fell by 26% to HK$3,415.8 million[18]. Dividends - The Board proposed a final dividend of HK60 cents per share and a special final dividend of HK50 cents per share, subject to shareholder approval[17]. - The Board recommended a final dividend of HK$0.60 and a special final dividend of HK$0.50 per ordinary share, amounting to HK$662,795,000 and HK$552,329,000 respectively[88]. - An interim dividend of HK$0.28 per ordinary share was paid, totaling HK$303,206,000 during the year[88]. Sector Performance - The electronics sector showed recovery in the second half of 2019, driven by investments in 5G telecommunications and growth in automobile and home appliance consumption[16]. - The laminates division maintained its global leading position through an active sales strategy despite market challenges[16]. - The chemicals and property divisions reported declines in segment results due to lower average selling prices and reduced sales bookings, respectively[16]. - The laminates division's turnover declined by 5% to HK$16,351.5 million, with EBITDA down 21% to HK$2,790.4 million due to lower average selling prices compared to 2018[21]. - The PCB division recorded a 1% decrease in turnover to HK$9,623.2 million, while EBITDA increased by 4% to HK$1,096.0 million, driven by a higher proportion of high value-adding products[22]. - The chemicals division's turnover dropped by 17% to HK$13,427.8 million, with EBITDA down 36% to HK$1,364.0 million, impacted by declining average selling prices[23]. - The property division experienced a 30% decrease in turnover to HK$3,293.0 million, with EBITDA down 10% to HK$1,947.7 million, primarily due to housing control measures in mainland China[26]. Financial Position - Net asset value per share increased by 4% to HK$45.4 from HK$43.7[11]. - Net gearing improved to 31% from 37% year-on-year[11]. - The Group's net current assets as of December 31, 2019, were approximately HK$22,757.5 million, down from HK$25,502.1 million in 2018, with a current ratio of 2.04[28]. - The net working capital cycle increased from 42 days in 2018 to 54 days in 2019, with inventory turnover days at 34 days and trade receivables turnover days at 60 days[28]. - The Group's net debt ratio decreased to approximately 31% as of December 31, 2019, down from 37% in 2018[31]. - The proportion of short-term to long-term borrowings was 32% to 68% as of December 31, 2019, compared to 26% to 74% in 2018[31]. Investments and Capacity - The Group invested approximately HK$2.5 billion in new production capacity and HK$3.4 billion in property construction expenses during the year[30]. - The Group has resumed work at all Mainland plants, with most returning to normal production levels[41]. - The first phase of new capacity for glass epoxy laminates in Shaoguan will have a monthly capacity of 400,000 sheets and is set to enter trial production in the first half of 2020[42]. - The Kau To project in Shatin, Hong Kong is expected to be completed and delivered in the first half of this year, contributing to sales revenue[46]. - The commercial property connected to the High Speed Rail Station in Kunshan, Jiangsu Province is nearing completion, with leasing commitments from core tenants, which will enhance rental income growth[46]. Strategic Focus - The Group is focused on cash flow management, aiming to lower its gearing ratio and build a robust balance sheet for substantial growth[46]. - The Group aims to achieve significant growth by leveraging its vertically integrated supply chain cost advantages[46]. - The Group is dedicated to securing existing sales channels and exploring new avenues to cope with market fluctuations[46]. - The management team emphasizes high efficiency and operational maturity to maintain an industry-leading position[46]. - The chemical sector will optimize resource utilization and enhance environmental protection, with new production lines for caustic soda and epoxy chloropropane in Hengyang, Hunan Province expected to contribute throughout the year[47]. - Domestic economic resilience is anticipated to boost demand for chemical products as infrastructure investments recover post-pandemic[47]. Governance and Management - The company has a strong board of independent non-executive directors, enhancing governance and oversight[64]. - The management team includes individuals with diverse backgrounds and expertise, contributing to strategic planning and operational efficiency[60]. - The financial management is overseen by Mr. Chan Mau Sang, who has been with the company since 1996 and serves as the Chief Financial Officer in China[60]. - The board's composition reflects a commitment to corporate governance and accountability, with members holding various leadership roles in community and professional organizations[61]. Risks and Compliance - The Group faces significant risks including product defects, customer contract variability, and intense industry competition, which may adversely affect its operations and financial condition[71][74][78]. - Recent global market fluctuations and economic conditions, particularly the slowdown in the PRC economy and the impact of COVID-19, could lead to reduced demand for the Group's products[80]. - The Group is committed to environmental sustainability and complies with relevant laws and regulations regarding environmental protection[81]. - The Group has obtained all necessary approvals and permits for its business operations, with no material breaches of laws and regulations reported for the year ended December 31, 2019[82]. - The Group has implemented internal controls and monitoring measures to ensure compliance with various laws and regulations[85]. Shareholder Information - The Company’s directors are eligible for re-election at the forthcoming annual general meeting, ensuring continuity in leadership[130]. - The Company’s share premium and special surplus account are also available for distribution to shareholders, contingent on the ability to pay debts as they fall due[128]. - The total issued share capital of the Company remains stable, with no significant changes reported in the year[134]. - The company maintained a register of substantial shareholders, which included interests disclosed by certain directors[173]. Connected Transactions - The company continues to engage in connected transactions with substantial shareholders, ensuring compliance with regulatory requirements[180]. - The annual caps for the KHL/Hallgain Purchase Framework Agreement for the years ending December 31, 2020, 2021, and 2022 are HK$610 million, HK$640 million, and HK$672 million, respectively[195]. - The KHL/Hallgain Purchase Framework Agreement was established to purchase materials for PCB production, including copper balls and drill bits, for a term of three years starting January 1, 2020[195]. - The KLHL/Hallgain Supply Framework Agreement was in effect from January 1, 2017, to December 31, 2019, for the supply of copper and laminates, with quantities to be determined by individual orders[195].

Financial Performance - Revenue for the six months ended June 30, 2019, was HKD 18,246,352 thousand, a decrease of 18.0% compared to HKD 22,236,280 thousand in 2018[5] - Gross profit for the same period was HKD 3,821,431 thousand, down 22.6% from HKD 4,938,584 thousand in 2018[5] - Profit for the period attributable to equity holders was HKD 1,441,626 thousand, a decline of 65.4% compared to HKD 4,169,007 thousand in 2018[5] - Basic earnings per share for the six months ended June 30, 2019, was HKD 1.331, down 65.9% from HKD 3.909 in 2018[5] - Total comprehensive income for the period was HKD 2,247,311 thousand, compared to HKD 3,730,515 thousand in 2018, reflecting a decrease of 39.7%[7] - The company’s EBITDA for the period was HKD 3,505.6 million, a decline of 32% from HKD 5,141.4 million[68] - Basic net profit for the same period fell by 45% to HKD 1,441.6 million, down from HKD 2,597.8 million year-on-year[68] Assets and Liabilities - Non-current assets as of June 30, 2019, amounted to HKD 17,957,187 thousand, compared to HKD 16,925,863 thousand as of December 31, 2018[9] - Current assets totaled HKD 43,996,576 thousand, slightly down from HKD 44,309,039 thousand at the end of 2018[10] - Current liabilities increased to HKD 22,062,019 thousand from HKD 18,806,951 thousand in December 2018, representing a rise of 17.5%[10] - The company reported a total equity attributable to equity holders of HKD 48,638,422 thousand, up from HKD 47,332,985 thousand in 2018[10] - Total equity as of June 30, 2019, was HKD 54,633,271,000, reflecting an increase from the previous period[11] - The total liabilities as of June 30, 2019, were HKD 6,645,015,000, compared to HKD 6,424,456,000 as of December 31, 2018[38] Cash Flow - The net cash generated from operating activities for the six months ended June 30, 2019, was HKD 4,512,020,000, a significant increase compared to HKD 440,807,000 in the same period last year[14] - The company reported a net cash outflow from investing activities of HKD 4,284,589,000, an improvement from HKD 6,336,510,000 in the prior year[14] - The total cash and cash equivalents at the end of the period were HKD 7,031,615,000, slightly down from HKD 7,048,965,000 at the end of the previous year[14] - The company’s financing activities resulted in a net cash outflow of HKD 669,140,000, contrasting with a significant inflow of HKD 4,830,912,000 in the previous year[14] Market Strategy and Future Plans - The company plans to focus on market expansion and new product development to drive future growth[5] - The company plans to continue its market expansion and product development strategies to enhance future growth prospects[12] - The company is focused on improving operational efficiency and exploring potential mergers and acquisitions to drive growth[12] Segment Performance - The group reported total revenue of HKD 18,246,352,000 for the six months ended June 30, 2019, with a breakdown of sales from various segments including HKD 6,107,758,000 from copper-clad laminates and HKD 4,337,534,000 from printed circuit boards[21] - The copper-clad laminate business maintained its position as the global market leader for 14 consecutive years, with revenue declining by 21% to HKD 7.138 billion due to market demand drop and price adjustments[70] - The printed circuit board segment saw a slight revenue decrease of 3% to HKD 4.375 billion, while EBITDA increased by 3% to HKD 565.3 million, driven by 5G network advancements[70] - The chemical segment's revenue fell by 25% to HKD 6.537 billion, with EBITDA dropping 54% to HKD 705.4 million, impacted by weakened demand and price declines[70] - The real estate segment's total revenue decreased by 18% to HKD 896.6 million, with property sales revenue declining due to fewer completed units, while rental income rose to HKD 555.3 million[70] Shareholder Information - The interim dividend declared for the six months ended June 30, 2019, is HKD 0.28 per share, compared to HKD 0.60 and a special interim dividend of HKD 0.50 per share for the same period in 2018[29] - The weighted average number of ordinary shares for basic earnings per share calculation was 1,083,152,236 for June 30, 2019, compared to 1,066,452,236 for June 30, 2018[32] - The company approved an existing employee share option scheme at the annual general meeting on May 27, 2019, aimed at incentivizing eligible participants for their contributions to the group[40] Corporate Governance - The company has adhered to good corporate governance principles and complied with the corporate governance code as per the Hong Kong Stock Exchange rules for the six months ending June 30, 2019[105] - All directors, including independent non-executive directors, have confirmed compliance with the standard code of conduct regarding securities trading for the same period[106]

Financial Performance - The Group's revenue increased by 6% to HK$45,994.4 million in FY 2018, compared to HK$43,371.3 million in FY 2017[11]. - Underlying net profit decreased by 18% to HK$4,603.1 million, down from HK$5,589.1 million in the previous year[11]. - Reported net profit rose by 9% to HK$6,075.8 million, influenced by a pre-tax gain of HK$2,089.8 million from the disposal of a subsidiary[11][19]. - Basic earnings per share based on underlying net profit fell by 20% to HK$4.313, compared to HK$5.358 in FY 2017[11]. - The proposed final dividend is HK$0.70 per share, a decrease of 30% from HK$1.00 in the previous year, resulting in a total full-year dividend of HK$1.80 per share[19]. Segment Performance - The chemicals division recorded significant growth due to steady price increases and effective cost control measures[18]. - The properties division saw improved profit margins from residential property sales, aided by a surge in average selling prices[18]. - The commercial property portfolio registered rental income growth due to higher occupancy rates[18]. - The laminates division's turnover rose by 3% to HK$17,144.9 million, but EBITDA declined by 21% to HK$3,536.5 million due to rising raw material costs[24]. - The PCB division reported a turnover growth of 19% to HK$9,754.1 million, with EBITDA dropping 11% to HK$1,051.1 million as production efficiency for high-grade products has not yet reached optimal levels[24]. - The chemicals segment's turnover increased by 15% to HK$16,150.3 million, with EBITDA rising significantly by 30% to HK$2,114.8 million due to improved supply and demand conditions[24]. - The property segment's turnover decreased by 28% to HK$4,685.8 million, but EBITDA increased by 10% to HK$2,170.0 million due to rising average selling prices[27][28]. Financial Position - Net asset value per share increased by 1% to HK$43.7, up from HK$43.2[11]. - Net gearing rose to 37%, compared to 20% in the previous year[11]. - As of December 31, 2018, the Group's net current assets were approximately HK$25,502.1 million, with a current ratio of 2.36, up from 2.26 in 2017[29]. - The Group's cash and cash equivalents amounted to approximately HK$7,473 million, with total bank facilities of HK$31,925 million, of which 86% had been utilized[29]. - The net gearing ratio increased to 37% as of December 31, 2018, compared to 20% in 2017, while short-term to long-term bank borrowings stood at 26%:74%[31]. Strategic Initiatives - The Group continues to adapt its marketing strategies and optimize product mix in response to market challenges, particularly in the electronics industry[20]. - The Group is focused on expanding market shares and exploring new development opportunities, particularly in the Greater Bay Area[32]. - The Group invested HK$2.9 billion in new production capacity and HK$2.2 billion in property construction expenses during the year[31]. - The PCB division anticipates strong order growth due to increased investments in 5G telecommunications projects and is expanding capacities for PCBs in growth sectors[34]. - The chemical division aims to optimize resource deployment and enhance environmental protection efforts, with new production lines ramping up to full capacity[34]. Corporate Governance - The Company has adopted good corporate governance principles and complied with the CG Code throughout the year ended December 31, 2018[174]. - The Board is responsible for the leadership and control of the Group, approving strategic plans, annual budgets, and major investments[180]. - The Company plans to hold Board meetings quarterly in the coming year, with a minimum of four meetings[182]. - The roles of the Chairman and Managing Director are segregated, ensuring effective governance and management[187]. - The Company has taken sufficient measures to ensure its corporate governance practices meet or exceed the standards set by the CG Code[189]. Risk Management - The Group faces significant risks including product defects, customer contract variability, and intense industry competition[55][56][57][58]. - Recent global market fluctuations and economic conditions have adversely affected demand for the Group's products, particularly in the PRC[66]. - The global economic slowdown, particularly in China, poses risks that may adversely affect the Group's business operations and financial performance[69]. Environmental Commitment - The Group is committed to environmental sustainability and complies with relevant laws and regulations regarding environmental protection[67]. - The Group's commitment to environmental sustainability includes compliance with relevant laws and regulations and regular reviews of its environmental policies[70]. Employee Relations - The Company regularly reviews its employee remuneration and benefits policies to ensure alignment with market standards[71]. - The Group organizes recreational activities for employees to maintain a close relationship and enhance their living environment[71]. - The Group's workforce decreased to approximately 41,900 employees as of December 31, 2018, from 42,800 in 2017[31]. Shareholder Relations - The Group expresses gratitude to shareholders, customers, and employees for their support over the past year[37]. - The Board will review the dividend policy periodically, considering financial results, distributable reserves, and future development plans[79].