Financial Performance - The company reported a significant increase in revenue, achieving a total of $1.2 billion for the fiscal year 2023, representing a 15% year-over-year growth[1]. - The company recorded revenue of US$181.3 million for the year, representing a year-on-year increase of 60.4%[60]. - In 2023, the company's revenue reached $181.34 million, a significant increase of 60.3% compared to $113.04 million in 2022[130]. - Gross profit for 2023 was $40.99 million, up from $27.75 million in 2022, reflecting a gross margin improvement[130]. - Net operating profit reached US$14.2 million, marking a year-on-year increase of 93.5%[60]. - Revenue from assets management and engineering services increased from US$11.3 million in 2022 to US$50.9 million in 2023, representing an increase of 349.6%[200]. - The company achieved a net profit attributable to equity shareholders of $9.50 million in 2023, compared to $25.88 million in 2022, indicating a decrease in profitability[130]. Strategic Outlook - The company provided an optimistic outlook for 2024, projecting a revenue growth of 20% and aiming to reach $1.44 billion[1]. - Market expansion plans include entering three new international markets by Q3 2024, targeting a 10% increase in global market share[1]. - The company is considering strategic acquisitions to bolster its technology portfolio, with a budget of $100 million allocated for potential mergers and acquisitions[1]. - The company aims to align with global carbon reduction goals, as fossil energy market shares decline, and is actively pursuing opportunities in hydrogen energy and offshore wind power[83]. - The company aims to activate a business model of "produced at home and sold globally" to enhance its overseas sales channels[151]. Innovation and Technology Development - The company is investing $50 million in R&D for new technologies aimed at enhancing energy efficiency and sustainability[1]. - The Company will build an industrial layout based on "hydrogen, machinery, and electricity," focusing on green energy end products as the core[30]. - The Company has established a specialized team to explore opportunities in the hydrogen-based fuels market and the green methanol industry[136]. - The company is focusing on green energy technology development and application, aiming to become a leading provider in the industry[74]. - The Company has successfully assembled its first set of 1,000-scf electrolytic cell, leading the market in key performance indicators[92]. - The Company completed the assembly of the first set of alkaline water electrolyzer hydrogen production equipment with an output capacity of 1000Nm^3/h, leading the industry in test results[170]. - The Company has made significant progress in three hydrogen energy product designs, including a megawatt-level alkaline electrolytic water system, a hydrogen refueling station system with a capacity of 500 kg, and a hydrogen compressor test platform[171]. Sustainability Commitment - The management team emphasized the importance of sustainability, committing to achieving carbon neutrality by 2030[1]. - The company was awarded the "Best ESG Award" and the "Sustainable Development Value Communication Award" for its performance in sustainability development[58]. - The Company is committed to becoming a leading technology-based new green energy enterprise and equipment service provider[30]. - CM Energy's long-term strategy includes deepening its involvement in the green energy sector and contributing to global dual-carbon strategy goals[106]. Operational Efficiency - The company aims to reduce operational costs by 15% through improved supply chain management and efficiency initiatives[1]. - The Company is committed to improving its internal control mechanisms and enhancing operational efficiency to maximize value creation and shareholder value[178]. - The company is focusing on enhancing its talent pool, particularly in technical and innovative roles, to support its strategic transformation[194]. Partnerships and Collaborations - A new partnership with a leading technology firm is expected to enhance product offerings and drive innovation in the energy sector[1]. - The company established two joint ventures in the hydrogen energy sector, including a diaphragm hydrogen compressor manufacturer and an unmanned hydrogen heavy truck operation company[43]. - The company entered into strategic cooperation agreements with multiple new energy enterprises to enhance market share and industry influence[58]. - The establishment of CMIC Green Hydrogen Technology Co., Ltd. and a joint venture with Xiamen University marks a strategic move into the hydrogen energy sector[110]. Asset Management and Growth - Total assets rose to $326.30 million in 2023, up from $278.67 million in 2022, reflecting overall company growth[133]. - Non-current assets increased to $81.45 million in 2023 from $38.80 million in 2022, indicating growth in long-term investments[133]. - The balance of cash and cash equivalents at the end of 2023 amounted to US$73.4 million, an increase of US$48.5 million compared to the end of 2022[167].

Hydrogen Demand and Market Growth - By 2030, China's hydrogen demand is expected to reach 35 million tons, accounting for 5% of the terminal energy system[2] - By 2050, hydrogen is projected to account for at least 10% of China's terminal energy system, with a demand close to 60 million tons, potentially reducing carbon emissions by approximately 700 million tons[2] - The number of hydrogen refueling stations in China increased from 62 in 2019 to 245 in 2022, with a CAGR of +58.10%[22] - The hydrogen supply capacity rose from 13,200 tons/year in 2019 to 64,800 tons/year in 2022, with a CAGR of +70.01%[22] - The company anticipates that the demand for hydrogen in 2023 will double compared to 2022[23] - The global hydrogen demand reached a record high of 95 million tons in 2022, with a significant growth rate of 35% in electrolytic hydrogen production[120] - The hydrogen industry in China is expected to see significant growth, with plans to produce 100,000 to 200,000 tons of renewable hydrogen annually by 2025, contributing to carbon reduction efforts[178] Company Strategy and Focus - In 2024, the company aims to strengthen its position in the green energy sector, focusing on becoming a leading technology-driven green energy and equipment service provider[4] - The company plans to focus on green energy end products and gradually enter the hydrogen fuel preparation sector, emphasizing sustainable development[24] - The company aims to develop high-quality, internationally leading products in niche markets, focusing on offshore wind power installation opportunities[25] - The company plans to focus on hydrogen production and hydrogen fuel technologies, aiming to build a competitive market position in the hydrogen industry[172] - The company is actively exploring opportunities in hydrogen fuel development to align with green technology industry trends[128] - The company aims to build an industry layout centered on "hydrogen, machinery, and electricity" to become a leading technology-driven green energy service provider[77] Financial Performance - The company's revenue for the year ended December 31, 2023, was $181.34 million, a 60.3% increase from $113.04 million in 2022[32] - Gross profit for the same period was $40.99 million, representing a gross margin of 22.6% compared to 24.5% in the previous year[32] - Operating profit increased to $14.16 million, up from $7.32 million, indicating a significant improvement in operational efficiency[32] - The company reported a net profit of $9.61 million for the year, down from $25.89 million in 2022, reflecting challenges in the market[32] - Basic and diluted earnings per share were $0.30, a decrease from $0.82 in the previous year[32] - For the year ended December 31, 2023, revenue was approximately $181.3 million, an increase of 60.4% compared to 2022[47] - Gross profit for the same period was approximately $41.0 million, up 47.8% from 2022[47] - Profit attributable to the company's owners was approximately $9.5 million, a decrease of 63.3% from $25.9 million in 2022[47] Corporate Governance and Communication - The company has committed to maintaining high standards of corporate governance to ensure transparency and protect shareholder interests[14] - The company has fully complied with the corporate governance code since August 29, 2023, after changes in leadership roles[16] - The company will adopt electronic communication methods for corporate communications starting January 31, 2024, in compliance with new listing rules[10] - The company aims to enhance investor relations through regular strategy presentations and roadshows to improve market interaction[27] Operational Developments - The company achieved significant breakthroughs in its hydrogen business in 2023, with successful testing of a 1,000 standard cubic meter electrolyzer, leading the industry in key parameters[5] - The company aims to achieve mass production of the 1,000 standard cubic meter electrolyzer in 2024, focusing on product series development[5] - The company successfully completed major projects for the Mexican state oil company, enhancing its market position in Mexico[26] - The company delivered 1,600 tons of wind power installation cranes in 2023, achieving significant progress in the development of wave compensation gangway projects[25] - The company plans to continue enhancing collaboration with strategic partners, including China Merchants Group and China International Marine Containers, to explore opportunities in green energy preparation and hydrogen application scenarios[7] Investment and Asset Management - The company plans to continue its investment and capital integration strategies in the future[8] - The company will continue to seek opportunities for integrating quality offshore engineering assets to capitalize on the upward trend in the offshore engineering market[26] - The group had cash and cash equivalents of approximately $73.4 million as of December 31, 2023, significantly up from $24.9 million in 2022[138] - The non-current liabilities amounted to approximately $22.1 million as of December 31, 2023, a substantial increase from $1.5 million in 2022, primarily due to lease liabilities[139] Market Conditions and Challenges - The company is experiencing a slow recovery from the impacts of the COVID-19 pandemic and the Russia-Ukraine war, with global economic conditions remaining challenging[76] - The company faces foreign exchange risk, with approximately 36% of its revenue denominated in USD, while most of its subsidiaries operate in RMB[185] - The global oil price fluctuated significantly in 2023, with Brent crude averaging $80 per barrel in the first half and $85 per barrel in the second half before ending the year at $77 per barrel, a 7.13% decrease from the beginning of the year[175] - The International Maritime Organization (IMO) announced a target for net-zero emissions in shipping by 2050, with interim goals for 2030, impacting the company's strategic focus on green technologies[176]

Financial Performance - Total revenue for the six months ended 30 June 2023 was US$92,888,000, up from US$51,078,000 in 2022, indicating an increase of approximately 82%[10] - Sales of equipment manufacturing and packages reached US$57,292,000 for the six months ended 30 June 2023, compared to US$27,047,000 in 2022, reflecting a growth of about 112%[10] - Revenue from external customers for the six months ended June 30, 2023, was $57,594,000, a significant increase from $28,089,000 in the same period of 2022, representing a growth of 104%[14] - Reportable segment revenue for the six months ended June 30, 2023, was US$92,888,000, an increase from US$51,078,000 in 2022, representing a growth of 81.9%[19] - Consolidated profit before taxation for the same period was US$5,322,000, compared to US$1,802,000 in 2022, indicating a significant increase of 195.4%[19] - Profit from operations surged by 330.0% from US$1.5 million in the first half of 2022 to US$6.5 million in the first half of 2023[69] - Net profit attributable to equity shareholders increased by 188.3% from US$1.7 million in the first half of 2022 to US$4.8 million in the first half of 2023[69] Cash Flow and Assets - Net cash generated from operating activities for the six months ended 30 June 2023 was US$35,589,000, compared to US$1,159,000 in 2022, representing a significant increase[3] - Cash and cash equivalents at 30 June 2023 were US$79,434,000, up from US$18,088,000 at the same time in 2022[3] - Total consolidated assets as of June 30, 2023, were US$330,788,000, an increase from US$278,674,000 as of December 31, 2022, representing a growth of 18.7%[23] - Current assets increased to approximately US$253.5 million as of June 30, 2023, up from US$239.9 million as of December 31, 2022[85] - The Group's tangible assets amounted to approximately US$63.7 million as of June 30, 2023, compared to US$22.5 million as of December 31, 2022[80] Dividends and Shareholder Information - A final dividend of HK$0.01 per share was paid for the year ended 31 December 2022[1] - The Group did not declare an interim dividend for the six months ended 30 June 2023, consistent with the previous year[42] - As of June 30, 2023, the total number of issued ordinary shares is 3,243,433,914[147] - China Merchants Group Limited holds 1,530,372,000 shares, accounting for 47.18% of the total shareholding[151] Segment Performance - The Group's asset management and engineering services segment generated revenue of $18,045,000, up from $4,753,000 in the prior year, reflecting a growth of 279%[14] - The equipment manufacturing and packages segment reported revenue of $57,594,000, a significant increase from $28,089,000 in the same period last year, indicating a growth of 104%[14] - The supply chain and integration services segment's revenue was $17,249,000, compared to $18,236,000 in the previous year, showing a slight decline of 5%[14] Governance and Compliance - The company has established an Audit Committee to oversee financial reporting and internal controls since October 20, 2005[162] - The company has fully complied with the Corporate Governance Code since August 29, 2023, following the resignation of Mr. Yu Zhiliang as chairman and CEO[171] - The company has maintained a high standard of corporate governance practices to ensure transparency and safeguard shareholder interests[170] Strategic Initiatives and Market Outlook - The Group continues to focus on enhancing its supply chain and integration services to drive future growth and market expansion[14] - The company is actively involved in the design and development of hydrogen refueling station core equipment and alkaline electrolyzer systems[63] - The global hydrogen economy is projected to reach US$320 billion by 2030, with approximately 50% of projects focusing on large-scale industrial applications of hydrogen energy[94] Operational Highlights - The company completed the assembly of the first set of 1,000–1,250-scf electrolytic cells for alkaline hydrogen production in March 2023[68] - The company won contracts for PEMEX onshore drilling rig upgrading and top drive operation and maintenance service projects in Mexico, totaling over US$150 million[67] - The company aims to expand integrated hydrogen production and refueling station projects in the Greater Bay Area, focusing on downstream applications of hydrogen-fueled vessels[97]

Business Development and Strategy - The company is focusing on the development of clean energy and marine energy-related technology industries, aiming to maximize shareholder and investor interests through strategic investments [8]. - The company is actively seeking investment and consolidation opportunities in marine energy science and technology-related industries [10]. - The company plans to utilize capital operation methods such as listing, funds, and finance leases to secure stable capital support for its green energy initiatives [9]. - The company aims to exploit opportunities in the hydrogen energy and offshore wind power sectors, aligning with global trends towards carbon neutrality and green energy [9]. - The company is committed to achieving synergistic effects across its business segments by investing in undervalued opportunities along the industrial supply chain [8]. - The company plans to expand its business in traditional energy while developing green energy, focusing on offshore wind power operation and maintenance equipment [58]. - The company aims to enhance its technological innovation capabilities to improve global competitiveness and sustainable development [77]. - The company is actively restructuring its management team to adapt to new market environments and business needs [81][83]. Financial Performance - In 2022, the company's revenue reached $113,040,000, a significant increase of 98.5% compared to $57,027,000 in 2021 [31]. - Gross profit for 2022 was $27,746,000, up from $20,664,000 in 2021, reflecting a growth of 34.5% [31]. - The company reported a profit before taxation of $26,455,000 in 2022, compared to $15,740,000 in 2021, marking a year-over-year increase of 68.7% [31]. - Total assets as of December 31, 2022, amounted to US$278.674 million, an increase from US$229.897 million in 2021, reflecting a growth of approximately 21.2% [35]. - Net current assets increased to US$131.762 million in 2022, up from US$74.058 million in 2021, indicating a significant improvement in liquidity [35]. - Total liabilities increased to US$109.648 million in 2022 from US$81.319 million in 2021, reflecting the Group's ongoing investments and operational commitments [35]. - The Group achieved record revenue, net profit attributable to the parent company, and operating profit, maintaining profitable growth for four consecutive years despite challenging conditions [43]. Market Trends and Opportunities - The offshore wind power sector entered a peak development period in 2022, with the Group securing multiple orders for core equipment for LIFTBOAT and high-spec jack-up wind power installation platforms [40]. - The offshore engineering equipment market is anticipated to continue its positive trend in 2023, with rising utilization rates for drilling rigs and support vessels, driven by previous inventory absorption [145][146]. - Global demand for jack-up rigs is expected to reach 418 by the end of 2023, an increase of 18% compared to early 2022, while demand for floating rigs is projected to grow by 19%, reaching 162 by the end of 2023 [146][149]. - The offshore wind power sector is expected to see increased demand for operation and maintenance facilities, with 96% of new orders for wind power installation vessels in 2022 being for large vessels with a lifting weight of over 1,200 tonnes [147][149]. - The average oil price in 2022 remained largely above US$80 per barrel, significantly higher than the average of the last five years, with a peak of US$130 per barrel due to the Russia-Ukraine conflict [139][142]. Technological Innovation and Development - The company is focusing on technology innovation and has set up functional departments for the Institute of Science and Technology Innovation [77]. - The design and assembly of 1,000-scf electrolytic cell products were completed, and the first set of 500KG assembled hydrogen compressors was successfully delivered [40]. - The company established a new technology innovation research institute to enhance its core competitiveness and align with national "dual carbon" development strategies [79]. - The joint venture with Tan Kah Kee Innovation Laboratory will focus on producing high-efficiency alkaline electrolytic cells, aiming for a demonstration model this year [159]. - The company aims to achieve sales performance in hydrogen production systems and refueling station equipment as soon as possible, leveraging international resources [159]. Joint Ventures and Partnerships - The establishment of two joint ventures in the hydrogen energy segment indicates a strategic move towards renewable energy solutions [21]. - The company has partnered with KenzFigee to enter the core equipment business of offshore wind power operation and maintenance, enhancing its market position [21]. - CMIC entered a comprehensive strategic cooperation agreement with KenzFigee for offshore wind power core equipment, with a prototype 3D Active Motion Compensated gangway system expected in the second half of 2023 [57]. Operational Efficiency and Asset Management - The company has revitalized idle assets through the land sale contract of the Qingdao offshore base, improving operational efficiency [20]. - The company aims to integrate upstream and downstream resources in the energy sector, focusing on investments in new energy such as wind power, wave power, and hydrogen energy [195]. - The strategy for energy asset management services will include professional asset management and engineering technology services, particularly in the renewable energy sector [158]. - The company plans to enhance its energy asset management service business, having successfully fulfilled leases for two drilling rigs in 2022, with positive customer feedback [195].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部 或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 CMIC Ocean En-Tech Holding Co., Ltd. 華商國際海洋能源科技控股有限公司 （於開曼群島註冊成立之有限公司） （股份代號：206） 截至二零二二年十二月三十一日止年度的 年度業績公告 摘要 • 截至二零二二年十二月三十一日止年度的收入約為113.0百萬美元，較二 零二一年增加98.2%； • 截至二零二二年十二月三十一日止年度的毛利約為27.7百萬美元，較二 零二一年增加34.3%； • 毛利率從二零二一年的36.2%下降至二零二二年的24.5%，較二零二一年 降低11.7個百分點； • 截至二零二二年十二月三十一日止年度的本公司股權股東應佔之溢利約 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部 或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 CMIC Ocean En-Tech Holding Co., Ltd. 華商國際海洋能源科技控股有限公司 （於開曼群島註冊成立之有限公司） （股份代號：206） 截至二零二二年十二月三十一日止年度的 年度業績公告 摘要 • 截至二零二二年十二月三十一日止年度的收入約為113.0百萬美元，較二 零二一年增加98.2%； • 截至二零二二年十二月三十一日止年度的毛利約為27.7百萬美元，較二 零二一年增加34.3%； • 毛利率從二零二一年的36.2%下降至二零二二年的24.5%，較二零二一年 降低11.7個百分點； • 截至二零二二年十二月三十一日止年度的本公司股權股東應佔之溢利約 ...

Financial Performance - The Group's revenue for the six months ended June 30, 2022, reached approximately US$51.1 million, representing an increase of approximately 125.7% from US$22.6 million for the same period in 2021[5]. - Gross profit amounted to approximately US$11.0 million for the six months ended June 30, 2022, representing an increase of approximately 37.2% from US$8.0 million for the same period in 2021[5]. - Net profit attributable to equity shareholders of the Company amounted to approximately US$1.7 million for the six months ended June 30, 2022, representing a decrease of 73.4% from US$6.3 million for the same period in 2021[5]. - Earnings per share for the six months ended June 30, 2022, was US0.05 cent, representing a decrease of 75.0% compared with US0.20 cent for the same period in 2021[5]. - Total comprehensive income for the period was a loss of US$1.968 million, compared to a profit of US$5.985 million for the same period in 2021[10]. - The profit before taxation for the six months ended June 30, 2022, was US$1.802 million, compared to US$10.930 million for the same period in 2021[8]. - The company recorded a profit for the period of $1,662,000 for the six months ended June 30, 2022, compared to a profit of $6,250,000 for the same period in the previous year, indicating a decline of approximately 73.4%[17]. - The company reported a consolidated profit before taxation of $1,802,000 for the six months ended June 30, 2022, down from $10,930,000 in 2021, indicating a decrease of 83%[51]. Dividend and Shareholder Returns - The Board has resolved not to declare an interim dividend for the six months ended June 30, 2022[5]. - The company has not declared an interim dividend for the six months ended June 30, 2022[158]. Assets and Liabilities - The Group's total assets as of June 30, 2022, were reported at US$XX million, reflecting the financial position of the Company[12]. - As of June 30, 2022, total assets less current liabilities amounted to $148,867,000, a decrease from $150,738,000 as of December 31, 2021, representing a decline of approximately 1.2%[13]. - Current assets totaled $147,530,000, down from $153,217,000, indicating a decrease of about 3.7%[13]. - The company reported a net asset value of $146,610,000 as of June 30, 2022, compared to $148,578,000 at the end of 2021, reflecting a reduction of approximately 1.3%[15]. - Total equity attributable to equity shareholders decreased to $146,820,000 from $148,709,000, a decline of about 1.3%[15]. - Current liabilities remained relatively stable at $78,477,000, slightly down from $79,159,000[13]. - The liabilities decreased to $80,734,000 as of June 30, 2022, from $81,319,000 as of December 31, 2021[54]. Cash Flow and Investments - For the six months ended June 30, 2022, cash generated from operations was US$1,275,000, a decrease of 75.6% compared to US$5,222,000 in the same period of 2021[20]. - The company reported a net cash used in investing activities of US$6,237,000 for the six months ended June 30, 2022, compared to a net cash generated of US$30,213,000 in the same period of 2021[20]. - Cash and cash equivalents decreased to $18,088,000 from $33,511,000, a decline of about 46.0%[13]. - Cash and cash equivalents at June 30, 2022, were US$18,088,000, down from US$42,935,000 at the end of the previous year[20]. Revenue Segments - Sales of capital equipment and packages amounted to US$27,047,000, significantly up from US$5,711,000 in the prior year, representing an increase of 373.5%[31]. - Revenue from external customers for capital equipment and packages was US$28,089,000, compared to US$6,547,000 in 2021, indicating an increase of about 329%[44]. - The oilfield expendables and supplies segment reported revenue of US$20,279,000 for the six months ended June 30, 2022, compared to US$13,423,000 in the same period of 2021, marking an increase of about 51%[44]. - The management and engineering services segment generated revenue of US$5,256,000 for the six months ended June 30, 2022, up from US$4,246,000 in 2021, representing a growth of approximately 24%[44]. Operational Challenges and Market Conditions - The overall economic environment remains challenging, with pressures from shrinking demand and supply shocks impacting the company's operations[89]. - In the first half of 2022, Brent international oil prices fluctuated around $100 per barrel, representing an increase of over 60% compared to the same period last year[89]. - The price of Brent crude oil fluctuated around US$100 per barrel in the first half of 2022, with world oil demand increasing by approximately 3 million barrels per day to 100.45 million barrels per day, representing a year-on-year growth rate of 3%[125]. Strategic Initiatives and Future Outlook - CMIC signed contracts for 6 sets of LIFTBOAT full jacking systems in 2022, generating approximately RMB156 million in sales orders[90]. - CMIC entered into a strategic cooperation agreement with KenzFigee to develop offshore wind power technology products, focusing on core equipment for service operation vessels[91]. - The company is focusing on expanding its traditional oil and gas energy equipment business through new cooperation opportunities[90]. - The company aims to explore the Mexican oil market and expand its offshore asset management business, leveraging existing resources[150]. - CMIC is focusing on offshore wind power and hydrogen energy as part of its strategy for decarbonization in the energy sector[140]. Corporate Governance and Compliance - The Company has complied with the Corporate Governance Code during the six months ended June 30, 2022[189]. - The audit committee reviewed the unaudited financial results for the six months ended June 30, 2022, and confirmed compliance with applicable accounting standards[185]. - The Company is committed to high standards of corporate governance to safeguard shareholder interests[188].

Offshore Wind Power and Hydrogen Energy - The company successfully entered the high-power deep-water offshore wind power installation market, providing high-end core equipment for a new generation of 1,600 tonnes jack-up wind power installation platform[9]. - The company has established a new segment for hydrogen energy, actively deploying in the hydrogen energy market to explore new opportunities for dual-carbon development[9]. - The company is exploring new business models in the new energy industries, including offshore wind power operation and maintenance, floating wind power, and hydrogen energy[9]. - The company is positioned to make significant contributions to carbon reduction and green energy strategic goals through its technological expertise and experience in hydrogen energy and offshore wind power[17]. - The company established hydrogen energy as its third largest business segment and formed a joint venture for hydrogen energy technology with Xiamen University, focusing on large-capacity hydrogen production equipment[72]. - The company secured a large order for core equipment totaling RMB263 million for a 1,600 tonnes jack-up wind power installation platform project, marking a significant breakthrough in the offshore wind power market[73]. - The company is actively participating in the European offshore floating wind power demonstration project, with expectations for breakthroughs in orders for floating wind turbine infrastructure-related equipment in 2022[73]. - The company has signed a strategic cooperation agreement with CM Taiping Bay to jointly develop the hydrogen energy industry in Dalian, Liaoning Province[74]. - The company aims to strengthen the expansion of application scenarios in the downstream of the hydrogen energy industry chain[78]. - The company is focusing on offshore deepwater wind power and hydrogen energy, aiming to leverage market opportunities in these sectors[87]. Financial Performance - In 2021, the company's revenue was $57,027,000, a decrease of 13.5% from $65,882,000 in 2020[49]. - Gross profit for 2021 was $20,664,000, significantly up from $11,617,000 in 2020, indicating a gross margin improvement[49]. - The company reported a profit before taxation of $15,740,000 in 2021, compared to $9,881,000 in 2020, reflecting a 59.0% increase[49]. - Profit attributable to equity shareholders for the year was $9,220,000, down from $10,916,000 in 2020, representing a decline of 15.6%[49]. - For the year ended December 31, 2021, the Group's total assets amounted to US$229.897 million, slightly down from US$229.930 million in 2020[54]. - The Group's net assets increased to US$148.578 million in 2021, up from US$135.284 million in 2020, reflecting a growth of approximately 9.5%[54]. - Current liabilities decreased to US$79.159 million in 2021 from US$93.422 million in 2020, indicating improved financial stability[54]. - The company recorded revenue of approximately US$57.0 million and a net profit of approximately US$9.3 million, maintaining profitability for the third consecutive year[71]. - The profit attributable to equity shareholders was US$9.2 million, representing a decrease of 15.5% compared to US$10.9 million in 2020[103][105]. - The gross profit margin improved to 36.2% in 2021, up from 17.6% in 2020, with gross profit increasing by 77.9% to US$20.7 million[105]. Market Trends and Industry Insights - The global shift towards carbon neutrality is weakening the market share of fossil energy, prompting the company to focus on clean energy and marine energy-related technology industries[17]. - The average crude oil price saw a significant rebound in 2021 compared to 2020, contributing to an overall growth trend in global crude oil demand[59]. - The offshore drilling market saw a recovery in 2021, with global demand for drilling rigs reaching 474 by the end of the year, a 5% increase compared to 2020, and utilization rates reaching 79%, a year-on-year increase of 4%[161]. - The floating drilling rig market experienced a significant recovery, with a growth rate of 6% in 2021, contrasting with the 4% growth in active jack-up drilling rigs[161]. - The global hydrogen energy market is projected to grow continuously, reaching US$2.5 trillion by 2050, with cumulative global investment in hydrogen energy increasing from US$300 billion to US$500 billion since February 2021[77]. - The International Energy Agency forecasts that global hydrogen demand will rise from 87 million tonnes in 2020 to 530 million tonnes by 2050, with an average annual growth rate of 6.2%[189]. - The Hydrogen Council projects that to achieve carbon neutrality, global hydrogen demand will reach 660 million tonnes by 2050, accounting for 22% of final global energy demand, with an average annual growth rate of 7.0%[189]. Operational Developments - The company operates four jack-up drilling rigs, two of which provide services for Abu Dhabi National Oil Company and two for the national oil company of Mexico, with contracts successfully renewed this year[10]. - The offshore asset management business is gradually maturing and growing steadily, contributing to the overall performance of the company[10]. - The company established a joint venture with Xiamen University for hydrogen energy technology in 2021, enhancing its capabilities in renewable energy[30]. - The company completed the sale of two CJ46 rigs to Shelf in May 2019, showcasing its operational capabilities in offshore drilling services[30]. - A new operation and maintenance service center has been established in Mexico to meet strong demand, with a potential order amount of approximately US$100 million for the PEMEX land drilling rig upgrade project[76]. - The company has taken a stake in Jiangsu Modern Shipbuilding Technology Co., Ltd. to enhance its capabilities in offshore wind power platforms and new energy vessels[74]. - The company established a new operational service center in Mexico to meet strong market demand, leading to continuous order growth[101]. Strategic Initiatives - The company aims to enhance the quality and efficiency of green energy equipment manufacturing and services, leveraging traditional strengths in equipment manufacturing and asset management[17]. - The company is committed to maximizing shareholder and investor interests through investments in undervalued opportunities along the industrial supply chain[15]. - CMIC has established a "two-wheel drive" business structure, focusing on both traditional energy and new energy sectors, particularly hydrogen energy[60]. - The new energy business segment emphasizes the research and development of high-tech products and aims to expand hydrogen energy applications globally[61]. - The company is committed to reducing greenhouse gas emissions and energy consumption through improved product design and management practices[63]. - The company plans to utilize capital operation methods such as listing, funds, and finance leases to obtain stable capital support for its green energy initiatives[17]. - The company has integrated quality resources within China Merchants Group Limited through collaboration on major projects in traditional business and offshore wind power[98].

Financial Performance - The Group's revenue for the six months ended June 30, 2021, reached approximately US$21.8 million, representing a decrease of approximately 30.1% from US$31.2 million for the same period in 2020[7]. - Gross profit amounted to approximately US$7.7 million for the six months ended June 30, 2021, representing a decrease of approximately 24.4% from US$10.1 million for the same period in 2020[7]. - Net profit attributable to equity shareholders of the Company amounted to approximately US$6.3 million for the six months ended June 30, 2021, representing an increase of 117.8% from US$2.9 million for the same period in 2020[7]. - Earnings per share for the six months ended June 30, 2021, was US$0.20 cent, representing an increase of 107.9% compared with US$0.10 cent for the same period in 2020[7]. - Total comprehensive income for the period was US$5.985 million, compared to a loss of US$0.521 million for the same period in 2020[11]. - The Company reported a profit before taxation of US$10.93 million for the six months ended June 30, 2021, compared to US$3.185 million for the same period in 2020[9]. - The profit for the period was reported at $6,250,000, compared to $2,869,000 in the previous period, indicating a substantial increase of approximately 118.5%[16]. - The company reported a total comprehensive income of $5,971,000 for the period, compared to $2,895,000 in the previous period, representing an increase of approximately 106.5%[16]. Asset and Liability Management - As of June 30, 2021, total assets amounted to $158,239,000, an increase from $133,687,000 as of December 31, 2020, representing a growth of approximately 18.4%[13]. - Net current assets increased to $68,170,000 from $63,874,000, reflecting a rise of about 4.3%[13]. - Non-current liabilities, specifically lease liabilities, surged to $10,856,000 from $1,224,000, indicating a significant increase of approximately 786.5%[15]. - The company's net assets reached $141,672,000, up from $135,284,000, marking an increase of about 4.3%[15]. - The total equity attributable to equity shareholders of the company was $141,980,000, compared to $135,606,000, showing a growth of approximately 4.3%[15]. - Cash and cash equivalents rose to $42,935,000 from $22,424,000, representing an increase of about 91.5%[13]. - Trade and other payables decreased to $44,729,000 from $57,989,000, a decline of approximately 22.7%[13]. - Total liabilities increased from US$94,646,000 as of December 31, 2020, to US$100,925,000 as of June 30, 2021, marking an increase of about 6.5%[44]. Revenue Breakdown - Revenue from external customers for capital equipment and packages was $5,711,000 for the six months ended June 30, 2021, compared to $6,826,000 in the same period of 2020, a decline of 16.3%[35]. - Revenue from oilfield expendables and supplies dropped by 41.2% to US$12.3 million, mainly due to reduced orders in the American market[106]. - Management and engineering services revenue increased by 11.4% to US$3.8 million, driven by higher demand in the Americas[108]. - Sales of capital equipment and oilfield expendables amounted to $5,711,000 and $12,319,000 respectively, compared to $6,826,000 and $20,966,000 in the prior year, indicating a decline of 16% and 41% respectively[27]. Cost Management - Selling and distribution expenses decreased by US$1.0 million to US$1.1 million in the first half of 2021, down from US$2.1 million in the first half of 2020, attributed to cost control measures[116]. - General and administrative expenses rose to US$10.0 million in the first half of 2021 from US$8.2 million in the first half of 2020, driven by increased business activities[117]. - Finance costs decreased to approximately US$0.4 million in the first half of 2021 from US$1.1 million in the first half of 2020, mainly due to lower interest on lease liabilities[117]. Taxation and Compliance - The Company incurred income tax expenses of US$4.677 million for the six months ended June 30, 2021, compared to US$0.290 million for the same period in 2020[9]. - The group reported a current tax provision of US$4,523,000 for the six months ended June 30, 2021, compared to US$25,000 in the same period of 2020[56]. - The audit committee has reviewed the unaudited financial results for the six months ended June 30, 2021, and found compliance with applicable accounting standards[199]. Shareholder Information - The Board has resolved not to declare an interim dividend for the six months ended June 30, 2021, consistent with the previous year[61]. - The Company holds 1,530,372,000 shares, representing approximately 47.18% of the issued share capital, following a change in shareholding where CM Industry acquired significant interests in the Fund LP and GP[81]. - The total number of shares that may be purchased under Share Award Plan 1 is capped at 3% of issued shares, equating to 21,147,456 shares[169]. - As of June 30, 2021, the total number of shares issued by the company was 3,243,433,914[176]. Strategic Initiatives - The Company is actively exploring new business models, including combining core equipment sales with financial leasing, to enhance sales in the Chinese market[84]. - The Company is tracking multiple opportunities in large cranes, jacking systems, and electronic control projects for offshore wind power installation[84]. - The Company aims to accelerate its transition to new energy, focusing on offshore wind power and hydrogen energy development opportunities[146]. - The company plans to maintain steady investments in traditional oil and gas while actively exploring new business patterns, particularly in the Mexican market[143]. Market Trends and Economic Outlook - The World Bank projects that the global economy will grow by 5.6% in 2021, marking the fastest growth in the last 50 years and the greatest post-recession growth in 80 years[130]. - WTI crude oil prices increased by 51.4% and Brent crude by 44.30% in the first half of the year, making them the top two global key assets[130]. - The comprehensive demand for offshore drilling rigs increased slightly by 2% in the first half of the year, following an 11% decline in 2020[132]. - The demand for drilling platforms is expected to increase by 5 percentage points in the second half of the year, with an annual growth rate of 7%[134].

Operational Performance - The company operates four jack-up drilling rigs, providing services to Abu Dhabi National Oil Company and the national oil company of Mexico, with all rigs performing normally throughout the year[7]. - The offshore asset management business has been the main profit contributor since the Company's transformation in 2018, with two units of rigs for PEMEX and two for Abu Dhabi National Oil Company operating successfully[60]. - The operational status of four drilling platforms remains strong, receiving positive feedback from clients, which lays a solid foundation for market consolidation in Mexico and future asset management expansion[68]. Financial Performance - In 2020, the company's revenue was $65,144,000, a decrease of 7.5% from $70,246,000 in 2019[41]. - Gross profit for 2020 was $11,234,000, down from $24,036,000 in 2019, indicating a significant decline in profitability[41]. - The company reported a profit attributable to equity shareholders of $10,916,000 for 2020, compared to $9,701,000 in 2019, showing a year-over-year increase of 12.5%[41]. - Current assets decreased to $157,296,000 in 2020 from $258,591,000 in 2019, reflecting a reduction of 39%[44]. - Total assets were reported at $229,930,000 in 2020, down from $356,178,000 in 2019, a decline of 35.4%[44]. - The company achieved a total revenue of approximately $65.1 million and a net profit of about $10.8 million for the year 2020, marking two consecutive years of profitability despite a challenging market environment[67]. Strategic Focus and Development - The company is focusing on the development of clean energy and marine energy-related technology industries, seeking investment opportunities to enhance overall performance[11]. - The company aims to maximize shareholder and investor interests through strategic investments along the industrial supply chain[11]. - The company is committed to achieving comprehensive development in the clean energy sector in line with the global energy revolution[13]. - The company plans to focus on the clean energy market, particularly offshore wind power, and aims to enhance its core competitiveness and achieve performance growth in 2021[71]. - The company aims to develop core equipment for the offshore wind power industry, leveraging its experience in technology and construction[163]. Market Trends and Opportunities - The new installed capacity of solar and wind power is expected to increase by 5TW by 2035, highlighting the significant growth potential in the clean energy market[65]. - The offshore wind power industry is expected to see significant growth, with China's annual average newly installed capacity needing to exceed 50 million kilowatts during the "14th Five-Year Plan" period[156]. - The offshore wind power installation and operation market is currently characterized by high demand, high profit, and a focus on technology[163]. - The forecast for global jack-up rig demand in 2021 is 360 rigs, reflecting a year-on-year growth of 4%[140]. Challenges and Risks - Despite achieving profitability, the Company faces challenges such as tight cash flows and low profit margins for certain products, which will be addressed in future efforts[65]. - The recovery of the offshore drilling market was interrupted by the COVID-19 pandemic, affecting utilization rates[118]. - The Group faced foreign exchange risk, with approximately 50% of its revenue denominated in US dollars while most of its Chinese subsidiaries operated in Renminbi[109]. Asset Management and Investments - The company established a Qingdao equipment manufacturing base to support its operational needs[22]. - The company signed a global settlement deed with Huangpu Shipbuilding in August 2020, which resulted in Huangpu Shipyard becoming a strategic shareholder[23]. - The company completed the disposal of approximately 150 acres of idle plants and land in February 2021, improving its asset-liability structure and increasing operating cash flow[75]. - The Company will continue to improve its asset-liability structure by seeking potential resource integration and investment opportunities in the ocean, energy, and technology industry chain[181][182]. Shareholder and Equity Management - The trustee did not purchase any shares under Share Award Plan 1 during the year ended 31 December 2020, holding a total of 21,147,456 shares, which represents approximately 0.7% of the issued share capital of the Company[190]. - Under Share Award Plan 2, the trustee purchased 45,760,000 shares at a total consideration of approximately HK$11,509,000, representing about 1.49% of the issued share capital at the Adoption Date[191]. - The purpose of both share award plans is to recognize contributions and align the interests of selected grantees with the sustainable growth of the Group[191].