Financial Performance - The company's revenue for the year ended December 31, 2024, was HK$3,162,391,000, representing a growth of 1.7%[8] - The profit attributable to owners of the company was HK$96,882,000, reflecting an increase of 11.8%[9] - Earnings per share for the year were HK$17.2 cents, up by 13.2% compared to the previous year[9] - The gross profit margin improved to 23.5%, an increase of 0.8 percentage points[8] - Sales volume reached 264,000 metric tons, marking a growth of 9.6%[11] - The company declared a dividend of 14 HK cents for the year, which is a 16.7% increase[9] - The gearing ratio stood at 16.7%, an increase of 2.7 percentage points[9] - The Group recorded a revenue of HK$3.16 billion for the year, representing a slight decrease of 1.7% compared to the previous year[24] - Profit attributable to owners increased by 11.8% year-on-year to HK$96.9 million[24] - The Group's gearing ratio was at a low level of 16.7% as of December 31, 2024, indicating a healthy financial position[26] - A final dividend of HK11 cents per share was recommended, an increase of HK1 cent compared to the previous year's final dividend[26] - The Group recorded a revenue of HK$3.16 billion and a sales volume of 264,000 metric tonnes, representing a slight decrease of 1.7% and 9.6% respectively compared to the preceding year[42] - Overall gross profit margin decreased to 23.5%, a year-on-year decrease of 0.8 percentage points, with the coatings business suffering from adverse market conditions[42] - Profit attributable to owners increased by 11.8% to HK$96.9 million compared to the corresponding period of the preceding year[42] - The Group's revenue for the year ended December 31, 2024, was HK$87,695,000, a decrease from HK$92,070,000 in 2023[127] - The inks segment reported revenue of HK$77,199,000 in 2024, up from HK$37,861,000 in 2023, indicating significant growth[127] - The coatings segment generated revenue of HK$7,219,000 in 2024, a decline from HK$57,250,000 in 2023[127] Market Challenges and Strategic Initiatives - The operating environment was described as challenging, with external pressures from geopolitical tensions and sluggish consumer sentiment impacting performance[22] - The company anticipates continued challenges in the market, particularly in the real estate and stock markets, which are crucial for economic support[22] - The management is focused on strategic initiatives to navigate the current economic landscape and enhance operational resilience[22] - The Group plans to explore acquisition opportunities to enhance its core businesses and support SMEs in need of resources[30] - The Group expects to initiate one or two pilot projects during the year to refine its development model for ongoing growth[30] - The Group plans to focus additional resources on the growth of industrial coatings and resin products while reassessing the architectural coatings market[46] - The Group aims to establish a "leading development platform for chemical businesses" by leveraging its stable shareholder base, strong reputation, and extensive experience in China[61] - Strategic investment and acquisition opportunities will be actively sought to accelerate the growth of the chemical business platform[62] Product and Business Development - The inks segment recorded a revenue of HK$1.36 billion, an increase of 13%, and a segment profit of HK$77.2 million, marking a significant increase of 104%[49] - The coatings segment's sales volume declined by 16% to 184,000 metric tonnes, with revenue down 8% to HK$1.46 billion[45] - Revenue from the lubricants business decreased by 6% to HK$320 million, while the gross profit margin rose by 1.5 percentage points to 23.3%[54] - The solvents associate recorded a strong growth of 13% in sales volume, reaching a historical high of 1,540,000 metric tonnes, with export sales of approximately 530,000 metric tonnes[56] - The new acetic acid and acetates solvents manufacturing plant in Hubei is expected to commence operation in the second half of 2025, enhancing vertical integration and economies of scale[57] - The Group's resin production is vertically integrated into coatings products, enhancing product quality and competitiveness[88] - The industrial coatings business has actively explored overseas markets, exporting to Southeast Asia, including Vietnam and Malaysia[85] - The lubricants business has diversified its product range under the "Hercules" brand, including engine oils, antifreeze fluids, and hydraulic oils, aiming to secure a solid footing in the Chinese automotive aftermarket[99] - The Group has increased investment in R&D for industrial specialty lubricants, targeting breakthroughs in specialty greases and metal processing oils for the medium to high-end markets[100] Sustainability and ESG Initiatives - The Group's commitment to sustainable development is reflected in its ongoing monitoring of environmental, social, and governance (ESG) performance[158] - The Group continues to develop environmentally friendly products to assist clients in their green transformation efforts[157] - The Group's sustainability initiatives include improving energy efficiency and supporting R&D plans to promote long-term sustainable development[161] - The Group actively collaborates with social enterprises to create shared value and empower disadvantaged communities[160] - The Group has developed a series of eco-friendly products to assist customers in transitioning to greener operations, enhancing its sustainability performance[160] Management and Human Capital - The Group emphasizes the management and development of human capital, offering educational subsidy programs and career development plans for employees[166] - The management team has been developed internally, with a focus on identifying and nurturing talented employees[166] - The Group regularly reviews its remuneration and reward policies to ensure competitive compensation and benefits for its employees[167] - Mr. Ho Sai Hou has over 30 years of experience in accounting, finance, taxation, and company secretarial fields, serving as the Chief Financial Officer since 2010[177] - Mr. Ho Pak Chuen has extensive experience in the chemical industry, having worked for The Dow Chemical Company for 40 years before joining the Group as an Independent Non-executive Director in 2018[180] - Mr. Ku Yee Dao has been appointed as the Finance Director of Johnson Controls Inc. since May 2023 and will become the General Manager for Hong Kong and Macau in April 2024[181] - Ms. Yau Ching Man joined the Group as an Independent Non-executive Director on March 22, 2024, and has over 10 years of corporate management experience in both PRC and Hong Kong[185] - Mr. Yip Long has held various leadership roles within the Group, including Deputy General Manager of the Solvents Group and Chief Operating Officer, and was appointed Vice Chairman of the Inks Group in 2023[186] - The Group's management team includes experienced professionals with extensive backgrounds in the chemical and petrochemical industries[193][195] Corporate Vision and Future Outlook - The Group aims to achieve its corporate vision of "Towards a Century of Revered Leadership" through business development and profitability[200] - The Group's vision includes generating stable returns and long-term value appreciation for shareholders and stakeholders[61] - The Group's initiatives are expected to further fortify profit growth and add new dimensions to its businesses[63] - Important events affecting the Group since the end of the financial year are noted in the consolidated financial statements[200]

Financial Performance - The company's revenue for the year ended December 31, 2024, was HKD 3.16 billion, a slight decrease of 1.7% compared to HKD 3.22 billion in the previous year[3]. - The sales volume decreased by 9.6% to 264,000 tons from 292,000 tons year-on-year[3]. - Shareholders' profit attributable to the company increased by 11.8% to HKD 96.9 million, up from HKD 86.6 million in the previous year[3]. - The overall gross profit margin decreased to 23.5%, down 0.8 percentage points from the previous year due to challenges in the construction paint market[2]. - The group achieved a net profit attributable to shareholders of HKD 96.9 million, an increase of 11.8% compared to the same period last year[16]. - Gross profit for 2024 was HKD 743,646,000, down 4.9% from HKD 782,270,000 in the previous year[45]. - The net profit for the year was HKD 95,694,000, representing a significant increase of 57.9% compared to HKD 60,596,000 in 2023[45]. - The company reported a total of HKD 88,216,000 in segment profit for the year, compared to HKD 96,024,000 from joint ventures[72]. Dividends and Shareholder Returns - The board proposed a final dividend of HKD 0.11 per share, an increase from HKD 0.10 per share in the previous year[3][8]. - The interim dividend for 2024 was declared at HKD 0.03 per share, compared to HKD 0.02 per share in 2023, marking a 50% increase[83]. - The company plans to propose a final dividend of HKD 0.11 per share for the year ending December 31, 2024, up from HKD 0.10 per share in 2023, totaling approximately HKD 61,431,000[84]. - The company has repurchased a total of 10,024,000 shares during the year, with a total cost of HKD 14,834,000[90]. Debt and Financial Position - The company maintained a low debt ratio of 16.7%, compared to 14.0% in 2023, providing flexibility for future investment projects[2][3]. - The group's net bank borrowings increased to HKD 632,336,000 from HKD 547,546,000 in the previous year[27]. - The group's debt ratio increased to 16.7%, up 2.7 percentage points from 14.0% in 2023[25]. - As of December 31, 2024, the group's bank borrowings totaled HKD 1,226,713,000, down from HKD 1,401,793,000 in 2023[27]. - The group plans to continue increasing its RMB bank loans in mainland China to benefit from lower interest costs and mitigate RMB exchange rate fluctuation risks[30]. Business Segments and Performance - The paint business saw a 16% decrease in sales volume to 184,000 tons and an 8% drop in revenue to HKD 1.46 billion, with the construction paint segment facing a sluggish real estate market[16]. - The ink business recorded a revenue of HKD 1.36 billion, an increase of 13% year-on-year, with a significant profit growth of 104% to HKD 77.2 million[18]. - The lubricant business revenue decreased by 6% to HKD 320 million, with a gross margin increase of 1.5 percentage points to 23.3%[19]. - Revenue from paint sales was HKD 1,461,221,000, down 7.8% from HKD 1,584,770,000 in the previous year[67]. - Revenue from ink sales increased to HKD 1,364,529,000, up 13.2% from HKD 1,205,915,000 in 2023[67]. - Revenue from lubricants was HKD 323,580,000, a decrease of 6.0% from HKD 344,282,000[67]. Cash Flow and Investments - The group's net cash inflow was HKD 86,546,000, a decrease from HKD 236,544,000 in the previous year[26]. - The company reported a net cash outflow from investment activities of HKD 226,064 thousand in 2024, compared to a net cash inflow of HKD 655,382 thousand in 2023[53]. - The company reported a foreign exchange loss of HKD 162,612,000 for the year, compared to a loss of HKD 91,885,000 in 2023[45]. - The company recognized an impairment loss of HKD 57,504,000 on goodwill and intangible assets in the previous year, which was not repeated in 2024[45]. Strategic Initiatives and Future Outlook - The group plans to focus resources on industrial paints and resins to drive business growth in these segments while reassessing the construction paint market[17]. - The group is optimistic about the Chinese economy's continued growth and is preparing to seek more business opportunities amid changing market conditions[11]. - The group aims to explore one or two pilot projects this year to enhance its growth model through strategic acquisitions in the chemical sector[11]. - The company is currently assessing the impact of the new Hong Kong Financial Reporting Standard 18 on its consolidated financial statements[65]. - The company operates in four main business segments: paint, ink, lubricants, and property[69]. Human Resources and Employee Management - As of December 31, 2024, the group employs a total of 2,189 staff, a decrease from 2,561 in 2023[31]. - The group emphasizes the management and development of human resources, providing training and educational assistance programs to enhance employee skills and performance[32].

葉氏化工集團有限公司 Yip's Chemical Holdings Limited 股份代號 Stock Code: 408 於開疊群島註冊成立之有限公司 Incorporated in the Cayman Islands with limited liability 2024 中期業績報告 INTERIM REPORT | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------|-------|-------|-------------------------------------|-------------------------|-----------|----------------------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | Homes Homes 增添家庭及生活姿彩 | Brightening Brightening | and and | LIVES LIVES 生活姿彩 | | | 集團宏圖 CORPORATE VISIO ...

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 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之任何損失承擔任何責 任。 长化工集團有限公司 (於開曼群島註冊成立之有限公司) (股份代號：408) 截至二零二四年六月三十日止六個月 中期業績公告 | --- | --- | |-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | 概 要 | | | 宏觀經濟充滿挑戰 集團穩步鞏固市場地位 | | | 股東應佔純利增長至 3,400 萬港元 | | • | 中 國 經 濟 不 景 氣 限 制 了 集 團 的 銷 售 增 長，營 ...

Financial Performance - The company's revenue for the year ended December 31, 2023, was HK$3,217,138,000, representing a 4% increase compared to the previous year[6]. - Sales volume reached 292,000 metric tons, marking a 9% increase year-over-year[7]. - The gross profit margin improved to 24.3%, an increase of 2.9 percentage points from the previous year[8]. - Profit attributable to owners of the company was HK$86,623,000, reflecting a significant increase of 93%[9]. - Earnings per share rose to 15.2 HK cents, also up by 93% compared to the prior year[9]. - The annual dividend declared was 12 HK cents per share, an increase of 87% from the previous year[9]. - The gearing ratio decreased to 14.0%, down by 10.8 percentage points, indicating improved financial stability[9]. - The Group recorded a revenue of HK$3.22 billion and a sales volume of 292,000 metric tonnes, representing a decrease of 4% and an increase of 9% year-on-year respectively[30]. - Profit attributable to owners was HK$86.6 million, a decrease of 93% year-on-year; however, excluding one-off gains and write-downs, profit increased by 328% year-on-year[30]. - The Group's gearing ratio improved significantly to 14.0%, down from 24.8% at the end of the previous year, due to cash inflow from the disposal of 51% interest in the solvents business[31]. - The profit before taxation for 2023 was HK$83,865, significantly down from HK$1,534,704 in 2022, reflecting a decline of approximately 94.5%[131]. - The profit attributable to owners of the Company for 2023 was HK$86,623, a decrease of 92.9% compared to HK$1,217,774 in 2022[131]. - The total assets as of December 31, 2023, were HK$6,419,027, down from HK$8,011,501 in 2022, indicating a decrease of 19.9%[131]. - The net bank borrowings to shareholders' funds ratio improved to 14% in 2023, down from 25% in 2022[131]. - The Group recorded a net cash inflow of HK$236,544,000 for the year, down from HK$413,892,000 in 2022, primarily due to the impact of the disposal of 51% effective interest in the solvents business[161]. Strategic Initiatives - The company is focused on enhancing its product offerings and expanding its market presence as part of its strategic initiatives[19]. - Future outlook includes continued investment in new technologies and market expansion efforts to drive growth[19]. - The Group plans to continue investing in expanding the store network and brand reach of "Bauhinia" and "Camel" in the coming year[59]. - The Group plans to leverage its reputation to seek strategic investments or acquisitions in niche areas to enhance core businesses[78]. - A new manufacturing plant with a capacity of 600,000 tonnes of acetic acid and 600,000 tonnes of acetate solvents is planned in Hubei, targeting operation in 2025[72]. - The Group will continue to increase its RMB bank borrowings in Mainland China to benefit from lower interest costs and mitigate currency fluctuation risks[173]. Business Segments Performance - The coatings segment recorded a sales volume growth of 11% to 219,000 metric tonnes, while sales revenue slightly declined by 3% to HK$1.58 billion[57]. - The coatings segment's gross profit margin improved to 27.8%, representing a year-on-year increase of 3.9 percentage points, leading to a segment profit increase of 571% to HK$57.3 million[58]. - The inks segment recorded a revenue of HK$1.21 billion in 2023, a slight decrease of 10% compared to the previous year, but the gross profit margin increased by 1.9 percentage points to 18.8%[63][64]. - The inks business achieved a segment profit of HK$37.9 million, marking a significant increase of 302% year-on-year[63]. - The lubricants business revenue grew by 15% to HK$0.34 billion, with a gross profit margin improvement of 1.7 percentage points to 21.8%[66]. - The lubricants segment recorded a profit of HK$10.8 million, returning to profitability in 2023[66]. - The properties segment revenue increased by 3% to HK$11 million, with operating results improving by 394% to HK$30.9 million due to net increases in fair values of investment properties[70]. - The solvents associate achieved a sales volume growth of 15% in 2023, reaching a historical high of 1,368,000 metric tonnes, contributing HK$94.7 million in returns to the Group[71]. Corporate Governance and Management - A new Senior Leadership Team was established in the first half of 2023 to enhance corporate governance and execute the Group's development plans[50]. - The Group emphasizes the management and development of human capital, providing educational subsidy programs and career development plans for employees[188]. - The Group's management team has been developed internally, with a focus on promoting talented employees to management positions[188]. - The Group regularly reviews its remuneration and reward policies to ensure competitive compensation and benefits for employees[189]. - The Group's commitment to corporate governance is reflected in its structured management and oversight by experienced directors[199]. Sustainability and Innovation - The Group integrates sustainability concepts into its development strategies and daily operations to manage risks and opportunities[181]. - The Group's ESG report outlines management policies, progress, and achievements in environmental, social, and governance aspects for the year[183]. - The company has reduced volatile organic compounds (VOC) emissions during production and developed eco-friendly products, earning the "Corporate Environmental Leadership Awards"[112]. - The Group's commitment to innovation aims to lead the household paints market in China, focusing on health and environmental sustainability[93]. Market Position and Recognition - The Group's coatings subsidiary was ranked 57th globally and 7th in Mainland China in terms of sales revenue among international coatings companies in 2023[184]. - The Group's inks subsidiary was ranked 17th globally and 1st in Mainland China in terms of sales revenue among international ink companies in 2023[184]. - The Group has become the official supporting brand of the China Women's National Football Team, promoting health-conscious products[99].

Revenue and Profitability - Revenue for the year ended December 31, 2023, was HKD 3,217,138,000, a decrease of 4% compared to HKD 3,358,509,000 in 2022[2] - Net profit attributable to shareholders was HKD 86,623,000, a significant decline of 93% from HKD 1,217,774,000 in 2022[2] - Earnings per share dropped to HKD 15.2, down 93% from HKD 214.2 in the prior year[2] - The group recorded a revenue of HKD 3.22 billion and a sales volume of 292,000 tons, representing a 4% decrease in revenue but a 9% increase in sales volume compared to the previous year[51] - Shareholders' net profit was HKD 86.6 million, a 93% decrease year-on-year; however, excluding one-time gains from the solvent business sale and one-time write-offs related to the car maintenance business, profit increased by 328%[51] - The group’s attributable net profit was HKD 86.6 million, a significant decline of 93% compared to the same period last year, mainly due to a one-time sale related to the disposal of a 51% stake in a subsidiary[62] - Total comprehensive income attributable to shareholders for the year was HKD 25,566,000, a significant decrease from HKD 763,318,000 in the previous year[116]. Dividends and Shareholder Returns - The company proposed a final dividend of HKD 0.10 per share, representing a 100% increase from HKD 0.05 in 2022[2] - The board proposed a final dividend of HKD 0.10 per share, up from HKD 0.05 per share last year[57] Debt and Financial Management - The company's debt ratio decreased to 14.0%, down from 24.8% in the previous year, reflecting effective capital management[2] - The group maintained a low debt ratio of 14.0% at the end of 2023, down 10.8 percentage points from 24.8% at the end of 2022, providing financial flexibility for future investments[64][80] - As of December 31, 2023, the total bank borrowings of the group amounted to HKD 2,180,475,000, a decrease from HKD 1,401,793,000 at the end of 2022[81] - The net bank borrowings after deducting short-term bank deposits and cash were HKD 547,546,000, down from HKD 1,092,359,000 at the end of 2022[81] - The company’s current liabilities decreased to HKD 930,787,000 in 2023 from HKD 1,820,317,000 in 2022, reflecting improved liquidity management[119]. Operational Performance - Sales volume increased by 9% to 292,000 tons, up from 269,000 tons in the previous year[7] - The gross profit margin improved by 2.9 percentage points to 24.3% due to effective product mix optimization and cost control measures[7] - The paint business achieved a sales volume growth of 11% to 219,000 tons, while revenue slightly decreased by 3% to HKD 1.58 billion, with a gross profit margin rising to 27.8%, an increase of 3.9 percentage points[65] - The ink business recorded a revenue of HKD 1.21 billion, a slight decline of 10%, but the gross profit margin increased by 1.9 percentage points to 18.8%, resulting in a significant profit increase of 302%[74] - The lubricants business saw a revenue growth of 15% to HKD 340 million, with a gross profit margin improvement of 1.7 percentage points to 21.8%, returning to profitability with a profit of HKD 10.8 million[76] Acquisitions and Investments - The company acquired a 70% stake in Shanxi Yanyu E-commerce Co., Ltd. for RMB 3,750,000 (approximately HKD 4,590,000) to expand its market share in the automotive maintenance business[24] - The acquisition resulted in a net cash outflow of HKD 8,568,000[39] - The company expects future benefits from the acquisition related to synergies, revenue growth, and market development, which contributed to the goodwill recognized[41] - The group completed the acquisition of a controlling stake in a printed circuit board ink manufacturer in January 2024, aiming for growth in a new market segment[66] Market and Economic Conditions - The group anticipates ongoing challenges from geopolitical tensions and economic uncertainties, but remains cautiously optimistic about future growth opportunities[58] - The group has made strategic adjustments to focus on core business development after the significant structural changes following the sale of the solvent business[51][56] Cash Flow and Liquidity - Cash and cash equivalents at the end of the year were HKD 616,093, down from HKD 1,076,006 in the previous year[103] - The company reported a net cash outflow of HKD 1,343,158 from financing activities, compared to an outflow of HKD 147,381 in 2022[103] - Net cash generated from operating activities was HKD 236,544,000 in 2023, down from HKD 413,892,000 in 2022, indicating a decline in operational efficiency[120]. Employee and Workforce Management - The group employed a total of 2,561 employees as of December 31, 2023, a decrease from 2,642 employees in 2022[92] Taxation and Regulatory Compliance - The effective tax rate for subsidiaries in China is 25%, with certain high-tech enterprises eligible for a reduced rate of 15% from 2021 to 2030[46][49] - The withholding tax rate on interest income from loans to Chinese subsidiaries is 7%, while the rate on dividends from certain profits is 5%[46]

Financial Performance - For the six months ended June 30, 2023, the Group reported a profit of HK$576,022,000, reflecting a significant increase compared to the previous period[41] - The total comprehensive income for the period was HK$5,752,000, indicating a positive performance despite fluctuations in foreign exchange[41] - The Group's total equity as of June 30, 2023, was HK$4,727,499,000, showing a robust financial position[41] - For the six months ended June 30, 2023, the net decrease in profit for the period was HK$147,000, compared to HK$19,000 in 2022[62] - The increase in income tax expense for the same period was HK$147,000, up from HK$19,000 in the previous year[62] - Total comprehensive expense for the period attributable to owners of the company increased by HK$88,000, while non-controlling interests increased by HK$59,000[62] - For the six months ended June 30, 2023, the reported basic and diluted earnings per share were HK$2.9, a decrease of 84.8% compared to HK$19.1 in 2022[65] - Revenue for the same period was HK$1,566,874,000, representing a 12% increase year-over-year[75] - The Group recorded a substantial exchange loss of HK$23,000,000 due to fluctuations in the Renminbi, which depreciated by up to 3.75% during the review period[77] - The Group's revenue decreased by 12% to HK$1.567 billion, while sales volume increased by 7% to 143,000 tonnes compared to the same period last year[80] - Profit attributable to owners of the Company amounted to HK$16.3 million, representing a decrease of 85% compared to the same period last year[80] Cash Flow and Liquidity - The Group's cash flow statement showed a net cash inflow from operating activities of HK$3,546,000 for the six months ended June 30, 2023[42] - Net cash from operating activities for the six months ended June 30, 2023, was HK$51,761,000, compared to a cash outflow of HK$31,337,000 in the same period of 2022[43] - The company reported a net increase in cash and cash equivalents of HK$43,359,000 for the six months ended June 30, 2023, reversing a decrease of HK$48,869,000 in the prior year[45] - Cash and cash equivalents at the end of the period stood at HK$1,111,688,000, up from HK$686,864,000 at the end of June 2022[45] - The Group's liquidity position improved with cash and cash equivalents totaling HK$1,239,673,000, up from HK$1,088,116,000 at the end of 2022[145] - The group recorded a 3.75% depreciation in the RMB exchange rate during the review period, prompting a cautious approach to foreign exchange risk management[144] Investments and Acquisitions - The Group acquired the remaining 8.24% interest in Bauhinia Variegata Ink & Chemical (Zhejiang) Limited during the period, enhancing its stake in the subsidiary[39] - The company acquired an additional 8.24% equity interest in Bauhinia Variegata for approximately RMB 69,320,000 (equivalent to approximately HK$ 78,137,000) on March 10, 2023, making it an indirect wholly-owned subsidiary[159] - The company also entered into an agreement to acquire approximately 0.53% equity interest in Bauhinia Variegata from Zhongshan Yumao for approximately RMB 4,468,000 (equivalent to approximately HK$ 5,036,000) on the same date[162] - The acquisition of the additional equity interests was completed on March 22, 2023[162] - On March 27, 2023, the company subscribed for two redeemable non-voting preferred shares for a total subscription price of US$ 85 million (approximately HK$ 667.3 million or RMB 583.5 million)[162] - The Group received substantial cash from the disposal of a 51% effective interest in the solvents business, impacting its business structure and development strategy[100] Business Strategy and Outlook - Future outlook includes plans for market expansion and potential new product launches to drive growth[41] - The Group's strategic focus remains on enhancing operational efficiency and exploring acquisition opportunities to strengthen its market position[41] - The management anticipates continued challenges in the market environment, necessitating strategic adjustments moving forward[77] - The Group plans to invest in the construction of a new acetic acid plant, aiming for production before mid-2025, which is expected to enhance the solvent business's profitability[82] - The Group will focus on restructuring and optimizing its core businesses, leveraging the latest national and market conditions[82] - The Group maintains a cautious outlook for the second half of 2023, anticipating continued global economic weakness and low consumer confidence in China[82] Segment Performance - The coatings business generated revenue of HK$780 million, also a 12% decline year-on-year, but the gross profit margin improved significantly by 5.2 percentage points to 28.1%[109] - The inks business revenue declined by 18% year-on-year to HK$550 million, resulting in an operating loss of HK$4 million compared to an operating profit of HK$17.8 million in the same period last year[112] - The lubricants business revenue increased by 12% to HK$190 million, with a gross profit margin of 20.8%, turning an operating loss of HK$2.9 million into a profit of HK$5.7 million[114] - The property segment recorded a 4% increase in revenue to HK$5.6 million, but faced an operating loss of HK$1.4 million due to a decrease in the fair value of the leased portion of the Wanchai office[114] Human Capital Management - The total number of employees as of June 30, 2023, was 2,837, with 2,764 from Mainland China, 63 from Hong Kong, and 10 from other countries[187] - The Group emphasizes the management and development of human capital, offering training programs and educational subsidies to enhance employee skills and performance[188] - The Group regularly reviews its remuneration and reward policy to ensure competitive compensation and benefits, including performance-based bonuses[189]

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 賴該等內容而引致之任何損失承擔任何責任。 截 至 二 零 二 三 年 六 月 三 十 日 止 六 個 月 中 期 業 績 公 告 概要 股東應佔純利達1,630萬港元 中期股息每股2港仙 • 由於地緣政治局勢緊張，全球經濟高度波動及中國內地經濟復甦緩慢， 集團銷售額同比下降12%至15.67億港元，惟銷售量則增長7%至14.3萬 噸。 • 由於集團核心業務降本降費工作於二零二三年上半年初見成效，毛 利率同比上升2.8個百分點至23.9%。 ...

Financial Performance - Total revenue for the year was HK$14,025,180, a decrease from HK$17,805,397 in the previous year[14]. - Profit for the year was HK$1,295,910, compared to HK$574,551 in the previous year[14]. - Earnings per share (diluted) increased to HK$214.2 from HK$72.8 in the previous year[14]. - The profit attributable to owners of the Company for 2022 was HK$1,217,830, compared to HK$184,805 in 2021[19]. - Revenue for the same period was HK$3,358,509,000, reflecting a 16% growth[172]. - The Group's net profit attributable to shareholders was HK$1.22 billion, showing a significant increase compared to the previous year[188]. - The Group's revenue for the year under review was HK$3.36 billion, a decrease of 16% compared to the previous year[188]. Dividends and Shareholder Returns - The company declared a dividend per share of HK$90.0, up from HK$40.0 in the previous year[14]. - The Company declared a final dividend of HK$90.0 cents per share, including a special dividend of HK$75.0 cents[21]. - The company declared an interim dividend of HKD 0.10 per share and proposed a final dividend of HKD 0.05 per share along with a special dividend of HKD 0.75 per share, totaling approximately HKD 28,424,000 and HKD 426,363,000 respectively[115]. - The company declared a full-year dividend of HK$0.90, which is a 125% increase compared to the previous year[162]. Business Operations and Strategy - The lubricants business is focused on re-building and repositioning the Hercules brand to strengthen its presence in the automotive aftermarket[1]. - The company has increased investment in R&D for industrial specialty lubricant technologies to achieve breakthroughs in specialty greases and metal processing oils for medium to high-end markets[1]. - The company sold a controlling interest in its solvents business to Taima, retaining a 24% stake for further investment[5]. - The Group aims to extend its service offerings to consumers through strategic investments and market expansion initiatives[38]. - The company aims to enhance its market presence and operational efficiency through strategic adjustments in its business segments[60]. - Future strategies include enhancing shareholder returns and developing next-generation products[168]. Employee and Management - The Group emphasizes the management and development of human capital, providing training programs and educational subsidies to enhance employee skills and performance[40]. - The Group's management team has been developed internally, with a focus on promoting talented employees and attracting external talents[40]. - Management emphasized the importance of employee health and recovery from COVID-19 during the challenging operational environment[187]. Market and Economic Conditions - The Group's operations are primarily concentrated in mainland China, making it susceptible to economic and political developments in the region[80]. - The company faced significant challenges during the year, including geopolitical tensions and supply chain disruptions due to the Russia-Ukraine conflict[187]. - The overall economic environment is expected to improve in the new year, with anticipated easing of interest rate hikes in Western countries[189]. - The Chinese government's measures to stabilize the economy and promote growth are expected to create favorable conditions for the Group's operations[189]. Revenue by Segment - Coatings revenue for 2022 was HK$1,639,448,000, down from HK$2,036,898,000 in 2021, representing a decline of approximately 19.5%[59]. - Inks revenue for 2022 was HK$1,340,198,000, compared to HK$1,498,448,000 in 2021, reflecting a decrease of about 10.6%[59]. - Lubricants revenue decreased to HK$299,026,000 in 2022 from HK$333,214,000 in 2021, a decline of approximately 10.3%[59]. - Properties segment revenue for 2022 was HK$10,685,000, slightly up from HK$10,163,000 in 2021[59]. - Other segments generated revenue of HK$74,015,000 in 2022, down from HK$139,329,000 in 2021, indicating a significant decline of about 46.8%[59]. Risk Management and Compliance - The Group's financial instruments are exposed to market risks, including foreign exchange risk, interest rate risk, and liquidity risk, with policies in place to mitigate these risks[80]. - The Group has implemented effective internal controls and risk management procedures to ensure compliance with relevant laws and regulations[83]. Awards and Recognition - The Company received multiple awards in 2022, including recognition as the top brand in Hong Kong and Mainland China in various categories[36].

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，並明確表示概不就因本公告全部或任何 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。 截至二零二二年十二月三十一日止年度 全年業績公告 概要 股東應佔純利創新高達12.2億港元 派發期末股息及特別股息共每股80港仙 • 股東應佔純利達12.2億港元，創歷史新高，主要來自向太盟投資集團出售 集團溶劑業務51%實際權益； • 受疫情及經濟大環境影響，集團銷售額（不計溶劑業務）同比下降16%至港 幣33.6億元； ...