Market Overview - The market experienced a day of adjustment with the ChiNext index leading the decline, closing down 0.96%, while the Shanghai Composite Index fell by 0.47% and the Shenzhen Component Index decreased by 0.85% [1][3] - Over 4,100 stocks in the market declined, with total trading volume in the Shanghai and Shenzhen markets at 1.14 trillion yuan, a decrease of 46.2 billion yuan from the previous trading day [1] Sector Performance - Defensive sectors such as pig farming, innovative pharmaceuticals, banks, and CROs showed gains, while sectors like gold, glyphosate, controllable nuclear fusion, humanoid robots, environmental protection equipment, and consumer electronics faced declines [1][6] - The pig farming sector saw a boost due to news that the industry would not increase the number of breeding sows and would control the weight of fattening pigs to around 120 kg, which was confirmed by several pig farming companies [7] Investment Insights - The agricultural sector is viewed as a stable investment option due to its essential consumer goods nature and strong policy support, with expectations for continued performance from leading companies in the sector [9] - The pharmaceutical sector is experiencing a revival, supported by the recent approval of 11 new drugs by the National Medical Products Administration, covering various treatment areas including oncology and autoimmune diseases [9] - The military equipment sector is gaining attention due to policies supporting low-altitude economy development, with predictions of significant market growth in drone logistics [10] ETF Performance - Various ETFs related to agriculture, livestock, banking, and military equipment showed positive performance, indicating investor interest in these sectors [11] Market Sentiment - The market is expected to continue its oscillation, with a focus on policy developments and potential new investment opportunities as liquidity remains supportive [14]

() GREATVIEW 纷美包装 2024 中期報告 紛美包裝有限公司 股份代號: 0468 (於開曼群島註冊成立之有限公司) 目錄 公司資料 2 財務概要 5 管理層討論及分析 6 其他資料 16 簡明綜合財務報表附註 31 簡明綜合全面利潤表 26 簡明綜合財務狀況表 27 簡明綜合權益變動表 29 簡明綜合現金流量表 30 1 紛美包裝有限公司 • 二零二四年中期報告 公司資料 董事 執行董事 畢樺先生（行政總裁兼主席）（自二零二四年六月二十八日 起調任） 齊朝暉女士（自二零二四年六月二十八日起獲委任） 常福泉先生（自二零二四年六月二十八日起調任為本公司 非執行董事（「董事」）） 魏薇女士（自二零二四年六月十三日起獲委任） 洪鋼先生（主席）（自二零二四年六月二十八日起退任） 王邦生先生（自二零二四年六月二十八日起退任） 非執行董事 常福泉先生（自二零二四年六月二十八日起調任） 獨立非執行董事 LUETH Allen Warren先生 郭凱先生 TANGEN Einar Hans先生（自二零二四年八月三十日起獲 委任） BEHRENS Ernst Hermann先生（自二零二四年六月二十八 （自二零二四 ...

Financial Performance - Revenue for the six months ended June 30, 2024, decreased by approximately 13.9% to approximately RMB 1,627.3 million[2]. - Net profit after tax for the same period increased by approximately 17.7% to approximately RMB 117.5 million[2]. - Sales revenue from the China business segment declined by approximately 23.0%, attributed to a slowdown in the dairy consumption market and intensified competition[2]. - Sales revenue from the international business segment decreased by approximately 2.9%, primarily due to a reduction in sales volume[2]. - Gross profit for the six months ended June 30, 2024, was RMB 330.1 million, compared to RMB 297.0 million in the same period last year[4]. - Operating profit increased to RMB 145.8 million from RMB 125.3 million year-on-year[4]. - The company reported a total comprehensive income of RMB 99.7 million for the period, down from RMB 138.9 million in the same period last year[4]. - Basic and diluted earnings per share for the period were RMB 0.084, compared to RMB 0.075 in the previous year[4]. - The company reported a net cash flow from operating activities of RMB 108,846 thousand for the six months ended June 30, 2024, compared to a negative cash flow of RMB 3,322 thousand in the same period last year[8]. - The gross profit margin for the company was approximately 20.3% for the first half of 2024, compared to 31.4% in the same period of 2023[16]. - The company incurred a net loss of RMB 2,364 thousand from financial asset impairments during the reporting period, compared to a loss of RMB 1,917 thousand in the previous year[16]. - Revenue from dairy products was RMB 1,220,478 thousand, a decrease of 14.7% from RMB 1,431,962 thousand in the same period of 2023[16]. - Revenue from non-carbonated soft drinks was RMB 392,933 thousand, down from RMB 422,238 thousand in the previous year, representing a decline of 6.9%[16]. - The company’s financing income for the period was RMB 7,183 thousand, compared to RMB 8,334 thousand in the same period last year[16]. - Product sales decreased to RMB 1,627,319 thousand, down 13.9% from RMB 1,889,542 thousand in the previous year[17]. - Total expenses for sales, distribution, and administrative costs decreased to RMB 1,510,199 thousand, down 16.1% from RMB 1,801,143 thousand in the previous year[18]. - Income tax expense increased to RMB 33,212 thousand, compared to RMB 29,810 thousand in the previous year, reflecting a higher effective tax rate[19]. - Interest income increased to RMB 5,457 thousand, up from RMB 4,628 thousand in the previous year[18]. - The company reported a foreign exchange gain of RMB 1,726 thousand, down from RMB 3,706 thousand in the previous year[18]. - Net profit before tax increased to RMB 150,709 thousand, up 16.3% from RMB 129,639 thousand in the previous year[21]. - The company’s total liabilities as of June 30, 2024, were not explicitly stated but can be inferred from the changes in equity and assets[30]. Assets and Liabilities - Total assets as of June 30, 2024, were RMB 3,970.6 million, a decrease from RMB 4,028.4 million as of December 31, 2023[6]. - Total equity increased to RMB 3,143.9 million from RMB 2,901.5 million as of December 31, 2023[6]. - The company’s cash and cash equivalents at the end of the period were RMB 780,290 thousand, an increase from RMB 493,069 thousand at the end of June 2023[8]. - The company’s financing activities resulted in a net cash outflow of RMB 6,949 thousand for the six months ended June 30, 2024, compared to an outflow of RMB 106,213 thousand in the same period last year[8]. - As of June 30, 2024, total property, plant, and equipment amounted to RMB 2,762,030,000, reflecting a slight increase from RMB 2,709,925,000 as of December 31, 2023[23]. - The net book value of right-of-use assets as of June 30, 2024, was RMB 59,259,000, down from RMB 65,461,000 as of January 1, 2024[24]. - Inventory as of June 30, 2024, was RMB 771,736,000, a decrease from RMB 859,912,000 as of December 31, 2023, with raw materials decreasing from RMB 678,440,000 to RMB 606,325,000[25]. - Trade receivables net of impairment as of June 30, 2024, were RMB 642,054,000, down from RMB 694,461,000 as of December 31, 2023[26]. - Trade payables decreased to RMB 272,632,000 as of June 30, 2024, down 16.1% from RMB 324,906,000 as of December 31, 2023[36]. - The company’s secured bank borrowings amount to RMB 34,478,000, a decrease of 75.5% from RMB 140,823,000 as of December 31, 2023[34]. Operational Developments - The company plans to continue expanding its market presence and investing in new product development to drive future growth[9]. - The company has invested significantly in data collection and governance to enhance operational efficiency and customer satisfaction[46]. - The new factory in Italy has successfully commenced operations, alleviating production pressure from the German factory and improving customer satisfaction[47]. - The company completed the solar photovoltaic project at its Qingdao factory, expected to generate 2.34 million kWh of electricity in 2024, reducing greenhouse gas emissions by 1,600 tons[48]. - The company continues to focus on digital transformation to optimize resource allocation and improve customer experience[46]. - The company has initiated a recycling program for milk cartons in collaboration with local schools, successfully collecting 4,235.2 kg of cartons[49]. - The company plans to deepen cooperation with existing customers and expand its market share in China through digital transformation and customer base expansion[75]. - The company aims to enhance its international development strategy by strengthening local operations and promoting new product research and development[75]. - The company is focused on increasing the application range of packaging materials and filling equipment products while improving after-sales service[75]. - The company emphasizes sustainable development by continuously improving its capabilities in environmental, social, and economic impacts[75]. Corporate Governance and Shareholder Matters - The company has not purchased, sold, or redeemed any of its listed securities during the six months ended June 30, 2024[76]. - The company has appointed independent financial advisors to provide opinions on the fairness and reasonableness of the offer terms to independent shareholders[72]. - The company is considering a possible voluntary conditional offer in response to an unsolicited and highly conditional offer[72]. - The company has established an independent board committee to provide recommendations to shareholders regarding the offer[72]. - The company has adopted a code of conduct for securities trading by directors, confirming compliance with the standards set forth in the Listing Rules Appendix C3[82]. - The total number of independent non-executive directors fell below the required three after the resignation of Mr. Behrens, but compliance was restored with the appointment of Mr. Tangen as an independent non-executive director effective August 30, 2024[83]. - The company has maintained high standards of corporate governance, confirming adherence to the Corporate Governance Code as of June 30, 2024, despite a deviation regarding the separation of the roles of Chairman and CEO[84]. - The Audit Committee, consisting of two independent non-executive directors and one non-executive director, has reviewed the interim report and unaudited consolidated financial statements for the six months ending June 30, 2024[86]. - Changes in the board include the resignation of Mr. Lueth as CEO and the appointment of Ms. Wei as a non-executive director effective June 13, 2024[87]. - Mr. Behrens has resigned from various committees effective June 28, 2024, and Ms. Qi has been appointed as an executive director[88]. - The company has appointed Mr. Tangen as an independent non-executive director and member of various committees effective August 30, 2024[88]. - The company received a written request from a shareholder on August 20, 2024, to convene a special general meeting to consider appointing proposed candidates as non-executive and independent non-executive directors[89]. - The board is seeking advice on appropriate actions regarding the second shareholder request[89]. - The company will publish its interim report on the Hong Kong Stock Exchange website and its own website in due course[91].

Financial Performance - Revenue for the year ended December 31, 2023, was RMB 3,816.7 million, a decrease of 3.1% from RMB 3,937.0 million in 2022[13] - Gross profit increased to RMB 681.1 million, representing a 15.8% increase compared to the previous year[13] - Net profit rose to RMB 244.2 million, marking a significant increase of 33.9% from RMB 182.4 million in 2022[13] - Basic and diluted earnings per share increased to RMB 0.18, up 28.6% from RMB 0.14 in the prior year[13] - Revenue decreased by approximately 3.1% from about RMB 3,937.0 million in the year ended December 31, 2022, to about RMB 3,816.7 million in the year ended December 31, 2023, primarily due to a decline in sales volume[49] - Revenue from the China segment decreased by approximately RMB 353.0 million or 14.0% to about RMB 2,167.0 million, attributed to intensified competition from local rivals[49] - Revenue from the international segment increased by approximately RMB 232.7 million or 16.4% to about RMB 1,649.7 million, driven by customer optimization and exchange rate fluctuations[49] - Gross profit increased by approximately RMB 93.1 million or 15.8% to about RMB 681.1 million, with the gross margin rising from approximately 14.9% to about 17.8%[51] - Net profit increased by approximately RMB 61.8 million or 33.9% to about RMB 244.2 million, with the net profit margin rising from approximately 4.6% to about 6.4%[58] Assets and Liabilities - Total assets as of December 31, 2023, were RMB 4,028.4 million, a decrease from RMB 4,279.7 million in 2022[23] - Total liabilities decreased to RMB 1,126.9 million from RMB 1,659.7 million in 2022[23] - Total equity increased to RMB 2,901.5 million, up from RMB 2,619.9 million in the previous year[23] - Cash and cash equivalents held as of December 31, 2023, were approximately RMB 866.7 million, up from RMB 607.4 million in the previous year[60] - As of December 31, 2023, the group's borrowings amounted to approximately RMB 140.8 million, a decrease from RMB 223.6 million in 2022[62] - The group's debt-to-equity ratio as of December 31, 2023, was approximately 0.05, down from 0.09 in 2022, reflecting a reduction in outstanding loans[63] - Operating capital as of December 31, 2023, was approximately RMB 1,590.7 million, an increase from RMB 1,299.8 million in 2022[64] Dividends and Shareholder Returns - Proposed final dividend per share is HKD 0.06, with a special dividend of HKD 0.04[13] - The board proposed a final dividend of approximately HKD 84.4 million (RMB 76.5 million), equating to HKD 0.06 per share, for the year ended December 31, 2023[128] - A special dividend of approximately HKD 56.3 million (RMB 51.0 million), equating to HKD 0.04 per share, is also proposed for the same period, to be paid from the share premium account[129] - Shareholder returns are expected to increase, with a proposed dividend of $0.50 per share for the upcoming quarter[77] Market and Growth Strategy - The company plans to expand its market presence and invest in new product development to drive future growth[13] - Management remains optimistic about future performance despite the slight decline in revenue[13] - The company aims to achieve carbon neutrality by 2050 and has been recognized as a 5A-level enterprise by the China Quality Certification Center (CQC) for its environmental and social governance practices[26] - The company is committed to digital innovation and has developed customized packaging solutions, such as the "180ml ultra-fine strip package," to meet international customer needs[26] - The company is focusing on developing environmentally friendly products and diversifying its packaging product range to expand its customer base[31] - The company plans to deepen cooperation with existing customers and expand its customer base to increase market share in China[71] - The company aims to enhance technological innovation and application innovation, expanding the application range of packaging materials and filling equipment[71] - Market expansion plans include entering two new international markets by the end of the next fiscal year[77] Sustainability Initiatives - The company is committed to achieving net-zero carbon emissions by 2025 and has implemented various sustainability initiatives, including recycling programs and educational activities in schools[41] - The company emphasizes sustainable development and the impact on the environment, society, and economy[71] - The company has committed to enhancing environmental protection and minimizing operational impacts, focusing on clean production and resource efficiency[87] - The management emphasized the importance of sustainability initiatives, aiming for a 25% reduction in carbon footprint by 2025[77] Operational Efficiency - The company has invested significantly in digital operations, enhancing data collection and governance to improve operational efficiency and collaboration with customers and suppliers[37] - The company reported a gross margin of 35%, reflecting improved operational efficiency[76] - The company will continue to focus on strict quality and cost control to promote operational excellence[71] Challenges and Risks - The company is facing unique challenges in sustainable packaging, needing to balance quality and safety with resource conservation and environmental impact reduction[32] - The company’s financial condition and operational performance may be affected by various risks and uncertainties identified in the corporate governance report[86] - The international business is facing increased risks due to geopolitical tensions, particularly concerns from clients about trade cooperation following a major shareholder change[199] - The company has decided to restructure its international business to establish a new business framework and a stronger management team to address the challenging geopolitical environment[199] Corporate Governance - The board consists of seven members, including two executive directors, two non-executive directors, and three independent non-executive directors[144] - The company has adopted a board diversity policy, considering factors such as gender, age, cultural background, and professional experience[147] - All directors have confirmed compliance with the corporate governance code for the fiscal year ending December 31, 2023[141] - The company has established clear procedures for the appointment and re-election of directors, ensuring compliance with governance standards[154] - The company has established a comprehensive risk management and internal control system, which has been reviewed and deemed effective and adequate by the board of directors for the year 2023[187] Employee and Management - The group employed approximately 1,791 employees as of December 31, 2023, compared to 1,780 employees in 2022, with total employee benefit expenses amounting to approximately RMB 379.5 million, up from RMB 341.5 million in 2022[69] - Approximately 25.8% of the total workforce, including senior management, are women as of the report date[149] - The company aims to appoint at least one female director to the board by December 31, 2024, to enhance gender diversity[149] Research and Development - The company is investing in new technology development, allocating $10 million for R&D in the upcoming fiscal year[76] - The company plans to continue investing in innovation and R&D to improve product and service quality, ensuring long-term and stable development[85]

Financial Performance - Revenue for the year ended December 31, 2023, decreased by approximately 3.1% to about RMB 3,816.7 million[3] - Net profit after tax increased by approximately 33.9% to about RMB 244.2 million for the same period[3] - Sales revenue from the China business segment decreased by approximately 14.0% due to intensified competition from local competitors[3] - International business sales segment revenue grew by approximately 16.4%, primarily due to customer base optimization and exchange rate fluctuations[3] - Total comprehensive income for the year amounted to RMB 281.6 million, compared to RMB 199.9 million in the previous year[8] - Basic and diluted earnings per share for the year were RMB 0.18, up from RMB 0.14 in the previous year[9] - The company reported a net profit of RMB 244,214,000 for the year ended December 31, 2023, compared to RMB 182,397,000 for the previous year, representing a year-over-year increase of approximately 34%[12] - Operating profit for 2023 was RMB 319,641, an increase of 40.5% compared to RMB 227,483 in 2022[23] - The company's gross profit increased by approximately RMB 93.1 million or 15.8% to about RMB 681.1 million, with the gross margin rising by approximately 2.9 percentage points to about 17.8%[66] - Net profit increased by approximately RMB 61.8 million or 33.9% to about RMB 244.2 million for the year ended December 31, 2023, with a net profit margin rising by about 1.8 percentage points to approximately 6.4%[72] Assets and Liabilities - Total assets as of December 31, 2023, were RMB 4,028.4 million, a decrease from RMB 4,279.7 million in the previous year[10] - Total equity increased to RMB 2,901.5 million from RMB 2,619.9 million in the previous year[10] - Total liabilities decreased to RMB 1,126.9 million from RMB 1,659.7 million in the previous year[11] - The company’s total equity increased to RMB 2,901,495,000 as of December 31, 2023, up from RMB 2,420,034,000 at the beginning of the year, reflecting a growth of approximately 20%[12] - The total value of property, plant, and equipment as of December 31, 2023, was RMB 2,709,925 million, compared to RMB 2,576,141 million in 2022, marking an increase of about 5.2%[33] - The total inventory as of December 31, 2023, was RMB 859,912 million, down from RMB 1,181,862 million in 2022, indicating a decrease of about 27.2%[39] - The total lease liabilities as of December 31, 2023, were RMB 26,879 million, compared to RMB 16,983 million in 2022, indicating an increase of approximately 58.5%[35] Cash Flow and Investments - Cash flow from operating activities for the year was RMB 511,801,000, with a net cash inflow of RMB 442,247,000 after interest and tax payments, compared to RMB 345,186,000 in the previous year[13] - The company’s cash and cash equivalents at year-end were RMB 866,658,000, up from RMB 607,439,000 at the beginning of the year, marking an increase of approximately 43%[13] - The company invested RMB 895,300,000 in financial assets at fair value through profit or loss during the year, compared to RMB 448,300,000 in the previous year, indicating a significant increase in investment activity[13] - The company’s financing activities resulted in a net cash outflow of RMB 95,066,000, reflecting a decrease in borrowing compared to the previous year[13] Revenue Breakdown - Revenue from packaging materials for dairy products was RMB 2,953,697, down 5.2% from RMB 3,115,165 in 2022[24] - Revenue from digital services increased to RMB 5,350, up 23.6% from RMB 4,328 in 2022[24] - Revenue from the China segment decreased by approximately RMB 353.0 million or 14.0% to about RMB 2,167.0 million, attributed to intensified competition from local rivals[64] - Revenue from the international segment increased by approximately RMB 232.7 million or 16.4% to about RMB 1,649.7 million, driven by customer optimization and currency fluctuations[64] Operational Developments - The Italian factory successfully commenced production in 2023, alleviating production pressure from the German factory and significantly improving customer satisfaction[58] - The company expanded solar power generation at its German factory to 4.5 GWh, saving over 20% on purchased electricity and reducing carbon emissions by approximately 2,000 tons annually[60] - The company launched new products, including the "Fengmei Brick 180ml Ultra Slim Package," which received international customer recognition and was quickly introduced to the Thai market[57] - The company aims to expand its customer base and enhance brand image through diversified packaging products and digital solutions[55] Dividends and Shareholder Matters - The company has resumed its dividend policy, proposing a final dividend of HKD 0.06 per share and a special dividend of HKD 0.04 per share[3] - The board proposed a final dividend of approximately HKD 84.4 million (RMB 76.5 million), to be paid from the company's distributable profits, compared to no dividend in 2022[83] - The board proposed a special dividend of approximately HKD 56.3 million (HKD 0.04 per share, equivalent to approximately RMB 51.0 million) for the year ending December 31, 2023, to be paid from the company's share premium account[84] - The company believes that the special dividend is a suitable move to thank shareholders for their support[84] Strategic Plans and Future Outlook - The company plans to continue expanding its market presence and investing in new technologies and products to drive future growth[12] - The company plans to enhance cooperation with existing customers and expand its market share in China through digitalization and innovation strategies[82] - The company aims to achieve net zero carbon emissions by 2025 as part of its sustainability goals[60] - The company is committed to developing environmentally friendly products and has achieved certification for all factories through the Chain of Custody (CoC) system[56] Governance and Compliance - The company has adopted the corporate governance code as per the listing rules and confirmed compliance by all directors for the year ending December 31, 2023[92] - The audit committee has reviewed the accounting standards and practices adopted by the company for the year ending December 31, 2023[96]

Financial Performance - For the six months ended June 30, 2023, the company reported revenue of RMB 1,889.5 million, a 6.5% increase from RMB 1,774.2 million in the same period of 2022[12]. - Gross profit for the same period was RMB 297.0 million, reflecting a 14.3% increase compared to RMB 259.9 million in 2022[12]. - Net profit reached RMB 99.8 million, marking a significant increase of 48.2% from RMB 67.4 million in the previous year[12]. - Basic and diluted earnings per share were RMB 0.075, up 50.0% from RMB 0.050 in 2022[12]. - Revenue for the six months ended June 30, 2023, was RMB 1,889,542 thousand, an increase of 6.5% compared to RMB 1,774,154 thousand in the same period of 2022[82]. - Operating profit increased significantly to RMB 125,290 thousand, compared to RMB 84,367 thousand in the previous year, marking a growth of 48.5%[82]. - Net profit for the period was RMB 99,829 thousand, a 48.3% increase from RMB 67,371 thousand in the prior year[82]. - Revenue from the China segment decreased by approximately RMB 105.9 million or 9.3% to about RMB 1,035.0 million, mainly due to intensified competition leading to a decline in sales volume[33]. - Revenue from the international segment increased by approximately RMB 221.2 million or 34.9% to about RMB 854.5 million, with strong growth in Europe and Southeast Asia[33]. Market and Economic Outlook - The global economic growth forecast for 2023 is 2.1%, indicating a cautious outlook amid ongoing uncertainties[17]. - The company recognizes the challenge of understanding consumer needs in an increasingly segmented market[17]. - The global aseptic packaging industry was valued at approximately 486.6 billion packages in 2022, with a projected compound annual growth rate (CAGR) of 3.4% over the next three years[23]. - The market size of liquid milk in China increased from RMB 209.6 billion in 2018 to RMB 261.3 billion in 2022, with a CAGR of 5.7%[24]. Sustainability and Environmental Initiatives - The company is committed to achieving net-zero carbon emissions by 2025 as part of its sustainability goals[28]. - The company expanded solar power generation at its German factory to 4.5 GWh, saving over 20% on purchased electricity and reducing carbon emissions by approximately 2,000 tons annually[28]. - The company is committed to promoting responsible forest certification for its packaging materials[9]. - The company has focused on developing more environmentally friendly packaging, reducing carbon footprints by approximately 40% compared to traditional aluminum foil packaging[20]. - The company actively participates in industry forums to explore sustainable development paths for beverage paper-based composite packaging[31]. Operational Efficiency and Digitalization - The company continues to invest in digital operations, enhancing data collection and governance to improve operational efficiency and collaboration with suppliers[25]. - The company aims to enhance its digital services to support clients in market expansion and channel management[18]. - The company plans to deepen cooperation with existing customers and expand its market share in China through digitalization initiatives[57]. - The company aims to enhance its international development strategy by strengthening localized operations and promoting new product research and development[57]. Production and Capacity - The company's total annual production capacity as of June 30, 2023, was approximately 33.8 billion packages, an increase from 30 billion packages as of June 30, 2022[27]. - The production volume for the first half of 2023 was approximately 11.2 billion packages, with a utilization rate of about 66.3%, down from 77.0% in the same period of 2022[27]. - In the first half of 2023, the company sold approximately 10.5 billion packages, a decrease of about 5.0% compared to the same period in 2022, primarily due to a decline in sales in the Chinese market[20]. Financial Position and Investments - Cash and cash equivalents as of June 30, 2023, were approximately RMB 493.1 million, down from RMB 607.4 million as of December 31, 2022[46]. - The company's capital expenditure for the six months ended June 30, 2023, was approximately RMB 15.1 million, significantly lower than RMB 88.6 million for the same period in 2022[52]. - Total assets decreased to RMB 3,896,615 thousand as of June 30, 2023, down from RMB 4,279,653 thousand at the end of 2022[84]. - Total liabilities reduced to RMB 1,137,747 thousand, compared to RMB 1,659,729 thousand at the end of 2022, indicating a decrease of 31.4%[87]. - The company reported a net cash outflow from operating activities of RMB 3,322 thousand, a significant decline from a net inflow of RMB 167,082 thousand in the previous year[92]. - The company is exploring various funding options for the expansion plan, including issuing new shares and obtaining bank loans[68]. Shareholder Information - The company reported that as of June 30, 2023, it had issued a total of 1,336,631,000 shares[60]. - JSH Venture Holdings Limited holds a significant stake of 377,132,584 shares, representing 28.22% of the total issued shares[62]. - The company’s major shareholder, Shandong New Jufeng Technology Packaging Co., Ltd., is in the process of acquiring 377,132,584 shares at a price of HKD 2.65 per share, totaling approximately HKD 999.4 million[63]. Governance and Compliance - The company adopted the Corporate Governance Code and confirmed compliance with its provisions as of June 30, 2023[72]. - The audit committee, composed of three independent non-executive directors, has reviewed the interim financial report for the six months ending June 30, 2023[75]. - There were no significant investments or acquisitions planned for the future as of the mid-term report date[68].

Financial Performance - Revenue for the six months ended June 30, 2023, was RMB 1,889.5 million, an increase of 6.5% compared to the same period last year[2] - Net profit after tax grew by 48.2% to RMB 99.8 million for the six months ended June 30, 2023[2] - Sales revenue in the Chinese market decreased by 9.3% due to intensified competition[2] - International business showed strong growth with sales revenue increasing by 34.9%, particularly in Europe and Southeast Asia[2] - Gross profit for the six months ended June 30, 2023, was RMB 297.0 million, compared to RMB 259.9 million in the same period last year[4] - Total comprehensive income for the period was RMB 138.9 million, significantly up from RMB 49.3 million in the previous year[4] - Basic and diluted earnings per share increased to RMB 0.075 from RMB 0.050 year-on-year[4] - The gross profit margin for the six months ended June 30, 2023, was approximately 15.7%, compared to 14.7% in the previous year, reflecting improved operational efficiency[15] - The total segment performance for the six months ended June 30, 2023, was RMB 297,019 thousand, up 14.3% from RMB 259,886 thousand in the same period of 2022[15] - The company reported a net profit of RMB 99,829 thousand for the six months ended June 30, 2023, representing a 48.3% increase from RMB 67,371 thousand in the previous year[15] Cash Flow and Assets - Total assets as of June 30, 2023, were RMB 3,896.6 million, down from RMB 4,279.7 million at the end of 2022[5] - Total liabilities decreased to RMB 1,137.7 million from RMB 1,659.7 million at the end of 2022[6] - Cash and cash equivalents were RMB 493.1 million, down from RMB 607.4 million at the end of 2022[5] - Operating cash flow for the six months ended June 30, 2023, was RMB 53,301 thousand, a decrease of 71.7% compared to RMB 188,211 thousand in the same period of 2022[8] - Net cash used in operating activities was RMB (3,322) thousand, compared to RMB 167,082 thousand in the previous year, indicating a significant decline[8] - Cash and cash equivalents at the end of the period were RMB 493,069 thousand, down from RMB 585,114 thousand at the end of the previous year[8] - The financing activities generated cash inflow of RMB 38,631 thousand, while cash outflow for repayment of borrowings was RMB (140,662) thousand, indicating a net cash outflow from financing activities[8] Expenses and Investments - Total expenses for the six months ended June 30, 2023, amounted to RMB 1,801,143 thousand, compared to RMB 1,721,808 thousand in 2022, reflecting an increase of about 4.6%[17] - Research and development expenses rose to RMB 13,038 thousand in 2023, compared to RMB 9,687 thousand in 2022, indicating a growth of approximately 34.5%[17] - The company recognized a provision for obsolete inventory amounting to RMB 13,640 thousand in 2023, significantly higher than RMB 4,044 thousand in 2022, indicating a rise of about 237.5%[17] - Other income increased to RMB 20,965 thousand in 2023 from RMB 14,729 thousand in 2022, representing a growth of approximately 42.2%[16] - The company’s total capital expenditure for the six months ended June 30, 2023, was approximately RMB 15.1 million, down from RMB 88.6 million as of December 31, 2022[68] Market and Product Development - The company plans to expand its product offerings in the non-carbonated soft drink segment, which has shown significant growth potential[9] - The company is focusing on enhancing its digital services, which contributed RMB 572 thousand in revenue for the six months ended June 30, 2023, compared to RMB 2,368 thousand in the previous year[15] - The company plans to continue developing new products and diversify its packaging solutions to enhance its market presence[44] - The company is focusing on developing environmentally friendly products to enrich its product portfolio[44] - The company continues to focus on developing more environmentally friendly packaging, including aluminum-free packaging that reduces carbon footprint by approximately 40% compared to traditional aluminum foil packaging[45] Employee and Governance - As of June 30, 2023, the company employed approximately 1,785 employees, with total employee benefits expenditure amounting to approximately RMB 175.9 million, an increase from RMB 160.6 million for the same period in 2022[70] - The company has established a performance review system for employee evaluations, which influences decisions on salary increases and promotions[70] - The company has made changes to its board of directors, including the appointment of new independent non-executive directors[76] - The company has adopted a corporate governance code and confirmed compliance with all applicable rules and best practices as of June 30, 2023[74] Sustainability and Corporate Responsibility - The company aims to achieve net-zero carbon emissions by 2025 as part of its commitment to sustainability and corporate social responsibility[50] - The company is actively participating in initiatives to promote sustainable development in the beverage paper-based composite packaging industry[51] - The company emphasizes the importance of environmental, social, and economic impacts, aiming to enhance its sustainability capabilities[71] Economic Outlook - The global economic growth forecast for 2023 is 2.1%, which is lower than the 3.1% growth in 2022, indicating ongoing economic uncertainty[43] - The management highlighted the challenges of understanding consumer needs in a mature and segmented market[43] Shareholder Information - The company did not recommend an interim dividend for the six months ended June 30, 2023, consistent with the previous year[38] - The company has not proposed an interim dividend for the six months ended June 30, 2023, consistent with the previous year[75] Reporting and Compliance - The mid-term report will be published on the Hong Kong Stock Exchange website and the company's website[78] - The company is committed to complying with all relevant information disclosure requirements as per listing rules[78] - The report will contain all necessary information as mandated by the listing regulations[78] - The announcement is dated August 30, 2023, from Beijing, China[78] - The CEO and executive director is Mr. Bi Hua[78] - The board includes Mr. Hong Gang and Mr. Peng Yaojia as non-executive directors[78] - The company has appointed Mr. Sun Yanjun as a replacement director[78] - The independent non-executive directors include Mr. Lueth Allen Warren, Mr. Behrens Ernst Hermann, and Mr. Guo Kai[78] - The company emphasizes transparency and timely communication with stakeholders[78]

Financial Performance - Revenue for the year ended December 31, 2022, was RMB 3,937.0 million, representing a 13.6% increase from RMB 3,464.3 million in 2021[9] - Gross profit decreased by 15.7% to RMB 588.0 million from RMB 697.7 million in the previous year[9] - Net profit fell by 36.0% to RMB 182.4 million compared to RMB 285.1 million in 2021[9] - Revenue increased by approximately 13.6% from about RMB 3,464.3 million for the year ended December 31, 2021, to about RMB 3,937.0 million for the year ended December 31, 2022[46] - Revenue from the China segment rose by about RMB 117.2 million or 4.9% to approximately RMB 2,520.0 million, driven mainly by sales volume growth[46] - International segment revenue increased by approximately RMB 355.5 million or 33.5% to about RMB 1,417.0 million, primarily due to sales volume growth[46] - Gross profit decreased by approximately RMB 109.7 million or 15.7% to about RMB 588.0 million, with gross margin declining by about 5.2 percentage points to approximately 14.9%[48] - Selling costs rose by approximately RMB 582.3 million or 21.0% to about RMB 3,349.0 million, mainly due to increased sales volume and rising raw material prices[47] - Net profit decreased by approximately RMB 102.7 million or 36.0% to about RMB 182.4 million, with net profit margin declining by about 3.6 percentage points to approximately 4.6%[55] Sales and Market Growth - The company achieved a sales volume of over 24 billion packages, marking an approximate growth of 14.2%[23] - The company sold approximately 24 billion packaging units in 2022, representing a 14.2% increase compared to 2021, driven by sales growth in both China and international markets[29] - The Chinese business experienced a sales increase of approximately 6.9% in 2022, supported by a growing consumer focus on health and nutrition[27] - The company reported a 33.5% increase in international sales volume in 2022 despite challenges from the pandemic and geopolitical tensions[27] Product Development and Innovation - The company launched new products including "Greatview® Plant-Based Packaging" and aluminum-free packaging products[23] - The company expanded its product offerings by introducing the "Fengmei Brick 180ml Slim" to North American consumers and enhanced smart packaging solutions in Southeast Asia[29] - The company launched the "Greatview® Planet" sustainable packaging product, which incorporates plant-based polyethylene and has been certified by the Sustainable Biomaterials Roundtable, enhancing brand image and supporting responsible sourcing commitments[31] - The company’s new aluminum-free packaging product replaces traditional aluminum foil with high-performance polymer materials, enhancing recyclability and convenience[31] Sustainability and Corporate Social Responsibility - The company has set mid-to-long-term carbon reduction goals and aims for carbon neutrality by 2050[23] - Greatview was awarded the title of "Demonstration Enterprise for Producer Responsibility in Beverage Paper-Based Composite Packaging" by CRRA[23] - The company received the "Corporate Social Responsibility Practice Award" from the German Chamber of Commerce in China for 2022[23] - The company aims to reduce greenhouse gas emissions by 50% by 2030, using 2016 as the baseline year, and achieve net-zero emissions in its operations by 2040[90] - The company is committed to enhancing environmental protection and minimizing its operational impact on the environment through clean production and resource efficiency[90] - The company emphasizes the importance of sustainable packaging solutions in response to increasing consumer awareness and demand for eco-friendly products[29] - The company has implemented actions around carbon neutrality, waste management, and energy resource usage to continuously reduce its environmental impact[90] Operational Efficiency and Digitalization - Digitalization and decarbonization are identified as key directions and opportunities for future growth amid an uncertain macro environment[23] - The company has invested significantly in data collection and governance to improve operational efficiency and collaboration with customers and suppliers[34] - The company has successfully implemented a printing management system for a well-known Chinese dairy brand, improving efficiency in the packaging supply chain through digital solutions[31] - The company’s digital services continue to support customers in market expansion and channel management, leveraging IoT and mobile internet technologies[34] Corporate Governance and Management - The company’s management team has extensive experience in the industry, with key personnel holding significant roles in various sectors[85][86][87] - The company has adopted the corporate governance code as per the listing rules and confirmed compliance for the year ending December 31, 2022[138] - The board consists of eight members, including two executive directors, two non-executive directors, one alternate director, and three independent non-executive directors[141] - The company has established four committees: Audit Committee, Remuneration Committee, Nomination Committee, and Executive Committee to oversee specific areas of governance[139] - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[138] Risk Management - The company has adopted a "three lines of defense" risk management model, with management as the first line, risk monitoring as the second, and independent oversight by the internal audit department as the third[183][185] - The company identified that the top five liquid milk producers account for over 70% of the domestic market, indicating a high customer concentration risk[190] - Measures have been implemented to diversify the customer base, including maintaining strategic partnerships with major clients and expanding into domestic and international markets[190] - The company continues to monitor and assess risks related to environmental, social, and governance factors, adapting to changes in the business and external environment[186] Shareholder Relations and Dividends - The company has established a dividend policy aimed at providing stable and sustainable returns to shareholders, considering various financial and operational factors[98] - The board did not recommend the payment of a final dividend for the year ended December 31, 2022, consistent with 2021[131] - The company will continue to review its dividend policy and reserves the right to update or modify it at any time[100] Employee and Workforce Management - Employee benefits expenses totaled approximately RMB 3,415 million for the year ended December 31, 2022, compared to RMB 3,233 million in 2021, reflecting a focus on competitive compensation[67] - The company employed approximately 1,780 employees as of December 31, 2022, an increase from 1,754 employees in 2021[67] - As of December 31, 2022, approximately 25.7% of the total workforce, including senior management, are women[146] - The board aims to appoint at least one female director by December 31, 2024, to enhance gender diversity[144] Challenges and External Factors - The ongoing global pandemic and geopolitical tensions continue to pose challenges to supply chain management and economic stability[69] - The company has taken measures to manage risks associated with international geopolitical conflicts and post-pandemic challenges[193]

Financial Performance - Revenue for the year ended December 31, 2022, increased by 13.6% to RMB 3,937.0 million compared to RMB 3,464.3 million in 2021[3] - Net profit after tax for the year was RMB 182.4 million, down from RMB 285.1 million in 2021, impacted by rising raw material costs[3] - Gross profit for the year was RMB 587.9 million, a decrease from RMB 697.7 million in the previous year[5] - The company reported a total comprehensive income of RMB 199.9 million for the year, compared to RMB 216.1 million in 2021[6] - The total comprehensive income for the year ended December 31, 2022, was RMB 182,397,000, compared to RMB 285,072,000 for the previous year, reflecting a decrease of approximately 36.1%[9] - The operating profit for 2022 was RMB 227,483,000, down from RMB 362,318,000 in 2021, indicating a decline of about 37.1%[19] - The net profit for the fiscal year 2022 was RMB 182,397,000, down from RMB 285,072,000 in 2021, indicating a decrease of approximately 36.0%[19] - Basic and diluted earnings per share for the year were RMB 0.14, down from RMB 0.21 in 2021[6] - The total profit attributable to equity holders for 2022 was RMB 182,397,000, compared to RMB 285,072,000 in 2021, reflecting a decrease of approximately 36%[28] Revenue Segmentation - Domestic business in China showed stable performance with sales and revenue growth of approximately 6.9% and 4.9%, respectively[3] - International business experienced strong growth, with both sales and revenue increasing by 33.5%[3] - Revenue from packaging materials for dairy products was RMB 3,115,165,000 in 2022, up from RMB 2,861,575,000 in 2021, reflecting an increase of approximately 8.8%[20] - Revenue from the China segment rose by approximately RMB 117.2 million or 4.9% to about RMB 2,520.0 million, while the international segment saw an increase of approximately RMB 355.5 million or 33.5% to about RMB 1,417.0 million, both driven by sales growth[67] Costs and Expenses - Total costs for the year 2022 amounted to RMB 3,773,250,000, compared to RMB 3,171,886,000 in 2021, representing an increase of about 18.9%[23] - Sales cost increased by approximately RMB 582.3 million or 21.0% to about RMB 3,349.0 million, mainly due to increased sales volume and rising prices of key raw materials[68] - The company incurred research and development expenses of RMB 20,334,000 in 2022, an increase from RMB 18,063,000 in 2021, reflecting a growth of about 12.6%[23] Assets and Liabilities - Total assets as of December 31, 2022, amounted to RMB 4,279.7 million, up from RMB 3,658.5 million in 2021[8] - Total liabilities increased to RMB 1,659.7 million from RMB 1,238.4 million in the previous year[8] - The company reported a total equity of RMB 2,619,924,000 as of December 31, 2022, up from RMB 2,420,034,000 at the beginning of the year, representing an increase of approximately 8.2%[9] - The company’s retained earnings as of December 31, 2022, were RMB 1,839,556,000, an increase from RMB 1,670,035,000 at the beginning of the year, indicating a growth of approximately 10.1%[9] Cash Flow and Liquidity - Cash flow from operating activities for the year ended December 31, 2022, was RMB 345,186,000, an increase of 158.5% from RMB 133,827,000 in the previous year[10] - Cash and cash equivalents rose to RMB 607.4 million, compared to RMB 425.2 million in 2021[7] - The cash and cash equivalents at the end of the year increased to RMB 607,439,000 from RMB 425,242,000, marking a growth of approximately 42.8%[10] Market and Strategic Developments - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[19] - The company aims to enhance customer relationships through digital services and the development of environmentally friendly products[54] - The company launched its first sustainable packaging product, "Greatview® Planet," which incorporates plant-based polyethylene[56] - The company expanded its production of "Greatview Diamond" packaging to its German factory, enhancing product offerings in Europe[55] - The company acquired a factory in Italy to upgrade its supply chain in response to global market demands[54] Corporate Governance and Compliance - The company has adopted several new accounting standards and amendments effective from January 1, 2022, which are not expected to have a significant impact on the financial statements[14] - The company’s financial statements are prepared in accordance with International Financial Reporting Standards and the Hong Kong Companies Ordinance, ensuring compliance with applicable regulations[12] - The board has decided against the proposed sale, considering feedback from major clients and partners, believing it could significantly harm business and financial performance[91] - The company has adopted the corporate governance code as per the listing rules and confirmed compliance by all directors as of December 31, 2022[94] Employee and Operational Metrics - As of December 31, 2022, the company employed approximately 1,780 employees, an increase from 1,754 employees in 2021[85] - Total employee benefits expenditure for the year ended December 31, 2022, was approximately RMB 341.5 million, compared to RMB 323.3 million in 2021, reflecting a year-on-year increase of about 5.5%[85] Challenges and Risks - The company faced high raw material purchasing prices and ongoing supply chain pressures due to multiple factors, including geopolitical tensions and global inflation[61] - Concerns have been raised regarding the potential impact on business relationships with major clients due to the proposed sale, particularly with the company's largest customer[90]

Financial Performance - Revenue for the first half of 2022 was RMB 1,774.2 million, representing a 14.5% increase from RMB 1,549.8 million in the same period of 2021[6] - Gross profit decreased to RMB 259.9 million, down 26.7% from RMB 354.6 million year-on-year[6] - Net profit fell by 53.4% to RMB 67.4 million compared to RMB 144.6 million in the previous year[6] - Basic and diluted earnings per share were RMB 0.05, a decrease of 53.7% from RMB 0.108 in the prior year[6] - Revenue for the six months ended June 30, 2022, was RMB 1,774,154 thousand, an increase from RMB 1,549,787 thousand in the same period of 2021, representing a growth of 14.5%[73] - Gross profit decreased to RMB 259,886 thousand from RMB 354,585 thousand, reflecting a decline of 26.6% year-over-year[73] - Operating profit for the period was RMB 84,367 thousand, down 56.7% from RMB 194,930 thousand in the previous year[73] - Net profit attributable to the owners of the company was RMB 67,371 thousand, a decrease of 53.3% compared to RMB 144,551 thousand in the same period last year[75] - The company reported a total comprehensive income of RMB 49,280 thousand for the period, down from RMB 118,939 thousand in the same period of 2021, a decrease of 58.6%[75] Market and Economic Conditions - Global economic growth is expected to slow to approximately 3.6% in 2022, down from about 6.1% in 2021[10] - The cost of living crisis is impacting global markets, with inflation in OECD countries reaching an average of 9.6%[11] - China's consumer price index growth remains low at around 2%, supporting the continuous growth of the dairy industry[11] - By 2024, annual consumer spending on dairy products in China is expected to exceed RMB 500 billion[11] Operational Highlights - The company remains the third largest supplier of aseptic packaging materials in the liquid food industry[10] - In the first half of 2022, the company sold approximately 11 billion packages, representing an increase of about 18.0% compared to the same period in 2021[16] - The production capacity of the company as of June 30, 2022, was approximately 30 billion packages, with a utilization rate of about 77.0%, up from 64.3% in the previous year[20] - The international and Chinese divisions saw sales increases of approximately 29.1% and 13.3%, respectively, due to new product specifications and expanded customer penetration[16] Sustainability and Innovation - The company launched its first sustainable product, "Greatview® Planet," which incorporates plant-based polyethylene and has been certified by the Sustainable Biomaterials Roundtable[1] - The company is committed to sustainability, helping beverage producers transition to sustainable materials and circular economy practices through its product offerings[18] - The company is actively developing new products and diversifying its packaging solutions to enhance its customer base and brand image globally[1] Financial Position and Cash Flow - Cash and cash equivalents as of June 30, 2022, were approximately RMB 585.1 million, up from RMB 425.2 million as of December 31, 2021[37] - The group's current assets exceeded current liabilities, resulting in working capital of approximately RMB 1,179.9 million as of June 30, 2022, up from RMB 1,069.1 million as of December 31, 2021[42] - Total capital expenditure for the group was approximately RMB 20.4 million as of June 30, 2022, significantly lower than RMB 88.3 million as of December 31, 2021, primarily for the procurement of production machinery and equipment[44] - Operating cash flow for the six months ended June 30, 2022, was RMB 167,082 thousand, a significant increase from a cash outflow of RMB 11,247 thousand in the same period of 2021[83] Challenges and Risks - The company faced significant supply chain challenges due to high raw material prices, global inflation, and disruptions caused by the pandemic and geopolitical tensions[21] - Distribution expenses increased by approximately RMB 20.1 million or 19.3% to about RMB 124.3 million, mainly due to rising transportation costs[33] Corporate Governance - The audit committee consists of three independent non-executive directors and one non-executive director, ensuring compliance with corporate governance standards[69] - The company has adopted the Corporate Governance Code as its own governance code and confirmed compliance as of June 30, 2022[67] Shareholder Information - JSH Venture Holdings Limited, Jardine Strategic Limited, and Jardine Matheson Holdings Limited collectively own 377,132,584 shares, representing 28.22% of the total issued shares[55] - Hill Garden and its associated entities hold 129,000,000 shares, accounting for 9.65% of the total issued shares[55] - Mittleman Investment Management, LLC and Aimia Inc. each own 80,667,762 shares, which is 6.04% of the total issued shares[55] Employee and Management - The group employed approximately 1,761 employees as of June 30, 2022, with total employee benefit expenses amounting to approximately RMB 160.6 million, an increase from RMB 151.0 million for the same period in 2021[47] - The remuneration for key management personnel for the six months ended June 30, 2022, was RMB 5,477,000, a decrease from RMB 6,424,000 for the same period in 2021, reflecting a decline of about 14.7%[134]