Financial Performance - For the six months ended June 30, 2024, the group's revenue was approximately RMB 3,134.98 million, a decrease of 29.35% compared to the same period last year[2]. - The net profit attributable to equity shareholders for the same period was approximately RMB 1,175.88 million, down 35.32% year-on-year; the net profit from core operations was approximately RMB 474.76 million, a decrease of 13.48%[2]. - Basic earnings per share for the period were RMB 0.67[2]. - The group's operating profit for the six months was RMB 904.24 million, compared to RMB 1,152.79 million in the previous year, reflecting a significant decline[4]. - The total comprehensive income for the period was RMB 1,242.51 million, down from RMB 1,721.01 million in the same period last year[6]. - The company's total liabilities increased to RMB 26,806,222 thousand as of June 30, 2024, compared to RMB 26,259,976 thousand as of March 31, 2024, indicating a rise of about 2.1%[10]. - The company reported a profit before tax of CNY 2,065,336,000 for the six months ended June 30, 2023, with significant contributions from various segments[20]. - The group's profit before tax was RMB 1,251.58 million, a decrease of 39.40% year-on-year, mainly affected by the reduced profit from the joint venture company[62]. Revenue Breakdown - The total revenue from customer contracts for the six months ended June 30, 2024, was RMB 3,134,976 thousand, compared to RMB 4,437,539 thousand for the same period in 2023, representing a decrease of approximately 29.4%[14]. - Revenue from waste disposal services was RMB 2,560,851 thousand for the six months ended June 30, 2024, down from RMB 3,397,526 thousand in the same period of 2023, indicating a decline of about 24.7%[14]. - Revenue from energy-saving equipment was RMB 332,561 thousand for the six months ended June 30, 2024, down from RMB 848,406 thousand in the same period of 2023, reflecting a decrease of approximately 60.8%[14]. - Revenue from waste disposal construction services for the six months ended June 30, 2024, was CNY 602,635,000, while for the same period in 2023, it was CNY 1,700,135,000, representing a decrease of approximately 64.6%[18]. - Revenue from waste disposal operational services increased to CNY 1,851,284,000 for the six months ended June 30, 2024, compared to CNY 1,585,166,000 in 2023, reflecting an increase of about 16.8%[18]. - Waste disposal revenue was RMB 2,560.85 million, down 24.63% year-on-year, primarily due to a reduction in construction projects[63][64]. - New energy business revenue increased significantly by 259.08% to RMB 106.40 million, driven by active market expansion[64]. Asset and Liability Management - The group's total assets as of June 30, 2024, were RMB 73,668.16 million, compared to RMB 72,338.07 million as of December 31, 2023[7]. - The total assets decreased to RMB 75,311,315 thousand as of June 30, 2024, from RMB 74,012,694 thousand as of March 31, 2024, showing a decline of about 1.7%[10]. - The company reported a total of RMB 1,798,709 thousand in current liabilities as of June 30, 2024, compared to RMB 1,267,507 thousand as of March 31, 2024, indicating an increase of about 42%[10]. - The company's equity attributable to shareholders increased to RMB 47,097,624 thousand as of June 30, 2024, from RMB 46,315,519 thousand as of March 31, 2024, representing an increase of approximately 1.7%[10]. - The debt-to-asset ratio was 40.78%, an increase of 0.13 percentage points from the end of the previous year[72]. Operational Efficiency and Cost Management - The company continues to focus on operational efficiency and cost management strategies to navigate the challenging market environment[2]. - The gross profit margin for the period was significantly impacted by increased costs, with a gross profit of RMB 1,150.89 million compared to RMB 1,180.80 million last year[4]. - Administrative expenses increased to RMB 307.46 million, up RMB 66 million year-on-year, reflecting a growth of 27.34% primarily due to increased employee compensation and depreciation[70]. - Financial expenses amounted to RMB 353.79 million, a decrease of RMB 2.93 million year-on-year, representing a decline of 0.82% due to the repayment of convertible bonds and lower bank loan interest rates[71]. Market Expansion and Project Development - The company is focusing on expanding its new energy business, which reported a revenue of CNY 31,673,000 for the six months ended June 30, 2023[20]. - The company plans to enhance its operational efficiency and explore new market opportunities in the waste disposal and logistics sectors[19]. - The company has signed 131 projects across 23 provinces and municipalities, including 101 waste-to-energy projects[46]. - The company has multiple projects under application for national approval, indicating ongoing expansion efforts in various regions[49]. - The company is actively pursuing new strategies for market expansion, including the development of new technologies and products[51]. Shareholder and Governance Matters - The company did not declare an interim dividend for the six months ended June 30, 2024[2]. - The board of directors decided not to declare an interim dividend for the six months ending June 30, 2024, compared to no dividend declared for the same period in 2023[91]. - The company aims to maintain shareholder interests through the share repurchase program[95]. - The company confirmed compliance with the standards for securities trading by directors and relevant employees during the reporting period[93]. - The company remains committed to adhering to corporate governance principles as outlined by the Hong Kong Stock Exchange[92].

Investment Rating - The report assigns a "Buy" rating for the company, with a current price of 6.32 HKD and a target value of 10.60 HKD [2]. Core Views - The company is transforming from a shadow stock of "Anhui Conch Cement" to a dual driver of solid waste and cement equity, with expectations of improved cash flow and profitability in the coming years [2]. - The solid waste business is shifting from a "blood-sucking" model to a "blood-generating" model, with a focus on small-scale waste incineration projects [2]. - The profitability of "Anhui Conch Cement" is expected to stabilize, leading to a potential revaluation of the company's equity assets [2]. - The company is projected to achieve significant improvements in free cash flow and dividend income from its investments in joint ventures [2]. Summary by Sections Section 1: Cement Profitability and Solid Waste Investment - The company, as an employee stock ownership platform of the Anhui Conch Group, holds an 18% indirect stake in "Anhui Conch Cement" and focuses on solid waste incineration projects [12]. - The company has experienced fluctuating net profits from 2021 to 2023, with net profits of 69.1, 38.5, and 24.6 billion CNY, respectively, due to high investments in solid waste and declining profits from "Anhui Conch Cement" [2][23]. - Future projections indicate a recovery in free cash flow and stable dividend income from joint ventures, with expected contributions of 5.1, 25.1, and 30.0 billion CNY from 2024 to 2026 [2]. Section 2: Small-Scale Incineration Projects - The company is collaborating with Kawasaki Heavy Industries to develop small-scale waste incineration projects, with operational capacity expected to increase significantly [2]. - The transition from reliance on unstable dividends from "Anhui Conch Cement" to a more stable cash flow from its core business is anticipated to enhance dividend stability [2]. Section 3: Valuation of Cement Equity - The theoretical market value of the company's 18% stake in "Anhui Conch Cement" is estimated at 236 billion HKD, while the company's current market value is only 113 billion HKD [2]. - The report suggests that the profitability of "Anhui Conch Cement" is nearing a bottom, and the company's equity assets are likely to undergo a revaluation [2]. Section 4: Profit Forecast and Investment Recommendations - The company is expected to achieve net profits of 24.4, 26.7, and 28.7 billion CNY from 2024 to 2026, corresponding to PE ratios of 4.3, 3.9, and 3.6 times [2]. - The report concludes with a reasonable value estimate of 9.76 HKD per share, reinforcing the "Buy" rating based on improved cash flow and profitability [2].

Financial Performance - The company reported a significant increase in revenue, achieving a total of RMB 1.2 billion, representing a growth of 15% year-over-year[3]. - The company reported a revenue of RMB 8,015,211,000 for the year ending December 31, 2023, representing a year-over-year decrease of 2.54% from RMB 8,224,356,000 in 2022[18]. - The pre-tax profit for 2023 was RMB 2,872,104,000, down 35.4% compared to RMB 4,439,279,000 in 2022[18]. - The net profit attributable to equity shareholders was RMB 2,463,706,000, a decline of 37.0% from RMB 3,909,927,000 in the previous year[18]. - The company achieved a revenue growth of 1.51% year-over-year, with a focus on improving operational quality and efficiency[25]. - The waste disposal segment generated revenue of RMB 6,155.88 million, a decline of 6.17% year-on-year, attributed to a decrease in ongoing projects[59]. - The energy-saving equipment segment saw a revenue increase of 47.53% to RMB 1,427.83 million, driven by overseas orders[60]. - The new building materials segment reported revenue of RMB 118.15 million, down 7.22% year-on-year due to market impacts[60]. - The port logistics segment achieved revenue of RMB 208.66 million, a decrease of 10.99% due to intensified market competition[60]. - Revenue from mainland China decreased by 7.84% to RMB 7,176.94 million, accounting for 89.54% of total revenue[64]. - Revenue from the Asia-Pacific region (excluding mainland China) increased by 672.72% to RMB 838.27 million, contributing 10.46% to total revenue[64]. - The company reported a revenue of RMB 8,015.21 million, an increase of 1.51% year-on-year[58]. Market Expansion and Strategy - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by 2025[3]. - A strategic acquisition of a local competitor is anticipated to enhance production capacity by 30%[3]. - The company aims to enhance its market expansion and product development in the new energy materials sector, focusing on technological innovation[26]. - The company plans to continue its strategic expansion through both external acquisitions and internal development to enhance business scale and efficiency[25]. - The company is actively expanding its waste source channels and developing steam sales as part of its business strategy[30]. - The company aims to increase its market share in the waste management sector through strategic project development and international expansion[38]. - The company is pursuing mergers and acquisitions of waste-to-energy project companies to enhance operational capabilities[29]. Sustainability and Environmental Commitment - The management emphasized a commitment to sustainability, aiming for a 40% reduction in carbon emissions by 2030[3]. - The company is committed to sustainability and environmental responsibility through its waste disposal initiatives and energy recovery projects[39]. - The company has implemented a dual-driven industry model focusing on "environmental protection + recycling," with 118 projects established nationwide and overseas in the environmental industry[174]. - The company aims to enhance market share in the new energy business by strengthening market system construction and accelerating product certification[174]. Operational Efficiency and Cost Management - The company aims to reduce operational costs by 5% through improved efficiency measures[3]. - The company is focused on maximizing operational efficiency and ensuring timely project completions to safeguard shareholder interests[54]. - The company plans to enhance operational quality in the waste disposal sector through standardized management and exploring new business opportunities[54]. Research and Development - Research and development investments increased by 12%, focusing on innovative building materials technology[3]. - The company is committed to optimizing the lithium battery recycling process and expanding its marketing network to improve market cooperation[174]. Corporate Governance - The company has adopted the Corporate Governance Code as per the Stock Exchange Listing Rules, ensuring compliance with all applicable principles and provisions during the reporting period[93]. - The board consists of a diverse group of members, including three independent non-executive directors, fulfilling the requirement of having at least one with appropriate professional qualifications[101]. - The company has implemented a standard code for securities trading by directors and relevant employees, ensuring compliance with insider trading regulations[95]. - The board has established three board committees: Audit Committee, Remuneration and Nomination Committee, and Strategic, Sustainability, and Risk Management Committee, each with defined responsibilities[119]. - The company will continue to review and enhance its corporate governance practices to align with the Corporate Governance Code[93]. Employee and Shareholder Relations - The total employee compensation for the year was approximately RMB 702.5 million, an increase from RMB 585.3 million in the previous year, with the number of employees rising to 6,225 from 5,551[91]. - The company has established multiple communication channels with shareholders, including announcements on the stock exchange and its website[169]. - The company emphasizes continuous improvement in risk management to enhance operational quality and achieve development goals[146]. Financial Position and Assets - Total assets increased to RMB 80,460,379,000 in 2023, up 6.4% from RMB 75,379,877,000 in 2022[19]. - Total liabilities rose to RMB 32,707,661,000, an increase of 15.7% from RMB 28,207,473,000 in 2022[19]. - Cash and cash equivalents amounted to RMB 3,094.52 million as of December 31, 2023[78]. - The net cash generated from operating activities for the period was RMB 1,985.76 million, an increase of RMB 175.38 million year-on-year, primarily due to the increase in garbage power generation projects[81]. Project Development and Capacity - The company signed 15 new projects during the reporting period, including 8 municipal solid waste disposal projects and 6 lithium battery recycling projects[28]. - The company has a total of 132 signed projects across 25 provinces and municipalities in China and Vietnam, including 103 waste-to-energy projects[28]. - The company has multiple waste disposal projects under construction, with a total processing capacity of 1,523,000 tons per year (42,350 tons per day) across various locations[38]. - New projects include a waste-to-energy facility in Chongqing Liangping with a capacity of 140,000 tons per year (400 tons per day), expected to be completed in January 2024[39]. - The company is expanding its operations internationally, with a project in Vietnam (Bac Ninh) that has a processing capacity of 110,000 tons per year (300 tons per day), scheduled to be operational by November 2023[38]. Risk Management - The company has implemented a comprehensive risk management policy to identify and manage significant risks associated with its business operations[144]. - The board is responsible for evaluating the effectiveness of the company's risk management and internal control systems, ensuring shareholder investment protection[144]. - The company has established a culture of risk awareness and internal control among all employees[146].

Financial Performance - For the fiscal year ending December 31, 2023, the group's revenue was approximately RMB 8,015.21 million, an increase of 1.51% compared to RMB 7,896.32 million in 2022[2]. - The net profit attributable to equity shareholders for the fiscal year was approximately RMB 2,463.71 million, a decrease of 36.04% from RMB 3,852.18 million in 2022[2]. - The profit from continuing operations attributable to equity shareholders was approximately RMB 801.24 million, down 12.47% from RMB 915.39 million in 2022[2]. - The gross profit for the year was RMB 2,178.71 million, compared to RMB 2,228.75 million in the previous year[4]. - The operating profit for the year was RMB 1,937.55 million, down from RMB 2,034.88 million in 2022[4]. - The total comprehensive income for the year was RMB 2,368.67 million, significantly lower than RMB 15,644.98 million in 2022[7]. - Basic earnings per share from continuing operations were RMB 1.36, down from RMB 2.12 in the previous year[6]. - The company reported a significant increase in other income, netting RMB 414.66 million compared to RMB 357.51 million in 2022[4]. - The financial expenses for the year were RMB 727.91 million, an increase from RMB 599.44 million in 2022[4]. - The company reported a pre-tax profit of RMB 2,872,104 thousand, with a significant portion attributed to various business segments[27]. Revenue Breakdown - Revenue from waste disposal services amounted to RMB 6,155,877,000 in 2023, compared to RMB 6,561,015,000 in 2022, indicating a decline of about 6.2%[21]. - The revenue from energy-saving equipment surged to RMB 1,427,830,000 in 2023, up from RMB 967,810,000 in 2022, reflecting a significant increase of approximately 47.5%[18]. - Revenue from new energy business reached RMB 104,693,000 in 2023, a substantial increase from RMB 5,734,000 in 2022, representing a growth of over 1,700%[18]. - The company has engaged in transactions with local government agencies in China, with revenue from these arrangements exceeding 10% of total revenue, amounting to RMB 3,810,860,000 in 2023[21]. - Revenue from external customers reached RMB 7,583,707 thousand, contributing to a total revenue of RMB 8,015,211 thousand[24]. Assets and Liabilities - Non-current assets increased to RMB 72,338,065 thousand in 2023 from RMB 66,016,132 thousand in 2022, representing an increase of approximately 3.9%[8]. - Total assets reported were RMB 80,460,379 thousand, an increase from RMB 75,379,877 thousand in the previous year[30]. - Total liabilities amounted to RMB 32,707,661 thousand, up from RMB 28,207,473 thousand year-over-year[30]. - The company's net asset value stood at RMB 47,752,718 thousand in 2023, compared to RMB 47,172,404 thousand in 2022, reflecting a growth of about 1.2%[11]. - Current liabilities, including bank loans, increased to RMB 1,267,507 thousand in 2023 compared to RMB 690,590 thousand in 2022, marking an increase of approximately 83.4%[11]. Cash Flow and Investments - The net cash generated from operating activities for the year 2023 was RMB 1,985.76 million, an increase of RMB 175.38 million compared to 2022, primarily due to the increase in the garbage power generation projects[119]. - The net cash used in investing activities for the year 2023 was RMB 4,574.38 million, a decrease of RMB 273.86 million compared to 2022, mainly due to reduced capital expenditures on properties, plants, equipment, and intangible assets[120]. - The net cash generated from financing activities for the year 2023 was RMB 1,378.17 million, a decrease of RMB 3,401.75 million compared to 2022, primarily due to the repayment of convertible bonds[120]. - The company signed four independent equity transfer agreements to acquire stakes in four entities engaged in garbage power generation and fly ash disposal projects for a total consideration of RMB 478.69 million[124]. Dividends and Shareholder Returns - The board of directors proposed a final cash dividend of HKD 0.20 per share, reduced from HKD 0.40 per share in 2022[2]. - The company declared a final dividend of HKD 0.20 per share for 2023, totaling approximately RMB 328,042,000, compared to RMB 647,794,000 in 2022[63]. - The company repurchased a total of 3,039,500 shares during the reporting period, at a total cost of HKD 18,731,410[136]. Operational Highlights - The group received approximately 16.037 million tons of municipal waste, representing a year-on-year increase of 32%[85]. - The group processed about 13.71 million tons of municipal waste, reflecting a year-on-year growth of 33%[85]. - The total electricity generated was approximately 4.469 billion kWh, which is a year-on-year increase of 29%[85]. - The group added 15 new machine sets that operated continuously for over 365 days during the reporting period[85]. - The company has established multiple facilities with processing capacities ranging from 110,000 tons to 490,000 tons per year, with the latest facility in Hebei scheduled to be completed in November 2023[60][88]. Future Outlook and Strategy - The company plans to implement a new five-year development plan starting in 2024, focusing on improving quality and efficiency while safeguarding shareholder interests[130]. - The group aims to enhance operational quality in the waste disposal sector through standardized and lean management practices, seeking both external and internal growth opportunities[131]. - In the new energy sector, the company intends to strengthen market system construction and enhance market share in the power battery and energy storage battery consumption markets[132]. - The company is actively pursuing expansion in various provinces, with several projects currently under application for approval[60]. Compliance and Governance - The company confirmed compliance with the corporate governance code as per the listing rules during the reporting period[138]. - The board of directors has adopted a standard for securities trading that meets or exceeds the requirements of the listing rules[139]. - The annual performance for the year ending December 31, 2023, has been reviewed by the audit committee[140].

China Conch Venture Holdings Limited 中國海螺創業控股有限公司 (於開曼群島註冊成立的有限公司) 股份代號:586 RIM REPORT 2 創業上市十周年 2013-202 CONCH VENTURE | --- | |-------------------------------------------------------------------------------------------| | | | 本中期報告的中·英文版本已登載於本公司網站http://www.conchventure.com([ 本公司網站 ]) 。已 | | 選擇或被視為同意透過本公司網站收取本公司的公司通訊(「公司通訊」）的股東・如因任何理由在收 | | 取或下載於本公司網站登載的公司通訊有任何困難·只要提出要求·均可立刻獲免費發送公司通訊 | | 的印刷本。 | | 股東可隨時更改收取公司通訊的方式的選擇(即收取公司通訊的印刷本·或透過本公司網站取得公 | | 司通訊）。 | | 股東可於任何時間以書面通知本公司的股份過戶登記處香港中央證券登記有限公司,地址為香港灣 | | 仔皇后 ...

Financial Performance - For the six months ended June 30, 2023, the group's revenue was approximately RMB 4,437.54 million, an increase of 16.03% compared to the same period last year[2]. - For the same period, the net profit attributable to equity shareholders of the group was approximately RMB 1,817.97 million, a decrease of 25.17% year-on-year; the net profit from continuing operations attributable to equity shareholders was approximately RMB 548.70 million, an increase of 1.21%[2]. - Basic earnings per share for the six months ended June 30, 2023, was RMB 1.00[2]. - The group's gross profit for the period was RMB 1,180.80 million, compared to RMB 1,132.22 million in the previous year[4]. - The operating profit for the period was RMB 1,152.79 million, up from RMB 1,072.05 million year-on-year[4]. - The group's total comprehensive income for the period was RMB 1,721.01 million, compared to RMB 14,159.00 million in the previous year[8]. - The profit before tax for the period was RMB 2,065.34 million, down from RMB 2,680.87 million year-on-year[4]. - The company reported a decrease in profit from joint ventures, with a share of profit of RMB 1,269.26 million compared to RMB 1,887.42 million in the previous year[4]. - Total revenue for the six months ended June 30, 2023, was RMB 4,437,539 thousand, compared to RMB 4,152,385 thousand for the same period in 2022, representing an increase of approximately 6.9%[17]. - Revenue from waste disposal services was RMB 3,397,526 thousand for the six months ended June 30, 2023, up from RMB 3,054,303 thousand in the same period of 2022, reflecting a growth of about 11.3%[20]. - Revenue from energy-saving equipment sales reached RMB 848,406 thousand, an increase of 44.2% from RMB 588,811 thousand in the previous year[17]. - The revenue from port logistics services was RMB 109,122 thousand, slightly down from RMB 119,616 thousand in the same period last year, indicating a decrease of approximately 8.3%[17]. Assets and Liabilities - Non-current assets increased to RMB 69,900,967 thousand from RMB 66,016,132 thousand, reflecting a growth of approximately 4.4%[11]. - Current assets rose significantly to RMB 14,030,109 thousand, up from RMB 9,363,745 thousand, marking an increase of about 49.5%[12]. - Current liabilities increased to RMB 11,230,954 thousand from RMB 10,353,664 thousand, representing a rise of approximately 8.4%[13]. - The company's cash and cash equivalents surged to RMB 8,407,577 thousand, compared to RMB 4,361,637 thousand, indicating a growth of around 92.5%[13]. - The total assets minus current liabilities stood at RMB 72,700,122 thousand, up from RMB 65,026,213 thousand, reflecting an increase of about 11.5%[13]. - The company's goodwill increased to RMB 182,361 thousand from RMB 134,927 thousand, showing a growth of approximately 35.1%[11]. - The total equity attributable to shareholders increased to RMB 45,773,649 thousand from RMB 44,862,013 thousand, a rise of about 2%[13]. - The company’s non-current liabilities rose to RMB 24,418,216 thousand from RMB 17,853,809 thousand, indicating an increase of approximately 36.7%[13]. - The company’s total liabilities as of June 30, 2023, were RMB 35,649,170 thousand, compared to RMB 35,649,170 thousand in the previous year, indicating stable financial leverage[22]. Operational Highlights - The company has launched 126 projects across 25 provinces and autonomous regions in China, with an annual waste disposal capacity of approximately 2.1244 million tons (59,190 tons per day)[57]. - The group successfully signed contracts for two waste-to-energy projects in Yunnan Yuan Yang and Hubei Jing Shan, and an additional waste transfer project in Anhui Shi Tai[58]. - The group received approximately 7.558 million tons of municipal waste during the reporting period, representing a year-on-year increase of 35%[59]. - The group processed approximately 6.576 million tons of municipal waste, which is a year-on-year increase of 39%[59]. - The total electricity generated was approximately 2.154 billion kWh, reflecting a year-on-year growth of 33%[59]. - The average electricity generation per ton of waste processed was approximately 328 kWh[59]. - The group has a robust pipeline of waste-to-energy projects with significant processing capacities across various locations[60][61]. - The company is focusing on strategic acquisitions and expansions to strengthen its market position and operational efficiency[63]. - The completion of new facilities is expected to enhance the company's ability to meet growing market demand and improve profitability[64]. Research and Development - Research and development costs for the six months ended June 30, 2023, were RMB 33,706 thousand, compared to RMB 31,904 thousand for the same period in 2022, reflecting an increase of 5.6%[31]. - The company is committed to sustainable development and has been enhancing its operational efficiency through innovative marketing models and collaborations with industry leaders[56]. - The group plans to continue enhancing technology research and development, optimizing processes to improve efficiency and reduce energy consumption and emissions[105]. Corporate Governance - The board of directors confirmed that the company has adhered to the corporate governance code during the reporting period[107]. - The audit committee reviewed the unaudited interim results for the six months ending June 30, 2023, and found no disagreement with the accounting treatment adopted by the company[110]. - The interim results announcement will be available on the Hong Kong Stock Exchange and the company's website, with the interim report to be sent to shareholders later[111].

Financial Performance - China Conch Venture Holdings Limited reported a revenue of RMB 5.2 billion for the fiscal year 2022, representing a year-on-year increase of 15%[6]. - The company achieved a net profit of RMB 1.1 billion, which is a 10% increase compared to the previous year[6]. - The company's revenue for the year ended December 31, 2022, was RMB 8,224,356,000, a decrease of 1.5% compared to RMB 8,350,485,000 in 2021[12]. - The pre-tax profit for 2022 was RMB 4,439,279,000, down 44.5% from RMB 7,933,461,000 in 2021[12]. - The net profit attributable to equity shareholders for 2022 was RMB 3,909,927,000, a decrease of 47.5% compared to RMB 7,458,129,000 in 2021[12]. - The company's revenue from continuing operations was RMB 7,896.32 million, representing an increase of 18.20% year-on-year[47]. - Revenue for the reporting period reached RMB 7,896.32 million, an increase of 18.20% compared to RMB 6,680.74 million in the previous year[48]. - The revenue from waste disposal was RMB 6,561.02 million, a year-on-year increase of 14.23%, driven by new project launches and acquisitions[49]. - The gross profit margin for the group improved to 28.23%, up 3.57 percentage points year-on-year[55]. - The company's net profit attributable to equity shareholders was RMB 3,852.18 million, a decrease of 44.21% compared to the previous year[48]. Market Expansion and Strategy - The company has set a revenue target of RMB 6 billion for the fiscal year 2023, reflecting an expected growth of 15%[6]. - User data indicates a growth in customer base by 20%, reaching a total of 1.5 million users by the end of 2022[6]. - The company is expanding its market presence in Southeast Asia, with plans to establish two new production facilities by the end of 2023[6]. - A strategic acquisition of a local competitor is expected to enhance market share by 10% in the next fiscal year[6]. - The company is actively expanding its food waste disposal business, with 13 signed projects involving a total processing capacity of approximately 324,000 tons per year[36]. - The company is focusing on enhancing its processing capabilities and expanding its market presence through new projects and acquisitions[36]. Research and Development - Research and development investments increased by 30% in 2022, focusing on sustainable technologies and innovative materials[6]. - The company is investing 100 million in R&D for innovative logistics solutions over the next three years[186]. Operational Efficiency - The company aims to reduce operational costs by 5% through improved efficiency measures in 2023[6]. - The company is focusing on enhancing project operation efficiency through technical upgrades and professional management[28]. - The management team emphasized the importance of sustainability in future strategies, aiming for a 30% reduction in carbon emissions by 2030[186]. Environmental and Social Governance - The company has been recognized with an upgraded ESG rating from MSCI, moving from "BBB" to "A" for its 2021 report[23]. - The company emphasizes its commitment to environmental protection and has published an independent Environmental, Social, and Governance report[174]. - The company is committed to avoiding any form of harassment or discrimination in the workplace, ensuring equal employment and development opportunities for all employees[101]. Corporate Governance - The board of directors confirmed compliance with corporate governance codes and standards throughout the reporting period, ensuring transparency and accountability[78]. - The board held a total of seven meetings during the reporting period, with at least one meeting each quarter to discuss and approve the company's operational strategies and financial plans[83]. - The company has established an independent evaluation mechanism for the board to ensure independent perspectives and opinions are considered in decision-making[83]. - The company has adopted a board diversity policy, aiming for at least 80% of board members to have a university education and at least 60% to hold accounting or other professional qualifications[99]. Employee and Management Information - The total number of employees as of December 31, 2022, is approximately 5,551, a decrease from 7,090 in 2021, primarily due to the spin-off of a subsidiary[148]. - Total employee compensation for the year ended December 31, 2022, was approximately RMB 585.26 million, compared to RMB 374.33 million in 2021, reflecting a significant increase[149]. - The company continues to focus on shareholder interests through share buybacks and maintaining a strong employee compensation policy[149]. Related Party Transactions - The company has complied with the disclosure requirements under Chapter 14A of the Listing Rules for related party transactions for the year ended December 31, 2022[163]. - The total transaction amount with Kawasaki Heavy Industries under the Kawasaki General Agreement for the year ended December 31, 2022, was RMB 14.66 million, which did not exceed the annual transaction cap of RMB 62.4 million[160]. Risk Management - The company faces significant risks including macroeconomic pressures, increased competition in waste disposal projects, and challenges in international operations[171]. - The company emphasizes compliance with legal and regulatory requirements to mitigate operational risks[172]. - The company has established a risk management and internal control system to safeguard shareholder investments and assets, complying with the Corporate Governance Code[110].

Financial Performance - For the fiscal year ending December 31, 2022, the group's continuing operations revenue was approximately RMB 7,896.32 million, an increase of 18.20% compared to RMB 6,680.74 million in 2021[2] - The net profit attributable to equity shareholders from continuing operations for the fiscal year was approximately RMB 3,852.18 million, a decrease of 44.21% from RMB 6,905.39 million in 2021[2] - The net profit from the main business (excluding share of profits from joint ventures) was approximately RMB 915.39 million, an increase of 22.53% compared to RMB 747.07 million in 2021[2] - The basic earnings per share from continuing operations for the fiscal year was RMB 2.12, down from RMB 3.80 in 2021[2] - The board of directors proposed a final cash dividend of HKD 0.40 per share, down from HKD 0.70 per share in 2021[2] - The group's gross profit for the fiscal year was RMB 2,228.75 million, compared to RMB 1,647.46 million in 2021[4] - The operating profit for the fiscal year was RMB 2,034.88 million, an increase from RMB 1,411.17 million in 2021[4] - The total profit before tax for the fiscal year was RMB 4,372.23 million, down from RMB 7,258.53 million in 2021[4] - The total net profit for the year was RMB 16,189.59 million, significantly higher than RMB 7,577.16 million in 2021, largely due to the disposal of discontinued operations[6] - The company's annual profit for 2022 reached RMB 16,189,586 thousand, a significant increase from RMB 7,577,156 thousand in 2021, representing a growth of approximately 113%[7] - Total comprehensive income for the year amounted to RMB 15,644,982 thousand, compared to RMB 7,659,242 thousand in the previous year, indicating an increase of about 104%[7] Assets and Liabilities - The company's non-current assets, including property, plant, and equipment, totaled RMB 4,077,828 thousand, up from RMB 1,212,651 thousand in 2021, reflecting a growth of approximately 236%[8] - Intangible assets increased to RMB 16,688,910 thousand in 2022 from RMB 10,007,101 thousand in 2021, marking a rise of around 67%[8] - Current liabilities, including bank loans, amounted to RMB 10,353,664 thousand, compared to RMB 5,139,230 thousand in the previous year, showing an increase of about 102%[9] - The company's total assets, after deducting current liabilities, reached RMB 65,026,213 thousand, up from RMB 59,900,837 thousand in 2021, indicating a growth of approximately 8%[9] - The net asset value of the company stood at RMB 47,172,404 thousand, compared to RMB 46,657,436 thousand in the previous year, reflecting a slight increase of about 1%[9] - The company’s cash and cash equivalents increased to RMB 4,361,637 thousand from RMB 2,560,045 thousand in the previous year, representing a growth of approximately 70%[9] - The company’s total equity attributable to shareholders was RMB 44,862,013 thousand, a slight decrease from RMB 45,269,794 thousand in 2021, indicating a decline of about 1%[9] - As of December 31, 2022, the group's net current liabilities amounted to approximately RMB 990 million, primarily due to the RMB 3,880 million convertible bonds maturing in September 2023[11] Revenue Breakdown - Revenue from waste disposal services was RMB 6,561,015 thousand in 2022, up from RMB 5,743,801 thousand in 2021, indicating a growth of about 14.3%[15] - Revenue from energy-saving equipment sales increased to RMB 967,810 thousand in 2022, compared to RMB 569,811 thousand in 2021, reflecting a growth of approximately 69.9%[15] - Revenue from port logistics services was RMB 234,414 thousand in 2022, slightly up from RMB 224,276 thousand in 2021, showing a growth of about 4.8%[15] - The group reported a total of RMB 328,034 thousand in revenue from discontinued operations in 2022, down from RMB 1,669,747 thousand in 2021, indicating a decline of approximately 80.4%[15] - Revenue from waste disposal construction services was RMB 3,884,903,000, while waste operation services revenue was RMB 2,456,540,000, showing significant growth in operational services[18] Investments and Projects - The company has established 118 environmental protection projects across 25 provinces and regions in China and Vietnam, with an annual waste processing capacity of approximately 20.32 million tons[83] - The company is focusing on the development of two major business segments: municipal waste disposal and new energy materials[81] - The company has successfully launched the first phase of the lithium iron phosphate positive electrode material project and commenced construction of the negative electrode material project[82] - The company has ongoing projects in Yunnan Yanshan (Phase 1) and Jiangxi Shanggao, each with a processing capacity of 110,000 tons per year, completed in August 2017 and February 2019 respectively[86] - The company has a total of 31 projects listed, showcasing significant growth in waste processing capacity across various provinces[86] Operational Efficiency and Future Plans - The company aims to optimize its industrial structure and enhance its competitive position through technological innovation and project quality improvement[81] - The company is focusing on expanding its market presence through the establishment of new facilities in regions such as Inner Mongolia and Hunan[86] - The company plans to complete several projects in 2023, including Anhui Shucheng (140,000 tons/year) and Jilin Shulan (140,000 tons/year) by April 2023[88] - The company is also developing a new project in Shaanxi with a capacity of 140,000 tons/year, expected to be completed by November 2023[88] - The total projected capacity from new projects in 2023 is 372,000 tons per year (10,400 tons per day)[88] Employee and Administrative Costs - Employee costs for continuing operations amounted to RMB 585,257 thousand in 2022, up from RMB 374,334 thousand in 2021, reflecting a growth of about 56.3%[38] - Administrative expenses rose by 31.60% year-on-year to RMB 531.58 million, primarily due to increased employee salaries and R&D expenses[107] Tax and Regulatory Compliance - The effective tax rate for the company's subsidiaries in China was 25%, with certain high-tech enterprises benefiting from a reduced rate of 15%[47] - The company continues to monitor tax regulations and expects to manage its tax liabilities effectively in the future[46] - The company has confirmed that the withholding tax on dividends payable from undistributed profits in China is RMB 55,500,000 for 2022[49] Shareholder Returns - The final dividend per ordinary share for 2022 is HKD 0.40, totaling approximately HKD 725,194,000, equivalent to about RMB 647,794,000[58] - The company repurchased a total of 13,780,000 shares during the reporting period, with a total cost of HKD 276,985,110[136]

Financial Performance - Revenue for the first half of 2022 reached RMB 3,824,351, an increase of 21.50% compared to RMB 3,147,617 in the same period of 2021[22] - Profit before tax decreased by 19.85% to RMB 2,680,867 from RMB 3,344,772 year-on-year[22] - The profit attributable to equity shareholders of the company was RMB 2,429,553, down 24.21% from RMB 3,205,615 in the previous year[22] - The profit from core business attributable to equity shareholders was RMB 542,136, representing a 16.43% increase from RMB 465,652 in the same period last year[22] - The company achieved revenue of RMB 3.824 billion, representing a year-on-year growth of 21.50%[25] - The net profit attributable to the parent company was RMB 542 million, an increase of 16.43% year-on-year[25] - The revenue from the waste disposal segment was RMB 3,054.30 million, showing a year-on-year growth of 14.52%, driven by the commissioning of nine new projects and acquisitions[47] - The energy-saving equipment segment achieved revenue of RMB 588.81 million, a significant increase of 92.21% due to higher order volumes[48] - The gross profit margin for the group improved to 29.61%, up 3.99 percentage points year-on-year, driven by higher-margin operational projects in waste disposal and energy-saving equipment[52] - Other net income rose by 115.77% year-on-year to RMB 186.57 million, primarily due to increased bank interest income and government subsidies[53] Assets and Liabilities - Total assets as of June 30, 2022, amounted to RMB 72,214,892, reflecting a 4.78% increase from RMB 68,919,066 at the end of 2021[23] - Total liabilities increased by 19.63% to RMB 26,631,769 from RMB 22,261,630 year-on-year[23] - The equity attributable to equity shareholders of the company decreased by 3.93% to RMB 43,488,729 from RMB 45,269,794 at the end of 2021[23] - Non-current assets grew by 11.30% to RMB 61,975.31 million, driven by investments in property, plant, and equipment[59] - The balance of bank loans increased by RMB 5,483.95 million to RMB 15,741.78 million, primarily due to new bank loans during the reporting period[64] - Cash and cash equivalents stood at RMB 5,573.69 million as of June 30, 2022, with major currencies being RMB, HKD, and USD[62] - The company's total liabilities increased to RMB 7,579,876 thousand from RMB 5,139,230 thousand, representing a rise of approximately 47.5%[104] Market Expansion and Strategic Initiatives - The company is focusing on expanding its market presence and enhancing its product offerings in the new materials sector[5] - Future outlook includes strategic initiatives aimed at improving operational efficiency and exploring potential mergers and acquisitions[5] - The company is investing in new technologies to drive innovation and sustainability in its operations[5] - The company is actively expanding its market presence in the renewable energy materials sector and enhancing its project management capabilities[26] - The company is focusing on increasing its processing capacity through both new constructions and acquisitions, enhancing its competitive position in the market[34] - The company is developing new projects in Vietnam and various provinces in China, indicating a strategy for international expansion[35] - The company plans to enhance its operational management and seek market expansion in the waste disposal sector to capture new development opportunities[43] - The company plans to continue expanding its market presence and developing new technologies in waste disposal and logistics services[110] Operational Efficiency and Management - The company aims to improve project management standards and optimize technical processes to enhance operational efficiency[26] - The company is focusing on enhancing product innovation and strengthening partnerships with industry leaders and academic institutions for technology development[44] - The company plans to optimize project management and reduce energy consumption per unit to enhance project efficiency and competitiveness[43] Shareholder and Equity Information - The company did not declare an interim dividend for the six months ended June 30, 2022[77] - The company repurchased a total of 13,780,000 shares during the reporting period, with a total cost of HKD 276,985,110[85] - The repurchase aimed to enhance shareholder value[86] - The company’s directors and senior management held a total of 47,680,000 shares, representing approximately 2.63% of the company[82] - The company’s major shareholders were disclosed in accordance with the Securities and Futures Ordinance[81] Research and Development - Research and development costs rose to RMB 31,904 thousand in 2022, compared to RMB 15,319 thousand in 2021, representing a 108.5% increase[142] - The company is focusing on the development of new energy materials and enhancing communication with industry leaders to innovate production technologies[26] Cash Flow and Financing Activities - The net cash generated from operating activities for the first half of 2022 was RMB 866.52 million, an increase of RMB 260.42 million year-on-year, primarily due to the increase in waste-to-energy projects[66] - The net cash used in investing activities for the first half of 2022 was RMB 2,257.87 million, a decrease of RMB 938.23 million year-on-year, mainly due to dividends received from joint ventures[67] - The net cash generated from financing activities for the first half of 2022 was RMB 4,395.08 million, an increase of RMB 1,764.36 million year-on-year, attributed to increased bank loan proceeds[68] Environmental and Social Responsibility - The company has promoted 111 environmental protection projects across 24 provinces, with a total capacity to process approximately 19.57 million tons of municipal waste annually (54,600 tons per day)[28] - The company is actively pursuing strategic partnerships in the new energy materials sector, aiming to establish itself as a benchmark enterprise in the industry[39]

Financial Performance - China Conch Venture Holdings Limited reported a revenue of RMB 10.5 billion for the fiscal year 2021, representing a year-on-year increase of 15%[12] - The company achieved a net profit of RMB 2.1 billion, which is a 20% increase compared to the previous year[12] - The company's revenue for the year ended December 31, 2021, was RMB 8,350,485,000, representing an increase of 26.5% compared to RMB 6,604,573,000 in 2020[16] - The pre-tax profit for 2021 was RMB 7,933,461,000, a slight decrease of 1.5% from RMB 8,052,715,000 in 2020[16] - The net profit attributable to equity shareholders for 2021 was RMB 7,458,129,000, down 2.1% from RMB 7,617,627,000 in 2020[16] - The total revenue for the reporting period was RMB 8,350.49 million, representing a year-on-year increase of 26.43%[60] - Revenue from waste disposal reached RMB 5,743.80 million, up 19.38% year-on-year, driven by the launch of 18 new projects and increased construction of waste-to-energy projects[61] - Revenue from energy-saving equipment surged by 80.11% year-on-year to RMB 569.81 million, primarily due to increased orders for waste heat power generation[61] Market Expansion and Strategy - User data indicated a growth in customer base by 25%, reaching a total of 1.5 million active users[12] - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share by 2023[12] - Strategic acquisitions are being considered to enhance operational capabilities, with a focus on companies in the environmental technology sector[12] - The company is actively pursuing expansion opportunities in both domestic and international markets, including ongoing projects in Vietnam[40] - The company has expanded its environmental business footprint across 22 provinces and municipalities in China, as well as in Vietnam and Sri Lanka, with a total of 95 signed environmental projects[34] Research and Development - The company has allocated RMB 300 million for research and development in sustainable technologies over the next two years[12] - New product development includes the launch of eco-friendly building materials, projected to contribute an additional RMB 500 million in revenue by 2022[12] - The company is planning to construct a lithium iron phosphate cathode material project with an annual production capacity of 500,000 tons[31] - The lithium iron phosphate cathode material project is planned to have a production capacity of 500,000 tons per year, with the first phase targeting 50,000 tons per year, aiming for trial production by November 2022[45] Operational Efficiency - The company aims to improve operational efficiency by 5% through digital transformation initiatives[12] - A new partnership with local suppliers is expected to reduce costs by 8% in the supply chain[12] - The company is committed to enhancing its processing capabilities with new technologies and facilities to meet increasing market demand[40] - The company is focusing on strategic partnerships, with several projects having joint ventures or majority stakes[39] Environmental Initiatives - The company signed a cooperation agreement with Hainan Huasheng Group to build a project with a disposal capacity of 100,000 tons/year for fly ash and 50,000 tons/year for oil sludge[25] - The company successfully signed three environmental projects with the government of Qingtian City, Guizhou Province, focusing on solid waste disposal and waste-to-energy initiatives[25] - The company has established 10 projects in the cement kiln waste disposal sector, with a processing capacity of approximately 740,000 tons per year, and has processed about 560,000 tons of municipal waste during the reporting period[43] Corporate Governance - The company emphasizes the importance of corporate governance and has adopted the Corporate Governance Code as per the Stock Exchange's requirements[91] - The board of directors held five meetings during the reporting period, ensuring effective oversight of the company's affairs[96] - The company confirmed compliance with the Corporate Governance Code and maintains a minimum of three independent non-executive directors on its board[95] - The board is responsible for strategic guidance and oversight of management, including approval of major transactions and financial data[99] Financial Position - Total assets as of December 31, 2021, reached RMB 68,919,066,000, an increase of 26.9% from RMB 54,327,572,000 in 2020[17] - Total liabilities increased to RMB 22,261,630,000 in 2021, up 55.1% from RMB 14,350,393,000 in 2020[17] - The equity attributable to shareholders increased to RMB 45,269.79 million, up by RMB 6,704.81 million or 17.39% year-on-year[72] Employee and Talent Management - The total number of employees as of December 31, 2021, was 7,090[88] - The total employee compensation amounted to RMB 651.14 million, an increase from RMB 462.31 million in 2020[88] - The company has established a diverse talent strategy development platform to recruit professionals from vocational schools and universities[88] Risk Management - The company faces significant risks including macroeconomic pressures, increased competition in waste disposal projects, and operational challenges in overseas markets[199] - The company has implemented a comprehensive review and optimization of its risk management and internal control systems, with no significant internal control deficiencies reported during the assessment periods[130] Shareholder Relations - The company emphasizes effective communication with shareholders to enhance investor relations and understanding of its business performance and strategies[145] - Shareholders holding at least 10% of the paid-up capital have the right to request a special general meeting, which must be held within two months of the request[136]