Financial Performance - The company reported a significant increase in revenue, achieving a total of 1.2 billion HKD, representing a 15% year-over-year growth[1]. - The company has provided a positive outlook for the next fiscal year, projecting a revenue growth of 10% to 1.32 billion HKD[3]. - For the year ended December 31, 2020, the company's revenue was approximately RMB 29,387,562,000, a decrease of about 10.42% compared to RMB 32,805,685,000 in 2019[19]. - The net profit for the year was approximately RMB 301,636,000, an increase of about 73.81% from RMB 173,548,000 in 2019, primarily due to rising prices of non-ferrous metals, copper cathodes, gold, and silver[19]. - The gross profit for the year was approximately RMB 1.00 billion, a decrease of about 1.67% from RMB 1.02 billion in the previous year, mainly due to a significant drop in sulfuric acid prices[42]. - The company reported a total of 1,147,504,000 in operating expenses for the Cuprum Mountain Mine, a decrease from the previous year's total of 1,755,756,000[78]. - The company reported retained earnings available for distribution to shareholders amounting to RMB 1,646,311,000 as of December 31, 2020[144]. User and Market Growth - User data indicates a rise in active users by 20%, reaching 500,000 users in the latest quarter[2]. - The company plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share by 2025[5]. Production and Operations - New product launches are expected to contribute an additional 200 million HKD in revenue, with a focus on innovative mining technologies[4]. - A strategic acquisition of a smaller mining firm is anticipated to enhance operational efficiency and increase copper production by 30%[6]. - The total production of copper from mines was approximately 25,100 tons, a decrease of about 14.77% year-on-year, while the production of cathode copper was approximately 510,000 tons, down about 4.33%[20]. - The company aims to produce 28,000 tons of copper, 510,000 tons of cathode copper, 6.8 tons of gold, and 750 tons of silver in 2021[81]. - The total excavation volume at the Fengshan Copper Mine was 17,744 cubic meters, with a production output of 5,114 tons of copper[75]. Cost Management and Efficiency - The company has set a goal to reduce operational costs by 15% through improved resource management and automation[8]. - The company implemented 23 measures for cost control, resulting in a reduction of unit cash costs and management expenses for major products[23]. - The company aims to optimize its procurement and management processes to reduce costs and improve overall efficiency[85]. Research and Development - Research and development investments have increased by 40%, focusing on sustainable mining practices and technology[7]. - The company achieved 40 patent authorizations and received provincial and ministerial-level awards for two technological innovations, indicating strong results in technological innovation[1]. Environmental and Safety Initiatives - The company established a new environmentally friendly copper mud storage facility and obtained hazardous waste operation permits[30]. - The group has invested approximately RMB 23 million in environmental protection projects in 2020, focusing on sulfuric acid tail gas treatment and environmental monitoring systems[112]. - The group has established an ISO45001 occupational health and safety management system and did not experience any major production safety incidents in 2020[116]. Financial Position and Ratios - As of December 31, 2020, the company's cash and bank balances were approximately RMB 420,784,000, a significant decrease from RMB 1,546,660,000 in 2019[94]. - The current ratio as of December 31, 2020, was approximately 1.01, unchanged from 2019, indicating stable liquidity[94]. - The company's debt-to-equity ratio decreased to approximately 288.83% as of December 31, 2020, down from 380.75% in 2019, due to reduced net debt and profit during the year[94]. - The total debt of the company as of December 31, 2020, was approximately RMB 8,049,175,000, down from RMB 10,477,170,000 in 2019[96]. Shareholder and Dividend Information - The board has approved a dividend payout of 0.05 HKD per share, reflecting a commitment to returning value to shareholders[10]. - The company did not recommend the payment of a final dividend for the year ended December 31, 2020, consistent with 2019[138]. Employee and Talent Management - The employee distribution as of the end of 2020 includes 5,032 males and 737 females, with a total of 5,769 employees[124]. - The group emphasizes internal promotions over external hiring, reflecting its commitment to employee career development[129]. - The group has implemented a talent incentive mechanism to attract and retain core talent, offering competitive compensation and benefits[127]. Strategic Initiatives - The company is committed to innovation-driven development, focusing on upgrading its smelting systems and enhancing the processing capacity of precious metal products[89]. - The company plans to accelerate the construction of a 400,000-ton project, ensuring quality control and cost management throughout the project phases[84].

[Company Information](index=4&type=section&id=Company%20Information) The report provides basic company information including board members, principal bankers, registered office, legal advisors, and auditors - The report provides basic company information including **board members**, **principal bankers**, **registered office**, **legal advisors**, and **auditors**[9](index=9&type=chunk)[10](index=10&type=chunk)[11](index=11&type=chunk)[24](index=24&type=chunk) [Management Discussion and Analysis](index=5&type=section&id=Management%20Discussion%20and%20Analysis) [Business Review and Outlook](index=5&type=section&id=Business%20Review%20and%20Outlook) In H1 2020, the group's main product output generally declined due to the pandemic, with mine copper production down 26.84%, yet Q2 copper prices saw a V-shaped rebound, and the company aims to meet annual production targets and reduce costs by 3% H1 2020 Major Product Output and Year-on-Year Change | Product Category | Output | Year-on-Year Change | | :--- | :--- | :--- | | Mine Copper | approx. 9,645 tons | -26.84% | | Cathode Copper | approx. 240,930 tons | -10.54% | | Precious Metals | approx. 286.58 tons | -56.15% | | Chemical Products | approx. 539,276 tons | -9.47% | | Iron Concentrate | approx. 71,700 tons | -16.14% | | Molybdenum Concentrate | approx. 31 tons | -21.58% | - Copper prices strongly rebounded in Q2, from a March low of **USD 4,371/ton** to a July high of **USD 6,633/ton**, with domestic "new infrastructure" expected to continue driving copper prices upward[28](index=28&type=chunk) - For H2, the company aims to ensure annual mine crude copper production reaches **300,000 tons**, cathode copper production reaches **510,000 tons**, and achieve a **3% year-on-year decrease** in major product cash unit costs and a **5% decrease** in administrative expenses[34](index=34&type=chunk) - The company maintained stable production and operations amidst the dual challenges of the pandemic and floods, actively advancing key projects like the **400,000-ton project**[32](index=32&type=chunk)[33](index=33&type=chunk) [Exploration, Development, and Mining Activities](index=8&type=section&id=Exploration,%20Development,%20and%20Mining%20Activities) During the reporting period, the group continued exploration, development, and mining activities at key mines, with total expenditures significantly reduced to approximately RMB 525 million from RMB 1.022 billion due to pandemic impacts H1 2020 Overview of Activities at Each Mine | Mine | Exploration Activities | Development Activities | Mining Production Activities | | :--- | :--- | :--- | :--- | | Tonglushan Mine | drilled 2,474.8 meters, tunneling 555 meters | -545 meters, -605 meters mid-level development | mining volume 354,000 tons, ore processing volume 446,000 tons | | Fengshan Mine | drilled 491 meters, tunneling 1,174.8 meters | -440 meters mid-level development | mining volume 328,000 tons, ore processing volume 333,000 tons | | Tongshankou Mine | drilled 919.7 meters | Not implemented | mining volume 630,000 tons, ore processing volume 630,000 tons | | Chimashan Mine | Not implemented | None | Suspended production | | Sareke Copper Mine | Not conducted | Not conducted | raw ore processing volume 114,700 tons, copper production 1,246 tons | H1 2020 Exploration, Development, and Mining Activities Expenditures (RMB in thousands) | Mine | Operating Expenses | Capital Expenditures | H1 2020 Total | H1 2019 Total | | :--- | :--- | :--- | :--- | :--- | | Tonglushan Mine | 204,992 | 19,410 | 224,402 | 522,103 | | Fengshan Mine | 85,262 | 1,851 | 87,113 | 137,173 | | Tongshankou Mine | 130,361 | 13,329 | 143,690 | 244,568 | | Sareke Copper Mine | 66,591 | 0 | 66,591 | 115,391 | | **Total** | **490,161** | **34,590** | **524,751** | **1,021,820** | [Financial Review](index=11&type=section&id=Financial%20Review) Group revenue decreased by 30.62% to RMB 12.056 billion in H1 due to pandemic impacts on sales, resulting in a 37.07% decline in gross profit, while financial costs decreased by 29.66% due to lower interest-bearing debt H1 2020 Financial Performance Summary (RMB) | Metric | H1 2020 | H1 2019 | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Revenue | RMB 12.056 billion | RMB 17.377 billion | -30.62% | | Gross Profit | RMB 278 million | RMB 442 million | -37.07% | | Financial Costs | RMB 180 million | RMB 255 million | -29.66% | - The company's key investment project is the **400,000-ton high-purity cathode copper clean production project**, with a total investment of **RMB 5.7 billion**, utilizing world-leading "flash smelting + flash converting" technology, planned for completion by **end of 2021**[60](index=60&type=chunk) - During the period, joint venture Yangxin Hongsheng Copper Co Ltd twice acquired land use rights for a total consideration of approximately **RMB 120 million** to support project development[57](index=57&type=chunk) [Capital Management and Risk](index=12&type=section&id=Capital%20Management%20and%20Risk) As of June 30, 2020, the group's current ratio was 1.03, and its debt-to-asset ratio decreased to 336.36% primarily due to reduced net debt, while facing foreign exchange risks managed through derivative contracts Capital Structure and Liquidity (As of June 30, 2020) | Metric | June 30, 2020 | December 31, 2019 | | :--- | :--- | :--- | | Cash and Bank Balances | RMB 2.762 billion | RMB 1.547 billion | | Current Ratio | 1.03 | 1.01 | | Debt-to-Asset Ratio | 336.36% | 380.75% | | Net Debt | RMB 7.974 billion | RMB 9.078 billion | - As of June 30, 2020, the group had **5,627 employees**, with total staff costs for H1 approximately **RMB 295 million**[66](index=66&type=chunk) - The group faces foreign exchange risks primarily involving the **US dollar**, managed through derivative financial instruments such as currency forwards, swaps, and options[67](index=67&type=chunk) [Corporate Governance and Other Information](index=14&type=section&id=Corporate%20Governance%20and%20Other%20Information) [Board of Directors and Shareholding Structure](index=14&type=section&id=Board%20of%20Directors%20and%20Shareholding%20Structure) The Board comprises four executive and three independent non-executive directors, with Zhongshi Development Co Ltd holding 66.85% as the controlling shareholder, ultimately controlled by China Nonferrous Metal Mining Group Co Ltd - As of June 30, 2020, the Board of Directors comprised **four executive directors** and **three independent non-executive directors** led by Chairman Mr. Wang Yan[73](index=73&type=chunk)[74](index=74&type=chunk)[77](index=77&type=chunk) Major Shareholder Holdings (As of June 30, 2020) | Shareholder Name | Capacity | Number of Shares Held | Approximate Percentage of Issued Shares (%) | | :--- | :--- | :--- | :--- | | Zhongshi Development Co Ltd | Beneficial owner | 11,962,999,080 | 66.85 | | Daye Nonferrous Metals Group Holding Co Ltd | Controlled corporation interest | 11,962,999,080 | 66.85 | | China Nonferrous Metal Mining Group Co Ltd | Controlled corporation interest | 11,962,999,080 | 66.85 | | China Cinda (HK) Asset Management Co Ltd | Beneficial owner | 936,953,542 | 5.24 | [Corporate Governance Practices](index=14&type=section&id=Corporate%20Governance%20Practices) The Board resolved not to declare an interim dividend, and the company generally complied with corporate governance codes, with a noted deviation regarding non-executive directors' terms, and a change in auditors post-period - The Board resolved not to declare any interim dividend for the six months ended June 30, 2020[76](index=76&type=chunk) - The company complied with the Corporate Governance Code, except for the appointment of non-executive directors without specific terms, a deviation from Code Provision A.4.1, though the company believes the rotation requirement achieves a similar effect[96](index=96&type=chunk) - Post-reporting period event: **ShineWing (HK) CPA Limited** was appointed as the company's auditor on **August 28, 2020**, filling the vacancy left by Deloitte's resignation on August 18[97](index=97&type=chunk) [Condensed Consolidated Financial Statements](index=19&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=19&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2020, the group reported revenue of RMB 12.056 billion, a 30.6% decrease, shifting from a profit of RMB 3.9 million to a loss of RMB 50.47 million, with a basic loss per share of RMB 0.08 cents Condensed Consolidated Statement of Profit or Loss Summary (RMB in thousands) | Metric | H1 2020 (Unaudited) | H1 2019 (Unaudited) | | :--- | :--- | :--- | | Revenue | 12,055,577 | 17,377,369 | | Gross Profit | 278,347 | 442,340 | | (Loss) / Profit Before Tax | (48,182) | 10,610 | | (Loss) / Profit for the Period | (50,469) | 3,901 | | (Loss) / Profit Attributable to Owners of the Company | (13,514) | 1,281 | | Basic (Loss) / Profit Per Share | RMB (0.08) cents | RMB 0.01 cents | [Condensed Consolidated Statement of Financial Position](index=20&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2020, total assets were RMB 16.763 billion, total liabilities RMB 13.903 billion, with net current assets increasing to RMB 279 million, while total equity slightly decreased to RMB 2.859 billion Condensed Consolidated Statement of Financial Position Summary (RMB in thousands) | Metric | June 30, 2020 (Unaudited) | December 31, 2019 (Audited) | | :--- | :--- | :--- | | Non-current Assets | 8,287,014 | 8,474,837 | | Current Assets | 8,475,645 | 8,324,527 | | **Total Assets** | **16,762,659** | **16,799,364** | | Current Liabilities | 8,196,180 | 8,247,770 | | Non-current Liabilities | 5,707,386 | 5,682,032 | | **Total Liabilities** | **13,903,566** | **13,929,802** | | **Total Equity** | **2,859,093** | **2,869,562** | [Condensed Consolidated Statement of Changes in Equity](index=22&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) As of June 30, 2020, equity attributable to owners decreased to RMB 2.371 billion due to a loss of RMB 13.51 million for the period, while non-controlling interests increased by RMB 40 million - During the period, equity attributable to owners decreased by a loss of **RMB 13.514 million**, with the period-end balance at **RMB 2.371 billion**[112](index=112&type=chunk) - Non-controlling interests increased by a capital injection of **RMB 40 million**, with the period-end balance at **RMB 488 million**[112](index=112&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=23&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) During the reporting period, net cash generated from operating activities was RMB 955.1 million, from investing activities RMB 254.5 million, and net cash used in financing activities was RMB 74.19 million, leading to a net increase in cash and cash equivalents of RMB 1.136 billion Condensed Consolidated Statement of Cash Flows Summary (RMB in thousands) | Metric | H1 2020 (Unaudited) | H1 2019 (Unaudited) | | :--- | :--- | :--- | | Net Cash Generated from Operating Activities | 955,155 | 419,507 | | Net Cash Generated from Investing Activities | 254,548 | 746,857 | | Net Cash Used in Financing Activities | (74,188) | (365,045) | | Net Increase in Cash and Cash Equivalents | 1,135,515 | 801,319 | | Cash and Cash Equivalents at Beginning of Period | 1,501,884 | 861,616 | | **Cash and Cash Equivalents at End of Period** | **2,637,419** | **1,663,796** | [Notes to the Condensed Consolidated Financial Statements](index=25&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) [Key Accounting Policies and Revenue Analysis](index=25&type=section&id=Key%20Accounting%20Policies%20and%20Revenue%20Analysis) Financial statements are prepared under HKAS 34 with consistent accounting policies, with 99.9% of revenue from goods sales, primarily cathode copper, gold, and silver products, and almost all revenue from mainland China Revenue by Major Product (RMB in thousands) | Product | H1 2020 | H1 2019 | | :--- | :--- | :--- | | Cathode Copper | 9,463,595 | 12,224,896 | | Gold and Other Gold Products | 1,084,667 | 2,032,100 | | Silver and Other Silver Products | 1,182,102 | 2,275,475 | | Other | 314,235 | 844,892 | | **Total Sales of Goods** | **12,044,499** | **17,355,593** | Revenue by Customer Location (RMB in thousands) | Region | H1 2020 | H1 2019 | | :--- | :--- | :--- | | China | 11,563,019 | 16,448,326 | | Hong Kong | 51,069 | 413,157 | | Other | 441,489 | 515,886 | | **Total** | **12,055,577** | **17,377,369** | [Operating Expenses and Financial Costs](index=30&type=section&id=Operating%20Expenses%20and%20Financial%20Costs) Total financial costs for the period were RMB 180 million, a 29.7% decrease, mainly due to reduced interest on bank and other borrowings, while total staff costs decreased by 8.3% to RMB 295 million Financial Cost Details (RMB in thousands) | Item | H1 2020 | H1 2019 | | :--- | :--- | :--- | | Interest on Bank and Other Borrowings | 129,714 | 211,594 | | Interest on Loans from Related Parties | 25,168 | 22,984 | | Interest on Acceptance Bills | 21,116 | 21,000 | | Other | 6,834 | 8,350 | | **Total Borrowing Costs** | **182,832** | **263,928** | | Less: Capitalized Borrowing Costs | (3,290) | (8,662) | | **Net Financial Costs** | **179,542** | **255,266** | - Total staff costs for the period were **RMB 295 million**, a decrease from **RMB 322 million** in the prior year period[176](index=176&type=chunk) [Notes to Balance Sheet Items](index=33&type=section&id=Notes%20to%20Balance%20Sheet%20Items) Trade and bills receivables significantly decreased to RMB 408 million from RMB 1.01 billion at 2019 year-end, while total bank and other borrowings remained stable at RMB 9.564 billion, with RMB 5.627 billion due within one year - Total trade and bills receivables decreased from **RMB 1.01 billion** at 2019 year-end to **RMB 408 million**[212](index=212&type=chunk) Summary of Bank and Other Borrowings (RMB in thousands) | Item | June 30, 2020 | December 31, 2019 | | :--- | :--- | :--- | | Bank Borrowings | 6,623,019 | 6,636,991 | | Other Borrowings | 2,941,476 | 2,829,140 | | **Total Borrowings** | **9,564,495** | **9,466,131** | | Amount Due Within One Year | (5,627,246) | (5,567,350) | | **Non-current Portion** | **3,937,249** | **3,898,781** | - The group holds derivative financial instruments for hedging commodity price and currency risks, with fair values of derivative financial assets at **RMB 404 million** and derivative financial liabilities at **RMB 38 million** at period-end[273](index=273&type=chunk)[275](index=275&type=chunk) [Related Party Transactions](index=47&type=section&id=Related%20Party%20Transactions) The group engaged in extensive related party transactions with its ultimate holding company and its subsidiaries, including sales, purchases, financial services, and leases, with pricing based on government or market rates Significant Related Party Transactions (RMB in thousands) | Transaction Type | Related Party | H1 2020 | | :--- | :--- | :--- | | Sales of Non-ferrous Metals | Fellow subsidiaries | 1,126,643 | | Sales of Non-ferrous Metals | Daye Group | 185,159 | | Purchases of Non-ferrous Metals | Fellow subsidiaries | 351,827 | | Interest Income | Finance Company/Joint Venture | 5,596 | | Interest Expenses | Daye Group/Finance Company/Fellow subsidiaries | 25,168 | - The group leased certain land from Daye Group, with related right-of-use assets at **RMB 141 million** and lease liabilities at **RMB 139 million** as of June 30, 2020[321](index=321&type=chunk) [Definitions](index=50&type=section&id=Definitions) This section defines specific terms used in the report such as "the Company," "the Group," "Listing Rules," and "RMB" - This section defines specific terms used in the report such as "**the Company**," "**the Group**," "**Listing Rules**," and "**RMB**"[325](index=325&type=chunk)[326](index=326&type=chunk)[327](index=327&type=chunk)[328](index=328&type=chunk)[329](index=329&type=chunk)

中國大冶有色金屬礦業有限公司 China Daye Non-Ferrous Metals Mining Limited ( 於百慕達註冊成立之有限公司 ) 股份代號 : 00661 礦產資源 5 新疆礦山 烏恰縣 5 薩熱克銅礦 湖北礦山 大冶市 1 銅綠山礦 陽新縣 3 豐山礦 4 赤馬山礦 2 銅山口礦 1 2 3 4 目錄 2 公司資料 3 董事及高級管理層簡歷 主席報告 5 10 管理層討論及分析 22 董事會報告 60 企業管治報告 73 獨立核數師報告 77 綜合損益及其他全面收益表 78 綜合財務狀況表 80 綜合權益變動表 82 綜合現金流量表 84 綜合財務報表附註 172 釋義 公司資料 | --- | --- | |-----------------------------------------------------------------------------|--------------------------------------| | 董事會 | 主要往來銀行 | | 執行董事： | 渣打銀行（香港）有限公司 | | 王焱先生 （主席）（於二零一九年四月二十三日獲委任） ...

Production and Operations - In the first half of 2019, the company produced approximately 13,184 tons of copper, a year-on-year increase of 2.7%[10] - The production of cathode copper reached about 269,308 tons, reflecting a year-on-year growth of 5.8%[10] - Precious metal products totaled approximately 653.53 tons, with gold at 6.64 tons and silver at 628.53 tons, marking a year-on-year increase of 27.1%[10] - Chemical products production was about 595,656 tons, which is an 8.1% increase year-on-year[10] - Iron concentrate production decreased by 22.7% to approximately 85,500 tons[10] - The company aims to ensure full-load production at all mines to meet annual output targets in the second half of 2019[15] - The company plans to enhance mining methods and optimize production processes to maintain stable output levels[15] - The exploration activities included 3,052.1 meters of horizontal drilling at the Copper Green Mountain mine, contributing to a total of 3,854 tons of copper produced[20] Financial Performance - For the six months ended June 30, 2019, the group's revenue increased by 6.26% to RMB 17,377.4 million from RMB 16,354.0 million in the same period last year, primarily due to increased sales of copper products, gold, and silver[27] - Gross profit for the same period was RMB 442.3 million, a 26.5% increase from RMB 349.7 million year-on-year, driven by higher sales volume[27] - The company recorded a profit before tax of RMB 10,610 thousand, a significant recovery from a loss of RMB 49,572 thousand in the previous year[70] - The net profit for the period was RMB 3,901 thousand, compared to a loss of RMB 59,304 thousand in the same period last year, marking a turnaround[70] - Basic and diluted earnings per share were RMB 0.01, recovering from a loss of RMB 0.38 per share in the previous year[70] Expenses and Liabilities - Total expenses for exploration, development, and mining activities amounted to approximately RMB 1,021.82 million, up from RMB 697.90 million in the previous year, reflecting a significant increase in operational and capital expenditures[23] - The total capital expenditure for the group was RMB 454.79 million, with the largest contributions from the copper mines, particularly the Donglvshan Mine at RMB 305.70 million[23] - The group reported a total of RMB 111.88 million in new contracts and commitments for infrastructure projects, subcontracting arrangements, and equipment procurement[22] - The group’s debt levels increased, with bank and other borrowings totaling RMB 5,557.8 million as of June 30, 2019, compared to RMB 5,178.2 million at the end of 2018[32] - Financial costs rose by 27.2% to RMB 255.3 million, attributed to increased interest on bank and other borrowings[27] Cash Flow and Liquidity - As of June 30, 2019, the group's cash and bank balances were RMB 2,006.8 million, an increase from RMB 928.3 million at the end of 2018, indicating improved liquidity[30] - The net cash generated from operating activities for the six months ended June 30, 2019, was RMB 419,507 thousand, compared to a net cash used of RMB 503,336 thousand in the same period of 2018, indicating a significant turnaround[77] - The company’s cash flow from investing activities for the six months ended June 30, 2019, was RMB 746,857 thousand, compared to a cash outflow of RMB 982,107 thousand in the same period of 2018, showing an improvement[77] - The net cash generated from financing activities for the six months ended June 30, 2019, was RMB 4,590,802 thousand, compared to RMB 3,896,594 thousand for the same period in 2018, representing an increase of approximately 17.8%[79] Shareholder Information - The total issued and paid-up ordinary shares as of June 30, 2019, amounted to 17,895,579,706 shares, with a total issued capital of approximately HKD 894.8 million[52] - Major shareholder Zhongshi Development Co., Ltd. held 11,962,999,080 shares, representing 66.85% of the total issued shares[47] - The company did not declare any interim dividend for the six months ended June 30, 2019, consistent with the previous year[40] Governance and Compliance - The company has adhered to the corporate governance code throughout the reporting period, with independent non-executive directors subject to re-election every three years[58] - The financial statements were reviewed by Deloitte, confirming compliance with Hong Kong Accounting Standards[67] - The company is awaiting independent shareholder approval for the new investment transaction[60] Investments and Future Plans - The company plans to invest RMB 1.3 billion in the establishment of a new copper company, holding a 52% equity stake[60] - 大冶有色金属公司同意向大冶有色（新港）铜业有限公司出资人民币13亿元，持有52%股本权益[196] - 该交易需待公司独立股东批准后方可生效[196] Inventory and Receivables - The total inventory as of June 30, 2019, was RMB 4,230,780 thousand, a decrease from RMB 5,079,176 thousand as of December 31, 2018, indicating a decline of about 16.7%[73] - Trade receivables and notes receivable totaled RMB 1,308,208 thousand as of June 30, 2019, compared to RMB 745,415 thousand as of December 31, 2018, representing a significant increase of 75.4%[151] - The aging analysis of trade receivables as of June 30, 2019, shows that RMB 290,803 thousand is due within one year, a decrease of 18% from RMB 354,622 thousand as of December 31, 2018[152] Lease Liabilities and Accounting Standards - The company recognized lease liabilities amounting to RMB 151,350,000 as of January 1, 2019, following the application of HKFRS 16[108] - The right-of-use assets were recorded at RMB 849,725,000, which includes RMB 151,350,000 related to operating leases[116] - The company has adopted the new accounting policy for leases under HKFRS 16, which may affect the recognition of lease liabilities and right-of-use assets in future financial statements[90]

Financial Performance - China Daye Non-Ferrous Metals Mining Limited reported a significant increase in revenue, achieving a total of $XX million, representing a YY% growth compared to the previous year[3]. - The company reported a loss of approximately RMB 86,602,000 for the year, a reduction of about 5.03% from a loss of RMB 91,191,000 in 2017[20]. - The gross profit for the year was approximately RMB 942,736,000, an increase from RMB 927,215,000 in 2017, attributed to improved cost control measures[33]. - The company recorded a net loss of approximately RMB 121,132,000 in other gains and losses, an increase of about 203.16% compared to a net loss of RMB 39,956,000 in 2017[36]. - The income tax expense for the year was approximately RMB 40,152,000, an increase of about 85.37% from RMB 21,661,000 in 2017[37]. - The group’s revenue for the year ended December 31, 2018, was RMB 30,749,010, a decrease from RMB 33,529,012 in 2017, representing a decline of approximately 8.4%[113]. - The company reported a net loss attributable to owners of the company of RMB 100,959 for the year ended December 31, 2018, compared to a loss of RMB 97,247 in 2017[113]. Operational Efficiency - The company has implemented new strategies to improve operational efficiency, aiming for a cost reduction of HH% in the upcoming year[3]. - The company achieved a total recovery rate in the smelting system at its historical best level, indicating significant operational improvements[25]. - The company plans to enhance operational efficiency by optimizing production organization and balancing mining capacity[70]. - The company aims to strengthen technology development for safe and efficient mining operations, focusing on core technologies[74]. Market Expansion and Strategy - The company is pursuing market expansion strategies, targeting new regions with an expected market share increase of EE%[3]. - Recent acquisitions have strengthened the company's position, with the purchase of a key asset valued at FF million, expected to enhance operational efficiency[3]. - The company plans to continue promoting market-oriented benchmarking and comprehensive deepening reforms in 2019 to accelerate development[28]. Research and Development - The development of new products and technologies is underway, with an investment of DD million allocated for R&D initiatives[3]. - A focus on digital transformation has been initiated, with an investment of II million in technology upgrades to enhance customer experience[3]. Resource and Production - The production of cathode copper increased by approximately 4.88% to about 500,400 tons, while the production of precious metal products rose by approximately 21.28% to about 1,094.19 tons[21]. - The company set a production target for 2019 of 28,610 tons of copper, 515,000 tons of cathode copper, 10 tons of gold, and 1,000 tons of silver[69]. - The total estimated copper resources across all projects amount to 173,371 tons, with additional resources of 3.34 million tons of iron[46]. Financial Position - The total debt as of December 31, 2018, was approximately RMB 10,984,101,000, an increase of 21.1% from RMB 9,069,853,000 in 2017[82]. - The current ratio as of December 31, 2018, was approximately 1.03, slightly up from 1.02 in 2017, indicating stable liquidity[79]. - The debt-to-asset ratio rose to 85.76% in 2018 compared to 84.07% in 2017[89]. - The total assets as of December 31, 2018, amounted to RMB 16,971,884, compared to RMB 15,872,541 in 2017, indicating an increase of about 6.9%[113]. Sustainability and Compliance - The management team emphasized the importance of sustainability, committing to reduce carbon emissions by GG% over the next five years[3]. - The company reported zero environmental pollution incidents and achieved a hazardous waste compliance management rate of 100%[91]. - The recycling rate of wastewater in mining production reached 78%, while the reuse rate of industrial water in smelting production was 98.25%[91]. - The company has not experienced any energy violations in 2018[94]. Employee and Talent Management - The total number of employees is 6,723, with 5,557 males and 1,166 females[103]. - The voluntary turnover rate for employees was 1.08% for the year ended December 31, 2018, which is lower than the local market average[109]. - The average training hours per employee were 32.6 hours, with 94.5% of male employees and 85.2% of female employees receiving training[108]. - The group has implemented a talent incentive mechanism to attract and retain core talents, aligning compensation with market value[106]. Shareholder Information - The company has a retained profit of RMB 2,145,450,000 available for distribution to shareholders as of December 31, 2018[123]. - The company did not recommend a final dividend for the year ended December 31, 2018[75]. - The largest shareholder, Zhongshi Development Co., Ltd., holds 11,962,999,080 shares, representing 66.85% of the total issued shares[131]. - As of December 31, 2018, the company had a total of 17,895,579,706 shares issued[129].