中期報告 2023 簡明綜合損益及其他全面收益表 4 管理層討論及分析 15 | --- | --- | |------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------| | | | | | | | | | | 董事 執行董事 | 香港法律顧問 趙不渝 馬國強律師事務所 | | 錢元英女士 （主席） 蔣泉龍先生 蔣大偉先生 | 核數師 天健德揚會計師事務所有限公司 | | 蔣才南先生 獨立非執行董事 黃春華先生 金重先生 竇學宏先生 | 主要往來銀行 中國 中國建設銀行股份有限公司 招商銀行股份有限公司 中國交通銀行股份有限公司 | | 審核委員會 黃春華先生 （主席） 金重先生 | 中國農業銀行股份有限公司 中國銀行股份有限公司 香港 | | 竇學宏先生 薪酬委員會 竇學宏先生 （主席） 黃春華先生 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 中 國 稀 土 控 股 有 限 公 司 China Rare Earth Holdings Limited （於開曼群島註冊成立之有限公司） （股份代號：769） 有關截至二零二二年十二月三十一日止年度之年報 之補充公告 謹此提述中國稀土控股有限公司（「本公司」）於二零二三年四月二十六日刊發本公 司截至二零二二年十二月三十一日止年度之年報（「年報」）。本公告是對年報之補 充，應與年報一併閱讀。本公司謹此根據香港聯合交易所有限公司證券上市規則 第17.07條及第17.09條就「董事會報告－購股權計劃」一節有關本公司現時生效之 購股權計劃（「購股權計劃」）提供額外資料。 於二零二二年一月一日及二零二二年十二月三十一日，根據購股權計劃之計劃授 權限額可供授予之購股權數目分別為167,264,305股本公司股份（「股份」）及 67,264,305股股份。 於年報日期（即二零二三年三月三十一日），根據購股權計劃授 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 中 國 稀 土 控 股 有 限 公 司 China Rare Earth Holdings Limited （於開曼群島註冊成立之有限公司） （股份代號：769） 截至二零二三年六月三十日止六個月 之中期業績公告 中期業績 中國稀土控股有限公司（「本公司」）董事會（「董事會」））謹此宣佈本公司及其附屬 公司（「本集團」）截至二零二三年六月三十日止六個月的未經審核簡明綜合中期業 績連同二零二二年度同期的比較數字如下： 簡明綜合損益表 截至六月三十日止六個月 二零二三年 二零二二年 附註 千港元 千港元 （未經審核） （未經審核） 收入 (2) 375,822 400,403 銷售成本 (467,584) (355,874) （毛虧）╱毛利 (91,762) 44,529 其他收入 1,588 2,753 銷售及分銷費用 (5,742) (5,408) 管理費用 (23,468) (18,298) 其他虧損 ...

Financial Performance - Revenue for the year ended December 31, 2022, was HK$810,413,000, a decrease of 33.1% from HK$1,212,471,000 in 2021[21] - Gross profit for 2022 was HK$1,116,000, down from HK$85,983,000 in 2021, indicating a significant decline in profitability[21] - The company reported a loss for the year of HK$393,677,000, compared to a profit of HK$25,436,000 in the previous year, marking a substantial negative shift[21] - Total comprehensive loss for the year was HK$614,771,000, compared to a comprehensive income of HK$105,679,000 in 2021[23] - The basic and diluted loss per share for 2022 was HK(15.94) cents, compared to earnings of HK1.04 cents per share in 2021[21] - Other income for the year was HK$4,920,000, a slight decrease from HK$5,856,000 in 2021[21] - The company experienced a net loss of HK$22,664,000 from other operating expenses, compared to no such losses in the previous year[21] - The financial highlights indicate a trend of fluctuating profits, with a notable loss in 2022 after a profit in 2021[53] - In 2022, the Group recorded a net loss of approximately HK$393,677,000, compared to a net profit of about HK$25,436,000 in 2021, resulting in a loss per share of approximately HK$15.94[66][67] Revenue Breakdown - Revenue from rare earth products was approximately HK$546,615,000, down about 36% from HK$858,249,000 in 2021, accounting for approximately 67% of total revenue[82] - Revenue from refractory products decreased by about 26% to approximately HK$263,798,000, compared to HK$354,222,000 in 2021, making up about 33% of total revenue[82] - The Group's magnesium sand business sold approximately 18,900 tons of products, a reduction of about 15% compared to the previous year, with sales revenue declining by about 5% to approximately HK$57,799,000[71] - The Group's refractory materials business reported total revenue of approximately HK$263,798,000 in 2022, reflecting a year-on-year decrease of around 26%[113] Asset and Liability Changes - Non-current assets decreased from HK$316,424,000 in 2021 to HK$259,827,000 in 2022, a decline of approximately 18%[25] - Current assets decreased from HK$2,730,581,000 in 2021 to HK$2,149,803,000 in 2022, representing a reduction of about 21%[25] - Total equity attributable to owners of the Company decreased from HK$2,881,361,000 in 2021 to HK$2,287,821,000 in 2022, a decrease of approximately 21%[29] - Current liabilities decreased from HK$155,366,000 in 2021 to HK$132,174,000 in 2022, a reduction of about 15%[25] - Non-current liabilities related to lease liabilities decreased from HK$1,391,000 in 2021 to HK$1,020,000 in 2022, a decline of approximately 27%[25] - The net current assets decreased from HK$2,575,215,000 in 2021 to HK$2,017,629,000 in 2022, representing a decrease of about 22%[25] - The total assets less current liabilities decreased from HK$2,891,639,000 in 2021 to HK$2,277,456,000 in 2022, a decline of approximately 21%[25] Corporate Governance - The audit committee is chaired by Mr. Huang Chunhua, indicating a structured governance framework[48] - The company has engaged Ascenda Cachet CPA Limited as its auditor, ensuring compliance with auditing standards[49] - The Group has complied with the Corporate Governance Code throughout the year ended December 31, 2022, ensuring transparency and accountability[143] - The Board consists of seven members, including four executive directors and three independent non-executive directors, with full attendance in board meetings[146] - The Board is collectively responsible for directing and supervising the Company's affairs and overseeing the Group's business performance[177] - The Company has adopted a code of conduct for securities transactions by directors, ensuring compliance with required standards throughout the year ended December 31, 2022[162] Strategic Focus and Future Outlook - The company is focused on the rare earth sector, which is critical for various high-tech applications[56] - The Group plans to relocate its rare earth separating production line to improve production technology and efficiency[94] - The Group anticipates growth in the refractory materials segment due to a rebound in the domestic real estate sector and easing pandemic restrictions[93] - Market analysts predict that China's economic growth is expected to return to form in the second quarter of 2023, providing a solid foundation for recovery[65] - The demand for rare earth permanent magnetic materials is expected to rise significantly due to the development of the new energy industry and national policies promoting carbon peaking and carbon neutrality[76] Employee and Talent Development - The Group actively provides generous benefits and implements a performance evaluation system to reward outstanding talents[157] - The Group's commitment to talent development includes establishing appropriate incentives to assist employees in career advancement within the organization[157] - The Group emphasizes effective communication with employees to share corporate values and address inappropriate practices[157] Board Composition and Diversity - The Board currently comprises seven members, including four executive directors and three independent non-executive directors, ensuring a strong independent element for effective judgment[165] - The Board has adopted a Board Diversity Policy to achieve diversity through various aspects, including gender, age, and professional qualifications[178] - The gender ratio in the workforce, including the Board, as of December 31, 2022, reflects the company's commitment to gender diversity[180]

[Performance Overview](index=1&type=section&id=%E6%A5%AD%E7%B8%BE%E6%A6%82%E8%A6%81) [Financial Performance](index=9&type=section&id=%E8%B2%A1%E5%8B%99%E6%A5%AD%E7%B8%BE) In 2022, the Group turned from profit to loss with a net loss of approximately HKD 394 million, driven by a 33% revenue decline and a significant HKD 326 million environmental remediation cost Key Financial Indicators for 2022 | Indicator | 2022 | 2021 | Change | | :--- | :--- | :--- | :--- | | Revenue | 810,413 Thousand HKD | 1,212,471 Thousand HKD | -33% | | Net (Loss) / Profit | (393,677) Thousand HKD | 25,436 Thousand HKD | Turned from profit to loss | | (Loss) / Earnings Per Share | (15.94) HK cents | 1.04 HK cents | Turned from profit to loss | - Key reasons for performance decline include reduced revenue due to the pandemic and macroeconomic impacts, and a significant one-time expense of approximately **HKD 326 million** for soil pollution remediation at the Yixing plant to fulfill corporate social responsibility[39](index=39&type=chunk)[55](index=55&type=chunk)[86](index=86&type=chunk) - The Board does not recommend a final dividend for the year ended December 31, 2022[15](index=15&type=chunk)[40](index=40&type=chunk) [Consolidated Financial Statements](index=1&type=section&id=%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8) [Consolidated Income Statement](index=1&type=section&id=%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E8%A1%A8) In 2022, Group revenue fell 33% to HKD 810 million, resulting in a net loss of HKD 394 million from a prior year profit Consolidated Income Statement Summary | Item | 2022 (Thousand HKD) | 2021 (Thousand HKD) | | :--- | :--- | :--- | | Revenue | 810,413 | 1,212,471 | | Gross Profit | 1,116 | 85,983 | | Other Operating Expenses | (326,412) | – | | Operating (Loss) / Profit | (391,649) | 28,538 | | (Loss) / Profit for the Year | (393,677) | 25,436 | | (Loss) / Profit Attributable to Owners of the Company | (373,296) | 24,274 | [Consolidated Statement of Financial Position](index=3&type=section&id=%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) As of December 31, 2022, total assets decreased to HKD 2.41 billion, with net assets at HKD 2.28 billion, while maintaining a low 6% total liabilities to total assets ratio Consolidated Statement of Financial Position Summary | Item | December 31, 2022 (Thousand HKD) | December 31, 2021 (Thousand HKD) | | :--- | :--- | :--- | | Non-current Assets | 259,827 | 316,424 | | Current Assets | 2,149,803 | 2,730,581 | | **Total Assets** | **2,409,630** | **3,047,005** | | Current Liabilities | 132,174 | 155,366 | | Non-current Liabilities | 1,020 | 1,391 | | **Total Liabilities** | **133,194** | **156,757** | | **Net Assets** | **2,276,436** | **2,890,248** | | Cash and Cash Equivalents | 1,452,386 | 1,819,833 | - The total liabilities to total assets ratio remained at a low level of approximately **6%**[76](index=76&type=chunk) [Management Discussion and Analysis](index=9&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E8%88%87%E5%88%86%E6%9E%90) [Business Review](index=10&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) In 2022, both core businesses faced challenges from global economic uncertainty and China's lockdowns, leading to a 33% drop in total Group revenue - Global manufacturing supply chains were impacted by geopolitical tensions and the pandemic, yet demand for rare earth permanent magnet materials in new energy vehicles and wind power continued to grow[41](index=41&type=chunk) [Rare Earth Business](index=10&type=section&id=%E7%A8%80%E5%9C%9F%E6%A5%AD%E5%8B%99) In 2022, rare earth business sales decreased 36% to HKD 547 million, with volumes down 25% to 670 tonnes, resulting in a gross loss due to extensive plant remediation Rare Earth Business Performance | Indicator | 2022 | 2021 | Change | | :--- | :--- | :--- | :--- | | Sales | 546,615 Thousand HKD | 858,249 Thousand HKD | -36% | | Sales Volume | Approx. 670 Tonnes | - | -25% | | Gross Margin | Approx. -6% | - | Turned from profit to loss | - The business operation model has gradually transitioned to focus on trade processing, with extensive plant land remediation affecting business operations[42](index=42&type=chunk) - Geographic market distribution remains highly concentrated in the China domestic market, accounting for approximately **97%** of total rare earth product revenue[69](index=69&type=chunk) [Refractory Materials Business](index=11&type=section&id=%E8%80%90%E7%81%AB%E6%9D%90%E6%96%99%E6%A5%AD%E5%8B%99) Affected by China's lockdowns and weak downstream demand, refractory materials sales decreased 26% to HKD 264 million, with volumes down, resulting in a segment gross margin of approximately 12% Refractory Materials Business Performance | Indicator | 2022 | 2021 | Change | | :--- | :--- | :--- | :--- | | Sales | 263,798 Thousand HKD | 354,222 Thousand HKD | -26% | | Segment Gross Margin | Approx. 12% | - | - | | Refractory Materials Sales Volume | Approx. 24,600 Tonnes | - | -30% | | Magnesia Sales Volume | Approx. 18,900 Tonnes | - | -15% | - The magnesia business turned from profit to loss with a gross loss rate of approximately **7%** due to unstable supply and soaring costs of raw materials (magnesite, electrodes)[71](index=71&type=chunk) - Overseas markets (Japan, South Korea, etc.) saw increased exports due to economic recovery, raising their share of refractory product revenue to approximately **32%**[85](index=85&type=chunk) [Environmental Remediation Project](index=12&type=section&id=%E7%92%B0%E5%A2%83%E7%B6%AD%E8%AD%B7%E5%B7%A5%E7%A8%8B) The Group undertook a comprehensive soil and groundwater remediation project at its Yixing rare earth plant, incurring a cost of approximately HKD 326 million recognized as other operating expenses, a primary cause of the annual loss - To comply with government environmental requirements and fulfill social responsibility, soil pollution remediation was conducted at the Yixing plant[86](index=86&type=chunk) - The total cost of the remediation project was approximately **HKD 326 million**, recognized as other operating expenses in the income statement and completed by year-end[86](index=86&type=chunk)[55](index=55&type=chunk) [Outlook and Strategies](index=12&type=section&id=%E5%B1%95%E6%9C%9B%E8%88%87%E7%AD%96%E7%95%A5) The Group is optimistic about the rare earth market, especially demand from new energy industries, and plans to seek strategic collaborations, consider relocating the Yixing production line, and anticipates a recovery in refractory materials demand - Strategic priorities include seizing new energy development opportunities, focusing on high-end rare earth permanent magnet materials, and adhering to high-quality development[47](index=47&type=chunk) - The Group is actively resuming cooperation discussions with China Northern Rare Earth (Group) and conducting due diligence on an investment with Longchuan Zhongxin Xisheng to extend upstream development[74](index=74&type=chunk) - As a long-term plan, the Group is considering relocating the Yixing rare earth separation production line to be closer to rare earth mineral sources and enhance efficiency[48](index=48&type=chunk) [Liquidity and Financial Resources](index=14&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91%E5%8F%8A%E8%B2%A1%E5%8B%99%E8%B3%87%E6%BA%90) The Group maintains a prudent financial policy with approximately HKD 1.45 billion in cash and no bank borrowings as of year-end 2022, maintaining a low 6% total liabilities to total assets ratio Liquidity Indicators (December 31, 2022) | Indicator | Amount (Thousand HKD) | | :--- | :--- | | Cash and Bank Deposits | 1,452,386 | | Net Current Assets | 2,017,629 | | Bank Facilities | 167,917 (RMB 150 Million) | | Utilized Facilities | 0 | - The Group has no borrowings from any banks or financial institutions, nor does it hold any financial derivative products[50](index=50&type=chunk) - Due to slower customer payments and delayed accounts receivable aging, the Group increased its provision for impairment losses on accounts receivable by approximately **HKD 15.29 million** at year-end[76](index=76&type=chunk) [Corporate Governance and Other Information](index=14&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%8F%8A%E5%85%B6%E4%BB%96%E8%B3%87%E8%A8%8A) [Employees and Remuneration](index=14&type=section&id=%E5%83%B1%E5%93%A1%E5%8F%8A%E8%96%AA%E9%85%AC) As of year-end 2022, the Group employed approximately 360 staff, with annual employee costs of approximately HKD 36.38 million, and granted 100 million share options - As of December 31, 2022, the Group employed a total of approximately **360** staff, similar to the previous year-end[77](index=77&type=chunk) - Total employee costs for the year (including directors' emoluments) amounted to approximately **HKD 36.38 million**, a slight decrease from 2021[77](index=77&type=chunk) - On November 30, 2022, a total of **100,000,000** share options were granted to certain eligible participants, with an exercise price of **HKD 0.51** per share[78](index=78&type=chunk)[91](index=91&type=chunk)

Financial Performance - For the six months ended June 30, 2022, the company reported revenue of HKD 400,403,000, a decrease of 25.8% compared to HKD 539,065,000 for the same period in 2021[5] - Gross profit for the same period was HKD 44,529,000, down from HKD 49,578,000, reflecting a gross margin of approximately 11.1%[5] - The net profit for the period was HKD 11,099,000, a decline of 26.5% from HKD 15,169,000 in the previous year[5] - Basic and diluted earnings per share decreased to HKD 0.49 from HKD 0.62, representing a drop of 21%[5] - The total comprehensive loss for the period was HKD 111,710,000, compared to a comprehensive income of HKD 46,251,000 in the prior year, primarily due to foreign exchange losses[8] - The reported segment profit for rare earth products was HKD 9,956,000, down from HKD 21,740,000 in the previous year, reflecting a decline of 54.1%[23] - The company's net profit for the period was approximately HKD 11,099,000, a decrease of about 27% compared to the same period in 2021[44] - Basic earnings per share were approximately HKD 0.49, down from HKD 0.62 in the previous year[35] Assets and Liquidity - Current assets decreased to HKD 2,490,957,000 from HKD 2,575,215,000, indicating a reduction in liquidity[12] - Total assets less current liabilities were HKD 2,779,746,000, down from HKD 2,891,639,000, reflecting a decline in overall financial position[12] - The company's cash and cash equivalents stood at HKD 1,599,210,000, a decrease from HKD 1,819,833,000[10] - Cash and cash equivalents decreased to HKD 1,599,210,000 at the end of the period, down from HKD 1,757,813,000 at the end of June 30, 2021[18] - The company's accounts receivable decreased to HKD 497,879,000 from HKD 539,962,000 as of December 31, 2021[38] - As of June 30, 2022, the group held cash and bank deposits totaling approximately HKD 1,599,210,000, a decrease of over HKD 200,000,000 from the end of 2021[56] Revenue Breakdown - Revenue from rare earth oxides was HKD 267,981,000, a decrease of 28.4% from HKD 374,627,000 in the previous year[25] - Revenue from refractory materials was HKD 110,635,000, down from HKD 133,085,000, representing a decline of 17.0%[25] - The rare earth segment's revenue decreased by approximately 28% to about HKD 267,981,000, accounting for approximately 67% of total revenue[44] - The refractory segment's revenue decreased by about 19% to approximately HKD 132,422,000, representing about 33% of total revenue[44] Operational Activities - The net cash used in operating activities was HKD (147,519,000) for the six months ended June 30, 2022, compared to HKD (2,508,000) in the same period of 2021[18] - In the first half of 2022, the group sold approximately 12,100 tons of refractory materials, a decrease of over 25% compared to the same period last year, with sales revenue around HKD 110,635,000, down about 17% year-on-year[49] - The group sold about 6,500 tons of magnesia sand products, a significant decrease of approximately 45% year-on-year, with sales revenue down about 30% to approximately HKD 21,787,000[50] Strategic Initiatives - The company continues to explore market expansion opportunities and new product development strategies to enhance future growth prospects[5] - The group plans to actively seek partnerships and has signed a strategic cooperation framework agreement with Northern Rare Earth Group to explore collaboration opportunities[53] - The group has engaged a professional agency for soil and groundwater environmental investigations, leading to a budgeted remediation project costing approximately HKD 346,118,000[55] Governance and Shareholding - YY Holdings Limited holds 707,179,200 shares, representing approximately 30.20% of the total issued share capital of the company[84] - The board of directors includes four executive directors and three independent non-executive directors, ensuring a diverse governance structure[93] Dividends and Financing - The company did not declare or distribute any dividends for the period ended June 30, 2022[33][34] - The group has not borrowed from any banks or financial institutions during the review period and maintained a financing limit of approximately HKD 175,398,000[58] - The company did not declare an interim dividend for the six months ended June 30, 2022, consistent with the previous year[60]

Financial Performance - The revenue for the year ended December 31, 2021, was HK$1,212 million, representing an increase from HK$1,112 million in 2020, which is a growth of 9%[19] - The net assets as of December 31, 2021, were HK$2,890 million, up from HK$2,785 million in 2020, indicating a growth of 3.8%[21] - The company reported a profit of HK$24 million for the year 2021, compared to HK$20 million in 2020, marking a 20% increase in profitability[19] - For the year ended December 31, 2021, the Group recorded revenue of approximately HK$1,212,471,000, an increase of about 9% compared to HK$1,112,317,000 in 2020[34] - The Group's net profit was approximately HK$25,436,000, an increase of about 23% from HK$20,608,000 in 2020[36] Revenue Breakdown - Rare Earth Products accounted for 99% of total revenue in 2021, while Refractory Products contributed 1%[26] - Revenue from rare earth products rose by about 6% to approximately HK$858,249,000, accounting for about 71% of total revenue[36] - Revenue from refractory products increased by about 17% to HK$354,222,000, accounting for about 29% of total revenue[36] - The refractory materials segment recorded revenue of approximately HK$354,222,000, an increase of about 17% compared to the previous year, with a gross profit margin of 15%[44][47]. - The Group sold approximately 34,800 tonnes of refractory materials, representing an increase of approximately 25% year-on-year, although the average selling prices decreased by about 15%[49]. Market Outlook and Strategy - The company plans to expand its market presence in Japan and Europe, which are key regions for growth[30] - The management has indicated a positive outlook for 2022, expecting continued revenue growth driven by increased demand for rare earth products[30] - The rare earth products market outlook is optimistic due to increased demand for new energy and clean energy products[35] - The Group plans to monitor market supply and demand changes, particularly in light of geopolitical uncertainties affecting rare earth supply and prices[53][55]. Operational Efficiency and Sustainability - The company is focusing on the development of new technologies in rare earth processing to enhance product quality and efficiency[30] - The gross profit margin for 2021 was maintained at a healthy level, reflecting effective cost management strategies[30] - The Group's rare earth business model has transformed to focus on trading and processing high-end products, limiting the impact of environmental regulations[39] - The Group is committed to sustainable practices in its operations, aligning with global environmental standards[30] - The Group plans to invest in upgrading environmental protection equipment and optimizing daily production processes to align with increasing ecological conservation standards set by the Chinese government[59] Financial Position and Assets - As of December 31, 2021, the Group held cash and bank deposits totaling approximately HK$1,819,833,000, a slight increase from approximately HK$1,740,255,000 at the end of 2020, mainly due to the appreciation of Renminbi during the year[60] - Accounts receivable before impairment loss increased by approximately 18% to approximately HK$583,157,000 at the end of 2021, with about 85% aged less than six months, indicating limited risk of bad debts[62] - The Group's net current assets amounted to approximately HK$2,575,215,000 as of December 31, 2021, similar to the level at the end of 2020, with total liabilities to total assets ratio remaining at approximately 5%[63] Corporate Governance - The Company has adopted its own code of corporate governance based on the principles of the Corporate Governance Code and has complied with it throughout the year ended December 31, 2021[97] - The Board currently comprises seven members, including four executive directors and three independent non-executive directors[108] - The Company has ensured compliance with the Listing Rules regarding the minimum number of independent non-executive directors throughout the year ended December 31, 2021[126] - The Board has established three committees: Audit, Remuneration, and Nomination, each with defined terms of reference[147] - Continuous professional development for directors is provided to enhance their skills and knowledge in accordance with regulatory requirements[119] Director and Management Information - The Group's overall business development policies are formulated by Ms. Qian Yuanying, who has over 30 years of experience in the rare earth and refractory materials industries[79] - Mr. Jiang Quanlong, with over 30 years of industry experience, is responsible for internal and external coordination and business relationship development[80] - Mr. Jiang Dawei has been the CEO since 2017, overseeing the overall management and marketing of the Group's business[81] - The Company Secretary is responsible for maintaining minutes of all Board and committee meetings, ensuring transparency and accountability[123] - The independent non-executive directors possess expertise in financial management and related business areas, providing strategic advice to the Company[126]

CRE 中 國稀土控股有限公司 China Rare Earth Holdings Limited (於開曼群島註冊成立之有限公司) 股份代號：00769 40 球 01 | --- | --- | |----------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------| | | | | 公司資料 董事 執行董事 | 香港法律顧問 趙不渝 馬國強律師事務所 | | 錢元英女士 （主席） 蔣泉龍先生 蔣大偉先生 | 核數師 天健德揚會計師事務所有限公司 | | 蔣才南先生 獨立非執行董事 | 主要往來銀行 | | 黃春華先生 金重先生 竇學宏先生 | 中國 中國建設銀行股份有限公司 招商銀行股份有限公司 中國交通銀行股份有限公司 中國農業銀行股份有限公司 | | 審核委員會 黃春華先生 （主席） 金重先生 竇學宏先 ...

中國稀土控股有限公司 China Rare Earth Holdings Limited (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立之有限公司) Stock code 股份代號 : 00769 Annual Report 2020 年報 T Manu INTERNECES 70 are | (0.9 a jaka CBB n 国 アイレン 82 41 31 - 10.04 更 r p 12 88 2 目 錄 CONTENTS 4 6 16 20 37 50 59 60 61 63 64 66 164 公司資料 Corporate Information 財務摘要 Financial Highlights 主席報告書 Chairman's Statement 董事及高級管理人員簡介 Directors and Senior Management Profile 企業管治報告 Corporate Governance Report 董事會報告 Directors' Report 獨立核數師報告 Independent ...

Financial Performance - For the six months ended June 30, 2020, the company reported revenue of HKD 459,842,000, an increase from HKD 438,972,000 in the same period of 2019, representing a growth of 4.0%[3] - The gross profit for the same period was HKD 39,830,000, down from HKD 42,978,000 in 2019, indicating a decrease of 5.0%[3] - The net profit for the period was HKD 10,807,000, compared to HKD 14,095,000 in 2019, reflecting a decline of 23.0%[3] - Basic and diluted earnings per share decreased to HKD 0.45 from HKD 0.60, a reduction of 25.0%[3] - The total comprehensive loss for the period was HKD 37,670,000, compared to a comprehensive income of HKD 3,790,000 in 2019[5] - The reported segment profit for the rare earth division was HKD 17,637 for the first half of 2020, compared to HKD 12,907 in 2019, reflecting an increase of 36%[17] - The company recorded a comprehensive profit before tax of HKD 14,014 for the six months ended June 30, 2020, down from HKD 16,698 in the same period of 2019, a decrease of 16%[22] - Revenue from external customers in the rare earth segment was HKD 332,001 for the six months ended June 30, 2020, compared to HKD 284,315 in 2019, marking an increase of 17%[19] - For the six months ended June 30, 2020, the company recorded revenue of approximately HKD 459,842,000, an increase of about 5% compared to approximately HKD 438,972,000 for the same period in 2019[37] - Net profit for the period was approximately HKD 10,807,000, a decrease of about 23% compared to approximately HKD 14,095,000 for the same period in 2019[37] - Basic earnings per share were approximately HKD 0.045, down from HKD 0.060 in 2019[37] Cash and Assets - The company's cash and cash equivalents increased to HKD 1,644,768,000 from HKD 1,478,953,000, showing a growth of 11.2%[7] - Current assets decreased to HKD 2,450,089,000 from HKD 2,464,774,000, a decline of 0.6%[7] - The total assets less current liabilities stood at HKD 2,566,671,000, down from HKD 2,604,954,000, a decrease of 1.5%[9] - The company's equity attributable to owners decreased to HKD 2,557,701,000 from HKD 2,595,445,000, a decline of 1.5%[9] - The total cash and cash equivalents at the end of the reporting period was HKD 1,644,768, compared to HKD 1,711,316 at the end of June 30, 2019, showing a decrease of 3.9%[13] - The group maintained a cash and bank deposit balance of approximately HKD 1,644,768,000 as of June 30, 2020, an increase of about HKD 165,815,000 from the end of the previous year[49] Operating Activities - For the six months ended June 30, 2020, the net cash generated from operating activities was HKD 195,951, compared to HKD 50,430 for the same period in 2019, representing a significant increase of 287%[13] - The company incurred a financial cost of approximately HKD 28,000 for the six months ended June 30, 2020, a decrease from HKD 85,000 in the same period of 2019, representing a reduction of 67%[20] - The income tax expense for the six months ended June 30, 2020, was HKD 3,207, compared to HKD 2,603 in 2019, which is an increase of 23%[23] - The company reported a depreciation expense of HKD 15,569 for property, plant, and equipment for the six months ended June 30, 2020, compared to HKD 16,391 in 2019, a decrease of 5%[22] Sales and Market Performance - The company sold approximately 670 tons of rare earth products, representing a growth of about 35% compared to the same period last year[40] - The refractory materials segment sold approximately 12,700 tons of products, a decrease of about 50% compared to the same period last year, with sales revenue of approximately HKD 117,575,000, down about 15% year-on-year[43] - The magnesium sand segment sold approximately 4,800 tons of products, a decrease of about 50% year-on-year, with sales revenue of approximately HKD 10,266,000, down about 38% compared to the previous year[45] - Domestic sales of refractory products accounted for approximately 84% of the segment's revenue, with the Japanese market contributing about 12%[45] - The proportion of domestic sales in China increased to approximately 98%, while exports to markets such as Japan and Europe dropped to about 2%[42] Corporate Governance and Compliance - The company did not buy, sell, or redeem any of its listed securities during the six months ending June 30, 2020[72] - The audit committee reviewed the accounting principles and practices adopted by the group and discussed audit, internal control, and financial reporting matters, including the unaudited interim financial statements for the six months ending June 30, 2020[73] - The company maintained compliance with the corporate governance code throughout the six months ending June 30, 2020[75] - All directors confirmed compliance with the standard code for securities transactions during the six months ending June 30, 2020[76] - The company has maintained sufficient public float as required by the listing rules up to the date of this report[77] - The board of directors consists of four executive directors and three independent non-executive directors as of the report date[78] Future Outlook and Strategic Plans - The company provided a future outlook, projecting a revenue growth of 12% for the second half of 2020[79] - New product launches are expected to contribute an additional HKD 2 billion in revenue by the end of the fiscal year[79] - The company is investing HKD 500 million in R&D for new technologies aimed at enhancing user experience[79] - Market expansion plans include entering two new regions, which are projected to increase market share by 5%[79] - The company is considering strategic acquisitions to bolster its product offerings, with a budget of HKD 1 billion allocated for potential deals[79] Employee and Director Information - Employee costs, including director remuneration, totaled approximately HKD 14,359,000, a decrease of about 14% year-on-year[52] - The board of directors recommended not to declare an interim dividend for the six months ended June 30, 2020[53] - As of June 30, 2020, the company had a total of 707,179,200 shares held by YY Holdings Limited, representing approximately 30.20% of the company's issued share capital[56] - The company reported that the beneficial owner, Qian Yuanying, holds 707,179,200 shares through a trust, with her spouse, Jiang Quanlong, holding an additional 21,000,000 shares, which is 0.90% of the issued share capital[57] - Jiang Quanlong and Qian Yuanying together control 728,179,200 shares, accounting for 31.10% of the company's issued share capital[56]