Financial Performance - The company reported a loss attributable to owners of approximately RMB 20.3 million for the first half of 2024, compared to a loss of RMB 6.5 million in the same period of 2023, representing an increase of 215%[7]. - Revenue decreased by 2.8% to approximately RMB 768.8 million in the first half of 2024, down from RMB 790.6 million in the first half of 2023[7]. - The gross profit margin fell from 6.0% in the first half of 2023 to 2.7% in the first half of 2024 due to a decline in product selling prices[7]. - The overall gross profit margin decreased from 6.0% in the first half of 2023 to 2.7% in the first half of 2024, a decline of 3.3 percentage points[17]. - The gross profit margin for chilled and frozen chicken turned negative at -4.9% in the first half of 2024 due to price reductions to maintain market competitiveness[19]. - The company recorded a tax credit of RMB 0.3 million for the first half of 2024, benefiting from deferred tax credits due to certain subsidiaries engaging in qualifying agricultural activities[25]. - The company reported a total comprehensive loss of RMB 6,352 for the six months ended June 30, 2024, compared to a total comprehensive loss of RMB 6,623 for the same period in 2023[56]. - The reported loss before tax for the six months ended June 30, 2024, was RMB 20,056, compared to a loss of RMB 6,556 for the same period in 2023, indicating a significant increase in losses[62]. - Basic and diluted loss per share for the period was RMB (4.6), compared to RMB (1.5) in the same period last year[50]. Revenue Breakdown - Revenue from processed foods decreased by 8.6% to approximately RMB 354.6 million, primarily due to a decrease in export sales driven by lower international trade demand[10]. - Revenue from chilled and frozen chicken products increased by 10.2% to RMB 320.0 million, contributing 41.6% of total revenue[10]. - Revenue from chilled and frozen rabbit meat products decreased by 20.9% to RMB 79.6 million, contributing 10.4% of total revenue[10]. - Revenue from other products, including pet food and feed products, increased by RMB 2.9 million to RMB 14.5 million, representing a growth of 24.6% due to higher unit prices[15]. - The company’s revenue from the processed food segment for the six months ended June 30, 2024, was RMB 354,598, while the cold and frozen chicken segment generated RMB 320,010[61]. - The company's revenue from product sales for the six months ended June 30, 2024, was RMB 768,771,000, a decrease of 2.1% compared to RMB 790,603,000 for the same period in 2023[19]. Cost and Expenses - Selling and distribution expenses increased by RMB 2.5 million to approximately RMB 25.5 million, mainly due to higher advertising and promotional costs[23]. - Other income decreased by RMB 13.0 million to RMB 4.0 million in the first half of 2024, primarily due to a decline in chicken prices affecting fair value changes of biological assets[22]. - The total employee cost for the review period was approximately RMB 76.2 million, a decrease from RMB 81.4 million for the six months ended June 30, 2023[33]. - The company's administrative expenses decreased to RMB 15,572 for the six months ended June 30, 2024, from RMB 34,388 for the same period in 2023, a reduction of 54.7%[62]. - Total employee costs decreased to RMB 76,196,000 from RMB 81,448,000, reflecting a reduction of 6.5% year-over-year[64]. - Financing costs decreased to RMB 2,951,000 from RMB 6,940,000, a significant reduction of 57.5% compared to the previous year[65]. Assets and Liabilities - As of June 30, 2024, the company's net asset value was approximately RMB 533.6 million, a decrease from RMB 553.6 million as of December 31, 2023[27]. - Total current assets increased to approximately RMB 942.5 million from RMB 906.9 million as of December 31, 2023, with cash and bank balances at RMB 302.5 million[27]. - Trade receivables increased by RMB 48.0 million to approximately RMB 140.0 million, primarily due to higher sales in Q2 2024 compared to Q4 2023[26]. - Trade payables and notes increased by RMB 55.1 million to approximately RMB 469.1 million, primarily due to the issuance of more notes to settle payments with suppliers[26]. - The company's equity attributable to owners decreased to RMB 533,569 thousand from RMB 553,600 thousand, indicating a decline in shareholder value[53]. - Current liabilities increased to RMB 961,108 thousand from RMB 907,115 thousand, reflecting a rise in trade payables and bank borrowings[52]. - Non-current liabilities totaled RMB 136,889 thousand, up from RMB 121,412 thousand at the end of the previous year[53]. Strategic Initiatives - The company plans to increase investment in new product development, focusing on high-value-added processed foods to enhance competitiveness and market resilience[8]. - The company aims to optimize its product mix, strengthen cost management, and expand new sales channels to improve overall performance[8]. - The external environment for the consumer industry remains complex, with challenges from trade protectionism and global economic downturns impacting business operations[9]. Shareholder and Corporate Actions - The group did not declare any interim dividend for the first half of 2024, consistent with the previous year[34]. - The company did not recommend the payment of an interim dividend for the six months ended June 30, 2024, nor for the six months ended June 30, 2023[43]. - The group had no significant investments, acquisitions, or disposals during the six months ended June 30, 2024[35]. - On June 25, 2024, the company entered into a placement agreement to issue up to 86,589,600 shares at a placement price of HKD 0.25 per share, with gross proceeds of HKD 5.0 million expected[49]. - The net proceeds from the placement, after deducting related fees, are approximately HKD 4.9 million, intended for general working capital to strengthen the company's financial position[49]. - A framework agreement was established on July 31, 2024, with Qingdao Kangda Holding Group for product mutual supply, effective from August 1, 2024, to December 31, 2026[49]. - A lease agreement was signed on July 31, 2024, for property located in Qingdao, effective from August 1, 2024, to December 31, 2026[49]. Related Party Transactions - Sales to related parties for the six months ended June 30, 2024, were RMB 2.594 million, down from RMB 9.704 million in the same period of 2023, indicating a decline of 73%[78]. - Purchases from related parties for the same period were RMB 1.537 million, a decrease from RMB 12.405 million in 2023, reflecting a decline of 88%[78]. - Rental income from related parties was RMB 1.625 million for the six months ended June 30, 2024, compared to RMB 1.176 million in 2023, showing an increase of 38%[78]. - The company received guarantees for bank loans from related parties amounting to RMB 768.335 million, up from RMB 557 million in the previous year, representing an increase of 38%[78]. - The total remuneration for key management personnel was RMB 556 thousand, a significant decrease from RMB 6.306 million in the previous year, indicating a decline of 91%[78]. - The company continues to engage in transactions with related parties as part of its regular business operations, adhering to the terms negotiated with those parties[79].

Financing and Loans - The company has successfully negotiated to extend the repayment of related party loans to April 22, 2025, and has received written confirmations from all relevant banks for loan renewals[5]. - As of the reporting period, the company has obtained written confirmations from several banks to renew RMB 60 million of bank loans, which are now due in the second year[6]. - The company has received an additional loan of RMB 50 million after the reporting period, with a term of approximately one year[9]. - The company has successfully renewed RMB 40 million of loans before the due date and repaid RMB 10 million[14]. - The company has received letters of intent from banks indicating their willingness to renew the remaining RMB 128 million of bank loans, subject to formal approval[7]. Production and Operational Performance - The production volume in the processed food segment increased by approximately 7.0% during the five months from January 1, 2024, to May 31, 2024, compared to the same period in 2023[14]. - The production volume in the refrigerated and frozen chicken segment increased by approximately 20.6% during the same five-month period[14]. Future Plans and Strategies - The company plans to improve operational efficiency and expand its production capacity to enhance future profitability and cash flow[10]. - The company plans to expand its cold storage facilities to enhance rapid cooling and storage capacity, with completion expected by July 2024[16]. - Cost control measures are being strengthened, with a board restructuring and salary adjustments completed in January 2024, leading to anticipated lower expenses compared to 2023[16]. Going Concern and Financial Health - The audit committee agrees with management's assessment that the company can operate on a going concern basis[13]. - Management believes that the financing and business plans will be successful, ensuring sufficient working capital to meet financial obligations[10]. - The company believes it can operate on a going concern basis and has effective measures in place to improve its financial condition[15]. - The auditor will focus on the appropriateness and effectiveness of the measures implemented, particularly regarding related party loans and debt restructuring plans[15]. - The company expects to provide sufficient audit evidence to the auditor to demonstrate adequate operating funds for at least the next 12 months[15].

Financial Performance - In the fiscal year 2023, the company reported a revenue of RMB 1,657.3 million, a decrease of 5.07% from RMB 1,745.8 million in fiscal year 2022[9]. - The gross profit for fiscal year 2023 was RMB 95.1 million, down 21.7% from RMB 121.5 million in fiscal year 2022[9]. - The net loss attributable to shareholders was RMB 8.4 million, an improvement of 45.8% compared to a loss of RMB 15.4 million in fiscal year 2022[21]. - The basic loss per share for fiscal year 2023 was RMB 1.9, compared to RMB 3.6 in fiscal year 2022[9]. - The company experienced a decrease in other income by RMB 29.5 million due to a decline in fair value changes of biological assets[21]. - The company reported a loss attributable to owners of approximately RMB 84 million for the fiscal year 2023, a decrease of RMB 70 million or 45.8% compared to a loss of RMB 154 million in fiscal year 2022[40]. - Revenue decreased by 5.1% from approximately RMB 1,745.8 million in fiscal year 2022 to approximately RMB 1,657.3 million in fiscal year 2023[40]. - The overall gross profit margin declined from 7.0% in fiscal year 2022 to 5.7% in fiscal year 2023[50]. - The company reported a significant increase in user data, with a growth rate of over 20% year-on-year in the last quarter[30]. Revenue Breakdown - Revenue from processed food increased by 8.0% to approximately RMB 797.6 million, driven by new product development and customer acquisition[45]. - Revenue from chilled and frozen chicken rose by 7.5% to approximately RMB 643.7 million, supported by increased market demand and expanded production capacity[46]. - Revenue from chilled and frozen rabbit meat increased by 17.4% to approximately RMB 188.0 million, fueled by growing overseas demand[47]. - Revenue from other products decreased by 88.7% to RMB 28.1 million due to a strategic reduction in pet food production and sales[48]. - Revenue from China increased by 2.6% to RMB 1,220.2 million, contributing 73.6% of total revenue, while export revenue decreased by 21.5% to RMB 437.1 million[49]. Strategic Initiatives - The company aims to increase investment in new product development, focusing on high value-added processed foods to enhance competitiveness[23]. - The company plans to optimize its product mix and strengthen cost management to improve overall performance[23]. - The company will continue to strengthen its core capabilities and expand new sales channels to enhance overall performance[23]. - Future outlook indicates a projected revenue growth of 15% for the upcoming fiscal year, driven by new product launches and market expansion strategies[36]. - The company is investing in R&D for new technologies, with a budget allocation of approximately $5 million for the next fiscal year[36]. - Market expansion plans include entering three new regional markets by the end of 2024, aiming for a 10% market share in each[36]. - The company is considering strategic acquisitions to enhance its product portfolio, targeting companies with annual revenues between $10 million and $50 million[36]. Operational Efficiency - The company reported a 25% increase in production efficiency due to recent technological upgrades[30]. - The gross margin for refrigerated and frozen rabbit meat increased from 7.2% in the fiscal year 2022 to 10.6% in the fiscal year 2023, attributed to higher overseas sales prices[53]. - The gross margin for other products, mainly pet food and by-products of chicken and rabbit meat, decreased from 13.0% in the fiscal year 2022 to 5.5% in the fiscal year 2023 due to a decline in pet food sales volume[54]. Financial Outlook - The financial outlook includes a guidance of $100 million in net profit for the upcoming year, representing a 20% increase from the previous year[36]. - The company plans to enhance its digital marketing efforts, with a budget increase of 15% to improve customer engagement[36]. Governance and Management - The company appointed Ms. Lang Ying as the Executive Director and CEO on January 26, 2024, bringing 10 years of financial management experience[28]. - The board of directors has undergone significant changes, with multiple resignations and appointments occurring between July 2023 and January 2024[91]. - The company emphasizes compliance with international financial reporting standards to ensure accurate financial statements reflecting its condition[92]. - The chairman and CEO roles are held by the same individual, Mr. Fang Yu, who has extensive experience in the financial industry, providing strong leadership for the company[94]. - The board has established various committees to enhance internal controls and effectively monitor the company's operations[94]. Risk Management - The company has maintained a robust risk management and internal control system, which is continuously reviewed[186]. - The board is responsible for assessing and determining the nature and extent of risks the group is willing to take to achieve its strategic objectives[134]. - The group engaged external consultants to perform internal audit functions to ensure the effectiveness and efficiency of its risk management and internal control systems[135]. Shareholder Communication - The company has established a shareholder communication policy to ensure effective communication with shareholders and encourage their participation in meetings[187]. - The company encourages shareholder participation in annual meetings, where board members will address questions[155]. - The board has reviewed the effectiveness of the shareholder communication policy, which is deemed effective due to good communication with shareholders in the past[155]. Employee and Board Composition - The company has a gender ratio of approximately 49.3% male to 50.7% female among its employees as of December 31, 2023[145]. - The company has maintained a diverse board composition, balancing skills, experience, and knowledge necessary for effective decision-making[167]. - The nomination committee will continue to review the effectiveness of the board's diversity policy and seek suitable candidates to ensure diversity, including gender diversity[167].

Financial Performance - For the year ended December 31, 2023, the total revenue was RMB 1,657,308, a decrease of 5.04% from RMB 1,745,787 in 2022[2] - Gross profit for the same period was RMB 95,132, down 21.73% from RMB 121,545 in 2022[2] - The net loss for the year was RMB 8,043, an improvement of 46.73% compared to a net loss of RMB 15,099 in 2022[3] - Basic and diluted loss per share for the year was RMB 1.93, compared to RMB 3.56 in 2022, indicating a reduction in loss per share by 45.7%[3] - The company reported a loss attributable to owners of approximately RMB 8,353,000 for the year ended December 31, 2023[24] - The company reported a pre-tax loss of RMB 8,353,000 for 2023, an improvement from a loss of RMB 15,417,000 in 2022[51] - The company reported a loss attributable to owners of approximately RMB 84 million for the fiscal year 2023, a decrease of RMB 70 million or 45.8% compared to a loss of RMB 154 million in fiscal year 2022[59] - Revenue decreased by 5.1% from approximately RMB 1,745.8 million in fiscal year 2022 to approximately RMB 1,657.3 million in fiscal year 2023[59] Assets and Liabilities - Total assets as of December 31, 2023, amounted to RMB 1,582,898, an increase from RMB 1,376,907 in 2022[4] - Current liabilities increased significantly to RMB 907,115 from RMB 713,173 in 2022, representing a rise of 27.2%[5] - Non-current liabilities rose to RMB 121,412 from RMB 59,012, marking an increase of 105.5%[7] - As of December 31, 2023, the company's current liabilities exceeded its current assets by approximately RMB 229,000[24] - The total amount of bank borrowings and related party loans classified as current liabilities was approximately RMB 342,309,000 as of December 31, 2023[24] - The company’s debt-to-equity ratio was 84.2% as of December 31, 2023, up from 77.7% the previous year, indicating increased leverage[93] Cash Flow and Liquidity - Cash and cash equivalents increased to RMB 284,307 from RMB 197,939, reflecting a growth of 43.5%[4] - The company maintained cash and cash equivalents of RMB 284,307,000 as of December 31, 2023[24] - Cash and cash equivalents increased by approximately 43.6% to about RMB 284.3 million as of December 31, 2023, mainly due to higher collections from trade receivables[86] - The company is taking measures to improve its liquidity and financial position, including negotiating with lenders and seeking new financing sources[109] - The company may face significant uncertainties regarding its ability to continue as a going concern if it fails to implement its plans successfully[110] Revenue Breakdown - Revenue from domestic sales in China increased to RMB 1,220,168,000 in 2023 from RMB 1,188,971,000 in 2022, representing a growth of 2.63%[39] - Revenue from exports decreased significantly, with Japan contributing RMB 152,687,000 in 2023 compared to RMB 179,810,000 in 2022, a decline of 15.1%[39] - Revenue from chilled and frozen chicken increased by 7.5% to approximately RMB 643.7 million, supported by a recovery in consumer demand[66] - Revenue from chilled and frozen rabbit meat rose by 17.4% to approximately RMB 188.0 million, fueled by growing overseas demand[67] - Revenue from other products decreased by 88.7% to RMB 28.1 million due to a strategic reduction in pet food production and sales[68] - Export revenue decreased by 21.5% to RMB 437.1 million, primarily due to a decline in pet food sales[70] Operational Efficiency and Future Plans - The company is focused on expanding its market presence and enhancing product offerings, although specific new products or technologies were not detailed in the report[10] - The group has plans to actively seek other funding sources and improve operational efficiency to enhance future profitability and cash flow[29] - The company plans to enhance its product mix, strengthen cost management, and expand new sales channels to improve overall performance[62] - The company will increase investment in new product development, focusing on high-value processed foods to maintain profitability and competitiveness[60] - The company aims to implement cost control measures to improve future operating cash flow and profitability[29] Compliance and Governance - The company has complied with all applicable corporate governance code provisions, except for the separation of the roles of Chairman and CEO[112] - The company has adopted the standard code for securities trading as per the listing rules, confirming compliance by all directors for the year ending December 31, 2023[116] Significant Events - A related party filed a winding-up petition against the company on October 20, 2023, due to alleged failure to repay loans[26] - The High Court allowed the related party to withdraw the winding-up petition on December 27, 2023, without any order regarding costs[26] - A winding-up petition was filed against the company, but it was withdrawn following an agreement to repay related party loans within three months[107] - No significant events affecting the group have been reported since December 31, 2023, except for the termination of several sale and acquisition agreements due to macroeconomic conditions[117]

Financial Performance - For the six months ended June 30, 2023, the company reported a loss attributable to owners of approximately RMB 65 million, consistent with the loss of RMB 65 million for the same period in 2022[10]. - Revenue decreased by 2.3% from approximately RMB 809 million in the first half of 2022 to approximately RMB 791 million in the first half of 2023[10]. - For the six months ended June 30, 2023, total revenue decreased by 2.3% to RMB 790.6 million compared to RMB 809.0 million in the same period of 2022[21]. - Revenue for the six months ended June 30, 2023, was RMB 790,603 thousand, a decrease of 2.5% compared to RMB 809,010 thousand in the same period of 2022[66]. - The company reported a basic and diluted loss per share of RMB 1.5, unchanged from the previous year[66]. - The total comprehensive income for the period ended June 30, 2023, was a loss of RMB 6,623 thousand, compared to a loss of RMB 6,816 thousand for the same period in 2022[71]. Revenue Breakdown - Revenue from processed food increased by 14.1% to approximately RMB 387.9 million, contributing 49.1% of total revenue[14]. - Revenue from chilled and frozen chicken increased by 10.3% to approximately RMB 290.3 million, driven by increased market demand and higher chicken prices[16]. - Revenue from chilled and frozen rabbit meat surged by 31.2% to approximately RMB 100.7 million, reflecting a focus on processing to meet growing overseas market demand[19]. - Revenue from other products decreased significantly by 91.0% to RMB 11.7 million due to rising raw material prices and a reduction in production[20]. Cost and Profitability - Gross margin improved from 3.8% in the first half of 2022 to 6.0% in the first half of 2023 due to an increase in product selling prices[10]. - Overall gross profit increased by 55.6% to RMB 47.4 million, with gross margin rising from 3.8% to 6.0%[23]. - The gross margin for processed food decreased by 1.9 percentage points to 9.7% due to growth in low-margin domestic sales[24]. - The gross margin for frozen rabbit meat increased from 3.7% to 8.9%, benefiting from reduced transportation costs and a focus on processed rabbit meat[26]. - The cost of goods sold for the six months ended June 30, 2023, was RMB 647,819,000, down from RMB 677,029,000 in the same period of 2022[86]. Expenses and Liabilities - Selling and distribution expenses increased by RMB 5.8 million to approximately RMB 23.0 million, driven by higher advertising and promotional costs[29]. - Total administrative expenses increased to RMB 34,388,000 for the six months ended June 30, 2023, compared to RMB 31,148,000 in the same period of 2022[84]. - The company's total liabilities increased to approximately RMB 474.4 million as of June 30, 2023, compared to RMB 428.2 million as of December 31, 2022, reflecting a rise of about 10.5%[43]. - Current liabilities increased to RMB 889,022 thousand from RMB 713,173 thousand at the end of 2022, indicating a rise in short-term financial obligations[70]. Assets and Cash Flow - As of June 30, 2023, total property, plant, and equipment decreased by 13.7% to approximately RMB 288.6 million[34]. - The company's cash and cash equivalents increased to approximately RMB 215.5 million, up from RMB 197.9 million as of December 31, 2022, representing a growth of about 8.1%[42]. - The company reported an increase in cash and cash equivalents to RMB 215,476 thousand as of June 30, 2023, up from RMB 152,495 thousand at the end of June 2022, representing an increase of approximately 41.3%[73]. - The net cash generated from operating activities was RMB 172,915 thousand, compared to a net cash used of RMB 141,177 thousand in the same period of 2022[73]. Corporate Governance and Shareholder Information - The company did not declare any interim dividend for the first half of 2023, consistent with the previous year[49]. - As of June 30, 2023, the major shareholder, Dingxi Limited, held approximately 75.00% of the issued share capital, totaling 324,708,066 shares[56]. - The company has complied with all corporate governance code provisions as per the Hong Kong Stock Exchange rules, except for the separation of the roles of Chairman and CEO[54]. Market Environment and Future Plans - The external environment remains challenging due to trade protectionism and global economic downturn, but the company believes the impact on its essential consumer products will be limited[11]. - The company plans to increase investment in new product development, focusing on high-value-added processed foods to enhance competitiveness and market resilience[12]. - The company aims to optimize its product mix, strengthen cost management, and expand new sales channels to improve overall performance[12]. - The company has plans for market expansion and new product development, although specific details were not disclosed in the report[66].

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，並明確表示概不就因本公告全部或任何部 分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 CHINA KANGDA FOOD COMPANY LIMITED 中 國 康 大 食 品 有 限 公司 （於百慕達註冊成立的有限公司） 834 （香港股份代號（第一上市）： ） P74 （新加坡股份代號（第二上市）： ） 截至二零二三年六月三十日止六個月的 未經審核中期業績公告 中國康大食品有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然宣佈本公司及其 附屬公司（統稱「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同期的比較數字載列如下。 簡明綜合損益及其他全面收益表 截至二零二三年六月三十日止六個月 截至六月三十日止六個月 二零二三年 二零二二年 附註 人民幣千元 人民幣千元 （未經審核） （未經審核） ...

Financial Performance - In the fiscal year 2022, China Kangda Food Company Limited reported a revenue of approximately RMB 1,745.8 million, representing a 14.9% increase from RMB 1,519.6 million in the previous fiscal year[12]. - The gross profit for the fiscal year 2022 was RMB 121.5 million, which is a significant increase of 68.6% compared to RMB 72.1 million in fiscal year 2021[12]. - The net loss attributable to the owners of the company decreased to RMB 15.4 million in fiscal year 2022, down 62.0% from a loss of RMB 40.6 million in fiscal year 2021[25]. - The company's gross margin improved from 4.7% in fiscal year 2021 to 7.0% in fiscal year 2022, indicating better cost management and pricing strategies[25]. - Revenue increased by 14.9% from approximately RMB 1,519.6 million in the fiscal year 2021 to approximately RMB 1,745.8 million in the fiscal year 2022[45]. - Overall gross profit margin improved to 7.0%, up from 4.7% in the previous fiscal year, with processed food gross margin increasing to 13.4%[54][55]. Product Revenue Breakdown - Processed foods accounted for RMB 738.7 million (42.3%) of total revenue in fiscal year 2022, while chilled and frozen chicken meat contributed RMB 598.7 million (34.3%) and chilled and frozen rabbit meat contributed RMB 160.2 million (9.2%)[19]. - Revenue from chilled and frozen chicken increased by 64.7% to approximately RMB 598.7 million, driven by recovering market demand and increased production capacity[50]. - Revenue from chilled and frozen rabbit meat decreased by 28.1% to approximately RMB 160.2 million due to stricter environmental regulations affecting rabbit farming[51]. - Revenue from other products rose by 27.2% to approximately RMB 248.2 million, largely due to the growth in domestic pet food sales[52]. - Revenue from the Chinese market increased by 24.4% to approximately RMB 1,189.0 million, contributing 68.1% of total revenue[53]. Market and Expansion Strategies - The sales volume and prices of chicken products increased due to the gradual recovery of the consumer market, contributing to the overall revenue growth[25]. - The company continues to adopt stable expansion strategies to strengthen its foothold in the rabbit meat segment, which is a key area of growth[7]. - The company plans to expand its own poultry farms or acquire poultry farms in 2023 to achieve revenue and profit growth[26]. - The company plans to focus on high-value processed foods and high-quality chicken products in 2023, aiming for revenue and profit growth through expanding or acquiring chicken farms[46]. Challenges and Market Conditions - In FY2022, the consumer industry faced challenges due to trade protectionism and global economic recession, but the company's essential products limited the impact of these uncertainties[26]. - The food industry will continue to face low growth rates and intensified competition, with food safety and health being top consumer concerns[27]. - The consumer market rapidly recovered in Q1 2023 following the lifting of pandemic control measures, with expectations for continued consumption upgrades and market growth[26]. Corporate Governance - The company has adhered to the corporate governance code during the fiscal year ending December 31, 2022, with a noted deviation from one specific provision[86]. - The board of directors is responsible for the overall performance of the company and consists of five executive directors and three independent non-executive directors[87]. - The company has established clear guidelines for matters requiring board approval, including mergers and acquisitions, investments, and significant operational policies[91]. - The board has established various committees, including the remuneration committee, to oversee critical functions and ensure effective internal controls[99]. - The company has established a strong corporate governance framework, ensuring compliance with international financial reporting standards and timely disclosure of financial performance[7]. Risk Management and Internal Controls - The company has implemented a corporate risk management framework to assess and address financial, operational, IT, and compliance risks[7]. - The internal audit function identified no significant deficiencies or weaknesses in the internal control system during the fiscal year 2022[141]. - The audit committee reviewed the adequacy and effectiveness of the internal control and risk management systems and provided recommendations for improvement[130]. - The board confirmed that the risk management and internal control systems cover all significant controls, including financial, operational, and compliance controls[142]. Employee and Management Information - Total employee costs for the fiscal year were approximately RMB 201.6 million, up from RMB 195.5 million in the previous fiscal year[77]. - The company employed 1,998 employees in China as of December 31, 2022, down from 2,849 employees a year earlier[77]. - The total remuneration payable to senior management (excluding directors) for the fiscal year 2022 amounted to RMB 2,578,000[107]. - The remuneration for individual directors in the fiscal year 2022 included RMB 4,279,000 for Fang Yu, RMB 720,000 for An Fengjun, and RMB 3,851,000 for Li Wei[111]. Financial Position and Assets - Cash and cash equivalents increased by approximately 42.8% to about RMB 197.9 million as of December 31, 2022, primarily due to increased bank borrowings[67]. - Interest-bearing bank borrowings increased by 136.4% to approximately RMB 305.1 million as of December 31, 2022, following new borrowings of approximately RMB 290.0 million[68]. - The company's asset-liability ratio was 77.7% as of December 31, 2022, compared to 50.2% a year earlier, indicating a significant increase in debt levels[72]. - Biological assets increased by 50.0% in the fiscal year 2022, reflecting the expansion of broiler chicken farming due to market recovery[67]. Shareholder Communication and Policies - The company has established a shareholder communication policy to ensure effective communication with shareholders and encourages participation in annual general meetings[165]. - The company recognizes the benefits of a diverse board and believes it is essential for achieving strategic goals and sustainable development[174]. - The board aims to ensure that changes in its composition do not cause inappropriate disruption[172]. - The company has a dedicated internal investor relations function to facilitate regular communication with shareholders and analysts[165].

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，並明確表示概不就因本公告全部或任何部 分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 CHINA KANGDA FOOD COMPANY LIMITED 中 國 康 大 食 品 有 限 公司 （於百慕達註冊成立的有限公司） 834 （香港股份代號（第一上市）： ） P74 （新加坡股份代號（第二上市）： ） 截至二零二二年十二月三十一日止年度之末期業績公告 中國康大食品有限公司（「本公司」）之董事（「董事」）會（「董事會」）欣然宣佈本公司及 其附屬公司（統稱「本集團」）截至二零二二年十二月三十一日止年度之經審核綜合業 績以及去年之比較數字如下： 綜合全面收益表 截至二零二二年十二月三十一日止年度 二零二二年 二零二一年 附註 人民幣千元 人民幣千元 5 1,745,787 1,519,614 收益 (1,624,242) (1,447,506) 銷售成本 121,545 72,108 ...

Financial Performance - The company reported a net loss attributable to shareholders of approximately RMB 65 million for the first half of 2022, a significant improvement from a net loss of approximately RMB 398 million in the same period of 2021[9]. - Revenue increased by 11.9% from approximately RMB 723.3 million in the first half of 2021 to approximately RMB 809.0 million in the first half of 2022, driven by the recovery in consumer demand[9]. - Total revenue for the first half of 2022 was RMB 809.0 million, an increase of 11.9% compared to RMB 723.3 million in the same period of 2021[17]. - The company recorded a net loss of RMB 6,396 thousand for the six months ended June 30, 2022, significantly improved from a net loss of RMB 40,595 thousand in the prior year, indicating a reduction of 84.2%[50]. - The company reported a basic loss per share of RMB (1.5) for the six months ended June 30, 2022, compared to RMB (9.2) in the same period of 2021, indicating an improvement[50]. Revenue Breakdown - Revenue from processed food decreased by 2.2% to approximately RMB 340 million, attributed to temporary dining restrictions due to COVID-19 in certain regions[12]. - Revenue from chilled and frozen chicken increased by 66.1% to approximately RMB 263.3 million, as consumers shifted to chicken due to rising pork prices since April 2022[14]. - Revenue from chilled and frozen rabbit meat decreased by 26.1% to approximately RMB 76.7 million[12]. - Revenue from other products, primarily pet food and by-products, increased by 13.8% to RMB 129.0 million, driven by growth in the pet food market[16]. - Revenue from China contributed 73.2% of total revenue, with a 25.2% increase to RMB 592.3 million, largely due to increased sales of refrigerated and frozen chicken[19]. Cost and Profitability - The gross profit margin decreased from 4.8% in the first half of 2021 to 3.8% in the first half of 2022 due to rising prices of animal feed raw materials such as corn and soybean meal[9]. - The gross profit margin for processed foods increased by 5.3 percentage points to 11.6% in the first half of 2022, indicating a focus on higher-margin sales channels[24]. - The gross profit margin for refrigerated and frozen chicken dropped by 5.3 percentage points to -9.8% due to rising raw material costs[25]. - Gross profit for the same period was RMB 30,493 thousand, down from RMB 34,373 thousand in 2021, representing a decrease of 11.1%[50]. - The cost of goods sold for the six months ended June 30, 2022, was RMB 677,029 thousand, up from RMB 580,590 thousand in 2021, indicating an increase of approximately 16.56%[75]. Expenses and Income - Other income increased significantly to RMB 23.7 million from RMB 4.1 million, primarily due to the sale of a subsidiary and rental income[28]. - Sales and distribution expenses decreased by RMB 5.2 million to approximately RMB 17.3 million, attributed to reduced export sales and the sale of a subsidiary[29]. - Administrative expenses decreased due to a foreign exchange gain of RMB 3.0 million in the first half of 2022, compared to a loss of RMB 3.7 million in the same period of 2021[30]. - Other operating expenses for the first half of 2022 were RMB 5.4 million, down RMB 8.9 million from RMB 14.3 million in the first half of 2021[30]. - Financing costs decreased by 6.7% to approximately RMB 6.4 million in the first half of 2022, primarily due to a reduction in the average balance of bank borrowings[30]. Assets and Liabilities - Inventory increased by RMB 17.6 million to approximately RMB 145.1 million as of June 30, 2022, consistent with an increase in sales[30]. - Trade receivables increased by RMB 74.6 million to approximately RMB 194.8 million as of June 30, 2022, mainly due to increased sales in the first half of 2022[30]. - The company's total assets decreased to RMB 742,957 thousand from RMB 764,538 thousand, a decline of 2.8%[51]. - Current liabilities totaled RMB 612,569 thousand as of June 30, 2022, slightly up from RMB 599,351 thousand at the end of 2021[51]. - The company's cash and bank balances increased to approximately RMB 152.5 million as of June 30, 2022, up from RMB 138.6 million on December 31, 2021[33]. Debt and Financing - Interest-bearing bank borrowings increased by RMB 178.3 million to approximately RMB 298.8 million as of June 30, 2022, due to new bank loans of approximately RMB 279.8 million and loan repayments of approximately RMB 101.5 million[33]. - The company's debt-to-equity ratio was 82.7% as of June 30, 2022, compared to 50.2% on December 31, 2021[33]. - The total interest-bearing bank borrowings amounted to RMB 298.8 million as of June 30, 2022, compared to RMB 120.5 million as of December 31, 2021[34]. - The annual interest rate for interest-bearing bank borrowings ranged from 2.52% to 4.75% as of June 30, 2022, compared to 1.66% to 4.75% on December 31, 2021[33]. - The company aims to maintain optimal capital structure to reduce capital costs and support future business expansion[33]. Employee and Management - The total employee cost for the review period was approximately RMB 83 million, a decrease from RMB 86.3 million for the six months ended June 30, 2021[34]. - The group employed 2,233 employees in China as of June 30, 2022, down from 2,849 employees as of December 31, 2021[34]. - Short-term employee benefits for directors and other key management personnel were RMB 6,057,000, slightly down from RMB 6,067,000 in the previous year[95]. Corporate Governance - The company has adopted the standard code of conduct and confirmed compliance by all directors for the reporting period[46]. - The board of directors did not recommend any interim dividend for the six months ended June 30, 2022, consistent with the previous year[41]. - The company has not engaged in any significant acquisitions or disposals of subsidiaries or associates during the six months ended June 30, 2022[34]. Market and Strategic Focus - The company plans to focus on high-value-added processed foods and strengthen relationships with key customers to enhance competitiveness and market risk resilience[11]. - The company aims to optimize its product mix, improve cost management, and expand new sales channels to strengthen core capabilities and overall performance[11]. - The company operates in four main business segments: processed food, frozen chicken, frozen rabbit meat, and other products[70].

Financial Performance - For the fiscal year 2021, China Kangda Food Company Limited reported a revenue of RMB 1,519.6 million, a slight decrease of 0.1% from RMB 1,520.8 million in fiscal year 2020[23]. - The gross profit for fiscal year 2021 was RMB 72.1 million, representing a significant decline of 37.6% compared to RMB 115.6 million in fiscal year 2020[23]. - The net loss attributable to shareholders was RMB 40.6 million in fiscal year 2021, worsening from a loss of RMB 36.1 million in fiscal year 2020[23]. - The basic loss per share for fiscal year 2021 was RMB 9.38, compared to a loss of RMB 8.33 per share in fiscal year 2020[10]. - The company's gross margin decreased from 7.6% in fiscal year 2020 to 4.7% in fiscal year 2021 due to rising animal feed costs and declining prices of live chicken[23]. - Sales revenue decreased by 0.1% from approximately RMB 1,520.8 million in the fiscal year 2020 to approximately RMB 1,519.6 million in the fiscal year 2021[41]. - Gross profit decreased by 37.6% from RMB 115.6 million in the fiscal year 2020 to RMB 72.1 million in the fiscal year 2021[41]. Market Strategy - The company plans to focus on high-value-added processed foods to maintain profitability and enhance competitiveness in a challenging market environment[24]. - The company aims to actively develop new markets and customers to counteract the challenges posed by low growth rates and increased competition in the food industry[24]. - The company plans to optimize its product mix, enhance cost management, strengthen brand building, and expand new sales channels to improve overall performance[25]. Product Performance - In the fiscal year 2021, the revenue from processed food increased by 13.6% to approximately RMB 738.2 million, driven by new product development[46]. - The revenue from frozen chicken decreased by 25.4% to approximately RMB 363.4 million due to significant price fluctuations[47]. - The revenue from frozen rabbit meat increased by 33.8% to approximately RMB 222.8 million, supported by the development of new domestic customers[48]. - The gross profit margin for processed food improved from 7.4% in the previous year to 8.4% in fiscal year 2021, benefiting from higher-margin new products[53]. - The gross profit margin for frozen chicken dropped to -8.6% in fiscal year 2021, a decline attributed to falling prices and demand[54]. - The gross profit margin for frozen rabbit meat increased to 7.6% in fiscal year 2021, due to a higher proportion of higher-margin products[55]. Health and Safety - The company has implemented comprehensive health and safety plans to ensure employee well-being and product safety amid the ongoing COVID-19 pandemic[24]. - The company emphasizes the importance of food safety and health, aligning with consumer trends towards healthier options[25]. - Rabbit meat, being high in protein and low in fat and calories, is positioned as a healthier alternative, contributing to the company's core competitive business[25]. Financial Position - As of December 31, 2021, the company's net asset value was approximately RMB 582.2 million, down from RMB 635.2 million a year earlier, with non-current assets at RMB 764.5 million and current assets at RMB 493.2 million[70]. - Cash and cash equivalents decreased by approximately 33.6% to about RMB 138.6 million as of December 31, 2021, primarily due to the repayment of bank loans during the fiscal year[66]. - Trade receivables increased by 38.8% to approximately RMB 120.2 million as of December 31, 2021, driven by increased procurement from major customers due to favorable market trends[66]. - Inventory rose by 5.7% to approximately RMB 127.5 million as of December 31, 2021, as the company maintained higher stock levels in response to positive market trends[66]. - The company's asset-liability ratio improved to 50.2% as of December 31, 2021, down from 67.8% a year earlier, reflecting a net debt of approximately RMB 284.5 million[72]. Corporate Governance - The company reported a clear separation of roles between the Chairman and the CEO, with the current Chairman also serving as CEO, which the board believes provides strong leadership[93]. - All directors received timely and sufficient information regarding the company's business, ensuring effective board operations[93]. - The board has established a shareholder communication policy to maintain effective contact with shareholders and encourage their participation in meetings[95]. - The company has implemented procedures for directors to seek independent professional advice at the company's expense to assist in fulfilling their duties[95]. - The board composition includes a balanced mix of executive and non-executive directors, ensuring strong independent judgment[97]. - The company has maintained a comprehensive list of directors on its website, detailing their roles and whether they are independent non-executive directors[98]. - The company has appointed independent non-executive directors for a term of one year, with the possibility of reappointment upon one month's written notice[99]. Risk Management - The board conducts an annual review of the risk management and internal control systems, covering all significant monitoring aspects including financial, operational, and compliance risks[128]. - The company has established a risk management and internal control system, with the board responsible for its effectiveness and compliance[132]. - The internal audit function has been outsourced to an external auditor, ensuring independence and expertise in the audit process[132]. - The audit committee reviews the effectiveness of internal controls and risk management systems, confirming their adequacy as of December 31, 2021[159]. Employee and Remuneration - The total employee cost for the group was approximately RMB 195.5 million for the fiscal year, slightly increasing from RMB 194.5 million in the previous fiscal year[77]. - The remuneration committee consulted the chairman regarding the remuneration of other executive directors, but did not seek independent professional advice during the fiscal year[117]. - Total remuneration for senior management (excluding directors) amounted to RMB 2,504,000 for the fiscal year 2021[177]. - The company did not recommend any performance bonuses for the fiscal year 2021 due to failure to meet target profit[172]. Audit and Compliance - The audit committee has the authority to consult independent professional advice as needed, with costs covered by the company[136]. - The audit committee's responsibilities include monitoring the relationship with external auditors and ensuring proper arrangements for confidential reporting of misconduct[136]. - The company is committed to maintaining compliance with accounting standards and regulatory requirements[195]. - The audit committee reviewed the independence and objectivity of external auditors, including the nature and extent of non-audit services provided[195].