Financial Performance - The company reported a total revenue of RMB 307.2 million from pipeline natural gas sales, a decrease of 2.1% compared to RMB 313.7 million for the year ended December 31, 2023[14]. - Revenue from retail customer sales decreased by 3.1% to RMB 295.5 million compared to RMB 305.0 million for the year ended December 31, 2023[15]. - Revenue from wholesale customer sales increased by 34.5% to RMB 11.7 million, up from RMB 8.7 million for the year ended December 31, 2023, driven by the addition of a new wholesale customer[16]. - Revenue from compressed natural gas and liquefied natural gas sales dropped by 31.8% to RMB 18.0 million, down from RMB 26.4 million for the year ended December 31, 2023, due to increased electric vehicle usage[17]. - Revenue from construction and installation services decreased by 21.5% to RMB 30.0 million, compared to RMB 38.2 million for the year ended December 31, 2023, as clean energy projects neared completion[18]. - Total revenue for the year was RMB 370.4 million, an 8.2% decrease from RMB 403.5 million for the year ended December 31, 2023, attributed to a slowdown in industrial activity[21]. - Gross profit decreased by 10.9% to RMB 57.8 million, down from RMB 64.9 million for the year ended December 31, 2023, reflecting the decline in revenue[22]. - The company recorded a net profit attributable to owners of RMB 30.0 million, a 22.4% increase from RMB 24.5 million for the year ended December 31, 2023, driven by reduced administrative expenses and increased other income[29]. Customer Base and Market Dynamics - The total volume of pipeline natural gas sold was approximately 87.6 million cubic meters, down 2.0% from about 89.4 million cubic meters for the year ended December 31, 2023[14]. - The customer base included 154,854 residential active users, 374 industrial active users, and 5,131 commercial active users, representing increases of approximately 6.8%, 1.4%, and 3.3% respectively compared to the previous year[10]. - The company anticipates challenges in 2024 due to a slowdown in the overall economy and reduced demand from industrial users, particularly in the textile and manufacturing sectors[11]. Operational Strategy and Projects - The company plans to continue expanding its pipeline network and clean energy projects to increase the penetration rate of natural gas supply in rural areas[9]. - The company is adapting to government policies promoting the use of natural gas as a cleaner energy source, which is expected to benefit the natural gas industry[8]. - The company received compensation from insurance institutions related to a gas explosion incident, contributing to higher net profit in 2024 compared to 2023[13]. - The average procurement cost of pipeline natural gas is aligned with market price fluctuations, with net profit and profit margins not significantly affected by market volatility due to government pricing policies[13]. Financial Management and Capital Structure - Administrative expenses reduced by 14.8% to RMB 22.4 million from RMB 26.3 million for the year ended December 31, 2023, primarily due to lower professional and consulting fees[23]. - Other income increased by 53.8% to RMB 6.0 million, compared to RMB 3.9 million for the year ended December 31, 2023, mainly due to insurance compensation received[25]. - Trade and other receivables decreased by 36.8% to RMB 89.5 million from RMB 141.7 million as of December 31, 2023, due to the repayment of loans[30]. - As of December 31, 2024, the company's capital debt ratio is 19.8%, up from 14.2% on December 31, 2023[34]. - The company has maintained a net cash position and expects sufficient cash and bank balances to meet operational needs[34]. Leadership and Management - Mr. Luan has over 20 years of experience in the natural gas industry and over 42 years in the transportation industry, with more than 27 years in operations and management[53]. - Mr. Luan Xiaolong, the CEO, has over eight years of experience in the natural gas industry and over three years in banking and corporate management[58]. - The company has a strong leadership team with Mr. Luan Linxin serving as an executive director since August 2021, focusing on overall management and supervision[59]. - The company emphasizes its leadership's experience and recognition in the industry as a key asset for future growth and development[56]. Corporate Governance and Compliance - The company has adopted the corporate governance principles and practices as outlined in the listing rules, ensuring compliance with applicable codes[144]. - The board of directors consists of six members, including three executive directors and three independent non-executive directors[151]. - All independent non-executive directors have confirmed their independence according to the listing rules[158]. - The company has established a reporting channel for employees and other contacts to report any misconduct anonymously[145]. - The audit committee reviewed the annual performance for the year ending December 31, 2024, including the adopted accounting standards and practices[141]. Shareholder Information and Dividends - The company reported a proposed final dividend of HKD 0.037 per share, totaling approximately HKD 16.4 million for the fiscal year ending December 31, 2024[85]. - As of December 31, 2024, the company's distributable reserves for dividends amounted to approximately RMB 225.9 million[88]. - The company has 154 employees as of December 31, 2024, and has established a compensation committee to review its compensation policies[125]. Risk Management and Internal Controls - The internal control system is designed to provide reasonable assurance against material misstatements and to manage operational risks[188]. - The audit committee and risk management committee assist the board in reviewing the effectiveness of the risk management and internal control systems at least annually[191]. - The company has engaged an independent internal control consultant to review and monitor the overall operations and risk management assessments[191]. Future Outlook and Strategic Initiatives - The company is committed to promoting low-carbon energy natural gas and improving residents' quality of life[145]. - The company aims to establish measurable goals for achieving board diversity and will report on progress annually[185]. - The company is focused on investing in business to support long-term performance[145].

Financial Performance - For the fiscal year ending December 31, 2024, revenue was RMB 370.4 million, a decrease of 8.2% compared to 2023[3] - Net profit for the year was RMB 30.2 million, an increase of 19.8% from 2023, resulting in a net profit margin of 8.2% compared to 6.3% in 2023[3] - Basic earnings per share for the year were RMB 0.07, an increase of RMB 0.01 from 2023[3] - Total revenue for the year ended December 31, 2024, was RMB 370,424,000, down 8.2% from RMB 403,488,000 in 2023[18] - Gross profit decreased by 10.9% to RMB 57.8 million compared to RMB 64.9 million for the year ended December 31, 2023, with a gross margin of 15.6%[47] - The company recorded a net profit attributable to owners of RMB 30.0 million, an increase of 22.4% from RMB 24.5 million for the year ended December 31, 2023, driven by reduced administrative expenses and increased other income[54] Revenue Breakdown - Revenue from pipeline natural gas sales for the year ended December 31, 2024, was RMB 307,193,000, a decrease of 2.4% from RMB 313,669,000 in 2023[18] - Revenue from compressed natural gas and liquefied natural gas sales decreased by 31.8% to RMB 18,004,000 in 2024 from RMB 26,393,000 in 2023[18] - Revenue from retail customer sales decreased by 3.1% to RMB 295.5 million compared to RMB 305.0 million for the year ended December 31, 2023[41] - Revenue from wholesale customer sales increased by 34.5% to RMB 11.7 million compared to RMB 8.7 million for the year ended December 31, 2023, driven by the addition of a new wholesale customer[42] - Revenue from construction and installation services decreased by 21.5% to RMB 30.0 million compared to RMB 38.2 million for the year ended December 31, 2023, as clean energy projects entered the final stages[44] Dividend Policy - The board proposed a final dividend of HKD 0.037 per ordinary share for the year[3] - The company will distribute no less than 10% of the specific annual net profit as dividends under the revised dividend policy effective from March 27, 2025[3] - The proposed final dividend for the year is HKD 0.037 per share, an increase from HKD 0.033 in 2023, subject to shareholder approval[77] - The company plans to declare and distribute no less than 10% of the specific annual net profit as dividends to shareholders[83] - Any future declaration and payment of dividends will require board approval and will be reviewed periodically based on the company's operational performance and financial condition[83] Assets and Liabilities - Total assets as of December 31, 2024, amounted to RMB 588.6 million, an increase from RMB 549.3 million in 2023[7] - Cash and bank balances increased to RMB 224.2 million from RMB 127.5 million in 2023[6] - Trade and other receivables decreased to RMB 78.6 million from RMB 126.4 million in 2023[6] - Total liabilities increased to RMB 274.6 million from RMB 252.5 million in 2023[7] - The company reported a total of RMB 89,498,000 in trade and other receivables as of December 31, 2024, down from RMB 141,707,000 in 2023, reflecting a decrease of approximately 37%[27] Operational Insights - The company primarily engages in the sale of natural gas and related services in Shandong Province, China[8] - The company aims to improve the safety management of its natural gas business and will prioritize investments in operational safety management[35] - The company anticipates challenges in 2024 due to a slowdown in the overall economy and reduced demand from industrial users, particularly in the textile and manufacturing sectors[38] - The average procurement cost of pipeline natural gas is aligned with market price fluctuations, with net profit and profit margins not significantly affected by market volatility[39] - The company is actively expanding its pipeline network and clean energy projects in rural areas, contributing to a steady increase in its customer base[35] Financial Costs and Income - Total financial income for the year ended December 31, 2024, was RMB 1,951,000, a decrease of 19.8% from RMB 2,435,000 in 2023[22] - Total financial costs for the year ended December 31, 2024, amounted to RMB 3,133,000, significantly higher than RMB 603,000 in 2023, resulting in a net financial cost of RMB 1,182,000[22] - Financial costs increased by 416.7% to RMB 3.1 million compared to RMB 0.6 million for the year ended December 31, 2023, due to increased bank borrowings[52] Corporate Governance - The company has established an audit committee consisting of three independent non-executive directors to review the annual performance[75] - The company has complied with all applicable corporate governance codes during the year, with minor deviations noted[72] - The company’s auditors have confirmed that the preliminary performance figures align with the audited consolidated financial statements for the year[76] Future Plans - The company plans to adopt new and revised Hong Kong Financial Reporting Standards effective from January 1, 2024, but these will not have a significant impact on the current or past financial performance[13] - The company is currently analyzing new regulations and assessing the impact of revised standards on its financial statements[15] - The group plans to extend the timeline for the use of unutilized net proceeds to complete ongoing projects, including the replacement of gas meters and upgrades to urban pipeline networks, without significant adverse impact on operations[69]

JY GAS LIMITED 交运燃气有限公司 (於開曼群島註冊成立的有限公司) 股份代號： 1407 | --- | --- | --- | |---------------------------------------------|-------|-------| | and The Resident of the State States of the | | | | | | | | | | | | | | | | | | | | | | 1924. | | 中期 報告 | | | | --- | --- | --- | --- | --- | |-------|-------------------------------------------------------------------------------------------------------------------------|-------|-------|------------------------| | | | | | | | | | | | | | | 目 錄 | | | | | | 公司資料 2 管理層討論及分析 ...

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 193.6 million, a decrease of 5.3% compared to the same period in 2023[1] - Gross profit for the same period was RMB 28.1 million, down 9.4%, with a gross margin of 14.5% compared to 15.2% in 2023[1] - Net profit for the period was RMB 15.6 million, representing a decrease of 19.1% from the previous year[1] - Operating profit for the period was RMB 21.4 million, down from RMB 25.9 million in the same period last year[2] - Basic and diluted earnings per share attributable to owners of the company were RMB 0.03, compared to RMB 0.04 in 2023[2] - Total revenue for the six months ended June 30, 2024, was RMB 193,629,000, down 5.3% from RMB 204,539,000 in the prior year[13] - The net profit attributable to the owners of the company for the six months ended June 30, 2024, was RMB 15,248,000, down 18.4% from RMB 18,723,000 for the same period in 2023[20] - Basic earnings per share for the six months ended June 30, 2024, was RMB 0.03, compared to RMB 0.04 for the same period in 2023[20] - The company's net profit attributable to owners was RMB 15.2 million, a decrease of 18.7% from RMB 18.7 million in the same period of 2023[42] Dividend Policy - The board of directors resolved not to declare an interim dividend for the six months ended June 30, 2024[1] - The company did not declare an interim dividend for the six months ending June 30, 2024, maintaining a consistent policy from the previous year[27] - The Board has resolved not to declare an interim dividend for the six months ended June 30, 2024[58] Assets and Liabilities - Total assets as of June 30, 2024, amounted to RMB 571.2 million, an increase from RMB 549.3 million as of December 31, 2023[3] - Total liabilities as of June 30, 2024, were RMB 272.1 million, up from RMB 252.5 million at the end of 2023[4] - Trade and other receivables decreased to RMB 58.1 million from RMB 126.4 million in the previous year[4] - The net amount of trade and other receivables as of June 30, 2024, was RMB 76,901,000, a decrease of 45.7% from RMB 141,707,000 as of December 31, 2023[21] - As of June 30, 2024, trade receivables amounted to RMB 75,028,000, an increase of 2.2% from RMB 73,431,000 as of December 31, 2023[22] - Total trade and other payables reached RMB 84,741,000 as of June 30, 2024, up 25.2% from RMB 67,691,000 at the end of 2023[24] - The company reported bank borrowings of RMB 70,000,000 as of June 30, 2024, an increase from RMB 40,000,000 as of December 31, 2023, with interest payable of RMB 76,000[26] Revenue Breakdown - Revenue from pipeline natural gas sales for the six months ended June 30, 2024, was RMB 167,522,000, a decrease of 4.3% from RMB 174,618,000 for the same period in 2023[13] - Revenue from compressed natural gas and liquefied natural gas sales was RMB 10.0 million, a decrease of 23.7% from RMB 13.1 million in the same period of 2023[35] - Revenue from construction and installation services was RMB 12.0 million, down 11.1% from RMB 13.5 million in the same period of 2023[36] - The total revenue from pipeline natural gas sales was RMB 167.5 million, a decrease of 4.1% compared to RMB 174.6 million in the same period of 2023[33] Operational Metrics - The number of active residential pipeline gas users increased by approximately 3.5% to 150,161 as of June 30, 2024, compared to the previous year[31] - The total sales volume of pipeline natural gas was approximately 47.6 million cubic meters, remaining stable compared to 47.7 million cubic meters in the same period of the previous year[31] - The average selling price of pipeline natural gas to industrial and commercial users decreased, leading to a revenue drop from RMB 123.7 million in 2023 to RMB 99.9 million in the current period[33] Financial Costs and Income - Interest income from bank deposits for the six months ended June 30, 2024, was RMB 306,000, a decrease of 54.5% from RMB 673,000 in the prior year[17] - Total financial income for the six months ended June 30, 2024, was RMB 1,321,000, an increase of 26.0% from RMB 1,047,000 in the same period of 2023[17] - The total financial costs for the six months ended June 30, 2024, were RMB (1,472,000), an increase of 103.4% from RMB (475,000) in the prior year[17] - The income tax expense for the six months ended June 30, 2024, was RMB 5,639,000, a decrease of 22.3% from RMB 7,257,000 for the same period in 2023[18] - The effective tax rate for the period was 26.6%, compared to 27.4% in the same period of 2023[41] Compliance and Governance - The group has identified certain deficiencies in compliance processes and fund management, with remedial measures recommended by internal control consultants being implemented[53] - The company has adopted the "Standard Code of Conduct for Securities Transactions by Directors of Listed Issuers" as per Appendix C3 of the Listing Rules, confirming compliance by all directors during the period[55] - The Audit Committee, consisting of three independent non-executive directors, has reviewed the unaudited interim consolidated financial information for the six months ended June 30, 2024, and reached an agreement with management on the interim performance[58] - No purchase, sale, or redemption of the company's listed securities occurred during the period, and as of June 30, 2024, the company holds no treasury shares[56] Employee Metrics - The group employed a total of 137 employees in China as of June 30, 2024, compared to 104 employees as of June 30, 2023, with total employee costs amounting to RMB 58 million during the period[49] Future Outlook - The government policies in Shandong Province are expected to support the growth of natural gas consumption, with a target of natural gas accounting for no less than 9% of total energy consumption by 2025[28]

Financial Performance - The total revenue from pipeline natural gas sales for the year was RMB 313.7 million, a decrease of 14.0% compared to RMB 364.8 million for the year ended December 31, 2022[16]. - The group's total revenue for the year was RMB 403.5 million, a decrease of 15.1% from RMB 475.5 million for the year ended December 31, 2022[26]. - Gross profit for the year was RMB 64.9 million, down 35.6% from RMB 100.7 million for the year ended December 31, 2022[27]. - The gross profit margin decreased from 21.2% for the year ended December 31, 2022, to 16.1% for the current year[27]. - Revenue from retail customers for pipeline natural gas sales was RMB 305.0 million, a decrease of 14.4% from RMB 356.4 million for the year ended December 31, 2022[17]. - The profit attributable to owners of the company for the year was RMB 24.5 million, a decrease of 51.8% from RMB 50.8 million for the year ended December 31, 2022, due to reduced revenue and gross profit, as well as recorded other losses[37]. Sales and User Statistics - The company reported a total pipeline natural gas sales volume of approximately 89.4 million cubic meters for the year, a decrease of about 11.7% compared to the previous year[11]. - As of the end of the year, the company had 145,023 active residential users, 369 active industrial users, and 4,968 active commercial users, representing increases of approximately 2.5%, a decrease of 1.3%, and an increase of 21.4% respectively[11]. - The sales volume for industrial, residential, and commercial pipeline gas users was 56.1 million, 24.6 million, and 5.6 million cubic meters, respectively, accounting for approximately 65.0%, 28.5%, and 6.5% of total retail sales volume[17]. Operational Overview - The company operates a city pipeline network comprising approximately 714.5 kilometers of completed medium-pressure pipelines[11]. - The company is the largest natural gas operator in Gaomi City, with a 30-year exclusive operating agreement covering about 70% of the city's total administrative area[11]. - The company faced challenges in 2023 due to a slowdown in economic activity and a decline in demand from the manufacturing sector[14]. Future Outlook and Strategic Initiatives - The company anticipates business growth driven by favorable government policies and the overall positive outlook for the natural gas industry[8]. - The company aims to enhance its safety management level and expand its customer base through the continuous implementation of government-subsidized clean energy projects[10]. - The company plans to strengthen its technological capabilities and safety measures to ensure operational safety and market opportunities[10]. - Future outlook indicates a projected revenue growth of 20% year-over-year, driven by new product launches and market expansion initiatives[70]. - The company is investing in research and development for new technologies, aiming to introduce at least two innovative products in the next fiscal year[71]. - Market expansion efforts include entering three new regional markets, which are anticipated to contribute an additional 5 million in revenue[72]. Governance and Compliance - The company has established a robust governance structure with various committees, including audit, risk management, and nomination committees, to ensure accountability and performance[82]. - The board consists of six directors, including three executive directors and three independent non-executive directors[191]. - The company has adopted the corporate governance code principles and complied with all applicable code provisions during the year ended December 31, 2023, except for a deviation from code provision C.1.8[182]. - The company has established indemnity provisions for directors against losses and liabilities incurred in the performance of their duties[132]. Employee and Compensation Information - The group employed a total of 136 employees in China as of December 31, 2023, compared to 102 employees as of December 31, 2022, with total employee costs amounting to RMB 9.0 million for the year[51]. - The company has established a compensation committee to review its compensation policies[162]. Related Party Transactions - The independent non-executive directors have reviewed and confirmed that the ongoing related party transactions are conducted on normal commercial terms[153]. - The auditor has issued an unqualified opinion regarding the ongoing related party transactions for the year[155]. - The company has complied with the disclosure requirements under the relevant listing rules regarding related party transactions[156]. Capital and Financial Position - The company maintained a net cash position as of December 31, 2023, with total bank borrowings of RMB 40.0 million at an average interest rate of 4.4%[43]. - Trade and other receivables as of December 31, 2023, were RMB 141.7 million, an increase of 114.7% from RMB 66.0 million as of December 31, 2022, mainly due to outstanding balances related to loans provided by a wholly-owned subsidiary[38]. - Current assets as of December 31, 2023, were RMB 302.4 million, an increase of 21.9% from RMB 248.0 million as of December 31, 2022[41]. Environmental and Sustainability Initiatives - The management team emphasized the importance of sustainability initiatives, aiming for a 30% reduction in carbon emissions over the next five years[75]. - The company is committed to promoting low-carbon energy natural gas applications to improve residents' quality of life[183].

Financial Performance - For the year ended December 31, 2023, revenue was RMB 403.5 million, a decrease of 15.1% compared to 2022[3] - Net profit for the year was RMB 25.2 million, down 51.5% from 2022, with a net profit margin of 6.3% compared to 10.9% in 2022[3] - Basic earnings per share for the year were RMB 0.06, a decrease of RMB 0.09 from 2022[3] - Operating profit for the year was RMB 34.3 million, down from RMB 72.7 million in 2022[4] - Total revenue for the year ended December 31, 2023, was RMB 403,488,000, down 15.1% from RMB 475,531,000 in 2022[29] - Gross profit for the year was RMB 64.9 million, down 35.6% from RMB 100.7 million for the year ended December 31, 2022[71] - The gross profit margin decreased from 21.2% for the year ended December 31, 2022, to 16.1% for the current year[71] - Profit attributable to owners of the company was RMB 24.5 million, a decrease of 51.8% from RMB 50.8 million for the year ended December 31, 2022, primarily due to reduced revenue and gross profit, as well as recorded other net losses[80] Dividend Policy - The board proposed a final dividend of HKD 0.033 per ordinary share for the year[3] - The revised dividend policy will distribute at least 50% of the specific annual net profit as dividends starting from March 25, 2024[3] - The company plans to declare a final dividend of HKD 0.033 per share for the current year, subject to shareholder approval, with the dividend expected to be paid on or before August 9, 2024[109] Assets and Liabilities - Total assets as of December 31, 2023, amounted to RMB 549.3 million, an increase from RMB 501.4 million in 2022[12] - Total liabilities increased to RMB 252.5 million in 2023 from RMB 212.2 million in 2022[12] - Cash and bank balances decreased to RMB 127.5 million from RMB 173.0 million in 2022[10] - As of December 31, 2023, the total net trade and other receivables amounted to RMB 141,707,000, a significant increase of 114.0% compared to RMB 65,985,000 in 2022[43] - The net trade receivables from third parties decreased to RMB 15,280,000 in 2023 from RMB 26,185,000 in 2022, reflecting a decline of 41.8%[43] - The net other receivables increased dramatically to RMB 71,814,000 in 2023 from RMB 2,945,000 in 2022, marking a growth of 2,335.5%[43] - The total trade and other payables decreased slightly to RMB 67,691,000 in 2023 from RMB 68,300,000 in 2022, a reduction of 0.9%[48] - The bank borrowings as of December 31, 2023, amounted to RMB 40,000,000, guaranteed by several related parties, compared to RMB 18,000,000 secured by investment properties in 2022[51] Revenue Sources - Revenue from pipeline natural gas sales for the year ended December 31, 2023, was RMB 313,669,000, a decrease of 14.0% from RMB 364,763,000 in 2022[29] - Revenue from retail customers for pipeline natural gas sales was RMB 305.0 million, a decrease of 14.4% from RMB 356.4 million for the year ended December 31, 2022[63] - Revenue from construction and installation services was RMB 38.2 million, a decrease of 22.8% from RMB 49.5 million for the year ended December 31, 2022[67] Operational Highlights - The company is primarily engaged in the sale of natural gas and related services in Shandong Province[14] - The number of active residential pipeline gas users increased by approximately 2.5% to 145,023 in 2023, while industrial users decreased by 1.3% to 369[59] - The total pipeline gas sales volume for the year was approximately 89.4 million cubic meters, a decrease of about 11.7% compared to the previous year[59] - The company aims to enhance its gas safety management system and emergency response capabilities to ensure user safety and operational efficiency[56] - The company is committed to expanding its pipeline network, which currently spans approximately 714.5 kilometers of completed medium-pressure pipelines[59] Government and Regulatory Compliance - The company received government grants totaling RMB 280,000 during the year ended December 31, 2023[33] - The company has not adopted new accounting standards that will take effect on January 1, 2024, and is currently assessing their potential impact[25] - The company has complied with all applicable provisions of the corporate governance code during the year, with certain deviations noted regarding insurance arrangements for directors[102] Management and Governance - The company has established an audit committee consisting of three independent non-executive directors to review the group's accounting principles and policies[106] - The chairman and executive director is Mr. Luan Linjiang[119] - The executive directors include Mr. Luan Xiaolong and Mr. Luan Linxin[119] - Independent non-executive directors are Mr. Wei Yi, Mr. Tian Qiang, and Ms. Liu Xiaoye[119]

Revenue and Sales Performance - The total revenue from pipeline natural gas sales was RMB 174.6 million, a decrease of 7.8% compared to RMB 189.4 million in the same period of 2022[16]. - Revenue from retail customer sales of pipeline natural gas was RMB 170.2 million, a decrease of 8.1% compared to RMB 185.3 million in the same period of 2022[17]. - Revenue from wholesale customer sales of pipeline natural gas increased by 9.8% to RMB 4.5 million from RMB 4.1 million in the same period of 2022, despite a 5.9% decrease in sales volume[18]. - Revenue from construction and installation services decreased by 38.1% to RMB 13.5 million from RMB 21.8 million in the same period of 2022, primarily due to a slowdown in the real estate market[21]. - Revenue from gas appliance sales increased by 17.9% to RMB 3.3 million from RMB 2.8 million in the same period of 2022, attributed to a shift from coal gas appliances to gas appliances among residential customers[22]. - Total revenue for the period was RMB 204.5 million, a decrease of 10.0% from RMB 227.4 million in the same period of 2022[25]. - Revenue for the six months ended June 30, 2023, was RMB 204,539,000, a decrease of 10.1% compared to RMB 227,356,000 in the same period of 2022[69]. - The company reported a net other income of RMB 2,313,000 for the six months ended June 30, 2023, compared to RMB 929,000 in the same period of 2022[114]. Customer Base and Market Expansion - The volume of pipeline natural gas sold was approximately 47.7 million cubic meters, down 10.8% from about 53.5 million cubic meters in the same period of 2022[16]. - The number of active residential pipeline gas users was 144,914, showing a change of approximately 2.4% compared to December 31, 2022[12]. - The number of active commercial pipeline gas users increased by 16.6% to 4,772 compared to December 31, 2022[12]. - The company plans to continue investing in expanding its pipeline network to increase customer coverage in Gaomi City[10]. - The company aims to implement clean energy village projects to enhance natural gas supply in rural areas of Gaomi City[10]. Financial Performance - Gross profit decreased by 27.7% to RMB 31.0 million from RMB 42.9 million in the same period of 2022, with a gross margin decline from 18.9% to 15.2%[26]. - Profit attributable to owners of the company was RMB 18.7 million, a decrease of 19.0% from RMB 23.1 million in the same period of 2022[31]. - Operating profit decreased to RMB 25,929,000, representing a decline of 24.2% from RMB 34,208,000 in the previous year[69]. - Basic and diluted earnings per share were RMB 0.04, down from RMB 0.07 in the same period last year[69]. - The company reported a decrease in inventory to RMB 7,464,000 from RMB 9,800,000 year-over-year[74]. - The company reported a net decrease in cash and cash equivalents of RMB 18,439,000, compared to a decrease of RMB 12,571,000 in the previous year[83]. Assets and Liabilities - As of June 30, 2023, the group's current assets amounted to RMB 233.6 million, a decrease of 5.8% from RMB 248.0 million as of December 31, 2022[34]. - The group's cash and bank balance as of June 30, 2023, was RMB 157.3 million, with a current ratio of 131.8% compared to 128.2% as of December 31, 2022[34]. - The group's debt ratio was 40.4% as of June 30, 2023, down from 42.3% as of December 31, 2022, and it had no borrowings[34]. - Total assets as of June 30, 2023, were RMB 487,963,000, a decrease from RMB 501,374,000 at the end of 2022[74]. - Total liabilities decreased to RMB 197,168,000 from RMB 212,172,000 at the end of the previous year[74]. Tax and Expenses - Income tax expense decreased by 24.0% to RMB 7.3 million from RMB 9.6 million in the same period of 2022, with an effective tax rate of 27.4%[30]. - Total sales and administrative expenses decreased to RMB 182,770,000 in 2023 from RMB 195,869,000 in 2022, representing a reduction of approximately 6.0%[115]. - Financial income increased significantly to RMB 1,047,000 in 2023 from RMB 327,000 in 2022, marking a growth of 220.5%[116]. Share Capital and Dividends - As of June 30, 2023, Mr. Luan Xiaolong holds 217,800,000 shares, representing approximately 49.50% of the issued share capital[61]. - Mr. Luan Linjiang holds 108,900,000 shares, representing approximately 24.75% of the issued share capital[61]. - The total issued share capital of the company as of June 30, 2023, is 440,000,000 shares[61]. - The company has not declared an interim dividend for the six months ended June 30, 2023[68]. - The company declared a final dividend of RMB 0.039 per share for the year ended December 31, 2022, approved on June 16, 2023[151]. Related Party Transactions - The company has significant related party transactions with entities controlled by its directors, including loans and service agreements[156]. - Revenue from related party transactions with Shandong Shihua decreased to RMB 88,778 thousand in 2023 from RMB 99,434 thousand in 2022, representing a decline of approximately 11.1%[158]. - Total receivables from related parties increased to RMB 5,424 thousand as of June 30, 2023, compared to RMB 3,286 thousand at the end of 2022, reflecting a growth of approximately 65.0%[166].

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。 JY GAS LIMITED 交 運 燃 气 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：1407） 截 至 2023 年 6 月 30 日 止 六 個 月 的 中 期 業 績 公 告 財務摘要 ‧ 截至2023年6月30日止六個月（「本期間」）收入為人民幣204.5百萬元，較 2022年同期減少10.0%。 ‧ 本期間毛利為人民幣31.0百萬元，較2022年同期減少27.7%，本期間毛利率 為15.2%，而2022年同期為18.9%。 ‧ 本期間純利為人民幣19.2百萬元，較2022年同期減少19.7%。 ‧ 董事會決議不宣派截至2023年6月30日止六個月的中期股息。 ...

User Growth and Market Expansion - The company reported a total of 141,471 residential active users, 374 industrial active users, and 4,092 commercial active users, representing increases of approximately 13.8%, 15.1%, and 17.7% respectively compared to the end of 2021[11] - The company reported a significant increase in user data, with a year-over-year growth of 25% in active users[65] - The urbanization rate in Gaomi City was 59.3% in 2016 and is expected to rise to 69.0% by 2026, providing significant opportunities for the company to expand its user base[8] - The company plans to invest in expanding its pipeline network to increase customer coverage in Gaomi City, which is experiencing rapid urbanization and rising natural gas demand[9] - Market expansion efforts include entering three new provinces in China, aiming for a 20% increase in market share by the end of the year[68] Financial Performance - The company's total revenue for the year was RMB 475.5 million, an increase of 7.9% compared to RMB 440.9 million for the year ended December 31, 2021[25] - Pipeline gas sales generated total revenue of RMB 364.8 million, up 19.5% from RMB 305.2 million for the year ended December 31, 2021[16] - Retail sales of pipeline gas to customers generated revenue of RMB 356.4 million, an increase of 18.7% from RMB 300.3 million for the year ended December 31, 2021[17] - The gross profit for the year was RMB 100.7 million, a 3.5% increase from RMB 97.2 million for the year ended December 31, 2021[26] - The company's profit attributable to owners decreased by 24.7% to RMB 50.8 million compared to RMB 67.5 million for the year ended December 31, 2021, primarily due to the lack of government subsidies related to the zero coal policy and increased listing expenses[31] Operational Efficiency and Challenges - The company faced temporary disruptions in operations due to COVID-19, particularly in March-April and December 2022, but overall demand remained strong during other periods[12] - The average cost of pipeline gas increased unexpectedly throughout 2022, although the procurement price was not significantly affected by the Russia-Ukraine conflict[15] - The company is focusing on enhancing operational efficiency and safety to solidify its position as the largest natural gas operator in Gaomi City[9] - The company has achieved a 30% reduction in operational costs through efficiency improvements and technology upgrades[71] Investment and Future Outlook - Future outlook indicates a projected revenue growth of 15% for the next fiscal year, driven by new product launches and market expansion strategies[66] - The company is investing in new technologies, with a budget allocation of $10 million for R&D in the upcoming year[67] - A new product line is set to launch in Q2 2023, expected to contribute an additional $5 million in revenue[70] Governance and Management - The company has a strong focus on governance with independent directors overseeing strategy, policy, performance, accountability, and resource management[76][79] - The management team has extensive experience across various sectors, enhancing operational efficiency and strategic decision-making[83][84] - The company has established a framework for ongoing related party transactions with its major shareholders and subsidiaries[133] - The board consists of six directors, including three executive directors and three independent non-executive directors, ensuring compliance with listing rules regarding board composition[184] Shareholder and Dividend Information - The board has approved a dividend payout of $1 million, reflecting the company's strong financial position and commitment to shareholder returns[74] - The company reported a final dividend of RMB 0.039 per share, totaling approximately RMB 17.2 million, subject to shareholder approval at the annual general meeting[102] - The company’s reserves available for distribution as dividends were approximately RMB 124.0 million as of December 31, 2022[106] Compliance and Legal Matters - The company has complied with all relevant laws and regulations that significantly impact its business operations during the reporting period[99] - As of December 31, 2022, the company had no significant litigation or arbitration cases pending[104] - The company has not made any insurance arrangements for potential legal actions against directors, citing a low likelihood of such occurrences[197] Employee and Workforce Information - The total employee cost for the year was RMB 8.4 million, with the workforce increasing to 102 employees from 99 in the previous year[50] - The company provides various employee benefits including pension, medical, unemployment, work injury, maternity insurance, and housing fund contributions[155]

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。 JY GAS LIMITED 交 運 燃 气 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：1407） 截 至 2022 年 12 月 31 日 止 年 度 的 年 度 業 績 公 告 財務摘要 ‧ 截至2022年12月31日止年度（「報告期間」或「本年度」）收入為人民幣475.5百 萬元，較2021年增加7.9%。 ‧ 本年度淨利潤為人民幣52.0百萬元，較2021年減少24.0%，本年度淨利潤率 為10.9%。 ‧ 本年度非香港財務報告準則經調整淨利潤為人民幣69.1百萬元，較2021年減 少7.0%。本年度非香港財務報告準則經調整淨利潤率為14.5%(附註)。 ‧ 本年度每股基本盈利為人民幣15分，較2021年減少人民幣5分。 ...