Financial Performance - Dalipal Holdings Limited reported a revenue of HK$XXX million for the interim period, representing a year-on-year increase of XX%[14]. - The company achieved a net profit of HK$XXX million, reflecting a growth of XX% compared to the previous period[43]. - The Group achieved total revenue of RMB1,539.5 million during the Reporting Period, a decrease of 26.2% from RMB2,087.3 million in the corresponding period of 2023[53][54]. - Revenue from oil and gas pipes decreased by 24.9% to RMB1,004.4 million, down from RMB1,337.4 million in the same period last year[55][56]. - Revenue from new energy pipes and special seamless steel pipes declined by 22.6% to RMB535.1 million, compared to RMB691.7 million in the previous year[55][56]. - Domestic sales revenue fell by 18.2% to RMB1,228.0 million, down from RMB1,501.4 million in the corresponding period of 2023[58]. - Overseas sales decreased by 46.8% to RMB311.5 million, compared to RMB585.9 million in the same period last year[59]. - The decline in revenue was attributed to a slowdown in investment in energy exploration, leading to insufficient market demand and significant drops in both sales volume and prices[56]. - The Group's total gross profit was RMB124.5 million, a decrease of RMB158.6 million from RMB283.1 million for the corresponding period of 2023, resulting in a gross profit margin of 8.1%, down 5.5 percentage points from 13.6%[64]. - The company reported a loss from operations of RMB 35,699, compared to a profit of RMB 108,230 in the previous year[140]. - Loss attributable to equity shareholders for the period was RMB 69,680, compared to a profit of RMB 56,800 in 2023[140]. - Total comprehensive income for the period attributable to equity shareholders was RMB (69,849), a decline from RMB 57,532 in the prior year[140]. Market and Strategic Outlook - The company provided a positive outlook for the next quarter, projecting a revenue growth of XX% driven by new product launches[14]. - Market expansion plans include entering two new regions, expected to contribute an additional HK$XXX million in revenue[14]. - The company is considering strategic acquisitions to enhance its market position, with potential targets identified[14]. - The Group's strategic direction emphasizes specialization and differentiation to navigate the competitive landscape of the seamless steel pipe industry[25]. - The Group plans to establish production facilities in the Middle East to better serve local customers and enhance its international brand presence[51][52]. - The strategic development plan for the Middle East aligns with China's "Belt and Road Initiative," aiming to leverage local policy and financing support[51]. Research and Development - Dalipal is investing in R&D for new technologies, with an allocated budget of HK$XXX million for the upcoming fiscal year[14]. - The Group's self-designed high-grade steel-grade hydrogen sulfide corrosion-resistant casings have been widely used in domestic high-containing hydrogen sulfide shale gas blocks, demonstrating its R&D capabilities[34]. - The Group has built an intelligent production line that includes robots and CNC machine tools, achieving multiple unmanned production units and reducing manpower requirements[37]. - The Group's implementation of a product process big data analysis platform marks it as the first company in the industry to adopt such technology, enhancing operational efficiency[37]. - The Group's strategy focuses on strengthening oil and gas API products while diversifying into non-API pipe special products, aiming to build core competitiveness through structural adjustments and cost reductions[31]. Operational Efficiency and Cost Management - The gross margin improved to XX%, up from XX% in the previous period, indicating better cost management[43]. - The Group has integrated lean improvement with professional management, promoting on-site visualization and 6S activities to enhance operational efficiency[41]. - The Group has promoted differentiated design of products and processes, implementing several cost reduction and efficiency improvement measures[41]. - The Group's sales volume of customized products significantly increased during the Reporting Period, highlighting the effectiveness of its sales-oriented production model[30]. Financial Position and Liquidity - As of 30 June 2024, the Group's cash at bank and on hand amounted to RMB425.0 million, a slight decrease from RMB432.6 million as of 31 December 2023[75]. - Interest-bearing borrowings increased to RMB2,043.8 million as of 30 June 2024, up from RMB1,767.5 million at the end of 2023, with long-term borrowings decreasing to RMB392.4 million[79]. - The gearing ratio rose to 120.7% as of 30 June 2024, an increase of 29.3 percentage points from 91.4% at the end of 2023, attributed to higher borrowings and reduced equity[79]. - The current ratio decreased from 1.15 as of 31 December 2023 to 0.96 as of 30 June 2024, indicating a decline in liquidity[79]. - The Group's net current liabilities amounted to RMB116,892,000, including bank and other borrowings of RMB1,651,376,000 due for repayment within the next twelve months[158]. Shareholder Information and Corporate Governance - As of June 30, 2024, Mr. Meng held a controlling interest in the company with 706,353,600 shares, representing 47.01%[97]. - The audit committee reviewed the interim financial statements without disagreement, ensuring compliance with accounting principles[95]. - The company has complied with all code provisions set out in part 2 of the Corporate Governance Code during the reporting period[94]. - The Share Option Scheme aims to incentivize eligible participants, including employees and directors, to enhance performance efficiency for the Group's benefit[106]. - The Group's share award movement details during the reporting period indicate changes in unvested shares[137]. Environmental and Social Responsibility - The Group's emission levels of sulfur oxides, nitrogen oxides, and particulate matter are far below Hebei Province's ultra-low emission standards due to substantial energy conservation and emission reduction initiatives[40]. - The Group's API products have passed green product certification, and the "green content" of product manufacturing has been continuously improved, with five product carbon footprint evaluation certificates obtained[39]. - The Group aims to create "specialized, refined, exceptional, and innovative" products while adhering to the business philosophy of "intelligent, green, and differentiated"[47]. - The Group has implemented various energy-saving transformation projects, effectively reducing emissions and promoting clean energy supply through photovoltaic power generation[40].

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 1,539.5 million, a decrease of 26.2% from RMB 2,087.3 million in the same period of 2023[2] - Gross profit for the same period was RMB 124.5 million, down 56.0% from RMB 283.1 million year-on-year[2] - Operating loss for the six months was RMB (35.7) million, compared to an operating profit of RMB 108.2 million in the prior year, representing a decline of 133.0%[2] - Loss before tax was RMB (77.2) million, a significant increase from a profit of RMB 65.1 million in the previous year, marking a 218.6% change[2] - Net loss attributable to equity shareholders for the period was RMB (69.7) million, compared to a profit of RMB 56.8 million in the same period last year, reflecting a 222.7% increase in losses[2] - Adjusted net loss margin was (4.5%) for the current period, compared to a margin of 2.8% in the previous year[2] - Basic and diluted loss per share for the period was RMB (0.05), compared to earnings of RMB 0.04 per share in the same period of 2023[2] Assets and Liabilities - Total assets as of June 30, 2024, were RMB 2,534.9 million, an increase from RMB 2,348.7 million as of December 31, 2023[6] - Current liabilities increased to RMB 2,651.8 million from RMB 2,046.5 million at the end of 2023[6] - Net assets attributable to equity shareholders decreased to RMB 1,341.2 million from RMB 1,461.1 million at the end of 2023[6] - As of June 30, 2024, the group's net current liabilities amounted to RMB 116,892,000, including bank and other borrowings of RMB 1,651,376,000, which are due within the next twelve months[9] Revenue Breakdown - The group reported revenue of RMB 1,004,396,000 from the sale of oil and gas pipes, a significant contribution to the total revenue of RMB 2,087,283,000 for the six months ended June 30, 2024[13] - Revenue from the sale of new energy pipes and special seamless steel pipes was RMB 535,058,000, showing a decrease from RMB 691,746,000 in the same period last year[13] - Revenue from mainland China for the six months ended June 30, 2024, was RMB 1,227,931,000, a decrease of 18.2% from RMB 1,501,348,000 in 2023[18] - Domestic sales revenue decreased by 18.2% to RMB 1,228.0 million, compared to RMB 1,501.4 million in the same period of 2023[47] - International sales revenue decreased significantly by 46.8% to RMB 311.5 million, down from RMB 585.9 million in the same period of 2023[47] Cost and Expenses - Total sales cost for the period was RMB 1,415.0 million, a decrease of 21.6% from RMB 1,804.1 million in the same period of 2023, mainly due to reduced sales volume and lower raw material prices[49] - Selling expenses were RMB 79.2 million, a decrease of approximately 8.7% from RMB 86.7 million in the same period of 2023, primarily due to reduced sales[52] - Administrative expenses increased by 16.6% to RMB 108.3 million from RMB 92.9 million in the same period of 2023, mainly due to increased labor costs and share-based payment expenses[53] - Financial costs decreased by 3.8% to RMB 41.5 million from RMB 43.2 million in the same period of 2023, mainly due to optimized financing structure and lower loan interest rates[54] Strategic Initiatives - The group is implementing various strategies to expand into new markets while maintaining stable relationships with existing major customers to generate additional cash flow[10] - The group plans to establish production facilities in the Middle East to better serve local customers and enhance international brand development[43] - The group aims to focus on oil and gas pipes, new energy pipes, and special seamless steel pipes to meet and lead customer demand[42] - The group emphasizes "intelligent, green, and differentiated" business concepts to drive the development of specialized products[42] - The group is committed to enhancing core competitiveness and optimizing the structure of market product users[42] Research and Development - Research and development costs for the six months ended June 30, 2024, were RMB 16,547,000, down 26.9% from RMB 22,645,000 in the same period of 2023[20] - The group has collaborated with domestic universities to develop high-corrosion-resistant materials and high-precision mechanical processing techniques, achieving notable results in technology advancement[36] - The group has developed an economic special coupling product that has completed testing and is now in mass supply, showcasing its commitment to innovation[36] Corporate Governance and Future Outlook - The board considers the preparation of the condensed consolidated financial statements on a going concern basis to be appropriate[10] - The group has implemented corporate governance practices in accordance with the relevant guidelines[68] - There were no significant events occurring after the reporting period up to the date of this announcement[68] - The company adopted a share reward plan for directors and senior management on May 31, 2022, which was revised on December 19, 2022[71]

Financial Performance - Dalipal Holdings Limited reported a revenue increase of 15% year-over-year, reaching approximately HKD 1.2 billion for the fiscal year 2023[2]. - The company achieved a net profit margin of 10%, translating to a net profit of around HKD 120 million, compared to HKD 100 million in the previous year[2]. - The company has set a revenue guidance of HKD 1.5 billion for the next fiscal year, representing a projected growth of 25%[2]. - The Group achieved revenue of approximately RMB 3.85 billion and profit of approximately RMB 134.5 million for the year[17]. - The Group recorded total revenue of RMB3,850.0 million for the year, representing a decrease of 8.9% from RMB4,227.8 million in 2022[74]. - Revenue from oil and gas pipes decreased by 6.6% to RMB2,459.9 million, while revenue from new energy pipes and special seamless steel pipes decreased by 15.1% to RMB1,331.9 million[76]. - The profit for the year decreased to RMB 134.5 million in 2023 from RMB 151.6 million in 2022, representing a decline of approximately 11.6%[85]. - Adjusted net profit for 2023 was RMB 141.9 million, down from RMB 154.5 million in 2022, indicating a decrease of about 8.1%[85]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 20% market share within the next two years[2]. - A strategic acquisition of a local competitor is in progress, expected to enhance market capabilities and increase customer base by 30%[2]. - The company plans to expand its production capacity by 30% in the Bohai New District factory as part of its Phase Two Expansion strategy[13]. - A new market expansion strategy targeting Southeast Asia is expected to contribute an additional HK$300 million in revenue by 2024[12]. - The company aims to expand its market presence in the Middle East, which is identified as a key overseas market with significant demand for oil and gas pipes[26][28]. - The Group plans to establish a regional headquarters, R&D center, intelligent factory, and data control center in the Middle East to enhance its long-term strategy in the region[70]. Research and Development - Dalipal Holdings Limited is investing HKD 50 million in R&D for new product development, focusing on sustainable technologies[2]. - Dalipal Holdings Limited is investing HK$200 million in new product development, focusing on advanced drilling technologies[12]. - Investment in research and development was maintained, with the launch of high-end oil drilling and energy equipment pipe production projects[22]. - The Group has increased its investment in research and development to facilitate innovation and smart technology manufacturing[184]. Operational Efficiency - The company has reported a 5% reduction in operational costs due to improved efficiency measures[2]. - The Group focused on optimizing internal management and governance to improve production efficiency and operational benefits[19]. - The Group's management team includes experienced professionals with backgrounds in various sectors, enhancing its operational capabilities[39]. - The Group's focus on technical management and operational efficiency is expected to yield positive results in future financial performance[41]. Environmental, Social, and Governance (ESG) Initiatives - The company is committed to enhancing its ESG initiatives, with plans to allocate 10% of profits towards sustainability projects[2]. - Dalipal Holdings Limited's ESG initiatives have led to a 10% reduction in carbon emissions, demonstrating commitment to sustainability[12]. - The Group aims to promote green and low-carbon transformation through smart manufacturing and technological innovation[68]. - The Group is committed to achieving net zero emissions and promoting good health and well-being of employees as part of its ESG initiatives[184]. Corporate Governance - The Group is committed to maintaining high standards of corporate governance, as evidenced by the establishment of various committees including Audit and Risk Management, Nomination, and ESG[44]. - The Board consists of nine Directors, including an Executive Chairman and a CEO, ensuring a balanced composition for effective leadership[194]. - All independent non-executive directors have confirmed their independence according to the listing rules, providing strong governance oversight[196]. - The Board is accountable to the Company's shareholders and stakeholders, overseeing strategic decisions and performance[200]. Shareholder Information - A final dividend of HK$ 0.04 per share was declared by the Board of Directors[17]. - The Company recommended a final dividend of HK$0.04 per ordinary share for the year, consistent with the previous year[100]. - As of December 31, 2023, cash at bank and on hand was RMB 432.6 million, a decrease from RMB 464.9 million in 2022, reflecting a decline of approximately 6.5%[86]. - The total number of issued shares as of December 31, 2023, is 1,502,668,000[169]. Management and Leadership - Mr. Zhang Hongyao has over 18 years of experience in the oil pipe manufacturing industry and has been the Chief Executive Officer since April 2022[34]. - Ms. Xu Wenhong has more than 30 years of experience in commercial legal advisory and over 20 years in oil pipe manufacturing management[36]. - The management team is well-equipped to drive the company's strategic initiatives and enhance shareholder value through effective oversight and governance[45]. - The leadership team is committed to leveraging their extensive industry experience to drive growth and innovation within the Group[41].

Financial Performance - Total revenue for the year ended December 31, 2023, was RMB 3,850.0 million, a decrease of 8.9% compared to RMB 4,227.8 million in 2022[2] - Gross profit was RMB 528.2 million, with a gross margin of 13.7%, down from 14.5% in the previous year[2] - Operating profit decreased to RMB 241.4 million, a decline of 15.5% from RMB 285.8 million in 2022[2] - Profit before tax was RMB 152.4 million, down 13.8% from RMB 176.9 million in the prior year[2] - Net profit attributable to equity shareholders was RMB 134.5 million, a decrease of 11.3% compared to RMB 151.6 million in 2022[2] - Basic and diluted earnings per share were RMB 0.09, down from RMB 0.10 in the previous year, representing a decrease of 10.0%[2] Revenue Breakdown - Revenue from oil and gas pipes was RMB 2,459,943 thousand, down 6.6% from RMB 2,635,098 thousand in 2022[15] - Revenue from new energy pipes and special seamless steel pipes was RMB 1,331,897 thousand, a decrease of 15.0% from RMB 1,567,886 thousand in 2022[15] - Revenue from mainland China was RMB 2,862,847 thousand, a decrease of 7.0% from RMB 3,077,736 thousand in 2022[23] - Revenue from the Middle East was RMB 560,066 thousand, down 15.6% from RMB 663,745 thousand in 2022[23] - Revenue from Africa increased to RMB 322,605 thousand, up 15.9% from RMB 278,034 thousand in 2022[23] Assets and Liabilities - Total assets decreased to RMB 2,348.7 million from RMB 2,354.9 million in 2022[5] - Total liabilities increased to RMB 2,046.5 million from RMB 1,988.1 million in the previous year[5] - Net assets increased to RMB 1,461.1 million, compared to RMB 1,404.3 million in 2022[5] Accounting Policies and Standards - The consolidated financial statements for the year ended December 31, 2023, are prepared based on historical cost, except for derivative financial instruments and equity securities which are measured at fair value[8] - The group has adopted new and revised International Financial Reporting Standards (IFRS), including IFRS 17 on insurance contracts, which does not significantly impact the group's financial statements as there are no relevant contracts[9] - The revised IAS 8 provides further guidance on distinguishing between changes in accounting policies and changes in accounting estimates, but it does not have a significant impact on the group's financial statements[9] - The revised IAS 1 requires entities to disclose significant accounting policy information, and the group has reviewed its disclosures to ensure compliance with this requirement[10] - The revised IAS 12 reduces the scope of initial recognition exemptions, which does not affect the group as it did not apply initial recognition exemptions for lease transactions[11] Operational Highlights - The company continues to focus on the development and manufacturing of oil and gas pipes, new energy pipes, and special seamless steel pipes[6] - The company has established itself as a qualified supplier for several well-known domestic enterprises, enhancing its competitive edge in the market[45] - The company achieved a historic breakthrough in the China National Offshore Oil Corporation market, winning a bid for nearly 180,000 tons in the 2023-2024 tender[47] - The company completed certifications with five overseas oil companies, achieving full coverage across six continents in the overseas market[47] - The company developed innovative high-strength and high-toughness oil casing, which is widely used in major domestic oil and gas fields[48] Research and Development - Research and development costs increased slightly to RMB 40,397,000 in 2023 from RMB 39,792,000 in 2022, an increase of about 2%[29] - The company is committed to research and development initiatives to enhance product offerings[88] - The company has obtained 12 patents for low-carbon technologies and products, significantly reducing carbon emissions and surpassing Hebei Province's ultra-low emission standards[49] Financial Management - Total financing costs decreased to RMB 88,994,000 in 2023 from RMB 108,828,000 in 2022, a reduction of approximately 18%[25] - The effective tax expense decreased to RMB 17,845,000 in 2023 from RMB 25,362,000 in 2022, a reduction of approximately 30%[31] - The group's income tax for the year was RMB 17.8 million, down from RMB 25.4 million for the year ended December 31, 2022, a decrease of RMB 7.6 million due to lower pre-tax profits[64] Employee and Corporate Governance - The group had a total of 1,658 employees as of December 31, 2023, down from 1,777 employees a year earlier, with total employee costs amounting to RMB 227.6 million[69] - The company has adhered to the corporate governance code and all applicable regulations during the fiscal year[79] - The company operates under the Cayman Islands Companies Law, ensuring compliance with corporate governance standards[87] Future Plans - The company plans to establish a regional headquarters, R&D center, smart factory, and data control center in the Middle East to enhance its long-term strategy in the region[52] - The company aims to drive green low-carbon transformation through intelligent manufacturing and equipment upgrades, focusing on automation and digitalization[51] - The company plans to strengthen relationships with key customers and expand its customer base in overseas markets[75]

Financial Performance - Dalipal Holdings Limited reported a revenue of HK$XXX million for the first half of 2023, representing a year-on-year increase of XX%[4] - The company achieved a net profit of HK$XXX million, reflecting a growth of XX% compared to the same period last year[4] - The company reported a cash flow from operations of HK$XXX million, indicating strong liquidity position[4] - Dalipal's gross margin improved to XX%, up from XX% in the previous year, reflecting better cost management[4] - The Group achieved total revenue of RMB2,087.3 million during the Reporting Period, representing an increase of 7.6% from RMB1,940.1 million in the corresponding period of 2022[37] - The Group's total gross profit was RMB283.1 million, representing an increase of approximately 35.5% from RMB209.0 million for the corresponding period of 2022[44] - The Group's profit for the period was RMB56.8 million, representing an increase of approximately 82.6% compared to RMB31.1 million for the corresponding period of 2022, mainly due to increased revenue and gross profit[51] - The revenue for the six months ended June 30, 2023, was RMB 2,087,283, an increase of 7.6% compared to RMB 1,940,124 for the same period in 2022[116] - Gross profit for the same period was RMB 283,134, representing a gross margin increase from 10.8% in 2022 to 13.6% in 2023[116] - Profit for the period attributable to equity shareholders was RMB 56,800, up 82.7% from RMB 31,125 in the previous year[116] Market Expansion and Strategy - The company provided a positive outlook for the second half of 2023, projecting a revenue growth of XX%[4] - Dalipal is investing in new product development, with a budget allocation of HK$XXX million for R&D initiatives[4] - The company plans to expand its market presence in Southeast Asia, targeting a market share increase of XX% by the end of 2024[4] - Dalipal is exploring potential acquisitions to enhance its product portfolio, with a focus on companies in the technology sector[4] - The Group's business strategy focuses on strengthening oil and gas pipes while diversifying moderately into exclusive leading products[21] - The Group aims to enhance its product strategy by focusing on specialized, innovative, and new products, particularly in oil and gas pipes and new energy pipes[34] - The Group intends to increase its market share in the international market by accelerating certification processes with overseas oil companies[34] - The Group has significantly increased its overseas market sales proportion compared to the previous year, achieving excellent results in market expansion[24] Operational Efficiency and Innovation - The management highlighted a strategic shift towards digital transformation, aiming to improve operational efficiency by XX%[4] - The Group's lean operation concept has been implemented to enhance efficiency and customer service[22] - The Group has established intelligent production lines with over 12 types of industrial software, becoming the first in the industry to utilize a product process big data analysis platform[26] - The Group has obtained 12 patents related to low-carbon processes and products, contributing to significant reductions in carbon emissions and achieving a carbon footprint certificate for its products[28] - The Group's emission indicators for sulfides, nitrogen oxides, and particulate matter are far below the stringent emission standards of Hebei Province[29] Financial Position and Liquidity - As of June 30, 2023, cash and cash equivalents amounted to RMB462.8 million, slightly down from RMB464.9 million as of December 31, 2022[53] - Interest-bearing borrowings totaled RMB1,903.0 million as of June 30, 2023, a decrease from RMB1,939.1 million as of December 31, 2022, with long-term borrowings at RMB774.9 million and short-term borrowings at RMB1,128.1 million[54] - The gearing ratio was 103.4%, a decrease of 1.6 percentage points from 105.0% at December 31, 2022, due to a reduction in interest-bearing borrowings[55] - The current ratio increased from 1.18 as of December 31, 2022, to 1.20 as of June 30, 2023[55] - The company reported basic and diluted earnings per share of RMB 0.04 for the six months ended June 30, 2023, compared to RMB 0.02 in the same period of 2022[116] Shareholder Information and Corporate Governance - The Board does not recommend the payment of an interim dividend for the Reporting Period[64] - The net proceeds from the IPO were approximately HK$426.3 million (approximately RMB 383.7 million) and are intended for various uses including funding the Phase Two Expansion[65] - The audit committee reviewed the accounting principles and practices adopted by the Group without disagreement[73] - The Company has complied with all code provisions in the CG Code during the Reporting Period[72] - The interests and short positions of directors and their associates are recorded in compliance with the SFO[79] Share Option and Incentive Plans - The Share Option Scheme aims to incentivize eligible participants, including full-time or part-time employees, non-executive Directors, suppliers, and customers, to enhance performance efficiency for the benefit of the Group[87] - The total number of Shares that may be allotted and issued upon the exercise of all options under the Share Option Scheme must not exceed 10% of the total number of Shares in issue as of November 8, 2019, which is 150,000,000 Shares[96] - The vesting period of options granted under the Share Option Scheme is determinable by the Directors and must not exceed 10 years from the date of grant[94] - The Share Award Plans were adopted on May 31, 2022, to recognize and reward contributions from eligible participants and to attract suitable personnel[111] - The Group aims to retain key personnel for continual operation and development through these incentive plans[111] Segment Performance - The Group operates three reportable segments: oil and gas pipes, new energy pipes and special seamless steel pipes, and other products, with no inter-segment sales reported for the periods ended June 30, 2023, and 2022[154] - Revenue from oil and gas pipes increased by 20.1% to RMB1,337.4 million, while revenue from new energy pipes and special seamless steel pipes decreased by 13.7% to RMB691.7 million[40] - The Group's total revenue from overseas markets was RMB 585,935 for the six months ended June 30, 2023, compared to RMB 339,186 in 2022, indicating a growth of approximately 72.8%[166] Compliance and Accounting Standards - The interim financial report has been prepared in accordance with International Accounting Standards ("IAS") 34, and was authorized for issue on August 17, 2023[133] - The interim financial report is unaudited but has been reviewed by KPMG, ensuring compliance with Hong Kong Standard on Review Engagements 2410[135] - The Group has applied new and amended IFRSs, including IFRS 17 related to insurance contracts and amendments to IAS 8 and IAS 12, for the current accounting period[137] - The financial information for the year ended December 31, 2022, included in the interim report does not constitute the statutory annual consolidated financial statements but is derived from those statements[138]

Financial Performance - Revenue for the six months ended June 30, 2023, was RMB 2,087.3 million, representing a 7.6% increase from RMB 1,940.1 million in the same period of 2022[2]. - Gross profit increased to RMB 283.1 million, up 35.5% from RMB 209.0 million year-on-year[2]. - Operating profit rose to RMB 108.2 million, reflecting a 16.6% increase compared to RMB 92.8 million in the previous year[2]. - Profit before tax surged by 76.4% to RMB 65.1 million, compared to RMB 36.9 million in the same period last year[2]. - Net profit for the period was RMB 56.8 million, an increase of 82.6% from RMB 31.1 million in the prior year[2]. - Basic and diluted earnings per share were both RMB 0.04, up from RMB 0.02 in the same period of 2022[2]. - Total revenue for the six months ended June 30, 2023, was RMB 2,087,283 thousand, an increase from RMB 1,940,124 thousand for the same period in 2022, representing a growth of approximately 7.6%[16]. - Revenue from the sale of oil and gas pipes was RMB 1,337,357 thousand, up from RMB 1,113,416 thousand, indicating a growth of about 20.2% year-over-year[16]. - The segment for new energy pipes and special seamless steel pipes generated revenue of RMB 691,746 thousand, compared to RMB 801,918 thousand in the previous year, reflecting a decline of approximately 13.7%[20]. - Gross profit for the reportable segments for the six months ended June 30, 2023, was RMB 283,134 thousand, an increase from RMB 210,410 thousand in 2022, showing a growth of about 34.5%[21]. - The group's profit for the reporting period was RMB 56.8 million, an increase of approximately 82.6% compared to RMB 31.1 million in the same period of 2022, primarily due to increased revenue and gross profit[57]. Assets and Liabilities - Total assets as of June 30, 2023, amounted to RMB 2,462.7 million, compared to RMB 2,354.9 million at the end of 2022[5]. - Total liabilities increased to RMB 1,070.5 million from RMB 1,004.3 million at the end of 2022[5]. - The company's equity attributable to shareholders was RMB 1,392.3 million, slightly down from RMB 1,404.3 million at the end of 2022[5]. - Trade receivables, net of loss provisions, amounted to RMB 660,855,000 as of June 30, 2023, compared to RMB 495,879,000 as of December 31, 2022, reflecting an increase of approximately 33.3%[32]. - Trade payables were RMB 684,643,000 as of June 30, 2023, up from RMB 545,263,000 as of December 31, 2022, indicating a growth of about 25.5%[35]. - The company’s total trade receivables and notes receivable amounted to RMB 1,277,982,000 as of June 30, 2023, compared to RMB 1,095,685,000 as of December 31, 2022[32]. - The company’s total trade payables and notes payable were RMB 710,122,000 as of June 30, 2023, compared to RMB 560,730,000 as of December 31, 2022, reflecting an increase of approximately 26.6%[36]. - The debt-to-equity ratio decreased to 103.4% as of June 30, 2023, from 105.0% as of December 31, 2022, due to a reduction in interest-bearing loans[59]. - The current ratio improved from 1.18 as of December 31, 2022, to 1.20 as of June 30, 2023[60]. Costs and Expenses - The financing costs for the six months ended June 30, 2023, totaled RMB 43,180 thousand, a decrease from RMB 55,879 thousand in the same period of 2022, representing a reduction of approximately 22.8%[24]. - Research and development costs increased to RMB 22,645 thousand for the six months ended June 30, 2023, compared to RMB 16,203 thousand in 2022, marking an increase of about 39.9%[25]. - Selling expenses rose by approximately 62.1% to RMB 86.7 million, primarily due to increased revenue[53]. - Administrative expenses increased by about 31.4% to RMB 92.9 million, mainly due to higher labor costs and R&D expenses[54]. - The total employee costs for the reporting period were RMB 114.4 million, compared to RMB 105.2 million in the same period of 2022[60]. Market and Product Development - The company continues to focus on the development and sales of oil and gas pipes, new energy pipes, and special seamless steel pipes[6]. - The company plans to continue focusing on expanding its market presence and enhancing its product offerings in the new energy sector[19]. - The group achieved a 51.27% year-on-year increase in exports in the first half of 2023, primarily driven by oil and natural gas pipes[39]. - The company focuses on high-end energy pipes and has expanded its product range to include specialized pipes for oil drilling and new energy applications[40]. - The group has successfully optimized its market and customer base, significantly increasing the proportion of overseas sales compared to last year[42]. - The company has developed a high-strength, high-toughness oil casing that has been widely used in major domestic oil fields during the reporting period[42]. - The group aims to enhance its product strategy focusing on specialized oil and gas pipes, new energy pipes, and special seamless steel pipes to meet and lead customer demand[45]. - The management believes that despite a challenging external environment, the demand for the group's products will positively impact due to national policies promoting energy security and green development[44]. - The group is committed to digital transformation and green low-carbon transition through intelligent manufacturing and equipment upgrades[45]. Compliance and Governance - The group has adopted new and revised International Financial Reporting Standards (IFRS), including IFRS 17 on insurance contracts, which will not significantly impact the financial statements as the group does not have contracts within its scope[8][9]. - The amendment to IAS 8 provides further guidance on distinguishing between changes in accounting policies and changes in accounting estimates, which aligns with the group's current practices and will not have a significant impact on the financial statements[10]. - The amendment to IAS 12 regarding deferred tax related to assets and liabilities arising from a single transaction will not affect the group as it has not applied the initial recognition exemption for lease transactions[11]. - The amendment to IAS 12 introduces temporary mandatory exceptions for deferred tax accounting related to the OECD's Pillar Two legislative framework, which will not have a significant impact on the financial statements[12]. - The company has adhered to all corporate governance codes during the reporting period[69]. - The audit committee reviewed the accounting principles and practices, confirming no disagreements on the interim financial statements[70]. - The company has confirmed compliance with the standards for securities trading by its directors during the reporting period[69]. Future Plans and Investments - The net proceeds from the initial public offering amounted to approximately RMB 383.7 million, which will be used for various purposes including the second phase of expansion and enhancing R&D capabilities[65]. - As of June 30, 2023, the total unused net proceeds amount to RMB 383.7 million, with RMB 339.2 million allocated for the second phase of expansion[66]. - The company plans to utilize the remaining unused proceeds by December 31, 2023, following delays due to the pandemic[67]. - The company aims to strengthen product R&D and innovation capabilities, expanding its customer base and overseas market sales, which are projected to be RMB 7.7 million[66]. - General working capital and other corporate purposes accounted for RMB 27.6 million of the proceeds[66]. - The company did not hold any significant investments or major acquisitions or disposals during the reporting period[63]. - The company has no significant events occurring after the reporting period[69].

Financial Performance - Dalipal Holdings Limited reported a revenue of approximately $150 million for the fiscal year 2022, representing a year-over-year increase of 15%[1]. - The company achieved a net profit margin of 12%, with net income reaching $18 million, up from $15 million in the previous year[1]. - Dalipal Holdings Limited reported a revenue of HK$1.2 billion for the fiscal year 2022, representing a 15% increase compared to the previous year[12]. - The company achieved a net profit of HK$300 million, which is a 20% increase year-over-year[12]. - For the year 2022, Dalipal Holdings achieved revenue of RMB4.23 billion, representing a year-on-year increase of approximately 12.4%[20]. - The profit for the period amounted to RMB151.6 million, reflecting a year-on-year increase of 82.9%[20]. - The Group recorded total revenue of RMB 4,227.8 million for the year, representing a 12.4% increase from RMB 3,762.6 million in the previous year[62]. - The Group's total gross profit was RMB610.9 million, an increase of RMB193.4 million from RMB417.5 million in 2021, with a gross profit margin of 14.5%, up 3.4 percentage points from 11.1%[66]. - The Group's profit for the year was RMB151.6 million, representing an increase of RMB68.7 million compared to RMB82.9 million for the year ended December 31, 2021[69]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share over the next two years[1]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share by 2025[12]. - Dalipal Holdings Limited has set a revenue guidance of $180 million for the fiscal year 2023, reflecting a growth target of 20%[1]. - The company is exploring potential acquisitions to diversify its product offerings and expand its customer base[1]. - The Group aims to enhance its market position through strategic management and operational efficiency, leveraging the extensive experience of its directors[36][37]. - The management team emphasizes the importance of sales and marketing investment management to drive growth[30]. - The Group plans to accelerate high-end manufacturing expansion and enhance market competitiveness through mergers and acquisitions[59]. Research and Development - Dalipal Holdings Limited is investing $10 million in R&D for new product development, focusing on innovative technologies in the manufacturing sector[1]. - Dalipal Holdings Limited is investing HK$100 million in new product development, focusing on advanced pipe manufacturing technologies[12]. - The leadership team emphasizes the importance of research and development to drive future growth and innovation[37]. - The Company is committed to increasing investment in research and development to facilitate innovation and smart technology manufacturing[176]. Operational Efficiency - The company has outlined a strategic goal to enhance operational efficiency, aiming for a 10% reduction in production costs by 2024[1]. - A new factory in Bohai New District is expected to increase production capacity by 30% by the end of 2023[1]. - The Group's integrated full-industry-chain production line allows for flexible and prompt responses to market changes, enhancing customer satisfaction and demand fulfillment[55]. - The Group has implemented smart manufacturing lines and automated warehouses to improve product traceability and operational efficiency[54]. - The company has implemented various self-developed systems in production organization and equipment management, contributing to operational efficiency[21]. Sustainability and ESG Initiatives - The company emphasizes its commitment to sustainability, with plans to reduce carbon emissions by 15% over the next three years[1]. - The company has initiated a new ESG strategy aimed at reducing carbon emissions by 50% by 2030[12]. - Dalipal plans to continue its emphasis on ESG development, talent cultivation, and product technology innovation in 2023[23]. - The Group is committed to comprehensive green development and technological innovation to create environmentally friendly products[59]. - The Group aims to achieve net zero emissions and promote good health and well-being of employees as part of its ESG initiatives[176]. Corporate Governance - The Connected Persons' Share Award Plan was adopted to align the interests of directors with shareholders, enhancing corporate governance[12]. - Dalipal Holdings Limited's corporate governance committee is actively reviewing compliance with the latest Listing Rules to ensure transparency[12]. - The Company has complied with all relevant code provisions set out in the Corporate Governance Code during the Year[182]. - The Board consists of nine Directors, including Mr. Meng Fanyong as chairman and Mr. Zhang Hongyao as CEO since April 4, 2022[186]. - All independent non-executive Directors have confirmed their independence according to the Listing Rules[189]. - The Company ensures that all Directors have access to timely information and can seek independent professional advice at the Company's expense[193]. Management and Leadership - Mr. Meng Fanyong has over 41 years of experience in the oilfield equipment business and has been with the Group since September 1998[28]. - Mr. Zhang Hongyao, appointed as CEO on April 4, 2022, has more than 18 years of experience in the oil pipe manufacturing industry[30]. - The Group's management structure includes directors with significant industry experience, ensuring informed decision-making[36][37]. - The independent non-executive Directors possess qualifications in accounting, investment, or oil pipe production, providing strong support to the Board[189]. - The Group continues to leverage the extensive experience of its management team to drive operational efficiency and compliance[34]. Shareholder Information - The Board recommended a final dividend of HK$0.04 per share for the year, up from HK$0.03 per share in 2021[86]. - The annual general meeting is scheduled for May 23, 2023, with the register of members closing from May 18 to May 23, 2023[88]. - The Group's reserves available for distribution amounted to approximately RMB 189.1 million, included in the retained profits and share premium accounts[103]. - The Company repurchased a total of 3,932,000 shares during the year, enhancing shareholder value[98]. - The percentage of purchases attributable to the Group's five largest suppliers accounted for approximately 43.0% of total purchases, with the largest supplier accounting for approximately 13.3%[103]. Financial Management - The total cost of sales increased by 8.1% to RMB3,616.9 million, up from RMB3,345.1 million in 2021[66]. - The Group's administrative expenses for the year amounted to RMB171.5 million, an increase of 41.0% compared to RMB121.6 million for the year ended December 31, 2021[69]. - The Group's finance costs decreased by 8.4% to RMB108.8 million from RMB118.8 million for the year ended December 31, 2021, primarily due to a decrease in average interest rates[69]. - The Group's cash and cash equivalents amounted to RMB464.9 million, down from RMB551.6 million as of December 31, 2021[70]. - The debt to equity ratio decreased to 105.0% as of December 31, 2022, down 37.3 percentage points from 142.3% at the end of 2021[72].

Financial Performance - Total revenue for the year ended December 31, 2022, was RMB 4,227.8 million, representing a 12.4% increase from RMB 3,762.6 million in 2021[2] - Gross profit for the same period was RMB 610.9 million, up 46.3% from RMB 417.5 million in 2021, with a gross margin of 14.5% compared to 11.1% in the previous year[2] - Operating profit increased by 30.7% to RMB 285.8 million from RMB 218.6 million in 2021[2] - Profit before tax rose significantly by 77.3% to RMB 176.9 million, compared to RMB 99.8 million in 2021[2] - Net profit for the year was RMB 151.6 million, an 82.9% increase from RMB 82.9 million in 2021, resulting in a net profit margin of 3.6%[2] - Basic and diluted earnings per share increased to RMB 0.10, up 66.7% from RMB 0.06 in 2021[2] Assets and Liabilities - Non-current assets totaled RMB 1,831.5 million, slightly down from RMB 1,873.9 million in 2021[5] - Current assets decreased to RMB 2,354.9 million from RMB 2,877.6 million in 2021, with a notable reduction in cash and cash equivalents[5] - Total liabilities decreased to RMB 2,782.1 million from RMB 2,734.6 million in 2021, indicating improved financial stability[5] - Total equity increased to RMB 1,404.3 million from RMB 1,346.5 million in 2021, reflecting a stronger balance sheet[5] Revenue Breakdown - Revenue from the sale of oil and gas pipes was RMB 2,635,098 thousand in 2022, up 57.5% from RMB 1,674,047 thousand in 2021[11] - The revenue from the sale of new energy pipes and special seamless steel pipes was RMB 1,567,886 thousand in 2022, a decrease of 17.3% from RMB 1,896,426 thousand in 2021[11] - The total revenue from other products was RMB 24,818 thousand in 2022, significantly down from RMB 192,156 thousand in 2021[11] Costs and Expenses - Employee costs increased to RMB 231,400,000 in 2022 from RMB 191,438,000 in 2021, representing a growth of approximately 20.9%[21] - Research and development costs rose significantly to RMB 39,792,000 in 2022, up from RMB 25,223,000 in 2021, marking an increase of about 57.7%[23] - Total sales costs rose by 8.1% to RMB 3,616.9 million, primarily due to increased sales volume and rising raw material and energy prices[52] - The total tax expense for 2022 was RMB 25,362,000, compared to RMB 16,816,000 in 2021, reflecting an increase of about 50.5%[25] Operational Highlights - The company reported significant improvements in operational performance compared to the previous year, despite challenges from geopolitical and economic factors[41] - The domestic market for oil and natural gas drilling pipes showed stable demand, particularly for specialized products[41] - The company aims to leverage its R&D capabilities and agile service to enhance its competitive advantage in both domestic and international markets[41] Strategic Initiatives - The company’s operational strategy focuses on enhancing its core products while diversifying into specialized pipes for drilling and new energy applications[40] - The company is committed to digitalization and green development as key strategies for future growth[46] - The company plans to accelerate its expansion in high-end manufacturing and seek suitable opportunities for mergers and acquisitions to increase market share[46] Shareholder Information - The company proposed a final dividend of RMB 0.04 per share for 2022, compared to RMB 0.03 per share in 2021, reflecting a 33.3% increase[37] - The total number of issued and paid-up ordinary shares as of December 31, 2022, was 1,498,468,000, slightly down from 1,501,200,000 in 2021[39] Governance and Compliance - The company has adhered to corporate governance standards and confirmed compliance with all relevant regulations during the year[71] - The annual performance and consolidated financial statements for the year have been reviewed and approved by the Audit Committee, confirming compliance with applicable accounting standards and regulations[73] - The board of directors includes both executive and independent non-executive directors, ensuring a diverse governance structure[81]

Revenue Growth - Dalipal Holdings Limited reported a significant increase in revenue, achieving a total of HK$500 million for the interim period, representing a 25% year-over-year growth[1]. - During the Reporting Period, the Group achieved a revenue increase of approximately 28.9% compared to the corresponding period last year[22]. - The Group achieved total revenue of RMB 1,940.1 million during the Reporting Period, representing an increase of 28.9% from RMB 1,505.7 million in the corresponding period of 2021[34]. - Revenue for the six months ended June 30, 2022, increased to RMB 1,940,124, representing a growth of 29% compared to RMB 1,505,671 in the same period of 2021[115]. - Sales of oil and gas pipes reached RMB 1,113,416,000, significantly up from RMB 442,531,000 in the previous year, marking a growth of 151.5%[140]. User Base and Market Expansion - The company’s user base expanded to 1.2 million active users, marking a 30% increase compared to the previous year[1]. - Dalipal Holdings Limited plans to enter two new markets in Southeast Asia by the end of the fiscal year, which is expected to contribute an additional HK$100 million in revenue[1]. - The Group dynamically adjusted its business strategies to stabilize the domestic market and expand overseas markets[17]. Profitability and Earnings - The Group's profit for the period amounted to RMB31.1 million, representing an increase of 78.7% compared to RMB17.4 million for the corresponding period last year[22]. - Basic earnings per share reached RMB0.02, reflecting a 100% increase compared to the corresponding period last year[22]. - Gross profit for the same period was RMB 209,002, up 44% from RMB 145,211 in 2021, indicating improved profitability[115]. - The total comprehensive income for the period was RMB 28,710, compared to RMB 16,342 in 2021, reflecting a growth of 76%[115]. Cost Management and Profit Margins - The gross profit margin improved to 40%, up from 35% in the previous year, reflecting better cost management and pricing strategies[1]. - The gross profit margin improved from approximately 9.6% in the previous year to approximately 10.8% during the Reporting Period[22]. - Gross profit increased to RMB209.0 million, up from RMB145.2 million, with a gross profit margin of 10.8%, an increase of 1.2 percentage points from 9.6%[40]. Research and Development - The company is investing HK$50 million in research and development for new technologies aimed at enhancing product efficiency and user experience[1]. - Research and development costs for the six months ended June 30, 2022, were RMB 16,203, compared to RMB 12,271 in 2021, marking a rise of 32%[160]. Cash Flow and Financial Position - The company’s cash flow from operations increased by 15%, reaching HK$120 million, providing a solid foundation for future investments[1]. - As of June 30, 2022, the Group's cash at bank and on hand amounted to RMB572.4 million, an increase from RMB551.6 million as of December 31, 2021[49]. - The net cash generated from operating activities was RMB 163,300,000, compared to a net cash used of RMB 220,988,000 in the same period of the previous year[125]. Corporate Governance and Management Changes - The company has complied with all corporate governance code provisions during the reporting period[69]. - Mr. Yin Zhixiang was re-designated from executive Director to non-executive Director effective April 4, 2022[73]. - Mr. Bai Gongli ceased to be the chief executive officer of the Group on April 4, 2022, but continues as the general manager of Dalipal Pipe Company[73]. Shareholder Information and Share Options - The total number of issued shares of the company as of June 30, 2022, is 1,498,468,000[83]. - During the reporting period, 4,000,000 share options were granted, with an exercise price of HKD 2.56 per share[103]. - The Share Option Scheme allows for the issuance of options not exceeding 10% of the total shares in issue as of the Listing Date, which is 150,000,000 shares[100]. Sustainability Initiatives - Dalipal Holdings Limited is focusing on sustainability initiatives, with plans to reduce carbon emissions by 20% over the next three years[1]. - The Group's short-process electric arc furnace production technology has reduced carbon emissions by more than 50% compared to traditional methods[27].

Financial Performance - Dalipal Holdings Limited reported a revenue of HKD 1.2 billion for the fiscal year 2021, representing a year-on-year increase of 15%[3]. - The company achieved a net profit of HKD 300 million, which is a 20% increase compared to the previous year[3]. - The company reported a revenue increase of 15% year-over-year, reaching HKD 1.2 billion for the fiscal year ending December 31, 2021[16]. - The company recorded a profit of approximately RMB 82.9 million for the year ended December 31, 2021, a significant improvement compared to a loss of RMB 117.9 million in 2020[23]. - The company’s annual revenue increased by 66.5% compared to the previous year, reaching RMB 829 million[41]. - The net profit for the year was RMB 829 million, a 170.3% increase from the previous year's loss of RMB 116.4 million[41]. - The company achieved total revenue of approximately RMB 3,762.6 million, a significant increase of about 66.5% compared to RMB 2,259.4 million for the year ended December 31, 2020[45]. Market Expansion and Strategy - Dalipal Holdings Limited plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share by 2023[3]. - The company plans to expand its market presence in Southeast Asia, targeting a 15% market share within the next two years[16]. - Future guidance estimates a revenue growth of 10-15% for the next fiscal year, driven by new product launches and market expansion[3]. - The company provided a future outlook, projecting a revenue growth of 20% for the next fiscal year, driven by new product launches and market expansion[16]. - The company aims to optimize its product structure, focusing on oil well pipes, and establish a market distribution of 30% international and 70% domestic[23]. - Future growth points include collaboration with the new energy industry and extending services into new business areas[23]. Research and Development - The company is investing HKD 100 million in R&D for new product development, focusing on advanced oil and gas equipment[3]. - Investment in R&D increased by 30%, amounting to HKD 300 million, focusing on innovative technologies and product enhancements[16]. - Research and development expenses increased by 18%, totaling $50 million, to support new technology initiatives[30]. - The company plans to enhance its competitive edge in high-end products through proprietary research and advanced automated production facilities[42]. Operational Efficiency and Cost Management - Dalipal Holdings Limited aims to improve operational efficiency by implementing new technologies, projected to reduce costs by 5%[3]. - The company plans to implement cost-cutting measures, aiming for a 5% reduction in operational costs over the next year[30]. - The gross margin improved to 45%, up from 40% in the previous year, reflecting better cost management and pricing strategies[16]. Environmental, Social, and Governance (ESG) Initiatives - Environmental, social, and governance (ESG) initiatives are being prioritized, with a commitment to reduce carbon emissions by 20% by 2025[3]. - The company aims to achieve carbon peak by 2030 and carbon neutrality by 2050, aligning with national "dual carbon" goals[147]. - The company emphasizes innovation and sustainable development, implementing clean production and green manufacturing practices[147]. - The company has adopted a systematic environmental management system to monitor and control waste emissions and ensure compliance with environmental laws[170]. Employee Management and Welfare - The total number of employees as of December 31, 2021, was 1,729, an increase from 1,453 in 2020, with 1,726 being full-time employees[192]. - The company emphasizes the importance of employee welfare, ensuring timely payment of salaries and compliance with labor laws[190]. - The company has implemented a performance evaluation system to assess employee performance, which influences salary adjustments, bonuses, and promotions[196]. - The company is committed to providing equal employment opportunities and does not discriminate based on age, gender, race, marital status, religion, or disability[198]. Corporate Governance - The board of directors includes a mix of executive and independent non-executive members, ensuring governance and oversight[66]. - The company has established five board committees, including the audit committee, remuneration committee, nomination committee, corporate governance committee, and risk management committee[116]. - The company has complied with all relevant corporate governance code provisions during the year[103]. - The company encourages shareholder participation through annual general meetings, having held one such meeting this year[131]. Awards and Recognition - The company received the "Hebei Excellent Brand" title from the Hebei Trademark Brand Association[162]. - The company was awarded three honors including "2020 Hebei Contract-abiding and Trustworthy Enterprise" by the Hebei Credit Association[162]. - The company ranked 34th in the "Top 100 Innovative Private Enterprises in Hebei Province" for 2021[162]. - The company was recognized as an "Outstanding Enterprise" for its intellectual property work by the Hebei Market Supervision Administration[162].