Investment Rating - The investment rating for the company is "Buy" [1] Core Views - The report highlights that China Gold International's revenue for 2023 decreased by 58.4% to $459 million, with a significant drop in mining operating profit by 79.7% to $80.37 million, resulting in a net loss attributable to shareholders of $25.5 million [2][3] - The report notes that the Q4 revenue fell by 71.9% to $71.32 million, with mining operating profit showing a loss of $1.9 million and a net loss of $17.91 million attributable to shareholders [2] - The recovery of mining activities at the Jia Ma mine began in December 2023, contributing 180,000 pounds of copper production in Q4, while the Changshanhao gold mine is nearing the end of its operational life [2][3] - The report anticipates that in 2024, the Changshanhao mine will produce between 106,000 to 113,000 ounces of gold, and the Jia Ma mine is expected to yield 9.5 to 9.8 million pounds of copper and 42,000 to 45,000 ounces of gold [3] Financial Summary - For 2023, the company's revenue was $459 million, with a year-on-year decline of 58.4%. The projected revenues for 2024, 2025, and 2026 are $657 million, $1.085 billion, and $1.367 billion respectively, indicating a recovery trend [4][6] - The net profit attributable to shareholders for 2023 was a loss of $26 million, with forecasts of $58 million, $266 million, and $332 million for the years 2024, 2025, and 2026 respectively [4][6] - The gross margin for 2023 was 17.5%, expected to rise to 32.2% in 2024, and the net margin is projected to improve from -6.1% in 2023 to 13.6% in 2024 [4][8] Market Data - As of April 5, 2024, the closing price of the stock was HKD 49.45, with a total share capital of 400 million shares and a circulating share capital of 220 million shares [5]

Revenue and Sales Performance - Sales revenue decreased by 72% to $71.3 million in Q4 2023 compared to $253.9 million in Q4 2022[6] - Total sales revenue for 2023 was $459.4 million, down from $1.1 billion in 2022[2] - Total revenue for 2023 decreased by 58% to $459.4 million compared to $1,104.9 million in 2022[10] - Sales revenue from the Changshanhao mine decreased from $267.5 million in 2022 to $252.6 million in 2023, a reduction of $14.9 million[19] - Sales revenue from the Jiama mining area decreased from $837.4 million in 2022 to $206.8 million in 2023, a reduction of $630.6 million[19] - Sales revenue decreased to $459.434 million in 2023 from $1.104949 billion in 2022, a significant drop of 58.4%[76] - Revenue from gold bullion in 2023 was $252.6 million, a decrease from $267.546 million in 2022[140] - Revenue from copper in 2023 was $147.278 million, a significant decrease from $617.226 million in 2022[140] - Revenue from other by-products in 2023 was $59.556 million, down from $220.177 million in 2022[140] - Total revenue for 2023 was $459.434 million, a sharp decline from $1.104949 billion in 2022[140] - Mining gold segment revenue for 2023 was $252.6 million, while mining copper concentrate segment revenue was $206.8 million, totaling $459.4 million[144] - The company's total revenue for 2022 was $1.1 billion, with $267.5 million from the mining gold segment and $837.4 million from the mining copper concentrate segment[146] Net Profit and Loss - Net loss of $17.5 million in Q4 2023, compared to a net profit of $48.5 million in Q4 2022[6] - Net loss for 2023 was $22.9 million, compared to a net profit of $225.4 million in 2022[2] - Net loss for 2023 was $23.0 million, a significant decline from the net profit of $225.4 million in 2022[9] - Net loss increased from a profit of $225.4 million in 2022 to a loss of $23.0 million in 2023[20] - Net loss for the year was $22.969 million in 2023, compared to a net profit of $225.401 million in 2022[76] - The company recorded a net loss of $23 million for the year ended December 31, 2023[70] - The company recorded a net loss of $23 million for the year ended December 31, 2023[136] - Net profit attributable to the company's owners for the year 2023 was a loss of $25.5 million, compared to a profit of $222.7 million in 2022[80] - Total comprehensive income for 2023 was a loss of $30.4 million, compared to a profit of $167.2 million in 2022[80] Production and Costs - Gold production decreased by 57% to 25,500 ounces in Q4 2023 from 59,992 ounces in Q4 2022[6] - Copper production was 184,077 pounds (approximately 83 tons) in Q4 2023, due to limited production from the Jiama mine, compared to 45.1 million pounds (approximately 20,472 tons) in Q4 2022[6] - Gold production decreased by 38% to 147,963 ounces in 2023 from 238,836 ounces in 2022[10] - Copper production dropped by 76% to 44.2 million pounds (approximately 20,051 tons) in 2023 from 187.4 million pounds (approximately 85,004 tons) in 2022[10] - The company expects gold production at Changshanhao Mine in 2024 to be between 106,097 ounces and 112,528 ounces (approximately 3.3 to 3.5 tons)[12] - The company anticipates copper production at Jiama Mine in 2024 to be between 95.0 million pounds and 98.0 million pounds (approximately 43,200 to 44,500 tons)[12] - Gold production at Jiama Mine in 2024 is expected to range between 42,439 ounces and 45,333 ounces (approximately 1.32 to 1.41 tons)[12] - Gold sales at Changshanhao Mine decreased by 36% to 24,290 ounces in Q4 2023 compared to 38,134 ounces in Q4 2022[14] - Total production cost per ounce of gold at Changshanhao Mine increased by 65% to $1,611 in Q4 2023 from $975 in Q4 2022[14] - Cash production cost per ounce of gold at Changshanhao Mine surged by 103% to $1,303 in Q4 2023 from $642 in Q4 2022[14] - Copper sales at Jiama Mine plummeted by 88% to 2,449 tons (5.4 million pounds) in Q4 2023 compared to 19,809 tons (43.7 million pounds) in Q4 2022[15] - Average realized copper price at Jiama Mine dropped by 25% to $2.39 per pound in Q4 2023 from $3.20 per pound in Q4 2022[15] - Total production cost per pound of copper at Jiama Mine rose to $8.04 in Q4 2023 from $3.33 in Q4 2022[15] - Total gold sales volume in 2023 was 24,626 ounces, a decrease from 36,948 ounces in 2022[23] - Total cash production cost for gold in 2023 was $1,303 per ounce, compared to $642 per ounce in 2022[23] - Total copper sales volume in 2023 was 5,399,496 pounds, a significant decrease from 43,670,559 pounds in 2022[24] - Total cash production cost for copper in 2023 was $7.29 per pound, compared to $2.64 per pound in 2022[24] - The Changshanhao gold mine's ore stacking volume in 2023 was 10.0 million tons, with a total gold content of 102,702 ounces[28] - The overall cumulative recovery rate for the gold project as of December 31, 2023, was approximately 56.26%[28] - The Changshanhao mine's designed mining and processing capacity is 60,000 tons per day, but production was reduced to 40,000 tons per day in 2019[25] - Jiama mining area processed 4,280,227 tons of ore in 2023, a decrease from 17,446,643 tons in 2022[36] - The average copper ore grade in Jiama mining area was 0.56% in 2023, slightly lower than 0.57% in 2022[36] - Copper recovery rate in Jiama mining area remained stable at 85% in both 2022 and 2023[36] - The average gold grade in Jiama mining area decreased to 0.21 g/t in 2023 from 0.23 g/t in 2022[36] - Silver recovery rate in Jiama mining area improved to 63% in 2023 from 60% in 2022[36] - The company's mining costs for the year ended December 31, 2023, were $43.3 million, with mineral processing costs of $75.2 million and transportation costs of $1.7 million[49] - The company added $42.3 million in property, plant, and equipment in 2023, with $40.2 million allocated to the mining copper concentrate segment[152] - Depreciation of property, plant, and equipment for 2023 was $106.9 million, with $56.7 million attributed to the mining gold segment and $50.3 million to the mining copper concentrate segment[152] - Total depreciation for property, plant, and equipment decreased to $106.947 million from $163.407 million in the previous year[165] Cash Flow and Financial Position - Operating cash flow decreased to $1.6 million in 2023 from $447.3 million in 2022[2] - Cash and cash equivalents decreased to $97.2 million in 2023 from $428.5 million in 2022[2] - Operating cash flow decreased sharply to $1.6 million in 2023 from $447.3 million in 2022[9] - Cash and cash equivalents declined sharply to $97.237 million in 2023 from $428.453 million in 2022, a decrease of 77.3%[78] - Operating cash flow from activities decreased significantly to $1.57 million in 2023 from $447.3 million in 2022[82] - Cash and cash equivalents decreased by $324.96 million in 2023, ending the year at $97.24 million[82] - The company's net cash inflow from operating activities for the year ended December 31, 2023, was $1.6 million, primarily from depreciation of property, plant, and equipment ($107.0 million), financing costs ($25.0 million), and mining rights amortization ($10.4 million)[46] - The company's net cash outflow from investing activities for the year ended December 31, 2023, was $121.3 million, mainly used for restricted deposits ($68.0 million) and payments for property, plant, and equipment ($59.4 million)[47] - The company's net cash outflow from financing activities for the year ended December 31, 2023, was $205.2 million, primarily due to repayment of borrowings ($401.5 million) and payment of dividends to shareholders ($146.7 million)[48] - The company's total debt as of December 31, 2023, was $766.5 million, with total equity of $1,727.7 million, resulting in a debt-to-equity ratio of 0.44[49] - The company's cumulative surplus as of December 31, 2023, was $380.4 million, with working capital of $170.8 million and borrowings of $766.5 million[43] - The company's cash balance as of December 31, 2023, was $97.2 million[43] - The company's total assets decreased to $2.834716 billion in 2023 from $3.194911 billion in 2022[78] - Total liabilities reduced to $1.106975 billion in 2023 from $1.291481 billion in 2022[79] - The company's total equity decreased to $1.73 billion in 2023 from $1.9 billion in 2022[80] - The company's retained earnings decreased to $380.38 million in 2023 from $571.23 million in 2022[80] - The company's investment in mining rights decreased to $1.27 million in 2023 from $1.77 million in 2022[82] - The company's total assets decreased to $1.71 billion in 2023 from $1.88 billion in 2022[80] - The company's market value was lower than the net asset book value by approximately $1.728 billion as of December 31, 2023[70] - The company's market value was lower than its net asset value by approximately $1.728 billion as of December 31, 2023, compared to $1.903 billion in 2022[136] - The company's non-current assets are approximately 98% located in China as of December 31, 2023[154] - The company's total assets for the mining gold segment as of December 31, 2023, were $551.6 million, and for the mining copper concentrate segment, they were $2.23 billion, totaling $2.78 billion[149] - Total liabilities for the mining gold segment as of December 31, 2023, were $34.9 million, and for the mining copper concentrate segment, they were $991.9 million, totaling $1.03 billion[149] Operational Challenges and Legal Issues - The Jiama Mine resumed partial operations on December 15, 2023, with a daily processing capacity of 6,000 tons[11] - Jiama Mine resumed partial operations in December 2023 with a daily processing capacity of 6,000 tons after a tailings spill incident in March 2023[16] - The company's Jiama Mine experienced a tailings spill on March 27, 2023, leading to a temporary suspension of operations. The mine partially resumed operations on December 15, 2023, after receiving approval from the Lhasa Emergency Management Bureau[84] - The company is involved in multiple lawsuits and disputes related to construction contract breaches, with a confirmed liability of $23 million and pending litigation amounting to $68 million as of December 31, 2023[85] - The company made provisions for a legal dispute with an independent supplier of Huatai Long, with details disclosed in Note 31[139] - The company recognized an impairment loss of RMB 13,328,000 (approximately $1,872,000) for the new properties due to the suspension of the comprehensive project in Lhasa, Tibet[197] Dividends and Shareholder Returns - The company declared a special dividend of $0.37 per ordinary share for the fiscal year ending December 31, 2022, paid on June 15, 2023[61] - The company does not recommend paying dividends for the 2023 full-year results[61] - The company declared and paid dividends of $0.37 per ordinary share for the year ended December 31, 2023, totaling $146,673,000, compared to $0.25 per share and $99,103,000 in 2022[174] - The company paid $146.67 million in dividends to shareholders in 2023, compared to $99.1 million in 2022[82] Exploration and Development - The company signed a major contract for the 2023-2025 open-pit mining project with an estimated value of $128.3 million[27] - The company completed a diamond drilling exploration program within the mining permit area, totaling 1,290.78 meters and 3 drill holes[29] - The company also completed another diamond drilling exploration program within the mining permit area, totaling 4,172.14 meters and 4 drill holes[29] - The total mineral resources at the Changshanhao mine as of December 31, 2023, are 33,370 thousand tons with an average gold grade of 0.65583 g/t, containing 21.89 tons of gold (0.70 million ounces)[30] - The underground mineral resources at the Changshanhao mine as of December 31, 2023, are 178,050 thousand tons with an average gold grade of 0.62 g/t, containing 110.73 tons of gold (3.56 million ounces)[30] - The total mineral reserves at the Changshanhao mine as of December 31, 2023, are 33,370 thousand tons with an average gold grade of 0.65 g/t, containing 21.84 tons of gold (0.70 million ounces)[32] - The Jiama mining area has a combined mining and processing capacity of 50,000 tons per day, with Phase I reaching a design capacity of 6,000 tons per day in 2011 and Phase II reaching 44,000 tons per day in 2018[33] - The company planned a geological exploration project with a total budget of RMB 34.47 million in 2023, but it was temporarily suspended due to tailings overflow[37] - The measured and indicated resources of Jiama project as of December 31, 2023, included 1,403.39 million tons with 0.40% copper, 0.03% molybdenum, and 5.45 g/t gold[38] - The proven and probable reserves of Jiama project as of December 31, 2023, included 355.98 million tons with 0.60% copper, 0.04% molybdenum, and 10.25 g/t gold[40] - The copper price used for resource and reserve estimation was $2.9 per pound, and the gold price was $1,300 per ounce[39][41] - The overall copper recovery rate for both open-pit and underground mining methods was estimated at 88-90%[41][42] - The company's cumulative surplus as of December 31, 2023, was $380.4 million, with working capital of $170.8 million and borrowings of $766.5 million[43] - The company's cash balance as of December 31, 2023, was $97.2 million[43] - The company's net cash inflow from operating activities for the year ended December 31, 2023, was $1.6 million, primarily from depreciation of property, plant, and equipment ($107.0 million), financing costs ($25.0 million), and mining rights amortization ($10.4 million)[46] - The company's net cash outflow from investing activities for the year ended December 31, 2023, was $121.3 million, mainly used for restricted deposits ($68.0 million) and payments for property, plant, and equipment ($59.4 million)[47] - The company's net cash outflow from financing activities for the year ended December 31, 2023, was $205.2 million, primarily due to repayment of borrowings ($401.5 million) and payment of dividends to shareholders ($146.7 million)[48] - The company's total debt as of December 31, 2023, was $766.5 million, with total equity of $1,727.7 million, resulting in a debt-to-equity ratio of 0.44[49] - The company secured a loan of RMB 3.98 billion (approximately $613 million) from a syndicate led by Bank of China, with an annual interest rate of 2.83%, for the development of the Jiama mining area[43] - The company obtained multiple loans in 2023, including a RMB 300 million (approximately $41.5 million) loan

智通财经APP获悉，中国黄金国际(02099)涨超3%，截止发稿涨3.53%，报33.7港元，成交额2441万港 元。 消息面上，中国黄金协会表示，春节期间，尽管黄金价格居高位，但我国黄金消费仍然火爆，黄金首饰 和龙年金条成为最具人气的产品。中国黄金协会表示，在一系列提振消费政策推动下，金银珠宝成为全 年各商品零售类别中增加幅度较大的品类。某百货营销策划部副经理表示，春节期间，我们的黄金销售 与去年同期相比客流量增长超40%，黄金类商品的销售额增长近50%。 中金研报表示，考虑到黄金饰品稀缺的消费和投资属性，及逆全球化背景下央行购金需求增加对金价的 支撑，预计2024年黄金珠宝行业增速仍有望领先于可选消费其他板块，高黄金产品占比公司较为受益。 此外近年珠宝品牌在中国内地的渠道快速扩张，头部公司注重门店经营质量提升，加强精细化运营，产 品端也高频更新迭代，中金认为高黄金占比、品牌美誉度高、产品创新能力强、渠道布局广泛且运营持 续提效的头部品牌有望持续提升市场份额。 ...

Financial Performance - Sales revenue for the three months ended June 30, 2023, decreased by 75% to $73.0 million from $292.0 million in the same period of 2022[10]. - Net loss for the three months ended June 30, 2023, was $53.3 million, a decrease of 165% or $135.0 million from a profit of $81.7 million in the same period of 2022[10]. - Sales revenue for the six months ended June 30, 2023, decreased by 45% to $325.8 million from $596.0 million in the same period of 2022[11]. - Net profit for the six months ended June 30, 2023, decreased by 84% or $128.2 million to $25.3 million from $153.5 million in the same period of 2022[11]. - The company reported a net loss of $53.34 million for the quarter ended June 30, 2023, compared to a net profit of $78.66 million in the previous quarter[14]. - The company reported a net loss attributable to shareholders of $53,696,000 for the three months ended June 30, 2023, compared to a profit of $81,194,000 in the same period of 2022[115]. Production and Operations - Total gold production for the three months ended June 30, 2023, decreased by 44% to 36,490 ounces from 65,527 ounces in the same period of 2022[10]. - Total copper production for the three months ended June 30, 2023, was zero, compared to 47.1 million pounds (approximately 21,356 tons) in the same period of 2022[10]. - The company suspended operations at the Jiamar mining area due to a tailings dam breach on March 27, 2023, and is currently conducting a comprehensive repair and safety assessment[12]. - The company has withdrawn its 2023 annual production guidance due to the uncertainty surrounding the resumption of operations at the Jiamar mining area[12]. - The company is actively taking measures to expedite the resumption of production at the Jiamar mining area, with a safety assessment report expected to be submitted to regulators by the end of August 2023[12]. Costs and Expenses - Mining operating loss for the three months ended June 30, 2023, was $6.2 million, a decrease of 105% from a profit of $117.7 million in the same period of 2022[10]. - The cash production cost per ounce of gold increased by 14% to $913 for the quarter ended June 30, 2023, compared to $798 in the same period of 2022[15]. - Research and development expenses decreased from $11.4 million in the first half of 2022 to $6.1 million in the first half of 2023, primarily due to the suspension of operations at the Jiamar Mine[22]. - General and administrative expenses decreased slightly from $18.2 million in the first half of 2022 to $17.5 million in the first half of 2023[22]. Debt and Financing - The company's total debt as of June 30, 2023, was $722.0 million, with total equity amounting to $1,748.9 million, resulting in a debt-to-equity ratio of 0.41[54]. - The company has secured loans totaling approximately $613 million at an interest rate of 2.83% from a syndicate led by Bank of China, with funds allocated for the development of the Jiamar mining area[48]. - The company reported a total repayment obligation of $721.996 million for bank loans, with $132.281 million due within one year[58]. - The company issued $300 million in bonds at a 2.8% interest rate, which were fully repaid on June 23, 2023[57]. Legal and Regulatory Matters - The company recognized $22.6 million in legal expenses related to ongoing litigation in Q2 2023[21]. - The company confirmed a provision of $23 million related to a construction contract dispute as of June 30, 2023, reflecting ongoing legal challenges[93]. - The group recognized a litigation compensation payable of RMB 157 million (approximately $21,686,000) as of June 30, 2023, related to a lawsuit with Huaxin[143]. Shareholder Information - The company declared a special dividend of $0.37 per common share, payable on June 15, 2023, to shareholders on record as of April 20, 2023[68]. - The major shareholder, China Gold Group Limited, holds approximately 40.01% of the issued shares, totaling 158,588,330 shares[74]. - The company did not recommend any interim dividend for the six months ended June 30, 2023[82]. Asset and Liability Management - As of June 30, 2023, total assets decreased to $2,865,651 thousand from $3,194,911 thousand in 2022, representing a decline of approximately 10.3%[85]. - Current liabilities decreased to $326,478 thousand from $638,635 thousand in 2022, a reduction of about 48.9%[85]. - Non-current liabilities increased to $790,250 thousand in 2023 from $652,846 thousand in 2022, marking an increase of approximately 21%[87]. Market and Economic Conditions - The company faced foreign exchange risk but has not taken measures to hedge against it, although management is monitoring the risk[56]. - The average realized price per ounce of gold increased to $1,977 for the quarter ended June 30, 2023, compared to $1,868 in the same period of 2022[15]. - Average realized price of copper decreased by 11% from $3.68 per pound in the first half of 2022 to $3.27 per pound in 2023[21]. Operational Challenges - The company has temporarily halted geological exploration plans due to tailings overflow from the tailings pond[41]. - The company is in the final stages of completing repairs and safety assessments of the tailings dam, with a report expected to be submitted to regulatory authorities by the end of August 2023[92]. - The Jiamar Mine ceased production in the second quarter of 2023[40].

Financial Performance - Sales revenue for the six months ended June 30, 2023, was $325.794 million, a decrease of 45.2% compared to $596.015 million in the same period of 2022[2] - Net profit for the same period was $25.321 million, down 83.5% from $153.526 million year-on-year[2] - Basic earnings per share decreased to 6.08 cents from 38.45 cents, reflecting a decline of 84.2%[2] - Cash flow from operating activities was $54.175 million, a significant drop of 79.8% compared to $268.384 million in the previous year[2] - Total sales revenue for the first half of 2023 was $325.8 million, down from $596.0 million in the same period of 2022, representing a decrease of 45.3%[16] - Operating income for the six months ended June 30, 2023, was $72.916 million, down from $103.668 million in the same period of 2022, representing a decrease of 29.8%[69] - The company reported a net loss of $25.321 million for the six months ended June 30, 2023, compared to a profit of $153.526 million in the same period of 2022[70] - The company reported a pre-tax profit of $34,246 thousand for the six months ended June 30, 2023, compared to $174,055 thousand for the same period in 2022, indicating a significant decrease of approximately 80%[87] Production and Operational Metrics - Total gold production decreased by 44% to 36,490 ounces from 65,527 ounces in the same period of 2022[8] - Total copper production was zero, down from 47.1 million pounds (approximately 21,356 tons) in the same period of 2022 due to the suspension of operations at the Kama mine[8] - The average ore grade for the six months ended June 30, 2023, was 0.56 grams per ton, down from 0.63 grams per ton in the same period of 2022[25] - The recoverable gold for the six months ended June 30, 2023, was 89,450 ounces, a decrease of 7.1% from 96,362 ounces in the same period of 2022[25] - The cumulative recovery rate for the gold project as of June 30, 2023, was approximately 55.09%, up from 54.95% as of March 31, 2023[25] Cash Flow and Liquidity - Cash and cash equivalents decreased to $139.450 million from $317.919 million, a decline of 56.2%[2] - The company reported a net cash outflow from operating activities of $73.5 million for the three months ended June 30, 2023, compared to a net inflow of $107.6 million for the same period in 2022[41] - The company reported a net cash outflow from investing activities of $84.4 million for the three months ended June 30, 2023, compared to $16.3 million for the same period in 2022[41] - The company’s financing activities resulted in a net cash outflow of $234.3 million for the three months ended June 30, 2023, compared to $124.7 million for the same period in 2022[41] - As of June 30, 2023, the company's total debt was $722.0 million, with total equity of $1,748.9 million, resulting in a debt-to-equity ratio of 0.41[44] Capital Expenditure and Investments - Capital expenditure on property, plant, and equipment increased to $30.051 million from $13.537 million, marking a rise of 121.5%[2] - The company signed a major new contract for open-pit mining operations with an estimated value of $128.3 million, effective from January 1, 2023, to December 31, 2025[24] - The company signed major new contracts totaling approximately $55.4 million for working capital loans with China Construction Bank and $41.5 million with Agricultural Bank of China[31] Regulatory and Legal Matters - The company is currently involved in multiple lawsuits, with a provision of $23 million recognized for a construction contract dispute as of June 30, 2023[77] - The group recognized a litigation compensation payable of RMB 157 million (approximately $21,686,000) as of June 30, 2023, related to a lawsuit with Huaxin[119] - A lawsuit was filed by a supplier against the company for losses amounting to RMB 479 million (approximately USD 66,353,000) due to production halts since June 19, 2021[124] Future Outlook and Strategic Plans - The company plans to continue developing and expanding the Changshan Gold Mine and the Jiama Copper-Gold Polymetallic Mine[5] - Future performance may be influenced by fluctuations in commodity prices and operational challenges[5] - The company plans to submit a safety assessment report to government regulators by the end of August 2023, which will determine the timeline for resuming operations[76] Shareholder Information - The company declared a special dividend of $0.37 per common share, payable on June 15, 2023, to shareholders registered as of April 20, 2023[56] - The board of directors does not recommend the payment of any interim dividend for the six months ended June 30, 2023[68] - As of June 30, 2023, the company had issued and outstanding common shares totaling 396,413,753[57] Compliance and Governance - The company has maintained effective disclosure controls and procedures as well as internal controls over financial reporting as of June 30, 2023[57] - The audit committee has reviewed the financial statements for the six months ended June 30, 2023, confirming compliance with applicable accounting standards[128] - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange rules for the six months ended June 30, 2023[126]

Financial Performance - Revenue decreased by 17% to $252.8 million from $304.0 million in the same period of 2022[6] - Net profit increased by 10% or $6.9 million to $78.7 million compared to $71.8 million in the same period of 2022[6] - Operating cash flow decreased by 21% to $127.7 million from $160.8 million in the same period of 2022[6] - Sales revenue for Q1 2023 decreased by 20.2% to $252.8 million from $304.0 million in Q1 2022[12] - Operating profit from mining decreased by 3% or $2.8 million to $102.7 million, while the percentage of operating profit to sales revenue increased from 35% to 41%[13] - The company reported a profit of $71,228 thousand for the three months ended March 31, 2023, compared to a profit of $77,779 thousand for the same period in 2022, showing a decrease of approximately 8.4%[58] - The total comprehensive income for the three months ended March 31, 2023, was $86,484,000, an increase from $81,609,000 in the previous year[53] - Basic earnings per share for the period were 19.62 cents, up from 17.97 cents in the same period of 2022[54] Production and Sales - Total gold production decreased by 10% to 52,827 ounces from 58,583 ounces in the same period of 2022[6] - Total copper production decreased by 9% to 44.1 million pounds (approximately 20,025 tons) from 48.3 million pounds (approximately 21,923 tons) in the same period of 2022[6] - Gold production at Changshanhao Mine decreased by 5% to 35,291 ounces in Q1 2023 compared to 37,276 ounces in Q1 2022[9] - Copper sales revenue for Q1 2023 was $136.58 million, down from $178.67 million in Q1 2022, representing a decrease of 23.5%[10] - Sales revenue from the Jiamar Mine was $186.4 million, a decrease of $47.9 million compared to $234.3 million in the same period of 2022[13] - The mining segment for gold generated revenue of $66,415,000, while the copper concentrate segment generated $186,363,000, indicating a significant contribution from copper operations[67] Costs and Expenses - Total production cost per pound of copper decreased by 13% to $2.83 in Q1 2023 from $3.25 in Q1 2022[10] - Cash production cost per pound of copper decreased by 17% to $2.12 in Q1 2023 from $2.58 in Q1 2022[10] - General and administrative expenses slightly decreased from $9.9 million in Q1 2022 to $9.6 million in Q1 2023 due to ongoing cost reduction efforts[13] - Research and development expenses decreased from $5.9 million in Q1 2022 to $4.6 million in Q1 2023, primarily due to the completion of multiple research projects in 2022[13] - The company incurred mining costs of $23.8 million, processing costs of $33.6 million, and transportation costs of $1.7 million for the three months ended March 31, 2023[36] Operational Challenges - The company has suspended operations due to tailings dam overflow and is currently assessing the impact on production[7] - The company has withdrawn its 2023 annual production guidance due to uncertainty regarding the resumption of operations[7] - The company is conducting a comprehensive repair and safety assessment of the tailings dam, expected to be completed by the end of July 2023[7] - The company’s operations at the Jiamar Copper-Gold Polymetallic Mine were temporarily suspended due to a tailings dam incident, with full restoration and safety assessments expected to be completed by the end of July 2023[60] Financial Position - The company has a cash balance of $553.0 million as of March 31, 2023, with total borrowings amounting to $842.7 million[31] - The total debt as of March 31, 2023, was $842.7 million, with a total equity of $1,842.8 million, resulting in a debt-to-equity ratio of 0.46, up from 0.44 as of December 31, 2022[36] - The company’s current liabilities totaled $798,957 thousand, up from $638,635 thousand, indicating an increase of approximately 25.1%[56] - The company’s retained earnings decreased to $501,260 thousand from $571,226 thousand, a decline of about 12.3%[56] Legal and Regulatory Matters - The company is currently facing a forced execution matter from a court ruling dated November 5, 2022, which remains unresolved as of the report date[93] - The company has been involved in litigation concerning the delivery of new properties since June 2021, with ongoing legal proceedings[93] - The company is actively monitoring the legal developments and has consulted external legal advisors regarding the ongoing litigation[93] Future Outlook - The company plans to implement geological exploration projects at the Jiamar Mine in 2023, including detailed surveys and sampling over 37.31 square kilometers[26] - The company anticipates that operating cash flow will be sufficient to cover planned capital expenditures and debt repayments over the next twelve months[31]

Financial Performance - Revenue for the quarter increased by 15% compared to the same period last year [1]. - Net profit margin improved to 12%, up from 10% in the previous quarter [2]. - Operating expenses rose by 8% due to increased marketing and R&D investments [3]. Market Expansion - The company successfully entered two new international markets, contributing to a 20% increase in global sales [4]. - A new distribution center was opened in Europe to support the growing demand in the region [5]. - Strategic partnerships were formed with local retailers to enhance market penetration [6]. Product Development - Launched three new products, which accounted for 25% of total sales this quarter [7]. - R&D investment increased by 10% to accelerate innovation and product development [8]. - Customer feedback on the new product line has been overwhelmingly positive [9]. Operational Efficiency - Implemented new automation technologies, reducing production costs by 5% [10]. - Supply chain optimization led to a 15% reduction in delivery times [11]. - Employee training programs were expanded to improve operational efficiency [12]. Customer Satisfaction - Customer satisfaction scores reached an all-time high of 92% [13]. - The company introduced a new loyalty program, resulting in a 10% increase in repeat customers [14]. - Enhanced customer service protocols reduced average response time by 20% [15]. Sustainability Initiatives - Achieved a 30% reduction in carbon emissions through the adoption of renewable energy sources [16]. - Launched a new recycling program, diverting 50% of waste from landfills [17]. - Committed to achieving net-zero emissions by 2030 [18]. Financial Health - Total assets increased by 10% to $1.5 billion [19]. - Debt-to-equity ratio improved to 0.5, down from 0.7 last year [20]. - Cash flow from operations increased by 12%, providing strong liquidity [21]. Strategic Investments - Acquired a smaller competitor to expand market share and product offerings [22]. - Invested $50 million in a new technology startup to diversify revenue streams [23]. - Allocated $30 million for future acquisitions and strategic partnerships [24]. Employee Engagement - Employee turnover rate decreased by 5% due to improved workplace initiatives [25]. - Introduced flexible work arrangements, leading to a 15% increase in employee satisfaction [26]. - Launched a new leadership development program to nurture future leaders [27]. Regulatory Compliance - Successfully passed all regulatory audits with no major findings [28]. - Implemented new compliance training programs for all employees [29]. - Enhanced data security measures to meet new regulatory requirements [30]. Shareholder Value - Dividend payouts increased by 10% compared to the previous year [31]. - Share buyback program reduced outstanding shares by 5% [32]. - Stock price increased by 18% over the past quarter [33]. Risk Management - Established a new risk management framework to better identify and mitigate potential risks [34]. - Conducted comprehensive risk assessments across all business units [35]. - Increased insurance coverage to protect against unforeseen events [36]. Technology Innovation - Developed a proprietary AI platform to enhance customer insights and personalization [37]. - Invested $20 million in blockchain technology to improve supply chain transparency [38]. - Launched a mobile app to streamline customer interactions and transactions [39]. Corporate Social Responsibility - Donated $1 million to local communities through various CSR initiatives [40]. - Partnered with non-profits to support education and healthcare programs [41]. - Achieved a 100% score on the Corporate Responsibility Index [42].

Production and Financial Performance - In 2022, China Gold International achieved gold production of 7.4 tons and copper production of 85,004 tons, meeting the annual production guidance[5]. - The company reported a profit of $225.4 million, remaining stable compared to 2021 after excluding non-operating factors such as pandemic control expenses and foreign exchange losses[5]. - The company reported a significant increase in revenue, achieving a total of $X million, representing a Y% growth compared to the previous year[12]. - Revenue for the three months ended December 31, 2022, decreased by 19% to $253.9 million from $312.0 million in the same period of 2021[98]. - Net profit for the year ended December 31, 2022, decreased by 16% to $225.4 million from $268.7 million in 2021[99]. - Total gold production for the year ended December 31, 2022, slightly decreased by 2% to 238,836 ounces from 244,312 ounces in 2021[99]. - The company expects gold production in 2023 to be between 241,130 ounces and 244,345 ounces[101]. - The estimated total copper production for 2023 is between 190 million pounds and 192 million pounds[101]. - Operating income for the year was $316,859 thousand, down from $332,966 thousand in 2021, reflecting a decline of 4.8%[165]. - Basic earnings per share decreased to 56.19 cents from 67.44 cents in the previous year, a decline of 16.5%[166]. Shareholder Value and Dividends - The company declared its highest-ever dividend for the third consecutive year, reflecting its commitment to shareholder value creation[5]. - The company is committed to enhancing shareholder value, with plans to increase dividends by I% in the upcoming fiscal year[14]. - The company declared a dividend of $0.37 per share for the fiscal year ending December 31, 2022, to be paid on June 15, 2023[22]. - The company aims to provide sustainable returns to shareholders, with dividends determined based on operating performance, cash flow, and financial condition[150]. Strategic Initiatives and Market Expansion - The company is focused on strategic acquisitions to expand its asset base, leveraging international project channels from its major shareholder, China National Gold Group[4]. - The company is expanding its market presence, targeting D new regions for growth, which is expected to contribute an additional E million in revenue[16]. - Recent acquisitions have strengthened the company's portfolio, with the integration of F companies expected to enhance operational efficiency and market share[17]. - New product development initiatives are underway, with an investment of C million allocated for R&D in innovative technologies[15]. - The company is exploring market expansion opportunities in D regions, targeting a market penetration increase of E% by the end of the fiscal year[96]. Corporate Governance and Compliance - The board of directors consists of both executive and independent non-executive members, ensuring governance and oversight[23]. - The company has established various committees to enhance corporate governance, including an audit committee and a remuneration committee[54]. - The independent non-executive directors confirmed that all continuing connected transactions were conducted according to the company's pricing policy and procedures[39]. - The company has complied with the relevant provisions of the Hong Kong Listing Rules regarding continuing connected transactions during the reporting period[40]. - The board has established a disclosure policy to manage interactions with analysts and the public, ensuring compliance with regulatory requirements[66]. Risk Management and Financial Stability - The management team emphasized the importance of risk management and compliance, with ongoing training programs for staff to ensure adherence to industry standards[13]. - The company believes it can continue to obtain debt financing at favorable rates in China for the foreseeable future[135]. - The company faces various risks including metal price fluctuations, regulatory changes, and reliance on management[153]. - The company has recognized an expected credit loss of $1.644 million for other receivables as of December 31, 2022, compared to zero in 2021[133]. Environmental and Social Responsibility - The company emphasizes corporate social responsibility, supporting communities and partners during the dual challenges of the pandemic and market conditions[5]. - Charitable donations during the reporting period amounted to $1.51 million[51]. - The company continues to fulfill social responsibilities by completing numerous environmental projects during the quarter[108]. Financial Reporting and Audit - The financial performance for the year ending December 31, 2022, is detailed in the consolidated income statement and other comprehensive income[21]. - The company’s financial statements were audited and found to reflect a true and fair view of its financial position as of December 31, 2022[155]. - The auditor identified and assessed risks of material misstatement due to fraud or error in the consolidated financial statements[163]. - The company’s internal controls over financial reporting were deemed effective as of December 31, 2022, according to the CEO and CFO[152]. Production Costs and Efficiency - Total production costs for gold decreased by 38% to $975 per ounce for the three months ended December 31, 2022, from $1,577 per ounce in the same period of 2021[104]. - The company has increased the utilization rate of low-grade ore since the second half of 2021 while strictly controlling operating costs[106]. - The company has implemented new strategies to enhance operational efficiency, aiming to reduce costs by H% over the next year[95]. Legal and Regulatory Matters - The company is currently involved in a legal dispute regarding the delivery of new properties, with a court ruling requiring a penalty payment of RMB 9 million (approximately $1.397 million) for delayed delivery[132]. - The company has no significant investments or acquisitions of subsidiaries, associates, or joint ventures for the year ended December 31, 2022[141].

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之內容概不負責，對其 準確性或完整性亦不發表任何聲明，併表明概不就因本公告之全部或任何部份內容而產 生或因倚賴該等內容而引致之任何損失承擔任何責任。 CHINA GOLD INTERNATIONAL RESOURCES CORP. LTD. 中 國 黃 金 國 際 資 源 有 限 公 司 （根據加拿大英屬哥倫比亞法例成立的有限公司） （香港股份代號：2099） （多倫多股份代號：CGG) 截至2022年12月31日止年度 業績公告 | --- | --- | --- | |----------------------------|-----------------------|------------------| | | | | | 財務摘要 | | | | | 截至 12 月 31 2022 年 | 日止年度 2021 年 | | | | | | | 千美元 | 千美元 | | 銷售收入 | 1,104,949 | 1,137,356 | | 淨（虧損）收入 | 225,401 | 268,675 | | 每股基本（虧損）盈利（仙） | 56.19 ...

Financial Performance - Revenue for the three months ended June 30, 2022, decreased by 4% to $292.0 million from $304.9 million in the same period of 2021[45]. - Net profit for the three months ended June 30, 2022, decreased by 19% to $81.7 million from $100.7 million in 2021[45]. - Revenue for the six months ended June 30, 2022, increased by 3% to $596.0 million from $577.0 million in the same period of 2021[46]. - Net profit for the six months ended June 30, 2022, was $153,526,000, down from $157,664,000 in the same period of 2021, reflecting a decrease of approximately 2.6%[123]. - The total comprehensive income for the six months ended June 30, 2022, was $114,182,000, compared to $173,362,000 for the same period in 2021, showing a significant decline of about 34%[123]. Production and Sales - Total gold production for the three months ended June 30, 2022, decreased by 8% to 65,527 ounces from 71,225 ounces in 2021[45]. - Total copper production for the same period decreased by 11% to 47.1 million pounds (approximately 21,356 tons) from 52.6 million pounds (approximately 23,875 tons) in 2021[45]. - Gold production increased by 3.8% to 38,607 ounces for the quarter ended June 30, 2022, compared to 37,170 ounces in the same quarter of 2021[49]. - Revenue from gold bullion for the six months ended June 30, 2022, was $141,903 thousand, an increase of 16.5% compared to $121,758 thousand for the same period in 2021[133]. - Sales revenue from copper concentrate and other products sold to China Gold for the six months ended June 30, 2022, was $431.9 million, compared to $266.8 million in the same period of 2021[99]. Costs and Expenses - The company incurred mining costs of $53.6 million, processing costs of $77.0 million, and transportation costs of $3.5 million for the six months ended June 30, 2022[93]. - Total sales cost for the first half of 2022 increased to $372.8 million from $367.3 million in the same period last year, with the cost-to-revenue ratio improving from 64% to 63%[58]. - General and administrative expenses for the six months ended June 30, 2022, totaled $18,244,000, compared to $18,393,000 for the same period in 2021, showing a decrease of about 0.8%[143]. - Financing costs for the six months ended June 30, 2022, were $16,131,000, down from $19,347,000 in the same period of 2021, representing a decline of approximately 16.5%[144]. Cash Flow and Liquidity - The company reported a net cash inflow from operating activities of $107.6 million for the three months ended June 30, 2022, compared to $106.2 million for the same period in 2021[88]. - The company has a cash balance of $317.9 million as of June 30, 2022, down from $354.1 million at the beginning of the period[88]. - The company’s current liabilities exceeded its current assets by approximately $40 million as of June 30, 2022, prompting careful consideration of future liquidity and financial resources[129]. - The total cash outflow for financing activities was $124,724 thousand for the three months ended June 30, 2022, compared to $105,900 thousand for the same period in 2021, indicating increased financing costs[127]. Debt and Equity - As of June 30, 2022, the company's total debt was $912.8 million, with total equity of $1,848 million, resulting in a debt-to-equity ratio of 0.49[93]. - The company has secured a syndicated loan agreement with a total principal amount of RMB 3.98 billion (approximately $613 million) at an interest rate of 2.83%[86]. - The company declared a special dividend of $0.25 per common share for the fiscal year ending December 31, 2021, paid on June 15, 2022[107]. Mining Operations and Strategy - The company continues to seek international mining acquisition opportunities to support its growth strategy[47]. - The company plans to enhance the utilization of low-grade ore and strictly control operating costs to maintain stable operational performance amid fluctuating metal prices[53]. - The company plans to continue focusing on market expansion and new product development in the upcoming quarters[126]. Legal and Regulatory Matters - The company is involved in ongoing litigation regarding a construction contract dispute, with a court ruling freezing assets valued at up to RMB 137 million (approximately $21 million) related to the dispute[83]. - The company has extended its priority rights on pre-litigation assets for an additional three years until May 24, 2024, due to the ongoing litigation[84]. Exploration and Development - The company completed the exploration report for the Longshanhao gold deposit, which was approved by the Ministry of Natural Resources of China in January 2022[68]. - The company plans to disclose the latest NI 43-101 technical report in the near future[68]. - The average ore grade for the Longshanhao mine was 0.65 grams per ton for the three months ending June 30, 2022, compared to 0.56 grams per ton in the same period of 2021[67].