Company Overview [Company Profile](index=2&type=section&id=公司簡介) Tianjin Port Development Holdings Limited, a Hong Kong-listed port operator, primarily engages in container and bulk cargo handling, sales, and port support services, ranking among China's top ports by throughput - The Group is a major port operator in Tianjin Port, primarily engaged in container and bulk cargo handling, sales, and port support services[2](index=2&type=chunk) - Tianjin Port, located at the intersection of the Beijing-Tianjin urban belt and Bohai Rim economic circle, is China's largest comprehensive port and a crucial foreign trade gateway[2](index=2&type=chunk) - In the first half of 2024, Tianjin Port ranked as China's **seventh largest port by total cargo throughput** and **sixth by container throughput**[2](index=2&type=chunk) Financial and Operational Summary [Financial and Operational Overview](index=4&type=section&id=財務概要) In H1 2024, the Group saw increased throughput, with revenue growing 8.0% to **HKD 6.746 billion**, while profit attributable to shareholders decreased 11.9% to **HKD 418 million**, maintaining a robust financial position with a reduced gearing ratio Total Throughput | Metric | H1 2024 | H1 2023 | | :--- | :--- | :--- | | **Total Throughput** | | | | Bulk Cargo (million tons) | 125.22 | 117.78 | | Container (million TEUs) | 10.43 | 10.27 | | **Consolidated Throughput** | | | | Bulk Cargo (million tons) | 95.30 | 86.81 | | Container (million TEUs) | 6.16 | 6.21 | Financial Indicators (million HKD) | Metric | H1 2024 | H1 2023 | | :--- | :--- | :--- | | Revenue | 6,746 | 6,244 | | Profit Before Income Tax | 1,269 | 1,337 | | Profit Attributable to Shareholders | 418 | 474 | | Basic Earnings Per Share (HK cents) | 6.8 | 7.7 | | Net Cash Inflow from Operating Activities | 1,394 | 1,456 | Financial Position (million HKD) | Metric | June 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Total Assets | 41,190 | 40,620 | | Total Borrowings | 5,275 | 5,707 | | Shareholders' Equity | 13,647 | 13,610 | | Gearing Ratio | 17.4% | 18.8% | | Current Ratio | 1.5 | 1.6 | Management Discussion and Analysis [Operating Environment and Outlook](index=5&type=section&id=經營環境與展望) Despite global uncertainties, China's economic recovery in H1 2024 supported port throughput, with the Group anticipating continued growth in H2 driven by supportive macro policies and strategic initiatives in green, smart, and hub port development - In H1 2024, China's economy continued its recovery, with GDP growing by **5.0%**, and national port cargo throughput increasing by **4.6%** and container throughput by **8.5%** year-on-year[9](index=9&type=chunk) - For H2 2024, the global economy is projected for moderate recovery amidst geopolitical and trade protectionism uncertainties, with IMF forecasting **3.2% global growth** and **5.0% China growth**[13](index=13&type=chunk) - The Group's strategy remains focused on building a world-class green, smart, and hub port, leveraging national policy opportunities like Beijing-Tianjin-Hebei coordinated development and the "Belt and Road" initiative to drive innovation and high-quality growth[13](index=13&type=chunk) [Performance and Dividends](index=5&type=section&id=業績與股息) In H1 2024, total cargo throughput increased by 1.8% to **228 million tons**, but profit attributable to shareholders decreased 11.9% to **HKD 418 million**, resulting in basic earnings per share of **6.8 HK cents**, with no interim dividend declared Performance Metrics | Metric | H1 2024 | H1 2023 | YoY Change | | :--- | :--- | :--- | :--- | | Total Cargo Throughput | 228 million tons | 224 million tons | +1.8% | | Total Container Throughput | 10.43 million TEUs | 10.27 million TEUs | +1.6% | | Profit Attributable to Shareholders | 418 million HKD | 474 million HKD | -11.9% | | Basic Earnings Per Share | 6.8 HK cents | 7.7 HK cents | -11.9% | - The Board has resolved not to declare an interim dividend for the six months ended June 30, 2024[12](index=12&type=chunk) [Business and Financial Review](index=6&type=section&id=業務及財務回顧) In H1 2024, total revenue grew 8.0% to **HKD 6.746 billion**, driven by sales and bulk cargo handling, but a larger increase in cost of sales led to a 2.1% decline in gross profit and a drop in gross margin to **29.5%**, with exchange losses impacting overall profitability [Revenue Analysis](index=6&type=section&id=收入分析) Total revenue increased 8.0% to **HKD 6.746 billion**, with handling business revenue up 5.4% driven by bulk cargo, sales business revenue significantly up 16.0%, and other port support services up 6.6%, while container handling revenue slightly decreased 2.7% Revenue by Business Segment (million HKD) | Business Segment | H1 2024 | H1 2023 | Change Rate | | :--- | :--- | :--- | :--- | | Bulk Cargo Handling Business | 2,781 | 2,554 | +8.9% | | Container Handling Business | 1,040 | 1,070 | -2.7% | | **Total Handling Business** | **3,821** | **3,624** | **+5.4%** | | Sales Business | 1,631 | 1,407 | +16.0% | | Other Port Support Services | 1,294 | 1,213 | +6.6% | | **Total** | **6,746** | **6,244** | **+8.0%** | - Revenue from bulk cargo handling business increased by **8.9%**, primarily due to a **6.3% increase in throughput**[19](index=19&type=chunk)[20](index=20&type=chunk) - Revenue from container handling business decreased by **2.7%**, mainly due to a slight reduction in throughput at controlled terminals and the impact of RMB depreciation[21](index=21&type=chunk)[22](index=22&type=chunk)[23](index=23&type=chunk) [Cost and Gross Profit Analysis](index=7&type=section&id=成本與毛利分析) Cost of sales increased 12.9% to **HKD 4.754 billion**, outpacing revenue growth, with other port support services seeing the largest cost increase at 24.7%, leading to a 2.1% decline in gross profit to **HKD 1.989 billion** and a 3.0 percentage point drop in gross margin to **29.5%** Cost of Sales by Business Segment (million HKD) | Business Segment | H1 2024 Cost | H1 2023 Cost | Change Rate | | :--- | :--- | :--- | :--- | | Handling Business | 2,467 | 2,284 | +8.0% | | Sales Business | 1,624 | 1,396 | +16.3% | | Other Port Support Services | 663 | 531 | +24.7% | | **Total** | **4,754** | **4,211** | **+12.9%** | - Gross profit amounted to **HKD 1.989 billion**, a **2.1% decrease** compared to the same period last year[26](index=26&type=chunk) - Gross margin was **29.5%**, a **3.0 percentage point decrease** from **32.5%** in the same period last year, primarily due to a decline in the gross margin of the handling business[26](index=26&type=chunk) [Operating Expenses and Other Gains/Losses](index=9&type=section&id=經營開支與其他損益) Administrative expenses slightly increased 3.4% to **HKD 929 million**, while other income grew 42.7% due to increased interest and government grants; other gains and losses shifted from a **HKD 52 million gain** to a **HKD 5 million loss** primarily due to exchange rate fluctuations, and finance costs decreased 14.3% due to reduced borrowings - Administrative expenses amounted to **HKD 929 million**, representing a **3.4% increase** from the same period last year[27](index=27&type=chunk) - Other gains and losses recorded a **HKD 5 million loss** (H1 2023: **HKD 52 million gain**), primarily due to exchange losses incurred in the current period compared to exchange gains in the prior period[28](index=28&type=chunk) - Finance costs were **HKD 129 million**, a **14.3% decrease** from the same period last year, mainly attributable to a reduction in total borrowings[29](index=29&type=chunk) [Financial Position and Capital Management](index=10&type=section&id=財務狀況與資本管理) As of June 30, 2024, the Group maintained a robust financial position with total assets of **HKD 41.19 billion** and shareholders' equity of **HKD 13.647 billion**, a reduced gearing ratio of **17.4%**, and strong operating cash flow of **HKD 1.394 billion** - Net cash inflow from operating activities was **HKD 1.394 billion**, net cash inflow from investing activities was **HKD 12 million**, and net cash outflow from financing activities was **HKD 725 million**[32](index=32&type=chunk) - As of June 30, 2024, total borrowings amounted to **HKD 5.275 billion** (end of 2023: **HKD 5.707 billion**), all denominated in RMB[35](index=35&type=chunk) - The gearing ratio (total borrowings/total equity) decreased to **17.4%** from **18.8%** at the end of 2023, with a current ratio of **1.5**[36](index=36&type=chunk) - Capital expenditure for H1 2024 was **HKD 407 million**, with capital commitments of **HKD 964 million**[39](index=39&type=chunk) [Environmental and Social Responsibility](index=5&type=section&id=環境與社會責任) The Group actively promotes green and digital transformation, with its subsidiary Tianjin Port Co. Ltd. being the first in the national port industry to obtain a carbon management system evaluation certificate, while also advancing energy-saving technologies, clean energy, and smart port development through AI and big data integration - Subsidiary Tianjin Port Co. Ltd. was the first in the national port industry to obtain a carbon management system evaluation certificate[10](index=10&type=chunk) - The Group actively promotes the application of energy-saving and carbon-reducing technologies in ports, including energy-efficient lighting, wind and solar photovoltaic power generation, and smart tugboat pilotage services[10](index=10&type=chunk) - Committed to building a world-class smart port, the Group strengthens the deep integration of new technologies such as artificial intelligence, big data, and the Internet of Things across various port operations[10](index=10&type=chunk) Condensed Consolidated Financial Statements [Review Report on Financial Statements](index=13&type=section&id=簡明綜合財務報表的審閱報告) Deloitte Touche Tohmatsu, the independent auditor, reviewed the Group's condensed consolidated financial statements for the six months ended June 30, 2024, in accordance with Hong Kong Standard on Review Engagements 2410, concluding that nothing came to their attention suggesting the statements were not prepared in all material respects in accordance with HKAS 34 - The scope of review, conducted in accordance with Hong Kong Standard on Review Engagements 2410, is substantially less than an audit, and thus no audit opinion is expressed[45](index=45&type=chunk) - Conclusion: Nothing has come to their attention that causes them to believe the condensed consolidated financial statements are not prepared, in all material respects, in accordance with Hong Kong Accounting Standard 34[45](index=45&type=chunk) [Condensed Consolidated Statement of Profit or Loss](index=14&type=section&id=簡明綜合收益表) For the six months ended June 30, 2024, the Group's revenue increased 8.0% to **HKD 6.746 billion**, but profit for the period decreased to **HKD 1.014 billion**, with profit attributable to equity holders of the Company falling 11.9% to **HKD 418 million**, due to higher costs and expenses Condensed Consolidated Statement of Profit or Loss (thousand HKD) | Item | H1 2024 | H1 2023 | | :--- | :--- | :--- | | Revenue | 6,746,266 | 6,243,968 | | Gross Profit | 1,988,543 | 2,030,212 | | Profit Before Income Tax | 1,268,584 | 1,336,594 | | Profit for the Period | 1,014,320 | 1,083,905 | | **Profit Attributable to Equity Holders of the Company** | **418,143** | **474,481** | | Basic Earnings Per Share (HK cents) | 6.8 | 7.7 | [Condensed Consolidated Statement of Financial Position](index=16&type=section&id=簡明綜合財務狀況表) As of June 30, 2024, the Group's total assets slightly increased to **HKD 41.19 billion**, with total equity remaining stable at **HKD 30.34 billion**, while total liabilities rose to **HKD 10.85 billion** primarily due to increased trade and other payables, resulting in net current assets of **HKD 3.335 billion** Condensed Consolidated Statement of Financial Position (thousand HKD) | Item | June 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Non-current Assets | 31,342,266 | 31,826,980 | | Current Assets | 9,847,442 | 8,792,739 | | **Total Assets** | **41,189,708** | **40,619,719** | | **Total Equity** | **30,339,516** | **30,283,612** | | Non-current Liabilities | 4,337,377 | 4,748,606 | | Current Liabilities | 6,512,815 | 5,587,501 | | **Total Liabilities** | **10,850,192** | **10,336,107** | | Net Current Assets | 3,334,627 | 3,205,238 | [Condensed Consolidated Statement of Cash Flows](index=19&type=section&id=簡明綜合現金流量表) In H1 2024, the Group generated **HKD 1.394 billion** in net cash from operating activities, demonstrating strong cash generation, with net cash inflow of **HKD 12 million** from investing activities, and net cash outflow of **HKD 725 million** from financing activities, resulting in a net increase of **HKD 680 million** in cash and cash equivalents Condensed Consolidated Statement of Cash Flows (thousand HKD) | Item | H1 2024 | H1 2023 | | :--- | :--- | :--- | | Net Cash from Operating Activities | 1,393,901 | 1,456,468 | | Net Cash from/(used in) Investing Activities | 11,649 | (249,048) | | Net Cash used in Financing Activities | (725,246) | (2,522,065) | | **Net Increase/(Decrease) in Cash and Cash Equivalents** | **680,304** | **(1,314,645)** | | Cash and Cash Equivalents at End of Period | 6,992,450 | 6,420,992 | [Notes to the Condensed Consolidated Financial Statements](index=20&type=section&id=簡明綜合財務報表附注) The notes detail accounting policies and statement components, highlighting the Group's three business segments—cargo handling, sales, and other port support services—with cargo handling as the primary profit driver, no interim dividend declared, all borrowings being unsecured RMB-denominated, and significant related party transactions with Tianjin Port Group and its associates [Segment Information](index=21&type=section&id=4.%20分部資料) The Group's operations are divided into three reportable segments, with the cargo handling segment contributing the largest share of revenue (**HKD 3.821 billion**) and segment results (**HKD 1.354 billion**) in H1 2024, while the sales segment generated **HKD 1.631 billion** in revenue but only **HKD 7.4 million** in segment results Segment Information (thousand HKD) | Segment | Revenue from External Customers | Segment Results | | :--- | :--- | :--- | | Cargo Handling | 3,821,026 | 1,353,561 | | Sales | 1,631,203 | 7,400 | | Other Port Support Services | 1,294,037 | 631,402 | [Dividends](index=25&type=section&id=9.%20股息) The Board resolved not to declare an interim dividend for the six months ended June 30, 2024, following the approval of a final dividend of **4.73 HK cents per share** for 2023, totaling approximately **HKD 291 million**, at the AGM on June 12, 2024 - The Board has resolved not to declare an interim dividend for the six months ended June 30, 2024 (2023: nil)[68](index=68&type=chunk) - The 2023 final dividend was **4.73 HK cents per ordinary share**, totaling **HKD 291,273 thousand**[68](index=68&type=chunk) [Borrowings](index=28&type=section&id=16.%20借貸) As of June 30, 2024, the Group's total borrowings amounted to **HKD 5.275 billion**, all unsecured and RMB-denominated, with **HKD 1.764 billion** due within one year, and a weighted average annual interest rate of **4.0%** Borrowings Repayment Schedule (thousand HKD) | Repayment Period | Amount | | :--- | :--- | | Within one year | 1,764,106 | | In the second year | 1,131,001 | | In the third to fifth years | 1,816,111 | | After five years | 563,585 | | **Total** | **5,274,803** | - All borrowings are unsecured, denominated in RMB, and carry a weighted average annual interest rate of **4.0%**[79](index=79&type=chunk) [Significant Related Party Transactions](index=29&type=section&id=19.%20重大有關連人士交易) The Group engages in significant transactions with its ultimate holding company, Tianjin Port Group and its associates, and associate Tianjin Port Finance Co. Ltd., including **HKD 519 million** in purchases of goods and services from Tianjin Port Group and its associates, and **HKD 3.057 billion** in deposits and **HKD 3.082 billion** in borrowings with Tianjin Port Finance as of period-end - Significant transactions with Tianjin Port Group and its subsidiaries, associates, and joint ventures include purchases of goods and services totaling **HKD 519 million**, and lease payments for land and properties amounting to **HKD 144 million**[83](index=83&type=chunk) - As of June 30, 2024, deposits placed with associate Tianjin Port Finance amounted to **HKD 3.057 billion**[85](index=85&type=chunk)[86](index=86&type=chunk) - As of June 30, 2024, borrowings obtained from associate Tianjin Port Finance amounted to **HKD 3.082 billion**, bearing interest at market rates[85](index=85&type=chunk)[86](index=86&type=chunk) Other Information [Corporate Governance and Shareholder Interests](index=33&type=section&id=企業管治與股東權益) During the reporting period, the Company complied with all provisions of the Corporate Governance Code, with no purchases, sales, or redemptions of its listed securities by the Company or its subsidiaries, and key equity disclosures show Tianjin Port Group Company holding **53.5%** and Tianjin Development Holdings Limited holding **21.0%** - For the six months ended June 30, 2024, the Company has complied with all code provisions of the Corporate Governance Code[93](index=93&type=chunk) - During the period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[94](index=94&type=chunk) Major Shareholders | Major Shareholders | Capacity | Shareholding Percentage | | :--- | :--- | :--- | | Tianjin Port Group Company | Interest of controlled corporation | 53.5% | | Tianjin Development | Interest of controlled corporation | 21.0% | Financial Summary [Financial Summary](index=36&type=section&id=財務摘要) This section provides a summary of key financial data from 2019 to 2023 and for H1 2023 and H1 2024, indicating relatively stable revenue and asset size over recent years with fluctuating profitability, and higher revenue but lower profit in H1 2024 compared to the prior year Financial Summary (thousand HKD) | Item | 2022 | 2023 | H1 2023 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **Consolidated Statement of Profit or Loss** | | | | | | Revenue | 13,017,326 | 13,484,271 | 6,243,968 | 6,746,266 | | Gross Profit | 3,337,426 | 3,697,658 | 2,030,212 | 1,988,543 | | Profit for the Year/Period | 1,174,909 | 1,685,192 | 1,083,905 | 1,014,320 | | Profit Attributable to Shareholders | 345,266 | 728,594 | 474,481 | 418,143 | | **Consolidated Statement of Financial Position** | | | | | | Total Assets | 42,210,905 | 40,619,719 | N/A | 41,189,708 | | Equity Attributable to Shareholders | 13,244,458 | 13,610,148 | N/A | 13,646,775 |

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 6.746 billion, an increase from HKD 6.244 billion in the same period last year[4] - Profit attributable to equity holders was HKD 418.14 million, down from HKD 474.48 million year-on-year[4] - Basic earnings per share decreased to HKD 6.8 from HKD 7.7 in the previous year[4] - Total comprehensive income for the period was HKD 811.87 million, compared to HKD 142.67 million in the prior period[5] - Profit before tax amounted to HKD 1,268,584, reflecting the company's strong operational performance[12] - The company reported a net profit of HKD 418,143 for the six months ended June 30, 2024, down from HKD 474,481 in the same period last year[21] - Basic and diluted earnings per share were calculated at HKD 0.068, consistent with the previous period due to no potential ordinary shares outstanding[21] Revenue Breakdown - Total revenue for the reporting segments reached HKD 7,000,726, with external customer revenue contributing HKD 6,746,266, representing a significant increase compared to the previous period[13] - The cargo handling segment generated revenue of HKD 3,821,026, while the sales segment contributed HKD 1,631,203, and other port services brought in HKD 1,294,037[13] - The group achieved a revenue of HKD 2.781 billion from bulk cargo handling, an increase of 8.9% compared to the previous year[34] - Sales business revenue increased by 16.0% to HKD 1.63 billion in the first half of 2024, with an 18.6% increase in RMB terms due to higher sales volume[38] - Other port services revenue rose by 6.6% to HKD 1.29 billion in the first half of 2024, with a 9.0% increase in RMB terms attributed to increased business volume[39] Cargo Throughput - Total cargo throughput reached 228 million tons, with container throughput at 10.43 million TEUs[3] - In the first half of 2024, the total cargo throughput reached 228 million tons, a year-on-year increase of 1.8% compared to 224 million tons in 2023[26] - The container throughput for the first half of 2024 was 10.43 million TEUs, a year-on-year increase of 1.6%[35] - The throughput of bulk cargo increased by 6.3% to 12.522 million tons in the first half of 2024, with a notable increase of 9.8% at the group's controlled terminals[32] Assets and Liabilities - Non-current assets amounted to HKD 31.34 billion, slightly down from HKD 31.83 billion at the end of 2023[6] - Total assets increased to HKD 41.19 billion from HKD 40.62 billion at the end of 2023[7] - Total liabilities rose to HKD 10.85 billion, up from HKD 10.34 billion at the end of 2023[7] - Trade receivables as of June 30, 2024, totaled HKD 2,134,229, an increase from HKD 1,635,663 at the end of 2023[22] - Trade payables amounted to HKD 1,887,240, up from HKD 1,694,049 at the end of the previous year[23] Cash Position and Expenses - The company reported a net cash position of HKD 6.99 billion as of June 30, 2024, compared to HKD 6.37 billion at the end of 2023[6] - Financial expenses decreased to HKD 128,523 from HKD 149,999 in the previous period, indicating improved cost management[17] - Administrative expenses increased by 3.4% to HKD 929 million in the first half of 2024, compared to HKD 898 million in the same period of 2023[41] - Financial expenses decreased by 14.3% to HKD 129 million in the first half of 2024, primarily due to a reduction in total borrowings[43] Dividends and Shareholder Returns - The company declared a final dividend of HKD 0.0473 per share, significantly higher than HKD 0.0224 per share in the previous year[20] Strategic Focus and Initiatives - The group plans to continue focusing on the construction of world-class green and smart ports, leveraging national policy opportunities such as the Beijing-Tianjin-Hebei coordinated development and the Belt and Road Initiative[27] - The group has established a carbon management system, becoming the first in the national port industry to obtain a carbon management system evaluation certificate[25] Employee and Governance - As of June 30, 2024, the group had approximately 5,528 employees, with no changes in retirement benefit contributions during the six months ending June 30, 2024[53] - The group emphasizes lifelong learning and personal development for employees, enhancing productivity through training[54] - The company has complied with all provisions of the corporate governance code during the six months ending June 30, 2024[55] Audit and Reporting - The interim financial statements for the six months ending June 30, 2024, were reviewed by independent auditors in accordance with Hong Kong accounting standards[54] - The interim report for 2024 will be published on the company's website and the HKEX news website in due course[56]

Financial Performance - Total throughput for 2023 reached 445 million tons, a year-on-year increase of 0.4%[19] - Container throughput for 2023 was 20.02 million TEUs, up 1.0% from the previous year[19] - Revenue for 2023 amounted to HKD 13,484 million, compared to HKD 13,017 million in 2022, reflecting a growth of 3.6%[12] - Profit attributable to shareholders for 2023 was HKD 729 million, significantly up from HKD 345 million in 2022, representing a 111.3% increase[12] - Basic earnings per share for 2023 were HKD 11.8, compared to HKD 5.6 in 2022, marking a 110.7% increase[12] - Total revenue for 2023 was HKD 13,484 million, an increase of 3.6% compared to HKD 13,017 million in 2022[31] - Sales business revenue reached HKD 3,471 million, up 16.5% from HKD 2,979 million in the previous year[31] - Total cost of sales for 2023 was HKD 9,782 million, a slight increase of 1.1% from HKD 9,672 million in 2022[33] - Gross profit for 2023 was HKD 3,698 million, with a gross margin of 27.4%, up from 25.6% in 2022[41] - The 2023 gross profit margin improved to 27.4%, up from 25.7% in 2022, driven by effective cost control and increased revenue from handling operations[27] Assets and Liabilities - Total assets as of December 31, 2023, were HKD 40,620 million, down from HKD 42,211 million in 2022[13] - Total borrowings decreased to HKD 5,707 million from HKD 8,291 million, resulting in a debt ratio of 18.8%[13] - The group's total liabilities as of December 31, 2023, were HKD 10.34 billion, down from HKD 12.56 billion in the previous year, resulting in a debt ratio of 18.8% compared to 28.0% in 2022[50] - Cash and deposits balance as of December 31, 2023, was HKD 6.43 billion, a decline from HKD 7.96 billion as of December 31, 2022[49] - The company's equity attributable to shareholders was HKD 13,610 million as of December 31, 2023, compared to HKD 13,244 million in 2022[47] Dividends - The company proposed a final dividend of HKD 4.73 per share, with an annual payout ratio of approximately 40%[19] - The company plans to maintain a dividend payout ratio of approximately 40% for the year, consistent with the previous year[28] - The company aims to distribute an annual dividend amounting to 30% to 50% of the annual profit attributable to shareholders, depending on operational performance and financial conditions[117] Operational Strategy - The company aims to enhance service quality and expand service functions while maintaining a focus on risk management and operational efficiency[19] - The outlook for 2024 indicates potential growth opportunities driven by favorable policies and trade agreements, despite ongoing economic uncertainties[19] - The company is focusing on green port initiatives, having upgraded equipment to replace traditional fuel with electricity, and was recognized as a five-star "Green Port"[23] - The digital transformation strategy includes the integration of IoT, big data, and AI technologies to enhance operational efficiency and service quality[24] - The company aims to enhance safety management through the application of smart technologies, including drone surveillance and comprehensive video monitoring[25] - Future outlook indicates a commitment to leveraging strategic opportunities from national policies and enhancing core competitiveness in port logistics[28] - The company emphasizes sustainable development and aims to reduce environmental impact through clean energy technologies and waste reduction initiatives[29] Governance and Management - The company is focused on expanding its market presence and enhancing operational capabilities through strategic appointments and governance improvements[62] - The management team is committed to leveraging their extensive experience to drive the company's growth and operational efficiency in the logistics sector[58][59] - The board includes independent non-executive directors with diverse expertise, such as Luo Wenyu, who has a background in engineering and has served in various academic and advisory roles[60] - The company is committed to maintaining high levels of corporate governance to enhance business transparency and accountability to shareholders[66] - The company’s governance practices comply with all provisions of the corporate governance code for the year ending December 31, 2023[67] - The company’s financial performance and risk management are monitored by the board, ensuring alignment with overall strategic objectives[70] Risk Management - The company has established a risk management framework that includes risk identification, assessment, response, control, monitoring, and reporting[96][97][98][99] - The company conducted an annual review of its risk management and internal control systems, confirming their adequacy and effectiveness[94] - The risk management department is tasked with daily risk management operations and ensuring compliance with established policies and procedures[95] Related Party Transactions - The company ensures that the terms of transactions with Tianjin Port Group are not less favorable than those offered by independent third parties[158] - The company has received independent shareholder approval for ongoing related party transactions as disclosed in announcements dated September 28, 2020, and September 25, 2023[162][166] - The company has established a framework agreement with Zhonggu Logistics for services from January 1, 2023, to December 31, 2025, covering various operational needs[188] - The pricing for services is based on fair market value, considering service content, quantity, and quality, with specific guidelines for each service type[190] Employee and Diversity Initiatives - The group employs a total of 5,727 staff members, with a gender ratio of 4,356 males to 1,371 females[79] - The Nomination Committee has reviewed the implementation and effectiveness of the board diversity policy and aims to continue seeking suitable candidates to enhance diversity[79] - The company emphasizes the importance of effective communication and timely information dissemination among board members[71] Shareholder Engagement - The company encourages direct communication with shareholders and provides various channels for inquiries and feedback[107][109] - Shareholders have the right to receive company communications in both English and Chinese, and can choose their preferred method of receipt[110] - The company maintains a website that provides comprehensive information, including financial reports and governance documents, ensuring transparency[111]

Financial Performance - Revenue for the year was HKD 13.484 billion, an increase from HKD 13.017 billion in the previous year[5] - Profit attributable to equity holders was HKD 729 million, compared to HKD 345 million in the prior year[4] - Basic earnings per share were HKD 0.118, up from HKD 0.056[6] - The company reported a total comprehensive income of HKD 1.19 billion, recovering from a loss of HKD 1.57 billion in the previous year[6] - The total revenue for 2023 was HKD 13,484 million, an increase of 3.6% from HKD 13,017 million in 2022[33] - The gross profit for 2023 was HKD 3,698 million, reflecting a 10.8% increase compared to HKD 3,337 million in 2022[33] - The profit attributable to shareholders for 2023 was HKD 729 million, a significant increase of 111.0% from HKD 345 million in 2022[33] - The effective tax rate for the group is 25%, with certain subsidiaries benefiting from reduced rates due to tax exemptions[24] Revenue Breakdown - Revenue from external customers for the cargo handling segment was HKD 7,418,369 thousand, compared to HKD 7,383,756 thousand in the previous year, indicating a slight increase of 0.5%[18][19] - The performance of the cargo handling segment showed a profit before tax of HKD 2,390,001 thousand, up from HKD 2,047,746 thousand in 2022, representing an increase of approximately 16.7%[18][19] - Other port ancillary services generated revenue of HKD 3,079,384 thousand, a decrease from HKD 3,091,717 thousand in 2022, reflecting a decline of about 0.4%[18][19] - The revenue from the sales business increased by 16.5% to HKD 3.471 billion, driven by higher sales volume[44] - The revenue from container handling business rose by 5.9% to HKD 2.116 billion, attributed to increased throughput[42] Operational Metrics - Total cargo throughput reached 445 million tons, with container throughput at 20.02 million TEUs[3] - The total cargo throughput for 2023 was 445 million tons, a 0.5% increase from 443 million tons in 2022[32] - The total container throughput for 2023 was 20.02 million TEUs, up 1.0% from 19.83 million TEUs in 2022[32] Assets and Liabilities - Total assets decreased to HKD 40.62 billion from HKD 42.21 billion year-on-year[8] - Total liabilities reduced to HKD 10.34 billion from HKD 12.56 billion[8] - Non-current assets amounted to HKD 31.83 billion, slightly down from HKD 31.98 billion[7] - Cash and cash equivalents decreased to HKD 6.37 billion from HKD 7.95 billion[7] - The debt-to-equity ratio improved to 18.8% from 28.0% year-on-year[53] Dividends - Proposed final dividend per share is HKD 0.0473, with a payout ratio of approximately 40%[3] - The proposed final dividend for 2023 is HKD 0.0473 per share, compared to HKD 0.0224 per share in 2022[25] Other Financial Information - Other income for 2023 totaled HKD 168,660 thousand, significantly lower than HKD 374,602 thousand in 2022, marking a decrease of approximately 55.1%[20][21] - Financial expenses for the year were HKD 280,546 thousand, down from HKD 390,092 thousand in 2022, indicating a reduction of about 28.2%[22] - Income tax expense decreased by HKD 32 million to HKD 400 million, influenced by the use of previously unrecognized deferred tax assets[49] - Net cash inflow from operating activities was HKD 2.851 billion, while net cash outflow from investing activities was HKD 823 million[49] Strategic Focus - The company continues to focus on enhancing its operational efficiency and exploring market expansion opportunities in the port services sector[17] - The group plans to enhance operational efficiency through digital transformation and automation technologies[35] - The group aims to strengthen its core competitiveness in port logistics and expand market opportunities[35] - The group will focus on sustainable development by implementing green low-carbon upgrades and optimizing energy efficiency[35] - The group has implemented a carbon management system and upgraded port vehicles to enhance sustainability efforts[30] Compliance and Governance - The company has complied with all provisions of the Corporate Governance Code during the year ended December 31, 2023[61] - The Audit Committee, consisting of four independent non-executive directors, reviewed the annual performance for the year ended December 31, 2023[62] - The annual results announcement is available on the company's website and the Hong Kong Stock Exchange's disclosure website[63] - The company will hold its annual general meeting on June 12, 2024, to determine eligible shareholders for voting[64]

Financial Performance - Total cargo throughput for the first half of 2023 was 22.4 million tons, a 1.0% increase from 22.2 million tons in the same period of 2022[8]. - Container throughput reached 10.27 million TEUs, up 2.3% from 10.04 million TEUs in the first half of 2022[8]. - Revenue for the first half of 2023 was HKD 6.244 billion, a decrease of 12.2% compared to HKD 7.114 billion in the same period of 2022[12]. - Shareholder profit for the first half of 2023 was HKD 474 million, representing a 65.8% increase from HKD 286 million in the first half of 2022[8]. - Gross profit for the first half of 2023 was HKD 2.030 billion, an increase of 18.3% year-on-year, with a gross profit margin of 32.5%, up 8.4 percentage points[23]. - The net profit for the period was HKD 1,083,905,000, up 40.5% from HKD 771,526,000 in the previous year[51]. - Profit attributable to equity holders for the six months was HKD 474,481,000, up 65.8% from HKD 286,096,000 in 2022[78]. - Basic and diluted earnings per share for the period were HKD 0.077, compared to HKD 0.046 in the same period of 2022[51]. Cash Flow and Assets - The company reported a net cash inflow from operating activities of HKD 1.456 billion, slightly down from HKD 1.495 billion in the previous year[4]. - Total assets as of June 30, 2023, were HKD 39.486 billion, down from HKD 42.211 billion at the end of 2022[4]. - Current assets decreased from HKD 10,228,329 thousand to HKD 8,927,058 thousand, a reduction of about 12.7%[54]. - Cash and cash equivalents decreased from HKD 7,954,823 thousand to HKD 6,420,992 thousand, a decline of about 19.3%[58]. - The company's total liabilities amounted to HKD 5,959,791, a decrease of 28% from HKD 8,290,782 as of December 31, 2022[85]. - The company's total equity decreased from HKD 29,653,581 thousand as of December 31, 2022, to HKD 29,283,109 thousand as of June 30, 2023, a decline of about 1.3%[54]. Debt and Financial Ratios - The debt-to-equity ratio improved to 20.4% from 28.0% in the previous year[4]. - The total borrowings as of June 30, 2023, amounted to HKD 5,960,000,000, primarily at floating interest rates[40]. - The debt ratio as of June 30, 2023, was 20.4%, down from 28.0% at the end of 2022, indicating improved financial stability[37]. - The company’s borrowings decreased from HKD 4,018,468 thousand to HKD 1,772,561 thousand, a significant reduction of approximately 56.0%[55]. Revenue Breakdown - The group's handling business revenue reached HKD 3.624 billion, a year-on-year increase of 1.6%, and an increase of 8.6% in RMB terms, primarily due to the rise in container handling throughput[14]. - Revenue from the cargo handling segment was HKD 3,623,545,000, while sales and other port services generated HKD 1,406,531,000 and HKD 1,213,892,000 respectively[69]. - Sales business revenue decreased by 37.9% to HKD 1.407 billion, primarily due to a reduction in sales volume[20]. - Container handling revenue increased by 14.8% to HKD 1.070 billion, attributed to the increase in container throughput[19]. Operational Insights - The company plans to enhance port infrastructure and promote smart upgrades and low-carbon development in the second half of 2023[10]. - The company aims to maintain efficient port operations and expand service functions to achieve high-quality development[10]. - The group continues to focus on market expansion and new product development as part of its strategic initiatives[110]. - The company anticipates a recovery in revenue growth in the second half of 2023, driven by improved market conditions and operational efficiencies[110]. Administrative and Other Expenses - Administrative expenses increased by 1.9% to HKD 898 million, mainly due to rising R&D costs[24]. - The group’s administrative expenses for the six months ended June 30, 2023, were HKD 897,726,000, compared to HKD 881,360,000 in the same period of 2022[70]. - Total financial expenses decreased to HKD 149,999,000 from HKD 200,743,000, a reduction of 25.1%[73]. Dividends and Shareholder Information - The board has decided not to declare an interim dividend for the six months ended June 30, 2023[9]. - The company did not declare an interim dividend for the six months ended June 30, 2023, consistent with the previous year[77]. - As of June 30, 2023, Tianjin Port Overseas Holdings Limited holds 3,294,530,000 shares, representing 53.5% of the issued share capital[107]. - Leadport Holdings Limited owns 1,293,030,000 shares, accounting for 21.0% of the issued share capital[107]. Compliance and Governance - The company has complied with all provisions of the Corporate Governance Code for the six months ending June 30, 2023[95]. - The independent auditor has reviewed the unaudited condensed consolidated financial statements for the six months ending June 30, 2023[94]. - The company has adopted a standard code for directors' securities transactions, with all directors confirming compliance for the applicable period[96].

Financial Performance - Revenue for the six months ended June 30, 2023, was HKD 6.244 billion, a decrease from HKD 7.114 billion in the same period last year [5]. - Profit attributable to equity holders was HKD 474 million, compared to HKD 286 million in the previous year [4]. - Basic earnings per share increased to HKD 0.077 from HKD 0.046 year-on-year [6]. - Gross profit for the period was HKD 2.030 billion, up from HKD 1.717 billion in the prior year [5]. - The company's profit attributable to shareholders for the first half of 2023 was HKD 474.5 million, representing a 65.8% increase compared to HKD 286.1 million in the same period of 2022 [28]. - Revenue for the first half of 2023 was HKD 6.244 billion, a decrease of 12.2% from HKD 7.114 billion in the first half of 2022 [31]. - The group's profit before tax for the six months ended June 30, 2023, was HKD 1,336,594 thousand, compared to HKD 1,005,982 thousand for the same period in 2022, indicating an increase of approximately 32.7% [14][16]. - Other income for the six months ended June 30, 2023, totaled HKD 88,920 thousand, down from HKD 140,367 thousand in the same period of 2022, reflecting a decrease of about 36.7% [17]. - The financial expenses for the six months ended June 30, 2023, were HKD 149,999 thousand, a decrease from HKD 200,743 thousand in the same period of 2022, representing a reduction of about 25.1% [19]. - The group reported a net profit from associates and joint ventures of HKD 219,129 thousand for the six months ended June 30, 2023, compared to HKD 219,620 thousand in the same period of 2022, showing a slight decrease of approximately 0.2% [14][18]. Assets and Liabilities - Total assets as of June 30, 2023, were HKD 39.486 billion, down from HKD 42.211 billion at the end of 2022 [8]. - Total liabilities decreased to HKD 10.203 billion from HKD 12.557 billion at the end of 2022 [8]. - Non-current assets amounted to HKD 30.559 billion, a decrease from HKD 31.983 billion [7]. - Cash and cash equivalents were HKD 6.421 billion, down from HKD 7.955 billion at the end of 2022 [7]. - Trade receivables as of June 30, 2023, amounted to HKD 1.586 billion, compared to HKD 1.540 billion as of December 31, 2022 [25]. - Trade payables as of June 30, 2023, were HKD 1.277 billion, down from HKD 1.653 billion as of December 31, 2022 [26]. - The debt ratio as of June 30, 2023, was 20.4%, down from 28.0% as of December 31, 2022 [49]. - As of June 30, 2023, the total borrowings of the group amounted to HKD 5.96 billion, primarily at floating interest rates [51]. Operational Performance - Total cargo throughput reached 224 million tons, with container throughput at 10.27 million TEUs [3]. - For the first half of 2023, the total cargo throughput was 22.4 million tons, a 1.0% increase from 22.2 million tons in the same period of 2022 [28]. - The cargo handling segment's performance for the six months ended June 30, 2023, was HKD 1,339,558 thousand, an increase from HKD 1,040,374 thousand in the same period of 2022, reflecting a growth of approximately 28.8% [15][16]. - The group's handling business revenue was HKD 3.624 billion, an increase of 1.6% year-on-year, and an increase of 8.6% in RMB terms, mainly due to the rise in container handling throughput [34]. - The total throughput of bulk cargo was 11.778 million tons, a decrease of 2.3% year-on-year, with a 5.2% decline in the throughput of owned terminals and a 6.7% increase in joint and associated terminals [35]. - The total throughput of container handling was 10.27 million TEUs, an increase of 2.3% year-on-year, with a 26.0% increase in owned terminals and a 20.6% decrease in joint and associated terminals [37]. - Container handling revenue was HKD 1.07 billion, an increase of 14.8% year-on-year, and a 22.8% increase in RMB terms, primarily due to increased throughput [38]. Expenses and Costs - The cost of sales for the first half of 2023 was HKD 4.211 billion, down 21.9% from HKD 5.390 billion in the same period of 2022 [33]. - The group's gross profit for the first half of 2023 was HKD 2.03 billion, an increase of 18.3% year-on-year, with a gross margin of 32.5%, up 8.4 percentage points from the previous year [41]. - Administrative expenses increased by 1.9% year-on-year to HKD 898 million, mainly due to rising R&D costs [42]. Corporate Governance and Compliance - The group has adhered to all provisions of the corporate governance code during the six-month period ending June 30, 2023 [55]. - The independent auditor reviewed the interim financial statements for the six months ending June 30, 2023 [54]. - The group did not purchase, sell, or redeem any of its listed securities during the six-month period ending June 30, 2023 [55]. - There were no significant events affecting the group that required disclosure after the six-month period ending June 30, 2023 [53]. Future Outlook - The company aims to enhance port infrastructure and promote smart upgrades and low-carbon development in the second half of 2023 [30]. - The group has adopted new accounting policies effective from January 1, 2022, which did not have a significant impact on the financial statements [12]. - The group continues to assess the impact of the revised Hong Kong Accounting Standards on its financial position and performance, with no significant effects reported for the current period [12]. - The group will continue to closely monitor exchange and interest rate risks, adjusting its funding strategy as necessary [51].

Financial Performance - The company's revenue for 2022 was HKD 13,017 million, a decrease of 25.3% from HKD 17,371 million in 2021[16]. - The profit attributable to shareholders for 2022 was HKD 345 million, down 62.6% from HKD 923 million in 2021[16]. - The company's total assets as of December 31, 2022, were HKD 42,211 million, down from HKD 46,302 million in 2021[16]. - The cash inflow from operating activities for 2022 was HKD 3,088 million, compared to HKD 3,535 million in 2021[16]. - The gross profit for 2022 was HKD 3.337 billion, down 12.9% from HKD 3.831 billion in 2021[35]. - The total revenue from the cargo handling business was HKD 7.384 billion, down 4.9% year-on-year, with a revenue decline of 1.1% when calculated in RMB[44]. - The sales business revenue was HKD 2.979 billion, a significant decrease of 56.0% year-on-year, primarily due to the sale of a subsidiary in August 2021[49]. - The group's total sales cost for the year was HKD 9.672 billion, a decrease of 28.5% compared to the previous year[42]. Debt and Financial Stability - The debt ratio improved to 28.0% in 2022 from 33.8% in 2021, indicating better financial stability[16]. - Total borrowings amounted to HKD 8.291 billion as of December 31, 2022, down from HKD 10.333 billion a year earlier, with 73.5% denominated in RMB[63]. - The debt-to-equity ratio was 28.0% as of December 31, 2022, compared to 33.8% on December 31, 2021, indicating improved financial stability[64]. - The group incurred a foreign exchange loss of HKD 205 million in 2022 due to significant fluctuations in the RMB exchange rate, compared to a foreign exchange gain of HKD 58 million in 2021[67]. - The current ratio improved to 1.3 as of December 31, 2022, from 1.2 a year prior, reflecting better short-term liquidity[64]. Operational Capacity and Throughput - In 2022, the total throughput of Tianjin Port was 241.03 million tons for bulk cargo and 19.83 million standard containers, with a slight decrease in container throughput compared to 2021[16]. - The total cargo throughput for the year 2022 was 443 million tons, a year-on-year increase of 0.2%[34]. - The total container throughput was 19.83 million TEUs, a year-on-year decrease of 1.8%[34]. - The total throughput of bulk cargo reached 24.103 million tons, an increase of 1.0% compared to the previous year, with a comprehensive average price of HKD 29.9 per ton, up 3.4% year-on-year[45][46]. - The total throughput of container handling was 1.983 million TEUs, a decrease of 1.8% year-on-year, with a revenue of HKD 1.999 billion, down 23.4% year-on-year[47][48]. Strategic Initiatives and Future Plans - The company aims for a GDP growth target of around 5% for 2023, supported by ongoing economic stabilization policies[38]. - The company plans to enhance operational efficiency and strengthen cost control while focusing on green and low-carbon development[39]. - The company will continue to deepen market development and improve port service functions in 2023[39]. - Capital expenditures for 2022 were HKD 1.148 billion, primarily for the construction and renovation of terminals and yards[69]. Corporate Governance - The company is committed to maintaining high standards of corporate governance through the involvement of independent directors in key committees[83][85]. - The board consists of eight members, including five executive directors and three independent non-executive directors[96]. - The company has adopted a board diversity policy and will continue to consider various diversity aspects, including gender, age, and professional experience, in future appointments[109]. - The company emphasizes compliance with corporate governance codes and conducts annual reviews of its governance policies[128]. - The board confirmed that the group has sufficient financial resources to continue operating for the foreseeable future, based on current financial forecasts and available financing[130]. Shareholder Communication and Engagement - The company emphasizes regular communication with shareholders to enhance long-term shareholder value and has established a shareholder communication policy[151]. - Shareholders can submit written inquiries to the board via the company's main business address or email, promoting direct communication[145]. - A special general meeting can be convened upon the request of shareholders holding at least 10% of the voting rights, with specific procedures outlined for such requests[146]. - The company encourages shareholder participation in annual general meetings and allows for proxy representation if shareholders cannot attend[156]. Management and Leadership - The company’s management is responsible for daily operations, overseen by the executive directors[99]. - The company’s financial management is led by a qualified CFO with extensive experience in auditing and compliance[91]. - The management team is composed of professionals with diverse backgrounds in finance, law, and engineering, ensuring a well-rounded approach to business challenges[80][81][82]. - The board of directors held a total of six meetings in 2022, with attendance rates for executive directors ranging from 50% to 100%[101][102].

Financial Performance - Revenue for the year was HKD 13.017 billion, a decrease from HKD 17.371 billion in the previous year[4] - Profit attributable to equity holders was HKD 345.3 million, down from HKD 923.1 million year-on-year[4] - Basic earnings per share decreased to HKD 0.056 from HKD 0.150 in the previous year[4] - Total revenue for the year ended December 31, 2022, was HKD 17,370,544, an increase from HKD 17,217,480 in 2021, representing a growth of approximately 0.89%[16] - The operating profit before tax for 2022 was HKD 2,476,296, compared to HKD 2,427,313 in 2021, indicating an increase of about 2.02%[16] - The company reported a net profit attributable to shareholders of HKD 345,266 for 2022, compared to HKD 923,116 in 2021, indicating a significant decline[24] - The group's revenue for 2022 was HKD 13.017 billion, a decrease of 25.1% from HKD 17.371 billion in 2021[34] - The group's gross profit was HKD 3.337 billion, down 12.9% from HKD 3.831 billion in the previous year[30] - The net profit attributable to shareholders was HKD 345 million, a significant decline of 62.6% compared to HKD 923 million in 2021[31] Dividends - Proposed final dividend per share is HKD 0.0224, with a payout ratio of approximately 40%[3] - The company proposed a final dividend of HKD 0.0224 per share for 2022, a decrease from HKD 0.0599 per share in 2021[23] - The board proposed a final dividend of HKD 0.0224 per share, maintaining a payout ratio of approximately 40%[31] - The board proposed a final dividend of HKD 0.0224 per share for the year ended December 31, 2022, subject to approval at the annual general meeting on June 14, 2023[61] Operational Metrics - Total cargo throughput reached 443 million tons, with container throughput at 19.83 million TEUs[3] - The container throughput for the group was 19.83 million TEUs in 2022, a decrease of 1.8% from 20.20 million TEUs in 2021[30] - The group achieved a total throughput of 24.103 million tons in bulk cargo, an increase of 1.0% compared to the previous year[37] - Revenue from bulk cargo handling was HKD 5.385 billion, representing a 4.4% increase year-on-year, with an 8.6% increase in RMB terms[37] - Revenue from container handling was HKD 1.999 billion, a decrease of 23.4% year-on-year, with a 20.3% decrease in RMB terms[41] - Sales business revenue fell to HKD 2.979 billion, down 56.0% year-on-year, primarily due to the sale of a subsidiary in August 2021[42] - Other port services revenue decreased by 6.1% to HKD 2.654 billion, attributed to a decline in business volume[44] Assets and Liabilities - Total assets decreased to HKD 42.211 billion from HKD 46.302 billion year-on-year[6] - Total liabilities decreased to HKD 12.557 billion from HKD 15.773 billion in the previous year[7] - Non-current assets decreased to HKD 31.983 billion from HKD 34.045 billion year-on-year[6] - Cash and cash equivalents amounted to HKD 7.958 billion as of December 31, 2022, a decrease from HKD 8.996 billion in 2021[52] - As of December 31, 2022, the total debt of the group was HKD 8.291 billion, a decrease from HKD 10.333 billion as of December 31, 2021[53] - The debt-to-equity ratio as of December 31, 2022, was 28.0%, down from 33.8% as of December 31, 2021[54] Financial Standards and Reporting - The application of the revised Hong Kong Financial Reporting Standard No. 12 resulted in the recognition of deferred tax assets and liabilities related to right-of-use assets and lease liabilities, with carrying amounts of HKD 359,577,000 and HKD 380,271,000 respectively as of December 31, 2022[13] - The group has not early adopted the newly issued and revised Hong Kong Financial Reporting Standards that are effective from January 1, 2023, and beyond, which are expected to have no significant impact on the consolidated financial statements[12] - The group applied the revised Hong Kong Financial Reporting Standard No. 3 for business combinations effective from January 1, 2022, with no impact on the consolidated financial statements for the current year[11] - The group is currently assessing the full impact of the revised standards on its financial reporting and operations[13] - The group has implemented the revised Hong Kong Accounting Standard No. 16, which pertains to the recognition of lease liabilities and right-of-use assets, effective from January 1, 2023[12] - The group expects that the newly issued and revised standards will not have a significant impact on the consolidated financial statements in the foreseeable future[12] Employee and Governance - The group had approximately 6,141 employees as of December 31, 2022, with compensation determined based on position, performance, and market conditions[59] - The company has complied with all provisions of the Corporate Governance Code, except for the attendance of the chairman at the annual general meeting held on June 15, 2022[64] - The Audit Committee consists of three independent non-executive directors as of December 31, 2022, with Zheng Zhipeng as the chairman[66] - The company has adopted the standard code for securities transactions by directors as per the listing rules[65] Future Outlook - The group aims for a GDP growth target of around 5% for 2023, focusing on stabilizing employment and improving ecological environment quality[32] - The group plans to enhance operational efficiency and strengthen cost control while promoting green and low-carbon development[32]

Financial Performance - Total cargo throughput for the first half of 2022 was 22.206 million tons, a slight decrease of 0.2% compared to 22.243 million tons in the same period of 2021[20]. - Container throughput for the first half of 2022 was 10.039 million TEUs, down 2.5% from 10.297 million TEUs in the first half of 2021[25]. - Revenue for the first half of 2022 was HKD 7,114 million, a decrease of 18.6% from HKD 8,742 million in the same period of 2021[15]. - Profit attributable to equity holders for the first half of 2022 was HKD 286 million, a decrease of 31.5% compared to HKD 418 million in the first half of 2021[20]. - The group's revenue for the first half of 2022 was HKD 7.114 billion, a decrease of 18.6% compared to the same period last year[28]. - The net profit for the period was HKD 771,526,000, a decrease of approximately 16.0% from HKD 918,740,000 in the previous year[49]. - Basic earnings per share for the period were HKD 0.046, down from HKD 0.068 in the same period of 2021[49]. - The profit for the period attributable to equity holders was HKD 286,096,000, down from HKD 417,579,000, reflecting a decline of 31.4%[77]. - Gross profit for the same period was HKD 1,716,640,000, down from HKD 1,960,676,000, reflecting a decline of about 12.4%[49]. - The company reported a significant increase in other income and gains, reaching HKD 151,825 in the first half of 2022, compared to HKD 129,761 in the first half of 2021[115]. Dividends - The company did not declare an interim dividend for the six months ended June 30, 2022[21]. - The group did not declare an interim dividend for the six months ended June 30, 2022, consistent with the previous year[75]. - The company declared a final dividend of HKD 5.99 per share for the year ended December 31, 2021, compared to HKD 4.13 per share for the previous year, an increase of 45.1%[74]. Assets and Liabilities - As of June 30, 2022, total assets were HKD 44.477 billion, down from HKD 46.302 billion at the end of 2021[38]. - Total liabilities decreased to HKD 14,344,744 thousand from HKD 15,773,059 thousand, a reduction of about 9.05%[52]. - The company's total equity as of June 30, 2022, was HKD 30,132,736 thousand, down from HKD 30,528,863 thousand at the end of 2021, a decrease of about 1.3%[53]. - The company's equity attributable to equity holders was HKD 13,676,399 as of June 30, 2022, down from HKD 14,436,389 at the end of 2021[116]. - The company's total borrowings amounted to HKD 9,213,737,000, a decrease of 10.8% from HKD 10,333,123,000 as of December 31, 2021[86]. - Total borrowings as of June 30, 2022, amounted to HKD 9,214,000,000, with an average borrowing rate of 4.4% for RMB loans and 1.9% for HKD loans[41]. Operational Highlights - The company plans to enhance smart port construction and upgrade traditional equipment to promote green port development[27]. - The company aims to improve production automation and service intelligence levels as part of its long-term sustainable development strategy[27]. - The company is focused on expanding its container and bulk cargo handling services in Tianjin Port, China, as part of its growth strategy[55]. - The company reported a net cash inflow from operating activities of HKD 1,495 million for the first half of 2022, compared to HKD 1,402 million in the same period of 2021[15]. - The group generated a net cash inflow from operating activities of HKD 1,495 billion, despite a net cash outflow from investing activities of HKD 2,259 billion[37]. Awards and Recognition - The company received two awards in 2022 for outstanding port operating services and cargo handling services, recognizing its innovation and practices in the international market[27]. Market Conditions and Outlook - The outlook for the remainder of 2022 remains cautious due to market conditions and ongoing economic challenges[117]. Employee and Governance - The group employed approximately 6,300 staff as of June 30, 2022, with a focus on performance-based compensation and training for productivity enhancement[43]. - The group has adhered to all provisions of the Corporate Governance Code except for the attendance of the chairman at the annual general meeting[101].

Financial Performance - In 2021, the total cargo throughput of Tianjin Port Development Holdings reached 442 million tons, a year-on-year increase of 5.0%[27] - The company achieved a container throughput of 20.20 million TEUs in 2021, representing a growth of 10.1% compared to 2020[27] - Revenue for the year ended December 31, 2021, was HKD 17.37 billion, up from HKD 15.49 billion in 2020, marking an increase of 12.1%[20] - The profit attributable to shareholders for 2021 was HKD 923 million, compared to HKD 636 million in 2020, reflecting a growth of 45.1%[20] - The gross profit for the year was HKD 3.83 billion, up 14.1% from HKD 3.36 billion in 2020[31] - The group reported a revenue of HKD 17.37 billion in 2021, representing a 12.1% increase from HKD 15.49 billion in 2020[31] - The average price for bulk cargo handling increased by 8.8% to HKD 28.9 per ton in 2021[34] - The sales business revenue reached HKD 6.775 billion, marking a 12.0% increase year-on-year due to rising prices[37] - The revenue from bulk cargo handling business was HKD 5.158 billion, an increase of 15.4% year-on-year, with a 7.7% increase in RMB terms, primarily due to increased business volume[40] - Container handling business revenue was HKD 2.610 billion, a decrease of 2.1% year-on-year, with an 8.7% decrease in RMB terms, mainly due to changes in cargo structure affecting average prices[41] Financial Stability - The company’s debt ratio improved to 33.8% in 2021 from 42.5% in 2020, indicating better financial stability[21] - The company reported a net cash inflow from operating activities of HKD 3.54 billion for the year, an increase from HKD 2.79 billion in 2020[20] - As of December 31, 2021, total assets were HKD 46.302 billion, down from HKD 47.644 billion in 2020, while total liabilities decreased to HKD 15.773 billion from HKD 18.580 billion[51] - The debt-to-equity ratio improved to 33.8% from 42.5% in the previous year, indicating a stronger financial position[53] - Cash and cash equivalents as of December 31, 2021, were HKD 8.996 billion, up from HKD 8.751 billion in 2020, reflecting stable cash flow generation from operations[52] Strategic Initiatives - The company plans to closely monitor RMB exchange rate fluctuations and optimize its borrowing structure to reduce costs and manage currency risks[27] - The introduction of the "Tianjin City Promotion of Northern International Shipping Hub Construction Regulations" supports the high-quality development of Tianjin Port[27] - The company aims to leverage major policy opportunities such as the Belt and Road Initiative and the construction of the Xiong'an New Area to enhance its competitive edge[27] - The group plans to focus on market expansion and innovation, aiming to enhance operational efficiency and service quality in the coming year[38] - The company is investing $50 million in research and development for new technologies aimed at improving service delivery[65] Corporate Governance - The board of directors consists of eight members, including five executive directors and three independent non-executive directors[76] - The company is committed to maintaining high levels of corporate governance to enhance business transparency and accountability to shareholders[74] - The company has adopted a standard code of conduct for securities trading by directors, ensuring compliance throughout the year ending December 31, 2021[75] - The board is responsible for overseeing the group's business, overall strategy, corporate governance, risk management, and financial performance[77] - The company has established three board committees: the Nomination Committee, the Remuneration Committee, and the Audit Committee[87] Shareholder Engagement - The company emphasizes effective communication with shareholders and investors through various channels, including annual general meetings and analyst briefings[120] - The company encourages shareholder participation in annual general meetings and welcomes feedback and inquiries[115] - Shareholders can request a special general meeting if they hold at least 10% of the voting rights, with specific procedures outlined for such requests[113] - The board aims to declare an annual dividend amounting to 30% to 50% of the annual profit attributable to shareholders, depending on operational and financial conditions[122] Environmental Commitment - The company is committed to reducing its environmental impact and has implemented policies for energy conservation and pollution control[130] - The company has actively promoted the use of renewable energy and improved environmental management practices at its port facilities[130] Related Party Transactions - The company is involved in multiple related party transactions due to its major shareholder relationships[156] - The independent non-executive directors confirmed that the continuing connected transactions were conducted in the ordinary course of business and on normal commercial terms[161] - The company ensures that transaction terms with related parties are not less favorable than those with independent third parties, maintaining fair market practices[168] Market Expansion - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by 2025[65] - A strategic acquisition of a local competitor is anticipated to enhance operational efficiency and increase market penetration[65] - The company plans to expand its market presence through strategic acquisitions and partnerships[158]