Financial Performance - In 2024, the company achieved total operating revenue of RMB 3.667 billion, a decrease of 10.06% year-on-year[13]. - The net profit attributable to shareholders was RMB 234 million, reflecting a year-on-year decrease of 17.96%[13]. - The group's revenue from waste treatment and energy conversion business for the year was approximately RMB 3,666,591,000, a decrease of about 10.06% compared to RMB 4,076,596,000 in the same period of 2023[36]. - The gross profit margin for the year was approximately 35.70%, an increase from approximately 34.02% in 2023, attributed to increased waste processing volume and improved power generation efficiency[37]. - The net profit attributable to the owners of the company was approximately RMB 234,123,000, down about 17.96% from RMB 285,380,000 in 2023, mainly due to a reduction in overall business activities[37]. Assets and Liabilities - Total assets reached RMB 20.881 billion, an increase of 2.92% year-on-year, while net assets grew by 4.41% to RMB 6.991 billion[13]. - As of December 31, 2024, the total assets of the group were approximately RMB 20,880,537,000, with net assets attributable to the owners of the company at approximately RMB 6,661,471,000[38]. - The debt-to-asset ratio was 66.52%, a decrease of 0.47% from 66.99% on December 31, 2023[38]. - The outstanding borrowings amounted to approximately RMB 10,647,211,000, an increase of about RMB 175,167,000 from RMB 10,472,044,000 on December 31, 2023[41]. Project and Investment Overview - The company has a total of 65 projects in China with a total investment of approximately RMB 19.758 billion, with RMB 17.2 billion already invested[13]. - The group has a total of 65 projects in operation, including 27 waste-to-energy projects and 5 landfill projects, with a total investment of approximately RMB 19.758 billion[23][24]. - Strategic investments and acquisitions will focus on high-quality projects with technological synergy and regional advantages to accelerate resource integration[14]. Market and Industry Trends - In 2024, the environmental protection market reached RMB 783.5 billion, with service projects accounting for 84% and asset projects for 16%[20]. - The urban and rural sanitation sector achieved a transaction value of RMB 168.1 billion, with new energy equipment penetration exceeding 30% and smart management platform coverage over 50%[20]. - The waste treatment industry in China is in a strategic adjustment period, with traditional landfill operations entering a decline phase and the market for site restoration rapidly developing[178]. - The waste incineration industry has matured with a complete business model, while the environmental sanitation industry is transitioning towards maturity after a rapid development phase[178]. Operational Efficiency and Management - The company aims to enhance operational management capabilities and improve the standardized system and intelligent platform for better digital service efficiency[14]. - The group improved operational efficiency, achieving a 6.8% year-on-year increase in electricity generation from incineration projects and a 10.4% increase in capacity utilization rate[26]. - The company aims to optimize its operating cash flow continuously, becoming a core pillar of the parent group's stable growth[12]. Corporate Governance - The company has maintained compliance with all applicable code provisions of the corporate governance code as of December 31, 2024[67]. - The board believes that high standards of corporate governance are key to the company's success and is committed to maintaining these standards[66]. - The board consists of two executive directors, one non-executive director, and four independent non-executive directors, ensuring a diverse governance structure[72]. Risk Management and Compliance - The board confirmed its responsibility for ongoing supervision of the risk management and internal control systems, ensuring they are effective and adequate[105]. - The company has established a risk governance framework to enhance internal controls and improve execution effectiveness[98]. - The company has implemented a unique internal control system to meet regulatory requirements and improve governance standards[99]. Sustainability and Innovation - The company emphasizes technology innovation to drive development and enhance its technological innovation capabilities for high-quality growth[22]. - The company is committed to continuous innovation and has established partnerships with leading international environmental management firms to enhance service quality[117]. - The company will publish its sustainability report by the end of April 2025, detailing its environmental and social responsibilities[177]. Employee and Board Diversity - The gender ratio of employees in the group is approximately 77.7% male and 22.3% female as of December 31, 2024[83]. - The board currently consists of seven members, with two female directors, achieving a gender diversity rate of 28.6%[82]. - The company recognizes the importance of protecting employee rights and providing equal opportunities regardless of gender, age, or background[83].

Financial Performance - For the year ended December 31, 2024, the total revenue was RMB 3,666,591,000, a decrease of 10.1% compared to RMB 4,076,596,000 in 2023[2] - Gross profit for the same period was RMB 1,309,096,000, down 5.6% from RMB 1,386,769,000 in 2023[2] - The net profit for the year was RMB 270,570,000, representing an increase of 4.6% from RMB 258,389,000 in 2023[3] - Basic and diluted earnings per share decreased to RMB 1.64 from RMB 2.00 in the previous year, a decline of 18%[3] - Total comprehensive income for the year was RMB 266,758,000, compared to RMB 243,258,000 in 2023, reflecting an increase of 9.7%[5] - The group's profit before tax for 2024 was RMB 234,123,000, down from RMB 285,380,000 in 2023, indicating a decrease of about 17.9%[37] - The company reported a net profit margin of approximately 0.6% for 2024, down from 0.8% in 2023, reflecting a decline in profitability[37] - The net profit attributable to shareholders reached RMB 234 million, with waste incineration and related collection businesses contributing RMB 457 million to the profit[68] Revenue Breakdown - Customer contract revenue for 2024 was RMB 3,147,996,000, down 11.5% from RMB 3,559,460,000 in 2023[17] - Revenue from construction services under service concession arrangements decreased to RMB 339,823,000 in 2024 from RMB 535,159,000 in 2023, a decline of 36.5%[17] - Revenue from operation services under service concession arrangements increased to RMB 2,054,663,000 in 2024, up 6.7% from RMB 1,925,332,000 in 2023[17] - The group's revenue from waste treatment and energy conversion for the year was approximately RMB 3,666,591,000, a decrease of about 10.06% compared to RMB 4,076,596,000 in the same period of 2023[86] Assets and Liabilities - Non-current assets totaled RMB 13,669,128,000, a decrease from RMB 13,956,791,000 in 2023[7] - Current assets increased to RMB 7,211,409,000 from RMB 6,330,375,000, marking a growth of 13.9%[7] - Current liabilities rose significantly to RMB 5,247,010,000 from RMB 3,528,069,000, an increase of 48.7%[9] - The total equity attributable to equity holders of the parent company was RMB 6,661,471,000, up from RMB 6,429,390,000 in 2023[9] - The total amount of bank and other borrowings was RMB 10,647,211,000 in 2024, a slight increase from RMB 10,472,044,000 in 2023[56] - The debt-to-asset ratio decreased to 66.52% from 66.99% in 2023, while the current ratio fell from approximately 1.79 to 1.37[87] Operational Efficiency - The company continues to engage in waste management and waste-to-energy conversion business, indicating ongoing commitment to market expansion and innovation[11] - The group is focusing on optimizing asset structure and enhancing operational quality of core projects, leading to significant improvements in operational efficiency[70] - The group achieved operating revenue of RMB 3.667 billion, with over 90% contributed by core businesses such as waste incineration power generation and urban sanitation[68] - The group completed 17 engineering projects and successfully transitioned 4 pilot projects to commercial operations, achieving a 6.8% year-on-year increase in electricity generation from waste incineration projects[71] Research and Development - Research and development costs increased to RMB 53,218,000 in 2024 from RMB 42,740,000 in 2023, reflecting a rise of approximately 24.5%[28] - The group submitted 48 patent applications in the field of technological innovation, receiving 35 authorized patents, including 12 invention patents[73] Market and Business Expansion - The group is actively expanding its business scale and exploring optimization potential in operational management, guided by key performance indicators such as return on equity (ROE)[68] - The group entered the Guangxi Zhuang Autonomous Region market for high-standard farmland construction projects, expanding its market presence[73] - The environmental protection market transaction value reached RMB 783.5 billion, with service projects accounting for 84% and asset projects for 16%[64] Financial Management - The total financial expenses for 2024 were RMB 425,156,000, slightly decreased from RMB 440,919,000 in 2023, showing a reduction of about 3.6%[30] - The company did not declare any dividends for the year ending December 31, 2024, compared to a declared dividend of RMB 130,694,000 in 2023[34] - The group has capital commitments of approximately RMB 169,460,000 related to construction projects under service concession arrangements as of December 31, 2024[95] Compliance and Governance - The company adheres to high standards of corporate governance and has complied with all applicable codes during the year ending December 31, 2024[108] - The audit committee reviewed the accounting principles and practices adopted by the group for the year ending December 31, 2024, and found them compliant with relevant standards[110] - The preliminary financial results for the year ending December 31, 2024, have been agreed upon by the auditor, Ernst & Young, and are consistent with the group's consolidated financial statements[111]

中期報告 | --- | --- | --- | --- | --- | --- | |----------------------------------------------------------------------------------------------------------------------------------------------------------|-------|-------|-------|-------|-------| | | | | | | | | 10 | | | | | | | | | | | | | | | | | | | | | Capital Environment Holdings Limited首創環境控股有限公司 (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立之有限公司) | | | | | | | Stock Code 股票代號 : 03989 | | | | | | | | | | | | | | | | | | | | | | | | | ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何 部分內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 CAPITAL ENVIRONMENT HOLDINGS LIMITED 首創環境控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：03989） 截至2024年6月30日止六個月的 未經審核中期業績公告 首創環境控股有限公司（「本公司」）董事會（「董事會」）欣然宣佈本公司及其附 屬公司（「本集團」）於截至2024年6月30日止六個月的未經審核中期合併業績連同 2023年相應期間之比較數字如下： 中期簡明合併損益表 截至2024年6月30日止六個月 | --- | --- | |-------------|-------------| | | | | 2024 年 | 2023 年 | | 人民幣千元 | 人民幣千元 | | 未經審核 | 未經審核 | | 1,786,721 | 1,908,540 | | (1,136,244) | (1,256,574) | | | | | 650,477 | ...

Financial Performance - The group's revenue from waste treatment and energy conversion business was approximately RMB 4,076,596,000, a decrease of about 11.17% compared to RMB 4,588,955,000 in 2022[13]. - The net profit attributable to the company's owners from continuing operations was approximately RMB 285,380,000, an increase of about 122.03% compared to RMB 128,533,000 in 2022[14]. - Financing costs decreased by approximately 19.05% to about RMB 440,919,000 compared to RMB 544,670,000 in the same period last year[17]. - The total auditor fees for the year amounted to RMB 5,255,000, with RMB 3,804,000 for audit services and RMB 1,451,000 for non-audit services[90]. - The company has no distributable reserves as of December 31, 2023, consistent with the previous year[171]. Waste Treatment Operations - The group achieved a total waste treatment volume of 9.9727 million tons and hazardous waste treatment volume of 49,800 tons in 2023[2]. - The group successfully acquired the operating rights for the Shihezi municipal solid waste incineration project, with total annual investment and contract amounts exceeding RMB 3 billion[5]. - The group signed 9 projects in the site restoration sector in 2023, with a total contract amount exceeding RMB 1.1 billion[5]. - The company focuses on waste treatment technology and services, particularly in the development, design, and operation of waste-to-energy projects[147]. - The company emphasizes professional and systematic solid waste treatment services to contribute to the future of China's waste management industry[117]. Corporate Governance - The board has appointed four independent non-executive directors, ensuring that at least one possesses appropriate accounting or financial management expertise, maintaining a balance of power within the board[35]. - The company has established mechanisms to ensure independent viewpoints are available to the board, including procedures for the election of directors and assessment of their independence[33]. - The company has a clear strategy for corporate governance, with the board responsible for setting strategic directions and monitoring senior management performance[32]. - The company has a structured approach to internal controls and daily operations, clearly defining the responsibilities and powers of the board and management[32]. - The company’s board is committed to maintaining high corporate governance standards and promoting a corporate culture aligned with long-term goals and values[137]. Board Composition and Diversity - The board's gender diversity is at 28.6%, with two female directors among the seven board members, and aims to maintain this level of female representation[41]. - The company is committed to maintaining a diverse board, considering factors such as gender, age, culture, and professional experience[72]. - The nomination committee considers factors such as integrity, loyalty, industry experience, and professional skills when evaluating new or re-elected directors[44]. - The nomination committee held three meetings to review the composition of the board and ensure compliance with the board diversity policy[80]. - The company has arranged appropriate insurance for its directors and senior management related to potential legal actions arising from their duties[38]. Risk Management and Internal Controls - The company aims to ensure that its risk management and internal control systems are effective in identifying and managing significant risks, including environmental, social, and governance risks[90]. - The company has established a clear risk governance framework to enhance internal control and execution effectiveness[91]. - The internal audit department leads risk assessments and prepares a risk database, reporting results to the audit committee[92]. - The board has reviewed the effectiveness of the risk management and internal control systems and deemed them sufficient for the year ending December 31, 2023[112]. - The company has implemented a whistleblowing policy to encourage reporting of misconduct anonymously[96]. Shareholder Relations - The company values the annual general meeting as an important opportunity for direct communication between the board and shareholders[123]. - The board has reviewed the implementation and effectiveness of the shareholder communication policy, finding it promotes open and ongoing communication with shareholders[143]. - The company did not declare a final dividend for the year ended December 31, 2023, compared to a special dividend of HKD 0.01 per share for the year ended December 31, 2022[149]. - The board aims to maintain sufficient reserves for future development while providing continuous returns to shareholders[149]. - The major shareholder, Beijing Capital Group, holds approximately 66.92% of the company's equity as of December 31, 2023[168]. Strategic Partnerships and Acquisitions - The group completed the acquisition of Xinjiang Tianfu Waste Incineration Power Co., Ltd. for RMB 120,000,000, which is expected to benefit future business expansion[20]. - The company agreed to acquire a 37.91% stake in Duyun City Shichuang Environmental Protection for a total consideration of RMB 52 million[198]. - The company has established robust partnerships with internationally renowned environmental management firms to create synergies in environmental processing solutions[118]. - The company has undergone changes in its board of directors, with Mr. Cao Guoxian resigning as executive director and chairman effective December 20, 2023[156]. - The company has appointed Dr. Cao Fuguo as an independent non-executive director effective May 23, 2023[178].

Revenue and Profitability - The total revenue for the year ended December 31, 2023, was RMB 4,076,596,000, a decrease of 11.1% from RMB 4,588,955,000 in 2022[3] - Revenue from service contracts recognized during the reporting period amounted to RMB 30,027,000, down from RMB 102,395,000 in 2022[4] - The group's revenue from waste treatment and energy conversion business for the year was approximately RMB 4,076,596,000, a decrease of about 11.17% compared to RMB 4,588,955,000 in the same period of 2022[93] - Revenue from construction services under service concession arrangements was RMB 535,159, down 60.8% from RMB 1,367,213 in the previous year[166] - Revenue from operation services under service concession arrangements increased to RMB 1,925,332, up 21.4% from RMB 1,586,308 in 2022[166] - The net profit attributable to the company's owners was approximately RMB 285,380,000, a decline of about 82.48% compared to RMB 1,628,662,000 in 2022, mainly due to high gains from the sale of the New Zealand business in 2022[94] - The total comprehensive income for the year was RMB 243.26 million, a significant decrease from RMB 3.66 billion in the previous year[138] Costs and Expenses - The cost of services provided under service arrangements decreased to RMB 1,785,197,000 in 2023 from RMB 2,492,830,000 in 2022, representing a reduction of 28.4%[9] - Research and development costs were RMB 42,740,000 in 2023, down from RMB 79,137,000 in 2022, indicating a decrease of 46.0%[9] - The total interest expense for the year was RMB 440,919,000, a decrease of 19.0% from RMB 544,670,000 in 2022[10] - The company’s employee benefits expenses, excluding directors' remuneration, decreased to RMB 169,932,000 in 2023 from RMB 203,831,000 in 2022, a reduction of 16.6%[9] - The company’s financial expenses decreased to RMB 440.92 million in 2023 from RMB 544.67 million in 2022[134] Assets and Liabilities - The total contract assets decreased to RMB 1,379,905,000 in 2023 from RMB 2,231,458,000 in 2022, a decline of 38.2%[20] - As of December 31, 2023, total assets amounted to approximately RMB 20.29 billion, with net asset value attributable to owners of approximately RMB 6.70 billion[124] - The debt-to-asset ratio increased to 66.99% from 66.81% at the end of 2022, while the current ratio improved from 1.33 to 1.79[124] - Total current liabilities decreased to RMB 3,528,069,000 from RMB 4,629,878,000, showing a reduction of approximately 23.8%[147] - The net value of current assets increased to RMB 2,802,306,000 from RMB 1,535,574,000, representing an increase of about 82.5%[147] - Non-current liabilities rose to RMB 10,063,232,000 from RMB 8,824,034,000, marking an increase of approximately 14.0%[147] Cash Flow and Financing - As of December 31, 2023, the group's cash and bank balances were approximately RMB 702.29 million, a decrease of about RMB 847.74 million from RMB 1.55 billion at the end of 2022[84] - The group's outstanding borrowings increased to approximately RMB 10.47 billion, up about RMB 1.36 billion from RMB 9.11 billion at the end of 2022[84] - The group has a total bank credit of RMB 10.74 billion, with headquarters credit at RMB 1 billion and project company credit at RMB 9.74 billion[70] - Bank interest income decreased to RMB 11,485,000 in 2023 from RMB 24,927,000 in 2022, a decline of approximately 54%[184] - Other interest income fell significantly to RMB 6,898,000 in 2023 from RMB 106,479,000 in 2022, representing a decrease of about 93%[184] Impairment and Losses - The company recognized impairment losses of RMB 68,427,000 for the year, compared to RMB 38,111,000 in 2022, reflecting an increase of 79.5%[18] - The impairment of financial assets related to franchise rights increased to RMB 9,541,196,000 in 2023 from RMB 8,659,064,000 in 2022, reflecting an increase of about 10%[195] - The recoverable amount of cash-generating units involved in impairment totaled RMB 471,644,000 as of December 31, 2023[192] Strategic Initiatives and Future Outlook - The company anticipates a challenging economic environment in China, with fixed asset investment declining month-on-month and infrastructure investment slowing down[44] - The company expects long-term resilience in the Chinese economy despite current pressures on external and internal demand[44] - The company aims to enhance operational efficiency and pursue innovative breakthroughs in 2024, focusing on revenue growth and cost reduction strategies[92] - The company plans to deepen its efforts in key strategic areas and expand into new business fields such as saline-alkali land and tailings ponds[92] Operational Performance - The company processed 9.972721 million tons of municipal waste and 49,819 tons of hazardous waste during the year, generating a total of 2.227 billion kWh of electricity[45] - The company achieved a 2.51% increase in electricity generation per ton of waste processed compared to 2022, with 6 major technical upgrades implemented[66] - The company completed 14 settlement projects and 3 completion acceptance projects in 2023, focusing on improving accounts receivable recovery[46] Corporate Governance and Compliance - The company has established a procurement management mechanism to ensure quality and efficiency while reducing costs[66] - The group has established a safety production committee to oversee and lead environmental management efforts[88] - The group is committed to sustainable development and has established guidelines for supplier selection to manage environmental and social risks[81]

Financial Performance - The company achieved operating revenue of RMB 1.909 billion, a year-on-year decrease of 22.02%[10] - Net profit attributable to the parent company was RMB 150 million, down 44.41% year-on-year[10] - The net profit attributable to shareholders for the period was approximately RMB 150,386,000, a decrease of about 44.41% compared to RMB 270,512,000 in the same period last year[41] - Total revenue for the six months ended June 30, 2023, was RMB 1,639,245,000, a decrease of 25.3% compared to RMB 2,194,925,000 for the same period in 2022[107] - Revenue from construction services under service concession arrangements was RMB 297,268,000, down 71.5% from RMB 1,042,240,000 in the previous year[107] - Revenue from operation services under service concession arrangements increased to RMB 892,187,000, up 20.4% from RMB 741,040,000 in the previous year[107] - The company reported a total comprehensive income of RMB 297,675,000 for the period, compared to RMB 130,799,000 in the previous year[107] - The company reported a profit of RMB 135,498 thousand for the six months ended June 30, 2023, a decrease of 60.5% compared to RMB 343,390 thousand in the same period of 2022[72] Assets and Liabilities - In the first half of 2023, the company's total assets reached RMB 20.174 billion, a year-on-year increase of 0.18%[10] - As of June 30, 2023, the group's outstanding borrowings amounted to approximately RMB 10.49 billion, an increase of about RMB 1.38 billion from RMB 9.11 billion at the end of 2022[23] - The total liabilities decreased significantly from RMB 4,629,878,000 to RMB 2,741,570,000, indicating improved financial health[91] - The company's total borrowings as of June 30, 2023, were RMB 10,486,945,000, compared to RMB 9,107,493,000 as of December 31, 2022[169] - The company's cash and bank balances as of June 30, 2023, were approximately RMB 1,067,216,000, a decrease of about RMB 482,816,000 from RMB 1,550,032,000 at the end of 2022[58] - The company's current assets increased to RMB 6,204,213,000 from RMB 6,165,452,000, reflecting a growth in inventory and financial assets[91] Operational Highlights - The company processed 4.8869 million tons of municipal solid waste and 24,300 tons of hazardous waste during the period[12] - The group signed 16 waste disposal agreements in the first half of the year, achieving over 60,000 tons of waste entering the facility outside of the franchise rights[37] - The group aims to enhance operational efficiency by focusing on increasing waste intake at incineration projects, with a goal to boost daily waste volume by 950 tons through new contracts[37] - The group has established a value system with industry chain participants to create a long-term and stable industrial alliance[18] - The group has completed trial operations for the Zhumadian and Nanle incineration projects, and is advancing construction for the Pu'er and Nongan projects[35] Research and Development - The company obtained 4 authorized invention patents and 12 utility model patents during the first half of the year, along with 1 registered software copyright[38] - The company is exploring new business avenues, including a resource recovery technology based on hydro-pulping and hydrothermal conversion for kitchen waste[40] - The company is conducting research on three main directions: existing business derivatives, technical bottlenecks, and expansion into new fields[40] Strategic Initiatives - The company aims to enhance its business capabilities and market presence through innovation and strategic partnerships[12] - The company is focused on sustainable development and aims to create new business opportunities through technological innovation[12] - The group is actively integrating into national strategies and seizing market opportunities, focusing on green development and ecological protection[31] Financial Management - The company's sales and administrative expenses decreased by approximately 15.8% to about RMB 202,671,000, mainly due to personnel adjustments and reduced professional fees[43] - The financing costs decreased by approximately 8.7% to about RMB 223,134,000 compared to RMB 244,356,000 in the same period last year[57] - The company incurred a loss of RMB 87,800,000 in impairment of other intangible assets during the reporting period[109] Shareholder Information - The basic earnings per share for the period was calculated based on a weighted average of 14,294,733,167 shares, with a declared final dividend of 1 HK cent amounting to RMB 131,590,000[158][160] - The group declared a special dividend of HKD 0.01 per share, approved at the annual general meeting on June 28, 2023, and paid on July 28, 2023[136]

Financial Performance - Operating revenue for the first half of 2023 was RMB 1.909 billion, a decline of 22.02% compared to the previous year[11]. - Net profit for the period was RMB 135 million, down 60.54% year-on-year, while net profit attributable to the parent company was RMB 150 million, a decrease of 44.41%[11]. - The revenue from the waste treatment and waste-to-energy business for the review period was approximately RMB 1,908,540,000, a decrease of about 22.02% compared to RMB 2,447,367,000 in the same period last year[26]. - The gross profit for the same period was RMB 651,966,000, down from RMB 697,665,000, reflecting a gross margin decrease[83]. - The net profit attributable to the owners of the parent company was RMB 150,386,000, compared to RMB 270,512,000 in the previous year, indicating a decline of approximately 44%[84]. - The total comprehensive income for the period was RMB 123,428,000, compared to RMB 142,519,000 in the previous year[53]. - Other income and gains decreased significantly from RMB 166,603,000 in 2022 to RMB 37,274,000 in 2023, a decline of approximately 77.7%[104]. - The company reported a financial loss of RMB 38,785,000 from impairment losses on financial and contract assets, compared to RMB 8,021,000 in the previous year[83]. Assets and Liabilities - As of June 30, 2023, total assets reached RMB 20.174 billion, reflecting a year-on-year growth of 0.18%[11]. - The debt-to-asset ratio was 67.49%, a slight increase from 66.81% at the end of 2022, while the current ratio improved to approximately 2.26 from 1.33[32]. - Total liabilities as of June 30, 2023, amount to RMB 10,486,945 thousand, an increase from RMB 9,107,493 thousand in 2022[140]. - Current liabilities decreased significantly to RMB 2,741,570,000 from RMB 4,629,878,000, reflecting improved liquidity management[58]. - Non-current liabilities total RMB 9,942,482 thousand, up from RMB 7,874,452 thousand in 2022[140]. - Trade receivables amounted to RMB 2,102,777,000 as of June 30, 2023, an increase from RMB 1,801,960,000 as of December 31, 2022[136]. - Trade payables totaled RMB 1,651,711,000 as of June 30, 2023, down from RMB 1,786,155,000 as of December 31, 2022[137]. Operational Highlights - The company processed 4.8869 million tons of municipal solid waste and 24,300 tons of hazardous waste during the first half of 2023[13]. - The company has 55 operational and trial projects, including 24 waste-to-energy projects and 6 organic waste treatment projects[13]. - The company signed five projects in the incineration supporting and derivative business, with a total contract amount of RMB 554 million, which will increase the waste processing capacity by 950 tons per day[18]. - The company achieved a total of 16 waste disposal agreements, resulting in over 60,000 tons of waste processed outside of the franchise rights[17]. - The company launched two solid waste technology products at the China Environmental Expo, focusing on leachate discharge solutions and anaerobic treatment of kitchen waste[20]. Strategic Initiatives - The company aims to align with national strategies focusing on green development and ecological protection, enhancing its market position in the environmental sector[10]. - The company is actively pursuing market expansion with a focus on urban-level business organization to support its "urban deep cultivation" strategy[18]. - The company aims to enhance operational efficiency by prioritizing waste intake at incineration projects, reflecting a strategic focus on operational management[17]. - The company plans to implement a new resource recovery technology for kitchen waste, indicating a commitment to innovation in waste management[22]. - The company is committed to improving quality and efficiency across core business areas, market expansion, and technological innovation in the second half of 2023[24]. Financial Management - Selling and administrative expenses decreased by approximately 15.8% to about RMB 202,671,000, mainly due to personnel restructuring and reduced professional fees[29]. - Financing costs decreased by approximately 8.7% to about RMB 223,134,000 from RMB 244,356,000 in the same period last year, primarily due to the repayment of loans and a decline in domestic bank loan interest rates[30]. - The total finance costs for the six months ended June 30, 2023, were RMB 223,134,000, down from RMB 244,356,000 in 2022, representing a reduction of about 8.7%[106]. - The company incurred a tax expense of RMB (3,644,000) for the six months ended June 30, 2023, compared to a tax expense of RMB 44,279,000 in 2022, reflecting a significant tax credit[107]. Research and Development - The company obtained four authorized invention patents and twelve utility model patents in the first half of the year, enhancing its intellectual property portfolio[20]. - Research and development costs for the period were RMB 20,879,000, down from RMB 29,888,000 in the previous year, indicating a reduction of about 30.2%[104]. Employee and Governance - The group employed approximately 3,631 employees as of June 30, 2023, primarily located in mainland China and Hong Kong[73]. - The board has resolved not to declare an interim dividend for the six months ended June 30, 2023, consistent with the previous year[75].

Financial Performance - The company's revenue for the year ended December 31, 2022, was RMB 128,533,000, a decrease of 76% compared to RMB 533,693,000 in 2021[2] - The total comprehensive income attributable to equity holders of the parent for the year was RMB 111,913,000, down from RMB 618,133,000 in the previous year[2] - The group recognized revenue of RMB 102,395,000 during the reporting period, compared to RMB 132,390,000 in 2021, indicating a decline of approximately 22.7%[15] - The company's revenue for 2022 was RMB 1,835,780,000, a decrease of 26.7% compared to RMB 2,506,661,000 in 2021[40] - The company's net profit attributable to the company's owners for the year was approximately RMB 1,628,662,000, an increase of about 218.88% compared to RMB 510,746,000 in 2021, primarily due to gains from the sale of the entire business in New Zealand[163] - The net profit from continuing operations attributable to the company's owners was approximately RMB 128,533,000, a decrease of about 75.92% from approximately RMB 533,693,000 in 2021, mainly due to reduced construction revenue and asset impairment[164] Discontinued Operations - The company completed the sale of its New Zealand waste management and energy conversion business on September 30, 2022, classifying it as discontinued operations[24] - The company reported a profit from discontinued operations before tax of RMB 287,181,000 for 2022, compared to a loss of RMB (40,301,000) in 2021[40] - The net cash inflow from the sale of discontinued operations was RMB 4,469,792,000[42] - Basic and diluted earnings per share from discontinued operations for 2022 were RMB 10.49, compared to a loss of RMB (0.16) in 2021[43] Assets and Liabilities - The total assets of the company reached RMB 20.138 billion, with operating revenue of RMB 4.589 billion and net profit attributable to the parent company of RMB 1.629 billion[101] - The total bank loans and overdrafts amounted to RMB 9,107,493,000, a decrease from RMB 11,730,624,000 in the previous year, representing a reduction of approximately 22.4%[64] - The company's total liabilities decreased significantly, reflecting a strategic focus on reducing debt levels[64] - The company's asset-liability ratio decreased to 66.81% from 70.52% in 2021, primarily due to the sale of its New Zealand business[152] - The current ratio improved from approximately 0.87 to 1.33, mainly due to the repayment of bank loans due during the year[152] Cash Flow and Financial Management - The company reported a net cash flow from discontinued operations for the nine months ended September 30, 2022, and for the year ended December 31, 2022[27] - The company’s cash flow management strategies have been adjusted to enhance liquidity and operational efficiency in response to market conditions[74] - Cash and bank balances as of December 31, 2022, were approximately RMB 1,550,032,000, a decrease of about RMB 170,459,000 from the previous year[152] Operational Highlights - The group operated 45 subsidiaries in China during the year, an increase from 39 in 2021, with 20 subsidiaries exempt from income tax[22] - The company has established multiple service operating rights arrangements with the Chinese grantors for waste treatment and energy conversion plants, ensuring specific service capability levels[52] - The total waste processed amounted to 6.6942 million tons, with hazardous waste processing at 53,100 tons and electricity provided at 1.945 billion kWh[142] - The average daily new waste input across 17 incineration projects exceeded 2,000 tons per day, with a year-on-year increase of 10.36% in electricity generated from waste[1] Strategic Focus and Future Outlook - The company actively integrates into national strategies and focuses on environmental protection, aiming for structural profit transformation and enhanced operational profit capabilities[129] - The company is committed to achieving carbon peak and carbon neutrality goals, aligning with national policies on green low-carbon development[128] - The company aims for carbon neutrality by 2050 and plans to reduce carbon emissions by 2030[141] - The company is focusing on deepening its business in China and collaborating with various industry sectors to promote ecological and economic prosperity[131] Corporate Governance - The company maintained a high level of corporate governance standards, adhering to all provisions of the corporate governance code as per the listing rules[188] - The company has committed to maintaining high standards of corporate governance as a key to its success[188] Employee and Training Initiatives - The group employed approximately 3,674 employees, primarily located in mainland China and Hong Kong, with a performance-linked compensation policy[157] - The company has implemented a talent strategy and conducted over 15 professional training sessions, offering more than 240 courses to enhance employee skills[114]

Financial Performance - The net profit attributable to the parent company was RMB 271 million, representing a year-on-year increase of 5.09%[6]. - The net profit attributable to shareholders for the period was approximately RMB 270.51 million, an increase of about 5.09% compared to RMB 257.41 million in the same period last year[19]. - Revenue from waste treatment and waste-to-energy operations was approximately RMB 2.45 billion, a decrease of about 10.52% from RMB 2.74 billion in the previous year due to the completion of several domestic projects[20]. - The profit from continuing operations before tax was RMB 236,791,000, a decrease of 49.6% compared to RMB 468,466,000 in the prior year[43]. - The net profit from continuing operations for the period was RMB 192,512,000, down from RMB 311,589,000 in the previous year[43]. - The total profit attributable to equity holders for the six months ended June 30, 2022, was RMB 270,512 thousand, an increase from RMB 257,409 thousand in the same period of 2021[94]. Assets and Liabilities - Total assets of Capital Environment Holdings reached RMB 30.628 billion, an increase of 17.02% year-on-year[6]. - Net assets amounted to RMB 7.829 billion, reflecting a growth of 1.46% compared to the previous year[6]. - The company's total liabilities amounted to RMB 12,463,061,000, up from RMB 7,122,928,000 in the previous year, reflecting increased borrowing[49]. - The total interest-bearing bank and other borrowings reached RMB 12,828,341,000 as of June 30, 2022, up from RMB 11,730,624,000 as of December 31, 2021, representing a growth of approximately 9.4%[108]. - The company's total liabilities increased by 1.5% compared to the previous period, reflecting ongoing operational and financial commitments[134]. Cash Flow and Financing - Cash and bank balances amounted to approximately RMB 1.93 billion, an increase of about RMB 207.53 million from RMB 1.72 billion at the end of 2021, mainly due to tax refunds and new borrowings received during the period[27]. - The operating cash flow for the six months ended June 30, 2022, was RMB 27,901 thousand, a significant improvement from a cash outflow of RMB 354,062 thousand in the same period of 2021[56]. - The financing activities generated a net cash inflow of RMB 716,490 thousand, a substantial increase from RMB 171,291 thousand in the prior year[58]. - The company incurred interest expenses of RMB 302,873 thousand, slightly down from RMB 305,167 thousand in the previous year[58]. Project Development and Operations - The company has a total of 64 projects in reserve, with a total investment of approximately RMB 18.250 billion, of which RMB 15.603 billion has been invested by June 30, 2022[7]. - The operational projects reached 51, processing 3.9798 million tons of municipal waste and 25,500 tons of hazardous waste during the period[9]. - The company signed new contracts for waste management projects, adding 1,480 tons per day of waste processing capacity[10]. - The construction progress of key projects such as the Jishou incineration project and Nanchang Phase II incineration project reached 100% completion[10]. Market Strategy and Expansion - The company is actively expanding its market presence through the establishment of four city companies to enhance operational synergy[10]. - Future strategies include strengthening investment team capabilities and resource integration to capitalize on market opportunities[10]. - The group plans to sell its entire business segment in New Zealand, viewing it as an opportunity to convert overseas investments into cash and refocus its strategic center in China[16]. Shareholder and Governance - Major shareholders include Capital Environment Holdings Limited, holding 6,449,026,736 shares (45.11%), and Beijing Capital Eco-Environment Protection Group Co., Ltd., holding 9,565,793,808 shares (66.92%) as of June 30, 2022[144]. - The company’s board approved the mid-term financial statements on August 22, 2022, indicating a commitment to transparency and governance[141]. - The audit committee, comprising three independent non-executive directors, has reviewed the accounting principles and internal controls, confirming no significant issues in the interim financial data[150]. Foreign Exchange and Discontinued Operations - The company experienced a significant foreign exchange loss of RMB 428,129,000 related to overseas operations, compared to a loss of RMB 27,180,000 in the prior year[46]. - The group has classified its New Zealand operations as discontinued, focusing solely on waste treatment and energy conversion in China[72]. - The net cash flow from discontinued operations for the six months ended June 30, 2022, was RMB 2,569 thousand, compared to a net cash outflow of RMB 65,416 thousand for the same period in 2021[90].