Financial Performance - The company reported a revenue of approximately RMB 3,862.0 million for the year ended December 31, 2024, representing a 20.0% increase compared to RMB 3,217.7 million in 2023[12]. - Gross profit for the same period was approximately RMB 391.0 million, up 16.0% from RMB 337.0 million in 2023[12]. - The net profit attributable to the company's owners was approximately RMB 12.8 million, significantly increasing from RMB 2.7 million in 2023, resulting in a basic earnings per share of RMB 0.014[14]. - Total assets as of December 31, 2024, reached RMB 2,046.5 million, compared to RMB 1,742.4 million in 2023, marking a growth of 17.5%[7]. - Total liabilities increased to RMB 1,424.9 million in 2024 from RMB 1,160.9 million in 2023, reflecting a rise of 22.7%[7]. - The company recorded a profit of approximately RMB 12.9 million for the year ending December 31, 2024, compared to a profit of approximately RMB 2.7 million for the year ended December 31, 2023, reflecting the impact of the aforementioned fluctuations[59]. - Sales cost increased from approximately RMB 2,880.7 million to RMB 3,470.9 million, primarily due to rising raw material costs and increased production costs[48]. - Gross profit rose from approximately RMB 336.98 million to RMB 391.02 million, while overall gross margin decreased from 10.5% to 10.1%[49][50]. - Other income increased from approximately RMB 21.4 million to 28.0 million, mainly due to additional VAT credits and government subsidies[51]. - The company recorded a net loss of approximately RMB 7.1 million in other income and losses for the year ending December 31, 2024, compared to a net gain of RMB 2.7 million in 2023[53]. Business Expansion and Strategy - The company expanded its business scope by launching three new divisions, aiming to better meet market demands and industry trends[13]. - The company successfully entered new markets for cashew phenol products, significantly increasing sales and gross profit[14]. - The company has established a new upstream methylamine plant to support the production of choline chloride, enhancing its market share[14]. - The strategic procurement and expansion plans have led to a notable increase in gross profit and profitability, particularly in the methylamine and green products divisions[14]. - The company is actively exploring international markets and optimizing its global supply chain to improve operational efficiency[14]. - The company plans to establish three new divisions to extend its business scope, bringing the total to seven major business segments[23]. - The company is actively pursuing international market expansion through strategic investments and partnerships[29]. - The company is focusing on optimizing its product structure and enhancing operational efficiency to adapt to market dynamics[28]. Revenue Breakdown - The methylamine industry series accounted for approximately 35.2% of total revenue, with segment revenue reaching RMB 1,359.1 million, an increase of 28.2% year-on-year[15]. - Revenue from green products, primarily cashew phenol, grew by 53.7% to approximately RMB 200.4 million, driven by strategic adjustments in sales targeting higher-margin regions[15]. - Revenue from iodine derivatives and related products reached approximately RMB 991.9 million, a 39.6% increase, representing 25.7% of total revenue[15]. - Revenue from the methylamine industry segment grew by 28.2% to RMB 1,359.1 million, primarily due to the operation of a new upstream methylamine facility[31]. - The green products segment saw revenue rise by 53.7% to RMB 200.4 million, with gross profit increasing by 97.2% to RMB 33.5 million, aided by market expansion in Europe[31]. - Revenue from the iodine derivatives segment increased by 39.6% to RMB 991.9 million, with gross profit rising by 84.1% to RMB 73.1 million, influenced by supply constraints from Chile[31]. Capital and Financing - The net proceeds from a capital increase transaction amounted to approximately RMB 36.4 million, primarily allocated for debt repayment[20]. - A successful placement generated net proceeds of approximately RMB 22.2 million, intended for working capital to optimize liquidity[20]. - The company plans to acquire land in Tai'an, Shandong Province, for RMB 10 million to expand production capacity for downstream products, expecting an additional capacity of 120,000 tons[61]. - The company successfully completed a placement of 9,500,000 shares at a price of HKD 2.6 per share, raising approximately HKD 24,311,000 net of expenses, which will be used for general working capital[64]. - As of December 31, 2024, the entire net proceeds of HKD 24,311,000 have been utilized as planned for general operating funds[64]. - The company's capital expenditure for the year amounted to approximately RMB 121.8 million, a decrease from RMB 153.4 million in 2023[77]. - The company's capital commitments as of December 31, 2024, were approximately RMB 17.9 million, down from RMB 20.1 million in 2023[78]. Employee and Governance - The company has a total of 1,120 employees as of December 31, 2024, compared to 1,098 employees in 2023[83]. - The total employee cost (including director remuneration) was approximately RMB 141.5 million, an increase from RMB 135.8 million in 2023[83]. - The board has resolved not to recommend any final dividend for the year ending December 31, 2024, similar to 2023[81]. - The company has adopted key corporate governance practices as detailed in the annual report[161]. - The company emphasizes the importance of maintaining high standards of corporate governance and internal controls[168]. - The board is responsible for overseeing the company's business strategies and performance, retaining decision-making authority on significant matters[169]. - The company encourages diversity in the board's composition, considering various factors such as gender, age, and professional experience[188]. Risk Management - The company faces various risks including market risk, credit risk, and liquidity risk, which could impact its financial condition and operational performance[65]. - The company maintains a prudent treasury policy to ensure a healthy liquidity position throughout the year[75]. - The company aims to manage interest rate risk by monitoring its exposure and considering hedging when necessary[70]. - The group’s risk management policies address various risks, including market risk, credit risk, and liquidity risk, as outlined in the annual report[108]. Market and Economic Outlook - The anticipated structural adjustment in supply and demand dynamics in 2025 is expected to stabilize market conditions and stimulate end-market demand[18]. - The outlook for 2025 anticipates a stable supply-demand balance in the industry, with potential moderate recovery in downstream demand supported by macroeconomic policies[61]. - Revenue from Europe, Asia (excluding mainland China and Vietnam), and Vietnam increased significantly, indicating successful market recovery efforts[47].

Financial Performance - For the year ended December 31, 2024, GHW International reported revenue of approximately RMB 3,862.0 million, an increase of approximately RMB 644.3 million or 20.0% compared to the same period in 2023[5] - The gross profit for the year ended December 31, 2024, was approximately RMB 391.0 million, representing an increase of approximately RMB 54.0 million or 16.0% from 2023[5] - The net profit for the year ended December 31, 2024, reached approximately RMB 12.9 million, a significant increase of approximately RMB 10.2 million or 374.0% compared to 2023[5] - Basic earnings per share for the year ended December 31, 2024, were approximately RMB 0.014, an increase of approximately RMB 0.011 or 366.7% from the previous year[5] - Total revenue for 2024 reached RMB 3,861,966,000, an increase of 20% compared to RMB 3,217,669,000 in 2023[16] - The pre-tax profit for 2024 was RMB 16,333,000, an increase from RMB 13,875,000 in 2023[25] - Total financial costs for 2024 were RMB 39,906,000, slightly up from RMB 39,207,000 in 2023[24] - The company reported a net foreign exchange loss of RMB 7,424,000 in 2024, compared to a gain of RMB 904,000 in 2023[23] - Other income increased from approximately RMB 21.4 million in 2023 to RMB 28.0 million in 2024, driven by VAT credits and government subsidies[71] - Income tax credits decreased from approximately RMB 9.5 million for the year ending December 31, 2023, to approximately RMB 0.3 million for the year ending December 31, 2024, consistent with the increase in pre-tax profits[79] Revenue Breakdown - Revenue from the methylamine product series increased to RMB 1,359,067,000, up 28.3% from RMB 1,059,706,000 in 2023[16] - Revenue from green products surged to RMB 200,375,000, a significant increase of 53.5% from RMB 130,391,000 in 2023[16] - Revenue from iodine derivatives and supporting products rose to RMB 991,926,000, up 39.5% from RMB 710,707,000 in 2023[16] - Revenue from self-produced chemicals increased to RMB 2,927.97 million (75.8% of total revenue) in 2024, up from RMB 2,189.81 million (68.1%) in 2023[53] - Revenue from the amine industry segment grew by 28.2% from approximately RMB 1,059.7 million in 2023 to about RMB 1,359.1 million in 2024, driven by increased market share and production capacity[54] - Revenue from iodine derivatives increased by 39.6% to approximately RMB 991.9 million in 2024, with sales volume rising from about 1,467 tons to 2,232 tons[61] - Revenue from cashew phenol surged by 53.7% to approximately RMB 200.4 million in 2024, with sales volume increasing by 62.1% to about 51,025 tons[59] Assets and Liabilities - The total assets as of December 31, 2024, amounted to approximately RMB 1,121.4 million, compared to RMB 889.8 million as of December 31, 2023[8] - The total liabilities as of December 31, 2024, were approximately RMB 1,424.9 million, an increase from RMB 1,160.9 million in 2023[9] - The debt-to-equity ratio increased to 137.1% as of December 31, 2024, compared to 122.4% in 2023, primarily due to increased borrowings[84] Cash Flow and Investments - GHW International's cash and cash equivalents increased to approximately RMB 101.5 million as of December 31, 2024, compared to RMB 77.4 million in 2023[8] - The net proceeds from the share placement amounted to approximately HKD 24.31 million, fully utilized for general operating funds as planned[86] - The company plans to acquire land in Tai'an, Shandong Province, for RMB 10 million, which will support the production of downstream products and is expected to add 120,000 tons of new capacity[81] Shareholder Information - The board of directors has resolved not to recommend the payment of any final dividend for the year ended December 31, 2024[5] - No dividends were declared or paid in both years, and no dividends have been proposed since the reporting period[29] - The annual general meeting is scheduled for May 27, 2025, with a suspension of shareholder registration from May 22 to May 27, 2025[120][121] Corporate Governance - The company has adopted the corporate governance code and is committed to maintaining high standards of corporate governance[118] - The board of GHW International includes executive directors and independent non-executive directors[124] - The chairman and CEO of GHW International is Yin Yanbin[124] - The board consists of six executive directors and three independent non-executive directors[124] Strategic Initiatives - The company continues to focus on the manufacturing and sales of chemical and pharmaceutical products, indicating ongoing commitment to its core business operations[11] - The company expanded its business segments from four to seven to better meet the growing market demand for nutritional products[46] - The company is actively pursuing international market expansion through strategic investments and partnerships[46] - The company has established a new green products division, primarily producing cashew phenol products, to meet the growing demand for sustainable materials[44] Risk Management - The company faces various risks including market risks (currency and interest rate risks), credit risks, and liquidity risks, which may impact its financial condition and operational performance[87] - The group has a credit risk management team in place to minimize credit risk associated with trade receivables[92] - The group has not recognized any impairment losses on receivables due to the high credit ratings of the banks involved[93] - The group has not undertaken any financial instruments to hedge its foreign currency risk exposure during the year[97] Employee and Operational Costs - The total employee cost for the year, including director remuneration, was approximately RMB 141.5 million, compared to RMB 135.8 million in 2023[103] - Selling and distribution expenses rose from approximately RMB 132.8 million in 2023 to approximately RMB 172.6 million in 2024, mainly due to increased logistics costs[74] - Administrative expenses increased from approximately RMB 123.5 million in 2023 to approximately RMB 137.8 million in 2024, attributed to feasibility studies and restructuring costs[76] - R&D expenses decreased from approximately RMB 75.2 million for the year ending December 31, 2023, to approximately RMB 48.9 million for the year ending December 31, 2024, primarily due to reduced material costs and employee costs from departmental restructuring[77] Miscellaneous - The company successfully organized a mixed martial arts event in Macau in October 2024, investing approximately RMB 5.3 million to promote its brand[63] - The company signed an exclusive distribution agreement for custom optical lenses, with the product expected to launch in Q1 2025[63] - The company is in discussions with manufacturers of probiotics and transdermal patches to establish a solid foundation for future business growth[63] - The document does not include any details on mergers or acquisitions[124] - No new technology developments or strategic initiatives were highlighted[124] - The content primarily focuses on the composition of the board rather than financial results[124]

41-GHW GHW International (於開曼群島註冊成立的有限公司) 股份代號 : 9933 2024 中 期 報 告 目 錄 公司資料 2 管理層討論與分析 4 其他資料 17 簡明綜合損益及其他全面收益表 23 簡明綜合財務狀況表 24 簡明綜合權益變動表 26 簡明綜合現金流量表 27 簡明綜合財務報表附註 28 GHW International | 2024 中 期 報 告 2 公司資料 | --- | --- | |--------------------------|-------------------------------| | | | | 董事會 | 風險管理委員會 | | 執行董事： | 陳朝暉（主席） | | 尹燕濱（主席兼行政總裁） | 周春年 | | 莊朝暉 | 陳華 | | 陳朝暉 | | | 周春年 | 授權代表 | | 陳華 | 尹燕濱 | | 刁騁 | 胡穎豪 | | 獨立非執行董事： | 公司秘書 | | 孫宏斌 | 胡穎豪 | | 王廣基 | | | 鄭青 | 註冊辦事處 | | 審核委員會 | Cricket Square Hutchins Drive ...

Financial Performance - For the six months ended June 30, 2024, the group's revenue reached approximately RMB 1,790.2 million, an increase of approximately RMB 314.1 million or 21.3% compared to the same period in 2023[2] - The group's gross profit for the same period was approximately RMB 194.5 million, representing an increase of approximately RMB 27.9 million or 16.8% year-on-year[2] - The net profit for the six months ended June 30, 2024, was approximately RMB 4.4 million, a significant increase of approximately RMB 3.6 million or 404.8% compared to the previous year[2] - Basic earnings per share for the period were approximately RMB 0.005, an increase of approximately RMB 0.004 or 400% compared to the same period in 2023[2] - The company reported a total comprehensive income of RMB 596,000 for the period, compared to a loss of RMB 281,000 in the same period last year[4] - Profit before tax for the six months ended June 30, 2024, was RMB 4,447 thousand, significantly higher than RMB 881 thousand for the same period in 2023[20] Revenue Breakdown - Animal nutrition products generated revenue of RMB 617,525 thousand, up 34.6% from RMB 458,635 thousand in the previous year[12] - Revenue from pharmaceuticals and supplements increased to RMB 453,624 thousand, a rise of 28.6% from RMB 352,708 thousand[12] - Total revenue from external customers in mainland China was RMB 1,411,161 thousand, representing a growth of 18.9% from RMB 1,186,155 thousand[15] - Revenue from animal nutrition chemicals increased from approximately RMB 458.6 million for the six months ended June 30, 2023, to approximately RMB 617.5 million for the six months ended June 30, 2024, driven by increased sales of choline chloride, betaine, and the new product dimethylamine[37] - Revenue from fine chemicals increased from approximately RMB 336.9 million for the six months ended June 30, 2023, to approximately RMB 425.1 million for the six months ended June 30, 2024, attributed to increased sales of isooctanoic acid and cashew phenol[39] - Revenue from pharmaceutical products and intermediates increased from approximately RMB 352.7 million to approximately RMB 453.6 million, mainly due to increased income from iodine derivatives[40] Expenses and Costs - Cost of sales increased from approximately RMB 1,309.5 million to approximately RMB 1,595.7 million, primarily due to increased raw material costs for various products[43] - Selling and distribution expenses increased from approximately RMB 59.9 million to approximately RMB 75.8 million, driven by higher logistics costs and increased sales volume of animal nutrition products[48] - Administrative expenses rose from approximately RMB 56.7 million to approximately RMB 65.8 million, mainly due to feasibility studies for potential expansion plans and increased costs related to office space expansion[49] - R&D expenses decreased from approximately RMB 31.8 million to approximately RMB 26.9 million, primarily due to a reduction in personnel costs after restructuring the R&D team[50] - Financial costs increased from approximately RMB 19.3 million to approximately RMB 19.9 million, mainly due to rising factoring interest on discounted notes[51] - Income tax expenses decreased from approximately RMB 4.3 million to approximately RMB 2.5 million, with an effective tax rate of approximately 35.8% for the six months ending June 30, 2024[52] Assets and Liabilities - Total assets as of June 30, 2024, amounted to approximately RMB 1,066.4 million, compared to RMB 889.8 million as of December 31, 2023[5] - Current liabilities increased to approximately RMB 1,148.6 million as of June 30, 2024, compared to RMB 884.5 million as of December 31, 2023[6] - Trade payables rose significantly to RMB 427,476,000 as of June 30, 2024, compared to RMB 270,143,000 as of December 31, 2023, reflecting a 58.2% increase[26] - The total borrowings of the group were approximately RMB 771.8 million as of June 30, 2024, up from RMB 711.7 million as of December 31, 2023, with interest rates ranging from 1.3% to 7.2%[57] - The group's debt-to-equity ratio increased to 132.6% as of June 30, 2024, from 122.4% as of December 31, 2023, primarily due to the increase in borrowings[57] Operational Highlights - The company operates in four main business segments, including polyurethane materials, animal nutrition chemicals, fine chemicals, and pharmaceutical products and intermediates[28] - The fine chemicals segment's revenue rose from RMB 336.9 million to RMB 425.1 million, with gross profit increasing from RMB 14.9 million to RMB 40.0 million, attributed to increased production and sales of isooctanoic acid, cashew phenol, and diethyl sulfate[30] - The company is expanding its production capacity with new facilities for the production of trimethylamine and various pharmaceutical intermediates, expected to enhance competitive advantages in the industry[54] - The group has established a new production line for methylamine, which is a key raw material for choline chloride and betaine production[28] Corporate Governance and Compliance - The company has complied with the corporate governance code, except for the separation of the roles of Chairman and CEO, which are held by the same individual as of June 30, 2024[81] - The audit committee has reviewed the group's financial reporting procedures and internal controls, ensuring adequate disclosure without disagreement[76] - The company will publish its interim report for the six months ending June 30, 2024, on the Hong Kong Stock Exchange and its own website, containing all information required by listing rules[82] Employee and Shareholder Information - As of June 30, 2024, the group had a total of 1,086 employees, a decrease from 1,108 in 2023, with total employee costs amounting to approximately RMB 67.9 million, up from RMB 62.2 million in 2023[70] - The group has established a share option plan and a share reward plan to incentivize and retain eligible participants, with a total of 50,900,000 shares available for grant as of June 30, 2024[71] - The group did not declare or pay any dividends for the six months ended June 30, 2024, and 2023[19] Risks and Future Outlook - The group faces various risks including market risk, credit risk, and liquidity risk, which could impact its financial condition and operational performance[57][61][63] - The group currently has no foreign currency hedging policy in place to manage foreign exchange risks[59][65] - The group has no major investment or capital expenditure plans for the upcoming year, relying on internal funds and other fundraising activities for future acquisitions[73]

目 錄 公司資料 2 財務概要 4 主席報告書 5 管理層討論與分析 9 董事及高級管理層履歷詳情 23 董事會報告 26 企業管治報告 38 環境、社會及管治報告 53 獨立核數師報告 78 綜合損益及其他全面收益表 81 綜合財務狀況表 82 綜合權益變動表 84 綜合現金流量表 85 綜合財務報表附註 87 GHW International | 2023 年 報 2 公司資料 ...

Financial Performance - For the year ended December 31, 2023, the group's revenue was approximately RMB 3,217.7 million, a decrease of about RMB 161.0 million or 4.8% compared to the same period in 2022[4] - The group's gross profit for the year was approximately RMB 337.0 million, down by approximately RMB 320.9 million or 48.8% year-on-year[4] - The net profit for the year was approximately RMB 2.7 million, a significant decrease of about RMB 271.9 million or 99.0% compared to 2022[4] - Basic earnings per share for the year were approximately RMB 0.003, a decrease of about RMB 0.272 or 98.9% compared to the previous year[4] - Total comprehensive income for the year was RMB 1,818 thousand, compared to RMB 263,912 thousand in 2022[18] - The company's net profit attributable to owners for the year ended December 31, 2023, was approximately RMB 2.7 million, a significant decrease from RMB 274.6 million in 2022[83] - The decline in profitability was primarily due to a reduction in gross profit from approximately RMB 657.9 million in 2022 to about RMB 337.0 million in 2023[83] Revenue Breakdown - Total revenue for 2023 was RMB 3,217,669,000, a decrease of 4.76% from RMB 3,378,707,000 in 2022[38] - Revenue from animal nutrition products was RMB 1,059,706,000, down 10.21% from RMB 1,180,366,000 in 2022[38] - Revenue from pharmaceuticals was RMB 734,352,000, a decrease of 2.92% from RMB 754,048,000 in 2022[38] - Revenue from fine chemicals was RMB 720,607,000, down 1.85% from RMB 732,114,000 in 2022[38] - Revenue from polyurethane materials was RMB 689,579,000, a decrease of 1.77% from RMB 698,839,000 in 2022[38] - Revenue from mainland China was RMB 2,524,520,000, down 9.26% from RMB 2,782,741,000 in 2022[42] - Revenue from self-manufactured chemicals was RMB 2,189.8 million, accounting for 68.1% of total revenue, while third-party produced chemicals generated RMB 1,014.4 million, accounting for 31.5%[91] Expenses and Costs - Sales cost increased from approximately RMB 2,720.8 million for the year ended December 31, 2022, to approximately RMB 2,880.7 million for the year ended December 31, 2023, primarily due to high global iodine prices and increased raw material costs for new product methylamine[106] - Administrative expenses increased from approximately RMB 104.5 million in 2022 to approximately RMB 123.5 million in 2023, driven by feasibility studies for potential expansion plans and increased environmental and safety production costs[116] - Financial costs for 2023 totaled RMB 39,207,000, an increase of 5.88% from RMB 36,988,000 in 2022[49] - Sales and distribution expenses decreased from approximately RMB 151.8 million in 2022 to approximately RMB 132.8 million in 2023, mainly due to reduced logistics costs[119] Assets and Liabilities - The group's total assets less current liabilities amounted to RMB 857,882 thousand, a decrease from RMB 898,307 thousand in the previous year[26] - Non-current liabilities totaled RMB 276,465 thousand, down from RMB 295,687 thousand in 2022[26] - The group's cash and cash equivalents were RMB 77,393 thousand, a decrease from RMB 103,183 thousand in the previous year[25] - Total assets as of December 31, 2023, reached approximately RMB 1,742.4 million, an increase from RMB 1,678.6 million in 2022[132] - Total borrowings as of December 31, 2023, amounted to approximately RMB 711.7 million, an increase from RMB 655.9 million in 2022, resulting in a debt-to-equity ratio of 122.4%[132] Taxation - The company's current tax for 2023 is RMB 1,831,000, a decrease of 77% from RMB 7,947,000 in 2022[55] - The total deferred tax for 2023 is RMB (11,368,000), compared to RMB 25,315,000 in 2022, indicating a significant change in tax liabilities[55] - Income tax expenses decreased from approximately RMB 33.4 million in 2022 to a tax credit of approximately RMB 9.5 million in 2023, consistent with the decline in pre-tax profits[124] Dividends - The board has resolved not to recommend the payment of any final dividend for the year ended December 31, 2023[4] - The company has not declared or paid any dividends for both 2022 and 2023[57] - The group did not recommend any final dividend for the year ending December 31, 2023, similar to 2022[156] Market and Operational Challenges - The company faced challenges due to oversupply in the market for its main products, leading to decreased prices and profitability[79] - The company is vigilant regarding the impact of international events, such as the Russia-Ukraine war, on its operations and will take appropriate measures as necessary[129] - The company has not implemented foreign currency hedging policies but monitors foreign exchange risks and will consider hedging when necessary[136] Future Plans and Investments - The company plans to expand its product range and has conducted feasibility studies for potential expansion plans in regions such as Malaysia[83] - The new production facility in Taian is expected to start producing Moxifloxacin side chains in 2024, enhancing the company's competitive advantage in production scale and technology[127] - The company acquired land use rights in Binh Duong Province for approximately VND 33.88 billion (around RMB 10 million) to expand production of choline chloride and iodine derivatives for export to Western countries, with production expected to commence in 2024[127] - An agreement was signed for the acquisition of land in Mukim Gebeng, Malaysia for MYR 37.03 million (approximately RMB 55.54 million) to diversify production systems in Southeast Asia, aiming to increase market share and reduce geopolitical risks[128] Corporate Governance - The audit committee has reviewed the accounting principles and practices adopted by the group, discussing audit, internal control, and risk management matters for the year ending December 31, 2023[176] - The company has adopted the corporate governance code and has complied with all provisions except for the separation of the roles of chairman and CEO, which are held by the same individual[183] - The company emphasizes the importance of clear and timely communication with shareholders and investors, maintaining high transparency through various reports and announcements[188] Employee and Operational Metrics - The total employee cost for the year, including director remuneration, was approximately RMB 135.8 million, compared to RMB 118.0 million in 2022, with a total of 1,098 employees as of December 31, 2023[157] - The group maintained a cautious treasury policy, ensuring a good liquidity position throughout the year[148]

Financial Position - As of June 30, 2023, the company reported non-current assets of RMB 822,984,000, an increase from RMB 769,340,000 as of December 31, 2022, representing a growth of approximately 6.96%[13] - The company's current assets totaled RMB 921,838,000 as of June 30, 2023, compared to RMB 909,293,000 at the end of 2022, indicating a slight increase of about 1.8%[13] - Total liabilities as of June 30, 2023, were RMB 921,718,000, up from RMB 780,326,000 at the end of 2022, reflecting an increase of approximately 18.1%[13] - The company reported a net asset value of RMB 602,339,000 as of June 30, 2023, which is consistent with RMB 602,620,000 reported at the end of 2022, showing stability in equity[14] - The company’s total equity remained stable at RMB 602,339,000 as of June 30, 2023, compared to RMB 602,620,000 at the end of 2022, reflecting no significant changes in shareholder equity[14] - As of June 30, 2023, total borrowings amounted to approximately RMB 739.7 million, an increase from RMB 655.9 million as of December 31, 2022[95] - The group's debt-to-equity ratio increased to 122.8% as of June 30, 2023, from 108.8% as of December 31, 2022, primarily due to increased bank borrowings during the period[113] Revenue and Profitability - For the six months ended June 30, 2023, the company recorded revenue of approximately RMB 1,476.1 million, a decrease of 7.6% compared to RMB 1,598.1 million in the same period of 2022[39] - The decline in revenue was primarily due to a significant drop in market prices for self-produced animal nutrition products, leading to decreased sales in mainland China[39] - The total comprehensive income for the six months ended June 30, 2023, was RMB (281) thousand, compared to RMB 168,054 thousand for the same period in 2022[19] - The company reported a profit of RMB 881 thousand for the six months ended June 30, 2023, compared to a profit of RMB 170,804 thousand for the same period in 2022[19] - Gross profit for the six months ended June 30, 2023, was approximately RMB 166.6 million, down from RMB 377.1 million for the same period in 2022, resulting in a gross margin of 11.3% compared to 23.6%[57][65] - The company recorded a profit of approximately RMB 0.9 million for the six months ended June 30, 2023, a significant decrease from RMB 170.8 million for the same period in 2022[70] Operational Performance - The company’s trade receivables increased to RMB 221,892,000 as of June 30, 2023, from RMB 219,351,000 at the end of 2022, marking a growth of approximately 1.1%[13] - The company’s inventory stood at RMB 360,425,000 as of June 30, 2023, slightly up from RMB 359,140,000 at the end of 2022, indicating a marginal increase of about 0.36%[13] - The company incurred a net cash outflow from investing activities of RMB 99,948 thousand for the six months ended June 30, 2023, compared to RMB 104,735 thousand in the same period of 2022[19] - The company raised new borrowings of RMB 265,152 thousand during the six months ended June 30, 2023, compared to RMB 253,516 thousand in the same period of 2022[19] - The company’s capital expenditure amounted to approximately RMB 24.0 million, an increase from RMB 17.0 million as of December 31, 2022, primarily for the purchase of machinery and equipment[122] Market Conditions - The overall financial performance was impacted by a downturn in the domestic and global chemical intermediate markets, driven by a decline in the real estate market and rising interest rates[38] - Despite a 50% increase in sales volume of choline chloride, the gross profit and gross margin decreased by approximately 45% and 10%, respectively, due to oversupply in the market and declining prices[50] - The company anticipates that the termination of paraxylene sales since July 2022 will narrow the profit margins from this product line[39] - The global iodine market prices remained at historical highs during the period, but the company could not expand gross margins through strategic procurement plans[50] Corporate Governance - The board of directors resolved not to declare any interim dividend for the six months ended June 30, 2023, consistent with the previous year[8] - The company did not purchase, sell, or redeem any of its listed securities during the six months ended June 30, 2023[7] - The company did not recommend any interim dividend for the six months ended June 30, 2023, consistent with the previous year[143] - The company confirmed compliance with all corporate governance codes except for the separation of the Chairman and CEO roles, which is under review[166] - Mr. Yin holds approximately 55.31% of the company's issued share capital, making him the controlling shareholder[159] Employee and Administrative Expenses - The total employee cost for the six months ended June 30, 2023, was approximately RMB 62.2 million, compared to RMB 59.5 million for the same period in 2022, with a total of 1,108 employees as of June 30, 2023, up from 969 in 2022[125] - Administrative expenses increased from approximately RMB 53.4 million to approximately RMB 56.7 million, primarily due to increased feasibility study costs for potential expansion plans[87] Research and Development - Research and development expenses are recognized as incurred, reflecting the nature of the activities aimed at improving production efficiency and developing production equipment[88] - Research and development expenses decreased from approximately RMB 359 million for the six months ended June 30, 2022, to approximately RMB 318 million for the six months ended June 30, 2023, due to completed production technology enhancement projects[106] Cash Flow and Liquidity - As of June 30, 2023, the net cash generated from operating activities was RMB 26,987 thousand, a significant improvement from a net cash outflow of RMB 86,550 thousand in the same period of 2022[19] - The company maintained a prudent treasury policy, ensuring a good liquidity position throughout the period, with a focus on continuous credit reviews of customers to mitigate credit risk[120] - As of June 30, 2023, the company had restricted bank deposits of approximately RMB 49.0 million, up from RMB 33.9 million as of December 31, 2022[142] Future Plans and Investments - The company plans to fund future acquisitions through internal funds and other fundraising activities, including issuing new debt or equity instruments[147] - The group has invested approximately RMB 10 million in acquiring land use rights in Vietnam to expand production capacity for choline chloride and iodine derivatives[109] - The company has no major investments or capital asset plans for the coming year, aside from those disclosed in the prospectus[129]

Financial Performance - The company's net profit attributable to shareholders for the year ended December 31, 2022, was approximately RMB 274.6 million, an increase from RMB 130.7 million in 2021, representing a growth of 109.5%[25] - For the fiscal year ending December 31, 2022, the company recorded revenue of approximately RMB 3,378.7 million, an increase of 19.3% compared to RMB 2,833.3 million in 2021[42] - Gross profit for the same period was approximately RMB 657.9 million, representing a 38.2% increase from RMB 476.1 million in 2021[42] - Net profit for the year was approximately RMB 274.6 million, a significant increase of 110.1% compared to RMB 130.7 million in 2021[42] - The company's total assets reached approximately RMB 1,678.6 million as of December 31, 2022, up from RMB 1,367.3 million in 2021, with cash and cash equivalents amounting to RMB 103.2 million[119] - The debt-to-equity ratio improved to 108.8% as of December 31, 2022, down from 203.8% in 2021, primarily due to increased profits during the year[120] Revenue Breakdown - Revenue from the polyurethane materials segment decreased from approximately RMB 845.0 million in 2021 to approximately RMB 698.8 million in 2022, a decline of 17.4% due to reduced demand in the construction and home appliance industries[27] - Revenue from glycol, a new trading product produced by a third party, was approximately RMB 131.0 million in 2022, up from RMB 111.9 million in 2021, indicating a growth of 17.3%[30] - The company's self-manufactured chemical products generated revenue of RMB 2,326.9 million, accounting for 68.9% of total revenue, up from 59.6% in 2021[55] - Revenue from third-party manufactured chemicals was RMB 1,038.5 million, representing 30.7% of total revenue, down from 40.0% in 2021[55] - Sales of choline chloride in the animal nutrition chemicals segment accounted for approximately 75% of the segment's revenue, increasing from RMB 727.6 million in 2021 to 904.0 million in 2022[57] - Revenue from the sales of iodine and iodine derivatives increased from RMB 585.9 million in 2021 to RMB 754.0 million in 2022, primarily due to rising average selling prices[59] Expenses and Costs - Tax expenses increased from approximately RMB 15.3 million in 2021 to approximately RMB 33.4 million in 2022, aligning with the increase in profit before tax[6] - Financial costs increased from approximately RMB 29.8 million in 2021 to approximately RMB 37.0 million in 2022, primarily due to higher average levels of outstanding term loans and loans from related parties[5] - Sales cost increased from approximately RMB 2,357.2 million for the year ended December 31, 2021, to approximately RMB 2,720.8 million for the year ended December 31, 2022, due to rising raw material prices in various business segments[61] - R&D expenses increased from approximately RMB 592 million for the year ended December 31, 2021, to approximately RMB 773 million for the year ended December 31, 2022, primarily due to increases in raw material costs, employee costs, and electricity costs[139] Production and Capacity Expansion - The company is expanding its production capacity by establishing a new plant in the Tai'an Daiyue Chemical Industrial Park, focusing on the production of trimethylamine and various pharmaceutical intermediates[47] - A new production facility is being established in the western area of the existing production plant in Tai'an, which will include facilities for producing trimethylamine and a pilot plant for various pharmaceutical intermediates[116] - The company invested VND 33,880,000,000 (approximately RMB 10 million) to acquire land use rights in Binh Duong Province, Vietnam, expected to expand production of choline chloride and iodine derivatives for export to Western countries[116] Market and Business Environment - The contribution of revenue from outside mainland China decreased from approximately 18.5% in 2021 to 17.6% in 2022, primarily due to reduced sales of animal nutrition chemicals amid ongoing COVID-19 impacts[18] - The company remains vigilant regarding the ongoing impacts of the COVID-19 pandemic and international events on its financial advisory, brokerage, asset management, and investment management services[20] - The increase in profits is attributed to the recovery of operations in mainland China post-COVID-19, despite rising sales and distribution expenses and increased research and development costs[44] Risk Management - The group faces various risks including market risk, credit risk, and liquidity risk, which may impact its financial condition and operational performance[101] - The group's credit risk is primarily attributed to trade receivables, with management implementing measures to minimize this risk[136] - The group has not implemented any foreign currency hedging policies but monitors foreign exchange risks[102] Corporate Governance and Social Responsibility - The company has actively participated in sustainable development and social responsibility, adhering to environmental laws and regulations[153] - The group made charitable donations totaling approximately RMB 197,000 in the fiscal year ending December 31, 2022, compared to zero in 2021[160] - The company has not encountered any significant violations of applicable laws and regulations that would materially impact its business and operations for the year ended December 31, 2022[130] Shareholder Information - The company did not declare any final dividend for the year ended December 31, 2022, consistent with the previous year[70] - The board does not recommend the payment of any dividends for the year ended December 31, 2022, consistent with 2021[131] - The company's reserves available for distribution to shareholders as of December 31, 2022, amounted to approximately RMB 835 million, an increase from RMB 769 million in 2021[183]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因倚賴該等內 容而引致的任何損失承擔任何責任。 GHW International （於開曼群島註冊成立的有限公司） （股份代號：9933） 年 度 業 績 公 告 截 至2022年12月31日 止 年 度 財務摘要 • 截至2022年12月31日止年度，本集團的收益達約人民幣3,378.7百萬元，與 2021年同期相較，增加約人民幣545.4百萬元或19.3%。 • 截至2022年12月31日止年度，本集團的毛利達約人民幣657.9百萬元，與 2021年同期相較，增加約人民幣181.8百萬元或38.2%。 • 截至2022年12月31日止年度，本集團的淨溢利達約人民幣274.6百萬元，與 2021年同期相較，增加約人民幣143.9百萬元或110.1%。 • 截至2022年12月31日止年度，本集團的每股基本盈利達約人民幣0.275元， ...

Revenue and Profitability - For the six months ended June 30, 2022, GHW International reported revenue of approximately RMB 1,598.1 million, an increase of 34.8% compared to RMB 1,185.8 million in the same period last year[10]. - The net profit attributable to the owners of the company for the six months ended June 30, 2022, was approximately RMB 170.8 million, a significant increase of 531.8% compared to RMB 27.0 million for the same period in 2021[12]. - Gross profit rose from approximately RMB 173.8 million for the six months ended June 30, 2021, to approximately RMB 377.1 million for the same period in 2022, driven by higher average selling prices of key products and effective procurement strategies[12]. - Total revenue for the six months ended June 30, 2022, was RMB 1,598.1 million, compared to RMB 1,185.8 million for the same period in 2021, representing a year-on-year increase of 35.0%[14]. - The company reported a profit before tax of RMB 199,079 thousand, up from RMB 31,424 thousand in the previous year, reflecting a growth of 532%[102]. - The total comprehensive income for the period was RMB 168,054 thousand, compared to RMB 28,716 thousand for the same period in 2021, indicating a significant increase[106]. Revenue Breakdown by Segment - Revenue from animal nutrition chemicals increased significantly from approximately RMB 369.1 million to RMB 565.4 million, primarily due to higher average selling prices of choline chloride and betaine[18]. - Revenue from pharmaceutical products and intermediates increased from approximately RMB 268.8 million to RMB 370.0 million, driven by higher average selling prices of iodine and iodine derivatives[23]. - Revenue from fine chemicals rose from approximately RMB 153.8 million to RMB 351.6 million, attributed to increased sales of cashew phenol and isooctanoic acid, as well as new trading products like ethylene glycol[22]. - Sales of polyurethane materials decreased from approximately RMB 389.0 million to RMB 304.8 million, mainly due to a reduction in sales volume of MDI and TDI products[16]. Market and Operational Factors - The increase in revenue was primarily driven by higher market prices for key products such as choline chloride and betaine, along with increased sales of self-manufactured products like iso-octanoic acid and cashew phenol due to market share growth[11]. - The company experienced a decline in sales volume for third-party manufactured trade products, specifically polymer MDI and TDI, due to operational disruptions in European and American production facilities caused by severe weather in Q1 2021[11]. - The impact of the COVID-19 pandemic in early 2022 affected downstream industries in China, particularly the construction and home appliance sectors, leading to decreased demand for polymer MDI and TDI[11]. Research and Development - The company emphasizes the importance of research and development in production processes and product customization capabilities to enhance its competitive edge in the market[7]. - The company plans to expand its research and development efforts, particularly in artificial intelligence system upgrades and production technology improvements, which have led to increased R&D expenditures[12]. - R&D expenses increased from approximately RMB 21.6 million for the six months ended June 30, 2021, to approximately RMB 35.9 million for the six months ended June 30, 2022, primarily due to rising raw material costs of about RMB 8.0 million, employee costs of about RMB 1.6 million, and electricity costs of about RMB 3.1 million[34]. Financial Position and Assets - As of June 30, 2022, total assets reached approximately RMB 1,661.6 million, up from RMB 1,367.3 million as of December 31, 2021, while cash and bank balances were approximately RMB 70.9 million, compared to RMB 58.0 million[41]. - The company's debt-to-equity ratio improved to 133.5% as of June 30, 2022, down from 203.8% as of December 31, 2021, primarily due to increased profits during the period[42]. - Total borrowings amounted to approximately RMB 760.0 million as of June 30, 2022, an increase from RMB 691.2 million as of December 31, 2021[41]. Expenses and Costs - Sales and distribution expenses rose from approximately RMB 63.5 million to RMB 82.1 million, primarily due to increased employee compensation and logistics costs[32]. - Administrative expenses increased from approximately RMB 45.2 million to RMB 53.4 million, mainly due to performance bonuses linked to improved operational results[33]. - Financial costs rose from approximately RMB 13.0 million for the six months ended June 30, 2021, to approximately RMB 18.2 million for the six months ended June 30, 2022, mainly due to an increase in average borrowing levels during the period[35]. Risks and Challenges - The company faces significant risks due to the COVID-19 pandemic, which has delayed the expansion plans for the new production facility[46]. - The company is exposed to currency risk due to transactions conducted in currencies other than its functional currency[50]. - The group faced foreign exchange risks due to transactions primarily denominated in RMB and USD, but did not undertake any financial instruments to hedge these risks during the period[58]. Shareholder and Management Information - The major shareholder, Mr. Yin, held approximately 55.31% of the company's issued share capital, totaling 553,141,500 shares[84]. - The group did not recommend any interim dividend for the six months ended June 30, 2022, consistent with the previous year[63]. - The company did not enter into any stock-linked agreements during the reporting period[89].