港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表明，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之任何損失承擔任何責任。 本公告乃由中國東方集團控股有限公司*（「本公司」，連同其附屬公司 統稱「本集團」）根據香港聯合交易所有限公司證券上巿規則(「上市規 則」)第13.09條以及香港法例第571章證券及期貨條例第XIVA部項下的內 幕消息條文(定義見上市規則)而作出。 本公司之董事(「董事」)局(「董事局」)謹此知會本公司的股東(「股東」) 及潛在投資者，基於初步審閱本集團截至 2025 年 6 月 30 日止六個月(「相 關期間」)的未經審核之合併管理賬目以及董事局現時可得到的資料，本集 團預期於相關期間將錄得不少於人民幣 2.20 億元的淨溢利，與本集團截至 2024 年 6 月 30 日止六個月約人民幣 1.23 億元的淨溢利相比，將錄得不 少於 70%的增幅。 基於目前可得之資料，在相關期間本集團的淨溢利之預期增加乃主要歸因 於以下因素的綜合影響，其中包括，(i)主要原材料價格回落，其價格下降 趨勢快於鋼鐵産品價格下降 ...

香港交易 及結算 所有 限 公司及香 港聯合 交易所 有限公司 對本公 告之 內 容概不負 責，對 其準確性 或完整 性亦 不 發表任何 聲明， 並明確 表明，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之任何損失承擔任何責任。 CHINA ORIENTAL GROUP COMPANY LIMITED 中國東 方 集團控 股 有限公 司 * 香港，2025年8月13日 於本公告日期，董事局包括執行董事韓敬遠先生、朱軍先生、沈曉玲先生、韓力 先生、Sanjay SHARMA先生及李明東先生，非執行董事Ondra OTRADOVEC先 生，獨立非執行董事黃文宗先生、王冰先生、謝祖墀博士及郁昉瑾女士。 本公告於本公司網站(www.chinaorientalgroup.com)及香港聯合交易所有限公 司之網站(www.hkexnews.hk)刊登 。 * 僅供識別 （於百慕達註冊成立的有限公司） （股份代號：581） 董事局會議通告 中國東方集團控股有限公司*(「本公司」)董事局(「董事局」)謹此宣佈， 本公司將於 2025 年 8 月 27 日(星期三)舉行董事局會議，藉以(其中包括) 考 ...

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年7月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 中國東方集團控股有限公司 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00581 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 5,000,000,000 | HKD | | 0.1 | HKD | | 500,000,000 | | 增加 / 減少 (-) | | | | | | | HKD | | | | 本月底結存 | | | 5,000,000,000 | HKD | | 0.1 | HKD | | 500,000,000 | 本月底法定/註冊股本總額： HKD 500,000,000 FF301 第 ...

Financial Performance - Revenue decreased from RMB 48,620 million in 2022 to RMB 46,260 million in 2023, and is projected to decline further to RMB 42,957 million in 2024, representing a year-over-year decrease of 4.7% in 2023 and 2.8% in 2024[6]. - Profit attributable to owners of the Company fell from RMB 808 million in 2022 to a loss of RMB 160 million in 2023, with a projected recovery to RMB 149 million in 2024[6]. - EBITDA decreased from RMB 2,357 million in 2022 to RMB 1,279 million in 2023, with an expected increase to RMB 1,500 million in 2024[6]. - The adjusted profit for the year (a non-HKFRS measure) dropped from RMB 513 million in 2022 to RMB 4 million in 2023, with an expected recovery to RMB 266 million in 2024[6]. - The Company reported a loss before income tax of RMB 315 million in 2023, compared to a profit of RMB 756 million in 2022, with a projected profit of RMB 228 million in 2024[6]. - The overall gross profit increased by approximately 147.1% to approximately RMB 1.77 billion, marking a significant turnaround from a net loss to a net profit[48]. - The net profit for 2024 was approximately RMB 225 million, an increase of approximately 214.5% compared to the net loss of approximately RMB 196 million in 2023[48]. - The consolidated gross profit for 2024 was RMB 1,027 million, an increase of approximately 165.4% compared to RMB 387 million in 2023[117]. - The gross profit per tonne of steel products increased from RMB 50 in 2023 to RMB 143 in 2024, reflecting an increase of 186.0%[120]. Sales and Production - The average selling price per tonne of self-manufactured steel products decreased from RMB 3,974 in 2022 to RMB 3,557 in 2023, and is projected to decline further to RMB 3,432 in 2024[18]. - Total sales volume of self-manufactured steel products increased from 7,102,000 tonnes in 2022 to 7,733,000 tonnes in 2023, but is expected to decrease to 7,169,000 tonnes in 2024[13]. - H-section steel products accounted for 46.1% of total sales volume in 2024, with a sales volume of 3,302,000 tonnes, down 8.3% from 3,600,000 tonnes in 2023[109]. - Strips and strip products represented 40.5% of total sales volume in 2024, with a sales volume of 2,900,000 tonnes, down 3.8% from 3,014,000 tonnes in 2023[109]. - The total sales volume for 2024 was 7,169,000 tonnes, a decrease of approximately 7.3% from 2023's 7,733,000 tonnes[107]. - The Group's annual production output capability of steel products was more than 10 million tonnes in 2024[110]. Market and Industry Trends - In 2024, the total profit of the iron and steel industry in China was approximately RMB 29.19 billion, representing a year-on-year decrease of approximately 54.6%[40]. - The national production volume of pig iron, crude steel, and steel products in 2024 was approximately 852 million tonnes, 1.005 billion tonnes, and 1.400 billion tonnes respectively, with decreases of approximately 2.3% and 1.7% for pig iron and crude steel, while steel products saw an increase of approximately 1.1% compared to 2023[40]. - The global economy is expected to continue a slow recovery in 2025, benefiting from declining inflation and easing monetary policies, but faces challenges such as trade protectionism and geopolitical tensions[79]. - The iron and steel industry anticipates improved downstream demand and rising product prices, with no significant decline in annual steel consumption expected in 2025[80]. Strategic Initiatives - The Company plans to focus on improving operational efficiency and exploring new market opportunities to enhance profitability in the upcoming years[6]. - The Group aims to enter the Fortune Global 500, focusing on specialization, industry chain extension, and high-tech development[33]. - The Group aims to enhance core competitiveness through digitalization, lean management, and the development of high-value-added products, with several green and low-carbon factory projects expected to launch in 2025[83]. - The Group plans to diversify its business by expanding into trading steel products, precast components, and recycling solid waste residues[88]. - The Group is committed to achieving carbon neutrality by 2050, investing in emission-reduction technologies and environmental protection projects[92]. Environmental and Sustainability Efforts - Jinxi Limited achieved an annual emission reduction of approximately 1.10 million tonnes of carbon dioxide, 53 tonnes of nitrogen oxide, and 26 tonnes of sulfur dioxide in 2024[45]. - The self-generated electricity rate for Jinxi Limited increased to approximately 52.4%, while externally purchased electricity was reduced by approximately 260 million kWh per year[45]. - Policies in the iron and steel industry are focusing on energy efficiency improvement, green and low-carbon transformation, and achieving carbon peak by 2027[43]. - Jinxi Limited was rated as a "Grade A in Environmental Protection Performance Rating" enterprise, being the second enterprise in Tangshan City to achieve this[60]. - The Group has implemented various green energy projects, resulting in a reduction of approximately 1.1 million tonnes of CO2 emissions annually[61]. Financial Position and Investments - As of December 31, 2024, the Group had unutilized banking facilities of approximately RMB 14.5 billion, an increase from RMB 13.9 billion in 2023[136][138]. - The current ratio of the Group was 1.3 times as of December 31, 2024, compared to 1.2 times in 2023, while the gearing ratio was 50.2%, slightly up from 50.1% in 2023[139][144]. - Cash and cash equivalents amounted to approximately RMB 3,516 million as of December 31, 2024, down from RMB 3,618 million in 2023[140][144]. - The debt-to-capital ratio of the Group increased to 65.8% in 2024 from 63.0% in 2023[142][145]. - The Group reported investment gains from steel products, iron ore, and related raw materials derivative financial instruments of approximately RMB22 million for the year ended 31 December 2024, compared to losses of approximately RMB40 million in 2023[156][159]. Dividends and Shareholder Returns - The Group proposed a final dividend of HK$0.01 per ordinary share and a special dividend of HK$0.05 per ordinary share for 2024[75]. - The Group aims to assess the possibility of increasing dividend distribution to reward shareholders for their support[96]. - The Board proposed a final dividend of approximately HK$37 million (approximately RMB34 million) and a special dividend of approximately HK$186 million (approximately RMB172 million) for the year ended 31 December 2024[157][160].

Financial Performance - Total revenue for the year ended December 31, 2024, was RMB 42.96 billion, a decrease of 7.4% from RMB 46.26 billion in 2023[5] - Gross profit increased significantly to RMB 1.77 billion, up 147.1% from RMB 717.29 million in the previous year[5] - EBITDA for 2024 was RMB 1.50 billion, representing a 17.3% increase from RMB 1.28 billion in 2023[4] - The company reported a net profit of RMB 224.62 million, a turnaround from a net loss of RMB 196.21 million in 2023, marking a 214.5% improvement[7] - Basic earnings per share improved to RMB 0.04 from a loss of RMB 0.04 in 2023, reflecting a significant recovery in profitability[4] - The company achieved a revenue of approximately RMB 43 billion in 2024, a decrease of about 7.1% compared to the previous year, while gross profit increased by approximately 147.1% to about RMB 1.77 billion[79] - The net profit for the year 2024 was approximately RMB 225 million, marking a substantial increase of about 214.5% compared to a net loss of RMB 196 million in 2023[79] - The company’s EBITDA rose from approximately RMB 1.28 billion in 2023 to about RMB 1.50 billion in 2024, indicating improved operational efficiency[79] Revenue Breakdown - The sales volume of self-produced steel products decreased by 7.3% to 7.17 million tons, while trading of steel products fell by 45.0% to 110,000 tons[3] - Total sales for the year ended December 31, 2024, amounted to RMB 42,957,307 thousand, a decrease of 7.5% compared to RMB 46,259,738 thousand for the year ended December 31, 2023[20][26] - The sales of H-beam products decreased from RMB 12,946,577 thousand in 2023 to RMB 11,737,216 thousand in 2024, representing a decline of 9.3%[20] - The sales of iron ore decreased from RMB 11,361,275 thousand in 2023 to RMB 9,934,620 thousand in 2024, a decline of 11.8%[20] - The steel segment reported a revenue of RMB 42,860,478 thousand for the year ended December 31, 2024, compared to RMB 46,013,691 thousand in 2023, reflecting a decrease of 6.5%[23][26] - The real estate segment recorded a revenue of RMB 96,829 thousand for the year ended December 31, 2024, down from RMB 246,047 thousand in 2023, a decline of 60.7%[23][26] Asset and Liability Management - The company’s total assets as of December 31, 2024, were RMB 50.08 billion, a slight increase of 0.1% from RMB 50.03 billion in 2023[4] - Total assets increased slightly to RMB 50,076,936 thousand in 2024 from RMB 50,030,172 thousand in 2023, representing a growth of 0.09%[8] - Total liabilities increased to RMB 25,121,663 thousand in 2024 from RMB 25,052,387 thousand in 2023, reflecting a rise of 0.28%[9] - The debt-to-capital ratio increased to 65.8% from 63.0% in the previous year, indicating a higher leverage position[4] - The company's borrowings increased to RMB 13,593,786 thousand in 2024 from RMB 13,089,962 thousand in 2023, an increase of 3.85%[9] - The total borrowings as of December 31, 2024, amount to RMB 16,388,169 thousand, an increase from RMB 15,473,895 thousand in 2023, representing a growth of approximately 6%[69] Cash Flow and Investments - The company's cash and cash equivalents decreased to RMB 3,516,253 thousand in 2024 from RMB 3,618,030 thousand in 2023, a decline of 2.82%[8] - The company confirmed receivables from local government departments amounting to approximately RMB 1.528 billion related to lease land and land use rights[52] - The company has secured approximately RMB 10.15 billion in collateralized bank loans as of December 31, 2024, compared to RMB 5.17 billion in 2023, indicating a significant increase of about 96%[69] - The company has RMB 460,931 thousand in structured bank deposits as of December 31, 2024, compared to RMB 127,543 thousand in 2023, reflecting a growth of approximately 262%[68] Operational Efficiency and Cost Management - The average selling price of steel products decreased during the year due to continued low demand in downstream markets[79] - The cost of raw materials and sold goods decreased to RMB 36,891,701 thousand in 2024 from RMB 39,914,996 thousand in 2023, indicating a decline of about 7.58%[31] - Employee benefit expenses increased to RMB 1,464,443 thousand in 2024 from RMB 1,354,273 thousand in 2023, representing a rise of approximately 8.14%[31] - The company plans to enhance its operational strategies focusing on cost reduction, efficiency improvement, and procurement optimization to navigate macroeconomic challenges[79] Dividends and Shareholder Returns - The company declared a final dividend of HKD 0.01 per share and a special dividend of HKD 0.05 per share, with a total annual dividend of HKD 0.06, up 20.0% from HKD 0.05 in 2023[4] - The company plans to distribute a final dividend of approximately HKD 37 million (about RMB 34 million) and a special dividend of approximately HKD 186 million (about RMB 172 million) for the year ending December 31, 2024, pending shareholder approval[48] Environmental Initiatives - The company’s subsidiary, Jinxin Steel, achieved a reduction in carbon dioxide emissions by approximately 1.1 million tons in 2024, contributing to its green energy initiatives[78] - The company reduced carbon dioxide emissions by approximately 1.1 million tons and nitrogen oxides by 53 tons annually through various green initiatives[83] - The company plans to complete multiple projects to create green low-carbon factories by 2024 and initiate new energy soft magnetic materials projects by 2025[90] Future Outlook - The company expects a gradual improvement in the steel industry environment in 2025, driven by a recovery in downstream demand and stable infrastructure investment growth[89] - The company will focus on high-end, differentiated products and extend its industrial chain into new materials and high-end equipment manufacturing[93]

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 22,565 million, a slight increase of 2.3% compared to RMB 22,059 million in the same period of 2023[5]. - Gross profit for the same period was RMB 900 million, up from RMB 719 million in 2023, reflecting a gross margin improvement[5]. - Profit for the period attributable to owners of the Company was RMB 94 million, a significant decrease of 66.7% from RMB 282 million in 2023[5]. - Basic earnings per share for the six months ended June 30, 2024, was RMB 0.03, down from RMB 0.08 in 2023[5]. - The Group recorded a revenue of approximately RMB 22.57 billion for the six months ended June 30, 2024, representing an increase of approximately 2.3% compared to the same period last year[40]. - The overall gross profit increased by approximately 14.4% to approximately RMB 6.43 billion for the same period[40]. - The interim net profit was approximately RMB 123 million, a decrease of approximately 55.4% compared to RMB 276 million for the corresponding period last year[41]. - The Group's EBITDA for the period decreased from approximately RMB 1.05 billion to approximately RMB 815 million[41]. - For the six months ended June 30, 2024, the profit for the period was approximately RMB 123,029,000, a decrease of 55.5% compared to RMB 276,135,000 for the same period in 2023[102]. - The adjusted profit for the period was RMB 123,029,000, down 43.7% from RMB 218,430,000 in the previous year[102]. Sales and Production - Average selling price per tonne of self-manufactured steel products decreased to RMB 3,505 in 2024 from RMB 3,599 in 2023, indicating a decline of 2.6%[12]. - Total sales volume of self-manufactured steel products for the six months ended June 30, 2024, was 3,762,000 tonnes, a decrease of 3.1% compared to 3,881,000 tonnes in 2023[18]. - The sales volume of H-section steel products decreased to 1,614,000 tonnes in 2024 from 1,945,000 tonnes in 2023, a decline of 17.0%[18]. - In the first half of 2024, the Group's total sales volume of self-manufactured steel products was approximately 3.76 million tonnes, a decrease of approximately 3.1% compared to 3.88 million tonnes in the corresponding period of 2023[63][64]. - The sales of H-section steel products amounted to approximately 1.61 million tonnes, accounting for 42.9% of total sales volume, which represents a decrease of 17.0% compared to the previous year[66]. Market Conditions - The overall business environment of China's iron and steel industry in the first half of 2024 improved compared to the second half of 2023, but still maintained a pattern of "strong supply, weak demand, low prices, and high costs"[32]. - The demand for steel used in engineering machinery decreased due to the drag from the real estate sector, contributing to the overall weakness in downstream demand for steel products[31]. - The outlook for the iron and steel industry indicates that downstream demand will remain low, but infrastructure investment growth is expected to rebound in the second half of 2024[83]. - The overall business environment for the iron and steel industry is expected to face uncertainties in the second half of 2024, but the development trend is anticipated to gradually improve[83]. Strategic Initiatives - The Group aims to adopt a "specialisation, industry chain extension, high-tech and high-end" strategy for transformation and upgrading, focusing on innovation-driven high-quality development[31]. - The Group plans to enhance its core competitiveness by improving efficiency, reducing costs, and increasing the proportion of high value-added products[84]. - The Group will continue to promote the development of various steel products, including H-section steel and marine steel, while expanding its trading business in steel products and raw materials[84]. - The Group is exploring technology solutions for carbon reduction and investing in equipment upgrades to achieve better cost efficiency and reduce emissions[89]. - The Group aims to enhance energy efficiency and low-carbon transformation capabilities in the iron and steel industry, with policies focusing on energy efficiency improvement and carbon peaking[39]. Financial Position - The Company reported a net asset value of RMB 24,933 million as of June 30, 2024, a slight decrease from RMB 24,978 million as of December 31, 2023[9]. - Total assets increased to RMB 52,215 million as of June 30, 2024, up from RMB 50,030 million as of December 31, 2023[9]. - The Group's financial position remains sound, and it will strive to make effective use of its resources for future growth[31]. - As of June 30, 2024, the Group had unutilised banking facilities of approximately RMB 15.1 billion, an increase from RMB 13.9 billion as of December 31, 2023[104]. - The current ratio as of June 30, 2024 was approximately 1.4 times, up from 1.2 times as of December 31, 2023[109]. - The cash and cash equivalents of the Group amounted to approximately RMB 5,347 million as of June 30, 2024, compared to RMB 3,618 million as of December 31, 2023[110]. - The debt-to-capital ratio as of June 30, 2024 was approximately 71.0%, an increase from 63.0% as of December 31, 2023[112]. - Consolidated interest expenses for the six months ended June 30, 2024 were approximately RMB 280 million, compared to RMB 241 million for the same period in 2023[113]. Investment and Dividends - The Group did not recommend the distribution of an interim dividend for 2024 due to current challenges in the iron and steel industry[44]. - The Group will evaluate the possibility of increasing dividend distributions to reward shareholders under appropriate circumstances[90]. - The Board proposed a special dividend of approximately HK$ 186 million (equivalent to approximately RMB 170 million) for the year ended December 31, 2023, which was approved by shareholders[127]. - The Group's strategy includes specialization, industry chain extension, and high-tech development to drive transformation and upgrading[93]. Real Estate and Construction - The Group recorded revenue and operating profit from its real estate business of approximately RMB 23 million and RMB 4 million, respectively, in the first half of 2024[58][61]. - A provision of approximately RMB 201 million was made for impairment of properties under development and held for sale related to the real estate industry in second-and-lower-tier cities in the PRC for the financial year ended December 31, 2023[97]. - The Group expects the real estate market in the PRC to gradually stabilize due to various market stabilization measures introduced by the government[98]. - The Group has a project under construction with a gross floor area of approximately 248,000 m², expected to be completed in 2029[81]. Environmental and Regulatory Compliance - The NDRC and other ministries issued a "Special Action Plan for Energy Conservation and Carbon Reduction in the Iron and Steel Industry" in May 2024, aiming to regulate crude steel production and reduce energy consumption intensity[34]. - By the end of 2025, the target is to increase the proportion of electric arc furnace steel production to 15% of total crude steel production and achieve 30% of production at or above benchmark energy efficiency levels[34]. - The Group will actively explore new models and paths that align with green development concepts to promote sustainable development[31]. - The Group is committed to green, low-carbon, and sustainable development through effective capital and asset allocation[95].

[Supplemental Announcement Regarding 2023 Annual Report](index=1&type=section&id=Supplemental%20Announcement%20Regarding%202023%20Annual%20Report) [Announcement Overview](index=1&type=section&id=Announcement%20Overview) This announcement supplements the 2023 annual report, providing additional details on the 2013 Share Option Scheme without affecting other report contents - This announcement aims to supplement information regarding the Share Option Scheme in the 2023 annual report[1](index=1&type=chunk) [Supplemental Details of Share Option Scheme](index=1&type=section&id=Supplemental%20Details%20of%20Share%20Option%20Scheme) The announcement details key quantitative metrics and terms of the 2013 Share Option Scheme, including shares available and acceptance price Share Option Scheme Key Metrics | Metric | Value/Term | | :--- | :--- | | **Issuable Share Scale (as % of 2023 FY weighted average shares)** | Approximately 0.56% | | **Total Shares Available for Issuance as of Annual Report Date** | 21,000,000 shares | | **Percentage of Issuable Shares (as % of Issued Shares) as of Annual Report Date** | Approximately 0.56% | | **Offer Acceptance Period** | 14 days | | **Acceptance Consideration** | HKD 1.00 | [Remuneration Committee's Review and Rationale](index=2&type=section&id=Remuneration%20Committee%20Review%20and%20Approval%20of%20Share%20Options%20Granted%20Under%202013%20Scheme%20in%20FY2023) The Remuneration Committee approved share options under the 2013 scheme in FY2023, without performance targets, citing alignment with future share price and individual performance - The Remuneration Committee confirmed that all share options granted to directors and employees under the 2013 Share Option Scheme in FY2023 **did not include performance targets**[2](index=2&type=chunk) - The Committee provided reasons for not setting performance targets: - **Interest Alignment**: Share options are time-vested, directly linking their value to future share price performance, aligning grantees' interests with the Group's - **Contribution Incentive**: Granting options to directors and employees encourages their continuous efforts for the Group's development - **Individualized Consideration**: The number of options granted was determined based on grantees' past performance and potential future contributions[2](index=2&type=chunk)

Revenue and Profitability - For the six months ended June 30, 2024, total revenue reached RMB 22.57 billion, an increase of 2.3% compared to RMB 22.06 billion in the same period of 2023[5]. - Revenue from power equipment sales rose by 18.4% to RMB 1.92 billion, compared to RMB 1.62 billion in the same period last year[2]. - The total comprehensive income for the period amounted to RMB 124,919 million, a decrease from RMB 280,047 million in the previous period, representing a decline of approximately 55.4%[7]. - Profit attributable to equity holders of the company was RMB 94,063 million, down from RMB 282,255 million, indicating a decrease of about 66.7%[7]. - The net profit for the six months ended June 30, 2024, was RMB 123,029 thousand, compared to RMB 276,135 thousand for the same period in 2023, showing a significant decline[21]. - The company reported a net profit of approximately RMB 400 million from its real estate business in the first half of 2024[57]. - The group recorded revenue of approximately RMB 13.19 billion for the first half of 2024, a decrease of about 5.6% from RMB 13.97 billion in the same period of 2023[60]. Costs and Expenses - EBITDA for the six months ended June 30, 2024, was RMB 815 million, a decrease of 22.4% from RMB 1.05 billion in the previous year[3]. - The average selling price of steel products decreased due to weak downstream demand, impacting overall profitability[55]. - The production costs remained relatively high due to a greater decline in steel product prices compared to raw material prices[55]. - The total financial costs for the six months ended June 30, 2024, were RMB 272,819 thousand, slightly higher than RMB 269,682 thousand in the previous year[27]. Assets and Liabilities - The total assets as of June 30, 2024, amounted to RMB 52.21 billion, reflecting a 4.4% increase from RMB 50.03 billion at the end of 2023[3]. - The total liabilities increased to RMB 27,281,777 million from RMB 25,052,387 million, reflecting an increase of approximately 8.9%[9]. - The equity attributable to equity holders of the company was RMB 24,933,102 million, a slight decrease from RMB 24,977,785 million, indicating a decline of about 0.2%[9]. - The debt-to-capital ratio increased to 71.0% from 63.0% in the previous year, indicating a higher leverage position[3]. Cash Flow and Financing - Cash and cash equivalents at the end of the period were RMB 5,347,021 million, up from RMB 4,666,094 million, indicating an increase of approximately 14.6%[10]. - Net cash generated from operating activities was RMB 1,253,428 million, compared to RMB 598,770 million in the previous period, representing an increase of about 109.5%[10]. - The company reported a net cash inflow from financing activities of RMB 883,641 million, down from RMB 1,370,715 million, representing a decrease of approximately 35.7%[10]. Research and Development - Research and development expenses increased to RMB 192.68 million, up from RMB 167.24 million in the same period last year[5]. - The company plans to continue developing high-value-added products and expanding sales channels, focusing on H-beams, marine angle steel, and other products[67]. Market and Industry Outlook - The outlook for the steel industry indicates that downstream demand is expected to gradually improve in the second half of 2024, with no significant risk of a decline in overall steel consumption[66]. - The steel industry in China saw a 5.4% year-on-year increase in infrastructure investment, while real estate new construction area decreased by about 23.7%[54]. Corporate Governance and Compliance - The company acknowledges the importance of good corporate governance practices and has complied with the relevant codes during the reporting period[189]. - The audit committee, consisting of three independent non-executive directors, reviewed the group's interim consolidated financial statements for the six months ending June 30, 2024[192]. Employee and Operational Metrics - As of June 30, 2024, the group employed approximately 11,700 long-term employees and about 100 temporary workers[185]. - Employee costs include basic salaries and benefits, with a contribution of approximately 2.09% of employee wages to work injury insurance[186]. Investment Strategy and Performance - The company is focusing on expanding its private equity fund offerings, with several funds showing positive returns and fair value increases[120]. - The investment strategy includes a focus on companies with competitive advantages in their respective industries, such as real estate and steel[171][172].

Financial Performance - Revenue for 2023 decreased to RMB 46,260 million, down 5.0% from RMB 48,620 million in 2022[3] - Gross profit for 2023 was RMB 717 million, a significant decline of 59.1% compared to RMB 1,753 million in 2022[3] - EBITDA for 2023 dropped to RMB 1,279 million, down 45.7% from RMB 2,357 million in 2022[3] - The company reported a loss before income tax of RMB 315 million for 2023, compared to a profit of RMB 756 million in 2022[3] - Profit attributable to owners of the company for 2023 was a loss of RMB 160 million, a decrease from a profit of RMB 808 million in 2022[3] - The Group's overall net loss was approximately RMB 196 million, representing a decrease of approximately 124.2% compared to a net profit of RMB 811 million last year[39] - The adjusted profit for the year 2023 was approximately RMB 4.4 million, reflecting the company's resilient performance amid a challenging market environment[96] Sales and Production - Total sales volume of self-manufactured steel products in 2023 was 7,733,000 tonnes, an increase of 8.8% from 7,102,000 tonnes in 2022[12] - Revenue from self-manufactured steel products decreased by approximately 2.5% to RMB 27.51 billion in 2023, with export revenue contributing RMB 764 million[66][67] - The average selling price per tonne of self-manufactured steel products decreased to RMB 3,557 in 2023, down 10.5% from RMB 3,974 in 2022[17] - The average gross profit per tonne for self-manufactured steel products was RMB 50 in 2023, a decline of 70.1% from RMB 167 in 2022[20] - The Group sold approximately 3.60 million tonnes of self-manufactured H-section steel products, maintaining its leading position in the PRC H-section steel market since 2009[47] Cost Management and Efficiency - The Group has continued to reduce costs and improve efficiency, increase marketing promotion and investment in environmental protection, and strengthen product research and development[39] - The Group implemented a process cost reduction plan across procurement, logistics, and production to enhance cost efficiency amid a weak domestic steel market[47] Investments and Assets - The company made a provision of RMB 201 million for impairment of properties under development and held for sale, due to ongoing financial pressures in the real estate market[95] - The Group's net assets decreased slightly to RMB 24,978 million in 2023 from RMB 25,285 million in 2022[3] - As of December 31, 2023, the Group had unutilized banking facilities of approximately RMB13.9 billion, slightly up from RMB13.6 billion in 2022[104][106] Dividends and Shareholder Returns - The Group proposed a special dividend of HK$0.05 per ordinary share to celebrate its 20th anniversary of listing, considering the current challenges in the steel industry[43] - The Board proposed a special dividend of approximately HK$186 million (approximately RMB169 million), representing HK$0.05 per ordinary share for the year ended 31 December 2023[124] Market Outlook and Strategy - The Group anticipates that the business environment for the iron and steel industry will face uncertainties in 2024, but overall development trends are expected to gradually improve[83][85] - The Group plans to enhance core competitiveness by focusing on low carbon and energy consumption development, improving efficiency, and increasing the proportion of high value-added products[84][86] Financial Assets and Investments - The Group's financial strategy includes entering into futures or options contracts to mitigate price volatility of steel products and iron ore[127] - The financial assets at fair value through profit or loss reflect the Group's strategy in managing investment risks and returns effectively[146] - The overall performance of the financial investment products indicates a mixed outcome, with both realized and unrealized losses affecting the group's financial health[148]

Financial Performance - Revenue rose by 7.2% to RMB 79.3 billion, with a decline in revenue from self-produced steel products by 2.5% to RMB 27.51 billion[2] - EBITDA decreased by 45.7% to RMB 1.279 billion, with an EBITDA margin dropping to 2.8% from 4.8%[3] - The company reported a net loss attributable to equity holders of RMB 1.60 billion, a decline of 119.8% compared to a profit of RMB 808 million in the previous year[3] - The total comprehensive loss for the year amounted to RMB (190,714) thousand, compared to a total comprehensive income of RMB 834,134 thousand in the previous year[7] - The company reported a loss before tax of RMB 314,571,000 for the year ended December 31, 2023, compared to a profit of RMB 755,731,000 for the year ended December 31, 2022, indicating a significant decline in performance[40] - The company reported a net loss for the year of RMB (196,212) thousand, compared to a profit of RMB 811,355 thousand in the previous year[20] - The adjusted annual profit for 2023 was approximately RMB 4.4 million, reflecting the group's resilience in a challenging market environment[86] - The company reported an adjusted annual profit of RMB 4.44 million for the year ended December 31, 2023, compared to RMB 512.56 million in 2022, reflecting a significant decline[87] Production and Sales - Steel production volume increased by 8.9% to 7.73 million tons, while trading volume decreased by 33.3% to 200,000 tons[2] - The total sales volume for 2023 was 7.733 million tons, an increase of approximately 8.9% compared to 2022[76] - The company sold approximately 3.6 million tons of self-produced H-beam products in 2023, maintaining its leadership position in the Chinese H-beam market since 2009[72] - Sales of H-beam products amounted to RMB 12,946,577 thousand, down from RMB 15,409,767 thousand in the previous year, reflecting a decrease of about 16.0%[18] - The steel segment generated revenue of RMB 46,013,691 thousand, while the real estate segment contributed RMB 246,047 thousand, resulting in a total operating loss of RMB 112,477 thousand for the year[20] Assets and Liabilities - The total assets increased by 4.2% to RMB 50.03 billion, while the debt-to-capital ratio rose to 63.0% from 56.7%[3] - Current assets increased to RMB 27,948,717 thousand from RMB 25,312,357 thousand year-on-year, indicating a growth of approximately 10%[8] - The company's cash and cash equivalents rose to RMB 3,618,030 thousand, up from RMB 2,124,697 thousand, reflecting a significant increase of 70%[8] - Total liabilities increased to RMB 25,052,387 thousand from RMB 22,738,943 thousand, representing an increase of approximately 10.2%[9] - The company's long-term borrowings rose to RMB 13,089,962 thousand from RMB 12,116,624 thousand, indicating an increase of about 8%[9] - The equity attributable to the company's equity holders decreased to RMB 24,977,785 thousand from RMB 25,284,647 thousand year-on-year[9] Dividends and Shareholder Returns - The company declared a special dividend of HKD 0.05 per share, an increase of 66.7% from the previous year[3] - The company proposed a special dividend of approximately RMB 168,815,000 for the year ended December 31, 2023, which is pending approval at the upcoming annual general meeting[44] - The company plans to distribute a special dividend of HKD 0.05 per ordinary share for the year 2023, celebrating its 20th anniversary of listing[72] Research and Development - Research and development expenses increased slightly to RMB 353.9 million, compared to RMB 345.9 million in the previous year[5] - The company incurred research and development expenses of RMB 51,516,000 for the year ended December 31, 2023, down from RMB 67,830,000 in 2022, reflecting a reduction in R&D investment[40] Market Conditions and Future Outlook - The steel industry in China is expected to maintain a dynamic balance in supply and demand, with fixed asset investment remaining stable and economic benefits significantly improving in 2023[71] - The company plans to continue focusing on the steel manufacturing and trading business while evaluating opportunities for market expansion and potential acquisitions[16] - The company aims to enhance operational efficiency and sustainability through cost reduction, marketing promotion, and increased investment in environmental protection and product R&D[71] - The steel industry is expected to face uncertainties in 2024, but the group anticipates a gradual improvement in the overall development trend[82] Financial Costs and Taxation - The total financial costs decreased to RMB (425,060) thousand in 2023 from RMB (559,673) thousand in 2022, showing a reduction of 24%[34] - The current income tax expense for the year was RMB 70,480 thousand, down from RMB 178,141 thousand in 2022, representing a decrease of 60.5%[35] - The effective tax rate for the group was calculated at 33.29% for the year ended December 31, 2023, compared to 18.63% in 2022, reflecting changes in tax regulations and profitability[39] Impairments and Provisions - The impairment provision for property, plant, and equipment was RMB (249,842) thousand in 2023, compared to RMB (166,893) thousand in 2022, reflecting a significant increase in impairment[33] - The group has made a provision of RMB 201 million for impairment of receivables related to properties under development and for sale in China's second-tier and lower cities due to ongoing financial pressures in the real estate market[85] Investment Strategy - The company is focusing on investments in emerging industries with high growth potential, such as new generation information technology and high-end equipment manufacturing[150] - The investment strategy includes a macro-hedging approach based on comprehensive economic analysis and evaluation of supply and demand conditions for various commodities[149] - The company aims to maximize expected returns while controlling risks through quantitative investment strategies, including statistical arbitrage and hedging[151]