九兴控股(01836) - 2024 - 中期业绩

Financial Performance - Revenue grew by 7.5% to $770 million[2] - Adjusted net profit rose by 54.1$92.9 million[2] - Total comprehensive income for the period amounted to $91.9 million, compared to$55.7 million in the previous year[5] - Basic earnings per share increased to 11.5 cents from 7.0 cents year-on-year[5] - The group acquired property, plant, and equipment amounting to $27,434,000 for the six months ended June 30, 2024, up from$22,803,000 in the same period of 2023, an increase of 20.5%[30] - The operating profit before fair value changes of financial instruments was $99,052 thousand, with a net fair value loss of$1,369 thousand, resulting in an operating profit after fair value changes of $97,683 thousand[24] - The company reported a pre-tax profit of$105,393 thousand for the six months ended June 30, 2024[24] - The cost of goods sold for the six months ended June 30, 2024, was $572,005 thousand, compared to$546,018 thousand for the same period in 2023, indicating an increase of approximately 4.8%[24] - Operating profit surged by 52.9% to $99.1 million, resulting in an operating margin of 12.9$91.5 million, significantly higher than $55.2 million in the prior year, with adjusted net profit at$92.9 million, up from $60.3 million[46] Cash Flow and Liquidity - Strong net cash position of$326.1 million, compared to $162.5 million as of June 30, 2023[2] - Operating cash flow before tax profit increased to$105,393 thousand in the first half of 2024, up from $63,453 thousand in the same period of 2023, representing a growth of 66.4$99,178 thousand, significantly higher than $28,246 thousand in the previous year, indicating a year-over-year increase of 250.5$40,680 thousand, compared to a decrease of $38,520 thousand in the same period last year, showing a positive turnaround[9] - Total cash and cash equivalents at the end of the period stood at$334,585 thousand, up from $173,519 thousand in the previous year, reflecting a growth of 92.7$68,323 thousand, down from $75,526 thousand in the previous year[9] - The company's net cash position improved to$326.1 million as of June 30, 2024, compared to $162.5 million a year earlier, with$140 million reserved for new factory projects[47] Dividends and Shareholder Returns - Declared interim dividend of HK$0.65 per share, with a payout ratio of approximately 71.5$180 million to shareholders over the next three years through a combination of share buybacks and special dividends[2] - The company declared a final dividend of 61 HK cents per ordinary share, amounting to approximately $63,415 thousand, compared to 45 HK cents per share in the same period of 2023[27] - The board declared an interim dividend of HKD 0.65 per share, consistent with a long-term payout ratio of 70$28.3 per pair due to a higher proportion of lower-priced athletic products[43] - The company is focusing on expanding high-margin product capacity, starting with a new factory in Solo, Indonesia, to enhance production flexibility[35] - The company is enhancing production capacity in its new factory in Solo, Indonesia, and is also focused on increasing capacity in Bangladesh starting in 2023[39] - The company plans to optimize its product mix, with non-sport product factories operating near capacity in the second half of 2024[50] Employee and Governance - As of June 30, 2024, the company had approximately 42,100 direct employees, an increase from about 39,900 on December 31, 2023[58] - The total number of employees, including indirect hires, was approximately 63,510[58] - The company has implemented long-term incentive and share reward plans to recognize and retain employees[58] - The company emphasizes attracting, training, and retaining passionate talent as a key asset for its development and expansion[58] - The company adhered to the corporate governance code and complied with all provisions during the reporting period[61] - The governance model combines corporate governance with business governance to create long-term value for the group[62] Financial Position - Total assets for the manufacturing segment increased to $1,367,338 thousand as of June 30, 2024, from$1,315,496 thousand as of December 31, 2023[21] - The company’s total liabilities increased to $301,607 thousand as of June 30, 2024, from$292,237 thousand as of June 30, 2023[19] - The company reported a fair value loss of $1,364,000 on financial assets for the six months ended June 30, 2024, compared to a loss of$5,056,000 for the same period in 2023[34] - Interest income for the six months ended June 30, 2024, was $8,094 thousand, while interest expenses were$384 thousand[24] - The company has not reported any supplier financing arrangements, indicating no impact from recent accounting standard revisions on its financial position[13] Sustainability and ESG - The company's MSCI ESG rating was upgraded from "B" to "A", reflecting improved sustainability practices and transparency[48]