Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 11,835,893, a decrease of 3.0% compared to RMB 12,204,605 in 2023[15]. - Gross profit margin improved to 33.3% in 2024 from 31.0% in 2023[15]. - Operating profit increased by 11.4% to RMB 1,895,891 from RMB 1,701,681 in the previous year[15]. - Profit attributable to shareholders rose by 14.9% to RMB 1,408,992 compared to RMB 1,225,768 in 2023[15]. - Basic and diluted earnings per share increased to RMB 1.234 from RMB 1.055 in 2023[15]. - Profit for the period increased to RMB 1,403,267,000 in 2024 from RMB 1,226,901,000 in 2023, representing a growth of approximately 14.4%[25]. - Total comprehensive income for the period was RMB 1,421,713,000 in 2024, up from RMB 1,302,471,000 in 2023, reflecting a growth of approximately 9.1%[25]. - The company reported a significant increase in borrowings, with proceeds from borrowings amounting to RMB 19,487,199 in 2024, up from RMB 13,535,887 in 2023, marking an increase of about 43.8%[38]. - The company paid dividends of RMB 797,245 in 2024, slightly down from RMB 813,485 in 2023, a decrease of about 2.0%[38]. Assets and Liabilities - Total assets increased to RMB 46,430,098,000 as of June 30, 2024, compared to RMB 40,215,901,000 at the end of 2023, marking a rise of about 15.5%[30]. - Cash and bank balances rose significantly to RMB 21,023,706,000 in 2024 from RMB 18,189,943,000 in 2023, an increase of approximately 10.1%[30]. - Non-current assets grew to RMB 17,242,475,000 in 2024, up from RMB 13,405,939,000 in 2023, indicating a growth of around 28.0%[28]. - Borrowings increased substantially to RMB 18,258,004,000 in 2024 from RMB 13,907,195,000 in 2023, reflecting a rise of approximately 31.5%[30]. - The Group's total liabilities as of June 30, 2024, were RMB 25,361,328,000, with borrowings constituting RMB 20,670,121,000[103]. Cash Flow and Investments - Cash generated from operations for the first half of 2024 was RMB 1,942,392, down from RMB 2,298,556 in 2023, indicating a decrease of about 15.6%[34]. - Net cash generated from operating activities was RMB 1,558,348, compared to RMB 1,938,954 in the previous year, reflecting a decline of approximately 19.6%[34]. - The net cash used in investing activities was RMB 6,520,453, compared to RMB 2,709,232 in the previous year, indicating a significant increase in cash outflow for investments[34]. - Long-term bank time deposits surged to RMB 5,051,445,000 from RMB 1,438,163,000, representing a significant increase of about 251.5%[142]. - Total cash and bank balances reached RMB 26,075,451,000, compared to RMB 19,628,406,000, indicating a growth of approximately 32.9%[142]. Segment Performance - The Group's total revenue for the six months ended June 30, 2024, was RMB 11,835,893,000, with segment revenues of RMB 3,146,946,000 from sanitary napkin products, RMB 711,624,000 from disposable diaper products, and RMB 6,950,578,000 from tissue paper products[103]. - The Group's segment profit for sanitary napkin products was RMB 1,157,207,000, while disposable diaper products and tissue paper products reported segment profits of RMB 165,432,000 and RMB 29,773,000, respectively[103]. - The total sales of Hengan's three core business segments (tissue paper, sanitary napkins, and disposable diapers) recorded a year-on-year decline of approximately 2.2%, which was better than the overall market decline[199]. Market and Strategic Focus - The company continues to focus on consumer and market needs to enhance brand image and corporate culture[3]. - Hengan International aims to become a global top-tier supplier of daily products through innovation and effective management[3]. - Hengan's market share maintained a leading position in the industry despite fierce competition and aggressive price reductions from both domestic and foreign brands[199]. - The company expanded its market share through effective price stabilization strategies and product line upgrades, tapping into the demand for high-quality personal care products[199]. Financial Management and Risks - The Group's financial risk management policies have not changed since the last year end, and it continues to face various financial risks including market risk, credit risk, and liquidity risk[63][64]. - The Group assessed the adoption of new and amended accounting standards and concluded that they did not have a significant impact on the interim results and financial position[51][54]. - The Group's significant judgements and key sources of estimation uncertainty remain consistent with those applied in the consolidated financial statements for the year ended December 31, 2023[62]. Shareholder Information - Basic earnings per share for the six months ended June 30, 2024, was RMB 1.234, up from RMB 1.055 in 2023, reflecting a growth of 16.9%[117]. - The interim dividend proposed is RMB 0.70 per share, totaling RMB 813,485,000, consistent with the interim dividend of RMB 0.70 per share in 2023[122]. - The total share capital remained unchanged at 1,162,120,917 shares, with a value of RMB 123,345,000 as of June 30, 2024[160].
恒安国际(01044) - 2024 - 中期财报