Financial Performance - Total revenue for the year ended December 31, 2024, was RMB 22,669,215, a decrease of 4.6% compared to RMB 23,767,936 in 2023[3] - Operating profit decreased by 15.7% to RMB 3,354,591 from RMB 3,977,931 in the previous year[3] - Profit attributable to equity holders of the company was RMB 2,298,535, down 17.9% from RMB 2,800,533 in 2023[3] - Basic and diluted earnings per share decreased by 16.6% to RMB 2.015 from RMB 2.415 in the previous year[3] - The gross profit margin decreased to 32.3% from 33.7% in 2023[3] - The group reported total revenue of RMB 22,669,215 thousand for the year 2024, with a breakdown of RMB 5,677,965 thousand from sanitary napkin products, RMB 1,260,631 thousand from diaper products, RMB 13,422,445 thousand from tissue products, and RMB 2,308,174 thousand from other categories[20] - The group's operating profit for the year was RMB 3,354,591 thousand, with a pre-tax profit of RMB 2,971,791 thousand and a net profit attributable to equity holders of RMB 2,298,535 thousand[20] - The group achieved a total profit of RMB 2,296,604 thousand for the year, after accounting for income tax expenses of RMB 675,187 thousand[20] Assets and Liabilities - Total assets decreased to RMB 39,804,411 from RMB 40,215,901 in 2023[9] - Total liabilities decreased to RMB 18,658,830 from RMB 19,586,050 in the previous year[11] - Cash and bank deposits decreased to RMB 14,261,723 from RMB 18,189,943 in 2023[9] - The group’s total liabilities were RMB 19,586,050 thousand in 2023, compared to RMB 18,658,830 thousand in 2024, showing an increase of about 5%[26] - The total assets as of December 31, 2023, amounted to RMB 40,215,901 thousand, a decrease from RMB 39,804,411 thousand in 2024, reflecting a reduction of approximately 2.5%[26] Dividends - The company proposed a final dividend of RMB 0.70 per share, unchanged from the previous year[3] - The board declared a final dividend of RMB 0.70 per share, maintaining a stable total dividend payout of RMB 1,626,970,000[53] - The total dividend payout for the year was RMB 1,626,970,000, unchanged from the previous year[40] Sales and Revenue Breakdown - The sales revenue from the sanitary napkin business recorded a decline of about 8.1% to approximately RMB 5,677,965,000, accounting for about 25.0% of total revenue[55] - The sales revenue for the tissue business decreased by approximately 2.4% to about RMB 13.42 billion in 2024, down from RMB 13.75 billion in 2023, primarily due to increased promotional expenses exceeding 10% and a significant drop in raw paper sales by over 26%[59] - The wet wipes business recorded a significant revenue increase of 30.7% to approximately RMB 1.22 billion in 2024, up from RMB 931 million in 2023, capturing about 9.1% of the tissue business sales[63] - The diaper business sales rose by approximately 0.5% to about RMB 1,260,631,000, accounting for about 5.6% of total revenue[67] Market and Sales Strategy - E-commerce and new retail sales accounted for approximately 34.1% of total sales, up from 30.1% in 2023, with a year-on-year sales growth of about 8.0%[51] - The company plans to continue its multi-channel sales strategy and brand optimization, expecting stable revenue in 2025[50] - The company is focusing on high-quality personal care products and expanding its market presence through e-commerce and new retail channels[50] - The company plans to expand its new retail channel share and develop high-quality products while maintaining stable pricing to promote long-term growth and solidify its leading position[58] - The company aims to enhance its market leadership in tissue and hygiene products while focusing on three main business areas: tissue, sanitary napkins, and diapers, to improve brand image and seize opportunities in the "new retail" era[107] Research and Development - The group’s research and development expenses decreased to RMB 209,638 thousand in 2024 from RMB 339,836 thousand in 2023, a reduction of about 38%[29] Financial Management - Financial expenses totaled RMB 567,859,000 in 2024, a decrease of 14.2% from RMB 661,562,000 in 2023[31] - Income tax expenses amounted to RMB 675,187,000 in 2024, down 15.4% from RMB 798,000,000 in 2023[33] - The group recorded an operating foreign exchange loss of approximately RMB 170 million, similar to RMB 180 million in the previous year, primarily due to the depreciation of the RMB against the USD and HKD[80] Corporate Governance and ESG - The company emphasizes the importance of corporate governance and has adhered to the principles of the corporate governance code as per the Hong Kong Stock Exchange, with a commitment to high standards of accountability and transparency[116] - The company achieved an ESG rating upgrade to "A" in 2024 and was included in the Hang Seng Sustainable Development Corporate Benchmark Index for the first time[89] - The company has established a four-tier ESG governance structure to ensure stakeholder value creation and social responsibility[90] - The company is committed to sustainable supply chain practices and has implemented a supplier behavior code to promote ESG performance among suppliers[101] Employee and Operational Efficiency - The group employed approximately 24,000 staff members as of December 31, 2024, with a focus on improving employee compensation and efficiency[83] - The total training hours for employees exceeded 480,000 hours, with 125 individuals promoted to management positions[98] - The company will continue to invest in building a professional and youthful team to improve execution efficiency and operational strategies[107] Future Outlook - The company plans to expand production capacity and upgrade technology in various regions, including establishing a new hygiene product base in Fujian and expanding tissue production capacity in Hunan and Guangdong, with some new capacity expected to be operational by 2025[107] - The company plans to maintain stable pricing strategies amidst ongoing competitive pressures in the domestic hygiene products market in 2025[104] - The company aims to enhance its gross margin by controlling promotional expenses and increasing the proportion of high-end products[104]
恒安国际(01044) - 2024 - 年度业绩