Workflow
理文化工(00746) - 2022 - 中期财报
00746L & M CHEMICAL(00746)2022-08-16 08:55

Financial Performance - Revenue for the six months ended June 30, 2022, was HK3,250,758,000,anincreaseof433,250,758,000, an increase of 43% compared to HK2,271,500,000 for the same period in 2021[10] - Gross profit for the period was HK1,441,404,000,representingagrossmarginofapproximately44.31,441,404,000, representing a gross margin of approximately 44.3%[10] - Profit before taxation increased to HK1,047,296,000, up 49% from HK703,794,000inthepreviousyear[10]−ProfitfortheperiodreachedHK703,794,000 in the previous year[10] - Profit for the period reached HK891,329,000, a 52% increase compared to HK587,028,000inthepriorperiod[10]−Basicearningspersharewere108.0HKcents,comparedto71.2HKcentsforthesameperiodlastyear[10]−TotalcomprehensiveincomefortheperiodwasHK587,028,000 in the prior period[10] - Basic earnings per share were 108.0 HK cents, compared to 71.2 HK cents for the same period last year[10] - Total comprehensive income for the period was HK661,950,000, slightly down from HK690,477,000inthepreviousyear[10]−ThecompanyreportedotherincomeofHK690,477,000 in the previous year[10] - The company reported other income of HK37,057,000, down from HK40,486,000inthepreviousyear[10]AssetsandLiabilities−AsofJune30,2022,totalassetslesscurrentliabilitiesamountedtoHK40,486,000 in the previous year[10] Assets and Liabilities - As of June 30, 2022, total assets less current liabilities amounted to HK6,374,871,000, an increase from HK6,279,266,000asofDecember31,2021,reflectingagrowthofapproximately1.56,279,266,000 as of December 31, 2021, reflecting a growth of approximately 1.5%[12] - Net current assets increased significantly to HK1,121,078,000 from HK807,245,000,representingagrowthofapproximately38.8807,245,000, representing a growth of approximately 38.8%[12] - The company's bank borrowings decreased to HK329,134,000 from HK600,205,000,areductionofapproximately45600,205,000, a reduction of approximately 45%[12] - Total equity rose to HK5,980,939,000, up from HK5,574,930,000,indicatinganincreaseofabout7.35,574,930,000, indicating an increase of about 7.3%[12] - Trade and other payables decreased to HK537,182,000 from HK613,221,000,adeclineofapproximately12.4613,221,000, a decline of approximately 12.4%[12] - Deferred tax liabilities decreased to HK39,111,000 from HK65,876,000,areductionofapproximately40.565,876,000, a reduction of approximately 40.5%[12] Cash Flow and Investments - For the six months ended June 30, 2022, the net cash from operating activities was HK881,817,000, an increase from HK674,829,000inthesameperiodof2021,representingagrowthofapproximately30.7674,829,000 in the same period of 2021, representing a growth of approximately 30.7%[19] - The net cash used in investing activities was HK283,943,000, a decrease from HK397,945,000inthepreviousyear,indicatingimprovedcashmanagementininvestments[19]−Thecompanymadepaymentsforthepurchaseofproperty,plant,andequipmenttotalingHK397,945,000 in the previous year, indicating improved cash management in investments[19] - The company made payments for the purchase of property, plant, and equipment totaling HK129,570,000, down from HK228,276,000inthepreviousyear,showingareductionincapitalexpenditure[19]−Thecompanyacquiredproperty,plant,andequipmenttotalingHK228,276,000 in the previous year, showing a reduction in capital expenditure[19] - The company acquired property, plant, and equipment totaling HK310,431,000 for the six months ended June 30, 2022, compared to HK125,225,000forthesameperiodin2021[70]RevenueSegmentation−TherevenuefromthemanufactureandsaleofchemicalproductswasHK125,225,000 for the same period in 2021[70] Revenue Segmentation - The revenue from the manufacture and sale of chemical products was HK3,224,035,000, up from HK2,110,983,000,representinga532,110,983,000, representing a 53% increase year-on-year[31] - The revenue from chloromethane products reached HK944,987,000, a 59% increase compared to HK594,627,000inthepreviousyear[31]−Thecompanyreportedasignificantincreaseinrevenuefromlithium−ionbatteryadditives,generatingHK594,627,000 in the previous year[31] - The company reported a significant increase in revenue from lithium-ion battery additives, generating HK26,230,000, compared to no revenue in the same period last year[31] - The Group's revenue is recognized at a point in time, with normal credit terms ranging from 7 to 60 days upon delivery[31] Shareholder Returns - The company paid dividends totaling HK264,000,000duringtheperiod,comparedtoHK264,000,000 during the period, compared to HK136,125,000 in the same period last year, reflecting a significant increase in shareholder returns[19] - The Group declared an interim dividend of HK0.38pershare,upfromHK0.38 per share, up from HK0.26 per share in the previous year, marking a 46.2% increase[54] Research and Development - Research and development costs amounted to HK120,039,000,comparedtoHK120,039,000, compared to HK94,137,000 in the same period last year, indicating increased investment in innovation[10] - The Group aims to strengthen investment in polymer materials and expand its footprint in the lithium battery supply chain[91] Corporate Governance - The company has complied with the Corporate Governance Code throughout the six months ended June 30, 2022[116] - The Audit Committee has reviewed the group's results for the six months ended June 30, 2022, discussing accounting principles and internal controls[119] - The company established a Remuneration Committee comprising independent non-executive directors to oversee remuneration matters[120] Market Outlook - The board is optimistic about future growth and plans to continue expanding its market presence and product offerings[9] - The Group aims to expand its footprint in the lithium battery product supply chain while consolidating its core business[87]