Financial Performance - Total revenue for the year reached HKD 12,949.8 million, an increase of 25.2% compared to HKD 10,345.5 million in the previous year[6]. - Net profit attributable to shareholders was HKD 2,977.1 million, reflecting an 11.8% increase from HKD 2,662.1 million in the prior year[6]. - Basic earnings per share rose to HKD 1.17, up 11.9% from HKD 1.06 in the previous year[6]. - The group's total revenue increased significantly by 25.2% to HKD 12,949,800,000 for the year ended March 31, 2022, compared to HKD 10,345,500,000 in the previous year[20]. - The core business segments, "Urban Water Supply Operations and Construction" and "Environmental Protection," achieved a combined revenue of HKD 11,597,900,000, reflecting a stable growth of 19.0% from HKD 9,749,200,000[20]. - The urban water supply segment generated revenue of HKD 10,347,100,000, marking a growth of 21.1% from HKD 8,544,000,000[21]. - The environmental business segment reported a revenue of HKD 1,250.8 million, showing a growth of 10.4% from HKD 1,125.0 million[12]. Assets and Liabilities - The total asset value increased to HKD 57,064.4 million, a growth of 21.3% from HKD 47,038.0 million[6]. - The total liabilities amounted to HKD 36,581.7 million, representing a 21.6% increase from HKD 30,088.0 million[6]. - The group has an outstanding loan amount of HKD 21,863,500,000 as of March 31, 2022, an increase from HKD 18,428,900,000 the previous year, primarily due to capital expenditures and debt repayment[28]. - The capital debt ratio stands at 64.1% as of March 31, 2022, slightly up from 64.0% in the previous year[28]. Dividends - The company declared a total dividend of HKD 0.34 per share, an increase of 9.7% from HKD 0.31 in the previous year[6]. - The board proposed a final dividend of HKD 0.18 per share, bringing the total dividend for the year to HKD 0.34 per share, compared to HKD 0.31 in the previous year[17]. Growth and Market Strategy - The group aims to become the leading integrated operator in water supply and environmental services in China, targeting a potential service population of over 30 million across approximately 70 counties and cities[18]. - The group anticipates significant growth potential in the water services sector due to ongoing urbanization and economic growth, with expectations for substantial increases in water fees and consumption[18]. - The group plans to upgrade its pipeline drinking water service as one of its dual core businesses, aiming to enhance service quality and meet the public's demand for improved living standards[25]. - The group aims to leverage policy benefits and market opportunities to achieve sustainable and high-quality development while enhancing revenue and profitability[25]. Corporate Governance - The company reported a commitment to maintaining high standards of corporate governance to enhance shareholder value[41]. - The board of directors has reviewed its governance practices to meet increasing regulatory requirements and shareholder expectations[41]. - The company has established a corporate governance policy to guide the effective application of governance principles[41]. - The board believes that the continuity of leadership is crucial for the successful implementation of long-term business plans[41]. - The company has a policy that one-third of directors must retire at each annual general meeting, although the chairman is exempt from this rule[41]. Risk Management - The risk management and internal control systems are designed to manage risks rather than eliminate them, providing reasonable assurance against material misstatements[56]. - The board has established a framework for risk management, determining the nature and extent of risks acceptable to achieve strategic objectives[57]. - The company identifies operational and liquidity risks as significant factors that could impact financial performance and business outlook[69]. Environmental and Social Responsibility - The company has implemented energy-saving measures, including upgrading older water plants and introducing new technologies to reduce energy consumption[75]. - The company prioritizes the use of clean energy, installing solar power systems to reduce energy consumption on site[75]. - The company has a robust waste management system in place, ensuring compliance with environmental standards for waste disposal[75]. Financial Reporting and Compliance - The independent auditor confirmed that the financial statements reflect the group's financial position as of March 31, 2022, and its performance for the year ended on that date[109]. - The audit report confirmed that there were no significant misstatements in the financial statements, ensuring the reliability of the reported figures[123]. - The company has maintained compliance with relevant laws and regulations, ensuring no significant violations reported during the year[76]. Employee and Management - The group employs approximately 11,000 staff members, with compensation based on various factors including experience and performance[29]. - The company has a strong management team with extensive experience in finance and corporate governance[40]. - The employee compensation policy is based on performance, qualifications, and market data, ensuring alignment with the company's operational performance[96].
中国水务(00855) - 2022 - 年度财报