SITC(01308)2023-03-16 12:01Financial Performance - The company's revenue for 2022 was 3,012,447 thousand in 2021[6]. - Profit attributable to shareholders increased by 67.2% to 1,162,714 thousand in the previous year[6]. - Basic earnings per share rose by 65.9% to 0.44 in 2021[6]. - The net cash flow from operating activities was 1,335,209 thousand in 2021[6]. - Total revenue increased by approximately 36.5% from 4,113.0 million in 2022, driven by growth in container shipping and extended logistics services[24]. - Gross profit increased from 1,979.1 million in 2022, with the gross margin improving from approximately 43.8% to 48.1%[24]. - The company's net profit attributable to shareholders for 2022 was 1,162,714,000 in 2021, representing an increase of approximately 72%[10]. - The group's net profit for the year ended December 31, 2022, was approximately 1,167.2 million in 2021[29]. Operational Highlights - The number of container vessels operated at year-end increased to 108 from 96, marking a growth of 12 vessels[6]. - Container throughput for container shipping and extended logistics reached 3,261,939 TEUs, an increase of 119,821 TEUs from 3,142,118 TEUs in 2021[6]. - The company delivered a total of 20 new vessels in 2022, bringing the total fleet capacity to 162,701 TEUs by the end of the year[18]. - The company operates a total of 75 trade routes, including 14 routes through joint services and 23 routes through container swap arrangements[18]. - The company successfully completed the first voyage of the SITC "Europe-Dalian-Japan" rail-sea intermodal transport channel in June 2022[13]. Strategic Initiatives - In 2022, the company launched a new LNG-powered container ship, MV Tiger Longkou, which commenced its maiden voyage on the Japan-China route[12]. - A strategic cooperation agreement was signed with Hisense Group and Guangzhou Port Group to enhance supply chain competitiveness[13]. - The company aims to expand its service network and optimize its unique business model to become a world-class integrated logistics service provider[19]. - The company plans to continue seeking low-cost development opportunities and expand its fleet in response to market conditions[19]. Market and Economic Outlook - The global economic growth momentum is expected to be insufficient in 2023, with significant challenges anticipated in the container shipping industry due to increased vessel capacity deliveries[21]. - The International Monetary Fund and the Asian Development Bank forecast a 4.9% economic growth for the Asian market in 2023, driven by adjustments in China's pandemic policies and overall economic recovery[22]. Financial Position - The company's total equity attributable to shareholders was 1,501,687 thousand in 2021[6]. - Current assets net value increased by 85.1% to 400,084 thousand in 2021[6]. - The total assets of the group increased by approximately 13.5% to about 2,716.4 million as of December 31, 2021[37]. - The group had cash and cash equivalents of approximately $981.5 million as of December 31, 2022[37]. Risk Management - The company has established a risk management organization covering various branches of the board, with a mechanism for regular strategic risk seminars held at least once a year[88]. - The company identified a significant new risk related to "bank credit risk" and implemented preventive measures[88]. - The company has strengthened its operational risk management by enforcing strict compliance with safety management systems for hazardous materials transportation[89]. Corporate Governance - The board consists of nine directors, including five executive directors, one non-executive director, and three independent non-executive directors[96]. - The company has maintained compliance with all corporate governance standards as per the listing rules throughout the year ending December 31, 2022[96]. - The independent non-executive directors have confirmed their independence in accordance with the listing rules[98]. - The company has established mechanisms to ensure that the board can obtain independent advice and resources necessary for fulfilling their duties[98]. Sustainability and Social Responsibility - The company is committed to environmental sustainability, adhering to the IMO 2020 convention and local environmental regulations regarding low-sulfur fuel usage[92]. - The company has implemented a comprehensive internal control system, conducting regular audits and updating management policies to mitigate risks of fraud and corruption[91]. - The company made charitable donations and other contributions totaling approximately USD 1.246 million during the year[57]. Shareholder Information - The proposed final dividend is HKD 1.60 per share, equivalent to USD 0.20, subject to shareholder approval at the annual general meeting[39]. - The company will suspend share transfer registration from April 28, 2023, to May 4, 2023, to determine eligibility for the proposed final dividend[57]. - The company emphasizes effective communication with shareholders to enhance investor relations and understanding of business performance and strategies[118].