Financial Performance - Adjusted EBITDA for the reporting year was USD 130.7 million, a decrease of 25.7% from USD 175.9 million in 2021[16]. - Profit before tax for the year was USD 25.4 million, a decline of 76.2% compared to the previous year[17]. - The company recorded a loss of USD 23.4 million from changes in the fair value of biological assets, an increase of 107.1% from USD 11.3 million in 2021[20]. - Gross profit decreased to USD 130.7 million, primarily due to a 7.4% decline in the average selling price of raw milk to USD 688 per ton[16]. - Profit for the year fell by 77.6% to USD 23.4 million, compared to USD 104.6 million in 2021, reflecting the challenging operating environment[84]. - The Group's total gross profit margin decreased to 23.2% in 2022 from 33.7% in 2021, reflecting the impact of lower raw milk prices and increased feed costs[169][170]. Revenue and Sales - AustAsia achieved a solid revenue growth of 7.8% in 2022, reaching approximately $563 million, primarily driven by a 20.9% increase in raw milk sales volume compared to 2021[34]. - In 2022, the company's revenue increased by 7.8% to USD 562.8 million, compared to USD 521.9 million in 2021[78]. - Revenue from raw milk sales rose by 12.0% year-on-year to USD 490.5 million, up from USD 438.0 million in 2021[141]. - Revenue from the beef cattle business accounted for 9.9% of total revenue, reaching USD 55.7 million, representing a 10.3% increase compared to 2021[119]. - Revenue from ancillary businesses decreased significantly to approximately USD 16.6 million in 2022, down from USD 33.4 million in 2021, primarily due to COVID-19 related lockdowns[130]. Production and Operations - The Group's raw milk production volume and sales volume reached the highest level in its history in 2022, solidifying its position as the 3rd largest raw milk producer in China's dairy farm operating industry according to Frost & Sullivan[34]. - The average milk yield (AMY) per milkable cow reached 13.3 tons in 2022, maintaining the top rank for 8 consecutive years in terms of operational efficiency[36]. - The herd size of dairy cows increased by 11.1% to 117,950 heads in 2022, up from 106,174 heads in 2021[79]. - The herd size of beef cattle grew by 16.5% to 29,615 heads in 2022, compared to 25,414 heads in 2021[79]. - The total volume of beef cattle sold was 11,338 tons, representing a 22.1% increase in sales volume[119]. Costs and Expenses - Finance costs increased to USD 32.5 million, representing a year-over-year increase of 50.3% from USD 21.6 million in 2021[13]. - Other expenses rose to USD 6.8 million, a significant increase of 386% from USD 1.4 million in 2021, mainly due to foreign exchange losses[12]. - Feed costs per kilogram of raw milk increased by 16% to RMB 2.44 in 2022, compared to RMB 2.10 in 2021, contributing to the decline in gross profit[83]. - Direct feed costs increased by 34.7% from USD 202.7 million in 2021 to USD 273.0 million in 2022[112]. - The cost of sales increased by 12.0% from USD 438.0 million in 2021 to USD 490.5 million in 2022[112]. Sustainability and Environmental Impact - The company aims to minimize its environmental impact and has set medium to long-term sustainability targets, focusing on improving operational efficiency and reducing GHG emissions per ton of raw milk produced[45]. - AustAsia is committed to exploring new technologies and facilities to increase resource usage efficiency and waste management, including the potential use of green energy for production activities[45]. - In 2022, AustAsia signed a 5-year sustainability-linked club loan of RMB1.05 billion to finance the construction of two new dairy farms in Dezhou, Shandong[49]. - AustAsia signed contracts for 1 photovoltaic power generation project and 4 biogas power generation projects in 2022 to optimize energy structure and reduce GHG emissions[47]. Financing and Investments - Net cash flows used in investing activities amounted to USD 167.3 million, primarily due to payments for biological assets of USD 170.7 million and property, plant, and equipment of USD 92.4 million[9]. - The Group's interest-bearing borrowings increased to USD311.9 million in 2022 from USD267.98 million in 2021, reflecting the need for additional financing[184]. - Net cash flows generated from financing activities were USD44.5 million, driven by new bank borrowings of USD163.7 million and gross proceeds from an IPO of USD25.2 million[187]. - The Group anticipates funding needs related to Pure Source Farm 3, which is set to commence operations in 2023[192]. Market Trends and Challenges - The dairy farming industry in China faced significant pressure from rising feed costs due to global price increases, impacting profit margins[98][101]. - Imported milk products in China saw an 18% decline in volume for the first time in over a decade, attributed to high prices and weaker demand[89][99]. - The Chinese government aims for domestic raw milk production to reach 41 million tons by 2025, with an average milk yield of 9 tons per cow[97][100].
澳亚集团(02425) - 2022 - 年度财报