合生创展集团(00754) - 2023 - 年度业绩

Revenue and Profit Performance - Revenue for 2023 reached HKD 34,292 million, a 25.8% increase from HKD 27,252 million in 2022[2] - Revenue for the year ended December 31, 2023, increased to HKD 34,291,809 thousand, up from HKD 27,252,008 thousand in 2022, representing a growth of approximately 25.8%[8] - Total revenue for the year ended December 31, 2023, was HK$42.10 billion, with property development contributing HK$27.48 billion (65.3%) and commercial property investment contributing HK$4.94 billion (11.7$6.29 billion and a net profit of HK$3.40 billion for the year[24] - The company's profit attributable to equity holders for 2023 was HKD 2,922 million, with core profit increasing by 114.1$26,499,537 thousand from HK$19,081,399 thousand in 2022, reflecting significant growth in this segment[28] - The property development segment in East China generated the highest revenue at HK$14.13 billion, followed by North China at HK$8.37 billion and South China at HK$4.99 billion[24] - Property development remains the core business of the company, accounting for 77% of total revenue. The company's operations in the South China, East China, and North China regions contributed 22%, 46%, and 32% of total revenue, respectively[53] Land Reserves and Construction - Land reserves as of December 31, 2023, stood at 27.62 million square meters, down from 28.72 million square meters in 2022[6] - Expected completed construction area for 2024 is 2,382,389 square meters[6] Financial Position and Liabilities - The company maintains a low debt-to-asset ratio and strong cash flow, supporting its stable operations[3] - Total assets as of December 31, 2023, stood at HKD 288,694,135 thousand, slightly down from HKD 298,714,401 thousand in 2022[11] - Total equity attributable to equity holders of the company increased to HKD 95,358,213 thousand in 2023 from HKD 93,149,760 thousand in 2022, reflecting a 2.4% growth[12] - Total liabilities decreased to HKD 187,709,286 thousand in 2023 from HKD 200,336,235 thousand in 2022, a reduction of 6.3%[13] - The company's net asset value as of December 31, 2023, was HKD 100,984,849 thousand, up from HKD 98,378,166 thousand in 2022, indicating a 2.6% increase[13] - Net current assets of the group amounted to HK$52,319 million, including HK$130,204 million in prepayments for land acquisition, properties under development, and completed properties for sale, and HK$15,368 million in cash and bank balances[16] - The group has classified borrowings of HK$37,030 million as current liabilities[16] - The group successfully extended the repayment of approximately HK$4,553 million of the current portion of borrowings after the reporting period[17] - The company's total assets and total liabilities as of December 31, 2023, were HKD 288,694 million and HKD 187,709 million, respectively, representing a decrease of 3$2.57 billion, contributing to a total fair value gain of HK$2.50 billion for the segment[24] - The company's fair value gain on investment properties for 2023 was HKD 2,496 million, a significant decrease from HKD 10,072 million in 2022[48] Segment Performance - The property development segment in East China generated the highest revenue at HK$14.13 billion, followed by North China at HK$8.37 billion and South China at HK$4.99 billion[24] - The commercial property investment segment in East China recorded a significant fair value gain of HK$2.57 billion, contributing to a total fair value gain of HK$2.50 billion for the segment[24] - The investment segment reported a loss of HK$424.06 million, primarily due to impairment provisions of HK$159.89 million for an associate and HK$51.24 million for joint ventures[24] - The infrastructure segment achieved revenue of HK$8.11 billion, with a segment profit of HK$455.05 million[24] - The property management segment generated revenue of HK$1.70 billion, with a segment profit of HK$21.86 million[24] - Commercial property investment revenue rose to HK$4,239,271 thousand in 2023, up from HK$3,952,516 thousand in 2022, indicating steady growth in this sector[28] - Property management revenue decreased to HK$1,395,193 thousand in 2023 from HK$2,989,241 thousand in 2022, showing a notable decline[28] - Infrastructure revenue dropped to HK$2,308,801 thousand in 2023 from HK$3,439,021 thousand in 2022, reflecting a significant reduction[28] - Investment losses improved to HK$150,993 thousand in 2023 from HK$2,210,169 thousand in 2022, indicating a substantial recovery in this area[28] Financial Costs and Income - The company's financial costs for the year were HK$933.79 million, offset by financial income of HK$519.06 million[24] - Financial income from bank deposits, loans to a joint venture, and interest income decreased to HK$519,062 thousand in 2023 from HK$563,138 thousand in 2022[32] - Total borrowing costs decreased to HK$5,711,647 thousand in 2023 from HK$7,884,138 thousand in 2022, with capitalised amounts for development properties reducing net borrowing costs to HK$933,794 thousand[32] - Net financial costs decreased to HK$414,732 thousand in 2023 from HK$952,679 thousand in 2022[32] - The company's financial costs before capitalization decreased by 28% to HKD 5,712 million in 2023, primarily due to lower bank and financial institution borrowings[50] Taxation - Hong Kong profits tax provision was calculated at 16.5% of estimated taxable profits, consistent with 2022[32] - Mainland China corporate income tax increased to HK$573,577 thousand in 2023 from HK$1,738,625 thousand in 2022[32] - The company's effective tax rate for 2023 was 45.9%, an increase of 15.5 percentage points from the previous year, mainly due to higher land value-added tax rates on key projects[51] Earnings and Dividends - Basic earnings per share decreased to HK$0.77 in 2023 from HK$2.31 in 2022, based on a weighted average of 3,792,541,000 ordinary shares[35] - No dividends were recommended for the years ended December 31, 2023, and 2022[36] Borrowings and Debt Management - The group has classified borrowings of HK$37,030 million as current liabilities[16] - The group successfully extended the repayment of approximately HK$4,553 million of the current portion of borrowings after the reporting period[17] - Non-current bank and financial institution borrowings decreased to HK$49,173,293 thousand in 2023 from HK$59,520,917 thousand in 2022[39] - Commercial mortgage-backed securities issued in 2021 with interest rates of 4.80% and 5.30% had a carrying value of HK$1,454,393 thousand as of December 31, 2023[40] - The company issued commercial mortgage-backed securities with a face value of RMB 635,000,000 at an interest rate of 6.00$13,000,000 of the outstanding 2021 June notes, representing approximately 5.5% of the total outstanding principal amount at that time[67] - The total outstanding principal amount of the 2021 June notes after the repurchase was $224,500,000, which was fully repaid on December 28, 2023, along with accrued interest[67] - The company issued$250,000,000 of 8.00% guaranteed convertible bonds on January 10, 2022, which were fully redeemed on January 6, 2023, along with accrued interest[68] Accounting and Financial Reporting - The group has adopted new and revised Hong Kong Financial Reporting Standards (HKFRS), including HKFRS 17, HKAS 1, and HKAS 12, with no material impact on the financial statements[18] - The group has not yet applied the temporary exception for deferred taxes related to the OECD's Pillar Two model rules, as the rules have not been enacted or substantively enacted in the jurisdictions where the group operates[20] - The group plans to apply the revised HKFRS 10 and HKAS 28, which address inconsistencies in the treatment of asset sales or contributions between investors and their associates or joint ventures, when they become effective[21] - The company's audit committee reviewed the accounting principles, risk management, internal controls, and financial reporting for the year ended December 31, 2023[69] - The company's preliminary financial figures for the year ended December 31, 2023, were agreed upon by the auditors, but no audit opinion or conclusion was provided[70] Corporate Governance and Shareholder Information - The board of directors consists of eight members, including six executive directors and three independent non-executive directors as of the announcement date[73] - The company will suspend share transfer registration from June 11, 2024, to June 14, 2024, to determine the list of shareholders eligible to attend and vote at the annual general meeting on June 14, 2024[71] - The 2023 annual report containing all information required by the listing rules will be published on the stock exchange and company websites in due course[72] Employee and Operational Costs - The company's total employee count as of December 31, 2023, was 9,654, a decrease from 10,482 as of December 31, 2022[65] - The company's employee costs, including director remuneration, for the year ended December 31, 2023, amounted to HKD 2,022 million, a decrease from HKD 2,399 million in the previous year[65] - Employee benefit costs, including director remuneration, decreased to HK$2,021,623 thousand in 2023 from HK$2,399,121 thousand in 2022, showing a reduction in personnel expenses[31] - Advertising expenses increased to HK$608,447 thousand in 2023 from HK$444,802 thousand in 2022, reflecting higher marketing efforts[31] Impairment and Depreciation - Impairment provisions for completed properties and properties under development amounted to HK$1.03 billion and HK$36.35 million, respectively[24] - Depreciation of property, plant, and equipment amounted to HK$223.54 million, while depreciation of right-of-use assets totaled HK$180.22 million[24] Accounts Receivable and Other Financial Items - Accounts receivable aged over 12 months decreased to HK$2,731,609 thousand in 2023 from HK$3,046,732 thousand in 2022[38] - The company's cash and bank deposits as of December 31, 2023, amounted to HKD 15,368 million, with 97.97% denominated in RMB[54]