中国金融发展(03623) - 2023 - 年度业绩

Announcement Overview This section provides an overview of the announcement, including its purpose and the current board composition Purpose and Background This announcement supplements the 2023 annual report, providing updates on the company's recent developments, particularly regarding guarantee, hog farming, and energy storage businesses - This announcement supplements China Financial Development (Holdings) Limited's 2023 annual report, providing shareholders and potential investors with the latest updates on the company's recent developments[2][11] Board Composition This section discloses the updated composition of the company's board of directors, including five executive and three independent non-executive directors, with Mr. Zhang Tiewei as Chairman - The Board comprises five executive directors (Zhang Tiewei, Li Bin, Dai Jing, Xu Kaiying, Pang Haoquan) and three independent non-executive directors (Zeng Hongji, Ou Tianqi, Zhou Xiaojiang)[20] - Mr. Zhang Tiewei serves as the Chairman and Executive Director of the company[20] Guarantee and Financial Leasing Businesses This section details the company's guarantee and financial leasing operations, including business models, performance, strategy, and financial status Business Model and Services The company provides diverse financing and other guarantee services through Guangdong Integrated Financing Guarantee Co., Ltd., primarily to SMEs and individuals, requiring counter-guarantees, and offers integrated financial leasing services - Integrated Guarantee provides financing and other guarantee services in China, primarily targeting small and medium-sized enterprises and individual customers[21] - New guarantee services, including performance guarantees and litigation guarantees, are offered, typically requiring clients to provide counter-guarantees[21] - Integrated Financial Leasing engages in financial leasing business, offering a comprehensive package of services in conjunction with the guarantee business[22] Operating Performance and Strategy The guarantee business adheres to a "risk first, business second" strategy, renewing projects in 2024 with significant net guarantee fee income and successful recovery of past receivables, with expected improvement as the Chinese economy recovers - Guarantee arrangements were renewed for six months in 2024, continuing to provide financing guarantees for payment transactions of approximately 10,000 customers[4] Key Financial Data for Guarantee Business | Indicator | Amount (RMB) | | :--- | :--- | | 2024 Net Guarantee Fee Income (YTD) | Not less than 13 million | | 2023 FY Accounts Receivable Recovered | Approximately 10 million | - Integrated Guarantee adheres to a "risk first, business second" strategy, with no client loan defaults or payment failures in FY2023[12] - The Board believes the performance of the guarantee business will gradually improve with the recovery of China's macroeconomic environment[13] Financial Position and Funding As of December 31, 2023, the company held approximately RMB 134 million in cash and bank balances, expecting to fund guarantee operations with working capital, while not ruling out future debt or equity financing Cash and Bank Balances at Year-End 2023 | Indicator | Amount (RMB) | | :--- | :--- | | Cash and Bank Balances (as of Dec 31, 2023) | Approximately 134 million | - The Group expects to fund its guarantee business with its working capital and may consider debt and/or equity fundraising activities in the future[23] Hog Farming Business This section outlines the company's hog farming operations, including business models, recent adjustments, performance, and funding strategies Business Model and Adjustments The company's hog farming business includes "fattening" and "breeding-and-raising" models; plans have been adjusted to a more flexible batch production due to virus mutations, market uncertainties, and team integration - The hog farming business includes the "fattening model" (purchasing piglets for rearing and sale) and the "breeding-and-raising model" (purchasing breeding pigs for reproduction and sale of commercial hogs)[7] - Breeding-and-raising model plan adjustment: approximately 250 gilts are tentatively to be purchased by end of August 2024, with an estimated sale of up to 2,500 hogs in FY2025, and no revenue expected in FY2024[8] - Fattening model plan adjustment: approximately 4,300 piglets are tentatively to be purchased by end of August 2024 and sold by end of December 2024; another 2,500 piglets to be purchased by end of January 2025 and sold by end of June 2025[14] - Due to continuous virus mutations, hog market uncertainties, and production team integration, the business plan has been adjusted to a more flexible batch production model[25] Operating Performance and Outlook The hog farm has completed biosafety upgrades; as of May 2024, approximately 2,700 hogs were sold, generating RMB 4.26 million in revenue, with an estimated 7,000 hogs and RMB 13.66 million revenue from the fattening model in FY2024, subject to market adjustments - The hog farm has completed biosafety assessments and upgrade projects to prevent disease transmission and improve farming quality and efficiency[24] Hog Farming Business Operating Data | Indicator | Quantity/Amount | | :--- | :--- | | Hogs Sold by End of May 2024 | Approximately 2,700 head | | Hog Business Revenue by End of May 2024 | Approximately RMB 4.26 million | | FY2024 Fattening Model Estimated Sales | Up to approximately 7,000 head | | FY2024 Fattening Model Estimated Revenue | Approximately RMB 13.66 million | - The aforementioned production and revenue plans will be adjusted as appropriate based on market conditions, epidemic prevention, and fluctuations in hog market prices[26] Funding and Sustainability The company will fund its hog business using internal resources and sales cash flow, potentially seeking future debt or equity financing, believing the business is financially viable and sustainable, providing consistent cash flow - The company will fund its hog business using internal resources and cash flow generated from hog sales[9] - The company may consider debt or equity financing in the future, depending on the farm's business needs[9] - The company believes its hog farming business is financially viable and sustainable, capable of generating sustainable cash flow for the company in the coming years[27] Energy Storage Business This section details the company's energy storage business, covering its background, operational model, market expansion, financial performance, and management team Business Background and Cooperation To address climate change and green energy demand, the company began exploring cooperation with an energy storage R&D firm in June 2023, forming GNW Capital Ltd. in September 2023, which commenced operations in December 2023 - To address climate change and global green energy market demand, the Group is exploring further development of financial services in China and global markets[27] - The Group began exploring cooperation with a professional energy storage R&D company in June 2023, reaching an agreement in August 2023 to jointly develop the energy storage business[27] - GNW Capital was established in September 2023 and officially commenced operations in December 2023[27] Business Model and Products GNW Capital employs an EPC model to design, develop, and contract manufacturing of industrial and commercial energy storage systems and batteries in China, leveraging cost competitiveness and advanced technology, with products distributed in South Africa and Australia - GNW Capital adopts an EPC model to design, develop, and contract manufacturers in China for industrial and commercial energy storage systems and batteries, leveraging the cost competitiveness and leading technology of the Chinese supply chain[28] - Products offer system integration services, are customizable to client specifications, generally have higher safety than similar market products, and some are IP67 or IP56 certified[28] - GNW Capital has four contractors for production and assembly, and one distributor each in South Africa and Australia[16] Market Expansion and Outlook The energy storage business currently focuses on South Africa and Australia, with plans to expand into Europe, and the Board is optimistic about its prospects due to China's supply chain advantages, global environmental policies, high overseas market growth, and product competitiveness - The energy storage business is currently applied in the South African and Australian markets, with plans to enter the European market once stable and mature[10] - The Board views the energy storage business prospects as bright, given China's supply chain cost advantages, global environmental policies, high growth potential in overseas markets, and the inherent competitiveness of GNW Capital's products[18] - In the coming years, GNW Capital will explore avenues to provide financial services to energy storage system clients[10] Operating Performance and Funding The energy storage business recorded approximately RMB 5 million in revenue in FY2023, rapidly growing to over RMB 29.7 million by May 31, 2024, funded by internal group resources and partner contributions Energy Storage Business Revenue Performance | Indicator | Amount (RMB) | | :--- | :--- | | FY2023 Revenue | Approximately 5 million | | FY2024 Revenue (as of May 31) | Over 29.7 million | - Funding for the energy storage business comes from the Group's internal resources and contributions from partners[30] Management and Professional Team The Board and senior management, after extensive research, hired a seasoned professional with over 14 years of industry experience to lead the energy storage business development and expansion, expecting significant benefits from their expertise and network - The Group has appointed a senior professional with over 14 years of experience in the relevant industry to oversee energy storage business operations, having served as an executive or CEO in Fortune 500 companies, Hong Kong-listed companies, and A-share listed companies[29] - This senior professional will be fully responsible for the development planning and business expansion of the energy storage system business, and the Board and management believe their experience, capabilities, and network will bring significant benefits to the company's energy storage business[29] Conclusion This section concludes the report by affirming the consistency of the supplementary information with the previously issued 2023 annual report Statement of Report Consistency The content of this supplementary announcement does not affect the information disclosed in the 2023 annual report, and all other contents of the annual report remain unchanged except for the updates herein - The content of this announcement does not affect the information disclosed in the 2023 annual report; all other contents of the 2023 annual report remain unchanged except for the information disclosed herein[19]