万洲国际(00288) - 2018 - 年度财报

Financial Performance - WH Group reported a total revenue of $22.605 billion in 2018, a 1.0% increase from $22.379 billion in 2017[23]. - The net profit attributable to shareholders decreased by 4.0% to $1.046 billion in 2018 from $1.090 billion in 2017, primarily due to the impact of trade disputes on the fresh pork business in the U.S.[24]. - Operating profit fell by 11.3% to $1.650 billion in 2018 compared to $1.861 billion in 2017[23]. - The company reported basic earnings per share of 7.13 cents in 2018, up from 6.43 cents in 2017[23]. - The company reported a pre-tax profit of $1,411 million for 2018, compared to $1,501 million in 2017, a decline of 6.0%[192]. - Total comprehensive income for the year ended December 31, 2018, was $955 million, compared to $1,536 million in 2017, representing a decrease of approximately 37.7%[193]. - Basic earnings per share for 2018 was $6.43, down from $7.79 in 2017, reflecting a decline of about 17.4%[193]. Sales and Production - The company achieved a total of 20.953 million live hogs sold and 56.068 million hogs slaughtered, representing a year-on-year growth of 3.6% and 4.3% respectively[22]. - WH Group's processed meat sales volume reached 3.361 million tons, a 2.3% increase from 3.285 million tons in 2017[22]. - Fresh pork revenue decreased by 4.1% to $9.136 billion, with a significant drop in operating profit by 55.0% to $246 million[73]. - The total number of pigs slaughtered in 2018 was 56.068 million, a 4.3% increase from 2017[74]. - The revenue from pig farming increased by 20.3% to $688 million, despite a recorded operating loss of $113 million[76]. Market Strategy and Expansion - The company plans to expand its fresh pork scale in China and adjust its meat product structure to meet changing consumer demands[28]. - The company aims to leverage its global resource control and scale advantages to benefit from future industry consolidation[28]. - Europe is identified as a key development area, being the second largest pork market globally, with ongoing capacity expansion from previous acquisitions[29]. - The company aims to continue expanding sales volume and improving efficiency to drive growth in Europe[72]. - The company is focused on enhancing its product offerings and market reach through strategic leadership and management expertise[38]. Governance and Leadership - The management team has been adjusted with new members to enhance organizational structure and efficiency[29]. - The company has a strong leadership team with diverse backgrounds in finance and management, enhancing its strategic decision-making capabilities[38]. - The board consists of three independent non-executive directors, meeting the requirement of having at least three independent directors with appropriate professional qualifications[115]. - The company employs a formal and transparent process for appointing new directors, with recommendations made by the nomination committee[116]. - The board is responsible for guiding the company's strategic objectives and overseeing business management to ensure long-term performance[112]. Financial Position and Ratios - The company’s debt-to-equity ratio improved to 37.1% from 38.9% in the previous year[84]. - The total outstanding loans as of December 31, 2018, amounted to $3.134 billion, a slight decrease from $3.215 billion in 2017, with 78.8% denominated in USD[90]. - The company maintained a current ratio of 1.6 as of December 31, 2018, consistent with the previous year[87]. - The company’s long-term foreign currency issuer default rating was rated BBB+ by Fitch and BBB by S&P, with a stable outlook[95]. Risk Management and Compliance - The company implemented a risk management system to monitor and report on major risks effectively[105]. - The board of directors is committed to maintaining high standards of corporate governance, which is crucial for safeguarding operational integrity and maintaining investor trust[109]. - The company actively complies with the latest corporate governance requirements in China, Hong Kong, and abroad[109]. - The company has complied with relevant laws and regulations without any significant violations during the review period[150]. Environmental and Social Responsibility - The company is committed to environmental protection initiatives, contributing to the well-being of humanity and the planet[29]. - The ESG Committee aims to identify and address major environmental, social, and governance issues impacting stakeholders[130]. - The company is committed to maintaining long-term sustainable development and community engagement[130]. Dividends and Shareholder Returns - The board proposed a final dividend of HKD 0.15 per share, bringing the total dividend for 2018 to HKD 0.20 per share[28]. - The company declared an interim and final dividend amounting to no less than 30% of the profit attributable to equity holders of the parent company[147].