Financial Performance - Revenue for the six months ended June 30, 2021, increased by 47% to HK$3,112,935,000 compared to HK$2,120,086,000 in the same period of 2020[7] - Gross profit rose by 41% to HK$1,239,551,000 from HK$881,648,000 year-on-year[8] - EBITDA increased by 30% to HK$1,059,125,000, up from HK$813,116,000 in the previous year[8] - Profit attributable to equity holders of the company grew by 36% to HK$548,178,000, compared to HK$404,473,000 in 2020[8] - Basic earnings per share improved by 36% to HK$19.16 from HK$14.14[8] - Total comprehensive income for the period was HK$932,160,000, compared to HK$256,935,000 in 2020, marking a significant increase[112] - Profit for the period increased to HK$577,134,000, a rise of 35.3% from HK$426,562,000 in the previous year[110] Dividends and Shareholder Returns - Interim dividend per share increased by 54% to HK$5.75, up from HK$3.74 in the prior year[9] - The company declared an interim dividend of HK$5.75 cents per ordinary share for 1HFY2021, an increase from HK$3.74 cents in 1HFY2020, representing a 53.7% increase[105] - Dividends attributable to the period were HK$164,453,000 in 2021, compared to HK$106,964,000 in 2020, an increase of 54.0%[188] Assets and Liabilities - Total assets as of June 30, 2021, were HK$30,601,657,000, reflecting a 14% increase from HK$26,907,534,000[11] - Total liabilities rose by 17% to HK$18,117,835,000 from HK$15,501,675,000[11] - Equity attributable to equity holders of the company increased by 7% to HK$11,241,366,000 compared to HK$10,534,293,000[12] - Cash and bank balances increased by HK$346.25 million to approximately HK$2.07 billion as of June 30, 2021[37] - The Group's outstanding borrowings amounted to HK$13.24 billion, an increase of HK$2.16 billion from HK$11.08 billion at the end of 2020[42] Operational Highlights - The Group invested in 143 environmental protection projects with a total investment of approximately RMB25.75 billion as of June 30, 2021[15] - The Group secured four wastewater treatment projects and one reusable water project in 1HFY2021, with a total investment of approximately RMB1.069 billion, adding a designed daily wastewater treatment capacity of 225,000 m³[20] - The Group's project portfolio includes 112 municipal wastewater treatment projects with a capacity of 5,405,000 m³/day[18] - In 1HFY2021, the Group commenced construction on two projects with a designed daily wastewater treatment capacity of 40,000 m³ and completed two projects with a capacity of 65,000 m³[23][24] Environmental and Social Responsibility - The Group aims to peak carbon dioxide emissions by 2030 and achieve carbon neutrality by 2060, aligning with China's "14th Five-Year Plan" for environmental management[15] - The Group emphasizes safety and environmental management, adhering to a policy of zero work safety accidents and zero excessive discharge of pollutants[22] - The Group conducted various charitable environmental protection activities, enhancing local communities' awareness of environmental protection concepts[29][30] - The Group actively evaluates its environmental and social performance against international standards and has been submitting monitoring reports to the International Finance Corporation since 2016[77] Risk Management - The principal risks identified during the Review Period include policy changing risk, new business investment and market competition risks, and environmental compliance risks[56] - The Group has implemented effective internal controls, maintaining unchanged risk levels for key risks during the Review Period[59] - The risk level for accounts receivable remains unchanged, with high risk due to local PRC governments' financial capabilities being affected by the COVID-19 pandemic[71] Corporate Governance - The Company has adopted the principles and code provisions of the Corporate Governance Code since its listing on May 8, 2019, and has complied with both HK CG Code and SG CG Code throughout 1HFY2021[95] - The Audit Committee reviewed the Group's unaudited financial statements for the first half of FY2021[56] - The Remuneration Committee reviewed the 2020 remuneration payment and the 2021 remuneration framework for Directors and Key Management Personnel during 1HFY2021[97] Market and Industry Trends - Various national policies in China are expected to create new development opportunities in the water environment management industry, reflecting the government's commitment to pollution control[33] - The domestic water market in China has become increasingly mature, leading to intensified competition for new water projects[58] - The Group is actively exploring suitable merger and acquisition opportunities and overseas environmental water projects to enhance market expansion[66]
中国光大水务(01857) - 2021 - 中期财报