Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 2,498 million, a decrease of 27% compared to HKD 3,442 million in the same period of 2023[2] - Gross profit decreased by 37% to HKD 1,406 million, with a gross margin of 56%, down from 65%[2] - Net profit attributable to owners was HKD 837 million, a decline of 32% from HKD 1,233 million in the previous year[2] - EBITDA for the period was HKD 1,666 million, representing a 30% decrease from HKD 2,373 million[2] - Basic earnings per share decreased to HKD 17.00, down 30% from HKD 24.40[2] - The company reported a total comprehensive income of HKD 857 million for the period, down from HKD 1,324 million in the previous year[7] - For the six months ended June 30, 2024, the group recorded operating revenue of approximately HKD 2.498 billion, a decrease of about HKD 944 million or 27% compared to the same period last year[42] - Net profit for the six months was approximately HKD 983 million, a decline of 35% year-on-year, with profit attributable to owners decreasing by 32% to approximately HKD 837 million[42][54] - The EBITDA for the period was approximately HKD 1.666 billion, down from approximately HKD 2.373 billion in the same period last year[42] Assets and Liabilities - Total assets as of June 30, 2024, amounted to HKD 23,140 million, an increase from HKD 22,491 million as of December 31, 2023[9] - Current ratio decreased to 3.44 from 3.97, indicating a 13% decline in liquidity[2] - Trade receivables as of June 30, 2024, amounted to HKD 606,007,000, an increase of 14.2% from HKD 530,468,000 as of December 31, 2023[29] - Trade payables as of June 30, 2024, totaled HKD 572,908,000, a decrease of 7.8% from HKD 621,467,000 as of December 31, 2023[34] - As of June 30, 2024, total accounts payable amounted to HKD 286,257,000, a decrease from HKD 303,096,000 as of December 31, 2023, representing a reduction of approximately 5.8%[35] - The company’s financial assets at fair value through other comprehensive income decreased to HKD 574,891,000 as of June 30, 2024, from HKD 688,264,000 as of December 31, 2023[28] - The group maintained a strong financial position with available bank balances and cash reserves of approximately HKD 9.22 billion, an increase from HKD 7.945 billion at the end of 2023[43] - The group has no borrowings as of June 30, 2024, resulting in a capital debt ratio of 0%[58] Dividends and Shareholder Returns - The company declared an interim dividend of HKD 0.09 per share for the six months ended June 30, 2024[2] - The interim dividend declared for the six months ended June 30, 2024, is HKD 443,415,000, down from HKD 492,684,000 in the same period of 2023, reflecting a decrease of 10%[25] - The company declared an interim dividend of HKD 0.09 per share for the six months ended June 30, 2024, compared to HKD 0.10 per share in the previous year[39] Operational Highlights - The company operates primarily in the coking coal mining sector, focusing on exploration and production in China[18] - The production of raw coking coal for the six months ended June 30, 2024, was 2.25 million tons, a decrease of 15% compared to 2.66 million tons in the same period of 2023[40] - The production of premium coking coal was 1.29 million tons, down 31% from 1.86 million tons in the previous year[41] - The sales volume of premium coking coal decreased by 25% year-on-year, with total sales accounting for 100% of the company's revenue during the review period[41] - The company experienced a significant drop in low-sulfur premium coking coal sales, which fell by 91% year-on-year, while the average market price increased by approximately 3%[41] - The group’s subsidiary, Xingwu Coal Mine, has completed the production replacement and resumed normal operations in July 2024, contributing to the gradual increase in coking coal output in the second half of 2024[64] Cost and Expenses - The cost of sales for the six months ended June 30, 2024, was HKD 1,091,614, down from HKD 1,209,654 in the same period of 2023[22] - Employee costs, including directors' remuneration, were HKD 390,945 for the six months ended June 30, 2024, compared to HKD 437,739 in the previous year, reflecting a decrease of 10.7%[22] - Sales costs for the period were approximately HKD 1.092 billion, a decrease of about HKD 118 million or 10% year-on-year[44] - The average production cost per ton of raw coking coal increased by 13% year-on-year, primarily due to a 15% decrease in production volume[46] Other Income and Gains - Other income for the six months ended June 30, 2024, totaled HKD 53,445, an increase of 68.6% from HKD 31,703 in the previous year[19] - Interest income increased by approximately HKD 11 million or 13% year-on-year to about HKD 95 million, driven by rising deposit rates[48] - Other income and gains for the period were approximately HKD 53 million, a significant increase of about HKD 21 million or 66% year-on-year[49] Compliance and Governance - The company has complied with the corporate governance code as per the Listing Rules during the six months ended June 30, 2024[67] - All directors have adhered to the standards set forth in the company's code of conduct for securities transactions during the six months ended June 30, 2024[67] - The interim report will be published on the Hong Kong Stock Exchange and the company's website, with printed copies sent to shareholders who opted for them[68] Market Conditions - In the first half of 2024, the national crude steel production slightly increased by 0.2% year-on-year, while pig iron production decreased by 3.3%[63] - Shanxi Province's raw coal production reached approximately 590 million tons in the first half of 2024, achieving 45% of the annual target, despite a nearly 2% decline in national raw coal production[64] Employee and Community Engagement - The group employed 4,155 staff as of June 30, 2024, with annual reviews of employee compensation[62] - Charitable donations for the six months ended June 30, 2024, were HKD 1,106, significantly higher than HKD 33 in the previous year[20]
首钢资源(00639) - 2024 - 中期业绩