Revenue Performance - Revenue for the six months ended June 30, 2024, was RMB 1,088.2 million, an increase from RMB 1,034.2 million for the same period in 2023, representing a growth of approximately 5.2%[5] - For the six months ended June 30, 2024, the Group's revenue increased by approximately RMB 54.0 million or 5.2% to approximately RMB 1,088.2 million compared to the same period in 2023[12] - Domestic revenue for the same period increased by approximately RMB 187.7 million or 54.0% to approximately RMB 535.4 million, contributing approximately 49.2% of total revenue[12] - Overseas revenue decreased by approximately RMB 133.6 million or 19.5% to approximately RMB 552.8 million, contributing approximately 50.8% of total revenue[12] - Revenue from contracts with customers in the Chinese Mainland amounted to RMB 535,336,000, up from RMB 347,719,000 in 2023, reflecting a significant increase of approximately 54%[72] - Revenue from overseas contracts, particularly in Qatar, reached RMB 121,641,000, compared to RMB 57,630,000 in 2023, indicating an increase of approximately 111%[72] - The Group's overall performance indicates a positive trend in revenue growth, particularly in the domestic market and selected overseas markets, suggesting effective market expansion strategies[72] Profitability and Earnings - Profit for the period attributable to equity shareholders of the Company was RMB 6.0 million, down from RMB 6.4 million in the previous year[5] - For the six months ended June 30, 2024, the profit attributable to equity shareholders decreased by approximately RMB 0.4 million or 6.3% to approximately RMB 6.0 million compared to RMB 6.4 million in the same period of 2023[8] - Basic and diluted earnings per share remained stable at RMB 0.10 for both periods[5] - The Group's adjusted gross profit margin increased by approximately 12.9 percentage points to approximately 18.5% compared to 5.6% in the same period of 2023[14] - Adjusted gross profit for the reportable segments for the six months ended June 30, 2024, was RMB 201,620,000, significantly higher than RMB 58,157,000 in the same period of 2023, indicating a substantial increase of approximately 246%[76] - Profit before taxation for the six months ended June 30, 2024, was RMB 9,369,000, compared to RMB 11,820,000 in 2023, indicating a decrease of approximately 20.8%[76] Cash Flow and Financial Position - Net cash used in operating activities was RMB (198.6) million, a decline from RMB 185.1 million generated in the same period last year[5] - The Group recognized a net finance expense of approximately RMB 24.9 million for the six months ended June 30, 2024, a decrease from a net finance income of approximately RMB 103.6 million in the same period of 2023, accounting for -2.3% of operating revenue[18] - As of June 30, 2024, the net current assets of the Group increased by approximately RMB 19.6 million or 11.6% to approximately RMB 189.0 million compared to 31 December 2023[18] - The cash on hand and in bank increased by approximately RMB 126.7 million or 21.3% to approximately RMB 722.2 million as of June 30, 2024 compared to 31 December 2023[18] - The total bank loans of the Group decreased by approximately RMB 10.0 million or 1.4% to approximately RMB 704.0 million as of June 30, 2024 compared to 31 December 2023[20] - The total other borrowings of the Group increased by approximately RMB 316.4 million or 74.6% to approximately RMB 740.8 million as of June 30, 2024 compared to 31 December 2023[20] - The Group's gearing ratio was 83.1% as of June 30, 2024, an increase from 82.2% on 31 December 2023[20] Project and Market Developments - The total value of newly-awarded projects decreased by approximately RMB 454.9 million or 27.0% to approximately RMB 1,227.3 million compared to RMB 1,682.2 million in the same period of 2023[8] - The total value of newly-awarded domestic projects increased by approximately RMB 298.5 million or 52.8% to approximately RMB 863.9 million compared to RMB 565.4 million in the same period of 2023[10] - The total value of newly-awarded overseas projects decreased by approximately RMB 753.4 million or 67.5% to approximately RMB 363.4 million compared to RMB 1,116.9 million in the same period of 2023[10] - The building curtain wall market is expected to grow steadily in the long term, driven by market demand towards green, high-end, and smart transformation[10] - The company is focusing on technological innovations, primarily in smart and prefabricated technologies[10] Expenses and Cost Management - The cost of sales decreased by approximately RMB 59.7 million or 6.4% to approximately RMB 873.3 million, attributed to effective cost control measures[14] - Selling expenses decreased by approximately RMB 1.0 million or 5.0% to approximately RMB 19.1 million, accounting for approximately 1.8% of operating revenue[16] - For the six months ended June 30, 2024, the Group's administrative expenses increased by approximately RMB 13.1 million or 9.5% to approximately RMB 151.4 million compared to the same period in 2023[18] - Staff costs for the six months ended June 30, 2024, totaled RMB 199,668,000, slightly up from RMB 197,574,000 in 2023, reflecting a marginal increase of about 1.1%[77] Shareholder and Governance Information - No interim dividend was proposed for the current period, compared to nil in the previous year[5] - The Group did not declare any interim dividend for the six months ended June 30, 2024[37] - The company has complied with all code provisions of the Corporate Governance Code for the six months ended June 30, 2024[46] - All directors confirmed compliance with the Model Code for securities transactions for the six months ended June 30, 2024[48] - The total number of issued shares is 6,208,734,000[39] Legal and Contingent Liabilities - The Group has contingent liabilities amounting to approximately RMB171.0 million as performance guarantees provided by banks or insurance companies for construction contracts[123] - The Group has a legal claim against a former sub-contractor in India, with a court ruling in favor of the Group for damages amounting to approximately RMB7.0 million[125] - Yuanda UK is facing a lawsuit from Crest Nicholson regarding defects in the Admiralty Quarter development, with estimated remedial costs of GBP24.0 million (approximately RMB217.0 million)[132] - The Directors believe it is unlikely that the courts will rule against the Group's subsidiaries in the ongoing legal matters[134] Future Outlook - Future outlook indicates a projected revenue growth of 10% for the second half of 2024, driven by new product launches and market expansion strategies[140] - The company plans to enter two new international markets by the end of 2024, aiming to diversify its revenue streams[140] - A strategic acquisition of a local tech firm is expected to be finalized by Q3 2024, which will enhance Yuanda's technological capabilities[140]
远大中国(02789) - 2024 - 中期财报