Financial Performance - In 2024, the revenue was HKD 13,210.5 million, a decrease of 22.9% compared to HKD 17,134.0 million in 2023[3]. - The gross profit for 2024 was HKD 406.4 million, down 56.5% from HKD 934.1 million in 2023, resulting in a gross margin of 3.1%, a decline of 2.4 percentage points from 5.5% in 2023[3]. - The operating loss for 2024 was HKD 375.7 million, compared to a profit of HKD 123.7 million in 2023[3]. - The loss attributable to owners of the company was HKD 725.1 million in 2024, compared to a profit of HKD 64.1 million in 2023[3]. - Total comprehensive loss for the year amounted to HKD 851.2 million, compared to a total comprehensive income of HKD 3.9 million in 2023[5]. - The group recorded a consolidated net loss of HKD 801,966,000 for the year ended December 31, 2024, compared to a profit of HKD 72,386,000 in 2023[11]. - The company reported a net loss attributable to owners of the company of HKD (725,070,000) for 2024, compared to a profit of HKD 64,144,000 in 2023[51]. - The company recorded a loss attributable to shareholders of HKD 725.1 million in 2024, compared to a profit of HKD 64.1 million in 2023[98]. Assets and Liabilities - Current assets decreased to HKD 3,723.0 million in 2024 from HKD 6,340.4 million in 2023[7]. - Current liabilities decreased to HKD 5,382.4 million in 2024 from HKD 7,231.7 million in 2023[9]. - The net assets attributable to owners of the company decreased to HKD 2,361.6 million in 2024 from HKD 3,142.2 million in 2023[9]. - As of December 31, 2024, the group had net current liabilities of HKD 1,659,391,000, up from HKD 891,263,000 in 2023[11]. - Total assets amounted to HKD 8,786,603,000, with total liabilities at HKD 6,809,416,000[25]. - The company’s total liabilities as of December 31, 2024, were HKD 8,537,658, compared to HKD 5,628,642 in 2023, indicating an increase of approximately 51.5%[32]. - The group’s current ratio dropped to 0.69 in 2024 from 0.88 in 2023, indicating a decline in liquidity[112]. - The group’s net debt ratio increased to 136.9% in 2024 from 121.9% in 2023, primarily due to the net loss incurred during the year[113]. Cash Flow and Financing - Net cash inflow from operating activities was HKD 1,597,774,000, a significant improvement from a cash outflow of HKD 319,820,000 in the previous year[11]. - The group is actively seeking other financing options, including equity issuance, to strengthen its financial position and reduce reliance on short-term borrowings[12]. - The group has successfully renewed existing borrowings and secured additional bank loans totaling HKD 323,970,000[12]. - The total borrowings decreased to HKD 3,945.6 million in 2024 from HKD 5,120.6 million in 2023, reflecting a reduction of 22.9%[109]. - The group is exploring various methods, including short-term or medium-term notes, to improve its borrowing structure in terms of interest rates and repayment terms[109]. Operational Performance - The group is restructuring its manganese product processing portfolio to increase the proportion of higher-margin products, aiming for profitability and positive cash flow[11]. - The group is adjusting its trading business sales strategy for 2025 in response to recent trends in manganese ore and non-manganese metal prices[11]. - The manganese mining segment generated external sales of HKD 144,497,000, while the electrolytic manganese and alloy materials segment achieved HKD 1,030,761,000 in sales[25]. - The battery materials production segment reported external sales of HKD 2,162,924,000, contributing significantly to overall revenue[25]. - The average selling price of electrolytic manganese metal products decreased by 9.3% to HKD 12,289 per ton in 2024, compared to HKD 13,556 per ton in 2023[60]. - The average selling price of lithium manganate decreased by 49.4% to HKD 34,731 per ton, compared to HKD 68,654 per ton in 2023[80]. Cost Management - The group is implementing measures to enhance cost control over administrative and operational expenses to improve cash flow[11]. - Administrative expenses decreased by 18.7% to HKD 523.9 million in 2024, compared to HKD 644.8 million in 2023[90]. - The cost of goods sold decreased to HKD 11,685,627,000 in 2024 from HKD 16,099,731,000 in 2023, a decline of about 27.5%[39]. - Research and development costs reduced to HKD 76,969,000 in 2024 from HKD 116,799,000 in 2023, a decrease of approximately 34.1%[39]. Future Strategies - The group aims to enhance manganese resource exploration and reserves through strategic acquisitions and operational efficiency improvements[126]. - The company plans to implement a strategy focused on increasing production capacity, reducing costs, promoting savings, and strengthening management by 2025[127]. - The company will introduce advanced production equipment and optimize processes to increase overall production capacity and efficiency[128]. - Cost reduction will be achieved through detailed planning and strict cost control measures across production, procurement, and operations[129]. Corporate Governance and Communication - The annual general meeting is scheduled for June 6, 2025, to discuss future strategies and performance[134]. - The audit committee has reviewed the accounting policies and financial reporting for the year ending December 31, 2024[136]. - The company has published its annual report and financial results on the Hong Kong Stock Exchange and its own website[143]. - The company expresses gratitude to shareholders, business partners, distributors, and customers for their loyal support[144].
南方锰业(01091) - 2024 - 年度业绩