Financial Performance - Shipment volume increased by 8.2%[2] - Operating profit rose by 15.7% to $184.5 million, with an operating margin increase from 10.7% to 11.9%[2] - Net profit increased by 21.2% to $170.1 million[2] - Revenue for the year reached $1,545.1 million, compared to $1,492.7 million in the previous year[5] - Gross profit increased to $384.0 million from $366.7 million, reflecting a growth in gross margin[5] - Basic earnings per share increased to HK$1.6490 from HK$1.3937, equivalent to $0.2113 from $0.1780[7] - The operating profit before fair value changes of financial instruments was $184,534 thousand, with a net profit before tax of $198,822 thousand, reflecting a solid financial performance[25][29] - The company reported a pre-tax profit of $198,822,000 for 2024, up from $161,336,000 in 2023, reflecting a growth of approximately 23%[52] - Net profit for the year was $170,100,000, reflecting an increase from $140,300,000 in 2023, with an adjusted net profit margin of 11.1%[95] Cash Flow and Financial Position - Strong net cash position of $417.6 million, up 45.3% from $287.4 million as of December 31, 2023[2] - Cash flow from operating activities amounted to $264.1 million, compared to $229.2 million in the previous year[12] - Cash and cash equivalents increased by $130,071 thousand in 2024, up from $81,792 thousand in 2023[14] - The ending cash and cash equivalents balance for 2024 was $423,547 thousand, an increase from $294,471 thousand in 2023[14] - The company maintained a net cash position of USD 417.6 million as of December 31, 2024, compared to USD 287.4 million as of December 31, 2023, with a net capital debt ratio of -37.4%[107] - The current ratio as of December 31, 2024, was 3.2, indicating strong liquidity and financial stability, compared to 3.1 as of December 31, 2023[105] Dividends and Shareholder Returns - Proposed final dividend of HK$0.50 per share and an additional special dividend of HK$0.56 per share, totaling HK$1.71 for the year 2024[2] - The proposed final dividend for 2024 is approximately $112,998,000, compared to $63,415,000 in 2023, indicating a commitment to returning value to shareholders[57] - The company achieved a cash return to shareholders with a proposed final dividend of HKD 0.50 per share and an interim dividend of HKD 0.65 per share, maintaining a payout ratio of approximately 70% based on adjusted net profit of USD 171.2 million[103] Investments and Capital Expenditures - Capital expenditures for the year were $66,980 thousand, indicating ongoing investment in property, plant, and equipment[27][31] - The company plans to gradually increase production capacity in new factories in Solo, Indonesia, and Bangladesh as part of its 2023-2025 strategy[81] - The company is considering acquiring a small handbag and accessories factory in Vietnam to enhance its production capabilities and accelerate growth in this segment[102] Market and Revenue Segmentation - North America accounted for the largest share of revenue at $732,874 thousand, followed by Europe at $361,676 thousand and China at $260,219 thousand[32] - The manufacturing segment generated external sales of $1,542,519 thousand, while the retail and wholesale segment contributed $2,595 thousand, indicating a strong reliance on manufacturing for revenue[25][37] - The average selling price of footwear decreased by 4.4% to $28.4 per pair due to a higher proportion of lower-priced athletic products[88] Employee and Operational Metrics - The total number of employees increased to approximately 63,200 as of December 31, 2024, from about 59,800 the previous year, reflecting the company's growth and expansion efforts[117] - The company’s total employee benefits expenses rose to $376,224,000 in 2024, up from $363,132,000 in 2023, reflecting increased workforce costs[44] Sustainability and Governance - The MSCI ESG rating improved from "B" to "A" in 2024, reflecting the company's commitment to sustainability goals[78] - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange and has complied with all relevant provisions for the year ending December 31, 2024[121] Miscellaneous - The company did not recognize any impact from the revised Hong Kong Financial Reporting Standards on its financial position or performance for the year[19] - The company has no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the year ended December 31, 2024[112] - The board is not aware of any significant matters affecting the company or its subsidiaries since the end of the financial year[127]
九兴控股(01836) - 2024 - 年度业绩