Financial Performance - For the fiscal year 2024, total revenue decreased by approximately 29.5% to RMB 142.4 million from RMB 202.0 million in fiscal year 2023[5]. - Sales revenue from spherical graphite and its by-products dropped by approximately 70.5% to RMB 29.4 million compared to RMB 99.6 million in the previous fiscal year[5]. - Sales revenue from flake graphite concentrate increased by approximately 7.5% to RMB 109.0 million from RMB 101.3 million in fiscal year 2023[5]. - Gross profit for fiscal year 2024 was approximately RMB 41.6 million, a decrease of about 43.6% from RMB 73.7 million in fiscal year 2023, with a gross margin decline from 36.5% to 29.2%[5]. - The net loss for fiscal year 2024 was approximately RMB 12.5 million, compared to a net profit of RMB 21.3 million in fiscal year 2023, representing a decline of 158.6%[5]. - Total revenue for the fiscal year ending December 31, 2024, was approximately RMB 142.4 million, a year-on-year decrease of 29.5% due to low demand in the natural graphite market and intense competition[14]. - The company recorded a net loss of approximately RMB 12.5 million for the year, compared to a net profit of approximately RMB 21.3 million in the previous year[14]. - Revenue from spherical graphite and its by-products decreased from approximately RMB 996 million in FY2023 to about RMB 294 million in FY2024, a decline of approximately 70.5%[47]. - Revenue from flake graphite concentrate increased from approximately RMB 1,013 million in FY2023 to about RMB 1,090 million in FY2024, an increase of approximately 7.5%[47]. - Total revenue from graphite products decreased to approximately RMB 1,384 million in FY2024, down from approximately RMB 2,010 million in FY2023, a decline of approximately 31.1%[47]. Production and Operations - The company reduced production of spherical graphite due to a slowdown in the downstream anode industry and intensified competition in the graphite market[5]. - The total production of spherical graphite is planned to decrease from approximately 8,700 tons in the previous fiscal year to about 3,200 tons in the current fiscal year[15]. - Sales volume of spherical graphite was 3,089 tons, a decrease of 52.0% year-on-year, with a gross margin of 16.6%, down 18.9 percentage points[15]. - The company focused on mining activities and waste removal at the North Mountain mine, with a total of 2,667,000 tons of material mined in FY2024, including 2,176,000 tons of unprocessed marble and waste[41]. - The company is applying for mining rights for graphite resources below 150 meters elevation at the Beishan mine, with an estimated total resource of approximately 54.9 million tons[16]. - A new beneficiation plant and processing facility are under construction at the Beishan mine to ensure sustainable future capacity growth[17]. - The company completed the acquisition of industrial land in Weihai, Shandong Province, to prepare for downstream supporting facilities[17]. Governance and Management - The board of directors includes executive directors Zhao Liang and Li Weihai, along with independent non-executive directors, ensuring a diverse governance structure[7]. - The company maintains a diversified board structure and emphasizes compliance and risk management to ensure healthy operations[20]. - The company has reported a significant increase in overall financial management and corporate governance under the leadership of CFO Li Weihai, who has over 15 years of experience in accounting and compliance[81]. - The management team includes experienced professionals such as General Manager Wang Guilu, who has been with the company since June 2006, overseeing sales and marketing activities[91]. - The board is committed to maintaining high standards of corporate governance, as reported during the governance report period[96]. - The company emphasizes the importance of effective corporate governance practices to protect shareholder interests and enhance shareholder value[98]. - The board consists of two executive directors and four independent non-executive directors, ensuring strong independent elements[105]. - The company has established various committees, including the audit committee, remuneration committee, nomination committee, and compliance committee[112]. Financial Management - The company recorded a net financial cost of approximately RMB 4.1 million for the fiscal year 2024, compared to a net financial income of approximately RMB 0.9 million for the fiscal year 2023, primarily due to increased borrowing costs[56]. - The effective tax rate for the company's main subsidiaries was 15% for both fiscal years 2024 and 2023, benefiting from government tax incentives[57]. - The company aims to optimize production costs by enhancing graphite mining operations, which is expected to provide a long-term competitive advantage[61]. - The total capitalized costs for mining activities in FY2024 were approximately RMB 10.4 million, compared to RMB 9.3 million in FY2023[40]. - The company has revised the use of net proceeds from the global offering to focus on land acquisition, with RMB 71.7 million allocated for this purpose[62]. - The company has obtained several bank loans and arranged guarantees for these loans during the 2024 fiscal year[180]. Market Outlook - In 2024, China's new energy vehicle production and sales are expected to reach 12.89 million and 12.87 million units, representing year-on-year growth of 34.4% and 35.5% respectively, with new energy vehicles accounting for 40.9% of total vehicle sales, an increase of 9.3 percentage points from 2023[22]. - The global shipment of anode materials is projected to reach 2.21 million tons in 2024, a year-on-year increase of 21.3%, with China's share rising to 95.9%[22]. - The company is optimistic about the long-term market prospects for natural graphite despite current industry challenges, driven by national policies and increasing strategic importance[23]. Corporate Social Responsibility - The company has received the "Green Factory" honor from the China Non-Metallic Mining Industry Association, reflecting its commitment to environmental responsibility[21]. - The company is committed to reducing energy consumption and minimizing environmental impact as part of its corporate social responsibility[166]. Shareholder Relations - The company emphasizes effective communication with shareholders to enhance investor relations[149]. - The company has established a shareholder communication policy to ensure effective and efficient communication with shareholders[149]. - The company is focused on sustainable profit growth and will consider business development needs and financial stability when deciding on dividends[161]. Employee and Board Diversity - The board diversity policy aims to enhance performance quality, with a current composition of 1 female and 5 male directors[123]. - The company emphasizes the importance of candidates' abilities and experiences over gender in recruitment, despite a higher proportion of male employees in the mining industry[122]. - The company aims to enhance employee engagement and accountability to achieve long-term sustainable growth and success in the graphite industry[97].
中国石墨(02237) - 2024 - 年度业绩