Financial Performance - In 2024, the company's revenue was RMB 22,669.2 million, a decrease of 4.6% from RMB 23,767.9 million in 2023[23]. - The net profit attributable to shareholders of the company for 2024 was RMB 2,298.5 million, down 17.9% from RMB 2,800.5 million in 2023[23]. - The basic earnings per share decreased to RMB 2.015 in 2024 from RMB 2.415 in 2023, representing a decline of 16.6%[23]. - The net profit margin based on profit attributable to shareholders was 10.1% in 2024, down from 11.8% in 2023[16]. - The Group's overall revenue decreased by approximately 4.6% to about RMB 22,669,215,000 for the year ended December 31, 2024, compared to RMB 23,767,936,000 in 2023[66]. - Profit attributable to shareholders fell approximately 17.9% to RMB 2,298,535,000 from RMB 2,800,533,000 in the previous year[42]. - Operating profit fell by 15.7% to approximately RMB 3,354,591,000, primarily due to the decline in overall gross profit[69]. - The Group's overall gross profit decreased by approximately 8.6% to about RMB 7,324,940,000, with a gross profit margin of approximately 32.3%, down from 33.7% in 2023[68]. Product Performance - The product revenue breakdown for 2024 showed sanitary napkins at 59.2%, tissue paper at 25.0%, disposable diapers at 10.2%, and others at 5.6%[22]. - Revenue from the sanitary napkin business decreased by approximately 8.1% to about RMB 5,677,965,000, accounting for approximately 25.0% of the Group's overall revenue[75]. - The tissue paper business revenue decreased by approximately 2.4% year-on-year to about RMB 13.42 billion, accounting for approximately 59.2% of the Group's total revenue[92][93]. - The gross profit margin for the sanitary napkin business remained stable at around 63.7% in 2024, with expectations for improvement in 2025[78]. - The gross profit margin for the tissue paper business declined to approximately 18.9% in 2024, down from 21.7% in 2023[96]. - The premium "Q • MO" series of disposable diapers contributed significantly, with its sales proportion increasing to 43.5%, enhancing gross profit margin[48]. - The "Fluffy Cube" series in the tissue paper business and the "Tianshan Cotton Series" in sanitary napkins received positive market responses, driving category growth[48]. Market Strategy - The company aims to enhance its corporate culture and brand image to become a leading manufacturer and distributor of fast-moving consumer products in China[4]. - The Group focused on product upgrades and premiumisation, resulting in strong sales performance for premium products amid intensified market competition[38]. - Hengan International actively expanded its e-commerce platforms and new retail channels to enhance market share and solidify its leading position[38]. - The Group plans to continue its omni-channel strategy and brand optimisation to stabilize revenue in 2025[64]. - The Group's e-commerce and new retail sales increased to approximately 34.1% of total sales, up from 30.1% in 2023, with revenue growth of approximately 8.0% year-on-year[65]. - The Group's strategy includes expanding emerging sales channels while reinforcing advantages in traditional channels amid intensified market competition[75]. Financial Position - The Group's total assets as of December 31, 2024, were RMB 39,804,411,000, a slight decrease from RMB 40,215,901,000 in 2023[28]. - Total liabilities decreased to RMB 18,658,830,000 from RMB 19,586,050,000 in the previous year[28]. - The gearing ratio was approximately 62.6% as of December 31, 2024, compared to 69.8% in 2023[146]. - The net gearing ratio was approximately negative 27.7% as of December 31, 2024, compared to negative 26.4% in 2023, indicating a net cash position of approximately RMB 5.80 billion[146]. - As of December 31, 2024, the Group's cash and bank balances totaled approximately RMB 18,892,708,000, while bank borrowings amounted to approximately RMB 13,089,848,000[138]. - The Group's total borrowings amounted to approximately RMB 13.09 billion, down from RMB 14.24 billion in 2023[143]. Sustainability and ESG Initiatives - Hengan is committed to integrating sustainable practices into its operations and has established a four-level ESG governance structure[160]. - Hengan's greenhouse gas emission intensity was 0.63 tons of CO2 equivalent per ten thousand yuan of sales revenue in 2024[166]. - Hengan's MSCI ESG rating reached "BBB" as of the end of the reporting period, and it has been included in the FTSE4Good Index Series[158]. - The company was awarded the "Prestigious ESG Accomplishment of the Year" in Hong Kong in 2024, becoming the only consumer goods company shortlisted for the award[159]. - Hengan has initiated the "100% Native Wood Pulp as Quality Certification Mark for Life Paper" initiative to promote quality standards in the tissue industry[173]. - The Group encourages suppliers to improve their ESG performance, integrating it into the supplier evaluation system[198]. Community Engagement - The Group donated 20 million yuan to the Quanzhou Autism Care Foundation to support special children[197]. - A total of 452 boxes of loving materials were donated to 27 elderly welfare institutions in Jinjiang City[197]. - The Group was awarded the "Quanzhou Charity Enterprise" at the Quanzhou Charity Conference in 2024[200]. - The "Pink Wings" initiative focuses on the health education of adolescent girls in over ten towns in northwestern Sichuan[199]. - The Group emphasizes social responsibility and community support as a core mission since its establishment in 1985[199].
恒安国际(01044) - 2024 - 年度财报