Sales and Revenue Performance - In 2024, the total sales volume of the group's products reached approximately 338,800 tons, an increase of 8,215 tons compared to 2023[8]. - Total revenue from steel products was approximately RMB 1,938,246,000, an increase of about RMB 14,041,000 from 2023[8]. - For the year ended December 31, 2024, the company achieved revenue of approximately RMB 1,944,411,000, an increase of about RMB 16,011,000 or 0.8% compared to the same period in 2023[19]. - Total sales volume for various products reached 338,800 tons, an increase of approximately 8,215 tons or 2.5% from 330,585 tons in 2023[19]. - The sales volume of cold-rolled products increased by 38.8% to approximately 35,900 tons, contributing to a revenue increase of about 30.5% despite a decline in average selling price[20]. Profitability and Margins - The gross profit margin improved from 9.3% in 2023 to 11.0% in 2024, despite a 1.6% decrease in overall sales price[8]. - Gross profit for the year was approximately RMB 213,725,000, with a gross margin increase from 9.3% in 2023 to 11.0% in 2024[21]. - Net profit for the year rose to approximately RMB 92,703,000, reflecting a net profit margin increase from 4.0% in 2023 to 4.8% in 2024[28]. - The company’s return on equity (ROE) improved to 10.6% in 2024, up from 9.9% in 2023[28]. Operational Efficiency - The company maintained a full production capacity in 2024, with stable sales orders and production plans[10]. - The average selling price of galvanized steel products decreased, but production costs were reduced by approximately 3.4% due to effective management measures[8]. - Selling expenses increased from approximately RMB 56,525,000 in 2023 to RMB 69,834,000 in 2024, primarily due to rising transportation costs[23]. - Administrative expenses rose from approximately RMB 27,645,000 in 2023 to RMB 29,851,000 in 2024[24]. - Financial costs decreased from approximately RMB 20,147,000 in 2023 to RMB 18,247,000 in 2024, mainly due to reduced bank loan interest expenses[25]. Financial Position - As of December 31, 2024, the group's bank deposits and cash amounted to approximately RMB 239,102,000, an increase from RMB 168,990,000 in 2023[29]. - The net current assets as of December 31, 2024, were approximately RMB 633,026,000, representing a 25.5% increase from RMB 504,248,000 in 2023[30]. - The current ratio as of December 31, 2024, was approximately 1.9, compared to 1.6 in 2023, indicating a healthy financial position[30]. - As of December 31, 2024, the group had approximately RMB 349,100,000 in bank and other loans, down from RMB 501,328,000 in 2023[31]. - The debt-to-equity ratio as of December 31, 2024, was approximately 0.4, compared to 0.6 in 2023[32]. Risk Management - The group faced various financial risks, including foreign exchange risk, interest rate risk, and credit risk, with no hedging instruments currently in use[35][37][38]. - Approximately 90.3% of the group's revenue in 2024 was settled in RMB, while about 9.7% was settled in foreign currencies, exposing the group to foreign exchange risk[36]. - The company has identified areas for improvement in its internal control systems and has taken appropriate measures to manage operational risks[166]. Corporate Governance - The group’s independent non-executive directors bring extensive experience in finance, engineering, and the steel industry, enhancing governance and strategic oversight[52][53]. - The board believes that good corporate governance is crucial for the company's success and enhancing shareholder value, adhering to the corporate governance code[130]. - The board composition remained unchanged for the year ending December 31, 2024, with a gender diversity ratio of 25%, consisting of 2 female directors out of 8 total[156]. - The board has established measurable targets for diversity, including a preliminary goal of having at least one director of a different gender since the company's listing[156]. Environmental and Social Responsibility - The company is committed to integrating environmental sustainability into its operations to reduce carbon emissions and comply with Chinese environmental laws[199]. - The company emphasizes the importance of environmental, social, and governance (ESG) management for sustainable economic growth and has integrated climate-related issues into its risk management framework[189]. - The company values feedback on its sustainability performance and has established an online feedback form for stakeholders[184]. Employee Relations - The company emphasizes the importance of employees as valuable assets and provides competitive compensation and appropriate training for career development[69]. - The company has implemented a set of occupational health and safety procedures to ensure a safe and healthy work environment for employees[69]. Shareholder Relations - The company has established a shareholder communication policy to effectively respond to shareholder concerns and feedback[176]. - There is no fixed dividend payout ratio; any dividend payments will depend on the company's overall operational performance, financial condition, cash flow, and future prospects[177].
康利国际控股(06890) - 2024 - 年度财报