Financial Performance - Revenue for the year ended December 31, 2024, was RMB 46,453,309 thousand, a decrease of 8.1% compared to RMB 50,560,063 thousand in 2023[8] - Gross profit for the same period was RMB 685,686 thousand, down 25.6% from RMB 921,534 thousand in 2023[8] - The total comprehensive loss for the year was RMB (385,139) thousand, representing an increase of 102.2% compared to RMB (190,493) thousand in 2023[8] - The company recorded a net loss of approximately RMB 385.1 million for the year ending December 31, 2024, an increase of about 102.2% compared to a net loss of approximately RMB 190.5 million for the year ending December 31, 2023[42] - The company achieved revenue of approximately RMB 46.45 billion and a gross profit of approximately RMB 686 million for the review year[45] - Gross profit decreased from approximately RMB 921.5 million in 2023 to approximately RMB 685.7 million in 2024, primarily due to the reduction in revenue[53] - Other income fell from approximately RMB 69.2 million in 2023 to approximately RMB 57.3 million in 2024, mainly due to a decrease in government subsidy income[54] Sales and Processing Volumes - Stainless steel sales volume increased by 0.7% to 2,056,957 tons from 2,043,000 tons in 2023[11] - Carbon steel sales volume rose by 4.2% to 5,059,186 tons compared to 4,855,332 tons in 2023[11] - The processing volume of stainless steel decreased by 1.9% to 3,179,884 tons from 3,241,597 tons in 2023[11] - The processing volume of carbon steel also declined by 1.6% to 4,785,147 tons from 4,863,370 tons in 2023[11] - The annual sales volume of stainless steel processing increased by approximately 0.7% from about 2,043,000 tons in 2023 to about 2,057,000 tons in 2024, while processing volume decreased by approximately 1.9% from about 3,242,000 tons to about 3,180,000 tons[42] - The annual sales volume of carbon steel processing increased by approximately 4.2% from about 4,855,000 tons in 2023 to about 5,059,000 tons in 2024, while processing volume decreased by approximately 1.6% from about 4,863,000 tons to about 4,785,000 tons[42] Corporate Governance and Board Structure - The board consists of 6 executive directors, 2 non-executive directors, and 4 independent non-executive directors, with a total of 5 board meetings held in the fiscal year ending December 31, 2024[71][73] - The board's composition reflects a mix of experience, with recent appointments and resignations noted, ensuring a diverse governance structure[71][72] - The board of directors consists of four independent non-executive directors, accounting for one-third of the board's total members[87] - The board has delegated certain functions to committees, including the remuneration committee, nomination committee, and audit committee[89] - The independent non-executive directors provide independent opinions on the group's business strategy, performance, and management[86] - The company has established a mechanism to ensure the board receives independent views and opinions, with at least one-third of the board being independent non-executive directors[83] Strategic Initiatives and Future Plans - The company plans to focus on market expansion and new product development in the upcoming fiscal year[18] - The company plans to enhance service networks and improve processing service capabilities through investments in advanced automation equipment and digital transformation of existing production facilities[43] - The company aims to become a global leader in metal processing services, focusing on sustainable profitability, cash flow, and dividend growth without compromising financial stability[70] - The company is focused on internal growth in industries or regions where it has management experience and resources[70] - The company is increasingly prioritizing sustainability, including circular economy practices and sustainable procurement[70] Risk Management and Internal Controls - The board is responsible for risk management and internal control systems, which are designed to manage risks rather than eliminate them[128] - The group has established and maintained effective risk management and internal control systems, ensuring adequate resources and qualified personnel in accounting, internal audit, and financial reporting[132] - The internal audit function regularly analyzes and independently reviews the adequacy and effectiveness of the group's risk management and internal control systems, reporting findings to the audit committee[133] - The group conducts annual reviews of its risk management and internal control systems, covering all significant controls including financial, operational, and compliance monitoring[135] - The group has adopted a whistleblowing and anti-fraud policy to maintain high standards of business ethics, encouraging employees to report observed and suspected violations[136] Employee and Board Diversity - The company aims to maintain gender diversity on the board, with one female director representing 8% of the board members[106] - As of December 31, 2024, 81% of the company's employees and senior management are male, while 19% are female[109] - The company has adopted a board diversity policy since 2013, considering various factors such as gender, age, and professional experience[102] - The company plans to review its diversity policy annually to ensure its effectiveness and make necessary adjustments[108] Shareholder Communication and Engagement - The company emphasizes regular communication with shareholders and investors to ensure they are informed about strategies and financial performance[123] - The company will hold interactive live sessions after announcing interim or annual results to enhance communication with investors[126] Major Shareholders and Ownership Structure - The major shareholders include Lianhao Group Limited with 738,435,000 shares (57.94%), China Baowu Steel Group Co., Ltd. with 207,500,000 shares (16.28%), and Baosteel Stainless Steel (International) Co., Ltd. with 103,750,000 shares (8.14%)[192] - The board of directors includes significant shareholders, with Zhou Keming and Xu Xia holding 738,551,000 shares each, representing 57.95% of the issued share capital[186] Dividend Policy - The company has a dividend policy established in 2019, which was revised on March 28, 2025, focusing on sustainable dividend distribution while enhancing business growth capabilities[115] - The board will consider various factors, including financial performance and capital expenditure needs, when proposing any dividend distribution[116] - The company did not declare any interim dividends for the year, consistent with 2023[158] - The company did not recommend any final dividends for the year ending December 31, 2024, similar to 2023[159]
大明国际(01090) - 2024 - 年度财报