Revenue and Financial Performance - In the first half of 2025, the Group's revenue was approximately RMB 701.86 million, reflecting a year-on-year increase of 5.53% in pipeline and liquefied industrial gas business[17]. - The Group's revenue for the first half of 2025 was approximately RMB701.86 million, representing an increase of 9.54% compared to RMB640.75 million in the same period of 2024[22][35]. - The revenue from liquefied natural gas products and pipeline transportation at the Luanxian plant increased by 34.83% compared to the same period last year[17]. - The revenue from the supply of industrial gases (pipeline and liquefied) was approximately RMB580.44 million, with a gross profit margin of 27.02%[33]. - The sales of pipeline industrial gas reached approximately 1,935.36 million NM3, generating revenue of approximately RMB511.84 million, an increase from RMB462.32 million in the same period of 2024[34][35]. - The revenue from liquefied natural gas (LNG) and gas transmission services was approximately RMB112.86 million, up from RMB83.71 million in the same period of 2024, marking a growth of 34.83%[22][35]. - The gross profit for the reporting period was approximately RMB168.44 million, an increase of approximately 1.99% from RMB165.16 million in the same period of 2024[52]. - The profit attributable to owners for the reporting period was approximately RMB74.60 million, compared to RMB51.79 million in the same period of 2024[52]. - Revenue from pipeline industrial gas supply was approximately RMB512.59 million, an increase of approximately 10.87% from RMB462.32 million in the same period of 2024, mainly due to an increase in third-party pipeline gas users[54]. - Revenue from liquefied industrial gas supply was approximately RMB62.69 million, a decrease of approximately 23.92% from RMB82.40 million in the same period of 2024, primarily due to increased pipeline gas supply leaving no excess oxygen for liquefaction[54]. - Revenue from liquefied natural gas and gas transportation services was approximately RMB112.87 million, an increase of approximately 34.83% from RMB83.71 million in 2024, attributed to the resumption of normal production of liquefied natural gas[54]. - The total comprehensive income for the period was RMB 75,285,922, up from RMB 52,889,545, reflecting a growth of 42.5%[164]. - For the six months ended June 30, 2025, total external revenue reached RMB 701,859,449, with the supply of industrial gas contributing RMB 580,443,170[199]. Production and Market Conditions - In the first half of 2025, China's crude steel production was approximately 515 million tons, a decrease of 3.0% year-on-year[17]. - Pig iron production was approximately 435 million tons, down 0.8% year-on-year[17]. - Steel product production reached approximately 734 million tons, showing a year-on-year increase of 4.6%[17]. - The steel industry in 2025 is expected to face challenges due to high raw material prices and declining steel prices, leading to a significant decline in profitability[36]. Expenses and Financial Management - Selling and marketing expenses decreased by approximately 5.26% to RMB1.44 million from RMB1.52 million in 2024, primarily due to reduced equipment maintenance costs[62]. - Administrative expenses decreased by approximately 23.36% to RMB17.98 million from RMB23.46 million in 2024, mainly due to lower depreciation and service fees[63]. - The credit loss allowance for trade receivables increased by approximately RMB12.11 million, compared to RMB1.88 million in 2024, due to an increase in aged receivables[64]. - The Group's liquidity policy has been effective in managing liquidity risk, ensuring the ability to meet short-term and long-term liquidity needs[84][93]. - The Group does not currently have a foreign currency and interest rate hedging policy but monitors exposure regularly[89][95]. Assets and Liabilities - The Group's total cash and bank balances were approximately RMB193.84 million as of June 30, 2025, up from RMB183.88 million at the end of 2024[72]. - The current ratio was approximately 1.43 as of June 30, 2025, down from 1.54 at the end of 2024, with total current assets increasing by 3.00% and total current liabilities increasing by 10.84%[75]. - As of June 30, 2025, the provision for impairment loss for trade receivables was approximately RMB38.69 million, an increase from RMB26.58 million as of December 31, 2024[80][83]. - Approximately 96% of trade receivables were payable by HBIS and HBIS Group as of June 30, 2025, up from 89% as of December 31, 2024[80][83]. - The Group's total capital commitments amounted to approximately RMB36.83 million as of June 30, 2025, down from approximately RMB55.68 million as of December 31, 2024[91][97]. Shareholder Information and Corporate Governance - The Board does not recommend the payment of an interim dividend for the year ending December 31, 2025 (2024: Nil)[122]. - As of June 30, 2025, none of the Directors or chief executives had any interests or short positions in the shares of the Company[128]. - Huitang Zhihe (Hong Kong) Co., Limited holds 431,904,000 shares, representing approximately 35.99% of the Company's issued share capital[130]. - China Gas Investors Ltd. holds 468,096,000 shares, representing approximately 39.01% of the Company's issued share capital[130]. - The company has complied with all applicable code provisions set out in the Corporate Governance Code throughout the Reporting Period[119]. Share Option Scheme - The Share Option Scheme was adopted on June 17, 2020, and is effective for 10 years from December 29, 2020, aimed at motivating and retaining eligible persons[141]. - The total number of shares available for issue under the Share Option Scheme is 120,000,000, representing 10% of the issued shares of the Company[150]. - No options were granted by the Company under the Share Option Scheme since the Date of Adoption, and there were no outstanding share options as of June 30, 2025[151]. - The maximum number of shares to be issued upon exercise of all outstanding share options shall not exceed 30% of the shares in issue at any time[146]. - The maximum number of shares issued and to be issued upon exercise of share options granted to any one Eligible Person in any 12-month period shall not exceed 1% of the shares in issue[147].
CGII HLDGS(01940) - 2025 - 中期财报