Financial Performance - The group’s revenue for the year ended December 31, 2022, was HK$2,464,242,000, a decrease of 8.6% compared to HK$2,694,810,000 in 2021[67]. - The gross profit for the continuing operations decreased by 20.3% to HK$330,540,000, down from HK$414,547,000 in the previous year[110]. - The Group recorded a net profit of HK$47,858,000 for the year, a decrease of 40.8% from HK$80,879,000 in the same period last year[110]. - The basic earnings per share for the year were HK2.44 cents[103]. - The gross profit margin declined from 15.4% to 13.4% due to macroeconomic challenges, resulting in a net profit of HK$47,858,000 for the year, with basic earnings per share of HK$0.0244[67]. - The decline in profit after tax was mainly due to the resurgence of the COVID-19 pandemic, which weakened demand for accessory and replacement tyres[110]. - The Group's long-term business outlook remains positive, with expectations for substantial results in the future[104]. - Total revenue for the year ended December 31, 2022, was HK$2,464,242,000, a decrease of 8.6% compared to HK$2,694,810,000 in 2021[199]. - Steel cords generated revenue of HK$2,462,767,000, accounting for 99.9% of total revenue, down from HK$2,693,480,000 in the previous year, reflecting an 8.6% decline[199]. Dividends - The final dividend for 2022 is set at HK0.73 cents per share, with no interim dividend declared[37]. - The board recommended a final dividend of HK$0.73 per share for the year ended December 31, 2022[68]. - The Board proposed a final dividend of HK0.73 cents per share for the financial year ended December 31, 2022, subject to shareholder approval[140]. Market Conditions - China's GDP growth for 2022 was only 3%, significantly lower than expected, with a year-on-year increase of 3.9% in Q3 and a decrease to 2.9% in Q4[65][66]. - China's GDP growth slowed to 3.0% in 2022, down from 8.1% in 2021, impacting the Group's operational environment[141]. - The conflict between Russia and Ukraine is anticipated to continue impacting global energy markets, presenting challenges for 2023[69]. Production and R&D - The company aims to achieve an annual manufacturing capacity exceeding 300,000 tonnes of high-quality steel cord[33]. - The company plans to enhance the stability of steel cord product quality and invest in the development of high-end products for diverse customers[69]. - Research and development will focus on new specifications of steel cords, techniques to lower energy costs, and modifications to reduce pollutant emissions[69]. - Future R&D efforts will focus on developing new specifications for steel cords, new technologies to reduce energy costs, and improving production facilities to decrease emissions[104]. - The increasing production of electric vehicles is expected to significantly boost the demand for matching tyres, accelerating market expansion for steel cords[104]. Governance and Management - The company is under the supervision of the Shougang Group, a state-owned enterprise directly overseen by the Beijing State-owned Assets Supervision and Administration Commission[3]. - The company is focused on maintaining strong governance through experienced board members with diverse backgrounds in finance and management[52][55]. - The company has implemented corrective measures following past regulatory issues, ensuring compliance with disclosure requirements[61]. - The board composition includes members with extensive experience in legal, financial, and engineering sectors, enhancing strategic decision-making[52][60]. - The company is committed to transparency and accountability in its financial reporting and governance practices[61]. - The company aims to appoint at least one female board member by December 31, 2024, as part of its commitment to board diversity[149]. - The Nomination Committee will seek to improve board diversity by identifying potential candidates through internal and external talent markets[165]. Shareholder Communication - The Company has maintained effective communication with shareholders through multiple channels, including financial reports and general meetings[180]. - The Shareholders' Communication Policy was reviewed and deemed properly implemented and effective during the year[193]. - The Company actively solicits opinions from shareholders and engages in various activities to enhance communication, including meetings and presentations[194]. - The Company’s website is utilized to provide timely updates and information regarding business developments[195]. - The Company is committed to responding to shareholder inquiries and suggestions in accordance with its Continuous Disclosure Obligation Policy[195].
首佳科技(00103) - 2022 - 年度财报