Tin Market Overview - The average tin price for the six months ended June 30, 2023, was $26,301 per ton, a decrease of approximately 34.6% compared to $40,210 per ton for the same period in 2022[3]. - China's tin consumption from January to May 2023 was 69,566 tons, down 11.3% from 78,400 tons in the same period of 2022[3]. - The average tin price fluctuated between $32,050 per ton in January 2023 and a low of $22,225 per ton in March 2023[3]. - The automotive industry, 5G-related products, and electronics are major contributors to the tin metal market, with stable demand expected to continue[6]. Financial Performance - The group's unaudited consolidated revenue for the six months ended June 30, 2023, was approximately HKD 392,086,000, a decrease of 44.8% compared to HKD 710,869,000 for the same period last year[23]. - Sales costs for the same period were approximately HKD 302,733,000, accounting for 77.2% of the recorded revenue, compared to 43.8% in the previous year[24]. - The group's gross profit for the six months ended June 30, 2023, was approximately HKD 89,353,000, with a gross profit margin of 22.8%, down from 56.2% in the previous year[25]. - Administrative expenses increased from approximately HKD 20,852,000 to HKD 28,672,000, representing 7.3% of the group's revenue, up from 2.9% in the previous year[26]. - Financial costs decreased from approximately HKD 2,798,000 to HKD 1,451,000, accounting for 0.4% of the group's revenue, consistent with the previous year[27]. - For the six months ended June 30, 2023, the company's revenue decreased by 44.8% to HKD 392,086,000, compared to HKD 710,000,000 for the same period in 2022[32]. - The gross profit for the period was HKD 89,353,000, down from HKD 399,237,000 for the same period in 2022, attributed to reduced tin production and falling average prices[32]. Production and Resources - The total production of tin metal from the Renison underground mine was 4,273 tons, a year-on-year decrease of approximately 7.73%[31]. - The total proven, measured, and inferred resources at the Renison underground mine amounted to 20,040,000 tons, with a tin grade of 1.54%[32]. - The Renison underground mine produced 4,273 tons of tin metal with an average tin grade of 1.68% during the six months ended June 30, 2023[169]. - The Renison tailings project involves processing approximately 22,300,000 tons of tailings with an average grade of 0.44% tin and 0.23% copper, containing about 99,000 tons of tin, one of Australia's largest tin resources[175]. - The estimated tin and copper resources include a total of 20,040 thousand tons of tin with an average grade of 1.54% and 23,886 thousand tons of copper with an average grade of 0.44%[123]. - The total estimated metal content from the resources is 307,851 tons of tin and 104,370 tons of copper[123]. Exploration and Development - The company plans to continue exploration and resource definition drilling at various locations, including Area 5 and Leatherwood Trend, to increase tin production and improve returns[5]. - The company continues exploration work at the Renison underground mine to uncover tin resources, particularly in the Bell 50 area[32]. - The company is developing new areas, including Area 5 and Leatherwood, which are significant for future mining plans[148]. - The company has established a comprehensive geological interpretation process to ensure resource estimates are reliable and representative of expected surface conditions[145]. - As of June 30, 2023, the company drilled 75 underground core holes totaling 25,607 meters, and 4 surface exploration core holes totaling 2,597 meters, effectively increasing controlled resource and estimated reserves[167]. Legal and Claims - The group is pursuing claims against Mr. Chen totaling approximately AUD 27,001,217 (approximately HKD 135,369,683.39) related to various disputes[16]. - The group reported a shortfall in tin concentrate production of approximately 2,348.9 tons over three years, leading to a claim of approximately AUD 5,496,266 (approximately HKD 27,555,342.72)[18]. - The group has attempted mediation with Mr. Chen but has not reached a settlement, and legal proceedings are ongoing[19]. - The court has scheduled a hearing for the ongoing litigation, with a trial set to begin on May 6, 2024[19]. Shareholder and Equity Information - The company has 28,686,000 unexercised stock options as of June 30, 2023, representing 2.1% of the total issued shares[14]. - Major shareholders include Amazing Express International Limited and Excel Jumbo International Limited, each holding 340,000,000 shares, representing approximately 24.89% of the company's issued share capital[184]. - The total equity attributable to owners of the company as of June 30, 2023, is 931,504,000 HKD, an increase from 929,304,000 HKD as of December 31, 2022[198]. - The company's total assets as of June 30, 2023, amount to 1,217,389,000 HKD, compared to 1,208,819,000 HKD at the end of 2022[198]. Corporate Governance and Compliance - The company has complied with all applicable provisions of the corporate governance code as of June 30, 2023[59]. - The company has adopted a code of conduct for securities trading by its directors, confirming compliance during the six months ending June 30, 2023[188]. - The company has not reported any significant events affecting the group since the end of the reporting period on June 30, 2023[187]. Capital Expenditures and Financial Position - Capital expenditures related to properties, machinery, and equipment for the six months ended June 30, 2023, were approximately HKD 127,669,000, down from HKD 226,853,000 for the same period in 2022[92]. - The company's liquidity ratio as of June 30, 2023, was 1.83, down from 2.06 as of December 31, 2022[51]. - The company's asset-to-liability ratio was 30.6% as of June 30, 2023, compared to 29.7% as of December 31, 2022[51]. - The company has not disclosed any significant acquisitions or disposals of subsidiaries, associates, or joint ventures for the six months ended June 30, 2023[94].
绿科科技国际(00195) - 2023 - 中期财报