Financial Performance - For the year ended December 31, 2021, the Group's revenue decreased by 7.9% to HK$727,167,000 compared to 2020[7] - The net profit for the same period decreased by 48.1% to HK$52,918,000 compared to the previous year[7] - Total EBITDA in 2021 decreased by 27.9% to HK$151,348,000 compared to 2020[7] - Profit attributable to owners of the Company was HK$40,419,000, a decrease of 45.8% from 2020[7] - Basic earnings per share attributable to owners of the Company decreased by 45.9% to HK$1.33[13] - Profit for the year decreased to HK$52,918,000 in 2021 from HK$102,046,000 in 2020, representing a decline of 48.2%[87] - EBITDA for the year was HK$151,348,000, down from HK$209,958,000 in 2020, a decrease of 28.0%[87] - Gross profit for the year was HK$191,665,000, down 12.8% from HK$219,783,000 in the previous year[150] - Operating profit decreased to HK$73,564,000, representing a decline of 42.2% compared to HK$127,242,000 in 2020[150] Revenue Breakdown - Revenue from industrial and medical waste treatment and disposal services was HK$456,400,000[16] - Revenue from environmental equipment construction and installation services was HK$124,496,000[16] - Revenue from environmental treatment and disposal services for industrial and medical wastes was HK$456,400,000, down 24.1% from HK$601,211,000 in 2020[60] - Revenue from environmental industrial sewage treatment and installation services increased by 109.5% to HK$124,496,000 from HK$59,419,000 in 2020[60] - Revenue from environmental plating sewage treatment services in the Eco-plating Specialised Zone reached approximately HK$146,271,000 in 2021, an increase from HK$128,711,000 in 2020, with a profit margin of 16.5% compared to 13.4% in 2020[41] Challenges and Market Conditions - The Group faced challenges due to the continuous impact of COVID-19 and stricter national control on emissions and pollutants[7] - The local market demand for handling hazardous waste has changed, affecting overall performance[7] - The Group's overall performance in 2021 was down-turning compared to 2020[7] - The competition in the hazardous waste treatment market has intensified due to an increase in licensed disposal companies, while the quantity of hazardous waste produced has not increased proportionately, affecting profitability[135] - The Group faced challenges in logistics for hazardous waste collection and transportation due to COVID-19, impacting costs and revenue[49] Financial Position - Equity attributable to owners of the Company as of December 31, 2021, was HK$1,052,779,000[7] - Total bank borrowings of the Group as of December 31, 2021, was HK$198,970,000[7] - Cash and cash equivalents of the Group as of December 31, 2021, was HK$302,074,000[7] - The Group's total assets as of 31 December 2021 amounted to approximately HK$1,784,011,000, compared to HK$1,745,603,000 in 2020, reflecting a stable financial position[79] - Total liabilities increased to HK$601,201,000 in 2021, up from HK$582,266,000 in 2020, representing a growth of 2.6%[162] Dividends and Shareholder Returns - The Board proposed a final dividend of HK$0.0039 per share, representing a payout ratio of approximately 29.3%[9] - The group declared a dividend of HK$11,839,000 for the year, down from HK$21,857,000 in the previous year, reflecting a 45.1% decrease[150] Strategic Initiatives - The Group aims to explore new opportunities in the environmental industry while maintaining healthy indebtedness and liquidity[9] - The company plans to focus on environmental-related business and explore restructuring opportunities to improve sustainable performance[55] - The Group plans to strengthen its marketing functions and contractual relationships with existing clients and intermediary agencies to ensure stable operations during transitional changes in the market[136] - The Group's business strategy includes enhancing market penetration across different geographical areas to reduce dependency on specific markets[139] Human Resources and Management - The Group's employee costs for the year ended December 31, 2021, amounted to HK$108,986,000, up from HK$93,515,000 in 2020, reflecting an increase in full-time employees to 651[121] - The emoluments of senior management members (excluding Directors) in 2021 included 2 individuals earning between HK$500,001 to HK$1,000,000 and 2 individuals earning between HK$1,000,001 to HK$1,500,000[192] - The total number of senior management members (excluding Mr. DAI) remained consistent at 6 in both 2021 and 2020[192] Governance and Directors - Ms. Erica XI was appointed as executive director and a member of the executive committee effective from October 1, 2020[171] - Mr. ZHENG was appointed as executive director on August 20, 2021, and is a member of the executive committee of the Board[171] - Dr. Chan has been an independent non-executive director since February 1, 2000, and serves as the chairman of the audit committee[175] - Directors Zheng, Liu, Chan, Yuen, and Ho will retire by rotation, with Mr. Zheng eligible for re-election at the upcoming annual general meeting[179]
新宇环保(00436) - 2021 - 年度财报