Financial Performance - The company reported a loss of RMB 316,863,000 for the six months ended June 30, 2023[16]. - The company reported a pre-tax loss of RMB 268,867 thousand for the six months ended June 30, 2023[50]. - The company reported a loss of RMB 256,813,000 for the six months ended June 30, 2023, compared to a loss of RMB 304,358,000 for the same period in 2022, indicating a reduction in losses by approximately 15.6%[84]. - The group reported customer contract revenue of RMB 1.428 billion for the six months ended June 30, 2023, compared to RMB 188.351 million from the sale of completed properties[33][45]. - Total revenue for the period was approximately RMB 188,351,000, a decrease of 86.8% compared to the previous period (approximately RMB 1,430,024,000)[131]. - Loss attributable to owners of the company for the period was approximately RMB 256,813,000, compared to a loss of approximately RMB 304,358,000 in the previous period[132]. - Property sales revenue for the period was approximately RMB 188,351,000, significantly down from approximately RMB 1,427,741,000 in the previous period, primarily due to weakened demand[133]. - The gross loss for the period was RMB 127.01 million, compared to a gross loss of RMB 77.25 million in the previous year[187]. - The company reported a net loss of approximately RMB 277.37 million for the six months ended June 30, 2023, compared to a net loss of RMB 316.86 million for the same period in 2022[197]. Assets and Liabilities - As of June 30, 2023, total assets amounted to RMB 8,384,639 thousand, with property development assets at RMB 6,413,650 thousand and property investment assets at RMB 673,048 thousand[52]. - The total liabilities as of June 30, 2023, were RMB 8,500,144 thousand, with property development liabilities at RMB 3,393,332 thousand and property investment liabilities at RMB 243,354 thousand[62]. - The company’s total borrowings amounted to approximately RMB 2.74 billion, with RMB 2.73 billion due within one year[197]. - The company’s current liabilities exceeded current assets by approximately RMB 640.83 million as of June 30, 2023[189]. - The company’s equity attributable to owners was a deficit of RMB 1.09 billion as of June 30, 2023, compared to a deficit of RMB 769.28 million at the end of 2022[200]. Cash Flow and Financing - Operating cash flow before changes in working capital was negative RMB 176.269 million for the six months ended June 30, 2023, compared to negative RMB 81.499 million for the same period in 2022[34]. - The group reported a net decrease in cash and cash equivalents of RMB 51.038 million for the six months ended June 30, 2023[34]. - As of June 30, 2023, the group's bank balance and cash were approximately RMB 112,654,000, down from RMB 183,449,000 on December 31, 2022[140]. - Total bank and other borrowings amounted to approximately RMB 2,740,946,000, with a debt-to-asset ratio of 32.7% as of June 30, 2023[140]. - The group is actively negotiating with banks and financial institutions to secure new financing for loan restructuring and ongoing property development[23]. Corporate Governance - The company has adopted the corporate governance code as per the listing rules, with all major decisions made after consulting the board[169]. - The audit committee consists of three independent non-executive directors, responsible for overseeing financial reporting and risk management[164]. - The company has complied with the corporate governance code, except for the separation of roles between the chairman and CEO[169]. - The company has confirmed compliance with the standard code of conduct for securities transactions by all directors during the reporting period[182]. - The company is focused on enhancing corporate governance practices to ensure compliance with the corporate governance code[169]. Shareholder Information - As of June 30, 2023, the total issued shares amounted to 11,365,386,067, with a significant shareholder holding 56.45%[8]. - The company’s major shareholder, Shun An Fund, holds 1,307,019,402 shares, representing 92.00% of its issued capital[8]. - As of June 30, 2023, Mr. Pan Haoran held 6,416,140,000 shares, representing approximately 56.45% of the company's issued share capital[161]. - The total number of issued shares as of June 30, 2023, was 11,365,386,067[161]. Operational Challenges - The company faced challenges due to the ongoing COVID-19 pandemic, supply chain disruptions, and a credit crisis among property developers, which have severely affected its business operations[82]. - The group anticipates that high interest and refinancing costs will significantly impact its operating performance for the year ending December 31, 2023[21]. Employee and Cost Management - Total employee costs (excluding directors' remuneration) increased to RMB 31,816,000 in the first half of 2023, up from RMB 24,455,000 in the same period of 2022, reflecting a rise of about 30.4%[8]. - Operating expenses included selling and distribution costs of approximately RMB 12,995,000, with a cost-to-revenue ratio of 6.90%, and administrative expenses of approximately RMB 35,650,000, with a cost-to-revenue ratio of 18.93%[136]. Investment and Development - The company is exploring investment opportunities beyond China, considering markets in France, Japan, and Malaysia to diversify its portfolio[89]. - The group is considering expanding trade operations in China, including building materials, food, and health-related products[95]. - The group is focused on property development and investment as its main business[127]. - The group aims to ensure market stability for food and agricultural products post-COVID-19[95].
福晟国际(00627) - 2023 - 中期财报