Financial Performance - Revenue for the six months ended June 30, 2022, was HK$3,250,758,000, an increase of 43% compared to HK$2,271,500,000 for the same period in 2021[10] - Gross profit for the period was HK$1,441,404,000, representing a gross margin of approximately 44.3%[10] - Profit before taxation increased to HK$1,047,296,000, up 49% from HK$703,794,000 in the previous year[10] - Profit for the period reached HK$891,329,000, a 52% increase compared to HK$587,028,000 in the prior period[10] - Basic earnings per share were 108.0 HK cents, compared to 71.2 HK cents for the same period last year[10] - Total comprehensive income for the period was HK$661,950,000, slightly down from HK$690,477,000 in the previous year[10] - The company reported other income of HK$37,057,000, down from HK$40,486,000 in the previous year[10] Assets and Liabilities - As of June 30, 2022, total assets less current liabilities amounted to HK$6,374,871,000, an increase from HK$6,279,266,000 as of December 31, 2021, reflecting a growth of approximately 1.5%[12] - Net current assets increased significantly to HK$1,121,078,000 from HK$807,245,000, representing a growth of approximately 38.8%[12] - The company's bank borrowings decreased to HK$329,134,000 from HK$600,205,000, a reduction of approximately 45%[12] - Total equity rose to HK$5,980,939,000, up from HK$5,574,930,000, indicating an increase of about 7.3%[12] - Trade and other payables decreased to HK$537,182,000 from HK$613,221,000, a decline of approximately 12.4%[12] - Deferred tax liabilities decreased to HK$39,111,000 from HK$65,876,000, a reduction of approximately 40.5%[12] Cash Flow and Investments - For the six months ended June 30, 2022, the net cash from operating activities was HK$881,817,000, an increase from HK$674,829,000 in the same period of 2021, representing a growth of approximately 30.7%[19] - The net cash used in investing activities was HK$283,943,000, a decrease from HK$397,945,000 in the previous year, indicating improved cash management in investments[19] - The company made payments for the purchase of property, plant, and equipment totaling HK$129,570,000, down from HK$228,276,000 in the previous year, showing a reduction in capital expenditure[19] - The company acquired property, plant, and equipment totaling HK$310,431,000 for the six months ended June 30, 2022, compared to HK$125,225,000 for the same period in 2021[70] Revenue Segmentation - The revenue from the manufacture and sale of chemical products was HK$3,224,035,000, up from HK$2,110,983,000, representing a 53% increase year-on-year[31] - The revenue from chloromethane products reached HK$944,987,000, a 59% increase compared to HK$594,627,000 in the previous year[31] - The company reported a significant increase in revenue from lithium-ion battery additives, generating HK$26,230,000, compared to no revenue in the same period last year[31] - The Group's revenue is recognized at a point in time, with normal credit terms ranging from 7 to 60 days upon delivery[31] Shareholder Returns - The company paid dividends totaling HK$264,000,000 during the period, compared to HK$136,125,000 in the same period last year, reflecting a significant increase in shareholder returns[19] - The Group declared an interim dividend of HK$0.38 per share, up from HK$0.26 per share in the previous year, marking a 46.2% increase[54] Research and Development - Research and development costs amounted to HK$120,039,000, compared to HK$94,137,000 in the same period last year, indicating increased investment in innovation[10] - The Group aims to strengthen investment in polymer materials and expand its footprint in the lithium battery supply chain[91] Corporate Governance - The company has complied with the Corporate Governance Code throughout the six months ended June 30, 2022[116] - The Audit Committee has reviewed the group's results for the six months ended June 30, 2022, discussing accounting principles and internal controls[119] - The company established a Remuneration Committee comprising independent non-executive directors to oversee remuneration matters[120] Market Outlook - The board is optimistic about future growth and plans to continue expanding its market presence and product offerings[9] - The Group aims to expand its footprint in the lithium battery product supply chain while consolidating its core business[87]
理文化工(00746) - 2022 - 中期财报