Financial Performance - Revenue for the six months ended June 30, 2022, was RMB 11,200,021 thousand, representing a 12.3% increase from RMB 9,973,914 thousand in the same period of 2021[10]. - Gross profit margin decreased to 35.2% from 39.4% year-on-year[10]. - Operating profit for the period was RMB 1,885,753 thousand, a decline of 25.8% compared to RMB 2,540,583 thousand in the previous year[10]. - Profit attributable to equity holders of the company was RMB 1,276,191 thousand, down 31.4% from RMB 1,860,292 thousand in 2021[10]. - Basic and diluted earnings per share were both RMB 1.098, compared to RMB 1.574 in the same period last year[15]. - Total comprehensive income for the period was RMB 1,421,524 thousand, compared to RMB 1,851,142 thousand in the same period of 2021[17]. - The company reported a profit of RMB 1,860,292 thousand for the period, contributing to a total comprehensive income of RMB 1,848,610 thousand[20]. - The profit before tax for the six months ended June 30, 2022, was RMB 1,276,191,000, a decrease of 31.3% compared to RMB 1,860,292,000 in 2021[49]. - The net profit for the period was RMB 1,291,618 thousand, down from RMB 1,868,550 thousand in 2021, reflecting a decrease of approximately 30.8%[146]. Assets and Liabilities - Total assets as of June 30, 2022, reached RMB 47,051,156 thousand, an increase from RMB 42,292,748 thousand as of December 31, 2021, representing a growth of approximately 16.5%[18]. - Total liabilities as of June 30, 2022, were RMB 27,139,675 thousand, up from RMB 23,012,298 thousand at the end of 2021, representing an increase of approximately 17.5%[173]. - Total equity as of June 30, 2022, was RMB 19,911,481 thousand, up from RMB 19,280,450 thousand, reflecting an increase of approximately 3.3%[19]. - Non-current liabilities increased to RMB 2,310,543 thousand from RMB 974,818 thousand, showing a significant rise of approximately 136.5%[19]. - Current liabilities totaled RMB 24,829,132 thousand, compared to RMB 22,037,480 thousand, representing an increase of about 12.7%[19]. - The group reported a total liability of RMB 27,139,675 thousand as of June 30, 2022, compared to RMB 23,012,298 thousand as of December 31, 2021[43][44]. Cash Flow and Investments - Operating cash flow for the six months ended June 30, 2022, was RMB 2,684,847 thousand, compared to RMB 2,742,104 thousand in 2021, reflecting a decrease of 2.1%[21]. - Net cash generated from operating activities was RMB 2,124,023 thousand, down from RMB 2,214,898 thousand in the previous year, indicating a decline of 4.1%[21]. - Net cash from investing activities increased significantly to RMB 3,182,282 thousand from RMB 2,727,007 thousand, representing an increase of 16.7%[21]. - Cash and cash equivalents increased by RMB 8,475,704 thousand, compared to an increase of RMB 5,800,881 thousand in the same period last year, showing a growth of 46.1%[21]. - The company reported a net cash inflow from financing activities of RMB 3,169,399 thousand, a significant increase from RMB 858,976 thousand in the previous year[21]. - The total cash and bank deposits as of June 30, 2022, reached RMB 27,693,330,000, compared to RMB 22,282,950,000 as of December 31, 2021, marking an increase of about 24.5%[59]. Market and Business Strategy - The company aims to enhance its brand image and establish itself as a top-tier international fast-moving consumer goods manufacturer and distributor[2]. - The company is focused on expanding its market presence in China and certain overseas markets, particularly in the personal hygiene products sector[23]. - The company plans to continue developing women's health care products beyond sanitary napkins and explore opportunities to sell its products in overseas markets[84]. - The company aims to expand its market share and enhance the proportion of upgraded products in response to consumer demand for high-quality and diversified products[83]. - The company will focus on expanding production capacity and upgrading technology, including establishing a new base for sanitary napkins, diapers, and wet wipes in Fujian[109]. - The company is committed to long-term development strategies, including improving supply chain efficiency and cloud-based SAP system implementation[109]. Employee and Corporate Governance - The remuneration for key management personnel for the six months ended June 30, 2022, was approximately RMB 18,371,000, an increase from RMB 7,349,000 in the previous year[79]. - The group employed approximately 23,000 employees as of June 30, 2022, with a female employee ratio of about 58.84%[101]. - The total training hours for employees exceeded 144,400 hours during the first half of 2022, with 56 individuals promoted to management positions[106]. - The company confirmed compliance with the corporate governance code as per the listing rules[129]. Risk Management - The group continues to face various financial risks, including market risk, credit risk, and liquidity risk, with no changes in risk management policies since the end of last year[30]. - The company’s liquidity risk management showed no significant changes in the cash flows of financial liabilities compared to the end of the previous year[32]. - The estimated financial risks include market risk, credit risk, and liquidity risk, with no changes in risk management policies since the end of last year[159]. Shareholder Information - Major shareholders include Tianli Investment Limited with a 20.52% stake and Anping Holdings Limited with a 23.14% stake[116]. - Credit Suisse Trust Limited holds 47.57% of the company's shares as a trustee for various family trusts[116]. - The company declared an interim dividend of RMB 0.70 per share, a decrease from RMB 1.00 per share in 2021, totaling RMB 813,485,000[51]. Environmental and Social Responsibility - The group received the "Best Environmental, Social and Corporate Governance (ESG)" award from Institutional Investor, reflecting its commitment to ESG management[102]. - The group plans to develop a sustainable plastic platform focusing on reduction, recycling, reuse (3R), and biodegradability (1D) as part of its innovation center's goals[100]. - The group donated essential supplies and cash totaling RMB 35.61 million for charity and pandemic control, including RMB 15 million in supplies and RMB 5 million in cash to the Quanzhou Red Cross[104].
恒安国际(01044) - 2022 - 中期财报