Zoomlion(HK:01157)2022-09-22 08:35Financial Performance - Revenue for the reporting period was CNY 21,299,497,985.01, a decrease of 49.82% compared to CNY 42,449,327,997.98 in the same period last year[18]. - Net profit attributable to shareholders was CNY 1,715,822,741.96, down 64.62% from CNY 4,850,093,179.87 year-on-year[18]. - Basic earnings per share decreased by 66.10% to CNY 0.20 from CNY 0.59 in the previous year[18]. - The company reported a total comprehensive income of CNY 1,494 million, down from CNY 4,883 million in the same period last year[22]. - The company achieved operating revenue of RMB 21.299 billion in the first half of 2022, a decrease of 49.82% compared to the same period in 2021[55]. - Net profit attributable to shareholders was RMB 1.736 billion, down 64.40% year-on-year[55]. - Gross profit for the same period was RMB 4,426 million, down 58.3% from RMB 10,614 million in 2021[96]. - Operating profit decreased to RMB 1,802 million, a decline of 68.5% from RMB 5,713 million in the previous year[96]. - Total comprehensive income for the same period was RMB 1,494 million, down 69.4% from RMB 4,883 million in 2021[100]. Assets and Liabilities - Total assets increased by 6.84% to CNY 130,363,574,637.10 from CNY 122,018,160,397.82 at the end of the previous year[18]. - Net assets attributable to shareholders decreased by 3.27% to CNY 55,008,854,187.80 from CNY 56,867,851,034.55[18]. - Current assets rose to RMB 80,934 million, an increase of 11.3% from RMB 72,714 million at the end of 2021[102]. - Current liabilities increased to RMB 59,336 million, a rise of 19.4% from RMB 49,675 million at the end of 2021[104]. - The company's total equity attributable to shareholders was RMB 54,972 million, down 3.2% from RMB 56,831 million at the end of 2021[106]. - The company’s total liabilities increased, with a notable rise in accounts payable and other payables by RMB 3,516 million during the reporting period[115]. Cash Flow - Cash flow from operating activities was CNY 1,857,312,306.03, a decline of 55.02% compared to CNY 4,129,602,305.37 in the same period last year[18]. - Cash and cash equivalents amounted to RMB 16.254 billion as of June 30, 2022[56]. - The net cash generated from operating activities was RMB 1.598 billion, a decrease primarily due to lower sales[57]. - The net cash generated from financing activities was RMB 1,781 million, a significant decrease from RMB 8,146 million in the previous year[126]. - The net increase in cash and cash equivalents was RMB 3,091 million, compared to RMB 4,019 million in the previous year[126]. Market and Product Development - The company plans to focus on new product development and market expansion strategies to improve future performance[18]. - The company achieved a significant increase in overseas sales, maintaining high growth in the export market for engineering machinery despite a decline in domestic sales due to project delays and pandemic impacts[26]. - The company launched 11 new models of tower cranes, receiving positive market feedback and further enhancing its competitive position in the construction machinery sector[30]. - The domestic market share for high-altitude operation machinery increased to the industry leader, with products now covering 71 countries and regions globally[31]. - The company has launched 63 major new products in the first half of the year, with 24 products officially released, achieving 29 digital technology and 27 intelligent technology applications, accounting for nearly 30% of the projects focused on "digitalization, intelligence, and greening"[45]. Acquisitions and Investments - The company completed the acquisition of Luchang Technology, becoming the controlling shareholder, which focuses on smart driving solutions and vehicle networking[38]. - The company completed the acquisition of a 29.99% stake in Shenzhen Luchang Technology Co., Ltd. for a total cash consideration of RMB 780 million[144]. - The company completed the acquisition of an additional 23.83% equity in Luchang Technology for a total cash consideration of RMB 620 million, reducing non-controlling interests by RMB 132 million and capital reserves by RMB 488 million[147]. Research and Development - Research and development expenses for the six months were RMB 1,122 million, down 44.0% from RMB 2,005 million in 2021[96]. - The company has filed nearly 600 patent applications in the first half of the year, a 27% increase year-on-year, with over 40% being invention patents, and 67% of patents focusing on "digitalization, intelligence, and greening"[49]. - The company has made significant advancements in new energy technology, completing prototype verification for 13 core technologies and initiating 18 new component development projects[46]. Governance and Compliance - The company has complied with all applicable provisions of the Corporate Governance Code, with the exception of the separation of the roles of Chairman and CEO, which are held by Dr. Zhan Chunxin[69]. - The company believes that the dual role of Chairman and CEO is beneficial for effective business strategy formulation and execution[69]. - The company’s audit committee has discussed the accounting standards adopted and reviewed the interim report prepared in accordance with International Accounting Standard 34[71]. Shareholder Information - As of June 30, 2022, the total number of shares outstanding is 8,677,992,236, with 99.66% being unrestricted shares[73]. - The largest shareholder, HKSCC Nominees Limited, holds 18.19% of the shares, with a decrease of 266,720 shares during the reporting period[75]. - The second-largest shareholder, Hunan Xingshan Investment Holdings Group Co., Ltd., holds 14.44% of the shares, with no change during the reporting period[75]. - The employee stock ownership plan holds 390,449,924 shares, representing 4.50% of the total shares[78]. - The company has implemented a share repurchase plan to incentivize key talent and support digital transformation and international expansion[54].