Revenue and Profit - For the six months ended June 30, 2022, the company's revenue increased by approximately RMB 429.9 million or 32.8% to approximately RMB 1,720.3 million, primarily due to the rise in average selling price of urea[13] - The profit for the same period rose by approximately RMB 8.7 million or 6.1% to approximately RMB 151.0 million, attributed to increased overall gross profit and reduced administrative expenses and financing costs[13] - Revenue from urea products rose by approximately RMB 379.3 million or 36.1% to about RMB 1,429.8 million, driven by the increased average selling price[17] - The company reported revenue of RMB 1,720,310 thousand for the six months ended June 30, 2022, an increase from RMB 1,295,407 thousand in the same period of 2021, representing a growth of approximately 32.8%[72] - Urea sales contributed RMB 1,429,775,000, up from RMB 1,050,468,000, reflecting a growth of 36%[103] - The net profit attributable to the owners of the company was RMB 151,020 thousand, up from RMB 142,338 thousand year-on-year, reflecting a growth of approximately 6.0%[72] Cost and Expenses - The company has implemented effective cost control measures, which have positively impacted its financial performance during the reporting period[12] - Administrative expenses decreased by approximately RMB 9.3 million or 23.7% to approximately RMB 29.9 million, mainly due to a reduction in provisions for other receivables[27] - Financing costs decreased by approximately RMB 8.3 million or 89.4% to approximately RMB 1.0 million, due to reduced interest expenses from bank loans[30] - Gross profit increased by approximately RMB 7.5 million or 3.1% to approximately RMB 250.4 million, driven by higher average selling prices of urea products[24] - Gross margin decreased from approximately 18.8% to 14.6% due to a higher percentage increase in sales costs compared to revenue growth[24] Market and Product Performance - The average selling price of urea increased by approximately 33.1% to about RMB 2,567 per ton, compared to RMB 1,928 per ton in the same period of 2021[13] - Revenue from automotive urea solution decreased by approximately RMB 7.0 million or 6.3% to about RMB 103.1 million, mainly due to reduced demand caused by COVID-19 outbreaks[18] - The average selling price of automotive urea solution increased by approximately 25.8% to about RMB 1,698 per ton, compared to RMB 1,350 per ton in the same period of 2021[18] - Revenue from methanol increased by approximately RMB 6.0 million or 8.3% to about RMB 77.7 million, due to a rise in average selling price[20] - Revenue from other products, including liquid ammonia, increased by approximately RMB 46.6 million or 73.8% to about RMB 109.7 million, driven by higher market demand[21] Financial Position - As of June 30, 2022, the group had net assets of approximately RMB 1,575.6 million, an increase from approximately RMB 1,479.0 million as of December 31, 2021[34] - The group had cash and bank balances of approximately RMB 460.0 million as of June 30, 2022, compared to approximately RMB 425.1 million as of December 31, 2021[35] - The company’s total assets as of June 30, 2022, amounted to RMB 1,817,788 thousand, compared to RMB 1,840,529 thousand as of December 31, 2021, showing a decrease of about 1.2%[74] - Current assets increased to RMB 706,100 thousand from RMB 692,351 thousand, marking a growth of approximately 2.0%[74] - Current liabilities decreased significantly to RMB 204,343 thousand from RMB 322,596 thousand, a reduction of approximately 36.7%[74] - The total equity attributable to the owners of the company was RMB 1,568,730 thousand as of June 30, 2022, up from RMB 1,465,957 thousand as of December 31, 2021, an increase of about 7%[80] Employee and Management - As of June 30, 2022, the total employee cost was approximately RMB 61.8 million, an increase from RMB 54.1 million for the six months ended June 30, 2021[43] - The company employed 1,286 employees as of June 30, 2022, compared to 1,285 employees as of December 31, 2021[43] - The total remuneration for key management personnel was RMB 648 thousand for the six months ended June 30, 2022, a decrease from RMB 689 thousand for the same period in 2021[137] Shareholder Information - The company’s major shareholder, Mr. Wang Zhihe, holds 460,000,000 shares, representing approximately 74.08% of the total issued shares as of June 30, 2022[45] - Sino-Coal Holding owns 279,680,000 shares, accounting for approximately 45.04% of the total issued shares[49] - Bloom Ocean holds 180,320,000 shares, representing approximately 29.04% of the total issued shares[49] - The company’s total issued share capital remained at 620,944 thousand shares as of June 30, 2022, unchanged from previous periods[134] Dividends and Investments - The board decided not to declare an interim dividend for the reporting period[60] - The company did not recommend an interim dividend for the six months ended June 30, 2022, compared to no dividend in the same period of 2021[117] - The company has not made any significant acquisitions or disposals of subsidiaries or associates during the reporting period[57] - No significant investments were held by the company during the reporting period[58] Other Financial Information - The company reported a decrease in trade receivables by RMB 3,530 thousand for the six months ended June 30, 2022, compared to an increase of RMB 15,385 thousand in the same period of 2021[83] - The company paid dividends amounting to RMB 51,465 thousand during the six months ended June 30, 2022, compared to RMB 25,843 thousand in the same period of 2021, representing an increase of approximately 99.5%[85] - The company reported a decrease in inventory by RMB 22,932 thousand for the six months ended June 30, 2022, compared to a decrease of RMB 29,497 thousand in the same period of 2021[83] - The company had no short-term bank loans secured as of June 30, 2022, compared to RMB 96,000 thousand in secured loans as of December 31, 2021[131] Compliance and Audit - The financial statements are prepared in accordance with International Accounting Standards and have been authorized for publication on August 26, 2022[88] - The financial statements have not been audited but have been reviewed by a local accounting firm[91] - The company reported no breaches of financial covenants as of June 30, 2022, ensuring compliance with loan agreements[133] COVID-19 Impact - The impact of COVID-19 on the company's operations has been moderate, with no significant adverse effects identified as of June 30, 2022[99]
东光化工(01702) - 2022 - 中期财报