Financial Performance - Revenue from continuing operations decreased by approximately 8.2% to about RMB 641.3 million for the six months ended June 30, 2023, compared to approximately RMB 698.8 million for the same period in 2022[8]. - Gross profit from continuing operations decreased by approximately 17.1% to about RMB 224.3 million for the six months ended June 30, 2023, compared to approximately RMB 270.7 million for the same period in 2022[8]. - Loss attributable to owners of the parent from continuing operations increased by approximately 42.6% to about RMB 22.5 million for the six months ended June 30, 2023, compared to approximately RMB 15.8 million for the same period in 2022[8]. - Total revenue decreased by approximately 8.2% from RMB 698.8 million to RMB 641.3 million due to a decline in average selling price and sales volume of self-produced anthracite coal[18]. - The company reported a loss of RMB 18,345,000 for the six months ended June 30, 2023, compared to a profit of RMB 28,835,000 in the same period of 2022, indicating a significant decline in performance[87]. - The company reported a total comprehensive loss of RMB 24,092,000 for the six months ended June 30, 2023, compared to a total comprehensive income of RMB 11,184,000 in the same period of 2022[95]. Production and Sales - The average selling price and sales volume of coal products decreased compared to the same period in 2022 due to high inventory levels and a decline in market prices[12]. - Total production for the reporting period was approximately 1.12 million tons, with confirmed and inferred total reserves of approximately 165.11 million tons as of June 30, 2023[15]. - Sales volume of self-produced anthracite coal decreased by about 3.6%, from approximately 1.37 million tons to 1.32 million tons, attributed to complex geological conditions[18]. - Revenue from coal processing sales increased from approximately RMB 381.0 million to RMB 398.6 million, accounting for 62.2% of total revenue in the reporting period[20]. Financial Position - As of June 30, 2023, the group's net current liabilities were approximately RMB 3,153 million, an increase from RMB 3,011.7 million as of December 31, 2022[36]. - The total outstanding short-term and long-term bank borrowings amounted to approximately RMB 1,584.9 million and RMB 182.6 million, respectively, as of June 30, 2023[37]. - The group's asset-liability ratio was 140.4% as of June 30, 2023, slightly up from 139.4% at the end of 2022[46]. - The company has a net current liability of RMB 3,153.0 million and shareholder deficit of RMB 566.8 million as of June 30, 2023, indicating significant uncertainty regarding the company's ability to continue as a going concern[85]. Costs and Expenses - Labor costs decreased by approximately 11.9% from RMB 128.4 million to RMB 113.0 million, benefiting from economies of scale after the expansion of Dayun Coal Mine[22]. - The processing cost of coal increased from approximately RMB 33.7 million to RMB 41.6 million due to higher transportation costs and increased processing volume[25]. - Total employee cost for the reporting period was approximately RMB 165.3 million, compared to RMB 181.4 million for the same period last year[48]. - The total depreciation expense for the period was RMB 127.8 million, slightly down from RMB 131.1 million in the previous year[138]. Market Conditions - The macroeconomic environment remains challenging due to external risks, including ongoing geopolitical tensions and potential recessions in major economies[10]. - Overall electricity consumption increased by 5% year-on-year in the first half of 2023, supporting the recovery of the thermal power industry, which grew by 7.5%[11]. - The coal industry is expected to see moderate supply growth due to low capital expenditure and strict safety regulations, with coal supply policies continuing to stabilize domestic production[52]. - Government stimulus measures are anticipated to support economic recovery, providing stable demand for electricity and coal consumption[52]. Strategic Initiatives - The company plans to close the Dogchang Coal Mine as part of a restructuring plan approved by local authorities[32]. - The company aims to enhance production efficiency and quality management to improve competitiveness and average selling prices amid strict regulatory environments[54]. - Guizhou Puxin plans to explore investment opportunities in the renewable energy sector, leveraging resources and experience from major shareholders[54]. - The company is focusing on expanding its market presence and enhancing its operational efficiency to improve future performance[88]. Shareholder Information - As of June 30, 2023, major shareholders include Li Feili with a total of 714,029,650 shares, representing 51.72% of issued shares[58]. - Feishang Group Limited directly holds 699,029,650 ordinary shares, representing approximately 50.1% of the issued shares[62]. - A share pledge agreement was established on May 19, 2023, where Feishang Group Limited pledged 600 million shares as collateral for a financing guarantee of up to RMB 200 million[62]. Compliance and Governance - The company has complied with the corporate governance code, except for the provision that the roles of chairman and CEO should be separated[70]. - The board of directors confirmed that all directors complied with the securities trading code during the reporting period[71]. - The company has not established any arrangements allowing directors to benefit from acquiring shares or bonds of the company or any other entity during the review period[68]. Deferred Tax and Accounting - The company is currently assessing its deferred tax risks related to the OECD's Pillar Two legislation, which is expected to impact future financial disclosures[108]. - The company adopted new and revised International Financial Reporting Standards (IFRS) effective January 1, 2023, with no impact on the interim financial data but expected effects on annual financial statement disclosures[98]. - The company has implemented retrospective application of the new accounting standards effective from January 1, 2023, impacting its financial reporting[107].
飞尚无烟煤(01738) - 2023 - 中期财报