Financial Performance - For the six months ended June 30, 2022, the total revenue of the company was HKD 1.891 billion, representing a 19.3% increase compared to HKD 1.585 billion in the same period of 2021[9]. - The company reported a loss attributable to shareholders of HKD 130.2 million for the first half of 2022, compared to a profit of HKD 302.6 million in the same period of 2021[8]. - Adjusted profit attributable to shareholders reached HKD 308.8 million, an increase from HKD 302.6 million year-on-year[8]. - The adjusted EBITDA for the first half of 2022 was HKD 1.818 billion, compared to HKD 1.407 billion in the same period of 2021[8]. - The total revenue for the six months ended June 30, 2022, was HKD 1,890.8 million, an increase of HKD 305.6 million or 19.3% compared to the same period last year[15]. - The total leasing income from finance and operating leases was HKD 1,653.8 million, up HKD 497.8 million or 43.1% from HKD 1,156.0 million for the six months ended June 30, 2021, due to an increase in fleet size from 104 to 138 aircraft[17]. - The company reported a net foreign exchange gain of HKD 109.7 million for the six months ended June 30, 2022, compared to a loss of HKD 25.3 million in the previous year[26]. - The company reported a net loss for the period of HKD 70,439 thousand, a decline from a profit of HKD 353,450 thousand in the same period of 2021, reflecting a negative change of approximately 119.9%[80]. - Total comprehensive income for the period was HKD 231,663,000, down from HKD 480,156,000 in the previous year, indicating a decrease of approximately 51.7%[81]. Dividends and Shareholder Returns - The company declared an interim dividend of HKD 0.15 per ordinary share, totaling HKD 112 million, consistent with the interim dividend declared in the first half of 2021[9]. - The interim dividend declared for the six months ended June 30, 2022, is HKD 0.15 per share, consistent with the interim dividend for the same period in 2021[70]. - The company declared a dividend of HKD 105,686,000 for the period ending June 30, 2022, an increase from HKD 89,007,000 for the same period in 2021, which is a rise of 18.7%[153]. Asset and Fleet Management - The fleet size of China Aircraft Leasing Group increased by 11 aircraft to 163 by June 30, 2022, comprising 138 owned and 25 managed aircraft[10]. - The delivery of 13 aircraft during the review period included 3 from new orders and 10 through sale-and-leaseback arrangements, maintaining a 100% fleet utilization rate[10]. - The average age of the owned fleet was 8.7 years with an average remaining lease term of 6.1 years as of June 30, 2022[10]. - The company has a total of 241 aircraft on order, including 145 Airbus, 66 Boeing, and 30 COMAC aircraft, to meet post-pandemic recovery demands[10]. - As of June 30, 2022, 76.8% of the owned fleet was leased to airlines in China, with plans to accelerate global market expansion, particularly in fast-growing regions[11]. - The company classified 7 aircraft as held for sale as of June 30, 2022, compared to 2 aircraft on December 31, 2021, marking a 259.4% increase[31]. - The company’s total aircraft fleet includes 80 Airbus A320 CEO series and 21 Airbus A320 NEO series as of June 30, 2022[34]. Financial Position and Liabilities - Total assets as of June 30, 2022, were HKD 53,973.5 million, an increase of HKD 3,944.4 million or 7.9% from HKD 50,029.1 million as of December 31, 2021[15]. - Total liabilities as of June 30, 2022, were HKD 47,932.1 million, an increase of HKD 3,920.2 million or 8.9% from HKD 44,011.9 million as of December 31, 2021[15]. - The company’s total interest-bearing debt increased by 9.2% from HKD 40,480.4 million as of December 31, 2021, to HKD 44,194.5 million as of June 30, 2022[36]. - The debt-to-equity ratio increased to 81.9%, up from 80.9%, reflecting a 1.0 percentage point rise[45]. - The total amount of bonds and financing notes decreased from HKD 7,022.7 million as of December 31, 2021, to HKD 4,335.7 million as of June 30, 2022, primarily due to the repayment of bonds totaling HKD 3,977.3 million[40]. - The total amount of medium-term notes increased from HKD 979.8 million as of December 31, 2021, to HKD 2,692.6 million as of June 30, 2022, mainly due to the issuance of new notes[43]. Operational Challenges and Market Conditions - The company fully impaired assets stranded in Russia due to the ongoing conflict, resulting in a significant impact on financial performance[9]. - The global aviation market showed signs of recovery, with a 76.2% increase in passenger demand in June 2022 compared to June 2021, reaching 70.8% of June 2019 levels[9]. - The company continues to monitor the geopolitical situation and its impact on operations, particularly regarding assets in Russia[9]. - The company is actively seeking to recover aircraft from Russian lessees, with ongoing communication and insurance claims submitted[180]. - The group experienced delays in lease payments from several airline customers due to the impact of COVID-19, affecting operational and financial conditions[87]. Governance and Compliance - The company has adopted the Corporate Governance Code and complied with all applicable provisions during the reporting period[57]. - The Audit Committee reviewed the financial reporting procedures and internal controls for the six months ending June 30, 2022[59]. - The company’s remuneration committee monitored the compensation policies for directors and senior management during the reporting period[60]. - The board of directors emphasizes the importance of good corporate governance for the company's success and sustainable development[57]. Employee Compensation and Costs - Employee compensation for the six months ended June 30, 2022, totaled HKD 70.2 million, an increase from HKD 55.7 million in the same period last year[46]. - Employee benefits expenses increased to HKD 70,178 thousand from HKD 55,745 thousand, reflecting higher personnel costs[179]. Financing and Cash Flow - The company secured over HKD 14 billion in new and renewed financing during the review period, with cash and bank balances at HKD 4.88 billion[12]. - The company plans to consider equity and debt financing opportunities to support its rapid expansion[44]. - The group had cash and bank balances of HKD 4,879,700,000 and unutilized borrowing facilities of HKD 6,168,400,000 as of June 30, 2022, ensuring liquidity for upcoming obligations[87]. - Cash flow from financing activities for the six months ended June 30, 2022, was HKD 2,929,397,000, compared to a cash outflow of HKD 2,428,557,000 in the same period of 2021, indicating a significant improvement[84]. Risk Management - The group has implemented industry risk management systems focusing on counterparty credit ratings and understanding lessees' business and financial conditions[106]. - The group actively manages and controls credit risk concentration, particularly by regularly assessing lessees' repayment capabilities[108]. - The group faced cash flow interest rate risk due to floating rate financing leases and bank borrowings, with a focus on managing this risk through matching lease rates with borrowing rates[98].
中国飞机租赁(01848) - 2022 - 中期财报