C&D INTL GROUP(HK:01908)2023-04-26 12:07Financial Performance - The company achieved a revenue of approximately RMB 99.64 billion for the year, representing a year-on-year growth of about 82.6% compared to RMB 54.57 billion in 2021[9]. - The net profit attributable to equity holders was approximately RMB 4.93 billion, a year-on-year increase of about 38.9% from RMB 3.55 billion in 2021[9]. - The gross profit for the year was approximately RMB 15,219.41 million, which represents an increase of about RMB 6,140.66 million (approximately 67.6%) year-on-year[31]. - Profit before tax increased to RMB 8,485.10 million from RMB 5,854.30 million, representing a growth of approximately 44.9%[53]. - Net profit attributable to equity holders rose to RMB 4,933.97 million from RMB 3,552.52 million, an increase of approximately 38.9%[56]. - Revenue from property management services increased from approximately RMB 1,123.02 million in 2021 to approximately RMB 1,658.02 million in 2022, reflecting a growth of about RMB 535 million[43]. - Other related services revenue increased to RMB 1,329.83 million from RMB 867.08 million, primarily due to contributions from the acquisition of Jianfa Hecheng Engineering Consulting Co., Ltd.[44]. Sales and Contracted Projects - The company reported a total contracted sales amount of approximately RMB 169.1 billion, with a year-on-year growth of about 3%[12]. - The equity contracted sales amount was approximately RMB 121.52 billion, with a sales equity ratio of about 72%[12]. - The cumulative contract sales amount attributable to equity holders was approximately RMB 121.52 billion, a decrease of about 6.6% compared to the previous fiscal year[35]. - The cumulative contract sales area attributable to equity holders was approximately 6.096 million square meters, a decrease of about 10.7% compared to the previous fiscal year[35]. - The total sales area delivered was approximately 4.6462 million square meters, an increase of about 1.1648 million square meters compared to the previous fiscal year[33]. Assets and Liabilities - Total assets reached RMB 393.46 billion, with cash and cash equivalents amounting to approximately RMB 50.28 billion, accounting for about 12.8% of total assets[9]. - Cash and cash equivalents amounted to RMB 50,280.06 million, up from RMB 48,351.46 million, indicating good liquidity management[56]. - Total liabilities to equity ratio improved to 115.90% from 133.60%, due to increased contributions from non-controlling shareholders[58]. - Capital commitments increased to RMB 45,242.16 million from RMB 40,395.96 million, mainly due to new construction projects contracted but not yet provided for[60]. Land Acquisition and Reserves - The company acquired 48 new projects during the year, with a total land acquisition amount of RMB 82.4 billion, of which approximately 91% was invested in first- and second-tier cities[13]. - The total land reserve was approximately 16.2 million square meters, with an equity ratio of about 76%[13]. - The total land reserve available for sale as of December 31, 2022, was approximately 16.204 million square meters, with a total of 251 projects located in China[37]. Corporate Governance and Management - The company has a strong focus on corporate governance with a diverse board of directors[86]. - The company emphasizes the importance of corporate governance and compliance, with its company secretary having over 25 years of professional experience[94]. - The company has a strong management team with extensive experience in finance and auditing, including the CFO who has nearly 7 years of financial management experience[91][93]. - The board of directors includes both executive and independent non-executive members, ensuring a balanced governance structure[110]. Research and Development - The company advanced 11 key R&D projects and obtained 25 intellectual property rights, receiving significant awards in engineering technology[20]. - The company launched three new product series: "Simple Modern," "Prosperous Tang Style," and "Elegant Song Rhythm," and established 12 innovative display areas, filing 81 new patents and winning 57 design awards[14]. - The company plans to strengthen its product core capabilities through optimized R&D mechanisms and increased investment in new technologies[30]. Dividend and Shareholder Information - The company proposed a final dividend of HKD 1.30 per share, subject to approval at the upcoming annual general meeting[9]. - The company has adopted a dividend policy since December 2018, ensuring sufficient cash reserves for operational needs and future growth without a preset payout ratio[100]. - The board will review the dividend policy as necessary, considering financial performance, cash flow, and other relevant factors[102]. Market Presence and Strategy - The company aims to expand its market presence and enhance its service offerings through strategic acquisitions and partnerships in the property management sector[43]. - The company plans to maintain a high liquidity asset structure and focus on investing in high-quality projects in first and second-tier cities, as well as strong third-tier cities[24]. - The company recognizes the ongoing risks in the real estate market, including economic and regulatory changes, and will adapt its investment and sales strategies accordingly[67]. Employee and Community Engagement - The total employee cost for the company was approximately RMB 3,599.55 million for the year, an increase from RMB 2,833.88 million in the previous year, with a total of 19,594 full-time employees[66]. - Charitable donations made by the group during the year totaled RMB 339.9 million, an increase from RMB 149.6 million in the previous year[109]. Financing and Capital Management - The average financing cost of the company's interest-bearing liabilities was approximately 4.33%, a year-on-year decrease of about 36 basis points[21]. - Total borrowing costs slightly decreased to RMB 4,015.10 million from RMB 4,079.29 million, attributed to a slight decline in average financing rates[49]. - The company raised approximately HKD 500 million from the placement of 30,000,000 new ordinary shares at a net placement price of about HKD 16.67 per share[179]. Incentive Plans and Share Options - The company has a stock option plan that allows for the issuance of up to 30% of the total issued share capital under the plan[185]. - The company completed the issuance of 35,300,000 restricted shares under the 2021 incentive plan, representing approximately 2.03% of the total issued shares as of December 31, 2022[194]. - The incentive plan aims to align the interests of shareholders, the company, and its core team to drive high-quality development[191].