Economic Performance - China's GDP grew by 5.5% in the first half of 2023, surpassing market expectations[18]. - China's GDP growth for the first half of 2023 was 5.5%, exceeding market expectations, which may positively impact coal demand[44]. Coal Production and Reserves - Measured resources for Hongguo Coal Mine are 16,847 kt, and for Baogushan Coal Mine are 10,043 kt as of June 30, 2023[22]. - Proved reserves for Hongguo Coal Mine are 12,377 kt, while Baogushan Coal Mine has 7,213 kt as of June 30, 2023[22]. - Clean coal marketable reserves for Hongguo Coal Mine are 9,090 kt, and for Baogushan Coal Mine are 13,236 kt as of June 30, 2023[22]. - The Group's total raw coal production for the period was 583,324 tonnes, with Hongguo Coal Mine producing 229,136 tonnes, Baogushan Coal Mine 154,958 tonnes, and Xiejiahegou Coal Mine 199,230 tonnes[27]. - Production at Hongguo Coal Mine and Baogushan Coal Mine decreased by approximately 11.0% and 27.3% YoY, while Xiejiahegou Coal Mine's production increased by approximately 3.3% YoY[27]. - The utilization rate of Hongguo Coal Mine was approximately 38.2%, down by 4.7 percentage points YoY; Baogushan Coal Mine's utilization rate was approximately 25.8%, down by 9.7 percentage points YoY; Xiejiahegou Coal Mine's utilization rate increased by 1.4 percentage points YoY to 44.3%[27]. - As of 30 June 2023, the total permitted annual capacity of the Group's coal mines was 1.65 million tonnes, with actual production of 583,324 tonnes, resulting in a utilization rate of 35.4%[50]. Financial Performance - The Group recorded total revenue of approximately RMB 647.4 million for the six months ended 30 June 2023, representing a decrease of approximately 28.5% from RMB 904.9 million in the same period of 2022[34]. - The Group recorded a net profit of approximately RMB150.8 million for the six months ended 30 June 2023, representing a decrease of approximately 62.4% year-on-year[68]. - The average selling price of clean coal decreased by approximately 25.7% YoY to approximately RMB 1,913.25 per tonne, while the average selling price of middling coal decreased by approximately 18.8% YoY to approximately RMB 286.82 per tonne[32]. - Sales revenue from clean coal decreased by approximately 29.3% to approximately RMB 608.8 million, compared to RMB 861.6 million for the same period last year[88]. - Gross profit decreased from approximately RMB 571.5 million to approximately RMB 316.3 million, representing a decrease of 44.7% year-on-year[88]. - Profit and total comprehensive income for the period was RMB 150,776,000, a decrease of 62.5% compared to RMB 401,152,000 for the same period in 2022[151]. - Basic earnings per share for the period was 9.42 RMB cents, down 62.4% from 25.07 RMB cents in the previous year[151]. Sales Performance - Sales volume of clean coal decreased by approximately 4.9% YoY to approximately 318,213 tonnes, while sales volume of middling coal decreased by approximately 15.5% YoY to approximately 91,586 tonnes[33]. - The sales volume of sludge coal increased by approximately 91.2% YoY to approximately 63,394 tonnes, and the sales volume of coalbed methane gas increased by approximately 12.4% YoY to approximately 11,798,629 cubic meters[33]. - The proportion of revenue generated from the sale of clean coal was approximately 94.0% for the six months ended 30 June 2023, compared to approximately 95.2% for the same period in 2022[61]. Expenses and Liabilities - Distribution and selling expenses increased by approximately 28.2% YoY to approximately RMB35.7 million from RMB27.8 million for the corresponding period of last year, primarily due to increased transportation costs[90]. - Other expenses surged to approximately RMB35.0 million from RMB2.6 million in the corresponding period of last year, mainly driven by research and development expenses related to mining technology[90]. - The Group recorded net current liabilities of approximately RMB578.6 million as of 30 June 2023, but the Directors believe there will be sufficient working capital to meet financial obligations[101]. - The Group's gearing ratio increased to approximately 0.52 as of 30 June 2023, compared to approximately 0.32 as of 31 December 2022[71]. Share Options and Employee Information - No share options were granted, exercised, cancelled, or lapsed during the six months ended June 30, 2023[6]. - The company aims to reward contributions from employees and stakeholders through its Share Option Scheme, which is valid for 10 years[8]. - The total number of share options that may be granted under the Share Option Scheme is capped at 10% of the issued shares, equating to 160,000,000 shares[7]. - As of June 30, 2023, the Group had a total of 3,867 employees, an increase from 3,619 employees as of December 31, 2022[126]. - During the review period, total staff costs amounted to approximately RMB 217.9 million, compared to approximately RMB 209.2 million for the six months ended June 30, 2022, reflecting an increase of about 3.3%[126]. Cash Flow and Investments - Net cash used in operating activities was RMB (69,198) thousand, a decrease from RMB 116,527 thousand in the same period last year[179]. - Cash used in investing activities totaled RMB (372,159) thousand, compared to RMB (486,663) thousand in the previous year, indicating a reduction in investment outflows[179]. - The company reported a net cash from financing activities of RMB 387,539 thousand, compared to RMB 331,666 thousand in the same period last year[179]. Market Outlook - The Group expects demand in the steel market to gradually increase in the second half of the year, providing support for the demand and price of the coking coal market[43]. - The Group maintains a cautiously optimistic outlook on business prospects, emphasizing the continued demand for high-quality coking coal and the importance of regional infrastructure development[71].
久泰邦达能源(02798) - 2023 - 中期财报