Financial Performance - Revenue for the first half of 2023 increased by approximately 78.3% to approximately RMB218.9 million compared to RMB122.8 million in the first half of 2022[10]. - Gross profit for the first half of 2023 increased by approximately 103.5% to approximately RMB145.9 million, with a gross profit margin of approximately 66.6%[10][26]. - Profit for the period was approximately RMB27.8 million, representing an increase of approximately RMB33.0 million compared to a loss of approximately RMB5.2 million in the first half of 2022[10][26]. - Basic earnings per share for the first half of 2023 was approximately RMB2.94 cents, compared to a loss per share of approximately RMB0.55 cent in the first half of 2022[10]. - The gross profit margin improved by approximately 8.2% compared to the first half of 2022[26]. - The Group recorded profits of approximately RMB27.8 million in the first half of 2023, representing an increase of approximately RMB33.0 million compared to a loss of approximately RMB5.2 million in the first half of 2022[34][45]. - Revenue for the six months ended June 30, 2023, was RMB 218,930,000, representing an increase of 78.3% compared to RMB 122,760,000 for the same period in 2022[118]. - Gross profit for the same period was RMB 145,867,000, up 103.6% from RMB 71,683,000 in 2022[118]. - Profit for the period attributable to owners of the parent was RMB 27,822,000, a significant recovery from a loss of RMB 5,184,000 in the same period of 2022[118]. Expenses and Cost Management - Selling and distribution expenses and administrative expenses as a percentage of sales revenue decreased by approximately 8.9% to approximately 52.8% in the first half of 2023[26]. - Selling and distribution expenses increased by approximately RMB38.9 million or 84.2% to approximately RMB85.1 million in the first half of 2023, with the proportion to sales revenue remaining stable at 38.9%[42][46]. - Administrative expenses for the first half of 2023 were approximately RMB30.6 million, stable compared to RMB29.6 million in the first half of 2022, with the proportion to sales revenue decreasing from 24.1% to 14.0%[43][47]. - Cost of inventories sold rose significantly to RMB 73,063,000 in 2023, up from RMB 51,077,000 in 2022, marking an increase of 43.1%[174]. - Staff costs (excluding key management personnel) increased to RMB 29,612,000 in 2023, compared to RMB 24,490,000 in 2022, reflecting a rise of 20.9%[174]. Investments and Research - Investments in research and development of new products were increased to meet customer demands for maternity and child series products[27]. - The Group launched a total of eight new products in the first half of 2023, including one New Goodhealth series product and seven Good Health series products[28][30]. - The Group aims to accelerate research and development and launch new products to enhance competitiveness and expand sales volume[75][77]. Market and Sales Growth - The increase in revenue was mainly attributed to significant growth in both online and offline sales channels during the period[35][39]. - The Group's cross-border e-commerce business in the PRC experienced rapid growth, contributing significantly to revenue[26]. - The sales revenue from the Good Health brand in e-commerce platforms and distributor channels for infant and child products in China recorded significant growth in the first half of 2023, enhancing the overall profitability of the Group[65]. - Revenue from Mainland China reached RMB 159,917,000, representing a 110.6% increase from RMB 75,937,000 in 2022[158]. - Revenue from New Zealand increased by 25.3% to RMB 50,411,000, up from RMB 40,264,000 in 2022[158]. - Revenue from Australia rose to RMB 2,556,000, compared to RMB 828,000 in 2022, marking a growth of 208.5%[158]. Inventory and Receivables - As of June 30, 2023, the Group's inventories increased to approximately RMB 114.0 million, up by approximately RMB 38.7 million or 51.4% from RMB 75.3 million at the end of 2022[52]. - Trade receivables amounted to approximately RMB 32.0 million as of June 30, 2023, an increase of approximately RMB 3.8 million or 13.5% from RMB 28.2 million at the end of 2022[53]. - The total trade receivables as of June 30, 2023, were RMB 32,024,000, up from RMB 28,184,000 as of December 31, 2022, reflecting a growth of 13.1%[198]. Share Capital and Ownership - The number of issued Domestic Shares and H Shares as of June 30, 2023, was 673,828,770 and 272,469,600 respectively[84]. - The total issued shares of the Company as of June 30, 2023, was 946,298,370[91]. - Mr. Gui Pinghu holds 494,605,108 Domestic Shares, representing 73.40% of the relevant class of shares and 52.27% of the total share capital[81]. - Ms. Wu Yanmei holds 52,965,000 Domestic Shares, representing 7.86% of the relevant class of shares and 5.60% of the total share capital[94]. - The Hin Sang Group (International) Holding Co. Ltd. holds 59,121,600 H Shares, accounting for 21.70% of the relevant class of shares and 6.25% of the total share capital[94]. Governance and Compliance - The Company did not purchase, redeem, or sell any of its listed securities during the six months ended June 30, 2023[100]. - There were no changes in Directors' and Supervisors' information since the publication of the Company's 2022 annual report[101]. - All Directors and Supervisors confirmed compliance with the Model Code throughout the six months ended June 30, 2023[102]. - The Company has complied with the Corporate Governance Code for the six months ended June 30, 2023[103]. Economic Outlook - The global economic outlook remains uncertain, but there is optimism regarding the resilience and sustainability of China's macroeconomic recovery in the second half of 2023[77].
中生联合(03332) - 2023 - 中期财报