Shareholding and Share Options - As of June 30, 2023, YTO Global Holdings Limited holds a beneficial interest in 268,229,408 shares, representing 63.84% of the company's issued share capital[5]. - No share options were granted, exercised, lapsed, or cancelled during the reporting period, with 37,218,000 options available for grant under the Share Option Scheme as of June 30, 2023[7]. - The company has adopted a Share Award Plan, but no share awards are available for grant as of June 30, 2023, pending amendments to comply with Chapter 17 of the Listing Rules[7]. - As of March 31, 2023, the total number of shares that may be issued under the Share Award Plan is 9,026,400 shares, representing approximately 2.15% of the issued share capital[16]. - The number of shares that may be issued under the Share Award Plan as of the report date is 5,767,600 shares, representing about 1.37% of the issued share capital[16]. - During the reporting period, a total of 7,076,400 shares were outstanding as of January 1, 2023, with 3,917,600 shares remaining outstanding as of June 30, 2023[23]. - The company awarded shares during the reporting period, but no specific number was disclosed[23]. - A total of 4,458,800 shares lapsed during the reporting period, indicating a significant reduction in outstanding awards[23]. - The company has a share award plan that includes vesting dates for shares awarded on June 10, 2021, with 25% vesting on specific future dates[23]. - Mr. Huang Yifeng, a former executive director, held 2,208,800 shares in unvested award shares as of the report date[14]. Corporate Governance - The company has seen changes in its board, with Mr. Chen Dong resigning on February 8, 2023, and Mr. Huang Yifeng resigning on August 21, 2023[14]. - The share award plan is designed to incentivize directors and employees, aligning their interests with shareholders[22]. - The company continues to evaluate its corporate governance practices in relation to share awards and executive compensation[25]. - The company has complied with the Corporate Governance Code throughout the reporting period[27]. - The company has established an audit committee comprising one non-executive director and two independent non-executive directors[35]. - The company has adopted a code of conduct for directors' securities transactions that meets or exceeds the Model Code standards[28]. - The company is committed to corporate governance practices and has reviewed its compliance with the relevant provisions[27]. Financial Performance - Revenue for the six months ended June 30, 2023, was HK$2,467,582, a decrease of 28.2% compared to HK$3,439,795 for the same period in 2022[53]. - Gross profit for the period was HK$299,571, down from HK$364,584, representing a decline of 17.8%[53]. - Profit for the period was HK$108,392, a decrease of 13% from HK$124,605 in the previous year[55]. - Basic earnings per share for the period was HK$25.74, down from HK$29.21, reflecting a decline of 11.9%[53]. - Total comprehensive income for the period was HK$104,690, slightly down from HK$107,841, a decrease of 2%[55]. - Administrative expenses decreased to HK$190,422 from HK$239,819, a reduction of 20.6%[53]. - Other income increased to HK$14,717 from HK$9,409, marking a growth of 56.5%[53]. - Finance costs decreased to HK$1,043 from HK$1,648, a reduction of 36.8%[53]. - The company reported a net impairment loss of HK$509 under the expected credit loss model, compared to a loss of HK$2,310 in the previous year[53]. Assets and Liabilities - As of June 30, 2023, the net current assets increased to HK$1,174,843,000, up from HK$1,092,394,000 as of December 31, 2022, representing a growth of approximately 7.5%[63]. - Total assets less current liabilities rose to HK$1,338,876,000, compared to HK$1,243,839,000 at the end of 2022, indicating an increase of about 7.6%[63]. - The net assets of the company reached HK$1,301,067,000 as of June 30, 2023, up from HK$1,210,411,000, reflecting a growth of approximately 7.5%[63]. - The total equity attributable to equity shareholders of the company was HK$1,292,598,000, an increase from HK$1,199,897,000, marking a rise of about 7.7%[63]. - Trade receivables decreased to HK$594,014,000 from HK$788,987,000, a decline of approximately 24.7%[61]. - Current liabilities decreased to HK$756,545,000 from HK$981,433,000, showing a reduction of about 23%[61]. - Deferred tax assets decreased to HK$11,837,000 from HK$20,995,000, a decline of approximately 43.3%[61]. - The company reported a significant decrease in amounts due to fellow subsidiaries, which fell to HK$283,189,000 from HK$494,286,000, a reduction of about 42.7%[61]. - The cash and bank balances increased to HK$1,931,388,000 from HK$2,073,827,000, reflecting a decrease of approximately 6.8%[61]. Cash Flow and Financing - Net cash generated from operating activities was HK$71,454,000, compared to HK$280,294,000 in the previous year, indicating a significant decline[75]. - The net cash used in financing activities was HK$16,132,000, down from HK$26,780,000 in the same period last year[75]. - The company reported a decrease in other receivables, deposits, and prepayments by HK$31,270,000, compared to an increase of HK$47,877,000 in the previous year[75]. - The Group maintained a gearing ratio of 0% as of June 30, 2023, indicating no outstanding bank borrowings[173]. - The Group reported a gain on disposal of property, plant, and equipment of HK$203,000, compared to HK$137,000 in the same period of 2022[181]. Accounting Policies and Compliance - The interim financial report was authorized for issue on August 21, 2023, and prepared in accordance with HKAS 34[77]. - The Group's financial information for the six months ended June 30, 2023, is based on the same accounting policies as the 2022 annual financial statements, with no material impact from new accounting standards[78]. - The Group has not applied any new standards or interpretations that are not yet effective for the current accounting period[80]. - The auditors have expressed an unqualified opinion on the statutory annual consolidated financial statements for the year ended December 31, 2022[79]. - The Group's results and financial position for the current or prior periods have not been materially affected by the new accounting developments[78]. - The Group has decided to change its accounting policies to conform with the new HKICPA guidance regarding the abolition of the MPF-LSP offsetting mechanism, with retrospective application expected in the annual financial statements for the year ending December 31, 2023[86]. Market Conditions and Future Outlook - The Group's performance in the first half of 2023 was significantly impacted by macroeconomic factors, with a decrease in business demand from cooperation agents and core customers due to inflation and high interest rates[133]. - The Group anticipates an economic recovery in the second half of 2023, supported by government initiatives to stimulate consumption and trade[133]. - The Group believes that pressures at the macro level are easing, leading to a more optimistic outlook for the global economy in the latter half of 2023[137]. - The Group expects that with the improvement of the global economy, particularly through initiatives like the Belt and Road Initiative and the Regional Comprehensive Economic Partnership (RCEP), China's export market will continue its growth trend[142]. - The Group remains cautiously optimistic about market conditions in the second half of the year due to various macroeconomic factors[196]. Employee and Operational Performance - The group employed approximately 978 employees as of June 30, 2023, an increase from 867 employees as of December 31, 2022[101]. - Employee costs, including director remuneration, amounted to approximately HKD 138.67 million for the first half of 2023, compared to HKD 174.69 million for the same period in 2022, reflecting a decrease of about 20.66%[101]. - The Group's comprehensive service offerings include logistics services, international express, and parcel services, enabling it to meet diverse customer needs[166]. - The Group's focus on the cross-border e-commerce market has led to a strategic emphasis on enhancing parcel logistics services, which is a key growth area[189]. Revenue Breakdown by Segment - Air freight segment revenue was HK$1,370,550,000, down 21.3% from HK$1,742,798,000 year-on-year[117]. - Ocean freight segment revenue decreased by 69.0% to HK$320,432,000 from HK$1,035,524,000 in the previous year[117]. - Logistics segment revenue fell to HK$27,384,000, a decline of 31.5% from HK$40,046,000 in 2022[117]. - International express and parcel segment revenue increased to HK$668,426,000, up 20.0% from HK$557,004,000 year-on-year[117]. - Revenue from the People's Republic of China (PRC) segment was HK$2,102,518,000, a decrease of 18.3% from HK$2,573,746,000 in 2022[123]. - Revenue from Northern America was HK$79,387,000, down 70.7% from HK$270,505,000 in the previous year[123]. - Revenue from Australia increased significantly to HK$63,911,000, compared to HK$5,876,000 in 2022[123]. - Other Asian regions generated revenue of HK$221,766,000, down 54.5% from HK$488,489,000 in the previous year[123].
圆通国际快递(06123) - 2023 - 中期财报