2022-08-25 16:00Financial Performance - The net profit attributable to shareholders for the first half of 2022 was RMB 2.3 billion, with a weighted average return on equity of 6.84%[9]. - The company reported a total revenue of RMB 149 billion for the first half of 2022, with a segment profit margin of 29% in air freight services[9]. - The company achieved operating revenue of CNY 55.19 billion in the first half of 2022, a decrease of 10.52% compared to the same period last year[18]. - Net profit attributable to shareholders was CNY 2.33 billion, representing a year-on-year increase of 7.59%[20]. - The net profit after deducting non-recurring gains and losses was CNY 2.14 billion, up 16.42% from the previous year[18]. - The company's total assets grew by 7.02% to CNY 79.52 billion compared to the end of the previous year[18]. - The net assets attributable to shareholders increased by 2.37% to CNY 33.88 billion[18]. - Basic earnings per share rose to CNY 0.3146, a 7.67% increase year-on-year[19]. - The company's agency and related business external revenue for the first half of 2022 was CNY 33.248 billion, a decrease of 21.33% compared to CNY 42.264 billion in the previous year[66]. - The division profit for the agency and related business was CNY 1.268 billion, an increase of 13.81% from CNY 1.114 billion year-on-year, primarily due to the optimization of business structure and increased profit elasticity in maritime agency business[66]. Cash Flow and Investments - The net cash flow from operating activities for the first half of 2022 was RMB 21 billion[9]. - The net cash flow from operating activities increased significantly by 155.34%, reaching CNY 672.99 million[18]. - The company reported a net cash inflow from operating activities of 673 million yuan, an increase of 409 million yuan year-on-year, indicating a healthy financial status and strong liquidity[53]. - The net cash flow from investing activities was a net outflow of CNY 1.16 billion in the previous year, with significant increases in cash outflows for property and equipment purchases totaling CNY 5.79 billion and intangible assets of CNY 1.43 billion in the current period[78]. - The net cash flow from financing activities decreased to CNY 1.25 billion from CNY 12.51 billion in the previous year, primarily due to a reduction in net inflow from borrowings[78]. - The company's long-term equity investments increased to CNY 9.471 billion, a 12.59% increase from CNY 8.412 billion at the beginning of the year, mainly due to profit adjustments from subsidiaries[91]. Dividend and Share Repurchase - The company proposed a mid-term dividend of RMB 0.10 per share, which is expected to distribute a total cash dividend of RMB 731,959,207.50, accounting for 31.46% of the net profit attributable to shareholders for the first half of 2022[3]. - The company plans to distribute a cash dividend of RMB 1.00 per 10 shares, with a total payout of RMB 1,323,945,193.50 for the 2021 fiscal year[127]. - As of June 30, 2022, the company has repurchased 45,552,800 A-shares, accounting for 0.62% of the total issued shares, with a total expenditure of RMB 179,730,097[122]. - The company has also repurchased 22,803,000 H-shares, representing 0.31% of the total issued shares and 1.06% of the total H-shares, with a total expenditure of HKD 51,256,850[123]. - The board approved a share repurchase plan using up to RMB 299 million to buy back between 24.64 million to 49.28 million A-shares at a price not exceeding RMB 6.06 per share[122]. Operational Developments - The company is focused on expanding its logistics services, including cross-border e-commerce logistics, which contributed significantly to revenue growth[9]. - The company aims to build a world-class smart logistics platform to drive industrial progress[6]. - The company is expanding its e-commerce business, providing end-to-end services for cross-border e-commerce clients[26]. - The company has established a nationwide cold chain logistics network, benefiting from consumption upgrades and technological advancements, with strong capabilities in temperature control and tracking[29]. - The company operates over 50 self-operated international freight train routes, with a cumulative transport volume of 790,000 TEUs, including over 660,000 TEUs for China-Europe trains[32]. - The company aims to transform its e-commerce business towards platformization and ecosystem development, focusing on cross-border e-commerce logistics and logistics e-commerce platforms[35]. Market Conditions and Challenges - In the first half of 2022, China's GDP grew by 2.5%, while foreign trade imports and exports increased by 9.4%, with exports rising by 13.2%[36]. - The cumulative import and export cargo volume in China decreased by 6.9% year-on-year, totaling 2.479 billion tons in the first half of 2022[39]. - The global shipping market faced downward pressure with a 3.0% year-on-year increase in national port container throughput, significantly lower than the previous year's growth of 15.0%[39]. - The logistics market competition intensified, with increased participation from e-commerce and shipping companies, posing risks to market share[100]. - The company faced macroeconomic risks due to international political instability and domestic pandemic control, impacting logistics market volatility[99]. Corporate Governance and Compliance - The company’s governance structure has been enhanced in compliance with the Company Law and the Securities Law, adhering to corporate governance codes[130]. - The company has committed to maintaining independence in personnel, finance, assets, business, and institutions, ensuring no conflicts of interest arise from related transactions[148]. - The company has established a commitment to avoid and minimize related party transactions, ensuring fair market pricing and compliance with disclosure obligations[148]. - The company’s independent directors have provided opinions on the cash dividend proposal, which is subject to shareholder approval[119]. - The company held 5 board meetings during the reporting period, approving 33 proposals including regular reports and stock repurchase plans[131]. Sustainability and Social Responsibility - The company has set a green development vision, aiming to become a leader in green logistics and has initiated pilot projects for carbon reduction solutions[59]. - The company actively promotes green logistics and has been recognized as the rotating president unit of the Green Logistics Branch of the China Federation of Logistics and Purchasing[140]. - The company donated RMB 7 million for rural revitalization projects in 2022, focusing on improving public services and promoting employment in targeted areas[143]. - A logistics center for agricultural products is being constructed in Dure Town, Xinjiang, which is expected to create 50-150 jobs and increase annual income for local residents by RMB 30,000 to 100,000[143]. - The company emphasizes ecological and environmental protection, integrating it into its business operations and adhering to relevant laws and regulations[139].