汉缆股份(002498) - 2023 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions This section presents essential declarations, the report's structure, and definitions of key terms - The company's Board of Directors, Supervisory Board, and all directors, supervisors, and senior management guarantee the truthfulness, accuracy, and completeness of this semi-annual report, with no false records, misleading statements, or major omissions[379] - The company plans no cash dividends, bonus shares, or capital increase from capital reserves for the first half of 2023[4] - This semi-annual financial report is unaudited[138][514] Company Profile and Key Financial Indicators This section introduces the company's profile and summarizes its key financial performance and position Company Profile Qingdao Hanhe Cable Co., Ltd. (stock abbreviation: Hanhe Cable, code: 002498) is a company listed on the Shenzhen Stock Exchange, with Zhang Ligang as its legal representative, primarily engaged in the R&D, production, and sales of wires and cables Company Profile | Project | Information | | :--- | :--- | | Stock Abbreviation | Hanhe Cable | | Stock Code | 002498 | | Listing Exchange | Shenzhen Stock Exchange | | Company Full Chinese Name | 青岛汉缆股份有限公司 | | Legal Representative | Zhang Ligang | Key Accounting Data and Financial Indicators In the first half of 2023, the company's operating revenue decreased by 7.11% to 4.352 billion yuan, and net profit attributable to shareholders decreased by 15.11% to 424 million yuan; net cash flow from operating activities turned positive to 539.5 thousand yuan, a 100.14% increase, while total assets grew 3.74% to 10.224 billion yuan 2023 Semi-Annual Key Financial Indicators | Indicator | Current Reporting Period | Prior Year Same Period | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Operating Revenue (yuan) | 4,352,092,435.65 | 4,685,148,103.80 | -7.11% | | Net Profit Attributable to Listed Company Shareholders (yuan) | 424,115,956.12 | 499,631,144.32 | -15.11% | | Net Profit Attributable to Parent Excluding Non-Recurring Items (yuan) | 401,081,925.65 | 477,506,008.04 | -16.00% | | Net Cash Flow from Operating Activities (yuan) | 539,477.75 | -374,450,930.79 | 100.14% | | Basic Earnings Per Share (yuan/share) | 0.1275 | 0.1489 | -14.37% | | Weighted Average Return on Net Assets | 5.91% | 7.68% | -1.77% | | Total Assets (yuan) | 10,223,945,552.10 | 9,855,448,127.35 (End of Prior Year) | 3.74% | | Net Assets Attributable to Listed Company Shareholders (yuan) | 7,301,640,978.98 | 7,048,919,673.49 (End of Prior Year) | 3.59% | Non-Recurring Gains and Losses During the reporting period, the company's total non-recurring gains and losses amounted to 23.034 million yuan, primarily from government subsidies and fair value changes in financial assets and liabilities Non-Recurring Gains and Losses Items | Project | Amount (yuan) | | :--- | :--- | | Government subsidies included in current profit/loss | 13,095,053.17 | | Fair value changes from holding transactional financial assets/liabilities, etc | 12,553,568.86 | | Disposal gains/losses of non-current assets | 620,677.31 | | Other non-operating net income/expenses | 937,339.81 | | Subtotal | 27,206,639.15 | | Less: Income tax impact | 4,171,921.78 | | Less: Minority interest impact (after tax) | 686.90 | | Total | 23,034,030.47 | Management Discussion and Analysis This section provides an in-depth analysis of the company's operations, financial performance, and future outlook Main Business Activities During the Reporting Period The company's main business involves R&D, production, and sales of wire and cable systems for various sectors; despite a decline in revenue and net profit due to market factors, the company maintained stable asset and net asset growth with a low debt-to-asset ratio, demonstrating stable operations - The company is a high-tech enterprise integrating cable and accessory systems, condition monitoring systems, and power transmission and transformation engineering contracting, with products covering power cables, special cables, and other series[408] - The company adopts a "design-R&D-production-sales-service" business model, uses hedging to prevent copper price fluctuations, and actively promotes e-commerce platforms for online and offline sales channels[36] - In the domestic market, the company won bids for multiple UHV projects and submarine cable projects, consolidating its leading position in the high and ultra-high voltage cable market[37] - In the international market, the company won bids for several photovoltaic, wind power, and hydropower projects in Saudi Arabia, Laos, Uzbekistan, and engaged in business and technical exchanges with multiple internationally renowned enterprises[37] Core Competitiveness Analysis The company's core competitiveness stems from its product and brand, R&D and technology, and marketing and management advantages, particularly in high and ultra-high voltage cables, supported by national-level R&D centers and a nationwide marketing network serving major clients - Product and Brand Advantage: The company has significant technical advantages in high and ultra-high voltage cross-linked cables, being one of the few domestic suppliers capable of providing complete solutions for 500kV and below cable and accessory production, installation, and inspection[440] - R&D and Technology Advantage: Possesses a national-level enterprise technology center and a postdoctoral research workstation, participated in formulating over 80 national and industry standards, and holds over 200 patent technologies[440] - Marketing Management Advantage: Established a nationwide marketing network, serving clients including State Grid, China Southern Power Grid, PetroChina, Sinopec, and other well-known domestic enterprises, with products also frequently winning international bids[20][440] Main Business Analysis In H1 2023, main business revenue was 4.352 billion yuan, down 7.11%; power cables remained the primary source, while special and electrical equipment cables saw significant growth, and regional performance varied with increases in Central-South, Southwest, Northwest, and overseas markets Key Financial Data Year-on-Year Changes | Project | Current Reporting Period (yuan) | Prior Year Same Period (yuan) | Year-on-Year Change | Main Reason | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 4,352,092,435.65 | 4,685,148,103.80 | -7.11% | - | | Administrative Expenses | 91,625,216.27 | 71,581,752.15 | 28.00% | - | | Financial Expenses | 2,356,040.41 | 10,960,790.34 | -78.50% | Reduced exchange losses from prior period hedging and increased interest income | | R&D Investment | 260,576,438.64 | 228,916,856.23 | 13.83% | - | | Net Cash Flow from Operating Activities | 539,477.75 | -374,450,930.79 | 100.14% | Strengthened inventory management, reduced raw material procurement expenditures | | Net Cash Flow from Investing Activities | 172,256,050.50 | 36,931,965.93 | 366.41% | Increased recovery of short-term investments and reduced payments for long-term assets | Operating Revenue Composition Change (by Product) | Product | Current Reporting Period Revenue (yuan) | Proportion of Total Revenue | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Power Cables | 3,064,204,451.82 | 70.41% | -0.23% | | Bare Wires | 556,189,284.78 | 12.78% | -30.34% | | Wires and Cables for Electrical Equipment | 283,196,929.92 | 6.51% | 28.43% | | Special Cables | 84,183,315.09 | 1.93% | 202.96% | | Communication Cables and Optical Fibers | 91,676,526.06 | 2.11% | -42.61% | Operating Revenue Composition Change (by Region) | Region | Current Reporting Period Revenue (yuan) | Proportion of Total Revenue | Year-on-Year Change | | :--- | :--- | :--- | :--- | | East China | 1,982,794,455.01 | 45.56% | -16.28% | | North China | 646,214,367.98 | 14.85% | -35.93% | | Central-South China | 1,068,006,461.67 | 24.54% | 42.70% | | Overseas | 153,042,494.06 | 3.52% | 20.71% | Assets and Liabilities Analysis As of the reporting period end, total assets reached 10.224 billion yuan, up 3.74% from the year-start, with accounts receivable and inventory being significant components; short-term borrowings accounted for 8.94% of total assets, and 39.8224 million yuan in assets were restricted Key Asset and Liability Item Changes | Project | Period-End Amount (yuan) | Proportion of Total Assets | Change from Year-Start | | :--- | :--- | :--- | :--- | | Cash and Bank Balances | 991,158,582.98 | 9.69% | +0.64% | | Accounts Receivable | 3,773,435,834.97 | 36.91% | +0.21% | | Inventories | 1,451,212,039.19 | 14.19% | +1.41% | | Fixed Assets | 851,642,394.84 | 8.33% | +2.50% | | Short-Term Borrowings | 914,000,000.00 | 8.94% | -0.95% | - As of the reporting period end, the company had 39.8224 million yuan in restricted assets, of which 36.2438 million yuan in cash and bank balances were for guarantees, and 3.5785 million yuan in accounts receivable financing were for pledged notes[27][420] Investment Analysis During the reporting period, total investments significantly increased to 23.965 million yuan, including minor equity investments with a book value of 696.1 thousand yuan, and derivative investments in copper and aluminum futures for hedging raw material price risks, which effectively offset spot risks - During the reporting period, the company's total securities investment initial cost was 2.932 million yuan, with a period-end book value of 696.1 thousand yuan, all classified as transactional financial assets[47] - The company conducts derivative investments for hedging purposes, primarily in copper and aluminum futures and forward foreign exchange settlements, to mitigate commodity price fluctuations and foreign exchange risks; during the reporting period, the net impact of futures and spot offsets on actual profit and loss was minimal[424][452] Analysis of Major Holding and Associate Companies The company's major subsidiaries operate within the wire and cable sector, significantly contributing to net profit, with Qingdao Tonghe Hanhe Cable Co., Ltd. reporting the highest net profit of 93.5 million yuan, and Jiaozuo Hanhe Cable Co., Ltd. and Qingdao Hanhe Marine Engineering Equipment Co., Ltd. each contributing over 39 million yuan Major Holding Subsidiary Operating Performance (H1 2023) | Company Name | Operating Revenue (yuan) | Net Profit (yuan) | | :--- | :--- | :--- | | Qingdao Tonghe Hanhe Cable Co., Ltd. | 673,430,200.07 | 93,496,656.37 | | Jiaozuo Hanhe Cable Co., Ltd. | 1,027,942,019.86 | 40,886,174.95 | | Qingdao Hanhe Marine Engineering Equipment Co., Ltd. | 314,427,810.04 | 39,629,092.89 | | Changzhou Bayi Cable Co., Ltd. | 239,736,375.54 | 26,222,550.53 | | Xiushui Hanhe Cable Co., Ltd. | 350,338,503.93 | 17,405,065.93 | Risks Faced by the Company and Countermeasures The company faces risks including industry policy, raw material price fluctuations, technology, management, and market competition, which it addresses through market expansion, technological innovation, supply chain management, internal control improvements, and quality focus - Industry Policy and Market Competition Risks: The wire and cable industry is highly susceptible to macroeconomic policies and faces issues of low industry concentration and intense homogeneous competition; the company will address this by expanding domestic and international markets, technological innovation, and optimizing product structure[53][78] - Raw Material Price Fluctuation Risks: Metal raw materials like copper constitute a significant portion of costs, and price fluctuations impact profitability; the company mitigates this risk by adjusting product prices and strengthening supply chain management[53][429] - Technology Risks: The industry experiences rapid technological updates, and failure to maintain a technological advantage could adversely affect operations; the company will continue to increase R&D investment and attract scientific research talent[54][481] - Management Risks: The company has numerous holding and associate companies, posing organizational management challenges; the company will continuously improve its internal control mechanisms, strengthen group-level management, and enhance decision-making and risk control capabilities[78][458] Corporate Governance This section details the company's governance structure, shareholder meetings, and management changes - During the reporting period, the company held its 2022 Annual General Meeting on May 25, 2023, with an investor participation rate of 67.19%[56][483] - There were no changes in the company's directors, supervisors, and senior management during the reporting period[57] - The company's 2023 semi-annual profit distribution plan is to not distribute cash dividends, not issue bonus shares, and not convert capital reserves into share capital[80] Environmental and Social Responsibility This section outlines the company's environmental compliance and efforts in fulfilling its social responsibilities towards stakeholders - The company and its subsidiaries are not classified as key pollutant discharge units by environmental protection authorities and received no administrative penalties for environmental issues during the reporting period[60][462] - The company actively fulfills its social responsibilities, continuously striving to protect the rights and interests of shareholders, investors, employees, customers, and suppliers, communicating with investors through various channels, and approving the 2022 profit distribution plan to reward shareholders[83][61][84][62] Significant Matters This section covers key events and commitments, including compliance with undertakings, related party transactions, and significant contracts Fulfillment of Commitments During the reporting period, the company and its related parties, including the controlling shareholder and actual controller, strictly fulfilled commitments made during acquisitions, IPOs, or refinancing regarding non-competition, related party transactions, and fund occupation - The company's controlling shareholder, Qingdao Hanhe Group Co., Ltd., and actual controller Zhang Sixia, along with other related parties, strictly fulfilled long-term commitments regarding avoiding horizontal competition and maintaining the listed company's independence during the reporting period[64][467][493] Significant Related Party Transactions No significant related party transactions for daily operations or asset/equity acquisitions/disposals occurred during the reporting period, though an accounts payable of 174.5557 million yuan to controlling shareholder Qingdao Hanhe Group Co., Ltd. exists from the acquisition of Shanghai Hengjin Power Technology Co., Ltd. equity - During the reporting period, the company had no significant related party transactions related to daily operations, asset or equity acquisitions/disposals, or joint external investments[518][70][520] - The company has accounts payable to its controlling shareholder, Qingdao Hanhe Group Co., Ltd., with a period-end balance of 174.5557 million yuan, which arose from the acquisition of equity in Shanghai Hengjin Power Technology Co., Ltd[520] Significant Contracts and Their Performance During the reporting period, the company had no significant entrustment, contracting, or leasing contracts; it provided guarantees for subsidiaries totaling 214.9359 million yuan, representing 2.94% of net assets, and invested 863 million yuan in bank wealth management products, with 458.1006 million yuan outstanding External Guarantees | Project | Amount (ten thousand yuan) | | :--- | :--- | | Total approved guarantee limit for subsidiaries during the reporting period | 79,550 | | Actual guarantee balance for subsidiaries at period-end | 21,493.59 | | Proportion of actual total guarantee to company's net assets | 2.94% | Entrusted Wealth Management | Type | Source of Funds | Amount Incurred (ten thousand yuan) | Unexpired Balance (ten thousand yuan) | | :--- | :--- | :--- | :--- | | Bank Wealth Management Products | Own Funds | 86,300 | 45,810.06 | Penalties and Rectification During the reporting period, the company's controlling shareholder, Qingdao Hanhe Group Co., Ltd., received an administrative penalty decision from the China Securities Regulatory Commission for suspected illegal securities trading using others' accounts, resulting in a rectification order, warning, and a 500,000 yuan fine - The company's controlling shareholder, Hanhe Group, was issued a warning and fined 500,000 yuan by the China Securities Regulatory Commission for engaging in securities trading by borrowing others' accounts[517] Share Changes and Shareholder Information This section details changes in share capital and provides an overview of the company's shareholder structure Share Capital Changes As of the reporting period end, the company's total share capital remained unchanged at 3,326,796,000 shares, all of which are unrestricted shares - During the reporting period, the company's total share capital and share structure remained unchanged, with a total of 3,326,796,000 shares, all being unrestricted tradable shares[529][509] Shareholder Information As of the reporting period end, the company had 110,024 shareholders, with Qingdao Hanhe Group Co., Ltd. as the controlling shareholder holding 66.56%, and other top ten shareholders being individuals or institutions with less than 1% stake Top Ten Shareholders' Shareholding | Shareholder Name | Shareholding Percentage | Number of Shares Held (shares) | | :--- | :--- | :--- | | Qingdao Hanhe Group Co., Ltd. | 66.56% | 2,214,408,016 | | Liu De | 0.61% | 20,291,800 | | Hong Kong Securities Clearing Company Limited | 0.56% | 18,712,094 | | China Merchants Bank - Yinhua Xinjia Two-Year Holding Period Mixed Fund | 0.37% | 12,430,610 | | China Merchants Bank - Yinhua Xinyi Flexible Allocation Mixed Fund | 0.32% | 10,801,239 | Preferred Shares Information This section confirms the absence of preferred shares during the reporting period - During the reporting period, the company had no preferred shares[109] Bonds Information This section confirms the absence of bond-related activities during the reporting period - During the reporting period, the company had no bond-related situations[111] Financial Report This section presents the company's financial statements, including the balance sheet, income statement, and cash flow statement Audit Opinion The company's 2023 semi-annual financial report is unaudited - The company's semi-annual financial report is unaudited[138] Key Financial Statements As of June 30, 2023, total assets were 10.224 billion yuan, total liabilities 2.789 billion yuan, and equity attributable to parent 7.302 billion yuan; H1 2023 operating revenue was 4.352 billion yuan, net profit attributable to parent 424 million yuan, and net cash inflow from operations 539.5 thousand yuan Consolidated Balance Sheet As of June 30, 2023, total assets were 10.224 billion yuan, up 3.74% from the beginning of the period, with current assets of 7.558 billion yuan primarily from accounts receivable and inventory; total liabilities were 2.789 billion yuan, with a 27.28% debt-to-asset ratio, and equity attributable to the parent was 7.302 billion yuan Consolidated Balance Sheet Key Items (As of June 30, 2023) | Project | Amount (yuan) | | :--- | :--- | | Total Assets | 10,223,945,552.10 | | Total Current Assets | 7,558,007,086.29 | | Total Non-Current Assets | 2,665,938,465.81 | | Total Liabilities | 2,788,779,797.87 | | Total Current Liabilities | 2,649,454,774.02 | | Total Non-Current Liabilities | 139,325,023.85 | | Total Owners' Equity | 7,435,165,754.23 | | Owners' Equity Attributable to Parent Company | 7,301,640,978.98 | Consolidated Income Statement In H1 2023, total operating revenue was 4.352 billion yuan, down 7.11%; total operating costs were 3.950 billion yuan, down 4.17%; net profit attributable to parent shareholders was 424 million yuan, down 15.11%; and basic earnings per share were 0.1275 yuan Consolidated Income Statement Key Items (H1 2023) | Project | Amount (yuan) | Year-on-Year Change | | :--- | :--- | :--- | | Total Operating Revenue | 4,352,092,435.65 | -7.11% | | Total Operating Costs | 3,950,111,471.06 | -4.17% | | R&D Expenses | 260,576,438.64 | +13.83% | | Total Profit | 480,624,125.60 | -14.76% | | Net Profit | 419,620,720.95 | -15.27% | | Net Profit Attributable to Parent Company Owners | 424,115,956.12 | -15.11% | | Basic Earnings Per Share (yuan/share) | 0.1275 | -14.37% | Consolidated Cash Flow Statement In H1 2023, net cash flow from operating activities was 539.5 thousand yuan, a significant improvement from the prior year's -374 million yuan, mainly due to reduced raw material purchases; net cash inflow from investing activities was 172 million yuan, and net cash outflow from financing activities was 76.8143 million yuan, with cash and cash equivalents at period-end totaling 956.4217 million yuan Consolidated Cash Flow Statement Key Items (H1 2023) | Project | Amount (yuan) | | :--- | :--- | | Net Cash Flow from Operating Activities | 539,477.75 | | Net Cash Flow from Investing Activities | 172,256,050.50 | | Net Cash Flow from Financing Activities | -76,814,339.30 | | Effect of Exchange Rate Changes on Cash | -347,105.88 | | Net Increase in Cash and Cash Equivalents | 95,634,083.07 | | Cash and Cash Equivalents at Period-End | 956,421,766.65 | Company Basic Information Qingdao Hanhe Cable Co., Ltd., established in 2007 by Qingdao Hanhe Group Co., Ltd. and other shareholders, listed on the Shenzhen Stock Exchange in 2010, operates in the power transmission and distribution equipment manufacturing sector, specializing in the design, R&D, manufacturing, and sales of various wires, cables, accessories, and related engineering services - The company was established in December 2007 and listed on the Shenzhen Stock Exchange on November 9, 2010[215] - The company belongs to the power transmission and distribution equipment manufacturing industry, primarily engaged in the design, production, R&D, and manufacturing of wires, cables, optical fibers, and related accessories and materials[195] Significant Accounting Policies and Estimates These financial statements are prepared on a going concern basis in accordance with the Accounting Standards for Business Enterprises issued by the Ministry of Finance, accurately reflecting the company's financial position, operating results, and cash flows, with the accounting period being the calendar year, RMB as the functional currency, and a 12-month operating cycle - The financial statements are prepared on a going concern basis, adhering to the Accounting Standards for Business Enterprises[168][221] - The company's accounting period is from January 1 to December 31 of the calendar year, with RMB as the functional currency and a 12-month operating cycle[222][223][224]