BOE VARITRONIX(00710)2023-03-21 04:00Financial Performance - The company reported a revenue of HKD 10,722 million for 2022, a 39% increase from HKD 7,738 million in 2021[3] - EBITDA for 2022 was HKD 841 million, up 64% from HKD 513 million in the previous year, representing approximately 7.8% of total revenue[5] - Shareholders' profit attributable to the company was HKD 582.5 million, a 78% increase from HKD 327.8 million in 2021[3] - The company achieved a net foreign exchange gain of approximately HKD 16.8 million in 2022, compared to HKD 10.2 million in 2021[5] - The company's net profit attributable to shareholders was HKD 559,570,000 in 2022, up from HKD 309,719,000 in 2021, marking an increase of 80.7%[36] - Basic earnings per share increased to 78.4 HK cents in 2022 from 45.1 HK cents in 2021[34] - The company reported a total comprehensive income of HKD 324,293,000 for 2022, slightly down from HKD 333,900,000 in 2021[37] - The group's total revenue for 2022 was HKD 10,722,361,000, an increase of 38.5% from HKD 7,737,943,000 in 2021[46] Business Segments - The automotive display business generated revenue of HKD 9,577 million, a 47% increase from HKD 6,509 million in 2021, accounting for approximately 89% of total revenue[7] - The industrial display business recorded revenue of HKD 1,145 million, a decrease of 7% from HKD 1,228 million in 2021, representing about 11% of total revenue[8] - Revenue in China reached HKD 7,495,000,000, an increase of approximately 48% compared to 2021, accounting for 70% of total group revenue[29] - European display screen business generated revenue of HKD 1,607,000,000, a 12% increase from 2021, representing 15% of total group revenue[30] - In Korea, the revenue reached HKD 397,000,000 in 2022, a 19% increase compared to 2021, accounting for 4% of the group's total revenue[32] - In the Americas, revenue was HKD 680,000,000 in 2022, a significant 56% increase from 2021, representing 6% of the group's total revenue[33] Dividends and Shareholder Returns - The company proposed a final dividend of HKD 0.23 per share, up from HKD 0.15 per share in 2021, with a payout ratio of 31%[6] - The proposed final dividend for the year is HKD 0.23 per share, an increase from HKD 0.15 per share in 2021, totaling HKD 182,062,000 for 2022 compared to HKD 110,449,000 in 2021[56][64] Assets and Liabilities - The company maintained a cash and bank deposit balance of HKD 2,881 million as of December 31, 2022, compared to HKD 2,267 million at the end of 2021[3] - Non-current assets increased significantly to HKD 1,672,534,000 in 2022 from HKD 689,978,000 in 2021[38] - Current assets rose to HKD 6,610,566,000 in 2022, compared to HKD 4,853,186,000 in 2021[39] - The company's total assets less current liabilities amounted to HKD 4,179,975,000 in 2022, up from HKD 3,375,111,000 in 2021[39] - The group held a liquid investment portfolio valued at HKD 2,881,000,000 at year-end 2022, compared to HKD 2,271,000,000 in 2021[68] - The group has capital commitments of HKD 905,255,000 as of December 31, 2022, significantly higher than HKD 93,518,000 in 2021, indicating planned investments[63] Market and Growth Prospects - The group successfully expanded its automotive business, increasing overall revenue and profit, driven by strong personal consumption and government tax incentives in China[9] - The group achieved the highest market share in the global automotive display market, particularly for displays larger than 8 inches, establishing a strong customer network with major automotive manufacturers[10] - For 2023, the group expects continued revenue growth, supported by increasing demand for TFT and touch screen display modules in China, the US, Europe, and South Korea[9] - The group plans to expand its TFT and touch screen module production facilities in Chengdu, China, to capture upcoming business opportunities and further increase market share[14] - The group has secured multiple projects from top European automotive manufacturers, which will contribute to revenue growth in the coming years[12] - The group is developing new generation automotive display technologies, focusing on large, curved, and interactive screens to meet the trend of smart vehicle cockpits[16] - The group is actively expanding into the electric vehicle market, successfully penetrating major participants and securing projects for upcoming models[29] Research and Development - Research and development expenses were HKD 190,165,000 in 2022, slightly down from HKD 199,705,000 in 2021[51] - The company has successfully developed a 3D AR-HUD prototype, breaking the limitations of fixed image distance in existing AR-HUD displays[25] - The group has multiple projects in mass production for automotive OLED displays, indicating strong market acceptance of its f-OLED technology[19] - The group has launched a new TFT module for CMS monitors, addressing display latency issues in low temperatures[27] Governance and Compliance - The company was included in the Hang Seng Index series in March 2023, enhancing its market reputation and shareholder base[28] - The company is committed to transparency in its financial reporting process[79] - The board includes independent non-executive directors, ensuring governance and oversight[79] - The chairman of the board is Gao Wenbao, indicating leadership stability[79] - The announcement date is March 21, 2023, reflecting timely communication of financial information[79] Environmental Commitment - The group is committed to environmental protection and sustainability, planning to install solar power systems in its factories to reduce carbon emissions and energy costs[15]