Financial Performance - For the six months ended June 30, 2023, total sales reached approximately RMB 11,561,962,000, a decrease of about 14.9% compared to the same period in 2022[1]. - Gross profit for the six months was approximately RMB 2,594,904,000, down about 15.4% year-on-year, with a gross margin of approximately 22.4%[1]. - Net profit attributable to equity holders of the parent company was approximately RMB 2,126,829,000, a decrease of about 10.1% year-on-year[1]. - Basic earnings per share were RMB 1.41, down approximately 10.2% from RMB 1.57 in the same period last year[1]. - Total revenue for the six months ended June 30, 2023, was RMB 11,561,962 thousand, a decrease of 15% compared to RMB 13,592,789 thousand in the same period of 2022[13]. - The profit attributable to equity holders of the parent company for the six months ended June 30, 2023, was approximately RMB 2,126,829,000, down 10.1% from RMB 2,366,616,000 for the same period in 2022[21]. - The gross profit margin for the six months ended June 30, 2023, was approximately 22.4%, a slight decrease of 0.2 percentage points from 22.6% in the previous year[48]. Sales Breakdown - Sales from sports products accounted for approximately 74.0% of total sales, with a decline of about 19.9% year-on-year[1]. - Sales from leisure products represented approximately 19.9% of total sales, increasing by about 10.1% compared to the previous year[1]. - Sales of sports products were approximately RMB 8,560,723,000, down RMB 2,126,467,000 or 19.9% from RMB 10,687,190,000 in the previous year, primarily due to decreased demand in the European and American markets[44]. - Sales of leisure products increased to approximately RMB 2,299,766,000, an increase of RMB 211,822,000 or 10.1%, driven by higher demand in the Japanese and Chinese markets[45]. - Sales in the European market were approximately RMB 2,421,402,000, a decrease of RMB 905,227,000 or 27.2% compared to RMB 3,326,629,000 in the previous year, mainly due to reduced orders for sports apparel[47]. - Sales in the U.S. market decreased to approximately RMB 1,831,356,000, down RMB 889,175,000 or 32.7% from RMB 2,720,531,000, primarily due to decreased demand for sports apparel[47]. Assets and Liabilities - Total non-current assets as of June 30, 2023, amounted to RMB 20,930,787,000, an increase from RMB 17,328,331,000 as of December 31, 2022[6]. - Total current assets were RMB 6,319,495,000, compared to RMB 6,260,803,000 as of December 31, 2022[6]. - Total equity increased to RMB 32,154,301,000 as of June 30, 2023, from RMB 30,765,784,000 as of December 31, 2022[7]. - The company’s total liabilities decreased to RMB 1,338,811,000 as of June 30, 2023, from RMB 1,670,595,000 as of December 31, 2022, indicating a reduction of approximately 19.8%[29]. - Accounts receivable and notes amounted to RMB 4,585,421,000 as of June 30, 2023, down from RMB 5,005,167,000 as of December 31, 2022[25]. Expenses and Costs - Employee benefits expenses, including wages and salaries, totaled RMB 2,906,471 thousand, a decrease of 19.3% from RMB 3,600,922 thousand[16]. - The total cost of sales, selling and distribution expenses, and administrative expenses was RMB 9,961,881 thousand, a decrease of 14.5% from RMB 11,654,333 thousand[16]. - Financing costs rose to RMB 146,258 thousand, compared to RMB 103,557 thousand in the previous year, reflecting an increase of 41.1%[18]. - The income tax expense for the six months ended June 30, 2023, totaled RMB 221,595,000, a decrease of 44.7% from RMB 400,724,000 for the same period in 2022[19]. Dividends and Shareholder Returns - The board declared an interim dividend of HKD 0.95 per share, a decrease of about 10.4% from HKD 1.06 per share in the previous year[1]. - The interim dividend declared is HKD 0.95 per share, totaling approximately HKD 1,428,061,000 (approximately RMB 1,316,672,000), a decrease from HKD 1.06 per share for the same period in 2022[22]. Operational Insights - The company has enhanced its digital management ecosystem, achieving comprehensive data collection and visualization across the entire production process[42]. - The company has diversified its product offerings by adding new fabric categories, which is expected to help expand its business and increase market share[42]. - The company anticipates that the business performance in the second half of the year will be better than the same period last year, with gradual improvement in production capacity utilization[60]. - The company recognizes the challenges in the current economic environment but believes there are significant growth opportunities in the domestic market[59]. Governance and Compliance - The board is responsible for governance and managing the assets entrusted by shareholders, including setting business strategies and evaluating management performance[71]. - The Audit Committee, consisting of four independent non-executive directors, reviews the group's financial practices and internal controls, including the unaudited financial statements for the six months ending June 30, 2023[72]. - The Remuneration Committee ensures that the compensation policies for directors and senior management are fair and competitive based on market levels and responsibilities[73]. - The Nomination Committee is responsible for identifying qualified candidates for directorship and reviewing the board's structure and composition[74].
申洲国际(02313) - 2023 - 中期业绩