Financial Performance - Revenue for the six months ended June 30, 2023, decreased by 27.5% to HKD 2,981.0 million compared to HKD 4,111.5 million in 2022[2]. - Net profit for the same period fell by 18.2% to HKD 640.7 million, down from HKD 783.1 million in 2022[2]. - The interim dividend declared is HKD 0.049 per share, down from HKD 0.062 per share in the same period last year, reflecting a decrease of 21.0%[2][6]. - The operating profit for the same period was HKD 945,897 thousand, down 12.7% from HKD 1,083,920 thousand year-on-year[11]. - The profit attributable to equity holders for the six months ended June 30, 2023, was HKD 610,271,000, a decrease of 21.1% from HKD 774,002,000 for the same period in 2022[35]. - The basic earnings per share for the six months ended June 30, 2023, was 25.1 HK cents, down from 31.9 HK cents in the same period of 2022, reflecting a decline of 21.2%[35]. - The net profit attributable to equity holders decreased by 21.2% to HKD 610,300,000 in 2023 from HKD 774,000,000 in 2022[71]. Operational Efficiency - The company’s gross profit margin improved to 38.0%, up from 30.3% in the previous year, reflecting enhanced profit quality[2][6]. - EBITDA margin increased to 48.5%, compared to 39.1% in the prior year, indicating better operational efficiency[2][6]. - The company processed 8,082,573 tons of waste and generated 3,079,463,000 kWh of green energy during the reporting period[3]. - The group processed 8,082,573 tons of waste during the period, an increase of 18.3% year-on-year, and generated 3,079,463,000 kWh of green energy, up 19.4% year-on-year[7]. - The total electricity generation increased by 19.4% to 3,079,463 MWh in the first half of 2023 compared to 2,579,150 MWh in the same period of 2022[51]. - The total electricity sales rose by 19.2% to 2,660,721 MWh in the first half of 2023 from 2,231,515 MWh in the same period of 2022[51]. Project Developments - A three-year waste treatment service agreement was signed in March 2023, involving the transportation of approximately 200,000 tons of waste to a waste-to-energy plant[3]. - The company secured a sanitation project in Quyang County, Hebei, with a contract value of RMB 3,256 million, marking its first sanitation project exceeding RMB 3 billion[3]. - The company signed five landfill restoration projects in Guizhou and Guangdong provinces during the review period[56]. - The company is constructing the Huizhou waste-to-energy plant and planning the Huizhou waste-to-energy project[52]. - The company has ongoing contributions from 15 waste-to-energy plants in Guangdong province during the review period[52]. Financial Position - As of June 30, 2023, total assets increased to HKD 26,557,512 thousand, up from HKD 25,820,181 thousand as of December 31, 2022, representing a growth of approximately 2.86%[14]. - Total liabilities increased to HKD 17,242,465 thousand from HKD 16,816,275 thousand, reflecting a rise of approximately 2.53%[15]. - The equity attributable to equity holders of the company increased to HKD 5,606,568 thousand from HKD 5,171,787 thousand, showing a growth of around 8.4%[14]. - The total equity increased to HKD 9,315,047 thousand from HKD 9,003,906 thousand, indicating a growth of approximately 3.46%[15]. - The net current assets stood at HKD 748,692 thousand, an increase from HKD 642,745 thousand in the previous period[15]. Cash Flow and Expenses - The group achieved a positive cash inflow of HKD 384.9 million, reflecting a transition to high-quality operations in the waste-to-energy business[7]. - Cash generated from operating activities was HKD 884,000,000 in 2023, compared to HKD 901,900,000 in 2022[72]. - Interest expenses netted to HKD 310,871,000, an increase from HKD 272,870,000 in the same period last year[30]. - General and administrative expenses increased by 5.6% to HKD 278,800,000 in 2023 from HKD 264,100,000 in 2022, driven by increased R&D costs[65]. - The total borrowing cost for the six months ended June 30, 2023, was HKD 331.1 million, up from HKD 288.6 million in the same period of 2022, primarily due to rising HIBOR rates[77]. Strategic Initiatives - The group plans to expand its business in the Guangdong-Hong Kong-Macao Greater Bay Area, focusing on integrated waste management and smart city services[9]. - The group aims to enhance its waste-to-energy operations and develop a "burning+" strategy to support the integrated waste management industry[9]. - The company continues to develop smart parking solutions, covering over 48,000 parking spaces across multiple provinces[57]. - The company plans to strategically develop upstream and downstream environmental sanitation services to enhance the integration of waste incineration power generation and sanitation services[47]. Sustainability and Recognition - The group received multiple awards for its commitment to sustainability, including recognition as a leading enterprise in environmental protection[8]. - The company expects to benefit from national policies promoting green and low-carbon development, anticipating significant opportunities in the environmental protection industry[9]. - The company expects to reduce carbon emissions by 245,000 tons annually from the Yingkou waste-to-energy project following certification approval[3]. Shareholder Information - The interim dividend payout for the six months ended June 30, 2023, totals HKD 119,538,000, down from HKD 151,252,000 for the same period in 2022, a decrease of 21.0%[37]. - The public float of the company remains at least 25% of the total issued share capital as of June 30, 2023[93]. - The company has complied with the corporate governance code during the six months ending June 30, 2023[94].
粤丰环保(01381) - 2023 - 中期业绩