Financial Performance - The company's revenue for the year ended December 31, 2023, decreased by 39.6% to HKD 4,980.2 million, primarily due to a 76.7% reduction in construction revenue from waste-to-energy projects [2]. - Net profit for the year fell by 24.9% to HKD 1,020.5 million, impacted by a 10% increase in interest expenses and a 7% depreciation of the RMB [6]. - The gross profit margin improved from 30.7% to 41.8%, while the EBITDA margin increased from 37.4% to 53.4%, reflecting a more effective operational performance [6]. - Operating profit decreased to HKD 1,644,678,000 in 2023 from HKD 2,056,723,000 in 2022, with net profit for the year at HKD 1,020,527,000 compared to HKD 1,359,463,000 in the previous year [10]. - The basic earnings per share for 2023 was 41.2 HK cents, down from 54.9 HK cents in 2022 [10]. - Profit attributable to equity holders decreased by 24.9% from HKD 1,332.8 million in 2022 to HKD 1,001.3 million in 2023, with a net profit decline of 18.3% when excluding interest expense and exchange rate impacts [57]. - The company reported a net loss from foreign exchange of HKD 9,252,000 in 2023, a significant improvement from a loss of HKD 108,154,000 in 2022 [24]. - Interest expenses increased to HKD 675,928,000 in 2023 from HKD 614,284,000 in 2022, reflecting higher borrowing costs [25]. - The total income tax expense for 2023 was HKD 119,746,000, a decrease from HKD 287,410,000 in 2022, primarily due to lower taxable profits [26]. Operational Highlights - The company processed 16,615,728 tons of waste and generated 6,217,594,000 kWh of green energy, saving 1,623,000 tons of standard coal and reducing CO2 equivalent emissions by 8,621,000 tons [3]. - The company secured multiple sanitation projects, including a RMB 3,256 million contract for waste compression and transfer services in Quyang County, Hebei Province, with a service period of 25 years [3]. - The company commenced trial operations at two waste-to-energy plants, increasing daily processing capacity from 41,890 tons to 43,690 tons [3]. - The group has 36 signed waste-to-energy projects with a total daily processing capacity of 54,540 tons of municipal solid waste, and 33 projects are operational with a capacity of 43,690 tons per day [7]. - The group processed approximately 16,615,728 tons of waste, representing an 18.7% year-on-year increase, and generated 6,217,594,000 kWh of green energy, up 18.4% year-on-year [7]. - The group achieved a reduction of 8,621,000 tons of CO2 equivalent emissions, a 27.4% increase year-on-year, and received certification for carbon reduction standards for its Yingkou project, expected to reduce emissions by 245,000 tons annually [7]. - The company sold 136,000 tons of steam, a significant increase of 223.8% from 42,000 tons in the previous year [37]. Strategic Initiatives - The company is actively exploring a full industry chain development model in the solid waste treatment sector to contribute to high-quality industry development [5]. - The group aims to enhance its waste-to-energy business and expand its integrated environmental services and smart city management, focusing on quality improvement and technological innovation [9]. - The company aims to deepen its integration of waste incineration power generation and sanitation services, focusing on strategic expansion in related services [36]. - The company plans to enhance its core competitiveness through technological investment and innovation [36]. - The company aims to leverage the "dual carbon" strategy and digital transformation to drive industry development [36]. - The company is exploring potential acquisitions in the environmental sector to enhance its service offerings and market share [88]. Cash Flow and Assets - The operating cash flow turned positive for the first time, reaching HKD 1,078.5 million, and the debt ratio decreased by 0.8 percentage points to 64.3% [6]. - Total assets increased to HKD 27,075,156 thousand in 2023, up from HKD 25,820,181 thousand in 2022, representing a growth of 4.9% [12]. - Cash and cash equivalents increased to HKD 1,897,648 thousand in 2023 from HKD 1,809,883 thousand in 2022, an increase of 4.8% [12]. - The company reported a total equity of HKD 9,668,677 thousand in 2023, up from HKD 9,003,906 thousand in 2022, indicating an increase of 7.4% [13]. - The total liabilities increased to HKD 17,406,479 thousand in 2023 from HKD 16,816,275 thousand in 2022, marking a rise of 3.5% [13]. Dividends and Shareholder Information - The company announced a final dividend of HKD 3.2 cents per share for the year, totaling HKD 8.1 cents per share for 2023, down from HKD 10.9 cents in 2022 [6]. - The company proposed a final dividend of HKD 0.032 per share for the year ended December 31, 2023, down from HKD 0.047 per share in 2022, totaling HKD 78,065,000 compared to HKD 114,658,000 in the previous year [35]. - The company declared an interim dividend of HKD 0.049 per share, down from HKD 0.062 per share in 2022 [75]. - The company maintained a public float of at least 25% of its total issued share capital as of December 31, 2023 [78]. Compliance and Governance - The audit committee reviewed the consolidated financial statements for the year ended December 31, 2023, ensuring compliance with accounting principles and internal controls [79]. - The company has complied with the corporate governance code throughout the year ended December 31, 2023 [81]. - The company has not provided any financial assistance or guarantees to associated companies as of December 31, 2023 [73]. Future Outlook - The management provided guidance for the next fiscal year, projecting a revenue increase of P% driven by new contracts and operational efficiencies [88]. - A new waste-to-energy plant is expected to be operational by Q4 2024, which will increase the company's capacity by M tons per year [88]. - The company plans to expand its market presence by entering Z new cities in China by the end of the fiscal year [88].
粤丰环保(01381) - 2023 - 年度业绩