2023-08-29 11:32Financial Performance - Total revenue for the first half of 2023 reached RMB 20,462.4 million, representing a year-on-year growth of 23.3%[2] - Profit attributable to equity holders of the parent company was approximately RMB 5,775.4 million, an increase of 25.3% compared to the same period last year[2] - Basic earnings per share increased to RMB 0.51, reflecting a growth of 24.4% year-on-year[2] - Gross profit margin improved, with gross profit amounting to RMB 8,152.5 million, up from RMB 9,837.7 million in the previous year[2] - The company reported a pre-tax profit of RMB 7,524.3 million, up from RMB 6,069.3 million in the previous year[2] - The adjusted profit before tax for the group was RMB 7,524,304 thousand for the six months ended June 30, 2023, compared to RMB 6,069,255 thousand for the same period in 2022, indicating an increase of about 24.1%[10] - The group reported a total segment profit of RMB 7,723,684 thousand for the six months ended June 30, 2023, compared to RMB 6,361,945 thousand for the same period in 2022, reflecting a growth of approximately 21.4%[10] - The group’s pre-tax profit for the six months ended June 30, 2023, was RMB 8,152,496,000, compared to RMB 6,761,083,000 for the same period in 2022, representing a year-on-year increase of approximately 20.5%[14] - The company's profit for the period increased by 25.3% to RMB 5,775 million from RMB 4,608 million in the previous year[43] Revenue Breakdown - For the six months ended June 30, 2023, total revenue from external customers reached RMB 20,462,425 thousand, an increase from RMB 16,598,761 thousand in the same period of 2022, representing a growth of approximately 23.5%[13] - The sales revenue from the bottled water segment was RMB 10,442,008 thousand, while the ready-to-drink tea segment generated RMB 5,286,470 thousand for the six months ended June 30, 2023[10] - The revenue from packaged drinking water products was RMB 10,442 million, accounting for 51.0% of total revenue, with an increase of 11.7% compared to the same period last year[30] - The revenue from beverage products increased by 38.9% year-on-year, contributing 48.4% to total revenue[28] - The company's tea beverage products generated revenue of RMB 5,286 million, a year-on-year increase of 59.8%, accounting for 25.8% of total revenue[32] - The functional beverage segment recorded revenue of RMB 2,457 million, up 21.5% year-on-year, representing 12.0% of total revenue[34] - Juice beverage products achieved revenue of RMB 1,686 million, reflecting a 32.2% increase compared to the same period last year, and accounted for 8.2% of total revenue[35] Assets and Liabilities - Total assets as of June 30, 2023, were RMB 28,349.5 million, compared to RMB 18,361.5 million at the end of 2022[4] - Current liabilities increased to RMB 26,300.5 million from RMB 14,601.4 million at the end of 2022[4] - The net current assets decreased to RMB 2,048.9 million from RMB 3,760.1 million at the end of 2022[4] - Total equity attributable to equity holders of the parent company was RMB 22,257.3 million, down from RMB 24,084.1 million at the end of 2022[5] - Long-term bank deposits, cash, and bank balances totaled RMB 27,477 million, a 42.2% increase from RMB 19,316 million at the end of the previous year[44] Expenses - Selling and distribution expenses rose to RMB 4,695 million, a 30.0% increase from RMB 3,612 million last year, representing 22.9% of total revenue[40] - Administrative expenses increased to RMB 959 million, a 9.4% rise from RMB 876 million, accounting for 4.7% of total revenue[41] - The total income tax expense for the six months ended June 30, 2023, was RMB 1,748,883,000, compared to RMB 1,460,930,000 in the same period of 2022, reflecting an increase of about 19.7%[16] - Depreciation and amortization expenses for the group totaled RMB 1,042,572 thousand for the six months ended June 30, 2023, compared to RMB 926,032 thousand in the same period of 2022[10] Investments and Capital - Capital commitments as of June 30, 2023, were approximately RMB 1,788 million, mainly for the construction of production facilities and acquisition of production equipment[52] - The company has not made any significant investments or acquisitions during the reporting period[53] - The company plans to utilize the remaining IPO proceeds for brand building, purchasing sales equipment, and constructing new production facilities, with expected completion by December 31, 2024[59] Corporate Governance - The audit committee, composed of three independent non-executive directors, reviewed the interim results for the six months ended June 30, 2023, confirming compliance with applicable accounting principles[61] - The company has adhered to all provisions of the Corporate Governance Code since January 1, 2022, except for the separation of roles between the Chairman and the CEO[62] - The company has established a securities trading policy for directors and confirmed compliance by all directors and supervisors during the reporting period[63] Employee and Welfare - Total employee welfare expenses, including director remuneration, amounted to RMB 1,850 million during the reporting period, with over 20,000 employees[55] - The employee stock incentive plan adopted in 2022 allows for a maximum of 5% of the total issued share capital to be granted, with 6,636,400 shares awarded, representing 0.059% of total issued shares[56] Market and Consumer Trends - The retail sales of consumer goods in China exceeded RMB 22 trillion, growing by 8.2% year-on-year, indicating a recovery in consumer spending[27] - The company anticipates continued growth in the beverage market driven by the recovery of consumer spending and outdoor activities[27] Risk Management - The company closely monitors foreign exchange risks, holding HKD 1,478 million and USD 450 million as of June 30, 2023[50]