Financial Performance - The company recorded revenue of approximately RMB 1,263.7 million for the year ended December 31, 2023, a decrease of about 32.3% compared to RMB 1,865.9 million for the year ended December 31, 2022[3]. - The net profit attributable to the owners of the company decreased from approximately RMB 66.8 million in 2022 to approximately RMB 48.3 million in 2023[3]. - Gross profit for the year was RMB 141.5 million, with a gross margin of approximately 11.2%, compared to RMB 145.1 million and a gross margin of 7.8% in the previous year[5]. - Operating profit decreased to RMB 63.1 million from RMB 78.1 million year-on-year[5]. - Basic and diluted earnings per share were RMB 16.36, down from RMB 21.94 in the previous year[5]. - The total comprehensive income for the year ended December 31, 2023, was approximately RMB 48.3 million, a decrease of RMB 18.5 million compared to RMB 66.8 million for the year ended December 31, 2022[39]. - The total sales cost decreased by approximately RMB 598.5 million or about 34.8% to approximately RMB 1,122.3 million for the year ended December 31, 2023, from approximately RMB 1,720.8 million for the year ended December 31, 2022[81]. - Gross profit decreased from approximately RMB 145.1 million for the year ended December 31, 2022, to approximately RMB 141.5 million for the year ended December 31, 2023, a reduction of about RMB 3.6 million[83]. - Overall gross margin increased from approximately 7.8% for the year ended December 31, 2022, to approximately 11.2% for the year ended December 31, 2023, primarily due to higher margins from processing services and sales of iron concentrate[84]. Assets and Liabilities - Total assets increased to RMB 869.3 million as of December 31, 2023, compared to RMB 746.0 million in 2022[6]. - Total equity attributable to the owners of the company rose to RMB 491.9 million from RMB 354.0 million in the previous year[6]. - The company reported a current tax expense of RMB 9,160,000 for 2023, compared to RMB 9,770,000 in 2022[20]. - The company's trade deposits to suppliers decreased significantly from RMB 70,081,000 in 2022 to RMB 17,301,000 in 2023[30]. - Total accounts payable rose to RMB 48,885,000 in 2023, up from RMB 34,412,000 in 2022, indicating increased operational activity[32]. - The company's current liabilities related to mining rights amount to RMB 19,229,000, while non-current liabilities total RMB 101,693,000 as of December 31, 2023[28]. - As of December 31, 2023, total borrowings amounted to approximately RMB 118.0 million, a slight decrease from approximately RMB 123.4 million as of December 31, 2022[88]. - The debt-to-equity ratio as of December 31, 2023, was approximately 19.3%, a decrease from 25.8% as of December 31, 2022[102]. - The current ratio improved to approximately 0.90 times as of December 31, 2023, compared to 0.84 times as of December 31, 2022[102]. Revenue Sources - Sales of iron ore powder decreased to RMB 206,234,000 in 2023 from RMB 456,280,000 in 2022, representing a decline of 54.8%[14]. - Trade sales accounted for approximately 79.0% of total sales in 2023, down from 90.2% in 2022, while processing service revenue increased from 9.8% in 2022 to 19.2% in 2023[71]. - The company’s processing service revenue increased to RMB 241,891,000 in 2023 from RMB 183,704,000 in 2022, marking a growth of 31.6%[14]. - The company’s total sales volume for trade activities decreased from 4,176.7 thousand tons in 2022 to 2,697.2 thousand tons in 2023[78]. - The company did not sell any iron ore or titanium ore during the fiscal year ending December 31, 2023[74][76]. Shareholder Actions - The company did not recommend a final dividend for the year ending December 31, 2023, consistent with 2022[14]. - The board proposed a share consolidation on January 11, 2023, to consolidate every twenty shares into one share, subject to shareholder approval[89]. - Following the share consolidation, the board proposed a rights issue to raise up to HKD 99,850,698 through the issuance of 87,588,332 rights shares at a subscription price of HKD 1.14 per share[90]. - The total gross proceeds from the rights issue amounted to approximately HKD 99.9 million, with a net amount of approximately HKD 97.1 million after expenses[99]. - Approximately 73.3% (about HKD 71.2 million) of the net proceeds will be used to offset or repay shareholder loans[99]. - The company received valid applications for a total of 37,308,277 shares, which is about 42.6% of the total shares offered in the rights issue[98]. - The remaining 50,280,055 shares, equivalent to approximately 57.4% of the total offered shares, were subscribed by the underwriter due to insufficient applications[99]. Strategic Focus and Future Plans - The company plans to continue focusing on mineral product trading and iron ore processing in China, with potential market expansion strategies under consideration[10]. - The company has committed to enhancing its research and development efforts in the full titanium industry chain, including sponge titanium and high-purity titanium products[41]. - The company plans to release new production capacity in 2024, focusing on protective mining and the expansion of the titanium industry chain[110]. - An investment of approximately RMB 500 million is planned for the construction of the Zhugeshangyu mine and processing plant[113]. - The company is focusing on low-carbon and environmentally sustainable projects, planning to adjust its industrial structure to enhance investor interests[47]. - The company is actively expanding its titanium and iron ore production business while exploring new energy projects, particularly solar thermal energy[54]. Mining Rights and Assets - The company confirmed intangible assets related to mining rights totaling RMB 222,167,000 as of December 31, 2023, with RMB 67,853,000 for Yangzhuang and RMB 154,314,000 for Zhuge Shangyu[26]. - As of December 31, 2023, the company has paid RMB 45,466,000 for the renewal of the Yangzhuang mining rights, with a remaining balance of RMB 25,000,000 to be paid in five installments from 2024 to 2028[26]. - The renewal of Zhuge Shangyu mining rights requires a total payment of approximately RMB 171,349,000, with RMB 51,349,000 already paid and a remaining balance of RMB 120,000,000 to be paid in eight installments from 2024 to 2031[26]. - The company has renewed mining rights for both Yangzhuang Iron Mine and Zhuge Shangyu Titanium Iron Mine as of December 31, 2023[36]. - The company has no outstanding prepayments for mining rights as of December 31, 2023, following the acquisition of relevant mining permits[27]. Employee and Operational Expenses - Employee benefits expenses for the year ended December 31, 2023, were approximately RMB 24.2 million, down from RMB 25.5 million in the previous year[105].
爱德新能源(02623) - 2023 - 年度业绩