Financial Performance - For the six months ended June 30, 2023, the company reported revenue of RMB 18,111,570 thousand, an increase from RMB 14,320,893 thousand in the same period of 2022, representing a growth of approximately 26.5%[2] - The gross profit for the same period was RMB 4,129,688 thousand, down from RMB 8,657,854 thousand in 2022, indicating a decline of about 52.3%[2] - The net profit for the period was RMB 5,873,083 thousand, compared to RMB 7,351,573 thousand in 2022, reflecting a decrease of approximately 20.1%[3] - The company's basic earnings per share for the period was RMB 2.92, down from RMB 3.60 in the previous year, a decline of about 19%[2] - The total profit before tax for the group was RMB 6,250,718, after accounting for interest income of RMB 164,853 and financing costs of RMB 341,509[14] - The net profit attributable to the parent company was RMB 5,876,515 thousand, a decrease of 19.0% year-on-year[58] - The gross margin for the group was 22.8%, a decrease of 37.7% from 60.5% for the same period in 2022, primarily due to a substantial rise in operating costs[84] Assets and Liabilities - Non-current assets increased to RMB 56,064,517 thousand as of June 30, 2023, compared to RMB 47,193,874 thousand at the end of 2022, representing a growth of approximately 18.7%[5] - Current assets totaled RMB 33,406,963 thousand, up from RMB 31,966,036 thousand in 2022, indicating an increase of about 4.5%[5] - The total liabilities as of June 30, 2023, were RMB 35,897,949 thousand, compared to RMB 30,293,602 thousand at the end of 2022, reflecting an increase of approximately 18.7%[6] - The company's total equity reached RMB 53,573,531 thousand, up from RMB 48,866,308 thousand in 2022, indicating a growth of about 9.5%[7] - The total assets as of June 30, 2023, amounted to RMB 89,471,480 thousand, compared to RMB 79,159,910 thousand as of December 31, 2022, indicating an increase of approximately 13.0%[16] Revenue Segmentation - For the six months ended June 30, 2023, total revenue reached RMB 18,111,570, with external sales from the lithium metal and lithium compound segment amounting to RMB 14,025,498 and RMB 4,086,072 respectively[14] - Revenue from lithium compounds and lithium metal accounted for 75.6% of total revenue, while lithium batteries contributed 22.4% for the six months ended June 30, 2023[81] - Revenue from the domestic market (Mainland China) was RMB 10,224,284 thousand, representing 56.5% of total revenue, while overseas revenue was RMB 7,887,286 thousand, accounting for 43.5%[82] Costs and Expenses - The company's financing costs for the period were RMB 917,105 thousand, slightly down from RMB 919,832 thousand in the previous year, showing a marginal decrease of about 0.3%[2] - The group's sales and service costs for the six months ended June 30, 2023, were RMB 13,981,882 thousand, compared to RMB 5,663,039 thousand for the same period in 2022, reflecting a 147.5% increase[25] - Total interest expenses for the six months ended June 30, 2023, amounted to RMB 368,903 thousand, a significant increase from RMB 200,611 thousand in the same period of 2022, representing an 83.8% increase[24] - The income tax expense for the six months ended June 30, 2023, was RMB 377,635 thousand, down from RMB 1,065,802 thousand in the same period of 2022, indicating a decrease of 64.6%[26] Research and Development - Research and development expenses for the six months ended June 30, 2023, were RMB 645,452 thousand, an increase from RMB 532,827 thousand in the same period of 2022, representing a growth of 21.1%[25] - R&D expenditure increased by 28.9% to RMB 686,612 thousand, representing 3.8% of total revenue, primarily due to increased investment in solid-state batteries and materials[91] Market and Production Insights - The lithium resource market is experiencing rapid development in China and African countries, with most global supply still concentrated in Australia[42] - In the first half of 2023, China's power battery cumulative production reached 293.6 GWh, representing a year-on-year growth of 36.8%[51] - The cumulative production of lithium iron phosphate batteries in China reached 193.5 GWh, accounting for 65.9% of total production, with a year-on-year increase of 53.8%[51] - The cumulative exports of power batteries from China in the first half of 2023 reached 56.7 GWh, with ternary batteries accounting for 69.4% of total exports[51] Corporate Governance - The company is committed to improving corporate governance standards and has complied with most principles of the Corporate Governance Code, with minor deviations noted[136] - The board of directors and supervisory committee's terms were extended due to ongoing evaluations of candidate suitability, which constitutes a deviation from the Corporate Governance Code[137] - The company plans to complete the election of board and supervisory committee members promptly to address the deviation from the Corporate Governance Code[138] Acquisitions and Investments - The company acquired a 70% stake in Mengjin Mining for a total consideration of RMB 1,424,072,623.39, which will become a subsidiary post-acquisition[38] - The company completed the acquisition of 100% equity in Beijing Juhongda Mining Investment Co., Ltd. for a total consideration of RMB 910 million, which includes a 12.5% interest in a mining project in Inner Mongolia[104] - The company is developing the Sonora project in Mexico, which is focused on lithium hydroxide production[131] Employee and Compensation - As of June 30, 2023, the company has a total of 12,648 employees, with compensation including salaries, allowances, benefits, and performance-related bonuses[101] - The company aims to enhance competitiveness and create shareholder value through the RSU plan, which encourages innovation and aligns with strategic development goals[112] Stock Options and Restricted Shares - The company granted 3,470,000 restricted stock units (RSUs) under the RSU plan on July 12, 2023, representing approximately 0.86% of the total issued H shares at that time[111] - The total number of unexercised stock options from 2021 is 15,975,500, with 5,322,200 options vested and exercisable[110] - The RSU plan is effective for a period of ten years from the adoption date, subject to applicable laws and regulations[112]
赣锋锂业(01772) - 2023 - 中期业绩