Financial Performance - Revenue for the year ended December 31, 2023, was HK$5,891,068,000, representing a decrease of 28% compared to HK$8,214,719,000 in 2022[11] - Gross profit for 2023 was HK$3,466,028,000, down 34% from HK$5,289,594,000 in the previous year, with a gross profit margin of 59%[11] - Profit for the year decreased by 30% to HK$2,300,938,000 from HK$3,308,155,000 in 2022[11] - EBITDA for 2023 was HK$3,924,133,000, reflecting a decline of 28% from HK$5,414,715,000 in 2022[11] - Basic earnings per share for 2023 was HK$37.66, a decrease of 30% from HK$53.75 in 2022[11] - The proposed final dividend per share for 2023 is HK$18.0, compared to HK$32.0 in 2022[11] - The Group's sales revenue for the year amounted to HK$5.89 billion, a decrease of 28% year-over-year due to falling coal prices and RMB foreign exchange rate drop[36] - The net profit for 2023 reached HK$2.3 billion, with net profit attributable to shareholders amounting to HK$1.89 billion, a decrease of 30% year-over-year[36] - The Group recorded a net profit of approximately HK$2,301 million, representing a decrease of approximately 30% YoY, primarily due to the decrease in gross profit[56] - Total revenue from the top five customers accounted for approximately 67% of the Group's revenue, with the largest customer contributing 43%[54] Assets and Liabilities - Total assets as of December 31, 2023, were HK$22,491,544,000, a decrease of 4% from HK$23,463,484,000 in 2022[12] - Total liabilities decreased by 16% to HK$4,021,026,000 from HK$4,786,265,000 in 2022[12] - Equity attributable to owners was HK$16,281,846,000, down 3% from HK$16,768,677,000 in 2022[12] - The Group maintained a healthy financial position with free bank balances and cash of approximately HK$7.945 billion as of December 31, 2023, an increase from approximately HK$6.014 billion the previous year[59] - The Group had no borrowings as at 31 December 2023, resulting in a gearing ratio of 0%[93] Production and Operations - The company operates three coal mines with an annual approved raw coking coal production capacity of 1.75 million tonnes each[20][22] - In 2023, the Group achieved a raw coking coal output of 5.25 million tonnes, maintaining the approved production capacity and consistent with the previous year[36] - The sales volume of clean coking coal decreased by 7% to 3.10 million tonnes due to coal in transit[36] - The average realized selling price of clean coking coal was RMB 1,932 per tonne, representing a 20% year-over-year decrease[36] - The average market prices of coking coal in FY 2023 dropped by approximately 20% year-on-year, with benchmark clean coking coal prices decreasing by about 30% year-on-year in the first half of 2023[103] Market and Economic Conditions - The GDP growth rate for 2023 was 5.2%, reflecting a gradual economic recovery[34] - The central government set a GDP growth target of around 5% for 2024, indicating confidence in economic development[39] - The domestic coking coal supply, especially high-quality coking coal, is expected to remain relatively tight in 2024[39] - Domestic steel demand decreased, but exports increased by 36.2%, indicating a generally balanced steel supply and demand[117][119] - The International Monetary Fund (IMF) projects China's GDP growth rate to decelerate to 4.6% in 2024 due to real estate market challenges and external uncertainties[121][122] Environmental, Social, and Governance (ESG) Initiatives - The company has made significant efforts in promoting safety management and environmental protection, aiming to build itself into a safety-oriented and environmentally-friendly enterprise[98] - The ESG management system is led by the board of directors, with the Audit Committee responsible for formulating ESG management policies and assessing material ESG issues[139] - The Group emphasizes the integration of ESG concepts into its overall development plan and production operations, ensuring alignment with social well-being and environmental protection[145] - The Group actively identifies ESG risks and opportunities through regular assessments and stakeholder communication[145] - The most important ESG issues identified include workplace safety, emissions management, and occupational health[167] Risk Management - The Group has established a comprehensive risk management system based on a "three lines of defense" structure to enhance risk prevention capabilities[175] - Major risks identified include safety risks, environmental risks, financial risks, time risks, and technology risks, with targeted countermeasures developed for each[193][196] - The objective for safety risk is to eliminate serious injuries and effectively prevent minor injuries, with measures including improved systems and enhanced safety supervision[193] - The environmental risk objective is to achieve zero violations of environmental protection regulations, with regular inspections and management of waste disposal[193] - Financial risk management focuses on timely project investments, addressing uncertainties in project application and implementation processes[196]
首钢资源(00639) - 2023 - 年度财报