North Copper(SZ:000737)2024-04-25 12:27Financial Performance - In 2023, the company's operating revenue was approximately ¥9.32 billion, a decrease of 12.69% compared to ¥10.68 billion in 2022[83]. - The net profit attributable to shareholders was approximately ¥618.82 million, an increase of 11.56% from ¥610.03 million in the previous year[83]. - The net cash flow from operating activities was negative at approximately -¥1.30 billion, a decline of 160.59% compared to ¥2.13 billion in 2022[83]. - The total assets at the end of 2023 reached approximately ¥15.26 billion, an increase of 48.38% from ¥10.28 billion in 2022[83]. - The net assets attributable to shareholders increased by 6.45% to approximately ¥4.87 billion from ¥4.31 billion in 2022[83]. - The basic earnings per share for 2023 was ¥0.349, reflecting an increase of 11.50% compared to ¥0.3442 in 2022[83]. - The average return on equity was 12.94%, a slight decrease from 13.93% in the previous year[83]. - The total operating revenue for 2023 was approximately CNY 9.42 billion, with a quarterly breakdown of CNY 2.59 billion in Q1, CNY 1.95 billion in Q2, CNY 2.44 billion in Q3, and CNY 2.35 billion in Q4[101]. - The net profit attributable to shareholders for the year was CNY 618 million, with quarterly figures of CNY 203.62 million in Q1, CNY 114.34 million in Q2, CNY 201.65 million in Q3, and CNY 99.21 million in Q4[101]. - The company reported a significant cash flow deficit from operating activities, totaling approximately CNY -1.23 billion in Q4, contributing to an annual net cash flow of CNY -1.30 billion[101]. Environmental Compliance - The company has complied with various environmental protection standards, achieving stable emissions within regulatory limits[17]. - The company has not reported any significant defects in financial reporting or internal controls during the evaluation period[15]. - The company reported a year-on-year reduction of 9.745 tons in sulfur dioxide emissions and 1.089 tons in particulate matter emissions from the smelting plant[21]. - The smelting plant has implemented 10 bag dust collectors, 2 electrostatic precipitators, and 1 ion liquid desulfurization system to ensure compliance with pollution discharge standards[21]. - The total discharge of arsenic and its compounds was 0.02779 tons, which is below the standard limit of 0.4 mg/m3[20]. - The total discharge of mercury and its compounds was 0.005293 tons, complying with the standard limit of 0.012 mg/m3[20]. - The company has established a comprehensive wastewater treatment system, including rainwater drainage and sewage classification treatment systems[21]. - The company has a total of 7 emission outlets for sulfuric acid mist, with a total discharge of 12.738 tons, adhering to the standard limit of 20 mg/m3[20]. - The company has invested in advanced pollution control technologies, including a domestic leading ion liquid desulfurization process[21]. - The company’s environmental protection measures ensure that all pollutants generated during production meet the discharge standards[21]. - The company has established a monitoring system for major pollutants, ensuring timely public disclosure of pollution data on relevant platforms[27]. - The company has maintained compliance with national and provincial pollution discharge standards, ensuring all pollutants are within acceptable limits[29]. - The company has no instances of exceeding emission standards in 2023[45]. - The company has paid environmental protection taxes in accordance with relevant laws and regulations[47]. Governance and Management - The company held its 2023 Q1 report meeting on April 20, 2023, with no dissenting votes or abstentions[1]. - The company reported a 100% inclusion of total assets and total revenue in the consolidated financial statements for internal control evaluation[13]. - The company has established governance mechanisms and improved its organizational structure and internal management systems during the integration of Hohhot North Copper Industry Co., Ltd.[13]. - The company’s board of directors attended meetings with a high attendance rate, indicating strong governance participation[2]. - The company’s internal control audit report received a standard unqualified opinion, confirming effective financial reporting controls[15]. - The company has established long-term trade cooperation with enterprises in Mongolia and Kazakhstan, enhancing international collaboration[134]. Community and Social Responsibility - The average income for residents in the supported villages reached CNY 13,646 in 2023, reflecting effective poverty alleviation efforts[34]. - The company’s efforts in rural revitalization included establishing 24 garbage collection points and achieving a 92% coverage rate for toilet renovations in supported villages[36]. - The company’s initiatives in the Yulu fragrant pear industry have positively impacted 3,500 surrounding residents, with collective economic income reaching CNY 200,000 by year-end[37]. - The company has developed a mechanism to monitor and assist in preventing poverty, helping 19 households and 57 individuals[54]. - The company conducted 498 occupational disease hazard monitoring sessions throughout the year to ensure a safe working environment for employees[33]. Research and Development - Research and development investment totaled CNY 202 million, with 20 technology projects organized and 14 patents authorized[134]. - The company has strengthened its R&D efforts, achieving significant results in technological innovation[153]. - Research and development expenses surged to CNY 22,504,643.25 in 2023, reflecting a significant increase of 1,474.70% from CNY 1,429,134.16 in 2022, as the company intensified its investment in technology[179]. - Research and development efforts include projects aimed at improving the recovery rates of copper, gold, and silver, with expected economic benefits from enhanced mining efficiency[195]. - The company aims to achieve a leaching rate of over 60% for low-grade copper ore through ongoing research and development efforts[195]. Production and Operations - The company has a copper processing capacity of 1.3 million tons per year and produces 320,000 tons of cathode copper annually, with a sulfuric acid production capacity of 1.22 million tons[108]. - The production of cathode copper was 134,426.69 tons, down 5.67% from 2022, while sales volume decreased by 11.18% to 132,228.12 tons[139]. - The production volume of cathode copper reached 134,400 tons, while the production of copper concentrate was 43,200 tons[152]. - The sales volume of copper concentrate increased by 6.14% year-on-year, reaching 4.32 million tons in 2023 compared to 4.07 million tons in 2022[185]. - The company completed the acquisition of 100% equity in Houma Beitong Copper Industry Co., Ltd., which became a wholly-owned subsidiary, expanding the consolidation scope in 2023[188]. Market and Economic Outlook - Global copper consumption is expected to grow at an annual rate of 2.5%, reaching 28 million tons by 2026[59]. - The average price of LME three-month copper futures in 2023 was $8,516 per ton, a decrease of 3.24% compared to 2022[60]. - The company experienced a recovery in sulfuric acid prices, which positively influenced the overall market environment for copper smelting operations in 2023[106]. - The highest copper price in 2023 was 9,550 USD/ton in January, while the lowest was 7,856 USD/ton in late October, ending the year above 8,500 USD/ton[124]. - In 2023, the global refined copper production reached 11.42 million tons, an increase of 11.1% year-on-year, while consumption rose to 14.54 million tons, up 5.3% year-on-year[125].