Financial Performance - In 2023, the company achieved a revenue of $3.606 billion, with a gross profit of $877 million, representing a year-on-year increase of 8.7%[8]. - The net profit attributable to shareholders was $278 million, up 4.2% year-on-year, with a total copper production of nearly 520,000 tons, including approximately 170,000 tons from self-owned mines, a 12.0% increase year-on-year[8]. - The group's total revenue for 2023 was $3,606.4 million, a decrease of 11.9% from $4,094.7 million in 2022[17]. - The profit attributable to the company's owners increased by 4.2% to $277.6 million in 2023, compared to $266.3 million in 2022[27]. - The gross profit for 2023 was $877.5 million, an increase of 8.7% from $807.2 million in 2022, with a gross margin rising from 19.7% to 24.3%[20]. - The sales volume of crude copper and anode copper was 284,784 tons in 2023, generating revenue of $2,220.2 million, which accounted for 61.6% of total revenue[15]. - The production of cathode copper reached 142,423 tons in 2023, a year-on-year increase of 1.2%, while the production of crude copper and anode copper decreased by 10.5% to 285,733 tons[13]. - The total production of copper and anode copper was 285,733 tons in 2023, a decrease of 10.5% compared to 319,398 tons in 2022[101]. - The production of cathode copper was 142,423 tons, a slight increase of 1.2% from 140,684 tons in 2022[101]. Production and Operations - The company aims to increase production from self-owned mines while advancing new projects, with significant progress in resource upgrades, including an additional copper resource of 1.18 million tons from the Luanshya No. 28 shaft project[10]. - The company is focusing on digitalization, intelligence, and green transformation in traditional industries to enhance production efficiency and reduce costs[10]. - The company plans to accelerate the layout of expansion projects, including the Kambishi Southeast Phase II and Luanshya No. 28 shaft projects, as key initiatives for stable progress[10]. - The company conducted supplementary exploration and deep exploration in 2023, updating resource quantities[60]. - The total ore mined in 2023 was 696,000 tons, with a copper grade of 0.97% for controlled resources[70]. - The total ore production from the Kambove main mine was 4.38 million tons in 2023, with an average copper grade of 2.63%[89]. - The total ore mined from the Barubado mine was 760,000 tons in 2023, with an adjusted copper grade of 0.3%[85]. - The company produced 955,360 tons of sulfuric acid, a decrease of 5.4% year-on-year[54]. - The company’s production of cobalt hydroxide was 1,520 tons, a decrease of 9.1% year-on-year[54]. Cash Flow and Investments - The net cash inflow from operating activities for 2023 was $589.3 million, a decrease of 24.7% compared to $782.5 million in 2022, primarily due to an increase in inventory and a decrease in accounts payable[29]. - The net cash outflow from investing activities for 2023 was $224.1 million, an increase of $148.4 million from $75.7 million in 2022, mainly due to increased investment in the Luanshya open-pit mining project and additional fixed deposits[30]. - The net cash outflow from financing activities for 2023 was $604.7 million, an increase of $25.7 million from $579.0 million in 2022, primarily due to repayment of bank loans[31]. - As of December 31, 2023, the group had cash and cash equivalents totaling $602.4 million, a decrease of $160.5 million from $762.9 million as of December 31, 2022[33]. - The total capital expenditure for 2023 was $136.9 million, an increase of $12.1 million from $124.8 million in 2022, mainly due to increased investment in the Luanshya open-pit mining project[45]. Market and Industry Outlook - The global copper supply is expected to remain tight, with geopolitical factors and community disputes affecting production, while demand from energy transition and infrastructure development is anticipated to support steady consumption growth[9]. - The company is optimistic about achieving significant growth in the coming years as resource upgrades and new production capacities are gradually released[10]. - The company has implemented a sales strategy combining long and short positions to mitigate commodity price risks[49]. - The company is actively engaged in market expansion and operational efficiency improvements[52]. Governance and Management - 高光夫 appointed as independent non-executive director and chairman of the audit committee on December 27, 2023[123]. - 關浣非 has extensive experience in the financial and insurance sectors, serving in various senior management positions[124]. - 楊大勇 appointed as president on December 27, 2023, with a focus on compliance management[127]. - 游波 appointed as chief financial officer on February 27, 2023, bringing 25 years of financial management experience[130]. - The company has maintained compliance with all corporate governance codes as of December 31, 2023, ensuring transparency and accountability in its operations[138]. - The company has experienced leadership changes, with the resignation of the financial director on February 27, 2023, and two vice presidents in March and November 2023, indicating a potential restructuring[134]. - The company emphasizes the importance of balancing stakeholder interests in its strategic decision-making processes[138]. - The company’s governance framework is designed to promote sustainable growth and enhance shareholder value[138]. Risk Management and Compliance - The company has established a comprehensive risk management and internal control system, with the board of directors responsible for overseeing its effectiveness[183]. - The audit committee is responsible for reporting any significant fraud or compliance issues to the board, ensuring transparency and accountability[184]. - The company has strengthened its risk management and internal control systems, focusing on high-quality development and implementing six efficiency-enhancing actions to mitigate external adverse factors[193]. - The company has established a risk prevention system to enhance risk identification and resolution capabilities, including updates to the risk compliance manual and specialized training for risk management and compliance[194]. - The company aims to improve its internal control structure and integrate risk management into all business processes as part of its ongoing development strategy[199]. Employee and Diversity Initiatives - The total employee cost for the year was approximately $130.1 million, an increase from $120.3 million in 2022[114]. - The company has a total of 8,683 employees as of December 31, 2023, down from 9,115 employees in the previous year[114]. - The company aims to appoint at least one female director by the end of 2024, achieving this goal with the appointment of the first female director on December 27, 2023[169]. - The Nomination Committee evaluates candidates based on qualifications, skills, experience, and gender to enhance the current board's composition[165]. - The board diversity policy considers various factors, including gender, age, cultural background, and professional experience, to support strategic goals[166].
中国有色矿业(01258) - 2023 - 年度财报