香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內 容 概 不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示 概 不 就因本公告全部或任何部份內容而產生或因倚賴該等內容而引致的任 何 損 失 承 擔 任 何 責 任。 馬鞍山鋼鐵股份有限公司 Maanshan Iron & Steel Company Limited （在中華人民共和國註冊成立之股份有限公司） （股票代號：00323） 內 幕 信 息╱海 外 監 管 公 告 2025年第一季度報告 本公告茲根據香港聯合交易所有限公司證券上市規則第13.10B條而作出。 重 要 內 容 提 示： 公 司 董 事 會、監 事 會 及 董 事、監 事、高 級 管 理 人 員 保 證 季 度 報 告 內 容 的 真 實、準 確、完 整，不 存 在 虛 假 記 載、誤 導 性 陳 述 或 重 大 遺 漏，並 承 擔 個 別 和 連 帶 的 法 律 責 任。 公 司 負 責 人 蔣 育 翔、主 管 會 計 工 作 負 責 人 張 文 洋 及 會 計 機 構 負 責 人（會 計 主 管 人 員）樂 志 海 保 證 ...

重要提示 報告中對公司面臨的主要風險進行了分析，詳見第三節「董事會報告（管理層討論與分析）」中「六、公司關於 公司未來發展的討論與分析」之「（五）可能面對的風險」。報告所涉及的發展戰略、未來經營計劃等前瞻性陳 述不構成公司對投資者的實質承諾，敬請投資者注意投資風險。 公司並無需提請投資者特別關注的重大風險。 十一. 其他 本報告分別以中、英文編製，在對中英文文本的理解發生歧義時，以中文文本為準。 馬鞍山鋼鐵股份有限公司 1 2024 年度報告 目 錄 | 第一節 | 釋義 | 2 | | --- | --- | --- | | 第二節 | 公司簡介和主要財務指標 | 5 | | 第三節 | 董事會報告（管理層討論與分析） | 10 | | 第四節 | 公司治理 | 36 | | 第五節 | 環境與社會責任 | 65 | | 第六節 | 重要事項 | 74 | | 第七節 | 股份變動及股東情況 | 80 | | 第八節 | 審計報告 | 87 | | 備查文件目錄 | 載有公司法定代表人、主管會計工作負責人、會計機構負責人簽名並蓋章的財務報表。 | | --- | --- | | | 載有安永華明會計師事務所 ...

Financial Performance - Operating revenue fell by 17.30% to RMB 81,817 million in 2024 compared to RMB 98,938 million in 2023[8]. - Net loss attributable to shareholders was RMB 4,659 million in 2024, a significant increase from a loss of RMB 1,327 million in 2023[8]. - Basic and diluted loss per share increased to RMB -0.605 in 2024 from RMB -0.172 in 2023[8]. - Cash flow from operating activities decreased by 51.76% to RMB 961 million in 2024 from RMB 1,992 million in 2023[8]. - Total revenue from operating activities decreased to RMB 76.38 billion in 2024 from RMB 82.78 billion in 2023, representing a decline of approximately 7.3%[101]. - The company reported a total comprehensive income loss of RMB 1.66 billion for the year, primarily due to a significant decrease in retained earnings[99]. - The total comprehensive loss for 2024 was RMB 4.97 billion, compared to a loss of RMB 1.66 billion in 2023, marking an increase of 199.5%[95]. - The company reported a net loss of RMB 4,829,857,723 for 2024, compared to a net loss of RMB 1,596,659,516 in 2023[139]. Assets and Liabilities - Total assets decreased by 6.61% to RMB 78,963 million in 2024 from RMB 84,552 million in 2023[8]. - The company's total liabilities as of December 31, 2024, were RMB 51.64 billion, slightly down from RMB 52.27 billion in 2023[92]. - Current assets decreased from RMB 22.04 billion in 2023 to RMB 19.47 billion in 2024, reflecting a decline of approximately 11.6%[91]. - The company's equity attributable to shareholders decreased from RMB 27.77 billion in 2023 to RMB 23.26 billion in 2024, a decline of approximately 16.3%[93]. - The company reported a significant reduction in inventory from RMB 9.92 billion in 2023 to RMB 7.91 billion in 2024, a decrease of about 20.3%[91]. Sales and Production - In 2024, the company produced 18.08 million tons of pig iron, 19.83 million tons of crude steel, and 18.36 million tons of steel, representing year-on-year decreases of 5.99%, 5.41%, and 10.92% respectively[23]. - The total revenue from steel sales in 2024 was RMB 73,287,465,129, a decrease of approximately 18.1% compared to RMB 89,532,981,759 in 2023[112]. - The total revenue from pig iron sales in 2024 was RMB 3,565,089,201, down from RMB 4,106,209,319 in 2023, representing a decline of about 13.2%[112]. - The company exported 1.42 million tons of steel, with H-beam steel exports reaching 698,000 tons, maintaining the top position in the domestic market[26]. - Total sales of key products reached 4.82 million tons, an increase of 1.3 million tons year-on-year, with automotive sheet sales of 3.15 million tons, up 10.5%[27]. Strategic Initiatives - The company plans to expand into ten important overseas markets, including Australia and Saudi Arabia, to enhance its export capabilities[26]. - The company implemented a "2343" operational strategy focusing on low cost and high output in iron production, and high quality and efficiency in steel rolling[24]. - The company is committed to enhancing core competitiveness through technological innovation, targeting key industries such as transportation and energy for new product development[74]. - The company aims to strengthen its digital transformation by building a comprehensive data model to shorten decision-making processes and enhance operational efficiency[79]. - The company is focusing on high-end product transformation and efficiency development, with plans for new special steel projects and upgrades[73]. Cost Management and Efficiency - Operating costs decreased by 15.12% to CNY 82.59 billion, attributed to lower sales volume and a decrease in raw material prices such as coke and coal[37]. - Labor productivity improved, with per capita steel production increasing by 12%[29]. - Inventory turnover days decreased from 52 days at the beginning of the year to 43 days by year-end[29]. - The company achieved a coal input increase of 11.6 kg/t, while the average number of furnaces in the steelmaking plant reached 92.5 furnaces per day[24]. Research and Development - Research and development (R&D) expenses totaled RMB 3.646 billion, accounting for 4.46% of operating revenue, with R&D personnel comprising 14.5% of the total workforce[54]. - Research and development expenses for 2024 were RMB 1.10 billion, down from RMB 1.23 billion in 2023, a decrease of 10.4%[94]. Governance and Compliance - The audit committee has reviewed the financial statements for the fiscal year 2024, and the auditors issued a standard unqualified opinion on the financial report[88]. - The company is implementing internal reforms to optimize operational processes and enhance performance evaluation mechanisms[77]. - The company is enhancing collaboration management to ensure effective and efficient operations across its subsidiaries[77]. Environmental and Social Responsibility - The company was recognized as one of the "Top 100 ESG Listed Companies in China" for 2024, reflecting its commitment to social responsibility[32]. - The company is committed to advancing low-carbon technology research and development, with a focus on improving energy efficiency and increasing the proportion of green power generation[79]. - The company is focusing on environmental risk control by strengthening its energy and environmental protection systems[78]. Shareholder and Dividend Information - The company plans not to distribute dividends for the fiscal year 2024[3]. - The board of directors did not recommend any dividend distribution for the year ending December 31, 2024[126].

Financial Performance - The company's operating revenue for the reporting period was CNY 18,505,734,094, a decrease of 25.79% compared to the same period last year[3]. - The net profit attributable to shareholders of the listed company was a loss of CNY 1,390,086,397, representing a decline of 318.00% year-on-year[3]. - The basic earnings per share for the reporting period was CNY -0.1805, a decrease of 320.93% compared to the same period last year[3]. - Total operating revenue for the first nine months of 2024 reached RMB 61.51 billion, a decrease from RMB 73.92 billion in the same period of 2023, representing a decline of approximately 16.7%[15]. - Net loss attributable to shareholders for the first nine months of 2024 was RMB 2.76 billion, compared to a net loss of RMB 1.84 billion in the same period of 2023, indicating a worsening of approximately 50.5%[16]. - The company reported a total comprehensive loss of RMB 2.78 billion for the first nine months of 2024, compared to a comprehensive loss of RMB 1.83 billion in the same period of 2023, indicating an increase of approximately 51.8%[16]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 81,391,097,583, a decrease of 3.74% from the previous year[3]. - The equity attributable to shareholders of the listed company was CNY 25,230,624,013, down 9.14% from the previous year[3]. - Total liabilities decreased to RMB 51.88 billion as of September 30, 2024, down from RMB 52.27 billion at the end of 2023, reflecting a reduction of about 0.75%[14]. - The company's total equity attributable to shareholders decreased to RMB 25.23 billion as of September 30, 2024, down from RMB 27.77 billion at the end of 2023, a decline of approximately 9.1%[14]. - The total current liabilities decreased to RMB 43.10 billion as of September 30, 2024, down from RMB 44.05 billion at the end of 2023, a reduction of approximately 2.2%[13]. Cash Flow and Investments - The net cash flow from operating activities for the year-to-date was CNY 2,549,554,855, an increase of 38.65% compared to the same period last year[3]. - Operating cash flow for the first nine months of 2024 was RMB 2,549,554,855, an increase of 38.7% compared to RMB 1,838,826,621 in the same period of 2023[17]. - Total cash inflow from investment activities was RMB 235,421,095, a significant decrease from RMB 7,391,213,776 in the previous year[18]. - Cash outflow for investment activities totaled RMB 960,352,761, compared to RMB 4,739,655,683 in the same period of 2023, indicating a reduction in investment spending[18]. - Cash inflow from financing activities reached RMB 11,997,797,921, up from RMB 10,313,756,849 in the first nine months of 2023[19]. - Cash outflow for debt repayment was RMB 12,081,602,078, a decrease from RMB 13,692,078,032 in the same period last year[19]. - The net cash flow for the first nine months of 2024 was RMB (569,764,733), an improvement from RMB (3,982,883,391) in 2023[20]. - The ending cash and cash equivalents balance increased to RMB 5,624,202,808, compared to RMB 4,911,069,148 at the end of the same period last year[20]. Market Conditions and Company Strategy - The company experienced a significant decline in steel prices, leading to the lowest profit levels in three years[5]. - The company attributed the revenue decline to weak downstream demand affecting both sales volume and prices[5]. - The company aims to enhance production efficiency and reduce costs despite facing significant market pressures[10]. - The company is focusing on expanding its market opportunities and improving key product sales[10]. - The economic outlook remains uncertain, with GDP growth of 4.8% year-on-year, but the recovery foundation is not solid[9]. - Future outlook remains cautious due to the ongoing market challenges and the need for strategic adjustments in operations and product development[15]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period is 149,709[6]. - The largest shareholder, Ma Steel (Group) Holding Co., Ltd., holds 3,691,098,749 shares, accounting for 47.65% of total shares[6]. Production Metrics - The company produced 13.22 million tons of pig iron, 14.41 million tons of crude steel, and 13.31 million tons of steel products from January to September, representing year-on-year decreases of 8.12%, 8.39%, and 14.16% respectively[10].

Deposit Business - The corrected deposit business figures show a total deposit amount of RMB 90,875.03 million, with a beginning balance of RMB 2,983.16 million and an ending balance of RMB 3,219.28 million[5]. - The corrected bank deposits amount was revised from RMB 3,814.55 million to RMB 2,060.85 million, while the amount deposited with Baowu Group Financial Co., Ltd. was corrected from RMB 1,465.58 million to RMB 3,219.28 million[5][6]. - The maximum deposit limit with related parties is RMB 10,000.00 million, with interest rates ranging from 0.30% to 1.85%[5]. - The total amount of deposits from related parties was RMB 90,875.03 million, with withdrawals amounting to RMB 89,650.24 million[5]. Loan Business - The loan business figures indicate a total loan amount of RMB 1,300.00 million, with a beginning balance of RMB 3,940.00 million and an ending balance of RMB 3,030.00 million[8]. - The interest rate range for loans is between 2.04% and 3.16%[8]. Financial Report Corrections - The company has acknowledged the errors in the financial report and has issued a correction announcement[2]. - The financial report corrections were made to ensure the accuracy of the financial data presented to stakeholders[2]. Governance - The company continues to engage in financial business with related parties, maintaining significant balances in both deposits and loans[7]. - The company’s board of directors includes both executive and independent non-executive members, ensuring governance and oversight[9].

Financial Performance - The company's operating revenue for the first half of the year was CNY 43,007,478,790, a decrease of 12.19% compared to the same period last year[10]. - The net profit attributable to shareholders was a loss of CNY 1,144,779,937, an improvement from a loss of CNY 2,235,498,496 in the previous year[10]. - The net cash flow from operating activities decreased by 35.73% to CNY 1,227,796,059 compared to the same period last year[10]. - The total assets at the end of the reporting period were CNY 83,527,981,602, down 1.21% from the end of the previous year[10]. - The basic earnings per share for the first half of the year was -0.148 CNY, compared to -0.289 CNY in the same period last year[11]. - The weighted average return on net assets improved by 3.74 percentage points to -4.21% compared to the previous year[11]. - The total profit for the current period is reported as a loss of CNY 1,190,806,469, an improvement from a loss of CNY 2,361,338,152 in the previous year[36]. - The company reported a net loss of CNY 1,311,895,617, an improvement from a net loss of CNY 2,433,387,808 in the same period last year[36]. Operational Efficiency - The company continues to face high production costs and low demand, contributing to a challenging industry environment[16]. - The company produced 8.83 million tons of pig iron, 9.65 million tons of crude steel, and 8.92 million tons of steel products, representing year-on-year decreases of 6%, 6.25%, and 11.88% respectively[23]. - The company achieved a sales volume of 2.28 million tons for key products, completing 55% of the target progress, with galvanized automotive plate sales increasing by 27% year-on-year[26]. - The company reduced inventory capital occupation to RMB 9.744 billion, a decrease of RMB 568 million compared to the end of the previous year[24]. - The company improved its coal consumption ratio from 143 kg/t in 2023 to 150 kg/t, and reduced steel material consumption from 1,067.7 kg/t to 1,062.9 kg/t[24]. Market Conditions - The average steel price index decreased by 4.89% year-on-year, with long product prices down 6.36% and sheet product prices down 6.35%[16]. - The iron ore import price averaged USD 118.5 per ton, an increase of 3.8% year-on-year[16]. - The market for steel and raw materials showed a downward trend in the first half of 2024, with the combined profit from hedging activities being 1.11 million CNY due to favorable basis fluctuations[60]. Research and Development - The company has 2,341 effective patents and 5,550 technical secrets, with core technologies in high-speed wheels, H-shaped steel, and cold-rolled steel[21]. - The company successfully developed over 30 high-value-added new special steel products, including high-temperature tank support structure hot-rolled H-shaped steel and cold-weather locomotive GL wheels[26]. - Research and development expenses decreased by 20.79% to CNY 509,627,618 from CNY 643,423,988 year-on-year[36]. Environmental Initiatives - The recycling rate of solid waste reached 28.35%, an increase of 1.8 percentage points year-on-year, as part of the company's commitment to green development[27]. - The company has committed to a target of creating a "waste-free enterprise" by 2025, with seven projects underway to support this initiative[91]. - The company has developed low-carbon products, achieving a carbon reduction of approximately 39% based on third-party certification for its low-carbon steel and galvanized automotive steel[93]. Financial Management - The group’s total borrowings amounted to RMB 21.657 billion, with a debt-to-asset ratio of 62.95%, an increase of 1.14 percentage points compared to the end of 2023[30]. - The company has received a total credit commitment from banks of approximately RMB 80.417 billion, with unused credit of about RMB 46.092 billion[30]. - The company reported a net cash outflow from investing activities of RMB 704 million, a decrease of RMB 3.808 billion year-on-year, mainly due to the non-consolidation of the financial statements of Ma Steel Finance Company[29]. Corporate Governance - The company has complied with the corporate governance code and has not identified any deviations from the code during the reporting period[70]. - The company reported no significant changes in accounting policies or principles related to hedging activities compared to the previous reporting period[53]. - The company has maintained a commitment to corporate independence and has not violated any related party transaction commitments during the reporting period[97]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period is 149,966[118]. - The largest shareholder, Maanshan Iron & Steel Group Co., Ltd., holds 3,664,749,615 shares, representing 47.31% of total shares[119]. - The report indicates that the top ten shareholders do not have any related party relationships or concerted actions among them[125]. Future Outlook - The company plans to enhance its strategic planning by focusing on integration and high quality, aiming to become a core player in special long materials and an important force in plate and strip materials[32]. - The company plans to maintain low inventory operations and improve procurement efficiency to mitigate raw material price fluctuations[69]. - The company aims to optimize product planning and production line planning to enhance competitiveness and operational efficiency[32].

Financial Performance - Total revenue for the reporting period was RMB 43,007,478,790, a decrease of 12.19% compared to RMB 48,980,452,872 in the same period last year[5] - Net profit attributable to shareholders was a loss of RMB 1,144,779,937, improving from a loss of RMB 2,235,498,496 in the previous year[5] - Operating revenue decreased by 12.19% year-on-year to RMB 43.007 billion, primarily due to weak downstream industry demand and a decline in steel sales volume[18] - The company reported a net loss of RMB 1.312 billion, an improvement from a net loss of RMB 2.433 billion in the previous year[18] - Total comprehensive loss for the six months ended June 30, 2024, was RMB 1.33 billion, compared to RMB 2.39 billion in the same period of 2023, indicating a 44.3% reduction in losses[41] - The net loss attributable to shareholders for the six months ended June 30, 2024, was RMB 1.14 billion, compared to a loss of RMB 2.24 billion in the same period of 2023, representing a 49% improvement[41] Assets and Liabilities - The company's total assets at the end of the reporting period were RMB 83,527,981,602, down 1.21% from RMB 84,552,252,935 at the end of the previous year[4] - Total liabilities as of June 30, 2024, amounted to RMB 52,577,986,274, compared to RMB 46,879,479,134 in the previous year, reflecting an increase of 12.5%[39] - The company's total liabilities to equity ratio as of June 30, 2024, was approximately 1.70, indicating a leverage increase compared to the previous year[39] - The company's equity attributable to shareholders decreased to RMB 26,607,694,236 from RMB 27,768,582,604, a decline of 4.2%[39] Cash Flow - Cash flow from operating activities was RMB 1,227,796,059, a decrease of 35.73% compared to RMB 1,910,429,612 in the previous year[5] - Net cash flow from operating activities decreased by 35.73% to RMB 1.228 billion, driven by continued weakening demand in the steel industry and reduced cash inflows from both sales and purchases[20] - Cash inflow from investment activities totaled CNY 94,299,339, significantly lower than CNY 7,166,908,268 in the prior year, indicating a decrease of 98.7%[46] - The net increase in cash and cash equivalents for the period was CNY 851,529,919, compared to CNY 856,534,997 in the same period last year, showing a slight decrease of 0.6%[47] Shareholder Information - The total number of shareholders at the end of the reporting period was 149,966[5] - The largest shareholder, Maanshan Iron & Steel (Group) Co., Ltd., holds 47.31% of the shares[5] - The company did not propose any profit distribution or capital reserve transfer to increase share capital during the reporting period[2] Operational Highlights - In the first half of 2024, the company produced 8.83 million tons of pig iron, 9.65 million tons of crude steel, and 8.92 million tons of steel products, representing year-on-year decreases of 6%, 6.25%, and 11.88% respectively[10] - The company achieved a coal ratio improvement from 143 kg/t in 2023 to 150 kg/t, and reduced steel material consumption from 1,067.7 kg/t to 1,062.9 kg/t[11] - The sales volume of galvanized automotive sheets increased by 27% year-on-year to 431,000 tons, while steel exports rose by 51.96% to 736,500 tons[12] - The company developed 71 new products and achieved customer certification for 12 products during the reporting period[12] Cost Management - Operating costs decreased by 14.35% year-on-year, attributed to a reduction in sales volume and lower prices for raw materials such as coke and coal[19] - Financial expenses increased by 76.94% due to a foreign exchange loss of RMB 42 million, compared to a gain of RMB 41 million in the same period last year, alongside an increase in interest expenses due to a larger interest-bearing debt scale[20] Strategic Initiatives - The company will focus on optimizing strategic planning and enhancing product quality and integration with the Yangtze River Delta region[22] - The company aims to improve current performance by focusing on low cost and high output in iron production and high quality and efficiency in steel rolling[23] - The company plans to enhance its product structure and expand its steel product industry chain, transitioning from materials to components and from performance to functionality[23] - The company is advancing a new business responsibility system to stimulate internal vitality and creativity[24] Safety and Compliance - The company is committed to safety management and has implemented a specialized action plan to enhance safety measures[26] - The company has not experienced any significant events that could impact its operations since the end of the reporting period[29] - There were no significant pending litigations as of June 30, 2024, indicating a stable legal environment for the company[79] - No significant post-balance sheet events were disclosed, suggesting no immediate financial concerns following the reporting period[80]

Financial Performance - The company's operating revenue for Q1 2024 was CNY 20,391,635,931, representing a decrease of 10.31% compared to the same period last year[2]. - The net profit attributable to shareholders was a loss of CNY 310,998,961, with a significant decline in cash flow from operating activities, which amounted to a net outflow of CNY 1,307,684,219, a decrease of 178.92% year-on-year[2][4]. - The company reported a net profit attributable to shareholders of approximately RMB 238 million, a year-on-year decrease[8]. - The company's operating revenue for Q1 2024 was RMB 20,391,635,931, a decrease of 10.8% compared to RMB 22,736,558,090 in Q1 2023[16]. - The net loss for Q1 2024 was RMB 345,636,933, an improvement from a net loss of RMB 583,449,382 in Q1 2023[17]. - The company's operating loss for Q1 2024 was RMB 260,723,886, an improvement from an operating loss of RMB 540,602,499 in Q1 2023[17]. - The weighted average return on net assets increased by 0.63 percentage points to -1.13%[2]. - The company experienced a decrease in other comprehensive income attributable to shareholders, with a net amount of RMB (8,196,369) in Q1 2024 compared to RMB (11,873,000) in Q1 2023[18]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 85,306,511,263, reflecting a slight increase of 0.89% from the previous year[2]. - The total liabilities as of March 31, 2024, amounted to RMB 53,369,384,197, compared to RMB 52,272,711,584 as of December 31, 2023, reflecting an increase of 2.1%[14]. - The total shareholders' equity decreased to RMB 31,937,127,066 as of March 31, 2024, from RMB 32,279,541,351 as of December 31, 2023, indicating a decline of 1.1%[15]. - The equity attributable to shareholders decreased by 1.12% to CNY 27,457,160,113 compared to the end of the previous year[2]. - The total current liabilities as of March 31, 2024, were RMB 44,158,231,179, slightly up from RMB 44,054,616,027 as of December 31, 2023[13]. Cash Flow - Cash and cash equivalents as of March 31, 2024, were RMB 5.14 billion, down from RMB 5.57 billion as of December 31, 2023[10]. - Operating cash inflow for Q1 2024 was CNY 18,953,778,089, a decrease from CNY 23,419,907,055 in Q1 2023, resulting in a net cash outflow of CNY (1,307,684,219) compared to a net inflow of CNY 1,656,982,367 in the previous year[20]. - Investment activities generated a net cash outflow of CNY (519,459,483) in Q1 2024, down from a net inflow of CNY 755,697,943 in Q1 2023[21]. - Cash inflow from financing activities increased significantly to CNY 5,652,273,785 in Q1 2024, compared to CNY 1,156,142,541 in Q1 2023[23]. - The net cash flow from financing activities for Q1 2024 was CNY 1,210,457,352, a recovery from a net cash outflow of CNY (2,850,010,346) in Q1 2023[23]. - The company reported a net decrease in cash and cash equivalents of CNY (638,569,141) in Q1 2024, compared to a decrease of CNY (413,630,165) in Q1 2023[25]. Production and Sales - The total production of pig iron was 4.5 million tons, and crude steel production was 4.91 million tons, showing a year-on-year decrease of 1.9% and 2.9% respectively[8]. - The average domestic steel price index decreased by 5.61% year-on-year, while iron ore prices dropped by 1.36%[8]. - The company reported a decrease in sales due to continued weak demand in the steel industry, impacting cash inflows from both sales and purchases[4]. - The company achieved a steel product export volume growth of 62.7% year-on-year in the first quarter[9]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 151,678, with the largest shareholder holding 47.31% of the shares[5]. - The company has no known relationships or concerted actions among the top shareholders listed[7]. Strategic Focus - The company is focusing on enhancing operational efficiency and cost management to mitigate losses in the current market environment[4]. - The company is focusing on transitioning from a production-oriented to a management-oriented approach to improve operational efficiency[8]. - The company launched new products including high-speed train wheels and special steel for electric vehicles, participating in the 2024 China Smart Electric Vehicle Technology and Supply Chain Exhibition[9]. - Research and development expenses for Q1 2024 were RMB 227,790,259, down from RMB 267,698,912 in Q1 2023, representing a decrease of 14.9%[16]. Other Financial Metrics - The company has ceased consolidating the financial statements of Maanshan Iron & Steel Group Co., Ltd., which has affected cash flow from non-steel operations[4]. - Accounts receivable increased to RMB 1.50 billion from RMB 1.40 billion, while notes receivable decreased to RMB 1.43 billion from RMB 1.71 billion[10]. - The cash flow impact from exchange rate changes was CNY (21,882,791) in Q1 2024, compared to an increase of CNY 23,699,871 in Q1 2023[25]. - The company reported a basic earnings per share of RMB (0.04) for Q1 2024, compared to RMB (0.07) in Q1 2023[18].

Financial Performance - The company's operating revenue for 2023 was CNY 98.94 billion, a decrease of 3.15% compared to CNY 102.15 billion in 2022 [16]. - The net profit attributable to shareholders of the parent company for 2023 was a loss of CNY 1.33 billion, compared to a loss of CNY 857.62 million in 2022 [16]. - The net cash flow from operating activities decreased by 70.01% to CNY 1.99 billion in 2023 from CNY 6.64 billion in 2022 [16]. - The total assets at the end of 2023 were CNY 84.55 billion, down 12.74% from CNY 96.89 billion at the end of 2022 [17]. - The basic earnings per share for 2023 was -CNY 0.1724, compared to -CNY 0.1150 in 2022 [18]. - The company's net profit for the first quarter of 2023 was a loss of CNY 509 million, while the second quarter loss was CNY 1.73 billion [19]. - The net assets attributable to shareholders of the listed company decreased by 4.90% to CNY 27.77 billion at the end of 2023 from CNY 29.20 billion at the end of 2022 [17]. - The weighted average return on net assets for 2023 was -4.67%, a decrease of 1.90 percentage points from -2.77% in 2022 [18]. - The group’s operating revenue for the reporting period was RMB 98,938 million, a decrease of 3.15% year-on-year, while the net loss attributable to shareholders was RMB 1,327 million, an increase in loss of 54.64% year-on-year [35]. Audit and Compliance - The company has received a standard unqualified audit report from KPMG, ensuring the accuracy and completeness of the financial statements [7]. - The internal control system was confirmed to be effective, ensuring compliance with internal control standards and risk management practices [58]. - The company has maintained compliance with relevant laws and regulations that significantly impact its operations during the reporting period [98]. - The company’s governance practices are in compliance with relevant laws and regulations, with no significant discrepancies noted [124]. - The company appointed KPMG Huazhen as the auditor for the fiscal year 2023, with a total remuneration of RMB 3.08 million, including RMB 340,000 for internal control audit fees [117]. Shareholder Information - The company reported a profit distribution plan for 2023, stating that no dividends will be distributed and no capital reserve will be converted into share capital [7]. - As of December 31, 2023, the company had 147,885 A-share shareholders holding a total of 6,014,007,986 shares, and 927 H-share shareholders holding 1,732,930,000 shares [122]. - The market capitalization of the company as of December 31, 2023, was approximately RMB 18.29 billion, with A-shares closing at RMB 2.72 and H-shares at HKD 1.23 [123]. - The public holding ratio of H-shares was 79.3%, meeting the requirements of the Hong Kong Stock Exchange [122]. - The company held 9 telephonic or video meetings with investors during the reporting period, engaging with nearly 50 institutions and over 200 participants [121]. Risk Management - The company is facing potential risks in its future development, which are detailed in the management discussion and analysis section of the report [7]. - The company has established a comprehensive risk management framework for its futures trading, including strict trading management and evaluation systems [77]. - The company aims to optimize its foreign exchange asset-liability structure and control foreign exchange risks to reduce financial costs [78]. - The company is focusing on risk prevention in key areas, including energy control and environmental protection, to mitigate potential operational risks [94]. - The company conducts quarterly assessments of risks that may impact overall business objectives and reports findings to the board [115]. Environmental and Social Responsibility - The company invested approximately 3.383 billion yuan in environmental protection during the reporting period [163]. - The company and its subsidiaries are classified as key pollutant discharge units, adhering to national emission standards for the steel industry [164]. - The total emissions of particulate matter from Maanshan Iron & Steel Co., Ltd. were 6,958 tons, including 5,176 tons from organized emissions and 1,781 tons from unorganized emissions [167]. - The company generated 1,124.38 thousand tons of solid waste, with 315.66 thousand tons disposed of and 808.72 thousand tons compliant [168]. - The company invested CNY 2.036 million in social responsibility projects, benefiting over 20,000 people through targeted assistance and charitable donations [178]. Corporate Governance - The board of directors consists of seven members, with four independent non-executive directors, accounting for 57% of the board [100]. - The board has established four committees: Strategy and Sustainable Development, Audit and Compliance Management, Nomination, and Remuneration, each with specific responsibilities [104]. - The company has a formal and transparent process for the nomination and election of directors, with a three-year term for board members [109]. - The company emphasizes continuous professional development for its board members, with training sessions covering regulatory updates and compliance requirements [112]. - The company has a performance evaluation process for directors and senior management, which is reviewed by the remuneration committee [136]. Operational Efficiency - The company achieved record production levels, with annual output of 9.73 million tons in steel and 5.42 million tons in cold rolling, marking historical highs [23]. - The company has enhanced its competitive edge by integrating into the China Baowu ecosystem, optimizing operational processes, and improving resource allocation through deep collaboration across various functions [30]. - The company aims to strengthen cooperation with surrounding regions to expand its market presence and achieve sustainable development [31]. - The company is implementing a new operational responsibility system to enhance performance accountability and optimize resource allocation [86]. - The company plans to optimize its production efficiency, aiming for an average steel output of over 1,000 tons per employee [89]. Research and Development - The company holds 2,283 effective patents, including 1,292 invention patents and 991 utility model patents, indicating significant achievements in technological innovation [34]. - The company's research and development expenses increased by 5.46% to RMB 1,231 million, reflecting ongoing investment in innovation [36]. - The company has increased R&D investment to overcome technical bottlenecks and improve product quality, thereby enhancing its market competitiveness [30]. - The company aims to enhance its core competitiveness through technological innovation, focusing on key industries such as transportation, marine engineering, and energy [85]. - The company is increasing its R&D investment to strengthen its technological innovation capabilities and support high-quality development [89]. Market and Product Development - New product development increased by 25% year-on-year, with seven new products launched domestically, including successful development of C-shaped and hat-shaped steel [23]. - The average sales profit margin for the steel industry was 1.32%, a decrease of 0.17 percentage points year-on-year, significantly lower than the national industrial average by 4.44 percentage points [28]. - The company has developed a unique product structure with four main categories, allowing for flexible resource allocation and timely adjustments to product strategies based on market demand [32]. - The company is committed to high-end manufacturing, targeting the transformation of its product lines towards functional and industrial materials [88]. - The company is focusing on green and low-carbon product development, including the creation of a carbon data management platform and low-carbon product certification [88].

Financial Performance - Total assets decreased by 12.78% to RMB 84,552 million in 2023 from RMB 96,892 million in 2022[7]. - Operating revenue declined by 3.15% to RMB 98,938 million in 2023 compared to RMB 102,154 million in 2022[7]. - Net profit attributable to shareholders was a loss of RMB 1,327 million in 2023, worsening from a loss of RMB 858 million in 2022[7]. - The company reported a significant drop in cash flow from operating activities, down 70.01% to RMB 1,992 million in 2023 from RMB 6,642 million in 2022[7]. - Basic and diluted earnings per share were both -0.172 yuan in 2023, compared to -0.115 yuan in 2022[7]. - The net profit attributable to shareholders of the listed company was RMB 1,327 million, an increase in loss of 54.64% year-on-year[15]. - The company reported a net loss of RMB 505 million for the fiscal year 2023, leading to a recommendation not to distribute profits or increase capital from reserves[56]. - The total comprehensive income for 2023 was RMB (1,657,670,878), a substantial drop from RMB (861,033,641) in 2022[71]. Shareholder Information - The company did not declare any dividends for the fiscal year 2023[1]. - The total number of ordinary shareholders increased to 148,812 by the end of the reporting period[9]. Production and Sales - In 2023, the company produced 19.23 million tons of pig iron, 20.97 million tons of crude steel, and 20.62 million tons of steel products, representing year-on-year increases of 8.15%, 4.82%, and 3.66% respectively[15]. - The quarterly operating revenue for Q4 2023 was RMB 25,021 million, showing a slight increase from Q3 2023[8]. - Revenue from the steel industry accounted for 97% of total operating revenue, amounting to CNY 93.64 billion[30]. - Revenue from mainland China was RMB 95,381,877,669 in 2023, up from RMB 94,515,743,414 in 2022, indicating a growth of about 0.92%[3]. Cost and Expenses - Operating costs decreased by 1.56% to CNY 97.31 billion, mainly due to lower prices of raw materials such as iron ore and coking coal[24]. - Management expenses decreased by 26.14% compared to the previous year, primarily due to a reduction in the number of employees[34]. - Research and development expenses totaled 3.98% of operating revenue, amounting to 39.38 million RMB[35]. Market Environment - The average annual comprehensive index of steel prices (CSPI) was 111.60 points, a year-on-year decrease of 9.02%[14]. - The overall industry environment remains challenging, with supply-demand mismatches and a severe market situation expected to persist in 2024[46]. Strategic Initiatives - The company implemented strategies focusing on cost reduction and efficiency improvement, leading to a noticeable improvement in operational performance in the second half of the year[15]. - The company plans to enhance technological innovation and develop new high-end products, including special steel for wind power and high-end cold-rolled coated steel[47]. - The company aims to enhance its governance system and operational efficiency through reforms in key subsidiaries, focusing on becoming a leading enterprise in the global rail transportation axle sector[53]. Cash Flow and Liquidity - Operating cash inflow for 2023 was RMB 88.85 billion, a decrease from RMB 93.78 billion in 2022, reflecting a decline of approximately 5.1%[75]. - As of December 31, 2023, the company's current liabilities exceeded current assets by approximately RMB 22.01 billion, raising concerns about liquidity[80]. Investments and Assets - Long-term equity investments increased by 58.31%, mainly due to capital injection into Baowu Financial Company[36]. - The total current liabilities decreased to RMB 44,054,616,027 in 2023 from RMB 54,151,564,967 in 2022, reflecting a reduction of 18.6%[68]. Corporate Governance and Compliance - The company continues to comply with the corporate governance code as per the Hong Kong Stock Exchange regulations[60]. - The audit firm KPMG has been appointed as the auditor, with total fees amounting to RMB 3.08 million, including RMB 340,000 for internal control audit[57].