Revenue and Profit Performance - Revenue for 2023 decreased to HKD 3,833,194 thousand from HKD 4,067,732 thousand in 2022, a decline of 5.8%[2] - Net profit for 2023 was HKD 333,149 thousand, a slight decrease from HKD 342,896 thousand in 2022[2] - Total comprehensive income for 2023 was HKD 307,809 thousand, significantly higher than HKD 122,306 thousand in 2022[3] - Earnings per share (basic) for 2023 were 31.64 HK cents, up from 29.96 HK cents in 2022[5] - Revenue decreased by 5.8% to HKD 3,833.2 million (2022 restated: HKD 4,067.7 million) due to reduced consumption and negative foreign exchange impact[47] - Net profit attributable to shareholders increased by 5.6% to HKD 330.2 million (2022 restated: HKD 312.8 million), with a net profit margin of 8.6% (2022 restated: 7.7%)[47] - Adjusted EBITDA slightly increased by 0.4% to HKD 607.8 million (2022 restated: HKD 605.4 million), with an adjusted EBITDA margin of 15.9% (2022 restated: 14.9%)[47] - Pre-tax profit for 2023 was HK$456.965 million, compared to HK$462.885 million in 2022[30] - Total tax expense for 2023 was HK$123.816 million, up from HK$119.989 million in 2022[30] - Basic earnings per share for 2023 were HK$0.316, up from HK$0.300 in 2022[34] Gross Profit and Margin - Gross profit remained stable at HKD 1,303,061 thousand in 2023 compared to HKD 1,302,795 thousand in 2022[2] - Gross profit remained flat at HKD 1,303.1 million (2022 restated: HKD 1,302.8 million), with gross margin increasing by 2.0 percentage points to 34.0% in 2023[47] Assets and Liabilities - Total assets increased to HKD 3,787,548 thousand in 2023 from HKD 3,672,836 thousand in 2022[6] - Non-current assets grew to HKD 2,179,577 thousand in 2023 from HKD 2,103,271 thousand in 2022[6] - Cash and cash equivalents decreased to HKD 1,199,054 thousand in 2023 from HKD 1,257,573 thousand in 2022[6] - Equity attributable to owners of the company increased to HKD 3,631,441 thousand in 2023 from HKD 3,555,753 thousand in 2022[7] - Total assets of the group as of December 31, 2023, were HKD 4,683.7 million, with total equity of HKD 3,674.7 million[63] - Operating capital of the group was HKD 1,608.0 million, with a current ratio of 2.8 as of December 31, 2023[63] - Net cash position of the group was approximately HKD 1,310.4 million, with available bank financing of HKD 820.0 million as of December 31, 2023[63] - Trade receivables decreased to HK$372.854 million in 2023 from HK$430.898 million in 2022[35] Revenue Breakdown by Region - Total revenue for 2023 was HKD 3,833,194 thousand, with HKD 2,319,983 thousand from Mainland China and HKD 1,513,211 thousand from Hong Kong and other Asian regions[16] - Revenue from external customers in Hong Kong and other Asia regions was HKD 1,513,211 thousand, while in Mainland China it was HKD 2,319,983 thousand, totaling HKD 3,833,194 thousand for the year ending December 31, 2023[20] - External revenue from Hong Kong decreased to 1,229,961 thousand HKD in 2023 from 1,309,448 thousand HKD in 2022[25] - External revenue from Mainland China decreased to 2,325,737 thousand HKD in 2023 from 2,457,628 thousand HKD in 2022[25] - Total external revenue from other regions (Vietnam, Canada, Australia, USA, Taiwan, and Macau) decreased to 277,496 thousand HKD in 2023 from 300,656 thousand HKD in 2022[25] - Revenue from Hong Kong and other Asian businesses decreased by 6.5% to HKD 1,513.2 million (2022 restated: HKD 1,617.9 million), accounting for 39.5% of total revenue (2022 restated: 39.8%)[49] - Revenue from mainland China decreased by 5.3% (or 1.1% in local currency) to HKD 2,320.0 million, accounting for 60.5% of the group's total revenue[58] Segment Performance - Segment performance for Hong Kong and other Asia regions was HKD 85,085 thousand, while for Mainland China, it was HKD 350,602 thousand, totaling HKD 435,687 thousand for the year ending December 31, 2023[20] - Segment performance for Hong Kong and other Asian businesses decreased by 24.5% to HKD 85.1 million (2022 restated: HKD 112.7 million)[50] Revenue by Product and Service - Revenue from sales of goods in 2023 was HKD 3,826,566 thousand, a decrease from HKD 4,061,541 thousand in 2022[16] - Revenue from other sources, including sales of broken noodles and research and promotional services, was HKD 6,628 thousand in 2023, up from HKD 6,191 thousand in 2022[16] - Revenue recognized at a point in time was HKD 3,830,438 thousand in 2023, compared to HKD 4,064,708 thousand in 2022[16] - Revenue recognized over time was HKD 2,756 thousand in 2023, down from HKD 3,024 thousand in 2022[16] Accounting and Financial Reporting - The company's financial statements for the year ended December 31, 2023, are prepared in accordance with Hong Kong Financial Reporting Standards (HKFRS) and include disclosures required by the Hong Kong Companies Ordinance and the Listing Rules of the Hong Kong Stock Exchange[9] - The company's auditors have issued an unqualified report on the financial statements, with no emphasis of matter or statements under sections 406(2), 407(2), or (3) of the Companies Ordinance[9] - The company has applied new and revised HKFRS, including HKFRS 17 (Insurance Contracts), HKAS 8 (Amendments to the Definition of Accounting Estimates), and HKAS 12 (Amendments on Deferred Tax related to Assets and Liabilities arising from a Single Transaction), which became effective from January 1, 2023[10] - The application of HKAS 1 and HKFRS Practice Statement 2 (Amendments on Accounting Policy Disclosures) has clarified the definition of significant accounting policy information and introduced a four-step process for assessing materiality in accounting policy disclosures[11] - The company has adopted the Hong Kong Institute of CPAs' guidance on the accounting impact of the cancellation of the MPF offsetting mechanism for long service payments, which will take effect on May 1, 2025[12] - The company adjusted its accounting treatment for long-service payments due to changes in Hong Kong accounting standards, resulting in a cumulative catch-up adjustment in the 2022 financial statements[13] - The company did not early adopt several new and revised Hong Kong Financial Reporting Standards, which are expected to have no significant impact on the financial statements[14] Investments and Acquisitions - The company acquired 66.01% of the target company for approximately $9.5 million (equivalent to HKD 74.435 million) and later invested an additional $2 million (equivalent to HKD 15.671 million) to increase its stake to 67%[15] - The company acquired a 66.01% stake in Nissin Foods Vietnam Co., Ltd. and injected USD 2 million into the subsidiary[46] - The company acquired a 67% stake in Nissin Vietnam for a total consideration of $11.5 million, aiming to leverage its expertise and resources to accelerate growth in Vietnam's instant noodle market[56] - The company acquired Nissin Vietnam for a total consideration of approximately USD 11.5 million, completed on July 10, 2023[71] - The company exercised a call option to acquire the remaining 19% equity interest in Hong Kong Dongfeng for approximately RMB 0.5 million, making it a wholly-owned subsidiary on July 3, 2023[71] Employee and Compensation - Total employee costs decreased slightly to HK$727.360 million in 2023 from HK$729.384 million in 2022[31] - The company granted a total of 301,310 reward shares to selected employees in 2022, with an estimated fair value of HKD 5.63 per share, totaling HKD 1,697,000[40][42] - In 2023, the company granted 266,420 reward shares to selected employees, with an estimated fair value of HKD 5.94 per share, totaling HKD 1,684,000[40][42] - The company recognized total expenses of HKD 1,684,000 for the reward shares granted in 2023, compared to HKD 1,697,000 in 2022[42] - Total number of employees increased to 3,409 as of December 31, 2023, up from 3,274 in the previous year[73] - Employee costs (excluding director remuneration) amounted to approximately HK$705.5 million for the year[73] Dividends and Share Repurchases - The company proposed a final dividend of HK$0.1582 per share for 2023, totaling HK$165.112 million[33] - The company repurchased and canceled 4,099,000 ordinary shares in 2022 at an average price of HK$6.34 per share[38] - The company proposed a final dividend of HK$0.1582 per share for the year ended December 31, 2023, payable on June 27, 2024, subject to shareholder approval[79] - The company will suspend share transfer registration from May 31 to June 5, 2024, for determining eligibility to attend and vote at the Annual General Meeting[80] - Share transfer registration will also be suspended from June 13 to June 17, 2024, for determining eligibility to receive the final dividend[80] Capital Expenditure and Commitments - Capital commitments for the acquisition of property, plant, and equipment were HKD 49,983,000 in 2023, down from HKD 93,033,000 in 2022[43] - Capital expenditure for the year was HKD 329.6 million, primarily due to equity investments in Nissin Vietnam and production facilities in Hong Kong and Mainland China[64] - Capital commitments for the acquisition of property, plant, and equipment as of December 31, 2023, were HKD 50.0 million[65] Market and Business Development - The company operates primarily in Hong Kong and other Asian regions, including mainland China, focusing on the production and sale of noodles, frozen foods, beverages, and snacks[8] - The company introduced new flavors for its flagship brands, including "Cup Noodles" and "Demae Iccho," and launched new products such as "Nissin Yuen Chow Chicken Flavor Instant Noodles" and "Doll Instant Noodles King Hong Kong Style Satay Beef Flavor"[51] - The company expanded its focus on premium frozen food products, introducing new items like "Nissin Frozen Tempura Udon" and "Nissin Black Pepper Flavor Pan-Fried Dumplings"[53] - Distribution business in Hong Kong rebounded due to the easing of the pandemic and economic recovery, with increasing tourist numbers boosting sales[54] - KAGOME business expanded sales channels across different regions, including convenience stores, commercial offices, high-end restaurants, and airline lounges, receiving positive consumer feedback[54] - Nissin cereal successfully replicated its success in Hong Kong and mainland China to new markets in Southeast Asia, with sales and volume growth in Singapore, and introduced a new Royal Milk Tea cereal variant[55] - Fresh-cut vegetable business, launched in December 2020, saw rising demand in 2023, with expanded distribution channels and increased sales and volume[55] - The company launched a low-fat Nissin yogurt series, including original and strawberry flavors, in both cup and drink formats, to capitalize on consumer health trends[55] - The company expanded its instant noodle business in mainland China, particularly in the northwest region, and introduced new Japanese-style flavors under the Cup Noodles brand, while also collaborating with popular IPs for co-branded products[59] - The company established a subsidiary and sales office in Taiwan to expand its sales channels and revenue base[69] Economic and Market Conditions - Vietnam's GDP grew by 5.05% in 2023, with retail sales of consumer goods and services increasing by 9.6%, and food and food-related retail sales growing by 11.7%[56] - Mainland China's GDP grew by 5.2% in 2023, with Q4 GDP growth of 5.2%, but consumer confidence was impacted by weak household and business confidence, leading to a slowdown in economic recovery[57] Other Financial Metrics - Unallocated income for the year ending December 31, 2023, was HKD 18,858 thousand[20] - Net exchange loss for the year ending December 31, 2023, was HKD 17,572 thousand[20] - Interest income for the year ending December 31, 2023, was HKD 27,896 thousand[20] - Fair value changes of financial assets at fair value through profit or loss for the year ending December 31, 2023, was HKD 4,116 thousand[20] - Impairment losses on property, plant, and equipment for the year ending December 31, 2023, was HKD 8,778 thousand[20] - Loss on disposal of property, plant, and equipment for the year ending December 31, 2023, was HKD 2,970 thousand[20] - Financial costs for the year ending December 31, 2023, was HKD 270 thousand[20] - Total income tax expense decreased to 123,816 thousand HKD in 2023 from 119,989 thousand HKD in 2022[28] - The tax rate for Mainland China subsidiaries remained at 25% for both years[29] - R&D expenses increased to HK$36.202 million in 2023 from HK$33.162 million in 2022[31] - Customer A1 contributed 705,301 thousand HKD in 2023, down from 821,380 thousand HKD in 2022[26] - Customer B2 contributed 695,571 thousand HKD in 2023, up from 664,586 thousand HKD in 2022[26] - Government subsidies related to confirmed expenses decreased to 11,372 thousand HKD in 2023 from 29,383 thousand HKD in 2022[26] - Non-current assets in Mainland China increased to 925,682 thousand HKD in 2023 from 776,107 thousand HKD in 2022[25] - Non-current assets in Hong Kong and other Asia decreased to 1,065,964 thousand HKD in 2023 from 1,155,325 thousand HKD in 2022[25] Future Outlook and Strategy - The company is optimistic about long-term business development in various regions, focusing on cost control and operational efficiency improvement[68] - In Vietnam, the company sees growth opportunities in the premium instant noodle market due to increasing consumer awareness of health and wellness[69] Corporate Governance and Reporting - The company's 2023 annual report will be available on the company's website and sent to shareholders in April 2024[81]

Financial Performance - For the nine months ended September 30, 2023, the company reported revenue of HKD 2,955,978, a decrease of 5% from HKD 3,112,110 in the same period of 2022[4] - Gross profit for the same period was HKD 1,005,835, representing an increase of 2.9% compared to HKD 978,077 in the previous year[4] - The company's profit before tax was HKD 367,692, up 5.7% from HKD 347,755 in the prior year[4] - Net profit for the period was HKD 272,272, an increase of 5.5% from HKD 258,087 in the same period last year[4] - Basic and diluted earnings per share increased to HKD 25.90, compared to HKD 22.31 in the previous year, reflecting a growth of 11.6%[4] - The company reported segment revenue from Hong Kong and other Asian markets of HKD 1,290.4 million and from mainland China of HKD 1,984.9 million for the nine months ended September 30, 2023[13] - The company’s operating performance in the nine months ended September 30, 2023, showed a segment profit of HKD 339.3 million, compared to HKD 313.8 million in the same period of 2022[13][14] Assets and Liabilities - Non-current assets as of September 30, 2023, totaled HKD 2,132,652, a slight increase from HKD 2,103,271 at the end of 2022[5] - Current assets decreased to HKD 2,485,166 from HKD 2,496,534 at the end of 2022, primarily due to a reduction in inventory[5] - Total liabilities increased slightly to HKD 947,187 from HKD 926,969 at the end of 2022, indicating a stable financial position[6] - The company’s total equity attributable to owners was HKD 3,542,039, a decrease from HKD 3,555,753 at the end of 2022[6] Revenue Breakdown - Revenue from Hong Kong and other Asian markets decreased by 3.8%, while revenue from mainland China decreased by 5.8% (a decrease of 0.2% in local currency) due to the depreciation of the RMB against the HKD[12] - The company reported a revenue of ¥32,936 million for its China segment, a decrease of 2.4% year-over-year[20] Future Outlook - The company plans to continue focusing on market expansion and product development to drive future growth[2] - The financial performance is subject to significant risks and uncertainties that may impact future results, as indicated in the forward-looking statements[20] - The company advises shareholders and potential investors to exercise caution and not overly rely on the quarterly disclosures provided[20] Dividend Policy - The company did not recommend the payment of any dividend for the current period, consistent with the previous period where no dividend was paid[11] Accounting and Review - The company’s financial statements for the nine months ended September 30, 2023, were reviewed by the audit committee[11] - The company’s accounting policies and methods for the nine months ended September 30, 2023, remained consistent with those reported for the year ended December 31, 2022[8] Sales Performance - For the three months ended September 30, 2023, net sales to third parties were ¥18,076 million, a slight increase from ¥18,028 million in the same period of 2022[19] - Total revenue for the six months ended September 30, 2023, was ¥34,545 million, down 1.1% from ¥34,922 million in the same period of 2022[19] - Operating income for the three months ended September 30, 2023, was ¥2,420 million, compared to ¥1,977 million in the same period of 2022, reflecting a year-over-year increase of 22.4%[19] - The core operating profit for the six months ended September 30, 2023, was ¥3,527 million, representing a 6.1% increase compared to the same period in 2022[20] - The company noted a recovery in instant noodle sales from July to September 2023, although overall sales for the first half of the year were weak[20] Reporting Structure - The company has adjusted its reporting structure, incorporating Nissin Foods Vietnam Co., Ltd. into its China segment, affecting comparative figures from the previous fiscal year[19]

Membership Program and Consumer Engagement - Nissin Foods has launched its first-ever membership program "Nissin Foodium" in Hong Kong and Mainland China, which includes exclusive benefits and an e-commerce platform[5]. - The membership program allows direct communication with consumers to better understand their preferences and changing consumption trends[5]. - The company maintains a focus on enhancing customer experience through interactive platforms and rewards[5]. Innovation and Product Development - The company emphasizes continuous investment in research and product development to enhance food quality and safety, ensuring sustainable growth[4]. - Nissin Foods is committed to innovation and learning, continuously adapting to market demands[6]. - The company aims to contribute to society by providing high-quality food and enhancing the pleasure of eating[4]. Financial Performance - Revenue decreased by 6.1% to HK$1,929.3 million for the first half of 2023, down from HK$2,055.2 million in the previous year[18]. - Gross profit increased by 1.9% to HK$658.3 million, resulting in a gross profit margin of 34.1%, up from 31.4% in 2022[18]. - Profit attributable to owners of the Company rose by 6.4% to HK$171.7 million, with a net profit margin of 8.9% compared to 7.9% in the previous year[19]. - Basic earnings per share increased to 16.45 HK cents, up from 15.46 HK cents in 2022[19]. - Adjusted EBITDA decreased by 3.3% to HK$295.9 million, with an Adjusted EBITDA margin of 15.3% for the period[21]. Market Conditions and Consumer Trends - The Hong Kong economy showed a year-on-year GDP growth of 2.9% in Q1 and 1.5% in Q2 of 2023, with total retail sales increasing by 20.7%[23]. - Supermarket retail sales value dropped by 7.8% over six consecutive months, impacted by consumer preferences for dining out and "revenge travel" post-pandemic[24]. - The performance of both cup-type and bag-type instant noodles was mediocre as consumers favored eating out and "revenge travel" during the review period[27]. Strategic Acquisitions and Expansion - The Company acquired 66.01% of Nissin Foods Vietnam Co., Ltd. and made a capital contribution of USD 2 million following the acquisition[17]. - The acquisition of Nissin Vietnam allows for greater flexibility in responding to increasing market demand in the region[32]. - The Group can leverage resources and expertise from Hong Kong and Mainland China to accelerate Nissin Vietnam's business growth[32]. Operational Efficiency and Cost Management - The increase in gross profit margin was mainly due to price adjustments in Hong Kong and Mainland China to offset rising manufacturing costs[18]. - The Company is committed to continuous product upgrades and cost optimization to enhance consumer experience amid challenging market conditions[18]. - The company is implementing automated and smart technology at its production plants to enhance operational efficiency and product quality[45]. Staff and Management Changes - Nissin Foods has appointed new senior management members as of July 1, 2023, to strengthen its leadership team[9]. - The Group's total staff increased to 3,608 as of June 30, 2023, with staff costs amounting to approximately HK$360.4 million for the period[50]. Corporate Governance and Compliance - The Company has complied with the Corporate Governance Code throughout the six months ended June 30, 2023, except for the separation of the roles of Chairman and CEO[54]. - The Company has established an Audit Committee to oversee financial reporting, risk management, and internal controls[58]. Future Outlook and Guidance - The company plans to focus on market expansion and new product development in the upcoming quarters[86]. - Future guidance indicates a cautious outlook due to market volatility and economic conditions[86]. - The company is exploring potential mergers and acquisitions to enhance its market position[86].

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 之 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 對 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 之 任 何 損 失 承 擔 任 何 責 任。 Nissin Foods Company Limited 日 清 食 品 有 限 公 司 （於香港註冊成立的有限公司） （股份代號：1475） 截 至2023年6月30日止六個月中期業績 日清食品有限公司（「本公司」）董事會（「董事會」）欣然公佈本公司及其附屬公司（「本集團」） 截 至2023年6月30日止六個月未經審核綜合中期業績連同2022年同期未經審核數字之 比 較 如 下： 簡明綜合損益及其他全面收入表 截 至2023年6月30日止六個月 | --- | --- | --- | --- | |----------------|---------|-----------------|---------------- ...

Financial Performance - For the three months ended March 31, 2023, the company reported revenue of HKD 1,024,396 thousand, a decrease of 3.5% from HKD 1,061,805 thousand in the same period of 2022[4] - Gross profit for the same period was HKD 362,100 thousand, representing an increase of 8.7% compared to HKD 332,840 thousand in the previous year[4] - The company achieved a profit before tax of HKD 149,815 thousand, up 11.9% from HKD 133,810 thousand in the prior year[4] - Net profit for the period was HKD 111,467 thousand, an increase of 9.8% from HKD 102,229 thousand in the same period last year[4] - Basic and diluted earnings per share were HKD 10.59, compared to HKD 8.7 in the previous year, reflecting a growth of 21.6%[4] - Profit attributable to the company's owners for the period was HKD 110.5 million, compared to HKD 90.3 million in the same period of 2022[15] Assets and Liabilities - Total assets as of March 31, 2023, were HKD 3,783,269 thousand, an increase from HKD 3,617,877 thousand as of December 31, 2022[6] - The company's cash and cash equivalents amounted to HKD 1,351,460 thousand, up from HKD 1,249,460 thousand at the end of 2022[5] - Current liabilities decreased to HKD 864,376 thousand from HKD 917,233 thousand in the previous period[6] - The company's equity attributable to owners increased to HKD 3,678,080 thousand from HKD 3,518,930 thousand year-over-year[6] Revenue Sources - Revenue from Hong Kong operations decreased by 2.7%, while revenue from mainland China decreased by 4.0% (an increase of 3.3% in local currency) due to the depreciation of the Renminbi against the Hong Kong dollar[11] - The company's operating performance in Hong Kong generated segment revenue of HKD 348.4 million, while mainland China generated HKD 676.0 million[12] Cost Management - The company implemented price adjustments and benefited from a decrease in raw material costs, contributing to the improved gross margin[14] - The company reported a segment profit of HKD 31.6 million from Hong Kong and HKD 111.5 million from mainland China, totaling HKD 143.1 million[12] Future Outlook - The company plans to continue focusing on market expansion and product development to drive future growth[3] - The company is actively expanding its sales regions and strengthening its brand presence in the high-value noodle market in China[18] - Forward-looking financial forecasts and management objectives are included in the annual disclosure, subject to significant risks and uncertainties[18] - Shareholders and potential investors are advised to exercise caution and not overly rely on the forward-looking statements provided in the annual disclosure[18] Fiscal Year Performance - For the fiscal year ending March 31, 2023, total sales amounted to ¥68,905 million, a 20.3% increase from ¥57,255 million in the previous year[17] - Sales to third parties reached ¥66,128 million, reflecting a 19.2% year-over-year growth from ¥55,478 million[18] - Operating profit increased to ¥8,421 million, up 39.4% from ¥6,039 million in the prior fiscal year[17] - Core operating profit for the China segment was ¥7,836 million, representing a 27.5% increase compared to the previous year[18] - The appreciation of the local currency against the yen positively impacted sales and profits[18] - Excluding currency effects, revenue in the China segment was ¥57,402 million, a 3.5% increase year-over-year[18]

Financial Performance - The profit attributable to the owners of the Company increased by approximately 4.2% year-on-year to HK$316.5 million[12]. - The Group's revenue increased by approximately 4.1% year-on-year to HK$4,025.0 million[15]. - The Group achieved a profit attributable to shareholders of HKD 316.51 million, an increase of 4.2% compared to the previous year[31]. - The Group's revenue increased by approximately 4.1% year-on-year, reaching HKD 4.025 billion[31]. - Revenue for FY2022 reached HK$4,025.0 million, a 4.1% increase from HK$3,866.3 million in FY2021[39]. - Gross profit for FY2022 was HK$1,294.6 million, representing a gross margin of 32.2%, up from 31.7% in FY2021[39]. - Adjusted EBITDA for FY2022 was HK$606.9 million, slightly up by 0.4% from HK$604.1 million in FY2021[39]. - Basic earnings per share increased to 30.32 HK cents for the year, compared to 28.74 HK cents in 2021[47]. - The final dividend per share increased to 15.16 HK cents, a 4.1% rise from 14.56 HK cents in FY2021[39]. Market Expansion and Product Development - The operations in Mainland China maintained a positive growth trend in annual sales volume despite weaker consumption sentiment in the second half of 2022[15]. - The Hong Kong operations ranked first in market share of the frozen dim sum category, contributing to increased annual revenue[15]. - The Group plans to significantly increase the sales volume of Cup Noodles and other instant noodle products by expanding distribution networks in Western and Northern regions of Mainland China[28]. - The Group aims to focus on the sale of premium frozen foods to capture demand from the overseas market[29]. - The Group launched a premium version of Demae Iccho using 100% Hokkaido wheat flour in both Hong Kong and China, enhancing product quality and variety[32]. - The company introduced a new membership program "Nissin Foodium" in July 2022, offering exclusive benefits and rewards to enhance customer engagement[57]. - The company launched new products including plant-based soy and oat milks and organic juices, responding to rising health awareness among consumers[66]. - The company continued to diversify its product portfolio into non-noodles business, leveraging management expertise and distribution networks[59]. Cost Management and Economic Outlook - The Group faced rising raw material prices and increased logistics costs but managed to offset these through price adjustments[15]. - The Group expects to benefit from the stabilization of raw material prices, particularly palm oil, and the return of logistics costs to normal levels[27]. - The company adjusted ex-factory product prices in two phases, implementing mid-to-high single-digit increases to mitigate rising production costs[51]. - The company expects to benefit from stabilized raw material prices and improved logistics costs in 2023[37]. - The Chinese government is anticipated to boost consumption to stimulate the economy, while the Hong Kong SAR government has introduced stimulus measures to attract tourists[27]. Sustainability and Corporate Responsibility - The Group will continue to utilize renewable energy in its operations, including the installation of new solar power generation systems at various plants[24]. - The new lid design for Cup Noodles reduces the amount of PET used compared to previous versions, aligning with environmental management goals[35]. - The Group has established scholarship programs to support future food scientists and physical education teachers in Hong Kong, awarding scholarships to multiple students in 2022[25]. - The Group is committed to continuous product upgrades and cost optimization, pursuing a premiumization strategy to enhance consumer experiences[44]. - The company is focused on maximizing business outcomes while contributing to sustainable community growth[31]. Governance and Management - The Company is committed to maintaining good corporate governance practices, complying with the Code on Corporate Governance Practices, with the exception of the separation of roles between the chairman and CEO[131]. - The Board believes that the current structure allows for swift and effective business decision-making, promoting the Group's development[134]. - The Audit Committee consists exclusively of independent non-executive directors, ensuring accountability and independent decision-making[131]. - The Board oversees the Group's businesses, strategic decisions, and risk management[143]. - The Company has adopted mechanisms to ensure Board independence, which are reviewed annually[142]. Employee Development and Training - The Group conducted ten training sessions annually for newly recruited employees to enhance their awareness and operational expertise in the industry[24]. - The Group's training programs for new employees are conducted ten times a year to enhance knowledge and skills in various operational areas[36]. - As of December 31, 2022, the total number of staff was 3,511, with staff costs amounting to approximately HK$707.7 million for the year[97]. Risk Management - The Group has adopted a risk management policy that includes five core stages: risk identification, risk assessment and prioritization, risk response, risk monitoring, and risk reporting[190]. - The Audit Committee monitored the effectiveness of the Group's risk management and internal control systems, deeming them sufficient and effective[185]. - The Board is responsible for monitoring the effectiveness of risk management and internal control systems, ensuring they align with business objectives[191].

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 之 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 對 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 之 任 何 損 失 承 擔 任 何 責 任。 Nissin Foods Company Limited 日清食品有限公 司 （於香港註冊成立的有限公司） （股份代號：1475） 截 至2022年12月31日止年度之全年業績 日 清 食 品 有 限 公 司（「本 公 司」）董 事 會（「董 事 會」）欣 然 公 佈 本 公 司 及 其 附 屬 公 司（「本 集 團」）截 至2022年12月31日止年度綜合經審核業績連同去年2021年 的 比 較 數 字 如 下： 綜合損益及其他全面收入表 截 至2022年12月31日止年度 | --- | --- | --- | --- | |---------------------------|---------|-------- ...

Financial Performance - For the nine months ended September 30, 2022, the company reported revenue of HKD 3,081,863,000, an increase from HKD 2,858,556,000 in the same period of 2021, representing a growth of approximately 7.8%[4] - Gross profit for the same period was HKD 973,462,000, compared to HKD 899,392,000 in 2021, reflecting a year-over-year increase of about 8.2%[4] - The company achieved a profit before tax of HKD 354,264,000, up from HKD 309,494,000 in the previous year, indicating a growth of approximately 14.5%[4] - Net profit for the period was HKD 264,596,000, slightly up from HKD 257,861,000 in 2021, marking an increase of about 2.7%[4] - Basic earnings per share increased to HKD 22.73 from HKD 21.59, representing a growth of approximately 5.3%[4] - The profit attributable to the company's owners was HKD 237.3 million, compared to HKD 231.4 million in the same period of 2021[16] Assets and Liabilities - As of September 30, 2022, total assets amounted to HKD 2,819,993,000, down from HKD 3,108,899,000 at the end of 2021[5] - Current liabilities decreased to HKD 932,482,000 from HKD 1,060,434,000 in the previous year, showing a reduction of approximately 12.1%[6] - The company's cash and cash equivalents were HKD 1,594,695,000, down from HKD 1,790,954,000, indicating a decrease of about 10.9%[5] - Non-current assets totaled HKD 2,023,557,000, a decrease from HKD 2,150,670,000 in 2021, reflecting a decline of approximately 5.9%[5] - The company’s total equity decreased to HKD 3,835,668,000 from HKD 4,116,261,000, representing a decline of about 6.8%[6] Revenue Breakdown - Revenue from the Hong Kong business grew by 11.6%, driven by strong demand for instant noodles and frozen foods, along with price adjustments[12] - Revenue from the mainland China business increased by 5.7% (7.5% in local currency), impacted by the depreciation of the Renminbi against the Hong Kong Dollar[12] - The company reported a segment revenue of HKD 1,306.9 million from Hong Kong and HKD 2,089.9 million from mainland China for the nine months ended September 30, 2022[13] Sales and Market Expansion - For the six months ended September 30, 2022, total sales reached ¥34,482 million, a 28.8% increase compared to ¥26,763 million for the same period in 2021[19] - Operating income for the same period was ¥3,897 million, reflecting a significant increase of 66.1% from ¥2,346 million in the previous year[19] - Revenue from the China segment was reported at ¥33,330 million, up 28.8% year-over-year, driven by increased sales volume despite price adjustments[20] - Core operating profit in China rose to ¥3,382 million, marking a 39.7% increase compared to the previous year[20] - The company is actively expanding its sales regions and strengthening its brand presence in the high-value noodle market in China[20] Financial Reporting and Risks - The financial results are prepared in accordance with International Financial Reporting Standards, and the fiscal year ends on March 31 for the company[18] - The company cautioned that forward-looking statements may be subject to significant risks and uncertainties that could impact expected performance[20] - The company emphasizes the importance of careful consideration by shareholders and potential investors regarding the quarterly disclosures[21] Dividend Policy - The company did not recommend any dividend payment for the current period, consistent with the previous period[11] Price Adjustments - The company implemented price adjustments in both Hong Kong and mainland China to offset significant increases in raw material prices[15]

Financial Performance - Revenue increased by 9.7% to HK$2,033.1 million for the period, compared to HK$1,853.8 million in 2021, driven by strong performance in both Hong Kong and Mainland China operations [17]. - Gross profit rose by 7.9% to HK$638.9 million, with a gross profit margin of 31.4%, down from 31.9% in the previous year, primarily due to rising raw material prices [17]. - Profit attributable to owners decreased by 3.5% to HK$164.9 million, resulting in a net profit margin of 8.1%, down from 9.2% in 2021 [18]. - Adjusted EBITDA grew by 8.4% to HK$305.1 million, with an Adjusted EBITDA margin of 15.0%, slightly down from 15.2% in the previous year [20]. - Total comprehensive income for the period was HK$78,343, a significant decrease from HK$210,746 in the same period last year [71]. - Profit for the period was HK$182,697, a decrease of 2.4% from HK$187,509 in the same period last year [71]. - Profit attributable to the owners of the Company for the six months ended June 30, 2022, was HK$164,908,000, a decrease of 3.9% from HK$170,862,000 for the same period in 2021 [124]. Market and Operational Developments - Nissin Foods reported interim results for the six months ended June 30, 2022, amid a gradual return to normalcy post-COVID-19 [10]. - The company launched its first membership program, "Nissin Foodium," in Hong Kong and Mainland China, enhancing customer engagement and offering exclusive benefits [3]. - The "Nissin Foodium" program also serves as an e-commerce platform in Mainland China, allowing direct communication with consumers to understand their preferences [4]. - The company launched a higher-quality noodle series using 100% Hokkaido wheat flour in the Hong Kong market to enhance product offerings [15]. - The company launched new flavors under the RAOH, Nissin UFO, and FUKU brands, including spicy variants to enhance the instant noodles portfolio [28]. - The frozen food segment showed strong demand as customers preferred to stay home, benefiting from its convenience and easy-to-cook characteristics [29]. - The company is focused on improving production processes and capabilities to strengthen overall competitiveness and ensure sustainable growth [2]. Challenges and Risks - Disruptions in the global supply chain and geopolitical uncertainties have led to skyrocketing prices for key raw materials, particularly wheat flour and palm oil [13]. - The price of palm oil reached a historical high due to export bans from countries like Indonesia and India, exacerbating supply-demand imbalances [13]. - The pandemic's impact on supply chains and raw material prices, particularly for wheat flour and palm oil, continues to pose challenges [22]. - The management acknowledges the ongoing challenges posed by the pandemic while adapting to changing market conditions [12]. - The company experienced production and logistics disruptions due to the fifth wave of the pandemic, impacting overall performance [31]. Financial Position and Investments - The total assets of the Group as of June 30, 2022, amounted to HK$5,001.9 million, a decrease from HK$5,259.6 million as of December 31, 2021 [38]. - The Group's working capital was HK$1,952.7 million, with a current ratio of 3.0 as of June 30, 2022 [38]. - The Group maintained a healthy financial position with net cash of approximately HK$1,687.3 million and no external borrowing, resulting in a gearing ratio of nil [38]. - Capital expenditure during the review period was HK$81.5 million, down from HK$138.0 million in 2021 [38]. - The Group had a capital commitment for property, plant, and equipment acquisition amounting to HK$97.2 million as of June 30, 2022 [39]. - The Group's net proceeds from the Global Offering amounted to approximately HK$910.8 million, with HK$125.3 million utilized and HK$805.2 million remaining unutilized as of June 30, 2022 [42]. - The Company plans to enhance research and development capabilities, allocating 5% of net proceeds, which amounts to HK$45.5 million, with no funds utilized to date [42]. Strategic Initiatives - The company aims to pursue a premiumisation strategy to provide high-quality food products to customers [15]. - The Company is cautiously optimistic about long-term business development despite uncertainties in the global inflation risk and raw material costs [42]. - The Company plans to pursue continuous revenue and profit growth in Hong Kong and China over the next few years, leveraging its diversified product portfolio and brand recognition [47]. - The Company is expanding its geographical business strategy in Mainland China, focusing on new markets in the Western and Northern regions [35]. - The company continues to explore new brands and expand distribution channels to enhance its product portfolio [31]. Corporate Governance - The company is committed to maintaining good corporate governance practices, with the roles of chairman and CEO currently held by the same individual, Mr. Kiyotaka Ando [50]. - The Audit Committee, consisting of three independent non-executive directors, reviewed the unaudited interim results for the six months ended June 30, 2022 [54]. - The company has complied with the Model Code for Securities Transactions by Directors during the six months ended June 30, 2022 [51]. - The report on the financial statements was prepared by Deloitte, indicating the company's commitment to transparency and compliance [63]. Employee and Shareholder Information - The total number of employees as of June 30, 2022, was approximately 3,570, a slight decrease from 3,590 as of December 31, 2021 [48]. - Employee costs (excluding directors' remuneration) amounted to approximately HK$329.7 million for the period [48]. - The company did not declare any interim dividend for the six months ended June 30, 2022, consistent with the previous year [49]. - The company repurchased a total of 4,099,000 shares at an aggregate consideration of approximately HK$26.0 million during the six months ended June 30, 2022, compared to HK$65.2 million in 2021 [55].

Financial Performance - For the three months ended March 31, 2022, the company reported revenue of HKD 1,061,805,000, an increase of 10.1% from HKD 964,475,000 in the same period of 2021[4] - Gross profit for the same period was HKD 332,840,000, compared to HKD 309,946,000 in the previous year, reflecting a growth of 7.4%[4] - The net profit for the three months ended March 31, 2022, was HKD 102,229,000, a decrease of 2.1% from HKD 104,435,000 in the same period of 2021[4] - Revenue from the Hong Kong business grew by 6.6%, while revenue from the China business increased by 11.9% (8.6% in local currency) due to rising demand for instant noodles[12] - The profit attributable to the company's owners was HKD 90.3 million, compared to HKD 93.2 million in the same period last year[16] - For the fiscal year ending March 31, 2022, total sales amounted to ¥57,255 million, representing a 15.4% increase from ¥49,323 million in the previous fiscal year[18] - Sales to third parties reached ¥55,478 million, up 15.2% from ¥48,177 million year-over-year[18] - Operating income was reported at ¥6,039 million, reflecting a 4.8% increase compared to ¥5,763 million in the prior year[18] Earnings and Shareholder Information - Basic and diluted earnings per share remained stable at HKD 8.7 for both periods[4] - The basic and diluted earnings per share for the three months ended March 31, 2022, were based on a weighted average of 1,044,205,871 shares[10] - The company did not recommend any dividend payment for the current period, consistent with the previous period[11] - The company's controlling shareholder, Nissin Foods Holdings Co., Ltd., held approximately 72.05% of the issued shares as of the announcement date[2] Assets and Liabilities - Total assets as of March 31, 2022, were HKD 4,255,593,000, compared to HKD 4,199,135,000 as of December 31, 2021, indicating a growth of 1.3%[6] - The company's cash and cash equivalents stood at HKD 1,812,230,000, slightly up from HKD 1,790,954,000 at the end of 2021[5] - Trade receivables increased to HKD 555,666,000 from HKD 475,382,000, representing a growth of 16.8%[5] - The company’s total liabilities decreased to HKD 1,039,494,000 from HKD 1,060,434,000, a reduction of 2.0%[6] - The company’s non-current assets totaled HKD 2,165,277,000, up from HKD 2,150,670,000, reflecting a growth of 0.7%[5] Market and Strategic Initiatives - The company faced increased production costs due to rising raw material prices, impacting the gross margin[15] - The company is focused on expanding its market presence and enhancing product offerings in response to growing consumer demand[12] - The financial performance reflects the company's strategic initiatives to adapt to market trends and consumer preferences[12] - The company is actively expanding its sales regions and strengthening its brand presence in the high-value noodle market in China[19] - The company experienced a rise in sales volume for its "Hao Wei Dao" brand in mainland China, contributing to overall revenue growth despite rising raw material costs[19] Risks and Reporting Standards - The company emphasizes that forward-looking statements regarding financial performance may be subject to significant risks and uncertainties[19] - The financial results are prepared in accordance with International Financial Reporting Standards, and the fiscal year-end dates differ from the group's fiscal year[18] - Shareholders and potential investors are advised to exercise caution and not overly rely on the annual disclosure content when trading the company's securities[20]