Financial Performance - Horizon Construction Development Limited reported its unaudited interim results for the six months ended June 30, 2024, with a focus on operational performance and market position[1]. - Total revenue for the six months ended June 30, 2024, reached RMB 4,872,421 thousand, a 15.8% increase from RMB 4,205,971 thousand in the same period of 2023[11]. - Operating lease services generated revenue of RMB 1,895,622 thousand, down 24.4% from RMB 2,505,619 thousand year-on-year[11]. - Engineering technical services revenue increased significantly to RMB 1,946,261 thousand, up 70.8% from RMB 1,140,634 thousand in the previous year[11]. - Gross profit for the period was RMB 1,559,325 thousand, with a gross margin of 32.0%, compared to 34.1% in the same period last year[11]. - Profit attributable to ordinary shareholders was RMB 268,228 thousand, reflecting a 13.1% increase from RMB 237,141 thousand in the previous year[11]. - The company reported a basic and diluted earnings per share of RMB 0.084, compared to RMB 0.082 in the same period last year[11]. - The company's EBITDA for the first half of 2024 was RMB 2,003,614 thousand, reflecting a 2.0% growth compared to RMB 1,965,122 thousand in the previous year[27]. - The pre-tax profit for the first half of 2024 was RMB 406,890 thousand, a 20.5% increase from RMB 337,696 thousand in the same period last year[24]. - The group’s profit for the period was RMB 268,228 thousand, representing a growth of 13.1% from RMB 237,141 thousand in the previous year[54]. Assets and Liabilities - Total assets increased to RMB 35,269,899 thousand, up 12.9% from RMB 31,236,775 thousand at the end of 2023[12]. - Total liabilities rose to RMB 24,238,127 thousand, an increase of 18.5% from RMB 20,459,108 thousand at the end of 2023[12]. - The debt-to-asset ratio improved to 68.7%, compared to 65.5% at the end of 2023[12]. - The company's total equity as of June 30, 2024, was RMB 11,031,772 thousand, an increase of RMB 254,105 thousand or 2.4% from the end of last year, primarily due to the profit generated during the first half of 2024[85]. - The total amount of notes receivable as of June 30, 2024, was RMB 1,009,287 thousand, a decrease of RMB 227,451 thousand or 18.4% compared to the end of 2023, due to the company's prudent collection strategy[68]. - The company's lease liabilities as of June 30, 2024, were RMB 768,918 thousand, an increase of RMB 75,314 thousand, mainly due to the expansion of equipment managed under the asset management service model[84]. Customer Base and Market Position - Horizon Construction has established a diverse and high-quality customer base, ranking first in the number of service outlets among Chinese equipment operation service providers[9]. - The number of customers increased from approximately 158,000 in 2022 to about 271,000 by June 30, 2024, indicating a significant expansion in the customer base[28]. - The company is actively expanding its international business network, with operations in regions including Turkey, Malaysia, and the UAE[10]. - The company aims to leverage synergies across its product lines and service categories to enhance market competitiveness and customer loyalty[9]. Operational Efficiency and Digitalization - The company emphasizes its strong digital capabilities, which continuously enhance operational efficiency and customer service[9]. - The average utilization rate of high-altitude operation platforms in the first half of 2024 was lower than the same period last year, while the new support systems and new formwork systems showed slightly better utilization rates[30]. - The company plans to focus on high-quality development and technological upgrades in the manufacturing sector, with a projected 9.5% year-on-year growth in manufacturing investment[15]. Shareholder Information and Dividends - The company declared an interim dividend of HKD 0.05 per share for the six months ended June 30, 2024, compared to no dividend for the same period in 2023[125]. - The major shareholder, Far Eastern Horizon, holds 1,333,247,413 shares, representing 41.70% of the equity[119]. - The company distributed special dividends in the form of shares, with a ratio of 1 share for every 27 shares held, and 10 shares for every 54 shares held in two separate distributions[111][112]. Strategic Focus and Future Plans - The company aims to become a "first-class global company" by leveraging new infrastructure and advanced manufacturing opportunities in the second half of 2024[108]. - The company plans to refine operations and management in domestic markets, enhancing efficiency and customer service[108]. - The company will continue to explore new products and industry demands while expanding its reach in Southeast Asia and the Middle East[108]. - The company is committed to enhancing professionalization in engineering and asset management to solidify its domestic business advantages[108]. Cost Management and Expenses - Total sales costs amounted to RMB 3,313,096 thousand, a 19.6% increase from RMB 2,769,819 thousand year-on-year[43]. - Employee and labor subcontracting costs increased by 57.8% to RMB 1,014,150 thousand from RMB 642,607 thousand year-on-year, representing 20.8% of total revenue[44]. - Research and development expenses decreased by 37.2% to RMB 70,910 thousand from RMB 112,883 thousand, representing 1.5% of total revenue[44]. Taxation and Financial Costs - Income tax expenses for the first half of 2024 amounted to RMB 138,662 thousand, an increase of 37.9% compared to RMB 100,555 thousand in the same period last year, primarily due to an increase in pre-tax profit[53]. - Financial costs decreased by 16.0% to RMB 382,097 thousand, mainly due to a reduction in borrowing interest expenses by RMB 85,598 thousand[8]. Compliance and Governance - The company has complied with all statutory social insurance and housing fund obligations applicable in China as of June 30, 2024[105]. - The company has complied with the corporate governance code during the reporting period, except for one specific provision[121]. - The company has established an audit committee consisting of three members, which has reviewed the financial statements for the six months ended June 30, 2024[124].
宏信建发(09930) - 2024 - 中期业绩