HAITIAN INT'L(01882)2025-04-22 12:40Financial Performance - For the fiscal year ending December 31, 2024, the company's sales revenue reached RMB 16,128.3 million, representing a 23.4% increase compared to RMB 13,069.3 million in 2023[19]. - The net profit attributable to shareholders for 2024 was approximately RMB 3,080.3 million, a 23.6% increase from RMB 2,491.5 million in 2023, with a net profit margin of 19.1%[19]. - Domestic sales amounted to RMB 10,112.3 million, accounting for 62.7% of total sales, with a year-on-year growth of 27.7%[20]. - Overseas sales reached RMB 6,016.0 million, representing 37.3% of total sales, with a year-on-year increase of 16.8%[20]. - The company's injection molding machine sales totaled RMB 15,405.1 million, a 23.8% increase from RMB 12,446.8 million in 2023, making up 95.5% of total sales[23]. - The gross profit margin for 2024 was 32.5%, slightly up from 32.1% in 2023, benefiting from lower raw material prices and economies of scale[19]. - Gross profit for 2024 was approximately RMB 5,235.8 million, an increase of 24.7% from RMB 4,200.3 million in 2023, with a gross margin of 32.5%[36]. - The profit attributable to shareholders for 2024 was RMB 3,080.3 million, up 23.6% from RMB 2,491.5 million in 2023, maintaining a net profit margin of 19.1%[41]. - Sales and administrative expenses increased by 14.8% to approximately RMB 2,313.1 million in 2024, primarily due to rising sales commissions and R&D costs[37]. - The company recorded net financing income of approximately RMB 173.4 million in 2024, a decrease from RMB 234.1 million in 2023, attributed to lower interest income and foreign exchange losses[39]. - Capital expenditures for 2024 amounted to approximately RMB 1,056.6 million, down from RMB 1,175.9 million in 2023[44]. Dividends and Shareholder Returns - The board declared a second interim dividend of HKD 0.73 per share for 2024, compared to HKD 0.66 per share in 2023[19]. - The total dividend for 2024 is expected to be HKD 0.73 per share, an increase from HKD 0.66 per share in 2023, based on the total issued share capital of 1,596,000,000 shares[50]. - The board has decided to consider declaring a dividend annually in suitable circumstances, with no predetermined payout ratio currently in place[51]. - The board declared a second interim dividend of HKD 0.73 per share for the year ending December 31, 2024, compared to HKD 0.66 per share for the previous year, with an estimated total amount of approximately RMB 1,074.69 million[50]. - The company's distributable reserves as of December 31, 2024, amounted to RMB 3,789.3 million, which includes share premium, paid-in earnings, and retained earnings[161]. Market Strategy and Growth - The company anticipates continued benefits from global manufacturing recovery and consumer demand resurgence in 2025, despite geopolitical uncertainties and trade protectionism challenges[24]. - The company plans to leverage technological innovation and green transformation as new growth drivers in the domestic market[24]. - The company plans to enhance its market share through a multi-dimensional market strategy and a focus on customer satisfaction in 2024, designated as the "Quality Service Year"[25]. - The Jupiter series injection molding machines saw steady growth due to ongoing investments in the global automotive supply chain, particularly in the new energy vehicle sector[23]. - The company aims to deepen its global investment layout with new factories in Japan and Serbia expected to be completed by 2025[26]. Technological Innovation and Sustainability - The company will continue to invest in technological innovation, including the development of new models and performance optimization of existing products, leveraging big data and IoT technologies[25]. - The company has implemented the "Factory 2.0" digital management software across its fifth-generation models, achieving a 20-40% reduction in overall energy consumption compared to third-generation models[81]. - The company is focusing on clean technology innovations, including automated production and biodegradable materials, to meet sustainable development needs[81]. - The company launched a "Smart Energy Environmental Control Platform" to optimize energy management, achieving real-time monitoring and precise management of energy consumption[86]. - The company has been recognized as a national-level green factory and a key cultivation enterprise for "waste-free groups" in Zhejiang Province in 2024[86]. Corporate Governance and Management - The board of directors held a total of four meetings in the fiscal year ending December 31, 2024, ensuring all directors are informed about the company's business development[97]. - The company has adopted effective mechanisms to ensure the board receives independent opinions and perspectives, enhancing governance practices[102]. - The audit committee, comprising three independent non-executive directors, has reviewed the consolidated financial information for the year ending December 31, 2024[110]. - The remuneration committee evaluates the compensation policies for directors and senior management based on individual skills, knowledge, and performance, considering the company's overall performance and profitability[111]. - The nomination committee has adopted a diversity policy to ensure a balanced composition of the board, taking into account various factors during the selection process[105]. Employee and Workplace Policies - The group employed a total of 8,074 employees as of December 31, 2024, primarily located in China, and offered competitive compensation plans[48]. - The company is committed to ongoing training and development for its staff, ensuring that they remain competitive in the rapidly evolving market[74]. - 100% of employees' compensation includes a performance-related variable component, ensuring a competitive and performance-oriented remuneration structure[86]. - The company provides long-term housing solutions for employees, including talent apartments and public rental housing, to reduce living costs and improve quality of life[86]. - The company has established a diversity policy for the board, focusing on various factors such as age, gender, education, and professional experience to enhance management quality and performance[108]. Risk Management and Compliance - The company conducts regular internal control assessments to identify potential risks affecting its operations and financial processes[120]. - The company has adopted an anti-corruption policy to regulate the acceptance of benefits by employees and directors[121]. - The company has implemented a whistleblowing policy to guide employees and external stakeholders in reporting suspicious or improper conduct[121]. - The board has confirmed the effectiveness of the risk management and internal control systems for the year ending December 31, 2024[120]. - The company is exposed to foreign exchange risks primarily due to sales in international markets, with less than 10% of procurement costs denominated in foreign currencies[151]. Shareholder Communication and Meetings - The board has adopted a shareholder communication policy to maintain effective dialogue with shareholders since 2022[130]. - The company has established various communication channels with shareholders, including printed or electronic versions of company communications[130]. - The company will hold its annual general meeting on May 16, 2024, and a special general meeting on December 16, 2024[129]. - The attendance rate for the annual general meeting by executive directors was 100%[129]. External Audit and Financial Compliance - The external auditor received RMB 2.23 million for audit services for the year ending December 31, 2024[125]. - The company has appointed Ernst & Young as the new auditor effective November 25, 2024, following the resignation of PricewaterhouseCoopers[198]. - PricewaterhouseCoopers has resigned as the company's auditor effective November 5, 2024[198]. - Ernst & Young has been confirmed to be qualified and willing to be reappointed as the auditor[199].