BEIJING ENT(00392)2022-04-20 22:16Financial Performance - Beijing Holdings Limited reported a revenue of HKD 80.44 billion for the year, representing a year-on-year increase of 17.6%[18]. - The company's net profit attributable to shareholders was HKD 9.92 billion, an increase of 87.6% compared to the previous year[18]. - Basic and diluted earnings per share reached HKD 7.86, reflecting an increase of 87.6% year-on-year[18]. - EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) was approximately HKD 18.54 billion, a 41.2% increase from the previous year[18]. - Total assets increased to HKD 222.82 billion, up 8.8% from HKD 204.80 billion in the previous year[18]. - Cash and cash equivalents rose to HKD 33.24 billion, a 14.1% increase from HKD 29.12 billion[18]. - The net profit margin improved to 13.1%, compared to 8.3% in the previous year[18]. - The overall gross margin for 2021 was 15.3%, a decrease of 0.6 percentage points from the previous year, primarily due to rising raw material and labor costs for Yanjing Beer[54]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion in the last fiscal year, representing a growth of 15% year-over-year[62]. - The company reported a pre-tax profit of HKD 11,633,687, which is an increase of 74.5% from HKD 6,653,257 in 2020[149]. - The company reported a net profit of HKD 10,518,631 for the year, representing a significant increase of 86.5% compared to HKD 5,646,463 in 2020[153]. Dividends and Shareholder Returns - The company proposed a final dividend of HKD 0.85 per share, totaling an annual dividend of HKD 1.25 per share, up 9.6% from the previous year[18]. - The board of directors is committed to maintaining a strong dividend policy, with a proposed increase of 5% in the upcoming fiscal year[66]. - The company reported a final dividend of HKD 0.85 per share for the year ending December 31, 2021, following an interim dividend of HKD 0.40 per share paid on October 25, 2021[80]. Business Segments and Operations - Beijing Gas recorded a revenue of HKD 58.09 billion in 2021, representing a year-on-year increase of 19.7%[28]. - The pre-tax profit for the main business of Beijing Gas reached HKD 5.61 billion, up 24.2% year-on-year[28]. - The total gas sales volume for Beijing Gas was 18.9 billion cubic meters, a 5% increase compared to the previous year[33]. - The solid waste management segment has integrated management platforms to enhance operational efficiency and market expansion capabilities[23]. - The beer business implemented a major product strategy, achieving a V-shaped recovery in total sales volume after seven consecutive years of decline[24]. - The solid waste treatment segment processed 5.75 million tons of waste, a year-on-year increase of 10.2%, with an electricity generation of 1.73 billion KWH, up 13.5%[42]. Capital Expenditure and Investments - Capital expenditure for Beijing Gas in 2021 was approximately HKD 7.19 billion[33]. - The company aims to enhance collaboration across various businesses and focus on capital operations, market reforms, and digital integration for future growth[26]. - The company plans to invest 100 million in research and development for new technologies over the next two years[63]. Debt and Financing - The group issued USD 700 million in bonds and completed debt replacement totaling approximately HKD 17.6 billion, effectively managing a significant debt maturity peak since its listing[43]. - The company has issued a total of HKD 4,000 million in term loan financing with various banks, maturing between 2022 and 2026[101]. - Total borrowings as of December 31, 2021, were HKD 72.01 billion, with a net debt of HKD 38.77 billion, a decrease of 1.9% from the previous year[60]. Environmental, Social, and Governance (ESG) Initiatives - The ESG rating of the group improved to BBB, reflecting recognition of its sustainable development capabilities[26]. - The group’s ESG rating improved to BBB, with notable score increases in biodiversity and corporate behavior, reflecting its commitment to sustainable development[43]. - The company has established a leadership group for energy-saving initiatives within its solid waste platform, integrating energy-saving work into its key agenda[74]. - The company has been actively exploring renewable energy sources such as geothermal and solar energy to promote energy conservation and reduce pollutant emissions[74]. Management and Governance - The company has a strong management team with extensive experience in business management and development[69]. - The company emphasizes a culture of integrity and ethical conduct among all directors and management[108]. - The board consists of members with diverse backgrounds and experiences, contributing to the company's sustainable growth[108]. - The roles of Chairman and CEO were separated on February 2, 2021, addressing previous governance concerns[105]. Future Outlook and Strategic Goals - The company aims to align with new urbanization and ecological civilization initiatives while addressing risks and challenges in the current economic environment[21]. - The company aims to reduce methane emission intensity to below 0.12% by 2025 and near zero by 2030[74]. - The company is exploring partnerships with tech firms to enhance its digital service offerings, which could lead to a 15% increase in customer engagement[64]. - The company aims to provide stable and sustainable returns to shareholders, gradually increasing returns to industry average levels[132]. Financial Reporting and Compliance - The financial statements are prepared on a going concern basis, assuming asset disposals and debt repayments in the normal course of business[187]. - The audit report confirms that the consolidated financial statements fairly reflect the group's financial position as of December 31, 2021, in accordance with Hong Kong Financial Reporting Standards[134]. - The company has established policies for handling and disclosing inside information, ensuring compliance with disclosure regulations[126].