Financial Performance - The total revenue of the Group for 2022 was approximately RMB 1,481.64 million, representing an increase of 22.5% compared to RMB 1,209.27 million in 2021[10]. - The gross profit for 2022 amounted to approximately RMB 341.85 million, a 37.8% increase from RMB 248.14 million in 2021, driven by enhanced facilities efficiency and reduced unit power consumption[10]. - The profit attributable to owners of the Company for 2022 was approximately RMB 112.74 million, a turnaround from a loss of approximately RMB 26.82 million in 2021[10]. - Profit before income tax for 2022 was RMB 161,018,000, a significant increase from RMB 14,118,000 in 2021[54]. - Other income decreased by approximately 91.0% to approximately RMB0.97 million in 2022, primarily due to lower government grants received compared to the previous year[44]. - The Group's total assets as of December 31, 2022, amounted to RMB 2,606,676,000, up from RMB 2,406,049,000 in 2021, indicating a growth of 8.3%[54]. - The Group's total liabilities increased to RMB 1,220,843,000 in 2022 from RMB 1,124,019,000 in 2021, reflecting a rise of 8.6%[54]. - The Group recorded total current assets of approximately RMB990.79 million as at 31 December 2022, representing an increase of approximately 22.27% compared to RMB810.32 million as at 31 December 2021[92]. - The total current liabilities of the Group as at 31 December 2022 were approximately RMB860.49 million, an increase of approximately 9.2% from RMB787.83 million as at 31 December 2021[92]. - The Group's current ratio was approximately 1.15 as at 31 December 2022, compared to approximately 1.03 as at 31 December 2021[92]. - The net finance costs of the Group decreased by approximately 7.2% to approximately RMB26.02 million for the Reporting Period, down from approximately RMB28.05 million in 2021[91]. - The income tax expense increased by approximately 17.9% to approximately RMB48.28 million for the Reporting Period, compared to approximately RMB40.93 million in 2021[91]. - The Group had total cash and bank balances of approximately RMB360.74 million as at 31 December 2022, an increase from approximately RMB297.55 million as at 31 December 2021[91]. - As at 31 December 2022, the Group's gearing ratio was approximately 42%, down from 48% as at 31 December 2021[91]. Business Development and Strategy - The Group's new facility in Tangshan has significantly improved production capacity and technology, contributing to profit growth[8]. - The successful development and market introduction of rare gas products (poor krypton-xenon) have filled market gaps in aerospace and high-end electronics, enhancing core competitiveness[8]. - The Group plans to deepen cooperation with HBIS Group Co., Ltd. to enhance market competitiveness and develop high value-added products[12]. - The strategic focus will be on accelerating market expansion and technological innovation to drive high-quality development across China[25]. - The Group's efforts in independent innovation and intellectual property management are aimed at supporting sustainable growth[24]. - The Group's business development is expected to grow steadily, supported by strong customer demand as production capacities expand[41]. - The Group plans to actively develop special gas products and expand its market share in electronic special gas products to enhance future growth prospects[63]. - The company is focused on enhancing its market cultivation and establishing a positive competition system to boost business development[176]. - The company has plans for market expansion and new product development, particularly in the industrial gas sector[176]. Research and Innovation - The Group has established eight new science and technology topics and applied for eight utility model patents and one invention patent in 2022[24]. - The Group has initiated 8 new technology projects in 2022 and received a third-class award for technological progress[50]. - The company is actively involved in the development of new technologies and products to maintain its competitive edge in the market[176]. Human Resources - The Group employed a total of 341 employees as of December 31, 2022, down from 369 employees as of December 31, 2021, with total staff costs of approximately RMB58.38 million for the year ended December 31, 2022, compared to approximately RMB54.04 million for the previous year[1]. - The Group plans to continue attracting and retaining highly skilled personnel and invest in employee training and professional development programs[1]. - The company continues to focus on training and technology sharing to enhance its operational capabilities[187]. Audit and Compliance - The audit committee confirmed that the audited consolidated financial statements for the year ended December 31, 2022, were prepared in accordance with applicable accounting standards[4]. - The Auditor issued a qualified opinion on the Group's consolidated financial statements for the year ended December 31, 2022, due to three overdue receivables totaling RMB117 million from loan agreements[4]. - The management is working closely with the Auditor to remove the audit qualification in future financial statements[4]. - The management acknowledged the audit qualifications and is considering writing off the outstanding balances of the Loans and the Note Investment for financial reporting purposes[4]. - The Group had no significant contingent liabilities as of December 31, 2022[1]. IPO Proceeds and Investments - The Company has utilized RMB246,950,000 of the IPO Proceeds, representing approximately 83.0% of the total[122]. - The unutilized IPO Proceeds amount to RMB50,553,000, which is approximately 17.0% of the total[122]. - The expected timeline for the use of unutilized IPO Proceeds has been extended to June 30, 2024[120]. - The Company plans to gradually utilize the IPO Proceeds according to the updated expected timeline disclosed in the prospectus[124]. - The first phase of the project includes payments for the procurement and installation of air separation units (ASUs) totaling RMB64,990,000 and RMB101,790,000 for the second ASU[124]. - The third ASU involves relocation and installation costs of RMB80,170,000[124]. - The fourth ASU procurement and installation is budgeted at RMB50,553,000, which is planned for use by June 30, 2024[124]. - The Company’s business remained generally stable in 2022 despite limited impacts from COVID-19 on major customers[121]. - The Board believes that the extension of the expected timeline for using the unutilized IPO Proceeds will not adversely affect the Company's operations[127]. - The Auditor's preliminary view indicates that the Comparative Figures Qualification is expected to be removed in the consolidated financial statements for the year ending December 31, 2024[138]. Leadership and Management - The company has a strong leadership team with extensive experience in the industrial gas industry, including Mr. Yao and Ms. Gao, who have held significant roles in operational management[182][184]. - Ms. Gao has over 27 years of experience in the industrial gas industry, having held various managerial positions within the company since joining in March 2007[184]. - Mr. Zhang Wenli appointed as non-executive Director on January 20, 2023, with over 30 years of accounting experience in the industrial sector[191]. - Mr. Lai Yui has more than 24 years of experience in investment banking and private equity, previously serving as a director of investment at Temasek Holdings[193]. - Ms. Ng Shuk Ming has over 14 years of experience in the private equity industry, responsible for executing and monitoring high-value investments[195]. - Mr. Siu Chi Hung has 25 years of accounting experience, previously a partner at KPMG and head of real estate and capital markets development in Southern China[196]. - The company has a strong board with diverse expertise in finance, investment, and management, enhancing strategic decision-making capabilities[198]. - Mr. Xiao has been the chairman of Secret Garden (Zhangjiakou) Resort since February 2014, overseeing comprehensive operation management and administration[199]. - Ms. Li has over 11 years of experience in global financial institutions, including roles at Deutsche Bank AG and Sun Hung Kai & Co. Limited[199]. - Ms. Li has been a member of the Listing Committee of the Stock Exchange since July 2019[200]. - Ms. Li was qualified as a certified public accountant in the State of New York in January 2002[200].
CGII HLDGS(01940) - 2022 - 年度财报