Advertising Concessions and Partnerships - Asiaray Media Group regained exclusive concession rights for advertising and media resources in Hangzhou Metro Lines 2, 4, and additionally obtained rights for Line 9[35] - Asiaray acquired exclusive concession rights for advertising and media resources in Wenzhou Rail Transit S2 Line[39] - The company gained exclusive concession rights for advertising and media resources in Shenzhen Metro Lines 3, 6, sub-line 6, 10, 14, and 16[42] - Asiaray holds exclusive concession rights for 38 airports and 17 metro lines, enhancing its media resource network[18] - The Group secured exclusive concession rights for advertising on several lines of the Hangzhou Metro, enhancing its presence in a major transport hub[90] - The Group entered into exclusive advertising resources operation contracts for Shenzhen metro lines 3, 6, 10, 14, 16, and line 12, effective from February 5, 2024, for a period of 5 years[156] - The Group established strong partnerships with leading technology companies such as Hivestack, The Trade Desk, and Vistar Media to promote its OOH media resources and programmatic digital strategies[97][99] - The company has established strong partnerships with media resource owners, advertisers, brands, and clients, which has helped maintain revenue levels[60] Financial Performance - The group's consolidated revenue for 2023 was RMB 1,653.2 million, an increase from RMB 1,608.8 million in 2022, representing a growth of 2.8%[54] - Earnings before interest, tax, depreciation, and amortization (EBITDA) for 2023 reached RMB 1,154.5 million, up from RMB 838.3 million in 2022, indicating a significant improvement[56] - Associate companies' revenue for 2023 was RMB 685.5 million, an increase from RMB 617.9 million in 2022, marking a growth of 10.9%[54] - The group improved its gross profit margin despite a challenging economic environment, resulting in a substantial reduction in losses by 89.0%[60] - The revenue generated by DOOH+ solutions was RMB 348 million, accounting for 22% of total revenue, reflecting a 15% increase[67] - Asiaray maintained its revenue level while significantly narrowing its losses by 89.0% during 2023[62] - The Group's revenue for the year ended December 31, 2023, was RMB 1,608.8 million, a decrease of 2.7% from RMB 1,653.2 million in 2022[74] - Combined revenue, including associated companies, was RMB 2,226.7 million, down from RMB 2,338.7 million in 2022, reflecting a decline of 4.8%[77] - Gross profit increased to RMB 351.9 million, up from RMB 269.2 million in 2022, resulting in a gross profit margin improvement to 21.9%[77] - EBITDA for the year was RMB 838.3 million, a decrease from RMB 1,154.5 million in 2022[77] - The Group significantly reduced its loss by 89.0% to RMB 9.9 million, compared to a loss of RMB 89.7 million in 2022[77] Operational Efficiency and Cost Management - Asiaray enhanced operational efficiency and gross profit margin through stringent cost control and media network optimization[63] - The company has continued to invest in its digital out-of-home (DOOH+) advertising solutions, enhancing its competitive advantage in the market[60] - The cost of revenue decreased by RMB 127.2 million, or 9.2%, from RMB 1,384.1 million in 2022 to RMB 1,256.9 million in 2023[110] - Selling and marketing expenses decreased by RMB 16.5 million, or 11.1%, from RMB 149.3 million in 2022 to RMB 132.8 million in 2023[119] - Net finance costs decreased by RMB 78.8 million, or 38.2%, from RMB 206.2 million in 2022 to RMB 127.4 million in 2023[121] - The Group's rigorous cost control framework has enhanced profitability while providing exceptional service to brands and customers[66] Market Position and Strategy - Asiaray operates in nearly 40 cities across Greater China, leveraging a well-developed space management model[12] - The "Space Management" operation model has been recognized by Harvard Business as a study case, highlighting the contributions of Asiaray Media Group to the OOH advertising industry[36] - The Group's advertising solutions adapted to market changes, leveraging cross-border media resources to capture new opportunities from the reopening of borders between Hong Kong and Mainland China[87] - The Group remains cautiously optimistic about its prospects for 2024, identifying potential opportunities in the growing cross-border consumption activities between Mainland China and Hong Kong[100] - The Group is focusing on key resources with promising growth potential while exiting marginally profitable avenues through media network optimisation strategies[101] - The Group's O&O New Media Strategy integrates Outdoor and Online advertising, reinforcing its market position amidst economic challenges[62] Human Resources and Governance - The company has over 790 employees, indicating a robust workforce to support its operations[15] - As of December 31, 2023, the Group had 796 employees, down from 932 employees in 2022, reflecting a reduction of about 14.6%[155] - The total salaries and related costs for the years ended December 31, 2023, and 2022 amounted to RMB 223.7 million and RMB 230.0 million, respectively, showing a decrease of approximately 2.7%[155] - The Group's human resources strategy includes competitive remuneration packages and benefits for employees in Hong Kong and Mainland China[155] - The company has adopted the corporate governance code as per the Listing Rules Appendix C1, ensuring compliance with applicable rules and regulations[199] - The company has maintained a high level of corporate governance practices to balance the interests of shareholders, customers, and employees[198] Awards and Recognition - The company received multiple awards, including 6 Gold Awards and 3 Silver Awards at the China Outdoor Media Creative Conference, highlighting its industry recognition[51] - The Chairman, Vincent Lam, was invited to become the first Chinese board member of the World Outdoor Organization, reflecting the company's international recognition[40] - Asiaray's business and public welfare contributions have been recognized, with the Chairman awarded the honor of Justice of the Peace[41]
雅仕维(01993) - 2023 - 年度财报