Financial Performance - Revenue for 2023 decreased to RMB 46,260 million, down 5.0% from RMB 48,620 million in 2022[3] - Gross profit for 2023 was RMB 717 million, a significant decline of 59.1% compared to RMB 1,753 million in 2022[3] - EBITDA for 2023 dropped to RMB 1,279 million, down 45.7% from RMB 2,357 million in 2022[3] - The company reported a loss before income tax of RMB 315 million for 2023, compared to a profit of RMB 756 million in 2022[3] - Profit attributable to owners of the company for 2023 was a loss of RMB 160 million, a decrease from a profit of RMB 808 million in 2022[3] - The Group's overall net loss was approximately RMB 196 million, representing a decrease of approximately 124.2% compared to a net profit of RMB 811 million last year[39] - The adjusted profit for the year 2023 was approximately RMB 4.4 million, reflecting the company's resilient performance amid a challenging market environment[96] Sales and Production - Total sales volume of self-manufactured steel products in 2023 was 7,733,000 tonnes, an increase of 8.8% from 7,102,000 tonnes in 2022[12] - Revenue from self-manufactured steel products decreased by approximately 2.5% to RMB 27.51 billion in 2023, with export revenue contributing RMB 764 million[66][67] - The average selling price per tonne of self-manufactured steel products decreased to RMB 3,557 in 2023, down 10.5% from RMB 3,974 in 2022[17] - The average gross profit per tonne for self-manufactured steel products was RMB 50 in 2023, a decline of 70.1% from RMB 167 in 2022[20] - The Group sold approximately 3.60 million tonnes of self-manufactured H-section steel products, maintaining its leading position in the PRC H-section steel market since 2009[47] Cost Management and Efficiency - The Group has continued to reduce costs and improve efficiency, increase marketing promotion and investment in environmental protection, and strengthen product research and development[39] - The Group implemented a process cost reduction plan across procurement, logistics, and production to enhance cost efficiency amid a weak domestic steel market[47] Investments and Assets - The company made a provision of RMB 201 million for impairment of properties under development and held for sale, due to ongoing financial pressures in the real estate market[95] - The Group's net assets decreased slightly to RMB 24,978 million in 2023 from RMB 25,285 million in 2022[3] - As of December 31, 2023, the Group had unutilized banking facilities of approximately RMB13.9 billion, slightly up from RMB13.6 billion in 2022[104][106] Dividends and Shareholder Returns - The Group proposed a special dividend of HK186 million (approximately RMB169 million), representing HK$0.05 per ordinary share for the year ended 31 December 2023[124] Market Outlook and Strategy - The Group anticipates that the business environment for the iron and steel industry will face uncertainties in 2024, but overall development trends are expected to gradually improve[83][85] - The Group plans to enhance core competitiveness by focusing on low carbon and energy consumption development, improving efficiency, and increasing the proportion of high value-added products[84][86] Financial Assets and Investments - The Group's financial strategy includes entering into futures or options contracts to mitigate price volatility of steel products and iron ore[127] - The financial assets at fair value through profit or loss reflect the Group's strategy in managing investment risks and returns effectively[146] - The overall performance of the financial investment products indicates a mixed outcome, with both realized and unrealized losses affecting the group's financial health[148]
中国东方集团(00581) - 2023 - 年度财报