Zhejiang Expressway Co. Ltd. Class H · HKEX:576
Zhejiang Expressway Co. Ltd. Class H — FY2022 Earnings Presentation
24 slides from Zhejiang Expressway Co. Ltd. Class H's earnings presentation, 2023
Slide 1: 2022 Annual Results
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Slide 2: Agenda
Agenda 01 Result Highlights 02 Review of Operations 03 Outlook & Growth Strategies 04 Appendices
Slide 3: Result Highlights
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Slide 4: Result Highlights
Result Highlights Results Rmb ’000 2022 2021 %Change Revenue 14,898,730 16,262,601 -8.4% -- Including: Interest income under effective interest method 2,390,436 2,247,361 6.4% Operating costs (8,857,926) (9,521,482) -7.0% Gross profit 6,040,804 6,741,119 -10.4% Securities investment gains 679,734 1,
Slide 5: Result Highlights – Revenue
Result Highlights – Revenue Revenue Revenue Breakdown Rmb million 18,000 16,263 16,000 14,899 14,000 12,617 12,452 11,837 Securities Business 12,000 Toll Road Business 10,000 58.1% 40.8% 8,000 6,000 4,000 2,000 0 Other Business 1.1% Overall revenue for the Group was Rmb 14,898.73 million, a decrease
Slide 6: Result Highlights – Net Profit
Result Highlights – Net Profit Net Profit Net Profit Breakdown Rmb million 7,000 6,290 6,503 6,000 Securities Business 5,000 Toll Road Business 26.3% 3,947 62.2% 4,000 3,554 3,374 3,000 2,000 1,000 Other Business 0 11.5% 2022 EPS (basic/diluted): Rmb 123.85 cents / Rmb 117.62 cents 6
Slide 7: Result Highlights – ROE & Dividend
Result Highlights – ROE & Dividend ROE Dividend % 40 37.5 37.5 37.5 35.5 35.5 20.0 18.2 17.5 17.4 18.0 15.3 30 16.0 14.0 12.0 10.2 20 10.0 8.0 6.0 10 4.0 2.0 0.0 0 2018 2019 2020 2021 2022 To provide shareholders with stable return in the long run 7
Slide 8: Review of Operations
Y/ Le SAB GARAF ZHEJIANG EXPRESSWAY CO., LTD. Review of Operations
Slide 9: Economy and Market Review
Economy • China GDP growth: 3.0% • Zhejiang GDP growth: 3.1%. Zhejiang Province has implemented a series of policies to help enterprises overcome difficulties, in order to facilitate the economy to stabilize generally 2022 Market Review Capital Market • In 2022, the evolving Russia-Ukraine conflict,
Slide 10: Toll Road Business
Toll Road Business Various factors affected Positive factors: Negative factors: • With policies to pay the tolls by relevant local governments, • The sporadic outbreaks of the epidemic in Shanghai, Zhejiang Province and surrounding region since Class-1 passenger vehicles with ETC registration were a
Slide 11: Toll Road Business – Daily Traffic Volume
Toll Road Business – Daily Traffic Volume Shanghai-Hangzhou-Ningbo Expressway Shangsan Expressway 8.94% 19.14% Average Full-trip Equivalents/day: 67,314 Average Full-trip Equivalents/day: 27,383 95,000 2023 2023 50,000 75,000 40,000 2022 2022 55,000 30,000 35,000 2021 20,000 2021 15,000 2020 10,000
Slide 12: Toll Road Business – Daily Traffic Volume (Cont.)
Toll Road Business – Daily Traffic Volume(Cont.) Zhoushan Bay Bridge 8.26% Average Full-trip Equivalents/day: 20,349 40,000 2023 30,000 2022 20,000 10,000 2021 0 2020 1 2 3 4 5 6 7 8 9 10 11 12 LongLiLiLong Expressways 8.02% Average Full-trip Equivalents/day: 12,947 25,000 20,000 15,000 2023 10,000
Slide 13: Toll Road Business
Toll Road Business • The Group completed the intelligent transformation of • The Group implemented the Shanghai-Hangzhou-Ningbo Expressway Operation preliminary work to ensure that the reconstruction and expansion & Management • Intensified the construction of of its expressways are methodically int
Slide 14: Securities Business
Securities Business • During the Period, Zheshang Securities achieved certain objectives in capital operation. The mixed ownership reform plan of Zheshang Futures Co., Ltd. was completed on schedule, bringing in strategic investors by way of capital increase, raising a total of approximately Rmb1.73
Slide 15: Other Business
Other Business Hotel Operations Revenue • Zhejiang Grand Hotel: Rmb 23.49 million • Grand New Century Hotel: Rmb 64.66 million 15 15 15
Slide 16: Long-term Investments
Long-term Investments Zhejiang Shaoxing Shengxin Expressway Co., Ltd. 50% Joint Venture • Daily traffic volume: decreased 9.03% y-o-y to 24,654 in full- trip equivalents Zhejiang HangNing Expressway Co., Ltd. • Toll revenue: Rmb 469.88 million 01 30% Associate • Net profit: Rmb 99.54 million • Owns
Slide 17: Outlook & Growth Strategies
Y/ Le SAB GARAF ZHEJIANG EXPRESSWAY CO., LTD. Outlook & Growth Strategies
Slide 18: Market Outlook
Market Outlook Zhejiang Expressway • With the improving epidemic prevention and control policies in China, the impact of the epidemic on Chinese economy will be significantly reduced, and the production and living order will resume at a faster pace. In addition, as the policy to stabilize growth con
Slide 19: Growth Strategies
Growth Strategies Focus more on the market-oriented operation • Strengthen the management of the congestion on road sections with heavy traffic flows • Focus on deepening the road condition improvement and environment management of commuting roads for the Hangzhou Asian Games • Constantly improve it
Slide 20: Zhejiang Expressway Co., Ltd.
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Slide 21: Appendices
Y/ Le SAB GARAF ZHEJIANG EXPRESSWAY CO., LTD. Re ert Tite be il Sn me Su Perel iets
Slide 22: Appendix I – Statement of Financial Position
Appendix I – Statement of Financial Position (Rmb million) As at the end of the year 2022 2021 %Change Bank balances, clearing settlement fund, deposits and cash 24,191.05 17,699.91 36.7% Financial assets at fair value through profit or loss 43,999.38 45,809.59 -4.0% Total assets 186,405.52 176,296.
Slide 23: Appendix II – Organization Chart
Appendix II – Organization Chart As of 27 March 2023 Zhejiang Expressway Co., Ltd 576.HK Zhejiang Grand LongLiLiLong Co Zhejiang Yangtze United Huihang Co Jinhua Co (1) Zhoushan Co Financial Leasing Communications Shengxin Co Hotel Ltd Finance 100% 100% 100% 100% 51% 10.61% 20.08% 50% Jiaxing Branch
Slide 24: Appendix III – Expressway Map of Zhejiang Province
Appendix III – Expressway Map of Zhejiang Province 24 24 24