China Hongqiao Group Ltd. · HKEX:1378
China Hongqiao — H1 2024 Earnings Presentation
21 slides from China Hongqiao's earnings presentation, Aug 22, 2024
Slide 1: 2024 Interim Results Announcement
2024 Interim Results Announcement August 2024
Slide 2: Disclaimer
Disclaimer This document has been prepared by China Hongqiao Group Limited (abbreviated as “China Hongqiao” or the “Company”) for the sole purpose of corporate communication and general reference only. The presentation is not intended as an offer to sell, or to solicit an offer to buy any class of s
Slide 3: Agenda
Agenda 01 Industry 02 Operational Overview Highlights 03 Financial 04Future Summary Strategy
Slide 4: H1/2024 Global Supply and Demand of Primary Aluminum
H1/2024 Global Supply and Demand of Primary Aluminum ≈21,300,000 tonnes 5.7% China’s production volume of YOY primary aluminum ≈22,100,000 tonnes 8.2% China’s consumption volume YOY of primary aluminum ≈35,800,000 tonnes 4.0% Global production volume of YOY primary aluminum ≈35,940,000 tonnes 5.3% G
Slide 5: H1/2024 Aluminum Price Trends
H1/2024 Aluminum Price Trends Aluminum Price Trend of LME and SHFE ≈2,358USD/tonne 1.3% Average prices of LME YOY ≈2,401USD/tonne 1.6% Average prices of LME YOY 3-month aluminum futures ≈19,849RMB/tonne 7.2% Average prices of SHFE YOY ≈19,846RMB/tonne Average prices of SHFE 8.2% YOY 3-month aluminum
Slide 6: Primary Aluminum Consumption in China
Primary Aluminum Consumption in China H1/2024China Primary Aluminum Consumption Breakdown Source: Antaike ·Latest available data as of H1/2024 ➢ In terms of the consumption breakdown, construction and Machinary Exportation 3.70% Others of Aluminum Packing infrastructure, electronic power, transporta
Slide 7: Agenda
Agenda 01 Industry 02 Operational Overview Highlights 03 Financial 04Future Summary Strategy
Slide 8: Operational Highlights – Overall Strategy
Operational Highlights – Overall Strategy Consolidate the Advantages of Upstream and Downstream Integration Implement Globalized Resources Strategy Build Green Ecological Chain Actively Participate in Construction of Global Supply Chain Expand the Application of Aluminum Industrial Chain and Value C
Slide 9: Vertically Integrated Business Model
Vertically Integrated Business Model Upstream Midstream Downstream Primary Aluminum Bauxite Energy Alumina Aluminum Fabrication ⚫ During H1/2024, the output ⚫ Enhance bauxite mining ⚫ Constantly deploy and ⚫ In H1/2024, annual ⚫ During H1/2024, the annual of aluminum fabrication projects in Guinea,
Slide 10: Leading Production Technology
Leading Production Technology Sci-tech Innovation，Digital Empowerment · Energy Saving，Ecological Priority ◆ Shandong Hongqiao New Material Co., Ltd. is the only company that has been recognized as the national high-tech industrialization base of high-end aluminum materials by the Ministry of Science
Slide 11: Optimized Financial Structure
Optimized Financial Structure Continuously Optimize financial structure ➢ Interest-bearing debt was appr. RMB 70.4bn ➢ Under the principles of robust and efficient capital management, keep optimizing the capital structure and improving the efficiency of capital utilization while continuing to streng
Slide 12: Recognition from International Institutions and Rating Agencies
Recognition from International Institutions and Rating Agencies Lianhe Moody’s HSI S&P Fitch Global Outlook Outlook Outlook Outlook Blue Chips Positive Negative Stable Stable Hang Seng High Dividend Rating Rating Yield Index Rating Rating Constituents BB+ Ba3 BB- BB+ 12
Slide 13: ESG Highlights
ESG Highlights China Hongqiao's“Dual carbon”goals and action plan: Strive to achieve carbon peak before 2025 Endeavor to achieve net-zero carbon emissions within the scope of its business before 2055 Shandong Hongtuo “The Asset Triple Industrial Co., Ltd. has been A Digital Awards Named “Most select
Slide 14: Agenda
Agenda 01 Industry 02 Operational Overview Highlights 03 Financial 04Future Summary Strategy
Slide 15: Financial Summary
Financial Summary H1/2023 H1/2024 Variance (RMB million) Revenue 65,734 73,592 +12.0% Gross profit 5,892 17,802 +202.1% Gross profit margin 9.0% 24.2% +15.2pp Net profit attributable to shareholders 2,457 9,155 +272.7% Basic earnings per share RMB 0.259 RMB 0.966 +273.0% Interest Coverage Ratio 6.02
Slide 16: Profitability
Profitability Gross profit (RMB million) EBITDA (RMB million) Gross profit Gross profit margin EBITDA EBITDA margin 17,802 20,652 8,876 202.1% 24.2% 132.7% 5,892 28.1% 9.0% 13.5% H1/2023 H1/2024 H1/2023 H1/2024 EBIT (RMB million) Net profit attributable to shareholders (RMB million) EBIT EBIT margin
Slide 17: Liquidity and Capital
Liquidity and Capital Total assets (RMB mn) Dividend (HK cents per share) 213,708 59 200,320 34 6.7% 73.5% Increase Increase Steadily Significantly 31 Dec 2023 30 Jun 2024 30 June 2023 30 Jun 2024 Cash and cash equivalents (RMB mn) Gearing ratio 37,502 47.0% 48.5% 31,721 18.2% 1.5PP Remain Increase
Slide 18: Agenda
Agenda 01 Industry 02 Operational Overview Highlights 03 Financial 04Future Summary Strategy
Slide 19: Future Development Strategies
Future Development Strategies Upstream-downstream Integration, Advantage Consolidation Integration of Aluminum & ➢ Promote the integration of upstream and Electricity, More Clean Energy downstream sectors and green Use transformation, and boost high-quality ➢ Strengthen cost advantages, diversify de
Slide 20: Q&A
Q&A
Slide 21: Thank you!
LAN’ China Honggiao Group Limited HP Bd ZH SR A BR] Thank you!