东岳集团二零二三年中期报告

CONTENTS 2Corporate Information6Management Discussion and Analysis20Other Information32Report on Review of Condensed Consolidated Financial Statements34Condensed Consolidated Statement of Profit Or Loss and Other Comprehensive Income35Condensed Consolidated Statement of Financial Position37Condensed Consolidated Statement of Changes In Equity39Condensed Consolidated Statement of Cash Flows40Notes to the Condensed Consolidated Financial Statements CORPORATE INFORMATION Registered Office Vistra (Cayman) LimitedP.O. Box 31119Grand Pavillion, Hibiscus Way802 West Bay RoadGrand Cayman, KY1-1205Cayman Islands Vistra(Cayman)LimitedP.O. Box 31119Grand Pavillion,Hibiscus Way802 West Bay RoadGrand Cayman,KY1–1205Cayman Islands Head Office and Principal Place of Business inThe PRC Dongyue International FluoroSilicone Material Industry ParkZibo CityShandong Provincethe PRC Principal Place of Business in Hong Kong Unit 2621/F Admiralty Centre18 Harcourt RoadAdmiraltyHong Kong 182126 www.dongyuechem.com Website Address www.dongyuechem.com Directors Executive Directors Mr. ZHANG Jianhong(Chairman and Chief Executive Officer)Mr. FU KwanMr. WANG Weidong(President)Mr. ZHANG Zhefeng(Vice President and Chief Financial Officer)Mr. ZHANG Jian Independent Non-Executive Directors Mr. TING Leung Huel, StephenMr. YANG XiaoyongMr. MA Zhizhong CORPORATE INFORMATION Company SecretaryMs. CHUNG Tak Lai Authorized Representatives Mr. FU KwanMs. CHUNG Tak Lai Audit Committee Mr. TING Leung Huel, Stephen(Chairman)Mr. YANG XiaoyongMr. MA Zhizhong Remuneration Committee Mr. YANG Xiaoyong(Chairman)Mr. TING Leung Huel, StephenMr. ZHANG Jianhong Nomination Committee Mr. ZHANG Jianhong(Chairman)Mr. TING Leung Huel, StephenMr. YANG Xiaoyong Corporate Governance Committee Mr. ZHANG Jianhong(Chairman)Mr. WANG Weidong Risk Management Committee Mr. TING Leung Huel, Stephen(Chairman)Mr. YANG XiaoyongMr. MA Zhizhong Principal Share Registrar and Transfer Office Suntera (Cayman) LimitedSuite 3204, Unit 2ABlock 3, Building DP.O. Box 1586Gardenia CourtCamana BayGrand Cayman KY1-1100Cayman Islands Suntera (Cayman) LimitedSuite 3204, Unit 2ABlock 3, Building DP.O. Box 1586Gardenia CourtCamana BayGrand Cayman KY1-1100Cayman Islands CORPORATE INFORMATION Hong Kong Branch Share Registrar and TransferOffice 1617 Tricor Investor Services Limited17/F, Far East Finance Centre16 Harcourt RoadHong Kong Principal Bankers China Construction Bank CorporationHuantai Branch134 Jianshe RoadZibo City HuantaiShandong Province PRC 134 Industrial and Commercial Bank of China LimitedHuantai Branch7 Zhangbei RoadZibo City HuantaiShandong Province PRC 7 Agricultural Bank of China LimitedHuantai Branch101 Zhongxin RoadSuo ZhenZibo City HuantaiShandong Province PRC 101 Bank of China LimitedHuantai Branch48 Heng Huan RoadZibo City, HuantaiShandong Province, PRC 48 2299 China Everbright Bank Company Limited Huantai Branch2299 Suo Zhen Zhongxin RoadZibo City, HuantaiShandong Province, PRC CORPORATE INFORMATION Investor Relations Consultant Investor Connect Advisory Ltd Auditor Elite Partners CPA LimitedCertified Public Accountants External Legal Advisor Norton Rose Fulbright Hong Kong Stock Code 189 189 MANAGEMENT DISCUSSION AND ANALYSIS Results Review In the first half of 2023, given the complex domestic and overseaseconomic environment, along with gloomy market sentiment, thefluorosilicon chemical industry was significantly impacted. During theperiod under review, a number of the Group’s products recordedweakening demand from the downstream sector with price sliding tovarious degrees, which also led to a decline in the Group’s revenueand profit. Although the Group maintained its competitive edge inthe industry with intact and stable operating strategies, suchadvantages were unable to offset the negative market impact on theGroup’s performance. 2023 1.Prudent Operation amid Market Changes During the period under review, the fluorosilicon chemicalindustry recorded substantial changes with declining productprices. In response to these changes, the Group’s managementquickly formulated business strategies to maintain prudentoperations, reinforce “internal strengthens”, reduce costs andexplore potential developments. Leveraging the Group’seconomies of scale, advanced techniques, well-establishedproduction chain and outstanding management, the Groupcontinued to maintain its leading position in the industry.Through the diligent efforts of all employees, the Groupmaintained stable productionin the first half of this year, andachieved certain growth in both production and sales volume.While such growth had led to further increase in market shares,the energy consumption level per unit product was reduced.During the period under review, although the Group recorded asignificant decline on its results compared to the historical besta year ago, prudent operations have laid a solid foundation forthe Group’s performance growth once th