中国东方集团二零二三年年报

Contents PAGES Financial Highlights2Corporate Information5Chairman’s Statement8Management Discussion and Analysis15Directors’ and Senior Management’s Biographical Information127Corporate Governance Report137Environmental, Social and Governance Report163Directors’ Report224Independent Auditor’s Report243Consolidated Balance Sheet252Consolidated Statement of Profit or Loss255Consolidated Statement of Comprehensive Income256Consolidated Statement of Changes in Equity257Consolidated Statement of Cash Flows259Notes to the Consolidated Financial Statements261Five-year Financial Information418Definitions419 Financial Highlights Notes: 1.*202312312022 1.China Oriental Group Company Limited (the “Company”) definesEBITDA as profit/(loss) for the year before finance costs — net,income tax expense, amortisation, depreciation and non-cashnon-recurring items. During the year ended 31 December 2023,there were no adjustments of non-cash non-recurring items in thecalculation (2022: nil). 2.(i)(ii) 2.The Company defines the adjusted profit for the year (a non-HKFRSmeasure) as profit/(loss) for the year excluding non-recurringgain and the provision for impairment of both (i) properties underdevelopment and held for sale; and (ii) loan receivables relatedto the real estate industry in the second-and-lower-tier cities inthe PRC. Please refer to the sub-section headed “ManagementDiscussion and Analysis — Non-HKFRS Measure” for details of thenon-HKFRS measure. Financial Highlights Financial Highlights Corporate Information BOARD OF DIRECTORS Executive Directors Sanjay Sharma Mr. Han Jingyuan(Chairman and Chief Executive Officer)Mr. Zhu JunMr. Shen XiaolingMr. Han Li(Chief Financial Officer)Mr. Sanjay Sharma Non-executive Directors Ondra Otradovec Mr. Ondra OtradovecMr. Zhu Hao Independent Non-executive Directors Mr. Wong Man Chung FrancisMr. Wang TianyiMr. Wang BingDr. Tse Cho Che Edward COMPOSITION OF BOARD COMMITTEESAUDIT COMMITTEE Mr. Wong Man Chung Francis(Chairman)Mr. Wang TianyiMr. Wang Bing NOMINATION COMMITTEE Mr. Han Jingyuan(Chairman)Mr. Wong Man Chung FrancisMr. Wang TianyiMr. Wang Bing REMUNERATION COMMITTEE Mr. Wong Man Chung Francis(Chairman)Mr. Han JingyuanMr. Wang TianyiMr. Wang Bing Corporate Information AUTHORISED REPRESENTATIVES Mr. Han LiMr. Lam Pak Kan COMPANY SECRETARY Mr. Lam Pak Kan REGISTERED OFFICE Clarendon House2 Church StreetHamilton HM 11Bermuda Clarendon House2 Church StreetHamilton HM 11Bermuda PRINCIPAL PLACE OF BUSINESS INHONG KONG 239901-210 Suites 901–2 & 10, 9th FloorGreat Eagle Centre23 Harbour RoadWanchai, Hong Kong BERMUDA PRINCIPAL SHARE REGISTRARAND TRANSFEROFFICE MUFG Fund Services (Bermuda) Limited MUFG Fund Services (Bermuda) Limited HONG KONG BRANCH SHARE REGISTRARAND TRANSFEROFFICE Tricor Investor Services Limited AUDITORPricewaterhouseCoopers Corporate Information COMPANY’S WEBSITEwww.chinaorientalgroup.com www.chinaorientalgroup.com LIST OF PRINCIPAL BANKS(IN ALPHABETICAL ORDERS) ING Bank N.V. Agricultural Bank of ChinaBank of CangzhouBank of ChengdeBank of ChinaBank of CommunicationsBank of HebeiBank of TianjinChina Citic BankChina Construction BankChina Everbright BankChina Minsheng BankDBS BankHang Seng BankIndustrial and Commercial Bank of ChinaIndustrial BankING Bank N.V.MaybankOCBC BankPing An BankRabobankThe Export-Import Bank of China Chairman’s Statement This year marks the start of the 20th anniversary of the Company’s listing on theStock Exchange. Since the completion of its initial public offering in March 2004,the Company has weathered a number of the industry cycles of the iron and steelindustry and has continued to thrive in the face of many economic uncertainties.Since its listing, the Company, as a steel manufacturer with an annual productioncapacity to produce 3.1 million tonnes of steel products and mainly selling steelbillets and strip products, has gradually expanded its business to a year-to-datesteel products production capacity of more than 10 million tonnes with its productcategories covering H-section steel products, sheet piling, strips and strip products,billets, cold rolled sheets and galvanised sheets. At the same time, it has expandedto downstream businesses including real estate and power equipment businesses,as well as holding a A-shares subsidiary listed on the Shanghai Stock Exchange. TheGroup’s revenue has increased by more than 5 times as compared with that of 2004. 20200433101,000A20045 REVIEW OF YEAR 2023OPERATING ENVIRONMENT 2023 20235.9%20.4% Looking back at 2023, the downward trend of the global economyslowed down, with inflation in major economies continued tofall. However, the recovery was increasingly characterised bydivergence. The global service sector recovered steadily, while themanufacturing and commodities trading sectors recovered moresluggishly and geopolitical conflicts persisted. In respect of China,economic growth during the year fell short of expectations. Theoverall sup