On August 16th, China Resources Building Materials Technology Holdings Limited (stock code: 1313.HK) announced its 2024 interim results. In the first half of 2024, the company's consolidated turnover fell by 13.9% year-on-year to 10.31 billion RMB, and the profit attributable to owners of the company fell by 70.2% year-on-year to 170 million RMB, with a basic earnings per share of 0.024 RMB. As of June 30, 2024, the company's total assets were 72.61 billion RMB, with a net asset per share of 6.33 RMB, and the interim dividend payout ratio exceeded 70%.
From a business perspective, during the period, the external sales volumes of cement, clinker, concrete, and aggregates were approximately 27.68 million tons, 1.276 million tons, 5.057 million m3, and 29.49 million tons respectively. The capacity utilization rates of cement, clinker, and concrete production lines were 64.2%, 75.6%, and 27.1% respectively. The blended average selling price of cement and clinker was 238 RMB per ton, and the average selling price of concrete was 344 RMB per m3.
On August 19, China Resources Building Materials Technology held a mid-year performance conference for 2024. China Resources Building Materials Technology's Chairman of the Board Ji Youhong, CEO Jing Shiqing, Chief Financial Officer Huang Hu, Independent Non-Executive Director Yan Bilan, and Investor Relations Manager Xing Tao attended the conference at China Resources Building in Hong Kong.
The conference attracted more than 20 analysts and fund managers from domestic and foreign financial institutions such as Citi, Macquarie, CICC, BOC International, Guotai Junan, Changjiang Securities, and Industrial Securities. It was also live-streamed through Tencent Meeting for about 40 domestic and foreign investors. During the conference, the company presented its interim performance and engaged in in-depth discussions on industry development, market outlook, competitive landscape, cost control, new business development, and other key topics.
Chairman Ji Youhong explained the recent capital market concerns about price increases, cost reductions, and market value management. He pointed out that the cement industry urgently needs to promote industrial transformation and upgrading, with major companies in the industry striving for healthy competition and pursuing overall industry symbiosis and win-win outcomes. In 2024, the company will further strengthen its foundation, with the core task being to reshape the management goal of the lowest system cost. Regarding market value management, efforts will continue to be focused on creating value, controlling risks, and rewarding investors, while enhancing communication with the capital market.
CEO Jing Shiqing introduced the operational performance of China Resources Building Materials Technology in basic materials, structural materials, and functional materials businesses, as well as the progress in energy conservation and emission reduction in the first half of the year. He stated that the company achieved significant results in energy conservation and emission reduction during the period, with the standard coal consumption per ton of clinker continuously decreasing to 97.2 kilograms. Additionally, he mentioned that the overall coal supply in China is expected to be sufficient in the second half of the year, further stabilizing the company's cost advantage.
Chief Financial Officer Huang Hu stated that in the first half of the year, cement prices showed a trend of hovering at low levels and fluctuating upward. The market supply-demand situation deteriorated in the first quarter, causing cement prices to hit rock bottom and the entire industry to suffer severe losses. However, the situation improved from the second quarter onwards, and it is forecasted that cement prices will perform better in the second half of the year. The company will actively implement staggered production in the second half of the year and adjust prices promptly according to market demand changes.
During the media briefing, the company's management introduced the operational situation and development direction of China Resources Building Materials Technology, answered questions from the media on industry demand, competitive strategies, and cost control, and emphasized the company's opposition to low-price, low-level, and low-quality expansion, hoping for a rational, orderly, and healthy competition in the industry. Seven media outlets, including Asdak Financial, Gelonghui, Mingpao, and Wenhui, attended the briefing, and the event was live-streamed to individual investors both domestically and overseas through the Futu Securities platform.
After the performance announcement, the company's management participated in investor roadshows organized by Macquarie, Citi, and Bank of America, engaging in in-depth discussions on issues such as demand outlook and aggregate business that investors are particularly concerned about.
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