AnAn International (Y35) Q1 2023 TU earnings summary

Executive summary

• Q1 2023 revenue rose 4% YoY to US$652.28m on higher fuel sales volume, while net profit fell 33% to US$4.26m as gross margin normalized.

• Operating cash flow was US$52.48m; net assets reached US$94.94m, or 2.243 US cents per share, at 31 Mar 2023.

Financial highlights

• Revenue was US$652.28m, up 4% YoY; cost of sales rose 5% to US$627.48m and gross profit declined 10% to US$24.80m.

• Profit before tax decreased 39% to US$5.29m; net profit fell 33% to US$4.26m and profit attributable to owners declined 50% to US$1.47m.

• Other operating expenses increased 327% to US$0.95m, reflecting a US$1.11m subsidiary disposal loss and higher doubtful-debt provision, partly offset by a US$1.19m VAT provision reversal.

• Selling and distribution expenses rose 2% to US$17.81m, finance expenses increased 26% to US$1.25m, and associate/JV earnings grew 149% to US$0.81m.

Outlook and guidance

• Focus remains on organic growth and diversification into other natural energy; operations remain cautious amid economic outlook uncertainty.

• No dividend was declared or recommended, with working capital required for business activities.