Good afternoon, fellow investors. Welcome to the 2021 interim results presentation of Canvest Environmental Protection Group. Please let me introduce the management online with us today. They are Ms. Loretta Li, Chairlady and Executive Director. Mr. Yuan Guozhen, CEO and Executive Director. Ms. Lisa Wong, CFO and Company Secretary. This presentation has been shared with you via your registered email. This conference call will also be live-streamed. Please be reminded that the Q&A session will be conducted online. We will welcome live questions as well as text-based questions. Now, Loretta Li, the Chairlady, will start presentation. Fellow investors, good afternoon. Thank you for taking time to join us in this interim results presentation of Canvest Environmental Protection Group. Due to the pandemic, this conference is conducted both online and in the form of a conference call. Please forgive us for any inconvenience. First of all, we are pleased to report to you that in the very first half of 2021, we have had very good results. Our revenue is up by 34.4%, roughly HKD 2.7 billion. Net profit is up 37%, reaching HKD 619 million. We have 35 projects, and our daily processing capacity of MSW is 52 billion tons per day. We have 12 projects in operation or in pipeline. In 2021, in the first half, our group has achieved 5,050 tons of new capacity, expanding our presence to 13 provinces, municipalities. In the first half, we have innocuously treated 4.624 million tons of MSW. We use green resources to generate 1.79 billion KWh electricity, offset 2.6 million carbon dioxide equivalent emissions, and saved 466,000 tons of standard coal. We fully support the sustainability goals of the United Nations. With our efforts, we incorporated the goals into our business strategies. We encourage employees to support and take part in charity activities. During the pandemic, we put into practice different measures to contain the pandemic, and we make sure that the projects are all in smooth operation. We give equal importance to quality and security. We also help the government in containing the pandemic, including innocuously treating medical waste. We have provided a better ecological environment to local residents. It is our great pleasure that our continuous efforts have been recognized by the capital market. In the first half, we've been awarded the top 50 enterprises in China, and in the awards activities, we received the Platinum Award, and we have received the A score for three consecutive years in MSCI ESG ratings. That speaks volume of our efforts in environmental protection. To the management and our teams, and as well as our employees, that's very encouraging news. Looking into the future, as our national goals have attached a great importance to carbon peaking and carbon neutrality, new energy and environmental industries will embrace a great, bright future. As an environment services provider, our group will be committed to realizing our national goals and pushing forward environment-related policy so we can achieve a healthy, long-term development of the environmental industry. W e will continue to strengthen the cooperation with different strategic partners as to achieve a better synergy. At the same time, we will speed up innovation and transformation. We will also explore different smart city management services. We will also develop asset-light business and comprehensive urban management services. In the future, our group will continue to make efforts to advance high-quality development, increasing the level of ESG. Realizing commercial, social, and environmental values. We will implement sustainability in our practice as the final objective. I will defer the presentation to Mr. Yuan, our CEO. Thank you, Chairl ady. Now I will walk you through the business performance in the first half. As for now, we have 35 projects nationwide. Our daily processing capacity is 51,940 tons. 13 projects are in operation, and the other 12 projects are in the pipeline as planned. Among the 35 projects, 16 of them are in Guangdong, accounting for 48.6% of the total contracted value. It shows that Guangdong is our major target market. At present, Canvest is the largest non-SOE WTE enterprise. In the first half, with successful efforts to contain the pandemic in China, and with the efforts of all employees, our group's new projects have been completed in time as scheduled. We have five new projects with total processing capacity of 7,850 tons a day, including Yingkou Phase 1 WTE, Rui Li Phase 1 WTE, Machong WTE Phase 1, and Xinyang WTE Phase 1. They have been all put into operation, bringing revenue to the group. In the first half of 2020, we have successfully secured four new projects, including Zhongshan Phase 2, Changning, Huizhou, and Yixian projects. The newly added processing capacity is 5,050 tons a day. In the first half of 2020, the total capacity has shown an increasing trend. Our processing capacity of municipal solid waste have seen a big increase. Now we have 12 projects in construction or planned. It's estimated that in the future, these projects will be completed and put into production as scheduled. Looking back on past performance, our first half power generation was 1.79 billion kWh, a 41% increase. We have innocuously treated 4.624 million tons, increasing by 14%, and we have generated 1.51 million kWh, a 41% increase. Power generation per ton, 388 kWh same as last year. The level of power generation is putting us among the best companies in China. As for the operation of a WTE plant, if you refer to page 13 and page 15, you can see the numbers. The total efficiency has improved. The efficiency of production and operation is ideal. The ratio between power generation power sales is 87.5%, that speaks volume of our high efficiency, and the utilization rate of our WTE is 135%. In the 14th Five-Year Plan, Chinese central government has set clear goals for processing municipal solid waste by 2025. By the end of 2025, the utilization rate of municipal solid waste will reach 40%, and daily processing capacity will be 800,000. We think that the market will be more refined. The COVID-19 pandemic control has become part of our daily work. In China, due to the Delta variant, there has been recurrence of COVID-19 pandemic. In the second half, we will keep a close eye on the pandemic and give priority to security, and we will give priority to high-quality projects and high-level operation. We will seize market opportunities for stable, steady growth. Besides, China's carbon trading market has started. We will also explore the possibilities of carbon emission trading, creating value for the carbon trading market. Our group has been keeping a close contact with different partners. Our business will be expanded horizontally and vertically to reach more sectors, increasing the level of asset-light. We'll explore the revenue of carbon assets so w e will realize a robust and optimistic growth of our business, creating value to our shareholders and all stakeholders, realizing a better return. Thank you. I will give the floor to Ms. Lisa Wong, CFO, and Company Secretary for financial report. Thank you, Mr. Yuan. My name is Lisa Wong, I'm the CFO and Company Secretary. I will give a review of the financial figures. In the first half of 2021, we have continued growth. We have recorded very good financial numbers. The revenue is up 34.4%, and gross profit is up 42.9%, and the gross profit margin is up 2%, reaching HKD 36. Our profit attributable to shareholders is increasing, and profit per share is up 36.6%. We recommended HKD 0.50 per share as an interim dividend. The general revenue is up by 34%, including the revenue from power sales and environmental hygiene so 54% and 44.9% and 2.5%. The percentage from the operation has increased thanks to our new capacity. New capacity has also driven the increase of our waste treatment volume and power generation. Our environmental hygiene is also increasing by 21.2%. Income from construction services is also increasing by 25.8% to HKD 1.2 billion. Our gross profit margin is increasing by 36%, especially from power sales and waste treatment services. Compared with the same time last year, we have recorded a growth of 51.8%. This is thanks to our efforts to reduce cost and optimizing operation, promoting the better efficiency. Up next, I would like to focus on the gearing ratio and the CapEx issues. The gearing ratio increased from 61%-63.4%, and net debt-to-equity ratio is at 116%. Total assets have increased to HKD 22 billion. Net debt-to-equity ratio increased with total assets, and the cash generated from operating projects have also increased by 27%, reaching HKD 660 million. We think that the net debt is under control because this year and next year are the peak year for starting production, and in the next phase, we will welcome a more stable cash flow. We will make sure that our debt-to-equity ratio is under control. We will diversify our revenue source, and we will continue to reduce our financing cost. In the first half, the CapEx are HKD 2.23 billion, and that reflects the added volume of our new projects. Our return on equity is 16.6%. Considering our shareholder return, we will continue to maintain 20% as the cash dividend payout ratio. That's the end of my presentation. Thank you. Due to the interest of time, the conference call and live streaming of the presentation will come to a close. On 25th August, the video of this results presentation will be uploaded to the company's website. Thank you again for your participation.
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