On March 28, GLONGHUI (02098.HK) announced that for the year ended December 31, 2023, the Group's revenue increased by about 13.0% from approximately RMB 110,906.2 million in the previous year to approximately RMB 125,290.5 million. The increase was mainly due to increased revenue from supply chain management and trade operations.
The Group's gross profit increased by about 44.1% from approximately RMB 587.4 million in the previous year to approximately RMB 846.6 million in the same year. The Group recorded a net profit of approximately RMB 65.7 million (2022: loss of approximately RMB 2,981.2 million). Profit attributable to equity shareholders of the company is approximately RMB 50.9 million (2022: loss of approximately RMB 3,040.3 million). The Group's net debt ratio fell from 48.6% on December 31, 2022 to 28.1% on December 31, 2023.
The Group's core project, Hankou North International Trade City, has now formed 30 large-scale comprehensive professional market clusters with small products, branded clothing, used cars, fresh ingredients, etc., and has newly built themed districts such as Hankou Town, Wanguo Town, Wuhan 1980, Carnival Theme Park, etc., as well as characteristic towns such as Flower Town, Taste Town, and Famous Car Town, as well as new types of markets such as Dreamhouse Custom City, Xinpu Wharf, Fisherman's Wharf, and Spicy Exchange, etc., to accelerate the construction of China's largest and world-leading trade and logistics platform.
Shenzhen Zhongnong Network Co., Ltd., a large-scale agricultural products B2B trading platform under the Group, adheres to strategic goals, customer-centered, and focuses on promoting the transformation and upgrading of digital services in the industrial chain. During the reporting period, China Agricultural Network focused on core sectors, built differentiated core competitiveness, and achieved revenue of approximately RMB 40.8 billion. In 2023, Mutian Mall added 1,073 new registered customers and added 438 new customer conversions, with a conversion rate of 41%. In the feed ingredients trading business, China Agricultural Network continues to accumulate resources from leading customers in the industry, focusing on products such as soybean meal, corn, and sunflower meal. 185 new customers were added throughout the year, bringing the total number of customers to 506, achieving revenue of about RMB 1 billion, an increase of 15% over the previous year.
As the leading chemical e-commerce company of the future, the Group's Chemical Plastics Exchange integrates information, products, logistics, finance and other resources using the platform+supply chain service model to form a supply chain service system for upstream and downstream enterprises and service providers in the chemical and plastics industries. For the year ended December 31, 2023, the total number of customers on the Chemical Plastics Exchange platform reached 52,043, achieving revenue of approximately RMB 24.1 billion, an increase of about 9.5% year-on-year.
As of 2023, Zhuogang Chain has established 30 trading service centers across the country, covering more than 310 cities in 32 provinces, serving more than 70,000 members, and establishing 32 Zhuocanghui standard warehouses, successfully serving 350 livelihood projects and high-end manufacturing projects. Zhuogang Chain is more active in providing one-stop supply chain integration service solutions for large terminal steel companies including infrastructure, automobiles, new photovoltaic energy, power grids, etc., and has served many large central state-owned enterprises and leading enterprises in the industry. In 2023, Zhuogang Chain achieved revenue of approximately RMB 24.5 billion.
Through the integrated development of online and offline in recent years, the Group's supply chain management and trade business have grown significantly. Under suitable opportunities, the Group will further develop into other sectors through endogenous or mergers and acquisitions, continuously enrich and improve the Dowell Intelligent Ecosystem, and further enhance operational efficiency.
In the future, Zhuoer Zhilian will continue to increase research and development of digital technology, using new trade methods as entry points, and applying digital technologies such as big data, artificial intelligence, and blockchain to build an architectural system of “B2B transaction service+supply chain service+digital technology cloud service” to help enterprises reduce costs and increase efficiency, and further enhance collaborative capabilities such as transaction efficiency, warehousing and logistics efficiency, and capital efficiency.