Q4 2021 Antelope Enterprise Holdings Ltd Earnings Call
Okay.
Thank you for standing by and welcome to the Antelope Enterprise second half and fiscal year end 2021 earnings conference call. At this time all participants are in a listen only mode. After the speaker presentation. There will be a question and answer session to ask a question. During the session you won't eat breast star one your telephone keypad.
Enter withdraw your question press the hatch is.
If you are quite technical support at any time, Please press star zero.
I would now like to hand, the conference over to your first speaker today, David Rudnick. Please go ahead.
Thank you Julien.
Morning, ladies and gentlemen, and good evening.
Those of you who are joining us from China welcomes Antelope enterprise holding limited's second half and fiscal year end 2021 earnings conference call with let's say your analysts enterprises, Chief Executive officer, as much long Huang and Chief Financial Officer, Mr. Edmund Hen.
Bertrand Mclauchlin Ms. Wang electric dress forward looking statements that may be discussed on the call. All these statements involve risks and uncertainties and include among others those regarding.
Revenue operating expenses other.
Income and expense taxes, and future business outlook actual performance outcomes and results may differ materially from those expressed in forward looking statements. The company claims the safe Harbor protections for such forward looking statements as contemplated under the private Securities Litigation Reform Act of 1995.
Please refer to the documents filed by the company with the SEC specifically the most recent reports on forms 20-F, and 6K, which identify important risk factors that could cause actual results to differ from those contained in the forward looking statements. We assume no obligation to update any forward looking statements or information, which speak as that because they are prospective dates.
And now it's my pleasure to turn the call over to envelope Enterprises' CEO his amazing work.
Wrong, and Antelope enterprise <unk> CFO , Mr. Edmund Hen shall he's able to translate for MS. Wang Ms. Wang you May proceed.
So not that we're watching is how close to wind that down.
Yeah, I mean, how do you see that.
Yes.
Thank you David on behalf of the company I would like to welcome everyone to our second half and the physical year end 2021 earnings conference call.
So, adding a tiny little he jumped up on them.
Yeah that sounds like that so it seems like that's it.
Yeah, well remember too sometimes it's also gives you mean, you've got 12 months Yeah. John This is what I want you just don't have that woman Saudi Arabia.
Young woman.
Sure homegrown Harbin suggestions issues going on that's a question I said, yeah, well Doi am clumping type of woman to Joseph.
Aaron's physical year 2021 we continue to experience challenging market conditions for our ceramic tiles products south due to the slowdown of the real estate sector in China, which will still be impacted by the continued effects of COVID-19 pandemic.
Mitigate these challenging condition in 2020, one we continue to execute our strategic plan to diversify our business and to our growth incorporating several new technology sectors subsidiary.
Does that assume that the constant jungwirth shifting back to Tom.
Well no.
What's your sense as Archie I'll jump on it sounds actually she's don't buckle, you. It's funny excuse me single digit so dominate johnstown simple well known gosh in fishing.
Well Matt.
Indians jump on the <unk>.
Caution, but sensors basketball, Oh, a union chicken does well against the contract.
This is John Mitchell Godaddy tell me she watches that they need to change.
Yeah.
This new subsidiary are engaged in selective markets in China, which we believe has strong growth potential. This include business management information system consulting and in social media online social Commerce and live streaming we are pleased that this new these new segments contributed.
38% of revenues to our financial performance for the second half of trying 21, and 33% for the full year, 2020, one which shows that our strategic plan its own court.
So we don't go off on the Tahoe, It's Angela Tanya.
Is that just you talked that well meet our union.
She is something that it sounds like she oriented you know Shane jump junk of somebody's Joseph was okay.
Central that got you into an engine to do that.
Guy talking about equal, but no dumbfounded, Josh Josh it well Linda.
Well I'll turn you to go to talk to that since you don't know so he's drinking Mr. Jeffrey sure Jim Sims.
Jason feature.
Due to the continued challenging conditions for the real estate and building materials in China November 2020. One we entered into a five year lease agreement to lease out the entire home valley facility with the same disease that has been leasing or just a portion of the play.
With the Q in terms of how the answer unused production capacity and olefins off of sympathy for when the real estate market turnaround and this position is consistent with our result to pivot towards technology growth sectors.
Well, Matt Sydney, John Doyle.
Or you'll not find desktops injunction that's usually very.
Very warm month, I shouldn't just too costly.
She was even with the challenging conscious but not.
Sure well I don't know what chunk like I said, Amit Your question said, Josh I'll, let Jim jump that way.
Thanks.
We are committed to diversifying the company into a growth technology sectors and are encouraged by the strong contribution from our new technology subsidiary to date.
Particular, we believe that social media all lines those are called Murray and live streaming in China, we're experiencing growth in the years to come.
She was on our sampling tower jumping from Russia, and some nice chunky just not cautious.
Shop on the injunction Patricia.
With that I would like to turn off the call to the Companys Chief Financial Officer, Mr. Edmund Hen, who will discuss the company's second half.
2020 one earnings results in more detail. Thank you.
Thanks, so much Bob.
All of the normal fall into a more detailed.
Sure.
Our financial results for the six months ending keeps on both of their first 2021.
Also new for the six months on both of the post 2021.
So that'd be a good thing.
On to media.
All those kinds of things.
Yeah.
It's a 10% decrease from all M D.
According to media or.
That'd be one what media.
For the same period 2020.
The year over year.
Thank you.
And you will see what skews that generation.
Oh, all of them being 63, six medium haul in ballpark.
So it's manageable.
Nick will make some consulting.
Social commerce at.
Loss from operations.
From your from changing future.
Thank you.
No I'm kidding.
Okay.
You know operating subsidiary.
In baseball terms for Turkey for extreme.
Also the company's total revenue in the current bill.
Powerful controversial Pops, and offset by RMB 44 6 million.
So now let's call it 3 million.
All right.
Both profit.
For the six months.
For Q.
Q1.
Of our MB itself is pretty cool.
Maybe I'll just follow up on.
Million.
That's your gross loss of RMB 10 six.
Log either.
Oh, Oh Oh.
Uh huh.
Well the thing here right.
All right.
Cool.
Okay.
Well, it's 44, 4% that's 10 breath to of course, the bulk market.
Okay.
Thank you Russell 2000 and currently.
Other income for the six months ended September 30.
He first without the entrance one was RMB $2 3 million or you call. It about one 4 million.
That's compared to RMB <unk> 2 million.
Our U S, Florida, one point I made here.
The same favorite also without them.
Other income countries.
Rental income.
When he was here to buy these and how it's one off the production line.
Probably it's kind of different pressure on it.
Perfect.
Selling and distribution.
For the six months.
So that's an interesting one.
M B, a three part in one media or it gets filled out what multiple you bill.
A decrease from RMB, four 2 million or you saw the one 6 million.
For the same periods without some trenches.
Administrative expenses for the six months and December 31st without that in 'twenty one.
Were RMB, $15 2 million or I guess sort of coupon of $4 million.
As compared to RMB, one 9 billion for I guess on that one.
Yeah.
For the same period last without certain trends.
The increase in administration administrative expenses, plus smart, primarily due to an increase in consulting and professional fees.
I think expenses for.
For the six months ended December 31st 2021.
Over the past several RMB from $75 4 million.
Or you guys saw that you've not been comping familiar.
<unk> breadth of your bad debt expense of RMB 14 8 million.
Or just on a $7 2 million for the same to us without the in country.
When do you recognize all of ours or that the credit loss on financial asset.
I'm already on train B, cyclicals, which are subject to impairment on the international financial reporting standards.
<unk>.
We'd be that bad.
And that's the appropriate backgrounds, who has talked about going.
Going forward.
We will continue to your renewal project process, albeit trough, our customers and continuous to be passed.
I'll, let shane receivables balance and the upcoming critical care.
Net loss for the six months ended December 31st 2021.
Well, it's RMB $19 3 million audio stream media.
That's compared to a net loss of RMB 81, 6 million USD 12 million.
For the same period, all through 1000 entrances.
The decrease in net loss was primarily due to an increase in core pockets.
The decrease in bad debt expenses.
And.
Substantial increase and there was a reversal of the country.
Impairment provision in the current period.
Loss per basic and fully diluted share for the six months and at December 31st without that in 'twenty one.
Well M B, a three o'clock central spot or do you feel that knocks on phosphate.
That's true.
Loss per basic and $40 a share.
Our power and be a chunky for context, five or $3 67.
For the same period 2020.
Turning to our balance sheet.
That's all from December 31st 2021.
We had a cash and bank balances off RMB 27 9 million.
Well I guess all of $4 4 million.
That's compared to RMB 12, 3 million August all at $1 9 million.
December such approach without that frontier.
That's after December 31st without that in 'twenty one.
<unk> hundred.
Three days.
That's compared to 200 and Rocky days, that's off December 31st without that friendship.
Our trade receivables term overall ceramic how towards us.
That's a value added tax.
Thank you Andrew.
That's off the December 31st 2021.
Compared to 242 things.
Hats off to December 31st without the in transit.
Trade receivables turbo power pizza freshmen and consulting salmon.
Paul.
Yeah, nothing days hats off to you something about their approach 2021.
Our trade payables.
Oh call, so I'm going to call. It taught us that salt graduate at habitat plus 20 days.
That's all from December 31st 2021.
Comparative returns year to date, so that's all.
December 31st two.
2020.
Previous difficult travel office of management and consulting segments seven days, that's all December 31st without them.
In terms of our farms.
Okay.
We utilized plant capacity.
Yes.
One 2 million square meters ophthalmic calls.
Thanks Lance.
December 31st 2021.
That's compared with Q1 5 million premises.
Tom It calls for the same period of 2021.
With all of the current favorite.
Production that shows the boat hanging differently.
Are we give us that.
<unk> during the current period.
What's primarily attributed to go to the continued slow down of your acetate industrial in China.
Fisher are still being impacted by continuing your thought.
The COVID-19 pandemic.
You've heard this from November one 2021.
We entered into.
Moving to a new lease agreement.
It seemed that seat.
Uh huh.
B and leasing one of the four different box either handle different places.
Yeah Neal this is Paul <unk>.
And Holly.
And party risks include building blocks here.
And rich fronting or.
Machinery extra months simple addition lives.
The new lease.
The term of five years.
From November one 2021.
Through October 31st production in 2006.
Fourth an annual rental RMB $10 million.
Therefore.
Company's total annual production capacity of 22.
In square meters.
Okay. All my colleagues, which is solely attributable to his hangup LSA tool.
We intend to bring unused to positioning Cabo hang the online.
Consumer team they paid.
And when there are signs of improvement in China for acetate tow and construction et cetera.
We review the level of capital expenditure throughout the year.
And make adjustments subject to market conditions.
Although business conditions, I was hoping to a trend.
I'm not sure if there was a mortgage.
That's all capital expenditure without entering too.
Then those associated with minimal upgrades.
Small repairs and maintenance of equipment.
Moving on to office or probable.
In terms of all of our ceramic tiles.
For fiscal year 2021.
The company's operating results continued to be impacted by the slowdown of China real asset et cetera.
Due to the continuing congrats all COVID-19 pandemic.
I'll say a range.
<unk> priced month over month for the first six months, which without that in 'twenty one.
Average new home prices in China 70 major cities.
Well.
Month over month for the second.
For the second six months of 2021.
And already 2022, a data shows that we're just right in new home prices.
November 2015.
Due to these challenging market conditions, we have now a plan to breath, alright, alright, you can differentiate through.
Without China.
Although the contributor too.
Geisha and marketing for our quarter four.
Real estate market turns alone.
Looking forward.
China's central government indicated that it would.
<unk>.
Yes.
After you had in the past.
With.
Rich which include helping to support.
China's breast et cetera.
In early 2000, entrenches, the People's Bank of China.
Yes.
Reserve requirement ratio.
Great up more along with hopeful homebuyers.
Due to weakened.
Market demand.
All of the mouth mortgage rates by an average of <unk> hundred 60 basis points.
And some parents have loosened some of their policy rich.
And cook them, removing restriction on home purchase for those without for local residents.
Nancy.
Yes.
<unk> continues to be a lie to a component on China's economic growth as you were asking.
And yes.
It's just that people tend to estimate.
Estimate to comprise.
And trackless Remo China's GDP.
Maybe it is that the demand for all of us on the call its products.
Most of them come from tier three and lower tier cities.
As far as post chose countries over the next few years.
And we will be increasing our efforts to secure our customers and larger in South East Asia market.
In terms of our new technology replaced SCO by my math.
During fiscal 2021.
Continue to execute.
On our strategic plan.
Hi, Oliver.
Operations.
Neil kind of a change that to operations.
Our M P $71 5 million.
Or do you feel like you're going to get up and median.
Revenue from our new subsidiaries, maybe is with Nacho and information system consulting.
Reaching close to south of Salt, Greg that's right for digital data with your <unk> platform.
And that's what management system, and then on my social media platforms, including live stream live streaming.
And you come back.
Development and consulting.
If maybe if that sandbox and it allowed us to realize that they can to protect the increase in total revenue.
For fiscal 2021, congrats youll piece of co 2000 trenches.
This outlook reflects the company's Cowen Prime moving.
Views and is based on.
The information currently available to us.
Subject to change and subject to risks.
So I think that's it.
Risks and uncertainties identified in the company's public flying.
At this point.
We would like to open up the call to any questions pertaining to our second half 2001 2021 financial results.
Operator.
We will now begin the question and answer session. As a reminder, if you wish to ask a question. Please press star one on your telephone keypad again to ask a question press star one on your telephone keypad, well pause for just a moment to compile the Q&A roster.
Once again, if you wish to ask a question. Please press Star then the number one on your telephone keypad.
Thanks.
Okay.
No further question at this time, David Please continue.
On behalf of the entire Antelope Enterprise management team wed like to thank all of you pre interest and participation on this call. This concludes Antelope enterprises second half and fiscal year end 2021 today's conference call. Thank you.
That does conclude our conference for today you may now disconnect.
Okay.
Okay.
Okay.
Uh huh.
[music].
Okay.
[music].
Yeah.
[music].