PR in the Philippines

Leon Inspection’s 2022 profit attributable to the parent company recorded Near 40%

Consolidating Leading Position Niche Market

 

[Hong Kong－31, March 2023] The reputable international inspection and testing company, China Leon Inspection Holding Limited (“Leon Inspection” or the “Company”, together with its subsidiaries, the “Group”)(Stock code: 1586.HK) is pleased to announce that the Company delivered high-quality and steady development momentum amid the challenging business environment, and the company’s profit attributable to the parent company for the year ended December 31, 2022 increased by 39.3% to approximately HK$69.4 million in 2022. The company delivered strong financial position, low gearing ratio, and sufficient cash reserve with a 47.6% YOY increase to HK$222.3 million in Cash and cash equivalents. The Group continued it’s cash dividend policy during the year, and has proposed to distribute a final dividend of HK$0.0272 per share for the year ending December 31, 2022. The dividend payout ratio in 2022 is 34.6%. Up to now, the Group has distributed a total of nearly HK$100 million in dividends since its IPO in 2016, demonstrating a outstanding capability in shareholder return .

 

During the period, the Group actively seized the tremendous opportunities brought by the blossoming development of the global emerging markets and expanded its presence from major trading ports and hub cities in the Asia Pacific region to emerging markets in South America and Africa. By leveraging the geographical advantages of our network, the Group provided better services to our global industry leading customers. Led by the “ESG-oriented development” of the Company’s four major business divisions, namely commodities services, clean energy, environment protection and climate change, the Company fully maximized synergies among all business divisions, driving the overall growth of revenue. Details of business progress of the segments are set out below:

 

Commodity services business: Upholding the fundamental principles of fairness and impartiality, the Group continues to expand its professional service capacity in commodity services to facilitate a better flow of global trade. With as many as 63 service outlets and 18 categories of professional qualification certifications around the world, the Company’s services involve more than 50 types of commodities and natural resources. Regarding commodity services as the pillar of the Company’s core business, the Company has established its leading market position in the coal and oil segments with distinguished brand credibility through years of remarkable efforts and growth. During the year, the commodity services business recorded booming development and successfully promoted the Company’s revenue increase.

 

Clean energy business: The Company actively promoted inspection and testing technology innovation and successfully launched a number of intelligent services for the wind power and photovoltaic industries, including drone testing, to continuously broaden our business diversity and efficiently expand our customer base. Up to now, the Company has served 16 leading customers in the new energy industry and provided technical service support for various projects including major wind and solar power generation projects, driving the gradual low-carbon transition and green development of the electric energy system.

 

Environmental protection business: During the year, the environmental protection business continued to gain momentum, and the Company participated in many environmental protection facilities projects with a 100% one-time pass rate in expert assessment. During the year, we served as the total solution provider for a national-level, a municipal-level and two district-level industrial parks. The Company further strengthens its environmental protection service offerings through leakage detection and repair (“LDAR”) services. Through steady development, LDAR business network has been quickly established and recorded encouraging segment growth.

 

Climate change business: During the year, the Company secured nine new industry-leading customers, including leading state-owned enterprises in the oil and gas industry to provide them with technology consulting in methane emission reduction and control, actively assisting the low-carbon transition of enterprises in the oil and gas industry. The Company successfully supported industry-leading customers to achieve their corporate carbon neutrality targets through its one-stop comprehensive carbon neutrality solution, actively assisted customers to successfully complete the filing of international carbon reduction mechanism projects, assisting them to fully fulfill their corporate social responsibility and become industry leaders in terms of low-carbon and sustainable development. Additionally, the Company compiled the first “Global Voluntary Carbon Market Report (全球自願碳市場報告)” of the Group to better inform the public of the current development of the global voluntary carbon market, so as to encourage a more positive impact on the long-term sustainable development of the environment and society. Meanwhile, the Company also actively participated in the formulation of national and industrial standards related to greenhouse gas accounting for emission reduction in 2022, to fill the void and lead the innovation of the industry.

Mr. Yang Rongbing, executive director and vice chairman of China Leon Inspection Holding Limited stated that: The Company has been awarded “Asia’s 200 Best Under A Billion” by Forbes, the international renowned financial magazine, for two consecutive years. The Company is highly recognized by the market for its excellent governance and operational capabilities. By thoroughly implementing its long-term vision of sustainable development, the Group will further strengthen its strong brand advantage and solid operation capability, actively expand related business in the global TIC markets, leverage the unique advantages and enhance synergies, and further consolidate our leading position in niche markets.

 

 

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About China Leon Inspection Holding Limited

China Leon Inspection Holding Limited (stock code: 1586. HK) was listed on the Main Board of the Stock Exchange in 2016. The Company is China’s first international leading inspection and testing company listed in Hong Kong, focusing on integrated solutions for climate change and green and low-carbon sustainable development. The Company provides global industry leaders with a wide range of one-stop services in testing, inspection, as well as technical and consulting services around the clock, focusing on four key areas, namely commodities services, clean energy, environmental protection and climate change, empowering the industry to achieve eco-friendly and low-carbon transformation. It is the pioneer in the Chinese TIC listed companies to fast complete a global network expanding its presence from major trading ports and hub cities in the Asia Pacific region to emerging markets in South America and Africa serves, and comprises 63 branches and professional laboratories globally.

 

 

ESG-oriented development is a key priority for the Company’s ‘‘2+X’’ development Strategy. Through the three main implementation dimensions of (1) ESG-Friendly; (2) ESG+; and(3) ESG-Focused, we have achieved our ESG development strategies, fulfilled our corporate social responsibility, contributed to the green and low-carbon transformation of the industry and facilitated the achievement of the carbon neutrality goal of the society.