香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完整性亦不發表任何 聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 SINO ICT HOLDINGS LIMITED 芯 成 科 技 控 股 有 限 公 司 （於百慕達註冊成立的有限公司） （股份代號：00365） 截 至 二 零 二 二 年 十 二 月 三 十 一 日 止 年 度 的 全 年 業 績 公 告 全年業績 芯成科技控股有限公司（「本公司」）董事（「董事」）會（「董事會」）謹此公佈本公司及其附屬公司（統稱 「本集團」）截至二零二二年十二月三十一日止年度經審核的全年業績如下： 合併綜合收益表 截至二零二二年十二月三十一日止年度 二零二二年 二零二一年 十二月三十一日 十二月三十一日 附註 止年度 止年度 港幣千元 港幣千元 ...

Financial Performance - Revenue for the six months ended June 30, 2022, was HKD 143,749,000, a decrease of 26.7% compared to HKD 196,127,000 for the same period in 2021[5] - Gross profit for the same period was HKD 65,524,000, down 30.9% from HKD 95,058,000 year-on-year[5] - The net loss attributable to equity holders for the six months ended June 30, 2022, was HKD 1,862,000, compared to a profit of HKD 32,887,000 in the prior year[5] - Basic and diluted loss per share for the period was HKD (0.13), compared to earnings of HKD 2.26 per share in the previous year[5] - The total comprehensive loss for the period was HKD 8,359,000, which includes a loss of HKD 1,862,000 and a foreign currency translation loss of HKD 6,497,000[13] - The company reported a net cash outflow from operating activities of HKD 26,447,000 for the six months ended June 30, 2022, compared to a net inflow of HKD 257,142,000 in the same period of 2021[15] - The company recorded realized and unrealized gains from listed equity securities amounting to HKD 519,000 for the six months ended June 30, 2022, compared to HKD 14,038,000 in the same period of 2021[28] - The company recorded other income of HKD 1,195,000 for the six months ended June 30, 2022, down from HKD 3,607,000 for the same period in 2021, indicating a decline in additional income sources[36] - The company’s financial expenses, net, were approximately HKD 495,000, a decrease of about HKD 6,718,000 compared to the same period in 2021, primarily due to reduced interest expenses[125] Assets and Liabilities - Total assets as of June 30, 2022, were HKD 758,827,000, slightly down from HKD 759,615,000 as of December 31, 2021[10] - Current assets increased to HKD 598,370,000 from HKD 594,678,000, with cash and cash equivalents at HKD 269,603,000[10] - Total liabilities as of June 30, 2022, were HKD 418,597,000, compared to HKD 411,026,000 at the end of 2021[10] - The total equity as of June 30, 2022, was HKD 340,230,000, down from HKD 348,589,000 at the beginning of the year[13] - The company’s retained earnings as of June 30, 2022, were HKD 72,721,000, a slight decrease from HKD 74,583,000 at the beginning of the year[13] - The fair value of financial assets measured at fair value as of June 30, 2022, was HKD 5,275,000, with HKD 127,000 in listed securities and HKD 5,148,000 in unlisted securities[52] Market and Business Strategy - The company is focusing on expanding its market presence and developing new technologies to enhance its product offerings[6] - The company established a joint venture in the energy storage sector, aiming to develop and operate battery energy storage projects[67] - A joint venture was also formed to expand the bird radar business, focusing on localized research and application of bird monitoring and warning systems[68] - The company plans to develop independent energy storage stations in provinces such as Shanxi and participate in peak shaving and frequency regulation services for the grid[67] - The company aims to enhance its brand influence and competitiveness while actively developing energy storage and radar-related businesses to increase profitability[97] Operational Insights - The company did not declare or recommend any dividends for the six months ended June 30, 2022, consistent with the previous year[42] - The company’s average accounts receivable turnover days increased to approximately 185 days as of June 30, 2022, compared to 95 days at the end of 2021[131] - The company has actively managed its securities investments, realizing a total investment gain of approximately HKD 519,000 from its holdings in Gome Financial Technology (628.HK) and HKD 500,000 from its investment in Guodian Technology (1296.HK) prior to its privatization[118] Economic Outlook - The group anticipates an economic recovery in the second half of the year, supported by improvements in domestic pandemic control and a rebound in the manufacturing sector, as indicated by the purchasing managers' index returning above the critical point in June[99] - The company plans to enter the grid-side energy storage market, developing large-scale independent energy storage stations with fast frequency regulation and peak shaving capabilities[88] Compliance and Governance - The audit committee reviewed the interim results for the six months ended June 30, 2022, ensuring compliance with applicable accounting standards and regulations[156] - The board cautions investors that the unaudited interim financial performance and operational data for the six months ended June 30, 2022, are based on internal data and should be used with caution to avoid investment risks[163] - The group emphasizes ethical values and has established reporting procedures to prevent fraud and bribery[138] - The group has established a risk management framework to effectively manage credit risk, liquidity risk, foreign exchange risk, and price risk[140][141][144][145]

Financial Performance - For the year ended December 31, 2021, the total revenue of the group was approximately HKD 322,981,000, representing a 19% increase compared to the previous year[12]. - The overall gross profit was approximately HKD 141,829,000, which is a 5% increase year-on-year[12]. - Profit attributable to equity holders of the company was HKD 38,282,000, marking a significant growth of 95% compared to the previous year[12]. - The group's core business revenue for the year ended December 31, 2021, was approximately HKD 322.98 million, representing a year-on-year increase of about 19%[42]. - The overall gross profit for the company increased to approximately HKD 141.83 million, up about 5% year-on-year[42]. - The profit attributable to equity holders for the year significantly rose to approximately HKD 38.28 million[42]. - The company's operating revenue and securities investment income for 2021 was HKD 322,981,000, an increase of 19.4% from HKD 270,560,000 in 2020[142]. - Profit before tax for 2021 was HKD 46,416,000, up 83.8% from HKD 25,249,000 in 2020[142]. - Net profit attributable to equity holders for 2021 was HKD 38,282,000, representing a significant recovery from a loss of HKD 11,611,000 in 2019[142]. - Total assets increased to HKD 759,615,000 in 2021, compared to HKD 753,206,000 in 2020, reflecting a growth of 0.5%[142]. - Total liabilities decreased to HKD 411,026,000 in 2021 from HKD 443,992,000 in 2020, a reduction of 7.5%[142]. - The company's total equity increased to HKD 348,589,000 in 2021, up from HKD 309,214,000 in 2020, marking a growth of 12.7%[142]. Business Segments and Innovations - The SMT and semiconductor equipment manufacturing segment generated total revenue of approximately HKD 308,837,000, an increase of HKD 75,053,000, or 32% year-on-year[15]. - The gross margin for the SMT and semiconductor equipment manufacturing segment was approximately 41%, remaining stable compared to the previous year[15]. - The company has developed a high-precision die bonding machine, achieving positioning accuracy at the micron level, comparable to international advanced technology[16]. - The group successfully developed a "dual electromagnetic pump selective wave soldering" technology, which is energy-efficient and has high precision, marking a leading position in the industry[17]. - The group launched three new products during the year, including semiconductor chip bonding equipment, semiconductor packaging reflow soldering ovens, and modular intelligent multi-channel curing ovens, and obtained 13 patents[47]. - The company is actively enhancing its R&D efforts in the packaging field, particularly in IC bonding and FC flip chip equipment[15]. - The company aims to optimize IC bonding equipment from specialized to general-purpose types gradually[16]. Market Trends and Opportunities - The demand for automotive semiconductors is expected to increase, as electric vehicles use 2.9 times more semiconductor chips than traditional internal combustion engine vehicles[21]. - The Mini LED display market is expected to grow rapidly, enhancing the demand for high-precision soldering equipment[28]. - The global smartphone shipment reached 1.35 billion units, with a year-on-year growth rate of 7%[23]. - The semiconductor sales in 2021 reached $555.9 billion, a year-on-year increase of 26.2%, with China's market sales at $192.5 billion, growing by 27.1%[31]. - By 2030, non-fossil energy is projected to account for 25% of primary energy consumption in China, with wind and solar power capacity expected to reach 2.24 times that of 2020[33]. - The group anticipates a golden period of expansion in the energy storage industry, driven by national policies and the growing demand for renewable energy[19]. - The global energy storage annual demand is expected to reach 1.25 TWh by 2030, with a compound annual growth rate of about 30% from 2020 to 2030, indicating a new trillion RMB-level emerging market[34]. Strategic Initiatives - The company has established a joint venture in the renewable energy sector, focusing on the development and operation of energy storage stations[11]. - The group has established a joint venture in Zhuhai, focusing on energy storage projects, anticipating significant growth in the energy storage industry due to national policies and market mechanisms[19]. - The group plans to further develop other new energy storage projects and smart energy projects, leveraging policy benefits and operational advantages of joint ventures[37]. - The group aims to increase production efficiency and market share in the SMT and semiconductor equipment manufacturing sectors through continuous technological innovation[17]. - The management is exploring potential mergers and acquisitions to strengthen its competitive position in the market[144]. - The company plans to continue expanding its market presence and invest in new technologies to drive future growth[144]. Governance and Compliance - The board of directors did not recommend the payment of a final dividend for the year ended December 31, 2021[86]. - The company has established a board diversity policy since 2018, focusing on various aspects such as gender, age, and professional experience to enhance performance quality[105]. - All independent non-executive directors have confirmed their independence in accordance with the Main Board Listing Rules[104]. - The company provides ongoing training for directors to ensure compliance with legal and regulatory requirements, with satisfactory training records reported as of December 31, 2021[99]. - The company has established a three-tier risk management approach to identify, assess, and mitigate risks across its operations[123]. - The internal control system is based on COSO principles, ensuring compliance with laws and regulations, asset security, and the integrity of financial reporting[124]. - The board confirmed that the group has sufficient resources for ongoing operations, thus adopting the going concern basis for financial statements preparation[120]. - The company has complied with all relevant laws and regulations without any significant violations during the year[196]. Human Resources and Operations - The group employed approximately 313 full-time employees in mainland China and 21 staff in Hong Kong as of December 31, 2021[87]. - The company has established a liquidity risk management framework to meet short-term, medium-term, and long-term financing needs[80]. - The company has established a dedicated team to handle insider information and ensure compliance with relevant laws and regulations[127]. - The company encourages directors, especially non-executive and independent non-executive directors, to participate in various professional training activities to improve governance standards[99]. - The company secretary received over 15 hours of professional training to update skills and knowledge during the year[118]. Shareholder Information - As of December 31, 2021, the major shareholder, Xindin Limited, holds 987,176,230 shares, representing approximately 67.85% of the total equity[183]. - Chen Ping holds 100,000,000 shares, accounting for 6.87% of the total equity[183]. - Bi Tianfu owns 87,783,168 shares, which is 6.03% of the total equity[183]. - Da Guang International Limited holds 84,270,000 shares, representing 5.79% of the total equity[183]. - The company did not enter into any significant contracts with its controlling shareholders or their subsidiaries as of December 31, 2021[179]. - The company did not buy, redeem, or sell any of its listed securities during the year[187].

Financial Performance - Revenue for the six months ended June 30, 2021, was HKD 196,127,000, representing a 22.4% increase from HKD 160,211,000 for the same period in 2020[5] - Gross profit for the same period was HKD 95,058,000, up from HKD 84,208,000, indicating a gross margin improvement[5] - Operating profit decreased to HKD 44,990,000 from HKD 47,826,000, reflecting a decline of 3.8%[5] - Net profit attributable to equity holders for the period was HKD 32,887,000, compared to HKD 31,352,000 in the previous year, marking a 4.9% increase[5] - The total profit before tax for the group was HKD 37,777 thousand, compared to HKD 38,798 thousand in the same period last year, reflecting a slight decrease of about 2.6%[34] - The group’s overall gross profit and profit attributable to equity holders increased to approximately HKD 95,058,000 and HKD 32,887,000, respectively, with increases of approximately 12.88% and 4.90% year-on-year[74] Assets and Liabilities - Total assets as of June 30, 2021, amounted to HKD 1,046,528,000, a significant increase from HKD 753,206,000 at the end of 2020[9] - Total liabilities increased to HKD 704,348,000 from HKD 443,992,000, indicating a rise in financial obligations[9] - Cash and cash equivalents rose to HKD 351,309,000 from HKD 116,609,000, showing a substantial liquidity improvement[9] - Total accounts receivable decreased to HKD 84,841,000 from HKD 99,990,000, a decline of 15.2%[52] - Accounts payable increased to HKD 66,679,000 from HKD 48,181,000, an increase of 38.4%[53] - The capital-to-debt ratio was 27.51% as of June 30, 2021, indicating a stable financial position[94] Cash Flow - The net cash inflow from operating activities was HKD 257,142 thousand, while the net cash outflow from financing activities was HKD (151,209) thousand[20] - Total cash and cash equivalents increased by HKD 232,007 thousand, ending the period with HKD 351,309 thousand[20] - The company held cash and bank deposits of approximately HKD 351,309,000 as of June 30, 2021, an increase of approximately HKD 234,700,000 from the beginning of the period[95] Revenue Segments - Revenue from the industrial products segment was HKD 179,248 thousand, representing a significant increase from HKD 113,921 thousand in the same period last year, a growth of approximately 57.5%[34] - The SMT equipment manufacturing and related business segment generated revenue of approximately HKD 179,248,000, a year-on-year increase of 57.34%[64] - The revenue from SMT equipment manufacturing and related businesses was HKD 179,248,000, up from HKD 113,921,000 year-on-year[86] Expenses and Provisions - Administrative expenses totaled HKD 28,810 thousand, with HKD 14,853 thousand attributed to the unallocated items[34] - Bad debt provisions decreased to HKD 80,000 from HKD 467,000 year-over-year, representing an 82.9% reduction[39] - Financial expenses net amount improved to HKD (7,213,000) from HKD (9,028,000), a decrease of 20.1%[41] - Current tax expense for the period decreased to HKD 4,890,000 from HKD 7,446,000, a reduction of 34.4%[48] Corporate Strategy and Outlook - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[2] - The company continues to focus on SMT equipment manufacturing and securities investment as its primary business segments[24] - The group expects to maintain sufficient resources for ongoing operations in the foreseeable future, indicating a stable outlook[28] - The management maintains a cautiously optimistic outlook for the second half of 2021, anticipating further achievements in the SMT and semiconductor equipment manufacturing sectors[72] Research and Development - The company plans to continue investing in R&D for SMT and semiconductor equipment to enhance technological capabilities[65] - The group added 10 new patent authorizations during the reporting period, including 3 invention patents, 5 utility model patents, and 2 design patents[77] - The group actively participated in major industry exhibitions, such as SEMICON China 2021, to showcase its main products and new research and development equipment[78] Market Trends - The global semiconductor sales reached USD 43.61 billion in May 2021, with a year-on-year growth of 26.20%[69] - The Chinese semiconductor market recorded a growth rate of 26.10%, reflecting increasing domestic demand[69] - The Mini/MicroLED market is projected to exceed USD 1 billion by 2022, with an annual growth rate of over 145%[68] - The smart home market in China has surpassed RMB 100 billion, with a compound annual growth rate of 20% over the past four years[68] Shareholder Information - As of June 30, 2021, major shareholders include Xin Ding Limited with 987,176,230 shares (67.85%), Chen Ping with 100,000,000 shares (6.87%), and Bi Tianfu with 87,783,168 shares (6.03%)[114] - The company did not recommend any interim dividend for the six months ended June 30, 2021, compared to no dividend for the same period in 2020[121] Governance and Compliance - The company is committed to good corporate governance practices and has complied with the corporate governance code throughout the reporting period[118] - The audit committee has reviewed the interim results for the six months ended June 30, 2021, and confirmed compliance with applicable accounting standards and regulations[119] - The board believes that the group's credit risk has been significantly reduced through close monitoring and adequate impairment provisions[103] - The board has established a framework for managing liquidity risk to meet the group's short-term, medium-term, and long-term financing needs[104] - The board has confirmed that all directors have adhered to the trading code of conduct during the reporting period[122]

9 >>> E GUNEAST le SUNFLOW FS 0 containts K >>> 芯成科技 - SINO ICT - SINO ICT HOLDINGS LIMITED 芯成科技控股有限公司 ( 於百慕達註冊成立之有限公司) 股份代號: HK00365 2020 年 度 報 告 目錄 公司資料 1 主席報告 2 管理層討論及分析 7 企業管治報告 18 五年財務概要 32 董事簡介 33 董事會報告 37 環境、社會及管治報告 45 獨立核數師報告 64 合併綜合收益表 71 合併資產負債表 73 合併權益變動表 75 合併現金流量表 77 合併財務報表附註 78 公司資料 董事會 執行董事 香港九龍 尖沙咀 杜洋先生（主席） 袁以沛先生 非執行董事 主要往來銀行 李勇軍先生 李進先先生 獨立非執行董事 崔宇直先生 鮑毅先生 平凡先生 核數師 審核委員會 崔宇直先生（主席） 李進先先生 鮑毅先生 薪酬委員會 提名委員會 主要營業地點 夏源先生（行政總裁） 鮑毅先生（主席） 袁以沛先生 平凡先生 杜洋先生（主席） 崔宇直先生 平凡先生 公司秘書 劉維先生 註冊辦事處 Clarendon House ...

Financial Performance - Revenue for the six months ended June 30, 2020, was HKD 160,211,000, representing a 67.4% increase from HKD 95,777,000 in the same period of 2019[6] - Gross profit for the same period was HKD 84,208,000, up 138.2% from HKD 35,341,000 year-on-year[6] - Operating profit surged to HKD 47,826,000 compared to HKD 4,857,000 in the previous year, marking a significant increase[6] - Net profit attributable to equity holders for the period was HKD 31,352,000, a turnaround from a loss of HKD 4,118,000 in the prior year[6] - The group recorded a net loss of HKD 970,000 for the six months ended June 30, 2020, compared to a net profit of HKD 8,365,000 for the same period in 2019, highlighting a decline in overall profitability[29] - The profit attributable to equity holders for the period was approximately HKD 31,352,000, a significant improvement from a loss of HKD 4,118,000 in the same period last year[88] Assets and Equity - Total assets as of June 30, 2020, were HKD 714,706,000, slightly down from HKD 731,271,000 at the end of 2019[9] - Total equity increased to HKD 347,194,000 from HKD 314,769,000 at the end of 2019, reflecting a positive trend[9] - The group's net assets increased to approximately HKD 347,194,000 from HKD 314,769,000 as of December 31, 2019, primarily due to the profit for the period and foreign currency translation gains[97] Cash Flow and Liquidity - Cash and cash equivalents rose significantly to HKD 120,069,000 from HKD 43,408,000, indicating improved liquidity[9] - For the six months ended June 30, 2020, the group reported a net cash outflow from operating activities of HKD 59,483,000, compared to a net outflow of HKD 11,254,000 for the same period in 2019, indicating a significant increase in cash outflow[15] - Total cash and cash equivalents at the end of the period increased to HKD 120,069,000, up from HKD 50,234,000 at the end of June 30, 2019, reflecting a strong liquidity position[15] - Cash and bank deposits increased to approximately HKD 120,069,000 from HKD 43,408,000 at the beginning of the period, representing an increase of about HKD 76,661,000[93] Revenue Segments - The group generated segment revenue of HKD 113,921,000 from industrial products and HKD 46,018,000 from securities investment for the six months ended June 30, 2020, representing an increase of 22.8% and 1,786.5% respectively compared to the same period in 2019[29] - The pre-tax profit from the industrial products segment was HKD 9,617,000, while the securities investment segment reported a pre-tax profit of HKD 45,335,000, showing a substantial increase in profitability[29] - Revenue from SMT equipment manufacturing and related businesses rose by approximately 23% to about HKD 113,921,000, up from HKD 92,745,000 in the same period last year[70] Expenses and Costs - Administrative expenses for the group totaled HKD 27,208,000 for the six months ended June 30, 2020, compared to HKD 23,468,000 for the same period in 2019, indicating a rise in operational costs[29] - The company recognized a net financial expense of HKD 9,028,000 for the six months ended June 30, 2020, compared to HKD 8,571,000 for the same period in 2019, indicating an increase of approximately 5.3%[35] - The total income tax expense for the six months ended June 30, 2020, was HKD 7,446,000, a significant increase from HKD 404,000 in the same period of 2019[41] - Administrative expenses increased to approximately HKD 27,208,000, up by about HKD 3,740,000 due to the purchase of pandemic-related supplies[86] Corporate Governance and Compliance - The company has adopted the corporate governance code as per the listing rules and has complied with it during the six months ended June 30, 2020[115] - The audit committee reviewed the interim results for the six months ended June 30, 2020, and confirmed compliance with applicable accounting standards and regulations[116] - The board of directors confirmed adherence to the standard code of conduct for securities trading during the six months ended June 30, 2020[119] - The company emphasizes the importance of good corporate governance practices and has established an audit committee for financial reporting oversight[116] Future Outlook and Strategy - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[6] - The group aims to closely monitor market opportunities, particularly in the semiconductor sector, to enhance synergy with its existing SMT equipment manufacturing business[66] - The group plans to leverage opportunities in the electronic manufacturing industry driven by advancements in 5G and Mini LED technologies[73] - The group anticipates sufficient resources to continue operations in the foreseeable future, based on current financing levels and operational forecasts[22] Market and Industry Trends - The overall manufacturing PMI in the first half of 2020 decreased by 1 percentage point compared to the same period last year, indicating industry pressure[63] - As of June 30, 2020, the number of 5G package users reached 110 million, showing significant growth potential[63] - The group anticipates that the construction speed of 5G infrastructure will accelerate in the third quarter of 2020, with 257,000 new 5G base stations opened by the end of June[63]

Financial Performance - For the year ended December 31, 2019, the company's revenue was approximately HKD 201,163,000, representing a year-on-year increase of 181.53%[14] - The gross profit for the same period was approximately HKD 84,324,000, reflecting a year-on-year increase of 249.06%[14] - The overall operating loss significantly decreased to approximately HKD 13,355,000, a reduction of about 90.07% compared to the previous year[14] - The company's consolidated net loss for the year was approximately HKD 13,355,000, a significant reduction of about 90.07% compared to the previous year[24] - The group reported a net loss attributable to equity holders of approximately HKD 13,573,000, a significant reduction of about 88.96% compared to a loss of HKD 122,919,000 in the previous year[47] - For the fiscal year ending December 31, 2019, the company reported a loss of HKD 13,573,000 compared to a loss of HKD 122,919,000 in the previous year, indicating a significant improvement[117] - The total revenue for the fiscal year was HKD 201,163,000, which represents an increase from HKD 71,453,000 in the previous year[117] - The total assets of the company as of December 31, 2019, amounted to HKD 731,271,000, up from HKD 671,247,000 in 2018[117] - The total liabilities increased to HKD 416,502,000 from HKD 343,123,000 in the previous year, reflecting a rise in financial obligations[117] - The company reported a pre-tax loss of HKD 9,505,000 for the year, an improvement from a pre-tax loss of HKD 144,851,000 in the previous year[117] Business Segments - The SMT equipment manufacturing and related business segment revenue slightly decreased by 0.73% to approximately HKD 180,170,000, while the segment's gross margin increased to 35%[14] - The securities investment segment recorded a revenue of approximately HKD 20,234,000 during the year, benefiting from improved market conditions[15] - The securities investment segment recorded a profit of approximately HKD 20,234,000, a substantial turnaround from a loss of HKD 112,682,000 in the prior year[33] - The SMT equipment manufacturing segment recorded sales revenue of approximately HKD 180,170,000, a slight decrease of 0.73% from approximately HKD 181,497,000 in the previous year[25] Shareholder and Corporate Structure - The company became a subsidiary of Chip Ding Limited, which holds a 67.847% stake following a share purchase agreement completed on November 4, 2019[15] - As of December 31, 2019, the largest shareholder, Xindeng Limited, held 987,176,230 shares, representing 67.85% of total equity[156] - Chen Ping held 100,000,000 shares, accounting for 6.87% of total equity[156] - The company did not engage in any non-exempt related party transactions during the fiscal year ending December 31, 2019[148] - There were no significant contracts established with the controlling shareholder or its subsidiaries as of December 31, 2019[152] Strategic Initiatives - The company aims to leverage the new shareholder's resources in the semiconductor industry to enhance internal resource alignment and create synergies[15] - The company plans to expand into the semiconductor intelligent equipment sector, aiming to become a comprehensive service provider in SMT and semiconductor intelligent equipment[11] - The group aims to expand its business into semiconductor equipment manufacturing, positioning itself as a leading comprehensive semiconductor intelligent equipment service platform[32] - The company aims to strengthen its competitive edge in the semiconductor industry through independent research and development and capital operations[22] Risk Management and Governance - The group has established a liquidity risk management framework to meet short-term, medium-term, and long-term financing needs, effectively managing liquidity risk[62] - The group faces various financial risks, including credit risk, liquidity risk, foreign exchange risk, and price risk, with measures in place to mitigate these risks[60] - The group has not utilized any financial instruments for hedging purposes during the year, but will continue to monitor foreign exchange volatility risks closely[65] - The company is committed to good corporate governance practices, ensuring compliance with applicable codes and standards[69] - The board consists of eight directors, including three executive directors, two non-executive directors, and three independent non-executive directors, ensuring that more than one-third of the board is independent[73] - The company has implemented a three-tier risk management approach to identify, assess, mitigate, and respond to risks across the group[104] - The board confirmed that the risk management and internal control systems are effective and adequately resourced[110] Environmental and Social Responsibility - The company has maintained compliance with all relevant environmental laws and regulations throughout the reporting period[170] - The company adheres to a "green and low-carbon" philosophy, ensuring that its operations have no significant direct impact on the environment and natural resources[189] - The total greenhouse gas emissions from the facility were 8.71 tons, a significant decrease of 52.20% compared to the previous year[183] - The company generated approximately 20 tons of non-hazardous waste, a year-on-year decrease of about 5.00%[187] - The company has established a comprehensive management mechanism for supplier selection and evaluation, ensuring fair procurement processes and compliance with environmental standards[198] Employee Relations and Training - The company conducted 26 internal training sessions in 2019, covering various management and practical courses, with a total of 813 participants[196] - The company provides various benefits to employees, including holiday and birthday bonuses, as well as subsidies for meals, transportation, and communication[191] - The company has implemented a flexible compensation system that considers employee qualifications, abilities, market salary levels, and corporate profitability[192] - The company has established safety management systems and emergency plans to ensure a safe and comfortable working environment for employees[195]

Financial Performance - Revenue for the six months ended June 30, 2019, was HKD 95,777,000, a significant increase from HKD 30,549,000 for the same period in 2018, representing a growth of 213%[6] - Gross profit for the same period was HKD 35,341,000, compared to a gross loss of HKD 42,268,000 in 2018, indicating a turnaround in profitability[6] - Operating profit for the six months ended June 30, 2019, was HKD 4,857,000, a substantial improvement from an operating loss of HKD 89,023,000 in the previous year[6] - The company reported a net loss attributable to equity holders of HKD 4,118,000, a significant reduction from a loss of HKD 77,437,000 in the same period of 2018[6] - The basic and diluted loss per share for the period was HKD 0.28, a significant improvement from HKD 5.32 in the same period of the previous year[6] - The company reported a net loss of HKD 4,118,000 for the six months ended June 30, 2019, compared to a net loss of HKD 77,437,000 for the same period in 2018[14] - The company reported a pre-tax loss of HKD 3,714,000 for the six months ended June 30, 2019, compared to a loss of HKD 89,879,000 in the same period of 2018, showing a substantial improvement[29] - The company recognized interest expenses of HKD 5,537,000 related to convertible bonds for the six months ended June 30, 2019[40] - The total tax expense for the period was HKD 404,000, a slight increase from HKD 374,000 in the previous year[45] Assets and Liabilities - Total assets as of June 30, 2019, amounted to HKD 699,051,000, an increase from HKD 671,247,000 as of December 31, 2018[9] - Non-current assets were valued at HKD 408,485,000, slightly up from HKD 405,034,000 at the end of 2018[9] - Current assets totaled HKD 290,566,000, compared to HKD 266,213,000 at the end of the previous year, reflecting a growth of 9.2%[9] - Total liabilities increased to HKD 375,209,000 from HKD 343,123,000, indicating a rise in financial obligations[11] - The company’s cash and cash equivalents were HKD 50,234,000, up from HKD 43,305,000, showing improved liquidity[9] - As of June 30, 2019, the total equity was HKD 323,842,000, a decrease from HKD 328,124,000 at the beginning of the year[14] - The company’s accumulated losses increased to HKD 590,874,000 as of June 30, 2019, from HKD 586,756,000 at the beginning of the year[14] - The company’s current liabilities include bank loans of HKD 91,000,000 due within one year, up from HKD 68,478,000 in the previous period[57] Cash Flow - The cash flow from operating activities showed a net outflow of HKD 11,254,000 for the six months ended June 30, 2019, compared to a net inflow of HKD 985,000 in the previous year[16] - The total cash and cash equivalents at the end of the period were HKD 50,234,000, significantly lower than HKD 296,288,000 at the end of the previous year[16] - The company’s investment activities resulted in a net cash outflow of HKD 1,723,000 for the six months ended June 30, 2019[16] - The financing activities generated a net cash inflow of HKD 19,971,000 during the same period[16] Operational Highlights - The industrial products segment generated revenue of HKD 92,745,000, down from HKD 104,742,000, reflecting a decline of 11.5% year-over-year[29] - The gross margin for the SMT equipment manufacturing segment increased from 31% in the previous year to 35% during the reporting period[73] - Revenue from the SMT equipment manufacturing segment was approximately HKD 92,745,000, a slight decrease from HKD 104,742,000 in the same period last year[73] - The group launched several new intelligent and high-precision equipment, including a selective wave soldering machine with intelligent recognition capabilities and a new reflow soldering machine that can monitor temperature curves in real-time[86] Market Outlook - The expected compound annual growth rate for 5G smartphone shipments is projected to be 201%, increasing from 2 million units in 2019 to 1.5 billion units by 2025[76] - The global automotive market is expected to reach a scale of RMB 1 trillion by 2020[76] - The market for wearable devices, such as smart glasses and smartwatches, saw a shipment volume of 19.5 million units in Q1 2019, representing a year-on-year growth of 34.7%[76] - The management believes that despite current macroeconomic challenges, the underlying demand in downstream industries remains strong, particularly in sectors like 5G and automotive electronics[89] Corporate Governance - The company has established an audit committee to review and monitor financial reporting processes and internal controls[135] - The company has adopted the corporate governance code as per the listing rules and has complied with it during the reporting period[133] - The board emphasizes the importance of good corporate governance practices and regularly reviews compliance with the code[133] - The company warns investors about the risks associated with reliance on unaudited interim financial results and operational data[143] Employee and Shareholder Information - The group employed approximately 333 full-time employees in mainland China and 17 staff in Hong Kong as of June 30, 2019, continuing to provide regular training and employee benefits[112] - Major shareholder Unisplendour Technology Investment Co., Ltd. holds 986,829,420 shares, representing approximately 67.82% of total equity[128] - Chen Ping holds 100,000,000 shares, accounting for 6.87% of total equity[128] - Da Guang holds 93,152,000 shares, which is 6.40% of total equity[128] - Bi Tianfu has an interest in 87,783,168 shares, representing 6.03% of total equity[128] - The company did not declare an interim dividend for the six months ended June 30, 2019, consistent with the previous period[137]

Financial Performance - The total revenue for the year ended December 31, 2018, was approximately HKD 71,453,000, a significant decrease from HKD 253,028,000 in the previous year, representing a decline of about 71.8%[37] - The group reported a net loss attributable to equity holders of approximately HKD 122,919,000 for the year, compared to a profit of HKD 51,569,000 in the previous year[44] - The loss before tax for the year was HKD (144,851,000), compared to a profit of HKD 57,925,000 in the previous year[120] - The total assets of the company as of December 31, 2018, were HKD 671,247,000, down from HKD 771,732,000 in 2017[121] - The total liabilities increased to HKD 343,123,000 from HKD 309,151,000 in 2017[121] - The company does not recommend the distribution of any dividends for the year[136] Business Operations - The company's self-produced SMT equipment business revenue increased by 34% year-on-year, with an overall gross margin rising to 30%[13] - The SMT equipment manufacturing segment recorded sales revenue of approximately HKD 181.5 million, a significant increase of 34% compared to approximately HKD 135.7 million in the previous year[22] - The gross profit margin for the SMT equipment manufacturing and related business segment improved from 14% in the previous year to 30%[22] - The company has focused on developing its own brand and aims to become a leading supplier of SMT intelligent equipment globally[13] - The company has streamlined its operations by divesting lower profit margin agency businesses to concentrate resources on self-produced SMT equipment[13] - The company plans to continue focusing on the development of SMT equipment and enhancing its independent research and development capabilities in 2019[20] Research and Development - The company launched several new energy-efficient devices, including high-end reflow ovens and fully automatic printers, and obtained 16 new patents, bringing the total to 60 patents[13] - The company is committed to strengthening its research and development capabilities as the foundation for brand development[13] - The company actively participated in major industry exhibitions to promote its self-developed products and enhance brand recognition[26] - The company’s new SMT equipment includes advanced models such as UXT high-end reflow soldering and nitrogen reflow soldering, which have received market recognition[25] Financial Investments - The securities investment segment recorded a loss of approximately HKD 112.68 million due to a weak market environment influenced by various factors, including international business conditions and interest rate hikes[14] - The company anticipates that the financial market will gradually improve, which will positively impact the performance of its investment portfolio[14] - The financial investment segment recorded a loss of approximately HKD 112,682,000 for the year, primarily due to the global economic downturn[30] Corporate Governance - The board consists of eight directors, including three executive directors, two non-executive directors, and three independent non-executive directors, ensuring compliance with independence requirements[69] - The company has established a nomination committee to review the board structure and recommend suitable candidates for directorship, holding two meetings in the fiscal year ending December 31, 2018[79] - The remuneration committee reviewed the company's remuneration policy and provided recommendations for executive directors' compensation, holding one meeting during the fiscal year[89] - The audit committee conducted three meetings in the fiscal year, reviewing the financial reporting system and external auditor's remuneration[91] - The company has implemented a policy for evaluating the independence of non-executive directors[79] - The company has made recommendations for the reappointment of directors based on their contributions and independence[79] Risk Management - The company has established a risk management system that includes a three-tier approach to identify, assess, and mitigate risks across the group[103] - The board is responsible for ensuring the effectiveness of the risk management and internal control systems and has implemented corrective measures for identified deficiencies[106] - The group faced various financial risks, including credit risk, liquidity risk, foreign exchange risk, and price risk, with measures in place to mitigate these risks[57] Environmental Responsibility - The company reported a total nitrogen oxides (NOx) emission of approximately 4.32 kg, a decrease of about 33% compared to the previous year[190] - The total greenhouse gas emissions directly emitted by the company were approximately 18.22 tons, with carbon dioxide (CO2) emissions accounting for about 15.88 tons[191] - The company reduced its electricity consumption to 1,318,545 kWh, a decrease of approximately 19% from 1,624,305 kWh in the previous year[194] - The company generated approximately 21 tons of non-hazardous waste, a reduction of about 56% from 48.15 tons in the previous year[193] - The company strictly adhered to environmental laws and regulations, ensuring compliance in its production and operational processes[190] Employee Relations - The company implements a fair treatment policy in employee hiring, assessment, training, and promotion, ensuring equal opportunities regardless of age, gender, race, marital status, religion, nationality, disability, sexual orientation, or political background[200] - The company has a flexible compensation system that considers employee qualifications, abilities, market wage levels, and corporate profitability, with no violations of local government policies regarding employee salaries during the review period[200] - The company prohibits the use of child labor and forced labor in any workplace[200] - During the review period, the company introduced various employee cultural activities, including online and offline holiday care events and interactive parent-child activities[200] Shareholder Engagement - The company has a structured process for shareholders to request a special general meeting, requiring at least 10% of registered shareholders to submit a written request[109] - Shareholders can submit inquiries to the board through the company secretary at any time[115] - The company has a structured process for shareholders to propose candidates for the board of directors[113] - The company maintains a commitment to corporate governance and shareholder rights[115]