INNOVATIVE PHARMACEUTICAL BIOTECH LIMITED 領航醫藥及生物科技有限公 司 非執行董事 蔣年女士 （主席） 獨立非執行董事 陳偉君女士 王榮樑先生 陳金中先生 董事會設立三個委員會，包括審核委員會、薪酬委員會以及提名委員會。下表 提供各董事會成員於這些委員會所擔任的職位： （於開曼群島註冊成立並於百慕達存續之有限公 司） （股份代 號：399） 董事名單與其角色及職能 領航醫藥及生物科技有限公司（「本公司」）董事會（「董事會」）成員載列如下：— 執行董事 高源興先生 唐榕先生 鄭德耀先生 李杰鴻先生 齊淑娟女士 香港，二零二五年二月十一日 請同時參閱本公告於本公司網站www.ipb.asia及www.irasia.com/listco/hk/ipb刊 載 之內容。 | 委員會 | 董事 | 審計委員會 | 薪酬委員會 | 提名委員會 | | --- | --- | --- | --- | --- | | 陳偉君女士 | | 主席 | | | | 王榮樑先生 | | 委員 | 主席 | 委員 | | 陳金中先生 | | 委員 | 委員 | 委員 | | 蔣年女士 | | | ...

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。 非執行董事辭任 及 INNOVATIVE PHARMACEUTICAL BIOTECH LIMITED 領航醫藥及生物科技有限公 司 （於開曼群島註冊成立並於百慕達存續之有限公 司） （股份代 號：399） 鄔女士及肖女士已各自確認，彼與董事會並無意見分歧，亦無有關彼等各自辭 任之任何事宜須提請本公司股東或香港聯合交易所有限公司（「聯交所」）垂注。 – 1 – (i) 鄔燕敏女士已辭任非執行董事； (ii) 肖焱女士已辭任非執行董事； (iii) 李杰鴻先生已獲委任為執行董事； (iv) 齊淑娟女士已獲委任為執行董事。 董事會謹此衷心感謝鄔女士及肖女士於任期內對本公司作出的寶貴貢獻。 委任執行董事 董事會欣然宣佈，李杰鴻先生（「李先生」）及齊淑娟女士（「齊女士」）已各自獲 委任為執行董事，自二零二五年二月十一日起生效。李先生及齊女士的履歷詳 情載列如下： 委任執行董事 董事會宣佈，自二零二五年二月十一日 ...

Financial Performance - For the six months ended September 30, 2024, the profit attributable to owners of the Company was HK$101,741,000, a decrease of 47.5% compared to HK$193,688,000 for the same period in 2023[13]. - Total comprehensive income for the period was HK$100,994,000, down from HK$192,526,000 in the previous year, reflecting a significant decline[27]. - Basic earnings per share decreased to HK$5.87 from HK$13.23, indicating a drop of 55.7% year-over-year[28]. - The Group's total comprehensive expense for the period was HK$193,688,000[90]. - The Group's revenue for the Financial Period was approximately HK$3.0 million, a decrease of approximately 18.9% compared to HK$3.7 million in the Previous Financial Period[160]. - Profit attributable to the owners of the Company for the Financial Period was approximately HK$101.7 million, down from HK$193.7 million in the Previous Financial Period[175]. Assets and Liabilities - As of September 30, 2024, net assets increased to HK$471,248,000 from HK$319,431,000 as of March 31, 2024, representing a growth of 47.5%[17]. - Current assets as of September 30, 2024, included trade receivables of HK$3,372,000, down from HK$4,905,000, indicating a decrease of 31.2%[29]. - The Company reported non-current liabilities of HK$55,618,000, a decrease from HK$671,991,000, showing a significant reduction in financial obligations[17]. - The Company’s total equity attributable to owners was HK$458,920,000, compared to HK$930,168,000 in the previous period, reflecting a decrease of 50.7%[17]. - The accumulated losses of the Group amounted to HK$801,457,000 as of 30 September 2024[101]. - The Group's total equity as of 30 September 2024 was HK$1,119,294,000[99]. - The Group has outstanding loans from a substantial shareholder and a former associate totaling approximately HK$25,487,000, which are due for repayment within the next 12 months[124]. - As of 30 September 2024, the Group has net current liabilities of approximately HK$846,358,000, including outstanding convertible bonds of HK$768,471,000 maturing in July 2025[107]. - The Group's current liabilities as of September 30, 2024, amounted to approximately HK$846,358,000, which includes convertible bonds of HK$768,471,000 due in July 2025[124]. Clinical Trials and Product Development - The management is working on a Clinical Trial for an oral insulin product, expected to launch in Q1 2026, with no negative feedback reported so far[111]. - The Group is currently in the third phase of clinical trials for its oral insulin product, with commercialization expected to generate future cash flows contingent on successful trial outcomes and necessary regulatory approvals[142]. - Approximately 480 patients have been enrolled in the Clinical Trial, which commenced in July 2020, and patient recruitment will continue[180]. - The oral insulin product is expected to be launched in the market by the first quarter of 2026, with significant demand anticipated due to the growing diabetic population in the PRC[166]. - The product will be the first oral insulin drug available in the market and is expected to be protected for 5 years under current PRC regulations[166]. - The in-process research and development project for the oral insulin product has a carrying value of HK$1,373 million recorded as an intangible asset[176]. - The Group will inject additional resources into the clinical trial of the oral insulin product to facilitate its development[161]. - The management performed an impairment assessment of intangible assets, concluding that the recoverable amount exceeds the carrying value, thus no impairment is necessary[181]. - The Company is focused on ensuring that its in-process R&D aligns with its commercialization schedule[185]. - The Company has established a project team to oversee the development and commercialization of new products[185]. Financing and Support - The Company has received financial support from a substantial shareholder, who will not demand repayment of approximately HK$6,800,000 for at least 12 months[111]. - The management is actively seeking other financing and borrowing opportunities[111]. - A shareholders' loan agreement was entered into for a total sum of HK$20 million to support the operation of the Clinical Trials[183]. - The subscription price for the convertible bonds will be offset against the outstanding shareholder's loans of HK$55,500,000[190]. - The Group's cash flow from financing activities showed a net decrease of HK$2,630,000 for the six months ended September 30, 2024, compared to a decrease of HK$511,000 in the previous period[140]. Compliance and Governance - The Company has maintained compliance with the Model Code for Securities Transactions by Directors throughout the financial period[2]. - The Group's financial statements have been prepared on a going concern basis, with significant uncertainties regarding the ability to generate cash flows from the successful completion of clinical trials[128]. - The application of new and amended HKFRSs in the current period has had no material impact on the interim condensed consolidated financial information[134]. - The Group has not early adopted any new and revised HKFRSs that have been issued but are not yet effective[134]. Market and Business Conditions - The decrease in revenue was mainly due to unfavorable business conditions affecting the trading of beauty equipment and products segment[160]. - The Group has two reportable segments: trading of beauty equipment and products in Hong Kong, and research and development and commercialization of products[132]. - The Group's major trading products are beauty equipment and beauty products, which represent the primary source of revenue[184]. - There were no significant market expansions or acquisitions reported in the latest financial results[1]. - The Company has not disclosed any new product launches or technological advancements during this reporting period[1]. Convertible Bonds - On July 27, 2023, the Company conditionally agreed to issue convertible bonds amounting to HK$55,500,000, with a conversion price set at HK$0.211 per share[186]. - As of August 15, 2023, the total outstanding convertible bonds amounted to HK$359,600,000, with amendments to certain terms and conditions agreed upon[195]. - The amendment to the convertible bonds was approved on May 24, 2024, and completed on June 21, 2024[200]. - The conversion price for certain convertible bonds due in October and December 2023 was amended from HK$0.40 to HK$0.202[198]. - The maturity date for some convertible bonds due in December 2024 and April 2025 will not be extended[198]. - The Group's cash and cash equivalents at the end of the period were affected by foreign exchange rate changes, resulting in an increase of HK$3,075,000[140].

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。 INNOVATIVE PHARMACEUTICAL BIOTECH LIMITED 領航醫藥及生物科技有限公 司 （於開曼群島註冊成立並於百慕達存續之有限公 司） （股份代 號：399） 自願公告 有關可能投資事項 之主要條款書 本公告乃由本公司自願作出。 董事會欣然宣佈，於二零二四年十二月十日，本公司與投資人訂立主要條 款書，據此，投資人建議透過本公司將予委任的證券公司以先舊後新配售及╱ 或新股份配售方式收購本公司若干佔比的股份。 根據主要條款書進行可能投資事項須待簽立正式協議後方告落實。本公司 將於訂立正式協議時另行刊發公告。 可能投資事項須待簽立正式協議後方告落實。因此，可能投資事項可能或 未必會進行。本公司將根據上市規則適時刊發公告。股東及本公司有意投 資者於買賣本公司股份時務請審慎行事。 – 1 – 緒言 董事會欣然宣佈，於二零二四年十二月十日，本公司與投資人訂立主要條款書， 據此，投資人建議 ...

Financial Performance - Revenue for the six months ended September 30, 2024, was HKD 3,029,000, compared to HKD 3,727,000 for the same period in 2023, representing a decrease of approximately 18.8%[2] - Gross profit for the same period was HKD 307,000, down from HKD 380,000 in 2023, indicating a decline of about 19.2%[2] - The company reported a profit before tax of HKD 100,966,000, a decrease of 47.6% from HKD 192,577,000 in the previous year[5] - The total comprehensive income for the period was HKD 100,994,000, compared to HKD 192,526,000 in the previous year, reflecting a decline of approximately 47.7%[5] - Basic earnings per share decreased to HKD 5.87 from HKD 13.23, a drop of about 55.7%[5] - The after-tax segment profit from the beauty equipment and product trading division was HKD 281,000, down from HKD 359,000 in the previous year, while the R&D division reported a loss of HKD 1,301,000 compared to a loss of HKD 2,552,000 in 2023[24] - The total comprehensive profit for the period was HKD 100,966,000, a decrease from HKD 192,577,000 in the same period last year[24] - Basic earnings attributable to the company's owners for the six months ended September 30, 2024, were HKD 101,741,000, compared to HKD 193,688,000 in 2023[30] - The company incurred financial expenses of HKD 116,240,000, a decrease from HKD 131,478,000 in the previous year[26] - The company reported a loss per share of HKD 6,790 for the six months ended September 30, 2024, compared to a loss of HKD 42,320 in the previous year[30] - The profit attributable to the company's owners was approximately HKD 101,700,000, down from HKD 193,700,000 in the previous fiscal period, primarily due to non-cash items related to convertible bonds[71] Assets and Liabilities - As of September 30, 2024, the net current liabilities amounted to HKD 846,358,000, including convertible bonds of HKD 768,471,000 due in July 2025[12] - The total assets less current liabilities were reported at HKD 526,866,000 as of September 30, 2024[7] - As of September 30, 2024, trade receivables amounted to HKD 3,372,000, a decrease from HKD 4,905,000 as of March 31, 2024[36] - Trade payables as of September 30, 2024, totaled HKD 2,388,000, an increase from HKD 1,853,000 as of March 31, 2024[37] - The company has issued convertible bonds with a total principal amount of HKD 768,471,000 as of September 30, 2024, compared to HKD 911,150,000 as of March 31, 2024[39] - The fair value of the equity component of the convertible bonds issued in 2013 was HKD 671,267,000[45] - The company has converted HKD 20,000,000 of the convertible bonds into 99,009,900 shares as of September 10, 2024[46] - The aging analysis of trade receivables shows that over 90 days receivables decreased from HKD 3,223,000 to HKD 2,279,000[36] - The company has a credit period of 90 days for trade receivables granted to customers[36] - The company's current assets to current liabilities ratio was 0.007 as of September 30, 2024, compared to 0.03 as of March 31, 2024, indicating a decline in liquidity[89] - The capital debt ratio as of September 30, 2024, was 0.66, down from 0.77 as of March 31, 2024, based on total liabilities of approximately HKD 907.6 million and total assets of approximately HKD 1,378.9 million[89] Research and Development - The company is currently developing an oral insulin product, which is in Phase III clinical trials, with commercialization expected in Q1 2026[12] - The company is engaged in the R&D of an oral insulin product, with a collaboration agreement with Tsinghua University extended until June 30, 2027[33] - Approximately 480 patients have been recruited for clinical trials, with expectations for the product to be launched in the first quarter of 2026[75] - The company anticipates that the oral insulin product will generate stable revenue and profit due to increasing demand from diabetes patients in China and being the first oral insulin product on the market[75] - The company entered into a shareholder loan agreement to provide a total of HKD 20,000,000 to support clinical trial operations[76] - The company believes there is no need to recognize impairment for the R&D process based on recoverable amount estimates[35] - The cash flow forecast for the R&D process assumes a discount rate of 1.5% and a 10-year economic benefit period[33] - The company is currently conducting R&D on an oral insulin product, with an intangible asset value of HKD 1,373,000,000 recorded on the balance sheet[73] Financing and Support - The company has received written confirmations from major shareholders and affiliates regarding financial support for upcoming obligations[14] - The company is exploring additional financing and borrowing opportunities to support its operations[16] - The company has issued convertible bonds with a principal amount of HKD 55,500,000, with a zero percent interest rate and a maturity date ten years from the issuance date[80] - As of August 15, 2023, the total principal amount of outstanding convertible bonds was HKD 359,600,000, with amendments made to extend the maturity date to twenty years from the issuance date[82] - As of September 30, 2024, the company's total borrowings amounted to approximately HKD 895.3 million, down from approximately HKD 1,054.2 million as of March 31, 2024, reflecting a reduction in debt levels[87] - The company has not pledged any assets as of September 30, 2024, maintaining a position of no asset encumbrance[92] - The company has not utilized any financial instruments to hedge foreign exchange risks during the fiscal period, maintaining a cautious strategy[93] Dividend Policy - The company did not declare or propose any dividends during the interim period, consistent with the previous year[28] - The company has not established a dividend policy, considering its financial condition and market conditions for future development[100] Business Environment and Strategy - Management expects the current business environment for beauty equipment and products to improve and plans to diversify the product range for higher profit margins[78] - Revenue from the beauty equipment and product trading segment was approximately HKD 3,000,000, reflecting an 18.9% decrease from the previous period's revenue of approximately HKD 3,700,000, attributed to an unfavorable business environment[72] - The company has not purchased or sold any property, plant, and equipment during the six months ended September 30, 2024[32]

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。 INNOVATIVE PHARMACEUTICAL BIOTECH LIMITED 領航醫藥及生物科技有限公司 （於開曼群島註冊成立並於百慕達存續之有限公司） （股份代號：399） 董事會會議通告 領航醫藥及生物科技有限公司（「本公司」）董事會（「董事會」）謹此公佈，董事會會議將 於二零二四年十一月二十九日星期五舉行，以考慮及批准（其中包括）本公司及其附屬公司 截至二零二四年九月三十日止六個月之綜合中期業績。 承董事會命 領航醫藥及生物科技有限公司 執行董事 唐榕 香港，二零二四年十一月十四日 於本公告日期，董事會包括蔣年女士（主席兼非執行董事）、高源興先生（執行董事）、唐榕先 生（執行董事）、鄭德耀先生（執行董事）、肖焱女士（非執行董事）、鄔燕敏女士（非執 行董事）、陳偉君女士（獨立非執行董事）、王榮樑先生（獨立非執行董事）及陳金中先 生（獨立非執行董事）。 ...

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。 INNOVATIVE PHARMACEUTICAL BIOTECH LIMITED 領航醫藥及生物科技有限公 司 （於開曼群島註冊成立並於百慕達存續之有限公 司） （股份代 號：399） 自願公告 有關潛在投資的 本公告乃由本公司自願作出。 董事會欣然宣佈，於二零二四年十一月十二日（聯交所交易時段後），本公司 作為投資者已與目標訂立諒解備忘錄，表明本公司有意就有關目標的大多數 股權的潛在投資對目標進行投資。 目標為一間於美國德拉瓦州註冊成立的有限公司，主要從事(a)開發人工智能 驅動的虛擬健康平台SyncWell；(b)開發腦神經技術服務平台DeepSynaps；(c) 於運動服融入光生物調節技術；及(d)開發整合先進技術的電腦晶片。 潛在投資須待本公司與目標訂立正式協議後方可作實。因此，潛在投資可能 或未必會進行。本公司將根據上市規則適時刊發公告。股東及本公司潛在投 資者於買賣本公司股份時務請審慎行事 ...

Financial Performance - The Group's revenue decreased to approximately HK$6.6 million for the Financial Year, down from approximately HK$8.1 million in the Previous Financial Year, reflecting a decline of about 18.5%[12] - Profit attributable to the owners of the Company for the Financial Year was approximately HK$103.4 million, compared to a loss of approximately HK$245.7 million in the Previous Financial Year, marking a significant turnaround[12] - The gain on modification of convertible bonds amounted to HK$330.2 million, contributing to the profit for the Financial Year[12] - Profit before income tax for 2024 is HK$98,707,000, a significant improvement from a loss of HK$254,671,000 in 2023[47] - The tax expense calculated at the domestic income tax rate of 16.5% for 2024 is HK$16,287,000, compared to a tax loss of HK$42,021,000 in 2023[47] - The profit attributable to owners of the Company for the year 2024 is HK$103,403,000, compared to a loss of HK$245,698,000 in 2023, representing a significant turnaround[106] Product Development - The launch of the oral insulin product has been postponed to the first quarter of 2026 due to delays in sample drug production[12] - The Group expects to obtain regulatory approvals and launch the product in Q1 2026, assuming no unforeseen circumstances[33] - The Group aims to commercialize the Product by the first quarter of 2026, with close collaboration with the CRO and strengthened project team oversight[98] - Clinical Trial testing for the Product commenced in July 2020, with improvements noted in the progress since the last annual report[97] - The Group's research and development efforts are focused on a product expected to be the first commercially available oral insulin, with a ten-year cash flow forecast period[141] Financial Position - Total borrowings of the Group as at 31 March 2024 were approximately HK$1,054.2 million, down from approximately HK$1,236.5 million as at 31 March 2023[76] - The Group's current assets to current liabilities ratio improved to 0.03 as at 31 March 2024 from 0.01 as at 31 March 2023[77] - The gearing ratio decreased to 0.77 as at 31 March 2024 from 0.90 as at 31 March 2023, based on total liabilities of approximately HK$1,063.6 million and total assets of approximately HK$1,383.0 million[77] - As of March 31, 2024, the Group's bank and cash balances were approximately HK$3.1 million, an increase from approximately HK$1.3 million as of March 31, 2023[143] Taxation - No Hong Kong Profits Tax and PRC Enterprise Income Tax were incurred for the year ended March 31, 2024[72] - The tax effect of income not taxable for tax purposes in 2024 is HK$54,500,000, compared to HK$30,000 in 2023[47] - Current and deferred tax are recognized in profit or loss, except when related to items recognized in other comprehensive income or directly in equity[29] - The Group did not recognize any deferred tax asset related to tax losses due to the unpredictability of future profit streams[155] Employee Compensation - Total remuneration for directors for the year ended 31 March 2024 was HK$2,378,000, an increase from HK$2,288,000 for the year ended 31 March 2023[51] - Total staff costs, including Directors' remuneration, amounted to approximately HK$6.1 million for the Financial Year, down from approximately HK$6.3 million in the previous Financial Year[81] - The remuneration of employees and Directors is aligned with market standards and commensurate with their responsibilities[81] Corporate Governance - The Group has critical judgments that significantly affect amounts recognized in the consolidated financial statements[32] - The Group's accounting policies require directors to make judgments and estimates about the carrying amounts of assets and liabilities[32] - The management team includes professionals with extensive experience in administrative management and investment, particularly in the field of genetic engineering[194][195] Segment Information - The Group has two reportable segments: trading of beauty products and research, development, and commercialization of the oral insulin product[35] - The Group's trading segment revenues and profit margins have remained relatively stable, with expectations for gradual recovery in trading business[96] - Over 90% of the Group's non-current assets are located in China, indicating a concentrated market presence[40] Debt and Financing - The liability component of Convertible Bonds as of March 31, 2024, totaled HK$911,150,000, with HK$255,804,000 classified as current liabilities[157] - The effective interest rates for all liability components of convertible bonds ranged from 21.23% to 35% per annum in 2024, compared to 23.44% to 27.28% per annum in 2023[179] - The company reported a loan from a substantial shareholder, Dr. Mao, amounting to HK$62,300,000 in 2024, an increase from HK$51,000,000 in 2023[174] Collaboration and Partnerships - The collaboration agreement with Tsinghua University has been renewed until June 30, 2027, allowing exclusive commercialization rights for the product[117] - The Group has a collaboration agreement with Tsinghua University that allows for the commercialization of a patented method for oral insulin formulation[137] - The Group entered into a second supplemental agreement with Tsinghua University to renew the collaboration arrangement until June 30, 2027[139] Risk Management - The Group maintains a prudent strategy in foreign exchange risk management, with no financial instruments used for hedging during the Financial Year[81] - The Group assesses contingent liabilities continuously to determine if an outflow of resources embodying economic benefits has become probable[28]

Financial Performance - For the fiscal year ending March 31, 2024, the company reported total revenue of HKD 6,593,000, a decrease of 18.4% compared to HKD 8,075,000 in the previous year[4] - The cost of sales for the same period was HKD 5,753,000, resulting in a gross profit of HKD 840,000, down from HKD 858,000 in the prior year[4] - The company achieved a profit before tax of HKD 98,707,000, a significant recovery from a loss of HKD 254,671,000 in the previous fiscal year[4] - The net profit attributable to the owners of the company was HKD 103,403,000, compared to a loss of HKD 245,698,000 in the previous year[6] - The company reported a basic earnings per share of HKD 6.77, a turnaround from a loss per share of HKD 16.78 in the previous year[6] - The company reported a total segment loss of HKD 7,676,000 for 2024, compared to a loss of HKD 13,442,000 in 2023, indicating an improvement in performance[26] - The company reported a net profit of HKD 103,403,000 for 2024, recovering from a loss of HKD 245,698,000 in 2023[46] - The group recorded a profit attributable to the owners of approximately HKD 103,102,000, a turnaround from a loss of HKD 245,707,000 in the previous fiscal year, primarily due to gains from revised convertible bonds amounting to approximately HKD 330,237,000[56] Assets and Liabilities - As of March 31, 2024, the company had total assets of HKD 1,373,224,000, slightly down from HKD 1,374,165,000 in the previous year[8] - Total assets as of March 31, 2024, amounted to HKD 1,383,023,000, a slight decrease from HKD 1,384,048,000 in 2023[28] - Total liabilities decreased to HKD 1,063,592,000 in 2024 from HKD 1,243,486,000 in 2023, representing a reduction of approximately 14.5%[28] - The company's current liabilities net amounted to HKD 381,802,000, with cash and cash equivalents of only HKD 3,075,000[12] - The company's net current liabilities amount to approximately HKD 381,802,000, while cash and cash equivalents are only HKD 3,075,000[100] - The total borrowings of the company as of March 31, 2024, were approximately HKD 1,054,200,000, down from approximately HKD 1,236,500,000 as of March 31, 2023[79] Convertible Bonds and Financing - The company has approved the issuance of convertible bonds to address its financial obligations, with a principal amount of HKD 256,000,000 that has matured[13] - The company has revised the terms of its convertible bonds, reducing the conversion price from HKD 0.4 to HKD 0.202 and extending the maturity date from ten years to twenty years[13] - The company has issued convertible bonds worth HKD 55,500,000, which will offset the principal amount owed to major shareholders[14] - The company issued convertible bonds with a principal amount of HKD 715,000,000 at an annual interest rate of 3.5%[64] - The maturity date of the convertible bonds was extended from July 28, 2023, to July 28, 2025[68] - A new convertible bond with a principal amount of HKD 55,500,000 was agreed upon, with a conversion price of HKD 0.211 per share and a zero percent interest rate[69] - As of August 15, 2023, the total outstanding convertible bonds amounted to HKD 359,600,000, with a maturity extension to twenty years from the issuance date[72] - The conversion price for certain bonds held by major shareholder Dr. Mao was revised from HKD 0.40 to HKD 0.202[73] - The company incurred interest expenses of HKD 217,025,000 on convertible bonds in 2024, slightly down from HKD 233,031,000 in 2023[26] - The actual interest expense on convertible bonds decreased to HKD 217,025,000 in 2024 from HKD 233,031,000 in 2023, a reduction of approximately 6.9%[37] Research and Development - The company is currently developing an oral insulin product, which is in Phase III clinical trials, with future cash flows dependent on the success of these trials and regulatory approval[12] - The company is conducting clinical trials for an oral insulin product, with approximately 400 patients recruited as of March 31, 2024, aiming for a product launch in Q1 2026[15] - The clinical trial for the oral insulin product began patient recruitment in July 2020, with approximately 400 patients recruited by the end of the fiscal year[60] - The commercialization of the product is expected to occur in Q1 2026, following regulatory approval from the National Medical Products Administration of China[63] - The group is currently conducting R&D on oral insulin products, with intangible assets recorded at a book value of HKD 1,373,224,000[58] - The company has not identified any negative feedback from ongoing clinical trials, which is crucial for future product development[15] - The company’s consolidated financial statements have been prepared on a going concern basis, contingent on the successful completion of clinical trials and product launch[15] Operational and Strategic Insights - The company is exploring additional financing and borrowing opportunities to support its operations[15] - The company plans to gradually explore trade operations in Hong Kong and China while strengthening risk management policies[76] - The company aims to commercialize its products by the first quarter of 2026, collaborating closely with contract research organizations[77] - The company has maintained a cautious strategy for managing foreign exchange risks without using any financial instruments for hedging during the fiscal year[84] - The company generated a net operating cash outflow of HKD 8,279,000 for the fiscal year ending March 31, 2024[100] - The company has not made any significant investments or acquisitions during the fiscal period[82] Shareholder and Loan Information - The company has confirmed that it will not be required to repay approximately HKD 41,947,000 and HKD 18,355,000 in loans from former joint ventures for at least 12 months from the approval date of the financial statements[14] - The company has received financial support from major shareholders, ensuring that a loan of HKD 6,800,000 will not be demanded for repayment within the next 12 months[14] - Loans from a major shareholder and from a former associate company, totaling HKD 62,300,000, HKD 18,355,000, and HKD 41,947,000, are due for repayment within the next 12 months[100] Employee and Cost Management - The total employee cost for the fiscal year was approximately HKD 6,100,000, a slight decrease from approximately HKD 6,300,000 in the previous fiscal year[85]

Financial Performance - For the six months ended September 30, 2023, the consolidated profit for the period was HK$192,577,000, compared to a loss of HK$118,272,000 in the same period of 2022, indicating a significant turnaround [20]. - The total comprehensive income for the period was HK$192,526,000, compared to a loss of HK$118,351,000 in the same period last year [178]. - The profit before tax for the period was HK$192,577,000, a significant improvement from a loss of HK$118,272,000 in the prior year [168]. - The Company reported a profit for the Period amounting to approximately HK$193.7 million, compared to a loss of approximately HK$115.7 million in the Previous Financial Period, primarily due to a non-cash item of approximately HK$330.3 million credited into income from the completion of a convertible bond amendment [53]. - Basic earnings per share increased to 13.23 HK cents, compared to a loss of 7.90 HK cents per share in the previous year [171]. Revenue and Expenses - The Group recorded revenue of approximately HK$3.7 million for the Financial Period, a decrease of approximately 9.7% from HK$4.1 million in the Previous Financial Period [53]. - The gross profit for the period was HK$380,000, down from HK$421,000 in the previous year, indicating a decline of about 9.7% [168]. - Research and development expenses decreased to HK$303,000 from HK$1,498,000 in the previous year, reflecting a reduction of approximately 79.8% [168]. - The total comprehensive expense for the period was HK$115,740,000, compared to HK$118,272,000 in the previous year, showing a slight reduction in overall expenses [20]. Assets and Liabilities - The company's net assets as of September 30, 2023, were HK$333,068,000, up from HK$140,562,000 as of March 31, 2023 [173]. - The company reported net current liabilities of approximately HK$369,165,000, which includes outstanding convertible bonds of HK$250,959,000 maturing in October and December 2023 [198]. - The total equity of the company increased to HK$333,068,000 from HK$140,562,000 as of March 31, 2023, representing a significant growth of approximately 137.5% [181]. - The current assets to current liabilities ratio was 0.02 as of September 30, 2023, up from 0.01 as of March 31, 2023 [111]. - The Group's gearing ratio improved to 0.76 as of September 30, 2023, from 0.90 as of March 31, 2023 [111]. Cash Flow - The net cash used in operating activities for the period was HK$4,378,000, compared to HK$2,858,000 in the previous period, indicating an increase in cash outflow [197]. - The company generated net cash from financing activities amounting to HK$3,867,000, up from HK$2,546,000 in the previous period, reflecting improved financing conditions [197]. - The cash and cash equivalents at the beginning of the period decreased by HK$511,000, compared to a decrease of HK$312,000 in the previous period, indicating a worsening liquidity position [197]. Development Projects - The Group's major asset, the development of an oral insulin product, is currently in Phase III clinical trials, with future cash flow dependent on successful trial outcomes and regulatory approval [13]. - The Group is developing a technology for oral insulin administration, currently in Phase III clinical trials with about 300 patients participating, aiming for commercialization by Q1 2025 [55]. - The oral insulin product is anticipated to be the first of its kind available in the market, addressing the strong demand in China due to the growing diabetic population [71]. - The project team aims to commercialize the Product in the first quarter of 2025, with regular monitoring of progress [120]. Corporate Governance and Strategy - The Company has adopted and complied with all provisions of the Corporate Governance Code, except for deviations from provisions C.2.1 and F.1.1 [145]. - The role of Chief Executive Officer remains vacant, and the Company is actively seeking a suitable candidate for this position [145]. - The Company is committed to enhancing investor confidence through transparency and accountability to its shareholders and stakeholders [145]. - The Company continues to pursue cooperation, joint ventures, and investments to enhance shareholder returns and sustainable long-term development [56]. - The Company is actively reviewing its strategies to enhance its market position and operational efficiency [56]. Shareholder Information - As of September 30, 2023, Dr. Mao Yumin holds 1,147,200,000 shares, representing 78.35% of the issued share capital of the Company [154]. - The Company has a substantial shareholder, Dr. Mao Yumin, with a direct holding of 323,200,000 ordinary shares [155]. - The register shows that several shareholders, including Dr. Mao Yumin and United Gene Holdings Limited, hold significant interests of 5% or more in the issued share capital [152]. Convertible Bonds - The Company issued convertible bonds on multiple dates, with a maturity of ten years from the issuance date [44]. - The proposed issue of convertible bonds amounts to an aggregate principal of HK$359.6 million, with an extension of the maturity date from ten to twenty years [104]. - The Company will issue convertible bonds with a principal amount of HK$55,500,000, which will be settled by offsetting against a loan from a substantial shareholder [200]. - The maturity date of the convertible bonds has been conditionally amended to extend for an additional ten years [200].