The English and Chinese versions of the Company's Current Corporate Communications are available on the Company's website at hk.coscoshipping.com and the website of Hong Kong Exchanges and Clearing Limited (the "HKEx") at www.hkexnews.hk (the "Website Version"). The Company strongly recommends you to access the Website Version of the Current Corporate Communications and all future Corporate Communications (Note 1) . (Incorporated in Bermuda with limited liability) （於百慕達註冊成立的有限公司） （Stock Code 股份代號：00517） NOT ...

[COMPANY INFORMATION](index=2&type=section&id=COMPANY%20INFORMATION) This section provides essential corporate details including board members, auditors, legal advisors, principal banks, share registrar, listing information, registered and principal offices, and investor relations contacts [Directors and Company Secretary](index=3&type=section&id=Directors) This section discloses the names of the company's board members (executive, non-executive, independent non-executive directors) and the company secretary - Executive Directors include Mr. Zhu Changyu (Chairman and Managing Director) and Mr. Wang Yong[5](index=5&type=chunk) - The Company Secretary is Ms. Zhao Ruixue[6](index=6&type=chunk) [Auditor, Legal Advisors, and Principal Bankers](index=3&type=section&id=Independent%20Auditor) This section lists the company's independent auditor, legal advisors, and principal bankers, all of which are reputable professional institutions - The independent auditor is Shinewing (HK) CPA Limited[6](index=6&type=chunk) - Principal bankers include Bank of China (Hong Kong) Limited, Industrial and Commercial Bank of China (Asia) Limited, Shanghai Pudong Development Bank Co., Ltd., Agricultural Bank of China Limited, and Bank of Communications (Hong Kong) Limited[6](index=6&type=chunk) [Share Registrar and Listing Information](index=4&type=section&id=PRINCIPAL%20SHARE%20REGISTRAR%20AND%20TRANSFER%20OFFICE) This section provides the company's principal share registrar, Hong Kong branch address, and listing information (stock code 00517) on the Hong Kong Stock Exchange - The Hong Kong branch share registrar is Tricor Secretaries Limited[8](index=8&type=chunk) - The company's ordinary shares are listed on The Stock Exchange of Hong Kong Limited, stock code 00517[9](index=9&type=chunk) [Registered and Principal Offices](index=4&type=section&id=REGISTERED%20OFFICE) This section specifies the company's registered office in Bermuda and its principal place of business in Hong Kong - The registered office is located at Clarendon House, Bermuda[9](index=9&type=chunk) - The principal place of business is located at 47th Floor, Cosco Tower, 183 Queen's Road Central, Hong Kong[9](index=9&type=chunk) [Investor Relations and Financial Calendar](index=5&type=section&id=INVESTOR%20RELATIONS) This section provides investor relations contact information and announces dates for the 2025 Annual General Meeting, interim and annual results, and 2025 interim dividend payment details - The 2025 interim dividend of **HKD 33 cents per share** will be paid on September 25, 2025[12](index=12&type=chunk) - The 2025 Annual General Meeting is scheduled for May 30, 2025[12](index=12&type=chunk) [MANAGEMENT DISCUSSION AND ANALYSIS](index=6&type=section&id=MANAGEMENT%20DISCUSSION%20AND%20ANALYSIS) This section provides an overview of the company's financial performance, operational highlights, and future outlook for the reporting period [Financial Review](index=6&type=section&id=Financial%20Review) In H1 2025, profit attributable to equity holders increased by 26% to HKD 487 million, with revenue up 10% to HKD 1.93 billion, driven by shipping services. Gross profit rose 24%, and operating profit surged 84% H1 2025 Key Financial Indicators | Indicator | H1 2025 (HKD thousands) | H1 2024 (HKD thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Profit attributable to equity holders | 487,223 | 388,041 | +26% | | Basic and diluted earnings per share | 33.24 HK cents | 26.47 HK cents | +26% | | Revenue | 1,934,118 | 1,752,887 | +10% | | Shipping services revenue | 1,928,259 | 1,667,279 | +16% | | General trading revenue | 5,859 | 85,608 | -93% | | Gross profit | 498,803 | 401,628 | +24% | | Gross profit margin | 26% | 23% | +3 percentage points | | Operating profit | 250,363 | 135,886 | +84% | - Financial income decreased by **19%** year-on-year to **HKD 113 million**, primarily due to lower deposit interest rates[24](index=24&type=chunk)[29](index=29&type=chunk) - Share of profit from joint ventures increased by **20%** year-on-year to **HKD 179 million**, mainly from COSCO Jotun Marine Coatings (Hong Kong) Limited[32](index=32&type=chunk)[36](index=36&type=chunk) [Financial Resources and Liquidity](index=9&type=section&id=Financial%20Resources%20and%20Liquidity) As of June 30, 2025, equity attributable to equity holders increased by 3% to HKD 8.13 billion, with total cash and deposits at HKD 6.09 billion and zero gearing ratio, indicating a robust financial position Financial Resources and Liquidity as of June 30, 2025 | Indicator | June 30, 2025 (HKD thousands) | December 31, 2024 (HKD thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Equity attributable to equity holders and reserves | 8,130,506 | 7,872,586 | +3% | | Total cash and deposits | 6,091,510 | 5,943,477 | +2.5% | | Gearing ratio | 0 | 0 | No change | | Cash return rate | 3.75% | 4.58% | -0.83 percentage points | - The Group had no undrawn or unutilised short-term borrowings, with total trade-related credit facilities of **HKD 499 million**, of which **HKD 20.976 million** was utilized[40](index=40&type=chunk)[41](index=41&type=chunk) [Financial Risk Management](index=10&type=section&id=Financial%20Risk%20Management) The Group primarily faces foreign exchange risks (RMB and USD), managed through regular assessment and forward foreign exchange contracts, with strict control over derivative financial instruments, while RMB conversion is subject to government controls - Major foreign exchange risks arise from **RMB and USD**[43](index=43&type=chunk)[45](index=45&type=chunk) - Foreign exchange risks are managed through regular assessment and forward foreign exchange contracts, with strict control over derivative financial instruments[43](index=43&type=chunk)[45](index=45&type=chunk) - The conversion of Chinese Renminbi into foreign currencies is subject to the rules and regulations of the Chinese government's foreign exchange control[43](index=43&type=chunk)[45](index=45&type=chunk) [Employees](index=10&type=section&id=Employees) As of June 30, 2025, the Group (excluding joint ventures/associates) had 797 employees, with 201 in Hong Kong, and total employee benefit expenses for the period increased by 9.5% to HKD 253 million Employee Data and Benefit Expenses | Indicator | June 30, 2025 | December 31, 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Total employees | 797 | 809 | -1.5% | | Hong Kong employees | 201 | 201 | No change | | Employee benefit expenses (HKD thousands) | 253,458 | 231,390 | +9.5% | - The share option scheme was adopted on April 9, 2020, with multiple tranches of options granted and an exercise period extending to 2026-2027[44](index=44&type=chunk)[47](index=47&type=chunk)[48](index=48&type=chunk)[49](index=49&type=chunk)[51](index=51&type=chunk)[52](index=52&type=chunk) [Interim Dividend](index=11&type=section&id=Interim%20Dividend) The Board declared an interim dividend of HKD 33.0 cents per share for H1 2025, a 24.5% increase from HKD 26.5 cents in H1 2024, payable on September 25, 2025 Interim Dividend Details | Indicator | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Interim dividend per share | 33.0 HK cents | 26.5 HK cents | +24.5% | | Payment date | September 25, 2025 | - | - | - For dividend entitlement, the register of members will be closed from September 11 to September 16, 2025 (both dates inclusive)[56](index=56&type=chunk)[58](index=58&type=chunk) [Review of Business Operations](index=12&type=section&id=Review%20of%20Business%20Operations) H1 2025 saw increased global economic downside risks and a 57.9% drop in new shipbuilding orders, yet the core shipping services business's profit before tax grew 26%, while general trading revenue fell 93% due to the asphalt business exit - Global new shipbuilding orders in H1 2025 decreased by **57.9%** year-on-year to **46.78 million deadweight tonnes**, the lowest for the same period since 2020[57](index=57&type=chunk)[60](index=60&type=chunk) - Container ships became the main force in the new shipbuilding market, with order volume increasing by **27.2%** year-on-year, and alternative fuel vessel orders continuously rising to **41.5%** of the total[57](index=57&type=chunk)[60](index=60&type=chunk) - Profit before tax for the core shipping services business achieved a year-on-year growth of **26%**[61](index=61&type=chunk)[63](index=63&type=chunk) - General trading business revenue decreased by **93%** year-on-year, with asphalt sales volume down **92%**, reflecting the Group's successful gradual exit from the asphalt business[92](index=92&type=chunk)[96](index=96&type=chunk) [Core Business — Shipping Services](index=13&type=section&id=1.%20Core%20Business%20—%20Shipping%20Services) Shipping services revenue increased by 16% to HKD 1.928 billion, with profit before tax up 26% to HKD 411 million, driven by growth in ship trading agency and coatings production and sales Shipping Services Financial Performance | Indicator | H1 2025 (HKD thousands) | H1 2024 (HKD thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 1,928,259 | 1,667,279 | +16% | | Profit before tax | 410,991 | 326,762 | +26% | [Ship Trading Agency Services](index=14&type=section&id=1.1%20Ship%20Trading%20Agency%20Services) Ship trading agency services revenue increased by 97% to HKD 97.79 million, with profit before tax up 124% to HKD 81.81 million, benefiting from significant growth in new vessel deliveries and orders Ship Trading Agency Services Key Data | Indicator | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue (HKD thousands) | 97,791 | 49,554 | +97% | | Profit before tax (HKD thousands) | 81,809 | 36,525 | +124% | | New vessel deliveries (vessels) | 22 | 10 | +120% | | New vessel orders (vessels) | 58 | 19 | +205% | [Insurance Brokerage Services](index=14&type=section&id=1.2%20Insurance%20Brokerage%20Services) Insurance brokerage services revenue increased by 7% to HKD 119 million, with profit before tax up 11% to HKD 83.84 million, driven by an expanded client base and rising hull, P&I, and war risk insurance rates Insurance Brokerage Services Key Data | Indicator | H1 2025 (HKD thousands) | H1 2024 (HKD thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 119,639 | 111,633 | +7% | | Profit before tax | 83,841 | 75,808 | +11% | - The client base further expanded, market share increased, and hull, P&I, and war risk insurance rates all saw significant increases[73](index=73&type=chunk)[75](index=75&type=chunk) [Supply of Marine Equipment and Spare Parts](index=15&type=section&id=1.3%20Supply%20of%20Marine%20Equipment%20and%20Spare%20Parts) Revenue from marine equipment and spare parts supply decreased by 3% to HKD 886 million, with profit before tax down 5% to HKD 54.1 million, due to shipping market volatility, tariff trade wars, and customer procurement controls Marine Equipment and Spare Parts Supply Key Data | Indicator | H1 2025 (HKD thousands) | H1 2024 (HKD thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 886,183 | 909,982 | -3% | | Profit before tax | 54,103 | 56,853 | -5% | - Continued volatility in the shipping market, coupled with the negative impact of tariff trade wars, led to major customers controlling procurement volumes and tightening procurement prices, putting pressure on gross profit margins[77](index=77&type=chunk) [Production and Sale of Coatings](index=16&type=section&id=1.4%20Production%20and%20Sale%20of%20Coatings) Coatings business revenue increased by 38% to HKD 823 million, with profit before tax up 20% to HKD 204 million, driven by a 94% surge in container coatings sales and 19% growth in marine coatings sales, benefiting from new vessel deliveries and cost control Coatings Production and Sales Key Data | Indicator | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue (HKD thousands) | 822,892 | 595,777 | +38% | | Profit before tax (HKD thousands) | 204,138 | 169,697 | +20% | | Container coatings sales volume (tonnes) | 28,723 | 14,790 | +94% | | Marine coatings sales volume (liters) | 69,186,000 | 58,367,000 | +19% | | Share of profit from COSCO Jotun (HKD thousands) | 171,319 | 141,466 | +21% | - The increase in container coatings sales volume was mainly influenced by factors such as port congestion, increased container vessel detours, and replacement of old containers[80](index=80&type=chunk)[83](index=83&type=chunk) - Sales volume of heavy-duty anti-corrosion coatings for industrial use increased by **4%** year-on-year, benefiting from sustained increases in domestic infrastructure construction investment[85](index=85&type=chunk)[87](index=87&type=chunk) [Intelligent Shipping Services](index=17&type=section&id=1.5%20Intelligent%20Shipping%20Services) Intelligent shipping services revenue increased by 427% to HKD 1.754 million, but still incurred a pre-tax loss of HKD 12.9 million, primarily because Green Smart Shipping Services is in its initial investment and product development phase Intelligent Shipping Services Key Data | Indicator | H1 2025 (HKD thousands) | H1 2024 (HKD thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 1,754 | 333 | +427% | | Profit/(Loss) before tax | (12,900) | (12,121) | Loss widened | - The loss was mainly due to Green Smart Shipping Services still being in its initial investment and product development phase[91](index=91&type=chunk)[94](index=94&type=chunk) [General Trading](index=18&type=section&id=2.%20General%20Trading) General trading revenue significantly decreased by 93% to HKD 5.859 million, with asphalt sales volume down 92%, reflecting the Group's gradual exit from the asphalt business. Profit before tax was HKD 15.113 million, mainly due to the reversal of impairment provisions for trade receivables General Trading Key Data | Indicator | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue (HKD thousands) | 5,859 | 85,608 | -93% | | Asphalt sales volume (tonnes) | 1,641 | 20,285 | -92% | | Profit before tax (HKD thousands) | 15,113 | 9,209 | +64% | | Share of profit from Zhejiang Six Brothers Rope Co., Ltd. (HKD thousands) | 6,144 | 7,402 | -17% | - The significant decrease in asphalt sales volume indicates the Group's successful progress in gradually exiting the asphalt business[92](index=92&type=chunk)[96](index=96&type=chunk) - The increase in profit before tax was mainly due to the reversal of impairment provisions for trade receivables[92](index=92&type=chunk)[96](index=96&type=chunk) [Prospects](index=19&type=section&id=Prospects) H2 2025 global economy faces risks from fading tariff front-loading effects and trade policy uncertainties, yet IMF upgraded growth forecasts. Shipbuilding orders are expected to temporarily decline, but long-term drivers remain, with green transformation and innovation offering strategic opportunities. The company will focus on "Intelligent Shipping Services Platform" and "Marine New Energy Platform" development - The global economy in H2 2025 faces risks from the fading of tariff front-loading effects and trade policy uncertainties[100](index=100&type=chunk)[101](index=101&type=chunk) - The IMF upgraded its 2025 global economic growth forecast to **3.0%** (0.2 percentage points higher than the April forecast) and global trade volume growth forecast to **2.6%** (0.9 percentage points higher than the April forecast)[100](index=100&type=chunk)[101](index=101&type=chunk) - New shipbuilding orders are expected to experience a temporary decline, but long-term drivers such as geopolitical conflicts, carbon neutrality goals, and environmental regulations will continue to promote industry transformation and upgrading[102](index=102&type=chunk)[104](index=104&type=chunk)[106](index=106&type=chunk) - The company will focus on developing an "Intelligent Shipping Services Platform" and a "Marine New Energy Platform" to build a technology-driven shipping services company[104](index=104&type=chunk)[107](index=107&type=chunk) [Subsequent Events](index=20&type=section&id=Subsequent%20Events) As of the report date, no significant events affecting the Group have occurred since June 30, 2025 - No significant events affecting the Group have occurred since June 30, 2025, and up to the date of this report[105](index=105&type=chunk)[108](index=108&type=chunk) [FINANCIAL INFORMATION](index=20&type=section&id=FINANCIAL%20INFORMATION) This section presents the condensed consolidated interim financial information, including review reports, income statements, statements of comprehensive income, financial position, changes in equity, cash flows, and detailed notes [Report on Review of Interim Financial Information](index=21&type=section&id=Report%20on%20Review%20of%20Interim%20Financial%20Information) Independent auditor Shinewing (HK) CPA Limited reviewed the condensed consolidated interim financial information for the six months ended June 30, 2025, finding no material discrepancies, but noted the review scope is less than an audit, thus no audit opinion is expressed - Based on the review, the auditor found no matters that caused them to believe the Group's interim financial information was not prepared, in all material respects, in accordance with Hong Kong Accounting Standard 34[115](index=115&type=chunk)[116](index=116&type=chunk) - The scope of a review is substantially less than an audit conducted in accordance with Hong Kong Standards on Auditing, and consequently does not enable the auditor to obtain assurance that they would become aware of all significant matters that might be identified in an audit, thus no audit opinion is expressed[113](index=113&type=chunk) - Comparative figures for the corresponding period in 2024 were reviewed by another auditor, while the comparative statement of financial position as of December 31, 2024, was audited by the same auditor who expressed an unmodified opinion[115](index=115&type=chunk)[117](index=117&type=chunk)[118](index=118&type=chunk) [Condensed Consolidated Income Statement](index=23&type=section&id=Condensed%20Consolidated%20Income%20Statement) The condensed consolidated income statement for the six months ended June 30, 2025, shows Group revenue of HKD 1.934 billion, gross profit of HKD 499 million, operating profit of HKD 250 million, profit for the period of HKD 495 million, and profit attributable to equity holders of HKD 487 million Condensed Consolidated Income Statement Summary (For the six months ended June 30) | Indicator | 2025 (HKD thousands) | 2024 (HKD thousands) | | :--- | :--- | :--- | | Revenue | 1,934,118 | 1,752,887 | | Cost of sales | (1,435,315) | (1,351,259) | | Gross profit | 498,803 | 401,628 | | Management fee income | 42,277 | 36,256 | | Other income and gains — net | 63,560 | 13,627 | | Selling, administrative and general expenses | (354,277) | (315,625) | | Operating profit | 250,363 | 135,886 | | Finance income — net | 112,146 | 138,940 | | Share of profit of joint ventures | 178,709 | 149,636 | | Share of profit of associates | 8,616 | 11,083 | | Profit before income tax | 549,834 | 435,545 | | Income tax expense | (55,209) | (43,117) | | Profit for the period | 494,625 | 392,428 | | Profit attributable to equity holders of the Company | 487,223 | 388,041 | | Basic and diluted earnings per share (HK cents) | 33.24 | 26.47 | [Condensed Consolidated Statement of Comprehensive Income](index=24&type=section&id=Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) The condensed consolidated statement of comprehensive income for the six months ended June 30, 2025, shows profit for the period of HKD 495 million, other comprehensive income of HKD 91.647 million, total comprehensive income of HKD 586 million, with HKD 573 million attributable to equity holders Condensed Consolidated Statement of Comprehensive Income Summary (For the six months ended June 30) | Indicator | 2025 (HKD thousands) | 2024 (HKD thousands) | | :--- | :--- | :--- | | Profit for the period | 494,625 | 392,428 | | Other comprehensive income/(loss) | 91,647 | (9,618) | | Total comprehensive income for the period | 586,272 | 382,810 | | Total comprehensive income attributable to equity holders of the Company | 573,104 | 380,922 | [Condensed Consolidated Statement of Financial Position](index=25&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the Group's total assets increased to HKD 9.932 billion, total equity to HKD 8.480 billion, and total liabilities to HKD 1.451 billion, with a significant increase in non-current bank deposits Condensed Consolidated Statement of Financial Position Summary (As of June 30) | Indicator | June 30, 2025 (HKD thousands) | December 31, 2024 (HKD thousands) | | :--- | :--- | :--- | | **ASSETS** | | | | Non-current assets | 2,809,714 | 1,770,027 | | Current assets | 7,122,183 | 7,563,543 | | **TOTAL ASSETS** | **9,931,897** | **9,333,570** | | **EQUITY** | | | | Equity attributable to equity holders of the Company and reserves | 8,130,506 | 7,872,586 | | Non-controlling interests | 349,921 | 336,753 | | **TOTAL EQUITY** | **8,480,427** | **8,209,339** | | **LIABILITIES** | | | | Non-current liabilities | 89,907 | 89,142 | | Current liabilities | 1,361,563 | 1,035,089 | | **TOTAL LIABILITIES** | **1,451,470** | **1,124,231** | - Non-current bank deposits increased from zero as of December 31, 2024, to **HKD 1.033 billion** as of June 30, 2025[126](index=126&type=chunk) [Condensed Consolidated Statement of Changes in Equity](index=27&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) The condensed consolidated statement of changes in equity shows total equity attributable to equity holders increased from HKD 7.873 billion at the beginning of the period to HKD 8.131 billion as of June 30, 2025, primarily due to profit and comprehensive income for the period Condensed Consolidated Statement of Changes in Equity Summary (For the six months ended June 30) | Indicator | 2025 (HKD thousands) | 2024 (HKD thousands) | | :--- | :--- | :--- | | Equity attributable to equity holders of the Company and reserves at beginning of period | 7,872,586 | 7,839,455 | | Profit for the period | 487,223 | 388,041 | | Other comprehensive income/(loss) | 85,881 | (7,119) | | Dividends paid | (315,184) | (256,545) | | Equity attributable to equity holders of the Company and reserves at end of period | 8,130,506 | 7,963,832 | [Condensed Consolidated Statement of Cash Flows](index=29&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) The condensed consolidated cash flow statement for the six months ended June 30, 2025, shows net cash generated from operating activities of HKD 324 million, net cash used in investing activities of HKD 2.216 billion, and net cash used in financing activities of HKD 317 million, resulting in a net decrease of HKD 2.210 billion in cash and cash equivalents Condensed Consolidated Statement of Cash Flows Summary (For the six months ended June 30) | Indicator | 2025 (HKD thousands) | 2024 (HKD thousands) | | :--- | :--- | :--- | | Net cash generated from operating activities | 323,643 | 22,515 | | Net cash used in investing activities | (2,216,171) | 344,092 | | Net cash used in financing activities | (317,263) | (259,109) | | Net decrease/(increase) in cash and cash equivalents | (2,209,791) | 107,498 | | Cash and cash equivalents at end of period | 2,237,604 | 2,038,714 | - Net cash outflow from investing activities significantly increased, primarily due to an increase of **HKD 2.29 billion** in cash deposits with maturities exceeding three months[137](index=137&type=chunk) [Notes to the Unaudited Condensed Consolidated Interim Financial Information](index=30&type=section&id=Notes%20to%20the%20Unaudited%20Condensed%20Consolidated%20Interim%20Financial%20Information) This section details the Group's accounting policies, financial risk management, key accounting estimates, revenue and segment information, composition and changes in various financial metrics, and material related party transactions, providing supplementary information for understanding the financial statements [General Information](index=31&type=section&id=1%20GENERAL%20INFORMATION) This section introduces COSCO SHIPPING International (Hong Kong) Co., Ltd. and its subsidiaries (the Group), primarily engaged in shipping services and general trading, with the company registered in Bermuda, listed on the HKEX, and its ultimate holding company being China COSCO Shipping Corporation Limited - The Group is principally engaged in the provision of shipping services and general trading[141](index=141&type=chunk)[143](index=143&type=chunk) - The Company's ultimate holding company is China COSCO Shipping Corporation Limited, a state-owned enterprise established in the People's Republic of China[141](index=141&type=chunk)[144](index=144&type=chunk) [Basis of Preparation and Accounting Policies](index=31&type=section&id=2%20BASIS%20OF%20PREPARATION%20AND%20ACCOUNTING%20POLICIES) This interim financial information is prepared in accordance with HKAS 34 and Appendix D2 of the Listing Rules, with accounting policies consistent with the 2024 annual financial statements, and the first-time adoption of HKAS 21 amendments. HKFRS 18, effective in 2027, will impact financial statement presentation - This interim financial information has been prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants and the applicable disclosure requirements of Appendix D2 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[146](index=146&type=chunk) - The first-time adoption of the amendments to HKAS 21 "Lack of Exchangeability" had no significant impact on financial performance and financial position[149](index=149&type=chunk)[151](index=151&type=chunk) - HKFRS 18 will be effective for annual periods beginning on or after January 1, 2027, and will affect the presentation of the consolidated income statement and consolidated statement of comprehensive income[154](index=154&type=chunk)[158](index=158&type=chunk)[160](index=160&type=chunk) [Financial Risk Management](index=35&type=section&id=3%20FINANCIAL%20RISK%20MANAGEMENT) The Group faces market risks (foreign currency, interest rate, price), credit risk, and liquidity risk. There were no significant changes in contractual undiscounted cash outflows for financial liabilities. Fair value measurements use Level 1 (quoted prices in active markets) and Level 3 (unobservable inputs) methods, with investment properties revalued by independent valuers - The Group's operations expose it to various financial risks: market risk (including foreign currency risk, interest rate risk, and price risk), credit risk, and liquidity risk[161](index=161&type=chunk)[162](index=162&type=chunk) - Fair value measurements use Level 1 (quoted prices in active markets for identical assets or liabilities) and Level 3 (inputs for the asset or liability are not based on observable market data) methods[165](index=165&type=chunk) - Investment properties are revalued by independent qualified valuers who are not related to the Group[183](index=183&type=chunk)[184](index=184&type=chunk) [Critical Accounting Estimates and Judgements](index=40&type=section&id=4%20CRITICAL%20ACCOUNTING%20ESTIMATES%20AND%20JUDGEMENTS) Management made judgments, estimates, and assumptions in preparing the interim financial information, consistent with those applied in the 2024 annual financial statements - The critical judgments made by management in applying the Group's accounting policies and the key sources of estimation uncertainty in preparing this unaudited condensed consolidated interim financial information are consistent with those applied in the Group's annual financial statements for the year ended December 31, 2024[187](index=187&type=chunk)[188](index=188&type=chunk) [Revenue and Segment Information](index=41&type=section&id=5%20REVENUE%20AND%20SEGMENT%20INFORMATION) Group revenue primarily derives from coatings sales, marine equipment and spare parts sales, ship trading agency commissions, and insurance brokerage commissions. The report discloses revenue, operating profit, assets, and liabilities by reportable segments including coatings, marine equipment and spare parts, ship trading agency, insurance brokerage, intelligent shipping services, and general trading H1 2025 Revenue Composition (HKD thousands) | Revenue Source | 2025 | 2024 | | :--- | :--- | :--- | | Coatings sales | 822,892 | 595,777 | | Marine equipment and spare parts sales | 886,183 | 909,982 | | Ship trading agency commission income | 97,791 | 49,554 | | Insurance brokerage commission income | 119,639 | 111,633 | | Intelligent shipping services | 1,754 | 333 | | General trading | 5,859 | 85,608 | | **Total Revenue** | **1,934,118** | **1,752,887** | - Management reviews the business from a product perspective and has identified reportable segments including coatings, marine equipment and spare parts, ship trading agency, insurance brokerage, intelligent shipping services, and general trading based on these reporting criteria[195](index=195&type=chunk)[196](index=196&type=chunk) [Other Income and Gains — Net](index=50&type=section&id=6%20OTHER%20INCOME%20AND%20GAINS%20—%20NET) For the six months ended June 30, 2025, other income and gains net was HKD 63.56 million, a significant year-on-year increase of 366%, primarily due to higher net exchange gains Other Income and Gains — Net (HKD thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Other income — net | 7,254 | 8,756 | | Other gains — net | 56,306 | 4,871 | | **Total** | **63,560** | **13,627** | - Net exchange gains turned from a loss of **HKD 7.309 million** in the corresponding period of 2024 to a gain of **HKD 56.382 million** in 2025, which is the main reason for the significant increase in other income and gains net[218](index=218&type=chunk) [Operating Profit](index=51&type=section&id=7%20OPERATING%20PROFIT) Operating profit is stated after deducting employee benefit expenses of HKD 253 million, short-term lease-related expenses of HKD 20.923 million, and depreciation and amortization expenses of HKD 19.469 million Operating Profit Deductions (HKD thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Employee benefit expenses | 253,458 | 231,390 | | Short-term lease-related expenses | 20,923 | 16,863 | | Depreciation and amortization | 19,469 | 17,854 | [Finance Income — Net](index=51&type=section&id=8%20FINANCE%20INCOME%20—%20NET) For the six months ended June 30, 2025, net finance income was HKD 112 million, primarily from bank deposit interest, but total finance income decreased by 19% year-on-year to HKD 113 million, mainly due to lower deposit interest rates Finance Income — Net (HKD thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Interest income from bank deposits | 110,025 | 134,869 | | Total finance income | 112,872 | 140,095 | | Total finance costs | (726) | (1,155) | | **Finance income — net** | **112,146** | **138,940** | - The decrease in finance income was primarily due to lower deposit interest rates[29](index=29&type=chunk) [Income Tax Expenses](index=52&type=section&id=9%20INCOME%20TAX%20EXPENSES) For the six months ended June 30, 2025, income tax expense was HKD 55.209 million, mainly comprising Hong Kong profits tax, PRC enterprise income tax, and other overseas taxes. The Group adopted the mandatory exemption for Pillar Two income taxes Income Tax Expense Composition (HKD thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Hong Kong profits tax | 16,409 | 15,917 | | PRC enterprise income tax | 34,140 | 13,327 | | Other overseas taxes | 3,764 | 4,246 | | Net deferred income tax expense | 1,376 | 9,038 | | **Total income tax expense** | **55,209** | **43,117** | - The Group has adopted the mandatory temporary exemption for Pillar Two income taxes and will account for Pillar Two income taxes when they arise as current tax for the period[229](index=229&type=chunk)[231](index=231&type=chunk) [Earnings Per Share](index=53&type=section&id=10%20EARNINGS%20PER%20SHARE) For the six months ended June 30, 2025, basic and diluted earnings per share were HKD 33.24 cents, calculated based on profit attributable to equity holders of HKD 487 million and 1.466 billion weighted average ordinary shares Earnings Per Share Calculation | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Profit attributable to equity holders of the Company (HKD thousands) | 487,223 | 388,041 | | Weighted average number of ordinary shares in issue (shares) | 1,465,971,429 | 1,465,971,429 | | Basic and diluted earnings per share (HK cents) | 33.24 | 26.47 | - There were no potential dilutive ordinary shares in issue for the current and prior periods[230](index=230&type=chunk)[233](index=233&type=chunk) [Dividend](index=54&type=section&id=11%20DIVIDEND) The Board declared an interim dividend of HKD 0.330 per share for the six months ended June 30, 2025, totaling HKD 484 million, an increase from HKD 0.265 per share in the corresponding period of 2024 Interim Dividends Declared | Indicator | 2025 (HKD thousands) | 2024 (HKD thousands) | | :--- | :--- | :--- | | Interim dividend per share | 0.330 HKD | 0.265 HKD | | Total amount | 483,771 | 388,482 | - The final dividend of **HKD 315 million** for the year ended December 31, 2024, was paid in June 2025[237](index=237&type=chunk)[238](index=238&type=chunk) [Capital Expenditure](index=55&type=section&id=12%20CAPITAL%20EXPENDITURE) As of June 30, 2025, the Group's total net book value of intangible assets, property, plant and equipment, right-of-use assets, and investment properties was HKD 734 million, with total additions of HKD 11.307 million during the period Capital Expenditure Movement (HKD thousands) | Item | January 1, 2025 | Additions | Depreciation and amortization | June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | | Intangible assets | 359,764 | 526 | (5,929) | 355,365 | | Property, plant and equipment | 195,902 | 10,577 | (11,759) | 198,461 | | Right-of-use assets | 42,257 | 204 | (2,851) | 40,236 | | Investment properties | 136,367 | – | – | 139,598 | | **Total** | **734,290** | **11,307** | **(20,539)** | **733,660** | [Financial Assets at Fair Value Through Other Comprehensive Income](index=55&type=section&id=13%20FINANCIAL%20ASSETS%20AT%20FAIR%20VALUE%20THROUGH%20OTHER%20COMPREHENSIVE%20INCOME) As of June 30, 2025, financial assets at fair value through other comprehensive income primarily consisted of equity securities listed in Hong Kong, with their market value increasing to HKD 113 million Financial Assets at Fair Value Through Other Comprehensive Income (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Market value of equity securities listed in Hong Kong | 113,448 | 84,772 | [Inventories](index=56&type=section&id=14%20INVENTORIES) As of June 30, 2025, the Group's total inventories amounted to HKD 238 million, a decrease from HKD 402 million as of December 31, 2024, mainly due to a reduction in finished goods Inventories Composition (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Raw materials | 46,598 | 49,682 | | Work in progress | 1,449 | 803 | | Finished goods | 189,899 | 351,249 | | **Total** | **237,946** | **401,734** | [Trade and Other Receivables](index=56&type=section&id=15%20TRADE%20AND%20OTHER%20RECEIVABLES) As of June 30, 2025, total trade and other receivables amounted to HKD 1.822 billion, an increase from HKD 1.213 billion as of December 31, 2024. Net trade receivables increased to HKD 834 million, with HKD 605 million due within 90 days Trade and Other Receivables Composition (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Net trade receivables | 834,347 | 524,080 | | Other receivables | 987,616 | 689,191 | | **Total** | **1,821,963** | **1,213,271** | Trade Receivables Ageing Analysis (HKD thousands) | Ageing | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current–90 days | 604,979 | 363,793 | | 91–180 days | 177,269 | 87,919 | | Over 180 days | 52,099 | 72,368 | | **Total** | **834,347** | **524,080** | - Net impairment provision for trade receivables was **HKD 8.352 million**[254](index=254&type=chunk)[255](index=255&type=chunk) [Restricted Bank Deposits, Total Deposits and Cash and Cash Equivalents](index=58&type=section&id=16%20RESTRICTED%20BANK%20DEPOSITS,%20TOTAL%20DEPOSITS%20AND%20CASH%20AND%20CASH%20EQUIVALENTS) As of June 30, 2025, the Group's restricted bank deposits, total deposits, and cash and cash equivalents totaled HKD 6.092 billion, with USD deposits accounting for the largest share. Non-current bank deposits significantly increased to HKD 1.033 billion Cash and Deposits Composition (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Restricted bank deposits | 5,483 | 5,399 | | Non-current bank deposits | 1,032,677 | – | | Current deposits and cash and cash equivalents | 5,053,350 | 5,938,078 | | **Total** | **6,091,510** | **5,943,477** | Cash and Deposits Currency Composition (HKD thousands) | Currency | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | RMB | 795,348 | 740,929 | | HKD | 109,200 | 182,367 | | USD | 5,096,114 | 4,927,538 | | Others | 90,848 | 92,643 | | **Total** | **6,091,510** | **5,943,477** | [Share Capital](index=60&type=section&id=17%20SHARE%20CAPITAL) As of June 30, 2025, the company's issued and fully paid share capital was HKD 147 million, comprising 1.466 billion shares. Under the share option scheme, 456,210 share options lapsed during the period, with 7,822,280 options remaining unexercised at period-end Share Capital Information | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Number of issued and fully paid shares | 1,465,971,429 | 1,465,971,429 | | Share capital (HKD thousands) | 146,597 | 146,597 | Share Option Movement (options) | Grant Date | Unexercised as of January 1, 2025 | Lapsed during the period | Unexercised as of June 30, 2025 | | :--- | :--- | :--- | :--- | | April 28, 2020 | 6,663,300 | – | 6,663,300 | | October 6, 2020 | 701,400 | – | 701,400 | | April 7, 2021 | 913,790 | (456,210) | 457,580 | | **Total** | **8,278,490** | **(456,210)** | **7,822,280** | - The share option scheme aims to attract, retain, and motivate the Company's senior management and core employees, promoting the achievement of the Company's long-term strategic goals[265](index=265&type=chunk) [Trade and Other Payables, Contract Liabilities and Lease Liabilities](index=62&type=section&id=18%20TRADE%20AND%20OTHER%20PAYABLES,%20CONTRACT%20LIABILITIES%20AND%20LEASE%20LIABILITIES) As of June 30, 2025, total trade and other payables were HKD 1.073 billion, contract liabilities HKD 234 million, and lease liabilities HKD 14.721 million. Of trade payables, HKD 496 million were due within 90 days Trade and Other Payables, Contract Liabilities and Lease Liabilities (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Trade payables | 620,609 | 494,836 | | Other payables | 452,841 | 312,536 | | Contract liabilities | 233,501 | 203,303 | | Lease liabilities | 14,721 | 15,603 | | **Total** | **1,321,672** | **1,026,278** | Trade Payables Ageing Analysis (HKD thousands) | Ageing | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current–90 days | 496,458 | 423,110 | | 91–180 days | 70,329 | 40,441 | | Over 180 days | 53,822 | 31,285 | | **Total** | **620,609** | **494,836** | [Capital Commitments](index=64&type=section&id=19%20CAPITAL%20COMMITMENTS) As of June 30, 2025, the Group's contracted but unprovided capital expenditure commitments totaled HKD 6.136 million, with capital commitments for investments in joint ventures amounting to HKD 3.408 million Capital Commitments (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Group capital expenditure commitments | 6,136 | 6,215 | | Capital commitments for investments in joint ventures | 3,408 | 4,292 | [Lease Commitments](index=64&type=section&id=20%20LEASE%20COMMITMENTS) As of June 30, 2025, the Group's total future minimum lease payments under non-cancellable short-term leases amounted to HKD 17.651 million Lease Commitments (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total future minimum lease payments | 17,651 | 25,633 | [Material Related Party Transactions](index=65&type=section&id=21%20MATERIAL%20RELATED%20PARTY%20TRANSACTIONS) The Group engages in various material related party transactions with its ultimate holding company, COSCO Shipping, and its subsidiaries, including sales of coatings, marine equipment and spare parts, provision of ship trading agency and insurance brokerage services, and purchases of raw materials, property leases, and service fees, all conducted under agreed terms and compliant with Listing Rules - The Group is controlled by China COSCO Shipping Corporation Limited, and its subsidiaries are defined as related parties[285](index=285&type=chunk)[286](index=286&type=chunk)[287](index=287&type=chunk) - Related party transactions include sales of coatings, marine equipment and spare parts, and provision of ship trading agency and insurance brokerage services to fellow subsidiaries[292](index=292&type=chunk)[294](index=294&type=chunk) - Related party transactions also include leasing properties, purchasing raw materials, and paying transportation and service fees to fellow subsidiaries[300](index=300&type=chunk)[301](index=301&type=chunk) - All material related party transactions were conducted in accordance with the terms of the governing agreements and complied with the disclosure requirements of Chapter 14A of the Listing Rules[297](index=297&type=chunk)[303](index=303&type=chunk) [OTHER INFORMATION](index=72&type=section&id=OTHER%20INFORMATION) This section provides additional corporate information, including details on share options, directors' and substantial shareholders' interests in securities, listed securities transactions, director information disclosure, and corporate governance practices [Share Options](index=73&type=section&id=SHARE%20OPTIONS) As of June 30, 2025, 7,822,280 share options remained unexercised under the company's share option scheme, with 456,210 options lapsing during the period due to expiry. The fair value of options is estimated using the "Binomial Option Pricing Model" Share Option Movement (options) | Grant Date | Unexercised as of January 1, 2025 | Lapsed during the period | Unexercised as of June 30, 2025 | | :--- | :--- | :--- | :--- | | April 28, 2020 | 6,663,300 | – | 6,663,300 | | October 6, 2020 | 701,400 | – | 701,400 | | April 7, 2021 | 913,790 | (456,210) | 457,580 | | **Total** | **8,278,490** | **(456,210)** | **7,822,280** | - The fair value of share options is estimated using the "Binomial Option Pricing Model," with key parameters including share price, exercise price, expected standard deviation of equity return, expected option life, expected dividend yield, and risk-free interest rate[321](index=321&type=chunk)[322](index=322&type=chunk)[323](index=323&type=chunk) - The option category for former director Ms. Meng Xin changed after her resignation as Executive Director on January 24, 2025[316](index=316&type=chunk)[317](index=317&type=chunk) [Directors' Interests in Securities](index=75&type=section&id=Directors'%20Interests%20in%20Securities) As of June 30, 2025, directors held long positions in the company's equity derivatives related shares and in shares of associated corporation Piraeus Port Authority S.A - Directors held long positions in the Company's equity derivatives related shares, details of which are set out in the "Share Options" section[325](index=325&type=chunk)[327](index=327&type=chunk) Directors' Long Positions in Shares of Associated Corporations | Name of Director | Name of Associated Corporation | Nature of Interest | Total number of ordinary shares held | Approximate percentage of total issued shares | | :--- | :--- | :--- | :--- | :--- | | Mr. Kwong Chi Keung | COSCO SHIPPING Ports Limited | Beneficial owner | 250,000 | 0.0075% | [Substantial Shareholders](index=78&type=section&id=SUBSTANTIAL%20SHAREHOLDERS) As of June 30, 2025, COSCO Shipping, China Shipping Group Company Limited, and COSCO SHIPPING (Hong Kong) Co., Limited were all substantial shareholders, each holding 71.70% of the company's shares Substantial Shareholders' Shareholdings | Name of Shareholder | Capacity | Nature of Interest | Total number of ordinary shares held (long position) | Approximate percentage of total issued shares | | :--- | :--- | :--- | :--- | :--- | | COSCO Shipping | Interest in controlled corporation | Corporate interest | 1,051,183,486 | 71.70% | | China Shipping Group Company Limited | Interest in controlled corporation | Corporate interest | 1,051,183,486 | 71.70% | | COSCO SHIPPING (Hong Kong) | Beneficial owner | Beneficial interest | 1,051,183,486 | 71.70% | - COSCO SHIPPING (Hong Kong) is a wholly-owned subsidiary of COSCO Shipping, and its interest is deemed to be the interest of COSCO Shipping[335](index=335&type=chunk)[336](index=336&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=79&type=section&id=PURCHASE,%20SALE%20OR%20REDEMPTION%20OF%20LISTED%20SECURITIES) For the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any listed securities, and the company held no treasury shares - Neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities during the six months ended June 30, 2025[339](index=339&type=chunk)[341](index=341&type=chunk) - The Company did not hold any treasury shares[339](index=339&type=chunk)[341](index=341&type=chunk) [Disclosure of Information on Directors](index=79&type=section&id=DISCLOSURE%20OF%20INFORMATION%20ON%20DIRECTORS) This section discloses changes in director information: Executive Director Mr. Zhu Changyu's appointment letter was updated, Non-executive Director Ms. Zhang Xueyan was appointed as a non-executive director of Piraeus Port Authority S.A., and Independent Non-executive Director Mr. Kwong Chi Keung retired from Piraeus Port Authority S.A - The appointment letter for Mr. Zhu Changyu, Executive Director, Chairman of the Board, and Managing Director, was updated, with his term commencing on May 30, 2025, and ending at the conclusion of the Company's 2027 Annual General Meeting[342](index=342&type=chunk) - Ms. Zhang Xueyan, a Non-executive Director, was appointed as a non-executive director of Piraeus Port Authority S.A., a fellow subsidiary of the Company, in July 2025[343](index=343&type=chunk) - Mr. Kwong Chi Keung, an Independent Non-executive Director, retired as an independent non-executive director of Piraeus Port Authority S.A. in July 2025[343](index=343&type=chunk) [Corporate Governance](index=79&type=section&id=Corporate%20Governance) The company is committed to high corporate governance standards and complied with Appendix C1 of the Listing Rules' Corporate Governance Code in H1 2025, with two deviations: Non-executive Director Ms. Zhang Xueyan's absence from the AGM and the roles of Board Chairman and Managing Director being held by the same person. The Audit Committee reviewed the interim financial information - The Company is committed to maintaining a high level of corporate governance through effective and timely disclosure of information by the Board and proactive implementation of investor relations programs[345](index=345&type=chunk)[347](index=347&type=chunk) - There were two deviations from the Corporate Governance Code: Non-executive Director Ms. Zhang Xueyan's inability to attend the Annual General Meeting, and the roles of Chairman of the Board and Managing Director being held by the same person[346](index=346&type=chunk)[348](index=348&type=chunk) - The Audit Committee, comprising three independent non-executive directors with an accountant as chairman, has reviewed the unaudited condensed consolidated interim financial information[349](index=349&type=chunk)[350](index=350&type=chunk) - The Company has adopted a code for securities transactions by directors and employees and confirmed that directors complied with the required standards set out in the Model Code and the Securities Code during the period[351](index=351&type=chunk)

Core Viewpoint - BHP will suspend operations and cut 750 jobs at its Queensland coking coal mine due to low prices and high state government royalties impacting returns [1][2][3] Group 1: Company Actions - BHP Mitsubishi Alliance's Saraji South will be placed into care and maintenance from November 2025, with a production of 8.2 million metric tons of coking coal in the year to June 2025 [1][2] - The decision to suspend operations is a response to the unsustainable coal royalties imposed by the Queensland Government and current market conditions [2][3] Group 2: Market Conditions - Coking coal prices, which peaked above $600 a ton post-Russia's invasion of Ukraine, have normalized to around $190 [4] - Medium-term demand for hard coking coal remains strong, but maintaining operations in lower margin areas is not sustainable under current conditions [3] Group 3: Regulatory Environment - Queensland raised coal royalties in July 2022 to 20% for prices above A$175 ($117) per ton, with a top tier of 40% for prices over A$300, significantly increasing the financial burden on mining operations [3] - The Mining and Energy Union recently won a Federal court ruling that affects pay rises for contracted workers, leading to increased salaries for around 1,800 employees by A$20,000 to A$30,000 on top of an average coal salary of A$120,000 [4][5]

当天，由中远海运特运、苏州港管理委员会和江苏省港口集团联合主办的中远海运特运南美西直达快航 （张家港—钱凯）班轮首航活动在张家港举行。 苏州市委常委、副市长，苏州港管理委员会副主任唐晓东；张家港市委书记韩卫；苏州港管理委员会副 主任、太仓港口管委会主任邵建林；徐州工程机械集团有限公司副总裁蒋明忠；三一物流有限责任公司 总经理李浩；阳光电源股份有限公司销售运营中心总经理代成宏；中国重汽集团国际有限公司常务副总 经理杨文强；江苏省港口集团总经理王洪涛；苏州港集团、张家港港务集团党委书记吴红；中远海运特 运党委书记、董事长张炜，以及来自相关口岸单位的领导、嘉宾和客户代表等参加了活动。 作为中远海运特运服务"一带一路"系列产品的又一力作，南美西直达快航班轮服务不仅承继不久前开通 的姊妹航线——南美东金砖快航周班"高效、稳定、绿色"的优良基因，更将以"时效性强、货种适配度 高、区域服务规模效应显著"为三大核心亮点，搭建起一条链接钱凯这一"新时代印加古道"的"海上快速 通道"，全力满足客户在南美西方向货物运输的迫切需求，与南美东金砖快航周班形成功能与优势互 补，在南美地区构建起更加系统、完善的服务网络，践行"所造皆能运， ...

Core Viewpoint - The company operates in the shipping-related business through six departments, focusing on various services including ship equipment, coatings, general trade, insurance consulting, ship trading agency, and shipping service technology solutions [9]. Financial Performance - The company's revenue and net profit have shown fluctuations over the years, with a notable increase in revenue in 2025 H1 compared to previous periods [11][15]. - The average return on equity for the company in 2025 H1 was 6.09%, an increase of 1.18 percentage points from the same period last year [20]. Revenue Composition - In 2025 H1, the revenue composition included significant contributions from ship equipment and supplies, coatings, and insurance consulting, among others [14][18]. Asset and Liability Changes - As of 2025 H1, the company's cash and cash equivalents decreased by 14.88%, while accounts receivable increased by 50.17% [31]. - The company's liabilities saw an increase in accounts payable by 32.96% and tax liabilities by 140.48% [35]. Financial Ratios - The company reported a current ratio of 5.23 and a quick ratio of 5.06 in 2025 H1, indicating strong liquidity [38]. - The asset-liability ratio has shown a trend over the years, with the company maintaining a ratio lower than the industry average [37].

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年8月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 中遠海運國際(香港)有限公司 呈交日期: 2025年9月1日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00517 | 說明 | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 3,000,000,000 | HKD | | 0.1 HKD | | 300,000,000 | | 增加 / 減少 (-) | | | 0 | | | HKD | | 0 | | 本月底結存 | | | 3,000,000,000 | HKD | | 0.1 HKD | | 300,000,000 | 第 1 頁 共 10 頁 v 1.1.1 ...

Core Insights - The paint industry is experiencing a significant adjustment characterized by overall slowdown and increasing differentiation among companies, with market demand weakening and overcapacity leading to supply-demand imbalances [1][5] Revenue Performance - 29 companies reported year-on-year revenue growth, with the highest increase at 48.77%, while 18 companies saw declines, with the largest drop at 74.18% [3] - Notable companies like Sanke Tree, BASF Shanghai, and Aiside China maintained stable growth, with Sanke Tree's revenue increasing by 8.43% despite a decline in engineering business [4][3] - Companies such as Jia Baoli and Mai Jia Xin Cai showed strong revenue growth, significantly outperforming the market average [3] Profitability Analysis - 25 companies achieved year-on-year net profit growth, with the highest increase at 931.25%, while 23 companies reported declines, with the largest drop at 409.98% [3] - Seven companies reported losses, with the highest loss amounting to 191.6 million yuan [3] - Companies like Sanke Tree, Jia Baoli, and Mai Jia Xin Cai demonstrated strong resilience and risk management, maintaining growth in both revenue and profit [3] Market Challenges - The architectural paint market faces severe challenges, with Nippon Paint's architectural paint sales revenue declining by 14.3% year-on-year [4] - Companies reliant on real estate, such as Yashi Chuangneng, experienced significant revenue drops, with a 74.18% decline and a net loss of 196 million yuan [4] - The industrial paint sector showed more stability, with several companies achieving both revenue and profit growth, although some experienced profit declines despite revenue increases [4] Company-Specific Performance - Sanke Tree reported revenue of 5.816 billion yuan with a 0.97% increase and a net profit growth of 107.53% [6] - BASF Shanghai's revenue was 2.298 billion yuan, with a 3.10% increase, but a net profit decline of 17.38% [6] - Aiside China's revenue reached 2.052 billion yuan, reflecting a 9.03% increase [6] - Jia Baoli achieved a revenue of 1.825 billion yuan, with a significant growth of 38.66% [6] - Mai Jia Xin Cai reported revenue of 0.8878 billion yuan, with a 17.09% increase and a net profit growth of 48.83% [6]

Core Viewpoint - 中远海运国际's H1 2025 performance exceeded expectations, with revenue of HKD 1.93 billion, a 10% year-on-year increase, and a net profit of HKD 490 million, up 26% [1][2]. Group 1: Coating Business - The company's coating business saw significant growth, with revenue of HKD 820 million in H1 2025, a 38% increase year-on-year, and a segment profit of HKD 200 million, up 20% [1]. - Container coating sales surged by 94% year-on-year to 29,000 tons, driven by factors such as container rerouting and port congestion [1]. - The joint venture with Jotun contributed HKD 170 million in investment income, a 21% increase, with ship coatings sales rising by 19% to 70 million liters [1]. Group 2: Ship Trading Agency Business - The ship trading agency business generated revenue of HKD 100 million in H1 2025, a 97% increase year-on-year, with segment profit rising by 124% to HKD 80 million [2]. - The growth was attributed to an increase in new ship deliveries and the acquisition of new clients, leading to higher commission income [2]. Group 3: Other Businesses - The insurance business remained stable, with revenue of HKD 120 million, a 7% increase, and a profit of HKD 80 million, up 11% [2]. - Revenue from marine equipment declined by 3% to HKD 890 million, with a segment profit decrease of 5% to HKD 50 million [2]. Group 4: Strategic Initiatives and Financial Position - The company is strategically positioning itself in the green methanol sector, forming a joint venture to produce 200,000 tons of methanol annually, expected to commence production in 2026 [2]. - As of mid-2025, the company had cash and cash equivalents of HKD 5.1 billion, with a planned interim dividend of HKD 0.33 per share, maintaining a high payout ratio of around 100% over the past five years [2]. Group 5: Earnings Forecast and Rating - Due to the strong performance in the coating and ship trading businesses, the profit forecast for 2025-2027 has been raised, with expected net profits of HKD 830 million, HKD 870 million, and HKD 910 million respectively [3]. - The company maintains a "buy" rating with a projected PE ratio of 11 for 2025 and 10 for 2027 [3].

Investment Rating - The report maintains a "Buy" rating for China COSCO Shipping International (00517) [2][6][16] Core Views - The company's performance exceeded expectations, benefiting from an upturn in the shipping cycle and a high dividend payout ratio that creates a competitive advantage [2][6] - The report highlights significant growth in the company's paint business, with container paint sales increasing by 94% year-on-year, and ship paint sales rising by 19% [6] - The ship trading agency business saw a 97% increase in revenue, driven by a rise in new ship deliveries and new customer acquisitions [6] - The company is strategically positioning itself in the green methanol sector, planning to establish a production capacity of 200,000 tons annually by 2026 [6] - The company maintains a strong cash position with HKD 51 billion in liquid assets and plans to distribute a dividend of HKD 0.33 per share, resulting in an estimated dividend yield of 9% for 2025 [6] Financial Data and Earnings Forecast - Revenue is projected to grow from HKD 3,342 million in 2023 to HKD 4,207 million in 2025, reflecting a compound annual growth rate (CAGR) of approximately 16% [5][7] - Net profit attributable to shareholders is expected to increase from HKD 594 million in 2023 to HKD 827 million in 2025, with a growth rate of 17% [5][7] - Earnings per share (EPS) is forecasted to rise from HKD 0.40 in 2023 to HKD 0.56 in 2025 [5][7] - The report adjusts the profit forecast for 2025-2027, projecting net profits of HKD 8.3 billion, HKD 8.7 billion, and HKD 9.1 billion respectively [6]

Core Viewpoint - COSCO Shipping International (Hong Kong) Limited reported a record half-year performance for the first half of 2025, with a 26% year-on-year increase in profit before tax to HKD 410.99 million [1] Financial Performance - The profit attributable to equity holders for the first half was HKD 487.22 million, with basic and diluted earnings per share of HKD 0.3324, also up 26% compared to the same period last year [1] - By business segment, the profit before tax for ship trading agency services increased by 124% to HKD 81.81 million [1] - The insurance consulting services segment saw a profit before tax rise of 11% to HKD 83.84 million [1] - The paint production and sales segment reported a profit before tax increase of 20% to HKD 204.14 million [1] - The ship equipment and spare parts supply segment experienced a slight decline of 5% in profit before tax to HKD 54.10 million [1] - The shipping service technology business incurred a loss before tax of HKD 12.90 million, as it remains in the initial investment and product development phase [1] Future Strategy - COSCO Shipping International aims to focus on the green, low-carbon, and digital transformation of shipping, emphasizing the development of a "Smart Ship Service Platform" and a "Marine New Energy Platform" [1] - The company is committed to becoming a technology-driven shipping service provider, promoting the digitalization of ship services and innovations in marine green energy [1]