Core Viewpoint - The company has experienced a decline in valuation since being short-sold, with its performance lagging behind the market despite a slight increase over the past three years. The fundamentals driving the business have weakened, and the company is awaiting a valuation anchor [1]. Financial Performance - For the first half of 2025, the company reported revenue of $7.833 billion, a year-on-year increase of 7.13%, and a net profit of $628 million, up 14.17%. The gross margin improved by 34 basis points to 40.3%, leading to a net profit margin of 8.17% [1]. - Earnings per share were $0.3437, with an interim dividend proposed at HKD 1.25 (approximately $0.1609), resulting in a payout ratio of 46.81% [1]. Business Segments - The electric tools segment showed robust performance, generating $7.425 billion in revenue, a 7.85% increase, accounting for 94.8% of total revenue. The two main brands, MILWAUKEE and RYOBI, contributed significantly to this growth, with MILWAUKEE sales increasing by 11.9% and RYOBI by 8.7% [2][4]. - The floor care segment saw a revenue decline of 6%, reducing its market share to 5.2%, but it remained profitable with a segment profit of $10 million [5]. Market Dynamics - The global electric tools market has shown stable but modest growth, with a compound annual growth rate (CAGR) of 1.03% from 2018 to 2023. The cordless tools segment is expected to grow at a CAGR of 9.9% from 2020 to 2025, with cordless products projected to account for 56.12% of the market by 2025 [6]. - The company has maintained a strong market presence in North America and Europe, with revenues of $5.872 billion and $1.4 billion respectively, reflecting year-on-year growth of 7.52% and 11.9% [6]. Financial Health - The company has a healthy financial position, with a debt-to-asset ratio of 52.1% and a net cash position of $1.608 billion, covering its interest-bearing debt of $1.122 billion. The average operating cash flow over the past three years has been $1.87 billion [7]. - The company has consistently returned value to shareholders through dividends and share buybacks, with a total of 54 dividends paid since 2000 and a cumulative payout ratio of 38.14% [8]. Market Sentiment - Despite a general market rebound since 2022, the company's stock performance has been lackluster, with an average annual increase of only about 10%. The market is currently awaiting a catalyst for valuation recovery [8].

[Company Profile](index=3&type=section&id=Company%20Profile) TTI is a global leader in cordless technology, offering power tools, outdoor equipment, and floor care products for diverse markets - Techtronic Industries, founded in 1985 by Horst Julius Pudwill, is a global leader in cordless technology, offering power tools, outdoor power equipment, and floor care and cleaning products[5](index=5&type=chunk) - The company employs over **47,000 people globally**, solidifying its industry leadership through innovation and strategic growth[5](index=5&type=chunk) - Key brands include MILWAUKEE (professional tools) and RYOBI (DIY tools), alongside AEG, EMPIRE, HOMELITE, HOOVER, ORECK, VAX, and DIRT DEVIL[5](index=5&type=chunk) - The Pudwill family is the largest shareholder, with remaining equity primarily held by North American and European institutional investors; the company is listed on the Hong Kong Stock Exchange and is a Hang Seng Index constituent[6](index=6&type=chunk) [Financial Highlights](index=4&type=section&id=Financial%20Highlights) TTI's H1 2025 revenue grew 7.1% to $7.833 billion, with gross margin at 40.3% and profit up 14.2% H1 2025 Key Financial Data | Metric | 2025 (Million USD) | 2024 (Million USD) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 7,833 | 7,312 | +7.1% | | Gross Margin | 40.3% | 39.9% | +34 bps | | EBIT | 709 | 626 | +13.3% | | Profit Attributable to Shareholders | 628 | 550 | +14.2% | | Basic EPS (US cents) | 34.37 | 30.12 | +14.1% | | Interim Dividend Per Share (approx. US cents) | 16.09 | 13.90 | +15.7% | - Free cash flow reached **$468 million**, improving the company's financial position to a net cash status[17](index=17&type=chunk) - Business sales grew **11.9%** for MILWAUKEE and **8.7%** for RYOBI in local currency terms[18](index=18&type=chunk)[23](index=23&type=chunk) [Management Discussion and Analysis](index=6&type=section&id=Management%20Discussion%20and%20Analysis) This section details H1 2025 business performance, financial condition, and outlook, emphasizing sales growth, profitability, and strategic investments [Business Review](index=7&type=section&id=Business%20Review) TTI's H1 2025 sales reached $7.8 billion, driven by MILWAUKEE and RYOBI, with improved gross margin and positive free cash flow - H1 2025 sales reached **$7.8 billion**, growing **7.5%** in local currency and **7.1%** in reported currency[23](index=23&type=chunk) - MILWAUKEE's business grew **11.9%** and RYOBI's business grew **8.7%** in local currency terms[23](index=23&type=chunk) - Gross margin increased by **34 basis points to 40.3%**, while selling and administrative expenses as a percentage of sales decreased by **18 basis points to 31.3%**[23](index=23&type=chunk) - EBIT grew **13.3% to $709 million**, net profit increased **14.2% to $628 million**, and EPS grew **14.1% to 34.37 US cents**[24](index=24&type=chunk) - Working capital as a percentage of sales improved by **190 basis points to 16.8%**, and inventory days shortened by **1 day to 103 days**[24](index=24&type=chunk) - The company recorded **$468 million** in positive free cash flow, achieving a net cash position at period-end[25](index=25&type=chunk) [Business Segments Overview](index=7&type=section&id=Business%20Segments%20Overview) This section highlights Power Tools and Floor Care segments, noting strong power tool growth and a strategic shift in floor care [Power Tools](index=7&type=section&id=Power%20Tools) Power Tools sales grew 8.3% in local currency to $7.4 billion, comprising 94.8% of total revenue - Power Tools business sales grew **8.3%** in local currency to **$7.4 billion**[26](index=26&type=chunk) - The Power Tools business accounted for **94.8% of total revenue**, reaching **$7.425 billion**[20](index=20&type=chunk) [MILWAUKEE](index=7&type=section&id=MILWAUKEE) MILWAUKEE achieved 11.9% sales growth in H1 2025, driven by user-focused strategies, new vertical expansion, and global market penetration - MILWAUKEE business grew **11.9%** in local currency terms[27](index=27&type=chunk) - North American sales grew **12.9%**, and European sales grew **11.6%**[27](index=27&type=chunk) - Growth is driven by a strong commitment to the trades and a user-focused approach[27](index=27&type=chunk) - Opportunities are continuously pursued by developing existing and new business verticals, and expanding global market coverage[27](index=27&type=chunk) - New product, the M18 FUEL 1/2"–1" Steel Pipe Threader, designed for mechanical and plumbing trades, significantly enhances jobsite productivity[29](index=29&type=chunk) - Successfully expanded business from transportation maintenance to the mining sector, accelerating regional market expansion in Australia and Latin America[29](index=29&type=chunk)[31](index=31&type=chunk) [RYOBI](index=8&type=section&id=RYOBI) RYOBI grew 8.7% in local currency, with strong growth in power tools and outdoor equipment, leveraging extensive battery platforms - RYOBI brand grew **8.7%** in local currency, with power tools achieving low double-digit growth and outdoor power equipment mid-single-digit growth[32](index=32&type=chunk) - The RYOBI ONE+ 18V battery platform boasts the industry's largest user base, with continued expansion into the RYOBI 40V series and RYOBI USB Lithium platform[32](index=32&type=chunk) - Growth strategies include strengthening the existing user base, attracting new users, and driving growth in new and existing global markets[32](index=32&type=chunk) - Collaborates with leading distribution partners such as The Home Depot, Bunnings, and key European retailers[34](index=34&type=chunk) [Floor Care and Cleaning](index=9&type=section&id=Floor%20Care%20and%20Cleaning) Floor Care and Cleaning operating profit rose 3.6% to $9.7 million, despite a 4.8% revenue decline, as it transitions to cordless products - Floor Care and Cleaning business operating profit increased **3.6% to $9.7 million**[35](index=35&type=chunk) - Revenue decreased **4.8% to $408 million** in local currency terms[35](index=35&type=chunk) - RYOBI's innovative cleaning products performed well globally, while the VAX brand was affected by a slowdown in discretionary consumer spending[35](index=35&type=chunk) - The company is driving the transition from AC to cordless cleaning products and focusing on improving overall business profitability[35](index=35&type=chunk) [Outlook](index=9&type=section&id=Outlook) Satisfied with H1 2025 results, the company invested over $1.9 billion in capacity, confident in future growth and profitability improvements - Over **$1.9 billion** has been invested since 2015 to enhance production capacity and strengthen global manufacturing footprint[37](index=37&type=chunk) - The focus for H2 2025 is on improving profitability, with continued commitment to R&D investments[37](index=37&type=chunk) - The company is confident in its internal targets of **double-digit sales growth for MILWAUKEE** and **mid-single-digit sales growth for RYOBI** in 2026[38](index=38&type=chunk) - The medium-term internal target is to achieve an EBIT margin of **10% of sales**[38](index=38&type=chunk) [Review Report on Condensed Consolidated Financial Statements](index=12&type=section&id=Review%20Report%20on%20Condensed%20Consolidated%20Financial%20Statements) Deloitte reviewed TTI's H1 2025 condensed consolidated financial statements, finding no material non-compliance with HKAS 34 - Deloitte Touche Tohmatsu has reviewed the condensed consolidated financial statements and found no matters leading them to believe they are not prepared in all material respects in accordance with HKAS 34[58](index=58&type=chunk) - The scope of the review is substantially less than an audit conducted in accordance with Hong Kong Standards on Auditing, thus no audit opinion is expressed[57](index=57&type=chunk) [Condensed Consolidated Financial Statements](index=13&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents TTI's H1 2025 condensed consolidated financial statements, covering profit or loss, financial position, equity changes, cash flows, and notes [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=13&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) H1 2025 revenue was $7.833 billion, gross profit $3.156 billion, and profit attributable to shareholders $628 million, with total comprehensive income of $601 million Summary of Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income | Metric | 2025 (Thousand USD) | 2024 (Thousand USD) | | :--- | :--- | :--- | | Revenue | 7,833,083 | 7,311,988 | | Gross Profit | 3,155,807 | 2,920,717 | | Profit Before Tax | 681,496 | 593,706 | | Profit Attributable to Shareholders for the Period | 628,339 | 550,365 | | Total Comprehensive Income for the Period | 600,883 | 515,282 | - Other comprehensive loss for the period was primarily due to a **$191 million** fair value loss on foreign exchange forward contracts and cross-currency interest rate swaps in hedge accounting, partially offset by a **$164 million** gain from exchange differences on translating overseas operations[60](index=60&type=chunk) [Condensed Consolidated Statement of Financial Position](index=14&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, non-current assets were $5.137 billion, current assets $8.758 billion, and total equity attributable to shareholders $6.655 billion Summary of Condensed Consolidated Statement of Financial Position | Metric | June 30, 2025 (Thousand USD) | December 31, 2024 (Thousand USD) | | :--- | :--- | :--- | | Non-current Assets | 5,136,587 | 5,191,125 | | Current Assets | 8,758,100 | 7,699,364 | | Inventories | 4,293,010 | 4,076,210 | | Bank Balances, Deposits and Cash | 1,608,391 | 1,232,347 | | Current Liabilities | 5,676,383 | 4,919,034 | | Net Current Assets | 3,081,717 | 2,780,330 | | Total Equity Attributable to Shareholders | 6,655,351 | 6,363,597 | | Non-current Liabilities | 1,562,953 | 1,607,858 | [Condensed Consolidated Statement of Changes in Equity](index=16&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) Total equity attributable to shareholders increased from $6.364 billion to $6.655 billion in H1 2025, driven by profit, despite hedging losses - Total equity attributable to shareholders increased from **$6.364 billion** as of December 31, 2024, to **$6.655 billion** as of June 30, 2025[63](index=63&type=chunk) - Profit for the period was **$628 million**, but a fair value loss of **$27.456 million** on foreign exchange forward contracts and cross-currency interest rate swaps in hedge accounting resulted in other comprehensive loss[63](index=63&type=chunk) - Share repurchases amounted to **$15.521 million**, and final dividends paid totaled **$278 million** during the period[63](index=63&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=17&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) H1 2025 net cash from operating activities was $719 million, with period-end cash and cash equivalents at $1.608 billion Summary of Condensed Consolidated Statement of Cash Flows | Activity Type | 2025 (Thousand USD) | 2024 (Thousand USD) | | :--- | :--- | :--- | | Net Cash From Operating Activities | 719,108 | 774,916 | | Net Cash Used In Investing Activities | (218,086) | (234,591) | | Net Cash Used In Financing Activities | (177,831) | (246,845) | | Net Increase In Cash And Cash Equivalents | 323,191 | 293,480 | | Cash And Cash Equivalents At End Of Period | 1,608,391 | 1,226,545 | [Notes to the Condensed Consolidated Financial Statements](index=19&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed notes on accounting policies, segment data, revenue, tax, profit, dividends, EPS, asset additions, receivables, payables, borrowings, and capital commitments [1. Basis of Preparation](index=19&type=section&id=1.%20Basis%20of%20Preparation) The condensed consolidated financial statements are prepared per HKAS 34 "Interim Financial Reporting" and applicable HKEX Listing Rules - The condensed consolidated financial statements are prepared in accordance with HKAS 34 and the HKEX Listing Rules[66](index=66&type=chunk) [2. Significant Accounting Policies](index=19&type=section&id=2.%20Significant%20Accounting%20Policies) Financial statements are prepared on a historical cost basis, with some financial instruments at fair value; new HKFRS amendments had no material impact - The condensed consolidated financial statements are prepared on a historical cost basis, except for certain financial instruments measured at fair value[66](index=66&type=chunk) - The application of amendments to HKFRS accounting standards in this interim period had no material impact on the Group's financial position and performance[67](index=67&type=chunk) [3. Segment Information](index=20&type=section&id=3.%20Segment%20Information) The Group's revenue and results are analyzed across Power Tools ($7.425 billion) and Floor Care and Cleaning ($408 million) segments H1 2025 Segment Revenue | Segment | Thousand USD | | :--- | :--- | | Power Tools | 7,425,059 | | Floor Care and Cleaning | 408,024 | | **Total** | **7,833,083** | H1 2025 Segment Results | Segment | Thousand USD | | :--- | :--- | | Power Tools | 699,588 | | Floor Care and Cleaning | 9,664 | | **Consolidated** | **709,252** | [4. Revenue](index=21&type=section&id=4.%20Revenue) H1 2025 revenue was $7.833 billion, mainly from goods sales, with North America contributing $5.872 billion H1 2025 Revenue Composition | Revenue Source | 2025 (Thousand USD) | | :--- | :--- | | Sales of Goods | 7,826,450 | | Commission and Royalty Income | 6,633 | | **Total** | **7,833,083** | H1 2025 Revenue by Geographical Region | Region | 2025 (Thousand USD) | | :--- | :--- | | North America | 5,871,986 | | Europe | 1,400,825 | | Other Countries | 560,272 | | **Total** | **7,833,083** | [5. Income Tax Expense](index=21&type=section&id=5.%20Income%20Tax%20Expense) H1 2025 income tax expense was $53.157 million, mainly overseas taxes, with a temporary exception for Pillar Two legislation H1 2025 Income Tax Expense | Tax Category | 2025 (Thousand USD) | | :--- | :--- | | Hong Kong Profits Tax | (815) | | Overseas Tax | (53,601) | | Deferred Tax | 1,259 | | **Total** | **(53,157)** | - The Group has accrued supplementary tax under Pillar Two legislation and applied the temporary mandatory exception, not recognizing deferred tax assets and liabilities[76](index=76&type=chunk) [6. Profit for the Period](index=22&type=section&id=6.%20Profit%20for%20the%20Period) Profit for the period was after deducting $329.5 million in depreciation, $8.983 million in receivables impairment, and $39.007 million in inventory write-downs H1 2025 Profit for the Period Adjustments | Item | 2025 (Thousand USD) | | :--- | :--- | | Total Depreciation and Amortization | 329,535 | | Impairment Loss on Trade Receivables under ECL Model | 8,983 | | Write-down of Inventories | 39,007 | | Staff Costs | 1,436,495 | [7. Dividends](index=22&type=section&id=7.%20Dividends) A 2024 final dividend of HK$1.18 ($278 million) was paid, and an H1 2025 interim dividend of HK$1.25 ($295 million) was declared - A 2024 final dividend of **HK$1.18 (approx. 15.19 US cents)** per share, totaling approximately **$278 million**, was paid on June 27, 2025[78](index=78&type=chunk) - The Board resolved to declare an H1 2025 interim dividend of **HK$1.25 (approx. 16.09 US cents)** per share, totaling approximately **$295 million**, to be paid on or about September 19, 2025[78](index=78&type=chunk) [8. Earnings Per Share](index=22&type=section&id=8.%20Earnings%20Per%20Share) H1 2025 basic EPS was 34.37 US cents and diluted EPS 34.29 US cents, with no assumed option exercise due to higher prices H1 2025 Earnings Per Share | Metric | 2025 (US cents) | 2024 (US cents) | | :--- | :--- | :--- | | Basic | 34.37 | 30.12 | | Diluted | 34.29 | 29.98 | - The exercise of share options and vesting of share awards were not assumed for diluted EPS calculation as their exercise prices were higher than the average market price of shares[79](index=79&type=chunk) [9. Additions to Property, Plant and Equipment / Intangible Assets / Right-of-Use Assets](index=23&type=section&id=9.%20Additions%20to%20Property%2C%20Plant%20and%20Equipment%20%E2%81%84%20Intangible%20Assets%20%E2%81%84%20Right-of-Use%20Assets) The Group acquired $95.815 million in PPE, $156 million in intangible assets, and recognized $42.294 million in right-of-use assets and lease liabilities - Property, plant and equipment acquisitions amounted to approximately **$95.815 million** during the period[80](index=80&type=chunk) - Intangible assets additions amounted to approximately **$156 million**[80](index=80&type=chunk) - Right-of-use assets and lease liabilities of **$42.294 million** each were recognized[80](index=80&type=chunk) [10. Trade and Other Receivables / Bills Receivable](index=23&type=section&id=10.%20Trade%20and%20Other%20Receivables%20%E2%81%84%20Bills%20Receivable) As of June 30, 2025, net trade receivables were $2.492 billion and other receivables $94.555 million, with 60 trade receivables turnover days June 30, 2025 Trade and Other Receivables | Item | Thousand USD | | :--- | :--- | | Trade Receivables (net) | 2,492,487 | | Other Receivables | 94,555 | | **Total** | **2,587,042** | - Trade receivables turnover days remained at **60 days**, and all bills receivable were aged within **120 days**[45](index=45&type=chunk)[81](index=81&type=chunk) [11. Trade Receivables from Associates](index=23&type=section&id=11.%20Trade%20Receivables%20from%20Associates) As of June 30, 2025, all trade receivables from associates were aged within 120 days - Trade receivables from associates as of June 30, 2025, were aged within **120 days**[82](index=82&type=chunk) [12. Trade and Other Payables / Bills Payable](index=24&type=section&id=12.%20Trade%20and%20Other%20Payables%20%E2%81%84%20Bills%20Payable) As of June 30, 2025, trade payables were $2.193 billion and other payables $2.133 billion, with 102 payables turnover days June 30, 2025 Trade and Other Payables | Item | Thousand USD | | :--- | :--- | | Total Trade Payables | 2,192,739 | | Other Payables | 2,133,383 | | **Total** | **4,326,122** | - Trade payables turnover days were **102 days**, an increase from **96 days** in the prior year period[46](index=46&type=chunk) - Other payables primarily represent accrued selling, general, and administrative expenses of **$1.886 billion**[84](index=84&type=chunk) [13. Unsecured Borrowings](index=24&type=section&id=13.%20Unsecured%20Borrowings) The Group obtained $3.258 billion in new unsecured borrowings and repaid $3.108 billion, with a $752 million carrying value as of June 30, 2025 - New unsecured borrowings of **$3.258 billion** were obtained, and **$3.108 billion** was repaid during the period[85](index=85&type=chunk) - As of June 30, 2025, the carrying value of unsecured borrowings was **$752 million**[85](index=85&type=chunk) - The Group complied with all financial ratio covenants and classified relevant bank loan balances as non-current[85](index=85&type=chunk) [14. Share Capital](index=25&type=section&id=14.%20Share%20Capital) As of June 30, 2025, issued share capital was $690 million (1.831 billion shares), with 1.25 million shares repurchased for $15.521 million June 30, 2025 Share Capital Movement | Item | Number of Shares | Share Capital (Thousand USD) | | :--- | :--- | :--- | | At Beginning of Period | 1,832,304,941 | 689,684 | | Shares Issued on Exercise of Share Options | 40,000 | 307 | | Shares Repurchased | (1,250,000) | — | | **At End of Period** | **1,831,094,941** | **689,991** | - During the period, **1,250,000 ordinary shares** were repurchased for a total consideration of approximately **$15.521 million**, deducted from retained profits[86](index=86&type=chunk) - Share repurchases aim to enhance the company's net asset value per share and earnings per share, benefiting all shareholders[142](index=142&type=chunk) [15. Fair Value Measurement of Financial Instruments](index=26&type=section&id=15.%20Fair%20Value%20Measurement%20of%20Financial%20Instruments) Financial assets and liabilities are measured at fair value on a recurring basis, categorized into Level 1-3 based on observable inputs - The Group's financial assets and liabilities are measured at fair value on a recurring basis and categorized into Level 1 to 3 based on the observability of fair value measurement inputs[88](index=88&type=chunk)[90](index=90&type=chunk) - Key financial instruments include derivative financial instruments (e.g., foreign exchange forward contracts, cross-currency interest rate swaps) and financial assets at fair value through profit or loss (e.g., listed equities, club debentures, unlisted equity securities)[89](index=89&type=chunk) [16. Capital Commitments](index=27&type=section&id=16.%20Capital%20Commitments) As of June 30, 2025, contracted but unprovided capital commitments for PPE and equity investments totaled $153 million - As of June 30, 2025, total contracted but unprovided capital commitments for property, plant and equipment acquisitions and equity investments amounted to **$153 million**[91](index=91&type=chunk) [Corporate Governance and Other Information](index=28&type=section&id=Corporate%20Governance%20and%20Other%20Information) This section details corporate governance, directors' interests, share schemes, major shareholders, Listing Rules compliance, and director information [Directors' and Chief Executive's Interests](index=28&type=section&id=Directors'%20and%20Chief%20Executive's%20Interests) As of June 30, 2025, directors and the chief executive held company share interests, with Chairman Mr. Horst Julius Pudwill holding 21.83% June 30, 2025 Directors' and Chief Executive's Share Interests | Director Name | Total Interests in Shares / Related Shares | Approximate Percentage of Total Interests | | :--- | :--- | :--- | | Mr. Horst Julius Pudwill | 399,802,294 | 21.83% | | Mr. Stephan Horst Pudwill | 11,334,500 | 0.62% | | Mr. Steven Philip Richman | 2,400,000 | 0.13% | | Mr. Chan Kin Wah | 6,316,000 | 0.34% | | Mr. Chan Chi Chung | 6,975,000 | 0.38% | | Mr. Camille Jojo | 1,267,500 | 0.07% | | Mr. Peter David Sullivan | 619,000 | 0.03% | | Mr. Johannes-Gerhard Hesse | 586,000 | 0.03% | | Mr. Robert Hinman Getz | 394,674 | 0.02% | | Ms. Virginia Davis Wilmerding | 194,500 | 0.01% | | Ms. Caroline Christina Kracht | 152,500 | 0.01% | | Mr. Andrew Philip Roberts | 80,000 | <0.01% | | Ms. Ng Ka Fai | 40,000 | <0.01% | | Mr. Wong Tze Chuen | 40,000 | <0.01% | - Mr. Horst Julius Pudwill's interests include beneficial owner, spouse's interests, and controlled corporation interests[93](index=93&type=chunk) [Share Options](index=30&type=section&id=Share%20Options) The company operates D and E share option schemes, with E scheme revised to cap options at 10% of issued capital; 22.41 million unexercised options were outstanding - The company operates two share option schemes, Plan D and Plan E, with Plan E revised on May 12, 2023, to cap the total number of options at **10% of issued share capital**[98](index=98&type=chunk)[101](index=101&type=chunk) - As of June 30, 2025, **22.41 million unexercised share options** were outstanding, representing approximately **1.22%** of issued shares[104](index=104&type=chunk) - During the period, **1,525,000 share options** were granted, and a total expense of **$3.454 million** was recognized[104](index=104&type=chunk)[106](index=106&type=chunk) [Arrangements to Purchase Shares or Debentures](index=35&type=section&id=Arrangements%20to%20Purchase%20Shares%20or%20Debentures) Except for share award schemes, neither the company nor its subsidiaries had arrangements enabling directors to benefit from purchasing shares or debentures - Except for share award schemes, neither the company nor its subsidiaries had any arrangements during the year enabling directors to benefit from purchasing shares or debentures of the company or any other body corporate[107](index=107&type=chunk) [Directors' Material Interests in Transactions, Arrangements or Contracts](index=35&type=section&id=Directors'%20Material%20Interests%20in%20Transactions%2C%20Arrangements%20or%20Contracts) No director or associated entity had a material direct or indirect interest in any significant transaction, arrangement, or contract with the company or its subsidiaries - No director or their associated entity had a material direct or indirect interest in any significant transaction, arrangement, or contract entered into by the company or its subsidiaries during the period[108](index=108&type=chunk) [Directors' Indemnity](index=35&type=section&id=Directors'%20Indemnity) Each director is entitled to indemnity for losses or liabilities incurred in duties, and the company has arranged appropriate D&O liability insurance - Each director is entitled to indemnity for losses or liabilities incurred in performing their duties[109](index=109&type=chunk) - The company has arranged appropriate directors' and officers' liability insurance[109](index=109&type=chunk) [Management Contracts](index=35&type=section&id=Management%20Contracts) The company had no contracts concerning the management and administration of the Group or any substantial business part during the period - The company had no contracts concerning the management and administration of the Group as a whole or any substantial part of its business during the period[110](index=110&type=chunk) [Share-Linked Schemes](index=35&type=section&id=Share-Linked%20Schemes) Except for awards under the share award schemes, the Group had no share-linked agreements during the period - Except for share award schemes, the Group had no share-linked agreements during the period[111](index=111&type=chunk) [Share Award Scheme](index=36&type=section&id=Share%20Award%20Scheme) The 2018 Share Award Scheme, revised to cap awards at 10% of issued capital, had 19.726 million shares awarded with $14.234 million in expenses - The 2018 Share Award Scheme aims to recognize contributions from eligible persons and attract and retain talent for the Group[112](index=112&type=chunk) - The scheme was revised on May 12, 2023, to cap the total number of awarded shares at **10% of issued share capital**[114](index=114&type=chunk) - As of June 30, 2025, a total of **19,725,500 shares** had been awarded, representing **1.08%** of issued share capital[116](index=116&type=chunk) - Share-based payment expenses of **$14.234 million** were recognized during the period, and **2,025,000 shares** were awarded to directors and selected grantees[116](index=116&type=chunk) [Employee Share Award Scheme](index=41&type=section&id=Employee%20Share%20Award%20Scheme) The Board approved the Employee Share Award Scheme, effective May 8, 2025, as a single plan not involving new share issuance, aimed at attracting and retaining employees - The Board approved the adoption of the Employee Share Award Scheme, effective May 8, 2025[124](index=124&type=chunk) - The scheme is a single share award plan that does not involve the issuance of new shares or resale of treasury shares[124](index=124&type=chunk) - It aims to attract and retain employees, align their interests with shareholders, and promote the company's business success[124](index=124&type=chunk) [Major Shareholders' Interests](index=41&type=section&id=Major%20Shareholders'%20Interests) As of June 30, 2025, major shareholders included JPMorgan Chase (9.93%), BNY Mellon (7.64%), Capital Group (7.00%), and BlackRock (5.06%) June 30, 2025 Major Shareholders' Interests | Name | Total Interests in Shares (Long Position) | Approximate Percentage of Total Interests | | :--- | :--- | :--- | | JPMorgan Chase & Co. | 181,804,584 | 9.93% | | The Bank of New York Mellon Corporation | 139,955,933 | 7.64% | | The Capital Group Companies, Inc. | 128,163,969 | 7.00% | | BlackRock, Inc. | 92,602,298 | 5.06% | [Compliance with the Listing Rules' Corporate Governance Code](index=46&type=section&id=Compliance%20with%20the%20Listing%20Rules'%20Corporate%20Governance%20Code) The company complied with all Corporate Governance Code provisions for H1 2025, except for directors lacking specific appointment terms - The company complied with all code provisions of the Corporate Governance Code in Appendix C1 of the Listing Rules for the six months ended June 30, 2025[136](index=136&type=chunk) - Directors do not have a specific term of appointment but are subject to retirement by rotation and re-election in accordance with the company's Articles of Association[136](index=136&type=chunk) [Compliance with the Listing Rules' Model Code](index=46&type=section&id=Compliance%20with%20the%20Listing%20Rules'%20Model%20Code) The Board adopted and directors complied with the Model Code for Securities Transactions and the employee code of conduct, with no breaches - The Board adopted and all directors confirmed full compliance with the Model Code for Securities Transactions by Directors of Listed Issuers in Appendix C3 of the Listing Rules[137](index=137&type=chunk) - The company also adopted a code of conduct for employees with unpublished sensitive information, with no breaches found during the period[137](index=137&type=chunk) [Changes in Directors' Information](index=46&type=section&id=Changes%20in%20Directors'%20Information) Mr. Robert Hinman Getz was appointed as the company's Lead Independent Non-executive Director effective March 31, 2025 - Independent Non-executive Director Mr. Robert Hinman Getz was appointed as the company's Lead Independent Non-executive Director effective March 31, 2025[139](index=139&type=chunk) [Changes in Directors' Remuneration](index=46&type=section&id=Changes%20in%20Directors'%20Remuneration) Ms. Kracht and Mr. Wong were appointed to the Nomination Committee; Mr. Roberts and Ms. Ng to the Remuneration Committee, effective March 31, 2025 - Ms. Caroline Christina Kracht and Mr. Wong Tze Chuen were appointed as members of the Nomination Committee[140](index=140&type=chunk) - Mr. Andrew Philip Roberts and Ms. Ng Ka Fai were appointed as members of the Remuneration Committee[140](index=140&type=chunk) - Newly appointed committee members will be entitled to remuneration determined by the Board[140](index=140&type=chunk) [Review of Accounts](index=46&type=section&id=Review%20of%20Accounts) The Audit Committee, with auditors and management, reviewed the report, accounting principles, internal controls, and financial reporting - The Audit Committee, with independent auditors and senior management, reviewed this report, accounting principles, practices, internal controls, and financial reporting matters[141](index=141&type=chunk) - The Board confirmed its responsibility for preparing the Group's accounts[141](index=141&type=chunk) [Company Information](index=46&type=section&id=Company%20Information) This section provides key company details: Board, 2025 financial calendar, investor relations, listing information, and forward-looking statements disclaimer [Board of Directors](index=48&type=section&id=Board%20of%20Directors) The Board comprises executive and independent non-executive directors, including Chairman Mr. Horst Julius Pudwill, Vice Chairman Mr. Stephan Horst Pudwill, and CEO Mr. Steven Philip Richman - Board members include Executive Directors such as Chairman Mr. Horst Julius Pudwill, Vice Chairman Mr. Stephan Horst Pudwill, and Chief Executive Officer Mr. Steven Philip Richman[145](index=145&type=chunk) - Independent Non-executive Directors include Mr. Peter David Sullivan, Mr. Johannes-Gerhard Hesse, and Mr. Robert Hinman Getz[145](index=145&type=chunk) [2025 Financial Calendar](index=48&type=section&id=2025%20Financial%20Calendar) Key 2025 financial dates include the 2024 final dividend payment, H1 2025 interim results announcement, and interim dividend payment 2025 Financial Calendar | Date | Event | | :--- | :--- | | June 27 | Payment of 2024 Final Dividend | | June 30 | Six-month Interim Results Closing Date | | August 5 | Announcement of 2025 Interim Results | | September 3 | Last Day for Registration for 2025 Interim Dividend | | September 4 to 5 | Closure of Register of Members for 2025 Interim Dividend | | September 5 | Record Date for 2025 Interim Dividend | | September 19 | Payment of 2025 Interim Dividend | | December 31 | Financial Year Closing Date | [Investor Relations Contact](index=48&type=section&id=Investor%20Relations%20Contact) Investor relations contact details for North America and Asia Pacific, including email and website, are provided for accessing earnings results and reports - Investor relations contact emails for North America and Asia Pacific, and the company website (www.ttigroup.com), are provided[146](index=146&type=chunk) - Earnings results, annual/interim reports are published on the company website[146](index=146&type=chunk) [Listing Information](index=48&type=section&id=Listing%20Information) The company is listed on HKEX (code: 669) with Level 1 ADRs (TTNDY) and US foreign ordinary shares (TTNDF), with details on registrars and auditors - The company is listed on the Hong Kong Stock Exchange (ordinary shares stock code: **669**), with Level 1 American Depositary Receipts (ticker: **TTNDY**) and US foreign ordinary shares (ticker: **TTNDF**)[147](index=147&type=chunk) - The share registrar is Tricor Secretaries Limited, and the auditor is Deloitte Touche Tohmatsu[147](index=147&type=chunk) - All listed trademarks, except AEG and RYOBI, are owned by the Group[147](index=147&type=chunk) [Forward-Looking Statements](index=48&type=section&id=Forward-Looking%20Statements) This report contains forward-looking statements based on TTI's current expectations, estimates, and assumptions, subject to market risks and uncertainties - This report contains forward-looking statements based on Techtronic Industries' current expectations, estimates, forecasts, beliefs, and assumptions[148](index=148&type=chunk) - These statements are not guarantees of future performance and are subject to market risks, uncertainties, and factors beyond the company's control, where actual results may differ materially[148](index=148&type=chunk)

Industry Overview - The tool industry is characterized by a wide variety of SKUs, large market space, high correlation with the real estate sector, and a fragmented market structure, with Europe and the US being the main consumer markets [1] - The global market space for tools is estimated to be around $1000-1100 billion, with hand tools, power tools, and outdoor power equipment contributing approximately $250 billion, $450-500 billion, and $300-350 billion respectively [1] Demand Dynamics - The US real estate cycle is currently at the bottom, with interest rates having been high for three years, suppressing tool industry demand [2] - The probability of a 25 basis point rate cut by the Federal Reserve in September rose to 90.1%, with a cumulative cut of 50 basis points in October having a 63.5% probability, which is expected to stimulate the real estate cycle and increase tool demand [2] Company Analysis - Techtronic Industries has achieved a 50-fold increase in performance and a 250-fold increase in market capitalization since 2001 by capitalizing on two real estate upcycles, successfully transitioning to an OBM model and leveraging technological upgrades [3] Investment Recommendations - Companies such as QuanFeng Holdings and Giant Star Technology are recommended due to their strong product capabilities and nearly 50% OBM revenue share, positioning them well to capture market share in the upcoming cycle [4] - Both companies have completed their OBM transitions and have moved some production overseas to mitigate tariff risks, thereby widening the gap with domestic ODM/OEM companies [4]

Investment Rating - The report maintains a positive investment rating for the tool industry, highlighting potential growth opportunities due to favorable economic conditions in the U.S. real estate market [1]. Core Insights - The tool industry is characterized by a large market space, diverse product categories, and a strong correlation with the real estate sector, with the U.S. currently at the bottom of its real estate cycle, suggesting a potential recovery driven by interest rate cuts [1][29]. - The global market for tools is estimated to be around $100-110 billion, with significant contributions from hand tools, power tools, and outdoor power equipment (OPE) [18][28]. - The report emphasizes the successful transformation of the global leader, Techtronic Industries (TTI), which capitalized on two real estate upcycles in the U.S. by shifting to an Original Brand Manufacturer (OBM) model and leveraging technological advancements [1][44]. Summary by Sections 1. Tool Industry Overview - The tool industry includes hand tools, power tools, and outdoor power equipment, primarily serving the real estate and construction sectors [10][11]. - The demand distribution shows that existing residential repairs/DIY account for approximately 20%, new residential construction for 24%, and commercial buildings and industrial/automotive repairs for 14% each [16]. 2. Market Size and Structure - The global tool market is valued at approximately $100-110 billion, with hand tools at $25 billion, power tools at $450-500 billion (of which electric tools are about $300 billion), and OPE at $300-350 billion [18][28]. - The industry is characterized by a "China manufacturing, U.S. consumption" model, with China being the largest producer of electric tools, accounting for about 65% of global production [23][28]. 3. U.S. Real Estate Cycle - The U.S. real estate market is currently at a low point, with interest rates having been high for three years, suppressing tool demand. However, a potential interest rate cut could stimulate demand in the sector [29][34]. - The report notes a significant correlation between mortgage rates and new housing sales, indicating that a decrease in rates could lead to increased housing demand and, consequently, tool sales [29][30]. 4. Company Analysis - Techtronic Industries has achieved a remarkable 50-fold increase in performance and a 250-fold increase in market capitalization since 2001, primarily by adapting to market cycles and focusing on product innovation [44][55]. - The report recommends companies like QuanFeng Holdings and Giant Star Technology, which have successfully transitioned to OBM models and are well-positioned to capture market share in the upcoming cycle [1][44].

格隆汇8月28日丨根据联交所最新权益披露资料显示，2025年8月22日，创科实业(00669.HK)遭Richman Steven Philip在场内以每股均价99.365港元减持32.12 万股，涉资约3191.85万港元。 | 表格序號 | 大股東/董事/最高行政人員名 作出披露的 買 人 / 賣出或涉及的 每股的平均價 | | | | | 持有權益的股份數目 佔已發行的有關事件的日 相關法 | | | --- | --- | --- | --- | --- | --- | --- | --- | | | | 原因 | 股份數目 | | | (請參閱上述 * 註 | 有投票權股 期 (日 / 月 / | | | | | | | | | 份百分比 年) | | | | | | | | | (%) | | DA20250827E00251 | Richman Steven Philip | 1201(L) | | 321,225(L | HKD 99.3650 | 2.078.775(L) | 0.11(L)22/08/2025 | 减持后，Richman Steven Philip最新持股数目为2,078, ...

香港联交所最新资料显示，8月22日，Richman Steven Philip减持创科实业(00669)32.1225万股，每股作 价99.365港元，总金额约为3191.85万港元。减持后最新持股数目约为207.88万股，最新持股比例为 0.11%。 ...

香港联交所最新资料显示，8月22日，Richman Steven Philip减持创科实业(00669)32.1225万股，每股作 价99.365港元，总金额约为3191.85万港元。减持后最新持股数目约为207.88万股，最新持股比例为 0.11%。 ...

Investment Rating - The report maintains a rating of "Outperform the Market" for the industry [7] Core Insights - The report highlights that Dahon Technology is the leading player in the domestic folding bicycle industry, with a market share of 26.3% in sales volume and 36.5% in sales revenue for 2024, indicating strong brand influence and industry position [2][12] - The folding bicycle market is experiencing rapid growth, with a projected compound annual growth rate (CAGR) of 24% in sales volume and 33% in revenue from 2022 to 2024 for Dahon Technology [2][59] - The global bicycle market is expected to grow steadily, with a retail volume increase from 164.5 million units in 2019 to 178.8 million units in 2024, reflecting a CAGR of 1.7% [13][16] Summary by Sections Industry Overview - The demand for folding bicycles is rapidly increasing, driven by urban commuting needs and the convenience of compact storage [21][22] - The global folding bicycle market is projected to grow from 2.0 million units in 2019 to 3.7 million units in 2024, with a CAGR of 13.4% [22][30] - The market for high-end folding bicycles (priced above 2500 RMB) is expanding, accounting for approximately 44.1% of retail volume and 86.5% of retail revenue in 2024 [30][42] Company Profile: Dahon Technology - Dahon Technology, founded in 1982, has established itself as a leader in the folding bicycle sector, achieving significant growth and brand recognition [2][55] - The company’s revenue for 2024 is projected to reach 4.51 billion RMB, with a net profit of 0.52 billion RMB, both reflecting a year-on-year increase of 50% [2][59] - Dahon's product strategy focuses on the mid to high-end market, with mid-range products accounting for approximately 69.5% of revenue by 2024 [70] Market Dynamics - The domestic market for folding bicycles is highly concentrated, with Dahon Technology holding a dominant position, capturing 60.4% of the market share among the top five companies [49][46] - The report indicates that the Chinese market is the largest single market for folding bicycles, with retail volume expected to grow from 0.3 million units in 2019 to 0.8 million units in 2024, reflecting a CAGR of 19.9% [40][41] - The company is expanding its distribution network, with over 680 retail points across 30 provincial regions in China, while also gradually recovering its overseas market presence [75][76]

每经AI快讯，Wind数据显示，8月21日，共15只港股获公司回购，4只个股回购金额超千万港元。其 中，腾讯控股、中国宏桥、创科实业回购金额最大，分别获公司回购5.51亿港元、3516.03万港元、 2508.49万港元。截至8月21日，今年已有218只港股获公司回购，43只个股年内累计回购金额超亿港 元。其中，腾讯控股、汇丰控股、友邦保险年内累计回购金额最大，分别获公司回购422.45亿港元、 230.57亿港元、176.93亿港元。 ...

| 股票名称 | 回购数 | 回购额 | 年累计回购数量(股) | 年累计回购数量/总 | | --- | --- | --- | --- | --- | | | | | | 股本 | | 腾讯控股(00700) | 92.80 万 | 5.51 亿 | 4119.50 万 | 0.448% | | 中国宏桥(01378) | 146.95 万 | 3516.03 万 | 5411.10 万 | 0.580% | | 创科实业(00669) | 25.00 万 | 2508.49 万 | 100.00 万 | 0.055% | | 恒生银行(00011) | 20.00 万 | 2249.35 万 | 300.00 万 | 0.159% | | 北森控股(09669) | 45.00 万 | 356.53 万 | 734.50 万 | 1.046% | | 元征科技(02488) | 17.40 万 | 196.76 万 | 236.45 万 | 1.464% | | 康宁医院(02120) | 12.09 万 | 127.75 万 | 46.31 万 | 0.640% | | 归创通桥-B(02190) | ...