高陽科技(中國)有限公司 ********************* 職權範圍 ********************* 前言 本公司設立提名委員會（「委員會」），並訂有書面職權範圍。本職權範圍經本公 司董事（「 董事」） 會（「 董事會」） 不時修訂及批准，以符合香港聯合交易 所有限公司證券上市規則（「 上市規則」） 項下的企業管治守則。 成員及秘書 1. 組成 ： 委員會須至少由 3 名成員（「成員」）組成 及委任至少一名不同性別的董事 委員會的成員由董事會從非執行董事中委 任，其中過半數必須是獨立非執行董事「獨( 立非執行董事」)。 2. 主席 ： 委員會主席由董事會委任，亦必須是獨立 非執行董事。 3. 秘書 ： 公司秘書或（如公司秘書沒有出席）其代 表將擔任委員會秘書。委員會可不時委任 任何其他具有適當資格及經驗的人擔任委 員會秘書。 1 (於百慕達註冊成立之有限公司) (股份代號: 818) (「本公司」) 提名委員會 權限 職責 委員會應有以下職責： 會議 | 10. | 會議次數 | ： | 委員會須每年至少舉行一次會議。如委員 | | --- | --- | --- | --- | | | ...

Interim Report 2025 中期報告 二零二五年中期報告 – 高陽科技（中國）有限公司 1 Contents 目錄 HI SUN TECHNOLOGY (CHINA) LIMITED – INTERIM REPORT 2025 Business Review 業務回顧 Business Review 業務回顧 INTERIM CONDENSED SEGMENT RESULT ANALYSIS 中期簡明分類業績分析 | | | | Turnover | | EBITDA# | | | --- | --- | --- | --- | --- | --- | --- | | | | | 營業額 | | EBITDA# | | | | | | Unaudited | | Unaudited | | | | | | 未經審核 | | 未經審核 | | | | | | 1H2025 二零二五年 | 1H2024 二零二四年 | 1H2025 二零二五年 | 1H2024 二零二四年 | | | | | 上半年 | 上半年 | 上半年 | 上半年 | | | | Notes | HK$'000 | HK$'00 ...

Core Points - The company reported a revenue of HKD 962 million for the six months ending June 30, 2025, representing a year-on-year decrease of 18.28% [1] - The loss attributable to shareholders was HKD 11.415 million, compared to a profit of HKD 3.397 million in the same period last year, resulting in a basic loss per share of HKD 0.004 [1] - The decline in revenue is primarily attributed to reduced turnover in the payment and digital services segment, as well as the energy metering and solutions segment [1] Revenue and Profit Analysis - The decrease in classified turnover and operating profit is mainly due to a non-cash stock option expense of approximately HKD 85.2 million related to a subsidiary's stock option grant in March 2025 [1] - The shift towards digital payments further replaced traditional payment markets, with increased resource allocation towards overseas and cross-border operations [1]

智通财经APP讯，高阳科技(00818)发布截至2025年6月30日止6个月的中期业绩，该集团取得收入9.62亿 港元，同比减少18.28%;公司拥有人应占亏损1141.5万港元，去年同期溢利339.7万港元;每股基本亏损 0.004港元。 公告称，收益减少乃主要由于集团的支付及数字化服务分类以及电能计量及解决方案分类的分类营业额 减少所致。分类营业额及分类经营溢利减少主要归因于支付及数字化服务分类就公司一间附属公司于 2025年3月授出的购股权而产生约8520万港元的非现金购股权开支;及数字支付进一步取代传统支付市 场，并向海外及跨境业务增拨资源。 ...

格隆汇8月18日丨高阳科技(00818.HK)公布，截至2025年6月30日止六个月，公司综合营业额为 961,700,000港元，同比减少约18%。期内亏损合共为27,100,000港元，而于2024年上半年则为溢利 23,400,000港元。 ...

[Financial Overview](index=1&type=section&id=Financial%20Overview) The group's H1 2025 consolidated results show a revenue decline and a shift from profit to loss, while total assets and equity increased [Financial Overview](index=1&type=section&id=Financial%20Overview) The group's H1 2025 consolidated results show an 18% year-on-year revenue decrease and a shift from profit to loss, with total assets and equity increasing H1 2025 vs H1 2024 Performance Overview (HKD thousands) | Metric | H1 2025 | H1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 961,708 | 1,176,888 | -18% | | Gross Profit | 332,110 | 413,836 | -20% | | Segment EBITDA | 8,839 | 75,379 | -88% | | Operating (Loss) / Profit | (140,575) | 9,488 | N/A | | Adjusted Net Profit | 59,886 | 164,280 | -64% | | Net (Loss) / Profit for the Period | (27,143) | 23,415 | N/A | | Net (Loss) / Profit Attributable to Owners of the Company | (11,415) | 3,397 | N/A | | Basic (Loss) / Earnings Per Share (HKD) | (0.004) | 0.001 | N/A | | Diluted (Loss) / Earnings Per Share (HKD) | (0.040) | (0.032) | N/A | Financial Position Summary as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Metric | June 30, 2025 | December 31, 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Total Equity | 7,915,882 | 7,722,876 | +2% | | Net Current Assets | 3,948,578 | 3,844,654 | +3% | | Total Assets | 13,812,111 | 11,858,778 | +16% | | Net Assets Per Share (HKD) | 2.851 | 2.781 | +3% | [Interim Condensed Consolidated Financial Statements](index=3&type=section&id=Interim%20Condensed%20Consolidated%20Financial%20Statements) This section presents the group's interim financial statements, including income, comprehensive income, and balance sheets, detailing performance and financial position [Interim Condensed Consolidated Statement of Profit or Loss](index=3&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss) The group's H1 2025 revenue decreased by 18.3%, leading to an operating loss of HKD 140,575 thousand, primarily due to increased selling expenses and share-based payments H1 2025 vs H1 2024 Consolidated Statement of Profit or Loss (HKD thousands) | Metric | H1 2025 | H1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 961,708 | 1,176,888 | -18.3% | | Cost of Sales | (629,598) | (763,052) | -17.5% | | Gross Profit | 332,110 | 413,836 | -19.8% | | Other Income | 68,040 | 89,322 | -23.8% | | Operating (Loss) / Profit | (140,575) | 9,488 | N/A | | Share of Results of Associates | 119,224 | 141,385 | -15.7% | | Net (Loss) / Profit for the Period | (27,143) | 23,415 | N/A | | Net (Loss) / Profit Attributable to Owners of the Company | (11,415) | 3,397 | N/A | - Selling expenses increased from HKD 55,452 thousand to HKD 82,173 thousand, with new share-based payments under subsidiary share option schemes amounting to **HKD 87,029 thousand**[4](index=4&type=chunk) [Interim Condensed Consolidated Statement of Comprehensive Income](index=4&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) The group's H1 2025 total comprehensive income shifted from a loss to a gain of HKD 115,470 thousand, mainly driven by foreign currency translation differences H1 2025 vs H1 2024 Consolidated Statement of Comprehensive Income (HKD thousands) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net (Loss) / Profit for the Period | (27,143) | 23,415 | | Exchange differences on translating foreign operations | 91,700 | (74,198) | | Share of other comprehensive income / (loss) of associates | 51,279 | (61,012) | | Total Comprehensive Income / (Loss) for the Period | 115,470 | (111,619) | | Total Comprehensive Income / (Loss) Attributable to Owners of the Company | 112,795 | (116,962) | - In H1 2025, exchange differences on translating foreign operations shifted from a loss to a gain of **HKD 91,700 thousand**, positively impacting comprehensive income[6](index=6&type=chunk) [Interim Condensed Consolidated Statement of Financial Position](index=5&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, total assets increased by 16% to HKD 13,812,111 thousand, while total liabilities rose by 42.6%, mainly due to increased payables for payment and digitalization services Consolidated Statement of Financial Position as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Metric | June 30, 2025 | December 31, 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Total Assets | 13,812,111 | 11,858,778 | +16.48% | | Total Non-Current Assets | 3,982,989 | 3,893,895 | +2.29% | | Total Current Assets | 9,829,122 | 7,964,883 | +23.40% | | Total Equity | 7,915,882 | 7,722,876 | +2.50% | | Total Liabilities | 5,896,229 | 4,135,902 | +42.59% | | Total Non-Current Liabilities | 15,685 | 15,673 | +0.08% | | Total Current Liabilities | 5,880,544 | 4,120,229 | +42.72% | - Restricted bank balances significantly increased to **HKD 4,053,794 thousand** (December 31, 2024: HKD 2,593,913 thousand), and cash and cash equivalents rose to **HKD 3,671,885 thousand** (December 31, 2024: HKD 3,011,282 thousand)[7](index=7&type=chunk) - Payables for payment and digitalization services substantially increased to **HKD 4,178,198 thousand** (December 31, 2024: HKD 2,623,537 thousand), with new asset-backed securities amounting to **HKD 308,387 thousand**[8](index=8&type=chunk) [Notes](index=7&type=section&id=Notes) This section provides detailed notes on the group's general information, accounting policies, revenue breakdown, segment information, and other financial disclosures [General Information](index=7&type=section&id=General%20Information) The group primarily engages in payment and digitalization services, fintech, platform operation, and financial solutions, is listed on HKEX, and presents unaudited interim financial information in HKD thousands - The group primarily provides payment and digitalization services, fintech services, platform operation solutions, and financial solutions[9](index=9&type=chunk) - The company is incorporated in Bermuda and listed on The Stock Exchange of Hong Kong Limited[9](index=9&type=chunk)[10](index=10&type=chunk) - This interim condensed consolidated financial information is presented in **HKD thousands**, approved for publication on August 18, 2025, and is unaudited[11](index=11&type=chunk)[12](index=12&type=chunk)[13](index=13&type=chunk) [Basis of Preparation](index=7&type=section&id=Basis%20of%20Preparation) The interim condensed consolidated financial information is prepared in accordance with HKAS 34 and should be read in conjunction with the annual consolidated financial statements - The interim condensed consolidated financial information is prepared in accordance with Hong Kong Accounting Standard 34 Interim Financial Reporting issued by the HKICPA[14](index=14&type=chunk) - This information does not include all note disclosures normally required in annual consolidated financial statements and should be read in conjunction with the annual consolidated financial statements prepared in accordance with HKFRSs[14](index=14&type=chunk) [Accounting Policies](index=7&type=section&id=Accounting%20Policies) Accounting policies are consistent with the prior annual financial statements, except for income tax estimates and the adoption of new/revised standards - The accounting policies adopted are consistent with those applied in the annual consolidated financial statements for the year ended December 31, 2024, except for income tax estimates and the adoption of new and revised standards[15](index=15&type=chunk) - The group was not required to change its accounting policies or make retrospective adjustments due to the adoption of certain standard amendments[16](index=16&type=chunk) - Certain new accounting standards issued but not yet effective are not expected to have a significant impact on the group in current or future reporting periods[17](index=17&type=chunk) [Revenue, Other Income and Other (Losses) / Gains, Net](index=8&type=section&id=Revenue%2C%20Other%20Income%20and%20Other%20(Losses)%20%2F%20Gains%2C%20Net) The group's H1 2025 total revenue decreased by 18.3% due to reduced service and goods sales, while interest income declined and government grants increased H1 2025 vs H1 2024 Revenue Composition (HKD thousands) | Revenue Source | H1 2025 | H1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Provision of Services | 918,252 | 1,055,482 | -13.0% | | Sale of Goods | 5,864 | 83,887 | -93.0% | | Provision of Fintech Services | 37,592 | 37,519 | +0.2% | | **Total Revenue** | **961,708** | **1,176,888** | **-18.3%** | H1 2025 vs H1 2024 Other Income (HKD thousands) | Other Income Source | H1 2025 | H1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Interest Income | 58,064 | 80,755 | -28.1% | | Government Grants | 9,570 | 7,855 | +21.8% | | Rental Income | 173 | 437 | -60.4% | | Others | 233 | 275 | -15.3% | | **Total Other Income** | **68,040** | **89,322** | **-23.8%** | - Other (losses) / gains, net, shifted from a gain of HKD 269 thousand in H1 2024 to a loss of **HKD 3,234 thousand** in H1 2025, primarily due to increased fair value losses on financial assets at fair value through profit or loss[18](index=18&type=chunk) [Segment Information](index=9&type=section&id=Segment%20Information) The group's operations are categorized into four segments: payment and digitalization services, fintech services, platform operation solutions, and financial solutions, with performance assessed by EBITDA and segment operating profit/loss - The group's internal reporting categorizes operations into four main segments: payment and digitalization services, fintech services, platform operation solutions, and financial solutions[21](index=21&type=chunk)[22](index=22&type=chunk) - The Board assesses segment performance based on (loss) / profit before interest expense, tax, depreciation, and amortization (EBITDA) and segment operating (loss) / profit[21](index=21&type=chunk) [Segment Revenue and Results](index=10&type=section&id=Segment%20Revenue%20and%20Results) In H1 2025, payment and digitalization services, platform operation solutions, and financial solutions saw declines in revenue and EBITDA, while fintech services achieved revenue growth and a shift to profit H1 2025 vs H1 2024 Segment Revenue and EBITDA (HKD thousands) | Segment | H1 2025 Revenue | H1 2024 Revenue | Change (%) | H1 2025 EBITDA | H1 2024 EBITDA | Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Payment and Digitalization Services | 800,534 | 892,230 | -10.3% | 26,555 | 117,472 | -77.4% | | Fintech Services | 46,232 | 43,904 | +5.3% | 28,242 | (20,372) | N/A | | Platform Operation Solutions | 41,340 | 57,057 | -27.6% | (19,049) | (16,080) | N/A | | Financial Solutions | 73,602 | 99,810 | -26.3% | (27,472) | 384 | N/A | | Others | – | 83,887 | -100% | 563 | (6,025) | N/A | | **Total** | **961,708** | **1,176,888** | **-18.3%** | **8,839** | **75,379** | **-88.3%** | - Payment and digitalization services, platform operation solutions, and financial solutions all recorded operating losses, while fintech services achieved an operating profit[23](index=23&type=chunk) [Segment Assets and Liabilities](index=12&type=section&id=Segment%20Assets%20and%20Liabilities) As of June 30, 2025, the payment and digitalization services segment held the largest share of assets and liabilities, with non-current asset additions primarily comprising property, plant, and equipment and right-of-use assets Segment Assets as of June 30, 2025 (HKD thousands) | Segment | Segment Assets | | :--- | :--- | | Payment and Digitalization Services | 7,133,700 | | Fintech Services | 2,253,603 | | Platform Operation Solutions | 552,385 | | Financial Solutions | 403,323 | | Others | 294,024 | | Unallocated | 5,057,071 | | Eliminations | (1,881,995) | | **Group Total** | **13,812,111** | Segment Liabilities as of June 30, 2025 (HKD thousands) | Segment | Segment Liabilities | | :--- | :--- | | Payment and Digitalization Services | (5,527,427) | | Fintech Services | (787,007) | | Platform Operation Solutions | (330,499) | | Financial Solutions | (565,158) | | Others | (110,340) | | Unallocated | (457,793) | | Eliminations | 1,881,995 | | **Group Total** | **(5,896,229)** | - Total non-current asset additions in H1 2025 amounted to **HKD 28,179 thousand**, mainly comprising property, plant, and equipment and right-of-use assets[25](index=25&type=chunk)[26](index=26&type=chunk) [Expenses by Nature](index=13&type=section&id=Expenses%20by%20Nature) In H1 2025, employee benefits and R&D costs increased, while commissions, depreciation of property, plant, and equipment, and cost of inventories sold decreased, with credit impairment losses shifting to a reversal H1 2025 vs H1 2024 Key Expense Items (HKD thousands) | Expense Item | H1 2025 | H1 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Commissions and Incentives Paid / Payable to Business Channel Partners | 463,791 | 513,035 | -9.6% | | Interest Expense on Asset-Backed Securities | 1,908 | – | N/A | | Depreciation of Property, Plant and Equipment | 14,406 | 24,672 | -41.6% | | Depreciation of Right-of-Use Assets | 15,438 | 13,892 | +11.1% | | Amortization of Intangible Assets | 4,622 | 177 | +2500% | | Employee Benefit Expenses (including Share-Based Payments under Subsidiary Share Option Schemes) | 521,458 | 454,638 | +14.7% | | Cost of Inventories Sold | 5,491 | 61,776 | -91.1% | | Research and Development Costs (including Staff Costs) | 176,557 | 165,965 | +6.4% | | (Reversal of) / Credit Impairment Losses | 5,554 | (33,823) | N/A | - Credit impairment shifted from a loss of HKD 33,823 thousand in H1 2024 to a reversal of **HKD 5,554 thousand** in H1 2025[28](index=28&type=chunk) [Income Tax (Expense) / Credit](index=14&type=section&id=Income%20Tax%20(Expense)%20%2F%20Credit) The group's H1 2025 income tax shifted from a credit to an expense of HKD 7,074 thousand, primarily due to Hong Kong profits tax and reduced over-provision from prior years, with Chinese subsidiaries enjoying preferential tax rates H1 2025 vs H1 2024 Income Tax (Expense) / Credit (HKD thousands) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Current Income Tax - Hong Kong Profits Tax | (4,577) | – | | Current Income Tax - China Corporate Income Tax | (4,734) | (7,075) | | Over-provision in Prior Years | 2,237 | 23,924 | | Deferred Income Tax | – | 6 | | **Income Tax (Expense) / Credit** | **(7,074)** | **16,855** | - Hong Kong profits tax is calculated at a rate of **16.5%**, resulting in an expense in H1 2025, while there was no assessable profit in H1 2024[29](index=29&type=chunk) - Beijing Jiehui was recognized as a software and integrated circuit enterprise, enjoying preferential tax rates of **0% or 12.5%**, leading to an over-provision of income tax in prior years[32](index=32&type=chunk)[33](index=33&type=chunk) [Dividends](index=15&type=section&id=Dividends) The company neither paid nor declared any dividends in H1 2025 or H1 2024 - No dividends were paid or declared by the company for the six months ended June 30, 2025[34](index=34&type=chunk) [(Loss) / Earnings Per Share](index=15&type=section&id=(Loss)%20%2F%20Earnings%20Per%20Share) The group's H1 2025 basic loss per share was HKD 0.004 and diluted loss per share was HKD 0.040, both shifting from profit or widening losses year-on-year, primarily due to the dilutive effect of PAX Global share options H1 2025 vs H1 2024 (Loss) / Earnings Per Share (HKD) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Basic (Loss) / Earnings Per Share | (0.004) | 0.001 | | Diluted (Loss) / Earnings Per Share | (0.040) | (0.032) | - Basic (loss) / earnings per share is calculated by dividing the net (loss) / profit attributable to owners of the company by the weighted average number of ordinary shares outstanding during the period[35](index=35&type=chunk) - Unexercised share options issued by PAX Global may have a dilutive effect, while share options issued by VBill Cayman and Shenzhen Gaoyang have an anti-dilutive effect on basic loss per share[37](index=37&type=chunk)[38](index=38&type=chunk) [Loans Receivable](index=17&type=section&id=Loans%20Receivable) As of June 30, 2025, the group's net loans receivable decreased to HKD 1,425,713 thousand, with current loans forming the largest portion and higher impairment provisions for those overdue by over three months Loans Receivable Aging Analysis as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current | 1,419,297 | 1,780,001 | | Overdue 1 to 3 Months | – | – | | Overdue Over 3 Months | 154,604 | 152,868 | | **Total Loans Receivable** | **1,573,901** | **1,932,869** | | Less: Impairment Provision for Loans Receivable | (148,188) | (147,731) | | **Net Loans Receivable** | **1,425,713** | **1,785,138** | - Loans receivable represent amounts due from customers in the ordinary course of the fintech services business, primarily denominated in RMB[40](index=40&type=chunk) - As of June 30, 2025, the Stage 3 impairment provision for loans receivable was **HKD 142,602 thousand**[42](index=42&type=chunk) [Investments in Associates](index=19&type=section&id=Investments%20in%20Associates) The group holds investments in several associates, primarily PAX Global and Zhaoxun Hengda, with H1 2025 share of results from associates decreasing to HKD 119,224 thousand Investments in Associates as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Associate | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | PAX Global | 3,176,133 | 3,090,237 | | Zhaoxun Hengda Technology Co., Ltd | 319,005 | 322,878 | | Beijing Zhongjin Yun Chuang Software Co., Ltd | 23,829 | 23,746 | | Shenzhen Guofu Yunlian Technology Co., Ltd | 3,262 | 3,152 | | Chengdu Qiche Technology Co., Ltd | 2,889 | – | | **Total** | **3,525,119** | **3,442,562** | H1 2025 vs H1 2024 Share of Results of Associates (HKD thousands) | Associate | H1 2025 | H1 2024 | | :--- | :--- | :--- | | PAX Global | 134,085 | 154,525 | | Zhaoxun Hengda | (13,778) | (12,349) | | Beijing Zhongjin | (651) | (758) | | Chengdu Qiche | (388) | – | | **Total** | **119,224** | **141,385** | [(a) Investment in PAX Global](index=20&type=section&id=(a)%20Investment%20in%20PAX%20Global) The group's interest in PAX Global increased to 34.35%, with H1 2025 share of profit decreasing, mainly due to share repurchases and employee option exercises - The group's interest in PAX Global increased from **34.29% to 34.35%**[48](index=48&type=chunk) - The H1 2025 share of profit from PAX Global was **HKD 134,085 thousand**, a decrease compared to H1 2024[48](index=48&type=chunk) - Changes in the group's interest in PAX Global were due to PAX Global's repurchase and cancellation of **2,162,000 ordinary shares** and the exercise of share options by certain employees[48](index=48&type=chunk) [(b) Investment in Zhaoxun Hengda](index=21&type=section&id=(b)%20Investment%20in%20Zhaoxun%20Hengda) Zhaoxun Hengda recognized an impairment of HKD 140,865 thousand in H1 2024 due to withdrawal of its listing application, but as of June 30, 2025, its recoverable amount exceeded its carrying value - The company has withdrawn Zhaoxun Hengda's application for listing on the STAR Market of the Shanghai Stock Exchange[49](index=49&type=chunk) - As of June 30, 2024, Zhaoxun Hengda's recoverable amount was lower than its carrying value, resulting in an impairment of **HKD 140,865 thousand**[49](index=49&type=chunk) - As of June 30, 2025, an impairment test was performed to determine the recoverable amount of the investment, which exceeded its carrying value[49](index=49&type=chunk) [(c) Investment in Beijing Fangyun](index=21&type=section&id=(c)%20Investment%20in%20Beijing%20Fangyun) The group holds a 23.1% equity interest in Beijing Fangyun, engaged in business analytics, and as of June 30, 2025, its share of losses exceeded its equity interest, with unrecognised losses of HKD 2,891 thousand - The group holds a **23.1%** equity interest in Beijing Fangyun, which primarily engages in business analytics services[50](index=50&type=chunk) - As of June 30, 2025, the group's share of losses in Beijing Fangyun exceeded its equity interest in ordinary shares, with unrecognised losses amounting to **HKD 2,891 thousand**[50](index=50&type=chunk) [(d) Investment in Beijing Zhongjin](index=21&type=section&id=(d)%20Investment%20in%20Beijing%20Zhongjin) The group holds a 20% equity interest in Beijing Zhongjin, a fintech services company, and accounts for it using the equity method, having appointed a representative to its board - The group holds a **20%** equity interest in Beijing Zhongjin, which primarily engages in fintech services[51](index=51&type=chunk) - The group has appointed a representative to Beijing Zhongjin's board of directors and accounts for this equity investment as an investment in an associate using the equity method[51](index=51&type=chunk) [(e) Investment in Cloopen](index=21&type=section&id=(e)%20Investment%20in%20Cloopen) The group holds Class A ordinary shares in Cloopen Group Holding Limited and accounts for its investment as an associate using the equity method, having appointed two representatives to its board - The group holds **55,677,341 Class A ordinary shares** in Cloopen, which primarily provides cloud communication solutions[52](index=52&type=chunk) - Two of the group's representatives have been appointed to Cloopen's board of directors, and its interest in Cloopen is accounted for as an investment in an associate using the equity method[52](index=52&type=chunk) [(f) Investment in Dian Sansan](index=22&type=section&id=(f)%20Investment%20in%20Dian%20Sansan) The group holds a 49% interest in Dian Sansan, a retail and digitalization services provider, and as of June 30, 2025, its share of losses exceeded its equity interest, with unrecognised losses of HKD 3,857 thousand - The group holds a **49%** interest in Dian Sansan, which primarily provides retail and digitalization services[53](index=53&type=chunk) - As of June 30, 2025, the group's share of losses in Dian Sansan exceeded its equity interest in ordinary shares, with unrecognised losses amounting to **HKD 3,857 thousand**[53](index=53&type=chunk) [(g) Investment in Beijing Chongxiang](index=22&type=section&id=(g)%20Investment%20in%20Beijing%20Chongxiang) The group holds a 49% interest in Beijing Chongxiang, a software and IT services provider, and as of June 30, 2025, its share of losses exceeded its equity interest, with unrecognised losses of HKD 530 thousand - The group holds a **49%** interest in Beijing Chongxiang, which primarily provides software and information technology services[54](index=54&type=chunk) - As of June 30, 2025, the group's share of losses in Beijing Chongxiang exceeded its equity interest in ordinary shares, with unrecognised losses amounting to **HKD 530 thousand**[54](index=54&type=chunk) [(h) Investment in Chengdu Qiche](index=22&type=section&id=(h)%20Investment%20in%20Chengdu%20Qiche) The group holds a 30% equity interest in Chengdu Qiche, a software and IT services provider, and accounts for it using the equity method, having appointed a representative to its board - The group holds a **30%** equity interest in Chengdu Qiche, which primarily provides software and information technology services[55](index=55&type=chunk) - The group has appointed a representative to Chengdu Qiche's board of directors and accounts for its interest as an investment in an associate using the equity method[55](index=55&type=chunk) [Trade Receivables](index=23&type=section&id=Trade%20Receivables) As of June 30, 2025, the group's net trade receivables decreased to HKD 118,722 thousand, with credit terms ranging from 0 to 180 days, and the largest portion being current to 90 days overdue Trade Receivables Aging Analysis as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current to 90 Days | 85,400 | 164,853 | | 91 to 180 Days | 13,961 | 16,135 | | 181 to 365 Days | 17,949 | 2,810 | | Over 365 Days | 5,397 | 5,788 | | **Total Trade Receivables** | **122,707** | **189,586** | | Less: Impairment Provision for Trade Receivables | (3,985) | (3,864) | | **Net Trade Receivables** | **118,722** | **185,722** | - The group grants credit terms to trade debtors ranging from **0 to 180 days**[56](index=56&type=chunk) [Trade Payables](index=23&type=section&id=Trade%20Payables) As of June 30, 2025, the group's total trade payables decreased to HKD 386,640 thousand, with supplier credit terms ranging from 0 to 180 days, and the largest portion being current to 90 days overdue Trade Payables Aging Analysis as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current to 90 Days | 380,096 | 422,633 | | 91 to 180 Days | 214 | 148 | | 181 to 365 Days | 3,215 | 14 | | Over 365 Days | 3,115 | 4,638 | | **Total Trade Payables** | **386,640** | **427,433** | - Credit terms granted by suppliers range from **0 to 180 days**[57](index=57&type=chunk) [Payables for Payment and Digitalization Services Business and Other Payables and Accruals](index=24&type=section&id=Payables%20for%20Payment%20and%20Digitalization%20Services%20Business%20and%20Other%20Payables%20and%20Accruals) As of June 30, 2025, payables for payment and digitalization services business significantly increased by 59.3% to HKD 4,178,198 thousand, mainly representing amounts collected on behalf of merchants, while other payables and accruals slightly decreased Payables for Payment and Digitalization Services Business and Other Payables and Accruals as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Payables for Payment and Digitalization Services Business | 4,178,198 | 2,623,537 | | Other Payables and Accruals | 872,648 | 925,445 | | **Total** | **5,050,846** | **3,548,982** | - Payables for payment and digitalization services business primarily represent amounts collected on behalf of merchants from relevant banks and financial institutions, to be settled with merchants on contractually stipulated settlement dates[58](index=58&type=chunk) Composition of Other Payables and Accruals as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Accrued Staff Costs and Retirement Benefit Obligations | 143,070 | 223,907 | | Deposits | 34,517 | 33,667 | | Customer Advances | 40,295 | 27,382 | | Deposits from Business Channel Partners | 468,945 | 445,864 | | Others | 184,464 | 193,934 | | **Total** | **871,291** | **924,754** | [Asset-Backed Securities](index=26&type=section&id=Asset-Backed%20Securities) Ronghui Zhidabao Factoring, a partially owned subsidiary, was approved to issue asset-backed securities, with the first tranche of RMB 335 million issued, and the group retaining substantially all risks and rewards of the underlying loans - Ronghui Zhidabao Factoring was approved to issue an asset-backed special plan with a maximum size of **RMB 2,000,000,000** (approximately HKD 2,151,926 thousand)[60](index=60&type=chunk) - On April 16, 2025, the first tranche of the asset-backed special plan was formally established, with an issuance size of **RMB 335,000,000** (approximately HKD 360,448 thousand), comprising senior and subordinated tranches[61](index=61&type=chunk) - The group holds all subordinated asset-backed special plan securities, retaining substantially all the risks and rewards of ownership of the loans receivable, thus continuing to recognize the full amount of these loans receivable and recognizing the consideration received as a financial liability[61](index=61&type=chunk) - As of June 30, 2025, the group held asset-backed securities with a carrying value of approximately **HKD 308,387 thousand**, collateralized by loans receivable with a carrying value of approximately **HKD 363,259 thousand**[61](index=61&type=chunk) [Management Discussion and Analysis](index=31&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the group's segment performance, overall financial results, and key investment and financing activities for the period [Segment Performance Review](index=31&type=section&id=Segment%20Performance%20Review) The group's business segments showed mixed performance, with payment and digitalization services, platform operation solutions, and financial solutions experiencing declines or losses, while fintech services achieved revenue growth and profitability H1 2025 vs H1 2024 Segment Performance Overview (HKD thousands) | Segment | H1 2025 Revenue | H1 2024 Revenue | Change (%) | H1 2025 Operating (Loss) / Profit | H1 2024 Operating (Loss) / Profit | Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Payment and Digitalization Services | 800,534 | 892,230 | -10% | (83,330) | 90,753 | N/A | | Fintech Services | 46,232 | 43,904 | +5% | 25,446 | (20,536) | N/A | | Platform Operation Solutions | 41,340 | 57,057 | -28% | (23,893) | (21,091) | N/A | | Financial Solutions | 73,602 | 99,810 | -26% | (32,109) | (2,523) | N/A | [(1) Payment and Digitalization Services](index=31&type=section&id=(1)%20Payment%20and%20Digitalization%20Services) In H1 2025, revenue for payment and digitalization services decreased by 10%, shifting to an operating loss of HKD 83,300 thousand, mainly due to non-cash share option expenses and strategic resource allocation to overseas business - Segment revenue was **HKD 800,500 thousand**, a year-on-year decrease of **10%**[67](index=67&type=chunk) - Segment operating loss was **HKD 83,300 thousand**, compared to a profit of HKD 90,800 thousand in H1 2024[67](index=67&type=chunk) - This was primarily attributable to approximately **HKD 85,200 thousand** in non-cash share option expenses and the strategic reallocation of resources towards overseas and cross-border businesses as digital payments replace traditional payment markets[68](index=68&type=chunk) [(2) Fintech Services](index=32&type=section&id=(2)%20Fintech%20Services) In H1 2025, fintech services revenue grew by 5% to HKD 46,200 thousand, shifting from a loss to a profit of HKD 25,400 thousand, driven by increased loan origination and reduced credit impairment losses - Segment revenue was **HKD 46,200 thousand**, a year-on-year increase of **5%**, mainly due to an increase in the number of loans originated during the period[70](index=70&type=chunk)[71](index=71&type=chunk) - Segment operating profit was **HKD 25,400 thousand**, compared to a loss of HKD 20,500 thousand in H1 2024, primarily due to a decrease in credit impairment losses during the period[70](index=70&type=chunk)[71](index=71&type=chunk) [(3) Platform Operation Solutions](index=32&type=section&id=(3)%20Platform%20Operation%20Solutions) In H1 2025, platform operation solutions revenue decreased by 28% to HKD 41,300 thousand, with operating loss widening to HKD 23,900 thousand, mainly due to increased fair value losses on financial assets at fair value through profit or loss - Segment revenue was **HKD 41,300 thousand**, a year-on-year decrease of **28%**[72](index=72&type=chunk) - Segment operating loss was **HKD 23,900 thousand**, primarily due to increased fair value losses on financial assets at fair value through profit or loss[72](index=72&type=chunk) [(4) Financial Solutions](index=33&type=section&id=(4)%20Financial%20Solutions) In H1 2025, financial solutions revenue decreased by 26% to HKD 73,600 thousand, shifting from a profit to an operating loss of HKD 32,100 thousand, mainly due to upfront costs for multiple projects - Segment revenue was **HKD 73,600 thousand**, a year-on-year decrease of **26%**[74](index=74&type=chunk) - Segment operating loss was **HKD 32,100 thousand**, primarily due to upfront costs incurred for multiple projects[74](index=74&type=chunk) [(5) Others](index=33&type=section&id=(5)%20Others) Other business operations primarily include the results of subsidiaries under the electricity metering and solutions business, which were sold in July and August 2024 - Other business operations primarily include the results of subsidiaries under the electricity metering and solutions business, which were sold in July and August 2024[75](index=75&type=chunk) [Overall Financial Performance and Position](index=33&type=section&id=Overall%20Financial%20Performance%20and%20Position) The group's H1 2025 consolidated revenue decreased by 18%, shifting to a net loss, with reduced cost of sales and administrative expenses, but increased selling and share option expenses, and a decline in associate contributions - H1 2025 consolidated revenue was **HKD 961.7 million**, a decrease of approximately **18%** compared to H1 2024, mainly due to reduced segment revenue from payment and digitalization services and electricity metering and solutions[76](index=76&type=chunk) - A loss of **HKD 27.1 million** was recorded in H1 2025, compared to a profit of HKD 23.4 million in H1 2024[66](index=66&type=chunk) - Share option expenses of approximately **HKD 87 million** in H1 2025 were primarily attributable to share options granted by a subsidiary under the payment and digitalization services segment[79](index=79&type=chunk) - The reversal of credit impairment losses was mainly due to the recovery of overdue loans receivable balances under the fintech services segment that were previously provided for[79](index=79&type=chunk) [(A) Revenue](index=33&type=section&id=(A)%20Revenue) The group's H1 2025 consolidated revenue was HKD 961,700 thousand, a decrease of approximately 18% year-on-year, primarily due to reduced segment revenue from payment and digitalization services and electricity metering and solutions - H1 2025 consolidated revenue was **HKD 961,700 thousand**, a decrease of approximately **18%** compared to H1 2024[76](index=76&type=chunk) - The decrease was mainly due to reduced segment revenue from the group's payment and digitalization services and electricity metering and solutions segments[76](index=76&type=chunk) [(B) Other Income](index=33&type=section&id=(B)%20Other%20Income) The group's other income primarily comprises interest income and government grants - Other income primarily includes interest income and government grants[76](index=76&type=chunk) [(C) Cost of Sales and Operating Expenses](index=33&type=section&id=(C)%20Cost%20of%20Sales%20and%20Operating%20Expenses) In H1 2025, cost of sales decreased due to lower revenue, administrative expenses decreased (offset by R&D), selling expenses increased for digital products, share option expenses were HKD 87 million, and credit impairment losses reversed - In H1 2025, cost of sales decreased, primarily due to a decline in total revenue[77](index=77&type=chunk) - Administrative expenses decreased, mainly due to lower staff costs, partially offset by increased research and development costs[77](index=77&type=chunk) - Selling expenses increased, primarily due to additional sales investment in digital operation products[77](index=77&type=chunk) - Share option expenses of approximately **HKD 87,000 thousand** in H1 2025 were mainly attributable to share options granted by a subsidiary under the payment and digitalization services segment[79](index=79&type=chunk) - The reversal of credit impairment losses was mainly due to the recovery of overdue loans receivable balances under the fintech services segment that were previously provided for[79](index=79&type=chunk) [(D) Share of Results of Associates](index=34&type=section&id=(D)%20Share%20of%20Results%20of%20Associates) The share of results of associates primarily refers to the group's share of results from PAX Global Technology Limited and Zhaoxun Hengda Technology Co., Ltd - The amount primarily refers to the share of results from the company's associates, including PAX Global Technology Limited and Zhaoxun Hengda Technology Co., Ltd[80](index=80&type=chunk) [(E) Investments in Associates](index=34&type=section&id=(E)%20Investments%20in%20Associates) The group's investments in associates primarily consist of interests in PAX Global and Zhaoxun Hengda, maintaining an optimistic outlook and continuously evaluating investment strategies to enhance shareholder value - The balance primarily refers to the group's interests in PAX Global and Zhaoxun Hengda[81](index=81&type=chunk) - The group maintains an optimistic outlook for future prospects and will continue to prudently and flexibly evaluate its investment strategies to enhance shareholder value[81](index=81&type=chunk) [(i) PAX Global](index=34&type=section&id=(i)%20PAX%20Global) As of June 30, 2025, the group held an approximate 34.4% effective interest in PAX Global, valued at HKD 2,202,200 thousand, and despite a decrease in net profit due to global economic uncertainties, the group remains positive on future market demand - As of June 30, 2025, the group held **364,000,000 ordinary shares** in PAX Global, with an approximate **34.4%** effective interest valued at approximately **HKD 2,202,200 thousand**[82](index=82&type=chunk) - PAX Global is one of the world's leading providers of electronic payment terminal solutions[82](index=82&type=chunk) - In H1 2025, PAX Global's unaudited net profit decreased primarily due to lower revenue, attributed to reduced procurement orders in certain markets amidst global economic uncertainties[83](index=83&type=chunk) - The group maintains a positive outlook on PAX Global's payment terminal market demand and is prepared to seize significant opportunities in the global payment industry[84](index=84&type=chunk) [(ii) Zhaoxun Hengda](index=35&type=section&id=(ii)%20Zhaoxun%20Hengda) As of June 30, 2025, the group held approximately 45.73% of Zhaoxun Hengda's issued shares; despite a slowdown in the information security chip industry due to global economic conditions and semiconductor supply chain tensions, R&D projects are progressing well, and cost reduction efforts are underway - As of June 30, 2025, the group held approximately **45.73%** of Zhaoxun Hengda's issued shares[85](index=85&type=chunk) - The information security chip industry is experiencing slower growth and increased competition, affected by global economic conditions and tensions in the global semiconductor supply chain[85](index=85&type=chunk) - Other R&D projects are progressing smoothly, and cost reduction efforts for various products are proceeding in an orderly manner[85](index=85&type=chunk) [(F) Financial Assets at Fair Value Through Profit or Loss](index=35&type=section&id=(F)%20Financial%20Assets%20at%20Fair%20Value%20Through%20Profit%20or%20Loss) Financial assets at fair value through profit or loss primarily refer to an unlisted investment fund located outside Hong Kong - The amount primarily refers to an unlisted investment fund located outside Hong Kong[86](index=86&type=chunk) [(G) Trade Receivables, Other Financial Assets at Amortized Cost and Other Current Assets](index=35&type=section&id=(G)%20Trade%20Receivables%2C%20Other%20Financial%20Assets%20at%20Amortized%20Cost%20and%20Other%20Current%20Assets) As of June 30, 2025, net trade receivables decreased to HKD 118,722 thousand, while other financial assets at amortized cost and other current assets combined increased to HKD 392,952 thousand, mainly due to higher other receivables from cross-border business Trade Receivables and Other Current Assets as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Net Trade Receivables | 118,722 | 185,722 | | Other Financial Assets at Amortized Cost and Other Current Assets | 392,952 | 204,035 | | **Total** | **511,674** | **389,757** | - Changes in trade receivables aging from current to 90 days and 181 to 365 days were mainly due to changes in outstanding balances from the financial solutions and platform operation solutions segments[88](index=88&type=chunk) - The increase in balances of other financial assets at amortized cost and other current assets was primarily due to an increase in other receivables from cross-border business[89](index=89&type=chunk) [(H) Loans Receivable](index=36&type=section&id=(H)%20Loans%20Receivable) Loans receivable represent amounts due from customers in the fintech services business, primarily denominated in RMB, with the balance decreasing due to fewer loans originated during the period - Loans receivable represent amounts due from customers in the ordinary course of business under the fintech services segment, primarily denominated in RMB[90](index=90&type=chunk) - The decrease in the balance was due to a reduction in the number of loans originated during the period[90](index=90&type=chunk) [(I) Time Deposits, Restricted Bank Balances and Cash and Cash Equivalents](index=36&type=section&id=(I)%20Time%20Deposits%2C%20Restricted%20Bank%20Balances%20and%20Cash%20and%20Cash%20Equivalents) As of June 30, 2025, restricted bank balances significantly increased by 56.3% to HKD 4,053,794 thousand, and cash and cash equivalents rose by 21.9% to HKD 3,671,885 thousand, mainly due to regulatory measures on customer reserve funds for third-party payment institutions Cash and Bank Balances as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Long-Term Bank Deposits | 273,613 | 265,280 | | Short-Term Bank Deposits | 165,104 | 177,207 | | **Total Time Deposits** | **438,717** | **442,487** | | Restricted Bank Balances | 4,053,794 | 2,593,913 | | Cash and Cash Equivalents | 3,671,885 | 3,011,282 | | **Restricted Bank Balances and Cash and Cash Equivalents** | **7,725,679** | **5,605,195** | - Restricted bank balances significantly increased, primarily including customer reserve funds deposited in designated accounts at the People's Bank of China and funds used for the group's cross-border payment business operations[92](index=92&type=chunk) [(J) Trade Payables, Payables for Payment and Digitalization Services Business and Other Payables and Accruals](index=37&type=section&id=(J)%20Trade%20Payables%2C%20Payables%20for%20Payment%20and%20Digitalization%20Services%20Business%20and%20Other%20Payables%20and%20Accruals) As of June 30, 2025, payables for payment and digitalization services business significantly increased to HKD 4,178,198 thousand, mainly representing amounts payable to merchants, while trade payables decreased, and accrued staff costs and retirement benefit obligations reduced due to year-end bonus payments Various Payables as of June 30, 2025 vs December 31, 2024 (HKD thousands) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Trade Payables | 386,640 | 427,433 | | Payables for Payment and Digitalization Services Business | 4,178,198 | 2,623,537 | | Other Payables and Accruals | 872,648 | 925,445 | | **Total** | **5,437,486** | **3,976,415** | - Payables for payment and digitalization services business significantly increased, primarily representing amounts payable to merchants for payment and digitalization services business[94](index=94&type=chunk) - The decrease in accrued staff costs and retirement benefit obligations was mainly due to the payment of 2024 year-end bonuses in H1 2025[95](index=95&type=chunk)[99](index=99&type=chunk) [(K) Asset-Backed Securities](index=38&type=section&id=(K)%20Asset-Backed%20Securities) The balance of asset-backed securities represents the carrying value of outstanding senior tranche asset-backed securities, issued by Ronghui Zhidabao Factoring to diversify financing channels and improve funding structure, with proceeds primarily used for general working capital in the fintech services segment - The balance refers to the carrying value of outstanding senior tranche asset-backed securities[96](index=96&type=chunk) - Ronghui Zhidabao Factoring approved the Suixin Yunlian - E-Credit Supply Chain Financial Asset-Backed Special Plan and issued asset-backed securities, with a maximum issuance size of **RMB 2,000,000,000**[97](index=97&type=chunk) - The proceeds from the issuance are primarily used for general working capital in the fintech services segment, which will broaden the group's access to low-cost funding channels, thereby improving the company's financing structure and facilitating its operating activities and investments[97](index=97&type=chunk) [(L) Income Tax (Expense) / Credit](index=39&type=section&id=(L)%20Income%20Tax%20(Expense)%20%2F%20Credit) In H1 2024, the income tax credit was primarily due to a subsidiary under the payment and digitalization services segment obtaining qualifications as a software and integrated circuit enterprise - In H1 2024, the income tax credit was primarily due to a subsidiary under the payment and digitalization services segment obtaining qualifications as a software and integrated circuit enterprise[100](index=100&type=chunk) [Major Investment and Financing Activities](index=39&type=section&id=Major%20Investment%20and%20Financing%20Activities) During the period, the group undertook two major financing activities: granting share options under the VBill (Cayman) Share Option Scheme and issuing asset-backed securities by Ronghui Zhidabao Factoring to broaden financing channels [Grant of Share Options under VBill (Cayman) Share Option Scheme](index=39&type=section&id=Grant%20of%20Share%20Options%20under%20VBill%20(Cayman)%20Share%20Option%20Scheme) On March 7, 2025, VBill (Cayman)'s board conditionally granted 2,401 share options to nine eligible participants, representing approximately 29.998% of VBill (Cayman)'s issued share capital, with an exercise price of HKD 235,000, vesting over three years - VBill (Cayman)'s board resolved to conditionally grant share options to nine eligible participants under the VBill (Cayman) Share Option Scheme[101](index=101&type=chunk) - A total of **2,401 VBill (Cayman) share options** (if fully exercised) represent approximately **29.998%** of VBill (Cayman)'s issued share capital as of the adoption and grant dates of the VBill (Cayman) Share Option Scheme[101](index=101&type=chunk) - Each VBill (Cayman) share option grants the grantee the right to subscribe for one VBill (Cayman) share at a subscription price of **HKD 235,000**, with approximately **40%, 30%, and 30%** of the options vesting on the first, second, and third anniversaries of the grant date, respectively[102](index=102&type=chunk) [Issuance of Asset-Backed Securities](index=40&type=section&id=Issuance%20of%20Asset-Backed%20Securities) Ronghui Zhidabao Factoring was approved to issue asset-backed securities up to RMB 2,000,000,000, with the first tranche of RMB 335,000,000 issued, primarily for general working capital in fintech services to broaden financing channels - Ronghui Zhidabao Factoring approved the Suixin Yunlian - E-Credit Supply Chain Financial Asset-Backed Special Plan and issued asset-backed securities, with a maximum issuance size of **RMB 2,000,000,000**[106](index=106&type=chunk) - The first tranche of the asset-backed securities plan, with an issuance size of **RMB 335,000,000**, was established on April 16, 2025[106](index=106&type=chunk) - The proceeds from the issuance are primarily used for general working capital in the fintech services segment, which will broaden the group's access to low-cost funding channels[106](index=106&type=chunk) [Business Outlook](index=41&type=section&id=Business%20Outlook) This section outlines the macroeconomic outlook and specific strategies for the group's payment and digitalization, fintech, platform operation, and financial solutions segments [Macroeconomic Outlook](index=41&type=section&id=Macroeconomic%20Outlook) In 2025, China's economy maintains overall stability and progress, despite external uncertainties and the need to strengthen domestic demand, with the second half focusing on new development patterns and expanding internal demand for high-quality growth - In 2025, China's national economy maintains overall stability and steady progress, with the effects of policy combinations continuously released and economic stabilization and development promotion evident[108](index=108&type=chunk) - External instability and uncertainties are numerous, the expansion of domestic demand still needs strengthening, and the foundation for sustained economic recovery and improvement still needs to be consolidated[108](index=108&type=chunk) - Looking ahead to the second half, the country will accelerate the construction of a new development pattern, coordinate domestic and international economic and trade work, expand domestic demand, strengthen the internal circulation, and promote sustained, healthy, and high-quality economic development[108](index=108&type=chunk) [Payment and Digitalization Services](index=41&type=section&id=Payment%20and%20Digitalization%20Services) The group's payment and digitalization services continue their digitalization strategy, with an 8% increase in payment transactions and over 150% growth in cross-border transaction volume, while investing in stablecoin applications and enhancing payment convenience for inbound visitors - Payment transaction volume continued to grow steadily, with an **8%** year-on-year increase[109](index=109&type=chunk) - Cross-border business transaction volume increased by over **150%** year-on-year, continuously building differentiated service capabilities in overseas regions such as South America, the Middle East, and Southeast Asia, with service trade growing more than fourfold[109](index=109&type=chunk) - Increased research and investment in stablecoin applications, attempting to complement traditional payment systems to build a more comprehensive, efficient, and secure payment service infrastructure[109](index=109&type=chunk) - Actively participated in the "Greatly Improve Payment Convenience for Foreigners Visiting China" special initiative led by the People's Bank of China, successfully obtaining CNP business licenses from the three major international card organizations[110](index=110&type=chunk) - Self-developed digitalization operation products now cover the retail, used car dealership, and catering industries, and have expanded to over **20 countries** in North America, Europe, Southeast Asia, and mainland China[111](index=111&type=chunk) [Fintech Services](index=42&type=section&id=Fintech%20Services) The group's fintech services platform, Suixin Yunlian, adheres to the philosophy of "technology empowering finance, finance activating industry," building a "dual-driven" capital supply system through strategic partnerships with financial institutions and innovative asset securitization tools, successfully completing China's first "N+N" model credit note ABS issuance - The fintech services platform, Suixin Yunlian, has built a unique "dual-driven" capital supply system, relying on strategic collaboration with traditional banking financial institutions and innovatively utilizing asset securitization tools[112](index=112&type=chunk) - Continuously advancing business innovation, launching innovative products such as the bill 1+N model, N+N model, and credit note E-financing N+N model[112](index=112&type=chunk) - Successfully obtained a **RMB 2 billion** shelf-registration credit note ABS no-objection letter from the Shanghai Stock Exchange and innovatively completed China's first "**N+N**" model credit note ABS issuance[112](index=112&type=chunk) [Platform Operation Solutions](index=42&type=section&id=Platform%20Operation%20Solutions) The group's platform operation solutions business with major clients signed new contracts, maintaining stable business scale, while actively expanding new clients, exploring new business models, and continuing R&D investment in stablecoins, digital RMB, and AI - Successfully signed new annual contracts for product development and business operations with major clients, maintaining a stable business scale[113](index=113&type=chunk) - Increased efforts to expand new clients and explore new business models, while focusing on cost reduction and efficiency improvement to adapt to market changes[113](index=113&type=chunk) - Continued investment in R&D, focusing on stablecoins, digital RMB, and artificial intelligence, leading to the development and implementation of multiple applications[113](index=113&type=chunk) [Financial Solutions](index=43&type=section&id=Financial%20Solutions) HiSun FinTech is committed to providing system services for domestic financial institutions, actively promoting low-cost financial innovation and domestic substitution in the Xinchuang market, while HiSun Global expands overseas, planning local offices and signing new clients to enhance international service capabilities and product R&D - HiSun FinTech is committed to low-cost financial innovation, actively promoting clients' digital innovation in hot businesses such as asset management, cross-border payments, risk monitoring, and compliance auditing[114](index=114&type=chunk) - HiSun FinTech focuses on the Xinchuang market, assisting clients in achieving domestic substitution of key technologies for business systems and optimizing IBS products on Loong Arch architecture servers[114](index=114&type=chunk) - HiSun Global is establishing overseas offices, actively expanding markets and developing new product solutions, planning to set up local offices in Bangladesh and Myanmar, and has signed three new clients in Bangladesh, Hong Kong, and the United States[115](index=115&type=chunk) - Overseas products/services continue to improve in three directions: core banking products, internet products (e-banking, wallets, payments), and mainframe migration projects[115](index=115&type=chunk) [Liquidity and Financial Resources](index=43&type=section&id=Liquidity%20and%20Financial%20Resources) This section details the group's liquidity and financial resources, including an overview, capital structure, major investments, acquisitions/disposals, future plans, exchange rate risk, and financial guarantees [Overview of Liquidity and Financial Resources](index=43&type=section&id=Overview%20of%20Liquidity%20and%20Financial%20Resources) As of June 30, 2025, the group's total assets increased to HKD 13,812,100 thousand, with net cash of HKD 4,038,200 thousand and a capital gearing ratio of 5.0%, considered robust for sustained business development - As of June 30, 2025, the group recorded total assets of **HKD 13,812,100 thousand**, total liabilities of **HKD 5,896,200 thousand**, and total equity of **HKD 7,915,900 thousand**[116](index=116&type=chunk) - Net cash as of June 30, 2025, was **HKD 4,038,200 thousand**, an increase of **19.7%** compared to December 31, 2024[117](index=117&type=chunk) - As of June 30, 2025, the capital gearing ratio increased from **1.5%** as of December 31, 2024, to **5.0%**, which is considered robust and suitable for the group's continued business development[117](index=117&type=chunk) [Capital Structure and Pledge Details](index=44&type=section&id=Capital%20Structure%20and%20Pledge%20Details) As of June 30, 2025, the group had bank borrowings of HKD 72,400 thousand and bank facilities of approximately HKD 217,300 thousand, with restricted bank balances and cash and cash equivalents primarily denominated in RMB, HKD, and USD - As of June 30, 2025, the group had bank borrowings of **HKD 72,400 thousand** at fixed interest rates and bank facilities of approximately **HKD 217,300 thousand**[118](index=118&type=chunk) - As of June 30, 2025, the group's restricted bank balances and cash and cash equivalents were primarily denominated in **RMB (HKD 5,630,300 thousand)**, **HKD (HKD 755,000 thousand)**, and **USD (HKD 1,266,600 thousand)**[118](index=118&type=chunk) [Material Investments](index=44&type=section&id=Material%20Investments) Except for investments in associates, the group held no other material investments as of June 30, 2025 - Except as disclosed in Note E under the section titled "Overall Financial Performance and Position" on pages 34 to 35, the group held no other material investments as of June 30, 2025[119](index=119&type=chunk) [Material Acquisitions and Disposals of Subsidiaries, Associates and Joint Ventures](index=44&type=section&id=Material%20Acquisitions%20and%20Disposals%20of%20Subsidiaries%2C%20Associates%20and%20Joint%20Ventures) The group did not undertake any material acquisitions or disposals of subsidiaries, associates, or joint ventures during the six months ended June 30, 2025 - The group did not undertake any material acquisitions or disposals of subsidiaries, associates, or joint ventures during the six months ended June 30, 2025[120](index=120&type=chunk) [Future Plans for Material Investments or Capital Assets](index=44&type=section&id=Future%20Plans%20for%20Material%20Investments%20or%20Capital%20Assets) As of June 30, 2025, the group had no specific plans for material investments or capital assets - As of June 30, 2025, the group had no specific plans for material investments or capital assets[121](index=121&type=chunk) [Exchange Rate Risk](index=45&type=section&id=Exchange%20Rate%20Risk) The group's revenue, purchases, and expenses are primarily denominated in multiple currencies, but no hedging instruments were used during the period, and significant fluctuations in HKD or RMB exchange rates could impact operating results - The group's revenue, purchases, and expenses are primarily denominated in USD, RMB, EUR, JPY, GBP, SGD, CAD, and HKD[122](index=122&type=chunk) - During the period, the group did not enter into any agreements or purchase any instruments to hedge its exchange rate risk[122](index=122&type=chunk) - Any significant fluctuations in the exchange rates of HKD or RMB could impact the group's operating results[122](index=122&type=chunk) [Financial Guarantees and Contingent Liabilities](index=45&type=section&id=Financial%20Guarantees%20and%20Contingent%20Liabilities) The company provided two financial guarantee agreements for its associates, totaling up to USD 30,000,000, to guarantee debts arising from manufacturing orders, with related provisions assessed as immaterial as of June 30, 2025 - The company entered into a guarantee agreement ("2021 Manufacturer Guarantee Agreement") with an associate, guaranteeing repayment of the associate's due and outstanding debts arising from manufacturing orders placed with designated manufacturers, with a maximum margin of **USD 20,000,000**[123](index=123&type=chunk) - The company entered into a guarantee agreement ("2020 OEM Guarantee Agreement") with an associate and an independent manufacturer, guaranteeing repayment of the associate's due and outstanding debts to the original equipment manufacturer arising from manufacturing orders, with a maximum guarantee amount of **USD 10,000,000**[123](index=123&type=chunk) - As of June 30, 2025, the provisions for the 2021 Manufacturer Guarantee Agreement and the 2020 OEM Guarantee Agreement were assessed as immaterial[123](index=123&type=chunk) [Other Information](index=46&type=section&id=Other%20Information) This section includes disclaimers for non-GAAP measures, details on securities transactions, corporate governance, audit committee review, and publication of results [Disclaimer: Non-GAAP Measures](index=46&type=section&id=Disclaimer%3A%20Non-GAAP%20Measures) The group uses non-GAAP measures like EBITDA to assess performance, but these are not recognized under HK GAAP, may not be comparable, and are provided solely to enhance overall understanding of financial performance - Certain non-GAAP measures, such as EBITDA, are used to assess the group's performance but are not explicitly recognized under HK GAAP and may not be comparable to similar measures used by other companies[125](index=125&type=chunk) - Non-GAAP measures are provided solely to enhance the overall understanding of the group's current financial performance and to provide consistency in financial reporting[125](index=125&type=chunk) [Purchase, Sale or Redemption of Securities](index=46&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20Securities) Neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's shares during the period - During the period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's shares (including sales of treasury shares)[126](index=126&type=chunk) [Corporate Governance](index=46&type=section&id=Corporate%20Governance) The company's corporate governance practices adhere to the principles and code provisions of the Corporate Governance Code in Appendix C1 of the Listing Rules, with full compliance throughout the period - The company's corporate governance practices are established in accordance with the principles and code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[127](index=127&type=chunk) - The company applied the principles and fully complied with all applicable code provisions during the six months ended June 30, 2025[127](index=127&type=chunk) - The Board regularly reviews and monitors the company's policies and practices regarding corporate governance or compliance with laws and regulations, and provides ongoing training for directors and senior management[127](index=127&type=chunk) [Audit Committee Review of 2025 Interim Results](index=47&type=section&id=Audit%20Committee%20Review%20of%202025%20Interim%20Results) The company's Audit Committee has reviewed the unaudited interim condensed consolidated results for the six months ended June 30, 2025 - The company's Audit Committee has reviewed the unaudited interim condensed consolidated results for the six months ended June 30, 2025[128](index=128&type=chunk) [Publication of Results Announcement and Interim Report](index=47&type=section&id=Publication%20of%20Results%20Announcement%20and%20Interim%20Report) The 2025 interim results announcement has been published on the company's and HKEX websites, and the interim report will be published and dispatched to shareholders in due course - The 2025 interim results announcement has been published on the company's website www.hisun.com.hk and the HKEX website www.hkexnews.hk[129](index=129&type=chunk) - The company's 2025 interim report will be published on the aforementioned websites and dispatched to the company's shareholders in due course[129](index=129&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本�佈的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公佈全部或任何 部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 HI SUN TECHNOLOGY (CHINA) LIMITED 高陽科 技（中 國）有限公 司 * 高陽科技（中國）有限公司（「本公司」）董事會（「董事會」）謹此宣佈，本公司將於二零 二五年八月十八日（星期一）舉行董事會會議，藉以考慮及（如認為適當）批准刊發本 公司及其附屬公司截至二零二五年六月三十日止六個月之未經審核綜合中期業績、 宣派中期股息（如有），以及�理任何其他事項。 承董事會命 （於百慕達註冊成立之有限公 司） （股份代 號：818） 董事會會議召開日期 許諾恩 香港，二零二五年八月六日 於本公佈日期，董事會成員包括五名執行董事，分別為徐文生先生、渠萬春先生、 李文晉先生、徐昌軍先生及許諾恩女士；以及三名獨立非執行董事，分別為譚振輝 先生、梁偉民先生及李和國先生。 * 僅供識別 高陽科技（中國）有限公司 執行董事兼公司秘書 ...

FF301 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7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: 高陽科技(中國)有限公司（於百慕達註冊成立之有限公司） 呈交日期: 2025年8月4日 I. 法定/註冊股本變動 FF301 III.已發行股份及/或庫存股份變動詳情 | 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) | 00818 | 說明 | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 4,000,000,000 | HKD | | 0.0025 HKD | | 10,000,000 | | 增加 / 減少 (-) | | | | | | HKD | | | | 本月底結存 | | | 4,000,000,000 | HKD | | 0. ...

Group 1 - As of June 3, a total of 105 stocks reached their 52-week highs, with Huayin International Holdings (00989), Dingyifeng Holdings (00612), and Youquhui Holdings (02177) leading the high rate at 57.26%, 37.93%, and 23.02% respectively [1] - The closing prices and highest prices for the top three stocks are as follows: Huayin International Holdings at 1.370 and 1.950, Dingyifeng Holdings at 0.770 and 0.800, and Youquhui Holdings at 3.550 and 3.580 [1] - Other notable stocks that reached their 52-week highs include China Antibody-B (03681) with a high rate of 21.62% and Fengcheng Holdings (02295) at 19.52% [1] Group 2 - The report also lists stocks that reached their 52-week lows, with Des Holdings (08437) showing the largest decline at -38.79%, followed by Dimi Life Holdings (01667) at -20.50% [3] - The closing prices and lowest prices for the top three stocks that reached their lows are: Des Holdings at 0.177 and 0.071, Dimi Life Holdings at 0.140 and 0.128, and Lujizhi Technology (01745) at 0.197 and 0.194 [3] - Other stocks with significant declines include GBA Group (00261) at -11.48% and Baide International (02668) at -10.88% [3]

Financial Performance - The company reported a consolidated income of $202 million for the fiscal year, representing a 15% increase compared to the previous year[106]. - The Group's consolidated turnover for FY2024 was HK$2,340.0 million, a decrease of 14% from HK$2,709.2 million in FY2023[41]. - Profit for FY2024 totaled HK$176.6 million, down from HK$514.4 million in FY2023[41]. - Total revenue for 2024 decreased to HK$2,340,040,000 from HK$2,709,164,000 in 2023, representing a decline of approximately 13.7%[178]. - Gross profit for 2024 was HK$908,802,000, down from HK$992,177,000 in 2023, indicating a decrease of about 8.4%[178]. - EBITDA for 2024 was HK$172,840,000, compared to HK$300,875,000 in 2023, reflecting a decline of approximately 42.5%[175]. - Profit for the year 2024 was HK$176,554,000, down from HK$514,374,000 in 2023, representing a decline of approximately 65.7%[178]. - Earnings per share for 2024 were HK$0.057, compared to HK$0.169 in 2023, a decrease of about 66.3%[178]. - The company reported a share of results from associated companies of HK$213,160,000 in 2024, down from HK$402,949,000 in 2023, indicating a decline of approximately 47%[178]. User Growth and Market Expansion - User data showed a growth of 25% in active users, reaching a total of 1.5 million users by the end of the fiscal year[106]. - The company is expanding its market presence in Southeast Asia, targeting a 10% market share within the next two years[106]. - Digital payment volume grew by over 35% year-on-year in 2024, while cross-border transaction volume increased by more than 70%[44]. Revenue Guidance and Future Projections - The company has provided a revenue guidance of $250 million for the next fiscal year, indicating a projected growth of 23%[106]. - New product launches are expected to contribute an additional $30 million in revenue, with a focus on enhancing user experience and technology integration[106]. - The Group remains optimistic about national economic recovery despite challenges expected in 2025[43]. - Management will focus on financial and operational disciplines to seize growth opportunities in 2025[45]. Corporate Governance and Financial Reporting - The board of directors emphasized a commitment to corporate governance and transparency in financial reporting[79]. - The independent auditor's report confirmed the accuracy of the financial statements, reinforcing stakeholder confidence[98]. Operational Challenges and Strategic Changes - The decline in operating profit was mainly due to reduced interest income and operating profit in the fintech services segment[44]. - The Group ceased its electronic power meters and solutions business to streamline operations and improve overall financial performance[40]. - The handling fee rate for digital payments is lower than traditional payments during its expansion stage, impacting revenue[44]. - The decline in revenue and operating profit was attributed to the transition from traditional payment methods to digital payments, which have lower handling fees[189]. - The company is actively expanding its management service products and platforms, as well as cross-border business, despite short-term pressures during the digital transformation[189]. Financial Position and Assets - As of December 31, 2024, the Group reported total assets of HK$11,858.8 million, down from HK$13,031.7 million in 2023, while total liabilities decreased to HK$4,135.9 million from HK$5,253.7 million[51]. - The net cash position as of December 31, 2024, was HK$3,371.7 million, compared to HK$3,439.3 million in 2023[52]. - The gearing ratio increased to 1.5% in 2024 from 1.1% in 2023, indicating a healthy capital structure suitable for ongoing business growth[52]. - The Group had restricted bank balances of HK$2,593.9 million and cash and cash equivalents of HK$3,011.3 million as of December 31, 2024[52]. Employee and Shareholder Information - The Group's principal activities include providing payment and digital services, fintech services, platform operation solutions, and financial solutions[81]. - The Group operates a Share Option Scheme and a Share Award Scheme to incentivize and retain employees, with the Share Option Scheme adopted on June 12, 2023[94]. - The Company does not recommend the payment of dividends for the year ended December 31, 2024, consistent with the previous year[82]. - The Group's performance analysis by business and geographical segments is detailed in the consolidated financial statements[81]. Share Option and Incentive Schemes - No options were granted, vested, exercised, cancelled, or lapsed during the year ended 31 December 2024, with 227,683,383 options available for grant as of 1 January 2024 and 31 December 2024, representing 10% of the total number of Shares in issue[104]. - The Share Award Scheme will remain valid and effective for a period of 10 years from 29 June 2021 until 29 June 2031[105]. - The total number of Shares that may be issued under the Share Award Scheme shall not exceed 1.5% of the issued Shares as of the Adoption Date[108]. - The exercise price of an option shall not be less than the higher of the closing price of the Shares on the date of grant or the average closing price of the Shares for the five trading days immediately preceding the date of grant[100]. - The scheme for share options will remain valid and effective for a period of 10 years until 11 June 2033[117].