Core Viewpoint - The article emphasizes the growing importance of healing gardens in urban settings, particularly in Beijing, as a response to increasing mental health issues among the population, highlighting their potential to enhance physical and psychological well-being through nature-based therapies [1][10][15]. Summary by Sections Healing Gardens Concept - Healing gardens are designed with therapeutic purposes, utilizing various plants to create enriching natural spaces that positively impact users' mental and physical health [1][4]. - Unlike traditional gardens, healing gardens focus on the healing aspect, aiming to foster a connection between individuals and nature [1][8]. Current Developments - Several districts in Beijing, including Haidian, Changping, and Miyun, are beginning to explore the creation of healing gardens, although they are still in the early stages of development [1][8]. - Successful examples include the collaboration between the Eighth Medical Center of the PLA General Hospital and Tsinghua University, which has integrated horticultural therapy into patient care [4][12]. Challenges Faced - The development of healing gardens is hindered by insufficient funding, lack of supporting measures, and a shortage of professional talent [1][8]. - Public awareness and understanding of healing gardens remain low, which affects their promotion and implementation [8][12]. Case Studies - The Eighth Medical Center has implemented horticultural therapy activities, such as plant-based art and flower arrangement, which have shown positive effects on elderly patients' mental health and creativity [4][5]. - The Tsinghua University team has created a 600-square-meter indoor healing garden at the Taikang Yanyuan Nursing Home, showcasing the potential for indoor therapeutic spaces [8][12]. Future Recommendations - Experts suggest promoting the integration of healing gardens in various urban settings, including transportation hubs and educational institutions, to enhance public access to therapeutic green spaces [12][14]. - Establishing a systematic approach to horticultural therapy and training professionals in this field is crucial for the widespread adoption of healing gardens [14][13]. Societal Impact - The article highlights a shift in lifestyle towards integrating nature into daily life, suggesting that healing gardens can play a significant role in this transformation [15][16]. - The concept of healing gardens is seen as a response to the need for mental well-being in urban environments, encouraging a deeper connection with nature [15][16].

Group 1: Hong Kong Stocks - Lehua Entertainment (02306) surged over 24% due to strong market performance of its toy IP "WUKUKU," with multiple new products setting sales records and the theme song exceeding 1 billion views [1] - United Energy Group (00467) rose over 7% after signing a 15-year production increase contract with Uzbekistan's UNG, involving 57.8 billion cubic meters of oil and gas production, with an initial investment of $100 million to expand into Central Asia [1] - Smoore International (06969) fell over 3% as shareholder Yiwei Lithium Energy plans to reduce its stake by 3.5% (216 million shares), resulting in a decrease of its holding to 27.23%, no longer being the controlling shareholder [1] - New World Development (00200) dropped over 5% after completing a "2 for 1" rights issue, issuing 758 million shares and raising HKD 771 million, with oversubscription of 13 times [1] - Fourth Paradigm (06682) increased over 7% after launching AI solutions for the manufacturing industry, covering production optimization to supply chain intelligence upgrades [1] - Shandong High-Tech Holdings (00412) rose over 4% as Zhongtai Securities highlighted significant synergy between its new energy and digital infrastructure, with a data center PUE value of 1.15, enhancing financial integration [1] - KANAT Optical (02276) increased over 4% due to an explosion in the smart glasses market (e-commerce transactions up 8 times), with Meta collaborating with Oakley to launch AI glasses, positioning the company with leading 3C enterprises [1] Group 2: Other Notable Stocks - Sipai Health (00314) rose over 7% after partnering with Anruijiaer to develop customized insurance, planning to sell 6 pharmacies for 5.89 million to focus on core medical insurance business [2] - SF Express (09699) increased over 5% after raising its delivery service revenue cap for 2025/26 to HKD 12.8 billion / HKD 20.5 billion, with demand growth exceeding expectations [2] - Liufu Group (00590) fell over 3% as it projected a 40% decline in profits for the 2025 fiscal year, primarily due to gold hedging losses and high base effects from acquisition gains [2] - Zhenjiu Lidu (06979) rose over 4% after announcing Yao Annan as the "Cultural Heritage Ambassador" for liquor, leveraging Huawei-related topics to boost brand visibility [2] - Ideal Auto-W (02015) dropped over 4% as Meituan's Wang Xing sold 5.73 million shares for HKD 600 million, reducing his stake to 20.61% [2] - Health Road (02587) surged over 7% as its liver disease AI management platform was selected for Beijing's digital medical verification program, supporting WHO's "2030 Hepatitis Elimination" goal [2] - Gilead Sciences-B (01672) rose over 5% after its psoriasis oral drug ASC50 completed the first dosing in Phase I clinical trials in the U.S., targeting the IL-17 pathway [2] - China Silver Group (00815) increased over 10% after partnering with Zefeng Gold to acquire a 55% stake in a lead-zinc exploration company, gaining exploration rights over 50.8 square kilometers in Tibet [2] Group 3: U.S. Stocks - Verve Therapeutics (VERV.US) skyrocketed over 80% as Eli Lilly prepares to acquire the gene-editing company for up to $1.3 billion, with $1 billion as an upfront payment and $300 million contingent on specific clinical milestones [4] - Solar energy stocks plummeted, with Sunrun (RUN.US) down over 40%, Solaredge Technologies (SEDG.US) down over 41%, and First Solar (FSLR.US) down over 22%, following a Republican proposal in the U.S. Senate to terminate wind and solar tax credits by 2028, raising concerns about the industry's outlook [4] - Reddit (RDDT.US) rose over 6% after launching the AI advertising tool Reddit Insights, enhancing ad targeting through real-time user trend analysis [4] - Bitcoin-related stocks fell, with CleanSpark (CLSK.US) down over 7% and Riot Platforms (RIOT.US) down over 5%, as Bitcoin prices dropped nearly 2% to $105,580 amid escalating tensions in the Middle East and high leverage positions in the derivatives market [4] - AMD (AMD.US) continued to rise 0.56% after officially launching the Zen5 architecture Ryzen Threadripper processors, covering the workstation and desktop markets, with a market share close to 50% in China for Q1, although there are concerns about its cost-performance ratio [5] - Brain Regen Technologies (RGC.US) surged over 30% after announcing a 38-for-1 stock split, coupled with FDA clinical trial approval news, although its actual business has no revenue and a very small float, indicating significant retail speculation [6] - Jabil (JBL.US) rose over 8%, reaching a new all-time high of $202.5, with Q3 revenue increasing 15% year-on-year to $7.83 billion, raising its full-year revenue forecast to $29 billion and planning a $500 million investment to support AI data center infrastructure [6] - Niu Technologies (NIU.US) increased over 11% after launching its new NX Play electric motorcycle on Douyin, integrating a smart riding system to enhance user experience [6] - T-Mobile US (TMUS.US) fell nearly 4% as SoftBank sold 21.5 million shares at $224 each, a 3% discount, triggering market sell-off [6] - The pharmaceutical sector saw widespread declines, with Eli Lilly (LLY.US) down over 2% and Novo Nordisk (NVO.US) down over 3%, as concerns grew over the potential impact of the U.S. Senate tax bill on the industry, coupled with profit-taking ahead of some companies' earnings reports [6] - The gold sector declined, with Gold Fields (GFI.US) down over 2.1%, and spot gold fell 0.27% to $3,375.53, as easing tensions in the Middle East reduced safe-haven demand, alongside Citigroup's bearish long-term gold price forecast [7]

Market Overview - The Hong Kong stock market experienced a decline, with the Hang Seng Index falling by 1.17% to close at 23,698.65 points and the Tech Index dropping by 1.58% to 5,208.23 points [1] Sector Performance - Oil and gas stocks showed renewed activity, while biopharmaceutical B shares increased in value. However, sectors such as new energy vehicles, technology, and domestic real estate stocks faced declines, and rare earth concept stocks experienced a pullback [1] Notable Stock Movements - Jixing New Energy (03395.HK) surged by 337.5%, while Yuanheng Gas (00332.HK) rose by 50%, United Energy Group (00467.HK) increased by 35.7%, and Baiqin Oil Services (02178.HK) gained 47.8% [1] - Beijing Construction (00925.HK) resumed trading with a rise of over 210%, as it plans to privatize and delist [1] - Lehua Entertainment (02306.HK) saw an increase of nearly 30% [1] - Conversely, companies like Li Auto (02015.HK), China Resources Land (01109.HK), and Meituan (03690.HK) fell by 3.7%, while Alibaba (09988.HK) and Kuaishou (01024.HK) dropped by over 2.5% [1]

Core Insights - Beijing has made significant progress in becoming a "capital of seed industry," with notable advantages in breeding key species [1] - The upcoming 32nd China Beijing Seed Industry Conference will focus on regional collaboration and international elements in the seed industry [2] Group 1: Achievements in Seed Industry - Beijing has seven key species, including meat ducks and egg chickens, leading globally, while ten species are at an international parallel level [1] - The city has broken foreign monopolies with the self-bred Wode 188 white feather chicken variety and has expanded exports of egg chickens to Central Asia and Africa [1] - Beijing leads nationally in breeding invention patents and has established the largest DNA fingerprint database for watermelon and corn globally [1] Group 2: Upcoming Seed Industry Conference - The Seed Industry Conference will take place from September 11 to 14, focusing on "Deepening Regional Collaboration and Promoting Seed Industry Revitalization" [2] - The event will feature a main forum, parallel forums, and various specialized activities to enhance cooperation in breeding, technology research, and results transformation among Beijing, Tianjin, and Hebei [2] - International representatives and experts will be invited to discuss global seed industry trends and showcase cutting-edge biobreeding technologies [2]

Group 1 - The Beijing Shougang Basketball Club achieved its best performance in 10 years by securing the runner-up position in the 2024-2025 CBA season, with the Beijing Sports Bureau acknowledging the club's contributions to sports consumption and event economy [1][3] - The team had a strong regular season with a record of 32 wins and 14 losses, ranking third in the league, and notable players like Zeng Fanbo and Zhou Qi received individual accolades [3][6] - The CBA Finals were highly competitive, with each game attracting over one million viewers online, and the fifth game achieving a television rating of 2.3%, indicating a significant increase in the league's popularity [6][9] Group 2 - The club engaged nearly 300,000 fans during 29 home games, with merchandise sales reaching nearly 2 million yuan during home matches, showcasing the economic impact of the events [9] - The club organized various fan engagement activities, including "Brand Night" and "Decibel Challenge," which contributed to the overall experience and revenue generation [9][10] - The Beijing Shougang Basketball Club aims to continue its momentum and contribute to the development of Beijing as an international sports city while enhancing the quality of life in the capital [10]

Financial Performance - The company reported a revenue of RMB 864.86 million for 2024, a decrease of 41.1% compared to RMB 1,468.34 million in 2023[7]. - The pre-tax loss for 2024 was RMB 634.07 million, improved from a loss of RMB 924.65 million in 2023, representing a reduction of approximately 31.5%[7]. - The net loss attributable to shareholders was RMB 536.85 million in 2024, down from RMB 901.41 million in 2023, indicating a decrease of about 40.5%[14]. - The company achieved a gross profit of RMB 132 million in 2024, compared to RMB 230 million in the previous year[9]. - Total assets decreased to RMB 12.97 billion in 2024 from RMB 13.60 billion in 2023, reflecting a decline of approximately 4.6%[7]. - The net asset liability ratio increased to 302.55% in 2024 from 234.91% in 2023, indicating a significant rise in financial leverage[7]. Asset Management and Sales - The company completed the sale of a major asset in Jiaxing, generating a revenue of RMB 55.77 million during the year[10]. - The company completed the sale of 90% equity in the Beijing Tongzhou project on June 6, 2022, with the remaining 10% sold on August 10, 2023, and additional projects in Xiamen and Hainan sold on October 10, 2023[17]. - The company successfully sold its Zhejiang Jiaxing project for approximately RMB 276.71 million on January 24, 2024[28]. Business Strategy and Future Plans - The company plans to continue restructuring and enhancing asset operational levels to improve profitability in the future[11]. - The company plans to transform its business model by gradually divesting from heavy asset investments and focusing on the cold chain business, aiming to reduce debt and diversify income[15]. - The company anticipates that profit contributions from the supply chain will improve as the optimization of upstream and downstream partnerships is completed in 2025[11]. - The group plans to reduce reliance on heavy asset investments and explore the food supply chain platform business as a new growth avenue[37]. - The group aims to create a light asset, low-risk, and strong cash flow S2B2C food supply chain platform within three to five years[36]. Occupancy and Warehouse Management - The total area of high-end and modern warehouses held by the company is 559,400 square meters, with an average occupancy rate of 56.73% as of December 31, 2024, down from 60.09% in 2023[18]. - The average occupancy rate for the Tianjin Airport warehouse is 34.95%, significantly impacted by a drop in import volumes and intense competition[19]. - The average occupancy rate for the cold storage facilities is 30.08% in Tianjin and 100% in Qingdao as of December 31, 2024[23]. - The company has diversified its client base in Meishan, with an occupancy rate of 59.56% as of December 31, 2024, amidst increased market competition[22]. - The company is actively enhancing communication with existing tenants and seeking new tenants to improve occupancy rates in Shanghai warehouses[19]. Industry Outlook and Market Conditions - The food supply chain industry is expected to achieve a market scale of RMB 4.84 trillion in 2024, with a year-on-year growth of 10.2% in service supply chain enterprises[34]. - The restaurant industry in China generated revenue of RMB 2.62 trillion in the first half of 2024, with rural consumption accounting for 38.8%[34]. - The Cambodian government is actively promoting policies to attract foreign investment, with China's investment accounting for 49.8% of Cambodia's total investment in 2024[31]. Financial Management and Risks - The company faces significant foreign exchange and conversion risks, particularly with fluctuations in the value of the RMB against the USD, which could adversely affect its financial performance[101]. - The company has significant debt obligations due to project financing, with all existing borrowings subject to floating interest rates, which may impact profitability if rates increase significantly[102]. - The company does not hedge against interest rate fluctuations, exposing it to potential risks related to rising interest rates affecting its earnings[102]. - The company is closely monitoring foreign exchange risks due to fluctuations in currency rates, particularly between RMB and other currencies[73]. Corporate Governance - The board currently consists of eight members, including five executive directors and three independent non-executive directors[78]. - The company is focused on enhancing its corporate governance and financial oversight through its experienced board members[78]. - The company has a strong legal compliance framework, with executive director Xu Zhigang serving as the chief legal advisor[82]. - The management team is well-rounded with expertise in finance, law, and corporate governance, positioning the company for future growth[81]. - The company has established mechanisms to ensure independent viewpoints are communicated to the board, enhancing decision-making objectivity[162]. Shareholder and Director Information - Major shareholder 皓明控股有限公司 holds 1,557,792,500 shares, representing 22.35% of the issued share capital[137]. - 北控置業（香港）有限公司 has a total holding of 4,084,674,907 shares, accounting for 58.61% of the issued share capital[137]. - 北京控股集團有限公司 controls 4,659,292,560 shares, which is 66.85% of the issued share capital[137]. - The company has three independent non-executive directors to ensure independent operations from competing businesses[129]. Compliance and Reporting - The company has adopted a standard code of conduct for securities trading, ensuring compliance among all directors and employees[177]. - The board confirmed compliance with all corporate governance code provisions as of December 31, 2024, except for certain disclosures in the corporate governance report[154]. - The company ensures timely disclosure of inside information while maintaining confidentiality until public release[199]. - The company has maintained compliance with all corporate governance codes as of December 31, 2024, ensuring adherence to best practices[178].

Group 1 - The 2024 Zhongguancun U30 winners list features 30 young entrepreneurs excelling in AI, humanoid robots, quantum information, biomedicine, aerospace technology, digital economy, cultural creativity, and rural revitalization [1] - Beijing is committed to supporting young tech talent as a driving force for innovation, providing resources and services to foster their development [1][4] - The "Beijing International Science and Technology Innovation Center Construction Regulations" emphasizes the importance of nurturing and utilizing innovative talent [1] Group 2 - Li Zhenkun, a teacher at Beijing Jiaotong University, introduced the "rheological robot," a soft robot produced using 4D printing technology, which can adapt its shape and is applicable in various fields [2] - The rheological robot is being tested in collaboration with Peking University People's Hospital to inhibit cancer cell metastasis [2] - Zhang Miao, COO of Beijing Zhongke Huiling Robot Technology Co., highlighted the capabilities of their "Lingbao" robots in hazardous environments, aiming to reduce risks in operations [3] Group 3 - The company has completed over 100 million yuan in financing and aims for small-scale production and delivery of up to 100 units this year [4] - Beijing's Science and Technology Commission and Zhongguancun Management Committee have implemented measures to support young tech talent, creating a comprehensive support system [4][5] - The Beijing Youth League is focused on nurturing young talent through various programs and initiatives, including training camps and competitions [5]

Financial Performance - Revenue decreased from approximately RMB 1,468,340,000 for the year ended December 31, 2023, to RMB 864,860,000 for the year ended December 31, 2024, representing a decline of approximately 41.10%[2] - Gross profit fell from approximately RMB 234,100,000 for the year ended December 31, 2023, to RMB 132,500,000 for the year ended December 31, 2024, a decrease of about 43.40%[2] - The loss attributable to shareholders decreased from approximately RMB 901,410,000 for the year ended December 31, 2023, to RMB 536,850,000 for the year ended December 31, 2024[2] - Basic and diluted loss per share was RMB 7.70 for the year ended December 31, 2024, compared to RMB 12.93 for the year ended December 31, 2023[3] - The group reported a net loss of RMB 552,000,000 for the year ending December 31, 2024[9] - The pre-tax loss for 2024 was significantly impacted by an impairment loss of RMB 105,000,000 related to investments in associates, compared to RMB 210,300,000 in 2023[30][31] - The total income tax credit for 2024 was RMB (82,389,000), compared to RMB (14,764,000) in 2023, indicating a larger tax benefit[32] - The company did not recommend any dividend payment for the year ending December 31, 2024, consistent with 2023[33] Assets and Liabilities - Total non-current assets increased from RMB 8,065,613,000 as of December 31, 2023, to RMB 10,256,282,000 as of December 31, 2024[6] - Current liabilities decreased from RMB 2,788,448,000 as of December 31, 2023, to RMB 1,335,904,000 as of December 31, 2024[7] - Total assets decreased from RMB 12,602,082,000 as of December 31, 2023, to RMB 11,639,091,000 as of December 31, 2024[7] - The company's equity attributable to shareholders decreased from RMB 1,375,657,000 as of December 31, 2023, to RMB 821,534,000 as of December 31, 2024[8] - The total liabilities of the group decreased to RMB 10,527,094,000 in 2024 from RMB 10,599,305,000 in 2023[21] - The total borrowings of the group as of December 31, 2024, were approximately RMB 8,089,060,000, with a capital debt ratio of approximately 302.55%[100] - As of December 31, 2024, the group's bank and other borrowings amounted to approximately RMB 6,598,780,000, with 0.44%, 1.61%, and 97.95% denominated in USD, HKD, and RMB respectively[101] Operational Highlights - The logistics business segment generated revenue of RMB 122,428,000 in 2024, down from RMB 180,534,000 in 2023, representing a decline of 32.2%[21] - The sales of frozen products in 2024 amounted to RMB 626,473,000, a significant drop of 44.5% from RMB 1,132,195,000 in 2023[27] - The property management fees decreased to RMB 5,262,000 in 2024 from RMB 23,118,000 in 2023, reflecting a decline of 77.2%[27] - The group had two major customers from the trading business segment contributing over 10% of total revenue in 2024, with revenues of RMB 148,297,000 and RMB 86,529,000 respectively[26] - The average occupancy rate for the Shanghai warehouse was 56.73% as of December 31, 2024, down from 60.09% in 2023[50] - The average occupancy rate for the Tianjin (Airport Area) warehouse was 34.95% as of December 31, 2024, down from 37.43% in 2023[51] Strategic Initiatives - The company plans to continue its business transformation by gradually divesting from heavy asset businesses and focusing on the cold chain and food supply chain sectors[46] - The company aims to reduce reliance on heavy assets and investment speed, focusing on the food supply chain platform business as a new growth avenue[70] - The company plans to create a light asset, low-risk, and strong cash flow S2B2C food supply chain platform within three to five years[69] - The company is focusing on integrating digital platforms with warehousing logistics infrastructure to enhance supply chain efficiency[69] Financing and Liquidity - The company secured bank financing of HKD 300,000,000 in March 2025 and received a waiver for a loan of RMB 135,000,000 from a subsidiary[10] - The group has a liquidity support agreement with Beijing Enterprises Group, which commits to providing backup financing if necessary[10] - The ability to continue as a going concern depends on successful property sales and obtaining additional bank funding[11] - The group has implemented measures to ensure sufficient operating funds to meet its financial obligations[11] Market and Industry Trends - The food supply chain industry is projected to grow significantly in 2024, with a market size of RMB 4.84 trillion and a year-on-year growth of 10.2% in service supply chain enterprises[68] - The company aims to build the most comprehensive and advanced integrated service platform for the frozen products industry in China[58] Future Outlook - The company is actively working to improve communication with existing tenants and expand new tenant resources to enhance the leasing environment[51] - The group plans to seek quality partners to establish a fund for the next phase of the Cambodia project, aiming to provide financial support[63] Miscellaneous - The financial statements are prepared in accordance with Hong Kong Financial Reporting Standards and are presented in RMB[12] - The group has not hedged its foreign currency risks, which may have significant financial implications due to exchange rate fluctuations[106] - The group's consolidated financial statements for the year ending December 31, 2024, have been audited and approved by Deloitte[119] - The annual report for 2024 will be sent to shareholders in April 2025 and will also be available on the company’s website[120] - The board expresses gratitude to shareholders, customers, banks, and business partners for their trust and support during the business adjustment period[121]

Financial Performance - The company reported a consolidated loss attributable to shareholders of approximately RMB 84.84 million for the six months ended June 30, 2024, compared to a loss of RMB 67.35 million for the same period in 2023[5]. - For the period of 2024, the company's revenue (net of VAT and government surcharges) was approximately RMB 489,180,000, a decrease of about RMB 268,920,000 or 35.47% compared to RMB 758,100,000 in 2023[23]. - The gross profit for 2024 was approximately RMB 96,770,000, down by about RMB 39,460,000 or 28.97% from RMB 136,230,000 in 2023[23]. - The group reported a loss for the period of RMB 83,950,000, compared to a loss of RMB 91,055,000 in the same period of 2023[50]. - The group incurred a total employee cost of approximately RMB 24,480,000 for the period, a significant reduction of 48.7% from RMB 47,730,000 in the previous year[48]. - The company reported a significant increase in cash flow from operating activities, indicating improved operational efficiency and financial health[56]. - The company reported a significant reduction in the cost of sold goods, which decreased from RMB 578,902,000 in 2023 to RMB 361,897,000 in 2024, reflecting improved cost management[75]. Business Strategy and Transition - The company is transitioning from heavy asset investments to a sustainable business model focused on food supply chain operations, initiated in 2019, to improve profitability and reduce financial costs[6]. - The company aims to develop a national food supply chain service platform, focusing on high-value imported meat and seafood transactions[10]. - The company plans to gradually reduce reliance on real estate development and focus on the development of the supply chain industry[19]. - The company aims to build a light-asset, low-risk, and strong cash flow S2B2C food supply service platform within three to five years[20]. - The company is actively seeking strategic partnerships to enhance its supply chain capabilities, having established collaborations with over 3,173 logistics companies nationwide[14]. Asset Management and Sales - The company completed the sale of two logistics warehouse assets and three industrial plant assets in 2022, but faced increased financial costs and declining asset prices due to various negative factors[6]. - The company completed the sale of 90% equity in the Beijing Tongzhou project in June 2022, with the remaining 10% sold in August 2023, recovering approximately RMB 180 million[7]. - The company sold projects in Xiamen and Hainan on October 10, 2023, recovering approximately RMB 386 million[7]. - The company’s joint venture project in Tianjin was sold on December 7, 2023, recovering approximately RMB 146 million[10]. - The company recognized a gain of approximately RMB 52,300,000 from the sale of the Jiaxing project, completed in January 2024[88]. Operational Efficiency and Capacity - The overall average occupancy rate of the company's warehouses as of June 30, 2024, was 57.87%[8]. - The average occupancy rate for the Tianjin Airport warehouse was 32.43% as of June 30, 2024, reflecting significant market pressure[8]. - The average occupancy rate for the Tongliao project was 83.92% as of June 30, 2024, showing steady improvement[9]. - The company’s cold storage capacity in Tianjin is 75,000 tons, with an operational capacity of 45,000 tons and an average occupancy rate of 35.44% as of June 30, 2024[11]. - The Qingdao warehouse has a total storage capacity of 8,000 tons, with a 100% occupancy rate[11]. - The Quzhou Agricultural Wholesale Market project has a total rental area of 162,003.86 square meters, with an average occupancy rate of 80.27% for the wholesale trading area and 80.88% for the storage service area as of June 30, 2024[13]. Financial Position and Liquidity - Cash and cash equivalents increased by RMB 1,594,620,000, mainly due to the issuance of guaranteed bonds and proceeds from the sale of subsidiaries[36]. - Total borrowings as of June 30, 2024, amounted to approximately RMB 8,969,500,000, with a capital debt ratio of about 238.63%[40]. - The current ratio and quick ratio as of June 30, 2024, were approximately 240.31% and 169.20%, respectively, indicating strong liquidity[40]. - The company's cash and cash equivalents surged to RMB 1,960,592,000, a substantial increase from RMB 366,010,000 at the end of 2023, marking a growth of over 436%[52]. - The company’s cash flow from financing activities resulted in a net cash inflow of RMB 1,164,949,000, compared to a net cash outflow of RMB 279,873,000 in the previous year[56]. Market and Economic Context - The food supply chain market in China is projected to reach a scale of 9.36 trillion yuan in 2023, with restaurant revenue reaching 5.29 trillion yuan[19]. - Cambodia's economy has maintained a growth rate of 5% to 7% since 2013, with China being the largest investor in Cambodia in 2023[17]. - The project in Cambodia aims to provide a comprehensive industrial platform for Chinese enterprises along the "Belt and Road" initiative[16]. Corporate Governance and Compliance - The board confirms compliance with all corporate governance codes as per the Hong Kong Stock Exchange listing rules[110]. - The audit committee has been established in accordance with the corporate governance code as per the listing rules, consisting of three independent non-executive directors[112]. - All members of the audit committee are independent non-executive directors, ensuring unbiased oversight[112].

Financial Performance - The company reported a revenue of RMB 1,468,336,000 for 2023, an increase of 30.5% compared to RMB 1,125,947,000 in 2022[9]. - The pre-tax loss for the year was RMB 924,647,000, a significant decline from a profit of RMB 260,006,000 in the previous year[9]. - The net loss attributable to shareholders was RMB 901,406,000, compared to a loss of RMB 70,973,000 in 2022[9]. - The group recorded a comprehensive loss attributable to shareholders of approximately RMB 901.41 million for the year ended December 31, 2023, compared to a loss of approximately RMB 70.97 million for the year ended December 31, 2022[15]. - The gross profit for the year ended December 31, 2023, was approximately RMB 234,100,000, a decrease of about RMB 165,720,000 or 41.45% compared to RMB 399,820,000 for the previous year[45]. - The industrial property segment generated revenue of RMB 80,720,000 in 2023, a decrease of RMB 70,900,000 or 46.76% from RMB 151,620,000 in 2022, with a gross margin decline from 79.88% to 56.42%[54]. - The commercial property segment's revenue increased by RMB 5,890,000 or 8.54% to RMB 74,880,000 in 2023, with a gross margin decrease from 96.55% to 84.76%[55]. - The trade business saw a significant revenue increase of RMB 490,320,000 or 76.39%, reaching RMB 1,132,190,000 in 2023, driven by supply chain development[51]. - Cold chain logistics warehouses experienced a revenue drop of RMB 48,180,000 or 65.88%, totaling RMB 24,950,000 in 2023, with a gross margin decline from 46.49% to 38.60%[50]. Asset and Liability Management - The total assets decreased to RMB 13,603,082,000 from RMB 15,677,261,000, reflecting a decline of approximately 13.2%[9]. - The company's cash and bank balances fell to RMB 375,100,000 from RMB 653,240,000, a decrease of 42.4%[9]. - The net asset liability ratio increased to 234.91% from 170.86%, indicating a worsening financial leverage situation[9]. - The total borrowings of the group as of December 31, 2023, amounted to approximately RMB 7,431,420,000, with a capital debt ratio of approximately 234.91%[82]. - The group has a total net borrowings of RMB 7,056,320,000 as of December 31, 2023, a decrease of RMB 137,920,000 from the previous year[83]. - The group reported a significant increase in other payables to related parties, rising by RMB 215,410,000[79]. - The group has unfulfilled contracted capital commitments totaling approximately RMB 689,990,000 as of December 31, 2023[87]. Operational Developments - The group is in a restructuring phase and aims to enhance asset operational levels and improve profitability through ongoing reforms[12]. - The average occupancy rate of the high-end and modern logistics warehouses increased from 54.78% in 2022 to 60.09% in 2023 for the Shanghai Pudong project[20]. - The group completed the sale of 90% equity in the Tongzhou project in June 2022 and the remaining 10% in August 2023, recovering approximately RMB 180 million[18]. - The group also sold projects in Xiamen and Hainan in October 2023, recovering approximately RMB 386 million[18]. - The average occupancy rate for the warehouses in Meishan, Sichuan, was 53.21% as of December 31, 2023, amid increased market vacancy rates[23]. - The overall average occupancy rate for the Tongliao project was 81.41% for the entire year of 2023[23]. - The average occupancy rate for the cold storage facilities in Tianjin was 59.90% as of December 31, 2023, down from 88.41% in 2022[25]. Strategic Focus - The group plans to phase out investments in heavy asset businesses and focus on developing the cold chain and food supply chain businesses in China[16]. - The group believes that the profit contribution from the supply chain will further increase in 2024 as the upstream and downstream combinations are nearing optimization[12]. - The company aims to reduce reliance on heavy assets and transition to a mixed development model, increasing the proportion of service-related business[43]. - The company is targeting a three to five-year plan to establish a light asset, low-risk, strong cash flow S2B2C food supply chain platform[42]. - The food supply chain market is expected to continue growing in 2024, supported by existing cold storage resources and internet platforms[40]. Governance and Compliance - The board of directors presented the audited financial statements for the year ending December 31, 2023[117]. - The group has not reported any significant violations of applicable laws and regulations that could impact its business operations[122]. - The company has adopted the corporate governance code and has complied with all provisions, except for certain disclosed deviations[197]. - The company is committed to maintaining high standards of corporate governance to enhance transparency and protect shareholder rights[193]. - The independent non-executive directors have reviewed the ongoing related party transactions and confirmed they are conducted on normal commercial terms[184]. Employee and Compensation - As of December 31, 2023, the group had a total of 368 employees, down from 525 in 2022[93]. - Total employee costs for the year ended December 31, 2023, were approximately RMB 87,340,000, compared to RMB 89,740,000 in 2022[93]. - The management regularly reviews the employee compensation policy and may grant discretionary bonuses and stock options based on individual performance evaluations[93]. - The board of directors and senior management's remuneration is determined based on their qualifications, work capabilities, industry experience, and the group's profitability, among other factors[160]. Related Party Transactions - The company has confirmed compliance with the disclosure requirements of the Listing Rules regarding related party transactions[184]. - No related party transactions were conducted during the year, but ongoing related party transactions were reported[179]. - The group aims to improve capital efficiency through higher interest income and lower financing costs from the deposit service agreement[180]. Market and Economic Conditions - The overall economic recovery post-pandemic has been slower than expected, impacting asset sales and the value of existing assets[11]. - The demand for warehouse facilities and commercial properties in China is sensitive to domestic consumption and cross-border trade levels, with potential risks from global economic slowdowns[125]. - The group cannot guarantee continued growth in demand for warehouse facilities and commercial properties, which could adversely affect its business and financial condition[125].