Group 1 - The core point of the article highlights a significant rise in mobile gaming stocks in the Hong Kong market, driven by the earnings forecast from Xindong Company, which saw its stock price increase by over 24% [1][2]. - Xindong Company expects its revenue for the first half of 2025 to be no less than 3.05 billion yuan, representing a year-on-year growth of approximately 37%. The net profit is projected to be no less than 790 million yuan, an increase of about 215% year-on-year [2]. - Other mobile gaming stocks also experienced gains, with IGG rising nearly 10%, Chuangmeng Tiandi and Zhongyou Game both increasing over 6%, and several others showing positive growth [1][2]. Group 2 - According to the China Audio-Video and Digital Publishing Association, the actual sales revenue of the domestic gaming market in the first half of 2025 is expected to reach 168 billion yuan, marking a year-on-year increase of 14.08%, setting a new historical high [3]. - The number of domestic gaming users is projected to reach 679 million, also achieving a historical peak [3].

（於 開 曼 群 島 註 冊 成 立 之 有 限 公 司） （股 份 代 號：1022） 補充公告 授出購股權 茲提述本公司日期為二零二五年七月二十五日有關授出購股權的公告（「該 公 告」）。除 本 公 告 另 有 界 定 者 外，本 公 告 所 用 詞 彙 與 該 公 告 所 界 定 者 具 有 相 同 涵 義。 除 該 公 告 所 提 供 的 資 料 外，本 公 司 謹 此 就 授 予 僱 員 的108,240,000份購股權提供 以 下 額 外 資 料。 第 二 類－僱 員 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 Feiyu Technology International Company Ltd. 飛魚科技國際有限公司 | | | 附帶業績 | 並無附帶業績 | | | --- | --- | --- | --- | --- | | | | 目標的 | 目標的 | | | | 購 ...

Group 1 - The majority of mobile game stocks in the Hong Kong market experienced declines, with Feiyu Technology (01022.HK) dropping over 9% [1] - Blueport Interactive fell more than 5% [1] - Xindong Company (02400.HK) and Bilibili (09626.HK) both saw declines exceeding 3% [1]

Market Overview - On July 23, both the Hong Kong Hang Seng Index and the A-share Shanghai Composite Index rose, with the former stabilizing above 25,500 points, reaching a new high since November 2021, while the latter touched the critical 3,600 points [2] - The gaming sector in Hong Kong saw significant capital inflow, rising by 4%, with Tencent (00700.HK) being the largest contributor, increasing by 4.94% to HKD 552.0 per share, marking a new high since June 2021 [2][3] Company Performance - Tencent's stock performance was notable, with a significant increase in market capitalization, while other gaming stocks like Kingsoft (03888.HK), NetEase (09999.HK), Bilibili (09626.HK), and Xindong Company (02400.HK) also saw gains of 3.89%, 2.59%, 2.33%, and 1.56% respectively [2][3] - Flying Fish Technology (01022.HK) experienced the highest single-day increase of 49.15% following a profit announcement, projecting a net profit of approximately RMB 55 million to 70 million for the first half of 2025, compared to a loss of RMB 2 million in the same period last year [3][7] A-share Market - In the A-share market, the gaming sector also performed well, with ST Huatuo (002602.SZ) rising by 4.22%, and other companies like Gigabit (603444.SH) and 37 Interactive Entertainment (002555.SZ) also recording gains [4] Regulatory Environment - The National Press and Publication Administration approved 127 domestic games and 7 imported games in July, contributing to the positive sentiment in the gaming sector [5] - Notable approvals included Tencent's "Summon Adventure" and NetEase's "Diablo IV," indicating a steady release of new content in the market [5] Industry Trends - Analysts noted a solidifying trend of regular game approvals, coupled with domestic gaming innovations, suggesting a recovery in the industry's growth pace [6] - The summer season is a critical period for game developers, with many launching new titles aimed at enhancing player engagement through strong narratives and social elements [6] Financial Outlook - Market expectations for Tencent's Q2 2025 revenue and gross profit are optimistic, with projected year-on-year growth of 12% and 17% respectively, driven by an 18% increase in online gaming revenue [7] - HSBC forecasts NetEase's Q2 performance to be stable, with an expected revenue growth of 11%, supported by a significant increase in PC game revenue [8] - Analysts express a positive outlook for the gaming sector, citing improvements in supply and the emergence of quality content, alongside the impact of AI technology on cost reduction and efficiency [8]

Market Overview - On July 23, the Hong Kong stock market experienced a significant rally, with the Hang Seng Index rising by 1.62% to close at 25,538.07 points, and the Hang Seng Technology Index increasing by 2.48% [2][3] - The total market turnover for the day was 333.07 billion HKD, with a net outflow of 1.32 billion HKD from southbound funds [2] Tencent Holdings - Tencent Holdings saw a notable increase of 4.94%, closing above 550 HKD per share, marking a new high in over four years, with a market capitalization of 50,594.48 billion HKD [6][5] - The company responded to news regarding the discontinuation of the WeChat real-time intercom feature, stating that a new voice input function has been added to enhance user experience [8] Technology Sector - Internet technology stocks collectively surged, with Kuaishou-W rising by 7.08% and Baidu Group-SW increasing by 6.08% [3] - The Hang Seng Technology Index's performance reflects a year-to-date increase of 28.59% [3] Chinese Brokerage Stocks - Chinese brokerage stocks showed strong performance, with notable gains from Guolian Minsheng (5.46%), Xingsheng International (5.17%), and Zhongzhou Securities (4.85%) [11] - The securities industry is currently benefiting from multiple favorable factors, including a 33% year-on-year increase in new A-share accounts and a significant rise in IPO numbers and financing scale in the Hong Kong market [13] Insurance Sector - The insurance sector was active, with China Life rising by 3.34%, contributing to a year-to-date increase of 51.44% [15] - According to research from China International Capital Corporation, the net profit growth rate for the Chinese insurance industry is expected to be 7.4% year-on-year in the first half of 2025 [18] New Energy Vehicle Sector - NIO-SW experienced an increase of 8.97%, driven by the announcement of dynamic test drive experiences for its new model, the L90, which is set to launch soon [20] Cement Sector - The cement sector faced a downturn, with Huaxin Cement dropping by 9.37% and other related stocks also declining due to a collective pullback in the Yajiang Hydropower Station-related sector [21]

Core Viewpoint - Feiyu Technology plans to invest 50.3 million yuan in real estate despite reporting a net loss of 44.39 million yuan for 2024, indicating a strategic shift towards long-term investment in property to stabilize future income [2][5]. Group 1: Real Estate Investment - Feiyu Technology announced the acquisition of real estate located at 39 East Third Ring Middle Road, Chaoyang District, Beijing, for a total expenditure of 50.3 million yuan [2]. - The purchased property is currently leased, with existing monthly rental agreements ranging from 45,000 to 64,000 yuan, and the last lease set to expire on December 21, 2025 [3]. - The expected net rental income from the property is projected to be approximately 3.28 million yuan and 2.98 million yuan for the years ending 2023 and 2024, respectively [3]. Group 2: Financial Performance - In 2024, Feiyu Technology reported a revenue of 277 million yuan, a year-on-year increase of 22.35%, but faced a net loss of 44.39 million yuan, marking a shift from profit to loss [5]. - The gaming operations segment generated 239 million yuan in revenue, accounting for 86.29% of total revenue, with a growth of approximately 36.7% year-on-year [5]. - The average monthly active users (MPU) for Feiyu's games decreased from 6,000 in 2023 to 5,000 in 2024, indicating a decline in user engagement [6]. Group 3: Future Outlook - The company anticipates challenges in the online gaming industry due to increased competition and rising customer acquisition costs, but sees potential in HTML5 games, which are expected to continue growing [7]. - Feiyu Technology plans to launch multiple new games in 2025, including a console game titled "Neon Abyss 2," while continuing to invest in existing popular titles [7].

Group 1 - Company Fish Technology announced the acquisition of properties in Beijing for a total price of RMB 50.3 million, consisting of office units and parking spaces with a total area of 1,770.22 square meters and 129.53 square meters respectively [2] - The properties are located in a strategic area of Beijing's central business district, which is considered one of the prime commercial zones, and the company believes this acquisition represents a long-term investment opportunity despite the current downturn in the real estate market [2] - The acquisition is expected to provide stable rental income in the long term, as the company has referenced past rental income data and recent rental prices of comparable properties in the area [2] Group 2 - In 2024, Fish Technology achieved a revenue of RMB 277 million, reflecting a year-on-year growth of 22.35%, but faced significant pressure on profits with a net loss of RMB 44.39 million, marking a shift from profit to loss [3] - The main source of revenue for the company comes from game operations, accounting for 86.29% of total revenue, with RMB 239 million generated from this segment [3] - The company plans to focus on the long-term operation of existing popular games to maintain stable cash flow and aims to expand into overseas markets to diversify revenue sources [3]

Financial Performance - The company achieved a total revenue of RMB 276.7 million for the year ended December 31, 2024, representing a year-on-year growth of 22.4%[9] - The company reported a net loss attributable to equity holders of RMB 44.4 million for the year ended December 31, 2024[7] - The total equity decreased to RMB 482.6 million from RMB 525.9 million in the previous year[8] - For the fiscal year ending December 31, 2024, the company's gaming operations generated approximately RMB 238.8 million, an increase of about 36.7% from RMB 174.7 million in the previous year, primarily driven by the successful launch of the HTML5 game "一步两步" on August 1, 2024[27] - The company reported a net loss of RMB 46.1 million for the year ended December 31, 2024, compared to a profit of RMB 52.2 million in the previous year[34] - The company experienced a significant decrease in licensing and intellectual property-related income, dropping 52.7% to RMB 13.2 million due to the transition of "God's Path 3" to self-operation[36] - Other income and gains decreased by approximately 30.9% from RMB 22.3 million for the year ended December 31, 2023, to RMB 15.4 million for the year ending December 31, 2024, primarily due to a drop in investment income from RMB 7.2 million to RMB 1.2 million[40] Game Development and Launches - The successful launch of the HTML5 game "Step by Step" on August 1, 2024, significantly contributed to the company's performance[9] - Three new games were launched in 2024, including two HTML5 games and one virtual reality game, enhancing the company's product portfolio[10] - The game "Step by Step" quickly gained popularity, ranking in the top ten of the WeChat mini-game sales chart by December 2024[10] - The existing game series "Xianxian Dao" continued to generate stable revenue across online and mobile platforms, demonstrating ongoing popularity[10] - The daily active users (DAU) for the game "Defend the Carrot 4," launched in 2022, recorded moderate growth, indicating its sustained appeal[10] - The company plans to launch multiple new HTML5 games in 2025, alongside the anticipated release of the console game "Neon Abyss 2," expected to diversify revenue sources[14] - The company plans to launch multiple new HTML5 games in 2025, continuing to invest in the game "一步两步" to maintain its momentum since its release[22] - The company launched several new games including "一步两步", "Let's Plane", and "野人快跑" during the fiscal year ending December 31, 2024[93] User Engagement and Market Trends - The advertising revenue from "Defend the Carrot 4" grew by 22.2% compared to 2023, indicating sustained user engagement and advertiser interest[15] - As of December 31, 2024, the company reported approximately 235.7 million registered users for its RPG mobile and online games, with 173.4 million in online games and 62.3 million in mobile games[28] - The average Monthly Active Users (MPU) for online games decreased by 16.7% to 5,000 from 6,000 in the previous year, while mobile RPG games saw a 47.9% drop from 94,000 to 49,000[30] - Player satisfaction rating showed that approximately 92.31% of users rated their experience as 4 or above on a scale of 1 to 5, based on feedback from 7,975 users[190] Intellectual Property and Licensing - The blind box themed around "Defend the Carrot" achieved significant success, highlighting the commercial value of the company's intellectual property[10] - The company has expanded the "Defend the Carrot" IP into non-gaming applications, introducing 6 new product lines, bringing the total to 13 by the end of the year[16] - A limited edition of the golden "Defend the Carrot" collectible sold out within 5 minutes, setting a record for the fastest-selling licensed merchandise[16] - The company launched a total of 48 licensed products, focusing on lifestyle and office supplies, with many items experiencing multiple restocks due to high demand[17] Regulatory and Compliance - Key risks include strict regulatory oversight in the online gaming industry and the need to manage growth effectively to sustain business performance[18] - The company has established a game content review team to ensure compliance with relevant laws and regulations, focusing on player health and safety[20] - The company emphasizes compliance with various laws and regulations impacting its operations, including the Personal Information Protection Law and the Data Security Law of the People's Republic of China[85] Environmental, Social, and Governance (ESG) - The company is committed to sustainable development and has established a governance framework for environmental, social, and governance (ESG) issues[99] - The company has established an Environmental, Social, and Governance (ESG) working group to coordinate ESG initiatives across various departments, including R&D and operations[100] - The company has set environmental targets related to greenhouse gas emissions, waste management, energy consumption, and water resource management, with management reviewing progress at least annually[100] - The company aligns its vision with the United Nations Sustainable Development Goals (SDGs) and has developed specific strategies and targets for seven relevant SDGs[102] - The company emphasizes responsible operations, innovation, and community contributions as part of its strategic goals[103] - The company has committed to community service and educational sponsorships as part of its social responsibility initiatives[84] Employee and Workplace - The company has a total of 381 employees as of December 31, 2024, an increase from 334 in 2023, with 100% being full-time employees[111] - Employee turnover rate for 2024 is 19%, down from 33% in 2023, indicating improved employee retention[116] - The company provided a total of 1,379 training hours in 2024, slightly up from 1,375 hours in 2023[161] - The company has established a reward mechanism linked to individual performance, enhancing employee motivation and retention[119] - The company emphasizes diversity and equal opportunity in its hiring and evaluation processes, with no complaints regarding workplace inequality reported this year[120] Waste and Resource Management - The company reported a total waste generation of 564.26 tons in 2024, an increase from 535.56 tons in 2023, with a waste generation density of 76.62 kg/m²[180] - The total amount of waste recycled was 281.13 tons in 2024, up from 242.68 tons in 2023[180] - The company achieved a greenhouse gas emission reduction, with total emissions of 372.41 tons CO2 equivalent in 2024, down from 517.02 tons in 2023[177] - The company has implemented energy-saving measures to reduce unnecessary energy consumption and improve energy efficiency[175] - The company has installed dual-flush systems in restrooms to promote water conservation, contributing to a reduction in overall water usage[184]

Financial Performance - The company's revenue for the year ended December 31, 2024, was RMB 276.7 million, representing a 22.4% increase compared to RMB 226.2 million in 2023[3]. - Gross profit for the same period was RMB 237.2 million, reflecting a 22.0% growth from RMB 194.5 million in the previous year[3]. - The company reported a loss before tax of RMB 44.5 million, compared to a profit of RMB 52.6 million in 2023, indicating a significant shift in financial performance[3]. - The company's gaming operations generated approximately RMB 238.8 million in revenue for the year ended December 31, 2024, representing an increase of about 36.7% compared to RMB 174.7 million for the year ended December 31, 2023[20]. - The loss for the year ending December 31, 2024, was approximately RMB 46.1 million, compared to a profit of approximately RMB 52.2 million for the year ended December 31, 2023[42]. - Total equity decreased from approximately RMB 525.9 million as of December 31, 2023, to approximately RMB 482.6 million as of December 31, 2024, primarily due to the recorded loss[43]. - Cash and cash equivalents decreased from approximately RMB 160.7 million as of December 31, 2023, to approximately RMB 100.7 million as of December 31, 2024, mainly due to the purchase of fixed-term deposits and repayment of bank loans[44]. Revenue Growth and Market Trends - The online gaming industry in China recorded revenues of RMB 325.8 billion in 2024, with a year-on-year growth of 7.5%, highlighting a recovering market environment[4]. - The successful launch of the new HTML5 game "One Step Two Steps" contributed significantly to revenue growth, achieving a ranking of 8th in the WeChat mini-game sales chart in January 2025[5][6]. - The company plans to expand its existing game IPs, with the "Defend the Carrot" series seeing a 22.2% increase in advertising revenue compared to 2023, demonstrating sustained user engagement[7]. - The company anticipates that the promotional activities for "One Step Two Steps" will yield strong returns, supporting continued growth in the coming years[6]. - The HTML5 gaming segment is expected to show strong growth potential, driven by its ease of play compared to other game types[12]. User Engagement and Product Development - The average Monthly Active Users (MAU) for RPG mobile and online games totaled approximately 0.2 million as of December 31, 2024, with mobile games contributing about 0.1 million and online games also about 0.1 million[22]. - The average Monthly Paying Users (MPU) for network games (RPG) decreased from approximately 6,000 in 2023 to about 5,000 in 2024, a decline of 16.7%[23]. - The average MPU for mobile RPG games dropped by 47.9% from approximately 94,000 in 2023 to about 49,000 in 2024[24]. - The company launched a total of 48 licensed merchandise products, focusing on lifestyle and office supplies, which have been well-received by fans[9]. - The company has successfully introduced six new products under the "Defend the Carrot" series, expanding its merchandise offerings significantly[8]. Challenges and Risks - The company faces significant risks including strict regulations in the online gaming industry in China, which could adversely affect its operations if licenses are not maintained[10]. - The company recognizes the challenges posed by rising customer acquisition costs and declining consumer confidence in the online gaming industry[12]. - The company plans to focus on long-term operations rather than immediate monetization for certain games, impacting revenue from "保卫萝卜4"[30]. Investment and Financial Strategy - The company is investing heavily in technology infrastructure to enhance player experience and game performance[11]. - The company aims to expand its game distribution platform to penetrate existing markets and explore new markets both domestically and internationally[14]. - The company is committed to improving its existing game portfolio and attracting new talent to enhance its competitive edge[14]. - The company maintains a diversified investment portfolio, with at least 50% of total investments allocated to risk-free or capital-protected investments[49]. Corporate Governance and Compliance - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[150]. - The company has adhered to all relevant laws and regulations that significantly impact its business operations[81]. - The company will continue to regularly review and monitor its corporate governance practices to ensure compliance with applicable standards[152]. Future Outlook - The company plans to launch multiple new HTML5 games in 2025, continuing to invest in its successful title "Step by Step" to maintain momentum[13]. - The company plans to enhance its product offerings and increase promotional efforts for its intellectual property products to drive sales growth and improve brand recognition[19]. - The company aims to increase the actual exposure of its intellectual property through various offline channels, including exhibitions and cultural events, to attract a broader audience[19].

Financial Performance - For the first half of 2024, the company reported total revenue of RMB 101.8 million, a decrease of 5.7% compared to RMB 107.9 million in the same period last year[7]. - The gross profit for the first half of 2024 was RMB 85.6 million, down 9.8% from RMB 94.9 million year-on-year[7]. - The company recorded a loss attributable to equity holders of RMB 1.6 million, primarily due to an investment loss of RMB 11.6 million from a non-listed limited partnership[9]. - Game operation revenue for the first half of 2024 was approximately RMB 833.12 million, a decrease of about 8.6% compared to RMB 912.84 million in the same period of 2023[17]. - Total revenue decreased by 5.7% from approximately RMB 107.9 million to RMB 101.8 million for the six months ending June 30, 2024[22]. - Other income and gains dropped by approximately 52.0% from RMB 17.9 million to RMB 8.6 million, mainly due to a significant decrease in investment income[27]. - The company recorded a loss of approximately RMB 2.0 million for the six months ending June 30, 2024, compared to a profit of RMB 40.9 million for the same period in 2023[34]. - The company incurred a net loss of RMB 1,964 thousand for the six months ended June 30, 2024, compared to a profit of RMB 40,866 thousand in the prior year[80]. - Total comprehensive income for the period was RMB 3,620,000, down from RMB 46,164,000 in the previous year, indicating a decrease of approximately 92.16%[81]. Assets and Liabilities - Non-current assets increased by 9.1% to RMB 521.4 million from RMB 477.7 million as of December 31, 2023[8]. - Current assets decreased by 31.8% to RMB 152.9 million from RMB 224.3 million as of December 31, 2023[8]. - Total assets decreased by 3.9% to RMB 674.3 million from RMB 701.9 million as of December 31, 2023[8]. - The total liabilities decreased by 17.8% to RMB 144.7 million from RMB 176.0 million as of December 31, 2023[8]. - Cash and cash equivalents decreased by approximately 42.2% to RMB 92.9 million as of June 30, 2024, from RMB 160.7 million as of December 31, 2023[36]. - The company had total bank loans of approximately RMB 92.5 million as of June 30, 2024, down from RMB 95.5 million as of December 31, 2023[37]. - The company's debt-to-asset ratio as of June 30, 2024, was 21.5%, down from 25.1% as of December 31, 2023[53]. - Total liabilities decreased to RMB 54,426,000 from RMB 80,841,000, a reduction of approximately 32.5%[84]. User Engagement and Market Trends - As of June 30, 2024, the company had approximately 235.3 million registered users for its RPG mobile and online games, with 173.3 million for online games and 62.0 million for mobile games[18]. - The average Monthly Active Users (MAU) for RPG mobile games decreased by 80.8% to approximately 60,000 from 313,000 in the previous year[19]. - The online gaming market in China saw a slight revenue increase of 2.08% year-on-year, with HTML5 games experiencing a significant growth of 60.5%[9]. - The average Revenue Per Paying User (ARPPU) for mobile RPG games increased by 452.1% to RMB 104.9 from RMB 19.0 in the previous year[19]. - The company is focusing on long-term operations of its popular IP portfolio, including "Defend the Carrot" and "Gods and Demons," to lay a solid foundation for potential sequels[15]. Strategic Initiatives - The company is focusing on developing new HTML5 games, which are expected to enhance user experience despite short-term financial impacts[9]. - The company aims to launch 8 new HTML5 games in the second half of 2024, leveraging its diverse game themes and licenses[14]. - The company has partnered with Beijing Oriental Garden Environment Co., Ltd. to develop a physical theme park based on the "Defend the Carrot" IP, expected to open in the first half of 2025[10]. - The company plans to build and operate the first "Defend the Carrot" themed park in Yunnan Province, with expectations to expand to multiple cities nationwide[14]. - The company is adopting the latest technologies, including AI-generated content, to improve operational efficiency[13]. Expenses and Costs - Sales and distribution expenses surged by approximately 102.9% from RMB 17.8 million to RMB 36.2 million, attributed to the transition of "Gods and Immortals 3" from third-party operation to self-operation[28]. - Administrative expenses decreased by approximately 9.6% to RMB 19.7 million for the six months ending June 30, 2024, from RMB 21.8 million for the same period in 2023[29]. - R&D costs for the six months ending June 30, 2024, were approximately RMB 27.2 million, a decrease of about 1.7% from RMB 27.6 million for the same period in 2023[30]. - Financing costs increased by approximately 24.1% to RMB 2.2 million for the six months ending June 30, 2024, from RMB 1.7 million for the same period in 2023[31]. Shareholder Information - The total number of issued shares as of June 30, 2024, is 1,749,442,062[3]. - The 2024 share option plan allows for a total of 174,944,206 shares to be issued, which is 10% of the total issued shares as of May 24, 2024[65]. - The exercise price for the share options is set at HKD 1.256, with the closing price at HKD 1.24[63]. - The company has approved a new stock option plan effective May 24, 2024, allowing for a maximum of 174,944,206 shares to be granted under the plan, which is 10% of the company's issued shares at the time of adoption[129]. - The company has a policy requiring independent non-executive director approval for granting options to directors or major shareholders[129]. Governance and Compliance - The board of directors remains unchanged with seven members, including four executive directors and three independent non-executive directors[75]. - The company continues to adhere to high standards of corporate governance and has not identified any violations of the trading code by employees during the reporting period[75]. - The independent auditor, Ernst & Young, has reviewed the interim financial information and found no issues that would lead to a belief that the financial data is not prepared in accordance with International Accounting Standard 34[79].