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，並明確表示概不就本公告全部或任何部份 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。 H E N G X I N T E C H N O L O G Y L T D. 亨 鑫 科 技 有 限 公 司 * （以 HX Singapore Ltd. 名稱在香港經營業務） （於新加坡共和國註冊成立的有限公司） (香港股份代號：1085) 本公司之董事（「董事」）會（「董事會」）欣然宣佈 ，本公司與華東師範大 學共建智能安全密碼芯片聯合實驗室。本公司與華東師範大學將聯合研究共同 申請國家重點研發計劃項目、國家自然科學基金重點項目在內的國家級科研計 劃項目，以及上海市發佈的科研重大重點專項；聯合人才培養，共用技術成果， 本公司執行董事彭一楠先生將擔任實驗室副主任。 此智能安全密碼芯片聯合實驗室旨在促進密碼芯片的產業化發展，在特定密碼 芯片領域（比如後量子密碼領域）研製具有自主產權的密碼算法、協議及安全 芯片，並獲得自主產權推動產業化實現。 董事會認為，共建「華東師範大學-亨鑫科技智能安全密碼芯片聯合實 ...

[Financial Highlights](index=1&type=section&id=%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81) The Group's H1 2025 revenue decreased by 8.3% to RMB 1,022.2 million, with gross profit down 10.9% to RMB 187.3 million and gross margin slightly declining by 0.5 percentage points to 18.3%, resulting in a net loss of RMB 70.4 million attributable to equity holders and a basic loss per share of RMB 0.152, with no interim dividend recommended H1 2025 Financial Highlights | Metric | H1 2025 (million RMB) | H1 2024 (million RMB) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 1,022.2 | 1,115.3 | -8.3% | | Gross Profit | 187.3 | 210.2 | -10.9% | | Gross Profit Margin | 18.3% | 18.8% | -0.5 percentage points | | Net (Loss)/Profit attributable to equity holders of the Company | (70.4) | 26.6 | Switched from profit to loss | | Basic (Loss)/Earnings per share | (0.152) | 0.065 | Switched from profit to loss | | Interim Dividend | Not recommended | Not recommended | - | [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E5%8F%8A%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) The Group recorded a net loss of RMB 71.091 million in H1 2025, compared to a net profit of RMB 33.372 million in H1 2024, driven by an 8.3% YoY revenue decrease, 10.9% gross profit decline, significant reduction in operating profit, and increased income tax expense Consolidated Statement of Profit or Loss and Other Comprehensive Income Key Data | Metric (thousand RMB) | H1 2025 (Unaudited) | H1 2024 (Unaudited) | | :--- | :--- | :--- | | Revenue | 1,022,209 | 1,115,320 | | Cost of sales | (834,878) | (905,107) | | Gross Profit | 187,331 | 210,213 | | Operating Profit | 31,161 | 67,491 | | Profit before tax | 6 | 43,600 | | Income tax expense | (71,097) | (10,228) | | (Loss)/Profit for the period | (71,091) | 33,372 | | (Loss)/Profit attributable to equity holders of the Company | (70,420) | 26,589 | | Basic and diluted (loss)/earnings per share (RMB) | (0.152) | 0.065 | [Consolidated Statement of Financial Position](index=4&type=section&id=%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) As of June 30, 2025, the Group's total assets increased to RMB 5,236.4 million, with a significant rise in current assets, while total liabilities also grew due to increases in trade and other payables and bank loans, leading to a slight decrease in total equity attributable to equity holders of the Company Consolidated Statement of Financial Position Key Data | Metric (thousand RMB) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Non-current assets | 1,555,506 | 1,737,896 | | Current assets | 3,680,913 | 2,928,291 | | Current liabilities | 1,889,431 | 1,229,692 | | Non-current liabilities | 1,069,196 | 1,089,403 | | Net assets | 2,277,792 | 2,347,092 | | Total equity attributable to equity holders of the Company | 1,493,248 | 1,561,877 | | Total equity | 2,277,792 | 2,347,092 | [Consolidated Statement of Changes in Equity](index=6&type=section&id=%E7%B6%9C%E5%90%88%E6%AC%8A%E7%9B%8A%E8%AE%8A%E5%8B%95%E8%A1%A8) For the six months ended June 30, 2025, total equity attributable to equity holders of the Company decreased from RMB 1,561.877 million at the beginning of the period to RMB 1,493.248 million, primarily due to a loss of RMB 70.420 million for the period Changes in Equity Attributable to Equity Holders of the Company | Metric (thousand RMB) | Balance at January 1, 2025 | Loss for the period | Other comprehensive income for the period | Balance at June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | | Total equity attributable to equity holders of the Company | 1,561,877 | (70,420) | 1,791 | 1,493,248 | [Notes to the Consolidated Financial Statements](index=8&type=section&id=%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB) This section details the company's corporate information, accounting policies, revenue and segment reporting, income and expense breakdowns, taxation, share capital, earnings per share, asset and liability changes, related party transactions, and capital commitments [1. Corporate Information](index=8&type=section&id=1.%20%E4%BC%81%E6%A5%AD%E8%B3%87%E6%96%99) The Company is incorporated in Singapore, listed on the Hong Kong Stock Exchange, with primary operations in China, focusing on integrated circuits and digital technology, new energy and services, and wireless communication - The Company is incorporated in Singapore, with its shares listed on the Hong Kong Stock Exchange[18](index=18&type=chunk)[29](index=29&type=chunk) - Its principal activities include integrated circuits and digital technology (chip R&D, design, sales, IP licensing, digital security), new energy and services (power supply, solar power production and sales, concentrated solar power technology services), and wireless communication (signal transmission products and solutions)[18](index=18&type=chunk)[25](index=25&type=chunk)[29](index=29&type=chunk) - The Group's operations are primarily conducted in the People's Republic of China[18](index=18&type=chunk)[29](index=29&type=chunk) [2. Summary of Significant Accounting Policies](index=8&type=section&id=2.%20%E4%B8%BB%E8%A6%81%E6%9C%83%E8%A8%88%E6%94%BF%E7%AD%96%E6%A6%82%E8%A6%81) The financial statements are prepared in accordance with International Financial Reporting Standards, with new IFRS standards issued but not yet effective, including IFRS 18 "Presentation and Disclosure in Financial Statements," which is not expected to significantly impact financial position - The financial statements have been prepared in accordance with all applicable International Financial Reporting Standards (IFRS)[19](index=19&type=chunk)[30](index=30&type=chunk) - IFRS 18 "Presentation and Disclosure in Financial Statements" will be effective from January 1, 2027, and is not expected to have a significant impact on the Group's financial position, though its impact on presentation and disclosure is still being assessed[23](index=23&type=chunk)[24](index=24&type=chunk)[27](index=27&type=chunk) [3. Revenue and Segment Reporting](index=8&type=section&id=3.%20%E6%94%B6%E7%9B%8A%E5%8F%8A%E5%88%86%E9%83%A8%E5%91%88%E5%A0%B1) The Group's revenue primarily stems from three business segments: wireless communication, integrated circuits and digital technology, and new energy and services, with H1 2025 total revenue decreasing by 8.3% YoY, mainly due to a significant decline in wireless communication revenue, while China remains the dominant market for revenue and non-current assets Revenue by Major Product or Service Line | Business Segment (thousand RMB) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Integrated Circuits and Digital Technology | 94,677 | 78,037 | | New Energy and Services | 73,697 | 68,032 | | Wireless Communication | 853,835 | 969,251 | | **Total** | **1,022,209** | **1,115,320** | Revenue from Contracts with Customers by Timing of Revenue Recognition (H1 2025) | Timing of Revenue Recognition (thousand RMB) | Integrated Circuits and Digital Technology | New Energy and Services | Wireless Communication | Total Reportable Segments | | :--- | :--- | :--- | :--- | :--- | | At a point in time | 70,895 | 69,675 | 853,835 | 994,405 | | Over time | 23,782 | 4,022 | - | 27,804 | | **Revenue from external customers** | **94,677** | **73,697** | **853,835** | **1,022,209** | Revenue and Specific Non-current Assets by Geographical Region | Geographical Region (thousand RMB) | H1 2025 Revenue | H1 2024 Revenue | Specific Non-current Assets as of June 30, 2025 | Specific Non-current Assets as of December 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | China | 949,325 | 1,034,005 | 1,491,308 | 1,473,739 | | Other Countries | 72,884 | 81,315 | 121 | 50,533 | | **Total** | **1,022,209** | **1,115,320** | **1,491,429** | **1,524,272** | [4. Other Operating Income](index=14&type=section&id=4.%20%E5%85%B6%E4%BB%96%E7%B6%93%E7%87%9F%E6%94%B6%E5%85%A5) Other operating income for H1 2025 decreased by 47.5% YoY to RMB 15.623 million, primarily due to reduced government grants and net gains from commodity futures contracts Other Operating Income Details | Item (thousand RMB) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Government grants | 12,585 | 21,641 | | Compensation claims received | 530 | 118 | | Service fee income | 1,500 | 38 | | Net gain from commodity futures contracts | 255 | 7,241 | | Others | 753 | 692 | | **Total** | **15,623** | **29,730** | [5. Interest Expense](index=15&type=section&id=5.%20%E5%88%A9%E6%81%AF%E9%96%8B%E6%94%AF) Interest expense for H1 2025 increased by 30.5% YoY to RMB 31.155 million, mainly driven by higher interest expense on short-term bank loans Interest Expense Details | Item (thousand RMB) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Interest expense on short-term bank loans | 31,139 | 23,799 | | Interest on lease liabilities | 16 | 92 | | **Total** | **31,155** | **23,891** | [6. Profit Before Tax](index=15&type=section&id=6.%20%E9%99%A4%E7%A8%85%E5%89%8D%E6%BA%A2%E5%88%A9) Profit before tax significantly decreased to RMB 6 thousand in H1 2025 from RMB 43.6 million in the prior year, primarily impacted by reduced revenue, lower gross profit margin, decreased government grants, impairment losses on trade receivables, and increased interest expense Items Affecting Profit Before Tax | Item (thousand RMB) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Cost of inventories recognized as expense | 698,803 | 795,473 | | Depreciation of property, plant and equipment and amortization expense | 32,491 | 34,589 | | Total staff costs | 102,843 | 105,274 | | Research and development expenses | 72,990 | 72,184 | | Impairment loss on trade and other receivables | 8,383 | - | | Net exchange loss | 1,377 | 394 | | Reversal of obsolete inventories | (162) | (2,603) | [7. Income Tax](index=16&type=section&id=7.%20%E6%89%80%E5%BE%97%E7%A8%85) Income tax expense for H1 2025 surged by 597.1% to RMB 71.097 million, mainly due to increased enterprise income tax paid on inter-company dividend distributions within the China Group, with some Chinese subsidiaries benefiting from a 15% high-tech enterprise preferential tax rate Income Tax Expense Details | Item (thousand RMB) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Current tax expense - China enterprise income tax | 71,097 | 4,560 | | Deferred tax expense - Origination and reversal of temporary differences | - | 5,668 | | **Total** | **71,097** | **10,228** | - Jiangsu Hengxin Technology Co, Ltd, Jiangsu Hengxin Wireless Technology Co, Ltd, Nanjing Zongyu Information Technology Co, Ltd, Shanghai Zongyu Information Technology Co, Ltd, and Qinghai Zhongkong Solar Power Generation Co, Ltd enjoyed a 15% preferential income tax rate in 2025[56](index=56&type=chunk)[68](index=68&type=chunk) - Qinghai Zhongkong also benefits from a tax holiday of three years exemption followed by three years of 50% tax reduction[57](index=57&type=chunk)[69](index=69&type=chunk) [8. Dividends](index=16&type=section&id=8.%20%E8%82%A1%E6%81%AF) The Company does not recommend the payment of any interim dividend for H1 2025 - The Company has not recommended or declared an interim dividend for H1 2025[58](index=58&type=chunk)[62](index=62&type=chunk) [9. Share Capital](index=16&type=section&id=9.%20%E8%82%A1%E6%9C%AC) As of June 30, 2025, the Company's issued ordinary share capital was 465,600 thousand shares, valued at RMB 362,849 thousand, consistent with June 30, 2024, reflecting a placement completed on May 13, 2024 Share Capital Movement Details | Share Capital – Ordinary Shares | Number of Shares (thousand shares) | thousand RMB | | :--- | :--- | :--- | | Balance at December 31, 2023 | 388,000 | 295,000 | | Placement of ordinary shares completed on May 13, 2024 | 77,600 | 67,849 | | Balance at June 30, 2025 and June 30, 2024 | 465,600 | 362,849 | [10. (Loss)/Earnings Per Share](index=16&type=section&id=10.%20%E6%AF%8F%E8%82%A1%EF%BC%88%E虧%E6%90%8D%EF%BC%89%E2%88%95%E7%9B%88%E5%88%A9) Basic and diluted loss per share for H1 2025 was RMB 0.152, compared to earnings per share of RMB 0.065 in H1 2024, with no potentially dilutive ordinary shares during the period (Loss)/Earnings Per Share | Metric | June 30, 2025 (Unaudited) | June 30, 2024 (Unaudited) | | :--- | :--- | :--- | | (Loss)/Earnings per share (RMB) – Basic | (0.152) | 0.065 | | (Loss)/Earnings per share (RMB) – Diluted | (0.152) | 0.065 | | Weighted average number of ordinary shares for basic earnings per share (thousand shares) | 463,274 | 408,466 | - There were no potentially dilutive ordinary shares for the six months ended June 30, 2025 and 2024, hence basic and diluted (loss)/earnings per share are the same[60](index=60&type=chunk)[65](index=65&type=chunk) [11. Property, Plant and Equipment](index=18&type=section&id=11.%20%E7%89%A9%E6%A5%AD%E3%80%81%E5%BB%A0%E6%88%BF%E5%8F%8A%E8%A8%AD%E5%82%99) The Group's capital expenditure for H1 2025 was approximately RMB 13.7 million, a decrease from RMB 17.0 million in the prior year - Capital expenditure for H1 2025 was approximately **RMB 13.7 million**, a YoY decrease of approximately **RMB 3.3 million** (-19.4%)[72](index=72&type=chunk)[76](index=76&type=chunk) [12. Trade and Other Receivables](index=18&type=section&id=12.%20%E8%B2%BF%E6%98%93%E6%87%89%E6%94%B6%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E6%94%B6%E6%AC%BE%E9%A0%85) As of June 30, 2025, total trade and other receivables increased to RMB 1,521.502 million, with a slight decrease in net trade receivables and bills receivable, but a significant increase in net other receivables Trade and Other Receivables | Item (thousand RMB) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Net trade receivables and bills receivable | 1,257,461 | 1,295,768 | | Net other receivables | 264,041 | 101,818 | | **Total trade and other receivables** | **1,521,502** | **1,397,586** | Ageing of Trade Receivables and Bills Receivable | Ageing (thousand RMB) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Within 6 months | 1,016,077 | 958,010 | | 7 to 12 months | 87,433 | 124,060 | | 1 to 2 years | 88,667 | 139,072 | | Over 2 years | 65,284 | 74,626 | | **Total** | **1,257,461** | **1,295,768** | [13. Trade and Other Payables](index=18&type=section&id=13.%20%E8%B2%BF%E6%98%93%E6%87%89%E4%BB%98%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E4%BB%98%E6%AC%BE%E9%A0%85) As of June 30, 2025, total trade and other payables increased to RMB 1,077.212 million, primarily due to a significant rise in trade payables, while other payables decreased Trade and Other Payables | Item (thousand RMB) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Trade payables | 1,036,011 | 633,966 | | Other payables | 41,201 | 106,099 | | **Total** | **1,077,212** | **740,065** | Ageing of Trade Payables | Ageing (thousand RMB) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | 0 to 90 days | 740,909 | 531,889 | | 91 to 180 days | 196,353 | 63,244 | | 181 to 360 days | 67,362 | 15,675 | | Over 360 days | 31,387 | 23,158 | | **Total** | **1,036,011** | **633,966** | [14. Related Party Transactions](index=20&type=section&id=14.%20%E9%97%9C%E9%80%A3%E4%BA%A4%E6%98%93) The Group engaged in various continuing related party transactions during the reporting period, including product sales and raw material purchases with Hengtong Group and its associates, server leasing with Shanghai Zongyu (no longer a related party transaction post-acquisition), technical service contracts with Zhejiang Kesheng, and loan extensions with Nanjing Zongyu (no longer a related party transaction post-acquisition), alongside a disclosure regarding non-compliance with listing rules for logistics service procurement from Jiangsu Hengtong International Logistics - Continuing related party transactions with Hengtong Group Co, Ltd and Jiangsu Hengtong Optic-Electric Co, Ltd: H1 2025 sales of finished goods were **RMB 56.129 million** (H1 2024: RMB 34.399 million), and purchases of raw materials were **RMB 153.850 million** (H1 2024: RMB 251.665 million)[78](index=78&type=chunk)[86](index=86&type=chunk) - Server leasing transactions with Shanghai Zongyu Information Technology Co, Ltd: No disclosable continuing related party transactions in H1 2025, as the Group completed the acquisition of Shanghai Zongyu on July 17, 2024, making it a wholly-owned subsidiary[82](index=82&type=chunk)[84](index=84&type=chunk)[85](index=85&type=chunk)[88](index=88&type=chunk)[95](index=95&type=chunk) - Operation and maintenance technical service contract with Zhejiang Kesheng Technology Co, Ltd: Approximately **RMB 2.646 million** in O&M service revenue recognized in H1 2025; total contract value is RMB 90.2 million, covering 6 months before and 5 years after the Jinta CSP project's grid connection[92](index=92&type=chunk)[93](index=93&type=chunk)[96](index=96&type=chunk) - Loan extension with Nanjing Zongyu Information Technology Co, Ltd: No disclosable related party transactions in H1 2025, as the Group completed the acquisition of Nanjing Zongyu on July 17, 2024, making it a wholly-owned subsidiary[103](index=103&type=chunk)[104](index=104&type=chunk)[105](index=105&type=chunk)[109](index=109&type=chunk)[110](index=110&type=chunk)[111](index=111&type=chunk)[120](index=120&type=chunk) - Procurement of logistics services from Jiangsu Hengtong International Logistics Co, Ltd: Total transaction amount in H1 2024 was approximately **RMB 14.1 million**, which inadvertently failed to comply with the reporting, announcement, and annual review requirements of the Listing Rules; the Company has ceased procurement and entered into a new framework agreement to regulate future transactions[113](index=113&type=chunk)[114](index=114&type=chunk)[115](index=115&type=chunk)[117](index=117&type=chunk)[121](index=121&type=chunk)[122](index=122&type=chunk)[123](index=123&type=chunk) [15. Donations and Capital Commitments](index=28&type=section&id=15.%20%E6%8D%90%E6%AC%BE%E5%8F%8A%E8%B3%87%E6%9C%AC%E6%89%BF%E6%93%94) As of June 30, 2025, the Group's donation commitments decreased to RMB 500 thousand from RMB 1,000 thousand as of December 31, 2024, while capital commitments for the acquisition of property, plant and equipment were reduced to zero Donations and Capital Commitments | Item (thousand RMB) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Acquisition of property, plant and equipment | - | 914 | | Donation commitments | 500 | 1,000 | | **Total** | **500** | **1,914** | - The Group's Chinese subsidiaries have pledged to donate **RMB 500,000** annually to a Chinese charitable organization for 20 years, starting from 2007 in profitable years[126](index=126&type=chunk)[127](index=127&type=chunk) [Management Discussion and Analysis](index=30&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E5%8F%8A%E5%88%86%E6%9E%90) This section provides an in-depth analysis of the Group's H1 2025 financial performance, explaining key changes in revenue, gross profit, various expenses, interest expense, profit before tax, and net loss, along with balance sheet movements in intangible assets, receivables, payables, and bank loans [Consolidated Statement of Profit or Loss](index=30&type=section&id=%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E8%A1%A8) In H1 2025, the Group's revenue decreased by 8.3% YoY, primarily due to a decline in wireless communication business, while overall gross profit margin slightly decreased, despite increased gross profit contributions from integrated circuits and digital technology and new energy and services, with reduced other operating income, selling and distribution expenses, and administrative expenses, but increased other operating expenses and interest expenses, leading to a switch from profit to loss for the period [Revenue](index=30&type=section&id=%E6%94%B6%E5%85%A5) Total revenue for H1 2025 decreased by 8.3% YoY to RMB 1,022.2 million, mainly driven by an 11.9% decline in wireless communication business revenue, while integrated circuits and digital technology revenue grew by 21.4% and new energy and services revenue increased by 8.4% - Revenue for H1 2025 decreased by approximately **RMB 93.1 million** or **8.3%** YoY to **RMB 1,022.2 million**[132](index=132&type=chunk)[140](index=140&type=chunk) - Revenue from the wireless communication business segment decreased by approximately **RMB 115.4 million** or **11.9%** to **RMB 853.8 million**[132](index=132&type=chunk)[136](index=136&type=chunk)[139](index=139&type=chunk)[141](index=141&type=chunk) - Revenue from the new energy and services business segment increased by approximately **RMB 5.7 million** or **8.4%** to **RMB 73.7 million**[133](index=133&type=chunk)[135](index=135&type=chunk)[138](index=138&type=chunk)[141](index=141&type=chunk) - Revenue from the integrated circuits and digital technology business segment increased by approximately **RMB 16.7 million** or **21.4%** to **RMB 94.7 million**[133](index=133&type=chunk)[134](index=134&type=chunk)[141](index=141&type=chunk)[142](index=142&type=chunk) [Gross Profit Margin](index=30&type=section&id=%E6%AF%9B%E5%88%A9%E7%8E%87) The Group's overall gross profit margin slightly decreased by 0.5 percentage points to 18.3% YoY, with wireless communication gross margin slightly increasing by 0.2 percentage points, integrated circuits and digital technology gross margin slightly decreasing by 1.3 percentage points, and new energy and services gross margin significantly dropping by 27.0 percentage points, mainly due to weather conditions and O&M business costs - The Group's overall gross profit margin slightly decreased by **0.5 percentage points** from 18.8% in H1 2024 to **18.3%** in H1 2025[137](index=137&type=chunk)[140](index=140&type=chunk) - The gross profit margin for the wireless communication business segment slightly increased by **0.2 percentage points** to **15.4%**[137](index=137&type=chunk)[140](index=140&type=chunk) - The gross profit margin for the integrated circuits and digital technology business segment slightly decreased by **1.3 percentage points** from 35.4% to **34.1%**[137](index=137&type=chunk)[140](index=140&type=chunk) - The gross profit margin for the new energy and services business segment significantly decreased by **27.0 percentage points** from 58.6% to **31.6%**, primarily due to unstable weather conditions and additional costs incurred for the development of O&M business[143](index=143&type=chunk)[155](index=155&type=chunk) - The Group plans to improve gross profit margin by increasing R&D investment in new products, applying new technologies, enhancing intelligence and informatization, implementing lean development, improving output efficiency, reducing costs, shortening receivable cycles, and strengthening inventory management[145](index=145&type=chunk)[157](index=157&type=chunk) [Other Operating Income](index=32&type=section&id=%E5%85%B6%E4%BB%96%E7%B6%93%E7%87%9F%E6%94%B6%E5%85%A5) Other operating income decreased by 47.5% YoY to RMB 15.6 million, primarily due to reduced government grants and net gains from commodity futures contracts - Other operating income decreased by approximately **RMB 14.1 million** or **47.5%** to **RMB 15.6 million**[146](index=146&type=chunk)[151](index=151&type=chunk) - The decrease was mainly due to a reduction of approximately **RMB 9.0 million** in government grants and subsidies, and a decrease of approximately **RMB 7.0 million** in net gains from commodity futures contracts[146](index=146&type=chunk)[151](index=151&type=chunk) [Selling and Distribution Expenses](index=32&type=section&id=%E9%8A%B7%E5%94%AE%E5%8F%8A%E5%88%86%E9%8A%B7%E9%96%8B%E6%94%AF) Selling and distribution expenses decreased by 11.3% YoY to RMB 58.9 million, consistent with the decline in wireless communication business revenue - Selling and distribution expenses decreased by approximately **RMB 7.5 million** or **11.3%** to **RMB 58.9 million**[147](index=147&type=chunk)[152](index=152&type=chunk) - The decrease is consistent with the decline in revenue from the wireless communication business segment, leading to reduced salary expenses, transportation costs, and travel and entertainment expenses[147](index=147&type=chunk)[152](index=152&type=chunk) [Administrative Expenses](index=32&type=section&id=%E8%A1%8C%E6%94%BF%E9%96%8B%E6%94%AF) Administrative expenses decreased by 18.3% YoY to RMB 41.0 million, primarily due to reduced salary-related expenses and consulting and legal professional fees - Administrative expenses decreased by approximately **RMB 9.2 million** or **18.3%** to **RMB 41.0 million**[148](index=148&type=chunk)[153](index=153&type=chunk) - The decrease was mainly due to reduced salary-related expenses and consulting and legal professional fees[148](index=148&type=chunk)[153](index=153&type=chunk) [Other Operating Expenses](index=32&type=section&id=%E5%85%B6%E4%BB%96%E7%B6%93%E7%87%9F%E9%96%8B%E6%94%AF) Other operating expenses increased by 6.4% YoY to RMB 76.8 million, mainly due to higher R&D expenses and increased net exchange losses, partially offset by a decrease in reversal of obsolete inventories - Other operating expenses increased by approximately **RMB 4.6 million** or **6.4%** to **RMB 76.8 million**[149](index=149&type=chunk)[154](index=154&type=chunk) - Research and development expenses increased by approximately **RMB 0.8 million** or **1.1%** to **RMB 73.0 million**, with an **RMB 9.0 million** increase in telecom product R&D[149](index=149&type=chunk)[154](index=154&type=chunk) - Net exchange loss increased from **RMB 0.4 million** to **RMB 1.4 million**[149](index=149&type=chunk)[154](index=154&type=chunk) - Reversal of obsolete inventories decreased by approximately **RMB 2.4 million**[149](index=149&type=chunk)[154](index=154&type=chunk) [Interest Expense](index=34&type=section&id=%E5%88%A9%E6%81%AF%E9%96%8B%E6%94%AF) Interest expense increased by 30.5% YoY to RMB 31.2 million, primarily due to higher interest expenses related to bank borrowings for the acquisition of Zhongguang New Energy - Interest expense increased by approximately **RMB 7.3 million** or **30.5%** to **RMB 31.2 million**[158](index=158&type=chunk)[171](index=171&type=chunk) - The increase was mainly due to interest expenses related to bank borrowings for the acquisition of Zhongguang New Energy and Zhongguang New Energy's bank loans[158](index=158&type=chunk)[171](index=171&type=chunk) [Profit Before Tax](index=34&type=section&id=%E9%99%A4%E7%A8%85%E5%89%8D%E6%BA%A2%E5%88%A9) Profit before tax for H1 2025 significantly dropped to RMB 6 thousand, primarily impacted by reduced revenue and gross profit margin, decreased government grants, impairment losses, and increased interest expense - Profit before tax for H1 2025 was **RMB 6 thousand**, compared to **RMB 43.6 million** in H1 2024[159](index=159&type=chunk)[172](index=172&type=chunk) - The decrease was mainly attributable to reduced revenue and gross profit margin, a decrease of approximately **RMB 9.0 million** in government grants, an impairment loss of approximately **RMB 8.4 million** on trade and other receivables, and an increase of approximately **RMB 7.3 million** in interest expense[159](index=159&type=chunk)[172](index=172&type=chunk) [Income Tax](index=34&type=section&id=%E6%89%80%E5%BE%97%E7%A8%85) Income tax expense surged by 597.1% YoY to RMB 71.1 million, primarily due to increased enterprise income tax paid on inter-company dividend distributions within the China Group - Income tax expense increased by approximately **RMB 60.9 million** or **597.1%** to **RMB 71.1 million**[160](index=160&type=chunk)[173](index=173&type=chunk) - The increase was mainly due to higher enterprise income tax paid in China on inter-company dividend distributions within the Group in H1 2025[160](index=160&type=chunk)[173](index=173&type=chunk) [Loss Attributable to Equity Holders of the Company](index=34&type=section&id=%E6%9C%AC%E5%85%AC%E5%8F%B8%E6%AC%8A%E7%9B%8A%E8%82%A1%E6%9D%B1%E6%87%89%E4%BD%B5%E虧%E6%90%8D) The Group recorded a loss attributable to equity holders of the Company of approximately RMB 70.4 million, compared to a profit of RMB 26.6 million in the prior year, reflecting the combined impact of several unfavorable financial factors - The Group recorded a loss attributable to equity holders of the Company of approximately **RMB 70.4 million**, compared to a profit of approximately **RMB 26.6 million** in H1 2024[161](index=161&type=chunk)[174](index=174&type=chunk) [Consolidated Statement of Financial Position](index=34&type=section&id=%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) This section analyzes changes in key balance sheet items, including a decrease in intangible assets due to amortization, an increase in trade and other receivables driven by higher prepayments, a rise in trade and other payables due to increased raw material purchases, and an increase in bank loans to improve working capital [Intangible Assets](index=34&type=section&id=%E7%84%A1%E5%BD%A2%E8%B3%87%E7%94%A2) Intangible assets decreased by 4.7% to RMB 216.9 million, primarily due to amortization during H1 2025 - Intangible assets decreased by approximately **RMB 10.6 million** or **4.7%** to **RMB 216.9 million**, mainly due to amortization in H1 2025[162](index=162&type=chunk)[175](index=175&type=chunk) [Trade and Other Receivables](index=34&type=section&id=%E8%B2%BF%E6%98%93%E6%87%89%E6%94%B6%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E6%94%B6%E6%AC%BE%E9%A0%85) Net trade receivables and bills receivable slightly decreased by 3.0%, but net prepayments and non-trade receivables significantly increased by 159.3%, leading to an overall increase in total trade and other receivables - Net trade receivables and bills receivable decreased by approximately **RMB 38.3 million** or **3.0%** to **RMB 1,257.5 million**, primarily due to a decrease in bills receivable[163](index=163&type=chunk)[168](index=168&type=chunk) - Net prepayments and non-trade receivables increased by approximately **RMB 162.2 million** or **159.3%** to **RMB 264.0 million**, mainly due to increased prepayments for raw material purchases in anticipation of future material cost increases[164](index=164&type=chunk)[168](index=168&type=chunk) [Trade and Other Payables](index=34&type=section&id=%E8%B2%BF%E6%98%93%E6%87%89%E4%BB%98%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E4%BB%98%E6%AC%BE%E9%A0%85) Trade payables significantly increased by 63.4%, mainly due to higher raw material purchases for the wireless communication business in anticipation of rising material costs, while other payables decreased by 61.2% primarily due to reduced salary-related payables - Trade payables increased by approximately **RMB 402.0 million** or **63.4%** to **RMB 1,036.0 million**, primarily due to increased raw material purchases for the wireless communication business segment in anticipation of future material cost increases[165](index=165&type=chunk)[176](index=176&type=chunk) - Other payables decreased by approximately **RMB 64.9 million** or **61.2%** to **RMB 41.2 million**, mainly due to reduced salary-related payables[166](index=166&type=chunk)[176](index=176&type=chunk) [Current and Non-current Bank Loans](index=34&type=section&id=%E6%B5%81%E5%8B%95%E9%8A%80%E8%A1%8C%E8%B2%B8%E6%AC%BE%E5%8F%8A%E9%9D%9E%E6%B5%81%E5%8B%95%E9%8A%80%E8%A1%8C%E8%B2%B8%E6%AC%BE) Total current and non-current bank loans increased to RMB 1,771.4 million, primarily utilized to improve working capital conditions - Total current and non-current bank loans amounted to approximately **RMB 1,771.4 million**, an increase from **RMB 1,498.0 million** as of December 31, 2024[167](index=167&type=chunk)[170](index=170&type=chunk) - These loans were primarily used to improve the Group's working capital position and bear fixed interest rates[167](index=167&type=chunk)[170](index=170&type=chunk) [Liquidity and Financial Resources](index=36&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91%E5%8F%8A%E8%B2%A1%E5%8B%99%E8%B3%87%E6%BA%90) As of June 30, 2025, the Group's total assets and liabilities both increased, with a significant rise in total cash, time deposits, and pledged deposits, leading to an increased gearing ratio of 57%, yet the Group complied with all capital requirements for external borrowings and primarily funds its operations through internal cash flows Liquidity and Financial Resources Overview | Metric (thousand RMB) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Total assets | 5,236,419 | 4,666,187 | | Total liabilities | 2,958,627 | 2,319,095 | | Equity attributable to equity holders of the Company | 1,493,248 | 1,561,877 | | Total cash, time deposits and pledged deposits | 1,919,442 | 1,455,212 | | Current bank loans | 722,302 | 424,602 | | Non-current bank loans | 1,049,132 | 1,073,417 | Gearing Ratio | Metric | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Total liabilities (thousand RMB) | 2,958,627 | 2,319,095 | | Total assets (thousand RMB) | 5,236,419 | 4,666,187 | | Gearing ratio (%) | 57% | 50% | - The Group typically funds its operations through internally generated cash flows[179](index=179&type=chunk)[189](index=189&type=chunk) - At the end of the reporting period, the Group complied with all capital requirements for external borrowings[180](index=180&type=chunk)[191](index=191&type=chunk) [Review and Outlook](index=36&type=section&id=%E5%9B%9E%E9%A1%A7%E8%88%87%E5%89%8D%E6%99%AF) This section reviews China's economic environment and the Group's overall performance in H1 2025, and outlines future development for its three business segments: integrated circuits and digital technology, new energy and services, and wireless communication, with a focus on leveraging new energy and AI market opportunities through business diversification and synergistic growth for long-term sustainability [Overall Review](index=36&type=section&id=%E6%95%B4%E9%AB%94%E5%9B%9E%E9%A1%A7) In H1 2025, China's economy maintained steady growth with a 5.3% GDP increase, notable performance in new energy and green infrastructure investments, and continued expansion of 5G base stations, while the Group made significant strides in new energy, with its grid-side independent energy storage project selected for Shandong Province's new energy storage project list, and enhanced gross profit margin through lean operations - China's GDP grew by **5.3%** YoY in H1 2025, with stable economic operations[185](index=185&type=chunk) - The new energy and green infrastructure sectors performed strongly, with China's energy storage investment reaching **RMB 279.9 billion**, a **10.5%** YoY increase[186](index=186&type=chunk) - As of the end of June 2025, the total number of 5G base stations built and opened nationwide reached approximately **4.55 million**, a net increase of approximately **596,000** from the end of 2024[192](index=192&type=chunk)[199](index=199&type=chunk) - The Group's 800MW/1600MWh grid-side independent energy storage project was successfully selected for Shandong Province's 2025 new energy storage project list, becoming the largest single project in that batch[192](index=192&type=chunk)[199](index=199&type=chunk) - The Group focused on lean operations, significantly reducing costs and steadily increasing product gross profit margin through supply chain optimization and technological upgrades[192](index=192&type=chunk)[199](index=199&type=chunk) [Integrated Circuits and Digital Technology](index=38&type=section&id=%E9%9B%86%E6%88%90%E9%9B%BB%E8%B7%AF%E5%8F%8A%E6%95%B8%E5%AD%97%E7%A7%91%E6%8A%80) The global semiconductor market continues to grow, with AI demand driving memory upgrades, while China's integrated circuit exports increased in both volume and value, with a higher proportion to Southeast Asia; the Group aims to capitalize on market recovery by stabilizing existing clients, expanding new ones, and vigorously developing IP licensing and digital security businesses, with current outstanding orders exceeding RMB 178.3 million - Global semiconductor sales reached **US$58.98 billion** in May 2025, a **19.8%** YoY increase and **3.5%** MoM increase[193](index=193&type=chunk)[200](index=200&type=chunk) - Increased AI penetration drives demand for computing power, leading to rapid growth in server, PC, and mobile memory capacity[194](index=194&type=chunk)[197](index=197&type=chunk) - In H1 2025, China's integrated circuit exports increased by **20.6%** to **167.77 billion units**, with export value growing by **20.3%** to **RMB 650.26 billion**[195](index=195&type=chunk)[197](index=197&type=chunk) - The Group's digital technology and digital security business segment recorded revenue of approximately **RMB 93.4 million**, including **RMB 64.1 million** from chip customization services, **RMB 5.5 million** from semiconductor IP licensing, and **RMB 20.9 million** from digital security[195](index=195&type=chunk)[198](index=198&type=chunk) - Current outstanding orders for the integrated circuits and digital technology business segment exceed **RMB 178.3 million**[195](index=195&type=chunk)[198](index=198&type=chunk) [New Energy and Services](index=40&type=section&id=%E6%96%B0%E8%83%BD%E6%BA%90%E5%8F%8A%E6%9C%8D%E5%8B%99) China's new energy installed capacity is rapidly growing, but grid integration issues are becoming prominent; concentrated solar power (CSP) is gaining policy support as a grid-friendly, low-carbon power source with peak-shaving and energy storage capabilities, and Zhongguang New Energy, a pioneer in CSP plant construction and O&M, has secured six external O&M contracts totaling RMB 230 million and was shortlisted for a Qinghai Province CSP demonstration project - As of the end of June 2025, national cumulative power generation installed capacity reached **3.65 billion kilowatts**, a **18.7%** YoY increase, with solar power generation installed capacity at **1.10 billion kilowatts**, a **54.2%** YoY increase[201](index=201&type=chunk)[207](index=207&type=chunk) - Rapid growth in new energy installed capacity has led to grid integration challenges, with declining utilization rates for wind and solar power[201](index=201&type=chunk)[207](index=207&type=chunk) - Concentrated solar power (CSP) combines peak-shaving and energy storage functions, making it a grid-friendly, low-carbon power source supported by policies such as the "Energy Law of the People's Republic of China"[202](index=202&type=chunk)[205](index=205&type=chunk)[207](index=207&type=chunk)[209](index=209&type=chunk) - Zhongguang New Energy wholly owns two tower-type CSP molten salt energy storage power stations in Delingha, Qinghai (10MW and 50MW), with the 50MW plant being the world's first CSP energy storage power station to achieve its design generation capacity[203](index=203&type=chunk)[205](index=205&type=chunk) - As of June 30, 2025, Zhongguang New Energy has signed six external CSP plant O&M contracts, with a cumulative contract value of **RMB 230 million**[204](index=204&type=chunk)[206](index=206&type=chunk) - Zhongguang New Energy was shortlisted for the Qinghai Zhongkong Delingha 350MW CSP demonstration (pilot) project, which is the world's largest CSP plant project by energy storage capacity[204](index=204&type=chunk)[206](index=206&type=chunk) [Wireless Communication](index=42&type=section&id=%E7%84%A1%E7%B7%9A%E9%80%9A%E4%BF%A1) China's domestic 5G network construction is largely complete, leading to a decline in wireless-side investment and reduced sales of RF coaxial cables and antennas, but demand for deep wireless network coverage, particularly for digital indoor distribution products, has significantly increased; overseas markets face uncertainty due to complex policies and geopolitical tensions, while the Group has strengthened its market position through central procurement projects - China's domestic 5G network construction is largely complete, leading to a significant decline in wireless-side investment for mobile communication networks[210](index=210&type=chunk)[219](index=219&type=chunk) - Investment in deep wireless network coverage (especially for indoor and dense urban areas) continues to increase, leading to a significant rise in market demand for the Group's digital indoor distribution products[210](index=210&type=chunk)[219](index=219&type=chunk) - Overseas performance remained largely flat YoY, but the outlook for H2 is uncertain due to complex global policies and geopolitical tensions[210](index=210&type=chunk)[219](index=219&type=chunk) - In H1 2025, the Group secured bids exceeding **RMB 1.19 billion** in central procurement projects from major domestic telecom operators and provincial telecom operators, as well as enterprise clients, further solidifying its market position[211](index=211&type=chunk)[220](index=220&type=chunk) [Outlook](index=42&type=section&id=%E5%B1%95%E6%9C%9B) Looking ahead to H2 2025, China's economy is expected to maintain stable growth, with the integrated circuit industry projected for significant growth driven by inventory recovery, terminal demand resurgence, and booming AI demand, while CSP plant O&M will emerge as a new growth driver for the new energy and services business, and the Group aims to create greater shareholder value through business diversification and synergistic development - China's economic growth for the full year 2025 is projected to be between **5.0% and 5.2%**[212](index=212&type=chunk)[221](index=221&type=chunk) - The integrated circuit industry's growth in H2 will significantly outperform H1, benefiting from inventory returning to healthy levels, recovering terminal demand, and the continuous explosion of AI and data center demand[212](index=212&type=chunk)[221](index=221&type=chunk) - Concentrated solar power (CSP) plant O&M business will become a new growth point for the new energy and services business segment[213](index=213&type=chunk)[216](index=216&type=chunk) - The Group expects to lay a solid foundation for stable and sustainable development and create greater value for its shareholders through diversified business development and synergy among business segments[214](index=214&type=chunk)[216](index=216&type=chunk) [Directors' and Chief Executive's Interests and Short Positions in Shares, Underlying Shares and Debentures](index=42&type=section&id=%E8%91%A3%E4%BA%8B%E5%8F%8A%E4%B8%BB%E8%A6%81%E8%A1%8C%E6%94%BF%E4%BA%BA%E5%93%A1%E6%96%BC%E8%82%A1%E4%BB%BD%E5%8F%8A%E7%9B%B8%E9%97%9C%E8%82%A1%E4%BB%BD%E5%92%8C%E5%82%B5%E6%AC%8A%E8%AD%89%E7%9A%84%E6%AC%8A%E7%9B%8A%E5%92%8C%E6%B7%A1%E5%80%89) As of June 30, 2025, Mr. Cui Wei and Ms. Zhang Zhong held long positions in the Company's shares, representing 23.38% and 3.41% of the issued share capital, respectively, and all directors and chief executives complied with the Model Code for Securities Transactions during the reporting period Directors' Long Positions in the Company | Director's Name | Capacity and Nature of Interest | Number of Ordinary Shares Held | Approximate Percentage of the Company's Issued Share Capital | | :--- | :--- | :--- | :--- | | Mr. Cui Wei | Deemed interest and interest in controlled corporation | 108,868,662 | 23.38% | | Ms. Zhang Zhong | Deemed interest and interest in controlled corporation | 15,894,525 | 3.41% | - Save as disclosed, none of the directors or chief executive or their associates had any interests or short positions in the shares, underlying shares or debentures of the Company or any of its associated corporations that were required to be recorded[222](index=222&type=chunk)[234](index=234&type=chunk) - As at the end of the reporting period and throughout the reporting period, there were no arrangements under which directors might acquire benefits by means of the acquisition of shares or debentures of the Company or any other body corporate, save for the Employee Share Incentive Scheme and Share Award Scheme[226](index=226&type=chunk)[231](index=231&type=chunk) [Substantial Shareholders' and Other Persons' Interests in Shares and Underlying Shares](index=44&type=section&id=%E4%B8%BB%E8%A6%81%E8%82%A1%E6%9D%B1%E5%8F%8A%E5%85%B6%E4%BB%96%E4%BA%BA%E5%A3%AB%E6%96%BC%E8%82%A1%E4%BB%BD%E5%8F%8A%E7%9B%B8%E9%97%9C%E8%82%A1%E4%BB%BD%E4%B8%AD%E7%9A%84%E6%AC%8A%E7%9B%8A) As of June 30, 2025, Jinyong Industrial Co., Ltd. and Mr. Cui Wei were substantial shareholders of the Company, each holding a 23.38% long position in the Company's issued share capital Substantial Shareholders' Long Positions in the Company | Name of Substantial Shareholder | Capacity and Nature of Interest | Number of Ordinary Shares Held | Approximate Percentage of the Company's Issued Share Capital | | :--- | :--- | :--- | :--- | | Jinyong | Beneficial owner | 108,868,662 | 23.38% | | Mr. Cui Wei | Deemed interest and interest in controlled corporation | 108,868,662 | 23.38% | - The entire issued share capital of Jinyong Industrial Co, Ltd is beneficially owned by Mr. Cui Wei[224](index=224&type=chunk)[235](index=235&type=chunk) [Supplementary Information](index=44&type=section&id=%E8%A3%9C%E5%85%85%E8%B3%87%E6%96%99) This section provides supplementary information including changes in Board composition post-reporting period, Audit Committee review, compliance with Corporate Governance Code and Model Code for Securities Transactions by Directors, dividend policy, review status of financial results, Company's securities transactions, employee and remuneration policies, and post-reporting period events [1. Changes in Board Composition After June 30, 2025](index=44&type=section&id=1.%20%E4%BA%8C%E9%9B%B6%E4%BA%8C%E4%BA%94%E5%B9%B4%E5%85%AD%E6%9C%88%E4%B8%89%E5%8D%81%E6%97%A5%E5%BE%8C%E4%B9%8B%E8%91%A3%E4%BA%8B%E6%9C%83%E7%B5%84%E6%88%90%E8%AE%8A%E5%8B%95) On July 11, 2025, Ms. Zhang Zhong and Mr. Pu Hong resigned as directors, while Mr. Liu Fei and Ms. Lin Ting were appointed as Executive Director and Independent Non-executive Director, respectively; on July 31, 2025, Dr. Li Jun resigned as Independent Non-executive Director, and Mr. Chan Hon Chung was appointed as Independent Non-executive Director - On July 11, 2025, Ms. Zhang Zhong resigned as a Non-executive Director and a member of the Audit Committee, and Mr. Pu Hong resigned as an Independent Non-executive Director and a member of the Audit Committee, Remuneration Committee, and Nomination Committee[227](index=227&type=chunk)[232](index=232&type=chunk) - On the same day, Mr. Liu Fei was appointed as an Executive Director, and Ms. Lin Ting was appointed as an Independent Non-executive Director and a member of the Audit Committee, Remuneration Committee, and Nomination Committee[227](index=227&type=chunk)[232](index=232&type=chunk) - On July 31, 2025, Dr. Li Jun resigned as an Independent Non-executive Director, Chairman of the Remuneration Committee, and a member of the Audit Committee and Nomination Committee[236](index=236&type=chunk)[248](index=248&type=chunk) - On the same day, Mr. Chan Hon Chung was appointed as an Independent Non-executive Director, Chairman of the Remuneration Committee, and a member of the Audit Committee and Nomination Committee[236](index=236&type=chunk)[248](index=248&type=chunk) [2. Audit Committee and Its Terms of Reference](index=46&type=section&id=2.%20%E5%AF%A9%E8%A8%88%E5%A7%94%E5%93%A1%E6%9C%83%E5%8F%8A%E5%85%B6%E8%81%B7%E6%AC%8A%E7%AF%84%E5%9C%8D) The Audit Committee has reviewed the Group's unaudited interim results for the six months ended June 30, 2025 - The Audit Committee has reviewed the Group's unaudited interim results for the six months ended June 30, 2025[237](index=237&type=chunk)[250](index=250&type=chunk) [3. Compliance with Corporate Governance Code](index=46&type=section&id=3.%20%E9%81%B5%E5%AE%88%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%AE%88%E5%89%87) For the six months ended June 30, 2025, the Company has complied with all code provisions of the Corporate Governance Code - The Company has complied with all code provisions of the Corporate Governance Code[238](index=238&type=chunk)[251](index=251&type=chunk) [4. Compliance with the Model Code for Securities Transactions by Directors of Listed Issuers](index=46&type=section&id=4.%20%E9%81%B5%E5%AE%88%E4%B8%8A%E5%B8%82%E7%99%BC%E8%A1%8C%E4%BA%BA%E8%91%A3%E4%BA%8B%E9%80%B2%E8%A1%8C%E8%AD%89%E5%88%B8%E4%BA%A4%E6%98%93%E7%9A%84%E6%A8%99%E6%BA%96%E5%AE%88%E5%89%87) All Directors confirmed their compliance with the required standards of the Model Code for Securities Transactions by Directors during the reporting period - All Directors confirmed their compliance with the required standards of the Model Code for Securities Transactions by Directors during the reporting period[239](index=239&type=chunk)[252](index=252&type=chunk) [5. Dividends](index=46&type=section&id=5.%20%E8%82%A1%E6%81%AF) The Company recommends no dividend payment for the six months ended June 30, 2025 - The Company recommends no dividend payment for the six months ended June 30, 2025[240](index=240&type=chunk)[253](index=253&type=chunk) [6. Review of Financial Results](index=46&type=section&id=6.%20%E5%AF%A9%E9%96%B1%E8%B2%A1%E5%8B%99%E6%A5%AD%E7%B8%BE) The Group's consolidated interim results for the six months ended June 30, 2025, have not been audited or reviewed by the Company's auditor - The Group's consolidated interim results for the six months ended June 30, 2025, have not been audited or reviewed by the Company's auditor[241](index=241&type=chunk)[254](index=254&type=chunk) [7. Purchase, Sale or Redemption of the Company's Securities](index=46&type=section&id=7.%20%E8%B3%BC%E5%85%A5%E3%80%81%E5%87%BA%E5%94%AE%E6%88%96%E8%B4%96%E5%9B%9E%E6%9C%AC%E5%85%AC%E5%8F%B8%E8%AD%89%E5%88%B8) During the reporting period, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's securities - During the reporting period, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's securities[242](index=242&type=chunk)[245](index=245&type=chunk) [8. Employees and Remuneration Policies](index=46&type=section&id=8.%20%E5%83%B1%E5%93%A1%E5%8F%8A%E8%96%AA%E9%85%AC%E5%B8%B8%E8%A6%8F) As of June 30, 2025, the Group employed 956 staff, with remuneration determined by market conditions and individual performance, offering benefits such as medical and life insurance, discretionary bonuses, and share options, and operating an Employee Share Incentive Scheme and Share Award Scheme - As of June 30, 2025, the Group employed **956** staff (December 31, 2024: 902 staff)[243](index=243&type=chunk)[246](index=246&type=chunk) - Employee remuneration is determined by market conditions and individual performance, with benefits including medical and life insurance, discretionary bonuses, and share options[243](index=243&type=chunk)[246](index=246&type=chunk) - The Company has an Employee Share Incentive Scheme (adopted on April 26, 2019) and a Share Award Scheme (adopted on October 21, 2024) aimed at incentivizing and retaining talent[243](index=243&type=chunk)[246](index=246&type=chunk) [9. Post Balance Sheet Events](index=46&type=section&id=9.%20%E5%A0%B1%E5%91%8A%E6%9C%9F%E5%BE%8C%E4%BA%8B%E4%BB%B6) No significant events affecting the Group have occurred since the end of the six months ended June 30, 2025, up to the date of this report, other than those already disclosed herein - Save as disclosed in this report, no significant events affecting the Group have occurred since the end of the six months ended June 30, 2025, and up to the date of this report[244](index=244&type=chunk)[247](index=247&type=chunk) [10. Disclosure on HKEX and Company Website](index=48&type=section&id=10.%20%E6%96%BC%E9%A6%99%E6%B8%AF%E8%81%AF%E4%BA%A4%E6%89%80%E5%8F%8A%E6%9C%AC%E5%85%AC%E5%8F%B8%E7%B6%B2%E7%AB%99%E4%BD%9C%E6%8A%AB%E9%9C%B2) This report has been published on the websites of the Hong Kong Stock Exchange and the Company - This report has been published on the website of the Hong Kong Stock Exchange (http://www.hkexnews.hk) and the Company's website (http://www.hengxin.com.sg)[255](index=255&type=chunk)

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 | 截至月份: | 2025年8月31日 | 狀態: 新提交 | | --- | --- | --- | | 致：香港交易及結算所有限公司 | | | | 公司名稱: | 亨鑫科技有限公司 (以HX Singapore Ltd. 名稱在香港經營業務) | | | 呈交日期: | 2025年9月1日 | | | I. 法定/註冊股本變動 | 不適用 | | FF301 第 1 頁 共 10 頁 v 1.1.1 FF301 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | | 股份類別 | 其他類別 (請註明) | | 於香港聯交所上市 (註1) | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 01085 | 說明 | | 普通股 | | | | | | | | 已發行股份（不包括庫存股份）數目 | | | 庫存股份數目 | | 已發行股份總數 | | | 上月底結存 | | | | 465,600,0 ...

[Announcement Overview](index=1&type=section&id=Announcement%20Overview) This section provides an overview of the clarification announcement issued by HENGXIN TECHNOLOGY LTD. regarding its interim results [Purpose and Background of Announcement](index=1&type=section&id=Purpose%20and%20Background%20of%20Announcement) This announcement is a clarification issued by HENGXIN TECHNOLOGY LTD. (HK Stock Code: 1085) to correct unintentional clerical errors in its interim results announcement for the six months ended June 30, 2025, published on August 26, 2025 - Company Name: HENGXIN TECHNOLOGY LTD., HK Stock Code: **1085**[2](index=2&type=chunk) - Announcement Type: Clarification announcement, addressing the interim results announcement for the six months ended June 30, 2025, published on August 26, 2025[2](index=2&type=chunk) - Reason for Clarification: Unintentional clerical errors in the interim results announcement[2](index=2&type=chunk) [Details of Clarification](index=1&type=section&id=Details%20of%20Clarification) This clarification primarily addresses depreciation and amortization expenses in the 'Other Significant Items' section on page 13 of the interim results announcement, confirming that other financial information remains unaffected - Clarification Content: Correction to the section titled 'Other Significant Items' on page 13 of the interim results announcement[2](index=2&type=chunk) - Scope of Impact: This clarification does not affect other financial information contained in the interim results announcement, serving only as a supplement[3](index=3&type=chunk) [Correction to Depreciation and Amortization Expenses](index=1&type=section&id=Correction%20to%20Depreciation%20and%20Amortization%20Expenses) The corrected depreciation and amortization expenses show a consolidated total of RMB (32,491) thousand for the six months ended June 30, 2025, compared to RMB (34,589) thousand for the same period in 2024 Corrected Depreciation and Amortization Expenses (RMB '000, Unaudited) | Item | Total for Reportable and All Other Segments (RMB '000) | Unallocated Amount (RMB '000) | Consolidated Total (RMB '000) | | :--- | :--- | :--- | :--- | | Six Months Ended June 30, 2025 | (32,320) | (171) | (32,491) | | Six Months Ended June 30, 2024 | (34,421) | (168) | (34,589) | [Board of Directors Information](index=2&type=section&id=Board%20of%20Directors%20Information) The announcement provides the updated list of HENGXIN TECHNOLOGY LTD.'s Board of Directors, including executive, non-executive, and independent non-executive directors - Board Chairman: **Cui Wei**[4](index=4&type=chunk) - Executive Directors: **Mr. Peng Yinan**, **Mr. Liu Fei**[4](index=4&type=chunk) - Non-executive Directors: **Mr. Cui Wei**, **Mr. Tao Shunxiao**, **Mr. Zeng Guowei**[4](index=4&type=chunk) - Independent Non-executive Directors: **Mr. Qian Ziyan**, **Ms. Lin Ting**, **Mr. Chen Hancong**[4](index=4&type=chunk)

Core Viewpoint - Hengxin Technology (01085) reported a decline in revenue and a significant loss for the first half of 2025, primarily due to decreased income from its wireless communication segment [1] Financial Performance - The company achieved revenue of RMB 1.022 billion for the six months ending June 30, 2025, representing a year-on-year decrease of 8.35% [1] - The loss attributable to equity shareholders was RMB 70.42 million, compared to a profit of RMB 26.589 million in the same period last year [1] - Basic loss per share was RMB 0.152 [1] Segment Performance - Revenue from the wireless communication segment was approximately RMB 854 million in the first half of 2025, down about RMB 115 million or 11.9% from approximately RMB 969 million in the first half of 2024 [1]

Core Viewpoint - Hengxin Technology (01085) reported a decline in revenue and a significant loss for the first half of 2025, primarily due to decreased income from its wireless communication segment [1] Financial Performance - The company achieved revenue of RMB 1.022 billion for the six months ending June 30, 2025, representing a year-on-year decrease of 8.35% [1] - The loss attributable to equity shareholders was RMB 70.42 million, compared to a profit of RMB 26.589 million in the same period last year [1] - Basic loss per share was RMB 0.152 [1] Segment Analysis - Revenue from the wireless communication segment was approximately RMB 854 million in the first half of 2025, down from about RMB 969 million in the first half of 2024, a decrease of approximately RMB 115 million or 11.9% [1]

Group 1 - The company, Hengxin Technology (01085.HK), reported a revenue decrease of approximately RMB 93.1 million or 8.3% to about RMB 1,022.2 million for the six months ending June 30, 2025 [1] - The gross profit margin decreased by approximately 0.5 percentage points to about 18.3% year-on-year [1] - The net loss attributable to equity shareholders was approximately RMB 70.4 million, compared to a net profit of RMB 26.6 million in the same period last year [1]

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，並明確表示概不就本公佈全部或任何部份內容而產生或 因倚賴該等內容而引致的任何損失承擔任何責任。 截至二零二五年六月三十日止六個月中期業績公佈 財務摘要 * 僅供識別 – 1 – 1. 截至二零二五年六月三十日止六個月的收入同比減少約人民幣 93.1 百萬元或 8.3% 至約人民幣 1,022.2 百萬元 2. 截至二零二五年六月三十日止六個月的毛利同比減少約人民幣 22.9 百萬元或 10.9% 至約人民幣 187.3 百萬元 3. 截至二零二五年六月三十日止六個月的毛利率同比減少約 0.5 個百分點至約 18.3% 4. 截至二零二五年六月三十日止六個月的本公司權益股東應佔虧損淨額為約人民幣 70.4 百萬元，截至二零二四年六月三十日止六個月的本公司權益股東應佔純利為約 人民幣 26.6 百萬元 5. 截至二零二五年六月三十日止六個月的每股基本虧損約人民幣 0.152 元，截至二零 二四年六月三十日止六個月的每股基本盈利約人民幣 0.065 元 6. 不建議派付截至二零二五年六月三十日止六個月的中期 ...

Core Viewpoint - Hengxin Technology (01085) anticipates a significant net loss attributable to equity shareholders of approximately RMB 68 million for the six months ending June 30, 2025, compared to a net profit of RMB 26.6 million in the same period last year [1] Financial Performance - The company expects its unaudited operating profit to decline by approximately 50% to 60% compared to the six months ending June 30, 2024, projecting an operating profit between RMB 33.74 million and RMB 26.99 million [1] - The decrease in operating profit is attributed to a decline in revenue and a decrease in the group's gross profit margin compared to the same period last year [1] Cost Factors - The anticipated net loss is also influenced by increased interest expenses and income tax during the reporting period compared to the previous year [1]

Core Viewpoint - The company, Hengxin Technology (01085), anticipates a significant net loss for the six months ending June 30, 2025, amounting to no less than approximately RMB 68 million, contrasting with a net profit of approximately RMB 26.6 million in the same period last year [1] Financial Performance - The company expects its unaudited operating profit for the current reporting period to decline by approximately 50% to 60% compared to the unaudited operating profit of approximately RMB 67.49 million for the six months ending June 30, 2024, projecting a range of approximately RMB 33.74 million to RMB 26.99 million [1] - The decrease in operating profit is attributed to a decline in revenue and a decrease in the group's gross profit margin compared to the same period last year [1] Cost Factors - The anticipated net loss is also influenced by increased interest expenses and income tax during the current reporting period compared to the same period last year [1]