Financial Performance - Revenue for the six months ended June 30, 2020, was HK$422,562,000, a significant increase from HK$891,033,000 in the same period of 2019[9] - Gross profit for the period was HK$171,830,000, compared to HK$111,737,000 in 2019, reflecting a gross profit margin improvement[9] - Profit for the period was HK$48,961,000, a substantial increase from HK$3,979,000 in the previous year[9] - Total comprehensive income for the period was HK$23,697,000, compared to a loss of HK$380,000 in 2019[9] - Basic and diluted earnings per share for the six months ended June 30, 2020, were both 2.23 cents, compared to a loss of 1.82 cents per share in 2019[13] - The company reported a profit from operations of HK$103,016,000, up from HK$35,849,000 in the same period last year[9] - The company reported a total comprehensive income of HK$23,697,000 for the period ended June 30, 2020, compared to a loss of HK$9,216,000 in the same period of 2019[24] - The total profit for the period was HK$48,961,000, significantly higher than HK$3,979,000 in the same period of 2019, indicating a growth of approximately 1,129%[46] Expenses and Cost Management - Distribution and selling expenses decreased to HK$6,313,000 from HK$6,746,000 in 2019, indicating improved cost management[9] - Administrative expenses were reduced to HK$65,181,000 from HK$75,071,000, contributing to the overall profit increase[9] - Cost of sales decreased to HK$250,732,000 from HK$779,296,000, representing a reduction of approximately 67.8% year-over-year[57] - Research and development expenses totaled HK$11,596,000, down from HK$15,421,000, indicating a decrease of about 24.0%[57] - Depreciation expenses for property, plant, and equipment amounted to HK$37,536,000 for the period, compared to HK$26,786,000 in the same period of 2019, an increase of approximately 40%[43] Assets and Liabilities - As of June 30, 2020, non-current assets totaled HK$797,176,000, a decrease from HK$840,035,000 as of December 31, 2019, representing a decline of approximately 5.1%[16] - Current assets amounted to HK$2,238,183,000, down from HK$2,335,477,000, indicating a decrease of about 4.2%[16] - Total liabilities were reported at HK$1,722,239,000, a reduction from HK$1,865,829,000, reflecting a decrease of approximately 7.7%[19] - Net current assets increased to HK$515,944,000 from HK$469,648,000, showing an improvement of around 9.8%[19] - The company's net assets rose to HK$1,128,973,000, compared to HK$1,105,276,000, marking an increase of about 2.1%[19] - Trade and other payables significantly increased to HK$358,876,000 from HK$330,978,000, representing an increase of approximately 8.4%[19] - Borrowings surged to HK$260,360,000, up from HK$263,784,000, indicating a rise of about 1.5%[19] Cash Flow and Financing Activities - For the six months ended June 30, 2020, net cash generated from operating activities was HK$62,679,000, compared to a cash used of HK$51,999,000 in the same period of 2019[25] - Net cash used in investing activities amounted to HK$42,099,000, an increase from HK$19,310,000 in the prior year[25] - The repayment of borrowings was nil in the current period, compared to HK$67,181,000 in the previous period[25] - The company’s cash flows from financing activities generated HK$4,323,000, a decrease from HK$74,435,000 in the prior year[25] - Cash and bank balances improved to HK$58,770,000 from HK$35,389,000, indicating an increase of approximately 66.0%[16] Business Segments and Revenue Sources - The lithium-ion motive battery business generated revenue of HK$58,852,000, compared to HK$20,096,000 in the same period of 2019, indicating a growth of approximately 192%[38] - The property and cultural business reported revenue of HK$363,710,000, down from HK$870,937,000, reflecting a decrease of about 58%[43] - The total profit for reportable segments increased to HK$63,808,000 for the six months ended June 30, 2020, compared to HK$17,295,000 in the same period of 2019, marking a growth of approximately 269%[46] - The segment loss for the lithium-ion motive battery business was HK$52,415,000, while the property and cultural business achieved a profit of HK$116,223,000[43] Market and Strategic Outlook - The company is engaged in the manufacturing and sale of lithium-ion motive batteries and related equipment, indicating a focus on the renewable energy sector[28] - The company has plans for market expansion in the lithium-ion battery sector, aligning with global trends towards renewable energy solutions[28] - The Group expects to increase sales revenue in the second half of 2020 by expanding its market share in electric motorcycles and developing automobile battery products[122][124] - Despite challenges from the Sino-US trade conflicts and COVID-19, the Group remains cautiously optimistic about the lithium-ion motive battery market in China[127] - The Group aims to continue diversifying its battery product portfolio and enhance product quality while constructing a new production base in Weinan, Shaanxi[127] Share Capital and Governance - The issued and fully paid share capital as of June 30, 2020, was 1,196,485,700 shares, totaling HK$119,649,000[102] - The Company has a share option scheme adopted on June 13, 2012, which granted options to relevant Directors and chief executives[171] - The total number of underlying Shares held by Directors and chief executives is recorded in the register as per the SFO requirements[170] - The Company’s substantial shareholders and their interests are documented in compliance with the SFO regulations[184] - The company adheres to the Corporate Governance Code and Report as outlined in Appendix 14 of the Listing Rules, ensuring compliance with governance practices[199]

Financial Performance - The company reported a loss of HKD 125,762,000 for the fiscal year ending December 31, 2019, compared to a profit of HKD 59,163,000 in 2018, indicating a significant decline in performance[8]. - Revenue from the lithium-ion battery business decreased from approximately HKD 83,516,000 in 2018 to about HKD 53,438,000 in 2019, reflecting a challenging market environment[25]. - For the year ended December 31, 2019, the company reported revenue of HKD 912,346,000, an increase from HKD 362,208,000 in 2018, representing a growth of 152%[186]. - The gross profit for 2019 was HKD 103,466,000, compared to HKD 26,067,000 in 2018, indicating a significant improvement in profitability[186]. - The operating loss decreased to HKD 76,077,000 in 2019 from HKD 203,971,000 in 2018, reflecting a reduction of approximately 63%[186]. - The loss attributable to owners of the company from continuing operations was HKD 104,331,000 in 2019, down from HKD 182,155,000 in 2018, a decrease of about 43%[188]. - The total comprehensive expense for the year was HKD 153,521,000, compared to HKD 145,281,000 in 2018, showing a slight increase of 5%[188]. - Basic loss per share from continuing operations was HKD 8.77 in 2019, an improvement from HKD 15.93 in 2018[188]. Assets and Liabilities - Non-current assets amounted to HKD 840,035,000 as of December 31, 2019, a decrease from HKD 779,896,000 in 2018[8]. - The total equity attributable to owners of the company was HKD 976,740,000 in 2019, down from HKD 1,047,318,000 in 2018[8]. - The company's inventory dropped significantly from HKD 59,667,000 in 2018 to HKD 36,163,000 in 2019, a decrease of approximately 39.4%[191]. - The total liabilities decreased from HKD 2,518,951,000 in 2018 to HKD 1,865,829,000 in 2019, a reduction of approximately 26%[191]. - The net asset value decreased to HKD 1,105,276,000 in 2019 from HKD 1,224,405,000 in 2018, reflecting a decline of about 9.7%[193]. Operational Challenges - The company faced challenges due to the tightening of subsidies for new energy vehicles in China, which negatively impacted revenue and gross profit from its core lithium-ion battery business[11]. - The lithium-ion battery business experienced a significant decline in sales, dropping approximately 56% year-on-year due to the impact of the US-China trade tensions and changes in government subsidy policies for new energy vehicles[18]. - The company anticipates that 2020 will be another challenging year due to uncertainties in the global economic environment caused by the COVID-19 pandemic[12]. - The company plans to continue developing existing property projects in Nanning and Nanjing while addressing delays caused by the COVID-19 pandemic[11]. Cost Management and Efficiency - The company is focused on optimizing cost control and improving production and operational efficiency to maximize shareholder returns[12]. - Administrative expenses decreased from approximately HKD 248,675,000 in 2018 to about HKD 174,470,000 in 2019, attributed to reduced impairment losses on older battery products and lower R&D expenses[27]. - Distribution and selling expenses increased to approximately HKD 14,420,000 in 2019 from HKD 10,085,000 in 2018, mainly due to pre-sale activities for the Nanning property project[29]. Future Plans and Strategies - The company aims to improve product quality and establish joint R&D projects to meet higher standards in the coming year[11]. - The company plans to enhance the diversity of its lithium-ion battery product portfolio to improve gross margins and continue the construction of production bases in Shaanxi and Jiangsu[22]. - The company aims to balance sales and credit risks by strictly adhering to its credit policies and implementing effective sales strategies[19]. - The management believes that the long-term market prospects for new energy vehicles remain positive, despite short-term challenges[25]. Shareholder and Capital Management - The board does not recommend the payment of a final dividend for the year due to the anticipated funding requirements for the development of the lithium-ion battery business[33]. - The company raised approximately HKD 5,100,000 from the placement of 10,170,000 shares at a price of HKD 0.5 per share, with net proceeds of about HKD 5,000,000 intended for general working capital[65]. - The company has no distributable reserves as of December 31, 2019, indicating a focus on reinvestment or operational funding[67]. Governance and Compliance - The board consists of four executive directors and three independent non-executive directors, ensuring compliance with the listing rules regarding board composition[117]. - The company has adopted the standard code of conduct for securities trading as per the listing rules, confirming compliance by all directors for the year ending December 31, 2019[115]. - The audit committee consists of three independent non-executive directors, ensuring compliance with listing rules[133]. - The company has established a board diversity policy, considering various factors such as gender, age, and professional experience in board appointments[141]. Risk Management - The company’s financial position and operating performance are subject to various risks, including market risk, foreign exchange risk, credit risk, and liquidity risk[99]. - The internal control committee has sought external professional consultation to review the adequacy and effectiveness of risk management and internal control systems[138]. Employee Management - The company has established a comprehensive employee performance evaluation system to promote career advancement and opportunities[101]. - The remuneration policy for employees is based on individual performance and is reviewed regularly, with discretionary bonuses potentially awarded depending on the company's profitability[144].

(Incorporated in Bermuda with limited liability) Stock Code 股份代號 : 1201 (於百慕達註冊成立之有限 公司) | --- | --- | --- | |-------|-----------------------------------|-------| | | | | | | | | | | | | | | | | | | INFINITE INFINITE ENERGY ENERGY | | | | | | | | | | Annual Report 2018 年報 目錄 企業資料 2 財務概要 3 主席報告 4 管理層之討論與分析 6 董事及高級管理人員簡介 13 董事會報告書 17 企業管治報告 27 獨立核數師報告 41 綜合損益及其他全面收益表 45 | --- | --- | |------------------|-------| | | | | | | | 綜合財務狀況表 | | | 綜合權益變動表 | | | 綜合現金流量表 | | | 綜合財務賬目附註 | | | 物業概要 | | 47 49 50 52 136 天臣 ...