Financial Performance - For the year ended December 31, 2023, the company's revenue increased by 50.6% to RMB 313.3 million, compared to RMB 208.0 million in 2022[11] - Gross profit for the year was RMB 95.9 million, representing a 101.9% increase from RMB 47.5 million in the previous year[11] - Profit before income tax rose by 45.9% to RMB 34.1 million, up from RMB 23.4 million in 2022[11] - The net profit for the year was RMB 29.3 million, a 29.8% increase compared to RMB 22.6 million in 2022[11] - Basic and diluted earnings per share increased to RMB 22.93 cents, up 29.8% from RMB 17.66 cents in the previous year[11] - The Group's revenue for the year ended December 31, 2023, increased by 50.6% to approximately RMB313 million, compared to RMB208 million in 2022[20] - Net profit for the year was approximately RMB29.35 million, representing a year-on-year increase of RMB6.75 million from RMB22.60 million in 2022[20] - Earnings per share rose to RMB22.93 cents, up from RMB17.66 cents in the previous year[20] Assets and Liabilities - Total assets as of December 31, 2023, were RMB 1,029,125 thousand, an 8.8% increase from RMB 945,732 thousand in 2022[12] - Total liabilities increased by 22.1% to RMB 355,404 thousand, compared to RMB 291,117 thousand in 2022[12] - Contract assets and trade receivables increased by approximately 34.6% to approximately RMB427.7 million as of December 31, 2023, from approximately RMB317.7 million at the end of 2022[71] - Inventories increased by approximately 32.5% to approximately RMB260.3 million as of December 31, 2023, compared to approximately RMB196.5 million at the end of 2022[72] Operational Efficiency - The company achieved a current ratio of 2.3, down from 2.7 in the previous year[12] - The inventory turnover days improved to 303.3 days from 344.7 days in 2022[12] - Overall gross profit margin increased from approximately 22.8% in 2022 to approximately 30.6% in 2023, driven by a higher proportion of standalone machine sales[51] Revenue Breakdown - Revenue from brass electroplating wire production lines surged by approximately 147.4% to RMB52.5 million, compared to RMB21.2 million in 2022, due to increased sales volume[41] - Revenue from standalone machines increased by approximately 135.4% to approximately RMB233.8 million in 2023, compared to approximately RMB99.3 million in 2022[48] - Revenue from other production lines decreased by approximately 74.9% to RMB8.71 million from RMB34.7 million in 2022[42] - Revenue from other mould repairing equipment, components parts, and accessories decreased by approximately 44.2% to approximately RMB13.6 million in 2023, down from approximately RMB24.4 million in 2022[49] - Rental income decreased by approximately 16.3% to approximately RMB0.91 million in 2023 due to a reduction in the number of rental properties[50] Employee and Management Information - As of December 31, 2023, the Group employed a total of 197 full-time employees, an increase from 192 employees in 2022[104] - The total employee remuneration for the year ended December 31, 2023, was approximately RMB27.9 million, compared to approximately RMB24.3 million in 2022, reflecting an increase of about 14.8%[104] - The company has undergone several management changes, with key personnel holding multiple roles across different subsidiaries[156][160] - The management team has a diverse background in finance, accounting, and engineering, enhancing the company's strategic capabilities[163][165] Corporate Governance - The company has a strong focus on corporate governance, with independent directors overseeing critical committees[163][165] - The Group's strategic committees include a Nomination Committee and a Strategic Committee, enhancing governance and strategic oversight[132] - The Board of Supervisors monitored the execution of shareholder meeting resolutions and found that the directors and senior management diligently performed their duties without any violations of laws or regulations[199] Future Plans and Developments - The Group plans to continue enhancing technological development and providing high-quality equipment and services to maintain its leading position in the industry[26] - The Group intends to stabilize automobile consumption and enhance the overall competitiveness of China's automobile industry, focusing on boosting ancillary and replacement markets[106] - Future plans include continuing to implement a diversified development strategy and actively seeking potential investment opportunities[128] - The Group plans to utilize the unutilized portion of the Net Proceeds from the Listing for the construction of the New Wuxi Facility and the New Research and Development Centre, despite delays caused by changes in business strategies and the COVID-19 pandemic[105] Recognition and Awards - The company was awarded the title of "Leading Service Organization in Intelligent Manufacturing" by Jiangsu Province, indicating progress in its smart manufacturing development[17] - The Group was recognized with the honorary title of "Intelligent Manufacturing Leadership Services in Jiangsu Province" and "Province-level Enterprise Technical Center," indicating advancements in intelligent manufacturing capabilities[22] - The Group has been recognized for its management excellence, with members receiving accolades from local government bodies[158] Cash Flow and Financial Position - Cash and bank balances totaled approximately RMB246.4 million as of December 31, 2023, down from approximately RMB281.9 million at the end of 2022[75] - The Group maintained a strong net cash position of approximately RMB108.6 million as of December 31, 2023, consistent with the previous year[81] - The Group had no borrowings recorded as of December 31, 2023, compared to approximately RMB2.0 million in borrowings as of December 31, 2022[82] - Cash deposits of approximately RMB65.1 million were pledged to banks as security for notes payable and letters of guarantee as of December 31, 2023, down from approximately RMB108.6 million in 2022[127] Dividends - A final dividend of RMB0.08 per share has been recommended for the year ended December 31, 2023[21]

Financial Performance - Revenue for the year ended December 31, 2023, was RMB 313.3 million, representing a 50.6% increase from RMB 208.0 million in 2022[2] - Gross profit for the same period was RMB 95.9 million, up 101.9% from RMB 47.5 million in the previous year[2] - Profit before tax increased by 45.9% to RMB 34.1 million, compared to RMB 23.4 million in 2022[2] - Net profit attributable to shareholders was RMB 29.3 million, a 29.8% increase from RMB 22.6 million in the prior year[2] - Basic and diluted earnings per share rose to RMB 22.93, up 29.8% from RMB 17.66 in 2022[2] - Total revenue for the year ended December 31, 2023, was RMB 313,265,000, an increase of 50.6% from RMB 208,048,000 in 2022[21] - Revenue from the sale of production lines reached RMB 52,472,000 for electroplated brass wire production lines, up from RMB 21,206,000 in 2022[21] - Revenue from single machine sales increased significantly to RMB 233,758,000 in 2023, compared to RMB 99,306,000 in 2022[21] - Revenue from China was RMB 312,100,000, representing a 56.5% increase from RMB 199,491,000 in 2022[23] - The company reported a net profit attributable to equity shareholders of RMB 29,346,000 for 2023, up from RMB 22,604,000 in 2022, resulting in basic earnings per share of RMB 22.93[30] - The overall gross margin improved from approximately 22.8% in 2022 to about 30.6% in 2023, primarily due to a higher proportion of sales from high-margin single machine sales[49] Assets and Liabilities - Total assets as of December 31, 2023, amounted to RMB 1,029.1 million, compared to RMB 945.7 million in 2022[9] - Total equity increased to RMB 673.7 million from RMB 654.6 million in the previous year[9] - Inventory as of December 31, 2023, was RMB 260.3 million, up from RMB 196.5 million in 2022[9] - Trade receivables increased to RMB 309.5 million in 2023 from RMB 216.9 million in 2022, with a net amount of RMB 236.7 million after impairment provisions[35] - Contract assets increased to RMB 36,028,000 in 2023 from RMB 23,794,000 in 2022, with a net amount of RMB 33,541,000 after impairment[32] - Trade payables and notes payable increased by approximately 8.7% from about RMB 157,600,000 at the end of 2022 to about RMB 175,700,000 at the end of 2023[64] - Cash and bank balances totaled approximately RMB 246,400,000 as of December 31, 2023, down from about RMB 281,900,000 at the end of 2022[65] - The current ratio was 2.31 as of December 31, 2023, compared to 2.7 at the end of 2022[66] - The company had no borrowings as of December 31, 2023, down from approximately RMB 2,000,000 at the end of 2022[68] Income and Expenses - The company reported a significant increase in financial income, which rose to RMB 6.0 million from RMB 2.9 million in the previous year[5] - Rental income decreased by approximately 16.3% to RMB 4.7 million in 2023 due to a reduction in the number of properties leased to third parties[48] - Other income increased by approximately 96.7% from about RMB 1,200,000 in 2022 to about RMB 2,400,000 in 2023[50] - Administrative expenses rose from approximately RMB 29,700,000 in 2022 to about RMB 53,000,000 in 2023, primarily due to increased impairment losses on sales properties[52] - The company recorded a significant increase in trade receivables impairment losses, rising to RMB 22.7 million in 2023 from RMB 3 million in 2022[36] - Financial assets and contract asset impairment losses net amount increased to approximately RMB 23,800,000 in 2023 from about RMB 4,300,000 in 2022[54] - Inventory costs recognized as expenses and included in "cost of sales" amounted to approximately RMB 199.2 million in 2023, compared to RMB 143.6 million in 2022[38] Business Operations - The company continues to focus on manufacturing and selling equipment for wire production lines, indicating ongoing commitment to its core business[10] - The company sold five sets of electroplated brass wire production lines in 2023, generating revenue of approximately RMB 52.5 million, a 147.4% increase from RMB 21.2 million in 2022[46] - The revenue from single machine sales surged to approximately RMB 233.8 million in 2023, up 135.4% from RMB 99.3 million in 2022[48] - Major customers contributing over 10% of total revenue included Company A with RMB 217,391,000 and Company B with RMB 42,524,000[24] Future Outlook and Corporate Governance - The company expects that the new accounting standards and interpretations will not have a significant impact on its financial performance or position upon implementation[20] - The company intends to continue implementing a diversified development strategy and actively seek potential investment opportunities[91] - The company will focus on enhancing product quality, optimizing processes, and improving service levels to boost core competitiveness and promote sustainable development[80] - The audit committee has reviewed the accounting principles and discussed the financial reporting system, risk management, and internal control systems for the year[103] - The external auditor, PwC, confirmed that the figures in the performance announcement align with the audited consolidated financial statements for the year ending December 31, 2023[104] - The company has maintained the minimum public float as required by the listing rules throughout the year[105] - The annual report will be published by April 2024 and will be available on the stock exchange and the company's website[107] Employee and Shareholder Information - The company employed a total of 197 full-time employees as of December 31, 2023, compared to 192 employees as of December 31, 2022[81] - Total employee compensation for the year was approximately RMB 27,900,000, an increase from approximately RMB 24,300,000 in 2022, reflecting a growth of about 10.5%[81] - The company plans to distribute a final dividend of RMB 0.08 per share, totaling RMB 10,240,000, subject to shareholder approval at the annual general meeting[98] - As of December 31, 2023, the company had cash deposits of approximately RMB 65,100,000 pledged to banks as collateral, down from RMB 108,600,000 as of December 31, 2022[90] - The company has no significant contingent liabilities as of December 31, 2023[84] - There were no major investments held by the company during the year[85] - The company has not made any acquisitions or disposals of subsidiaries, associates, or joint ventures during the year[86] - The company will suspend share transfer registration from May 27, 2024, to June 26, 2024, to determine the eligibility of shareholders for the annual general meeting[100] - The company will suspend share transfer registration from July 3 to July 8, 2024, to qualify for the final dividend for the year ending December 31, 2023[102]

Financial Performance - For the six months ended June 30, 2023, the company's revenue decreased by 28.6% to RMB 53.08 million from RMB 74.29 million in the same period last year[10]. - The gross profit for the same period increased by 3.0% to RMB 17.16 million compared to RMB 16.65 million in the previous year[10]. - Profit before income tax surged by 141.6% to RMB 9.74 million, up from RMB 4.03 million in the prior year[10]. - The net profit for the period increased by 100.3% to RMB 7.93 million, compared to RMB 3.96 million in the same period last year[10]. - Revenue for the six months ended June 30, 2023, was RMB 53.1 million, a decrease of RMB 21.2 million or approximately 28.6% from RMB 74.3 million for the same period in 2022[20]. - The profit for the period ended June 30, 2023, was RMB 7,928,000, compared to RMB 3,959,000 for the same period in 2022, representing an increase of approximately 100%[119]. - Basic and diluted earnings per share increased to 6.19 RMB cents, up from 3.09 RMB cents in the previous year, marking a 100% increase[105]. Revenue Breakdown - Sales revenue from brass electroplating wire production lines decreased by RMB 15.3 million due to a decline in sales volume[21]. - Revenue from other production lines amounted to RMB 0.6 million, representing a decrease of 95.5% compared to RMB 13.2 million for the same period last year[22]. - Standalone machines sales revenue increased to RMB 36.2 million, up approximately 17.6% from RMB 30.8 million in 2022, with 202 units accepted by customers[23]. - Revenue from mould repairing equipment, component parts, and accessories increased to RMB 8.0 million, a rise of approximately 43.6% from RMB 5.6 million in 2022[24]. - Revenue from sales of standalone machines increased to RMB 36,241 thousand in 2023 from RMB 30,827 thousand in 2022, representing an increase of 17.8%[149]. - Revenue from sales of brass electroplating wire production lines decreased significantly to RMB 5,929 thousand in 2023 from RMB 21,206 thousand in 2022, a decline of 72.0%[149]. - Revenue from Mainland China accounted for RMB 52,014 thousand, which is 98.0% of total revenue, down from RMB 67,665 thousand in 2022[150]. Assets and Liabilities - Total assets as of June 30, 2023, rose by 4.2% to RMB 985.82 million from RMB 945.73 million at the end of 2022[10]. - Total liabilities increased by 14.6% to RMB 333.51 million from RMB 291.12 million in the previous year[10]. - The current ratio decreased slightly to 2.5 from 2.7 as of December 31, 2022[10]. - As of June 30, 2023, trade receivables amounted to RMB251.2 million, an increase of 4.8% from RMB239.6 million as of December 31, 2022, primarily due to a slowdown in collection of receivables[45]. - Inventories increased by approximately 30.7% from RMB196.5 million as of December 31, 2022 to RMB256.7 million as of June 30, 2023, mainly due to an increase in work in progress products and delays in delivery and testing of equipment[46]. - The total cost of inventories as of June 30, 2023, was RMB 261,397,000, up from RMB 200,056,000 at the end of 2022, reflecting an increase of 30.6%[196]. Cash Flow and Investments - Cash generated from operations for the six months ended June 30, 2023, was RMB 21,630,000, significantly higher than RMB 4,770,000 for the same period in 2022, indicating a growth of approximately 353%[119]. - The net cash flows generated from operating activities for the first half of 2023 were RMB 21,010,000, compared to RMB 4,668,000 in the same period of 2022, reflecting a substantial increase[119]. - The net cash flows used in investing activities for the six months ended June 30, 2023, were RMB (21,932,000), a decrease from RMB 280,000 in the same period of 2022, indicating a shift towards more investment[120]. - The company declared dividends amounting to RMB 10,240,000 during the period, impacting retained earnings[119]. Research and Development - The company maintained a focus on research and development to provide highly intelligent equipment, aiming to sustain its leading position in industry innovation[12]. - Administrative expenses rose to RMB 15.7 million, an increase of RMB 3.9 million compared to RMB 11.8 million in 2022, primarily due to increased investment in R&D[34]. - Approximately HK$25.5 million of the net proceeds and HK$1.1 million in interest have been used to develop targeted research and development projects[88]. Employee and Operational Metrics - Employee remuneration for the six months ended June 30, 2023, was approximately RMB14.8 million, representing about 27.9% of the Group's total revenue[94]. - The total employee count as of June 30, 2023, was 185, a decrease from 192 as of December 31, 2022[94]. - The company continues to focus on hiring and training talented employees to maintain high service standards and operational efficiency[97]. Market Strategy - The company plans to enhance production capacity and optimize production processes to meet increasing customer demands in the tyre industry[90]. - The company aims to expand its market share and profitability by reinforcing its presence in both domestic and overseas markets[93]. Accounting and Compliance - The company has adopted new accounting standards for the financial year commencing January 1, 2023, which may impact future financial reporting[133]. - The adoption of new standards and amendments did not have a significant impact on the condensed consolidated interim financial information[138].

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。 無 錫 盛 力 達 科 技 股 份 有 限 公 司 Wuxi Sunlit Science and Technology Company Limited* （在中華人民共和國成立的股份有限公司） （股份代號：1289） 截至2023年6月30日止六個月的中期業績公告 財務摘要 截至6月30日止六個月 2023年 2022年 變動 （人民幣千元）（人民幣千元） 收入 53,076 74,287 –28.6% 毛利 17,161 16,654 3.0% 除所得稅前利潤 9,736 4,029 141.6% 期內利潤 7,928 3,959 100.3% 本公司股東應佔期內利潤 7,928 3,959 100.3% 期內本公司股東應佔每股盈利 （以人民幣分列示） — 基本及攤薄 6.19 3.09 100.3% 中期業績 ...

Financial Performance - For the year ended December 31, 2022, the company's revenue increased by 24.5% to RMB 208 million, compared to RMB 167 million in 2021[12]. - Gross profit for the year was RMB 47.5 million, representing a 33.3% increase from RMB 35.6 million in the previous year[12]. - Profit before income tax surged to RMB 23.4 million, a significant increase of 459.9% from RMB 4.2 million in 2021[12]. - The net profit for the year reached RMB 22.6 million, up 379.8% from RMB 4.7 million in 2021[12]. - Basic and diluted earnings per share rose to RMB 17.66 cents, compared to RMB 3.68 cents in the previous year, marking a 379.8% increase[12]. - Revenue increased by approximately RMB 41.0 million or 24.5% to approximately RMB 208.0 million in 2022, compared to RMB 167.0 million in 2021, primarily due to three significant contracts totaling RMB 590 million with Zenith Steel Group[38]. Assets and Liabilities - Total assets as of December 31, 2022, amounted to RMB 945.7 million, a 29.0% increase from RMB 733.0 million in 2021[13]. - Total liabilities increased by 188.4% to RMB 291.1 million, up from RMB 100.9 million in 2021[13]. - The current ratio decreased to 2.7 from 5.8 in the previous year, indicating a tighter liquidity position[13]. - Total contract assets and trade receivables increased by approximately 3.1% to approximately RMB 317.7 million as of December 31, 2022, from approximately RMB 308.2 million at the end of 2021[64]. - Trade and notes payables increased by approximately 229.2% from approximately RMB 47.9 million as of December 31, 2021, to approximately RMB 157.6 million as of December 31, 2022, primarily due to increased purchases of raw materials and equipment[69]. Inventory and Receivables - Inventory turnover days increased to 344.7 days from 238.1 days, suggesting slower inventory movement[13]. - Trade receivables turnover days improved to 456.9 days from 568.6 days, indicating better collection efficiency[13]. - Inventory increased by approximately 80.3% to approximately RMB 196.5 million as of December 31, 2022, compared to approximately RMB 109.0 million at the end of 2021, mainly due to an increase in unfinished sales contracts[65]. - Net impairment losses on financial assets and contract assets increased to approximately RMB 4.3 million in 2022 from approximately RMB 3.4 million in 2021, mainly due to an increase in the balance of contract assets and accounts receivable[59]. Operational Highlights - The Group was awarded the honorary title of "Professional, Refined, Special and Innovative Small and Medium Enterprise in Jiangsu Province for 2022," reflecting its innovation capabilities and core competitiveness[22]. - The Group successfully secured a project with Zenith Steel Group, demonstrating its ability to adapt and manage production effectively under challenging conditions[30]. - The domestic economy is expected to gradually recover in 2023, which may positively impact the Group's performance in the automotive supply chain[24]. - The Group plans to upgrade its products and develop new projects to explore new profit streams, maintaining a stable growth trajectory[25]. Employee and Management - The total employee remuneration for the year ended December 31, 2022, was approximately RMB 24.3 million, an increase from approximately RMB 20.2 million in 2021[100]. - The company employed a total of 192 full-time employees as of December 31, 2022, compared to 140 employees as of December 31, 2021[100]. - The company has not experienced any significant labor disputes or high employee turnover that would disrupt normal business operations[104]. - The remuneration policies are regularly reviewed and linked to individual performance, with a focus on retaining and motivating executive Directors[101][102]. Governance and Compliance - The Board of Supervisors found no violations of laws or regulations by the Directors and senior management during their performance of duties[191]. - The Group's operations were deemed sound and compliant with all applicable laws and regulations[194]. - The Board of Supervisors verified the Group's 2022 consolidated financial statements, which fairly reflected the Group's financial position and operating results[198]. - The Board of Supervisors will continue to protect the interests of Shareholders in strict compliance with the Articles of Association and relevant laws[199]. Future Outlook - In 2023, the company anticipates sustainable growth in the new energy vehicle market, driven by strategies to boost domestic demand and improve internal production processes[97][99]. - The company aims to enhance production efficiency and control costs to strengthen product competitiveness amidst a challenging operating environment[97][99]. - Future plans include continuing to implement a diversified development strategy and actively seeking potential investment opportunities[122].

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。 無 錫 盛 力 達 科 技 股 份 有 限 公 司 Wuxi Sunlit Science and Technology Company Limited* （在中華人民共和國成立的股份有限公司） （股份代號：1289） 截至2022年12月31日止年度的年度業績公告 財務摘要 截至12月31日止年度 變動 2022年 2021年 收入（人民幣百萬元） 208.0 167.0 24.5% 毛利（人民幣百萬元） 47.5 35.6 33.3% 除所得稅前利潤（人民幣百萬元） 23.4 4.2 459.9% 年內利潤（人民幣百萬元） 22.6 4.7 379.8% 本公司股東應佔利潤（人民幣百萬元） 22.6 4.7 379.8% 每股基本及攤薄盈利（人民幣分） 17.66 3.68 379.8% 年度業績 無錫盛力達科技股份有限公司（「本公司」或「盛力達」）董事（「董事」）會（「董事會」）欣然宣 ...

Financial Performance - For the six months ended June 30, 2022, the company reported revenue of RMB 74.29 million, a decrease of 23.6% compared to RMB 97.20 million in the same period last year[18]. - The net profit for the same period was RMB 3.96 million, an increase of RMB 1.01 million compared to the previous year[18]. - Revenue for the six months ended 30 June 2022 was approximately RMB74.3 million, representing a decrease of approximately 23.6% from approximately RMB97.2 million for the corresponding period in 2021[20]. - The Group's total revenue for the six months ended June 30, 2022, was RMB 74,287 thousand, compared to RMB 97,201 thousand in 2021, indicating a decrease of 23.5%[178]. - Gross profit for the period was RMB 16,654 thousand, down from RMB 19,226 thousand, reflecting a gross margin decline[135]. - Overall gross profit margin increased to approximately 22.4% for the six months ended 30 June 2022, up from 19.8% in the same period of 2021[29]. - Operating profit increased to RMB 2,848 thousand, compared to RMB 1,807 thousand in the previous year, indicating improved operational efficiency[135]. - Profit for the period attributable to shareholders was RMB 3,959 thousand, up from RMB 2,948 thousand, representing a growth of 34.3%[137]. Assets and Liabilities - The company's total assets as of June 30, 2022, were RMB 768.215 million, an increase of 4.8% from RMB 732.955 million at the end of 2021[14]. - Current liabilities rose to RMB 132,245 thousand from RMB 100,944 thousand, indicating a 31% increase[142]. - The Group's gross accounts receivable increased by approximately 8.9% from RMB220.2 million as at 31 December 2021 to RMB241.8 million as at 30 June 2022, with notes receivable rising by 7.0% to RMB93.8 million[43][47]. - The Group's inventories increased by approximately 7.1% from RMB109.0 million as at 31 December 2021 to RMB116.7 million as at 30 June 2022, mainly due to an increase in raw materials[44][48]. - Trade and notes payables increased by approximately 24.4% from RMB47.9 million as at 31 December 2021 to RMB59.5 million as at 30 June 2022, driven by increased purchases of raw materials[45][49]. Cash Flow and Liquidity - Cash and cash equivalents increased to RMB 39,189 thousand from RMB 33,817 thousand, showing improved liquidity[140]. - Net cash flows generated from operating activities for the six months ended June 30, 2022, were RMB 4,668 thousand, compared to a net cash outflow of RMB 12,797 thousand for the same period in 2021[147]. - The net increase in cash and cash equivalents for the six months ended June 30, 2022, was RMB 4,948 thousand, while there was a decrease of RMB 4,888 thousand in the same period of 2021[150]. - The Group's cash flows from investing activities generated a net cash inflow of RMB 280 thousand for the six months ended June 30, 2022, down from RMB 7,909 thousand in the same period of 2021[147]. Expenses and Costs - Selling expenses decreased by approximately 12.9% to approximately RMB1.3 million, attributed to reduced travel expenses due to the pandemic[31]. - Administrative expenses decreased by approximately 3.1% to approximately RMB11.8 million, primarily due to a reduction in professional fees[38]. - Employee benefit expenses for the six months ended June 30, 2022, were RMB 10,905 thousand, slightly increasing from RMB 10,527 thousand in the same period of 2021[190]. - The total cost of sales, selling expenses, and administrative expenses amounted to RMB 70,776 thousand, a decrease of 22.8% compared to RMB 91,695 thousand for the same period in 2021[182]. Revenue Sources - Sales of brass electroplating wire production lines generated revenue of approximately RMB21.2 million for the six months ended 30 June 2022, an increase compared to the previous year[24]. - Revenue from standalone machines decreased by approximately 63.6% to approximately RMB30.8 million, with 173 units sold compared to 768 units in the same period of 2021[24]. - Revenue from sales of production lines for the six months ended June 30, 2022, was RMB 21,206 thousand, compared to RMB 13,176 thousand for the same period in 2021, representing a 60.5% increase[174]. - Total revenue from Mainland China for the six months ended June 30, 2022, was RMB 67,665 thousand, down from RMB 96,524 thousand in 2021, a decrease of 30.0%[178]. Investments and Future Plans - The Group plans to continue implementing a diversified development strategy and actively seek potential investment opportunities in the future[57]. - The Group had no future plans for material investments and expected sources of funding as at 30 June 2022[57]. - The Group's capital structure remained unchanged during the six months ended June 30, 2022, consisting solely of ordinary shares[68]. - The Group aims to complete a major project with an estimated annual production capacity of 1.3 million tons of ultra-tensile fine steel cord and 200,000 tons of tyre bead wire, positioning itself as the largest framework materials producer in the PRC[131]. Foreign Exchange and Risk Management - The Group has entered into forward foreign exchange contracts of approximately USD6,439,000 to mitigate foreign exchange risk due to exposure from transactions denominated in USD[70]. - If the USD had strengthened/weakened by 5% against the RMB, the Group's net results for the six months ended June 30, 2022 would have been approximately RMB4.7 million better/worse due to financial assets denominated in USD[70]. - The Group's foreign exchange risk is managed to maintain net exposure at an acceptable level, with ongoing monitoring of foreign exchange fluctuations[70]. Employee and Operational Insights - The total employee remuneration for the six months ended June 30, 2022, was approximately RMB10.9 million, representing about 14.7% of the Group's total revenue[133]. - The Group employed a total of 166 full-time employees as of June 30, 2022, an increase from 141 employees as of December 31, 2021[133]. - The Group will continue to upgrade existing production lines to enhance production capacity in response to rising customer demand for tailor-made products[131]. - The Group is committed to maintaining a good relationship with its staff and ensuring high standards of service to customers[133].

Financial Performance - The company reported a consolidated income statement with total revenue of CNY 1.2 billion, representing a year-over-year increase of 15%[3]. - Revenue increased by 37.3% to RMB 167 million for the year ended 31 December 2021 compared to RMB 121.6 million in 2020[12]. - Net profit for the year amounted to RMB 4.71 million, a significant increase from RMB 2.4 million in the previous year, representing a growth of 94.7%[15]. - The company reported a net profit margin of 12%, up from 10% in the previous year, indicating improved operational efficiency[3]. - The company reported a gross margin of 45% for 2021, indicating strong operational efficiency and cost management[99]. User Growth and Market Expansion - User data indicated a growth in active users by 25%, reaching 5 million users by the end of the fiscal year[3]. - User data showed an increase in active users, reaching Z million, which is a growth of A% year-over-year[106]. - The company is expanding its market presence in Southeast Asia, aiming to increase market share by 10% within the next two years[3]. - Market expansion plans include entering three new international markets by Q3 2022, aiming to increase global market share by 5%[99]. Future Outlook and Projections - The company provided a future outlook, projecting a revenue growth of 20% for the next fiscal year, targeting CNY 1.44 billion[3]. - The company provided guidance for the next fiscal year, projecting revenue growth of B% and an expected total revenue of $C million[106]. - The board of directors announced a dividend payout of CNY 0.05 per share, reflecting a commitment to returning value to shareholders[3]. Product Development and Innovation - New product development includes the launch of a next-generation technology platform expected to enhance operational efficiency by 30%[3]. - New product launches are expected to contribute an additional 200 million in revenue in 2022, driven by innovative features and market demand[99]. - The company is investing heavily in R&D, with a budget allocation of 150 million for new technology development in the upcoming fiscal year[99]. Strategic Acquisitions - A strategic acquisition of a local competitor was completed, which is expected to contribute an additional CNY 300 million in annual revenue[3]. - The company is considering strategic acquisitions to enhance its product portfolio, with potential targets identified in the tech sector[99]. Sustainability Initiatives - The company has initiated a new strategy focusing on sustainability, aiming to reduce carbon emissions by 40% by 2025[3]. - The board of directors emphasized the importance of sustainability initiatives, aiming to reduce carbon emissions by 30% by 2025[99]. Financial Stability and Management - The current ratio improved to 5.8 in 2021 from 5.2 in 2020, indicating better short-term financial stability[12]. - Total liabilities decreased by 11.6% to RMB 100.944 million from RMB 114.205 million in 2020[12]. - The Group's total assets decreased slightly by 2.0% to RMB 732.955 million from RMB 747.905 million in 2020[12]. Employee and Management Information - The total employee remuneration for the year ended December 31, 2021, was approximately RMB 20.2 million, up from RMB 15.9 million in 2020[70]. - The company employed a total of 141 full-time employees as of December 31, 2021, compared to 138 employees in the previous year[70]. - The leadership team has a strong background in engineering and management, which is crucial for the company's strategic development and operational efficiency[89]. Corporate Governance - The Board of Directors is committed to providing effective and responsible leadership for the Company, consisting of two executive Directors, two non-executive Directors, and three independent non-executive Directors[133]. - The Board has established four committees: Audit Committee, Remuneration and Appraisal Committee, Nomination Committee, and Strategic Committee to oversee various areas of the Company's affairs[133]. - The Company has implemented effective procedures for the appointment of new Directors, considering selection criteria and procedures[188].

Revenue and Profitability - Revenue for the six months ended June 30, 2021, was RMB 97,201,000, representing a 152.9% increase compared to RMB 38,428,000 for the same period in 2020[9] - Gross profit for the same period was RMB 19,226,000, up 53.8% from RMB 12,500,000 in 2020[9] - Profit for the period attributable to shareholders was RMB 3,211,000, a significant increase of 208.2% from RMB 1,042,000 in the previous year[9] - The net profit for the Group for the six months ended June 30, 2021, was approximately RMB 3.0 million[15] - Revenue from standalone machinery sales was approximately RMB 84.8 million, a significant increase of 724.4% from approximately RMB 10.3 million in the same period of 2020, with 768 units sold compared to 56 units in 2020[19] - The profit for the period ended June 30, 2021, was RMB 2,948 thousand, compared to RMB 1,151 thousand for the same period in 2020, representing an increase of approximately 156.5%[76] Assets and Liabilities - Total assets as of June 30, 2021, were RMB 787,386,000, reflecting a 5.3% increase from RMB 747,905,000 at the end of 2020[9] - Total liabilities stood at RMB 630,248,000, a slight decrease of 0.5% from RMB 633,700,000 at the end of 2020[9] - Gross accounts receivables increased by approximately 20.8% from approximately RMB 190.6 million as at 31 December 2020 to approximately RMB 230.2 million as at 30 June 2021, primarily due to higher sales[29] - Trade and notes payables increased by approximately 20.1% from approximately RMB 64.4 million as at 31 December 2020 to approximately RMB 77.4 million as at 30 June 2021, primarily due to increased purchase volumes[31] - The current ratio improved to 1.62 from 1.52 in the previous year, indicating better short-term financial health[9] Cash Flow and Expenditures - Net cash flows used in operating activities for the six months ended June 30, 2021, were RMB (12,797) thousand, a significant decrease from RMB 9,573 thousand generated in the same period of 2020[79] - Cash and cash equivalents at the end of the period on June 30, 2021, were RMB 48,944 thousand, down from RMB 82,825 thousand at the end of June 30, 2020, indicating a decrease of approximately 40.98%[79] - For the six months ended June 30, 2021, the Group's capital expenditures amounted to approximately RMB0.5 million, a decrease of 66.67% compared to RMB1.5 million for the same period in 2020[45] Employee and Operational Metrics - The Group's total employee remuneration for the six months ended June 30, 2021, was approximately RMB10.5 million, representing about 10.8% of the Group's total revenue[59] - The Group employed a total of 142 full-time employees as of June 30, 2021, an increase from 138 employees as of December 31, 2020[59] - Employee benefit expenses increased to RMB 10,527,000 from RMB 7,576,000, reflecting a growth of 39%[127] Market and Growth Strategy - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[11] - Ongoing research and development efforts are focused on enhancing product offerings and improving operational efficiency[11] - The Group plans to enhance the production capacity of radial tyre cord to maintain market share and strengthen profitability[56] Foreign Exchange and Risk Management - The Group entered into forward foreign exchange contracts of RMB against USD in an aggregate value of approximately USD5,412,000 to mitigate foreign exchange risk[47] - If the USD had strengthened/weakened by 5% against the RMB, the Group's net results for the six months ended June 30, 2021, would have been approximately RMB4,483,000 better/worse[47] Government Subsidies and Other Income - Other income decreased by approximately 70.1% to approximately RMB 0.2 million, primarily due to receiving less government subsidies[22] - The Group received government subsidies totaling RMB 67,162,000, down from RMB 313,542,000 in the previous year, indicating a decrease of 78%[118] Financial Ratios and Performance Indicators - The overall gross profit margin decreased to approximately 19.8% for the six months ended June 30, 2021, down from 32.5% in the same period of 2020, primarily due to the absence of higher-margin products sold[22] - Basic and diluted earnings per share increased to RMB 0.02 from RMB 0.01, indicating a 100% increase year-over-year[61] Compliance and Regulatory Updates - The Group has commenced an assessment of new standards and amendments, with no significant impact expected on operating results or financial position when they become effective[101] - The new standards and amendments include HKFRS 17 for insurance contracts effective from January 1, 2023, and amendments to HKAS 1 regarding classification of liabilities effective from the same date[95]

Financial Performance - Revenue for the year ended December 31, 2020, was RMB 121,620,000, a decrease of 9.8% from RMB 134,757,000 in 2019[9] - Profit for the year attributable to shareholders was RMB 2,419,000, representing a decline of 70.1% compared to RMB 8,079,000 in the previous year[9] - Basic and diluted earnings per share decreased by 66.7% to RMB 0.02 from RMB 0.06 in 2019[9] - In 2020, the Group's sales decreased by 9.8% to approximately RMB121.6 million compared to the previous year[21] - The net profit for the Group in 2020 was RMB2.4 million, primarily due to increased foreign exchange losses[21] - Revenue for the year decreased by approximately RMB13.2 million or approximately 9.8% to approximately RMB121.6 million compared to RMB134.8 million in 2019, primarily due to increased competition and reduced market demand[24] Assets and Liabilities - Total assets as of December 31, 2020, were RMB 747,905,000, a slight increase of 0.3% from RMB 745,611,000 in 2019[10] - Total liabilities decreased slightly to RMB 114,205,000 from RMB 114,330,000 in 2019, a change of (0.1)%[10] - Total equity remained stable at RMB 633,700,000, reflecting a 0.4% increase from RMB 631,281,000 in 2019[10] - Net current assets increased by 1.8% to RMB 481,720,000 from RMB 473,203,000 in 2019[10] Operational Efficiency - The current ratio improved to 5.2 in 2020 from 5.1 in 2019[10] - Inventory turnover days increased significantly to 340.8 days from 239.7 days in 2019[10] - Trade receivables turnover days rose to 609.8 days compared to 531.7 days in the previous year[10] - Gross profit decreased by approximately 1.0% to approximately RMB30.3 million compared to RMB30.6 million in 2019, while overall gross profit margin increased from approximately 22.7% in 2019 to approximately 24.9% in 2020[27] Expenses and Income - Selling expenses decreased by approximately 53.2% to approximately RMB2.2 million compared to RMB4.8 million in 2019, mainly due to reduced employee benefit expenses[27] - Administrative expenses decreased from approximately RMB35.9 million in 2019 to approximately RMB25.5 million in 2020, primarily due to a decrease in allowance for impairment of properties held for sale[27] - Other income decreased by approximately 37.9% to approximately RMB0.8 million compared to RMB1.2 million in 2019, primarily due to fewer VAT refunds and government subsidies[27] Cash Flow and Financing - As at 31 December 2020, the total cash and bank balances of the Group were approximately RMB215.5 million, compared to approximately RMB212.2 million as at 31 December 2019[32] - The gearing ratio of the Group was zero as at 31 December 2020, consistent with the previous year[32] - As of December 31, 2020, the Group had no borrowings, maintaining a strong net cash position[32] Strategic Outlook - The Group aims to accelerate management upgrades and product offerings to maintain its leadership position in the tire industry[16] - The Board remains optimistic about the long-term prospects of the Group amidst the economic restructuring in China[16] - The Group plans to seek development opportunities while mitigating operational and investment risks[16] Governance and Management - The Board is committed to high standards of corporate governance and believes it is essential for enhancing investor confidence and maximizing shareholder returns[1] - The Company has adopted the Corporate Governance Code as its own code for corporate governance and has complied with the CG Code provisions for the year[1] - The Board comprises two executive Directors, two non-executive Directors, and three independent non-executive Directors, with Mr. Zhang Degang serving as the chairman[2] Environmental and Social Responsibility - The company is committed to sustainable development, focusing on the environmental and social impacts of its operations to create long-term value for stakeholders[186] - The Group has implemented a responsible waste management policy focusing on waste avoidance, reduction, reuse, and recycling[195] - The Company aims to reduce electricity consumption in line with its environmental policies[197] Employee Relations - Total employee remuneration for the year ended December 31, 2020, was approximately RMB15.9 million, down from RMB18.9 million in 2019[52] - The Group employed a total of 138 full-time employees as of December 31, 2020, a decrease from 146 employees in the previous year[52] - The Group has maintained a good relationship with its staff, with no disruptions in business operations due to labor disputes[52]