Financial Performance - The company reported revenue of RMB 370.6 million for the fiscal year 2024, a 33.4% increase from RMB 277.9 million in 2023[11]. - Gross profit for the year was RMB 123.9 million, compared to RMB 85.3 million in the previous year[6]. - The company achieved a net profit of RMB 4.4 million, reversing a net loss of RMB 23.9 million in 2023[11]. - The total revenue for the fiscal year ending December 31, 2024, increased by approximately 33.4% to RMB 370,559,000, compared to RMB 277,861,000 in the fiscal year 2023[21]. - Gross profit rose by 45.3% to RMB 123,877,000, up from RMB 85,264,000 in the previous fiscal year, driven by increased orders in China[21]. - The company recorded total revenue of RMB 370,559,000 for the year ended December 31, 2024, representing an increase of approximately 33.4% compared to RMB 277,861,000 in 2023[35]. - Gross profit increased from RMB 85,264,000 in 2023 to RMB 123,877,000 in 2024, reflecting a growth of about 45.3%[35]. - The overall gross profit margin improved by 2.7 percentage points to 33.4%[35]. - Revenue from recycling equipment increased significantly by 114.7% to RMB 190,467,000, driven by a high-margin major contract and growing local demand for sustainable solutions[39]. - Gross profit for recycling equipment rose by 170.6% to RMB 62,096,000, with a gross margin of 32.6%, up 6.7 percentage points from the previous year[39]. - Revenue from conventional equipment decreased by 11.5% to RMB 84,383,000, attributed to a shift in customer preference towards environmentally friendly solutions[40]. Market Expansion and Product Development - The company has expanded its market presence in Southeast Asia, particularly in Thailand and Malaysia, due to increased demand for recycling equipment solutions[11]. - The company is focusing on R&D to develop advanced eco-friendly technologies, launching a new drying drum with a "self-cleaning" feature this year[15]. - The company is exploring further enhancements to its product offerings, including the addition of foaming devices for warm-mix asphalt on existing facilities[15]. - The company has expanded its overseas market presence to new regions including Indonesia, Madagascar, Malawi, and the Democratic Republic of the Congo, responding to infrastructure demands[20]. - The company aims to expand its market share in Southeast Asia, particularly in Thailand, India, and Malaysia, driven by the growing demand for sustainable infrastructure[34]. - The company plans to increase sales of asphalt mixing equipment and related services in overseas markets such as India, Southeast Asia, and the Middle East, which are experiencing high demand for these products[68]. Corporate Governance and Leadership - The company has a strong leadership team with diverse backgrounds in finance, engineering, and management, enhancing its operational capabilities[84][86][88]. - The board includes independent directors with extensive experience in finance, law, and engineering, contributing to corporate governance and strategic oversight[84][86][88]. - The company is committed to maintaining high standards of corporate governance and internal controls, as advised by its non-executive directors[85]. - The board consists of 11 members, including 5 executive directors, 2 non-executive directors, and 4 independent non-executive directors[102]. - The company has adhered to all principles and code provisions of the corporate governance code throughout the financial year ending December 31, 2024[98]. - The company has a strong independent element in the board to ensure effective independent judgment[102]. - The company has implemented written guidelines for employees regarding securities trading to ensure compliance[100]. - The company has a risk management committee to understand and manage overall business risks appropriately[101]. - The company has a commitment to ethical business standards to achieve long-term business goals[96]. Financial Management and Risks - The company plans to strengthen financial management and improve cash flow through stricter credit control and regular credit assessments of customers[34]. - The company faces credit risk due to potential delays in the collection of trade receivables and notes receivable, particularly related to government funding delays in road construction projects in China[69]. - The company continues to review and strengthen its credit control and collection policies to mitigate financial credit risks[69]. - The net financial income decreased due to lower interest income from deposits, reflecting a decline in deposit rates[51]. - As of December 31, 2024, the group's net current assets were RMB 393,386,000, down from RMB 428,440,000 as of December 31, 2023, with a current ratio of 3.3 compared to 3.5 in the previous year[54]. Employee and Compensation Policies - The total employee cost for the year ending December 31, 2024, is approximately RMB 69,026,000, a decrease from RMB 73,520,000 in 2023, with a total of about 330 employees as of December 31, 2024[72]. - The company emphasizes employee contributions and regularly reviews compensation policies based on market benchmarks and performance[185]. - The company has adopted an employee stock option plan, although no stock options were granted as of December 31, 2024, and 2023[72]. Environmental and Social Responsibility - The company received multiple awards for its environmental leadership, including the "Hong Kong Green Enterprise Award 2024" and recognition as one of the "Top 50 Global Construction Machinery Manufacturers"[15]. - The company has implemented environmental compliance policies to ensure adherence to increasingly stringent environmental laws in China, which may lead to increased operational costs[70]. - The company has established a whistleblowing policy to allow employees and stakeholders to report misconduct confidentially and anonymously[150]. - The company has implemented an anti-corruption policy to prevent corruption and bribery within its operations[151]. Shareholder Communication and Dividends - The company has established a shareholder communication policy to promote effective dialogue with shareholders and stakeholders[161]. - The company has a dividend policy without a predetermined payout ratio, allowing the board to propose dividends based on financial conditions[164]. - The company reported a special dividend of approximately HKD 0.07 per share, totaling HKD 43.9 million (equivalent to RMB 39.9 million) for the year ended December 31, 2023[174]. - The company has set up multiple channels for ongoing dialogue with shareholders, including annual reports and investor relations communications[165]. Audit and Compliance - The audit committee held two meetings to review the financial performance for the year ending December 31, 2023, and the interim financial performance for the six months ending June 30, 2024[114]. - The internal audit department conducted an annual review of the risk management and internal control systems, with all recommendations from the review being properly adopted[149]. - The board has confirmed the effectiveness of the risk management and internal control systems for the year ending December 31, 2024, with no significant deviations found[140].

Financial Performance - Revenue for the year ended December 31, 2024, increased to RMB 370,559,000, up 33.3% from RMB 277,861,000 in 2023[2] - Gross profit for the year was RMB 123,877,000, representing a gross margin of 33.5%, compared to RMB 85,264,000 in 2023[2] - The net profit attributable to owners of the company for 2024 was RMB 4,413,000, a significant recovery from a loss of RMB 23,864,000 in 2023[3] - Basic and diluted earnings per share for 2024 were RMB 0.69, compared to a loss per share of RMB 3.73 in 2023[3] - Total revenue for 2024 reached RMB 370,559,000, up from RMB 277,861,000 in 2023, marking an increase of 33.4%[15] - Gross profit rose by 45.3% to RMB 123,877,000 in 2024, up from RMB 85,264,000 in 2023, driven by increased orders in China[43] - The company achieved a net profit of RMB 4,413,000 in 2024, reversing from a net loss of RMB 23,864,000 in 2023[43] - Basic earnings per share improved to RMB 0.69 in 2024 from a loss of RMB 3.73 in 2023, indicating a significant turnaround[26] Assets and Liabilities - Total assets as of December 31, 2024, were RMB 737,678,000, down from RMB 777,127,000 in 2023[5] - Total liabilities decreased slightly to RMB 172,399,000 in 2024 from RMB 173,605,000 in 2023[6] - Non-current assets in mainland China decreased to RMB 112,580,000 in 2024 from RMB 122,444,000 in 2023, a decline of 8.5%[16] - As of December 31, 2024, the group's net current assets were RMB 393,386,000, down from RMB 428,440,000 in 2023, with a current ratio of 3.3 times compared to 3.5 times in the previous year[70] Trade Receivables and Inventory - Trade receivables increased significantly to RMB 169,189,000 in 2024 from RMB 96,557,000 in 2023[5] - Trade receivables from third parties increased to RMB 230,749,000 in 2024 from RMB 170,250,000 in 2023[11] - The total amount of trade receivables and notes receivable rose to RMB 169,189,000 in 2024, compared to RMB 96,557,000 in 2023[11] - Inventory as of December 31, 2024, was RMB 212,960,000, a slight increase from RMB 211,933,000 in 2023[5] - Inventory costs recognized as expenses amounted to RMB 240,871,000 in 2024, compared to RMB 175,212,000 in 2023, an increase of 37.4%[27] - Inventory increased slightly to RMB 212,960,000 as of December 31, 2024, from RMB 211,933,000 in 2023, while inventory turnover days decreased from 413 days to 314 days[70] Revenue Breakdown - Revenue from asphalt mixing equipment sales increased to RMB 274,850,000 in 2024 from RMB 184,044,000 in 2023, representing a growth of 49.4%[15] - Revenue from sales in mainland China rose to RMB 301,575,000 in 2024, compared to RMB 200,158,000 in 2023, reflecting a growth of 50.5%[15] - Revenue from recycling equipment surged by 114.7% to RMB 190,467,000, attributed to the completion of a high-margin major contract[55] - Revenue from conventional equipment decreased by 11.5% to RMB 84,383,000, as customer preference shifted towards recycling equipment[56] - Revenue from parts and components sales fell by 23.2% to RMB 53,657,000, primarily due to a decrease in customer demand for conventional equipment modifications[59] - Other specialized asphalt equipment sales revenue increased by 75.8% to RMB 42,052,000, indicating strong customer trust and satisfaction[61] Market Expansion and Strategy - The company is engaged in the production and distribution of asphalt mixing equipment and related products, indicating ongoing focus on market expansion and product development[7] - The company expanded its overseas market presence to new regions including Indonesia, Madagascar, Malawi, and the Democratic Republic of the Congo[41] - The company is strategically diversifying its overseas markets, focusing on regions such as Hong Kong, Southeast Asia, Africa, and Europe to mitigate competitive pressures[44] - The company aims to capitalize on the growing demand for recycling facilities in Southeast Asia driven by sustainable development policies[51] - The company is expanding its asphalt-related business by seeking strategic partnerships to enhance production and sales capabilities[46] Cost Management and Financial Strategy - The company maintained a strict cost control strategy and automation measures to achieve a moderate turnaround from loss to profit[43] - The company plans to strengthen financial management and improve cash flow through stricter credit controls and regular customer credit assessments[51] - The company recorded total revenue of RMB 370,559,000 for the year ending December 31, 2024, representing an increase of approximately 33.4% compared to RMB 277,861,000 in 2023[52] Corporate Governance and Sustainability - The company has adhered to the corporate governance code as per the listing rules for the year ending December 31, 2024[87] - The company is committed to sustainable development and aims to integrate environmental, social, and governance considerations into its business strategy[88] - The company’s sustainability report will detail its performance for the year ending December 31, 2024, and set future goals and plans[88] Shareholder Returns and Repurchase - The company did not propose a final dividend for the year ending December 31, 2024, consistent with 2023[23] - The board has proposed a special dividend of approximately HKD 0.07 per share, totaling HKD 43.9 million (approximately RMB 39.9 million), to celebrate the establishment of a subsidiary[82] - The company repurchased a total of 7,240,000 shares through the stock exchange for the year ending December 31, 2024, with a total cost of HKD 5,143,000 (RMB 4,833,000)[85] - The board believes that the repurchase will increase the net asset value per share due to the significant discount of the trading price to the net asset value per share[85] Audit and Compliance - The audit committee, consisting of four independent non-executive directors, reviewed the annual results for the year ending December 31, 2024[90] - The company’s auditor, PwC, confirmed that the preliminary announcement aligns with the audited financial statements for the year ending December 31, 2024[91] - The annual results announcement and annual report for 2024 will be published on the Hong Kong Stock Exchange and the company’s website[92]

® Pr 德 基 科 技 D&G TECHNOLOGY 德基科技控股有限公司 《於開曼群惠註冊成立之有限公司 > 股份代壁 1301 .... caring comp | --- | --- | |--------------------------|-------| | | 目錄 | | 公司資料 | 2-3 | | 管理層討論及分析 | 4-16 | | 其他資料 | 17-24 | | 中期財務資料的審閱報告 | 25-26 | | 中期簡明綜合損益表 | 27 | | 中期簡明綜合全面收益表 | 28 | | 中期簡明綜合財務狀況表 | 29-30 | | 中期簡明綜合權益變動表 | 31 | | 中期簡明綜合現金流量表 | 32 | | 中期簡明綜合財務資料附註 | 33-52 | 1 德基科技控股有限公司 公司資料 | --- | --- | |-----------------------------|-------------------------------| | 董事會 | 提名委員會 | | 執行董事 | 蔡鴻能先生 （主席） | | | 李宗津先生 | | 蔡鴻能先生 （主席） | ...

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 141,811 thousand, an increase of 19.2% compared to RMB 118,965 thousand for the same period in 2023[1] - Gross profit for the same period was RMB 49,368 thousand, up from RMB 43,875 thousand, reflecting a gross margin improvement[1] - The net loss attributable to the owners of the company for the period was RMB 5,683 thousand, a decrease from RMB 6,908 thousand in the previous year, indicating a 17.8% improvement[2] - The company reported a basic and diluted loss per share of RMB 0.89, compared to RMB 1.08 for the same period last year[2] - Total revenue for the six months ended June 30, 2024, was RMB 141,811,000, an increase from RMB 118,965,000 in the same period of 2023, reflecting a growth of 19.2%[14] - Gross profit increased from RMB 43,875,000 to RMB 49,368,000, representing a growth of about 12.5%, while the gross margin decreased by 2.1 percentage points to 34.8%[44] Assets and Liabilities - Total assets as of June 30, 2024, were RMB 773,815 thousand, slightly down from RMB 777,127 thousand at the end of 2023[3] - Inventory increased to RMB 259,225 thousand from RMB 211,933 thousand, indicating a 22.3% rise in stock levels[3] - Current liabilities rose to RMB 211,802 thousand from RMB 168,444 thousand, reflecting a 25.7% increase[4] - The company’s cash and cash equivalents decreased to RMB 95,148 thousand from RMB 161,654 thousand, a decline of 41.0%[3] - Trade receivables from third parties decreased from RMB 170,250,000 to RMB 159,684,000, a reduction of approximately 6.3%[24] - The total amount of trade receivables and notes receivable increased from RMB 96,557,000 to RMB 110,008,000, representing an increase of about 13.9%[24] - The aging analysis of trade receivables shows that receivables within one year decreased from RMB 94,862,000 to RMB 71,755,000, a decline of approximately 24.4%[25] - Current assets decreased to RMB 382,601,000 as of June 30, 2024, from RMB 428,440,000 as of December 31, 2023, with a current ratio of 2.8[62] Revenue Breakdown - Revenue from asphalt mixing equipment sales reached RMB 112,578,000 for the six months ended June 30, 2024, compared to RMB 67,270,000 for the same period in 2023, representing a growth of 67.2%[13] - Revenue from customers outside mainland China amounted to RMB 44,423,000, down from RMB 51,168,000 in the previous year, indicating a decline of 13.6%[14] - Revenue from recycled equipment surged by 302.2% to RMB 75,139,000, with gross profit increasing by 465.8% to RMB 23,773,000 and gross margin rising by 9.1 percentage points to 31.6%[47] - Revenue from conventional equipment decreased by 22.9% to RMB 37,439,000, with gross margin declining by 4.8 percentage points to 29.4% due to a reduction in completed contracts[48] - Revenue from the Chinese market increased by 159.2% to RMB 73,800,000, with gross profit rising by 165.8% to RMB 21,784,000 and gross margin at 29.5%[49] Operational Highlights - The company has not reported any significant new product launches or technological advancements during this period[1] - There are no updates on market expansion or mergers and acquisitions in the current report[1] - The company sold 10 asphalt mixing equipment units during the six months ended June 30, 2024, compared to 13 units in the same period of 2023[35] - The company has registered 57 patents related to combustion technology as of June 30, 2024, up from 40 patents at the end of 2023[38] - The company is actively seeking strategic partnerships to enhance its asphalt-related business and maximize synergies in production and sales[37] - A new product featuring a "self-cleaning" function for drying drums was launched, improving operational efficiency and sustainability[36] - The company has participated in several milestone highway construction and maintenance projects in China, supported by significant government investment in transportation infrastructure[35] Cash Flow and Investments - For the six months ended June 30, 2024, the group recorded cash generated from operating activities of RMB 29,834,000, compared to RMB 29,568,000 for the same period in 2023[64] - The net cash generated from investing activities for the six months ended June 30, 2024, was RMB 7,408,000, an increase from RMB 2,820,000 in the same period of 2023[64] - The net cash used in financing activities for the six months ended June 30, 2024, was RMB 42,231,000, which included cash dividends paid of RMB 39,898,000[64] - As of June 30, 2024, the group faced a maximum risk of RMB 85,592,000 related to guarantees provided for customer lease payments, down from RMB 112,771,000 as of December 31, 2023[64] Dividends and Reserves - The company proposed a special dividend of approximately HKD 0.07 per share, totaling HKD 43,900,000 (equivalent to RMB 40,000,000) for the year ended December 31, 2023[34] - The company has no interim dividends declared or proposed for the six months ended June 30, 2024[34] - The company’s capital reserve includes contributions from controlling shareholders, which are subject to board approval for distribution[30] - The statutory general reserve can be used to offset past losses and must maintain a balance of at least 25% of the registered capital after conversion[31] Compliance and Governance - The group maintained compliance with all corporate governance codes as of June 30, 2024[69] - The group did not use any financial instruments for hedging purposes as of June 30, 2024[66]

Financial Performance - The company reported a revenue decrease of 19.6% to RMB 277.9 million for the year ended December 31, 2023, compared to RMB 345.4 million in 2022[17]. - The net loss for the year was RMB 23.9 million, an improvement from a net loss of RMB 40.8 million in the previous year[17]. - Total assets decreased to RMB 777.1 million in 2023 from RMB 858.1 million in 2022[14]. - Total liabilities decreased to RMB 173.6 million in 2023 from RMB 232.4 million in 2022[14]. - Total equity stood at RMB 603.5 million in 2023, down from RMB 625.7 million in 2022[14]. - The gross profit decreased to RMB 85,264,000, down from RMB 103,861,000 in 2022, primarily due to reduced sales of asphalt mixing equipment[30]. - The company reported a revenue decrease of approximately 39.0% from asphalt mixing equipment sales, which accounted for about 66.2% of total revenue in the fiscal year ending December 31, 2023[30]. - Revenue from recycled equipment decreased by 34.2% to RMB 88,710,000, with a gross profit margin decline of 5.1 percentage points to 25.9% due to lower sales of smaller models[46]. - Revenue from conventional equipment fell by 42.9% to RMB 95,334,000, with a gross profit margin decrease of 3.7 percentage points to 27.7%, attributed to reduced sales of higher-capacity models[47]. - Total revenue from China decreased by 54.4% to RMB 122,777,000, with a gross profit margin decline of 5.2 percentage points to 26.7% due to fewer completed contracts[49]. - Overseas revenue increased by 90.4% to RMB 61,267,000, with a gross profit margin improvement of 1.8 percentage points to 27.0%, driven by strong sales of the PM model series[50]. - The company sold parts and refurbished equipment generating revenue of RMB 69,898,000, an increase of 89.4%, with a gross profit margin of 47.1%[51]. - Revenue from parts and components sales was approximately RMB 34,094,000, an increase from RMB 22,535,000 in 2022, representing a growth of 51.5%[58]. - Revenue from modified equipment sales reached approximately RMB 35,804,000, up from RMB 14,363,000 in 2022, indicating a growth of 149.5%[58]. - Other specialized asphalt equipment sales revenue was RMB 23,919,000, a significant increase of 249.4% from RMB 6,845,000 in 2022[61]. - The gross profit margin for other specialized asphalt equipment improved by 27.2 percentage points to 20.7% from -6.5% in 2022[61]. - The company's loss attributable to owners for the year ended December 31, 2023, was approximately RMB 23,864,000, a decrease from RMB 40,788,000 in 2022, primarily due to the reversal of impairment losses on trade receivables[77]. Market Strategy and Expansion - The company is restructuring its sales strategy in South Asia to enhance communication and sales performance along the Belt and Road Initiative[15]. - The company is actively expanding its marketing efforts to promote smart and eco-friendly road construction solutions[18]. - The company is exploring new market opportunities through strategic partnerships with leading participants in China's road construction sector[17]. - The company is strategically expanding its influence in countries along the Belt and Road Initiative, leveraging its established sales network[26]. - The company has established a strategic partnership with LiuGong Road Machinery to become the exclusive supplier of asphalt mixing equipment, aiming to penetrate the mid-range market and increase order volume[39]. - The company plans to expand its sales of asphalt mixing equipment in overseas markets, particularly in India, Southeast Asia, and the Middle East, where there is a strong demand for such products[137]. - The company aims to expand its business into overseas markets, particularly in countries along the Belt and Road Initiative, leveraging its extensive network and sales growth[90]. Research and Development - The company has registered 40 patents for combustion technology as of December 31, 2023, maintaining the same number as the previous year[37]. - The company is collaborating with Tsinghua University to explore high-performance ultra-low nitrogen oxide burners, enhancing its comprehensive solutions[30]. - The company introduced a new series of containerized and trailer-mounted asphalt mixing equipment to meet the demands of emerging markets[31]. - As of December 31, 2023, the company holds 227 registered patents and 28 software copyrights, with 40 additional patents pending approval[43]. Operational Efficiency - The company has successfully reversed a provision for trade receivables amounting to RMB 11,299,000, compared to an additional provision of RMB 29,769,000 in the previous year[31]. - Administrative expenses decreased by RMB 2.3 million due to restructuring, although this was partially offset by an increase of RMB 1.0 million in telecom and utility expenses post-COVID recovery[64]. - The net cash used in operating activities for the year ended December 31, 2023, was approximately RMB 52,145,000, compared to RMB 12,476,000 in 2022, indicating a significant increase[103]. - The group recorded a net cash inflow from investing activities of approximately RMB 6,130,000 for the year ended December 31, 2023, an increase from RMB 3,218,000 in 2022[103]. - The group has received multiple awards in 2023, including recognition for environmental contributions, indicating a commitment to sustainability[107]. Risk Management - The risk management committee is responsible for reviewing and assessing the effectiveness of the company's risk management systems[127]. - The company continues to enhance its credit control and collection policies to mitigate financial credit risks[138]. - The management continuously monitors foreign exchange risk levels and will use financial hedging tools when necessary[117]. - The group faces foreign exchange risks due to sales and procurement in foreign currencies, including USD and EUR, which may impact export sales negatively or positively depending on RMB fluctuations[117]. - The company has not utilized any financial hedging instruments as of December 31, 2023[117]. Corporate Governance - The board of directors has achieved a gender diversity target of at least 1 female director (9.1%) and 49 female employees (15.8%), but aims to improve gender diversity in senior management[144]. - The board has established an independence assessment mechanism to ensure strong independent elements and effective judgment in safeguarding shareholder interests[146]. - The board has reviewed the effectiveness of the risk management and internal control systems and found them to be effective and adequate, with no significant deviations identified for the year ending December 31, 2023[192]. - The company has engaged independent non-executive directors to enhance governance practices[161]. - The attendance record for board meetings shows that all directors attended 100% of the meetings held during the year[174]. - The company has established a framework for ongoing training and professional development for directors and senior management[161]. Employee and Workforce Management - As of December 31, 2023, the company had approximately 323 employees, a decrease from 384 employees in 2022, with total employee costs around RMB 73.52 million, down from RMB 75.27 million in the previous year[153]. - The company is committed to maintaining appropriate diversity in its workforce to support business growth and attract candidates from diverse backgrounds[141].

Dividend Proposal - The board of directors proposed a special dividend of approximately HKD 0.07 per ordinary share for the year ending December 31, 2023, compared to no dividend in 2022[1] - The company clarified an inadvertent clerical error regarding the proposed final dividend for the year ending December 31, 2023, stating that no final dividend is recommended[5] Annual Performance Announcement - The board confirmed that all other information and the content of the annual performance announcement remain unchanged[2]

Financial Performance - The total revenue for the year ended December 31, 2023, was RMB 277,861,000, a decrease of 19.6% compared to RMB 345,387,000 in 2022[1] - The net loss attributable to the company's owners for the year was RMB 23,864,000, improving from a loss of RMB 40,788,000 in 2022, representing a reduction of 41.5%[3] - The operating loss for 2023 was RMB 32,379,000, significantly reduced from RMB 60,225,000 in the previous year, indicating a 46.3% improvement[3] - The financial income net amount for 2023 was RMB 10,552,000, down from RMB 14,940,000 in 2022, reflecting a decrease of 29.9%[3] - The gross profit for the year was RMB 85,264,000, compared to RMB 103,861,000 in 2022, marking a decline of 17.9%[1] - The company reported a basic and diluted loss per share of RMB 3.73 for 2023, compared to RMB 6.38 in 2022, showing an improvement of 41.5%[3] - Other comprehensive income for the year was RMB 1,651,000, down from RMB 5,888,000 in 2022, a decrease of 72.0%[4] - Total revenue for 2023 was RMB 167,985 thousand, a decrease of 12.35% from RMB 191,614 thousand in 2022[34] - Revenue from mainland China was RMB 122,444 thousand, down 13.23% from RMB 141,066 thousand in 2022[34] - The total equity decreased to RMB 603,522 thousand in 2023 from RMB 625,735 thousand in 2022, a decline of 3.52%[34] - The company reported a net loss attributable to shareholders of RMB 23,864 thousand for 2023, compared to a net loss of RMB 40,788 thousand in 2022, representing a 41.5% improvement[44] - The company recorded total revenue of RMB 277,861,000 for the year ended December 31, 2023, a decrease of approximately 19.6% compared to RMB 345,387,000 in 2022[113] - Gross profit decreased from RMB 103,861,000 in 2022 to RMB 85,264,000 in 2023, representing a decline of about 17.9%[113] Assets and Liabilities - The total assets as of December 31, 2023, were RMB 777,127,000, down from RMB 858,098,000 in 2022, a decrease of 9.4%[10] - Cash and cash equivalents decreased to RMB 161,654,000 from RMB 199,942,000, a decline of 19.1%[10] - The company’s total liabilities decreased to RMB 173,605 thousand in 2023 from RMB 232,363 thousand in 2022, a reduction of 25.19%[34] - The group reported trade and other payables totaling RMB 106,370,000 for 2023, down from RMB 140,146,000 in 2022, marking a decrease of approximately 24%[97] - As of December 31, 2023, the company's current assets net value was RMB 428,594,000, with a current ratio of 3.5 times[152] - Trade receivables amounted to RMB 170,250 thousand in 2023, down from RMB 215,135 thousand in 2022, a decrease of 20.85%[46] - Trade receivables decreased from RMB 124,827,000 on December 31, 2022, to RMB 96,557,000 on December 31, 2023, with turnover days improving from 170 days to 148 days[179] - Trade payables decreased from RMB 103,631,000 on December 31, 2022, to RMB 79,897,000 on December 31, 2023, with turnover days decreasing from 179 days to 174 days[179] Revenue Streams - The company’s revenue from the sale of asphalt mixing equipment was RMB 184,044 thousand in 2023, a significant decline of 39.1% from RMB 301,644 thousand in 2022[51] - Revenue from recycled equipment decreased by 34.2% to RMB 88,710,000, primarily due to a reduction in completed contracts[117] - Revenue from conventional equipment decreased by 42.9% to RMB 95,334,000, with gross profit down by 49.6% to RMB 26,405,000[117] - Revenue from parts and refurbished equipment sales increased by 89.4% to RMB 69,898,000, with a gross profit of RMB 32,936,000, reflecting a gross margin of 47.1%[143] - Revenue from other specialized asphalt equipment sales surged by 249.4% to RMB 23,919,000, with a gross profit of RMB 6,845,000[136] Operational Developments - The company plans to distribute a special dividend of approximately HKD 0.07 per ordinary share for the year ending December 31, 2023, pending shareholder approval[62] - The company plans to expand its business into overseas markets, particularly in countries along the "Belt and Road" initiative, focusing on road and infrastructure construction[111] - The company has developed new products, including RAP crushing equipment and sand-making machines, to provide comprehensive solutions for customers[102] - The company has established a strategic partnership with LiuGong Machinery to become the exclusive supplier of asphalt mixing equipment, aiming to penetrate the mid-range market further[108] - The company continues to participate in high-level road construction and maintenance projects in China, including major highways in Urumqi and Nanchang[103] - The group has launched several new product lines in asphalt specialized equipment since 2021, leading to increased revenue and gross margins due to customer recognition of product value[173] - The company is exploring business opportunities in the upstream road construction and maintenance materials supply chain and downstream asphalt supply business[134] Research and Development - The group registered 40 patents for combustion technology as of December 31, 2023, unchanged from the previous year, indicating a stable focus on R&D[82] - The company holds 227 registered patents and 28 software copyrights as of December 31, 2023, with 40 additional patents pending approval[130] - The company aims to enhance green transportation infrastructure solutions, focusing on RAP crushing and screening equipment production[132] Corporate Governance and Sustainability - The group emphasizes maintaining high-quality corporate governance practices and has complied with the corporate governance code during the fiscal year ending December 31, 2023[190] - The sustainability report will be published to outline the group's performance and future goals regarding environmental, social, and governance considerations[191] - The group received multiple awards in 2023 for its contributions to environmental sustainability, highlighting its commitment to green governance[87] Employee and Cost Management - As of December 31, 2023, the group had approximately 323 employees, a decrease from 384 in 2022, with total employee costs amounting to RMB 73,520,000, down from RMB 75,269,000 in 2022[162] - The company plans to maintain strict cost control measures and optimize operational efficiency to ensure sustainable business growth[133] Market and Economic Context - The "Belt and Road Initiative" presents significant opportunities for infrastructure development, enhancing community connectivity and economic growth[199] - The actual annual interest rate on the group's borrowings was 5.96% in 2023, up from 3.30% in 2022, indicating an increase of about 81%[95]

Revenue and Profitability - Revenue for the six months ended June 30, 2023, was RMB 32,990,000, an increase of 77.6% compared to RMB 18,575,000 for the same period in 2022[1] - Gross profit for the same period was RMB 18,864,000, representing a 157.7% increase from RMB 7,321,000 in the prior year[1] - Gross margin improved to 57.2%, up 17.8 percentage points from 39.4% in the previous year[1] - Revenue for the six months ended June 30, 2023, was RMB 118,965,000, a decrease of approximately 38.6% compared to RMB 193,779,000 for the same period in 2022[67] - The gross profit for the same period was RMB 43,875,000, down from RMB 56,883,000 in 2022, indicating a decrease of about 22.9%[67] - The operating loss for the six months ended June 30, 2023, was RMB 13,288,000, compared to an operating loss of RMB 9,457,000 in 2022, reflecting an increase in losses of approximately 40%[67] - The net loss attributable to the owners of the company for the period was RMB 6,908,000, compared to a net loss of RMB 2,509,000 in the previous year, marking an increase in losses of about 175.5%[67] - The basic and diluted loss per share for the six months ended June 30, 2023, was RMB 1.08, compared to RMB 0.39 for the same period in 2022, indicating a significant increase in loss per share[67] Contracts and Sales - The number of contracts signed during the period was 5, with an average contract value of RMB 3,741,000[2] - The number of contracts completed during the period was 13, down from 17 in the same period last year, representing a decrease of 4 contracts[115] - The average contract value decreased by 49.8% from RMB 10,306 to RMB 5,175[115] - Sales of components and assemblies generated revenue of RMB 17,136,000, compared to RMB 10,033,000 in the same period last year[1] - Revenue from refurbished equipment sales was RMB 15,854,000, up from RMB 8,542,000 in the prior year[1] - Revenue from asphalt mixing equipment sales decreased by 61.6% to RMB 67,270,000 compared to RMB 175,204,000 in the same period last year[129] - Sales of recycling equipment dropped by 79.4%, with revenue at RMB 18,681,000, down from RMB 90,656,000, and gross profit margin decreased by 8.0 percentage points to 22.5%[119] - Revenue from conventional equipment sales decreased by 42.5% to RMB 48,589,000, while gross profit margin increased by 1.2 percentage points to 34.2%[121] - Revenue from overseas sales surged by 529.9% to RMB 38,793,000, with gross profit margin slightly increasing to 32.5%[123][124] Assets and Liabilities - As of June 30, 2023, the group's current assets net value was RMB 438,333,000, compared to RMB 423,444,000 as of December 31, 2022[8] - The current ratio as of June 30, 2023, was 2.6, down from 2.9 at the end of 2022[8] - Cash and cash equivalents increased to RMB 226,826,000 from RMB 199,942,000, while interest-bearing bank borrowings decreased to RMB 7,902,000 from RMB 11,506,000[138] - The asset-liability ratio calculated as total borrowings over equity was 1.3%, down from 1.8%[138] - Inventory increased from RMB 223,885,000 to RMB 257,127,000, with inventory turnover days rising from 336 days to 580 days[136] - Trade receivables decreased from RMB 124,827,000 to RMB 78,063,000, with turnover days improving from 170 days to 154 days[137] Employee and Operational Costs - The total employee cost for the six months ended June 30, 2023, was approximately RMB 37,706,000, an increase from RMB 30,712,000 in the same period of 2022, representing a rise of about 22.7%[70] - The company plans to maintain strict cost control measures and streamline operations to enhance profitability[128] - The company continues to enhance operational efficiency by adjusting service pricing, reducing operating expenses, and optimizing personnel allocation[90] Research and Development - The company is actively engaged in research on combustion technology to develop and sell burner equipment, which can be used in various fields including asphalt mixing equipment and heating systems[92] - The company is focusing on research and development of high-performance ultra-low nitrogen oxide burners in collaboration with Tsinghua University[113] - As of June 30, 2023, the company registered 54 patents related to combustion technology, an increase from 40 patents as of December 31, 2022[92] - The company has 208 registered patents and 27 software copyrights as of June 30, 2023, with 23 patent applications pending approval[109] Market Conditions and Strategy - The company continues to leverage its partnership with Liugong to expand its market presence in the mid-range asphalt mixing equipment sector[4] - The company aims to improve its market position by enhancing its technological capabilities and expanding its product offerings[87] - The company aims to expand its market presence by collaborating with strategic partners, including Liugong Wuxi Road Machinery Co., to penetrate the mid-range asphalt mixing equipment market[113] - Future outlook remains cautious due to market conditions, with a focus on cost management and operational efficiency[177] - The company has faced intensified competition, making it difficult to secure more orders in the market[88] Financial Instruments and Risk Management - The company has not engaged in any significant investments or acquisitions during the six months ended June 30, 2023[12] - The group has not used any financial instruments for hedging purposes as of June 30, 2023, indicating a potential area for risk management improvement[156] - The maximum risk faced by the group regarding guarantees provided for financing leases was approximately RMB 115,844,000 as of June 30, 2023, compared to RMB 109,530,000 as of December 31, 2022[165] Other Financial Information - The company reported a loss of RMB 6,908,000 for the six months ended June 30, 2023, compared to a loss of RMB 2,509,000 for the same period in 2022[50] - Other comprehensive income for the period was RMB 1,376,000, down from RMB 2,975,000 in the previous year[50] - The total comprehensive loss attributable to owners of the company for the period was RMB 5,532,000, compared to a profit of RMB 466,000 in the prior year[50] - The board did not recommend the declaration of an interim dividend for the six months ended June 30, 2023, consistent with the previous year[71] - The company has adopted a share option scheme for employees, but no options were granted during the six months ended June 30, 2023[67]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部 或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 D&G TECHNOLOGY HOLDING COMPANY LIMITED 德基科技控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1301） 截至2023年6月30日止6個月之中期業績公告 德基科技控股有限公司（「本公司」）董事會（「董事會」）欣然公佈本公司及其附屬公 司（統稱「本集團」）截至2023年6月30日止6個月之未經審核簡明綜合業績，連同去 年同期之比較數字，列明如下： 中期簡明綜合損益表 截至2023年6月30日止6個月 未經審核 截至6月30日止6個月 2023年 2022年 附註 人民幣千元 人民幣千元 ...

Financial Performance - The company reported a revenue of RMB 345,387,000 for the year 2022, a decrease of 19.5% compared to RMB 429,203,000 in 2021[21]. - The gross profit for 2022 was RMB 103,861,000, down from RMB 140,421,000 in 2021, reflecting a decline in profitability[21]. - The company incurred a loss attributable to owners of RMB 40,788,000 in 2022, compared to a profit of RMB 10,663,000 in 2021[21]. - The company reported a revenue decrease of 19.5% to RMB 345.4 million for the year, down from RMB 429.2 million in 2021, and a net loss of RMB 40.8 million compared to a net profit of RMB 10.6 million in 2021[23]. - Gross profit decreased from RMB 140,421,000 in 2021 to RMB 103,861,000 in 2022, representing a decline of about 26.0%[49]. - The overall gross margin fell by 2.6 percentage points from 32.7% to 30.1%[49]. - The company reported a net loss attributable to shareholders of RMB 40,788,000, compared to a net profit of RMB 10,663,000 in the previous year[49]. - Revenue from conventional equipment sales decreased by 28.2%, primarily due to a reduction in the number of completed contracts and average contract value[56]. - Revenue from recycled equipment sales decreased by 11.8%, with a stable gross margin of approximately 31%[62]. Sales and Market Performance - The company completed the sale of 33 asphalt mixing equipment units during the year, a decrease from 41 units in 2021, with sales of asphalt mixing equipment accounting for approximately 87.3% of total revenue[34]. - The number of contracts for asphalt mixing equipment decreased from 41 in 2021 to 33 in 2022, a reduction of 8 contracts[53]. - Revenue from overseas sales increased by 49.6% to RMB 32,179,000, driven by an increase in the number of completed contracts[64]. - The company has restructured its sales strategy in Pakistan, India, and other South Asian countries to enhance regional communication and sales performance[28]. - The company aims to expand its business by increasing sales of asphalt mixing equipment in overseas markets, particularly in India, Southeast Asia, and the Middle East[96]. Environmental and Sustainability Initiatives - The company is focusing on enhancing its environmental impact awareness and aims to reduce environmental effects in its production processes[8]. - New product developments include a series of recycling asphalt pavement (RAP) crushing equipment and sand-making machines, aimed at improving energy efficiency and environmental protection[29]. - The company is collaborating with Tsinghua University to develop ultra-low nitrogen oxide burner technology, promoting green transformation and sustainable development[31]. - The company plans to allocate resources to further promote its recyclable asphalt mixing equipment and other environmentally friendly products[31]. - The company is committed to environmental sustainability and has implemented policies to reduce operational impacts on the environment[88]. Research and Development - The company has registered 40 patents related to combustion technology as of December 31, 2022, maintaining the same number as the previous year[38]. - The company has recorded sales from newly developed products including RAP crushing equipment and the LAP series asphalt mixing equipment[43]. - New product development is underway, with an investment of 5 million HKD allocated for R&D in innovative engineering solutions[107]. Corporate Governance and Management - The company emphasizes the importance of corporate governance and compliance through its board composition[127]. - The board consists of 11 members, including 5 executive directors, 2 non-executive directors, and 4 independent non-executive directors, ensuring a balanced composition[141]. - The company has adhered to all provisions of the corporate governance code throughout the year ending December 31, 2022[136]. - The board is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[135]. - The company has established written guidelines for employees regarding securities trading to ensure compliance with the standard code[138]. Risk Management - The company has implemented a framework for risk management and internal controls to safeguard its operations[151]. - The board is responsible for determining the nature and extent of risks acceptable in achieving strategic objectives[195]. - The risk management framework includes risk identification, assessment, response, and monitoring[198]. - The audit committee and risk management committee are responsible for continuously monitoring the effectiveness of the risk management and internal control systems, with annual reviews covering all significant monitoring aspects[196]. Employee and Operational Metrics - The total employee cost for the year ended December 31, 2022, was approximately RMB 75,269,000, slightly up from RMB 75,129,000 in 2021, with a total of about 384 employees[100]. - Cash and cash equivalents as of December 31, 2022, were RMB 199,942,000, slightly up from RMB 199,644,000 in 2021, while interest-bearing bank borrowings decreased to RMB 11,506,000 from RMB 19,623,000[83]. - The current ratio remained stable at 2.9 times as of December 31, 2022, consistent with the previous year[81]. - Inventory increased by RMB 3,373,000 to RMB 223,885,000, with inventory turnover days rising to 336 days from 285 days in 2021[81]. Future Outlook - The company anticipates more opportunities in the post-COVID era due to expected further stimulus policies to inject new momentum into the local economy[22]. - The company has outlined a positive outlook for the upcoming fiscal year, projecting a revenue growth of 10% to 15%[107]. - The management team has emphasized the importance of sustainability, with plans to reduce carbon emissions by 20% by 2025[107].