N O T I F I C AT I O N L E T T E R 通 知 信 函 Dear Non-registered holders(Note) (Incorporated in Bermuda with limited liability) ( 在百慕達成立之有限公司） (Stock code / 股份代碼：1431) Please note that both the English and Chinese versions of all future Corporate Communications will be available electronicall y on the websites of the Company at www.ystdfarm.com or www.ystdairyfarm.com and the website of The Stock Exchange of Hong Kong Limited at www.hkexnews.hk in place of printed copies. As a non-registered shareholder, if y ...

YuanShengTai Dairy Farm Limited 原生態牧業有限公司 (Incorporated in Bermuda with limited liability) Dear Registered Shareholders, YuanShengTai Dairy Farm Limited (the "Company") Notice of Publication of Interim Report 2025 (the "Current Corporate Communications") The Current Corporate Communications of the Company have been published in English and Chinese languages and are available on the website of The Stock Exchange of Hong Kong Limited ("HKEX") at www.hkexnews.hk and the Company's website at www.ystdfarm.com or ...

目 錄 | | | 3 管理層討論與分析 12 企業管治及其他資料 16 獨立審閱報告 17 中期簡明綜合損益及其他全面收益表 18 中期簡明綜合財務狀況表 20 中期簡明綜合權益變動表 21 中期簡明綜合現金流量表 22 中期簡明綜合財務資料附註 公司資料 董事會 執行董事 張永久先生 （主席兼行政總裁） 陳祥慶先生 （財務總監） 劉剛先生 非執行董事 冷友斌 先 生 劉華先生 蔡方良先生 獨立非執行董事 陳祥慶先生 劉剛先生 審核委員會 蒙靜宗先生 （主 席） 張月周先生 劉晉萍女士 薪酬委員會 張月周先生 （主 席） 蒙靜宗先生 劉晉萍女士 張永久先生 提名委員會 張月周先生 蒙靜宗先生 劉晉萍女士 聯席公司秘書 宋淼女士 曾若詩女士 授權代表 劉晉萍女士 （主 席） 蒙靜宗先生 張月周先生 張永久先生 獨立核數師 安永會計師事務所 執業會計師 註冊公眾利益實體核數師 香港鰂魚涌英皇道979號太古坊一座27樓 主要往來銀行 中國農業發展銀行 中國工商銀行 中國農業銀行 中國建設銀行 註 冊 辦事處 Clarendon House 2 Church Street Hamilton HM11 Bermuda ...

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年8月31日 狀態: 新提交 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 01431 | 說明 | 普通股 | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 50,000,000,000 | HKD | | 0.01 HKD | | 500,000,000 | | 增加 / 減少 (-) | | | 0 | | | HKD | | 0 | | 本月底結存 | | | 50,000,000,000 | HKD | | 0.01 HKD | | 500,000,000 | 本月底法定/註冊股本總額： HKD 500,000,000 FF301 第 1 頁 共 10 頁 v 1.1.1 致：香港交易及 ...

北京商报讯（记者 孔文燮）8月28日晚间，原生态牧业披露的2025年中期业绩显示，实现收益约13.12亿 元，同比增长8.88%；实现净利润约1.19亿元，同比减少7.85%。 ...

Core Insights - The company reported a revenue of approximately 1.312 billion RMB for the first half of 2025, representing a year-on-year increase of 8.88% [1] - Net profit was approximately 119 million RMB, showing a year-on-year decrease of 7.85% [1] - Earnings per share stood at 0.025 RMB [1] Revenue and Sales Performance - The sales volume of raw milk reached 304,729 tons, which is a year-on-year increase of 17.6% [1] - The growth in raw milk sales volume was primarily due to the expansion of the breeding herd and an increase in the average annual milk production per cow [1] - The average selling price of raw milk during the reporting period was 4,305 RMB per ton, down 7.4% from 4,648 RMB per ton in the same period last year [1]

智通财经APP讯，原生态牧业(01431)公布2025年中期业绩，收益约13.12亿元，同比增长8.88%;净利约 1.19亿元，同比减少7.85%;每股盈利0.025元。 于报告期内，原料牛奶的销量为304,729吨，同比增加17.6%。原料牛奶的销量增长主要由于成母牛牛群 规模扩大;及每头母牛的年均产奶量增加。于报告期内，该集团原料牛奶的平均售价为每吨人民币4,305 元，较去年同期的每吨人民币4,648元下跌7.4%。 ...

I. [Company Information and Announcements](index=1&type=section&id=I.%20Company%20Information%20and%20Announcements) Provides essential company details and the scope of the interim results announcement 1.1 [Announcement Statement](index=1&type=section&id=1.1%20Announcement%20Statement) The Hong Kong Stock Exchange and the Stock Exchange are not responsible for the announcement's content, accuracy, or completeness, and bear no liability for reliance on it - The Hong Kong Stock Exchange and the Stock Exchange are not responsible for the content of this announcement, make no statement as to its accuracy or completeness, and assume no liability for any loss arising from reliance on its contents[1](index=1&type=chunk) 1.2 [Company Overview](index=1&type=section&id=1.2%20Company%20Overview) YuanShengTai Dairy Farm Limited (Stock Code: 1431) announces its unaudited condensed consolidated interim results for the six months ended June 30, 2025 - Company name: **YuanShengTai Dairy Farm Limited**, Stock Code: **1431**[2](index=2&type=chunk) - The announcement covers the unaudited condensed consolidated interim results for the six months ended **June 30, 2025**[2](index=2&type=chunk) II. [Interim Condensed Consolidated Financial Statements](index=2&type=section&id=II.%20Interim%20Condensed%20Consolidated%20Financial%20Statements) Presents the company's financial performance and position through condensed consolidated statements for the interim period 2.1 [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=2.1%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For H1 2025, revenue and gross profit declined, but profit before tax and profit for the period both increased Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Key Data (Six Months Ended June 30) | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 1,204,776 | 1,311,814 | -8.2% | | Cost of sales | (759,044) | (784,437) | -3.2% | | Gross profit | 445,732 | 527,377 | -15.5% | | Other income and gains | 105,458 | 100,760 | 4.7% | | Administrative expenses | (62,484) | (52,391) | 19.3% | | Other expenses | (8,679) | (13,654) | -36.5% | | Finance costs | (14,117) | (22,567) | -37.5% | | Changes in fair value less costs to sell of biological assets | (336,911) | (423,433) | -20.4% | | Profit before tax | 125,667 | 119,424 | 5.2% | | Profit for the period | 128,996 | 118,871 | 8.5% | | Total comprehensive income for the period | 130,761 | 116,821 | 11.9% | | Basic and diluted earnings per share (RMB) | 0.025 | 0.028 | -10.7% | 2.2 [Condensed Consolidated Statement of Financial Position](index=3&type=section&id=2.2%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, total assets slightly decreased, but net current assets turned positive, improving liquidity and increasing equity Condensed Consolidated Statement of Financial Position Key Data (As of June 30) | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Total non-current assets | 6,105,566 | 6,252,010 | -2.3% | | Total current assets | 1,584,032 | 1,691,873 | -6.4% | | Total current liabilities | 1,564,301 | 1,911,522 | -18.1% | | Net current assets/(liabilities) | 19,731 | (219,649) | 109.0% | | Net assets | 5,183,694 | 5,066,873 | 2.3% | | Total equity | 5,183,694 | 5,066,873 | 2.3% | III. [Notes to the Interim Condensed Consolidated Financial Information](index=4&type=section&id=III.%20Notes%20to%20the%20Interim%20Condensed%20Consolidated%20Financial%20Information) Provides detailed explanations and disclosures for the interim condensed consolidated financial statements, covering accounting policies, segment information, and key financial items 3.1 [Basis of Preparation and Accounting Policies](index=4&type=section&id=3.1%20Basis%20of%20Preparation%20and%20Accounting%20Policies) Interim financial information is prepared in accordance with IAS 34 and should be read with annual financial statements, with no significant impact from new IFRS amendments - The interim condensed consolidated financial information is prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting" and should be read in conjunction with the annual consolidated financial statements for the year ended **December 31, 2024**[5](index=5&type=chunk) - The revised International Financial Reporting Standards accounting standards were adopted for the first time in this period, but these revisions had no impact on the condensed interim consolidated financial information due to the convertibility of the Group's transaction and functional currencies[6](index=6&type=chunk)[7](index=7&type=chunk) 3.1.1 [Basis of Preparation](index=4&type=section&id=3.1.1%20Basis%20of%20Preparation) Financial information is prepared in accordance with IAS 34 and should be read in conjunction with the annual financial statements - The interim condensed consolidated financial information is prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting"[5](index=5&type=chunk) 3.1.2 [Changes in Accounting Policies and Disclosures](index=4&type=section&id=3.1.2%20Changes%20in%20Accounting%20Policies%20and%20Disclosures) Accounting policies are consistent with the prior year, with new IFRS amendments having no material impact on the group's financial information - The accounting policies adopted in the preparation of the interim condensed consolidated financial information are consistent with those applied in the preparation of the Group's annual consolidated financial statements for the year ended December 31, 2024, except for the first-time adoption of the following revised International Financial Reporting Standards accounting standards for the current period[6](index=6&type=chunk) - Amendments to IAS 21 clarify how an entity should assess whether a currency is exchangeable into another currency and how an entity should estimate the spot exchange rate when convertibility is lacking, with these amendments having no impact on the condensed interim consolidated financial information[7](index=7&type=chunk) 3.2 [Operating Segment Information](index=4&type=section&id=3.2%20Operating%20Segment%20Information) The Group primarily engages in raw milk production and sales, with management focusing on overall operating results, thus no separate segment information is presented - The Group is principally engaged in the production and sale of raw milk[8](index=8&type=chunk) - For the purpose of resource allocation and performance assessment, the Group's management focuses on the overall operating results of the Group, and therefore, resources are integrated, and no operating segment information is presented[8](index=8&type=chunk) 3.3 [Revenue](index=5&type=section&id=3.3%20Revenue) For H1 2025, raw milk sales revenue increased by 8.9% to RMB 1.31 billion, all from mainland China Revenue Analysis (Six Months Ended June 30) | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Sale of raw milk | 1,311,814 | 1,204,776 | | Geographical market | Mainland China | Mainland China | | Timing of revenue recognition | Goods transferred at a point in time | Goods transferred at a point in time | 3.4 [Components of Profit Before Tax](index=6&type=section&id=3.4%20Components%20of%20Profit%20Before%20Tax) Profit before tax for H1 2025 was influenced by production costs, depreciation, and biological asset fair value changes Major Deductions/Additions to Profit Before Tax (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Production and rearing costs | 559,019 | 556,981 | | Raw milk production costs | 225,418 | 202,063 | | Cost of sales | 784,437 | 759,044 | | Depreciation of property, plant and equipment | 110,410 | 101,448 | | Depreciation recognized in profit or loss and other comprehensive income | 60,428 | 49,009 | | Changes in fair value less costs to sell of biological assets | 423,433 | 336,911 | | Gain/(loss) on disposal of property, plant and equipment | (962) | 174 | | Foreign exchange differences, net | (352) | (8,645) | - Depreciation included in cost of sales increased from **RMB 48,400 thousand in 2024 to RMB 59,244 thousand in 2025**[10](index=10&type=chunk) 3.5 [Income Tax](index=7&type=section&id=3.5%20Income%20Tax) For H1 2025, income tax expense was RMB 553 thousand, with certain agricultural subsidiaries exempt from enterprise income tax - Income tax on assessable profit in Mainland China is calculated at a **25% corporate income tax rate**[11](index=11&type=chunk) - Certain subsidiaries of the Group engaged in agricultural businesses are **exempt from enterprise income tax**[12](index=12&type=chunk) Income Tax Expense (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Income tax expense | 486 | – | | Deferred tax expense/(credit) | 67 | (3,329) | | Total tax expense/(credit) for the period | 553 | (3,329) | 3.6 [Dividends](index=7&type=section&id=3.6%20Dividends) No dividends were declared or proposed by the company during the reporting period - No dividends were declared or proposed by the Company during the reporting period[14](index=14&type=chunk) 3.7 [Earnings Per Share](index=7&type=section&id=3.7%20Earnings%20Per%20Share) Basic and diluted EPS for H1 2025 decreased to RMB 0.025, mainly due to lower profit attributable to owners Earnings Per Share Calculation Data (Six Months Ended June 30) | Indicator | 2025 (RMB thousands/share) | 2024 (RMB thousands/share) | | :--- | :--- | :--- | | Profit attributable to ordinary equity holders of the Company | 118,871 | 128,996 | | Weighted average number of ordinary shares in issue | 4,690,496,400 | 4,690,496,400 | | Basic and diluted earnings per share | 0.025 | 0.028 | - The Group had no outstanding ordinary shares with dilutive potential for the six months ended **June 30, 2025, and June 30, 2024**[15](index=15&type=chunk) 3.8 [Property, Plant and Equipment](index=8&type=section&id=3.8%20Property,%20Plant%20and%20Equipment) For H1 2025, the Group acquired RMB 73.48 million in assets, disposed of some, and pledged other assets for bank loans Property, Plant and Equipment Movements (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Cost of asset acquisitions | 73,476 | 83,650 | | Net book value of asset disposals | 1,516 | 1,539 | | Net gain/(loss) on disposal | 962 | (174) | - As of June 30, 2025, assets with a net book value of **RMB 25,037 thousand were pledged** as collateral for interest-bearing bank borrowings[20](index=20&type=chunk) 3.9 [Biological Assets](index=8&type=section&id=3.9%20Biological%20Assets) The Group holds dairy cattle for milk production, with numbers slightly increasing and value affected by fair value changes 3.9.1 [Nature of Business and Dairy Cattle Numbers](index=8&type=section&id=3.9.1%20Nature%20of%20Business%20and%20Dairy%20Cattle%20Numbers) The Group holds dairy cattle primarily for milk production, including lactating cows, heifers, and calves, with total cattle increasing to 108,439 heads as of June 30, 2025 - The dairy cattle owned by the Group are primarily held for milk production, including heifers, calves, and lactating cows[21](index=21&type=chunk) - Sales of dairy cattle are not the Group's principal business, and proceeds are not recognized as revenue[23](index=23&type=chunk) Dairy Cattle Numbers (As of June 30) | Dairy Cattle Category | June 30, 2025 (heads) | December 31, 2024 (heads) | Change (%) | | :--- | :--- | :--- | :--- | | Lactating cows | 51,452 | 49,330 | 4.3% | | Heifers and calves | 56,987 | 57,966 | -1.7% | | Total dairy cattle | 108,439 | 107,296 | 1.1% | 3.9.2 [Changes in Dairy Cattle Value](index=9&type=section&id=3.9.2%20Changes%20in%20Dairy%20Cattle%20Value) As of June 30, 2025, the total value of dairy cattle decreased to RMB 2,236,840 thousand, primarily due to losses from changes in fair value less costs to sell Dairy Cattle Value Movements (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Total value of dairy cattle | 2,236,840 | 2,339,650 | | Increase due to breeding (rearing costs and others) | 397,463 | 857,207 | | Decrease due to sales | (76,840) | (143,455) | | Loss arising from changes in fair value less costs to sell | (423,433) | (609,322) | 3.9.3 [Fair Value Hierarchy](index=9&type=section&id=3.9.3%20Fair%20Value%20Hierarchy) The fair value measurement of the Group's biological assets is classified as Level 3, utilizing significant unobservable inputs, with some assets pledged as collateral for bank loans - The fair value measurement of the Group's biological assets is classified as **Level 3**, which uses significant unobservable inputs[25](index=25&type=chunk) - As of June 30, 2025, biological assets with a carrying amount of **RMB 916,799 thousand were pledged** as collateral for interest-bearing bank borrowings[25](index=25&type=chunk) 3.10 [Current Assets and Liabilities](index=10&type=section&id=3.10%20Current%20Assets%20and%20Liabilities) The Group's current asset structure changed, with trade receivables decreasing, cash increasing, and payables also decreasing 3.10.1 [Trade Receivables](index=10&type=section&id=3.10.1%20Trade%20Receivables) As of June 30, 2025, trade receivables significantly decreased to RMB 1,669 thousand, with most due within one month Trade Receivables Ageing Analysis (As of June 30) | Ageing | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within one month | 1,669 | 34,663 | | Three to six months | – | 385 | | Total | 1,669 | 35,048 | 3.10.2 [Cash and Cash Equivalents](index=10&type=section&id=3.10.2%20Cash%20and%20Cash%20Equivalents) As of June 30, 2025, cash and cash equivalents increased to RMB 670,866 thousand, driven by an increase in cash and bank balances Cash and Cash Equivalents (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Cash and bank balances | 669,775 | 459,819 | | Time deposits | 423,624 | 503,290 | | Total | 1,093,399 | 963,109 | | Less: Unpledged time deposits | (422,533) | (303,708) | | Restricted cash | – | (21,807) | | Cash and cash equivalents | 670,866 | 637,594 | 3.10.3 [Trade Payables and Bills](index=10&type=section&id=3.10.3%20Trade%20Payables%20and%20Bills) As of June 30, 2025, total trade payables and bills significantly decreased by 39.7% to RMB 268,255 thousand Trade Payables and Bills Ageing Analysis (As of June 30) | Ageing | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Within two months | 223,333 | 352,232 | -36.6% | | Two to six months | 36,135 | 53,524 | -32.5% | | Six to twelve months | 2,933 | 13,851 | -78.8% | | Over one year | 5,854 | 25,725 | -77.2% | | Total | 268,255 | 445,332 | -39.7% | 3.10.4 [Other Payables and Accrued Expenses](index=11&type=section&id=3.10.4%20Other%20Payables%20and%20Accrued%20Expenses) As of June 30, 2025, total other payables and accrued expenses decreased to RMB 963,733 thousand, with deferred income primarily representing government grants Other Payables and Accrued Expenses (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Deferred income | 483,908 | 473,743 | 2.1% | | Contract liabilities | 644,673 | 682,635 | -5.6% | | Total other payables | 1,423,788 | 1,501,592 | -5.2% | | Non-current portion | (460,055) | (450,247) | 2.2% | | Total current portion | 963,733 | 1,051,345 | -8.3% | - Deferred income represents government grants received by the Group as financial subsidies for feed purchases and farm construction, recognized as income over the relevant periods[29](index=29&type=chunk) 3.11 [Share Capital](index=11&type=section&id=3.11%20Share%20Capital) As of June 30, 2025, the company's authorized share capital was 50 billion shares, with 4.69 billion shares issued and fully paid, and no new shares issued Share Capital Structure (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Authorized share capital (50,000,000,000 shares) | 406,897 | 406,897 | | Issued and fully paid share capital (4,690,496,400 shares) | 37,674 | 37,674 | - No new shares were issued by the Company during the reporting period[69](index=69&type=chunk) 3.12 [Commitments and Related Party Transactions](index=12&type=section&id=3.12%20Commitments%20and%20Related%20Party%20Transactions) The Group engages in raw milk sales with related parties, receives bank loan guarantees, and has a reduced contract liability to China Feihe 3.12.1 [Commitments](index=12&type=section&id=3.12.1%20Commitments) At the end of the reporting period, raw milk sales to the ultimate holding company increased to RMB 1,304,008 thousand compared to the prior year Sales of Raw Milk to Ultimate Holding Company (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Sales of raw milk to ultimate holding company | 1,304,008 | 1,166,091 | 11.8% | 3.12.2 [Related Party Transactions](index=12&type=section&id=3.12.2%20Related%20Party%20Transactions) Related parties provide guarantees for the Group's bank loans, and the outstanding contract liability to China Feihe decreased, while key management personnel remuneration also declined - The vice president of a fellow subsidiary of the Group and his spouse provided guarantees for certain bank loan facilities of the Group up to **RMB 831,000,000**, of which **RMB 256,655,000 remained unutilized**[32](index=32&type=chunk) - A director of a subsidiary and his spouse provided guarantees for bank loan facilities of the Group up to **RMB 340,000,000**, of which **RMB 105,052,000 remained unutilized**[33](index=33&type=chunk) - As of June 30, 2025, the Group's outstanding contract liability balance to China Feihe was **RMB 644,673 thousand**, a decrease from **RMB 682,635 thousand as of December 31, 2024**[33](index=33&type=chunk) Key Management Personnel Remuneration (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Short-term employee benefits | 2,876 | 4,310 | -33.3% | | Post-employment benefits | 336 | 385 | -12.7% | | Total remuneration | 3,212 | 4,695 | -31.6% | 3.13 [Fair Value of Financial Instruments](index=13&type=section&id=3.13%20Fair%20Value%20of%20Financial%20Instruments) Most of the Group's financial instruments have fair values approximating carrying amounts, with no fair value measurement hierarchy transfers - The fair values of financial instruments such as cash and cash equivalents, time deposits, trade receivables, and trade payables and bills approximate their carrying amounts, primarily due to their short-term maturities[36](index=36&type=chunk) - The fair value of the non-current portion of interest-bearing bank borrowings is calculated by discounting expected future cash flows using current interest rates for instruments with similar terms, credit risk, and remaining maturities[36](index=36&type=chunk) Fair Value Measurement Hierarchy for Financial Liabilities (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Interest-bearing bank borrowings (fair value) | 782,003 | 884,106 | | Interest-bearing bank borrowings (carrying amount) | 782,079 | 884,269 | - For the six months ended June 30, 2025, there were no transfers between Level 1 and Level 2 fair value measurements, nor any transfers into or out of Level 3 for financial assets and financial liabilities[38](index=38&type=chunk) IV. [Management Discussion and Analysis](index=14&type=section&id=IV.%20Management%20Discussion%20and%20Analysis) Provides an overview of the Group's operational and financial performance, market conditions, and strategic outlook for the reporting period 4.1 [Market Review](index=14&type=section&id=4.1%20Market%20Review) Global economic growth slowed in H1 2025, while China's economy grew steadily; the dairy industry faces challenges but holds long-term potential with policy support 4.1.1 [Macroeconomic Environment](index=14&type=section&id=4.1.1%20Macroeconomic%20Environment) Global economic growth slowed in H1 2025, with the World Bank lowering its forecast, while China's GDP grew by 5.3% - Global economic growth slowed in the first half of 2025, with the World Bank significantly lowering its 2025 global economic growth forecast from **2.7% in January to 2.3%**[40](index=40&type=chunk) - China's gross domestic product was **RMB 66,053.6 billion** in the first half, representing a **5.3% year-on-year increase** at constant prices[40](index=40&type=chunk) 4.1.2 [Dairy Industry Analysis](index=14&type=section&id=4.1.2%20Dairy%20Industry%20Analysis) The Chinese dairy industry is at a new turning point with improving supply-demand, but raw milk prices remain under pressure due to weak consumption and oversupply - The Chinese dairy industry is at a new turning point, with supply and demand relations gradually improving, but the overall market has not yet broken through cyclical development difficulties[41](index=41&type=chunk) - As of the fourth week of June, the average price of raw milk in 10 major producing provinces was **RMB 3.04 per kg**, a **7.0% year-on-year decrease**[41](index=41&type=chunk) - The structural contradiction of rapid growth in raw milk supply and weak demand for dairy products still needs to be resolved, with no signs of raw milk price recovery, and the industry faces challenges of pressure on overall profit growth[41](index=41&type=chunk) 4.1.3 [Industry Outlook and Company Strategy](index=14&type=section&id=4.1.3%20Industry%20Outlook%20and%20Company%20Strategy) The dairy industry faces short-term challenges but has significant long-term growth potential in China, with the company focusing on optimizing herd size, technology, and quality - In the short term, the dairy industry is at a critical juncture, facing significant relief pressure and approaching a new "15th Five-Year Plan"[42](index=42&type=chunk) - In the long term, China's per capita dairy consumption is still less than one-third of the world average, and rural residents' consumption is less than 60% of urban residents'; the penetration rate of deep-processed products like cheese and butter is less than 5%, indicating huge development potential in the future dairy market[43](index=43&type=chunk) - The Ministry of Agriculture and Rural Affairs and two other departments issued the "China Food and Nutrition Development Program (2025–2030)", proposing to reach **47 kg of per capita annual dairy consumption by 2030** and promote consumption of dry dairy products like cheese[43](index=43&type=chunk) - The Group will continue to closely follow market trends, flexibly adjust production and operation strategies, orderly optimize herd size, enhance feeding and production technologies, improve quality and efficiency, and achieve better economies of scale[44](index=44&type=chunk) 4.2 [Business Review](index=15&type=section&id=4.2%20Business%20Review) The Group achieved increased raw milk sales volume and revenue, but average selling prices declined, with net profit at RMB 118.9 million 4.2.1 [Overall Performance](index=15&type=section&id=4.2.1%20Overall%20Performance) Raw milk sales volume increased by 17.6% to 304,729 tonnes, total sales revenue grew by 8.9% to RMB 1,311.8 million, but net profit was RMB 118.9 million Business Key Performance (Six Months Ended June 30) | Indicator | 2025 | 2024 | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Raw milk sales volume (tonnes) | 304,729 | 259,180 | 17.6% | | Raw milk sales revenue (RMB millions) | 1,311.8 | 1,204.8 | 8.9% | | Average selling price (RMB per tonne) | 4,305 | 4,648 | -7.4% | | Net profit (RMB millions) | 118.9 | 129.0 | -7.9% | - During the reporting period, some feed prices decreased, leading to a reduction in cost per kg of milk, but the average selling price of raw milk also declined[45](index=45&type=chunk) - The Group's main customers are China Feihe and Huishan Dairy Group, and it continues to optimize and expand its product portfolio and improve dairy product quality[46](index=46&type=chunk) 4.2.2 [Farm Construction](index=16&type=section&id=4.2.2%20Farm%20Construction) As of June 30, 2025, the Group operates 11 farms in Heilongjiang and Jilin provinces, with a total design capacity of 143,960 dairy cattle and 108,439 actual heads - As of June 30, 2025, the Group operates **ten farms in Heilongjiang Province and one in Jilin Province**, totaling eleven dairy cattle farms[47](index=47&type=chunk) Farm Distribution and Scale (As of June 30) | Number of Farms | Designed Capacity (heads) | Actual Herd Size (heads) | Total Area (square meters) | | :--- | :--- | :--- | :--- | | 11 | 143,960 | 108,439 | 9,694,458 | 4.2.3 [Milk Production and Herd Size](index=17&type=section&id=4.2.3%20Milk%20Production%20and%20Herd%20Size) Average annual milk yield per lactating cow slightly increased by 0.5% to 12.46 tonnes, while total dairy cattle numbers slightly decreased, with lactating cows increasing and heifers/calves decreasing - During the reporting period, the average annual milk yield per lactating cow was **12.46 tonnes**, a slight increase of **0.5%** compared to the same period last year[49](index=49&type=chunk) - The Group will dynamically optimize its dairy cattle herd size to consolidate and enhance the supply of high-quality raw milk[50](index=50&type=chunk) Herd Size (As of June 30) | Dairy Cattle Category | June 30, 2025 (heads) | June 30, 2024 (heads) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Lactating cows | 51,452 | 49,231 | 4.5% | | Heifers and calves | 56,987 | 60,465 | -5.8% | | Total dairy cattle | 108,439 | 109,696 | -1.1% | 4.2.4 [Raw Milk Price](index=17&type=section&id=4.2.4%20Raw%20Milk%20Price) The average selling price of raw milk decreased by 7.4% to RMB 4,305 per tonne, primarily due to weak consumer demand and peak milk production - During the reporting period, the Group's average selling price for raw milk was **RMB 4,305 per tonne**, a **7.4% decrease** from **RMB 4,648 per tonne** in the same period last year[52](index=52&type=chunk) - The recovery of raw milk prices is still slower than market expectations, mainly due to weak consumer demand and the peak milk production season in the second quarter[52](index=52&type=chunk) 4.3 [Financial Performance Analysis](index=19&type=section&id=4.3%20Financial%20Performance%20Analysis) The Group's revenue and gross profit increased, but net profit slightly decreased, driven by higher costs and expanded biological asset fair value losses 4.3.1 [Revenue](index=19&type=section&id=4.3.1%20Revenue) Total raw milk sales increased by 8.9% to RMB 1,311.8 million, driven by an expanded lactating cow herd and increased milk yield, despite a 7.4% drop in average selling price Raw Milk Sales and Volume (Six Months Ended June 30) | Indicator | 2025 (RMB millions/tonnes) | 2024 (RMB millions/tonnes) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Total raw milk sales | 1,311.8 | 1,204.8 | 8.9% | | Raw milk sales volume | 304,729 | 259,180 | 17.6% | | Average selling price (per tonne) | 4,305 | 4,648 | -7.4% | - The increase in raw milk sales volume was primarily due to the expansion of the lactating cow herd and an increase in the average annual milk yield per cow[56](index=56&type=chunk) 4.3.2 [Cost of Sales](index=19&type=section&id=4.3.2%20Cost%20of%20Sales) Cost of sales increased to RMB 784.4 million, with feed costs accounting for 71.3% and increasing slightly due to more dairy cattle, alongside a significant rise in depreciation Cost of Sales Components (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Feed | 559,019 | 556,981 | 0.4% | | Salaries, welfare and social insurance | 61,941 | 58,795 | 5.4% | | Depreciation | 59,244 | 48,400 | 22.4% | | Veterinary costs | 25,110 | 27,480 | -8.6% | | Utilities | 54,085 | 48,425 | 11.7% | | Transportation costs | 665 | 834 | -20.2% | | Other costs | 24,373 | 18,129 | 34.4% | | Total cost of sales | 784,437 | 759,044 | 3.3% | - Feed costs accounted for **71.3% of cost of sales** (2024: 73.4%), with the increase attributed to the increased number of dairy cattle[58](index=58&type=chunk) 4.3.3 [Gross Profit](index=19&type=section&id=4.3.3%20Gross%20Profit) Gross profit increased by 18.3% to RMB 527.4 million, with the gross profit margin improving from 37.0% to 40.2% Gross Profit and Gross Profit Margin (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Gross profit | 527.4 | 445.7 | 18.3% | | Gross profit margin | 40.2% | 37.0% | 3.2 percentage points | 4.3.4 [Other Income and Gains](index=20&type=section&id=4.3.4%20Other%20Income%20and%20Gains) Other income and gains decreased by 4.5% to RMB 100.8 million, mainly due to reduced interest income and no disposal gains from subsidiaries Other Income and Gains (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Other income and gains | 100.8 | 105.5 | -4.5% | - The decrease in other income and gains was due to reduced interest income and no gain on disposal of subsidiaries during the reporting period[60](index=60&type=chunk) 4.3.5 [Administrative Expenses](index=20&type=section&id=4.3.5%20Administrative%20Expenses) Administrative expenses increased by 19.3% to RMB 62.5 million, primarily driven by higher repair and maintenance costs Administrative Expenses (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Administrative expenses | 62.5 | 52.4 | 19.3% | - The increase in administrative expenses was primarily due to increased repair and maintenance costs[61](index=61&type=chunk) 4.3.6 [Other Expenses](index=20&type=section&id=4.3.6%20Other%20Expenses) Other expenses decreased by 36.5% to RMB 8.7 million, mainly due to reduced losses from equipment disposal and expenses related to dairy cattle waste disposal Other Expenses (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Other expenses | 8.7 | 13.7 | -36.5% | - The decrease in other expenses was due to reduced losses from disposal of equipment and expenses related to the disposal of dairy cattle waste[62](index=62&type=chunk) 4.3.7 [Changes in Fair Value of Biological Assets](index=20&type=section&id=4.3.7%20Changes%20in%20Fair%20Value%20of%20Biological%20Assets) Loss from changes in fair value less costs to sell of biological assets expanded by 25.7% to RMB 423.4 million, primarily due to fewer heifers and calves and a decrease in their fair value Changes in Fair Value of Biological Assets (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Loss from changes in fair value less costs to sell of biological assets | 423.4 | 336.9 | 25.7% | - The increase in loss was primarily due to a decrease in the number and fair value of heifers and calves[63](index=63&type=chunk) 4.3.8 [Impairment Losses](index=20&type=section&id=4.3.8%20Impairment%20Losses) No impairment losses were recognized for property, plant and equipment or right-of-use assets during the reporting period - No impairment losses were recognized for property, plant and equipment and right-of-use assets during the reporting period[64](index=64&type=chunk) 4.3.9 [Profit for the Period and Earnings Per Share](index=20&type=section&id=4.3.9%20Profit%20for%20the%20Period%20and%20Earnings%20Per%20Share) Net profit for the period was RMB 118.9 million, a 7.8% decrease year-on-year, with basic earnings per share falling by 10.7% to RMB 2.5 cents Profit for the Period and Earnings Per Share (Six Months Ended June 30) | Indicator | 2025 (RMB millions/cents) | 2024 (RMB millions/cents) | | :--- | :--- | :--- | | Net profit | 118.9 | 129.0 | | Basic earnings per share | 2.5 | 2.8 | 4.3.10 [Interim Dividends](index=20&type=section&id=4.3.10%20Interim%20Dividends) The Board of Directors decided not to declare any interim dividends for the reporting period - The Board of Directors has resolved not to declare any interim dividends for the reporting period[66](index=66&type=chunk) 4.4 [Financial Resources and Capital Management](index=21&type=section&id=4.4%20Financial%20Resources%20and%20Capital%20Management) Net cash inflow from operations slightly decreased, but cash and cash equivalents increased, while bank borrowings reduced, significantly improving the gearing ratio 4.4.1 [Liquidity and Financial Resources](index=21&type=section&id=4.4.1%20Liquidity%20and%20Financial%20Resources) Net cash inflow from operating activities was RMB 586.0 million, a 7.6% decrease, while cash and cash equivalents increased to RMB 670.9 million, and the gearing ratio improved to 3.3% Liquidity Key Indicators (As of June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Net cash inflow from operating activities | 586.0 | 634.5 | -7.6% | | Cash and cash equivalents | 670.9 | 637.6 | 5.2% | | Interest-bearing bank borrowings | 782.1 | 884.3 | -11.5% | | Gearing ratio | 3.3% | 11.3% | -8.0 percentage points | - The annual interest rate for interest-bearing bank borrowings ranged from **2.60% to 3.85%** (December 31, 2024: 2.90% to 3.85%)[68](index=68&type=chunk) 4.4.2 [Capital Structure](index=21&type=section&id=4.4.2%20Capital%20Structure) As of June 30, 2025, the company's issued share capital was HKD 46,904,964, comprising 4,690,496,400 shares of HKD 0.01 each, with no new shares issued - As of June 30, 2025, the Company's issued share capital was **HKD 46,904,964**, divided into **4,690,496,400 shares of HKD 0.01 each**[69](index=69&type=chunk) - No new shares were issued by the Company during the reporting period[69](index=69&type=chunk) 4.4.3 [Significant Investments and Future Plans](index=21&type=section&id=4.4.3%20Significant%20Investments%20and%20Future%20Plans) Capital expenditures during the period related to new farm construction, existing farm maintenance, and equipment purchases, with future plans focusing on new farm development funded by operating cash, debt, and IPO proceeds - During the reporting period, the Group's major capital expenditures were related to the construction of new farms, maintenance work for existing farms, and the purchase of additional equipment[70](index=70&type=chunk) - Future capital expenditures will primarily be related to the construction and commissioning of new farms, with funding sources including cash generated from operations, debt financing or bank loans, and unutilized net proceeds from the IPO[70](index=70&type=chunk) 4.4.4 [Use of Proceeds from Initial Public Offering](index=22&type=section&id=4.4.4%20Use%20of%20Proceeds%20from%20Initial%20Public%20Offering) Of the approximately HKD 2,564.0 million net IPO proceeds, HKD 347.8 million remains unutilized, originally for upstream operations, but the timeline is now postponed to end-2027 due to market conditions Use of IPO Net Proceeds (As of June 30) | Planned Use | Planned Amount (HKD millions) | Actual Use (HKD millions) | Unutilized Amount (HKD millions) | | :--- | :--- | :--- | :--- | | Construction of new farms | 1,923.0 | 1,923.0 | – | | Development of upstream operations | 384.6 | 36.8 | 347.8 | | Working capital and general corporate purposes | 256.4 | 256.4 | – | | Total | 2,564.0 | 2,216.2 | 347.8 | - The unutilized net proceeds of approximately **HKD 347.8 million** were intended for the development of upstream operations, but the timeline is expected to be further postponed to **end-2027** due to market conditions[72](index=72&type=chunk) 4.4.5 [Significant Acquisitions and Disposals](index=22&type=section&id=4.4.5%20Significant%20Acquisitions%20and%20Disposals) The Group did not undertake any significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the reporting period - During the reporting period, the Group did not undertake any significant acquisitions or disposals of subsidiaries, associates, or joint ventures[74](index=74&type=chunk) 4.4.6 [Pledged Assets](index=23&type=section&id=4.4.6%20Pledged%20Assets) As of June 30, 2025, certain bank loans of the Group were secured by its assets - As of June 30, 2025, certain bank loans of the Group were secured by its assets[75](index=75&type=chunk) 4.4.7 [Foreign Currency Exchange Risk](index=23&type=section&id=4.4.7%20Foreign%20Currency%20Exchange%20Risk) Some of the Group's assets are denominated in foreign currencies like USD and HKD, and while no hedging policy is currently in place, management continuously monitors exchange rate risk - Certain assets of the Group are denominated in foreign currencies such as **USD and HKD**[76](index=76&type=chunk) - The Group currently does not have any foreign currency hedging policy in place, but management continuously monitors foreign currency exchange risk[76](index=76&type=chunk) 4.4.8 [Financial Policies](index=23&type=section&id=4.4.8%20Financial%20Policies) The Group adopts a conservative financial management policy, mitigating credit risk through continuous credit assessment and monitoring liquidity to meet funding needs - The Group adopts a conservative financial management policy, striving to mitigate credit risk through continuous credit assessment of customers[77](index=77&type=chunk) - The Board of Directors closely monitors the Group's liquidity position to ensure that the liquidity structure of the Group's assets, liabilities, and commitments can meet its funding requirements[77](index=77&type=chunk) 4.4.9 [Capital Commitments and Contingent Liabilities](index=23&type=section&id=4.4.9%20Capital%20Commitments%20and%20Contingent%20Liabilities) As of June 30, 2025, the Group's capital commitments totaled RMB 56.7 million, primarily for new farm construction and facility upgrades, with no significant contingent liabilities Capital Commitments (As of June 30) | Item | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Capital commitments | 56.7 | 10.8 | 425.0% | - Capital commitments are primarily for the construction of new farms and the upgrade of existing facilities[78](index=78&type=chunk) - As of June 30, 2025, the Group had no significant contingent liabilities[78](index=78&type=chunk) 4.5 [Employees and Remuneration Policy](index=23&type=section&id=4.5%20Employees%20and%20Remuneration%20Policy) As of June 30, 2025, the Group had 2,339 employees with total remuneration and staff costs of RMB 141.6 million, offering various benefits and training Employee Numbers and Remuneration Costs (As of June 30) | Indicator | 2025 | 2024 | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Number of employees | 2,339 | 2,375 | -1.5% | | Remuneration and staff costs (RMB millions) | 141.6 | 177.4 | -20.2% | - Employee remuneration is determined by job type, level, and years of service, with employees enjoying social security benefits, housing provident fund, and on-the-job training[80](index=80&type=chunk) - Remuneration for directors and senior management is linked to the Group's performance and is regularly reviewed by the Board's Remuneration Committee, considering time commitment, responsibilities, comparable salaries, and Group performance[81](index=81&type=chunk) V. [Other Information](index=24&type=section&id=V.%20Other%20Information) Covers additional disclosures including post-reporting period events, dealings in listed securities, corporate governance practices, and information dissemination 5.1 [Events After Reporting Period](index=24&type=section&id=5.1%20Events%20After%20Reporting%20Period) There were no significant events after the reporting period and up to the date of this announcement - There were no significant events after the reporting period and up to the date of this announcement[82](index=82&type=chunk) 5.2 [Dealings in Listed Securities](index=24&type=section&id=5.2%20Dealings%20After%20Reporting%20Period) During the reporting period, neither the company nor its subsidiaries redeemed, purchased, or sold any listed shares, and no treasury shares were held - During the reporting period, the Company did not redeem any of its shares listed on the Stock Exchange, and neither the Company nor any of its subsidiaries purchased or sold any such shares[83](index=83&type=chunk) - As of June 30, 2025, the Company did not hold any treasury shares[83](index=83&type=chunk) 5.3 [Corporate Governance](index=24&type=section&id=5.3%20Corporate%20Governance) The Group maintains high corporate governance standards, complying with the Code, with combined Chairman and CEO roles ensuring stable leadership and efficient decision-making 5.3.1 [Compliance with Corporate Governance Code](index=24&type=section&id=5.3.1%20Compliance%20with%20Corporate%20Governance%20Code) The company complied with the Corporate Governance Code, with the Chairman and CEO roles combined to ensure stable leadership and efficient decision-making, balanced by independent non-executive directors - The Company has complied with all code provisions of the Corporate Governance Code as set out in Appendix C1 to the Listing Rules, except for code provision C.2.1 which stipulates that the roles of chairman and chief executive should be separate and not performed by the same individual[84](index=84&type=chunk) - Following Mr. Zhao Hongliang's resignation, Mr. Zhang Yongjiu, an executive director and chief executive officer, was appointed as Chairman and a member of the Remuneration Committee on the same day[85](index=85&type=chunk) - The Board believes that vesting the roles of Chairman and Chief Executive Officer in the same person ensures strong and stable leadership for the Group, making the planning and execution of business decisions and strategies more effective and efficient[85](index=85&type=chunk) - With three independent non-executive directors providing independent perspectives, the Board believes there are sufficient safeguards to ensure that the balance of power within the Board is adequately maintained[86](index=86&type=chunk) 5.3.2 [Compliance with Model Code](index=25&type=section&id=5.3.2%20Compliance%20with%20Model%20Code) The company adopted the Model Code for Securities Transactions by Directors of Listed Issuers, and all directors confirmed compliance during the reporting period - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 to the Listing Rules as its own code of conduct regarding dealings in the Company's securities by directors[87](index=87&type=chunk) - All directors confirmed their compliance with the Model Code throughout the reporting period[87](index=87&type=chunk) 5.3.3 [Audit Committee and Independent Auditor](index=26&type=section&id=5.3.3%20Audit%20Committee%20and%20Independent%20Auditor) The Audit Committee, comprising three independent non-executive directors, reviewed the interim results, which were also reviewed by Ernst & Young in accordance with HKSRS 2410 - The Audit Committee comprises all three independent non-executive directors, namely Mr. Meng Jingzong, Mr. Zhang Yuezhou, and Ms. Liu Jinping, with Mr. Meng serving as the Chairman of the Audit Committee[88](index=88&type=chunk) - The Company's unaudited condensed consolidated interim results for the reporting period and this announcement have been reviewed by the Audit Committee[88](index=88&type=chunk) - The Group's unaudited interim condensed consolidated financial information for the reporting period has been reviewed by the independent auditor, Ernst & Young, in accordance with Hong Kong Standard on Review Engagements 2410 issued by the Hong Kong Institute of Certified Public Accountants[88](index=88&type=chunk) 5.4 [Information Disclosure](index=26&type=section&id=5.4%20Information%20Disclosure) This announcement is published on the HKEX and company websites, and the interim report will be published and dispatched to shareholders as required by Listing Rules - This announcement is published on the website of the Stock Exchange (www.hkexnews.hk) and the Company's websites (www.ystdfarm.com and www.ystdairyfarm.com) respectively[89](index=89&type=chunk) - The interim report for the reporting period will be published on the websites of the Stock Exchange and the Company, and dispatched to shareholders in due course as required by the Listing Rules[89](index=89&type=chunk)

Group 1 - The independent non-executive director Zhu Zhanbo has resigned from his position effective August 20, 2025, due to other commitments [1] - During his tenure, Zhu held multiple roles including chairman of the nomination committee, member of the audit committee, and member of the remuneration committee [1] - Liu Jinping has been appointed as the new chairman of the nomination committee and member of the remuneration committee to ensure continuity and stability in the company's governance structure [1] Group 2 - The company emphasizes that this personnel change will not affect the normal operation of the board or the implementation of its strategy [1] - The company will continue to adhere to good governance principles and steadily advance its business development [1]

Core Viewpoint - The company announced the resignation of Mr. Zhu Zhanbo as an independent non-executive director, effective from August 20, 2025, due to other commitments requiring more of his time and energy [1] Company Summary - Mr. Zhu Zhanbo's resignation is attributed to the need for increased time and energy for other arrangements [1]