Financial Performance - For the six months ended June 30, 2019, the revenue was approximately RMB 254.8 million, an increase of about 0.2% or RMB 0.6 million compared to the same period in 2018[5]. - The gross profit for the same period was approximately RMB 55.2 million, a decrease of about 13.1% or RMB 8.3 million compared to the previous year[5]. - The gross profit margin was approximately 21.6%, down about 3.3% from approximately 24.9% in the same period of 2018[5]. - The profit attributable to owners of the company changed from a profit of approximately RMB 16.1 million for the six months ended June 30, 2018, to a loss of approximately RMB 7.8 million for the same period in 2019[5]. - The group’s revenue for the six months ended June 30, 2019, was approximately RMB 254.8 million, an increase of about 0.2% compared to the same period in 2018[18]. - The gross profit decreased by approximately 13.1% to about RMB 55.2 million, with a gross profit margin dropping from approximately 24.9% to about 21.6% due to rising raw material costs[19]. - The company recorded a loss attributable to owners of approximately RMB 7.8 million, compared to a profit of RMB 16.1 million in the same period last year[26]. - The company reported a comprehensive loss of RMB 8,350 thousand for the period, compared to a comprehensive income of RMB 18,382 thousand in 2018[60]. - Basic and diluted loss per share was RMB (0.026), compared to earnings per share of RMB 0.054 in the same period last year[60]. - The company reported a net loss of RMB 7,836 thousand for the six months ended June 30, 2019, compared to a profit of RMB 16,051 thousand in the same period of 2018, indicating a significant downturn[63]. Operational Changes - The average turnover days for trade receivables decreased from about 99 days at the end of 2018 to approximately 76 days for the six months ended June 30, 2019[5]. - The average turnover days for trade payables increased from about 260 days at the end of 2018 to approximately 279 days for the same period in 2019[6]. - The company plans to focus on upgrading its product mix to mid-to-high-end paper cigarette packaging to meet consumer demand[9]. - The company aims to explore new business and revenue sources and will actively develop international trade business[10]. - In July 2019, the company changed its name from "Travel International Holdings Limited" to "Jia Yao Holdings Limited" to seek new opportunities for business diversification[10]. - The company will closely monitor and actively respond to any changes in tobacco control policies and regulations in China[10]. - The company is committed to investing in machinery and equipment to enhance production facilities and ensure productivity meets international standards[15]. - The group emphasizes product design and technology development to strengthen its competitive edge in the market[16]. - The company is actively seeking new business opportunities and expanding into international trade, particularly in the Asian mobile accessories market[12]. - The company plans to enhance product development and design to attract younger consumers, focusing on high-end cigarette packaging as a primary revenue source[41]. - The company aims to expand its business into new areas, including international trade, to drive future growth[41]. Financial Position - Total assets decreased to RMB 643,506 thousand as of June 30, 2019, down 17.83% from RMB 782,970 thousand at the end of 2018[61]. - Total liabilities decreased to RMB 398,382 thousand, down 24.83% from RMB 529,496 thousand at the end of 2018[62]. - Cash and cash equivalents decreased to RMB 123,896 thousand from RMB 212,527 thousand, a decline of 41.73%[61]. - Inventory decreased to RMB 121,113 thousand, down 21.87% from RMB 154,984 thousand in the previous year[61]. - The company maintained a healthy current asset net of approximately RMB 57.4 million as of June 30, 2019, compared to RMB 58.0 million at the end of 2018[29]. - Interest-bearing borrowings decreased from RMB 140.8 million to RMB 134.4 million, with a debt ratio of 4.1% as of June 30, 2019[30]. - Trade and other receivables decreased by approximately 5.2% from RMB 133.9 million to RMB 127.0 million, with trade receivables dropping from RMB 113.8 million to RMB 63.1 million[27]. - Trade and other payables decreased by approximately 32.4% from RMB 384.9 million to RMB 260.0 million, with trade payables falling from RMB 189.4 million to RMB 86.6 million[28]. - The company’s retained earnings decreased to RMB 30,214 thousand as of June 30, 2019, down from RMB 38,050 thousand at the beginning of the year, a decline of approximately 20.5%[63]. - The company’s total liabilities secured by land use rights and property, plant, and equipment amounted to RMB 25,000,000 as of June 30, 2019[94]. Cost and Expenses - Distribution costs increased by approximately 15.4% to about RMB 23.3 million, primarily due to increased customer hospitality expenses during market expansion activities in China[20]. - Administrative expenses rose by approximately 21.5% to about RMB 33.6 million, mainly due to increased spending on new product research and development[21]. - Total operating expenses for the six months ended June 30, 2019, were RMB 256,562,000, an increase of 7.43% from RMB 238,676,000 in 2018[84]. - The cost of inventory for the six months ended June 30, 2019, was RMB 178,622,000, up from RMB 157,784,000 in 2018, reflecting an increase of 13.16%[84]. - The total employee cost for the first half of 2019 was approximately RMB 35.5 million, a decrease from RMB 41.6 million in the same period of 2018[39]. Shareholder Information - The company’s major shareholders include Mr. Yang, holding approximately 69.79% of the shares, and Mr. Feng, holding about 5.21%[42]. - The company has adopted a share option scheme allowing a maximum of 30,000,000 shares to be granted, which is 10% of the shares issued at the time of listing[49]. - No share options have been granted, exercised, cancelled, or lapsed under the share option scheme since its adoption until the report date[50]. - As of June 30, 2019, the company had a total of 300,000,000 shares issued, with major shareholders holding significant stakes, including Spearhead Leader with 69.79% and Star Glide Limited with 5.21%[46][47]. Governance and Compliance - The company has complied with the corporate governance code as per the listing rules during the six months ending June 30, 2019[53]. - The audit committee, consisting of three independent non-executive directors, reviewed the interim financial results, ensuring compliance with applicable accounting standards and regulations[55]. - The company has not adopted any new accounting standards that would have a significant impact on its financial statements for the period[69]. Other Financial Metrics - Government grants for the six months ended June 30, 2019, amounted to RMB 2,817,000, compared to RMB 840,000 in 2018, representing a significant increase of 235.71%[82]. - The company incurred a total comprehensive loss of RMB 8,011 thousand for the six months ended June 30, 2019, compared to a total comprehensive income of RMB 18,335 thousand in the same period of 2018[63]. - The company reported a significant decrease in property, plant, and equipment, with a value of RMB 20,238 thousand as of June 30, 2019, down from RMB 30,921 thousand as of December 31, 2018, representing a decline of 34.5%[109].

Financial Performance - For the year ended December 31, 2018, the company's revenue was approximately RMB 567.1 million, an increase of about 7.0% or RMB 37.1 million compared to 2017[18]. - The gross profit for the same period was approximately RMB 122.5 million, representing a year-on-year increase of about 4.5% or RMB 5.3 million[18]. - The profit attributable to owners of the company surged approximately 461.8% to about RMB 13.0 million, an increase of RMB 10.7 million compared to the previous year[18]. - The company's revenue for the year ended December 31, 2018, was approximately RMB 567.1 million, representing a 7.0% increase compared to the previous year[32]. - The gross profit increased by approximately 4.5% to about RMB 122.5 million, with a gross margin of approximately 21.6%, down from 22.1% in the previous year[33]. - Distribution costs rose by approximately 16.5% to about RMB 38.8 million, primarily due to increased marketing expenses related to expanding into new markets in China[34]. - Administrative expenses decreased by approximately 0.7% to about RMB 59.8 million, reflecting cost control measures[35]. - Other income increased by approximately RMB 3.6 million to about RMB 3.9 million, mainly due to increased government subsidies[36]. - Financing costs decreased by approximately 29.5% to about RMB 4.7 million, attributed to a reduction in bank loan interest[38]. - The company's profit attributable to owners increased by approximately 461.8% from RMB 2.3 million in 2017 to RMB 13.0 million in 2018[41]. - The company reported a total comprehensive income of RMB 15,820 thousand for 2018, compared to RMB 6,386 thousand in 2017, indicating a substantial increase[190]. Cash Flow and Investments - As of December 31, 2018, the group maintained a cash and cash equivalents balance of approximately RMB 212.5 million, up from RMB 193.9 million in 2017[44]. - The group’s capital expenditure totaled approximately RMB 56.2 million in 2018, a significant increase from RMB 7.5 million in 2017[46]. - Operating cash flow for the year ended December 31, 2018, was RMB 210,360,000, a significant increase from RMB 74,825,000 in 2017, representing a growth of 180.5%[197]. - Cash used in investing activities amounted to RMB 46,903,000, compared to RMB 14,177,000 in 2017, reflecting a rise of 230.5%[197]. - The company made significant investments in property, plant, and equipment, totaling RMB 17,611,000, compared to RMB 5,956,000 in the previous year, indicating a rise of 196.5%[197]. Operational Efficiency - The average turnover days for trade receivables decreased from approximately 146 days in 2017 to about 99 days in 2018[18]. - The average turnover days for trade payables increased from approximately 245 days in 2017 to about 260 days in 2018[19]. - The average inventory turnover days rose from approximately 114 days in 2017 to about 125 days in 2018[19]. - The company has successfully reduced production costs through internal production optimization measures and negotiations with key paper suppliers[24]. - The company is committed to investing in machinery and equipment to enhance production capabilities and maintain international standards[28]. Corporate Governance - The company has adhered to the corporate governance code as stipulated in the Listing Rules, confirming compliance for the year ending December 31, 2018[71]. - The board consists of six members, including one executive director, two non-executive directors, and three independent non-executive directors, ensuring compliance with corporate governance standards[74]. - The independent non-executive directors have confirmed their independence according to the standards set out in the Listing Rules, ensuring effective independent judgment[76]. - The company has established an audit committee, a remuneration committee, and a nomination committee to oversee various responsibilities[88]. - The company emphasizes the importance of good corporate governance for effective accountability[170]. Employee and Social Responsibility - The group employed 850 staff as of December 31, 2018, compared to 788 staff in 2017, with total employee costs amounting to approximately RMB 86.8 million[51]. - The company actively invests in employee development, providing various training programs to enhance skills and team performance[113]. - The company has a strict policy against forced labor and child labor, with no violations reported during the reporting period[111]. - The company has established internal management guidelines for participating in social welfare and charitable activities[126]. - No severe industrial accidents were recorded in 2018, indicating a strong adherence to health and safety regulations[112]. Environmental Impact - The company incurred environmental protection costs of approximately RMB 1,087,000 and RMB 1,235,000 for the years ended December 31, 2018, and 2017, respectively[117]. - Total carbon dioxide emissions amounted to 2,366 tons in 2018, with nitrogen oxides emissions at 484 tons[117]. - The company generated 201 tons of hazardous waste from production and wastewater treatment in 2018, with a hazardous waste generation rate of 0.3 tons per RMB 1 million of goods sold[117]. - The company has implemented a green program to manage energy consumption, water usage, and waste production[171]. Related Party Transactions - The company has established contracts for paper supply with related parties, ensuring compliance with relevant regulations[148]. - The company has adhered to the disclosure requirements under Chapter 14A of the Listing Rules for related party transactions[149]. - The independent auditor confirmed that there were no concerns regarding related party transactions exceeding their respective annual caps[139]. Future Plans and Market Strategy - The company aims to expand its product range and increase market share in the mid-to-high-end cigarette packaging market[23]. - The company plans to restore public float by selling shares to independent third parties, with the process expected to commence after the announcement of the annual results for the year ending December 31, 2018[56]. - The company aims to enhance product design and innovation in response to increasing regulations on cigarette consumption, focusing on attracting younger consumers and solidifying market competitiveness[57]. - The company intends to expand into the Guangxi market, aiming to become an approved supplier of paper cigarette packaging in that region, while also establishing offices near major clients to facilitate business development[57].