Revenue Growth - The group's revenue increased by approximately 188.9% from RMB 0.9 million in the six months ended June 30, 2022, to RMB 2.6 million in the six months ended June 30, 2023, primarily due to the gradual recovery of events post-COVID-19[10]. - Revenue for the six months ended June 30, 2023, was RMB 2,571,000, compared to RMB 897,000 for the same period in 2022, representing a significant increase of 187%[116]. - The revenue from the event operation and marketing segment increased by 80.0% from RMB 0.5 million to RMB 0.9 million, while the sports services segment revenue surged by 325.0% from RMB 0.4 million to RMB 1.7 million[10]. Cost and Expenses - The service costs rose by about 366.7% from RMB 0.6 million to RMB 2.8 million during the same period, attributed to the increase in the number of events operated[10]. - General and administrative expenses increased by approximately 59.9% from RMB 13.2 million for the six months ended June 30, 2022, to RMB 21.1 million for the six months ended June 30, 2023[12]. - Sales and distribution expenses decreased by approximately 63.6% from RMB 1.1 million to RMB 0.4 million, mainly due to adjustments in the sales personnel structure and optimization of labor costs[11]. Profitability and Loss - The group recorded a gross loss of RMB 0.2 million for the six months ended June 30, 2023, compared to a gross profit of RMB 0.3 million for the same period in 2022, resulting in a gross loss margin of 7.7%[11]. - The net loss for the period was RMB 6,375,000, compared to a net loss of RMB 32,102,000 for the same period in 2022, indicating a reduction in losses[86]. - The pre-tax loss decreased by 75.0% from RMB 25.6 million to RMB 6.4 million for the six months ended June 30, 2023[16]. Cash Flow and Assets - Cash and cash equivalents increased to approximately RMB 206.1 million as of June 30, 2023, from RMB 172.4 million as of December 31, 2022[20]. - Current assets net increased by approximately 15.2% from RMB 253.8 million to RMB 292.4 million as of June 30, 2023[21]. - The company reported a net cash outflow from operating activities of RMB (5,741) thousand, an improvement compared to RMB (27,663) thousand in the previous year[96]. Investments and Financial Assets - Other income rose by approximately 147.8% from RMB 2.3 million to RMB 5.7 million, primarily due to returns from financial products purchased from reputable financial institutions and increased interest income from short-term bank deposits in USD and GBP[13]. - The company has a total of RMB 18,409,000 in financial assets measured at fair value through profit or loss as of June 30, 2023, up from RMB 13,108,000 as of December 31, 2022, marking an increase of about 40.5%[146]. - The fair value of non-listed equity securities measured at fair value through other comprehensive income increased to RMB 63,259,000 as of June 30, 2023, from RMB 62,349,000 at the end of 2022[114]. Employee Costs - Total employee cost for the six months ended June 30, 2023, was RMB 9.0 million, slightly up from RMB 8.9 million for the same period in 2022[48]. - Employee costs, including salaries and bonuses, amounted to RMB 8,855,000 for the six months ended June 30, 2023, compared to RMB 2,188,000 in 2022, marking an increase of 304%[133]. - For the six months ended June 30, 2023, the total remuneration for directors and key management personnel was RMB 8,252,000, an increase of 380.23% compared to RMB 1,720,000 for the same period in 2022[158]. Future Outlook - The second half of 2023 is expected to be busy with multiple events scheduled, including Nanchang Marathon and Dalian Marathon, with ongoing preparations and negotiations for additional events[7]. - The group aims to expand its event operation rights and diversify its product offerings to better meet the needs of different types of sports enthusiasts[7]. - The overall trend in the sports industry is positive, with expectations of recovery to pre-pandemic levels, driven by events like the Chengdu Universiade and Hangzhou Asian Games[7].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 WISDOM SPORTS GROUP 智美體育集團 （於開曼群島註冊成立的有限公司） （股份代號：1661） 截至2023年6月30日止6個月中期業績公告 財務摘要 智美體育集團（「本公司」或「智美」）董事（「董事」）會（「董事會」）謹此發佈本公司及其附屬 公司（統稱「本集團」）截至2023年6月30日止6個月期間的未經審核合併中期業績連同2022 年同期的比較數字。 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 WISDOM SPORTS GROUP 1661 (1) 有關截至2022年12月31日止年度之年度報告的補充公告； (2) 有關提供貸款的須予披露及主要交易； 及 (3) 根據上市規則第13.13條作出披露 謹此提述智美體育集團（「本公司」）於2023年4月26日刊發的截至2022年12月31日止年度的 年度報告（「年報」）。除本公告另行定義或文義另有指明外，本公告所用詞彙與年報所界 定者具有相同涵義。 除年報中提供的資料外，本公司董事會（「董事會」）謹此就截至2022年12月31日止年度於 聯營公司的投資減值虧損的相關披露提供額外資料。 於聯營公司的權益減值虧損 ...

COVID-19 Impact and Recovery - In 2022, the company faced significant challenges due to the COVID-19 pandemic, leading to the cancellation or postponement of offline marathon events, impacting overall performance [8]. - The company reported a significant impact on its operations due to the pandemic, with a focus on adapting to new market conditions and consumer behaviors [10]. - The company anticipates a gradual recovery in the sports industry, with a focus on health and fitness as public interest in physical well-being increases [11]. - The recovery of profitability is expected to require multiple cycles, with a focus on diversifying sponsorship sources due to the impact of the pandemic on existing sponsors [105]. - The company believes that the sales market in the sports industry will rebound after the COVID-19 pandemic [136]. Business Strategy and Diversification - The company aims to diversify its business by exploring various sports-related services and products to meet consumer demands in the post-pandemic era [9]. - The company is actively preparing for events scheduled for 2023, including marathons that were postponed due to pandemic restrictions [10]. - The company is exploring new strategies to increase its resilience against market fluctuations and enhance its service offerings [9]. - New business expansion efforts are being approached cautiously to minimize initial capital investment while ensuring thorough market research [105]. - The company aims to expand the consumer market in sports and health sectors while continuously exploring product development and market research [136]. Financial Performance - The company's revenue decreased approximately 59.0% from RMB 12.2 million for the year ended December 31, 2021, to RMB 5.0 million for the year ended December 31, 2022, primarily due to the severe impact of the COVID-19 pandemic on the sports industry [13]. - The service costs dropped about 87.9% from RMB 12.4 million for the year ended December 31, 2021, to RMB 1.5 million for the year ended December 31, 2022, also due to the pandemic's impact [13]. - The gross profit for the year ended December 31, 2022, was RMB 3.5 million, compared to a gross loss of RMB 0.2 million for the year ended December 31, 2021, resulting in a gross margin of 70.0% [14]. - The net loss attributable to the company’s owners increased about 58.0% from RMB 47.8 million for the year ended December 31, 2021, to RMB 75.5 million for the year ended December 31, 2022 [21]. - Cash and cash equivalents as of December 31, 2022, were approximately RMB 172.4 million, compared to RMB 127.4 million as of December 31, 2021 [22]. Corporate Governance - The company has maintained compliance with the corporate governance code throughout the year ending December 31, 2022 [49]. - The board of directors held four meetings throughout the year, ensuring effective leadership and oversight of the company's affairs [53]. - The company has established three committees: the Audit Committee, the Remuneration Committee, and the Nomination Committee, to oversee specific aspects of corporate governance [72]. - The board includes at least three independent non-executive directors, meeting the requirement of being at least one-third of the board [55]. - Continuous professional development was provided to all directors, covering corporate governance, regulatory updates, financial and accounting knowledge, and industry updates [67]. Environmental, Social, and Governance (ESG) Initiatives - The company has set carbon reduction targets compared to the 2019 baseline, aiming for a 1% reduction in air emissions by 2025, 2% by 2027, and 3% by 2030 [158]. - The board is committed to integrating climate-related issues and ESG factors into long-term business strategy planning [142]. - The company reported a total greenhouse gas (GHG) emissions of 35.06 tons CO2 equivalent in 2022, a decrease of 37% from 55.83 tons in 2021 [163]. - The company has implemented measures to reduce emissions, such as encouraging employees to use trains for business trips under 1,300 kilometers [167]. - The company aims to enhance internal policies and improve ESG management and performance through active communication with stakeholders [156]. Employee Management and Turnover - The employee turnover rate for 2022 was 26.67%, with a breakdown of 27.27% for males and 25.00% for females [198]. - The total number of employees as of December 31, 2022, was 15, with 14 being full-time employees [198]. - The group provided competitive compensation and benefits, including retirement insurance and basic medical insurance [199]. - The employee turnover rate during the reporting period was calculated as 15 employees who left divided by the total number of employees at the end of the reporting period [200].

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。 WISDOM SPORTS GROUP 智美體育集團 （於開曼群島註冊成立的有限公司） （股份代號：1661） 截至2022年12月31日止年度之全年業績公告 合併業績 智美體育集團（「本公司」）董事（「董事」）會（「董事會」）謹此公佈本公司及其附屬公司（統稱 「本集團」）截至2022年12月31日止年度（「報告期間」）經審核合併業績如下： ...

Revenue Performance - Revenue for the first half of 2022 decreased by approximately 25.0% to RMB 0.9 million from RMB 1.2 million in the same period of 2021[14] - Revenue from the event operation and marketing segment fell by about 37.5% to RMB 0.5 million, primarily due to ongoing pandemic impacts limiting sponsorship opportunities[14] - The sports services segment reported revenue of RMB 0.4 million, remaining stable compared to the previous year[14] - For the six months ended June 30, 2022, the company reported revenue of RMB 897,000, a decrease from RMB 1,238,000 for the same period in 2021, representing a decline of approximately 27.5%[89] - Event operation and marketing revenue was RMB 453,000, down 45.8% from RMB 835,000 in the prior year[143] - Sports service revenue increased by 10.2% to RMB 444,000 from RMB 403,000 in the previous year[143] Cost Management - Service costs decreased by approximately 50.0% to RMB 0.6 million from RMB 1.2 million in the same period of 2021[15] - The event operation and marketing segment's costs increased to RMB 0.6 million, attributed to costs incurred during the preparation period for events[15] - The sports services segment's costs dropped to zero, reflecting reduced costs associated with online marathons[15] - Sales and distribution expenses decreased by approximately 35.3% from RMB 1.7 million to RMB 1.1 million, primarily due to cost optimization amid the impact of COVID-19[19] - General and administrative expenses reduced by approximately 14.3% from RMB 15.4 million to RMB 13.2 million, attributed to enhanced daily expense management[20] - Total employee costs for the six months ended June 30, 2022, were RMB 2.6 million, down from RMB 4.8 million as of December 31, 2021[44] Profitability and Losses - The group's gross profit increased from RMB 0 to approximately RMB 0.3 million, with a gross margin rising from 0.0% to about 33.3% for the six months ended June 30, 2022[18] - The group's loss before tax increased by approximately 5.8% from RMB 24.2 million to RMB 25.6 million for the six months ended June 30, 2022[24] - Loss attributable to the owners of the company increased by approximately 50.7% from RMB 21.3 million to RMB 32.1 million[26] - The total comprehensive loss for the period was RMB 32,112,000, compared to a loss of RMB 5,576,000 in the same period last year, indicating a significant increase in losses[91] - The operating loss for the period was RMB 24,342,000, slightly improved from a loss of RMB 24,508,000 in the prior year[89] Cash Flow and Assets - As of June 30, 2022, the group's cash and cash equivalents were approximately RMB 138.6 million, up from RMB 127.4 million as of December 31, 2021[27] - The group's net current assets increased by approximately 8.5% from RMB 293.5 million to RMB 318.5 million, indicating stable working capital[28] - The current ratio as of June 30, 2022, was 709.5%, an increase from 661.6% as of December 31, 2021[42] - Total assets decreased to RMB 554,474 thousand from RMB 586,595 thousand, representing a decline of approximately 5.5%[94] - Current assets increased to RMB 370,707 thousand, compared to RMB 345,735 thousand, reflecting a growth of approximately 7.2%[94] - Cash and cash equivalents rose to RMB 138,583 thousand from RMB 127,443 thousand, marking an increase of about 8.9%[94] Shareholder and Equity Information - The company’s major shareholder, Ren Wen, holds 37.84% of the shares, with an additional 6.20% held through controlled corporations[51] - As of June 30, 2022, major shareholders hold a total of 602,780,000 shares, representing approximately 37.84% of the company's equity[61] - The total equity attributable to owners decreased to RMB 502,223 thousand from RMB 534,335 thousand, a decline of approximately 6.0%[96] - The company has a stock option plan that allows for the issuance of up to 160,000,000 shares, which is 10% of the total issued shares post-global offering[66] Financial Instruments and Fair Value - The company’s investment in financial assets at fair value through profit or loss decreased to RMB 48,574 thousand from RMB 59,356 thousand, a decline of approximately 18.2%[94] - The fair value of financial assets classified as other comprehensive income for non-listed equity securities was RMB 62,919 thousand as of June 30, 2022[129] - The fair value of financial assets classified as profit or loss included listed equity securities valued at RMB 23,105 thousand and wealth management products valued at RMB 25,469 thousand[129] - The group reported a fair value loss of RMB (1,873,000) on listed equity securities during the reporting period[150] Taxation and Deferred Tax - The income tax expense for the six months ended June 30, 2022, was RMB 6.5 million, compared to an income tax credit of RMB 2.9 million for the same period in 2021[25] - The company recognized a deferred tax expense of RMB 6,501,000 for the period, compared to a tax credit of RMB 2,898,000 for the same period in 2021[166] Employee and Operational Information - The company had 12 employees, a decrease from 16 employees as of December 31, 2021[44] - The company incurred employee costs of RMB 2,188,000 for salaries, bonuses, and allowances during the period, a decrease from RMB 2,546,000 in the same period of 2021[169] Future Outlook and Strategic Initiatives - The company is actively preparing for the Nanchang Marathon online event and is in discussions for the resumption of offline events in the second half of the year[11] - The management expresses optimism for the future of the sports industry, anticipating recovery and growth post-pandemic[11] - The company aims to optimize and control costs while seeking stable financial returns through self-managed investments[11]

Event Operations and Market Expansion - In 2021, the total number of marathon events significantly decreased, with fewer than 15 large-scale events successfully held due to the pandemic[9]. - The company faced losses from costs incurred for five major marathon events that were postponed or canceled during the year[9]. - The company actively expanded online events to meet participant demand and strengthen brand influence during the pandemic[10]. - The company collaborated with local governments to explore other sports events beyond marathons, including basketball and hiking, to capture new business opportunities[10]. - The company initiated online marathon events in October to December 2021, including Nanchang, Tumushuke, and Shenzhen marathons, while retaining rights for offline events[15]. - The company signed service agreements with Nanchang and Tumushuke cities to ensure its event rights and business interests were protected[15]. - The company has established a comprehensive cooperation with local governments in the southern Xinjiang region for sports cultural activities, including youth training and sports venue operations[16]. - The company aims to enhance industry integration by collaborating with other event operators and media units to reduce operational costs and expand revenue channels[16]. - The company believes that the normalization of the pandemic and successful hosting of the Winter Olympics will lead to a recovery and rapid development of the sports industry[13]. - The company is focused on improving its operational capabilities and professional standards to provide better products and services to sports consumers[13]. - The company has successfully operated over 200 large-scale city marathon events, becoming the largest industry operator in China and globally[144]. Financial Performance - The group's revenue increased by approximately 37.1% from RMB 8.9 million for the year ended December 31, 2020, to RMB 12.2 million for the year ended December 31, 2021[21]. - The revenue from the event operation and marketing segment rose by 120.0% to RMB 9.1 million, while the sports services segment revenue decreased by approximately 62.2% to RMB 3.1 million due to the sale of a subsidiary[21]. - The group's service costs increased by approximately 33.3% from RMB 9.3 million to RMB 12.4 million, with the event operation and marketing segment's costs rising to RMB 12.2 million[24]. - The gross loss decreased by approximately 50.0% to RMB 0.2 million, with a gross loss margin of about 1.6% for the year ended December 31, 2021[25]. - Other income increased by approximately 9.0% to RMB 19.4 million, primarily due to interest income from financial assets triggering redemption clauses[28]. - The group's net loss attributable to owners increased by 1.8% to RMB 47.8 million for the year ended December 31, 2021[33]. - Cash and cash equivalents were approximately RMB 127.4 million as of December 31, 2021, down from RMB 137.7 million a year earlier[34]. - The group's current assets decreased by approximately 8.2% to RMB 293.5 million, while maintaining sufficient working capital for daily operations[35]. - Capital expenditures for property, plant, and equipment totaled RMB 1.2 million, significantly down from RMB 58.5 million in the previous year[36]. Risk Management and Compliance - The company aims to identify, assess, and manage all existing and future significant risks to maintain them within acceptable levels[110]. - The company has implemented a risk management framework that includes risk identification, assessment, management measures, and monitoring[111]. - The operational risk related to the COVID-19 pandemic has significantly impacted the company's main business of event operations and marketing[114]. - The company is cautious in expanding new business areas, avoiding large upfront investments without thorough market research[114]. - The company has established a risk monitoring mechanism to ensure compliance with external regulations and internal policies[110]. - The company reported a stable trend in operational risks, while new business expansion risks are increasing[114]. - The internal audit function is responsible for coordinating risk identification and assessment procedures[108]. - The company aims to enhance financial performance by diversifying its revenue sources through low-risk financial and investment strategies[114]. - The board is responsible for evaluating and determining the major risks annually and monitoring the effectiveness of risk management systems[108]. - The company has implemented a risk management and internal control system that is deemed effective and sufficient as of December 31, 2021, with no significant issues affecting financial monitoring or compliance identified[119]. Corporate Governance - The board of directors held four meetings during the year ended December 31, 2021[68]. - The company has adopted the standard code for securities transactions as per Listing Rule Appendix 10, confirming compliance by all directors for the year ended December 31, 2021[65]. - The remuneration range for directors and senior management members was between 0 to HKD 1,000,000 for the year ended December 31, 2021[84]. - The company has received annual written confirmations regarding the independence of independent non-executive directors as per Listing Rule 3.13[70]. - All independent non-executive directors have confirmed their independence and have no significant connections with other directors[70]. - The company has implemented a continuous professional development program for all directors, ensuring they stay updated on their responsibilities and the company's operations[79]. - The board believes that high standards of corporate governance are essential for the company's business strategy and transparency[63]. - The company has complied with the corporate governance code throughout the year ended December 31, 2021[64]. - The board is collectively responsible for the company's business strategies and performance, ensuring objective decisions are made in the company's best interest[75]. - The Audit Committee held two meetings in the year ended December 31, 2021, to review the annual financial performance and reports for the year ended December 31, 2020, and the interim financial performance for the six months ended June 30, 2021[87]. - The Remuneration Committee conducted three meetings in the year ended December 31, 2021, to review the company's remuneration policies and structures, as well as the remuneration of executive directors and senior management[91]. - The Nomination Committee held two meetings in the year ended December 31, 2021, to review the board's structure, composition, and the independence of independent non-executive directors[93]. - The company has adopted a board diversity policy aimed at maintaining a balanced and diverse board composition to achieve strategic goals and sustainable development[98]. - The Audit Committee's main responsibilities include independent review of the financial reporting process, internal controls, and risk management systems[86]. - The company has established a director nomination policy to ensure that board members possess the necessary skills, experience, and diverse perspectives[96]. - The Remuneration Committee is responsible for evaluating the performance of executive directors and approving the terms of their service contracts[91]. - The company aims to recruit a diverse range of talents and maintain a board with diverse perspectives[98]. - The Nomination Committee will review the board diversity policy periodically to ensure its effectiveness[102]. - The Audit Committee also met with external auditors twice during the year ended December 31, 2021[89]. - The board members attended all scheduled meetings, with attendance rates of 100% for the board and various committees[104]. Environmental, Social, and Governance (ESG) Initiatives - The board of directors is responsible for overseeing the company's environmental, social, and governance (ESG) issues and processes[155]. - The company has established clear short-term and long-term sustainable development visions and goals to achieve continuous emission reduction[155]. - The ESG report is based on four reporting principles: materiality, quantification, balance, and consistency[149]. - The company has adopted a dividend policy to maintain sufficient cash reserves for funding needs and future growth[138]. - The board will consider financial performance, cash flow, and other factors when declaring dividends[138]. - The company has no predetermined dividend payout ratio at present[140]. - The company encourages stakeholders to provide feedback on its ESG policies and performance[152]. - The company aims to reduce air emissions by 1% by 2025, 2% by 2027, and 3% by 2030 compared to the 2019 baseline[169]. - Energy consumption is targeted to decrease by 1% by 2025, 2% by 2027, and 3% by 2030, measured in million watt-hours[169]. - Water usage is expected to be reduced by 1% by 2025, 3% by 2027, and 5% by 2030, measured in approximate tons[169]. - Waste management is set to decrease by 1% by 2025, 3% by 2027, and 5% by 2030[169]. - The company emphasizes stakeholder engagement and regularly consults with internal and external stakeholders regarding operational and performance aspects[159]. - Key ESG issues identified include customer satisfaction, service safety, and business ethics[167]. - The company is committed to monitoring ESG performance and maintaining close communication with stakeholders for effective risk management[167]. - The company plans to establish an ESG working group or committee as necessary to prepare for future business challenges[168]. - The company strictly adheres to environmental laws in China, ensuring operations do not pose significant environmental threats[172]. - The company will track water and packaging material usage during marathon events and comply with environmental impact assessments conducted by the government[172]. - The group did not consume any gas fuel during the reporting period, resulting in no direct emissions of nitrogen oxides (NOx), sulfur oxides (SOx), or particulate matter (PM)[175]. - The total greenhouse gas (GHG) emissions for 2021 amounted to 55.83 tons of CO2 equivalent, a 103% increase from 27.43 tons in 2020, but a 34% decrease compared to 190.95 tons in 2019[176][184]. - Business travel was identified as the main source of GHG emissions, with a 274% increase in direct GHG emissions due to increased vehicle usage for marathon event preparations compared to 2020[184]. - The group disposed of a total of 0.09 tons of waste paper in 2021, a decrease from 0.15 tons in 2020 and 0.736 tons in 2019, attributed to reduced business activities during the pandemic[186][187]. - The group has implemented measures to reduce emissions, including encouraging employees to use public transportation instead of private cars and promoting the use of teleconferencing for meetings[189]. - The group plans to continue monitoring vehicle usage and optimizing data collection systems to manage emissions effectively[175]. - The group has adopted an office automation system to promote paperless operations and encourages double-sided printing and recycling of paper[192]. - The group aims to utilize new technologies and eco-friendly materials in future marathon events to minimize environmental impact[192]. - The group reported no significant incidents of non-compliance with applicable laws regarding air pollutants and greenhouse gas emissions during the reporting period[175]. - The group will continue to assess the necessity of business travel to control GHG emissions[184]. - Total energy consumption in 2021 was 93,478 kWh, a significant decrease from 143,493 kWh in 2019, reflecting a reduction of approximately 34.8%[194]. - Gasoline consumption in 2021 was 85,256 kWh, compared to 101,617 kWh in 2019, indicating a decline of about 16.1%[194]. - Office electricity intensity in 2021 was 8.7 kWh per square meter, an increase from 6.8 kWh per square meter in 2020[197]. - The total office area in 2021 was 944.42 square meters, down from 1,339.09 square meters in 2020[197]. - There were no marathon events held in 2021, compared to 12 events in 2019, impacting energy metrics related to events[196].

Event Operations and Marketing - The group successfully obtained the operation rights for the Tumushuke Marathon in May 2021, marking a significant achievement amidst ongoing pandemic challenges [11]. - The group plans to operate multiple large-scale marathons in the second half of 2021, including events in Nanchang, Shenzhen, Jinan, and Liu'an, maintaining its leading position in the domestic marathon operation sector [16]. - The group is actively communicating with local governments to explore new event opportunities and diversify its service offerings in response to the ongoing pandemic [12]. - The group emphasizes the importance of safety measures and health protocols in organizing events to ensure a safe experience for participants amid the pandemic [17]. - The group has strengthened its event safety measures in response to a tragic incident during a trail running event in Gansu Province in May 2021, highlighting the need for improved safety protocols [11]. - The group remains committed to enhancing its event execution capabilities to ensure high-quality and safe events for sports enthusiasts [15]. - The group aims to provide a variety of products and services to meet the growing demand for sports and health among consumers as the sports industry continues to develop [12]. Financial Performance - The group's revenue increased by approximately 20.0% from RMB 1.0 million for the six months ended June 30, 2020, to RMB 1.2 million for the six months ended June 30, 2021 [22]. - Revenue from the event operation and marketing segment rose from RMB 0 to RMB 0.8 million, attributed to corporate sponsorship income from online marathons held in the first half of 2021 [22]. - Revenue from the sports services segment decreased by approximately 60.0% from RMB 1.0 million to RMB 0.4 million, primarily due to the sale of a subsidiary in the second half of 2020 [22]. - The group's service costs decreased by approximately 77.4% from RMB 5.3 million to RMB 1.2 million, mainly due to the same subsidiary sale [24]. - The group recorded a gross profit of RMB 0 for the six months ended June 30, 2021, compared to a gross loss of approximately RMB 4.3 million for the same period in 2020, resulting in a gross profit margin of 0.0% [25]. - Other income increased by approximately 20.9% from RMB 6.7 million to RMB 8.1 million, mainly due to increased dividend income from a financial asset measured at fair value [28]. - The group's pre-tax loss decreased by approximately 10.0% from RMB 26.9 million to RMB 24.2 million for the six months ended June 30, 2021 [32]. - The total comprehensive income for the period was RMB (5,576) thousand, compared to RMB (15,455) thousand in the same period of 2020, showing an improvement of 63.9% [108]. - The total loss for the period was RMB 21,343,000, reflecting a slight improvement from the previous year's loss of RMB 22,984,000 [188]. Assets and Liabilities - Cash and cash equivalents were approximately RMB 136.8 million as of June 30, 2021, compared to RMB 137.7 million as of December 31, 2020 [35]. - The group's net current assets decreased by approximately 7.2% from RMB 319.8 million as of December 31, 2020, to RMB 296.8 million as of June 30, 2021 [36]. - Non-current assets totaled RMB 257,389 thousand as of June 30, 2021, an increase of 7.4% from RMB 239,979 thousand at the end of 2020 [112]. - Current assets decreased to RMB 340,807 thousand from RMB 367,922 thousand, reflecting a decline of 7.4% [112]. - The total assets of the company were RMB 598,196 thousand, down from RMB 607,901 thousand, indicating a decrease of 1.2% [112]. - Current liabilities totaled RMB 43,959 thousand, down from RMB 48,088 thousand, reflecting a decrease of 8.5% [115]. Investments and Acquisitions - The group completed the acquisition of a 49% stake in YTO Global Financial Group for HKD 53.41 million on March 26, 2021 [44][46]. - The group invested RMB 40.0 million in the Chang'an Trust Plan on April 7, 2020, and subsequently reinvested RMB 50.0 million on April 12, 2021 [47][49]. - The company invested RMB 50 million in a private equity fund managed by Ningbo Guanshi Investment Management Co., Ltd. on July 5, 2021 [93]. - On September 1, 2021, the company further invested RMB 12.5 million in another private equity fund managed by Ningbo Guanshi, indicating ongoing investment strategies [96]. Shareholder and Corporate Structure - As of June 30, 2021, the company’s major shareholder, Ren Wen, holds 602,780,000 shares, representing 37.84% of the total shares [60]. - The company has established a series of structural contracts to control Beijing Zhimei Media, as foreign investment in certain business activities is restricted under Chinese law [57]. - The company’s structural contracts transfer all economic benefits and risks from Beijing Zhimei Media to the group [57]. - The company’s major shareholders include Queen Media, which holds 602,780,000 shares, also representing 37.84% [71]. Cash Flow and Financial Management - The net cash used in operating activities was RMB (8,073) thousand, a significant improvement from RMB (30,425) thousand in the same period of 2020, representing a reduction of approximately 73% [121]. - The net cash generated from investing activities was RMB 8,118 thousand, compared to a net cash used of RMB (114,184) thousand in the prior year, indicating a turnaround in investment cash flow [121]. - The company maintains a prudent financial management policy to ensure strong liquidity for daily operations and future development [39]. - The company has not faced any significant operational or liquidity issues due to exchange rate fluctuations as of June 30, 2021 [40]. Legal and Compliance - The company is involved in ongoing legal proceedings with claims totaling approximately RMB 38 million against a subsidiary, reflecting potential financial risks [97]. - The company has received exemptions from the Stock Exchange regarding strict compliance with certain listing rules related to the structural contracts [57]. Stock Options and Dividends - The company did not declare or pay any dividends for the six months ended June 30, 2021 [89]. - As of June 30, 2021, there were no shares issued or repurchased under the stock option plan during the six months [80]. - The maximum number of shares that can be issued under the stock option plan is 160,000,000, which represents 10.04% of the total issued shares as of the mid-term report date [75].

Financial Performance - The group's revenue decreased approximately 94.4% from RMB 159.0 million in the year ended December 31, 2019, to RMB 8.9 million in the year ended December 31, 2020, primarily due to the impact of COVID-19 on sports events[27]. - Revenue from the event operation and marketing segment fell 99.1% from RMB 74.2 million in 2019 to RMB 0.7 million in 2020, while the sports services segment revenue decreased about 90.3% from RMB 84.8 million to RMB 8.2 million[29]. - The group's service costs decreased approximately 95.0% from RMB 186.7 million in 2019 to RMB 9.3 million in 2020, with event operation and marketing segment costs dropping 100% to RMB 0[30]. - The gross loss decreased about 98.6% from RMB 27.7 million in 2019 to RMB 0.4 million in 2020, with the gross loss margin reducing from 17.4% to approximately 4.5%[31]. - Other income increased approximately 0.6% from RMB 17.7 million in 2019 to RMB 17.8 million in 2020[35]. - The group's other losses decreased by approximately 97.5% from a net loss of RMB 397.9 million for the year ended December 31, 2019, to a net loss of RMB 10.0 million for the year ended December 31, 2020[36]. - The group's loss before income tax decreased by 91.8% from RMB 499.9 million for the year ended December 31, 2019, to RMB 40.9 million for the year ended December 31, 2020[37]. - The loss attributable to owners of the company decreased by 90.3% from RMB 455.1 million for the year ended December 31, 2019, to RMB 44.0 million for the year ended December 31, 2020[39]. - As of December 31, 2020, the group's cash and cash equivalents were approximately RMB 137.7 million, down from RMB 167.3 million as of December 31, 2019[40]. - The net current assets increased by approximately 2.5% from RMB 312.1 million as of December 31, 2019, to RMB 319.8 million as of December 31, 2020[41]. Business Strategy and Operations - The company focused on cost reduction and increasing investment returns to stabilize cash flow during the pandemic[11]. - The company organized two online marathon events to meet the demand of runners during the pandemic[11]. - The company anticipates a recovery in the sports event industry starting in April 2021, with a large number of events planned[12]. - The company aims to host contractually obligated events and expand into small and customized corporate events in 2021[15]. - The company is exploring business expansion opportunities in the sports industry and related sectors to mitigate risks associated with a single event operation[12]. - The company has developed strategies for event operations under the new normal of pandemic prevention, ensuring safety and health[15]. - The company has prepared to resume normal operations and is actively communicating with local governments to explore new events[12]. - The company emphasizes providing a safe and comfortable event platform for the sports community[15]. - The group is actively exploring new market opportunities in paddle sports, winter sports, and youth training for project planning in 2021[24]. - The management anticipates a gradual recovery in the sports event market post-March 2021, following successful pandemic control measures and vaccine rollout[24]. Investments and Financial Management - The company invested RMB 34 million in the Minsheng Trust Plan, expecting an annualized return of 4.7%[60]. - The company confirmed a gain of approximately RMB 271,441 from the Minsheng investment by December 31, 2020[60]. - The company made an investment of RMB 40 million in the Chang'an Trust Plan, which has since matured and been reinvested[61]. - The total gain from the Chang'an investments was approximately RMB 1,531,682, with a fair value of RMB 28.3 million as of December 31, 2020[63]. - The investment in the China-US Green Investment Fund amounted to RMB 50 million, with a fair value of RMB 60 million as of December 31, 2020, reflecting a fair value loss of RMB 6.2 million[64]. - The Chang'an investments represented about 4.66% of the company's total assets as of December 31, 2020[63]. Corporate Governance - The company adhered to the corporate governance code and maintained a high level of governance standards throughout the year[77]. - All independent non-executive directors confirmed their independence and compliance with the relevant regulations as of December 31, 2020[85]. - The company provided training for all directors to ensure they are updated on their responsibilities and the company's operations[95]. - The board includes a diverse range of expertise, enhancing its operational efficiency[90]. - The company has established appropriate insurance for directors and senior management against legal claims arising from corporate activities[92]. - The company has a structured process for the re-election of directors every three years[87]. - The board is collectively responsible for the company's strategic decisions and performance[89]. - The company has implemented a clear guideline for securities trading by employees to prevent conflicts of interest[78]. - The Audit Committee held two meetings during the year ending December 31, 2020, to review the annual financial performance and reports for the year ending December 31, 2019, and the interim financial performance for the six months ending June 30, 2020[102]. - The Remuneration Committee conducted two meetings in the year ending December 31, 2020, to review the company's remuneration policies and structures, as well as the compensation of executive directors and senior management[104]. - The Nomination Committee held two meetings during the year ending December 31, 2020, to review the board's structure, size, and composition, and to assess the independence of independent non-executive directors[108]. - The company has adopted a board diversity policy to ensure a diverse perspective at the board level, which includes considerations of gender, age, cultural background, professional qualifications, and industry experience[111]. - The Audit Committee is responsible for independent review of the group's financial reporting processes, internal controls, and risk management systems[99]. - The company aims to maintain a balanced perspective on diversity to support business growth and will review the board's composition annually[114]. - The Nomination Committee will review the board diversity policy periodically to ensure its effectiveness[116]. - The company has established three committees: Audit Committee, Remuneration Committee, and Nomination Committee, each with clear written terms of reference[98]. - The Remuneration Committee's main responsibilities include reviewing and recommending the remuneration of individual executive directors and senior management to the board[104]. - The board of directors reviewed the company's corporate governance policies and compliance with legal and regulatory requirements[119]. Risk Management - The company faced significant operational risks due to the COVID-19 pandemic, impacting its event operations and marketing business[129]. - The company is conducting market research for new business development to mitigate risks associated with its single business model[129]. - The board is responsible for assessing and determining the nature and extent of risks the company is willing to accept to achieve strategic objectives[120]. - The company has established a risk management and internal control system to manage significant risks rather than eliminate them[120]. - The audit committee assists the board in evaluating and monitoring the risk levels and the effectiveness of the risk management system[121]. - The company aims to identify, assess, and manage all existing and future significant risks within acceptable levels[125]. - The risk management process includes risk identification, assessment, management measures, and monitoring and reporting[126]. - The company is implementing cost-saving measures and low-risk financial investments to increase other revenue sources[129]. - The board concluded on the effectiveness of the risk management and internal control systems after reviewing the audit committee's work[121]. - The company is facing a risk of employee turnover due to the COVID-19 pandemic, with many employees considering other industries for income sources[132]. - The company is actively maintaining relationships with government and sponsors to mitigate customer attrition risks caused by the inability to hold events[132]. - As of December 31, 2020, the company has implemented a risk-oriented internal control evaluation covering financial reporting, fund management, and revenue processes[135]. - The company has established a quality control center responsible for internal monitoring, ensuring compliance with financial reporting and risk management[135]. - The company paid RMB 1,150,000 for audit-related services and RMB 74,000 for non-audit services for the year ending December 31, 2020[144]. - The board believes that the internal control procedures for handling and disclosing inside information are effective[137]. - The company has a closed-loop management mechanism for internal control planning, review, reporting, and follow-up[135]. - The company has not identified any significant uncertainties that may affect its ability to continue as a going concern[141]. Shareholder Relations and Communication - The company ensures that all resolutions presented at the shareholders' meeting are voted on according to listing rules[147]. - The company has established procedures for shareholders to request special meetings and submit proposals[148]. - The company emphasizes effective communication with shareholders to strengthen investor relations and enhance understanding of business performance and strategies[155]. - The company has adopted a dividend policy to maintain sufficient cash reserves for funding needs, future growth, and shareholder value[156]. - As of December 31, 2020, there were no changes to the company's articles of association[159]. Environmental, Social, and Governance (ESG) Performance - The company continues to diversify its business into areas such as sports insurance and sports beverages, aiming to integrate "real economy + finance" for long-term development[168]. - During the reporting period, the company reported significant reductions in air emissions: SOx decreased from 0.82 kg in 2019 to 0.18 kg in 2020, NOx decreased from 2.34 kg to 0.53 kg, and PM decreased from 0.41 kg to 0.06 kg[172]. - The company plans to monitor vehicle usage closely and optimize data collection systems for future emissions tracking[172]. - The company is committed to maintaining close communication with stakeholders to improve ESG performance and risk management[163]. - The company has established a shareholder communication policy to ensure shareholder concerns are addressed appropriately[155]. - The company has not set any predetermined dividend payout ratio[158]. - The company will continue to develop various products and conduct market research despite the impact of the COVID-19 pandemic on its operations[168]. - GHG emissions decreased significantly to 27.43 tons CO2 equivalent in 2020, down approximately 86.7% from 190.954 tons in 2019[176]. - Scope 1 direct emissions from fuel combustion dropped by about 82% from 29.35 tons to 5.18 tons CO2 equivalent due to reduced vehicle usage[176]. - Electricity consumption decreased by approximately 78%, with total energy consumption falling to 32,314 kWh from 143,493 kWh in 2019[193]. - The intensity of electricity usage in the office increased by 42%, reaching 24.1 kWh per square meter due to changes in office space and rental costs[193]. - Water consumption in the office was 889 cubic meters in 2020, a significant increase compared to 11,410 cubic meters in 2019, as the Beijing office was included in the data for the first time[197]. - The company reported a total of 0.15 tons of paper waste in 2020, down from 0.736 tons in 2019, reflecting reduced business activities during the pandemic[184]. - Business travel remained the primary source of emissions, prompting the company to review and strengthen travel management policies[185]. - The company implemented measures to promote public transport usage for commuting, aiming to reduce private car use[186]. - The company adopted an OA system to promote paperless operations and encouraged double-sided printing and recycling[187]. - The company plans to utilize new technologies and eco-friendly materials in future marathon events to minimize environmental impact[191]. - The group does not engage in the use of any packaging materials, thus no related data or information is presented in this report[200].

Financial Performance - The company's revenue decreased approximately 97.7% from RMB 43.5 million for the six months ended June 30, 2019, to RMB 1.0 million for the same period in 2020, primarily due to the impact of COVID-19 on event operations[21]. - Revenue from the event operation and marketing segment dropped 100% from RMB 8.3 million to RMB 0 million, while the sports services segment revenue fell approximately 97.2% from RMB 35.2 million to RMB 1.0 million[21]. - The gross loss decreased approximately 84.1% from RMB 27.1 million to RMB 4.3 million, with the gross loss margin increasing from 62.3% to about 430.0%[25]. - The loss attributable to the company's owners decreased 91.9% from RMB 270.7 million to RMB 21.8 million[33]. - The company reported a net cash outflow of RMB 144,895 thousand in cash and cash equivalents during the period[127]. - The company reported a significant other loss of RMB (256,253,000) for the six months ended June 30, 2020, compared to no other loss in the previous period, indicating potential asset impairments[176]. Operational Challenges and Responses - The company faced significant challenges in H1 2020 due to the COVID-19 pandemic, leading to the cancellation of all scheduled marathon events[8]. - Management implemented cost-cutting measures and optimized expenses to maintain stable cash flow during the pandemic[13]. - The management anticipates a gradual recovery of marathon events, although the scale and sponsorship may be impacted by the pandemic[9]. - The company is actively communicating with event organizers and government bodies to prepare for the resumption of events[9]. - The company organized the 2020 Nanchang Online Hero Marathon to engage with running communities despite the inability to hold large-scale offline events[13]. Investment and Financial Strategy - The company is exploring investment opportunities in the "sports + finance" sector to create a dual-driven development model[14]. - The group plans to acquire a 49% stake in YTO Global Financial Group for HKD 53.41 million, which is expected to broaden its revenue sources in Hong Kong's financial services market[43]. - The group subscribed to the Baoyin A-001 private investment fund for RMB 50 million, with expectations of varying annualized returns based on subscription terms[44]. - The group invested RMB 34 million in the Minsheng Trust Plan, anticipating an annualized return of 4.7%, aimed at improving fund utilization efficiency and combating inflation[48]. - The group has maintained a prudent financial management policy to ensure strong liquidity for daily operations and future development needs[39]. Shareholder and Equity Information - The beneficial owner of 602,780,000 shares represents 37.84% of the total shares, held by Queen Media Co., Ltd.[65]. - Lucky Go Co., Ltd. holds 78.88% equity and Top Car Co., Ltd. holds 43.69% equity, indicating significant ownership concentration[66]. - The company has a share option plan that allows for the issuance of up to 160,000,000 shares, which is 10% of the total issued shares post-global offering[76]. - As of the mid-report date, 159,535,000 shares are available for issuance under the share option plan, accounting for about 10.02% of the issued shares[77]. Cash Flow and Liquidity - As of June 30, 2020, the company's cash and cash equivalents were approximately RMB 23.0 million, down from RMB 167.3 million as of December 31, 2019[34]. - The net current assets increased approximately 2.6% from RMB 312.1 million as of December 31, 2019, to RMB 320.2 million as of June 30, 2020, indicating stable working capital[35]. - The current ratio improved to 577.2% as of June 30, 2020, compared to 445.4% on December 31, 2019[56]. - The group has not faced any significant operational or liquidity difficulties due to exchange rate fluctuations, indicating a low risk in this area[40]. Impairment and Asset Management - The company decided to write off an intangible asset with a carrying amount of RMB 84,552,000 as of June 30, 2019, due to operational issues related to the "Run China" marathon series[200]. - The management's assessment indicated that the recoverable amount of the cash-generating units was lower than their carrying amounts, leading to the recognition of impairment losses[199]. - The cash-generating unit for sports services was assessed using a discount rate of 18.0% and a growth rate of 3.0%, consistent with industry forecasts[199]. Corporate Governance and Compliance - The company has complied with the corporate governance code, except for the separation of roles between the chairman and CEO, which has been addressed with recent management changes[103]. - The group’s financial reporting is based on Hong Kong Financial Reporting Standards, ensuring consistency with the annual financial statements for the year ended December 31, 2019[131].