Core Viewpoint - Zhongmu International (01822.HK) reported a decline in revenue and gross profit for the six months ending June 30, 2025, indicating ongoing challenges in its operations [1] Financial Performance - Revenue from continuing operations was HKD 144 million, a decrease of 15.6% year-on-year [1] - Gross profit amounted to HKD 12.36 million, reflecting a year-on-year decline of 17.7% [1] - The loss attributable to the company's owners was HKD 929,000, compared to a loss of HKD 2.361 million in the same period last year, showing an improvement in loss figures [1]

Group 1 - The core viewpoint of the article is that Zhongmu International (01822) reported a decline in revenue and a loss for the six months ending June 30, 2025, indicating challenges in its timber-related business [1] - The company achieved revenue of HKD 144 million, a decrease of 15.56% year-on-year [1] - The loss attributable to shareholders was HKD 929,000, which represents a reduction of 60.65% compared to the previous year [1] - The basic loss per share was HKD 0.13 [1] Group 2 - The decrease in revenue was primarily due to a decline in the turnover of the timber-related business, which fell from approximately HKD 170 million for the six months ending June 30, 2024, to about HKD 133 million during the reporting period [1]

Core Viewpoint - Zhongmu International (01822) reported a revenue of HKD 144 million for the six months ending June 30, 2025, representing a year-on-year decrease of 15.56% [1] - The company recorded a loss attributable to shareholders of HKD 929,000, which is a reduction of 60.65% compared to the previous year [1] - Basic loss per share was HKD 0.13 [1] Revenue Analysis - The decline in revenue is primarily attributed to the timber-related business, which saw a drop in turnover from approximately HKD 170 million for the six months ending June 30, 2024, to about HKD 133 million during the reporting period [1]

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依賴該等內容而引致的任何損失承擔任何責任。 CHINA WOOD INTERNATIONAL HOLDING CO., LIMITED 中木國際控股有限公司 （股份代號：1822） （於開曼群島註冊成立之有限公司） 截至二零二五年六月三十日止六個月之 中期業績公告 China Wood International Holding Co., Limited中木國際控股有限公司（「本公司」）及其 附屬公司（統稱「本集團」）董事會（「董事會」）謹此公告其截至二零二五年六月三十日 止六個月之未經審核簡明綜合業績。本公告（「聯交所」）列載本公司二零二五年中期 報告（「中期報告」）之全文，並符合香港聯合交易所有限公司證券上市規則（「上市規 則」）中有關中期業績初步公告附載的資料的相關規定。中期報告的印刷版本將於適 當時候寄發予本公司的股東，其時並發佈於聯交所的網站www.hkexnews.hk及本公 司的網站www.chinawoodint.com.hk。 ...

（股份代號：1822） （於開曼群島註冊成立之有限公司） 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依賴該等內容而引致的任何損失承擔任何責任。 CHINA WOOD INTERNATIONAL HOLDING CO., LIMITED 中木國際控股有限公司 董事會召開日期 China Wood International Holding Co., Limited 中木國際控股有限公司（「本公司」）董 事會（「董事會」）謹此公佈，董事會將於二零二五年八月二十九日星期五舉行董事會 會議，以（其中包括）批准本公司及其附屬公司截至二零二五年六月三十日止六個月 之未經審核綜合中期業績，以及考慮建議派發中期股息（如有）及處理其他事項。 承董事會命 China Wood International Holding Co., Limited 中木國際控股有限公司 主席兼執行董事 呂寧江 香港，二零二五年八月十八日 於本公告日期，本公司董事會包括執行董事呂寧江先生（主席兼首席執行官）及吳麗 霞女士；非執行 ...

8月18日，截至港股收盘，恒生指数下跌0.37%，报25176.85点。中木国际（01822.HK）收报0.16港元/ 股，上涨11.11%，成交量60.59万股，成交额9.08万港元，振幅12.5%。 最近一个月来，中木国际累计涨幅6.67%，今年来累计跌幅14.27%，跑输恒生指数25.97%的涨幅。 财务数据显示，截至2024年12月31日，中木国际实现营业总收入3.3亿元，同比增长14.19%；归母净利 润5906.38万元，同比减少94.69%；毛利率8.2%，资产负债率41.18%。 机构评级方面，目前暂无机构对该股做出投资评级建议。 行业估值方面，原材料行业市盈率（TTM）平均值为21.58倍，行业中值6.3倍。中木国际市盈率1.86 倍，行业排名第3位；其他骏东控股（08277.HK）为0.94倍、大成生化科技（00809.HK）为1.15倍、中 国三江化工（02198.HK）为4.08倍、武汉有机（02881.HK）为4.72倍、帝王实业控股（01950.HK）为 5.24倍。 （以上内容为金融界基于公开消息，由程序或算法智能生成，不作为投资建议或交易依据。） 来源：金融界 资料显示，中木国 ...

致：香港交易及結算所有限公司 公司名稱: 中木國際控股有限公司 呈交日期: 2025年8月4日 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) | 01822 | 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 | | | 2,000,000,000 | HKD | | 0.1 | HKD | | 200,000,000 | | 增加 / 減少 (-) | | | | | | | HKD | | | | 本月底結存 | | | 2,000,000,000 | HKD | | 0.1 | HKD | | 200,000,000 | 本月底法定/註冊股本總額： HKD 200,000,000 FF301 第 1 頁 共 10 頁 v 1.1.1 股份發行人及根據《上市規則》 ...

Financial Performance - For the fiscal year ending December 31, 2024, the group recorded a revenue of approximately HKD 356.4 million, an increase of 14.2% compared to the restated revenue of HKD 312.1 million for 2023[4]. - The net profit attributable to the company's owners for the fiscal year was approximately HKD 63.8 million, a significant decrease from HKD 1,200.8 million in 2023[4]. - The gross profit for the year was HKD 29.2 million, down 21.0% from HKD 37.0 million in 2023[5]. - The total comprehensive income for the year was HKD 65.7 million, compared to HKD 1,193.5 million in the previous year, reflecting a substantial decline[6]. - The company reported a basic loss per share from continuing operations of HKD (1.34), compared to a profit of HKD 666.54 in the previous year[6]. - The company reported a loss from discontinued operations of approximately HKD 68,625,000, compared to a loss of HKD 7,711,000 in 2023, resulting in a basic loss per share of HKD 0.1896 for 2024, compared to a loss of HKD 0.0425 per share in 2023[59]. - The group reported an annual operating loss of approximately HKD 4,844,000 for the year ending December 31, 2024[141]. Dividends and Share Capital - The board of directors did not recommend any final dividend for the fiscal year ending December 31, 2024, consistent with the previous year[4]. - The company's issued and paid-up capital is now HKD 3,425,728.57, consisting of 342,572,857 shares at a par value of HKD 0.01 per share[19]. - Following the capital restructuring, the company's authorized share capital is HKD 200,000,000, divided into 20,000,000,000 shares at a par value of HKD 0.01 each[18]. - The company plans to issue 2,260,980,856 new shares at an issue price of HKD 0.044 per share as part of the investor subscription agreement[19]. - The company issued a total of up to 823,739,687 new shares to creditors at a rate of one new share for every HKD 1.80 of recognized debt[100]. - The company completed the issuance of 2,260,980,856 new shares at an issue price of HKD 0.044 per share on July 11, 2023[103]. - The company's share capital was reduced from 20 billion shares to 2 billion shares, with a par value adjustment from HKD 0.20 to HKD 0.10 per share[68]. Assets and Liabilities - The company's current assets decreased to HKD 58.1 million from HKD 96.1 million in 2023, indicating a liquidity challenge[8]. - The total liabilities decreased significantly from HKD 160.3 million in 2023 to HKD 23.4 million in 2024, improving the company's financial position[8]. - As of December 31, 2024, non-current liabilities decreased to HKD 4,022,000 from HKD 9,725,000 in 2023, representing a reduction of approximately 58.6%[9]. - The company's net assets improved to HKD 39,235,000 in 2024, compared to a net liability of HKD 41,711,000 in 2023, indicating a significant turnaround[9]. - The group’s total assets decreased to HKD 66,700 thousand in 2024 from HKD 128,298 thousand in 2023, representing a decline of 48.0%[40]. - Current assets decreased to HKD 58,145,000 in 2024 from HKD 96,088,000 in 2023, while current liabilities dropped significantly from HKD 160,284,000 to HKD 23,443,000, resulting in a current ratio increase from 0.60 to 2.48[118]. Financial Restructuring - The company has undergone a financial restructuring process under the supervision of the Cayman Islands court to address its debt obligations[13]. - The restructuring plan has been approved by the required majority of creditors, making it legally binding for the company and its creditors[16]. - The company has successfully withdrawn from provisional liquidation following the completion of its debt restructuring plan, alleviating immediate liquidity risks[23]. - The company announced on June 16, 2023, that it would have the ability to meet its debt obligations following the completion of the capital restructuring and investor subscription[101]. - The capital restructuring became effective on May 17, 2023, after all conditions were met, including court orders and approvals from the stock exchange[96]. Operational Performance - The wood-related business segment generated revenue of HKD 355,317 thousand in 2024, up from HKD 312,085 thousand in 2023, reflecting a growth of 13.9%[40]. - The financing services and investment segment reported a loss of HKD 1,291 thousand in 2024, compared to a profit of HKD 1,213,358 thousand in 2023, indicating a significant decline in performance[40]. - The food and beverage segment achieved revenue of HKD 1,057 thousand in 2024, with no prior year data available for comparison[40]. - The company has completed the sale of its car leasing business segment as of October 2024, which has been classified as discontinued operations[11]. - The company plans to terminate its car rental business by October 2024 to free up financial resources for the functional food and beverage sector[76]. - The group has been continuously developing its core timber-related business since 2020, including processing and distribution of furniture timber, and manufacturing and selling antique-style wooden furniture and other timber products[86]. Cash Flow and Financial Health - As of December 31, 2024, the company reported a net operating cash outflow of approximately HKD 11,321,000 and a cash balance of HKD 706,000, significantly lower than current liabilities of HKD 23,443,000[27]. - The company is actively taking measures to control administrative costs and curb capital expenditures to improve operational cash flow[27]. - The company has prepared cash flow forecasts covering at least twelve months from the date of the annual performance announcement, indicating sufficient operating funds to meet financial obligations[28]. - The net cash outflow from operating activities was approximately HKD 11,321,000, indicating significant cash flow challenges[141]. - As of December 31, 2024, the group's cash and bank balance was approximately HKD 706,000, significantly lower than current liabilities of HKD 23,443,000[141]. Future Plans and Market Strategy - The company plans to conduct a rights issue, proposing to issue 1 new share for every existing share, aiming to raise approximately HKD 44,600,000 to improve liquidity and financial condition[27]. - The company plans to raise up to HKD 45,600,000 through a rights issue of 411,219,340 shares, expected to be completed by the end of March 2025[73]. - The company has allocated up to HKD 2 million for the establishment and operation of Shenzhen Weijianbao Food Technology Co., Ltd., focusing on functional food and beverage business in China[83]. - The company is exploring strategic collaboration opportunities with downstream market participants in the timber supply chain, such as real estate developers and high-end furniture retailers[86]. - The company plans to continue expanding its operations in the timber-related business and functional food and beverage sectors in the foreseeable future[86]. Governance and Compliance - The board believes that having the same individual serve as both Chairman and CEO enhances responsiveness and efficiency in business strategy formulation[135]. - The audit committee consists of three independent non-executive directors, ensuring oversight of internal controls and financial reporting[139]. - The company has adopted a standard code for securities trading by directors, ensuring compliance during the blackout period before earnings announcements[137]. - The annual general meeting for the year ending December 31, 2024, is planned, with a notice to be issued in due course[143]. - The company will publish its annual report containing all required information within the designated period[144]. - The independent auditor's report highlighted significant uncertainties regarding the group's ability to continue as a going concern[141].

Revenue Growth - The revenue from wood-related business increased from approximately HK$96.9 million in the first half of 2023 to approximately HK$170.3 million in the first half of 2024, representing a growth of about 76%[5]. - Revenue from the processing and distribution of furniture wood amounted to approximately HK$152.5 million for the Reporting Period, compared to approximately HK$81.0 million in the same period of 2023, indicating an increase of approximately 88%[8]. - Revenue generated from the manufacturing and sales of antique-style wood furniture and other wooden products was approximately HK$17.8 million for the Reporting Period, up from approximately HK$15.9 million in the first half of 2023, reflecting a growth of about 12%[10]. - The company recorded a revenue of approximately HK$175.1 million for the reporting period, representing a 71% increase compared to HK$102.3 million for the six months ended June 30, 2023[43]. - For the six months ended June 30, 2024, the total revenue from external customers was HK$175,090,000, compared to HK$102,259,000 for the same period in 2023, representing a significant increase of approximately 71.3%[154]. - The wood-related business segment reported revenue of HK$170,268,000 for the first half of 2024, compared to HK$96,938,000 in 2023, reflecting an increase of approximately 75.7%[152]. Car Rental Business - The car rental business segment recorded a revenue of approximately HK$4.8 million for the Reporting Period, a decrease from approximately HK$5.3 million in the first half of 2023, representing a decline of about 9%[12]. - The car rental segment generated revenue of HK$4,822,000 for the six months ended June 30, 2024, down from HK$5,321,000 in 2023, indicating a decrease of about 9.4%[152]. - The Company is actively considering discontinuing the car rental business to allocate resources to more promising sectors[17]. Business Environment and Strategy - The overall business environment remains challenging due to the ongoing credit crisis in China's property sector, with new housing starts continuing to decline in the first half of 2024[3]. - The Group plans to continue developing its core wood-related business and expand operations in the foreseeable future, leveraging accumulated experience and expertise[13]. - The establishment of China Wood Green Resources (Shenzhen) Co., Limited has been pivotal in developing the Group's core wood-related business, focusing on supply chain management and wood processing[8]. - The Group's efforts in diversifying its customer base include designing affordable indoor wood products to attract general consumers[9]. - The Group is actively exploring strategic cooperation opportunities with market players in the wood-related business, including real estate developers and high-end furniture retailers[16]. - The Group is considering business diversification to mitigate risks associated with over-exposure to the wood-related business[17]. - The Group is studying opportunities in the functional food and beverage industry and the health and beauty industry in China[17]. Financial Restructuring - A restructuring agreement was entered into on February 16, 2022, involving capital reorganization and investor subscription[24]. - The Scheme was approved by the requisite statutory majorities of the creditors at the Scheme Meeting held on March 11, 2022[24]. - The Funding Agreement to provide funding for business development was sanctioned by the Cayman Court on October 17, 2022[25]. - The Cayman Court approved the application for withdrawal of the Petition and discharge of the appointment of the Joint Provisional Liquidators on 14 June 2023, allowing the Company to exit provisional liquidation[40]. - The Capital Reorganisation became effective on 17 May 2023 after fulfilling all conditions precedent[28]. - The Scheme has become unconditional following the completion of all necessary approvals and conditions[32]. - The successful completion of the Capital Reorganisation and the Investor's Subscription has eliminated the Company's imminent liquidity risk, allowing it to exit provisional liquidation[142]. - The Company has explored different options to restructure its debts, leading to the current restructuring approach[125]. Financial Performance - The cost of sales and services rendered increased by approximately 99% from HK$80.2 million for the six months ended June 30, 2023, to approximately HK$159.6 million for the reporting period[45]. - The gross profit decreased by approximately 30% to HK$15.5 million, with the gross profit margin dropping from 21.6% to 8.9% due to market slowdown in the wood-related business[45]. - Finance costs significantly decreased from approximately HK$64.7 million for the six months ended June 30, 2023, to approximately HK$1.2 million as a result of the debt restructuring scheme effective in July 2023[48]. - Administrative expenses increased by approximately 45% to HK$14.8 million for the reporting period, compared to HK$10.2 million in the prior interim[47]. - The Group incurred a loss of HK$2,361,000 for the six months ended 30 June 2024[145]. - The loss for the period ended June 30, 2024, was HK$2,361,000, a significant improvement compared to a loss of HK$58,210,000 for the same period in 2023, representing a reduction of approximately 96%[115]. - Total comprehensive income for the period was HK$(2,294,000), compared to HK$(63,786,000) in 2023, indicating a substantial recovery in overall financial performance[115]. Share Capital and Equity - The authorized share capital of the Company is HK$200,000,000 divided into 20,000,000,000 New Shares at HK$0.01 each, with issued capital of HK$3,425,728.57 divided into 342,572,857 New Shares[29]. - The Investor conditionally agreed to subscribe for 2,260,980,856 New Shares at an issue price of HK$0.044 per New Share[31]. - The Company will issue up to a maximum of 823,739,687 New Shares to Creditors at a rate of 1 New Share for every HK$1.80 of Admitted Claims[38]. - The total issued share capital of the Company as of June 30, 2024, is 342,729,340 shares[80]. - The company executed a share consolidation on June 18, 2024, reducing the number of issued shares from 3,427,293,400 to 342,729,340[175]. - The authorized share capital was adjusted from HK$200,000,000 to HK$20,000,000,000 following the share consolidation[175]. Cash Flow and Liquidity - As of June 30, 2024, cash and cash equivalents amounted to approximately HK$0.7 million, down from approximately HK$3.5 million as of December 31, 2023[48]. - The company's cash and bank balances significantly decreased to HK$701,000 from HK$3,522,000, a decline of approximately 80%[116]. - Cash used in operating activities amounted to HK$4,267,000 for the first half of 2024, a significant decrease from cash generated of HK$32,642,000 in the same period of 2023[121]. - The company raised HK$4,247,000 from other borrowings in the first half of 2024, compared to HK$47,387,000 in the same period of 2023[122]. - Net cash generated from financing activities was HK$1,390,000 in the first half of 2024, down from HK$16,496,000 in the same period of 2023[122]. - The Group is taking proactive measures to improve operating cash flow by controlling administrative costs and containing capital expenditure[75]. Governance and Compliance - The audit committee has reviewed the going concern issue and concurs with the Board's view[74]. - The Company resumed trading of its shares on the Stock Exchange on May 17, 2023, after fulfilling all resumption guidance[75]. - The company complied with the Corporate Governance Code throughout the reporting period, with minor exceptions regarding attendance at the annual general meeting[99][100]. - The unaudited condensed consolidated interim financial statements were approved by the Board on August 23, 2024, ensuring timely reporting[190]. - The Group had no related party transactions reported for the current period, maintaining transparency in financial dealings[184].

Wood-Related Business Performance - Revenue from wood-related business increased from approximately HK$96.9 million in H1 2023 to approximately HK$170.3 million in H1 2024[10] - Revenue from processing and distribution of furniture wood reached approximately HK$152.5 million in H1 2024, up from approximately HK$81.0 million in H1 2023[13] - The Group's core wood-related business includes wood management, distribution, processing, and sale of antique-style wood furniture[10] - China Wood Green Resources (Shenzhen) Co., Limited (CWGreen) is the main operating company for the Group's wood-related business, focusing on supply chain management and processing/distribution of furniture woods[13] - Revenue from furniture wood processing and distribution reached approximately HK$152.5 million, up from HK$81 million in the 2023 interim period[14] - Revenue from manufacturing and sales of antique-style wood furniture and other wooden products amounted to approximately HK$17.8 million, compared to HK$15.9 million in the 2023 interim period[15] - The company plans to continue developing and expanding its core wood-related business, including furniture wood processing and distribution, as well as antique-style wood furniture manufacturing[18] - Revenue increased by 71% to approximately HK$175.1 million compared to HK$102.3 million in the previous period, driven by growth in wood-related business turnover from HK$96.9 million to HK$170.3 million[48][49] - Wood-related business segment revenue increased significantly to HKS 170,268 thousand in H1 2024 from HKS 96,938 thousand in H1 2023, a growth of 75.6%[141] Financial Performance and Metrics - Gross profit decreased by 30% to HK$15.5 million, with gross profit margin dropping from 21.6% to 8.9% due to market slowdown in wood-related business[50] - Cost of sales and services rendered increased by 99% to HK$159.6 million, primarily due to higher sales volume of wood products[50] - Administrative expenses rose by 45% to HK$14.8 million, while selling and distribution expenses decreased to HK$0.1 million[52][55] - Finance costs significantly reduced from HK$64.7 million to HK$1.2 million following the debt restructuring scheme effective in July 2023[53][57] - Cash and cash equivalents stood at HK$0.7 million as of 30 June 2024, down from HK$3.5 million at the end of 2023[53] - Bank and other borrowings increased to HK$17.9 million as of 30 June 2024, up from HK$14.1 million at the end of 2023[53] - Revenue for the six months ended 30 June 2024 increased to HK$175.09 million, up from HK$102.26 million in the same period in 2023, representing a growth of 71.2%[109] - Gross profit for the six months ended 30 June 2024 decreased to HK$15.52 million, down from HK$22.11 million in the same period in 2023, a decline of 29.8%[109] - Loss before tax for the six months ended 30 June 2024 was HK$552,000, significantly reduced from HK$53.40 million in the same period in 2023[109] - Loss for the period attributable to owners of the company was HK$2.36 million, compared to HK$58.21 million in the same period in 2023[109] - Total comprehensive income for the period was a loss of HK$2.29 million, compared to a loss of HK$63.79 million in the same period in 2023[110] - Total non-current assets as of 30 June 2024 were HK$24.94 million, down from HK$32.21 million as of 31 December 2023[111] - Total current assets as of 30 June 2024 were HK$66.95 million, down from HK$96.09 million as of 31 December 2023[111] - Total current liabilities as of 30 June 2024 were HK$128.57 million, down from HK$160.28 million as of 31 December 2023[112] - Net liabilities as of 30 June 2024 were HK$44.01 million, compared to HK$41.71 million as of 31 December 2023[112] - Capital deficiency as of 30 June 2024 was HK$44.01 million, compared to HK$41.71 million as of 31 December 2023[112] - The company reported a net cash used in operating activities of HK$4.267 million for the six months ended 30 June 2024, compared to a net cash generated from operating activities of HK$32.642 million in the same period in 2023[117] - The company's net cash generated from financing activities was HK$1.390 million for the six months ended 30 June 2024, a significant decrease from HK$16.496 million in the same period in 2023[118] - The company's cash and cash equivalents at the end of the period were HK$701 thousand, a sharp decline from HK$50.781 million at the end of the same period in 2023[118] - The company's total equity decreased to HK$44.005 million as of 30 June 2024, compared to HK$1.466 billion as of 30 June 2023[113][114] - The company's accumulated losses increased to HK$200.421 million as of 30 June 2024, compared to HK$2.596 billion as of 30 June 2023[113][114] - The company's foreign currency translation reserve decreased to HK$5.801 million as of 30 June 2024, compared to HK$642 thousand as of 30 June 2023[113][114] - The company's non-controlling interests decreased to HK$0 as of 30 June 2024, compared to HK$12.349 million as of 30 June 2023[113][114] - The company's share capital remained unchanged at HK$34.273 million as of 30 June 2024, compared to HK$68.515 million as of 30 June 2023[113][114] - The company's share premium remained unchanged at HK$127.944 million as of 30 June 2024, compared to HK$1.059 billion as of 30 June 2023[113][114] - The company's capital reserve decreased to HK$0 as of 30 June 2024, compared to HK$14.593 million as of 30 June 2023[113][114] - The Group incurred a loss of HK$2,361,000 for the six months ended 30 June 2024[138] - As of 30 June 2024, the Group had net current liabilities of approximately HK$61,621,000 and net liabilities of approximately HK$44,005,000[138] - The Group's bank and other borrowings amounted to approximately HK$17,913,000 as of 30 June 2024[138] - The Group's provision of claims amounted to approximately HK$47,612,000 as of 30 June 2024[138] - The Group's total cash and bank balances were approximately HK$701,000 as of 30 June 2024[138] - Total segment revenue for the group rose to HKS 175,090 thousand in H1 2024 from HKS 102,259 thousand in H1 2023, an increase of 71.2%[141] - Total assets decreased to HKS 91,894 thousand as of 30 June 2024 from HKS 128,298 thousand as of 31 December 2023, a reduction of 28.4%[142] - Total liabilities decreased to HKS 135,899 thousand as of 30 June 2024 from HKS 170,009 thousand as of 31 December 2023, a reduction of 20.1%[142] - Revenue from external customers in the PRC increased to HKS 157,247 thousand in H1 2024 from HKS 102,259 thousand in H1 2023, a growth of 53.7%[146] - Revenue from external customers in Hong Kong was HKS 17,843 thousand in H1 2024, compared to no revenue in H1 2023[146] - Non-current assets as of 30 June 2024 (unaudited) amounted to HK$24,944 million, compared to HK$32,210 million as of 31 December 2023 (audited)[147] - Revenue for the six months ended 30 June 2024 was HK$175,090 thousand, a significant increase from HK$102,259 thousand in the same period in 2023[150] - The Group recorded no customer contributing 10% or more of total revenue during the reporting period, compared to one such customer in the 2023 interim period[148][149] - Cost of inventories sold and services rendered for the six months ended 30 June 2024 was HK$159,488 thousand, more than double the HK$75,033 thousand in the same period in 2023[152] - The Group's loss before tax for the six months ended 30 June 2024 was HK$2,361,000, a significant improvement from the HK$58,210,000 loss in the same period in 2023[156] - Total tax charge for the six months ended 30 June 2024 was HK$1,809 thousand, compared to HK$4,807 thousand in the same period in 2023[153] - The Board did not recommend payment of an interim dividend for the six months ended 30 June 2024, consistent with the 2023 interim period[156] - Trade receivables decreased from HK$7,889,000 in December 2023 to HK$6,063,000 in June 2024, a reduction of 23.1%[157] - Allowance for expected credit losses (ECLs) remained unchanged at HK$2,532,000 from December 2023 to June 2024[157] - Trade receivables within 90 days decreased significantly from HK$3,705,000 in December 2023 to HK$1,173,000 in June 2024, a 68.3% drop[158] - Trade payables over 365 days increased sharply from HK$79,000 in December 2023 to HK$2,224,000 in June 2024, a 2715.2% increase[159] Business Diversification and Strategic Plans - The company is actively assessing the viability of business diversification, including opportunities in the functional food and beverage industry and the health and beauty industry in China[21] - The company is considering discontinuing the car rental business to allocate resources to more promising areas such as functional food and beverage, and health and beauty businesses[22] - The company is contemplating fundraising exercises to finance potential new business opportunities[22] - No definitive decisions or agreements have been reached regarding new business opportunities or potential fundraising exercises[23] - The company is exploring strategic cooperation opportunities with real estate developers, high-end furniture retailers, and logistics management service providers to expand its wood-related business[21] Debt Restructuring and Capital Reorganization - The company has implemented a court-supervised provisional liquidation regime in the Cayman Islands to facilitate financial restructuring[25] - The Company's authorized share capital is HK$200,000,000 divided into 20,000,000,000 New Shares of HK$0.01 each, and the issued and fully paid-up capital is HK$3,425,728.57 divided into 342,572,857 New Shares of HK$0.01 each following the Capital Reorganization[34] - The Investor conditionally agreed to subscribe for 2,260,980,856 New Shares at an issue price of HK$0.044 per share, totaling approximately HK$99.5 million[34][36] - The Scheme involves a Cash Bonus of HK$50,000,000 to be distributed proportionally to creditors with recognized claims[39] - The Capital Reorganization became effective on 17 May 2023 after fulfilling all conditions, including court approvals and stock exchange listing permissions[33] - The Scheme was approved by the requisite statutory majorities of creditors at the Scheme Meeting held on 11 March 2022[29][32] - The Funding Agreement dated 31 December 2020, providing financial support for the Company's business development, was sanctioned by the Cayman Court on 17 October 2022[30][32] - The Whitewash Waiver was granted by the SFC on 22 August 2022, conditional on no acquisition or disposal of voting rights by the Investor and its concert parties during the specified period[31][32] - The Scheme became unconditional after fulfilling all conditions, including the effectiveness of the Capital Reorganization and the unconditional status of the Investor's Subscription[37] - The company issued 823,739,687 new shares to creditors at a rate of 1 share per HK$1.80 of admitted claims, fully discharging all debts[43][47] - The company issued 2,260,980,856 new shares to investors at HK$0.044 per share as part of the restructuring agreement[47] - The company exited provisional liquidation on 14 June 2023 after successful debt restructuring and capital reorganization[45][46] - The Group completed the Capital Reorganisation on 17 May 2023[76] - The Group fulfilled the conditions precedent to the Investor's Subscription, which was completed on 11 July 2023[76] - The Group fulfilled the conditions precedent to the Scheme on 17 May 2023[78] - The Company fulfilled all resumption guidance and resumed trading of its shares on the Stock Exchange on 17 May 2023[79] - The Group will continue to take proactive measures to improve operating cash flow by controlling administrative costs and containing capital expenditure[79] - Management prepared cash flow projections covering at least twelve months from the date of the interim report, indicating sufficient working capital to meet financial obligations[79] - The company implemented a court-supervised provisional liquidation in the Cayman Islands to restructure its debts, appointing joint provisional liquidators (JPLs) on 2 February 2021[121] - A scheme of arrangement (the "Scheme") was approved by creditors on 11 March 2022, with the Hong Kong Court sanctioning the Scheme without modification on 22 March 2022[122] - The company entered into a conditional Restructuring Agreement on 16 February 2022, involving capital reorganisation, investor subscription, and the Scheme[122] - The Funding Agreement dated 31 December 2020, providing funding for business development, was sanctioned by the Cayman Court on 17 October 2022[123] - All resolutions related to the Capital Reorganisation, Investor's Subscription, Scheme, and Whitewash Waiver were passed at the extraordinary general meeting on 30 August 2022[124] - The Capital Reorganisation became effective on 17 May 2023 after fulfilling all conditions, including approval from the Cayman Court and the Stock Exchange Listing Committee[125] - The company's authorized share capital is HK$200,000,000, divided into 20,000,000,000 New Shares of HK$0.01 each, and the issued and fully paid-up capital is HK$3,425,728.57, divided into 342,572,857 New Shares of HK$0.01 each[127] - The investor conditionally agreed to subscribe for 2,260,980,856 New Shares at an issue price of HK$0.044 per New Share[127] - The investor's subscription became unconditional after fulfilling all precedent conditions, including the capital reorganization becoming effective and the listing committee's approval[128] - The scheme involves a cash bonus of HK$50 million to be distributed to creditors on a pro-rata basis[133] - The company allotted and issued up to 823,739,687 New Shares to creditors, with creditors receiving 1 New Share for every HK$1.80 of admitted claims[133] - The company announced it will become solvent upon completion of the capital reorganization, investor's subscription, and the scheme, eliminating imminent liquidity risk[134] - The company exited provisional liquidation on 14 June 2023 after the Cayman Court approved the withdrawal of the petition and discharge of the JPLs[134] - Completion of the investor's subscription took place on 11 July 2023, with 2,260,980,856 New Shares issued to the investor at HK$0.044 per share[135] - 823,739,687 New Shares were allotted and issued to China Wood Scheme Limited for distribution to creditors based on 1 New Share for every HK$1.80 of admitted claims[135] Share Capital and Ownership - Mr. Lyu NingJiang holds 226,098,085 shares, representing approximately 65.97% of the Company's issued share capital[82] - The total issued share capital of the Company as of 30 June 2024 was 342,729,340 shares[83] - Right Momentum holds a long position of 226,098,085 shares, representing 65.97% of the company's total issued share capital[85] - Integrated Capital (Asia) Limited and Yan Tak Cheung each hold a long position of 226,098,085 shares, representing 65.97% of the company's total issued share capital[85] - Sino Merchant Car Rental Limited holds a long position of 17,496,169 shares, representing 5.10% of the company's total issued share capital[85] - The total issued share capital of the company as of 30 June 2024 is 342,729,340 shares[87] - The existing share option scheme was adopted on 3 June 2016 and will remain in force until 2 June 2026[89] - Eligible participants under the Option Scheme include employees, executives, suppliers, customers, and shareholders of the company or its subsidiaries[90] - The subscription price for share options shall not be less than the highest of the closing price, the average closing price for the preceding five business days, or the nominal value of the shares[91] - Grantees must pay HK$1 as nominal consideration for the grant of options and must accept the offer within 21 days from the date of offer[92] - Options can be exercised at any time during a period determined by the Board, not exceeding ten years from the date of grant[92] - There is no minimum holding period or performance target required for the exercise of options under the Option Scheme[92] - The maximum number of shares available for issue under the Option Scheme is 3,240,687, representing 0.95% of the total number of shares in issue as of 30 June 2024[96][97] - No options were granted under the