Performance Summary - China Petroleum & Chemical Corporation (00386.HK) reported a revenue of 1,409.05 billion yuan, a decrease of 10.6% year-on-year, and a net profit of 21.483 billion yuan, down 39.8% year-on-year [2] - Kuaishou Technology (01024.HK) achieved a revenue of 67.654 billion yuan, an increase of 12.04% year-on-year, with a net profit of 8.9 billion yuan, up 9.9% year-on-year [2] - China National Pharmaceutical Group (01099.HK) recorded a revenue of 36.363 billion yuan, a decrease of 1.48% year-on-year, and a net profit of 295 million yuan, an increase of 1.02% year-on-year [2] - Miniso Group (09896.HK) reported a revenue of 9.393 billion yuan, a growth of 21.1% year-on-year, but a net profit of 906 million yuan, down 22.6% year-on-year [2] - Tuhu (09690.HK) had a revenue of 7.9 billion yuan, an increase of 10.5% year-on-year, with an adjusted net profit of 410 million yuan, up 14.6% year-on-year, and the number of stores increased to 7,205 [2] - Bilibili Inc. (09626.HK) reported a second-quarter revenue of 7.338 billion yuan, an increase of 19.76% year-on-year, and a net profit of 219 million yuan, turning from a loss of 609 million yuan in the same period last year [2] - Zaitong (00062.HK) achieved a revenue of 4.226 billion HKD, an increase of 3.98% year-on-year, and a net profit of 190 million HKD, up 57.94% year-on-year [2] - Xincheng Power (01148.HK) reported a revenue of 2.804 billion yuan, an increase of 7.06% year-on-year, but a net profit of 16.49 million yuan, down 25.49% year-on-year [2] - Fourth Paradigm (06682.HK) achieved a revenue of 2.626 billion yuan, an increase of 40.71% year-on-year, with an adjusted net loss of 44 million yuan, narrowing by approximately 71.2% from a loss of 152 million yuan in the same period last year [2] - Meilian Group (01200.HK) reported a revenue of 2.518 billion HKD, a decrease of 24.1% year-on-year, and a net profit of 151 million HKD, down 13% year-on-year [2] - Baisheng Group (03368.HK) achieved a revenue of 1.963 billion yuan, an increase of 0.93% year-on-year, and a net profit of 22.468 million yuan, turning from a loss of 18.641 million yuan in the same period last year [2] - Yuexiu Services (06626.HK) reported a revenue of approximately 1.962 billion yuan, a slight increase of 0.09% year-on-year, with a net profit of approximately 240 million yuan [2] - Yika (09923.HK) achieved a revenue of 1.64 billion yuan, an increase of 4% year-on-year, and a net profit of 43.075 million yuan, up 36.2% year-on-year [2] - Gaoweidianzi (01415.HK) reported a revenue of 1.36 billion USD, an increase of 132.2% year-on-year, with a net profit of 67.398 million USD, up approximately 320% year-on-year [2] - BOC Aviation (02588.HK) achieved a revenue of 1.242 billion USD, an increase of 6% year-on-year, but a net profit of 342 million USD, down 26% year-on-year [2] - Jiuxing Holdings (01836.HK) reported a revenue of 775 million USD, an increase of 0.7% year-on-year, but a net profit of 78.633 million USD, down 14.5% year-on-year [2] - Sinopec Kantons Holdings (00934.HK) reported a revenue of approximately 307 million HKD, a decrease of 7.2% year-on-year, and a net profit of approximately 563 million HKD, down 17.8% year-on-year [2] - Great Wall Holdings (00583.HK) issued a profit warning, expecting a mid-term net loss of 266 million to 294 million HKD, a significant shift from profit to loss [2] Company News - Shengye (06069.HK) has initiated a global strategic layout to build an AI + international supply chain technology platform [2] - Yuan Zheng Technology (02488.HK) plans to develop a strategic layout for equipment assetization and related RWA applications [2] - Oconview Biosciences (01477.HK) announced that the second Phase III clinical trial of OT-301 has reached its primary endpoint [2] Buyback Activities - Tencent Holdings (00700.HK) repurchased 928,000 shares at a cost of 551 million HKD, with a buyback price ranging from 590 to 597 HKD [2] - HSBC Holdings (00005.HK) repurchased approximately 1.33 million shares at a cost of about 132 million HKD, with a buyback price ranging from 98.6 to 99.55 HKD [2] - Techtronic Industries (00669.HK) repurchased approximately 25,000 shares at a cost of about 25.085 million HKD, with a buyback price ranging from 99.5 to 101.6 HKD [2] - Hang Seng Bank (00011.HK) repurchased 200,000 shares at a cost of 22.4935 million HKD, with a buyback price ranging from 111.8 to 112.8 HKD [2]

Financial Performance - The group's revenue was flat for the first half of 2025, with a volume increase of 3.8% to 27.5 million pairs, primarily driven by the sports segment [4][5] - The average selling price (ASP) decreased by 3.2% due to a higher proportion of sports products with lower ASP [5] - Operating profit margin fell to 10.9%, down 30 basis points, with net profit declining by 14.6% to $78 million [5][6] - Gross profit margin decreased by 22% compared to 25.6% last year, attributed to high labor costs and temporary efficiency issues in factories [6][9] Business Line Performance - Revenue from the sports segment increased by 8.2%, accounting for 48.5% of total manufacturing revenue, driven by higher shipments to major customers [16] - The luxury category reported a net decrease of 3.5%, while the CASM category declined by 9.2%, reflecting a strategic reallocation of capacity [17] - The company commenced shipments to new customers, including Under Armour and Justin Bieber's brand, Skylar, contributing to the sports segment's growth [15][16] Market Performance - North America and Europe accounted for 48.7% and 23.4% of total revenue, respectively, with China contributing 25% of manufacturing capacity [17][18] - The company anticipates sustained growth, with plans to scale up total capacity by an additional 21 to 26 million pairs through new factories [19] Strategic Direction and Industry Competition - The company is focused on optimizing production efficiency and diversifying manufacturing capacity to align with customer needs [11][24] - A new three-year plan is being finalized, aiming for a 10% operating margin and low single-digit growth [22][24] - The company has received an MSCI ESG rating upgrade to AA, reflecting improvements in environmental performance [21] Management Commentary on Operating Environment and Future Outlook - Management expects moderate increases in shipment volumes for the full year, with continued pressure on profit margins due to efficiency improvements [22][23] - The company is addressing operational challenges in Indonesia and the Philippines, with plans for a turnaround in the second half of the year [30][31] - Tariff impacts are anticipated to affect strategic customer partnerships, with a focus on optimizing operations [23][24] Other Important Information - The company declared a $0.52 interim dividend, maintaining a payout ratio above the previous year's [5][9] - A solid net cash balance of $291 million is reported, with plans for share repurchases or special dividends in the future [8][25] Q&A Session Summary Question: Can you provide insights on the handbag business and its recovery timeline? - The company acquired a small factory specializing in handbags to expand this segment, with expectations for gradual growth [28][29] Question: Any updates on the full-year outlook? - The outlook remains consistent with previous guidance, with expectations of $6 million to $7 million in tariff impacts [30][31] Question: Will margins return to normal levels? - Management aims to restore margins to normal levels by Q4 2026, learning from past expansion challenges [32][33] Question: What are the reasons for revenue declines in China and Europe? - Revenue declines are attributed to customer allocation decisions and pre-order impacts from the previous year [36] Question: Can you quantify the inefficiencies in the first half? - Inefficiencies related to the Philippines and Indonesia resulted in approximately $7 million in profit loss [45] Question: What are the conversations like with brand customers? - Brand customers are cautious but looking to innovate and consolidate suppliers amid tariff uncertainties [47][49] Question: How is the dividend and buyback strategy affected? - There are no changes to the dividend payout policy or capital return strategy, with plans for continued shareholder returns [89]

| 九兴控股 | | | | | --- | --- | --- | --- | | 分时图 | 日K线 | 周K线 | 月K线 | 截至2025年6月30日止6个月，由于我们的运动及高端时尚类别新客户继续拓展，并根据我们的三年规划 进一步扩展及多元化客户组合，我们的非客户专属制造设施以接近饱和的状况运营。尽管去年同期向若 干客户提前出货约100万双，产生了较高基数，惟我们的收入及出货量仍录得同比增长。 九兴控股(01836)发布截至2025年6月30日止6个月的中期业绩，该集团取得收入7.75亿美元，同比增加 0.66%;母公司拥有人应占溢利7863.3万美元，同比减少14.48%;每股基本盈利9.5美仙，拟派发中期股息 每股5.2港仙。 ...

（「本公司」） 提名委員會之職權範圍 組成 本公司董事會（「董事會」）已成立一個董事會常務委員會，命名為提名委員會。 目的 成立提名委員會之目的乃為確保董事會作出委任之程序公平透明，尤其是協助董事會 物色合適之候選人，並提供推薦意見供董事會及股東考慮。 成員 提名委員會須直接向董事會匯報其決定或推薦建議，惟倘其進行上述事宜之能力受到 法例或監管方面之限制（例如因監管方面之披露限制）則除外。 提名委員會成員須由董事會委任，而董事會可全權酌情決定罷免有關成員。提名委員 會至少須由三名董事組成，其中至少一名為不同性別的董事。 * 僅供識別 TR-Nomination Committee_250821(Chi) 1 提名委員會之大多數成員（「成員」，指全體成員或當中任何一名成員）須為獨立非執 行董事。 提名委員會主席須由董事會委任，並須為董事會主席或獨立非執行董事。 董事會須按香港聯合交易所有限公司（「聯交所」）證券上市規則（「上市規則」）（經 不時修訂）可能作出之規定、或本公司股份上市或報價之任何其他證券交易所之規則、 或香港證券及期貨事務監察委員會或任何其他適用監管機構可能不時規定之其他守 則、規則及規例（「適用 ...

智通财经APP讯，九兴控股(01836)发布公告，将于2025年9月19日派发截至2025年6月30日止六个月的中 期股息每股0.52港元。 ...

九兴控股(01836)发布公告，将于2025年9月19日派发截至2025年6月30日止六个月的中期股息每股0.52港 元。 ...

EF001 EF001 免責聲明 | 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 | | | --- | --- | | 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。 | | | 股票發行人現金股息公告 | | | 發行人名稱 | 九興控股有限公司 | | 股份代號 | 01836 | | 多櫃檯股份代號及貨幣 | 不適用 | | 相關股份代號及名稱 | 不適用 | | 公告標題 | 截至二零二五年六月三十日止六個月的中期業績 | | 公告日期 | 2025年8月21日 | | 公告狀態 | 新公告 | | 股息信息 | | | 股息類型 | 中期（半年期） | | 股息性質 | 普通股息 | | 財政年末 | 2025年12月31日 | | 宣派股息的報告期末 | 2025年6月30日 | | 宣派股息 | 每 股 0.52 HKD | | 股東批准日期 | 不適用 | | 香港過戶登記處相關信息 | | | 派息金額及公司預設派發貨幣 | 每 股 0.52 HKD | | 匯率 | 1 HK ...

Core Viewpoint - Jiuxing Holdings (01836) reported a revenue of $775 million for the six months ending June 30, 2025, reflecting a year-on-year increase of 0.66% [1] - The profit attributable to the company's shareholders was $78.63 million, a decrease of 14.48% compared to the previous year [1] - Basic earnings per share were 9.5 cents, with an interim dividend proposed at 5.2 Hong Kong cents per share [1] Financial Performance - Revenue for the period reached $775 million, showing a slight increase of 0.66% year-on-year [1] - Profit attributable to shareholders decreased to $78.63 million, down 14.48% from the same period last year [1] - Basic earnings per share were reported at 9.5 cents, with a proposed interim dividend of 5.2 Hong Kong cents per share [1] Operational Insights - The company has expanded its customer base in the sports and high-end fashion categories, contributing to revenue growth [1] - Non-exclusive manufacturing facilities are operating close to full capacity, indicating strong demand [1] - Despite a high base from the previous year due to early shipments of approximately 1 million pairs to several customers, revenue and shipment volumes still recorded year-on-year growth [1]

格隆汇8月21日丨九兴控股(01836.HK)发布公告，截至2025年6月30日止六个月，实现收入7.75亿美元， 同比增加1%；毛利为1.75亿美元，同比减少11.9%；母公司拥有人应占溢利为7863.3万美元，同比减少 14.5%；基本每股盈利9.5美仙。宣派中期股息每股52港仙，派息率超过70%。 ...

[Interim Results Summary](index=1&type=section&id=Interim%20Results%20Summary) The company reported a 0.7% revenue increase to $775.1 million, with strong net cash and a 10.9% operating profit margin Interim Results Summary (USD '000) | Metric | H1 2025 | Change | | :--- | :--- | :--- | | Shipments | +3.8% | Growth | | Revenue | $775.1 million | +0.7% | | Net Cash Position | $291.3 million | Maintained Strong | | Operating Profit | $84.7 million | - | | Operating Profit Margin | 10.9% | - | | Reported Net Profit | $78.1 million | - | | Adjusted Net Profit | $77.9 million | - | | Interim Dividend | HK$0.52 per share | Payout Ratio over 70% | [Interim Condensed Consolidated Financial Statements](index=2&type=section&id=Interim%20Condensed%20Consolidated%20Financial%20Statements) This section presents the company's financial performance, position, and cash flows for the interim period, highlighting key changes and trends [Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For H1 2025, revenue slightly increased by 0.7% to $775.1 million, but gross profit and operating profit declined, leading to a 14.7% decrease in profit for the period to $78.1 million, with basic EPS at 9.5 US cents Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (USD '000) | Metric (USD '000) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 775,074 | 770,011 | +0.7% | | Cost of sales | (599,916) | (571,128) | +5.0% | | Gross profit | 175,158 | 198,883 | -11.9% | | Operating profit (before fair value changes of financial instruments) | 84,724 | 99,052 | -14.5% | | Profit before tax | 91,869 | 105,393 | -12.8% | | Profit for the period | 78,117 | 91,514 | -14.7% | | Profit for the period attributable to owners of the parent | 78,633 | 91,944 | -14.5% | | Basic earnings per share (US cents) | 9.5 | 11.5 | -17.4% | [Interim Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, total assets less current liabilities were $1.126 billion, a slight decrease from December 31, 2024, with net current assets at $588.6 million and a current ratio of 2.8, indicating a stable but slightly declining financial position Interim Condensed Consolidated Statement of Financial Position (USD '000) | Metric (USD '000) | June 30, 2025 | Dec 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Total non-current assets | 537,139 | 530,125 | +1.3% | | Total current assets | 916,307 | 893,241 | +2.6% | | Total current liabilities | 327,690 | 279,146 | +17.4% | | Net current assets | 588,617 | 614,095 | -4.1% | | Total assets less current liabilities | 1,125,756 | 1,144,220 | -1.6% | | Net assets | 1,095,977 | 1,117,539 | -1.9% | | Total equity | 1,095,977 | 1,117,539 | -1.9% | [Interim Condensed Consolidated Statement of Cash Flows](index=6&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) For H1 2025, net cash from operating activities significantly decreased by 96% to $3.9 million, primarily due to negative working capital changes, while cash used in investing and financing activities increased, resulting in lower period-end cash and cash equivalents Interim Condensed Consolidated Statement of Cash Flows (USD '000) | Metric (USD '000) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Net cash flows from operating activities | 3,906 | 99,178 | -96.1% | | Net cash flows used in investing activities | (25,264) | (15,689) | +61.1% | | Net cash flows used in financing activities | (48,931) | (42,809) | +14.3% | | Net decrease/(increase) in cash and cash equivalents | (70,289) | 40,680 | - | | Cash and cash equivalents at end of period | 350,786 | 334,585 | +4.8% | [Notes to the Interim Condensed Consolidated Financial Information](index=8&type=section&id=Notes%20to%20the%20Interim%20Condensed%20Consolidated%20Financial%20Information) This section provides detailed explanations and disclosures regarding the accounting policies, segment information, revenue, profit before tax, and other financial statement items [1. Basis of Preparation](index=8&type=section&id=1.%20Basis%20of%20Preparation) The interim condensed consolidated financial information is prepared in accordance with HKEX Listing Rules and HKAS 34, presented in USD using the historical cost convention - Financial information is prepared according to HKEX Listing Rules and HKAS 34, presented in USD, and uses the historical cost convention[10](index=10&type=chunk) [2. Changes in Accounting Policies and Disclosures](index=8&type=section&id=2.%20Changes%20in%20Accounting%20Policies%20and%20Disclosures) Revised HKFRS accounting standards were adopted, with HKAS 21 (Amendment) on lack of exchangeability having no material impact as all currencies used by the Group are exchangeable - HKAS 21 (Amendment) regarding currency exchangeability has no impact on the Group's financial information, as all transaction currencies are exchangeable[11](index=11&type=chunk)[12](index=12&type=chunk) [3. Operating Segment Information](index=9&type=section&id=3.%20Operating%20Segment%20Information) The Group operates manufacturing (footwear and handbags) and retail & wholesale (self-developed brands) segments, with manufacturing being the primary revenue source, generating $774.4 million in external sales and $87.75 million in segment results for H1 2025 - The Group primarily operates two segments: manufacturing (footwear and handbags) and retail & wholesale (self-developed brands)[13](index=13&type=chunk)[15](index=15&type=chunk) Operating Segment Information (USD '000) | Metric (USD '000) | Manufacturing (H1 2025) | Retail & Wholesale (H1 2025) | Total (H1 2025) | Manufacturing (H1 2024) | Retail & Wholesale (H1 2024) | Total (H1 2024) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | External customer sales | 774,357 | 717 | 775,074 | 769,067 | 944 | 770,011 | | Segment results | 87,754 | (267) | 87,487 | 102,070 | (267) | 101,803 | | Segment assets (June 30, 2025) | 1,415,877 | 15,557 | 1,431,434 | - | - | - | | Segment assets (Dec 31, 2024) | 1,374,058 | 32,659 | 1,406,717 | - | - | - | [4. Revenue](index=12&type=section&id=4.%20Revenue) Total revenue for H1 2025 was $775.1 million, primarily from footwear and handbag sales, with North America as the largest market, followed by Europe and China, and all revenue recognized upon goods transfer Revenue by Product Type (USD '000) | Product Type (USD '000) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Sales of footwear and handbags | 775,074 | 770,011 | Revenue by Geographical Market (USD '000) | Geographical Market (USD '000) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | North America | 377,120 | 360,241 | | Europe | 181,314 | 189,606 | | China | 119,990 | 128,634 | | Asia (excluding China) | 69,743 | 69,456 | | Others | 26,907 | 22,074 | [5. Profit Before Tax](index=14&type=section&id=5.%20Profit%20Before%20Tax) Profit before tax for H1 2025 was $91.87 million, a decrease from the prior year, influenced by increased cost of inventories sold, a shift from fair value gain to loss on financial assets, significantly reduced severance costs, and a foreign exchange gain Profit Before Tax (USD '000) | Metric (USD '000) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Cost of inventories sold | 599,644 | 572,005 | +4.8% | | Depreciation of property, plant and equipment | 24,436 | 23,668 | +3.2% | | Net fair value gain/(loss) on financial assets | (219) | 1,369 | From loss to gain | | Severance payments and other related costs | 4 | 1,337 | -99.7% | | Net impairment loss on financial assets | 329 | 6,208 | -94.7% | | Exchange differences, net | (4,276) | 238 | From loss to gain | [6. Income Tax](index=14&type=section&id=6.%20Income%20Tax) Total income tax expense for H1 2025 was $13.75 million, a slight decrease year-on-year, with unchanged profit tax rates in China, Macau, and other regions, but increased current tax expenses in China and Macau and significantly reduced deferred tax expenses - China's profit tax rate is **25%**, Hong Kong's is **16.5%** (with a two-tiered system of **8.25%/16.5%** for some entities), and Macau's is **12%**[24](index=24&type=chunk)[25](index=25&type=chunk) Income Tax (USD '000) | Tax Type (USD '000) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Current tax expense (China) | 7,342 | 5,899 | +24.5% | | Current tax expense (Macau) | 3,997 | 2,381 | +67.9% | | Current tax expense (Other regions) | 803 | 1,146 | -29.9% | | Deferred tax | 1,610 | 4,453 | -63.8% | | Total | 13,752 | 13,879 | -0.9% | [7. Dividends](index=15&type=section&id=7.%20Dividends) Total dividends declared and paid for H1 2025 significantly increased to $113.2 million, including a final dividend of HK$0.50 per share and a special dividend of HK$0.56 per share, with the Board declaring an interim dividend of HK$0.52 per share Dividends (USD '000) | Dividend Type (USD '000) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Final dividend declared and paid (HK$0.50 per share) | 53,390 | 63,415 | -15.8% | | Special dividend declared and paid (HK$0.56 per share) | 59,796 | 0 | New | | Total | 113,186 | 63,415 | +78.5% | - The Board has declared an interim dividend of **HK$0.52 per ordinary share**, approximately **$55.708 million**[27](index=27&type=chunk) [8. Earnings Per Share Attributable to Ordinary Equity Holders of the Parent](index=16&type=section&id=8.%20Earnings%20Per%20Share%20Attributable%20to%20Ordinary%20Equity%20Holders%20of%20the%20Parent) For H1 2025, basic EPS was 9.5 US cents (74.3 HK cents) and diluted EPS was 9.3 US cents (73.1 HK cents), both decreasing year-on-year, calculated based on profit attributable to ordinary equity holders and weighted average ordinary shares Earnings Per Share Attributable to Ordinary Equity Holders of the Parent | Metric | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Profit attributable to ordinary equity holders of the parent (USD '000) | 78,633 | 91,944 | -14.5% | | Basic earnings per share (US cents) | 9.5 | 11.5 | -17.4% | | Basic earnings per share (HK cents) | 74.3 | 89.6 | -17.1% | | Diluted earnings per share (US cents) | 9.3 | 11.2 | -16.9% | | Diluted earnings per share (HK cents) | 73.1 | 87.8 | -16.8% | | Weighted average number of ordinary shares used in calculating basic earnings per share | 830,294,950 | 802,144,522 | +3.5% | [9. Property, Plant and Equipment](index=17&type=section&id=9.%20Property%2C%20Plant%20and%20Equipment) In H1 2025, the Group's asset acquisition cost increased to $32.61 million, while asset disposals resulted in a net loss of $1.07 million, a shift from a gain in the prior year Property, Plant and Equipment (USD '000) | Metric (USD '000) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Cost of assets acquired | 32,607 | 27,434 | +18.9% | | Net book value of assets disposed | 1,244 | 94 | +1223.4% | | Net loss/(gain) on disposal | 1,073 (Loss) | (44) (Gain) | From gain to loss | [10. Trade Receivables](index=17&type=section&id=10.%20Trade%20Receivables) As of June 30, 2025, total trade receivables increased by 29.3% to $305.2 million from December 31, 2024, with the majority aged within one month, and standard payment terms typically ranging from 30 to 90 days Trade Receivables Ageing (USD '000) | Ageing (USD '000) | June 30, 2025 | Dec 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Within 1 month | 147,312 | 112,285 | +31.2% | | 1 to 2 months | 104,012 | 84,535 | +23.0% | | 2 to 3 months | 43,933 | 32,298 | +36.0% | | 3 to 6 months | 9,984 | 5,434 | +83.7% | | Total | 305,241 | 234,552 | +29.3% | - Total trade receivables include amounts due from associates of **$41.492 million** and an allowance for expected credit losses of **$40.27 million**[31](index=31&type=chunk) [11. Financial Assets at Fair Value Through Profit or Loss](index=18&type=section&id=11.%20Financial%20Assets%20at%20Fair%20Value%20Through%20Profit%20or%20Loss) As of June 30, 2025, financial assets at fair value through profit or loss totaled $2.587 million, primarily listed equity investments, with a recognized fair value gain of $0.212 million for the period, indicating improved investment performance from a prior year loss Financial Assets at Fair Value Through Profit or Loss (USD '000) | Asset Type (USD '000) | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Listed equity investments | 2,575 | 2,363 | | Listed debt investments | 12 | 5 | | Total | 2,587 | 2,368 | - In H1 2025, listed equity investments recognized a fair value gain of **$0.212 million** (H1 2024: loss of **$1.364 million**)[32](index=32&type=chunk) [12. Trade Payables](index=18&type=section&id=12.%20Trade%20Payables) As of June 30, 2025, total trade payables slightly decreased to $91.995 million from December 31, 2024, with the largest portion aged within one month Trade Payables Ageing (USD '000) | Ageing (USD '000) | June 30, 2025 | Dec 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Within 1 month | 75,026 | 75,166 | -0.2% | | 1 to 2 months | 10,072 | 8,296 | +21.4% | | Over 2 months | 6,897 | 11,642 | -40.8% | | Total | 91,995 | 95,104 | -3.2% | - Trade payables include amounts due to a joint venture of **$37.487 million**, repayable within **90 days**[33](index=33&type=chunk) [Chairman's Statement](index=19&type=section&id=Chairman%27s%20Statement) The Chairman highlights strong demand in sports and high-end fashion, challenges in H1 2025 profitability due to high base effect and operational inefficiencies, plans for capacity expansion and handbag business growth, and an upgraded MSCI ESG rating - Despite macroeconomic uncertainties, demand in sports and high-end fashion categories remains strong, with non-customer-dedicated manufacturing facilities operating near full capacity[34](index=34&type=chunk) - H1 2025 profitability faced challenges primarily due to a high base effect from early shipments before the Paris Olympics in H1 2024 and initial operational efficiency issues during capacity ramp-up in Indonesia and the Philippines[34](index=34&type=chunk) - The company plans to expand total capacity by an additional **20 million pairs** starting from 2025 and aims to develop the handbag and accessories manufacturing business into a significant long-term growth driver, having acquired a handbag factory in Vietnam[35](index=35&type=chunk) - The Board declared an interim dividend of **HK$0.52 per share** and will continue its excess cash return program, distributing an additional **$60 million** annually in FY2025 and FY2026[36](index=36&type=chunk) - MSCI ESG rating was upgraded from "A" to "**AA**", marking the second consecutive year of upgrade[36](index=36&type=chunk) [Management Discussion and Analysis](index=20&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the company's business strategies, performance, financial health, and future outlook, including operational highlights, cash returns to shareholders, and liquidity [Business Strategies](index=20&type=section&id=Business%20Strategies) Stella International is renowned for its superior product design, craftsmanship, quality, and flexible production capabilities across diverse manufacturing bases, adopting a customer-centric model to offer integrated solutions including handbag and accessories manufacturing - The company is known for its excellent product design, craftsmanship, quality, and flexibility, with manufacturing bases across Vietnam, China, Indonesia, the Philippines, and Bangladesh[38](index=38&type=chunk) - Adopting a customer-centric business model, the company provides high-quality product development and customized manufacturing solutions, integrating handbag and accessories manufacturing to offer comprehensive solutions[38](index=38&type=chunk) [Three-Year Plan (2023-2025)](index=21&type=section&id=Three-Year%20Plan%20(2023-2025)) The company is implementing its 2023-2025 three-year plan focused on business growth and margin improvement, targeting a **10% operating profit margin** and low double-digit post-tax profit CAGR, through category portfolio enhancement, production expansion, management optimization, and cost efficiency - The plan targets achieving a **10% operating profit margin** and a low double-digit compound annual growth rate for post-tax profit[44](index=44&type=chunk) - Strategies include deepening cooperation with major global sports brands, expanding luxury and high-end fashion brands, and introducing fast-growing sports and fashion footwear brands[42](index=42&type=chunk) - Production capacity expansion involves increasing output at the new Solo, Indonesia footwear factory, collaborating with major brands to build dedicated sports footwear factories in Indonesia, and enhancing Bangladesh capacity[42](index=42&type=chunk) - Management efficiency optimization includes organizational restructuring, centralizing client management and factory operations, consolidating R&D teams, and linking management incentives to operational targets[42](index=42&type=chunk) - Enhancing cost efficiency and improving working capital involves strengthening the client portfolio to mitigate risks, improving inventory and cash flow management, and reinforcing cost control across all departments[45](index=45&type=chunk) [Business Review](index=22&type=section&id=Business%20Review) In H1 2025, revenue slightly increased by 0.7% to $775.1 million, driven by a 3.8% rise in shipments, primarily from the sports category, but gross profit and net profit declined due to a high base effect and efficiency issues in new Indonesian and Philippine capacities Business Review | Metric | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 775.1 million USD | 770.0 million USD | +0.7% | | Shipments | 27.5 million pairs | 26.5 million pairs | +3.8% | | Average Selling Price | 27.4 USD/pair | 28.3 USD/pair | -3.2% | | Gross Profit | 175.2 million USD | 198.9 million USD | -11.9% | | Gross Profit Margin | 22.6% | 25.8% | -3.2 percentage points | | Operating Profit | 84.7 million USD | 99.1 million USD | -14.5% | | Operating Profit Margin | 10.9% | 12.9% | -2.0 percentage points | | Net Profit | 78.1 million USD | 91.5 million USD | -14.7% | | Adjusted Net Profit | 77.9 million USD | 92.9 million USD | -16.2% | | Adjusted Net Profit Margin | 10.1% | 12.1% | -2.0 percentage points | - Sports category sales grew by **8.2%**, accounting for **48.5%** of total manufacturing revenue; fashion and luxury categories combined saw a **3.5%** revenue decrease; casual category revenue declined by **9.2%**[46](index=46&type=chunk) - The decline in gross profit margin was primarily due to a high base effect from early shipments in the prior year and efficiency issues during the ramp-up of new capacities in Indonesia and the Philippines, leading to some production shifting to Vietnam and increasing costs[47](index=47&type=chunk) [Strong Net Cash Position](index=24&type=section&id=Strong%20Net%20Cash%20Position) As of June 30, 2025, the company maintained a strong net cash position of $291.3 million, despite dividend payouts and additional cash returns, with a net gearing ratio of **-26.6%** Strong Net Cash Position | Metric | June 30, 2025 | June 30, 2024 | Change | | :--- | :--- | :--- | :--- | | Net Cash Position | 291.3 million USD | 326.1 million USD | -10.8% | | Net Gearing Ratio | -26.6% | -29.6% | Improvement | [Industry Recognition and Awards](index=25&type=section&id=Industry%20Recognition%20and%20Awards) The company's sustainability efforts continue to be recognized, with its MSCI ESG rating upgraded from "A" to "**AA**" in July 2025, marking the second consecutive year of improvement - MSCI ESG rating was upgraded from "A" to "**AA**", marking the second consecutive year of upgrade, reflecting the company's efforts in sustainability and transparency practices[53](index=53&type=chunk) [Outlook](index=25&type=section&id=Outlook) Full-year 2025 shipments are projected for moderate growth, though H2 profitability remains constrained by the pace of efficiency improvements in Indonesian and Philippine manufacturing facilities, with plans to add **20 million pairs** of capacity and develop the handbag and accessories business as a core growth driver - Full-year 2025 shipments are expected to grow moderately, but H2 profitability will be limited by the pace of efficiency improvements in Indonesian and Philippine manufacturing facilities[54](index=54&type=chunk) - Plans include adding an additional **20 million pairs** of total capacity starting from 2025, achieved by increasing capacity at the new Solo, Indonesia factory, launching a second manufacturing facility in Bangladesh, and accelerating the construction of a dedicated factory in Indonesia for the largest sports client[55](index=55&type=chunk) - The company is firmly committed to making the handbag and accessories manufacturing business a core growth driver, having acquired a small handbag and accessories factory in Vietnam to enhance quality and efficiency[55](index=55&type=chunk) - The company is confident in achieving the Three-Year Plan (2023-2025) targets of a **10% operating profit margin** and a low double-digit compound annual growth rate for post-tax profit[54](index=54&type=chunk) [Cash Returns to Shareholders](index=26&type=section&id=Cash%20Returns%20to%20Shareholders) The Board declared an interim dividend of **HK$0.52 per ordinary share**, maintaining a payout ratio of approximately **70%**, and committed to an additional annual cash return of up to **$60 million** to shareholders in 2025 and 2026 through share repurchases and special dividends - The Board declared an interim dividend of **HK$0.52 per ordinary share**, maintaining a payout ratio of approximately **70%**[57](index=57&type=chunk) - The company committed to an additional annual cash return of up to **$60 million** to shareholders in 2025 and 2026 through share repurchases and special dividends, beyond regular dividends[57](index=57&type=chunk) [Liquidity, Financial Resources and Capital Structure](index=26&type=section&id=Liquidity%2C%20Financial%20Resources%20and%20Capital%20Structure) As of June 30, 2025, cash and cash equivalents increased by 4.8% to $350.8 million, but net cash from operating activities significantly decreased to $3.9 million due to working capital changes, while the current ratio of 2.8 indicates a sound financial position, with bank borrowings rising to $59.5 million and a net cash position of $291.3 million Liquidity, Financial Resources and Capital Structure | Metric | June 30, 2025 | Dec 31, 2024 | June 30, 2024 | Change (vs June 30, 2024) | | :--- | :--- | :--- | :--- | :--- | | Cash and cash equivalents | 350.8 million USD | 423.5 million USD | 334.6 million USD | +4.8% | | Net cash inflow from operating activities | 3.9 million USD | - | 99.2 million USD | -96.1% | | Changes in working capital | -106.3 million USD | - | -27.0 million USD | - | | Trade receivables | 305.2 million USD | 234.6 million USD | 304.4 million USD | +0.3% | | Current assets | 916.3 million USD | 893.2 million USD | - | +2.6% (vs 2024/12/31) | | Current liabilities | 327.7 million USD | 279.1 million USD | - | +17.4% (vs 2024/12/31) | | Current ratio | 2.8 | 3.2 | - | -12.5% (vs 2024/12/31) | | Bank borrowings | 59.5 million USD | 5.9 million USD | - | +908.5% (vs 2024/12/31) | | Net cash position | 291.3 million USD | 417.6 million USD | 326.1 million USD | -10.8% (vs June 30, 2024) | | Net Gearing Ratio | -26.6% | - | -29.6% | Improvement | - The significant decrease in net cash inflow from operating activities was primarily due to negative working capital changes, including increased inventories and a lower base of trade receivables[59](index=59&type=chunk) - Foreign exchange risk primarily relates to fluctuations in RMB and HKD against USD[63](index=63&type=chunk) - As of June 30, 2025, pledged assets were valued at **$10.8 million**, with no contingent liabilities[64](index=64&type=chunk)[65](index=65&type=chunk) [Significant Acquisitions and Disposals](index=28&type=section&id=Significant%20Acquisitions%20and%20Disposals) There were no significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the reporting period; however, post-period, the company acquired a small handbag and accessories factory in Vietnam in July 2025 to support business growth - No significant acquisitions or disposals occurred during the reporting period[67](index=67&type=chunk) - Subsequent to the reporting period, in July 2025, the company completed the acquisition of a small handbag and accessories factory in Vietnam to support the growth of its handbag and accessories manufacturing business[67](index=67&type=chunk) [Material Investments](index=28&type=section&id=Material%20Investments) As of June 30, 2025, the Group held no material investments representing 5% or more of its total assets - As of June 30, 2025, the Group held no material investments representing **5% or more** of its total assets[68](index=68&type=chunk) [Future Plans for Material Investments or Capital Assets](index=28&type=section&id=Future%20Plans%20for%20Material%20Investments%20or%20Capital%20Assets) The Directors confirm that, apart from ordinary course of business, the Group currently has no plans for any material investments or acquisitions of capital assets - Apart from ordinary business operations, the Group currently has no plans for any material investments or acquisitions of capital assets[69](index=69&type=chunk) [Major Customers and Suppliers](index=28&type=section&id=Major%20Customers%20and%20Suppliers) The company considers customers and suppliers as core stakeholders, recognizing their success as integral to its growth, consistently ranking in the top 10% of supplier evaluations, and fostering strategic relationships for continuous improvement in craftsmanship, innovation, and efficiency - The company views customers and suppliers as core stakeholders, emphasizing that their success is inseparable from the company's growth[70](index=70&type=chunk) - The company consistently ranks in the **top 10%** in supplier evaluations and is committed to building strategic relationships with long-term partners to continuously improve craftsmanship, innovation, and efficiency[70](index=70&type=chunk) [Employees](index=28&type=section&id=Employees) As of June 30, 2025, the Group had approximately **43,400** direct employees and a total workforce of about **65,000**, fostering a culture of care, sharing, and learning through leadership programs, share option schemes, and share award schemes to attract, train, and retain talent Employees | Metric | June 30, 2025 | Dec 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Direct employees | Approx. 43,400 | Approx. 42,600 | +1.9% | | Total workforce | Approx. 65,000 | - | - | - The company is committed to attracting, training, and retaining talent, fostering a culture of care, sharing, and learning through "Leadership Programs," share option schemes, and share award schemes[72](index=72&type=chunk) [Events After Reporting Period](index=29&type=section&id=Events%20After%20Reporting%20Period) No events with a material impact on the Group have occurred from the end of the reporting period up to the date of this announcement - No events with a material impact on the Group have occurred after the reporting period[73](index=73&type=chunk) [Other Information](index=29&type=section&id=Other%20Information) This section covers the Audit Committee's review, interim dividend declaration, corporate governance practices, and publication details of the interim results announcement and report [Review of Accounts by Audit Committee](index=29&type=section&id=Review%20of%20Accounts%20by%20Audit%20Committee) The Audit Committee has reviewed the Group's unaudited interim results and accounting policies, discussing risk management and internal controls with management, with no disagreements - The Audit Committee has reviewed the interim results and accounting policies, and discussed risk management and internal controls with management, with no disagreements[74](index=74&type=chunk) [Interim Dividend](index=29&type=section&id=Interim%20Dividend) The Board resolved to declare an interim dividend of **HK$0.52 per ordinary share** for the six months ended June 30, 2025, payable on September 19, 2025, with share transfer registration suspended from September 5 to September 9, 2025 - The Board resolved to declare an interim dividend of **HK$0.52 per ordinary share**[75](index=75&type=chunk) - The dividend will be paid on **September 19, 2025**, with share transfer registration suspended from **September 5 to September 9, 2025**[75](index=75&type=chunk) [Corporate Governance](index=30&type=section&id=Corporate%20Governance) The company is committed to high standards of corporate governance, complying with all code provisions of the Corporate Governance Code in Appendix C1 of the Listing Rules, advocating an integrated corporate and business governance model, and adopting a standard code for directors' securities transactions - The company has complied with all code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[76](index=76&type=chunk) - The company advocates an integrated model of corporate governance and business governance, and has adopted a standard code for directors' securities transactions[77](index=77&type=chunk)[78](index=78&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=30&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20the%20Company%27s%20Listed%20Securities) During the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities - During the reporting period, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities[79](index=79&type=chunk) [Publication of Interim Results Announcement and Interim Report](index=31&type=section&id=Publication%20of%20Interim%20Results%20Announcement%20and%20Interim%20Report) This interim results announcement has been published on the HKEX and the company's websites, with the Group's interim report for the six months ended June 30, 2025, to be published on the respective websites in due course - The interim results announcement has been published on the HKEX and the company's websites, and the interim report will be published in due course[80](index=80&type=chunk)