[Financial Highlights](index=1&type=section&id=%E8%B4%A2%E5%8A%A1%E6%91%98%E8%A6%81) [Performance Overview](index=1&type=section&id=%E4%B8%9A%E7%BB%A9%E6%A6%82%E8%A7%88) Ten Pao Group Holdings Limited reported unaudited interim results for the six months ended June 30, 2025, with revenue up 19.3% to HKD 2,948.1 million, gross profit up 4.9% to HKD 526.7 million, but gross margin decreased by 2.4 percentage points to 17.9%, while profit attributable to owners increased by 20.4% to HKD 211.7 million, and an interim dividend of 6.2 HK cents per share was declared Financial Summary for the Six Months Ended June 30, 2025 | Indicator | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Revenue | 2,948,051 | 2,471,011 | +19.3% | | Gross Profit | 526,658 | 501,850 | +4.9% | | Gross Profit Margin | 17.9% | 20.3% | -2.4 percentage points | | Profit Before Income Tax | 253,309 | 207,024 | +22.4% | | Profit Attributable to Owners of the Company | 211,650 | 175,830 | +20.4% | | Basic Earnings Per Share | HKD 0.21 | HKD 0.17 | +HKD 0.04 | - The Board has resolved to declare an interim dividend of **6.2 HK cents per ordinary share** for the six months ended June 30, 2025 (2024: 5.2 HK cents per ordinary share)[3](index=3&type=chunk) [Financial Statements](index=2&type=section&id=%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) [Condensed Consolidated Statement of Profit or Loss](index=2&type=section&id=%E7%AE%80%E6%98%8E%E5%90%88%E5%B9%B6%E6%8D%9F%E7%9B%8A%E8%A1%A8) For the six months ended June 30, 2025, the company's revenue increased to HKD 2,948.1 million, operating profit significantly grew to HKD 252.3 million, and profit attributable to owners reached HKD 211.7 million Key Data from Condensed Consolidated Statement of Profit or Loss | Indicator | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | | :--- | :--- | :--- | | Revenue | 2,948,051 | 2,471,011 | | Cost of Sales | (2,421,393) | (1,969,161) | | Gross Profit | 526,658 | 501,850 | | Other Income | 9,262 | 10,508 | | Other Gains — Net | 28,150 | 28,912 | | Selling Expenses | (68,602) | (84,082) | | Administrative Expenses | (241,849) | (247,222) | | Net Impairment Loss on Financial Assets | (1,275) | (9,855) | | Operating Profit | 252,344 | 200,111 | | Finance Income — Net | 965 | 6,913 | | Profit Before Income Tax | 253,309 | 207,024 | | Income Tax Expense | (41,129) | (31,680) | | Profit for the Period | 212,180 | 175,344 | | Profit Attributable to Owners of the Company | 211,650 | 175,830 | | Non-controlling Interests | 530 | (486) | | Basic and Diluted Earnings Per Share | HKD 0.21 | HKD 0.17 | [Condensed Consolidated Statement of Comprehensive Income](index=3&type=section&id=%E7%AE%80%E6%98%8E%E5%90%88%E5%B9%B6%E7%BB%BC%E5%90%88%E6%94%B6%E7%9B%8A%E8%A1%A8) For the six months ended June 30, 2025, profit for the period was HKD 212.2 million, with total comprehensive income attributable to owners of HKD 242.5 million, influenced by currency translation differences and fair value changes in equity investments Key Data from Condensed Consolidated Statement of Comprehensive Income | Indicator | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | | :--- | :--- | :--- | | Profit for the Period | 212,180 | 175,344 | | Other Comprehensive Income (items that may be reclassified to profit or loss subsequently) | | | | Currency Translation Differences | (19,446) | 30,849 | | Fair Value Changes of Equity Investments at Fair Value Through Other Comprehensive Income | 881 | — | | Total Other Comprehensive Income | (18,565) | 30,849 | | Total Comprehensive Income for the Period | 193,615 | 206,193 | | Total Comprehensive Income for the Period Attributable to Owners of the Company | 193,085 | 206,679 | | Non-controlling Interests | 530 | (486) | [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=%E7%AE%80%E6%98%8E%E5%90%88%E5%B9%B6%E8%B5%84%E4%BA%A7%E8%B4%9F%E5%80%BA%E8%A1%A8) As of June 30, 2025, total assets were HKD 5,121.5 million, total liabilities HKD 3,077.6 million, and total equity HKD 2,043.9 million, showing an increase in non-current assets and a decrease in current assets and liabilities Key Data from Condensed Consolidated Statement of Financial Position | Indicator | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | **Assets** | | | | Total Non-current Assets | 1,892,023 | 1,678,624 | | Total Current Assets | 3,229,451 | 3,731,027 | | **Total Assets** | **5,121,474** | **5,409,651** | | **Equity** | | | | Share Capital and Reserves Attributable to Owners of the Company | 2,047,846 | 1,855,720 | | Non-controlling Interests | (3,943) | (4,125) | | **Total Equity** | **2,043,903** | **1,851,595** | | **Liabilities** | | | | Total Non-current Liabilities | 186,500 | 177,235 | | Total Current Liabilities | 2,891,071 | 3,380,821 | | **Total Liabilities** | **3,077,571** | **3,558,056** | | **Total Equity and Liabilities** | **5,121,474** | **5,409,651** | [Notes to the Financial Statements](index=6&type=section&id=%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%99%84%E6%B3%A8) [General Information](index=6&type=section&id=%E4%B8%80%E8%88%AC%E8%B5%84%E6%96%99) Ten Pao Group Holdings Limited, incorporated in the Cayman Islands and listed on HKEX since 2015, primarily engages in consumer switching power supplies and industrial smart chargers and controllers in China, with Mr. Hung Kwong Yee as controlling shareholder - Ten Pao Group Holdings Limited was incorporated in the Cayman Islands on January 27, 2015, and listed on The Stock Exchange of Hong Kong Limited on December 11, 2015[9](index=9&type=chunk)[10](index=10&type=chunk) - The Group is principally engaged in the development, manufacture, and sale of consumer switching power supplies and industrial smart chargers and controllers in the PRC, with Mr. Hung Kwong Yee as the controlling shareholder[9](index=9&type=chunk) [Basis of Preparation](index=6&type=section&id=%E7%BC%96%E5%88%B6%E5%9F%BA%E5%87%86) These interim financial information are prepared in accordance with HKAS 34 "Interim Financial Reporting" issued by the HKICPA and should be read in conjunction with the 2024 annual financial statements - These interim financial information are prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants and should be read in conjunction with the annual financial statements for the year ended December 31, 2024[13](index=13&type=chunk) [Accounting Policies](index=6&type=section&id=%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96) Accounting policies applied are consistent with the 2024 financial statements, except for HKFRS amendments effective January 1, 2025, which directors believe have no significant impact on the Group's financial performance or position - The accounting policies applied are consistent with those adopted in the 2024 financial statements, except for the adoption of amendments to Hong Kong Financial Reporting Standards effective for financial years beginning on January 1, 2025[14](index=14&type=chunk) - The Directors believe that the application of new and revised standards and interpretations of HKFRS during the period has no significant impact on the Group's financial performance and position for the current and prior periods, nor on the information disclosed in these interim financial information[15](index=15&type=chunk) Standards Issued But Not Yet Applied by the Group | Standard | Description | Effective Date | | :--- | :--- | :--- | | Annual Improvements to HKFRS Accounting Standards | Annual Improvements | January 1, 2026 | | Amendments to HKFRS 9 and HKFRS 7 | Classification and Measurement of Financial Instruments | January 1, 2026 | | HKFRS 18 | Presentation and Disclosure in Financial Statements | January 1, 2027 | | HKFRS 19 | Non-publicly Accountable Subsidiaries: Disclosures | January 1, 2027 | | HK(IFRIC)-Int 5 | Classification by a Borrower of a Term Loan that Contains a Repayment on Demand Clause | January 1, 2027 | | Amendments to HKAS 28 and HKFRS 10 | Sale or Contribution of Assets between an Investor and its Associate or Joint Venture | To be determined | [Estimates](index=7&type=section&id=%E4%BC%B0%E8%AE%A1) The preparation of interim financial information involves management judgments, estimates, and assumptions consistent with those applied in the 2024 financial statements, with actual results potentially differing - The preparation of interim financial information requires management to make judgments, estimates, and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income, and expenses, and actual results may differ[18](index=18&type=chunk) - In preparing these interim financial information, the significant judgments made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those applied in the 2024 financial statements[18](index=18&type=chunk) [Financial Risk Management](index=7&type=section&id=%E8%B4%A2%E5%8A%A1%E9%A3%8E%E9%99%A9%E7%AE%A1%E7%90%86) The Group faces market risks (foreign exchange, price, interest rate), credit risk, and liquidity risk, with no changes in risk management functions or policies since December 31, 2024, and no significant liquidity risk - The Group is exposed to various financial risks from its business activities: market risk (including foreign exchange risk, price risk, cash flow, and fair value interest rate risk), credit risk, and liquidity risk[19](index=19&type=chunk) - There have been no changes in the risk management function or risk management policies since December 31, 2024[19](index=19&type=chunk) - The Directors believe that the Group does not have any significant liquidity risk[20](index=20&type=chunk) [Segment Information](index=8&type=section&id=%E5%88%86%E9%83%A8%E8%B5%84%E6%96%99) The Group's business is divided into six reportable segments: smart chargers and controllers, telecommunications, new energy business, media and entertainment, lighting, and others, with smart chargers and controllers having the highest revenue and new energy business showing significant growth for the six months ended June 30, 2025 - The Group's electronic charging products are classified into six reportable segments: (i) smart chargers and controllers; (ii) telecommunications; (iii) new energy business; (iv) media and entertainment; (v) lighting; and (vi) others[21](index=21&type=chunk) Segment Revenue and Results (for the Six Months Ended June 30) | Segment | 2025 Revenue (thousand HKD) | 2025 Segment Results (thousand HKD) | 2024 Revenue (thousand HKD) | 2024 Segment Results (thousand HKD) | | :--- | :--- | :--- | :--- | :--- | | Smart Chargers and Controllers | 1,170,307 | 279,599 | 989,123 | 264,363 | | Telecommunications | 663,505 | 85,430 | 639,117 | 92,967 | | New Energy Business | 562,244 | 44,969 | 420,911 | 48,207 | | Media and Entertainment | 221,977 | 41,713 | 168,547 | 34,876 | | Lighting | 207,137 | 52,361 | 146,748 | 35,146 | | Others | 122,881 | 22,586 | 106,565 | 26,291 | | **Total** | **2,948,051** | **526,658** | **2,471,011** | **501,850** | Non-current Assets by Country (excluding financial instruments and deferred income tax assets) | Country | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | | :--- | :--- | :--- | | PRC (excluding Hong Kong) | 1,370,416 | 1,217,535 | | Vietnam | 146,525 | 127,906 | | Hungary | 64,966 | 61,999 | | Hong Kong | 88,829 | 9,818 | | Others | 33,820 | 11,714 | | **Total** | **1,704,556** | **1,428,972** | [Other Income and Other Gains — Net](index=10&type=section&id=%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5%E5%8F%8A%E5%85%B6%E4%BB%96%E6%94%B6%E7%9B%8A%20%E2%80%94%20%E5%87%80%E9%A2%9D) For the six months ended June 30, 2025, other income was HKD 9.3 million and other net gains were HKD 28.2 million, primarily from net exchange gains and government grants Other Income and Other Gains — Net | Item | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | | :--- | :--- | :--- | | **Other Income** | | | | Sale of Scraps | 4,867 | 3,586 | | Product Standard Modification Fees | — | 2,444 | | Sale of Raw Materials, Samples, and Molds | 2,209 | 2,423 | | Safety Fee Income | 729 | 707 | | Others | 1,457 | 1,348 | | **Subtotal** | **9,262** | **10,508** | | **Other Gains — Net** | | | | Fair Value Changes of Derivative Financial Instruments | 1,336 | (648) | | Fair Value Changes of Financial Assets at Fair Value Through Profit or Loss | 3,188 | 2,419 | | Fair Value Changes of Investment Properties | (300) | (500) | | Net Exchange Gains | 15,565 | 10,751 | | Government Grants | 7,920 | 17,929 | | Gains on Disposal of Property, Plant and Equipment | 2,816 | 187 | | Others | (2,375) | (1,226) | | **Subtotal** | **28,150** | **28,912** | [Expenses by Nature](index=10&type=section&id=%E6%8C%89%E6%80%A7%E8%B4%A8%E5%88%92%E5%88%86%E7%9A%84%E5%BC%80%E6%94%AF) For the six months ended June 30, 2025, total expenses amounted to HKD 2,731.8 million, with raw materials and consumables being the largest component and employee benefit expenses also increasing Expenses by Nature (for the Six Months Ended June 30) | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | | :--- | :--- | :--- | | Raw Materials and Consumables Used (excluding R&D expenses) | 1,923,878 | 1,741,599 | | Employee Benefit Expenses (excluding R&D expenses) | 394,462 | 326,802 | | Changes in Inventories of Finished Goods and Work-in-progress | 111,136 | (70,274) | | Depreciation, Amortisation and Impairment Expenses (excluding R&D expenses) | 72,091 | 89,538 | | R&D Expenses — Employee Benefit Expenses | 76,792 | 68,902 | | R&D Expenses — Raw Materials, Consumables, and Others Used | 23,424 | 15,873 | | R&D Expenses — Depreciation and Amortisation | 7,946 | 8,642 | | Provision for Impairment of Inventories | 58 | 2,607 | | Auditor's Remuneration | 1,678 | 1,618 | | Other Expenses | 120,379 | 115,158 | | **Total Cost of Sales, Selling Expenses, and Administrative Expenses** | **2,731,844** | **2,300,465** | [Finance Income and Expenses](index=11&type=section&id=%E8%B4%A2%E5%8A%A1%E6%94%B6%E5%85%A5%E5%8F%8A%E5%BC%80%E6%94%AF) For the six months ended June 30, 2025, net finance income was HKD 965 thousand, a significant decrease from HKD 6,913 thousand in the prior year, mainly due to a substantial increase in interest expense on bank borrowings Finance Income and Expenses (for the Six Months Ended June 30) | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | | :--- | :--- | :--- | | **Finance Income:** | | | | Interest Income | 8,024 | 9,035 | | **Finance Expenses:** | | | | Interest on Bank Borrowings | (6,255) | (1,349) | | Interest on Lease Liabilities | (804) | (773) | | **Finance Expenses Expensed** | **(7,059)** | **(2,122)** | | **Finance Income — Net** | **965** | **6,913** | [Income Tax Expense](index=11&type=section&id=%E6%89%80%E5%BE%97%E7%A8%8E%E5%BC%80%E6%94%AF) For the six months ended June 30, 2025, income tax expense was HKD 41.1 million, primarily comprising PRC corporate income tax, Hong Kong profits tax, and Vietnam corporate income tax, with some PRC subsidiaries enjoying a preferential 15% tax rate as "High-New Technology Enterprises" Income Tax Expense (for the Six Months Ended June 30) | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | | :--- | :--- | :--- | | **Current Income Tax** | | | | — PRC Corporate Income Tax | 20,792 | 15,573 | | — Hong Kong Profits Tax | 15,399 | 7,815 | | — Vietnam Corporate Income Tax | 7,356 | 4,263 | | **Subtotal** | **43,547** | **27,651** | | Deferred Income Tax | (2,418) | 4,029 | | **Total** | **41,129** | **31,680** | - Ten Pao Electronic (Huizhou) Co, Ltd, Dazhou Ten Pao Jinhu Electronic Co, Ltd, Shaanxi Huifeng Electronic Technology Co, Ltd, Huizhou Ten Pao Chuangneng Technology Co, Ltd, and Ten Pao Precision Technology (Huizhou) Co, Ltd are recognized as "High-New Technology Enterprises" and enjoy a preferential corporate income tax rate of **15%**[27](index=27&type=chunk) [Earnings Per Share](index=12&type=section&id=%E6%AF%8F%E8%82%A1%E7%9B%88%E5%88%A9) For the six months ended June 30, 2025, basic earnings per share increased to 21 HK cents from 17 HK cents in the prior year, with diluted earnings per share being similar to basic earnings per share Earnings Per Share (for the Six Months Ended June 30) | Indicator | 2025 (thousand HKD/thousand shares/HK cents) | 2024 (thousand HKD/thousand shares/HK cents) | | :--- | :--- | :--- | | Profit Attributable to Owners of the Company | 211,650 | 175,830 | | Weighted Average Number of Shares in Issue | 1,030,389 | 1,030,389 | | Basic Earnings Per Share | 21 | 17 | - As of June 30, 2025, diluted earnings per share were similar to basic earnings per share (June 30, 2024: same)[29](index=29&type=chunk) [Dividends](index=12&type=section&id=%E8%82%A1%E6%81%AF) The Board resolved to declare an interim dividend of 6.2 HK cents per ordinary share for the six months ended June 30, 2025, totaling HKD 63.9 million, an increase from the prior year - The Board resolved on August 21, 2025, to declare an interim dividend of **6.2 HK cents per ordinary share** of the Company for the six months ended June 30, 2025 (2024 interim: 5.2 HK cents per ordinary share), amounting to **HKD 63.9 million** (2024 interim: HKD 53.6 million)[30](index=30&type=chunk) - On June 13, 2025, the final dividend of **6 HK cents per ordinary share** of the Company for the year ended December 31, 2024 (amounting to HKD 61,823,000) was approved by the then shareholders[30](index=30&type=chunk) [Property, Plant and Equipment](index=13&type=section&id=%E7%89%A9%E4%B8%9A%E3%80%81%E5%8E%82%E6%88%BF%E5%8F%8A%E8%AE%BE%E5%A4%87) As of June 30, 2025, the net book value of property, plant and equipment increased to HKD 1,370.6 million from December 31, 2024, primarily due to additions and currency translation differences Changes in Net Book Value of Property, Plant and Equipment | Item | June 30, 2025 (thousand HKD) | | :--- | :--- | | Net Book Value at January 1, 2024 | 1,253,639 | | Additions | 165,456 | | Disposals | (6,491) | | Currency Translation Differences | 26,048 | | Depreciation/Amortisation | (68,061) | | **Net Book Value at June 30, 2025** | **1,370,591** | [Inventories](index=13&type=section&id=%E5%AD%98%E8%B4%A7) As of June 30, 2025, net inventories decreased to HKD 851.2 million from December 31, 2024, mainly due to reductions in raw materials, work-in-progress, and finished goods, while impairment provisions slightly increased Composition of Inventories | Item | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Raw Materials | 327,152 | 400,376 | | Work-in-progress | 177,626 | 191,874 | | Finished Goods | 440,675 | 537,563 | | **Total** | **945,453** | **1,129,813** | | Less: Impairment Provision | (94,216) | (92,872) | | **Net Value** | **851,237** | **1,036,941** | Changes in Impairment Provision for Inventories | Item | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | | :--- | :--- | :--- | | At January 1 | 92,872 | 108,499 | | Currency Translation Differences | 1,286 | (480) | | Net Write-back of Provision | 58 | 2,607 | | **At June 30** | **94,216** | **110,626** | [Trade and Other Receivables](index=14&type=section&id=%E8%B4%B8%E6%98%93%E5%8F%8A%E5%85%B6%E4%BB%96%E5%BA%94%E6%94%B6%E6%AC%BE%E9%A1%B9) As of June 30, 2025, total trade and other receivables amounted to HKD 1,680.5 million, with net trade receivables at HKD 1,522.2 million, generally subject to 30 to 90-day credit terms, and some receivables pledged for bank borrowings Composition of Trade and Other Receivables | Item | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Trade Receivables — Net | 1,522,219 | 1,452,038 | | VAT Provision | 90,805 | 64,509 | | Prepayments | 24,500 | 20,093 | | Bills Receivable | 18,302 | 97 | | Cash in Transit | 9,420 | 8,837 | | Export Tax Refund Receivable | 6,720 | 16,185 | | Deposits | 3,978 | 8,087 | | Employee Benefits | 3,682 | 3,306 | | Advances to Employees | 745 | 560 | | Others | 143 | 3,635 | | **Total** | **1,680,514** | **1,577,347** | Ageing Analysis of Trade Receivables | Ageing | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Less than 3 months | 1,213,616 | 1,088,281 | | More than 3 months but not exceeding 1 year | 314,610 | 367,100 | | More than 1 year | 1,391 | 3,616 | | **Total** | **1,529,617** | **1,458,997** | - As of June 30, 2025, the Group's bank borrowings were secured by trade and other receivables with a carrying amount of **HKD 83,257,000** (December 31, 2024: HKD 332,282,000)[34](index=34&type=chunk) [Share Capital and Share Premium](index=15&type=section&id=%E8%82%A1%E6%9C%AC%E5%8F%8A%E8%82%A1%E4%BB%BD%E6%BA%A2%E4%BB%B7) As of June 30, 2025, issued and fully paid ordinary share capital was HKD 10.3 million and share premium was HKD 162.4 million, remaining unchanged from December 31, 2024 Issued and Fully Paid Ordinary Shares | Item | Number of Shares | Share Capital (thousand HKD) | Share Premium (thousand HKD) | Total (thousand HKD) | | :--- | :--- | :--- | :--- | :--- | | At January 1, 2024, December 31, 2024, January 1, 2025, and June 30, 2025 | 1,030,388,965 | 10,304 | 162,426 | 172,730 | [Borrowings](index=15&type=section&id=%E5%80%9F%E8%B4%B7) As of June 30, 2025, total borrowings were HKD 610.8 million, all current bank borrowings, a decrease from HKD 650.7 million on December 31, 2024, mainly due to net repayment, with some bank borrowings secured by restricted bank deposits and trade and other receivables Total Borrowings | Item | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | **Non-current** | | | | Bank Borrowings — Secured | — | 3,002 | | Less: Current Portion of Non-current Borrowings | — | (3,002) | | **Subtotal** | **—** | **—** | | **Current** | | | | Bank Borrowings — Secured | 505,840 | 606,262 | | Bank Borrowings — Unsecured | 104,936 | 41,477 | | **Total Short-term Bank Borrowings** | **610,776** | **647,739** | | Current Portion of Non-current Borrowings | — | 3,002 | | **Total Borrowings** | **610,776** | **650,741** | Changes in Borrowings (for the Six Months Ended June 30) | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | | :--- | :--- | :--- | | Opening Balance at January 1 | 650,741 | 654,899 | | Proceeds from Borrowings | 583,747 | 140,879 | | Repayment of Borrowings | (632,592) | (584,370) | | Currency Translation Differences | 8,880 | (3,464) | | **Closing Balance at June 30** | **610,776** | **207,944** | Assets Pledged for Bank Borrowings | Pledged Assets | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Restricted Bank Deposits | 385,853 | 584,942 | | Trade and Other Receivables | 83,257 | 332,282 | | Investment Properties | — | 6,300 | | **Total** | **469,110** | **923,524** | [Trade and Other Payables](index=16&type=section&id=%E8%B4%B8%E6%98%93%E5%8F%8A%E5%85%B6%E4%BB%96%E5%BA%94%E4%BB%98%E6%AC%BE%E9%A1%B9) As of June 30, 2025, total trade and other payables amounted to HKD 2,105.2 million, a decrease from December 31, 2024, primarily due to reductions in trade payables and bills payable Composition of Trade and Other Payables | Item | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Trade Payables | 1,297,736 | 1,613,613 | | Bills Payable | 322,436 | 496,672 | | Accrued Wages and Employee Benefits | 302,001 | 346,398 | | Accrued Expenses and Other Payables | 129,932 | 130,414 | | Payables Related to Share-based Transactions with Subsidiaries | 24,916 | 29,911 | | Endorsed Bills Receivable Not Derecognized and Not Yet Due | 18,031 | — | | Other Taxes Payable | 10,195 | 6,649 | | **Total** | **2,105,247** | **2,623,657** | Ageing Analysis of Trade Payables | Ageing | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Less than 3 months | 1,212,210 | 1,267,909 | | More than 3 months but not exceeding 1 year | 77,538 | 335,907 | | More than 1 year | 7,988 | 9,797 | | **Total** | **1,297,736** | **1,613,613** | [Management Discussion and Analysis](index=17&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) [Overview](index=17&type=section&id=%E6%A6%82%E8%A7%88) Ten Pao Group, a smart power solution provider, successfully navigated global inflation and geopolitical conflicts in H1 2025 through diversified market presence, production bases, and R&D centers, achieving 19.3% revenue growth to HKD 2,948.1 million and 20.4% profit growth to HKD 211.7 million, while maintaining a stable dividend policy - Ten Pao, as a leading smart power solution provider, has consistently received multiple awards for excellent quality and delivery from Global Fortune 500 clients for many years, and has been recognized as a national provincial green factory and awarded for excellence in new industrialization[37](index=37&type=chunk) - Facing global inflation, geopolitical conflicts, and trade barriers, the Group successfully implemented flexible resource allocation and agile market response through diversified markets, decentralized production bases, and R&D centers[38](index=38&type=chunk) - The Group seized opportunities in AI smart manufacturing and energy development, expanding its new energy and high-end smart controller businesses, enhancing its product portfolio and customer base, thereby forming a business safety barrier[38](index=38&type=chunk) Key Financial Performance for H1 2025 | Indicator | Amount (HKD) | Year-on-Year Growth | | :--- | :--- | :--- | | Revenue | 2,948.1 million | 19.3% | | Gross Profit | 526.7 million | - | | Gross Profit Margin | 17.9% | Decreased | | Profit Before Tax | 253.3 million | - | | Profit Attributable to Owners of the Company | 211.7 million | 20.4% | | Basic Earnings Per Share | 21 HK cents | Increased | - The Group is committed to maintaining a long-term stable dividend policy, declaring an interim dividend of **6.2 HK cents per ordinary share** for the current period (2024: 5.2 HK cents), with a payout ratio of approximately **30.2%**[40](index=40&type=chunk) [Market and Business Review](index=18&type=section&id=%E5%B8%82%E5%9C%BA%E5%8F%8A%E4%B8%9A%E5%8A%A1%E5%9B%9E%E9%A1%BE) Amid global market uncertainties, the Group maintained operational and financial stability through its "high quality, strong R&D, smart manufacturing, and global presence" strategy, expanding industrial power, new energy, and consumer power businesses, with global production layout entering a harvest phase and active positioning in AI computing power and smart controller markets - The Group steadfastly executed its comprehensive strategy of "high quality, strong R&D, smart manufacturing, and global presence" to drive diversified development of innovative products and customers with high flexibility, maintain stable raw material supply, advance order fulfillment and delivery, and implement strict internal cost control, thereby maintaining operational and financial stability[41](index=41&type=chunk) - The industrial power segment's revenue increased by **18.3%** year-on-year, accounting for **39.7%** of total revenue, as the Group continued to research and develop fast charging technologies and high-tech digital power products, entering the new track of high-power computing power power supplies[42](index=42&type=chunk) - The Group successfully expanded its AI computing power power product matrix, launching new high-power power products of **3,500W** for servers, widely applicable in high-performance computing scenarios such as cloud computing data centers, supercomputing/HPC systems, and enterprise-grade servers[43](index=43&type=chunk) - To seize opportunities in the smart controller market, the Group actively engaged with Global Fortune 500 clients to expand demand for high-end smart controller orders, with new production bases in Vietnam and Mexico equipped with smart controller production facilities[45](index=45&type=chunk) - New energy business revenue increased by **33.6%** year-on-year, rising to **19.1%** of total revenue, primarily driven by energy storage and automotive electronics products, as the Group adhered to three strategies: "energy storage systems, automotive electronics applications, and core charging modules for electric vehicles," and participated in Thailand's "oil-to-electric" two-wheel electric vehicle battery swap cabinet and fast charging pile projects[47](index=47&type=chunk) - The Group's global production layout is entering a harvest phase, with production bases located in Huizhou and Dazhou in China, Hungary, Vietnam, and Mexico, and the new Chuangneng Industrial Park production lines in Huizhou are expected to be fully operational in H2 2025, while new factory production lines in Vietnam and Mexico primarily focus on smart controllers[48](index=48&type=chunk) - The Group integrates AI application technology into its production equipment and develops core components of AI hardware—smart controllers and charging solutions—to fully connect the AI industry chain, enhance production capacity and efficiency, and provide high-end technical support to downstream customers[50](index=50&type=chunk) [Outlook](index=20&type=section&id=%E5%B1%95%E6%9C%9B) For H2 2025, facing global economic slowdown and trade policy changes, the Group will deepen its core new energy and smart controller businesses, align with "new quality productive forces," focus on energy storage, EV charging, and AI computing power, and enhance R&D, global production, and supply chain management for sustainable growth - Looking ahead to H2 2025, the Group will maintain close communication with customers, respond to global market changes with a flexible global production and sales network, and seize global emission reduction and intelligentization trends to develop competitive smart products, continuously deepening and expanding its core new energy and smart controller businesses[51](index=51&type=chunk) - The Group will actively respond to the national call for developing "new quality productive forces," expand into the green new energy sector, focusing on cutting-edge areas such as energy storage system solutions, electric vehicle charging equipment, green mobility, and AI computing power power supplies, which will become new engines driving Ten Pao's future growth[52](index=52&type=chunk) - The Group will continue to strengthen R&D investment, focusing on developing smart products and energy storage systems, high-end smart controllers, all-digital power products, and high-power and high-stability power products, and actively expand into the Southeast Asian new energy market, participating in Thailand's "oil-to-electric" two-wheel electric vehicle battery swap cabinet and fast charging pile projects[54](index=54&type=chunk) - The global smart controller market size is projected to exceed **USD 100 billion by 2033**, and the Group will continue to empower growth across various industries, making it a key development direction[55](index=55&type=chunk) - Global AI computing power equipment power supply market sales are expected to reach **USD 805 million by 2031**, with a compound annual growth rate of **7.5%**, and the Group will continue to strengthen the development and market promotion of AI computing power power supply related product lines, and evaluate cooperation opportunities with leading global technology companies[57](index=57&type=chunk) - The Group will continue to strengthen its global product and production layout, strategically expand overseas production bases, actively promote the application of intelligent manufacturing and high-efficiency technologies, and enhance cooperation with top international clients to expand into high-value-added business areas[59](index=59&type=chunk) [Liquidity and Financial Resources](index=23&type=section&id=%E6%B5%81%E5%8A%A8%E8%B5%84%E9%87%91%E5%8F%8A%E8%B4%A2%E5%8A%A1%E8%B5%84%E6%BA%90) As of June 30, 2025, the Group maintained a sound financial position with net current assets of HKD 338.4 million, a current ratio of 1.12 times, and a gearing ratio of 29.9%, with net cash from operating activities at HKD 99.7 million, net cash used in investing activities at HKD 230.4 million, and net cash from financing activities at HKD 3.1 million Liquidity and Financial Ratios | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Net Current Assets | HKD 338.4 million | HKD 350.2 million | | Current Ratio | 1.12 times | 1.10 times | | Gearing Ratio | 29.9% | 35.1% | Cash Flow (for the Six Months Ended June 30) | Item | 2025 (million HKD) | 2024 (million HKD) | | :--- | :--- | :--- | | Net Cash from Operating Activities | 99.7 | 332.9 | | Net Cash Used in Investing Activities | (230.4) | (183.9) | | Net Cash from Financing Activities | 3.1 | (66.9) | Debt Maturity Profile | Maturity Period | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Within 1 year | 610,776 | 650,741 | | 1 to 2 years | — | — | | 2 to 5 years | — | — | | **Total** | **610,776** | **650,741** | [Financial Risk Management](index=24&type=section&id=%E8%B4%A2%E5%8A%A1%E9%A3%8E%E9%99%A9%E7%AE%A1%E7%90%86_MD%26A) The Group manages foreign exchange risk, cash flow and fair value interest rate risk, and credit risk through regular review of net foreign exchange exposure, maintaining sufficient cash, and implementing strict customer credit assessment policies [Foreign Exchange Risk](index=24&type=section&id=%E5%A4%96%E6%B1%87%E9%A3%8E%E9%99%A9) The Group primarily faces exchange rate fluctuation risks of HKD and USD against RMB, as most revenue and receivables are denominated in USD and HKD, while cost of sales is mainly in RMB, with no foreign exchange forward contracts entered into during the period - The Group is exposed to currency exchange rate fluctuation risks of HKD and USD against RMB due to its export sales to overseas countries, with revenue denominated in USD and HKD accounting for approximately **48.7%** of its total revenue (2024: 50.1%)[65](index=65&type=chunk) - The Group manages its foreign exchange risk by regularly reviewing its net foreign exchange exposure and may enter into foreign exchange forward contracts when necessary, but no such contracts were entered into during the current period[65](index=65&type=chunk) [Cash Flow and Fair Value Interest Rate Risk](index=24&type=section&id=%E7%8E%B0%E9%87%91%E6%B5%81%E9%87%8F%E5%8F%8A%E5%85%AC%E5%85%81%E5%80%BC%E5%88%A9%E7%8E%87%E9%A3%8E%E9%99%A9) The Group's income and operating cash flows are largely unaffected by market interest rate changes due to no significant interest-bearing assets (excluding bank balances and cash), with bank borrowings primarily denominated in HKD, USD, and RMB - The Group's income and operating cash flows are largely unaffected by changes in market interest rates, as the Group has no significant interest-bearing assets (other than bank balances and cash)[66](index=66&type=chunk) - As of June 30, 2025, the Group's bank borrowings amounted to **HKD 610.8 million** (December 31, 2024: HKD 650.7 million), primarily denominated in HKD, USD, and RMB[66](index=66&type=chunk) [Credit Risk](index=24&type=section&id=%E4%BF%A1%E8%B4%B7%E9%A3%8E%E9%99%A9) The Group has no significant concentration of credit risk, managing it by extending credit to customers with good credit records, regularly assessing financial standing, and requiring prepayments, while bank balances and restricted deposits are held with reputable banks - The Group has no significant concentration of credit risk, having implemented policies to ensure that credit terms are only granted to customers with good credit records, and regularly assesses their creditworthiness based on financial standing, past experience, and other factors[67](index=67&type=chunk) - For customers not granted credit terms, the Group generally requires them to pay deposits and/or advances before product delivery[67](index=67&type=chunk) - All of the Group's bank balances, time deposits, and restricted bank deposits are held with reputable and large banks and financial institutions in the PRC and Hong Kong that do not have significant credit risk[68](index=68&type=chunk) [Liquidity Risk](index=25&type=section&id=%E6%B5%81%E5%8A%A8%E8%B5%84%E9%87%91%E9%A3%8E%E9%99%A9) Management closely monitors liquidity, maintaining sufficient cash and cash equivalents to cover working capital and mitigate cash flow fluctuations - The Group's management closely monitors its liquidity position, maintaining cash and cash equivalents at levels deemed sufficient to cover working capital and mitigate the impact of cash flow fluctuations[69](index=69&type=chunk) [Contingent Liabilities](index=25&type=section&id=%E6%88%96%E7%84%B6%E8%B4%9F%E5%80%BA) As of June 30, 2025, the Group had no significant contingent liabilities - As of June 30, 2025, the Group had no significant contingent liabilities (December 31, 2024: nil)[70](index=70&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=25&type=section&id=%E8%B4%AD%E4%B9%B0%E3%80%81%E5%87%BA%E5%94%AE%E6%88%96%E8%B5%8E%E5%9B%9E%E6%9C%AC%E5%85%AC%E5%8F%B8%E4%B8%8A%E5%B8%82%E8%AF%81%E5%88%B8) During the period, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities - During the period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[71](index=71&type=chunk) [Human Resources](index=25&type=section&id=%E4%BA%BA%E5%8A%9B%E8%B5%84%E6%BA%90) As of June 30, 2025, the Group employed approximately 8,000 full-time employees, with total labor costs of HKD 471.3 million, and has adopted new share option and subsidiary share award schemes to attract, develop, and retain talent - As of June 30, 2025, the Group employed approximately **8,000 full-time employees**, with total labor costs for the period amounting to **HKD 471.3 million**, compared to HKD 395.7 million for the corresponding period last year[72](index=72&type=chunk) - The Company conditionally adopted a share option scheme ("2025 Share Option Scheme") on June 13, 2025, aiming to provide incentives, rewards, or encouragement to eligible participants through the grant of share options[73](index=73&type=chunk) - The board of directors of Ten Pao Electronic (Huizhou) Co, Ltd, a subsidiary of the Company, has resolved to propose the adoption of the Ten Pao Electronic (Huizhou) Share Award Scheme, aiming to establish a long-term incentive mechanism to attract and retain talent[73](index=73&type=chunk) [Other Information](index=26&type=section&id=%E5%85%B6%E4%BB%96%E4%BF%A1%E6%81%AF) [Corporate Governance Practices](index=26&type=section&id=%E4%BC%81%E4%B8%9A%E7%AE%A1%E6%B2%BB%E5%B8%B8%E8%A7%84) The Company is committed to good corporate governance, having established audit, nomination, and remuneration committees, and has complied with the Corporate Governance Code during the period, except for the combined roles of Chairman and CEO, which the Board believes is in the Company's best interest - The Board has established an Audit Committee, a Nomination Committee, and a Remuneration Committee, and formulated their respective terms of reference, in compliance with the requirements of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[74](index=74&type=chunk) - The Company has complied with the applicable code provisions of the Corporate Governance Code throughout the period, save for code provision C.2.1 (separation of the roles of chairman and chief executive)[74](index=74&type=chunk) - The Board believes that combining the roles of Chairman and Chief Executive Officer allows for strong and consistent leadership, which facilitates the Group's implementation and execution of business strategies, serving the best interests of the Company[75](index=75&type=chunk) [Changes in Composition of Nomination Committee](index=26&type=section&id=%E6%8F%90%E5%90%8D%E5%A7%94%E5%91%98%E4%BC%9A%E7%BB%84%E6%88%90%E5%8F%98%E5%8A%A8) Ms. Hung Shui Lam, an executive director, was appointed as a member of the Nomination Committee effective August 21, 2025, resulting in a six-member committee comprising two executive and four independent non-executive directors - Ms. Hung Shui Lam, an executive director of the Company, has been appointed as a member of the Nomination Committee, effective August 21, 2025[76](index=76&type=chunk) - Following the aforementioned change, the Nomination Committee will comprise **six members**, including two executive directors (namely Mr. Hung, Chairman, and Ms. Hung Shui Lam) and four independent non-executive directors[76](index=76&type=chunk) [Standard Code for Securities Transactions](index=27&type=section&id=%E8%AF%81%E5%88%B8%E4%BA%A4%E6%98%93%E6%A0%87%E5%87%86%E5%AE%88%E5%88%99) The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as its code of conduct for directors and relevant employees, with all directors confirming compliance during the period - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules as its code of conduct for directors' dealings in the Company's securities[77](index=77&type=chunk) - All Directors confirmed that they have complied with the Model Code throughout the period and up to the date of this announcement, and the Company is not aware of any non-compliance with the Model Code by relevant employees[77](index=77&type=chunk) [Interim Dividend](index=27&type=section&id=%E4%B8%AD%E6%9C%9F%E8%82%A1%E6%81%AF) The Board has resolved to declare an interim dividend of 6.2 HK cents per ordinary share for the period (2024: 5.2 HK cents), expected to be paid on October 27, 2025, to shareholders on record as of October 10, 2025 - The Board has resolved to declare an interim dividend of **6.2 HK cents per ordinary share** (2024: 5.2 HK cents per ordinary share) to shareholders for the current period[78](index=78&type=chunk) - The interim dividend is expected to be paid on Monday, October 27, 2025, to all shareholders whose names appear on the register of members of the Company on Friday, October 10, 2025[78](index=78&type=chunk) [Significant Events After Reporting Period](index=27&type=section&id=%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%90%8E%E9%87%8D%E5%A4%A7%E4%BA%8B%E4%BB%B6) The Directors are unaware of any discloseable significant events occurring after June 30, 2025, and up to the announcement date - The Directors are not aware of any significant events requiring disclosure that have occurred subsequent to June 30, 2025, and up to the date of this announcement[79](index=79&type=chunk) [Closure of Register of Members](index=27&type=section&id=%E6%9A%82%E5%81%9C%E5%8A%9E%E7%90%86%E8%82%A1%E4%BB%BD%E8%BF%87%E6%88%B7%E7%99%BB%E8%AE%B0%E6%89%8B) The Company's register of members will be closed from October 8 to October 10, 2025, to determine shareholders entitled to the interim dividend, with the ex-dividend date being October 3, 2025 - The Company's register of members will be closed from Wednesday, October 8, 2025, to Friday, October 10, 2025 (both days inclusive), for the purpose of determining shareholders entitled to the interim dividend for the current period[80](index=80&type=chunk) - The ex-dividend date will be Friday, October 3, 2025[80](index=80&type=chunk) [Audit Committee and Review of Financial Statements](index=27&type=section&id=%E5%AE%A1%E6%A0%B8%E5%A7%94%E5%91%98%E4%BC%9A%E5%8F%8A%E5%AE%A1%E9%98%85%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) The Audit Committee, comprising four independent non-executive directors, has reviewed the unaudited interim condensed consolidated financial statements for the period and deemed the Group's risk management and internal control systems effective - The Audit Committee comprises all **four independent non-executive directors**[81](index=81&type=chunk) - The Audit Committee has reviewed the Company's unaudited interim condensed consolidated financial statements for the period with the Company's management, and has also reviewed the effectiveness of the Group's risk management and internal control systems, deeming them effective[81](index=81&type=chunk) [Publication of Interim Results Announcement and Interim Report](index=28&type=section&id=%E5%88%8A%E7%99%BB%E4%B8%AD%E6%9C%9F%E4%B8%9A%E7%BB%A9%E5%85%AC%E5%91%8A%E5%8F%8A%E4%B8%AD%E6%9C%9F%E6%8A%A5%E5%91%8A) The interim results announcement has been published on the HKEX and Company websites, and the interim report, containing all information required by the Listing Rules, will be issued to shareholders and published on both websites in due course - This interim results announcement is published on the HKEX website (www.hkexnews.hk) and the Company's website (www.tenpao.com)[82](index=82&type=chunk) - The interim report for the period, containing all information required by the Listing Rules, will be dispatched to shareholders and published on the respective websites of the HKEX and the Company in due course[82](index=82&type=chunk)

Market Overview - US stock indices closed mixed, with the Nasdaq down 1.46% and the S&P 500 down 0.59%, while the Dow Jones rose 0.02%, reaching a record high during the session [3] - Major tech stocks mostly declined, with AMD down over 5% and Nvidia down over 3%, marking the largest single-day drop since April 21 [3] - Chinese stocks on Nasdaq fell, with the Nasdaq Golden Dragon China Index down 0.9% [3] Commodity Prices - International oil prices fell, with WTI crude oil down 1.12% at $62.00 per barrel and Brent crude down 0.95% at $65.97 per barrel [4] - Precious metals also saw declines, with COMEX gold futures down 0.57% at $3358.90 per ounce and silver down 1.84% at $37.33 per ounce [3] Corporate Developments - Dongfang Zhenxuan's stock price experienced a sharp drop, falling from a 23.56% increase to a 20% decrease within an hour, attributed to rumors regarding CEO Zhou Chenggang being under investigation [20][21] - Pop Mart reported a significant increase in adjusted net profit for the first half of the year, reaching 4.71 billion yuan, a 362.8% year-on-year increase, with revenue of 13.88 billion yuan, up 204.4% [22][23] - Intel is in discussions for the US government to acquire a 10% stake, with ongoing negotiations regarding the details [24] - Xiaomi plans to officially enter the European market with its electric vehicles in 2027, with expectations of profitability in its innovative businesses in the latter half of the year [24][25] - XPeng Motors reported a total revenue of 18.27 billion yuan for Q2, a 125.3% year-on-year increase, with a net loss of 480 million yuan, narrowing from 1.285 billion yuan the previous year [26][27] - Apple has begun large-scale production of the iPhone 17, with Foxconn ramping up hiring in its Zhengzhou factory [28] - Tesla launched the Model Y L in China, priced starting at 339,000 yuan, which is expected to impact the competitive landscape of the electric SUV market [29][30] Regulatory and Policy Updates - The Ministry of Industry and Information Technology held a meeting to regulate the photovoltaic industry, emphasizing the importance of maintaining healthy competition and product quality [10] - The Ministry of Human Resources and Social Security announced new conditions for personal pension withdrawals, effective September 1 [11]

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。 承董事會命 天寶集團控股有限公司 主席兼行政總裁 洪光椅 天寶集團控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1979） 董事會會議召開日期 天寶集團控股有限公司（「本公司」）之董事會（「董事會」）謹此宣佈，本公司將於2025 年8月21日（星期四）舉行董事會會議，其中議程包括批准刊發本公司及其附屬公司 截至2025年6月30日止六個月之未經審核綜合中期業績公告，以及考慮派發股息（如 有）。 TEN PAO GROUP HOLDINGS LIMITED 於本公告日期，董事會包括三名執行董事，分別為洪光椅先生、謝仲成先生及洪瑞 琳女士；及四名獨立非執行董事，分別為林長泉先生、朱逸鵬先生、李均雄先生及 呂新榮博士。 香港，2025年8月11日 ...

Summary of Key Points Core Viewpoint - As of August 8, a total of 90 stocks reached their 52-week highs, indicating a strong performance in the market, with notable leaders in the high-growth category [1]. 52-Week Highs - The top three stocks that achieved the highest growth rates are: - Fuyung (00352) with a growth rate of 147.42%, closing at 0.830 and reaching a high of 1.200 [1] - Maokai Kweichow (01716) with a growth rate of 44.33%, closing at 0.580 and reaching a high of 0.700 [1] - Biyang Green Group (01397) with a growth rate of 42.86%, closing at 0.900 and reaching a high of 1.100 [1] - Other notable stocks include: - Shaw Brothers Holdings (00953) at 37.61% growth [1] - Beihai Kangcheng-B (01228) at 32.43% growth [1] - Fubo Group (03738) at 22.32% growth [1] 52-Week Lows - The stocks that reached their 52-week lows include: - Kun Group (00924) with a decline of 7.89%, closing at 0.355 [3] - Huanshi Media (01003) with a decline of 7.46%, closing at 0.315 [3] - Jia Hong Logistics (02130) with a decline of 6.27%, closing at 2.990 [3] - Other significant declines include: - Dongyangguang Pharmaceutical (06887) at -6.09% [3] - Heng Tai Yu Group (08081) at -5.26% [3] - Macau Lijun (02913) at -4.41% [3]

FF301 股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年7月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 天寶集團控股有限公司 (於開曼群島註冊成立的有限公司) 呈交日期: 2025年8月1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) | 01979 | 說明 | | | | | | | | | | | 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 | | 0.01 HKD | | | 20,000,000 | | 增加 / 減少 (-) | | | | | | HKD | | | | | 本月底結存 | | | 2,000,000,000 | HKD | | 0.01 HKD | | | ...

Industry Overview - The Chinese smart terminal charging and storage product industry is experiencing rapid growth and technological upgrades, with a market size projected to reach 57.352 billion yuan in 2024, reflecting a year-on-year growth of 6.62% [1][15] - The demand for efficient charging and storage solutions is driven by sectors such as consumer electronics and new energy vehicles [1][15] - Key technological advancements include the widespread adoption of fast charging technology, with 100W fast charging becoming a standard for flagship smartphones, and breakthroughs in magnetic resonance technology in wireless charging [1][15] Industry Development History - The industry has evolved through four main stages: 1. **Emergence (2000-2010)**: Growth driven by the rise of smartphones and mobile internet, with basic wired chargers dominating the market [4] 2. **Growth (2011-2015)**: Rapid proliferation of smart devices and the introduction of fast charging technology, leading to increased market size [5] 3. **Maturity (2016-2020)**: Market competition intensified, with advancements in wireless charging and diversified storage products [6] 4. **Innovation (2021-present)**: Integration of IoT and AI technologies, with a surge in demand for storage and new energy solutions under the "dual carbon" goals [6] Industry Value Chain - The upstream of the industry includes raw materials, electronic components, and technological innovation, while the midstream focuses on manufacturing smart terminal charging and storage products [8] - The downstream applications span consumer electronics, smart homes, new energy vehicles, and industrial manufacturing [8] Market Trends - The industry is expected to see continued technological innovation, with a focus on fast charging, wireless charging, and smart technologies [22] - Market demand is becoming increasingly diversified and scenario-based, requiring customized solutions for various applications [23] - The competitive landscape is evolving, with a concentration of market share among leading brands, while smaller companies may face pressure to differentiate or exit the market [24] Key Companies - **Aohai Technology**: A leading player in the industry with a market share of nearly 17% in mobile chargers, focusing on R&D and innovation [17][18] - **Tianbao Group**: A global leader in power supply solutions, emphasizing technological innovation and expanding into emerging markets [20] - Other notable companies include Xiaomi, Huawei, and various manufacturers specializing in smart charging and storage solutions [17][18]

Financial Performance - Revenue increased by 11.7% year-on-year to HKD 5,385.7 million[11] - Profit attributable to owners rose by 16.7% year-on-year to HKD 383.9 million[11] - Gross profit margin improved to 19.5%, up 3.7% from the previous year[11] - The gross profit margin improved from 18.8% to 19.5% year-on-year, with a pre-tax profit increase of 10.1% to HKD 427.0 million[20] - The company's net profit attributable to shareholders rose by 16.7% to HKD 383.9 million[20] - The gross profit for the year ended December 31, 2024, was HKD 1,048.2 million, representing a 15.5% increase compared to the previous year[45] - The total comprehensive income attributable to the company's owners increased by 14.0% to HKD 346.6 million for the year ended December 31, 2024[54] - The company's total revenue increased by 11.7% from HKD 4,823.5 million for the year ended December 31, 2023, to HKD 5,385.7 million for the year ended December 31, 2024[37] Segment Performance - New energy segment revenue grew by 37.3% year-on-year, driven by the global trend of "oil-to-electric" transition[16] - Consumer power segment revenue slightly declined by 5.8% due to slow retail market recovery[16] - The industrial power division's revenue increased by 20.5%, accounting for 37.3% of total revenue, driven by strong demand for high-performance charging solutions[23] - The new energy division achieved a revenue growth of 37.3%, representing 19.5% of total revenue, primarily from energy storage and automotive electronics[24] - Revenue from telecommunications equipment decreased by 5.8% to HKD 1,455.9 million due to a slowdown in business from Chinese smartphone manufacturers[40] Dividends and Payouts - The company maintained a stable dividend payout ratio of 30.0% for the year[14] - The board proposed a final dividend of HKD 0.06 per share, with a total dividend for the year reaching HKD 0.112 per share, maintaining a payout ratio of 30.0%[21] - The company proposed a final dividend of HKD 0.06 per share for the year ending December 31, 2024, down from HKD 0.096 in 2023[170] Operational Efficiency - The average inventory turnover period decreased to 74 days, down 2.6% from the previous year[12] - Operating profit margin decreased to 7.8%, down 3.7% from the previous year[11] - Administrative expenses rose by 21.6% to HKD 506.2 million, primarily due to hiring more engineers and professionals for new business support[50] Market Expansion and Product Development - The company is optimistic about future demand for energy storage products and plans to expand its green power product portfolio[16] - The company is actively expanding its global footprint, particularly in Africa and Southeast Asia, to promote solar products and green power solutions[17] - The company plans to launch more high-power electric vehicle charging products to meet growing market demand[20] - The company is focusing on developing smart chargers and controllers to align with the global trend towards low-carbon and zero-carbon products[24] - The group aims to enhance its green transformation and has initiated a green factory project in the Huizhou industrial park to reduce carbon emissions and improve product environmental performance[30] Corporate Governance - The company emphasizes high ethical standards and aims to provide high-quality and reliable products and services to create value for stakeholders[88] - The board is committed to maintaining good corporate governance standards to protect shareholder interests and enhance company value[89] - The company has established a corporate governance framework in accordance with the Stock Exchange's listing rules to strengthen board capabilities[89] - The board consists of independent non-executive directors with extensive experience in various industries, enhancing oversight of the group's management[75][78][79] - The company has deviated from the corporate governance code, specifically clause C.2.1, where the roles of Chairman and CEO are held by the same individual, Mr. Hong[98] Risk Management and Compliance - The board is responsible for risk management and internal control systems, which are designed to manage risks rather than eliminate them[144] - The company conducts annual self-assessments in various departments to ensure compliance with monitoring policies and identify potential risks[144] - The independent auditor's report for the financial statements is included in the annual report, confirming the company's commitment to transparency[143] Employee and Director Matters - The company employed around 7,600 full-time employees as of December 31, 2024, an increase from approximately 7,200 employees in 2023[66] - The company provides training and professional development for directors as needed, ensuring they are informed about regulatory changes[108] - The company ensures that the remuneration of employees, including directors and senior management, is determined based on skills, knowledge, responsibilities, and participation in company affairs[129] Shareholder Communication and Meetings - The company has a shareholder communication policy to ensure timely and fair access to information for shareholders, facilitating informed participation in company affairs[159] - The company will hold its next annual general meeting on June 13, 2025, where three directors will be up for re-election[105] - The company will publish the results of voting on resolutions presented at shareholder meetings on its website and the stock exchange's website after each meeting[151]

Financial Performance - Revenue for the year ended December 31, 2024, increased by 11.7% to HKD 5,385.7 million[3] - Gross profit for the year ended December 31, 2024, rose by 15.5% to HKD 1,048.2 million, with a gross margin increase of 0.7 percentage points to 19.5%[3] - Profit before tax for the year ended December 31, 2024, increased by 10.1% to HKD 427.0 million[3] - Profit attributable to owners of the company for the year ended December 31, 2024, grew by 16.7% to HKD 383.9 million[3] - Basic and diluted earnings per share for the year ended December 31, 2024, were HKD 0.373, compared to HKD 0.319 for the previous year[4] - Total comprehensive income attributable to owners of the company for the year ended December 31, 2024, was HKD 346.6 million, up from HKD 304.2 million in the previous year[5] - The group reported a profit before tax of HKD 427,049,000 for 2024, compared to HKD 387,879,000 for 2023[33] - Basic earnings per share increased to 37.3 HKD cents in 2024 from 31.9 HKD cents in 2023[35] Dividends - The board proposed a final dividend of HKD 0.06 per share, subject to shareholder approval at the 2025 Annual General Meeting[3] - The proposed final dividend for the year ending December 31, 2024, is 6.0 HKD cents per share, totaling HKD 61,823,000[39] - The total cash dividend paid in 2024 amounted to HKD 152,497,000, which includes HKD 98,917,000 for the final dividend of 2023 and HKD 53,580,000 for the interim dividend of 2024[38] Assets and Liabilities - Total assets increased to HKD 5,409,651 thousand in 2024, up from HKD 4,319,552 thousand in 2023, representing a growth of 25.3%[7] - Total liabilities reached HKD 3,558,056 thousand in 2024, compared to HKD 2,668,298 thousand in 2023, indicating a rise of 33.3%[8] - Cash and cash equivalents rose to HKD 328,104 thousand in 2024, compared to HKD 150,476 thousand in 2023, representing a growth of 117.5%[7] - Trade and other payables increased to HKD 2,623,657 thousand in 2024, up from HKD 1,735,309 thousand in 2023, a growth of 51.3%[8] - Trade receivables increased to HKD 1,458,997,000 in 2024 from HKD 1,176,536,000 in 2023, representing a growth of approximately 24%[43] - The total borrowings decreased slightly to HKD 650,741,000 in 2024 from HKD 654,899,000 in 2023[45] Segment Performance - Revenue from external customers for the smart chargers segment reached HKD 2,009,551 thousand, contributing to a total revenue of HKD 5,385,748 thousand for the year ended December 31, 2024[20] - The segment performance for smart chargers was HKD 537,022 thousand, while total segment performance amounted to HKD 1,048,154 thousand[20] - The industrial power segment's revenue increased by 20.5%, accounting for 37.3% of total revenue[54] - The new energy segment saw a revenue increase of 37.3%, representing 19.5% of total revenue[56] - The revenue from telecommunications equipment segment decreased by 5.8% to HKD 1,456.0 million due to a slowdown in business from Chinese smartphone manufacturers[76] Expenses - Total operating expenses for the year 2024 were HKD 5,022,124 thousand, an increase from HKD 4,513,472 thousand in 2023[24] - Research and development expenses for 2024 amounted to HKD 225,428 thousand, up from HKD 175,162 thousand in 2023[24] - Administrative expenses rose by 21.6% to HKD 506.2 million for the fiscal year ending December 31, 2024, primarily due to hiring more engineers and professionals[86] Cash Flow - Cash generated from operating activities for the fiscal year ending December 31, 2024, was HKD 813.7 million, up from HKD 484.7 million in the previous year[94] - Cash used in investing activities increased to HKD 358.8 million for the fiscal year ending December 31, 2024, primarily due to significant investments in property and machinery[94] - As of December 31, 2024, the net cash used in financing activities was HKD 276.4 million, a decrease from HKD 377.3 million in 2023 due to reduced bank borrowings since 2023[95] Corporate Governance - The board of directors has established various committees to ensure compliance with corporate governance principles, enhancing transparency and accountability[104] - The company has established an audit committee consisting of four independent non-executive directors to review the consolidated financial performance for the year ending December 31, 2024[113] - The independent auditor confirmed that the financial statements for the year ending December 31, 2024, are consistent with the audited consolidated financial statements[116] Future Outlook - The company plans to launch several new high-power charging module products in the second half of 2024[54] - The company is focusing on developing smart chargers and digital power products to meet future market demands[55] - The company plans to develop new charging equipment that meets the newly released international standards for electric vehicle charging stations, aiming for significant growth in the new energy sector by 2025[71] - The group aims to achieve breakthroughs in the new energy and AI smart manufacturing sectors to ensure sustainable growth and returns for shareholders[72] Risk Management - Approximately 50% of the group's revenue and receivables are denominated in USD and HKD, while sales costs are primarily in RMB, exposing the company to foreign exchange risk[97] - The group has implemented policies to ensure credit is only extended to customers with good credit records, minimizing credit risk exposure[99]

Financial Performance - Revenue for the six months ended June 30, 2024, increased by 5.6% to HKD 2,471.0 million compared to HKD 2,339.4 million in the same period last year[8]. - Operating profit rose by 21.1% to HKD 200.1 million, up from HKD 165.3 million year-on-year[8]. - Profit attributable to owners of the company increased by 28.6% to HKD 175.8 million, compared to HKD 136.7 million in the previous year[8]. - Gross profit margin improved by 2.8 percentage points to 20.3% from 17.5%[8]. - Basic earnings per share increased from HKD 0.13 to HKD 0.17[8]. - Gross profit for the same period was HKD 501,850,000, compared to HKD 408,835,000 in 2023, reflecting a year-over-year increase of about 22.7%[39]. - Operating profit increased to HKD 200,111,000, up from HKD 165,253,000 in the previous year, marking a growth of approximately 21.1%[39]. - Net profit attributable to the owners of the company for the period was HKD 175,830,000, compared to HKD 136,712,000 in 2023, indicating an increase of around 28.7%[39]. - Basic and diluted earnings per share for the period were HKD 0.17, up from HKD 0.13 in the same period last year, representing a growth of 30.8%[39]. Dividends and Shareholder Information - The company declared an interim dividend of HKD 0.052 per share, up from HKD 0.028 in the previous year[9]. - The board has declared an interim dividend of HKD 0.052 per ordinary share, an increase from HKD 0.028 per share in 2023[24]. - The interim dividend declared was HKD 0.052 per share, totaling HKD 53,600,000, compared to HKD 0.028 per share and HKD 28,900,000 in the previous year, reflecting an 85.7% increase[97]. - As of June 30, 2024, the total number of ordinary shares held by directors and senior management amounts to 687,745,521, representing approximately 66.75% of the issued share capital[28]. - Major shareholders include Tong Yat Holdings Limited with 354,883,279 shares (34.44%) and Tian Ying Investment Limited with 313,614,262 shares (30.44%) as of June 30, 2024[29]. Asset and Liability Management - The asset-liability ratio decreased significantly by 27.5 percentage points to 12.2% from 39.7%[8]. - The current ratio remained stable at 1.14 times for both June 30, 2024, and December 31, 2023[13]. - The debt-to-equity ratio decreased to 12.2% as of June 30, 2024, from 39.7% as of December 31, 2023, primarily due to net repayment of bank borrowings[13]. - As of June 30, 2024, total bank borrowings were HKD 207.9 million, a decrease from HKD 654.9 million as of December 31, 2023[17]. - The company has strategically built up inventory of raw materials to improve supply chain flexibility and reduce logistics costs[10]. Cash Flow and Investments - Net cash generated from operating activities was HKD 332.9 million for the period, significantly up from HKD 21.7 million for the same period last year[13]. - Cash used in investing activities was HKD 183.9 million, an increase from HKD 111.6 million in the previous year, mainly due to increased purchases of property, plant, and equipment[13]. - Operating cash generated for the six months ended June 30, 2024, was HKD 347,777, compared to HKD 32,588 for the same period in 2023, representing a significant increase[52]. - The company incurred a net cash outflow from investing activities of HKD 183,880 for the six months ended June 30, 2024, compared to HKD 111,567 in 2023, primarily due to increased capital expenditures[52]. - The company raised HKD 140,879 from bank borrowings during the six months ended June 30, 2024, compared to HKD 116,495 in the same period of 2023, indicating increased leverage[53]. Business Segments and Growth - The performance in the new energy business was strong, contributing to the overall revenue growth[9]. - The industrial power division's revenue increased by 16.1% year-on-year, accounting for 40.0% of the group's total revenue[10]. - The new energy division's revenue rose by 15.5% year-on-year, representing 17.0% of total business revenue[10]. - The company anticipates continued strong growth in its new energy business in the second half of the year due to rising demand for energy storage products[10]. - The company is focusing on developing smart chargers and fully digital power products for various applications, including electric forklifts and industrial robots[11]. Research and Development - Research and development expenses amounted to HKD 93,417, up from HKD 83,032 in the previous year, indicating a focus on innovation[90]. Financial Risk Management - The company maintained a prudent liquidity risk management strategy, ensuring sufficient cash and bank balances to meet financial obligations[64]. - The company’s financial risk factors include market risk, credit risk, and liquidity risk, which are essential for assessing overall financial health[63]. - The financial risk management policies have remained unchanged since December 31, 2023[63]. Inventory and Receivables - The inventory balance as of June 30, 2024, was HKD 783,018,000, an increase of 7.6% from HKD 727,329,000 as of December 31, 2023[113]. - Trade receivables increased to HKD 1,235,318,000 as of June 30, 2024, compared to HKD 1,176,536,000 as of December 31, 2023, representing a growth of 5%[115]. - The provision for trade receivables increased to HKD 6,884,000 as of June 30, 2024, from HKD 5,844,000 as of December 31, 2023[115]. Share Incentive Plan - The Tianbao Electronics (Huizhou) share incentive plan aims to establish a long-term incentive mechanism and attract suitable talent for the group's development[32]. - The stock options granted to Yang Bingbing and Hong Guangdai on February 28, 2024, are 8,700,000 and 2,000,000 respectively, both with an exercise price of 1.00[32]. - The company confirmed an expense of HKD 1,698,000 related to the share reward plan for the six months ended June 30, 2024, compared to no expenses in the same period of 2023[128].

Financial Performance - Revenue for the six months ended June 30, 2024, increased by 5.6% to HKD 2,471.0 million compared to the same period last year[1] - Gross profit for the same period rose by 22.8% to HKD 501.9 million, with a gross margin increase of 2.8 percentage points to 20.3%[1] - Profit before tax for the six months ended June 30, 2024, increased by 28.2% to HKD 207.0 million compared to the previous year[1] - Profit attributable to owners of the company for the same period increased by 28.6% to HKD 175.8 million[1] - Basic and diluted earnings per share for the six months ended June 30, 2024, were HKD 0.17, compared to HKD 0.13 in the same period last year[3] - The company reported total revenue of 2,471,011 for the six months ended June 30, 2024, with a significant contribution from the smart chargers and controllers segment at 989,123[18] - The net profit before tax for the same period was 207,024, reflecting a strong performance across various segments[18] - The company reported a net other income of 28,912 for the six months ended June 30, 2024, compared to 20,146 in the previous year[21] - Financial income for the six months ended June 30, 2024, was 6,913, a significant improvement from a net financial expense of (3,827) in the same period last year[25] - The company reported a profit attributable to shareholders of HKD 175,830,000 for the six months ended June 30, 2024, compared to HKD 136,712,000 for the same period in 2023, representing a year-over-year increase of approximately 28.7%[30] - Basic earnings per share increased to HKD 0.17 for the six months ended June 30, 2024, up from HKD 0.13 in the same period of 2023, reflecting a growth of 30.8%[30] Dividends - The board declared an interim dividend of HKD 0.052 per share, up from HKD 0.028 per share in the previous year[1] - The interim dividend declared is HKD 0.052 per share, which is an increase from HKD 0.028 per share in the interim of 2023, amounting to HKD 53.6 million compared to HKD 28.9 million previously[32] - The interim dividend payment is scheduled for October 25, 2024, for shareholders listed on the register as of October 10, 2024[63] Assets and Liabilities - Total assets as of June 30, 2024, amounted to HKD 4,218.2 million, a decrease from HKD 4,319.6 million as of December 31, 2023[5] - Total liabilities as of June 30, 2024, were HKD 2,512.1 million, down from HKD 2,668.3 million at the end of the previous year[6] - Cash and cash equivalents increased to HKD 232.4 million from HKD 150.5 million as of December 31, 2023[5] - The net book value of property, plant, and equipment as of June 30, 2024, is HKD 1,178,320,000, up from HKD 1,110,147,000 as of December 31, 2023, indicating a growth of approximately 6.1%[33] - Trade receivables as of June 30, 2024, amounted to HKD 1,235,318,000, an increase from HKD 1,176,536,000 as of December 31, 2023, representing a rise of about 5%[35] - The company’s inventory as of June 30, 2024, is valued at HKD 783,018,000, compared to HKD 727,329,000 as of December 31, 2023, showing an increase of about 7.6%[34] - The company’s bank borrowings stood at HKD 274,192,000 as of June 30, 2024, compared to HKD 214,798,000 as of December 31, 2023, reflecting an increase of approximately 27.6%[37] - Total bank borrowings as of June 30, 2024, amounted to HKD 207,944,000, down from HKD 654,899,000 at the beginning of the year[41] - As of June 30, 2024, total bank borrowings were HKD 207.9 million, a decrease from HKD 654.9 million as of December 31, 2023[55] Segment Performance - The newly established New Energy segment generated revenue of 420,911, indicating the growing importance of this business area[18] - The company has identified six reportable segments, including Smart Chargers and Controllers, Telecommunications, New Energy, Media and Entertainment, Lighting, and Others, to enhance resource allocation and business development[17] - The company anticipates continued growth in the New Energy segment, which includes outdoor power equipment charging modules and automotive electronic applications[17] - The industrial power segment's revenue increased by 16.1% year-on-year, accounting for 40.0% of total revenue[46] - The sales of energy storage products and automotive electronics increased by 15.5% year-on-year, accounting for 17.0% of total business revenue[47] - Revenue from the consumer electronics power division declined by 5.6% year-on-year due to the ongoing global economic recovery challenges[47] Corporate Governance - The board consists of four independent non-executive directors, ensuring effective governance and oversight[65] - The company emphasizes adherence to corporate governance principles and has established various committees to enhance accountability and transparency[61] - The company will continue to review its board structure and composition to maintain high standards of corporate governance[61] - The audit committee reviewed the unaudited interim consolidated financial statements and confirmed the effectiveness of the group's risk management and internal control systems[65] - The company has adopted the standard code for securities trading by directors, ensuring compliance and transparency in trading activities[62] Risk Management - The group faces various financial risks including market risk (foreign exchange risk, price risk, cash flow and fair value interest rate risk), credit risk, and liquidity risk[14] - The company maintains sufficient cash and bank balances to manage liquidity risk effectively, and the directors believe there are no significant liquidity risks[15] Future Outlook - The company plans to launch more household energy storage inverters, which have already been introduced in the European market[49] - The company is developing smart chargers and digital power products for various applications, including electric forklifts and industrial robots[50] - The company aims to enhance its non-electric product lines and introduce more customized products with higher value content[51] - The company has a strong cash reserve and is considering various investment opportunities to expand its business and enhance competitive advantages[51] - The new factory in Huizhou covers approximately 200,000 square meters, allowing for further automation and production capacity expansion[48] - The company anticipates continued strong growth in its new energy business in the second half of the year[47]