Revenue Performance - The group's revenue for the first half of 2024 increased by approximately 22.4% year-on-year, reaching about RMB 176.5 million, primarily driven by growth in the cleanroom wall and ceiling systems segment [12]. - Revenue from the cleanroom wall and ceiling systems segment increased by approximately RMB 36.0 million (or about 27.6%), with sales in the Chinese market growing by approximately 66.8% [16]. - Revenue from China increased by approximately RMB 53.3 million (or about 66.8%) to RMB 133,232 thousand in the first half of 2024 compared to RMB 79,893 thousand in the same period of 2023 [24]. - Revenue for the six months ended June 30, 2024, was RMB 176,464 thousand, representing a 22.4% increase from RMB 144,157 thousand in the same period of 2023 [85]. - Revenue from cleanroom projects significantly increased to RMB 148,448,000, up 115.5% from RMB 68,809,000 year-on-year [105]. - Revenue from product sales decreased to RMB 28,016,000, down 62.8% from RMB 75,348,000 in the previous year [105]. - Revenue from external customers in mainland China was RMB 133,232,000, a substantial increase of 66.7% compared to RMB 79,893,000 in the prior year [111]. - Revenue from Malaysia decreased to RMB 27,094,000, down 47.5% from RMB 51,610,000 year-on-year [111]. Profitability and Margins - The net profit for the first half of 2024 significantly decreased by approximately 29.1% to about RMB 22.0 million, attributed to a decline in gross margin and credit loss provisions on contract assets [12]. - Gross profit for the cleanroom wall and ceiling systems segment decreased from RMB 45,971 thousand (35.3% margin) in the first half of 2023 to RMB 41,328 thousand (24.9% margin) in the first half of 2024 [26][28]. - Total gross profit for the first half of 2024 was RMB 45,830 thousand, down from RMB 51,576 thousand in the same period of 2023, reflecting a gross margin decline from 35.8% to 26.0% [26][37]. - Net profit decreased by approximately 29.1% to RMB 22.0 million in the first half of 2024, down from RMB 31.0 million in the same period of 2023, with a net profit margin decline from 21.5% to 12.5% [37]. - The company reported a total comprehensive income of RMB 21,140 thousand for the six months ended June 30, 2024, down from RMB 30,588 thousand in the same period of 2023 [86]. - The company reported a total comprehensive income for the period was RMB 21,025,000, compared to RMB 30,406,000 in the previous year, reflecting a decline of approximately 30.7% [91]. Expenses and Costs - The gross margin for the cleanroom wall and ceiling systems segment declined due to increased project costs, including direct material costs and subcontracting expenses [12]. - Other income decreased by approximately RMB 15 million in the first half of 2024, primarily due to the absence of temporary government subsidies received in the first half of 2023 [29]. - Research and development expenses increased by approximately RMB 1.3 million to RMB 3.9 million in the first half of 2024, mainly due to rising material costs [33]. - Financing costs increased to RMB 862,000 for the six months ended June 30, 2024, from RMB 511,000 in the same period of 2023, with bank loan interest expenses rising to RMB 723,000 [117]. - The income tax expense for the six months ended June 30, 2024, was RMB 4,496,000, a decrease from RMB 8,333,000 for the same period in 2023 [125]. Financial Position - Cash and cash equivalents as of June 30, 2024, were approximately RMB 123.2 million, down from RMB 134.4 million as of December 31, 2023 [43]. - Bank borrowings increased to approximately RMB 69.0 million as of June 30, 2024, compared to RMB 59.1 million as of December 31, 2023, with an effective interest rate ranging from approximately 3.1% to 4.4% [43]. - Total assets as of June 30, 2024, were RMB 442,367 thousand, compared to RMB 413,363 thousand as of December 31, 2023, reflecting a growth of 7.0% [88]. - The company reported a decrease in cash and cash equivalents to RMB 123,153,000 as of June 30, 2024, down from RMB 134,372,000 at the beginning of the period, a decline of about 8.9% [95]. - The company’s total assets increased to RMB 335,670,000 as of June 30, 2024, compared to RMB 321,374,000 at the beginning of the year, representing a growth of approximately 4.5% [91]. - Total equity increased to RMB 308,252,000 as of June 30, 2024, up from RMB 292,005,000 at the beginning of the year, reflecting a growth of about 5.5% [90]. Strategic Initiatives and Outlook - The group maintains a cautiously optimistic outlook for the future, attributing its resilience to long-term customer relationships and strong brand recognition [13]. - The group is facing construction delays for its new production facility in Malaysia, with completion expected by Q2 2025 and full production anticipated by Q3 2025 [12]. - The company continues to explore suitable locations for a second factory in China [12]. - The company plans to maintain its focus on market expansion and new product development as part of its strategic initiatives moving forward [118]. - The company continues to focus on expanding its cleanroom systems and equipment offerings in the Southeast Asian market [104]. Shareholder Information - A mid-term dividend of HKD 0.44 per share was declared for the six months ending June 30, 2024 [51]. - Major shareholders include Mr. Ng Yew Sum with a 24.28% stake and Mr. Law Eng Hock with a 4.29% stake [51]. - Major shareholders include Yap Fui Lee with 339,958,550 shares (24.28%), Francis Chia Mong Tet with 150,773,100 shares (10.76%), and Yau Ah Lan @ Fara Yvonne with 150,773,100 shares (10.76%) [54]. - The company has adopted a share option scheme allowing for the issuance of up to 30% of the total issued share capital [61]. - The maximum number of shares that can be issued under the share option scheme is capped at 140,000,000 shares, which is 10% of the issued shares at the time of listing [63]. Corporate Governance - The company has fully complied with the applicable code provisions of the corporate governance code, except for the separation of roles between the chairman and CEO, which is currently under review [72]. - The audit committee, composed entirely of independent non-executive directors, has reviewed the unaudited interim results for the six months ending June 30, 2024 [74]. - The independent auditor's review report indicates no significant issues with the interim financial statements prepared in accordance with Hong Kong Accounting Standards [82]. - The company has adopted the corporate governance code as the basis for its governance practices, emphasizing the importance of high standards for shareholder value and transparency [72].

Revenue and Profitability - Revenue for the six months ended June 30, 2024, was RMB 176,464 thousand, representing a 22.4% increase compared to RMB 144,157 thousand for the same period in 2023[1] - Net profit for the period was RMB 21,983 thousand, a decline of 29.1% from RMB 31,002 thousand in the previous year[1] - Basic and diluted earnings per share were RMB 1.56, compared to RMB 2.20 for the same period last year[3] - Total comprehensive income for the period was RMB 21,140 thousand, down from RMB 30,588 thousand in the previous year[3] - The net profit for the first half of 2024 decreased significantly by about 29.1% to approximately RMB 22.0 million, primarily due to a decline in gross margin in the cleanroom wall and ceiling system segment[46] Gross Profit and Margins - Gross profit decreased to RMB 45,830 thousand, down 11.1% from RMB 51,576 thousand year-over-year[1] - Gross margin decreased to 26.0%, down from 35.8% in the previous year[1] - Net profit margin also fell to 12.5%, compared to 21.5% in the same period last year[1] - The gross profit margin for the cleanroom wall and ceiling system decreased from approximately 35.3% in the first half of 2023 to about 24.9% in the first half of 2024, primarily due to increased direct material costs and higher subcontractor charges[57] Revenue Breakdown - Revenue from cleanroom projects recognized over time amounted to RMB 148,448,000, significantly up from RMB 68,809,000 in the previous year, indicating a growth of approximately 115.5%[11] - Revenue from product sales decreased to RMB 28,016,000 from RMB 75,348,000, reflecting a decline of approximately 62.8% year-over-year[11] - Revenue from external customers in mainland China (excluding Hong Kong) for the six months ending June 30, 2024, was RMB 133,232 thousand, up from RMB 79,893 thousand in the same period of 2023, reflecting an increase of approximately 66.7%[15] - Revenue from the cleanroom wall and ceiling system segment was RMB 166.3 million, accounting for 94.2% of total revenue in the first half of 2024[49] - Revenue from external customers in China increased by approximately RMB 53.3 million (or about 66.8%) in the first half of 2024, mainly due to the increase in revenue from the cleanroom wall and ceiling system[55] Expenses and Costs - Research and development expenses increased to RMB 3,948 thousand, compared to RMB 2,651 thousand in the previous year[2] - The cost of sales for the reported segments for the six months ending June 30, 2024, was RMB 130,634 thousand, compared to RMB 92,581 thousand for the same period in 2023, which is an increase of about 41.1%[12][13] - Selling and distribution costs increased by approximately 180.8% to about RMB 3.7 million in the first half of 2024, primarily due to excess provisions for commission expenses in the previous year[61] - Administrative and other operating expenses remained stable at approximately RMB 12.8 million in the first half of 2024, compared to approximately RMB 13.0 million in the first half of 2023[62] Financial Position - Total assets net of current liabilities amounted to RMB 339,827 thousand, an increase from RMB 328,193 thousand at the end of 2023[4] - Cash and cash equivalents were approximately RMB 123.2 million as of June 30, 2024, down from approximately RMB 134.4 million as of December 31, 2023[72] - The asset-liability ratio was 0.22 as of June 30, 2024, compared to 0.21 as of December 31, 2023[72] - The company reported a total of RMB 101,544,000 in current liabilities as of June 30, 2024, compared to RMB 99,738,000 at the end of 2023, reflecting a slight increase[40] Taxation and Dividends - The income tax expense for the six months ended June 30, 2024, was CNY 4,496,000, a decrease from CNY 8,333,000 for the same period in 2023, representing a 46.1% reduction[24] - The interim dividend declared is HKD 0.44 per share, payable on or around October 9, 2024[81] Corporate Governance and Compliance - The financial statements are prepared in accordance with Hong Kong Financial Reporting Standards, ensuring compliance with local regulations[6] - The company is committed to transparency and accuracy in its financial disclosures, aligning with best practices in corporate governance[5] - The board is committed to maintaining high corporate governance standards and believes that adherence to these standards is crucial for protecting shareholder interests and enhancing corporate value[79] Market and Operational Insights - The company operates primarily in China and Southeast Asia, focusing on cleanroom wall and ceiling systems and equipment[5] - The group continues to seek suitable locations for a second factory in China, indicating plans for market expansion[46] - The group faced delays in construction progress due to an extended selection process for subcontractors, with completion expected by Q2 2025[46] - The group has established brands "Channel Systems" for cleanroom wall and ceiling systems and "Micron" for cleanroom equipment, indicating a focus on brand development[47] Foreign Exchange and Risk Management - The group faces foreign exchange risk as revenues and purchase orders are denominated in currencies other than RMB, which may significantly impact profitability[77] - As of June 30, 2024, the group has no significant contingent liabilities[78]

Financial Performance - The company's revenue for the fiscal year 2023 decreased by approximately 23.0% compared to fiscal year 2022, while net profit fell by about 27.3%[13]. - The total revenue for the fiscal year 2023 was RMB 356.57 million, down from RMB 462.91 million in 2022[21]. - Net profit decreased by 27.3% to RMB 54.9 million in FY2023 from RMB 75.4 million in FY2022, with a net profit margin of 15.4% compared to 16.3% in FY2022[37]. - Revenue from cleanroom wall and ceiling systems dropped by approximately 21.9%, primarily due to the impact of US-China trade tensions and an uncertain investment environment in the semiconductor industry[17]. - Revenue from cleanroom wall and ceiling systems decreased by RMB 91.8 million or 21.9% compared to the previous fiscal year, primarily due to project delays in China[22]. - Revenue from China (excluding Hong Kong) was RMB 202.85 million, representing 56.9% of total revenue, down from 60.8% in the previous year[27]. - The gross profit margin for cleanroom wall and ceiling systems remained stable at 31.0% compared to 32.5% in the previous year[30]. - Gross margin for cleanroom equipment increased by 18.6 percentage points in FY2023 compared to FY2022, primarily due to economies of scale[31]. - Other income for FY2023 amounted to RMB 3.2 million, including approximately RMB 1.4 million in subsidies from the provincial government of China[32]. - Selling and distribution costs decreased by 53.3% to RMB 7.9 million in FY2023 from RMB 16.9 million in FY2022, mainly due to reduced commission and logistics expenses[33]. - Administrative and other operating expenses decreased by 20.2% to RMB 30.2 million in FY2023 from RMB 37.8 million in FY2022[34]. Market Outlook and Strategy - The company maintains a cautiously optimistic outlook for the future, particularly in the Southeast Asian market, anticipating continued investment in the semiconductor industry and data centers[13]. - The company plans to adapt to changing market dynamics to ensure long-term success[13]. - Revenue from Malaysia increased by about 21.5%, despite overall revenue decline, indicating successful implementation of market diversification strategies[27]. - The company has acquired approximately 16,056 square meters of land in Malaysia for the construction of a new production facility, with construction expected to commence in Q2 2024 and full operation anticipated in Q4 2024[18]. - Major contracts signed in FY2023 include a contract in Malaysia generating RMB 36.8 million, accounting for 11.2% of total revenue from cleanroom wall and ceiling systems[23]. - The cleanroom equipment segment achieved a significant growth of approximately 75.4%, reflecting the company's ability to adapt to market changes[24]. Corporate Governance - The company has adopted the corporate governance code as the basis for its governance practices, ensuring compliance throughout the fiscal year ending December 31, 2023[88]. - The board of directors consists of a balanced mix of skills and experiences to safeguard shareholder interests[94]. - The company held four board meetings during the fiscal year, adhering to governance code requirements[98]. - The company held two shareholder meetings this year, with independent non-executive directors attending to gather and balance shareholder opinions[99]. - The attendance record for board meetings shows that all executive directors attended 100% of the meetings, with independent non-executive directors also showing full attendance[101]. - The role of the CEO has been vacant this year, with the chairman Ng Yew Sum fulfilling the responsibilities, which the board believes does not compromise the balance of power and accountability[102]. - The board has committed to annually assess the independence of independent non-executive directors, ensuring compliance with listing rules requiring at least three independent directors[104]. - The company has established three board committees: Audit Committee, Nomination Committee, and Remuneration Committee, to oversee specific aspects of the group's affairs[108]. Risk Management - The company has established risk management and internal control systems to manage risks associated with achieving strategic goals[147]. - The audit committee assists the board in monitoring the effectiveness of risk management and internal control systems[148]. - The company acknowledges potential risks related to operational interruptions and fluctuations in raw material prices that could adversely affect business performance[191]. - The company’s financial performance and operational results are significantly influenced by the ability to secure new contracts and orders[188]. - The company has confirmed the effectiveness of its risk management and internal control systems as of December 31, 2023[152]. - The company has engaged an internal auditor to independently review the accuracy and effectiveness of its risk management and internal control systems[152]. Shareholder Engagement - The company has established communication channels to engage with shareholders and protect their rights[163]. - The company has a process for shareholders to propose agenda items for general meetings, requiring written requests from shareholders holding at least 10% of the paid-up capital[164]. - The company plans to distribute dividends amounting to approximately 30% to 40% of the consolidated profit attributable to shareholders annually[176]. - The company emphasizes the importance of maintaining high levels of corporate governance through timely and accurate information release[174]. - The company has established multiple channels for effective communication with shareholders, ensuring timely dissemination of information regarding business strategies and developments[175]. Employee and Management - The company has a competitive compensation package to attract and retain employees, along with ongoing training and career development opportunities[193]. - The company plans to hire more employees for sales and marketing in China and Malaysia, with 9.0% of the net proceeds, or RMB 4.3 million, allocated for this purpose[61]. - The management team has extensive experience, with key executives having over 27 years in financial and operational roles, enhancing the company's strategic direction[72]. - Liu has over 19 years of experience in the mechanical engineering industry and joined the group in December 2006[84]. - Wong has over 15 years of experience in the cleanroom engineering industry and has been with the group since April 2007[85]. Environmental and Social Responsibility - The company is committed to environmental sustainability and compliance with applicable environmental protection laws and regulations[187]. - The company has not faced any significant claims or penalties related to health, safety, social, and environmental protection during the year[190]. - The company emphasizes the importance of sustainable development and compliance with relevant laws and regulations in its operations[190]. Future Plans - The annual performance announcement is scheduled for March 27, 2024[7]. - The company plans to hold its annual general meeting on May 30, 2024, with a suspension of share transfer registration from May 24 to May 30, 2024[198]. - The company will suspend share transfer registration from June 6 to June 11, 2024, to determine eligibility for the proposed final dividend[199].

Financial Performance - Total revenue for the fiscal year ended December 31, 2023, was RMB 356,570 thousand, a decrease of 23.0% compared to RMB 462,907 thousand in the previous year[23]. - Gross profit for the same period was RMB 112,941 thousand, down 24.5% from RMB 149,597 thousand year-over-year[23]. - Net profit for the fiscal year was RMB 54,859 thousand, representing a decline of 27.3% from RMB 75,410 thousand in the prior year[23]. - Basic and diluted earnings per share were RMB 3.90, compared to RMB 5.35 in the previous fiscal year[23]. - Gross profit margin decreased to 31.7% from 32.3% year-over-year[23]. - Net profit margin also declined to 15.4% from 16.3% in the previous year[23]. - Other income for the fiscal year was RMB 3,162 thousand, down from RMB 5,311 thousand in the previous year[25]. - The company reported a total comprehensive income of RMB 54,909 thousand for the year, down from RMB 82,678 thousand[7]. - Total revenue for the group was RMB 3,162,000 in 2023, down from RMB 5,311,000 in 2022, a decrease of 40.4%[45]. - For the fiscal year ending December 31, 2023, the group's revenue decreased by approximately 23.0% compared to the previous fiscal year, while net profit declined by about 27.3%[87]. - Total revenue for the fiscal year 2023 was RMB 356.57 million, a decrease of 21.9% compared to RMB 462.91 million in fiscal year 2022[120]. Assets and Liabilities - Total assets increased to RMB 322,236,000 in 2023 from RMB 292,005,000 in 2022, representing a growth of 10.4%[32]. - Cash and cash equivalents decreased to RMB 134,372,000 in 2023 from RMB 160,084,000 in 2022, a decline of 16.1%[28]. - Total equity rose to RMB 322,236,000 in 2023, up from RMB 292,005,000 in 2022, indicating an increase of 10.4%[33]. - The company reported a net asset value of RMB 243,184,000 in 2023, compared to RMB 215,919,000 in 2022, an increase of 12.6%[30]. - Trade payables increased to RMB 77,312 thousand in 2023 from RMB 66,254 thousand in 2022[81]. - The asset-to-liability ratio, calculated based on bank loans and lease liabilities divided by total equity, was 0.21, compared to 0.22 in 2022[177]. - As of December 31, 2023, the group had no assets pledged as collateral[181]. Revenue Breakdown - Revenue from customer contracts for 2023 was RMB 356,570 thousand, a decrease of 23% from RMB 462,907 thousand in 2022[63]. - Revenue from external customers in China (excluding Hong Kong) decreased to RMB 202,853 thousand in 2023 from RMB 281,615 thousand in 2022, a decline of about 28%[65]. - The company reported a significant drop in revenue from product sales, which fell to RMB 110,212 thousand in 2023 from RMB 204,920 thousand in 2022, a decrease of about 46%[63]. - Revenue from cleanroom equipment increased by RMB 9.4 million or 75.4% compared to the fiscal year 2022, primarily due to several large contracts in Malaysia, the Philippines, and Portugal[94]. - The company’s revenue from cleanroom wall and ceiling systems was RMB 328,094,000 in 2023, accounting for 92.0% of total revenue, compared to RMB 419,939,000 in 2022, which was 90.7%[115]. - Revenue from ancillary services decreased by RMB 23.9 million or 78.6% compared to FY2022, primarily due to reduced demand caused by economic downturn and uncertainty in the semiconductor industry[144]. - Revenue from Malaysia increased by RMB 18.2 million or 21.5% compared to FY2022, mainly due to increased sales of cleanroom wall and ceiling systems and cleanroom equipment[145]. Expenses and Costs - Research and development expenses were RMB 7,453 thousand, compared to RMB 12,032 thousand in the prior year[25]. - Selling and distribution costs decreased by 53.3% to RMB 7.9 million, primarily due to reduced commission and logistics expenses[126]. - Administrative and other operating expenses decreased by 20.2% to RMB 30.2 million in FY2023, down from RMB 37.8 million in FY2022[149]. - The cost of sales for reportable segments in 2023 was RMB 243,629 thousand, compared to RMB 313,310 thousand in 2022, indicating a reduction of approximately 22.2%[64]. Future Plans and Developments - The company plans to focus on market expansion and new product development in the upcoming fiscal year[25]. - The company plans to construct a new production facility in Malaysia on a land area of approximately 16,056 square meters, with construction expected to commence in Q2 2024 and full operation anticipated in Q4 2024[112]. - The company maintains a cautious optimism regarding future prospects, particularly in the Southeast Asian market, with expectations for continued investment in the semiconductor and data center industries[113]. Corporate Governance - The company is currently assessing its governance structure and will appoint a CEO when a suitable candidate is identified[166]. - The audit committee consists solely of three independent non-executive directors, ensuring direct communication with external auditors[168]. - The board is committed to maintaining high corporate governance standards to enhance shareholder value and ensure a sustainable governance framework[186]. - The company has fully complied with applicable corporate governance codes for the entire year, except for a specific provision[187]. Dividends - The board proposed a final dividend of HKD 0.53 per share for the year ending December 31, 2023, down from HKD 0.70 per share in the previous fiscal year[183]. - The interim dividend declared for the six months ending June 30, 2023, is HKD 0.75 per share[76]. - The annual general meeting will be held on May 30, 2024, to approve the proposed dividend[184].

Financial Performance - The company's revenue for the first half of 2023 decreased by approximately 43.3% compared to the same period in 2022, with net profit declining by about 21.6%[10]. - The total revenue for the first half of 2023 was RMB 144.2 million, down from RMB 254.5 million in the same period last year[15]. - Net profit decreased by 21.6% to RMB 31.0 million in the first half of 2023, while net profit margin increased to 21.5%[34]. - Gross profit for the same period was RMB 51,576,000, down 32.6% from RMB 76,460,000 in 2022[99]. - The company reported a total comprehensive income of RMB 30,588,000 for the period, compared to RMB 40,156,000 in 2022, a decrease of 23.8%[100]. - Basic and diluted earnings per share for the period were RMB 2.20, down from RMB 2.82 in the previous year, representing a decrease of 22.0%[100]. - The company reported a net profit of RMB 30,820 thousand for the six months ended June 30, 2023, compared to RMB 39,491 thousand for the same period in 2022, indicating a decrease of about 22.0%[109]. - The total comprehensive income for the period was RMB 30,406 thousand, down from RMB 40,108 thousand in the previous year, reflecting a decline of approximately 24.3%[109]. Revenue Breakdown - Revenue from cleanroom wall and ceiling systems dropped by approximately RMB 105.7 million (or 44.8%), primarily due to delays in projects in China caused by US-China trade tensions[16]. - Revenue from cleanroom equipment increased by RMB 4.2 million or 74.0% in the first half of 2023 compared to the same period in 2022, primarily due to two major contracts in Malaysia and Portugal[19]. - Revenue from supporting businesses decreased by RMB 8.8 million or 69.3% in the first half of 2023, attributed to delays in contract delivery[20]. - Revenue from cleanroom wall and ceiling systems in China amounted to RMB 8.9 million, accounting for 6.8% of total revenue from this segment in the first half of 2023[21]. - Revenue from China decreased by RMB 74.9 million or 48.4% in the first half of 2023, mainly due to reduced revenue from cleanroom wall and ceiling systems[23]. - Revenue from cleanroom projects was RMB 68,809,000, down 54.8% from RMB 152,120,000 in the previous year[123]. - Revenue from product sales was RMB 75,348,000, a decrease of 26.4% compared to RMB 102,349,000 in the same period last year[123]. - Revenue from external customers in mainland China (excluding Hong Kong) was RMB 79,893,000, down 48.3% from RMB 154,777,000 in 2022[127]. Strategic Developments - The company has acquired a plot of land of approximately 16,056 square meters in Malaysia to build a new production facility, with full production now expected to commence in Q3 2024[11]. - Major contracts secured in the first half of 2023 include a contract in Malaysia worth RMB 31.7 million, accounting for 24.3% of total revenue from cleanroom wall and ceiling systems[17]. - The company remains cautiously optimistic about future prospects, particularly in Southeast Asia, anticipating continued investment in the semiconductor industry and data centers[12]. - The company is actively seeking suitable properties in China for expansion, while currently renting temporary facilities[11]. - The company plans to reallocate funds originally intended for expanding and renovating production facilities in China to expanding production facilities in Malaysia[55]. Cash Flow and Financial Position - As of June 30, 2023, cash and cash equivalents were RMB 132.8 million, down from RMB 160.1 million on December 31, 2022, primarily due to dividend payments and bank loan repayments[42]. - Cash generated from operating activities was RMB 8,706 thousand for the six months ended June 30, 2023, a decrease from RMB 16,246 thousand in the same period of 2022[112]. - The company paid dividends totaling RMB 14,341 thousand during the first half of 2023, compared to RMB 7,762 thousand in the same period of 2022, representing an increase of approximately 84.0%[114]. - The company’s cash and cash equivalents decreased to RMB 132,849 thousand as of June 30, 2023, from RMB 160,084 thousand at the beginning of the period, a decline of about 17.0%[114]. - The company’s total liabilities decreased to RMB 1,319 thousand as of June 30, 2023, from RMB 1,137 thousand at the beginning of the period, indicating a slight increase of about 16.0%[109]. Shareholder Information - As of June 30, 2023, Mr. Ng Yew Sum holds 338,428,550 shares, representing approximately 24.17% of the company's issued share capital[62]. - Major shareholder Yap Fui Lee also holds 338,428,550 shares, equivalent to 24.17% of the issued share capital, as a spouse interest[64]. - Francis Chia Mong Tet holds 150,773,100 shares, accounting for approximately 10.76% of the company's issued share capital[64]. - DBS Trustee Limited, as a trustee, holds 143,873,100 shares, which is about 10.27% of the issued share capital[64]. - Douglas Frederick Bockmiller holds 62,258,700 shares, representing approximately 4.45% of the company's issued share capital[64]. - The company has a significant concentration of ownership among its major shareholders, with the top five holding over 50% of the issued share capital[64]. Corporate Governance - The company is committed to maintaining high corporate governance standards and has adopted the principles and code provisions of the Corporate Governance Code as a basis for its corporate governance practices[83]. - The audit committee, composed of three independent non-executive directors, reviewed the unaudited consolidated interim results for the six months ended June 30, 2023[89]. - The company has not disclosed any changes in director information that require disclosure under the listing rules since the date of the annual report[81]. - The company has published its interim report for the six months ended June 30, 2023, in compliance with the relevant laws and regulations[92]. Employee and Management Information - As of June 30, 2023, the total number of full-time employees was 206, a decrease from 212 on June 30, 2022[41]. - Employee costs, including directors' remuneration, remained stable at RMB 15.5 million for the first half of 2023, compared to RMB 14.7 million in the same period of 2022[41]. - The total compensation for key management personnel increased to RMB 4,474,000 for the six months ended June 30, 2023, up from RMB 3,990,000 for the same period in 2022, representing an increase of 12.1%[160]. Research and Development - Research and development expenses for the six months were RMB 2,651,000, down from RMB 3,768,000, a reduction of 29.6%[99]. - Research and development expenses, including employee costs, amounted to RMB 2,651,000, down 30% from RMB 3,768,000 in the previous year[8]. Financial Instruments and Risks - The company has not established a foreign currency hedging policy despite facing foreign exchange risks due to revenue and procurement orders being denominated in currencies other than RMB[52]. - The management believes that the carrying amounts of the group's financial assets and liabilities as of June 30, 2023, and December 31, 2022, do not differ significantly from their fair values due to their immediate or short-term maturity[163].

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。 Channel Micron Holdings Company Limited 捷 心 隆 控 股 有 限 公 司 （於開曼群島註冊成立的成員責任有限公司） （股份代號：2115） 截 至 二 零 二 三 年 六 月 三 十 日 止 六 個 月 之 中 期 業 績 公 告 及 變 更 首 次 公 開 發 售 所 得 款 項 用 途 財務摘要 本 集 團 於 截 至 二 零 二 三 年 六 月 三 十 日 止 六 個 月（「二 零 二 三 年 上 半 年」） 之 財 務 摘 要，連 同 截 至 二 零 二 二 年 六 月 三 十 日 止 六 個 月（「二 零 二 二 年 上半年」）之比較數字載列如下： 截至六月三十日止六個月 二零二三年 二零二二年 變動 人民幣千元 人民幣千元 收益 144,157 254,469 (43.3)% 毛利 51,576 76,460 (32.5)% 期內溢利 31,002 ...

Financial Performance - The company's revenue increased by 73.0% and net profit rose by 117.4% compared to the previous fiscal year, driven by a surge in demand for cleanroom products used in semiconductor facilities [12]. - In the fiscal year 2022, the company achieved a significant increase in sales of cleanroom wall and ceiling systems in China, reaching RMB 137.9 million, representing a growth of 96.0% compared to the previous fiscal year [18]. - Total revenue for the cleanroom wall and ceiling systems segment was RMB 419.9 million in fiscal year 2022, accounting for 90.7% of total revenue, compared to RMB 235.2 million in fiscal year 2021 [20]. - Revenue from cleanroom equipment decreased by RMB 3.1 million or 19.8% in fiscal year 2022, primarily due to high revenue from a major contract in fiscal year 2021 [25]. - The company reported total revenue of RMB 462.9 million for fiscal year 2022, a substantial increase from RMB 267.5 million in fiscal year 2021 [20]. - Revenue from China increased by RMB 137.9 million or 96.0% compared to the previous fiscal year, reaching RMB 281.6 million, accounting for 60.8% of total revenue [27]. - Revenue from Malaysia and the Philippines increased by RMB 34.4 million and RMB 20.1 million respectively, driven by sales of cleanroom wall and ceiling systems and other products [28]. - Gross profit for cleanroom wall and ceiling systems was RMB 136.5 million with a gross margin of 32.5%, down 3.8 percentage points from the previous year [32]. - Total revenue increased from RMB 267.5 million in the previous fiscal year to RMB 462.9 million, resulting in a net profit increase of 117.4% to RMB 75.4 million [39]. Expansion and Investment - The company has acquired a land area of approximately 16,056 square meters in Malaysia to build a new production facility, which is expected to increase cleanroom wall and ceiling system capacity by about 80% and cleanroom equipment product capacity by about 62% [17]. - The new production facility's full operation date has been delayed from Q4 2023 to Q2 2024 due to pending formal approval from the government [17]. - The company is actively seeking suitable locations in China for expansion and has extended the lease of its temporary facility until November 2023 [17]. - The company anticipates continued investment in the semiconductor industry and data centers in Southeast Asia [12]. - The net proceeds from the IPO amounted to RMB 475 million, with allocations for expanding production facilities in China and Malaysia [64]. - The group is actively seeking suitable locations for a second factory in China to increase capacity [65]. Market Outlook and Strategy - The company remains cautiously optimistic about future market opportunities despite uncertainties from ongoing US-China trade tensions [12]. - The company is focused on improving its products and services, expanding its customer base, and increasing production capacity to adapt to changing market conditions [13]. - The company emphasizes strong and long-term relationships with customers as a key factor in its past success and ability to navigate uncertainties [13]. - The company is taking proactive measures to manage the impact of unpredictable market conditions [12]. - The company has established a solid business foundation due to strong relationships with clients and a good brand reputation, positioning itself to seize growth opportunities [18]. Corporate Governance - The company has adopted the corporate governance code as the basis for its governance practices, ensuring compliance with applicable rules throughout the fiscal year ending December 31, 2022 [98]. - The board of directors confirmed adherence to the standard code of conduct for securities trading throughout the fiscal year and up to the date of the report [99]. - The company emphasizes high corporate governance standards to protect shareholder interests and enhance corporate value [98]. - The management team is committed to maintaining high standards of corporate governance and financial reporting, as evidenced by the qualifications of its independent directors [79][84]. - The board of directors consists of 9 members, with 4 executive directors and 5 independent non-executive directors, ensuring a balance of skills and experience [106]. - The company has adopted a board diversity policy aimed at enhancing governance efficiency and reducing groupthink risks [149]. - The board's independence assessment mechanism was updated and approved on March 30, 2023, to ensure effective independent judgment [153]. - The company has a structured approach to governance, with regular assessments of board members' contributions and time commitments [104]. Shareholder Communication and Dividends - The company plans to distribute dividends amounting to approximately 30% to 40% of the consolidated profit attributable to shareholders annually [197]. - The company emphasizes the importance of effective communication with shareholders to enhance understanding of its business performance and strategies [193]. - The company has established multiple channels for communication with shareholders, including printed corporate communications and online access to reports [195]. - Shareholders have the right to request a special general meeting if they hold at least 10% of the company's paid-up capital [183]. - The company will consider various factors, including future operations and profitability, when proposing dividend payments [197]. - The company has a policy in place for shareholder communication to ensure timely and effective information dissemination [194]. Risk Management and Compliance - The company has established a whistleblowing procedure to allow employees to confidentially report concerns regarding financial reporting and internal controls [171]. - The company has complied with relevant laws and regulations regarding bribery, extortion, fraud, and money laundering during the year [171]. - The audit committee assists the board in overseeing the design, implementation, and monitoring of the risk management and internal control systems [165]. - The board has overall responsibility for assessing and determining the nature and extent of risks the company is willing to take to achieve its strategic objectives [164]. - The company has implemented monitoring procedures to ensure strict prohibition of unauthorized access to and use of insider information [172].

Financial Performance - The company's revenue and net profit for the first half of 2022 increased significantly by 156.4% and 308.2% respectively compared to the same period last year, driven by a surge in demand for cleanroom products and improved economies of scale [13]. - Total revenue for the first half of 2022 reached RMB 254.5 million, a significant increase from RMB 99.2 million in the same period of 2021 [38]. - Net profit surged by 308.2% to RMB 39.5 million in the first half of 2022, compared to RMB 9.7 million in the same period of 2021, with a net profit margin increasing from 9.8% to 15.5% [53]. - Revenue for the six months ended June 30, 2022, was RMB 254,469,000, an increase of 156.5% compared to RMB 99,244,000 for the same period in 2021 [136]. - Profit before tax increased to RMB 52,131,000, up 263.5% from RMB 14,355,000 in the previous year [136]. - Basic and diluted earnings per share for the period were RMB 2.82, significantly higher than RMB 0.69 in the previous year [139]. Revenue Breakdown - Revenue from cleanroom wall and ceiling systems increased by RMB 147.8 million or 167.4% in the first half of 2022 compared to the same period in 2021 [27]. - Revenue from cleanroom wall and ceiling systems in China rose by RMB 97.4 million or 170.0% [27]. - Revenue from cleanroom wall and ceiling systems in Southeast Asia increased by RMB 50.4 million or 163.4% [27]. - Revenue from cleanroom projects reached RMB 152,120 thousand, up from RMB 78,115 thousand year-over-year, indicating a growth of 94.5% [173]. - Revenue from cleanroom equipment increased by RMB 3.3 million or 138.1% in the first half of 2022 compared to the same period in 2021 [32]. - Revenue from ancillary services, including the sale of cleanroom equipment and preventive maintenance, increased by RMB 4.1 million or 48.1% [33]. Production and Capacity Expansion - The company plans to expand its production capacity in Malaysia and China, with an expected 80% increase in cleanroom wall and ceiling system capacity and a 62% increase in cleanroom equipment capacity upon completion of new facilities [14]. - The company is actively seeking suitable locations for a second factory in China, with plans to extend the lease of a temporary facility until August 2023 [14]. - The company has obtained verbal approval from government officials for the construction of new production facilities in Malaysia, with formal approval pending [14]. - The company plans to open a second factory in China to increase production capacity, with an investment of RMB 0.3 million for additional machinery [77]. Operational Challenges - The company experienced a two-month production halt in Shanghai due to COVID-19 restrictions, which delayed the completion of two confirmed projects, resulting in an estimated revenue shift of RMB 8.6 million to the second half of 2022 [15]. - The company is closely monitoring the fluctuating pandemic situation and global political tensions that may impact demand for semiconductor production facilities, while prudently managing its business operations and financial resources [19]. Financial Position and Cash Flow - Cash and cash equivalents increased to RMB 119.6 million as of June 30, 2022, from RMB 110.5 million as of December 31, 2021, primarily due to cash generated from operating activities [62]. - The company's bank borrowings amounted to RMB 68.5 million as of June 30, 2022, with an effective interest rate ranging from 3.17% to 4.35% [62]. - The asset-to-liability ratio was 0.28 as of June 30, 2022, compared to 0.29 as of December 31, 2021 [63]. - Operating cash flow for the six months ended June 30, 2022, was RMB 12,097 thousand, compared to a cash outflow of RMB 4,100 thousand in the same period of 2021 [153]. - The company reported a net cash inflow from financing activities of RMB 18,000 thousand, up from RMB 6,400 thousand in the previous year [157]. Shareholder Information - The company's directors hold significant shares, with Ng Yew Sum owning 23.41% of the issued share capital [83]. - Major shareholders include Yap Fui Lee with 327,768,550 shares (23.41%), Francis Chia Mong Tet with 150,773,100 shares (10.76%), and Yau Ah Lan @ Fara Yvonne with 150,773,100 shares (10.76%) [88]. - The company has adopted a share option scheme to incentivize selected participants for their contributions [98]. Corporate Governance - The company has adopted the corporate governance code as a basis for its corporate governance practices and believes it has fully complied with the code provisions [116]. - The audit committee, composed of three independent non-executive directors, reviewed the unaudited consolidated interim results for the six months ended June 30, 2022 [122]. - The independent auditor's review report confirmed that the interim financial statements were prepared in accordance with Hong Kong Accounting Standards [133]. Taxation - For the six months ended June 30, 2022, the group reported a total income tax expense of RMB 12,592,000, a significant increase from RMB 4,668,000 for the same period in 2021, representing a growth of approximately 169% [200]. - The group incurred a China corporate income tax expense of RMB 5,143,000 for the six months ended June 30, 2022, compared to RMB 1,638,000 for the same period in 2021, reflecting an increase of about 213% [200]. - The group’s effective tax rate for the six months ended June 30, 2022, was influenced by various preferential tax rates applicable to its subsidiaries in China, including rates of 15% and 10% for certain qualifying entities [197][198].

Financial Performance - Total revenue increased by 31.4% from RMB 203.6 million in 2020 to RMB 267.5 million in 2021[19] - Adjusted profit rose by 29.9% from RMB 26.7 million in 2020 to RMB 34.7 million in 2021[19] - The group's revenue for the fiscal year 2021 was RMB 267.5 million, representing a year-on-year growth of 31.4%[25] - The gross profit margin for the fiscal year 2021 was stable at 35.6%, compared to 35.4% in the fiscal year 2020[25] - Net profit increased by 227.3% from RMB 10.6 million in the fiscal year 2020 to RMB 34.7 million in the fiscal year 2021, primarily due to revenue growth and no listing expenses[25] - Revenue from cleanroom wall and ceiling systems increased by RMB 44.7 million or 23.4% compared to the fiscal year 2020[31] - Revenue from cleanroom equipment increased by RMB 93 million or 149.2% compared to the previous fiscal year, primarily due to a contract for providing cleanroom equipment to a semiconductor production facility in the Philippines, generating RMB 7.6 million, accounting for 48.8% of total revenue from cleanroom equipment[37] - Revenue from supporting businesses, including the sale of cleanroom equipment and components, increased by RMB 9.9 million or 144.6% compared to the previous fiscal year, mainly due to several contracts supplying raised floor systems in Malaysia[38] - The net profit increased by 227.3% to RMB 34.7 million, with a net profit margin rising from 5.2% in the previous year to 13.0%[55] Dividends and Shareholder Returns - The company declared a final dividend of HKD 0.67 per share for the fiscal year 2021[19] - The board proposed a final dividend of HKD 0.67 per share for the year ended December 31, 2021, compared to HKD 0.36 per share in the previous fiscal year[87] Production Capacity and Expansion - The group expects an approximately 80% increase in cleanroom wall and ceiling system capacity and a 62% increase in cleanroom equipment capacity upon full operation of new production facilities in Malaysia by Q4 2023[21] - The group is actively seeking suitable locations to establish a second factory in China to enhance production capacity for cleanroom wall and ceiling systems[21] - The group has completed the acquisition of a 16,056 square meter industrial land in Selangor, Malaysia, for new production facilities[26] - The company announced the acquisition of industrial land in Malaysia for approximately RM 26.79 million (about RMB 42.4 million) to build a new factory, aimed at increasing production capacity[78] - The company is actively seeking suitable land in China for a second factory to enhance production capacity, with plans to utilize RMB 0.2 million for additional machinery[92] Cost Management and Operational Efficiency - The group will continue to maintain strict cost control and monitor operational efficiency amid ongoing pricing pressure from competitors[21] - Administrative and other operating expenses increased by 31.8% to RMB 35.5 million, mainly due to rising employee costs and professional fees[51] - Sales and distribution costs rose by 43.9% to RMB 11.4 million, with the percentage of revenue increasing to 4.2%[50] - Total employee costs, including directors' remuneration, amounted to RMB 30.8 million for the year, up from RMB 24.3 million in 2020[69] Financial Position and Capital Expenditure - Cash and cash equivalents remained stable at RMB 110.5 million as of December 31, 2021, while borrowings increased to RMB 62.2 million from RMB 22.9 million in 2020[70] - The debt-to-equity ratio calculated based on bank borrowings and lease liabilities was 0.29, compared to 0.12 in 2020[71] - Capital expenditure for property, plant, and equipment totaled RMB 45.5 million, significantly up from RMB 3.9 million in 2020, with 96.5% allocated for acquisition purposes[73] Corporate Governance - The company emphasizes the importance of independent directors, with Mr. Martin Giles Manen appointed as an independent non-executive director on September 3, 2020, bringing over 42 years of accounting and management experience[120] - The company has a structured governance framework with independent directors actively participating in key committees such as the audit and remuneration committees[120] - The company is committed to maintaining high standards of corporate governance and financial reporting, as evidenced by the qualifications of its board members and management[122] - The company has adopted the corporate governance code as the basis for its governance practices, ensuring compliance since its listing on October 15, 2020[134] - The board believes that high corporate governance standards are essential for protecting shareholder interests and enhancing corporate value[134] Management and Board Composition - The management team includes professionals with diverse backgrounds and extensive experience in their respective fields, enhancing the company's operational capabilities[123] - The company has a diverse board composition to maintain a balance of skills and experience relevant to its business[141] - The company has established a framework for stakeholder engagement and importance assessment, overseen by the board[136] - The board has complied with listing rules by appointing at least three independent non-executive directors, who constitute one-third of the board[155] - All independent non-executive directors have confirmed their independence according to the guidelines set out in the listing rules[155] Audit and Remuneration Committees - The audit committee, composed entirely of independent non-executive directors, held three meetings during the year[175] - The audit committee recommended the reappointment of external auditors and determined their fees for the interim review and annual audit[180] - The remuneration committee held four meetings during the year and reviewed the group's remuneration policies and structures[184] - The remuneration committee recommended competitive remuneration packages to attract and retain high-quality employees, considering factors such as company performance and individual capabilities[185] Environmental and Social Responsibility - The company has committed to environmental sustainability and complies with applicable environmental protection laws and regulations[136]

Financial Performance - The company reported revenue of RMB 992 million for the first half of 2021, a year-on-year increase of 71.1%, driven by revenue growth of 68.2% from China and 210.3% from Malaysia[14]. - Net profit increased by 373.2% to RMB 9.7 million in the first half of 2021, compared to RMB 2.0 million in the same period of 2020, primarily due to increased revenue and the absence of listing expenses[15]. - The adjusted profit for the first half of 2021 was RMB 9.7 million, a 25.6% increase from RMB 7.7 million in the first half of 2020, after excluding listing expenses of RMB 5.7 million[15]. - Total revenue for the first half of 2021 was RMB 99.2 million, a 70.5% increase from RMB 58.0 million in the first half of 2020[43]. - The net profit for the six months ended June 30, 2021, was RMB 9,687 thousand, compared to RMB 2,047 thousand for the same period in 2020, reflecting a significant increase of 373.5%[138]. - The company reported a profit attributable to equity holders of RMB 9,617,000 for the six months ended June 30, 2021, compared to RMB 1,976,000 for the same period in 2020, representing an increase of 386%[142]. - The basic and diluted earnings per share for the period were RMB 0.69, up from RMB 0.19 in the previous year, indicating a significant improvement in profitability[142]. Revenue Breakdown - Revenue from cleanroom wall and ceiling systems increased by RMB 36.2 million or 69.6% compared to the first half of 2020, with sales in China rising by RMB 23.3 million or 68.2%[21]. - Revenue from cleanroom equipment increased by RMB 1.2 million or 95.5% compared to the first half of 2020, reflecting a recovery from delays caused by the COVID-19 pandemic[26]. - Revenue from supporting businesses, including cleanroom equipment sales and maintenance services, increased by RMB 3.9 million or 81.8% compared to the first half of 2020, primarily due to contracts in Malaysia[27]. - Revenue from China increased by RMB 23.3 million or 68.2% compared to the first half of 2020, driven by increased contracts and projects in cleanroom wall and ceiling systems[29]. - Revenue from Malaysia surged by RMB 15.9 million or 210.3% compared to the first half of 2020, attributed to contracts for cleanroom systems and raised floor systems[30]. - Revenue from Singapore rose by RMB 4.2 million or 44.4% compared to the first half of 2020, mainly due to new contracts from a large data center project[33]. - Revenue from cleanroom projects reached RMB 78,115 thousand, up 113.4% from RMB 36,539 thousand in the previous year[180]. - Revenue from product sales was RMB 21,129 thousand, slightly down by 1.5% from RMB 21,454 thousand in the same period last year[180]. Cost and Profitability - The gross profit margin decreased by 4.9 percentage points, primarily due to the absence of engineering service income of approximately RMB 6.5 million, which did not involve minimum direct costs[14]. - The gross profit margin for cleanroom wall and ceiling systems decreased by 4.0 percentage points to 35.1% in the first half of 2021, primarily due to lower direct costs from engineering services[35]. - Administrative and other operating expenses increased by 57.5% to RMB 13.1 million, representing 13.2% of revenue, mainly due to increased professional and compliance costs[41]. - Adjusted profit for the first half of 2021 was RMB 9.7 million, a 25.6% increase from RMB 7.7 million in the first half of 2020, primarily due to revenue growth, partially offset by a decrease in gross margin[44]. Operational Developments - The company plans to open a second factory in China to increase production capacity for cleanroom wall and ceiling systems, capitalizing on market opportunities due to increased demand[16]. - The company remains cautiously optimistic about the medium to long-term development of the cleanroom industry, despite ongoing global semiconductor shortages driving increased investment in the semiconductor sector[17]. - The company faces pressure on gross margins due to rising commodity prices, particularly for steel and aluminum, necessitating continued efforts to improve operational efficiency and control costs[16]. - The company is focusing on enhancing its operational efficiency and exploring strategic partnerships to drive future growth[155]. Cash Flow and Financial Position - Cash and cash equivalents as of June 30, 2021, were RMB 100.5 million, down from RMB 118.7 million as of December 31, 2020, mainly due to repayment of bank loans and dividends paid[52]. - Bank borrowings decreased to RMB 16.2 million as of June 30, 2021, from RMB 22.9 million as of December 31, 2020, with an effective interest rate ranging from 3.2% to 4.6%[52]. - The asset-to-liability ratio was 0.09 as of June 30, 2021, down from 0.12 as of December 31, 2020[53]. - Current assets totaled RMB 246,075,000, down from RMB 269,121,000 at the end of 2020, with cash and cash equivalents at RMB 100,522,000[147]. - Current liabilities decreased to RMB 73,347,000 from RMB 93,885,000 at the end of 2020, reflecting improved liquidity management[147]. - The company's net asset value increased to RMB 207,857,000 as of June 30, 2021, compared to RMB 207,559,000 at the end of 2020[149]. Shareholder Information - Major shareholders include Ng Yew Sum with a 23.19% stake and Francis Chia Mong Tet with a 10.28% stake in the company[77]. - Douglas Frederick Bockmiller holds 62,258,700 shares of the company, with Channel Systems Inc. and Pacific Panels Inc. holding 1,404,850 shares each, representing 45% and 50% ownership respectively[4]. - Lauren Lindquist Bockmiller holds 62,258,700 shares of the company, with Channel Systems Inc. holding 1,404,850 shares, representing 55% ownership[5]. - The company has adopted a stock option plan that allows for the issuance of up to 30% of the total issued share capital as options[90]. - The total number of shares that can be issued upon the exercise of options under the stock option plan is capped at 10% of the issued shares at the time of listing, which is 140,000,000 shares[90]. - No stock options were granted, exercised, or canceled under the stock option plan during the first half of 2021[100]. Corporate Governance - The company is committed to maintaining high corporate governance standards to protect shareholder interests and enhance corporate value[112]. - The board believes that high corporate governance standards are essential for providing a framework to safeguard shareholder interests and enhance transparency[112]. - The company has fully complied with the corporate governance code during the first half of 2021, with some exceptions noted[112]. - The chairman and CEO roles are currently held by the same individual, Ng Yew Sum, due to the vacancy in the CEO position, which the board believes does not compromise governance[113]. Future Outlook - The company anticipates that the Asian economy will continue to recover from the pandemic, with China expected to remain a key market in the second half of 2021[16]. - The ongoing COVID-19 pandemic poses risks to the company's operations and financial performance, particularly if government authorities reimpose lockdown measures[16]. - The company plans to continue expanding its cleanroom project offerings and enhance its market presence in Southeast Asia[176].