Financial Performance - The company achieved a sales revenue of HKD 46.479 billion for the year ending December 31, 2024, reflecting a significant growth driven by AI-related applications[29]. - The net profit margin for the year ending December 31, 2024, is reported at 33.2%[14]. - The company’s basic earnings per share for the year ending December 31, 2024, is reported at HKD 1.84[21]. - The company’s total equity attributable to owners as of December 31, 2024, is HKD 1,693.9 million[16]. - The company’s dividend per share for the year ending December 31, 2024, is reported at HKD 21.41, representing a 140% increase[25]. - The group’s revenue for the year ended December 31, 2024, was HKD 4,647.9 million, a decrease of HKD 1,018.0 million (or 18.0%) compared to HKD 5,665.9 million in 2023[60]. - Gross profit decreased by HKD 129.8 million to HKD 311.7 million, with a gross margin decline of 1.1% to 6.7% from 7.8% in 2023[62]. - For the year ended December 31, 2024, the group's profit was HKD 101.1 million, an increase of HKD 8.6 million or 9.3% compared to HKD 92.5 million in 2023[67]. - The net profit attributable to the owners of the company reached HKD 100.3 million, representing a 41.1% increase from HKD 71.1 million in 2023[68]. Market Trends and Projections - Global semiconductor sales are projected to increase by 19% in 2024, reaching a record USD 627 billion, largely due to the demand for AI computing power[30]. - AI applications and related spending are projected to generate a cumulative global economic impact of $19.9 trillion by 2030, with a potential 0.8 percentage point increase in global GDP growth if managed properly[32]. - The semiconductor market is expected to grow, with data transmission benefiting from AI server technology upgrades projected to increase by 15.6% year-on-year in 2025[32]. - The demand for AI-related GPUs and AI processors is expected to grow by 24% in 2025, while overall storage chip growth is estimated at around 33%[32]. - The AI application market is anticipated to drive significant growth in semiconductor demand over the next 5-10 years, particularly in high-end storage and computing chips[51]. Business Development and Strategy - The company aims to enhance its business development by focusing on AI-related fields and transforming its positioning to bridge AI technology and products[36]. - The company is focusing on expanding its overseas market presence, particularly in India and Southeast Asia, as part of its dual headquarters strategy to adapt to changing international business scenarios[40]. - The company is actively optimizing its consumer electronics business unit to improve key performance indicators such as gross margin and inventory turnover[43]. - The company has invested more resources in marketing activities to promote its e-commerce platform and new products, aiming to broaden its customer base[107]. - The company has identified several strategic product segments that are expected to grow rapidly and plans to continue expanding its product portfolio[107]. Operational Highlights - The company has expanded its customer base to over 20,000 diversified commercial clients by the end of 2024[29]. - The company has established 12 business locations and branches to serve clients in the electronics industry across China and the Asia-Pacific region[29]. - The company is leveraging its accumulated resources in edge and on-device AI to provide various product-level technical solutions, enhancing its position as a mainstream chip supplier in the AI sector[41]. - The company’s AI-related business share has grown rapidly in 2024, improving profitability and laying a solid foundation for business growth in 2025[41]. - The company is expanding its supplier base through strategic partnerships and exploring new product segments with growth potential[102]. Environmental and Social Governance (ESG) - Environmental protection is recognized as crucial for the company's long-term development, with no fines or penalties incurred for non-compliance with health, safety, or environmental regulations[99]. - The group aims to achieve specific environmental goals to enhance its environmental performance and reduce carbon emissions[189]. - The group has received multiple recognitions and certifications, including ISO 9001:2015 and ISO 14001:2015, reflecting its commitment to sustainable development[188]. - The group emphasizes the importance of stakeholder communication to improve service quality and internal strategies[181]. - The group adheres to all environmental laws and regulations, implementing energy-saving measures in its operations[189]. Employee and Management - The company has a strong management team with over 20 years of experience in the semiconductor and electronics industries[86][87][88][89][90]. - The company emphasizes the importance of employee relations and offers competitive compensation, along with stock reward and stock option plans for senior management and employees[100]. - As of December 31, 2024, the group had 312 employees, a decrease from 353 employees as of December 31, 2023[82]. - Total employee costs for the year ended December 31, 2024, were approximately HKD 108.4 million, down from HKD 182.6 million for the year ended December 31, 2023[82]. Shareholder Information - The company proposed a final dividend of HKD 0.10 per share for the year ending December 31, 2024, compared to HKD 0.05 in 2023, subject to shareholder approval[103]. - The company's distributable reserves as of December 31, 2024, amounted to HKD 286.9 million, down from HKD 330.0 million in 2023[111]. - As of December 31, 2024, the company has a total of 488,681,030 shares issued[125]. - Mr. Tian Weidong holds 262,500,000 shares, representing 53.72% of the total shares[121]. - The stock option plan allows for a maximum issuance of 50,000,000 shares, representing 10.23% of the company's issued share capital as of the report date[142].

总部深圳，成立于2005年的芯智控股(2166.HK)，作为国内领先的集成电路及其他电子元器件全能型分 销商及技术增值服务商，近期发布2024年业绩。公司战略调整业务布局，拓展与AI高度相关的业务领 域，全年收入虽有所下降，但仍录得46.48亿港元规模，费用端改善，归母净利润高增41%，并大幅提 升了派息比例。 一、始终掌握行业趋势，部分年份业绩弹性大 首先，电子元器件分销行业的产业价值，一方面是协助上游原厂进行市场推广，一方面为下游客户提供 集中采购服务。行业数据显示，2023年全球分销商TOP50营收超1780亿美元，头部企业有欧美巨头艾睿 电子、安富利，也有中国台湾企业大联大、文晔科技等，内地头部企业包括中电港(001287.SZ)、深圳 华强(000062.SZ)、香农芯创(300475.SZ)、力源信息(300184.SZ)、好上好(001298.SZ)等，芯智控股也属 于一线本土玩家，营收规模在全球TOP40以内。 其次，从电子元器件的产品类别看，半导体占比超过7成，其他还有连接器、无源元件、机电产品、计 算机/系统、电源和电池类产品等。芯智控股的业务主要聚焦半导体领域，上游合作的芯片原厂包括 M ...

Financial Performance - Total revenue for the fiscal year ending December 31, 2024, was HKD 4,647.9 million, a decrease of 18.0% compared to HKD 5,665.9 million in 2023[3] - Gross profit for the fiscal year ending December 31, 2024, was HKD 311.7 million, down 29.4% from HKD 441.5 million in 2023[3] - Net profit attributable to owners of the company for the fiscal year ending December 31, 2024, increased by 41.1% to HKD 100.3 million from HKD 71.1 million in 2023[3] - Basic and diluted earnings per share for the fiscal year ending December 31, 2024, were HKD 0.2141 and HKD 0.2139, respectively, compared to HKD 0.1508 and HKD 0.1505 in 2023[3] - The company reported a total tax expense of HKD 13,837 for 2024, a decrease from HKD 16,736 in 2023[28] - The company's total comprehensive income for the year was HKD 101,053, up from HKD 92,505 in 2023[23] Dividends - The board proposed a final dividend of HKD 0.10 per share for the fiscal year ending December 31, 2024, up from HKD 0.05 per share in 2023[3] - The company proposed a final dividend of HKD 0.10 per ordinary share for the year ending December 31, 2024, totaling approximately HKD 48,868,000, compared to HKD 23,469,000 in 2023[29] Expenses - Other income for the fiscal year ending December 31, 2024, was HKD 21.3 million, down from HKD 43.7 million in 2023[4] - Research and development expenses for the fiscal year ending December 31, 2024, were HKD 31.5 million, slightly down from HKD 32.5 million in 2023[4] - Administrative expenses decreased to HKD 73.0 million in 2024 from HKD 116.0 million in 2023[4] - Financial expenses for the fiscal year ending December 31, 2024, were HKD 26.6 million, a reduction of HKD 30.4 million from HKD 57.0 million in 2023[70] - Total employee costs (excluding directors' remuneration) for 2024 were HKD 72,129,000, down from HKD 137,596,000 in 2023, reflecting a significant reduction[29] - The company reported a total of HKD 119,877,000 in employee costs for 2024, compared to HKD 190,124,000 in 2023, indicating a decrease of approximately 37%[29] Assets and Liabilities - Total assets decreased from HKD 1,400,325 thousand in 2023 to HKD 1,339,075 thousand in 2024, a decline of approximately 4.4%[7] - Current assets decreased from HKD 610,134 thousand in 2023 to HKD 569,908 thousand in 2024, representing a decrease of about 6.6%[7] - Total liabilities decreased from HKD 830,417 thousand in 2023 to HKD 728,941 thousand in 2024, a reduction of approximately 12.2%[7] - Non-current liabilities decreased from HKD 5,467 thousand in 2023 to HKD 5,199 thousand in 2024, a decline of about 4.9%[8] - The company's net asset value increased from HKD 904,413 thousand in 2023 to HKD 959,776 thousand in 2024, an increase of approximately 6.1%[8] - The company's goodwill remained stable at HKD 20,159 thousand for both 2023 and 2024[7] Revenue Segmentation - The revenue from electronic components sales was HKD 4,594,548, while mixed distribution revenue was HKD 53,348, indicating a significant decline in mixed distribution[17] - Revenue from external customers for the year ended December 31, 2024, was HKD 4,647,896, a decrease of 18% from HKD 5,665,885 in 2023[23] - Revenue from external customers in Hong Kong for 2024 was HKD 2,564,489, down from HKD 4,242,407 in 2023, indicating a significant decline[26] - Revenue from external customers in China increased to HKD 1,604,987 in 2024, up from HKD 1,264,470 in 2023, reflecting a growth of 27%[26] - The segment profit for the licensing distribution segment was HKD 83,225 for 2024, compared to HKD 58,696 in 2023, showing an increase of 42%[23] Market Trends and Projections - In 2024, the global semiconductor market is projected to grow by 19% to reach $627 billion, driven primarily by AI-related chips such as high-bandwidth memory (HBM) and logic chips, which are expected to grow by 81% and 16.9% respectively[38] - The global smart home market is expected to grow by 7% in 2024, reaching USD 125 billion, indicating robust demand for smart vision solutions[40] - The global market for high-end optical modules is anticipated to maintain a strong growth trend, contributing to the business unit's performance growth targets[60] - The global automotive display panel market saw a year-on-year shipment increase of 11% in the first half of 2024, reaching 110 million units[57] Corporate Governance and Compliance - The audit committee, consisting of three independent non-executive directors, has reviewed the group's audited consolidated financial statements for the year ended December 31, 2024[101] - The company announced its annual performance report for the year ending December 31, 2024, which will be published on the Hong Kong Stock Exchange and the company's website[104] - The annual general meeting is scheduled for May 23, 2025, with notifications to be published in accordance with listing rules[105]

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 2,623,869 thousand, a decrease of 17.6% compared to HKD 3,184,637 thousand in 2023[9] - Gross profit decreased by 37.6% to HKD 143,419 thousand from HKD 229,876 thousand year-on-year[9] - Profit before tax increased by 59.4% to HKD 45,229 thousand, up from HKD 28,378 thousand in the previous year[9] - Net profit attributable to owners of the company surged by 186.6% to HKD 36,326 thousand, compared to HKD 12,674 thousand in 2023[9] - Basic earnings per share rose by 188.4% to HKD 7.73 from HKD 2.68 in the same period last year[9] - The group's profit for the six months ended June 30, 2024, was HKD 36.9 million, an increase of HKD 15.8 million (74.8%) from HKD 21.1 million in the same period of 2023, with a net profit margin of approximately 1.4%[51] - The company reported a total comprehensive profit of HKD 36,917,000 for the six months ended June 30, 2024, compared to HKD 21,116,000 for the same period in 2023, reflecting a year-on-year increase of 74.8%[126] Assets and Liabilities - Total assets increased by 10.4% to HKD 1,921,712 thousand as of June 30, 2024, compared to HKD 1,740,297 thousand at the end of 2023[9] - Total liabilities rose by 20.7% to HKD 1,009,051 thousand from HKD 835,884 thousand year-on-year[9] - The debt-to-equity ratio increased to 56.6% from 44.0% in the previous year, reflecting a 28.6% rise[9] - The group's outstanding bank and other borrowings as of June 30, 2024, were HKD 516.6 million, an increase from HKD 397.7 million as of December 31, 2023[59] - Current liabilities increased to HKD 1,001,628 thousand from HKD 830,417 thousand, reflecting a rise of 20.6%[100] Market Trends and Projections - In the first half of 2024, the semiconductor market is expected to see a significant recovery, with DRAM growth rates of 20% in Q1 and 13-18% in Q2, while NAND flash growth rates are projected at 23-28% in Q1 and 15-20% in Q2[14] - The global semiconductor market is projected to grow by 15.2% year-on-year in Q1 2024, with total sales reaching USD 137.7 billion[12] - The global storage chip market is expected to grow by 45% year-on-year in 2024, reaching $129.8 billion, supported by strong demand driven by AI and digital economy[33] - The global automotive storage market is projected to grow from $4 billion in 2021 to $10 billion by 2025, with a compound annual growth rate (CAGR) of 28%[33] Business Unit Performance - The storage chip business unit achieved a sales revenue of HKD 645.7 million in the first half of 2024, representing a substantial year-on-year increase of 1,380.5%[14] - The traditional smart display business unit experienced a significant decline, with sales revenue of HKD 444.5 million in the first half of 2024, down 62.0% year-on-year due to various market factors[18] - The communication products business unit achieved sales of HKD 277.1 million in the first half of 2024, representing a significant year-on-year increase of 27.0%, driven by strong demand for cellular IoT modules in China and India[22] - The optical communication business unit reported sales of HKD 171.0 million in the first half of 2024, a remarkable year-on-year increase of 39,659.5%, fueled by the surge in demand for high-speed optical modules due to the growth of AI server requirements[23] Cash Flow and Expenses - Operating cash flow before changes in working capital was HKD 51,090 million, with a net cash from operating activities of HKD 205,848 million[107] - The company experienced a decrease in cash and cash equivalents of HKD 65,277 million, resulting in a closing balance of HKD 425,463 million[107] - The total tax expense for the six months ended June 30, 2024, was 8,312 thousand HKD, compared to 7,262 thousand HKD in 2023, indicating an increase in tax obligations[139] Employee and Shareholder Information - As of June 30, 2024, the total number of employees is 327, a decrease from 645 as of June 30, 2023, with total employee costs for the six months ending June 30, 2024, amounting to approximately HKD 53.9 million, down from HKD 89.6 million for the same period in 2023[65] - The company declared an interim dividend of HKD 0.02 per share for the six months ending June 30, 2024, compared to no dividend for the same period in 2023[70] - Mr. Tian Weidong holds 262,500,000 shares, representing approximately 53.72% of the total shares[84] Compliance and Governance - The company has established an audit committee consisting of three independent non-executive directors to oversee financial reporting and internal controls[87] - The financial statements were prepared in accordance with Hong Kong Accounting Standards (HKAS) No. 34 and applicable disclosure requirements of the Hong Kong Stock Exchange[108] - The audit committee has reviewed the interim financial statements and discussed accounting policies with external auditors[87]

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 之 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 就 因 本 公 告 全 部 或 任 何 部 分 內 容 而 產 生 或 因 倚 賴 該 等 內 容 而 引 致 之 任 何 損 失 承 擔 任 何 責 任。 芯智控股有限公司 Smart-Core Holdings Limited （於開曼群島註冊成立的有限公司） （股份代號：2166） 截 至2024年6月30日 止 六 個 月 之 中 期 業 績 | --- | --- | |-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ...

Financial Performance - The company achieved a sales revenue of HKD 5.6659 billion in 2023, despite a challenging economic environment[26] - The overall economic slowdown and industry downturn led to a noticeable decline in the company's performance for the fiscal year[28] - The company reported a significant drop in gross profit, with a decrease of 59.7% year-on-year[11] - In 2023, the company achieved a total sales revenue of HKD 5,665.9 million, representing a year-on-year decline of 43.4%[41] - The gross profit for 2023 was HKD 441.5 million, down 59.7% compared to the previous year[41] - The group's profit for the year ended December 31, 2023, was HKD 92.5 million, a decrease of HKD 287.2 million or 75.6% compared to HKD 379.7 million in 2022[73] - The net profit attributable to the owners of the company for the year ended December 31, 2023, was HKD 71.1 million, a decrease of 56.8% from HKD 164.7 million in 2022[74] - The revenue for the year ended December 31, 2023, was HKD 5,665.9 million, a decrease of HKD 4,340.2 million or 43.4% compared to HKD 10,006.1 million in 2022[66] Market Trends - The global semiconductor market size decreased by 11.1% in 2023 compared to 2022, amounting to approximately USD 533 billion[27] - The global top 25 semiconductor manufacturers saw an overall revenue decline of 14.1% in 2023[27] - The global semiconductor market is expected to grow by 13.1% in 2024, reaching USD 588.4 billion, driven by recovery in storage, AI, and consumer electronics demand[54] - The semiconductor market is expected to grow by 13.1% in 2024, reaching $588.4 billion, driven by strong demand for AI chips and a 44.8% increase in memory revenue[33] - The company anticipates a 25.6% growth in the AI chip market in 2024, reaching $67.1 billion, benefiting from the demand for data center-related industries[34] - The smartphone market in mainland China is projected to grow by 3.6% in 2024, reaching 287 million units, marking the first year-over-year increase since 2021[37] Business Segments - The company's independent distribution business experienced a significant revenue decline due to oversupply in the chip distribution market[28] - The authorized distribution business was also impacted, with various business units such as smart display and communication showing revenue decreases[28] - The optical communication segment benefited from increased demand in the AI sector, resulting in substantial growth[28] - The smart display business unit's sales revenue reached HKD 1,859.5 million, a significant decrease of 35.9% year-on-year[42] - The optoelectronic display business unit reported sales of HKD 794.5 million, down 26.4% year-on-year[43] - The smart vision business unit achieved sales of HKD 923.5 million, reflecting a decline of 35.3% year-on-year[44] - The communication products business unit's sales totaled HKD 427.0 million, a substantial decrease of 37.5% year-on-year[45] - In 2023, the storage product unit achieved sales of HKD 98.1 million, a significant decline of 67.5% year-on-year, due to reduced demand for storage chips amid a global economic slowdown[47] - The integrated products unit reported sales of HKD 343.1 million in 2023, reflecting a robust year-on-year growth of 28.5%, driven by the introduction of new product lines[48] - The optical communication unit experienced a remarkable sales increase to HKD 167.5 million in 2023, representing a year-on-year growth of 14,477.5%, fueled by the rising demand for high-speed optical connections in AI applications[49] - The independent distribution unit's sales fell to HKD 830.8 million in 2023, marking a substantial decline of 73.3% year-on-year, impacted by weak demand in the electronic components market[50] Strategic Initiatives - The company is focusing on expanding new product lines and new business areas to drive growth[28] - The company is preparing to address various challenges in 2024 and aims to achieve its annual operational goals[38] - The company is actively leveraging the AI wave in the semiconductor industry to lay a solid foundation for business development in 2024[38] - The company plans to expand its overseas business, having already established a presence in the Asia-Pacific region, to adapt to the global semiconductor supply chain dynamics[36] - The company is focusing on the development of smart hardware and AI applications, which will drive demand for storage chips and align with its business strategy[37] Economic Outlook - Consumer spending contributed 82.5% to GDP growth in 2023, indicating significant potential for the electronics industry in the domestic market[37] - The World Bank forecasts a global economic growth slowdown to 2.4% in 2024, with challenges such as geopolitical conflicts and weak international trade[52] - China's economic growth is projected to slow to 4.5% in 2024, with some analysts predicting a more optimistic growth of around 5.3%[52] Corporate Governance - The company has a diverse board of directors with extensive experience in finance, marketing, and technology[99][100][101] - The independent non-executive directors have confirmed their independence according to the listing rules, and the company considers all of them to be independent[128] - The board of directors includes a mix of executive and independent non-executive members, with specific terms for re-election at the upcoming annual general meeting[131] - The company has arranged insurance for directors and senior officers to protect against potential costs and liabilities arising from claims against them[137] Compliance and Sustainability - The company has complied with all relevant laws and regulations impacting its business operations during the fiscal year[106] - Environmental protection is recognized as crucial for the company's long-term development, with no penalties incurred for non-compliance with health, safety, or environmental regulations during the fiscal year[107] - The company has committed to sustainable development practices, integrating ESG strategies into its operations and regularly assessing potential ESG risks[194] - The company engages with stakeholders through various communication channels to enhance service quality and adapt internal strategies based on feedback[195] - A materiality assessment has been conducted to identify and prioritize significant issues related to the company's operations, reflecting stakeholder concerns[196] - The company has established specific ESG-related goals, which are reviewed by the board to ensure progress towards sustainability objectives[194] Employee and Shareholder Matters - The company has implemented a strict internal training program for new employees to ensure quality and promote internal advancement opportunities[109] - The company reported a proposed final dividend of HKD 0.05 per share for the year ending December 31, 2023, down from HKD 0.06 in 2022, with no interim dividend declared for the year[113] - As of December 31, 2023, the company's distributable reserves amounted to HKD 330.0 million, a decrease from HKD 368.9 million in 2022[121] - The employee incentive plan confirmed a total of 4,450,000 shares acquired under the share award plan, with no new shares granted to employees during the year[149] - The company has not granted or agreed to grant any stock options under the stock option plan as of December 31, 2023[157] Financial Management - The group's bank and other borrowing interest expenses for the year ended December 31, 2023, were HKD 57.0 million, a reduction of HKD 22.2 million from HKD 79.2 million in 2022[71] - As of December 31, 2023, the group's cash and bank balances totaled HKD 395.3 million, down from HKD 951.7 million as of December 31, 2022[79] - The group's capital debt ratio decreased from 85.8% as of December 31, 2022, to 44.0% as of December 31, 2023, due to reduced bank borrowings[79] - The group had a current ratio of 1.69 times as of December 31, 2023, compared to 1.57 times as of December 31, 2022[80] - The group recorded a net foreign exchange loss of approximately HKD 7.9 million for the year ended December 31, 2023, compared to a loss of HKD 41.0 million in 2022[81] Audit and Reporting - The audit committee has reviewed the audited consolidated financial statements for the year ending December 31, 2023, ensuring transparency and accuracy in financial reporting[186] - The company has appointed a new auditor, Roshan Mei, following the resignation of Deloitte, indicating a change in oversight for financial audits[187]

Financial Performance - The total revenue for the fiscal year ending December 31, 2023, was HKD 5,665.9 million, a decrease of 43.4% compared to HKD 10,006.1 million for the fiscal year ending December 31, 2022[20]. - The gross profit for the fiscal year ending December 31, 2023, was HKD 441.5 million, down 59.7% from HKD 1,094.7 million for the fiscal year ending December 31, 2022[20]. - The net profit attributable to shareholders for the fiscal year ending December 31, 2023, was HKD 71.1 million, a decline of 56.8% compared to HKD 164.7 million for the fiscal year ending December 31, 2022[20]. - Basic and diluted earnings per share for the fiscal year ending December 31, 2023, were HKD 0.1508 and HKD 0.1505, respectively, compared to HKD 0.3403 and HKD 0.3389 for the fiscal year ending December 31, 2022[20]. - The company reported a total comprehensive income of HKD 88,408 for 2023, down 76.1% from HKD 366,899 in 2022[24]. - The company’s net profit for the year has been impacted by various expenses, including a significant cost of goods sold amounting to HKD 5,254.6 million in 2023, compared to HKD 8,848.6 million in 2022[59]. - The group reported a gross profit of HKD 86,678,000 for 2023[37]. - The company's profit was HKD 92.5 million, a decrease of 75.6% compared to HKD 379.7 million in 2022, primarily due to a reduction in gross profit[162]. Assets and Liabilities - Total assets decreased from HKD 1,214,896,000 in 2022 to HKD 909,880,000 in 2023, representing a decline of approximately 25.1%[3]. - Current liabilities decreased from HKD 1,645,968,000 in 2022 to HKD 830,417,000 in 2023, a reduction of about 49.7%[5]. - The net asset value decreased from HKD 1,200,923,000 in 2022 to HKD 904,413,000 in 2023, indicating a decrease of approximately 24.7%[5]. - The total liabilities decreased from HKD 1,200,923,000 in 2022 to HKD 904,413,000 in 2023, indicating a decrease of approximately 24.7%[5]. - The company’s total liabilities decreased to HKD 368,304,000 in 2023 from HKD 973,006,000 in 2022[49]. - As of December 31, 2023, the group had outstanding bank borrowings of HKD 397.7 million, down from HKD 1,030.2 million on December 31, 2022[139]. - The group's capital debt ratio decreased from 85.8% on December 31, 2022, to 44.0% on December 31, 2023, due to a reduction in bank borrowings[139]. Revenue Breakdown - Revenue from external customers in the authorized distribution segment was HKD 4,835,050, down 29.8% from HKD 6,891,419 in 2022[35]. - The independent distribution segment generated revenue of HKD 830,835, an increase of 26.0% from HKD 3,114,659 in 2022[35]. - The sales revenue for the smart display business unit reached HKD 1,859.5 million in 2023, representing a substantial year-on-year decline of 35.9%[53]. - Major customer sales for the licensing division showed a decline, with Customer 1 generating HKD 698.1 million in 2023 compared to HKD 1,302.8 million in 2022, a drop of 46.4%[57]. - The sales revenue from the display-related business unit reached HKD 794.5 million, down 26.4% year-on-year due to a decrease in global shipments of PCs and smartphones[72]. - The smart vision business unit generated sales of HKD 923.5 million, reflecting a year-on-year decline of 35.3% despite an increase in chip shipments[73]. - The optical communication business unit saw significant growth, with sales reaching HKD 167.5 million, a remarkable increase of 14,477.5% year-on-year[78]. - The independent distribution business unit reported sales of HKD 830.8 million, down 73.3% year-on-year due to a significant drop in order volume and profit margins[79]. Expenses and Cost Management - Research and development expenses decreased to HKD 32,514 from HKD 39,562, a reduction of 18.5%[22]. - Administrative expenses were reduced to HKD 116,007 from HKD 144,732, a decrease of 19.9%[22]. - The total employee costs for the company in 2023 were HKD 190.1 million, significantly lower than HKD 337.6 million in 2022, reflecting a decrease of 43.7%[59]. - The administrative, sales, and distribution expenses for the year ended December 31, 2023, totaled HKD 292.6 million, a significant decrease from HKD 525.2 million in 2022[160]. - The company incurred current tax expenses of HKD 14,660,000 in 2023, significantly lower than HKD 75,819,000 in 2022[40]. - The group’s deferred tax expenses were HKD 2,076,000 in 2023, compared to HKD 2,734,000 in 2022[40]. Market Outlook and Economic Conditions - In 2023, the global TV shipment volume is expected to decline by 2.5% year-on-year, falling below 197 million units, marking a nearly ten-year low[53]. - The World Bank forecasts a global economic growth rate of only 2.6% for 2023, indicating the lowest growth since 1995, with economic weakness surpassing that of the 2008 subprime crisis[53]. - The overall market for consumer electronics is experiencing a downturn, with a notable decline in demand and inventory issues affecting the chip market[71]. - Global PC shipments are projected to decline by 13.8% in 2023, while smartphone shipments are expected to decrease by 5% to approximately 1.2 billion units, marking the lowest level in nearly a decade[70]. - The global semiconductor market size is projected to be $520.1 billion in 2023, a decrease of 9.4% compared to $574.1 billion in 2022[103]. - China's GDP grew by 5.2% year-on-year in 2023, reaching CNY 126 trillion, but faced significant pressure due to insufficient market demand and other economic challenges[102]. Future Projections and Strategies - The company plans to propose a final dividend of HKD 0.05 per share for the year ending December 31, 2023, down from HKD 0.06 per share in 2022, totaling approximately HKD 24.43 million[61]. - The company anticipates a recovery in revenue growth for its business unit in 2024, driven by the expected increase in demand for cellular IoT modules, with a projected annual growth rate of 12% until 2030[121]. - The company plans to continue expanding new product lines and customer bases in 2024, maintaining an optimistic outlook for sustained business growth[124]. - The company expects to achieve its annual targets in 2024 despite uncertainties in the market outlook[121]. - The group aims to maintain strict control over its receivables, with overdue balances reviewed regularly by the board[45]. Corporate Governance - The board of directors is committed to maintaining high standards of corporate governance and effective management accountability[182]. - The company has adopted the corporate governance code as its own governance guidelines, ensuring compliance with applicable rules[197]. - The audit committee, composed of three independent non-executive directors, reviewed the consolidated financial statements for the year ended December 31, 2023[200].

Financial Performance - Revenue for the first half of 2023 was HKD 3,184.6 million, a decrease of 43.7% compared to HKD 5,661.5 million in the same period of 2022[6] - Gross profit dropped to HKD 229.9 million, down 66.1% from HKD 677.1 million year-on-year[6] - Profit before tax fell to HKD 28.4 million, a decline of 92.2% from HKD 362.0 million in the previous year[6] - The company reported a net profit attributable to shareholders of HKD 12.7 million, down 91.3% from HKD 145.2 million in the same period last year[6] - Revenue for the six months ended June 30, 2023, was HKD 3,184,637, a decrease of 43.8% compared to HKD 5,661,548 for the same period in 2022[99] - Gross profit for the same period was HKD 229,876, down 66.0% from HKD 677,125 in 2022[99] - The company reported a profit before tax of HKD 28,378, a decline of 92.2% from HKD 362,033 in the previous year[99] - Net profit for the period was HKD 21,116, down 92.9% from HKD 299,766 in 2022[99] Segment Performance - Sales in the smart display segment reached HKD 1,168.4 million, a significant decline of 22.9% year-on-year[13] - The optoelectronic display segment reported sales of HKD 422.2 million, down 38.4% compared to the previous year[14] - The smart vision segment achieved sales of HKD 457.0 million, a decrease of 26.4% year-on-year[15] - The communication products segment saw sales drop to HKD 218.2 million, a decline of 49.7% compared to the same period last year[17] - The storage products segment reported a sales revenue of HKD 43.6 million in the first half of 2023, a significant decline of 78.5% year-on-year[18] - The integrated products segment achieved a sales revenue of HKD 197.7 million in the first half of 2023, marking a substantial increase of 84.7% year-on-year[19] - The independent distribution segment recorded a sales revenue of HKD 536.6 million in the first half of 2023, down 72.7% year-on-year[20] Economic Outlook - The company maintains a cautious outlook for the second half of 2023 due to ongoing global economic uncertainties and tightening liquidity conditions[23] - The company expects stable prices for storage chips in the second half of 2023, which will support the performance of the storage products segment[28] - The global semiconductor sales showed a slight month-on-month increase for three consecutive months as of May 2023, although year-on-year figures remain significantly down[24] - The global PC market is expected to see a slow recovery in the second half of 2023, with a 15.7% quarter-on-quarter increase in notebook shipments in Q2 2023[26] - The semiconductor industry is expected to enter a new growth cycle in 2024, with the company optimistic about the medium to long-term development of the sector[35] Cash Flow and Assets - As of June 30, 2023, the total cash and bank balances of the group amounted to HKD 919.1 million, a decrease from HKD 951.7 million as of December 31, 2022[50] - The group’s outstanding bank and other borrowings as of June 30, 2023, were HKD 1,000.5 million, down from HKD 1,030.2 million as of December 31, 2022[50] - The capital debt ratio increased from 87.7% as of December 31, 2022, to 88.0% as of June 30, 2023[50] - The group’s current assets were HKD 2,503.4 million, compared to HKD 2,581.8 million as of December 31, 2022[51] - The current ratio as of June 30, 2023, was 1.51, down from 1.57 as of December 31, 2022[51] - The group recorded a net exchange loss of approximately HKD 6.2 million for the six months ended June 30, 2023, an improvement from a net exchange loss of approximately HKD 16.7 million in the same period of 2022[53] - The total employee cost for the six months ended June 30, 2023, was approximately HKD 89.6 million, down from HKD 172.5 million in the same period of 2022[62] Corporate Governance - The board of directors is committed to maintaining high standards of corporate governance and has adopted the Corporate Governance Code as its governance framework[72] - The company has complied with the applicable code provisions of the Corporate Governance Code during the six months ended June 30, 2023, except for the separation of the roles of Chairman and CEO[73] - The company has not entered into any major transactions or contracts where directors or their related entities have a significant interest during the six months ended June 30, 2023[81] - There are no reported interests by directors in any business that competes directly or indirectly with the company's operations as of June 30, 2023[82] Shareholder Information - As of June 30, 2023, the company did not declare an interim dividend, compared to 0.04 HKD per share for the six months ended June 30, 2022[69] - The average closing price of shares for the period was 1.76 HKD, with a closing price of 1.35 HKD on June 30, 2023[65] - The company has not purchased, sold, or redeemed any of its listed securities during the six months ended June 30, 2023[67] - The company reported a total tax expense of HKD 7,262 for the six months ended June 30, 2023, down from HKD 62,267 in 2022, reflecting a significant reduction in taxable income[134] Research and Development - Research and development expenses for the six months ended June 30, 2023, were HKD 17.1 million, a decrease of 15.3% from HKD 20.2 million in the same period of 2022[38] - The company plans to enhance its e-commerce platform and operations to improve business efficiency through data matching and digital operations[33] - The company plans to continue its market expansion and product development strategies to enhance future growth prospects[104]

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之內容 概不負責，對其準確性或完整性亦不發表任何聲明，並明確表示概不就 因本公告全部或任何部分內容而產生或因倚賴該等內容而引致之任何損 失承擔任何責任。 芯 智 控 股 有 限 公 司 Smart-Core Holdings Limited （於開曼群島註冊成立的有限公司） （股份代號：2166） 截 至2023年6月30日 止 六 個 月 之 中 期 業 績 財務摘要 • 本集團截至2023年6月30日止六個月的總收入為3,184.6百萬港元（2022 年：5,661.5百萬港元），較2022年同期減少43.7%。 • 本集團截至2023年6月30日止六個月的毛利為229.9百萬港元（2022年： 677.1百萬港元），較2022年同期減少66.0%。 • 截至2023年6月30日止六個月，本公司擁有人應佔淨利潤為12.7百萬 港元（2022年：145.2百萬港元），較2022年同期減少91.3%。 • 截至2023年6月30日止六個月，基本及攤薄每股盈利分別為2.68港仙（2022 年：29.78港仙）及2.67港仙（2022年：29.66港仙）。 ...

Financial Performance - The company achieved a sales revenue of HKD 10,006.1 million for the year ended December 31, 2022, despite facing a challenging economic environment [27]. - The company's total sales for 2022 reached HKD 10,006.1 million, a slight decrease of 3.7% year-on-year, while gross profit increased by 10.6% to HKD 1,094.7 million [47]. - The gross profit margin for the year was reported at 10.6% [12]. - The net profit margin for the year was 3.8% [13]. - Profit for the year ended December 31, 2022, was HKD 379.7 million, a decrease of 3.1% from HKD 391.9 million in 2021, with a net profit margin of 3.8% [89]. - Net profit attributable to owners for the year ended December 31, 2022, was HKD 164.7 million, a decrease of 23.1% from HKD 214.1 million in 2021 [90]. - The group's revenue for the year ended December 31, 2022, was HKD 10,006.1 million, a decrease of 3.7% from HKD 10,389.3 million in 2021 [80]. - The decline in revenue was primarily due to a reduction in sales of optoelectronic displays and storage products, which fell by approximately HKD 992.0 million [81]. Market Trends - The semiconductor industry experienced a significant downturn, with China's integrated circuit imports decreasing by approximately 5% in value and 15% in quantity compared to 2021 [30]. - The global semiconductor market is expected to decline by 4.1% in 2023, with key regions experiencing reduced growth rates [35]. - The global semiconductor market is projected to decline by an average of 6.9% in 2023, with a potential recovery in 2024 [61]. - The consumer electronics market saw a decline in demand, with global smartphone shipments dropping by 12% to under 1.2 billion units, and PC shipments decreasing by 16.2% to 286.2 million units [46]. - The global storage chip market is expected to decline by 17% in 2023, driven by decreasing demand for devices like PCs and smartphones [70]. - The global device shipment is forecasted to drop by 4.4% to 1.7 billion units in 2023, with PC shipments declining by 6.8% [64]. Business Strategy - The company plans to navigate the current downturn in the semiconductor industry by focusing on maintaining its distribution business and exploring new market opportunities [30]. - The group anticipates continued business growth in 2023, supported by the recovery of domestic demand and the expansion of independent distribution and technology value-added services [36]. - The company plans to enhance its overseas business layout and growth in 2023, leveraging its established presence in major countries across the Asia-Pacific and Europe [40]. - The company aims to expand new product lines and services in response to market uncertainties in 2023 [65]. - The company plans to strengthen its authorized distribution business and expand independent distribution globally in 2023 [79]. Operational Highlights - The independent distribution business accounted for approximately one-third of the group's total revenue in 2022, showing healthy growth in key business indicators such as sales performance and gross profit [31]. - The smart display business, which constitutes nearly 30% of total revenue, achieved sales of HKD 2,899.5 million, a slight increase of 4.4% year-on-year [50]. - The optoelectronic display business unit reported a significant decline in sales, achieving HKD 1,080.0 million in 2022, a year-on-year decrease of 41.9% due to a global downturn in electronic product demand [51]. - The independent distribution business unit achieved sales of HKD 3,114.7 million in 2022, reflecting a substantial year-on-year growth of 8.9%, bolstered by strong performance in overseas markets [58]. - The comprehensive products unit saw significant growth, achieving sales of HKD 267.0 million in 2022, a year-on-year increase of 76.4%, driven by the rapid expansion of IoT and software service markets [56]. Economic Outlook - The IMF projects a global economic growth rate of 2.9% for 2023, with expectations of acceleration to 3.1% in 2024, driven by China's reopening and increased domestic consumption [34]. - The global economic outlook for 2023 is cautious, with expected growth rates between 1.4% and 2.8%, and a forecasted growth rate of 4.8% for China, indicating potential recovery in the domestic market [60]. Financial Position - The company's total assets as of December 31, 2022, amounted to HKD 2,860.9 million [15]. - As of December 31, 2022, the group had cash and bank balances totaling HKD 951.7 million, an increase from HKD 711.8 million in 2021 [97]. - The current ratio as of December 31, 2022, was 1.57, up from 1.32 in 2021, indicating improved liquidity [98]. - The group’s total bank borrowings as of December 31, 2022, were HKD 1,030.2 million, down from HKD 1,638.1 million in 2021, resulting in a decrease in the debt-to-equity ratio from 159.8% to 87.7% [97]. Research and Development - Research and development expenses for the year ended December 31, 2022, were HKD 39.6 million, a decrease of 1.5% from HKD 40.2 million in 2021 [83]. Employee Relations - The company emphasizes employee relations, offering competitive compensation and implementing stock reward and stock option plans to incentivize senior management and employees [126]. - The total employee cost (excluding directors' remuneration) for the year ended December 31, 2022, was approximately HKD 331.2 million, an increase from HKD 279.7 million for the year ended December 31, 2021 [104]. - The group had 579 employees as of December 31, 2022, compared to 570 employees as of December 31, 2021 [104]. Compliance and Governance - The company has complied with all relevant laws and regulations impacting its business operations during the fiscal year [123]. - Environmental protection is recognized as crucial for the company's long-term development, with no penalties incurred for non-compliance with health, safety, or environmental regulations during the fiscal year [124].