Financial Performance - The company reported a significant increase in revenue, reaching $500 million, representing a 25% year-over-year growth[5]. - The Group recorded revenue of HK$2,774.7 million for the year ended 31 December 2024, an increase of 2.4% compared to 2023[40]. - For the year ended December 31, 2024, the Group recorded revenue of HK$2,644.8 million from the manufacture and sales of suspension products, an increase from HK$2,509.0 million in 2023, primarily due to an increase in orders from the plants in Poland and the Czech Republic[56][61]. - The Group reported a loss of HK$128.0 million for the Current Year, maintaining a stable financial position with HK$134.1 million in cash and cash equivalents and no bank loans as of 31 December 2024[41]. - The loss attributable to owners of the Company was approximately HK$128.0 million, compared to HK$55.3 million in 2023[84][87]. - The net income tax expense for the year ended 31 December 2024 was HK$10.2 million, a decrease from a net income tax credit of HK$32.2 million in 2023[78][82]. - The Group's operating activities generated a net cash inflow of HK$99.6 million for the year ended 31 December 2024, compared to HK$70.7 million in 2023[86][88]. - The Group maintained cash and cash equivalents of HK$134.1 million as of 31 December 2024, slightly down from HK$136.0 million as of 31 December 2023[86][88]. - The Group did not have any bank borrowings as of 31 December 2024 and 2023, resulting in a gearing ratio of 0%[90][91]. Market and Strategic Initiatives - The company provided guidance for the next fiscal year, projecting revenue growth of 20% to $600 million[5]. - The company is expanding its market presence in Southeast Asia, targeting a 10% market share by 2025[5]. - A strategic acquisition of a local competitor was completed, valued at $100 million, aimed at enhancing product offerings[5]. - The Group aims to strengthen cooperation with European automobile manufacturers to maintain and increase sales revenue, while also managing supply-chain risks and cost control[45][47]. - The Group is cautiously optimistic about future development and aims to create more value for shareholders[46][48]. Research and Development - Research and development expenses increased by 30%, totaling $30 million, to support innovation in new technologies[5]. - Research and development expenses rose by 42.6% to HK$392.9 million in 2024, compared to HK$275.5 million in 2023, due to increased activities for new automobile braking products[65][69]. - The company emphasizes continuous investment in research and development to maintain its leadership position in the automotive parts industry[117]. Corporate Governance - The Company is committed to maintaining high corporate governance standards to safeguard shareholder interests and enhance accountability and transparency[122][127]. - The Board consists of six Directors, including three Executive Directors and three Independent Non-executive Directors, ensuring a balanced composition for effective decision-making[126][130]. - The Company has complied with the Corporate Governance Code during the financial year ended December 31, 2024, ensuring adherence to best practices[125][129]. - The Company adopted a Board Diversity Policy on January 27, 2014, which was reviewed during the year to ensure its continued effectiveness[161]. - The Company must appoint at least one female Director by December 31, 2024, in compliance with new Listing Rules effective January 1, 2022[164]. - The Company has received confirmations of independence from all Independent Non-executive Directors, ensuring their independence as per Rule 3.13 of the Listing Rules[184]. Employee and Workforce Management - As of December 31, 2024, the Group had approximately 2,200 employees, with total employee costs amounting to HK$572.2 million, an increase from HK$520.8 million in 2023, reflecting a year-over-year growth of approximately 9.9%[120][121]. - The remuneration packages for employees are reviewed annually based on market conditions and individual performance, ensuring competitive compensation[120][121]. - The Group has defined benefit pension plans covering substantially all qualified employees in Poland, France, and Germany, alongside a mandatory provident fund scheme for employees in Hong Kong[120][121]. Sustainability and Environmental Goals - The company aims to reduce carbon emissions by 25% by 2026 as part of its sustainability strategy[5]. - Despite pricing pressure from customers, the company aims to maintain a reasonable gross profit margin and sustainable business development[118]. Board Meetings and Director Responsibilities - The Board meets regularly, holding at least four meetings a year, with provisions for additional meetings as required[140][141]. - The Board held five physical meetings during the financial year ended December 31, 2024, to review and approve the interim and final results of the Group[149]. - The Company aims to provide sufficient information to the Board to enable informed decision-making regarding financial and other matters[154]. - Procedures are in place for Directors to seek independent professional advice at the Company's expense when necessary[157]. Economic and Geopolitical Factors - The geopolitical situation, including the ongoing Russian-Ukrainian war and tariff threats, creates considerable uncertainty for the global political and economic landscape[111]. - The International Monetary Fund forecasts a GDP growth of 1.0% for the eurozone in 2025, indicating stable economic development in Europe[112]. - The European automotive industry is expected to rebound as demand continues to rise in the post-pandemic stage[42].

Financial Performance - For the fiscal year ending December 31, 2024, total revenue reached HKD 2,774,721,000, representing an increase of 2.43% compared to HKD 2,708,861,000 in 2023[4] - Gross profit for the same period was HKD 458,257,000, up from HKD 398,718,000, indicating a growth of 14.96%[4] - The company reported a net loss of HKD 127,972,000 for 2024, compared to a loss of HKD 55,320,000 in 2023, marking an increase in losses of 131.56%[5] - Total revenue for the year 2024 was HKD 2,774,721,000, an increase from HKD 2,708,861,000 in 2023, representing a growth of approximately 2.43%[20] - Revenue from industrial product sales reached HKD 2,644,777,000 in 2024, up from HKD 2,509,036,000 in 2023, marking an increase of about 5.39%[20] - Technical service revenue decreased to HKD 129,944,000 in 2024 from HKD 199,825,000 in 2023, a decline of approximately 34.9%[20] - The group reported a pre-tax loss of HKD 2,316,464,000 for the year ended December 31, 2024, compared to HKD 2,310,143,000 in 2023, indicating a slight increase in costs[27] - The total income tax expense for the year was HKD 10,214,000, compared to a tax benefit of HKD 32,219,000 in 2023, marking a significant shift in tax position[29] - The group’s total liabilities increased, with other payables and accrued expenses rising to HKD 189,430,000 in 2024 from HKD 127,909,000 in 2023, a growth of approximately 48.1%[37] - The company reported a loss attributable to owners of approximately HKD 128.0 million for the year ending December 31, 2024, compared to a loss of HKD 55.3 million in 2023[58] Research and Development - Research and development expenses increased significantly to HKD 392,888,000 from HKD 275,546,000, reflecting a rise of 42.55%[4] - The company plans to continue investing in R&D to enhance its product offerings and market competitiveness[9] - Research and development costs amounted to HKD 392,888,000 in 2024, up from HKD 275,546,000 in 2023, reflecting a 42.5% increase year-over-year[27] - Research and development expenses increased by 42.6% to HKD 392.9 million for the fiscal year ending December 31, 2024, driven by increased R&D activities for new automotive brake products and salary increments for technical staff[51] - The total tax credit recognized due to R&D expenses eligible for double tax deduction amounted to HKD 21.6 million in the previous year[57] Assets and Liabilities - The total assets less current liabilities amounted to HKD 1,128,948,000, down from HKD 1,264,094,000 in the previous year, a decrease of 10.71%[7] - Current liabilities increased to HKD 903,687,000 from HKD 688,225,000, representing a rise of 31.29%[7] - The total equity attributable to the owners of the company decreased to HKD 749,822,000 from HKD 853,934,000, a drop of 12.15%[8] - Trade receivables from third parties decreased to HKD 286,682,000 in 2024 from HKD 344,038,000 in 2023, a decline of approximately 16.7%[32] - Trade payables to third parties increased to HKD 389,305,000 in 2024 from HKD 362,667,000 in 2023, representing a rise of about 7.3%[36] - Contract liabilities related to customer contracts rose to HKD 58,913,000 in 2024 from HKD 40,187,000 in 2023, indicating a 46.5% increase[37] Operational Highlights - The company operates as a single business segment focused on manufacturing, selling, and trading automotive parts and components, as well as providing technical services[19] - The company is exploring potential market expansion opportunities and strategic partnerships to drive future growth[10] - The company completed a rights issue on October 21, 2024, raising approximately HKD 46.4 million, with planned uses including operational funding for production facilities in Poland and the Czech Republic[65] - The actual use of funds from the rights issue for operational funding in Poland and the Czech Republic was HKD 25.3 million, with HKD 11.6 million remaining unutilized for the Hong Kong headquarters[65] - The group has approximately 2,200 employees as of December 31, 2024, with total employee costs amounting to HKD 572.2 million, an increase from HKD 520.8 million in 2023[71] Market and Economic Outlook - The group anticipates a GDP growth of 1.0% in the Eurozone by 2025, indicating stable economic development in Europe, which will support the group's business stability[69] - The geopolitical situation remains tense, with ongoing conflicts such as the Russia-Ukraine war and the Israel-Palestine conflict, contributing to significant uncertainty in the global political and economic landscape[68] Corporate Governance and Social Responsibility - The group emphasizes the importance of employee health and safety, providing training and implementing measures to reduce occupational hazards[67] - The group is committed to continuous learning and development opportunities for employees to help them reach their full potential[67] - The group will continue to evaluate and optimize its business structure to improve long-term profitability and enhance shareholder value[70]

B W INTERNATIONAL 京西重工國際有限公司 BEIJINGWEST INDUSTRIES INTERNATIONAL LIMITED Incorporated in the Cayman Islands with limited liability 於開曼群島註冊成立之有限公司 Stock Code 股份代號 : 2339 2024 INTERIM REPORT 中 期 報 告 O | --- | --- | --- | |------------------------------------------------------------------------------------|-----------------------------|-------| | | | | | CONTENTS 目錄 | | | | CORPORATE INFORMATION | 公司資料 | 2 | | INDEPENDENT REVIEW REPORT | 獨立審閱報告 | 4 | | INTERIM RESULTS INTERIM CONDENSED CONSOLIDATED STATEMENT ...

Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 1,447,238, an increase of 1.8% compared to HKD 1,430,720 for the same period in 2023[1] - Gross profit for the same period was HKD 221,740, representing a 15.2% increase from HKD 192,502 in the previous year[1] - The company reported a net loss of HKD 51,594 for the six months ended June 30, 2024, compared to a profit of HKD 22,717 in the same period of 2023[2] - Total expenses for the six months ended June 30, 2024, were HKD 1,498,031 thousand, compared to HKD 1,458,188 thousand in 2023, an increase of 2.73%[16] - The basic loss per share for the six months ended June 30, 2024, was calculated based on a weighted average of 574,339,068 shares, consistent with the previous year[21] - No interim dividend was declared for the six months ended June 30, 2024, similar to the previous year[22] Assets and Liabilities - Total assets increased to HKD 2,079,552 as of June 30, 2024, up from HKD 1,952,319 at the end of 2023, reflecting a growth of 6.5%[3] - Current liabilities totaled HKD 901,558, which is a 31% increase compared to HKD 688,225 at the end of 2023[4] - The company’s total equity decreased to HKD 779,774 from HKD 853,934, indicating a decline of 8.7%[5] - Trade receivables from third parties rose to HKD 401,516, an increase of 16.8% from HKD 344,038 in the previous year[3] - Trade payables to third parties as of June 30, 2024, were HKD 391,901,000, compared to HKD 362,667,000 at the end of 2023[26] - Contract liabilities increased to HKD 54,680,000 as of June 30, 2024, from HKD 40,187,000 as of December 31, 2023, representing a growth of 36.5%[28] Revenue Breakdown - Sales of industrial products reached HKD 1,336,116 thousand, compared to HKD 1,331,512 thousand in the previous year, indicating a growth of 0.35%[13] - Technical service revenue increased to HKD 111,122 thousand from HKD 99,208 thousand, reflecting a growth of 12.3%[13] - Revenue from Germany was HKD 472,751 thousand, up from HKD 379,618 thousand, showing a significant increase of 24.5%[13] - Revenue from the United States rose to HKD 338,790 thousand from HKD 295,283 thousand, marking an increase of 14.7%[13] - Revenue from the sale of suspension products was HKD 1,336.1 million for the six months ended June 30, 2024, slightly up from HKD 1,331.5 million for the same period in 2023[34] Expenses - Material costs decreased to HKD 893,963 thousand from HKD 914,348 thousand, a reduction of 2.2%[16] - Employee benefits expenses increased to HKD 289,307 thousand from HKD 263,978 thousand, reflecting a rise of 9.6%[16] - Research and development expenses were HKD 41,214 thousand, down from HKD 47,804 thousand, a decrease of 13.7%[16] - Administrative expenses increased by 25.5% to HKD 83.6 million, attributed to hiring for future business development and annual salary adjustments[37] - Sales and distribution expenses decreased by 1.1% to HKD 11.5 million, reflecting cost management efforts[36] Other Income and Taxation - The company generated other income of HKD 16,306 thousand, compared to HKD 28,036 thousand in the previous year, a decline of 41.9%[17] - The net other income for the six months ended June 30, 2024, was HKD 3,495,000, compared to HKD 677,000 for the same period in 2023, representing a significant increase[18] - The current tax expense for the six months ended June 30, 2024, was HKD 36,681,000, compared to a tax credit of HKD 25,309,000 in 2023[20] - The total tax expense for the period was HKD 9,163,000, a decrease from HKD 28,797,000 in the previous year[20] - Income tax net expenditure was HKD 9.2 million for the period ending June 30, 2024, compared to a net income of HKD 28.8 million for the same period in 2023, influenced by tax refunds and deductions from eligible R&D expenses[42] Shareholding and Corporate Structure - The company is primarily engaged in the manufacturing and sale of automotive parts and components, as well as providing technical services[6] - The company’s ultimate holding company is Zhangjiakou Industrial Investment Holding Group, a state-owned enterprise in the People's Republic of China[6] - The company has undergone significant changes in shareholding structure, with Zhangjiakou Industrial Investment Holding Group holding approximately 62.89% of the shares in its subsidiary, Jingxi Intelligent[6] Strategic Developments - The company plans to raise up to HKD 48,200,000 through a rights issue, offering 287,169,534 shares at HKD 0.168 each[32] - The group aims to maintain a healthy growth trajectory despite pricing pressures from customers and rising commodity prices, while sustaining a certain level of gross margin[54] - The group is committed to optimizing its business structure to improve long-term profitability and enhance shareholder value[54] - The group emphasizes the importance of continuous investment in R&D and engineering activities to maintain and enhance its competitive position in the industry[53] Operational Changes - The group has closed its Luton plant in the UK to optimize operations and increase capacity utilization, focusing production in Poland and the Czech Republic[53] - A new R&D center for automotive braking products has been established in Italy, aimed at enhancing production capabilities in the Czech Republic[53] Workforce and Employment - The total employee cost for the group was HKD 289.3 million for the period ending June 30, 2024, compared to HKD 264.0 million for the same period in 2023, reflecting an increase in workforce from 2,140 to 2,360 employees[55] Economic and Market Conditions - The geopolitical situation remains tense, with uncertainties surrounding the outcomes of elections in Europe and the US, which may impact future global economic conditions[52] - The International Monetary Fund forecasts a 1.5% growth in GDP for the Eurozone in 2025, indicating stable economic development that may benefit the group's business[53] Environmental Commitment - The group is committed to environmental protection and has implemented harmful substance control plans and chemical assessment procedures[50]

Financial Performance - The company reported a significant increase in revenue, achieving a total of $500 million for the fiscal year, representing a 20% growth compared to the previous year[1]. - For the year ended December 31, 2023, the Group recorded revenue of HK$2,709 million, an increase of 9.3% compared to 2022[43]. - The Group's gross profit for the year was HK$399 million, with a gross profit margin of 14.7%, down from 17.5% in 2022, representing a decrease of 2.8%[43]. - The Group incurred a loss of HK$55.3 million during the current year, attributed to high inflation affecting raw material, labor, and energy costs[43]. - The Group's revenue from technical services for the year was HK$199.8 million, slightly up from HK$195.1 million in 2022[61]. - For the year ended December 31, 2023, the Group recorded revenue of HK$2,509.0 million from the manufacturing and sale of suspension products, an increase of 9.9% compared to HK$2,283.3 million in 2022[64]. - Gross profit for the year was HK$398.7 million, with a gross margin of 14.7%, down from HK$434.1 million and 17.5% in the previous year, primarily due to increased costs from inflation in Poland and the Czech Republic[65]. - The Group reported net other losses of HK$15.7 million for the year, compared to net gains of HK$22.5 million in 2022, mainly due to exchange losses[73]. - The net income tax benefit for the year was HK$32.2 million, compared to a net expense of HK$15.1 million in 2022, largely due to tax refunds from BWI Poland and double tax deduction benefits for R&D expenses[79]. - For the year ended December 31, 2023, the loss attributable to owners of the Company was approximately HK$55.3 million, compared to a loss of HK$4.9 million in 2022[84][87]. Market Expansion and Strategy - The company provided guidance for the next fiscal year, projecting revenue growth of 25% to $625 million[1]. - The company is expanding its market presence in Southeast Asia, targeting a 10% market share within the next two years[1]. - A strategic acquisition of a local competitor was completed, valued at $100 million, aimed at enhancing product offerings and market reach[1]. - The Group plans to expand its product offerings by engaging in the automotive braking products business at its Czech Republic plant[45]. - The Group aims to strengthen cooperation with European automobile manufacturers to enhance sales revenue and manage supply-chain risks effectively[49]. Research and Development - Research and development expenses increased by 30%, totaling $30 million, focusing on innovative automotive technologies[1]. - Research and development expenses rose by 16.1% to HK$275.5 million, compared to HK$237.4 million in 2022, driven by higher salaries for technical staff and new R&D initiatives in automotive braking products[68]. - The Group has accumulated extensive technical knowledge and expertise, focusing on research and development to capture more market opportunities[115]. Corporate Governance and Board Composition - Mr. Zheng Jianwei was appointed as an Executive Director in August 2023, bringing extensive experience in law and asset management[18]. - The company emphasizes the importance of experienced directors in guiding corporate governance and strategic decisions[23]. - The board's composition includes members with diverse backgrounds in law, finance, and corporate management, enhancing decision-making capabilities[27]. - The Company has complied with the corporate governance code as set out in the Listing Rules during the financial year ended December 31, 2023[129]. - The Board currently comprises six Directors, including three Executive Directors and three Independent Non-executive Directors[130]. - The Company aims to provide at least 14 days' notice for regular Board meetings and three days for agenda distribution[141]. - The Company Secretary is responsible for taking minutes of Board meetings, ensuring detailed records of decisions and concerns raised by Directors[145]. - The Board meets at least four times a year, with additional meetings arranged as necessary[140]. Sustainability and Social Responsibility - The company aims to reduce carbon emissions by 25% over the next five years as part of its sustainability strategy[1]. - The Group has obtained all necessary permits under applicable environmental protection laws for its production facilities[102][106]. - The Group emphasizes employee health and safety, providing training and resources to mitigate occupational hazards[104][106]. Economic Environment - The geopolitical tensions in 2023, including the Russian-Ukrainian war and the Israeli-Palestinian conflict, have intensified, impacting economic uncertainties[41]. - High inflation in the United States is gradually alleviating, with interest rates likely having peaked, which may benefit enterprises in the European region[41]. - The COVID-19 pandemic is fading, leading to improved demand in the European automotive retail market, positively affecting the Group's business operations[41]. - The European automotive industry is expected to rebound post-pandemic, although short-term growth may be hindered by high inflation and interest rates[45]. Employee and Director Information - Mr. Xi Jianpeng was appointed as General Manager in October 2023, with an annual salary of HK$988,000[36]. - The Group's total employee cost for the year ended December 31, 2023, was HK$520.8 million, up from HK$442.5 million in 2022[120]. - The Group's employee count increased to approximately 2,200 in 2023, up from 2,070 in 2022[120]. - The Company is required to appoint at least one female Director by December 31, 2024, in compliance with new Listing Rules[164]. - All Independent Non-executive Directors have confirmed their independence according to listing rules[183]. Financial Position and Cash Flow - As of December 31, 2023, the Group maintained a cash position of HK$136 million with no bank loans[44]. - The net cash generated from operating activities for the year was HK$70.7 million, down from HK$114.0 million in 2022[90][96]. - The Group had no bank borrowings as of December 31, 2023, resulting in a gearing ratio of 0%[91][97].

Financial Performance - For the year ended December 31, 2023, total revenue reached HKD 42,708,861, an increase of 9.3% compared to HKD 42,478,380 in 2022[4] - Gross profit for 2023 was HKD 398,718, a decrease of 8.2% from HKD 434,092 in 2022[4] - The company reported a net loss of HKD 55,320 for 2023, compared to a loss of HKD 4,885 in 2022, indicating a significant decline in profitability[4] - Basic and diluted loss per share for 2023 was HKD 9.63, compared to HKD 0.85 in 2022, reflecting a deterioration in earnings per share[4] - The group's operating income before tax for 2023 was a loss of HKD 87,539,000, compared to a profit of HKD 10,171,000 in 2022[36] - The group reported a loss attributable to owners of approximately HKD 55.3 million for the year ended December 31, 2023, compared to a loss of HKD 4.9 million in 2022[69] Revenue Breakdown - In 2023, the company reported revenue of HKD 2,708,861,000, an increase of 9.3% from HKD 2,478,380,000 in 2022[22] - Sales of industrial products reached HKD 2,509,036,000 in 2023, up from HKD 2,283,267,000 in 2022, reflecting a growth of 9.9%[22] - The company’s technical service income was HKD 199,825,000 in 2023, slightly increasing from HKD 195,113,000 in 2022[22] - Revenue from Germany increased to HKD 723,242,000 in 2023 from HKD 597,648,000 in 2022, representing a growth of 21.0%[23] - The company’s major customers contributed over 10% of total revenue, with Customer A generating HKD 480,532,000 in 2023, up from HKD 439,346,000 in 2022[26] Expenses and Costs - Research and development expenses increased to HKD 275,546, up 15.9% from HKD 237,437 in the previous year[4] - The group’s employee benefits expenses, including salaries and wages, increased to HKD 520,757,000 in 2023, up from HKD 442,545,000 in 2022, marking a 17.67% increase[32] - Administrative expenses increased by 11.4% to HKD 172.2 million for the year ended December 31, 2023, up from HKD 154.5 million in 2022, driven by increased hiring and salary adjustments[60] - Sales and distribution expenses decreased by 22.7% to HKD 38.9 million for the year ended December 31, 2023, compared to HKD 50.4 million in 2022, mainly due to reduced special freight costs[59] - The total financial costs for 2023 were HKD 12,032,000, down 20.06% from HKD 15,054,000 in 2022[33] Assets and Liabilities - Total assets decreased to HKD 1,264,094 in 2023 from HKD 1,312,965 in 2022, reflecting a reduction in overall asset base[8] - Current liabilities rose to HKD 688,225, an increase from HKD 623,623 in 2022, indicating a growing short-term financial obligation[8] - Trade receivables from third parties increased to HKD 348,872,000 in 2023 from HKD 342,705,000 in 2022, with a net impairment of HKD 4,834,000[39] - Trade payables to third parties rose to HKD 362,667,000 in 2023, compared to HKD 322,777,000 in 2022, reflecting a 12.36% increase[44] - The group’s total liabilities increased, with trade payables to related parties rising to HKD 133,833,000 in 2023 from HKD 97,549,000 in 2022[45] Cash Flow and Liquidity - The company’s cash and cash equivalents increased to HKD 135,964, up from HKD 122,780 in the previous year, showing improved liquidity[8] - The group recorded a net cash inflow from operating activities of HKD 70.7 million for the year ended December 31, 2023, compared to HKD 114.0 million in 2022[70] - As of December 31, 2023, the group had no bank borrowings, maintaining an asset-liability ratio of 0%[71] - The group confirmed a tax credit of HKD 21.6 million for the year due to double tax deduction benefits on qualifying R&D expenses[67] Foreign Exchange and Other Income - The foreign exchange difference from overseas operations contributed HKD 71,794 to other comprehensive income in 2023, compared to a loss of HKD 55,159 in 2022[6] - The net loss from foreign exchange differences was HKD (26,411,000) in 2023, compared to a gain of HKD 17,008,000 in 2022[31] - Other income, including bank interest and government grants, totaled HKD 30,627,000 in 2023, compared to HKD 23,863,000 in 2022[29] - Other income rose by 28.3% to HKD 30.6 million for the year ended December 31, 2023, up from HKD 23.9 million in 2022, primarily due to increased profits from the sale of waste and prototypes[62] Strategic Outlook and Operations - The company plans to focus on expanding its market presence and enhancing its product offerings in the upcoming year[11] - The group’s future outlook remains positive with ongoing investments and strategic partnerships aimed at market expansion and technological advancements[12] - The operational performance in the Czech Republic is expected to improve due to increased orders following the closure of the UK factory, leading to economies of scale and enhanced production efficiency[57] - The group plans to expand its production of automotive braking products at its Czech facility, aiming to inject new momentum into its operations[82] - The group emphasizes continuous investment in R&D and engineering activities to maintain and enhance its competitive position in the industry[85] Corporate Governance and Acknowledgments - The board expressed gratitude to customers, suppliers, and shareholders for their ongoing support[92] - The management team and employees were commended for their hard work and collaboration over the past year[92] - The board is composed of key members including the chairman and several executive and independent directors[94]

Financial Performance - For the six months ended June 30, 2023, the company reported a revenue of $150 million, representing a 15% increase compared to the same period last year[16]. - The net profit for the same period was $30 million, which is a 20% increase year-over-year[16]. - Revenue for the six months ended June 30, 2023, increased to HK$1,430,720,000, up 10.9% from HK$1,290,252,000 in 2022[17]. - Profit for the period rose to HK$22,717,000, compared to HK$11,633,000 in 2022, representing a 95.3% increase[19]. - Total comprehensive income for the period was HK$70,364,000, compared to a loss of HK$29,485,000 in 2022[19]. - The profit for the period ended June 30, 2023, was HK$22,717,000, compared to HK$11,633,000 for the same period in 2022, indicating an increase of approximately 95%[30]. - The total comprehensive income for the period was HK$70,364,000, significantly higher than the total comprehensive loss of HK$29,485,000 reported for the same period in 2022[30]. Revenue Breakdown - Revenue from the sale of industrial products for the six months ended June 30, 2023, was HK$1,331,512,000, an increase of 12.1% compared to HK$1,187,013,000 in the same period of 2022[83]. - Technical service income for the same period was HK$99,208,000, a decrease of 3.0% from HK$103,239,000 in 2022[83]. - Revenue from the United Kingdom decreased to HK$350,454,000 in 2023 from HK$372,368,000 in 2022, a decline of 5.0%[88]. - Revenue from Germany increased significantly to HK$379,618,000 in 2023, up 19.5% from HK$317,573,000 in 2022[88]. - Revenue from the United States rose to HK$295,283,000, an increase of 5.0% compared to HK$280,435,000 in 2022[88]. User and Market Growth - User data showed a growth in active users by 25%, reaching a total of 1.5 million users[16]. - The company has provided a positive outlook for the next quarter, projecting a revenue growth of 10% to 12%[16]. - Market expansion plans include entering two new countries by the end of 2023, which is expected to increase market share by 5%[16]. Investments and R&D - The company is investing $5 million in R&D for new technologies aimed at enhancing product efficiency[16]. - Research and development costs for the six months ended June 30, 2023, were HK$141,671,000, compared to HK$122,573,000 in 2022, marking a 15.6% increase[102]. - Research and development (R&D) expenses saw an additional tax deduction of HK$14,305,000 in 2023, compared to HK$5,407,000 in 2022, reflecting a significant increase in R&D investment[116]. Financial Position - The company has maintained a strong cash flow position, with cash reserves of $50 million as of June 30, 2023[16]. - Non-current assets totaled HK$1,002,892,000 as of June 30, 2023, an increase from HK$964,596,000 at the end of 2022[21]. - Current assets increased to HK$1,106,434,000 from HK$971,992,000 at the end of 2022, reflecting a growth of 13.8%[21]. - Current liabilities rose to HK$705,564,000, up from HK$623,623,000 at the end of 2022, indicating a 13.2% increase[21]. - Net assets increased to HK$918,312,000 as of June 30, 2023, compared to HK$847,948,000 at the end of 2022[23]. Cash Flow and Expenses - Cash generated from operations for the six months ended June 30, 2023, was HK$9,001,000, a decrease from HK$44,975,000 in the prior year[34]. - The net cash flows generated from operating activities were HK$20,799,000 for the first half of 2023, compared to HK$42,601,000 for the same period in 2022, reflecting a decline of approximately 51%[34]. - The total interest paid decreased to HK$2,273,000 in 2023 from HK$3,131,000 in 2022, a decline of 27.4%[36]. - Employee benefit expenses, including wages and salaries, rose to HK$263,978,000 in 2023 from HK$231,986,000 in 2022, an increase of 13.8%[102]. Tax and Compliance - The tax credit for the period was HK$28,797,000, compared to a tax expense of HK$9,580,000 in 2022, indicating a significant change in tax position[113]. - The effective tax rate for the Group was impacted by various statutory rates in different countries, including 16.5% in Hong Kong and 29.8% in Germany[111]. - The Group did not have contracts within the scope of HKFRS 17, resulting in no impact on its financial position or performance[57]. Liabilities and Obligations - The total financial liabilities increased from HK$766,528,000 as of December 31, 2022, to HK$853,433,000 as of June 30, 2023, an increase of approximately 11.3%[188]. - The present value of unfunded obligations increased to HK$92,849,000 as of June 30, 2023, from HK$81,235,000 at the end of 2022, representing a growth of approximately 14.5%[155]. - The defined benefit obligations are based on actuarial valuations and cover substantially all qualified employees in Poland, France, and Germany, indicating a commitment to employee benefits[151]. Other Financial Metrics - The company reported a loss before tax of HK$6,080,000 for the six months ended June 30, 2023, compared to a profit before tax of HK$21,213,000 in the same period of 2022[34]. - The impairment loss allowance for trade receivables decreased to HK$2,713,000 as of June 30, 2023, from HK$2,882,000 at the end of 2022, reflecting a reduction of 5.9%[139]. - The total other payables and accruals amounted to HK$259,686,000 as of June 30, 2023, up from HK$240,368,000 at the end of 2022, reflecting an increase of 8.0%[150].

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。 京西重工國際有限公司 BEIJINGWEST INDUSTRIES INTERNATIONAL LIMITED （於開曼群島註冊成立之有限公司） （股份代號：2339） 截至二零二三年六月三十日止六個月之中期業績 中期業績 京西重工國際有限公司（「本公司」）之董事會（「董事會」）欣然宣佈本公司及其附屬 公司（「本集團」）截至二零二三年六月三十日止六個月之未經審核簡明綜合中期 業績。該等中期業績已經本公司審核委員會及核數師審閱。 中期簡明綜合損益表 截至二零二三年六月三十日止六個月 截至六月三十日止六個月 二零二三年 二零二二年 （未經審核）（未經審核） 附註 千港元 千港元 收益 3 1,430,720 1,290,252 銷售成本 (1,238,218) (1,070,341) 毛利 192,502 219,911 其他收入及收益淨額 4 28,713 18,009 銷售及分銷費用 (11,643) ...

Company Overview - The company reported a revenue of HK$2,136,000 for both financial years 2022 and 2023 for the Managing Director, Mr. Chen Zhouping[12]. - The company is listed under stock code 2339[4]. - The company’s principal place of business in Hong Kong is located at Harcourt House, Wanchai[4]. - The company’s registered office is located in Grand Cayman, Cayman Islands[4]. - The company’s auditor is Ernst & Young[4]. - The company has substantial shareholders including Zhangjiakou Financial Holding Group Co., Ltd., BeijingWest Smart Mobility Zhangjiakou Automotive Electronics Co., Ltd., and BeijingWest Industries Co., Ltd.[6]. Management and Governance - Mr. Dong Xiaojie was appointed as the Executive Director and Chairman of the Board in September 2022[6]. - The company has a service agreement with Mr. Dong that commenced on September 21, 2022, and ends on December 31, 2023[9]. - The company has an Executive Committee and various committees including Audit, Nomination, and Remuneration[3]. - The Board consists of six Directors, including two Executive Directors, one Non-executive Director, and three Independent Non-executive Directors, ensuring a balanced composition for effective independent judgment[110]. - The roles of Chairman and Managing Director are separated to enhance independence and accountability, with Mr. Dong Xiaojie as Chairman and Mr. Chen Zhouping as Managing Director[176]. - The company has implemented appropriate insurance to cover directors' and officers' liabilities, protecting them from risks associated with the Group's business[166]. Director Compensation - Mr. Chan's director's fee for both financial years 2022 and 2023 is HK$240,000 per annum, determined based on his experience and duties[26]. - Mr. Yip's director's fee for both financial years 2022 and 2023 is also HK$240,000 per annum, reflecting his experience and responsibilities[23]. - Mr. Tam's director's fee for the financial years 2022 and 2023 is HK$240,000 per annum, established with reference to his experience and market conditions[21]. - Mr. Li has voluntarily declined any director's fee since his appointment as a Director of the Company[16]. - The engagement letters for all directors commenced on January 1, 2023, for a term of three years[16][23][26]. - The director's fees for all mentioned directors were determined with reference to their experience and the prevailing market conditions[21][23][26]. Financial Performance - For the year ended December 31, 2022, the Group recorded revenue of HK$2,478 million, representing a decrease of 4.7% compared to 2021[31]. - The Group's gross profit was HK$434 million with a gross profit margin of 17.5%, an increase from HK$412 million and 15.8% in 2021[33]. - The Group recorded a net loss of HK$4.9 million for the year under review, a reduction in loss compared to previous periods[33]. - As of December 31, 2022, the Group had cash and cash equivalents amounting to HK$123 million, with all bank loans fully repaid[33]. - The loss attributable to owners of the Company was approximately HK$4.9 million for the year ended December 31, 2022, a reduction from HK$9.3 million in the previous year[64]. - The Group generated net cash from operating activities amounting to HK$114.0 million for the year ended December 31, 2022, compared to a net cash outflow of HK$66.1 million in the previous year[71]. Operational Changes - The closure of the UK Plant is planned to be completed by the end of June 2023, which is expected to save significant relocation costs and improve overall capacity utilization[34]. - The Group plans to transfer most of the UK Plant's orders and production lines to its facilities in Poland and the Czech Republic[34]. - The performance of the Polish plant improved significantly, contributing to the overall increase in gross profit and margin[33]. - The Group's plants in the UK, Poland, and the Czech Republic resumed normal operations in June 2020 after temporary suspensions due to the pandemic[47][52]. Market Challenges and Strategies - The Group is facing challenges in 2023 due to global inflation and interest rate hikes impacting the European automotive industry[34]. - The Group aims to strengthen cooperation with European automobile manufacturers to maintain and increase sales revenue[37]. - The Group is committed to lowering supply-chain risks and enhancing cost control management[37]. - The Group aims to maintain a reasonable gross profit margin despite pricing pressures and rising commodity prices, indicating confidence in sustainable long-term business development[102]. - The International Monetary Fund forecasts a GDP growth of only 0.7% for the eurozone in 2023, highlighting ongoing economic challenges for the Group[96]. Employee and Corporate Culture - The Group's total employee cost for the year ended December 31, 2022, was HK$442.5 million, with approximately 2,070 employees as of the same date[103]. - The company has established a defined benefit pension plan covering most eligible employees in Poland, France, and Germany, alongside a mandatory MPF scheme for employees in Hong Kong[105]. - The company aims to maintain a corporate culture based on high standards of business ethics and integrity, with measures for employee engagement and training[107]. - The company encourages Directors to participate in continuous professional development to enhance their knowledge and skills[169]. Corporate Governance - The company has complied with the Corporate Governance Code during the financial year ended December 31, 2022, enhancing accountability and transparency[109]. - The Board meets regularly, holding at least four meetings a year, with provisions for additional meetings as required[125]. - The Audit Committee comprises all Independent Non-executive Directors, ensuring independence in oversight[195]. - The Company is committed to ensuring compliance with legal and regulatory requirements as part of its corporate governance practices[186]. - The Company emphasizes continuous professional development for Directors and senior management as part of its governance strategy[186]. Board Diversity and Composition - The Company is required to appoint at least one female Director by December 31, 2024, in compliance with new Listing Rules[146]. - The Board Diversity Policy is posted on the Company's website, promoting transparency and accountability[146]. - The Nomination Committee evaluates candidates based on qualifications, skills, experience, and contributions to the Board, ensuring alignment with the Board Diversity Policy[152]. - The number of Independent Non-executive Directors represents not less than one-third of the Board, ensuring compliance with Listing Rules[160].

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。 京西重工國際有限公司 BEIJINGWEST INDUSTRIES INTERNATIONAL LIMITED （於開曼群島註冊成立之有限公司） （股份代號：2339） 截至二零二二年十二月三十一日止年度之全年業績 京西重工國際有限公司（「本公司」）之董事會（「董事會」）欣然宣佈本公司及其附屬 公司（「本集團」）截至二零二二年十二月三十一日止年度之綜合業績及截至二零 二一年十二月三十一日止年度之比較數字。該等全年業績已經本公司審核委員 會審閱。 綜合損益表 截至二零二二年十二月三十一日止年度 二零二二年 二零二一年 附註 千港元 千港元 收益 5 2,478,380 2,601,955 銷售成本 (2,044,288) (2,190,162) 毛利 434,092 411,793 其他收入及收益 5 46,346 40,948 銷售及分銷費用 (50,376) (16,927) 行政開支 (154,51 ...