Financial Performance - Revenue for the six months ended June 30, 2024, was HKD 252,328,000, representing a 47.1% increase compared to HKD 171,525,000 in the same period of 2023[3] - The company reported a reduced loss before tax of HKD 90,579,000, a 25.4% improvement from a loss of HKD 121,423,000 in the previous year[3] - Net loss attributable to shareholders decreased to HKD 90,221,000, down 23.0% from HKD 117,138,000 in the same period last year[3] - Basic and diluted loss per share improved to HKD 0.55, a 36.0% reduction from HKD 0.86 in the prior year[3] - Total comprehensive loss for the period was HKD 133,988,000, compared to HKD 170,483,000 in the same period of 2023[6] - The group reported a pre-tax loss of HKD 90,221,000 for the six months ended June 30, 2024, compared to a loss of HKD 117,138,000 for the same period in 2023[35] - The group recorded a pre-tax loss of HKD 90.6 million for the reporting period, compared to a pre-tax loss of HKD 121.4 million for the six months ended June 30, 2023[57] Assets and Liabilities - The company’s total non-current assets amounted to HKD 3,918,692,000 as of June 30, 2024, slightly down from HKD 3,992,460,000 at the end of 2023[8] - Current assets increased to HKD 652,431,000 from HKD 443,493,000, reflecting improved liquidity[8] - Total current liabilities decreased to HKD 1,217,862,000 from HKD 1,553,821,000, indicating better management of short-term obligations[8] - As of June 30, 2024, the company reported a net current liability of HKD 565 million[13] - Total assets minus current liabilities increased to HKD 3,353,261 thousand from HKD 2,882,132 thousand in the previous year[12] - Non-current liabilities rose significantly to HKD 1,390,859 thousand, up from HKD 790,458 thousand[12] - The company's total debt was approximately HKD 1,152.4 million, with interest rates based on floating rates[51] Revenue Breakdown - For the six months ended June 30, 2024, total revenue was HKD 289.365 million, with external revenue from mobile phones at HKD 196.462 million and cryptocurrency business revenue at HKD 49.456 million[23] - Revenue from mobile phone sales and related accessories for the six months ended June 30, 2024, was HKD 155.086 million, an increase from HKD 109.470 million in the same period of 2023[28] - Revenue from the Mainland China mobile phone segment was HKD 119,501,000, accounting for 71.3% of total revenue, while overseas mobile phone segment revenue was HKD 48,136,000[30] - Total revenue from customer contracts for the six months ended June 30, 2024, was HKD 167,637,000, representing an increase of 36.2% compared to HKD 123,061,000 for the same period in 2023[30] Expenses and Cost Management - Gross profit for the period was HKD 53,521,000, down from HKD 67,760,000, indicating a decline in gross margin[5] - Selling and distribution expenses increased to HKD 14.7 million, representing 5.8% of total revenue, down from 7.5% in the previous year[44] - Administrative and other operating expenses rose to HKD 149.2 million, accounting for 59.1% of total revenue, a decrease from 66.3% in the same period last year[46] - The group is considering measures to strengthen cost control across various production costs and expenses to achieve profitability and positive cash flow[20] - The total employee cost, including director remuneration, was approximately HKD 53.6 million for the reporting period, compared to HKD 45.5 million for the same period last year[74] Liquidity and Financing - The company has unutilized bank credit facilities amounting to HKD 384 million as of June 30, 2024[14] - The company has secured bank loans amounting to RMB 430 million (approximately HKD 462 million) during the reporting period[14] - The group has existing undrawn loan financing of RMB 480 million (equivalent to HKD 516 million) from related party Jingji Group Limited, maturing on December 31, 2025[20] - The group is actively negotiating with banks to secure additional bank credit, including a standby credit of RMB 300 million (equivalent to HKD 322 million), pending final bank approval[20] - Cash and cash equivalents stood at HKD 138 million, raising concerns about the company's ability to continue as a going concern[13] Strategic Initiatives - The group is reassessing its business strategy in light of potential opportunities from the 5G wireless market and plans to expand partnerships with various channel business partners[20] - The group plans to deepen the integration of AI technology into its products and enhance system stability and user experience in the domestic market[67] - The group aims to expand its product line internationally, including smart tablets and smartwatches, while focusing on key regional markets to solidify its overseas business foundation[69] - The group is committed to technological innovation and market orientation, enhancing R&D in AI and blockchain technologies to expand its smart ecosystem product line[70] Market and Product Development - The smartphone market in China saw a shipment of 124 million units, representing a year-on-year growth of 17.6% and accounting for 84.4% of total smartphone shipments[59] - The group launched the naked-eye 3D smartphone series in collaboration with China Mobile and established alliances to promote naked-eye 3D technology[60] - The group expanded its product line to include over ten categories, such as smart wearables, smart health devices, and smart security products[61] - The group successfully entered several high-growth markets, including Southeast Asia and Eastern Europe, and developed distribution channels through cross-border e-commerce platforms[62] - The group has applied for over 10,000 patents in the communications field, including more than 100 related to 5G technology[64] Corporate Governance - The chairman and CEO roles are currently held by the same individual, which the board believes does not harm the balance of power and allows for effective decision-making[83] - The company will arrange to hold an annual general meeting at an appropriate time to address director resignations and re-elections[84] - Trading of the company's shares has been suspended since April 2, 2024, and will continue until further notice[86] - The group has not proposed any interim dividends for the reporting period[76] Other Notable Information - The company recorded rental income of HKD 43.4 million for the period, a decrease from HKD 48.5 million for the same period last year[14] - The group received government grants and subsidies totaling HKD 19,691,000 during the reporting period, significantly higher than HKD 1,177,000 in the same period of 2023[30] - There were no significant events after the reporting period[39] - Forward-looking statements made by the board are subject to risks and uncertainties that could lead to significant differences from actual performance[87]

Financial Performance - For the year ended December 31, 2023, the total revenue was HKD 307,363,000, representing a 2.73% increase from HKD 299,208,000 in 2022[4] - The pre-tax loss decreased significantly by 62.82% to HKD 234,015,000 from HKD 629,430,000 in the previous year[4] - The loss attributable to owners of the company was HKD 220,931,000, a reduction of 64.68% compared to HKD 625,450,000 in 2022[4] - The gross profit for the year was HKD 107,416,000, a recovery from a gross loss of HKD 52,773,000 in the previous year[6] - Total comprehensive loss for the year amounted to HKD 239,450,000, down from HKD 758,554,000 in the prior year[7] - Basic and diluted loss per share improved to HKD 1.54 from HKD 4.58 in 2022[7] - The group reported a net loss of HKD 221 million for the year ending December 31, 2023[14] - The company recorded a pre-tax loss of HKD 234.02 million for the year, an improvement from a loss of HKD 629.43 million in the previous year[74] Assets and Liabilities - Non-current assets increased to HKD 3,992,460,000 from HKD 3,816,929,000 in the previous year[9] - Current assets decreased slightly to HKD 443,493,000 from HKD 456,258,000 in 2022[9] - As of December 31, 2023, the net current liabilities amounted to HKD 1,110 million, a decrease from HKD 1,203 million in 2022[14] - Total current liabilities decreased to HKD 1,553,821 thousand from HKD 1,659,562 thousand in the previous year, reflecting a reduction of approximately 6.4%[14] - The total assets less current liabilities increased to HKD 2,882,132 thousand from HKD 2,613,625 thousand, representing an increase of approximately 10.3%[14] - Non-current liabilities rose significantly to HKD 790,458 thousand from HKD 377,148 thousand, indicating an increase of approximately 109.0%[14] - The company's cash and cash equivalents balance was HKD 64 million as of December 31, 2023, raising concerns about its ability to continue as a going concern[14] Revenue Segments - Total revenue for the year ended December 31, 2023, was HKD 322.5 million, with mobile phone segment contributing HKD 223.6 million, property investment segment HKD 90.4 million, and cryptocurrency segment HKD 8.5 million[32] - Revenue from mobile phone sales and related accessories was HKD 181,327,000, slightly up from HKD 180,735,000 in the previous year[38] - The company generated HKD 8,539,000 in revenue from cryptocurrency operations, a new income source not present in the previous year[38] - Revenue from overseas customers increased significantly to HKD 44,739,000 from HKD 30,943,000, marking a growth of 44.7%[34] Expenses and Cost Management - Sales and distribution expenses decreased by 49.85% to approximately HKD 35.70 million, down from HKD 71.18 million in the previous year, primarily due to a restructuring of the distribution channel[70] - Administrative and other operating expenses reduced by 43.08% to HKD 273.23 million, compared to HKD 480.03 million in the previous year, with the percentage of total revenue decreasing from 160.43% to 88.89%[73] - Research and development expenses for the year amounted to HKD 49,684,000, significantly down from HKD 167,743,000 in the previous year, representing a decrease of about 70.4%[45] - The company incurred financing costs of HKD 15,177,000 in 2023, down from HKD 16,973,000 in 2022, representing a decrease of approximately 10.6%[47] Capital and Fundraising Activities - The company raised approximately HKD 54.81 million, HKD 26.99 million, and HKD 8.28 million from the issuance of shares in September and October 2023[82] - The total number of shares issued in the recent fundraising was 2,730,000,000 at a subscription price of HKD 0.033 per share[82] - The company raised approximately HKD 168 million through the issuance of 600 million new ordinary shares at a price of HKD 0.28 per share[89] - 90% of the raised funds, amounting to approximately HKD 788.9 million, is allocated for establishing new business in China[89] Strategic Initiatives and Future Outlook - The company has plans for market expansion and new product development, although specific details were not disclosed in the earnings call[3] - The group plans to actively seek opportunities in the Web 3.0 digital currency business starting from the second half of 2023[12] - The company aims to strengthen its financial position through the recent capital raising activities[83] - The overall strategy includes a combination of market expansion and potential mergers and acquisitions to strengthen its competitive edge[89] Compliance and Governance - The audit committee, consisting of three independent non-executive directors, has reviewed the accounting principles and discussed financial reporting matters for the year[114] - The independent auditor has agreed to include the financial data in the group's consolidated financial statements for the year ending December 31, 2023[115] - The company has established a policy for handling and disclosing inside information to ensure strict compliance and internal control measures[113] Market Conditions - In 2023, global smartphone shipments reached 1.17 billion units, a decrease of 3.2% year-on-year, marking the lowest annual shipment in a decade[93] - The smartphone market showed signs of recovery with a 1% decline in Q3 2023, followed by an 8% growth in Q4 2023[93]

Financial Performance - The total revenue for the six months ended June 30, 2023, was HKD 171.5 million, an increase of 22.1% compared to HKD 140.5 million for the same period in 2022[8]. - The pre-tax loss for the period was HKD 121.4 million, a reduction of 59.5% from a loss of HKD 300.1 million in the previous year[8]. - The net loss attributable to shareholders was HKD 117.1 million, down 61.4% from HKD 303.4 million in the prior year[8]. - The basic and diluted loss per share improved to HKD 0.86 from HKD 2.23 year-on-year, reflecting a 61.4% decrease in loss[8]. - The overall gross profit for the six months ended June 30, 2023, was HKD 67.8 million, compared to a gross loss of HKD 60.8 million for the same period in 2022, marking a significant turnaround[15]. - The company reported a total comprehensive loss for the period of HKD 170,483,000, compared to HKD 356,933,000 in the same period last year, showing a substantial improvement[87]. - The company reported a net loss attributable to shareholders of HKD 170,500 for the six months ended June 30, 2023, compared to a loss of HKD 356,752 in the same period of 2022, indicating an improvement of 52.3%[93]. Revenue Breakdown - Revenue from mobile phone sales and related accessories was HKD 109.5 million, accounting for 63.9% of total revenue, down from HKD 132.2 million (94.1%) in the previous year[12]. - Wireless application service revenue increased to HKD 13.6 million, representing 7.9% of total revenue, compared to HKD 8.3 million (5.9%) in the prior year[12]. - Rental income, newly classified as part of total revenue, amounted to HKD 48.4 million, contributing 28.2% to total revenue[12]. - The mobile phone segment generated external customer revenue of HKD 123,061,000, down from HKD 140,455,000 in the previous year, reflecting a decrease of about 12.4%[108]. - The property investment segment reported external customer revenue of HKD 48,464,000, consistent with the previous year's revenue of HKD 48,336,000, showing a slight increase of 0.3%[108]. Cost Management - Sales and distribution expenses decreased to HKD 12.9 million, down 77.7% from HKD 57.9 million in the prior year, representing 7.5% of total revenue compared to 41.2% in 2022[16]. - Administrative expenses were reduced to HKD 69.0 million, a decrease of 56.1% from HKD 157.3 million in the previous year, accounting for 40.2% of total revenue compared to 112.0% in 2022[17]. - The cost of sales for the period was HKD 93,100,000, down from HKD 180,319,000 in the previous year, indicating improved cost management[118]. - The company incurred financing costs of HKD 6,522,000, a decrease from HKD 9,709,000 in the previous year, indicating improved cost management[84]. Assets and Liabilities - Non-current assets as of June 30, 2023, were HKD 3,758.6 million, a slight decrease from HKD 3,816.9 million at the end of 2022[9]. - Cash and cash equivalents decreased to HKD 182.4 million from HKD 234.7 million at the end of 2022[9]. - The company’s total equity decreased to HKD 2,069,905 from HKD 2,236,477, a decline of 7.4%[91]. - Total current liabilities decreased to HKD 1,521,740 from HKD 1,659,562, a reduction of 8.3%[91]. - Non-current liabilities increased to HKD 574,492 from HKD 377,148, a rise of 52.2%[91]. - Total liabilities as of June 30, 2023, were HKD 1,460,655,000, up from HKD 1,363,794,000 at the end of 2022, indicating an increase of about 7.1%[111]. Strategic Initiatives - The company aims to enhance its R&D capabilities and become a key player in the 5G and AI sectors[3]. - The company has restructured its channel strategy, establishing a three-pronged approach involving operators, e-commerce, and offline channels, covering 28 provinces and 186 cities in China by June 30, 2023[35]. - The company launched three new smartphone models on April 3, 2023, including the Cool 30, Fengshang 40, and Coolpad Daguang 40s, all equipped with the self-developed COOLOS 2.0 system[35]. - The company aims to expand its product line beyond smartphones to include AIoT products, targeting six categories of smart peripheral devices[40]. - The company is focusing on expanding its presence in overseas markets, particularly in Latin America, the Middle East, Africa, and Southeast Asia[39]. Shareholder Information - As of June 30, 2023, Mr. Chen Jia Jun holds a total of 3,131,355,500 shares, representing approximately 22.94% of the company's issued share capital[59]. - Jeffrey Steven Yass controls 1,600,000,000 shares, which accounts for about 11.72% of the company's issued share capital[61]. - Liu Feng holds 920,260,000 shares directly and an additional 500,000,000 shares, totaling 1,420,260,000 shares, representing approximately 10.40% of the company's issued share capital[61]. - The company has 556,238,696 unexercised share options remaining under its share option plan as of June 30, 2023[65]. - The company’s major shareholders include Wei Hui Investment Limited, which holds 2,331,355,500 shares, representing 17.08% of the issued share capital[61]. Governance and Compliance - The company has maintained compliance with corporate governance codes, although there are noted deviations regarding the separation of roles between the chairman and CEO[80]. - The audit committee reviewed the unaudited interim results for the six months ended June 30, 2023, and discussed accounting policies and internal control matters with senior management[52]. - The company has implemented an information disclosure policy to handle and disclose insider information promptly[51]. Future Outlook - The company plans to invest in system development to improve performance in storage systems, memory management, network subsystems, and power management in the second half of 2023[39]. - The management has indicated a focus on improving operational efficiency and exploring new market opportunities to drive future growth[82].

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 會 就 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。 COOLPAD GROUP LIMITED 酷派集團有限公司 （於開曼群島註冊成立的有限公司） （股份代號：2369） 截至二零二三年六月三十日止六個月 中期業績公告 財務概要 截至六月三十日止六個月 | --- | --- | --- | |--------------|--------------|-------| | 二零二三年 | 二零二二年 | 變 動 | | （千 港 元） | （千 港 元） | (%) | （未 經 審 核） （未 經 審 核） | --- | --- | --- | --- | |------------------------|-------------|-------------|-------| | 收 入 | 171,525 | 140,455 | 22.1 | | 除稅前虧損 | (121,423) | ...

Financial Performance - For the year ended December 31, 2022, the company's revenue was HKD 207.6 million, a decrease of 68.8% compared to HKD 665.4 million in 2021[8]. - The company reported a loss before tax of HKD 629.4 million for 2022, compared to a loss of HKD 556.0 million in 2021[8]. - The net asset value of the company decreased to HKD 2.24 billion in 2022 from HKD 2.54 billion in 2021, a decline of 12%[8]. - The gross loss for the year was approximately HKD 144.35 million, with a gross loss margin of 69.52%, compared to a gross profit of HKD 36.30 million and a margin of 5.46% in 2021[19]. - The company recorded a pre-tax loss of HKD 629.43 million, compared to a loss of HKD 556.01 million in 2021[25]. - The company reported a total of HKD 981 million raised from a rights issue, with a significant portion allocated for debt repayment and business expansion[43]. - The company did not recommend any final dividend for the year, considering the operational needs post-restructuring[121]. - The total loss from discontinued operations for the year was zero, compared to a loss of HKD 48,800,000 in 2020[127]. - The company reported a tax credit of HKD 3,782,000 for the year, compared to a tax expense of HKD 16,367,000 in 2021[127]. Market Conditions - The smartphone market in China saw a shipment decline of 13.2% year-on-year, with a total market size of approximately 286 million units in 2022[10]. - In 2022, the global smartphone market shipment declined by 11.3% to approximately 1.2 billion units, with the Chinese market experiencing a 13.2% drop to about 286 million units, marking the largest decline in history[45]. Strategic Initiatives - The company adopted a cost-effective pricing strategy and focused on value-for-money models to meet consumer demand amid a declining smartphone market[10]. - The company plans to enhance its system research and development, particularly in the application of internet cloud services and big data in COOLOS[12]. - The company aims to expand its dealer network across multiple provinces in China to improve domestic market share[12]. - The company plans to explore other profitable opportunities, such as licensing COOLOS to third-party manufacturers and building an ecosystem around COOLOS[13]. - The company aims to convert investments made over the past two years into valuable outputs to reduce losses and strive for profitability[13]. Operational Efficiency - The total non-current assets increased to HKD 3.82 billion in 2022 from HKD 3.76 billion in 2021, reflecting a growth of 1.4%[8]. - Selling and distribution expenses decreased to approximately HKD 71.18 million, down 65.44% from HKD 205.97 million in 2021[22]. - Administrative expenses were HKD 295.47 million, a decrease of 19.46% from HKD 366.86 million in the previous year, but represented 142.31% of total revenue[23]. - The company has implemented a comprehensive digital upgrade of its enterprise management systems, significantly improving operational efficiency and reducing costs[49]. Governance and Compliance - The company maintains a governance structure with a clear separation of roles between the chairman and the CEO, currently held by Mr. Chen[19]. - The audit committee is composed entirely of independent non-executive directors, ensuring objective oversight of financial activities[71]. - The company has established compliance procedures to ensure adherence to applicable laws and regulations across its operations in China, Hong Kong, and the United States[145]. - The independent non-executive directors have reviewed and confirmed the continuing connected transactions were conducted on normal commercial terms[161]. Human Resources - The total employee cost for the year was approximately HKD 218.69 million, a decrease from HKD 252.90 million in the previous year[179]. - The group had 304 employees as of December 31, 2022, down from 546 employees in the previous year[179]. - The company has established a gender diversity policy, aiming to appoint at least one female director by December 31, 2024, as the current board consists entirely of male members[90]. Risk Management - The company has identified key risks including profit risk, inappropriate market competition strategy risk, and cost increase risk, which may impact financial conditions[118]. - The company has identified five primary risk categories and 26 secondary risks through risk identification and assessment processes[87]. - The group faced operational risks due to supply shortages and price increases of certain raw materials caused by the pandemic[177]. Shareholder Matters - The annual general meeting is scheduled for June 21, 2023, to discuss shareholder matters[122]. - The total number of share options available for grant under the share option scheme at the beginning and end of the fiscal year was 16,740,748 and 348,140,748 respectively[130]. - The company has not granted any shares under the share incentive plan since 2014, with a total of 19,024,000 shares awarded to employees and directors[137].

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。 COOLPAD GROUP LIMITED 酷派集團有限公司 （於開曼群島註冊成立的有限公司） （股份代號：2369） 二零二二年末期業績公告 酷 派 集 團 有 限 公 司（「本公司」）董 事（「董 事」）會（「董事會」）公 告 本 公 司 及 其 附 屬 公 司（統 稱「本集團」）截 至 二 零 二 二 年 十 二 月 三 十 一 日 止 年 度（「本年度」）之 綜 合 業 績，連 同 截 至 二 零 二 一 年 十 二 月 三 十 一 日 止 年 度 之 比 較 數 字。 財務概要 截至十二月三十一日止年度 | --- | --- | --- | |------------|------------|-------| | 二零二二年 | 二零二一年 | 變 動 | | 千港元 | 千港元 | (%) | 收 入 207,633 665,380 ...

Financial Performance - Total revenue for the six months ended June 30, 2022, was HKD 140.5 million, a decrease of 56.1% compared to HKD 320.1 million for the same period in 2021[10]. - The company reported a loss before tax of HKD 300.1 million, which is a 42.4% increase from a loss of HKD 210.7 million in the previous year[10]. - Net loss attributable to shareholders was HKD 303.4 million, up 27.4% from HKD 238.1 million in the prior year[10]. - The overall gross loss for the six months ended June 30, 2022, increased significantly to HKD 60.8 million, a 319.3% increase from HKD 14.5 million in the same period of 2021, with a gross loss margin rising from 4.5% to 43.3%[16]. - The company's pre-tax loss for the first half of 2022 was HKD 300.1 million, compared to a pre-tax loss of HKD 210.7 million in the same period of 2021[40]. - The total loss for the period was HKD 303,549,000, an increase from HKD 238,134,000 in the prior year, reflecting a rise of 27.5%[98]. Revenue Breakdown - Sales of mobile phones and related accessories accounted for HKD 132.2 million, representing 94.1% of total revenue, down from HKD 318.6 million or 99.5% in the previous year[12]. - Wireless application service revenue increased to HKD 8.3 million, making up 5.9% of total revenue, compared to HKD 1.5 million or 0.5% in the prior year[12]. - Total revenue for the mobile phone segment was HKD 164.628 million, while property investment revenue was HKD 48.336 million, leading to a total revenue of HKD 212.964 million[123]. Expenses and Costs - Administrative expenses rose to HKD 157.3 million from HKD 124.5 million, accounting for 112.0% of total revenue, up 73.1% from 38.9% in the prior year, primarily due to increased R&D personnel costs[19]. - Sales and distribution expenses decreased to HKD 57.9 million from HKD 80.3 million year-on-year, representing 41.2% of total revenue, an increase of 16.1% from 25.1% in the previous year[18]. - Total employee costs for the six months ended June 30, 2022, amounted to approximately HKD 137.3 million, an increase from HKD 126.38 million for the same period in 2021[54]. Assets and Liabilities - Non-current assets as of June 30, 2022, were HKD 3,784.8 million, slightly up from HKD 3,762.2 million at the end of 2021[10]. - Current assets decreased to HKD 916.3 million from HKD 1,362.8 million at the end of 2021[10]. - Cash and cash equivalents were HKD 573.1 million, down from HKD 814.8 million at the end of 2021[10]. - The total debt as of June 30, 2022, was approximately HKD 227.2 million, with a floating annual interest rate of 7%[25]. - Total liabilities decreased from HKD 2,580,898 thousand as of December 31, 2021, to HKD 2,037,880 thousand as of June 30, 2022, indicating improved financial stability[103]. Market and Competition - The decline in revenue is attributed to the impact of COVID-19 on the domestic market and intense competition in the Chinese smartphone market[12]. - In the first half of 2022, the smartphone shipment volume in the Chinese market was 136 million units, a year-on-year decline of 21.7%[41]. - The group aims to deepen cooperation with China Mobile operators to increase market share and expand its dealer channels across 17 provinces[46]. Research and Development - The company continues to enhance its R&D capabilities, aiming to become a key player in the 5G and AI sectors[5]. - The company incurred research and development expenses of HKD 88,449,000 for the six months ended June 30, 2022, compared to HKD 74,288,000 in the same period of 2021[145]. Shareholder Information - The company did not recommend any interim dividend for the six months ended June 30, 2022, consistent with the previous year[149]. - The board believes that the trading price of the company's shares does not reflect its intrinsic value, indicating confidence in the company's future prospects[57]. Corporate Governance - The audit committee reviewed the unaudited interim results for the six months ended June 30, 2022[62]. - The company has not disclosed any significant changes in board member information as per listing rules[90]. Future Outlook - The group plans to continue developing new products and enhance the COOLOS operating system, focusing on system performance and user experience improvements[49]. - The group is committed to digital transformation, utilizing big data and AI to optimize operational costs and improve decision-making efficiency[49].

Financial Performance - Revenue for the year 2021 was HKD 665,380,000, a decrease of 18% from HKD 811,757,000 in 2020[14] - The company reported a loss before tax of HKD 556,009,000 in 2021, compared to a loss of HKD 299,063,000 in 2020[14] - Net loss for the year was HKD 572,376,000, an increase from a net loss of HKD 393,828,000 in 2020[14] - The gross profit for the year was approximately HKD 36.30 million, with a gross profit margin of 5.46%, down from 15.04% in the previous year[36][37] - Administrative expenses increased by 23.76% from HKD 296.43 million in 2020 to HKD 366.86 million in 2021, with the percentage of administrative expenses to total revenue rising from 36.52% to 55.14%[39] - The group recorded a net loss from continuing operations of HKD 572.38 million in 2021, an increase of HKD 227.35 million compared to a net loss of HKD 345.03 million in 2020[48] - Total revenue decreased by 18.03% from HKD 811.76 million in 2020 to HKD 665.38 million in 2021, with a gross profit margin decline of 9.58 percentage points to 5.46%[47] Assets and Liabilities - Non-current assets increased to HKD 3,762,172,000 in 2021 from HKD 3,233,696,000 in 2020, reflecting a growth of 16%[15] - Current assets rose to HKD 1,362,838,000 in 2021, up from HKD 1,087,820,000 in 2020, marking a 25% increase[15] - The total liabilities decreased from HKD 2,619,184,000 in 2020 to HKD 2,580,898,000 in 2021, indicating a reduction in financial obligations[15] - Cash and cash equivalents increased significantly from HKD 208.77 million in 2020 to HKD 814.81 million in 2021, resulting in a debt-to-equity ratio improvement from 64% to 33%[41] Strategic Goals and Innovations - The company is focusing on enhancing the connection efficiency between the real and digital worlds as part of its strategic goals[20] - A new regional contracting model and operational strategy have been established to enhance user engagement and long-term profitability[21] - The company aims to lead innovation in the digital intelligence era by leveraging its strong R&D capabilities[20] - The company is committed to user-centric product innovation, focusing on meeting the most pressing needs of its users[20] - The company aims to complete the implementation of its new strategy in 2022, focusing on building a "product-channel-digital" growth cycle[28] - Coolpad plans to concentrate resources to establish a complete digital and distributed channel system in select provinces to validate a replicable sales model[29] Market Performance - In 2021, Coolpad launched 2 new models in the mainland China market, achieving a shipment volume of 126,300 units[24][25] - As of December 31, 2021, the number of active users of Coolpad smartphones in mainland China reached 76,200[25] - The company launched two new smartphone models in 2021: COOL 20 and COOL 20 Pro, achieving a shipment volume of 126,300 units in mainland China and 76,200 monthly active internet users[59] - The company established over 3,200 authorized service stations across mainland China by the end of 2021 to enhance brand user engagement and market presence[60] - The smartphone market in China saw a shipment volume of approximately 329 million units, a slight increase of 1.1% year-on-year[57] Fundraising and Financial Management - The group successfully raised approximately HKD 186 million through a subscription agreement for 666 million shares at HKD 0.28 per share in March 2021[49] - A rights issue completed in June 2021 raised approximately HKD 981 million, with 3.6 billion shares fully underwritten at the same subscription price of HKD 0.28 per share[50] - The company raised a total of HKD 981 million from a rights issue, with 50% allocated for business expansion and 10% for general working capital[54] - As of December 31, 2021, approximately HKD 376.2 million from the rights issue remains unutilized[54] - The company issued 666,000,000 new ordinary shares at a price of HKD 0.28 per share, raising HKD 186 million for business expansion and general operating funds[56] Governance and Compliance - The company has established three committees: the nomination committee, the remuneration committee, and the audit committee, each with specific responsibilities[74] - The audit committee, composed entirely of independent non-executive directors, provided independent and objective audits on financial activities and risk management[77] - The company has a structured governance policy that includes regular reviews of compliance with laws and regulations[74] - The board's operation included a clear definition of roles and responsibilities to facilitate effective decision-making[69] - The company has a diversity policy for board nominations, considering various perspectives including gender, age, and industry experience[93] Risk Management - The company has identified four primary risk categories and 21 secondary risks through risk identification and assessment[90] - The company has implemented a risk assessment procedure that evaluates risks based on likelihood and impact, with a scoring system ranging from 1 to 25, where higher scores indicate greater risk[87] - The risk levels are categorized into high, medium, and low tiers based on calculated risk values, allowing for better risk management strategies[88] - Major risks include profit risk, instability in overseas markets, and the impact of the pandemic on the group's business, particularly in the US market[122] - The group aims to control risks and uncertainties by understanding and responding to stakeholders' concerns[122] Employee and Management Information - Employee costs for the fiscal year amounted to approximately HKD 252.90 million, an increase from HKD 207.58 million in the previous year[194] - The group had 546 employees as of December 31, 2021, down from 604 employees in the previous year[194] - The management team has a diverse background, with members holding advanced degrees in economics and finance[104] - The group has established a strong leadership team with a mix of industry experience and academic qualifications[110] Environmental and Social Responsibility - The company is committed to environmental and social sustainability, taking actions to reduce energy consumption and waste[148] - The company has implemented green office measures to reduce energy consumption, leading to a continuous decline in electricity usage[148] - Charitable donations made by the group during the year amounted to approximately HKD 15,208,000, a significant increase from HKD 68,000 in the previous year[130] Shareholding Structure - As of December 31, 2021, Mr. Chen Jiajun holds 3,131,355,500 shares, representing 25.87% of the issued share capital[171] - Major shareholders include Mr. Jeffrey Steven Yass with 1,600,000,000 shares (13.22%) and Mr. Qin Tao with 922,500,000 shares (8.91%)[175] - The company’s shareholding structure indicates significant control by a few major shareholders, with Mr. Chen Jiajun being the largest[176] Miscellaneous - The company did not recommend the payment of any final dividend for the year due to restructuring needs[125] - The company has not made any changes to its articles of association during the review year[99] - The company did not engage in any significant acquisitions or disposals during the review period[196] - There were no major lawsuits or arbitration cases involving the company during the year[190]

Financial Performance - Total revenue for the six months ended June 30, 2021, was HKD 320.1 million, a decrease of 17.1% compared to HKD 385.9 million in the same period of 2020[10]. - The company reported a pre-tax loss of HKD 210.7 million, which is a significant increase of 632.4% from a loss of HKD 28.8 million in the previous year[10]. - Net loss attributable to shareholders was HKD 238.1 million, up 261.2% from HKD 65.9 million in the same period last year[10]. - Basic and diluted loss per share was HKD 3.11, compared to HKD 1.04 in the previous year, reflecting a 199.0% increase in losses per share[10]. - The gross loss for the six months ended June 30, 2021, was HKD 14.5 million, a significant decrease of 117.2% from a gross profit of HKD 84.1 million in the same period of 2020, resulting in a gross loss margin of 4.5%[16]. - The company recorded a loss before tax from continuing operations of HKD 210.7 million for the six months ended June 30, 2021, compared to a loss of HKD 28.8 million for the same period in 2020[21]. - The company reported a total comprehensive loss of HKD 224,915,000 for the period, compared to HKD 60,610,000 in the previous year[87]. Assets and Liabilities - Non-current assets as of June 30, 2021, were HKD 3,287.2 million, slightly up from HKD 3,233.7 million at the end of 2020[10]. - Current assets increased to HKD 1,841.1 million from HKD 1,087.8 million at the end of 2020, indicating improved liquidity[10]. - Total liabilities decreased from HKD 3,002.7 million at the end of 2020 to HKD 2,852.7 million as of June 30, 2021[10]. - Cash and cash equivalents significantly increased to HKD 1,174.7 million from HKD 208.8 million at the end of 2020, showing a strong cash position[10]. - The total equity attributable to owners increased to HKD 2,275,212 thousand from HKD 683,033 thousand, reflecting a growth of 233.5%[94]. - The total assets amounted to HKD 3,231,137,000, an increase of 2.37% from HKD 3,156,298,000 as of December 31, 2020[110]. Operational Efficiency - Sales and distribution expenses decreased to HKD 80.3 million, down 19.1% from HKD 99.4 million in the previous year, representing 25.1% of total revenue[18]. - Administrative expenses increased to HKD 124.5 million, up 26.3% from HKD 98.2 million in the previous year, accounting for 38.9% of total revenue[19]. - The company aims to enhance its e-commerce and offline retail channels to improve operational efficiency and product competitiveness, including the introduction of 5G products[40]. - The company has faced challenges due to upstream supply chain constraints, leading to higher procurement costs and lower-than-expected gross margins[37]. Research and Development - The company aims to leverage its R&D capabilities to enhance its product offerings and expand its market presence in the 5G and AI sectors[5]. - The group increased its R&D expenditure, with administrative and R&D expenses accounting for 38.9% of revenue, up 13.5 percentage points from the previous year, focusing on developing the Cool OS mobile operating system[34]. - The company incurred research and development expenses of HKD 74,288,000 for the six months ended June 30, 2021, down 24.1% from HKD 97,783,000 in the same period of 2020[122]. Market Strategy - The company launched its new product, the Coolpad COOL 20 smartphone, on May 25, 2021, as part of its strategy to re-enter the Chinese market[15]. - The group has begun to expand its market channels, actively collaborating with platforms like JD.com and Tmall, and exploring new models for improving channel efficiency in lower-tier markets[36]. - The company remains confident in its new strategic direction focused on the Chinese market despite being in the early stages of implementation[37]. Shareholder Information - The company reported a total of 2,316,155,500 shares held by Wei Hui Investment Limited, representing 21.44% of the issued share capital as of June 30, 2021[62]. - Qin Tao holds 772,500,000 shares directly through Allove Group Limited, which accounts for 8.37% of the total shares[62]. - The company completed a rights issue on June 28, 2021, which adjusted the number of stock options held by Qin Tao from 70,000,000 to 76,176,472[62]. Corporate Governance - The company has reviewed its corporate governance documents and believes it has fully complied with the corporate governance code[81]. - The board of directors emphasizes the importance of good corporate governance to enhance overall performance and accountability[81]. Financial Instruments - The company’s management has established policies and procedures for measuring the fair value of financial instruments, which are reviewed biannually[159]. - The fair value of financial assets as of June 30, 2021, was HKD 45,903,000, compared to HKD 89,382,000 as of December 31, 2020[156]. - The fair value of liabilities measured at fair value as of June 30, 2021, totaled HKD 794,834,000, with HKD 540,813,000 classified under Level 2 inputs and HKD 240,362,000 under Level 3 inputs[167].

coolpad 酷派 COOLPAD GROUP LIMITED 酷派集團有限公司 ( 於開曼群島註冊成立的有限公司 ) ( 股份代號 : 2369) 報 ０２０ 年 Z CCJL designed by coolpa ● 最 公司簡介 酷派集團有限公司（「本公司」），於二零零二年六月十一日 在開曼群島註冊成立為獲豁免有限公司，本公司股份（「股 份」）於二零零四年十二月九日在香港聯合交易所有限公司 （「聯交所」）上市（股份代號：2369）。 宇龍計算機通信科技（深圳）有限公司（「宇龍深圳」）為本公 司的間接全資附屬公司，於一九九三年四月創立。宇龍深 圳是中華人民共和國（「中國」或「中國大陸」）領先的酷派智 能手機、移動數據平台系統及增值業務運營開發商及一體 化解決方案提供商。宇龍深圳主要向中國企業、政府部門 及手機運營商與個人消費者供應其酷派產品。 過去十年來，本公司及其附屬公司（統稱「本集團」）憑藉 在無線通訊科技開發方面對各種無線通訊網絡標準包 括 TD-LTE 、 FDD-LTE 、 TD-SCDMA 、 CDMA-EVDO 、 WCDMA、GSM及CDMA1X網絡的專業知識，開發了許多 有關手機操作系 ...