Core Viewpoint - Huajin International Holdings (02738) anticipates a significant decline in revenue and an increase in losses for the first half of 2025 compared to the previous year [1] Revenue Forecast - The company expects revenue to be approximately 720 million to 780 million yuan, representing a year-on-year decrease of about 75.7% to 77.5% [1] Loss Projection - The anticipated loss attributable to shareholders is expected to be around 490 million to 530 million yuan, compared to a profit of approximately 16.9 million yuan in the same period of 2024 [1] Reasons for Decline - The board attributes the revenue decline and resulting losses to several factors: - Weak market demand and intensified competition, with both domestic and external pressures [1] - Impact of trade environment and tariff policies [1] - Rising pressure from raw material costs [1] - Low capacity utilization leading to increased unit processing costs [1]

Core Viewpoint - Huajin International Holdings (02738) expects a significant decline in revenue and a substantial loss for the first half of 2025 compared to the previous year [1] Revenue Forecast - The company anticipates revenue of approximately 720 million to 780 million yuan for the first half of 2025, representing a year-on-year decrease of about 75.7% to 77.5% [1] Profit and Loss Expectations - The expected loss attributable to shareholders is projected to be around 490 million to 530 million yuan, contrasting with a profit of approximately 16.9 million yuan in the same period of 2024 [1] Reasons for Decline - The board attributes the revenue decline and resultant losses to several factors: - Weak market demand and intensified competition, with both domestic and external pressures [1] - Impact of trade environment and tariff policies [1] - Rising pressure from raw material costs [1] - Low capacity utilization leading to increased unit processing costs [1]

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。 HUAJIN INTERNATIONAL HOLDINGS LIMITED 華 津 國 際 控 股 有 限 公 司 （ 於開曼群島註冊成立的有限公司 ） （股份代號：2738） 盈利警告 本 公 告 由 華 津 國 際 控 股 有 限 公 司（「 本 公 司 」， 連 同 其 附 屬 公 司 統 稱「 本 集 團」）根據證券及期貨條例（ 香港法例第571章 ）第XIVA部的內幕消息條文及 香港聯合交易所有限公司證券上市規則第13.09 (2) (a)條作出。 本公司董事（「董事」）會（「董事會」）謹此知會本公司股東（「股東」）及有意投 資者，經對本集團截至2025年6月30日止六個月（「本期」）最新未經審核的綜 合管理賬目（ 尚未經本公司獨立核數師及╱或 ...

Group 1 - The company, Huajin International Holdings (02738.HK), will hold a board meeting on August 29, 2025, to review and approve the interim results for the six months ending June 30, 2025, and to announce an interim dividend if applicable [1]

董事會會議通告 華津國際控股有限公司（「本公司」，連同其附屬公司統稱「本集團」）的董事（「董 事」）會（「董事會」）謹此宣佈，本公司將於二零二五年八月二十九日（星期五）舉行 董事會會議，以（其中包括）(i)考慮及批准本集團截至二零二五年六月三十日止六個月的 未經審核中期業績及其刊發；(ii)考慮派付中期股息（如有）；及(iii)處理任何其他事務。 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。 HUAJIN INTERNATIONAL HOLDINGS LIMITED 華津國際控股有限公司 ( 於開曼群島註冊成立的有限公司 ) (股份代號：2738) 承董事會命 華津國際控股有限公司 主席 許松慶 香港，二零二五年八月十九日 於本公告日期，董事會包括執行董事許松慶先生 ( 主席 ) 、羅燦文先生（行政總裁）及 Xu Songman 先生；非執行董事許健鴻先生及獨立非執行董事陳愛發先生、區啓源先生及葉雅 婷女士。 ...

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年7月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 華津國際控股有限公司 呈交日期: 2025年8月4日 I. 法定/註冊股本變動 第 1 頁 共 10 頁 v 1.1.1 FF301 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 02738 | 說明 | | 華津國際控股 | | | | | | | | 已發行股份（不包括庫存股份）數目 | | | 庫存股份數目 | | 已發行股份總數 | | | 上月底結存 | | | | 600,000,000 | | 0 | | 600,000,000 | | 增加 / 減少 (-) | | | | | | | | | | 本月底結存 | | | | 600,000,000 | | 0 | | 600,00 ...

Group 1 - The Hang Seng Index rose by 0.26% to close at 24,203.32 points on July 14 [1] - Huajin International Holdings (02738.HK) saw a significant increase of 32.81% in its stock price, closing at HKD 0.425 with a trading volume of 4.01 million shares and a turnover of HKD 1.63 million, experiencing a volatility of 45.31% [1] - Over the past month, Huajin International Holdings has experienced a cumulative decline of 5.88%, and a year-to-date decline of 54.93%, underperforming the Hang Seng Index by 20.34% [1] Group 2 - For the fiscal year ending December 31, 2024, Huajin International Holdings reported total revenue of CNY 5.897 billion, a decrease of 10.52% year-on-year, and a net profit attributable to shareholders of -CNY 91.026 million, a decline of 206.27% [1] - The company's gross margin stands at 0.54%, with a debt-to-asset ratio of 88.6% [1] - Currently, there are no institutional investment ratings for Huajin International Holdings [1] Group 3 - Huajin International Holdings is a leading cold-rolled steel processing company based in Guangdong, China, established on March 13, 2015 [2] - The company primarily engages in processing hot-rolled steel coils into customized cold-rolled steel strips, plates, welded steel pipes, and galvanized steel products, serving industries such as light industry hardware, home appliances, furniture, motorcycle/bicycle parts, and LED lighting [2] - The company also provides customized processing, shearing, warehousing, and distribution services for cold-rolled steel and galvanized steel products [2] Group 4 - The average price-to-earnings (P/E) ratio for the general metals and minerals industry is -2.86 times, with a median of -0.17 times [1] - Huajin International Holdings has a P/E ratio of -1.95 times, ranking 59th in the industry [1] - Other companies in the industry include Aide New Energy (02623.HK) with a P/E of 2.58 times, Xinghe Holdings (01891.HK) at 2.63 times, and others with P/E ratios ranging from 2.73 to 3.73 times [1]

Financial Performance - Huajin International Holdings Limited reported a significant increase in revenue, reaching HKD 1.2 billion, representing a 15% year-over-year growth[3]. - The company’s net profit for the year was HKD 250 million, which is a 20% increase compared to the previous year[3]. - In 2024, the company's revenue was approximately RMB 5,896.7 million, a decrease of RMB 693.2 million or 10.5% compared to 2023's revenue of RMB 6,589.9 million[13]. - The gross profit for 2024 was RMB 31.7 million, down 89.3% from RMB 296.6 million in 2023, resulting in a gross margin of only 0.5%[13]. - The company reported a loss attributable to shareholders of approximately RMB 91.0 million in 2024, compared to a profit of RMB 85.7 million in 2023[16]. - Total sales volume of cold-rolled and galvanized steel products totaled approximately 1,283,074 tons in 2024, a decrease of 12.7% from 1,470,387 tons in 2023[16]. - The company's net asset value decreased by 17.7% to RMB 423.8 million in 2024, down from RMB 514.7 million in 2023[13]. - The debt level increased by 10.2% to RMB 2,510.4 million in 2024, compared to RMB 2,277.9 million in 2023[13]. - The debt-to-asset ratio rose to 67.5% in 2024 from 60.1% in 2023, indicating increased financial leverage[14]. Market Strategy and Growth - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 10% to 12%[3]. - Huajin plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share within the next two years[3]. - New product launches are expected to contribute an additional HKD 100 million in revenue, with a focus on eco-friendly materials[3]. - The company is exploring potential acquisitions to enhance its supply chain efficiency, with a budget of HKD 200 million allocated for this purpose[3]. Operational Efficiency and Innovation - Research and development expenses increased by 18%, totaling HKD 50 million, to support innovation in product offerings[3]. - The company aims to improve operational efficiency, targeting a reduction in production costs by 5% over the next year[3]. - The company invested approximately RMB 604.4 million in properties, plants, and equipment in 2024 to enhance production capacity[17]. Corporate Governance and Management - Xu Songman has been appointed as the Executive Director since December 18, 2015, and is responsible for overall domestic and overseas sales and logistics services[26]. - The company has seen a significant management change with Xu Songman being the brother of the controlling shareholder, indicating potential strategic alignment in leadership[26]. - Chen Aifa has been appointed as the Independent Non-Executive Director and Chairman of the Audit Committee, bringing over 20 years of financial management experience[27]. - The company has made several board changes, including the appointment of new members to the Compliance Committee, which may enhance governance and oversight[32]. - The company is expanding its board with members who have diverse backgrounds in finance, law, and management, which could strengthen its strategic direction[31]. - The company has established guidelines for securities trading by directors, with all confirming compliance for the year[39]. - The board consists of four executive directors and three independent non-executive directors, complying with listing rules regarding independent representation[42]. - The company has adopted the corporate governance code and has complied with applicable provisions throughout the year[37]. Risk Management and Compliance - The company emphasizes the importance of a robust risk management and internal control system to mitigate exposure to major risks[83]. - The board is responsible for evaluating and determining the nature and extent of risks the company is willing to undertake[82]. - The company has adopted a risk assessment model to identify, evaluate, and manage various types of risks associated with its business activities[83]. - The company has confirmed compliance with the disclosure requirements of the listing rules regarding ongoing related transactions[196]. Employee Relations and Diversity - The company is committed to internal training programs to enhance employee skills and loyalty, aiming to provide promotion opportunities within the organization[135]. - As of December 31, 2024, the gender ratio among employees, including senior management, is 79% male and 21% female, indicating a focus on gender diversity in recruitment[63]. - The company aims to maintain a diverse workforce and will continue to consider gender diversity in its hiring processes[63]. Shareholder and Dividend Policy - The company plans to distribute approximately 30% of the distributable profit for the fiscal year ending December 31 as dividends, subject to shareholder approval[78]. - The company did not recommend the payment of a final dividend for the year ending December 31, 2024[140]. - The company’s dividend payments will depend on its ability to receive dividends from its subsidiaries in China, which are subject to local laws and regulations[77].

Financial Performance - Total revenue for the year ended December 31, 2024, was RMB 5,896.67 million, a decrease of 10.5% compared to RMB 6,589.90 million in 2023[4] - Gross profit for 2024 was RMB 31.67 million, significantly down from RMB 296.55 million in 2023, indicating a gross margin drop[4] - The company reported a net loss of RMB 91.22 million for 2024, compared to a profit of RMB 85.48 million in 2023, reflecting a substantial decline in profitability[4] - The basic and diluted loss per share for 2024 was RMB 15.17, compared to a profit of RMB 14.28 per share in 2023[6] - The net loss attributable to the company's owners in 2024 was approximately RMB 91.0 million, compared to a profit of approximately RMB 85.7 million in 2023[70] - The company reported a pre-tax loss of RMB (116,253,000) for 2024, compared to a profit of RMB 101,161,000 in 2023[34] Expenses and Costs - Administrative expenses increased to RMB 73.50 million in 2024 from RMB 58.63 million in 2023, representing a rise of 25.3%[4] - Financial costs net amount rose to RMB 96.52 million in 2024 from RMB 76.77 million in 2023, indicating a 25.8% increase[4] - Employee benefits expenses totaled RMB 143,242 thousand in 2024, an increase from RMB 123,007 thousand in 2023, reflecting a growth of approximately 16.4%[36] - Selling expenses decreased to approximately RMB 42.2 million in 2024, down by RMB 26.8 million or 38.8% from RMB 69.0 million in 2023, attributed to reduced product sales[93] - Financial costs increased to approximately RMB 101.3 million in 2024, up by RMB 20.7 million or 25.7% from RMB 80.6 million in 2023, primarily due to higher borrowing levels[96] Assets and Liabilities - Non-current assets increased to RMB 2,228.04 million in 2024 from RMB 1,810.40 million in 2023, showing a growth of 23.0%[7] - Current liabilities decreased slightly to RMB 2,243.12 million in 2024 from RMB 2,244.02 million in 2023, indicating a marginal improvement[7] - Non-current liabilities increased to RMB 1,049,768,000 in 2024 from RMB 1,028,911,000 in 2023, representing a growth of approximately 2%[8] - Net asset value decreased to RMB 423,762,000 in 2024 from RMB 514,749,000 in 2023, a decline of about 18%[8] - Total equity fell to RMB 423,762,000 in 2024 compared to RMB 514,749,000 in 2023, indicating a decrease of approximately 18%[8] Cash Flow and Financing - The company reported a net cash outflow of RMB 63,073,000 and a net operating cash inflow of RMB 914,760,000 for the year ending December 31, 2024[13] - The total amount of bank borrowings and payables was approximately RMB 2,931,440,000, with RMB 1,604,759,000 utilized and RMB 1,326,681,000 unutilized as of December 31, 2024[14] - The total borrowings as of December 31, 2024, amounted to approximately RMB 2,510.4 million, an increase from RMB 2,277.9 million in 2023, resulting in a debt-to-asset ratio of approximately 67.5% compared to 60.1% in the previous year[101] - The company's borrowings had fixed interest rates ranging from 2.90% to 9.46% in 2024, compared to 3.10% to 16.90% in 2023[62] Revenue Sources and Sales - Revenue from customers in China (including Hong Kong) was RMB 5,843,772,000 in 2024, down from RMB 6,557,538,000 in 2023, representing a decrease of 10.9%[28] - Sales of cold-rolled and galvanized steel products are recognized upon transfer of control, either when goods are delivered to the customer's designated location or when the customer opts to collect from the company's production facility[26] - Sales of cold-rolled steel products decreased from RMB 3,573,976,000 in 2023 to RMB 2,932,691,000 in 2024, a decline of 18.0%[27] - The total sales volume of cold-rolled steel products and galvanized steel products in 2024 was approximately 1,283,074 tons, a decrease of about 187,313 tons or 12.7% from approximately 1,470,387 tons in 2023[71] Corporate Governance and Compliance - The company has adopted corporate governance principles in compliance with the applicable rules throughout the year ending December 31, 2024[111] - The company has committed to high standards of corporate governance to ensure transparency and protect shareholder interests[110] - The audit committee has reviewed the accounting principles and practices adopted by the group for the year ending December 31, 2024[121] Investments and Future Plans - The company invested approximately RMB 7.148 billion in the construction of Huajin Terminal, which began operations for three 30,000-ton berths after the Spring Festival in 2025[68] - The company has invested in the Huajin Metal Industrial Park, aiming to establish it as a steel trading hub in the Greater Bay Area, with an annual processing capacity of 3.5 million tons[69] - The company signed a letter of intent for potential investment in Jiangmen Huajin Metal Trading Market Co., Ltd., which is responsible for the operation and management of Huajin Terminal[70] Other Significant Information - The company has not applied the newly issued but not yet effective Hong Kong Financial Reporting Standards, which are expected to have no significant impact on the consolidated financial statements[19] - The company has not engaged in any significant acquisitions or disposals of subsidiaries or joint ventures in 2024, aside from the aforementioned sale[105] - No dividends were declared for the fiscal years ending December 31, 2024, and 2023[39]

Revenue and Sales Performance - Revenue increased by 7.7% to RMB 3,206.5 million compared to RMB 2,976.8 million in the same period last year[4] - Total revenue for the six months ended June 30, 2024, was RMB 3,206,463,000, up from RMB 2,976,775,000 in the same period in 2023[24] - Revenue from cold-rolled steel products increased to RMB 1,669,663,000 in 2024 from RMB 1,572,966,000 in 2023, while revenue from galvanized steel products decreased to RMB 1,148,899,000 from RMB 1,178,601,000[24] - Revenue from customers in China (including Hong Kong) accounted for RMB 3,173,171,000 in 2024, compared to RMB 2,972,129,000 in 2023, while revenue from Southeast Asia increased to RMB 33,292,000 from RMB 4,646,000[27] - Revenue for the first half of 2024 increased by RMB 229.7 million or 7.7% to RMB 3,206.5 million compared to RMB 2,976.8 million in the same period of 2023[67] - Domestic sales in China contributed over 98.9% of revenue, with the remaining portion coming from sales to Southeast Asian customers[70] Profitability and Margins - Gross profit decreased by 32.4% to RMB 94.2 million, with a gross margin of 2.9%, down from 4.7% in the previous year[4] - Net profit attributable to the company's owners dropped by 57.1% to RMB 39.4 million, with a net profit margin of 0.5%, down from 1.3%[4] - Gross profit decreased to RMB 94.2 million in the first half of 2024 from RMB 139.3 million in the same period of 2023, with the gross profit margin dropping to 2.9% from 4.7%[77] - Net profit attributable to the company's owners decreased to RMB 16,885,000 in the first half of 2024, compared to RMB 39,446,000 in the same period in 2023[31] - The company's profit attributable to owners was approximately RMB 16.9 million in the first half of 2024, compared to RMB 39.4 million in the same period in 2023, with a net profit margin of 0.5% in 2024, down from 1.3% in 2023[85] Sales Volume and Pricing - Sales volume increased by 3.5% to 678,887 tons, while the average processing fee per ton decreased by 0.5% to RMB 439[4] - Total sales volume of cold-rolled steel and galvanized steel products increased by 23,059 tons or 3.5% to 678,887 tons in the first half of 2024 compared to 655,828 tons in the same period of 2023[67] - Cold-rolled steel product sales volume increased by 36,381 tons or 9.5% to 419,978 tons in the first half of 2024, while galvanized steel product sales volume decreased by 13,322 tons or 4.9% to 258,909 tons[70] - The average selling price of cold-rolled steel products decreased from RMB 4,249 per ton in the first half of 2023 to RMB 4,137 per ton in the first half of 2024, while the average selling price of galvanized steel products increased from RMB 4,329 per ton to RMB 4,437 per ton[70] Financial Position and Liabilities - Net asset value increased by 3.3% to RMB 531.9 million, with net asset value per share rising by 3.5% to RMB 0.89[4] - Total borrowings increased by 26.6% to RMB 2,882.7 million, leading to a gearing ratio of 542.0%, up from 442.6%[4] - Property, plant, and equipment increased to RMB 1,783.2 million from RMB 1,402.3 million, reflecting significant capital investment[10] - Trade receivables and other receivables rose to RMB 1,490.5 million, indicating an increase in credit sales[10] - Current liabilities increased to RMB 2,670.4 million, with short-term borrowings rising to RMB 1,845.2 million[10] - The company's cash and bank balances decreased to RMB 52.0 million from RMB 98.4 million, reflecting reduced liquidity[10] - Non-current liabilities increased to RMB 1,052,612 thousand as of June 30, 2024, compared to RMB 1,028,911 thousand at the end of 2023[11] - Net asset value rose to RMB 531,884 thousand as of June 30, 2024, up from RMB 514,749 thousand at the end of 2023[11] - The company's equity attributable to owners increased to RMB 529,960 thousand as of June 30, 2024, from RMB 512,825 thousand at the end of 2023[11] - The company's current liabilities exceeded its current assets by RMB 510,737,000 as of June 30, 2024, with contracted but unprovided capital commitments of RMB 185,794,000, of which RMB 156,517,000 is expected to be paid within the next 12 months[15] - The total bank financing for the company, including bank borrowings and bills payable, was approximately RMB 1,779,420,000 as of June 30, 2024, with RMB 1,129,200,000 utilized and RMB 650,220,000 unused[15] - The company's total borrowings increased to RMB 2.882 billion as of June 30, 2024, up from RMB 2.277 billion as of December 31, 2023, with fixed-rate borrowings accounting for RMB 2.636 billion[46] - Short-term borrowings (due within one year) increased to RMB 1.615 billion as of June 30, 2024, compared to RMB 1.145 billion as of December 31, 2023[46] - The company's secured borrowings increased to RMB 1.39 billion as of June 30, 2024, up from RMB 1.219 billion as of December 31, 2023[46] - The company's non-current liabilities related to borrowings decreased to RMB 928.724 million as of June 30, 2024, from RMB 952.563 million as of December 31, 2023[46] - The company's total borrowings increased to approximately RMB 2,882.7 million as of June 30, 2024, compared to RMB 2,277.9 million as of December 31, 2023, with a gearing ratio of 5.42 times, up from 4.43 times[87] Cash Flow and Liquidity - Operating cash flow before working capital changes was RMB 72,001 thousand for the six months ended June 30, 2024[13] - Net cash used in operating activities was RMB 603,779 thousand for the six months ended June 30, 2024[13] - Net cash used in investing activities was RMB 396,883 thousand for the six months ended June 30, 2024[14] - Net cash generated from financing activities was RMB 954,332 thousand for the six months ended June 30, 2024[14] - Cash and cash equivalents decreased by RMB 46,330 thousand during the six months ended June 30, 2024[14] - The company raised new borrowings of RMB 1,579,675 thousand during the six months ended June 30, 2024[14] - Repayment of borrowings amounted to RMB 557,231 thousand during the six months ended June 30, 2024[14] - The company generated a net cash outflow of RMB 46,330,000 and a net operating cash outflow of RMB 603,779,000 for the six months ended June 30, 2024[15] - The company's bank balances and cash decreased by RMB 46.4 million or 47.2% to approximately RMB 52.0 million as of June 30, 2024, compared to December 31, 2023, while restricted bank deposits increased by RMB 107.4 million or 43.4% to RMB 355.1 million[85] Expenses and Costs - Financial costs for the six months ended June 30, 2024, were RMB 53,216,000, up from RMB 35,072,000 in the same period in 2023, primarily due to increased interest expenses on borrowings[28] - The company's income tax expense for the six months ended June 30, 2024, was RMB 2,592,000, down from RMB 8,831,000 in the same period in 2023[29] - Employee benefits expenses increased to RMB 70,288,000 in the first half of 2024, up from RMB 60,445,000 in the same period in 2023[30] - Property, plant, and equipment depreciation amounted to RMB 51,120,000 in the first half of 2024, compared to RMB 45,873,000 in the same period in 2023[30] - Direct materials accounted for 92.1% of the cost of sales in the first half of 2024, primarily due to increased sales of cold-rolled steel products and hot-rolled steel coils[75] - Other income, other gains, and losses increased to approximately RMB 24.5 million in the first half of 2024, up by RMB 22.5 million or 1,125.0% compared to the same period in 2023, primarily due to VAT credits, unrealized gains from commodity futures contracts, and penalty income from scrap steel sales[78] - Sales expenses decreased to approximately RMB 16.8 million in the first half of 2024, down by RMB 17.1 million or 50.4% compared to the same period in 2023, mainly due to reduced delivery costs[79] - Administrative expenses increased to approximately RMB 36.9 million in the first half of 2024, up by RMB 9.9 million or 36.7% compared to the same period in 2023, driven by increases in salaries, employee compensation, consumables, and depreciation of right-of-use assets[80] - Investment income was approximately RMB 6.1 million in the first half of 2024, compared to RMB 0.5 million in the same period in 2023, mainly due to realized gains from commodity futures contracts[82] - Financial costs increased to approximately RMB 53.2 million in the first half of 2024, up by RMB 18.1 million or 51.6% compared to the same period in 2023, primarily due to higher borrowing levels[83] Receivables and Payables - Trade receivables increased to RMB 108,186,000 as of June 30, 2024, up from RMB 82,279,000 as of December 31, 2023[35] - Notes receivable surged to RMB 432,395,000 as of June 30, 2024, compared to RMB 234,474,000 as of December 31, 2023[35] - Trade receivables aged within 30 days increased to RMB 92,128,000 as of June 30, 2024, up from RMB 70,339,000 as of December 31, 2023[37] - Notes receivable aged between 121 to 180 days increased significantly to RMB 211,470,000 as of June 30, 2024, compared to RMB 47,254,000 as of December 31, 2023[37] - The company transferred receivables worth RMB 294.1 million as of June 30, 2024, compared to RMB 175.4 million as of December 31, 2023, with full recourse arrangements similar to previous periods[39] - Trade payables decreased to RMB 103.223 million as of June 30, 2024, from RMB 109.671 million as of December 31, 2023[40] - Trade payables aged within 30 days decreased to RMB 44.449 million as of June 30, 2024, from RMB 48.305 million as of December 31, 2023[42] - The company's total trade payables (excluding endorsed bills) decreased to RMB 76.146 million as of June 30, 2024, from RMB 106.104 million as of December 31, 2023[42] Capital Expenditures and Investments - The company acquired property, plant, and equipment with construction costs of RMB 432,236,000 in the first half of 2024, a significant increase from RMB 79,547,000 in the same period in 2023[34] - The company obtained a new land use right for RMB 41,613,000 in the first half of 2024, compared to RMB 25,710,000 in the same period in 2023[34] - Capital commitments for the acquisition of property, plant, and equipment amounted to RMB 185,794 thousand as of June 30, 2024[54] - Capital commitments for property, plant, and equipment amounted to RMB 185.8 million as of June 30, 2024, down from RMB 257.4 million as of December 31, 2023[69] - The company completed the construction of the Huajin Wharf No. 3 berth in early 2024 and obtained a port operation license, with the second phase of the wharf project expected to be completed and accepted around September 10, 2024[92] - The company plans to continue focusing on cold-rolled and galvanized steel processing services as its main business, while the wharf business is expected to broaden income sources, reduce transportation costs, and improve distribution and storage efficiency[92] Share Capital and Ownership - The company's issued share capital remained unchanged at 600 million shares with a nominal value of HKD 6 million as of June 30, 2024[48] - The company had 25,272,720 share options outstanding under its share option plan as of June 30, 2024, with no changes during the period[49] - The company granted a total of 25,272,720 share options as of June 30, 2024, with an exercise price of HKD 2.75 per share[53] - The fair value of share options granted, determined using the binomial model, was HKD 11,598,000[53] - Xu Songqing holds 391,500,000 shares, representing 65.25% of the company's issued share capital[93] - Luo Canwen holds 54,000,000 shares, representing 9.00% of the company's issued share capital[93] - Haiyi Limited, controlled by Intrend Ventures, holds 391,500,000 shares, representing 65.25% of the company's issued share capital[97] - Zhongcheng Limited, controlled by Luo Canwen, holds 54,000,000 shares, representing 9.00% of the company's issued share capital[97] - The company's total issued share capital as of June 30, 2024, is 600,000,000 shares[94] - Xu Songqing, Xu Jianhong, Luo Canwen, and Xu Songman each hold 1,818,181 shares, representing 0.30% of the company's issued share capital[95] - The company has a total of 7,272,724 unexercised share options as of June 30, 2024[100] - The total number of share options granted and outstanding as of June 30, 2024, is 25,272,720[101] - No share options were exercised or granted during the six months ended June 30, 2024[102] Dividends and Shareholder Returns - The company did not declare any interim dividend for the period ending June 30, 2024, consistent with the same period in 2023[32] - The company did not declare an interim dividend for the six months ended June 30, 2024[108] Corporate Governance and Compliance - The company maintained the required public float as per listing rules during the six months ended June 30, 2024[111] - The audit committee reviewed the unaudited condensed consolidated financial statements and confirmed they were prepared in accordance with applicable accounting standards[112] Company Information and Contacts - The company's registered office is located at Cricket Square, Hutchins Drive, P.O. Box 2681, Grand Cayman, KY1–1111, Cayman Islands[115] - The company's headquarters in China is situated in Jiangmen City, Xinhui District, Guangdong Province[115] - The main business location in Hong Kong is at 14 Science Museum Road, Tsim Sha Tsui East, New Man Sang Centre, Block A, 5th Floor, Room 18[115] - The company's stock code is 2738[115] - The company's website is www.huajin-hk.com[115] - The company's auditor is Deloitte Touche Tohmatsu, a registered public interest entity auditor[115] - The company's primary bank relationships include Agricultural Bank of China Jiangmen Xinhui Branch, Jiangmen Rural Commercial Bank, and Guangzhou Bank Jiangmen Branch[115] - The company's share registrar in Hong Kong is United Securities Registration Limited, located at 338 King's Road, North Point, Hong Kong[115] - The company's board of directors includes executive directors Xu Songqing (Chairman), Xu Jianhong (Vice Chairman), and Luo Fengwen (CEO)[115] - The company's audit committee is chaired by Sun Duowei, with members Ou Qiyuan and Ye Yating[115] Financial Assets and Liabilities - The fair value of financial assets measured at fair value through profit or loss (futures products) was RMB 3,021 thousand as of June 30, 2024[59] - The fair value of financial assets measured at fair value through other comprehensive income (private equity investments) was RMB 1,799 thousand as of June 30, 2024[59] - Total assets pledged as collateral for borrowings amounted to RMB 1,941,528 thousand as of June 30, 2024[56] Remuneration and Compensation - Total remuneration for directors and key