Financial Highlights This section summarizes the company's key financial performance indicators and operational highlights [Financial Highlights](index=1&type=section&id=%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81) The Group experienced a slight revenue increase but an expanded loss attributable to equity holders due to declining gross profit Financial Highlights | Metric | June 30, 2025 (million HKD) | June 30, 2024 (million HKD) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 159.20 | 157.55 | +1.05% | | Loss attributable to equity holders of the Company | (3.16) | (2.87) | +10.10% | | Gross profit margin | 19.60% | 24.67% | -5.07 percentage points | | Basic loss per share (HK cents) | (11.37) | (10.61) | +7.16% | - The **gross profit margin decreased** primarily due to increased raw material costs from global commodity price fluctuations and higher production costs from the appreciation of RMB against HKD[2](index=2&type=chunk) - The Board resolved not to declare an interim dividend for the six months ended June 30, 2025[2](index=2&type=chunk) Interim Results This section presents the Group's condensed consolidated financial statements, including income, financial position, cash flow, and equity changes [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) Group revenue slightly increased, but a significant rise in cost of sales led to a substantial drop in gross profit, expanding the loss attributable to equity holders Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income | Metric | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 159,200 | 157,548 | +1.05% | | Cost of sales | (127,992) | (118,687) | +7.84% | | Gross profit | 31,208 | 38,861 | -19.69% | | Loss before income tax | (3,646) | (3,131) | +16.45% | | Loss for the period | (3,255) | (2,865) | +13.61% | | Loss for the period attributable to equity holders of the Company | (3,155) | (2,865) | +10.12% | - Total comprehensive loss for the period narrowed from **(HKD 4,097 thousand)** in the same period of 2024 to **(HKD 1,389 thousand)** in 2025, mainly due to a favorable change in exchange differences from loss to income[3](index=3&type=chunk)[4](index=4&type=chunk) [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) As of June 30, 2025, total assets and net assets increased, but net current liabilities remained negative, indicating short-term liquidity pressure Condensed Consolidated Statement of Financial Position | Metric | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | Change (%) | | :--- | :--- | :--- | :--- | | Non-current assets | 498,853 | 490,802 | +1.64% | | Current assets | 176,249 | 165,263 | +6.65% | | Current liabilities | 319,449 | 346,930 | -7.92% | | Net current liabilities | (143,200) | (181,667) | -21.29% | | Non-current liabilities | 65,458 | 22,286 | +193.72% | | Net assets | 290,195 | 286,849 | +1.16% | | Total equity attributable to equity holders of the Company | 289,995 | 286,549 | +1.20% | - Cash and bank balances decreased by **57.59%** from **HKD 31,493 thousand** as of December 31, 2024, to **HKD 13,353 thousand** as of June 30, 2025[5](index=5&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=6&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) For the six months ended June 30, 2025, operating activities shifted from net inflow to net outflow, increasing investing cash outflow and significantly reducing financing cash outflow, resulting in a net decrease of **HKD 15.877 million** in cash and cash equivalents Condensed Consolidated Statement of Cash Flows | Metric | June 30, 2025 (thousand HKD) | June 30, 2024 (thousand HKD) | Change | | :--- | :--- | :--- | :--- | | Net cash (used in) / generated from operating activities | (6,021) | 21,761 | Shift from inflow to outflow | | Net cash used in investing activities | (7,741) | (5,898) | Outflow increased (+31.25%) | | Net cash used in financing activities | (2,115) | (15,326) | Outflow decreased (-86.20%) | | Net (decrease) increase in cash and cash equivalents | (15,877) | 537 | Shift from increase to decrease | | Cash and cash equivalents at end of period | 13,353 | 23,374 | -42.87% | [Condensed Consolidated Statement of Changes in Equity](index=7&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%AC%8A%E7%9B%8A%E8%AE%8A%E5%8B%95%E8%A1%A8) As of June 30, 2025, the company's total equity slightly increased, primarily due to share issuance, despite negative impacts from period loss and exchange reserve changes - Total equity attributable to equity holders of the Company as of June 30, 2025, was **HKD 289,995 thousand**, an increase from **HKD 286,549 thousand** as of January 1, 2025[8](index=8&type=chunk) - Loss for the period was **(HKD 3,155 thousand)**, with **(HKD 100 thousand)** attributable to non-controlling interests[8](index=8&type=chunk) - Exchange differences arising from the translation of financial statements of overseas operations amounted to **HKD 1,866 thousand**, positively impacting equity[8](index=8&type=chunk) - Share issuance resulted in an increase of **HKD 1,080 thousand** in share capital and **HKD 3,655 thousand** in share premium, totaling **HKD 4,735 thousand**[8](index=8&type=chunk) Notes to the Financial Statements This section provides detailed notes and disclosures supporting the condensed consolidated financial statements [1. General Information](index=8&type=section&id=1.%20%E4%B8%80%E8%88%AC%E8%B3%87%E6%96%99) Golden Power Group Holdings Limited primarily manufactures and sells various batteries, including primary and rechargeable types, across China, Hong Kong, and international markets, actively developing environmentally friendly products - The Group's principal activities are the manufacture and sale of various types of batteries for electronic devices, including primary batteries (cylindrical and micro button cells) and rechargeable batteries, and other battery-related products[9](index=9&type=chunk) - Products are widely used in electric toys, watches, remote controls, alarm clocks, healthcare products, and computers[10](index=10&type=chunk) - The Group has developed mercury-free, cadmium-free, and lead-free batteries to align with the global trend towards environmentally friendly battery markets[10](index=10&type=chunk) [2. Basis of Preparation of Financial Statements](index=8&type=section&id=2.%20%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E7%9A%84%E7%B7%A8%E8%A3%BD%E5%9F%BA%E6%BA%96) The interim financial statements are prepared in accordance with HKAS 34 and Appendix D2 of the Listing Rules on a going concern basis, despite a period loss and net current liabilities, supported by available financing and renewal capabilities - The interim financial statements have been prepared in accordance with the applicable disclosure requirements of Appendix D2 to the Listing Rules of the Stock Exchange of Hong Kong Limited and Hong Kong Accounting Standard 34 "Interim Financial Reporting

FF301 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: 金力集團控股有限公司（於開曼群島註冊成立的有限公司） 呈交日期: 2025年8月6日 I. 法定/註冊股本變動 | 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) | 03919 | 說明 | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 100,000,000 | HKD | | 0.2 HKD | | 20,000,000 | | 增加 / 減少 (-) | | | | | | HKD | | | | 本月底結存 | | | 100,000,000 | HKD | | 0.2 HKD | | 20,000,000 | 本月底法定/註冊股本總額 ...

（股份代號：3919） 董事會會議通告 金力集團控股有限公司（「本公司」）董事（「董事」）會（「董事會」）謹此宣佈，將於二零 二五年八月十九日（星期二）舉行董事會會議，以考慮（其中包括）以下事項： GOLDEN POWER GROUP HOLDINGS LIMITED 金力集團控股有限公司 （於開曼群島註冊成立的有限公司） 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，並明確表示概不就因本公告全部或任何部 分內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 承董事會命 朱境淀 香港，二零二五年八月六日 於本公告日期，執行董事為朱境淀先生、朱淑清小姐、鄧志謙先生及朱浩華先生， 而獨立非執行董事為鄧思寧女士、簡文儉先生及黃家俊先生。 1. 考慮及批准本公司及其附屬公司（「本集團」）截至二零二五年六月三十日止六個 月的未經審核綜合業績（「中期業績」）； 2. 考慮及批准將於香港聯合交易所有限公司網站及本公司網站刊登的中期業績公 告； 3. 考慮建議派付中期股息（如有）； 4. 考慮暫停辦理本公司股份過戶登記（如有需要）；及 5. 處理任何其他事 ...

5月27日，截至港股收盘，恒生指数上涨0.43%，报23381.99点。金力集团(新)（03919.HK）收报1.11港 元/股，上涨15.63%，成交量2.4万股，成交额2.76万港元，振幅4.17%。 最近一个月来，金力集团(新)累计跌幅7.84%，今年来累计跌幅17.54%，跑输恒生指数16.06%的涨幅。 财务数据显示，截至2024年12月31日，金力集团(新)实现营业总收入2.94亿元，同比增长17.57%；归母 净利润-590.07万元，同比增长41.64%；毛利率25%，资产负债率56.28%。 机构评级方面，目前暂无机构对该股做出投资评级建议。 行业估值方面，工业工程行业市盈率（TTM）平均值为15.04倍，行业中值2.44倍。金力集团(新)市盈 率-0.2倍，行业排名第200位；其他谊砾控股（00076.HK）为0.31倍、中国航天万源（01185.HK）为0.32 倍、天洁环境（01527.HK）为1.93倍、北京控股环境集团（00154.HK）为2.14倍、同景新能源 （08326.HK）为2.41倍。 资料显示，金力集团控股有限公司的主要业务为以制造及出售供各类电子设备使用的各式电池。 ...

Financial Performance - The group's revenue increased by approximately 17.57% from about HKD 270.28 million in the previous year to approximately HKD 317.76 million for the fiscal year ending December 31, 2024[9]. - The loss attributable to shareholders was approximately HKD 6.37 million, compared to a loss of approximately HKD 10.92 million in the previous year, resulting in a loss per share of HKD 0.0118[9]. - The company's revenue for the year increased by approximately 17.57% to about HKD 317.76 million, up from approximately HKD 270.28 million in the previous year[21]. - Revenue from cylindrical batteries rose by about 21.39% to approximately HKD 219.71 million, driven by increased demand in China, the Americas, and Europe[19]. - Revenue from button cell batteries increased by approximately 9.37% to about HKD 93.75 million, while revenue from rechargeable batteries and other related products grew by about 20.11% to approximately HKD 4.30 million, mainly due to demand in the European market[20]. - The gross profit for the year was approximately HKD 79.45 million, representing an increase of about 12.30% compared to HKD 70.75 million in the previous year[24]. - The gross margin decreased from approximately 26.18% to about 25.00%, a decline of about 1.18 percentage points, influenced by the depreciation of the RMB against the HKD and fluctuations in raw material prices[34][35]. - Sales expenses increased by approximately 24.52% to about HKD 21.28 million, primarily due to increased travel expenses[25]. - The company had cash and bank balances of approximately HKD 31.49 million as of December 31, 2024, an increase of about HKD 2.82 million from HKD 28.67 million the previous year[30]. - The company utilized bank financing of approximately HKD 206.49 million, representing about 92.75% of the available bank financing, a slight decrease from HKD 209.18 million the previous year[30]. - The net loss margin decreased by approximately 1.97 percentage points to about (2.07)% from (4.04)% in the previous year, primarily due to increased revenue and rental income from investment properties[36]. - The debt-to-equity ratio increased from 0.79 to 0.80 compared to the previous year[37]. - As of December 31, 2024, the total equity of the group was approximately HKD 286.85 million, down from approximately HKD 294.84 million in 2023[39]. Operational Strategy - The company plans to enhance its focus on developing batteries for healthcare and medical facilities to sustain traditional battery business growth and potential expansion[10]. - The group aims to simplify its operational structure in China to maintain competitiveness and control sales costs through subsidiary restructuring[14]. - The company expects a positive outlook for revenue from the healthcare and medical facilities market due to increasing customer inquiries[14]. - The group will continue to invest in production facilities and automation to improve cost efficiency and productivity[11]. - The company anticipates steady growth in demand for disposable batteries as market demand increases overall[14]. - The board will explore other energy business opportunities and potential investment avenues to diversify revenue sources[15]. - The company plans to continue investing in production facilities and upgrading production lines to improve capacity and efficiency by 2025[57]. - New automated production lines for disposable button batteries are set to commence commercial production in 2024, aimed at enhancing capacity and efficiency[57]. Environmental, Social, and Governance (ESG) Commitment - The group is committed to reducing carbon emissions, water, and energy consumption as part of its environmental, social, and governance (ESG) responsibilities[10]. - The company has established several service contracts with professional waste disposal service companies to ensure compliance with environmental regulations in China[50]. - The company emphasizes its commitment to sustainable practices, producing eco-friendly products without harmful substances like mercury, cadmium, and lead[144]. - The group has invested in upgrading machinery to improve energy efficiency as part of its low-carbon economy strategy[144]. - The company adheres to local laws and regulations regarding environmental protection, labor practices, and anti-corruption measures[145]. - The company is committed to enhancing its sustainability strategy and actively engages with diverse stakeholders to gather insights on key ESG issues[149]. - The board of directors oversees ESG risks and evaluates the company's sustainability goals and initiatives annually, focusing particularly on climate change and decarbonization[154]. - The company recognizes its responsibility to lead industry and societal change by launching innovative products for a greener and more sustainable future[151]. - The company is focused on integrating sustainability into its operations and is committed to providing reliable eco-friendly products[150]. Corporate Governance - The company has adopted corporate governance codes and believes it has complied with all applicable provisions during the year[54]. - The company has implemented a standard code for securities trading by directors, confirming compliance by all directors during the year[76]. - The board's composition reflects a necessary balance of skills and experience for effective leadership and independent decision-making[77]. - The company has a commitment to equal employment opportunities and prohibits discrimination of any kind[83]. - The chairman and CEO roles are held by different individuals, ensuring a clear separation of responsibilities[84]. - The board consists of three independent non-executive directors, meeting the requirement of at least one-third independence[85]. - The board held four meetings during the year, with full attendance from all directors[89]. - The company secretary attended all board meetings to report on corporate governance and compliance matters[89]. - The board has reviewed the implementation of independence mechanisms and found it satisfactory[98]. - The company has adopted a nomination policy outlining the methods and procedures for nominating and selecting directors, including the appointment of additional directors and the re-election of existing directors[109]. Employee and Management Information - Employee costs for the year amounted to approximately HKD 42.49 million, an increase of about 0.53% from HKD 42.27 million in the previous year[49]. - The total number of employees as of December 31, 2024, was 409, down from 421 in 2023[49]. - The company has a strong management team with over 29 years of experience in the battery industry, led by Mr. Liang Tao, the general manager of Jiangmen King Power[68]. - The company has a diverse team with expertise in human resources management, finance, and corporate advisory services[67]. - The company emphasizes compliance and corporate governance, with board members receiving training on legal obligations[66]. - The company has appointed a general manager to oversee compliance with environmental regulations and internal guidelines[50]. Shareholder Engagement - The company is committed to maintaining open and effective communication with shareholders, particularly through annual general meetings[128]. - The annual general meeting serves as a primary communication platform between the company and its shareholders[136]. - The company provides a platform for shareholders to communicate with the board and management, ensuring transparency and engagement[139]. - The company encourages shareholders to actively check its website for company communications and updates[137]. Sustainability Goals and Performance - The company aims to reduce energy density by 10% by 2030 compared to the 2018 baseline[178]. - Water consumption density is targeted to decrease by 25% by 2030 relative to the 2018 baseline[183]. - The group aims to reduce overall waste generation by 20% from 2023 to 2030, shifting focus from waste recycling to waste reduction management[189]. - The total nitrogen oxides emissions decreased to 161.38 kg in 2024 from 194.46 kg in 2023, reflecting a reduction of approximately 17%[177]. - Sulfur oxides emissions reduced to 0.32 kg in 2024 from 0.40 kg in 2023, a decrease of 20%[177]. - Particulate matter emissions fell to 15.81 kg in 2024 from 17.97 kg in 2023, representing a decline of about 12%[177]. - Total energy consumption increased by 1.53% in 2024 compared to 2023, driven by a 2.4% rise in electricity consumption[179]. - Greenhouse gas emissions rose by 3.79% in 2024 compared to 2023, primarily due to increased operational activities and energy demand[181].

Financial Performance - The group recorded revenue of approximately HKD 317.76 million for the year ended December 31, 2024, representing an increase of about 17.57% compared to HKD 270.28 million in 2023[3]. - The loss attributable to shareholders for the year was approximately HKD 6.37 million, a decrease from HKD 10.92 million in the previous year, primarily due to an increase in revenue and rental income from investment properties[3]. - The basic loss per share for the year was (1.18) HKD cents, improved from (2.26) HKD cents in 2023[6]. - Total comprehensive loss for the year amounted to HKD 8.48 million, compared to HKD 11.13 million in the previous year[6]. - The group's net asset value was HKD 286.85 million, down from HKD 294.84 million in 2023[9]. - The company reported a pre-tax loss of HKD 5,685,000 for 2024, an improvement from a loss of HKD 8,311,000 in 2023[29]. - The company's loss before tax for the year 2024 was HKD 5,685,000, an improvement from a loss of HKD 8,311,000 in 2023, representing a reduction of approximately 31%[40]. - The income tax expense for 2024 was HKD 877,000, significantly lower than HKD 2,608,000 in 2023, indicating a decrease of about 66%[40]. - Basic loss per share for 2024 was HKD 11.80, compared to HKD 22.63 in 2023, reflecting a reduction of approximately 48%[41]. Revenue and Sales - Revenue from sales of battery products for the year 2024 amounted to HKD 317,760,000, an increase of 17.5% compared to HKD 270,279,000 in 2023[22]. - The total revenue from external customers for the year ended December 31, 2024, was HKD 317,760,000, an increase of 17.5% from HKD 270,279,000 in 2023[27]. - Revenue from disposable batteries was HKD 313,460,000 in 2024, up from HKD 266,703,000 in 2023, reflecting a growth of 17.5%[22]. - Revenue from alkaline cylindrical batteries increased to HKD 180,523,000 in 2024, a rise of 24.3% compared to HKD 145,178,000 in 2023[27]. - Revenue from rechargeable batteries and related products was HKD 4,300,000 in 2024, compared to HKD 3,576,000 in 2023, reflecting a growth of 20.2%[27]. - Revenue from micro button batteries rose by about 9.37% to approximately HKD 93.75 million, compared to approximately HKD 85.72 million last year[66]. - Revenue from cylindrical batteries increased by approximately 21.39%, rising from about HKD 180.99 million to approximately HKD 219.71 million, driven by increased demand in China, the Americas, and Europe[65]. - Revenue from the Chinese market surged to HKD 98,182,000 in 2024, a significant increase of 44.1% from HKD 68,175,000 in 2023[34]. Assets and Liabilities - Non-current assets totaled HKD 490.80 million as of December 31, 2024, compared to HKD 481.19 million in 2023[8]. - Current assets increased to HKD 165.26 million from HKD 151.36 million in the previous year[8]. - Trade receivables increased to HKD 43,175,000 in 2024 from HKD 36,102,000 in 2023, marking an increase of about 19%[45]. - Inventory levels rose slightly to HKD 51,764,000 in 2024 from HKD 49,962,000 in 2023, an increase of approximately 4%[44]. - The company reported a total of HKD 202,357,000 in bank and other borrowings for 2024, a slight decrease from HKD 204,577,000 in 2023[52]. - The company has a total of HKD 129,994,000 in trade payables for 2024, an increase from HKD 96,219,000 in 2023, representing an increase of approximately 35%[50]. - The company has a total of HKD 52,231,000 in deposits, prepayments, and other receivables for 2024, up from HKD 43,182,000 in 2023, indicating an increase of about 21%[48]. Operational Strategy - The group continues to focus on manufacturing and selling various batteries for electronic devices in Hong Kong, China, and international markets[12]. - The company plans to enhance marketing efforts and collaborate with various clients for product development in the healthcare and medical facilities battery market, anticipating positive revenue prospects[61]. - The company aims to improve production efficiency and cost control through investments in production facilities and automation strategies[59]. - The company will continue to invest in production facilities and upgrade production lines to enhance capacity and efficiency by 2025[109]. - The company aims to develop new production lines focused on healthcare and medical facility-related battery products[109]. - The company will explore other energy business opportunities and potential investment opportunities to diversify revenue sources and create long-term sustainable value for shareholders[63]. Financial Management - The board has resolved not to declare any dividend for the year, consistent with the previous year[3]. - The company did not declare or pay any dividends for the years ending 2024 and 2023[42]. - The company incurred financing costs of HKD 12,023,000 in 2024, slightly down from HKD 12,956,000 in 2023[36]. - The debt-to-equity ratio increased to 0.80 from 0.79 in the previous year[86]. - The company capitalized interest expenses at rates of 5.54% and 5.60% for the years ended 2024 and 2023, respectively[36]. Investment and Growth - The group is exploring investment opportunities to benefit its operations, with a focus on expanding its fixed asset base despite a slowdown in the Hong Kong property market[94]. - The group has committed capital expenditures of approximately HKD 5.85 million for a new automated production line and auxiliary machinery for the production of disposable button batteries used in hearing aids[90]. - The group is actively negotiating with banks to ensure the renewal of loans maturing before December 31, 2025, to maintain sufficient funds for operational and financial requirements[19]. - The group has obtained a new revolving loan financing of approximately HKD 47,754,000, which will mature on December 31, 2034[19]. Compliance and Governance - The audit committee reviewed the audited consolidated financial statements, confirming compliance with applicable accounting standards and listing rules[111]. - The group has complied with all relevant laws and regulations in Hong Kong and China during the year[104]. - The company emphasizes environmental, social, and governance (ESG) aspects in its production processes to achieve higher levels of sustainability[109]. Employee and Management - The employee cost for the year is approximately HKD 42.49 million, reflecting an increase of about 0.53% compared to HKD 42.27 million in the previous year[100]. - The total remuneration for directors during the year is approximately HKD 14.39 million, up from HKD 10.61 million in the previous year[100]. - The group has 409 employees as of December 31, 2024, down from 421 employees in the previous year[100]. - The company expresses gratitude to its management, employees, shareholders, and business associates for their support during the year[119].

Financial Performance - For the six months ended June 30, 2024, the group recorded unaudited revenue of approximately HKD 157.55 million, representing a growth of about 27.24% compared to HKD 123.82 million for the same period in 2023[5]. - The loss attributable to equity holders for the six months ended June 30, 2024, was approximately HKD 2.87 million, a significant improvement from a loss of HKD 10.28 million for the same period in 2023[5]. - Gross profit increased to HKD 38.86 million, with a gross profit margin rising to approximately 24.67%, up 0.63 percentage points from 24.04% in the previous year, primarily due to lower production costs[5]. - Basic loss per share for the six months ended June 30, 2024, was (0.53) HKD cents, compared to (2.41) HKD cents for the same period in 2023[6]. - Total revenue for the six months ended June 30, 2024, was HKD 157,548,000, representing a 27.2% increase from HKD 123,822,000 in the same period of 2023[18]. - The loss attributable to equity holders for the six months ended June 30, 2024, was HKD 2,865,000, compared to a loss of HKD 10,275,000 in the same period of 2023[23]. - The company reported a gross profit of HKD 38,861,000 for the six months ended June 30, 2024, up from HKD 29,761,000 in the previous year, indicating a significant improvement in operational efficiency[18]. - The increase in gross profit was attributed to improved production efficiency from higher automation levels and a decrease in material costs due to the depreciation of the Renminbi[32]. Cash Flow and Assets - Cash generated from operating activities for the six months ended June 30, 2024, was HKD 21.76 million, a turnaround from cash used of HKD 7.03 million in the same period of 2023[10]. - Total assets less current liabilities as of June 30, 2024, amounted to HKD 322.00 million, slightly down from HKD 324.21 million as of December 31, 2023[9]. - The group's net asset value as of June 30, 2024, was HKD 290.74 million, compared to HKD 294.84 million as of December 31, 2023[9]. - The group reported a net cash and cash equivalents balance of HKD 23.37 million as of June 30, 2024, down from HKD 37.36 million at the end of the previous year[10]. - As of June 30, 2024, the company's net current liabilities were HKD 153.17 million[14]. - The company's total bank and other borrowings as of June 30, 2024, amounted to approximately HKD 191.50 million, a decrease from HKD 204.58 million as of December 31, 2023[38]. - The debt ratio as of June 30, 2024, was approximately 0.54, slightly up from 0.53 as of December 31, 2023[39]. - The total equity of the company was approximately HKD 290.74 million as of June 30, 2024, down from HKD 294.84 million as of December 31, 2023[40]. - The asset-liability ratio was approximately 0.76 as of June 30, 2024, compared to 0.79 as of December 31, 2023[41]. Market and Sales Performance - The increase in sales was attributed to a rebound in demand, supported by higher automation levels in new production lines and a decrease in material costs[5]. - Revenue from the Chinese market reached HKD 44,471,000, a 30.3% increase from HKD 34,183,000 in the previous year[19]. - Sales revenue from cylindrical batteries increased by approximately HKD 26.71 million, or about 33.73%, driven by higher sales in China, Hong Kong, Europe, and the Americas[31]. - Sales revenue from button cells and rechargeable batteries increased by approximately HKD 7.02 million, or about 15.72%, primarily due to increased sales in Hong Kong and the Americas[31]. Corporate Governance and Compliance - The company has adopted the corporate governance code and is committed to high standards of governance and transparency[62]. - The audit committee consists of three independent non-executive directors, ensuring compliance with the listing rules[65]. - The audit committee members possess appropriate knowledge and financial experience to fulfill their responsibilities[66]. - The audit committee's composition complies with the listing rules, specifically Article 3.21[66]. - The committee's main responsibilities include ensuring adequate and effective accounting and financial controls[66]. - The financial results have not yet been audited by the company's auditors but have been reviewed by the audit committee[66]. - The audit committee believes that the financial results are prepared in accordance with applicable accounting standards and legal requirements[66]. - Sufficient disclosures have been made regarding the financial performance[66]. Employee and Operational Metrics - The total employee cost for the group was approximately HKD 20.87 million, down from HKD 22.35 million for the six months ended June 30, 2023[48]. - The group had a total of 407 employees as of June 30, 2024, a decrease from 438 employees as of June 30, 2023[48]. - The company acquired property, plant, and equipment worth approximately HKD 6.58 million during the first half of 2024, compared to HKD 1.60 million in the same period of 2023, aimed at expanding capacity and improving production efficiency[25]. - The company's selling expenses increased by 26.81% to approximately HKD 9.56 million, consistent with revenue growth, mainly due to increased travel and other expenses[36]. Shareholding and Ownership - As of June 30, 2024, the chairman and CEO, Zhu Jingdian, holds 273,100,000 shares, representing 50.57% of the total shares[52]. - Executive Director and CEO, Zhu Shuqing, holds 32,000,000 shares, which is 5.93% of the total shares[52]. - Zhu Shuqing also has beneficial ownership of an additional 4,500,000 shares, accounting for 0.83%[52]. - Golden Villa Ltd., wholly owned by Zhu Jingdian, holds 273,100,000 shares, equivalent to 50.57%[57]. - Triumph Treasure Holdings Limited, wholly owned by Zhu Shuqing, holds 32,000,000 shares, which is 5.93%[57]. Other Relevant Information - The company did not declare an interim dividend for the six months ended June 30, 2024, consistent with the previous year[5]. - The company has not identified any significant uncertainties that would impact its ability to continue as a going concern[14]. - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[59]. - No significant events occurred after the reporting period up to the date of this report[58]. - The report is dated August 16, 2024, indicating a mid-year review for the fiscal year 2024[66].

Financial Performance - Revenue for the fiscal year ended December 31, 2023, decreased by approximately 18.16% to about HKD 270.28 million from approximately HKD 330.25 million in the previous year[11]. - The loss attributable to shareholders for the year was approximately HKD 10.92 million, compared to a loss of approximately HKD 22.79 million in the previous year, with a loss per share of HKD (2.26) compared to HKD (6.28) in the previous year[11]. - The company's revenue for the year was approximately HKD 270.28 million, a decrease of about 18.16% from the previous year's revenue of approximately HKD 330.25 million[24]. - Revenue from cylindrical batteries decreased by approximately HKD 44.58 million to about HKD 180.99 million, representing a decline of about 19.76%[22]. - Revenue from micro button batteries decreased by approximately HKD 13.75 million to about HKD 85.72 million, a decline of about 13.82%[23]. - The gross profit for the year was approximately HKD 70.75 million, slightly down by about 1.10% from HKD 71.54 million in the previous year[28]. - The company's financing costs increased by approximately 50.00% to about HKD 7.74 million, compared to HKD 5.16 million in the previous year[30]. - Cash and bank balances as of December 31, 2023, were approximately HKD 28.67 million, an increase of about HKD 7.16 million from HKD 21.51 million on December 31, 2022[33]. - The sales expenses decreased by approximately 8.12% to about HKD 17.09 million from HKD 18.60 million in the previous year[29]. - The gross margin increased from approximately 21.66% in the previous year to about 26.18% in the current year, an increase of approximately 4.52 percentage points due to effective cost control measures, reduced labor costs, increased production automation, and depreciation of the RMB leading to lower raw material and packaging costs[41]. - Net loss decreased by approximately 2.86 percentage points to about (4.04)% from (6.90)% in the previous year, primarily due to reduced foreign exchange losses and increased rental income from investment properties[43]. - The debt-to-equity ratio decreased by 0.07 times to 0.79 from 0.86 in the previous year, mainly due to an increase in total equity from a rights issue[44]. - As of December 31, 2023, the total equity of the group was approximately HKD 294.84 million, compared to approximately HKD 287.37 million in the previous year[46]. Operational Developments - The company experienced pressure on gross margins due to foreign exchange fluctuations, high interest rates, and commodity price volatility, but effective cost control and increased production automation improved gross margins compared to the previous year[12]. - A new automated production line for cylindrical batteries was commercialized at the end of 2023, aimed at improving production efficiency and product quality[17]. - The company plans to continue investing in production facilities and upgrading production lines to enhance capacity and efficiency in 2024[67]. - The company has established a list of approved suppliers and subcontractors to maintain product quality and flexibility in sourcing raw materials[66]. - The company is focused on quality control and production management at its Jiangmen facility, which is crucial for maintaining product standards[85]. Strategic Initiatives - The company plans to enhance marketing efforts in China to capitalize on economic recovery opportunities, with a positive outlook for revenue in the Chinese market[16]. - The company will continue to streamline operations in China to maintain competitiveness and implement restructuring of subsidiaries for cost control[16]. - The board will explore other business opportunities and potential investment opportunities to diversify revenue sources and enhance long-term sustainable value for shareholders[17]. - The company aims to reduce carbon emissions and energy consumption as part of its commitment to environmental, social, and governance (ESG) initiatives[17]. - The company anticipates steady growth in demand for disposable batteries from OEM customers as overall market demand increases[16]. Governance and Management - The company has maintained good relationships with employees, customers, and suppliers, with many key customers retained for over five years[66]. - The company has established a strong governance framework with independent directors providing oversight and strategic guidance[80]. - The management team includes experienced professionals with backgrounds in finance, marketing, and human resources, contributing to strategic decision-making[88][89]. - The board consists of seven directors, including four executive directors and three independent non-executive directors, ensuring a diverse governance structure[103]. - The independent non-executive directors account for at least one-third of the board, complying with regulatory requirements to protect shareholder interests[104]. - The company has adopted corporate governance principles to enhance accountability to shareholders[92]. - The board has complied with all applicable corporate governance code provisions during the year[93]. - The company has established a compliance framework to ensure adherence to legal and regulatory requirements[90]. Environmental, Social, and Governance (ESG) Commitments - The company aims to enhance its environmental, social, and governance (ESG) measures to reduce carbon emissions and energy consumption[67]. - The company emphasizes environmental sustainability, offering eco-friendly products that do not contain harmful substances like mercury, cadmium, and lead[172]. - The company is focused on transitioning to a low-carbon economy through various sustainability initiatives[172]. - The ESG report covers the period from January 1, 2023, to December 31, 2023, highlighting the company's environmental, social, and governance performance[176]. - The company actively engages with stakeholders through various communication channels to gather feedback and improve its ESG performance[181]. - The group has invested in new machinery to produce packaging using recycled materials, responding to EU regulations requiring the elimination of lead in primary batteries by February 2024[199]. - The group has received the Nordic Swan certification, recognizing its commitment to environmental management and low-carbon production practices[199]. Shareholder Engagement - The company has adopted a shareholder communication policy to enhance engagement with shareholders during annual general meetings[163]. - The company encourages shareholders to provide updated contact information for effective communication[169]. - The website serves as a communication platform for shareholders, providing access to corporate information and governance details[169]. - The company encourages ongoing dialogue with shareholders, particularly through annual general meetings[154]. - The next annual general meeting is scheduled for May 23, 2024, indicating ongoing shareholder engagement[108].

Financial Performance - The group recorded revenue of approximately HKD 270.28 million for the year ended December 31, 2023, a decrease of about 18.16% compared to HKD 330.25 million in 2022[3]. - The loss attributable to shareholders for the year was approximately HKD 10.92 million, down from HKD 22.79 million in 2022, primarily due to a revenue decrease of approximately HKD 59.97 million[3]. - Basic loss per share for the year was HKD (2.26), compared to HKD (6.28) in the previous year[4]. - Revenue from disposable batteries decreased from HKD 325,043,000 in 2022 to HKD 266,703,000 in 2023, representing a decline of approximately 17.9%[25]. - Revenue from rechargeable batteries and other related products decreased from HKD 5,204,000 in 2022 to HKD 3,576,000 in 2023, a decline of approximately 31.2%[29]. - The company reported a pre-tax loss of HKD 8,311,000 for 2023, compared to a loss of HKD 27,715,000 in 2022, indicating an improvement in financial performance[33]. - Revenue from the China market decreased from HKD 85,940,000 in 2022 to HKD 68,175,000 in 2023, a decline of approximately 20.6%[37]. - The company reported a loss per share of HKD (2.26), an improvement from HKD (6.28) per share in the previous year[61]. - The company’s revenue decreased by approximately 18.16% from about HKD 330.25 million to about HKD 270.28 million in the current year[61]. - The company recorded a loss attributable to shareholders of approximately HKD 10.92 million, an improvement from a loss of HKD 22.79 million in the previous year[79]. - Gross profit for the year was approximately HKD 70.75 million, a slight decrease of about 1.10% compared to HKD 71.54 million in the previous year[75]. Assets and Liabilities - Total assets less current liabilities amounted to HKD 324.21 million, an increase from HKD 319.35 million in 2022[8]. - The group's cash and bank balances increased to HKD 28.67 million from HKD 21.51 million in the previous year[7]. - The group's net asset value rose to HKD 294.84 million from HKD 287.37 million in 2022[8]. - The group reported a decrease in trade receivables to HKD 37.52 million from HKD 47.97 million in the previous year[7]. - Trade payables increased from HKD 84.58 million in 2022 to HKD 96.22 million in 2023, reflecting a rise of approximately 13.8%[52]. - The total bank borrowings decreased from HKD 213.94 million in 2022 to HKD 204.58 million in 2023, a reduction of about 4.5%[56]. - As of December 31, 2023, the group has approximately HKD 26,829,000 in undrawn bank financing[23]. - The group successfully renewed bank loans totaling approximately HKD 52,066,000 that were due on or before the reporting date[23]. - The group has no significant contingent liabilities as of December 31, 2023, compared to none in 2022[93]. Financial Management and Strategy - The group has assessed the accounting policy change regarding the offset mechanism for long service payments, which will officially take effect on May 1, 2025, and determined that it does not have a significant impact on the group[15][19]. - The group has evaluated its ability to continue as a going concern and believes it can meet its financial obligations based on projected cash flows without significant uncertainties[22]. - The board has prepared the consolidated financial statements on a going concern basis, considering the group's future cash flow estimates[22]. - The group plans to actively negotiate with banks to ensure the renewal of loans due before December 31, 2024, to maintain sufficient working capital[23]. - The group will periodically review its investment property portfolio and may adjust its investment strategy to strengthen cash flow as necessary[23]. - The company plans to continue investing in production facilities and upgrading production lines in 2024 to enhance capacity and efficiency[116]. - The company raised approximately HKD 19.80 million through a rights issue, with net proceeds of about HKD 18.60 million after expenses, aimed at repaying bank loans and general working capital[117]. Cost Management - The group experienced a reduction in financing costs to HKD 7.74 million from HKD 5.16 million in the previous year[4]. - Total interest expenses increased to HKD 12,956,000 in 2023 from HKD 8,892,000 in 2022, reflecting a rise of about 46%[1]. - Employee costs (excluding directors' remuneration) decreased to HKD 31,659,000 in 2023 from HKD 36,253,000 in 2022, a reduction of approximately 13%[1]. - Inventory write-downs decreased to HKD 1,962,000 in 2023 from HKD 2,385,000 in 2022, showing a reduction of approximately 18%[46]. - Employee costs, including director salaries, amounted to approximately HKD 42.27 million in 2023, down about 9.27% from HKD 46.59 million in 2022[106]. Sustainability and ESG Efforts - The company has implemented a paperless mechanism to maintain sustainable development and reduce costs[62]. - The company plans to continue reducing carbon emissions and energy consumption in its operations[62]. - The company is committed to reducing carbon emissions and energy consumption as part of its sustainability efforts[67]. - The company continues to focus on environmental, social, and governance (ESG) aspects to enhance sustainable development and reduce carbon emissions[116]. Corporate Governance - The audit committee reviewed the audited consolidated financial statements, confirming compliance with applicable accounting standards and listing rules[122]. - The annual general meeting is scheduled for May 23, 2024, to discuss various corporate matters[123]. - The company’s annual performance announcement is available on its website and the Hong Kong Stock Exchange website, with the annual report expected to be published by April 2024[128].

Financial Performance - For the six months ended June 30, 2023, the group recorded unaudited revenue of approximately HKD 123.82 million, a decrease of about 24.55% compared to HKD 164.10 million for the same period in 2022[4] - The loss attributable to equity holders for the six months ended June 30, 2023, was approximately HKD 10.28 million, compared to a loss of HKD 6.55 million for the same period in 2022[4] - Gross profit decreased to HKD 29.76 million, with a gross margin increase from approximately 22.22% in the prior period to about 24.04% in the current period due to lower production costs[4] - Basic loss per share for the six months ended June 30, 2023, was (2.41) HKD cents, compared to (1.80) HKD cents for the same period in 2022[10] - The company reported a loss before tax of HKD 12,009,000 for the first half of 2023, compared to a loss of HKD 7,674,000 in the same period of 2022, representing a 56.5% increase in losses[30] - The company reported a total loss of HKD 10,275,000 for the first half of 2023, compared to a loss of HKD 6,554,000 in the same period of 2022, marking a 56.5% increase in losses[37] - Gross profit for the period was approximately HKD 29.76 million, down about 18.40% from HKD 36.47 million in the previous year, with a gross margin increase from 22.22% to 24.04%[52] Cash Flow and Financing - Cash and cash equivalents increased to HKD 37.36 million as of June 30, 2023, compared to HKD 21.51 million at the beginning of the period[14] - Operating activities used net cash of HKD 7.03 million for the six months ended June 30, 2023, compared to a net cash inflow of HKD 1.65 million for the same period in 2022[14] - Financing activities generated net cash of HKD 22.22 million for the six months ended June 30, 2023, compared to a net cash outflow of HKD 13.59 million in the prior period[14] - The company has issued new shares amounting to HKD 18.598 million during the reporting period, increasing the share capital from HKD 3.6 million to HKD 5.4 million[16] - The company announced a rights issue on March 16, 2023, offering 180,000,000 shares at a subscription price of HKD 0.11 per share, raising approximately HKD 19.8 million before expenses[73] - The rights issue was oversubscribed by 10,951,495 shares, representing an oversubscription of about 6.1%[73] - After the completion of the rights issue on April 27, 2023, the total issued share capital increased to 540,000,000 shares, with the rights shares accounting for approximately 33.3% of the enlarged issued share capital[73] - The net proceeds from the rights issue, after deducting related expenses and underwriting commissions, amounted to approximately HKD 18.6 million[76] - Of the net proceeds, HKD 16.7 million is allocated for repaying bank loans, with HKD 3.0 million already utilized by June 30, 2023[76] - The remaining HKD 1.9 million of the net proceeds is designated for general working capital, fully utilized by June 30, 2023[76] Assets and Liabilities - Total assets less current liabilities amounted to HKD 330.10 million as of June 30, 2023, compared to HKD 319.35 million at the end of 2022[12] - The group’s net asset value increased to HKD 294.76 million as of June 30, 2023, from HKD 287.37 million at the end of 2022[12] - As of June 30, 2023, the total equity of the company is HKD 294.755 million, a decrease from HKD 306.261 million as of June 30, 2022, reflecting a decline of approximately 3.9%[16] - The net current liabilities of the company as of June 30, 2023, stand at HKD 134.92 million, with unutilized bank financing amounting to HKD 23.93 million[23] - The company’s retained earnings decreased from HKD 98.609 million as of June 30, 2022, to HKD 65.540 million as of June 30, 2023, a decline of approximately 33.5%[16] - The company’s total borrowings as of June 30, 2023, were approximately HKD 225.76 million, an increase from HKD 213.94 million as of December 31, 2022[57] - Trade payables as of June 30, 2023, totaled HKD 89.33 million, an increase from HKD 84.58 million as of December 31, 2022[12] Market and Operational Insights - The company is focusing on developing non-toxic batteries under its "Source. Nature" series, in response to global trends towards environmentally friendly products[19] - The company plans to expand into Asian markets including Japan, Vietnam, Malaysia, Singapore, and South Korea, while maintaining strict cost control measures[49] - The company experienced a decrease in sales due to the impact of the COVID-19 pandemic, ongoing military conflict, and import tariffs affecting customer purchasing power[49] - The company’s management will closely monitor developments and take appropriate actions in response to market conditions[49] - Revenue from the Chinese market decreased to HKD 34,183,000 in 2023 from HKD 51,069,000 in 2022, a decline of 33.1%[29] - Revenue from the Asia region (excluding China and Hong Kong) was HKD 23,844,000, down 25.5% from HKD 31,954,000 in the previous year[29] Governance and Compliance - The company has adopted the corporate governance code as per the listing rules, ensuring high standards of governance and transparency[91] - The audit committee, consisting of independent non-executive directors, is responsible for overseeing the financial reporting process and ensuring compliance with applicable accounting standards[95] - The audit committee reviewed the financial results, which were prepared in accordance with applicable accounting standards and legal requirements, although they have not yet been audited[95] - The company confirmed that all directors complied with the standards of conduct regarding securities transactions during the reporting period[90] - There were no significant contracts during the period where directors had a material interest that could impact the group's business[92] - The group did not have any significant contingent liabilities as of June 30, 2023, consistent with the previous year[62] Risks and Challenges - The group faced several risks, including potential impacts from inflation due to the Russia-Ukraine conflict and public health events affecting operations[69] - The group has not entered into any foreign currency hedging transactions during the period[72]