格隆汇8月15日丨维太创科(06133.HK)宣布，本公司将于2025年8月27日（星期三）举行董事会会议，藉 以（其中包括）批准本公司及其附属公司截至2025年6月30日止六个月的中期业绩的公布，以及考虑派 发中期股息（如有）。 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 維太創科控股有限公 司 香港，二零二五年八月十五日 於本公告日期，本公司執行董事為榮秀麗女士、榮勝利先生、殷緒全先生及王浩俊 先生；及本公司獨立非執行董事為韓小京先生、黃邦俊先生及梁文輝先生。 Vital Innovations Holdings Limited 維太創科控股有限公司（「本公司」）董事會（「董事會」）謹此宣佈，本公司將於二零 二五年八月二十七日（星期三）舉行董事會會議，藉以（其中包括）批准本公司及其 附屬公司截至二零二五年六月三十日止六個月之中期業績之公佈，以及考慮派發 中期股息（如有）。 承董事會命 維太創科控股有限公司 主席 榮秀麗 （於開曼群島註冊成立之有限公司） （股份代號：6133） 董事會會議召開日期 ...

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: 維太創科控股有限公司（於開曼群島註冊成立的有限公司） 呈交日期: 2025年8月1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) | 06133 | 說明 | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 1,000,000,000 | HKD | | 0.1 HKD | | 100,000,000 | | 增加 / 減少 (-) | | | 0 | | | HKD | | 0 | | 本月底結存 | | | 1,000,000,000 | HKD | | 0.1 HKD | | 100,000,000 | 本月 ...

Group 1 - The telecommunications equipment sector in Hong Kong has shown strength, with notable gains in several companies [1] - VITEC (06133.HK) increased by 5.88%, indicating strong market performance [1] - Hongteng Precision (06088.HK) rose nearly 4%, contributing to the overall positive trend in the sector [1] Group 2 - Other companies such as Huiju Technology (01729.HK), BYD Electronics (00285.HK), and ZTE Corporation (00763.HK) also experienced upward movement in their stock prices [1]

Financial Performance - For the fiscal year ending December 31, 2024, the total revenue was RMB 1,063,338,000, representing an increase of 27.3% compared to RMB 835,605,000 in 2023[4] - The gross profit for the same period was RMB 5,953,000, up from RMB 3,007,000 in 2023, indicating a significant improvement in profitability[4] - The net loss for the year was RMB 21,004,000, slightly higher than the loss of RMB 20,846,000 in the previous year, resulting in a basic and diluted loss per share of RMB 2.47[4] - Total revenue for 2024 reached RMB 1,063,338,000, an increase of 27.4% from RMB 834,407,000 in 2023[14] - The segment profit for mobile and smart devices improved to RMB 327,000 in 2024, compared to a loss of RMB 2,093,000 in 2023[14] - The company reported a pre-tax loss of RMB 21,004,000 in 2024, slightly higher than the loss of RMB 20,846,000 in 2023[14] - The company incurred a net loss of RMB 21,000,000 for 2024, compared to a loss of RMB 20,839,000 in 2023, resulting in a basic and diluted loss per share of RMB 0.025[28] - The operating loss slightly widened to RMB 21.0 million compared to RMB 20.8 million in 2023[43] Assets and Liabilities - Current assets decreased to RMB 611,739,000 from RMB 628,296,000 in 2023, while current liabilities increased to RMB 130,765,000 from RMB 125,613,000[5] - The total assets less current liabilities decreased to RMB 483,831,000 from RMB 503,249,000, indicating a decline in overall financial health[5] - Total assets decreased to RMB 614,596,000 in 2024 from RMB 628,862,000 in 2023, reflecting a decline of 2.4%[16] - Total liabilities increased to RMB 132,283,000 in 2024, up from RMB 125,613,000 in 2023, marking a rise of 5.3%[16] Receivables and Inventory - Inventory levels rose significantly to RMB 3,886,000 from RMB 1,211,000, indicating a potential buildup of stock[5] - Trade and other receivables surged to RMB 161,290,000 from RMB 2,919,000, reflecting a substantial increase in credit sales[5] - Trade receivables surged to RMB 149,796,000 in 2024, a significant increase from RMB 11,000 in 2023[30] - Trade and other receivables increased significantly by approximately RMB 158.4 million to about RMB 1,613 million, mainly due to strategic credit extended to five customers[53] - Inventory turnover period extended to 68 days, an increase of 12 days year-on-year[44] Business Operations - The company is primarily engaged in trading mobile and smart devices, as well as AI and other equipment, with a focus on expanding its market presence in China and Hong Kong[6] - The company entered a new trade business involving LED products, with a procurement agreement worth RMB 195,883,000[40] - Revenue from mobile and smart devices rose significantly, primarily due to enhanced sales of top-tier smartphones in the Chinese market[50] - The smartphone shipment volume grew by 6.4% year-on-year to 1.24 billion units globally[42] Corporate Governance and Compliance - The company has adopted new international financial reporting standards, which did not have a significant impact on the financial statements for the current or prior years[8] - The company has complied with the corporate governance code during the review year[68] - The audit committee, consisting of three independent non-executive directors, has reviewed the company's performance for the year ending December 31, 2024[74] - The company has not engaged in any major litigation or arbitration during the year ending December 31, 2024[71] - The company has maintained sufficient public float as required by the listing rules as of the announcement date[72] Future Outlook and Strategy - The company plans to enter the LED product market after the fiscal year ending March 2025 to diversify revenue sources and manage risks[49] - The company aims to balance strategic patience with tactical flexibility to enhance resilience amid macroeconomic uncertainties[45] - The global economic growth forecast for 2025 is estimated at 3.2%, with potential challenges from geopolitical risks and inflation pressures in emerging markets[47] - The company emphasizes innovation and collaboration in artificial intelligence to navigate uncertainties and capitalize on emerging trends[49] Employee and Dividend Information - The company has approximately 24 employees as of December 31, 2024, offering competitive compensation and attractive discretionary bonuses for outstanding performance[65] - The company did not declare any dividends for the years ended December 31, 2024, and 2023[29] - The board does not recommend any dividend payment for the year ending December 31, 2024, consistent with 2023[64] Other Financial Information - The company reported no income tax expenses for both years, maintaining a consistent tax position[4] - The company has no significant acquisitions or capital asset plans as of the announcement date[60] - There are no major acquisitions or disposals of subsidiaries, associates, or joint ventures for the year ending December 31, 2024[61] - The company has no major contingent liabilities or commitments as of the end of 2024[63] - There are no pledged assets as of December 31, 2024[66] - The company's cash and bank balances decreased from approximately RMB 24.3 million to about RMB 8.2 million as of December 31, 2024[58] - The current ratio was 4.7 as of December 31, 2024, down from 5.0 the previous year, indicating a slight decrease in liquidity[58]

Business Overview - Vital Innovations Holdings Limited's main business involves providing products and services related to mobile phones, smartphones, and artificial intelligence (AI), leveraging extensive telecommunications technology knowledge and a vast network of service partners[4]. Market Trends - According to IDC, global smartphone shipments in Q1 2024 increased by 7.8% year-on-year, reaching 289.4 million units, indicating a recovery trend in the industry[6]. - Counterpoint Research reported an 8% year-on-year growth in global smartphone shipments for Q2 2024, driven by improved consumer confidence and economic conditions[7]. - IDC forecasts that global smartphone shipments will reach 1.2 billion units in 2024, a 2.8% increase from 1.16 billion units in 2023, with a compound annual growth rate of 2.3% projected until 2028[8]. - The Caribbean and Latin America are identified as the fastest-growing markets for smartphone shipments, with significant contributions from Chinese OEMs[7]. - The smartphone market is expected to benefit from new AI features, potential new form factors, and affordable 5G models, which could accelerate shipments beyond pre-pandemic levels[8]. - The global economic environment remains uncertain, with geopolitical tensions and inflation affecting market dynamics[5]. Company Strategy - The company plans to adopt conservative strategies to mitigate adverse impacts from global demand weakness and intense competition in the smartphone market[7]. - The company aims to maintain customer relationships by sacrificing profits while strictly controlling operating expenses during challenging market conditions[7]. - The company continues to focus on research and development, supply chain management, and logistics to enhance its service offerings[4]. Financial Performance - The company's revenue increased by approximately RMB 143.5 million or 40.8% to RMB 495.3 million for the six months ended June 30, 2024, compared to RMB 351.8 million for the same period in 2023[12]. - Revenue from mobile and smart devices rose to RMB 495.3 million, with significant sales growth in Central Asia and the Middle East markets[12]. - The gross profit for the period was RMB 2.1 million, with a gross margin of 0.42%, compared to a gross profit of RMB 1.3 million and a gross margin of 0.38% in the same period last year[13]. - The company maintains an optimistic outlook for the second half of 2024, focusing on optimizing the product mix and expanding into Central Asia, the Middle East, Russia, and Eastern Europe[12]. - The company reported a loss before tax of RMB 9,321 thousand for the six months ended June 30, 2024, compared to a loss of RMB 8,841 thousand in the prior year[47]. - Basic and diluted loss per share for the period was RMB (1.10), compared to RMB (1.04) for the same period in 2023[47]. - The group reported a pre-tax loss of RMB (9,321) thousand for the six months ended June 30, 2024, compared to a pre-tax loss of RMB (8,841) thousand in the same period of 2023[59]. Assets and Liabilities - Total assets as of June 30, 2024, were RMB 624,356 thousand, slightly down from RMB 628,296 thousand as of December 31, 2023[48]. - Net current assets were RMB 493,262 thousand, a decrease from RMB 502,683 thousand at the end of 2023[48]. - The total inventory increased from RMB 1.2 million on December 31, 2023, to RMB 21.9 million on June 30, 2024[19]. - The company's cash and bank balances decreased from RMB 24.3 million on December 31, 2023, to RMB 12.5 million on June 30, 2024[16]. - Contract liabilities increased from RMB 19.36 million on December 31, 2023, to RMB 30.12 million on June 30, 2024, due to increased customer prepayments for mobile and smart devices[22]. Employee and Corporate Governance - The group employed 26 employees as of June 30, 2024, a decrease from 27 employees as of June 30, 2023[33]. - The company has complied with all corporate governance code provisions during the reporting period[37]. - There were no changes in the information of directors or senior management that require disclosure under the listing rules during the reporting period[39]. Dividends and Share Capital - The board of directors recommended not to declare an interim dividend for the period[24]. - As of June 30, 2024, the company has a total issued share capital of 850,000,000 shares[26]. - Director Rong Xiu Li holds a personal interest of 87,856,000 shares, representing approximately 10.34% of the company's issued share capital[26]. - Winmate Limited, the parent company, holds 480,624,000 shares, accounting for 56.54% of the company's issued share capital[31]. Cash Flow and Financing Activities - The net cash used in operating activities for the six months ended June 30, 2024, was RMB (4,950) thousand, a significant improvement from RMB (35,437) thousand in the same period of 2023[51]. - The net cash used in financing activities was RMB (6,918) thousand, a decrease from RMB 16,211 thousand in the same period of 2023, reflecting improved cash flow management[51]. - The total cash and cash equivalents as of June 30, 2024, were RMB 12,470 thousand, down from RMB 19,109 thousand at the end of June 2023[51]. - Interest paid during the financing activities increased to RMB (638) thousand from RMB (482) thousand in the previous year, indicating higher financing costs[51]. Investments and Future Growth - The company has identified renewable energy and artificial intelligence as key growth areas for future investment[12]. - The company did not engage in any major investments, acquisitions, or disposals during the reporting period[42]. - The company has a stock option plan with 85,000,000 shares available for grant as of January 1, 2024, and June 30, 2024[34]. - The restricted share unit plan has no shares available for grant as all shares have been fully vested[35]. Related Party Transactions - The company incurred related party transaction expenses of RMB 35,000 for rental payments to Tianlang, a related party, compared to RMB 94,000 for the same period in 2023[90]. - The company reported interest expenses of RMB 227,000 to related party Mr. Ni for the six months ended June 30, 2024, with no such expenses reported for the same period in 2023[90].

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 495,278 thousand, an increase from RMB 351,773 thousand in the same period of 2023, representing a growth of 40.7%[2] - Gross profit for the same period was RMB 2,060 thousand, compared to RMB 1,342 thousand in 2023, indicating a significant increase[2] - The net loss before tax for the six months ended June 30, 2024, was RMB 9,321 thousand, compared to RMB 8,841 thousand in the prior year, reflecting a deterioration in performance[2] - Basic and diluted loss per share for the period was RMB (1.10), compared to RMB (1.04) in the previous year, indicating a slight increase in loss per share[2] - The segment loss for the mobile and smart devices division was RMB (841,000) for 2024, compared to RMB (615,000) in 2023, indicating a worsening of performance[10] - The pre-tax loss for the six months ended June 30, 2024, was RMB (9,321,000), compared to RMB (8,841,000) in 2023, showing an increase in losses[10] - The company reported no revenue from AI and other equipment in 2024, while it was RMB 2,997,000 in 2023, indicating a complete drop in this segment[13] Assets and Liabilities - Total assets as of June 30, 2024, were RMB 624,356 thousand, a decrease from RMB 628,296 thousand as of December 31, 2023[3] - Current liabilities totaled RMB 131,094 thousand as of June 30, 2024, compared to RMB 125,613 thousand at the end of 2023, showing an increase in liabilities[3] - The company's equity attributable to owners was RMB 493,996 thousand as of June 30, 2024, down from RMB 503,249 thousand at the end of 2023[3] - The company reported a net cash position of RMB 12,470 thousand as of June 30, 2024, a decrease from RMB 24,349 thousand at the end of 2023[3] - The total trade and other receivables as of June 30, 2024, were RMB 2,486,000, down from RMB 2,919,000 as of December 31, 2023[19] - The group has contract liabilities related to sales of goods amounting to RMB 30,121,000 as of June 30, 2024, an increase from RMB 19,361,000 as of December 31, 2023[27] - The group’s total liabilities for bank loans decreased from RMB 24,372,000 as of December 31, 2023, to RMB 18,844,000 as of June 30, 2024[29] Cash Flow and Expenses - The cash and bank balance decreased from RMB 24.3 million as of December 31, 2023, to RMB 12.5 million as of June 30, 2024[54] - The total employee costs for the six months ended June 30, 2024, were RMB 5,521,000, slightly up from RMB 5,496,000 in 2023[15] - The group incurred related party rental expenses of RMB 35,000 for Tianlang for the six months ended June 30, 2024, down from RMB 94,000 for the same period in 2023[40] - Interest expenses paid to related party Mr. Ni amounted to RMB 227,000 for the six months ended June 30, 2024, with no such expenses recorded for the same period in 2023[40] Operational Highlights - The company is primarily engaged in trading mobile devices and AI-related equipment, indicating a focus on technology and innovation[4] - Mobile and smart devices revenue rose to RMB 495.3 million, primarily due to increased smartphone sales to Central Asia and the Middle East from Hong Kong customers[50] - The company expects global smartphone shipments to reach 1.2 billion units in 2024, a growth of 2.8% from 2023[48] - 5G device growth is projected to be nearly 16% in 2024, with market share increasing from 67.2% in 2024 to 74.4% in 2025[49] - The company plans to optimize its product mix and expand into Central Asia, the Middle East, Russia, and Eastern Europe[49] Governance and Compliance - The financial statements were prepared in accordance with International Financial Reporting Standards, ensuring compliance and transparency[5] - The company has adhered to all corporate governance codes during the period, emphasizing effective internal controls and accountability to shareholders[62] - There were no major litigations or arbitration proceedings during the period[65] - The company has no significant contingent liabilities as of June 30, 2024[53] Employee and Workforce - The group employed approximately 26 employees as of June 30, 2024, a slight decrease from 27 employees as of June 30, 2023[61] - The group’s short-term employee benefits for the six months ended June 30, 2024, were RMB 2,282,000, slightly up from RMB 2,266,000 for the same period in 2023[42] Future Outlook - Global smartphone shipments increased by 7.8% year-on-year in Q1 2024, reaching 289.4 million units, indicating a recovery trend in the market[46] - The group operates in a challenging global economic environment, with geopolitical tensions and inflation impacting demand for products and services[45] - The company has not made any significant investments, sales, or acquisitions during the period, nor are there future plans for major investments or capital asset acquisitions as of June 30, 2024[66] - No significant events occurred after June 30, 2024, up to the announcement date[68]

Financial Performance - Total sales revenue for Vital Innovations Holdings Limited in 2023 was approximately RMB 835.6 million, a decrease of 23.5% compared to 2022[11] - The company's revenue decreased by approximately RMB 256.6 million or 23.5% to about RMB 835.6 million for the year ended December 31, 2023, compared to RMB 1,092.2 million for the previous year[21] - Revenue from mobile and smart devices dropped to RMB 834.4 million in 2023 from RMB 1,092.2 million in 2022, primarily due to a lack of revenue from sales of top-tier smartphones in China[21] - The company reported a segment loss of approximately RMB 2.1 million for mobile and smart devices in 2023, compared to a profit of RMB 431,000 in 2022, attributed to poor market activity and intense price competition[26] - The company did not declare or recommend any dividends for the year ended December 31, 2023, consistent with 2022[41] - The company does not recommend the payment of a final dividend for the year ended December 31, 2023, consistent with the previous year[76] Market Trends - The global smartphone shipment volume in 2023 was 1.14 billion units, a decline of 4% from the previous year, with a recovery expected in 2024[12] - The smartphone market is projected to grow by 4% in 2024, reaching 1.17 billion units, with a compound annual growth rate of 2.6% from 2023 to 2027[12] - Emerging markets, particularly in the Middle East, Africa, and Latin America, are expected to drive growth in smartphone shipments in 2024[12] - The smartphone market is anticipated to see a rebound in 2024, with one-third of the devices expected to be purchased in the Asia-Pacific region[12] - The global smartphone market is projected to grow at a compound annual growth rate (CAGR) of 6.23% from 2023 to 2030, driven by the adoption of 5G networks in developing countries[14] - The smartphone market achieved a valuation of approximately USD 509.28 billion in 2023, reflecting the increasing disposable income and the necessity of smartphones for various online activities[14] Company Strategy - The company is focusing on innovation and efficiency to retain its customer base during challenging market conditions[11] - The management is implementing defensive strategies to control operating expenses while seeking new sales growth opportunities[11] - The company plans to leverage emerging opportunities in AI and technology innovation, with a focus on integrating advanced AI features into smartphones and exploring AI applications in supply chain management[18] - The company aims to expand its market presence by introducing more Chinese brand smartphones and AIoT devices in regions such as Russia, Africa, Central Asia, and the Middle East[18] - The company has invested $5 million in research and development for new technologies aimed at improving operational efficiency[69] Financial Position - As of December 31, 2023, the company's trade and other receivables amounted to approximately RMB 2,919,000, a decrease of about RMB 98,000 compared to the same period in 2022[28] - As of December 31, 2023, the company's prepayments and deposits were approximately RMB 596,246,000, an increase of RMB 29,751,000 compared to 2022, reflecting higher payments to suppliers for mobile and smart devices[29] - The company's bank loans increased from RMB 7,166,000 as of December 31, 2022, to RMB 24,372,000 as of December 31, 2023, an increase of RMB 17,206,000 due to financing for mobile and smart devices[31] - The company's cash and bank balances decreased from approximately RMB 37,583,000 to approximately RMB 24,349,000, a reduction of about RMB 13,234,000 as of December 31, 2023[33] - The current ratio as of December 31, 2023, was 5.0, down from 6.5 as of December 31, 2022[33] - The company's asset-to-liability ratio as of December 31, 2023, was 4.84%, compared to 1.37% as of December 31, 2022[33] Corporate Governance - The company is committed to transparent and responsible financial management, focusing on investing in key growth areas to ensure sustainable growth and create shareholder value[20] - The board of directors has emphasized the importance of corporate governance and transparency in all business operations[73] - The company has adopted the corporate governance code as per the listing rules, ensuring transparency and sound governance practices[144] - The board consists of four executive directors and three independent non-executive directors, ensuring a balanced skill set for sustainable development[149] - The board's roles of the chairperson and CEO are clearly separated to enhance independence and accountability[150] Employee Relations - The company emphasizes the importance of maintaining strong relationships with employees, customers, and business partners for sustainable development[74] - The company is committed to providing competitive compensation and benefits to employees, along with training and development resources[74] - The company has established procedures to handle customer complaints promptly and effectively[74] - The company aims to actively respond to changing market demands through continuous interaction with customers[74] Risk Management - Financial risk management policies have been strengthened to mitigate potential market volatility, ensuring compliance with regulatory standards[70] - The audit committee is responsible for reviewing and monitoring the company's compliance with legal and regulatory requirements[192] Shareholder Information - As of December 31, 2023, the company's distributable reserves amount to approximately RMB 229.1 million[95] - The stock option plan allows for the issuance of up to 85,000,000 shares, representing 10% of the total shares issued as of the report date[82] - The stock option plan has a remaining validity of approximately 1 year, expiring on June 8, 2025[88] - The restricted share unit plan allows for a total of 32,300,000 shares to be issued, all of which have been granted and vested as of the report date[92] Compliance and Legal Matters - The company confirmed compliance with the non-competition agreement by all relevant parties for the year ended December 31, 2023[101] - There were no related party transactions that fell under the definitions of "connected transactions" or "continuing connected transactions" as per the Hong Kong Stock Exchange Listing Rules for the year ended December 31, 2023[97] - The company has arranged suitable directors' and officers' liability insurance for its directors and executives as of the year ended December 31, 2023[110]

Financial Performance - Total revenue for the year ended December 31, 2023, was RMB 835,605,000, a decrease of 23.5% compared to RMB 1,092,200,000 in 2022[4] - Gross profit for the same period was RMB 3,007,000, down 36.0% from RMB 4,701,000 in 2022[4] - The company reported a loss before tax of RMB 20,846,000, compared to a loss of RMB 17,557,000 in the previous year, representing an increase in loss of 18.0%[4] - Basic and diluted loss per share for 2023 was RMB 2.45, compared to RMB 2.06 in 2022, indicating a 19.0% increase in loss per share[4] - The total loss before tax for 2023 was RMB 20,846 thousand, compared to a loss of RMB 17,557 thousand in 2022[20] - The pre-tax loss for 2023 was RMB 20,839,000, compared to a loss of RMB 17,547,000 in 2022, indicating an increase in losses of approximately 13% year-over-year[39] - The company faced an operating loss of RMB 20.8 million in 2023, up from RMB 17.6 million in 2022, mainly due to poor domestic sales performance[60] Assets and Liabilities - Total current assets as of December 31, 2023, were RMB 628,296,000, slightly up from RMB 618,617,000 in 2022[6] - Total assets increased to RMB 628,862 thousand in 2023 from RMB 620,411 thousand in 2022, representing a growth of 1.8%[23] - Total liabilities rose to RMB 125,613 thousand in 2023, up from RMB 96,316 thousand in 2022, indicating a 30.5% increase[23] - The company’s cash and bank balances decreased to RMB 24,349,000 from RMB 37,583,000, a decline of 35.2%[6] - The company's bank loans increased from RMB 7.2 million on December 31, 2022, to RMB 24.4 million on December 31, 2023, due to increased financing for mobile and smart devices[78] - The current ratio of the company was 5.0 as of December 31, 2023, down from 6.5 as of December 31, 2022, indicating a decrease in liquidity[81] Revenue Segmentation - Revenue from the mobile and smart devices segment was RMB 834,407 thousand, down 23.6% from RMB 1,092,200 thousand in the previous year[20] - The AI and other equipment segment generated revenue of RMB 1,198 thousand, compared to no revenue in 2022[20] - Major customer A1 contributed RMB 167,179 thousand in 2023, down 71.1% from RMB 578,347 thousand in 2022[31] - The company reported a segment loss of RMB 3,033 thousand for the mobile and smart devices segment in 2023, compared to a profit of RMB 431 thousand in 2022[20] - Revenue from mobile and smart devices dropped to RMB 834.4 million in 2023 from RMB 1,092.2 million in 2022, primarily due to the lack of revenue from sales of top-tier smartphones in China[70] - The company's revenue from Hong Kong increased to RMB 832.6 million (99.6% of total revenue) in 2023, compared to RMB 726.8 million (66.5%) in 2022, while revenue from China fell to RMB 3.0 million (0.4%) from RMB 365.4 million (33.5%)[71] Inventory and Receivables - Inventory decreased significantly to RMB 1,211,000 from RMB 8,014,000, reflecting a reduction of 84.9%[6] - Trade receivables decreased to RMB 11,000 in 2023 from RMB 40,000 in 2022, representing a decline of 72.5%[41] - The total amount of trade and other receivables was RMB 2,919,000 in 2023, down from RMB 3,017,000 in 2022, a decrease of approximately 3.3%[41] Employee and Operational Costs - Total employee costs for 2023 were RMB 11,557,000, slightly down from RMB 11,582,000 in 2022, reflecting a marginal decrease of about 0.2%[35] - The company is adopting a defensive strategy by strictly controlling operating expenses while seeking new sales growth opportunities amid a challenging global economic environment[60] Corporate Governance and Compliance - The company has adopted new international financial reporting standards, which did not have a significant impact on the financial statements for the year[9] - The company has complied with the corporate governance code throughout the review year[92] - There were no major litigations or arbitrations during the year ending December 31, 2023[96] Market Trends and Future Outlook - Global smartphone shipments in 2023 totaled 1.14 billion units, a decrease of 4% from the previous year, with market saturation and intensified competition being the main causes[57] - The global smartphone market is expected to grow by 4% in 2024, reaching 1.17 billion units, with a compound annual growth rate (CAGR) of 2.6% projected from 2023 to 2027[61] - Emerging markets, particularly in the Middle East, Africa, and Latin America, are expected to drive growth in the smartphone sector, with growth rates of 9%, 3%, and 2% respectively in 2023[61] - The company expects a stronger economic growth in 2024, driven by government support and a focus on international and domestic trade[66] Strategic Initiatives - The company plans to leverage AI and technology innovations, focusing on integrating advanced AI features into smartphones and exploring AI applications in supply chain management[67] - The company aims to expand its market presence by introducing more Chinese brand smartphones and AIoT devices in regions such as Russia, Africa, Central Asia, and the Middle East[67]

Smartphone Market Trends - In Q1 2023, global smartphone shipments declined by 14.6% year-on-year to 268.6 million units, marking the seventh consecutive quarter of decline due to weak market demand and macroeconomic uncertainties [18]. - The company anticipates a further decline in overall smartphone shipments in 2023, with IDC forecasting a decrease of 3.2%, resulting in an expected total of 1.17 billion units shipped [23]. - A specific smartphone model, a futuristic foldable phone, continues to provide consumers with more choices, indicating potential recovery in shipments as component shortages ease [23]. Strategic Initiatives - The management team plans to enhance the strategic product portfolio and introduce more Chinese brand smartphones and related products to new customers as part of the ecosystem [23]. - The company will focus on market expansion in Central Asia, the Middle East, and Eastern Europe, collaborating with strategic partners to achieve this [23]. - Despite the challenging business environment, the company aims to leverage its resources and experience to seek opportunities in the technology sector [20]. - The management team is adopting a defensive strategy by sacrificing profit margins to attract customers and strictly controlling operating expenses [18]. - The management team will invest more resources in selling well-known premium smartphones to new customers in China in the second half of 2023 [23]. Financial Performance - The company's revenue decreased by approximately RMB 347.1 million or 49.7% to about RMB 351.8 million for the six months ended June 30, 2023, compared to RMB 698.9 million in the same period of 2022 [28]. - Revenue from mobile and smart devices dropped significantly to RMB 348.8 million, down from RMB 698.9 million, primarily due to the absence of sales of top-tier smartphones in China [28]. - The gross profit for the period was RMB 1.3 million, compared to RMB 2.6 million in the same period of 2022, with a gross margin of 0.38% [33]. - The company incurred a pre-tax loss of RMB 8,841,000, slightly higher than the loss of RMB 8,812,000 in the previous year [85]. - The company reported revenue of RMB 351,773,000 for the six months ended June 30, 2023, a decrease of 49.7% compared to RMB 698,911,000 in the same period of 2022 [85]. Cash Flow and Liquidity - The company's cash and bank balances decreased from RMB 37.6 million as of December 31, 2022, to RMB 19.1 million as of June 30, 2023 [37]. - The current ratio as of June 30, 2023, was 5.7, down from 6.5 as of December 31, 2022 [37]. - The net cash used in operating activities for the six months ended June 30, 2023, was RMB (35,437) thousand, compared to RMB 35,945 thousand for the same period in 2022, indicating a negative shift in cash flow [95]. Debt and Liabilities - Bank borrowings increased to approximately RMB 25.3 million as of June 30, 2023, compared to about RMB 7.2 million as of December 31, 2022 [41]. - The company's total liabilities increased to RMB 109,197 thousand as of June 30, 2023, compared to RMB 95,753 thousand at the end of 2022, reflecting a rise of 14.0% [89]. - The company’s secured bank loans are subject to interest rates ranging from 7.50% to 8.25% as of June 30, 2023, compared to 3.25% to 7.50% as of December 31, 2022 [145]. Operational Highlights - As of June 30, 2023, the company employed approximately 27 staff members, a slight decrease from 28 employees as of June 30, 2022 [62]. - The company has not made any significant investments or acquisitions during the reporting period [73]. - There were no major litigation or arbitration proceedings during the reporting period [72]. Dividend and Shareholder Information - The board of directors recommended not to declare an interim dividend for the period [47]. - The company did not declare or recommend any dividends for the six months ended June 30, 2023, nor for the same period in 2022 [128].