Revenue and Profitability - The group's revenue increased from approximately RMB 0.20 million for the six months ended June 30, 2024, to approximately RMB 0.80 million for the six months ended June 30, 2025, primarily due to an increase in contract value[12]. - The gross profit decreased from approximately RMB 0.09 million for the six months ended June 30, 2024, to approximately RMB 0.02 million for the six months ended June 30, 2025[13]. - For the six months ended June 30, 2025, the group reported revenue of RMB 840,000, a decrease from RMB 1,971,000 in the same period of 2024[46]. - The group incurred a net loss of RMB 16.87 million for the six months ended June 30, 2025, compared to a net loss of RMB 8.51 million for the same period in 2024[46]. - The group’s administrative expenses for the six months ended June 30, 2025, were RMB 3.63 million, down from RMB 5.42 million in the same period of 2024[46]. - The group’s financial costs for the six months ended June 30, 2025, were RMB 11.20 million, compared to RMB 13.94 million for the same period in 2024[46]. - For the six months ended June 30, 2025, the group reported a net loss of approximately RMB 16,871,000, compared to a net loss of RMB 8,514,000 for the same period in 2024[69]. Cash Flow and Liquidity - As of June 30, 2025, the group's cash and cash equivalents decreased to approximately RMB 5.44 million from RMB 7.03 million as of December 31, 2024, primarily due to daily operational expenses[15]. - Cash and cash equivalents decreased to RMB 106,000 as of June 30, 2025, from RMB 486,000 at the beginning of the period[49]. - The group’s cash and cash equivalents as of June 30, 2025, were approximately RMB 106,000, indicating significant liquidity challenges[57]. - The group is implementing several measures to control administrative expenses to conserve cash flow[59]. Debt and Liabilities - The group reported a loss of approximately RMB 16.87 million for the six months ended June 30, 2025, mainly due to revenues not covering administrative expenses and financial costs[14]. - Trade and other payables increased from approximately RMB 448.71 million as of December 31, 2024, to approximately RMB 462.19 million as of June 30, 2025, due to financial strain and delayed payments[17]. - The group's debt remained stable at approximately RMB 224.81 million as of June 30, 2025, consistent with the previous period[18]. - The asset-liability ratio increased to 1426.91% as of June 30, 2025, from 1319.04% as of December 31, 2024, primarily due to the current period's losses[20]. - The group has defaulted on loans totaling approximately RMB 224.81 million, with RMB 217.70 million owed to eight banks[43]. - The group estimates potential liabilities from lawsuits, including payables, interest, and penalties, to be around RMB 82.88 million, which has been accrued[24]. - Total liabilities increased to RMB 774.85 million as of June 30, 2025, compared to RMB 761.40 million as of December 31, 2024[47]. Employee and Operational Metrics - Employee costs for the six months ending June 30, 2025, were approximately RMB 2.27 million, down from RMB 3.02 million for the same period in 2024[29]. - The group currently has 24 employees as of June 30, 2025, a decrease from 39 employees as of December 31, 2024[29]. Corporate Governance and Shareholder Information - The company has maintained good corporate governance practices and fully complied with applicable corporate governance codes during the reporting period, except for a deviation regarding the roles of the Chairman and CEO[40]. - The Chairman and CEO, Mr. Ye Yujing, holds both positions, which the board believes aids in effective planning and management[40]. - Major shareholders include Ningbo Meishan Bonded Port Area Yixiang Investment Center with a 7.06% stake and Shenzhen Qianhai Xingwang Investment Management with a 12.67% stake[33]. - The company has issued a total of 240,930,645 shares, including 178,167,645 domestic shares and 62,763,000 H shares[34]. - The board does not recommend an interim dividend for the six months ending June 30, 2025, consistent with 2024[28]. - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[37]. - There have been no changes in the information of directors and supervisors since the last annual report[36]. - The company has adopted a standard code for securities trading, and all directors and supervisors have confirmed compliance during the reporting period[39]. - The board will review the company's corporate governance policies and compliance with the corporate governance code annually[41]. - The company is committed to maintaining high standards of business ethics and corporate governance to enhance shareholder interests[40]. Future Plans and Market Strategy - The group aims to become an internationally leading green decoration service provider, focusing on debt restructuring and attracting new investors to mitigate risks[7]. - The group plans to enhance its business by focusing on niche markets, particularly in the Guangdong-Hong Kong-Macao Greater Bay Area, and improving project management processes[8][9]. - The group has no current plans for market expansion or new product development as indicated in the financial report[27]. Legal and Regulatory Matters - As of June 30, 2025, the group has approximately RMB 5.33 million in bank deposits frozen by Chinese courts due to financial difficulties and overdue bank loans[24]. - The group has not received any waivers from lenders regarding the loan defaults[43]. - The group has not made any significant disclosures regarding events after the reporting period[45].

Group 1 - The company reported a revenue of 840,000 RMB for the six months ending June 30, 2025, representing a year-on-year increase of 326.4% [1] - The loss attributable to shareholders was 16.871 million RMB, which widened by 98.16% compared to the previous year [1] - The basic loss per share was 0.07 RMB [1] Group 2 - The company's shares remain suspended from trading [1]

Core Points - The company reported a revenue of 840,000 RMB for the six months ending June 30, 2025, representing a year-on-year increase of 326.4% [1] - The loss attributable to shareholders widened to 16.871 million RMB, an increase of 98.16% compared to the previous year [1] - The basic loss per share was reported at 0.07 RMB [1] - The company continues to be suspended from trading [1]

[Financial Summary and Announcement](index=1&type=section&id=FinancialSummaryAndAnnouncement) This section presents the company's unaudited interim condensed consolidated results for the six months ended June 30, 2025, highlighting key financial performance and the official announcement [Financial Summary](index=1&type=section&id=FinancialSummary) This section outlines the company's key financial performance for the six months ended June 30, 2025, showing year-on-year revenue growth, a significant decline in gross profit, a substantial increase in loss for the period, and higher basic and diluted loss per share | Metric | Six Months Ended June 30, 2025 (RMB million) | Six Months Ended June 30, 2024 (Restated, RMB million) | Change | | :--- | :--- | :--- | :--- | | Revenue | 0.80 | 0.20 | ⬆️ 300% | | Gross Profit | 0.02 | 0.09 | ⬇️ 77.78% | | Gross Profit Margin | 2.86% | 47.21% | ⬇️ 44.35% | | Loss for the Period | (16.87) | (8.52) | ⬆️ 98.00% | | Net Loss Margin | (2,008.45%) | (4,321.83%) | ⬆️ 2313.38% (Loss narrowed) | | Basic and Diluted Loss Per Share | (0.07) | (0.04) | ⬆️ 75% | [Announcement Statement](index=1&type=section&id=AnnouncementStatement) This announcement presents the unaudited interim condensed consolidated results of Guangdong Adway Construction (Group) Company Limited and its subsidiaries for the six months ended June 30, 2025, which have been reviewed by the audit committee - This announcement presents the unaudited interim condensed consolidated results of the company and its subsidiaries for the six months ended June 30, 2025, which have been reviewed by the audit committee[2](index=2&type=chunk) [Interim Consolidated Financial Statements](index=2&type=section&id=InterimConsolidatedFinancialStatements) This section provides the unaudited interim consolidated financial statements, including the statement of profit or loss and other comprehensive income, and the statement of financial position [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=ConsolidatedStatementOfProfitOrLoss) During the reporting period, the company experienced revenue growth but a significant decline in gross profit, leading to a substantial expansion of operating loss and an increase in loss for the period from RMB 8.514 million in the same period of 2024 to RMB 16.871 million in 2025 | Metric (RMB thousand) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 (Restated) | Change | | :--- | :--- | :--- | :--- | | Revenue | 840 | 197 | ⬆️ 326.4% | | Cost of Sales | (816) | (104) | ⬆️ 684.6% | | Gross Profit | 24 | 93 | ⬇️ 74.2% | | Selling and Marketing Expenses | (379) | (390) | ⬇️ 2.8% | | Administrative Expenses | (3,629) | (5,418) | ⬇️ 33.0% | | Net Impairment Loss on Financial and Contract Assets | — | 11,696 | ⬇️ 100% | | Other (Expenses) / Income — Net | (1,690) | 2,027 | ⬇️ 183.4% | | Operating Loss | (5,675) | 8,008 | ⬇️ 170.9% (Turned from profit to loss) | | Finance Costs — Net | (11,196) | (13,922) | ⬇️ 19.6% | | Loss Before Income Tax | (16,871) | (5,914) | ⬆️ 185.3% | | Income Tax Expense | — | (2,600) | ⬇️ 100% | | Loss for the Period | (16,871) | (8,514) | ⬆️ 98.2% | [Consolidated Statement of Financial Position](index=3&type=section&id=ConsolidatedStatementOfFinancialPosition) As of June 30, 2025, the company's total assets slightly decreased, non-current assets remained stable, and current assets declined; total equity was negative and further expanded, total liabilities slightly increased, and both net current liabilities and net assets deteriorated | Metric (RMB thousand) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | **Assets** | | | | | Non-current Assets | 39,623 | 40,661 | ⬇️ 2.55% | | Current Assets | 14,680 | 17,063 | ⬇️ 13.97% | | Total Assets | 54,303 | 57,724 | ⬇️ 5.93% | | **Equity** | | | | | Total Equity | (720,551) | (703,680) | ⬇️ 2.39% (Negative value expanded) | | **Liabilities** | | | | | Non-current Liabilities | 1,230 | 1,265 | ⬇️ 2.77% | | Current Liabilities | 773,624 | 760,139 | ⬆️ 1.77% | | Total Liabilities | 774,854 | 761,404 | ⬆️ 1.77% | | Net Current Liabilities | (758,944) | (743,076) | ⬇️ 2.14% (Negative value expanded) | | Net Assets | (720,551) | (703,680) | ⬇️ 2.39% (Negative value expanded) | [Notes to Financial Information](index=5&type=section&id=NotesToFinancialInformation) This section provides detailed notes to the interim consolidated financial statements, covering general information, significant accounting policies, and specific financial item breakdowns [General Information](index=5&type=section&id=GeneralInformation) Guangdong Adway Construction (Group) Company Limited is incorporated in China with H shares listed on the Hong Kong Stock Exchange, primarily engaged in interior and exterior architectural decoration and design services in China, controlled by Mr. Ye Yujing and Ms. Ye Xiujin - The company is primarily engaged in providing interior and exterior architectural decoration and design services in China[7](index=7&type=chunk) - Mr. Ye Yujing and Ms. Ye Xiujin have been the controlling shareholders of the Group since its establishment[7](index=7&type=chunk) [Summary of Significant Accounting Policies](index=5&type=section&id=SummaryOfSignificantAccountingPolicies) This section outlines the significant accounting policies adopted in the preparation of the consolidated financial statements, including the basis of preparation, going concern assumption, and new and revised standards adopted and not yet adopted [Basis of Preparation](index=5&type=section&id=BasisOfPreparation) The consolidated financial statements are prepared in accordance with Hong Kong Financial Reporting Standards issued by the HKICPA, the Hong Kong Companies Ordinance, and the disclosure requirements of the Listing Rules, and are prepared under the historical cost convention - The consolidated financial statements are prepared in accordance with Hong Kong Financial Reporting Standards, the Hong Kong Companies Ordinance, and the Listing Rules[10](index=10&type=chunk) - The consolidated financial statements are prepared under the historical cost convention[11](index=11&type=chunk) [Going Concern Assumption](index=6&type=section&id=GoingConcernAssumption) Despite significant uncertainties including substantial net loss, net current liabilities, and net liabilities, as well as overdue borrowings and cash shortages, the Board believes that preparing financial statements on a going concern basis is appropriate through measures such as debt restructuring, seeking new financing, and controlling expenses - As of June 30, 2025, the Group reported a net loss of approximately **RMB 16.871 million**, net current liabilities of approximately **RMB 758.944 million**, net liabilities of approximately **RMB 720.551 million**, and cash and cash equivalents of only **RMB 0.106 million**, indicating significant going concern uncertainties[12](index=12&type=chunk) - The Board plans to mitigate liquidity pressure by negotiating debt restructuring with creditors, seeking new financing channels, and controlling administrative expenses, deeming the preparation of consolidated financial statements on a going concern basis appropriate[12](index=12&type=chunk)[14](index=14&type=chunk) [New and Revised Standards Adopted](index=6&type=section&id=NewAndRevisedStandardsAdopted) The Group first adopted HKFRS 21 (Revised) "Lack of Exchangeability" from January 1, 2025, but its application did not have a significant impact on the financial position and performance for the current and prior years - The Group first adopted HKFRS 21 (Revised) "Lack of Exchangeability" from **January 1, 2025**[13](index=13&type=chunk) - The application of the new revised standard did not have a significant impact on the Group's financial position and performance for the current and prior years[13](index=13&type=chunk) [New Standards Not Yet Adopted](index=7&type=section&id=NewStandardsNotYetAdopted) The report lists several new standards, amendments to standards, and interpretations that have been published but are not yet mandatorily effective, including those related to financial instrument classification and measurement, contracts dependent on natural power, annual improvements, and financial statement presentation, which are not expected to have a significant impact on the Group's financial performance and position - Several new standards and amendments not yet mandatorily effective are listed, including HKFRS 9, HKFRS 7, HKFRS 18, with most effective dates on or after **January 1, 2026**[18](index=18&type=chunk) - The Group's preliminary assessment anticipates no significant impact on financial performance and position when these new standards and amendments become effective[15](index=15&type=chunk) [Correction to 2024 Interim Results Announcement](index=7&type=section&id=CorrectionTo2024InterimResults) Management corrected revenue and cost of sales data in the interim results announcement for the six months ended June 30, 2024, due to an inadvertent error, but this correction will not affect the financial performance and position for the six months ended June 30, 2025 - Management corrected the revenue and cost of sales data in the interim results announcement for the six months ended June 30, 2024[16](index=16&type=chunk) | Metric (RMB thousand) | 2024 (Previously Presented) | 2024 (Restated) | | :--- | :--- | :--- | | Revenue | 5,534 | 197 | | Cost of Sales | 5,445 | 104 | - This correction will not affect the financial performance and position for the six months ended June 30, 2025[17](index=17&type=chunk) [Segment Information](index=8&type=section&id=SegmentInformation) The Group primarily engages in architectural decoration and design services in China, which management considers a single operating segment for resource allocation and performance assessment, with all revenue and non-current assets located in China - The Group is primarily engaged in providing interior and exterior architectural decoration and design services in China, which is considered a single operating segment by management[19](index=19&type=chunk) - For the six months ended June 30, 2025, all of the Group's revenue was generated in China, and all non-current assets are also located in China[19](index=19&type=chunk)[20](index=20&type=chunk) [Revenue](index=8&type=section&id=RevenueNote) For the six months ended June 30, 2025, the Group's revenue primarily derived from construction contracts, totaling RMB 798 thousand, a significant increase from RMB 197 thousand in the same period of 2024 | Revenue Source (RMB thousand) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 (Restated) | Change | | :--- | :--- | :--- | :--- | | Revenue from construction contracts | 798 | 197 | ⬆️ 305.08% | | Sales, design and other income | — | — | — | | Total | 798 | 197 | ⬆️ 305.08% | [Income Tax Expense](index=8&type=section&id=IncomeTaxExpense) For the six months ended June 30, 2025, the Group incurred no income tax expense, compared to RMB 2,600 thousand in China corporate income tax for the same period in 2024 | Income Tax Expense (RMB thousand) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 (Restated) | Change | | :--- | :--- | :--- | :--- | | Current income tax — China corporate income tax | — | 2,600 | ⬇️ 100% | | Deferred income tax | — | — | — | | Total | — | 2,600 | ⬇️ 100% | [Loss Per Share](index=9&type=section&id=LossPerShare) For the six months ended June 30, 2025, the loss attributable to owners of the company was RMB 16,871 thousand, resulting in a basic and diluted loss per share of RMB 0.07, an increase from RMB 0.04 in the same period of 2024 | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 (Restated) | Change | | :--- | :--- | :--- | :--- | | Loss attributable to owners of the company (RMB thousand) | (16,871) | (8,514) | ⬆️ 98.16% | | Weighted average number of ordinary shares in issue (thousand shares) | 240,931 | 240,931 | — | | Basic loss per share (RMB) | (0.07) | (0.04) | ⬆️ 75% | - For the six months ended June 30, 2024 and 2025, the company had no outstanding potential dilutive ordinary shares, thus diluted earnings per share were the same as basic earnings per share[24](index=24&type=chunk) [Dividends](index=9&type=section&id=Dividends) The Board does not recommend the payment of any interim dividend for the six months ended June 30, 2025, consistent with the same period in 2024 - The Board does not recommend the payment of any interim dividend for the six months ended June 30, 2025 (2024: nil)[25](index=25&type=chunk) [Trade Receivables](index=9&type=section&id=TradeReceivables) As of June 30, 2025, net trade receivables amounted to RMB 3,442 thousand, consistent with December 31, 2024, primarily comprising amounts after impairment provisions, with most receivables aged over three years | Metric (RMB thousand) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Trade receivables | 40,806 | 40,806 | — | | Less: Impairment provision for trade receivables | (37,364) | (37,364) | — | | Trade receivables — Net | 3,442 | 3,442 | — | - As of June 30, 2025, total trade receivables amounted to **RMB 40,806 thousand**, with the largest portion being amounts aged over three years[27](index=27&type=chunk) [Trade and Other Payables](index=10&type=section&id=TradeAndOtherPayables) As of June 30, 2025, total trade and other payables increased to RMB 462,190 thousand, up from December 31, 2024, primarily due to increases in trade payables and other payables, with most trade payables aged over three years | Metric (RMB thousand) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Trade payables | 296,883 | 296,504 | ⬆️ 0.13% | | Other taxes payable | 15,065 | 15,205 | ⬇️ 0.92% | | Accrued payroll | 5,838 | 4,583 | ⬆️ 27.38% | | Other payables | 144,404 | 132,413 | ⬆️ 9.05% | | Total | 462,190 | 448,705 | ⬆️ 3.00% | - As of June 30, 2025, total trade payables amounted to **RMB 296,883 thousand**, of which **RMB 261,583 thousand** were aged over three years[27](index=27&type=chunk) [Borrowings](index=11&type=section&id=Borrowings) As of June 30, 2025, the Group's total borrowings were RMB 224,805 thousand, consistent with December 31, 2024, with all borrowings repayable within one year, denominated in RMB, and weighted average annual interest rates remaining stable | Borrowing Type (RMB thousand) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Bank borrowings | 133,657 | 133,657 | — | | Other borrowings | 91,148 | 91,148 | — | | Total | 224,805 | 224,805 | — | - All borrowings are repayable within one year and denominated in RMB[28](index=28&type=chunk) - The weighted average annual interest rate for bank borrowings was **6.49%**, and for other borrowings was **7.03%**, both consistent with 2024[28](index=28&type=chunk) [Management Discussion and Analysis](index=12&type=section&id=ManagementDiscussionAndAnalysis) This section provides management's perspective on the Group's market environment, business operations, financial performance, liquidity, and future outlook for the reporting period [Market Review](index=12&type=section&id=MarketReview) In the first half of 2025, China's real estate sector remained sluggish, and economic growth slowed due to the US-China trade war and Western suppression, severely impacting the architectural decoration industry; despite challenges, market demand and opportunities for high-quality development persist with warming government policies - China's real estate sector has continuously faced challenges since the second half of **2021**, with ongoing debt crises leading to a sluggish industry trend[29](index=29&type=chunk) - China's economic growth slowed due to the US-China trade war and Western suppression, severely impacting the architectural decoration industry to which the Group belongs[29](index=29&type=chunk) - Despite contraction, the architectural decoration industry still presents market demand and opportunities for high-quality development transformation as government policies towards the real estate sector become more favorable[29](index=29&type=chunk) [Business Review](index=12&type=section&id=BusinessReview) The Group possesses over 27 years of experience and a strong brand reputation, offering diverse architectural decoration services; however, business operations were significantly curtailed in the first half of 2025 due to ongoing impacts from bank debt defaults, broken capital chains, and increased litigation - The Group provides professional services such as architectural decoration, mechanical and electrical installation, curtain wall engineering, and fire safety engineering for public and private clients, with projects covering various building types[30](index=30&type=chunk) - Despite over **27 years** of operating history and top-tier industry qualifications, business operations were significantly curtailed in the first half of 2025 due to bank debt defaults, broken capital chains, lack of solvency, and increased litigation[30](index=30&type=chunk) [Financial Review](index=13&type=section&id=FinancialReview) This section provides a detailed review of the Group's revenue, gross profit margin, and loss for the period, noting that while revenue increased, gross profit significantly declined, ultimately leading to an expanded loss [Revenue and Gross Profit Margin](index=13&type=section&id=RevenueAndGrossProfitMargin) For the six months ended June 30, 2025, the Group's revenue increased to approximately RMB 0.80 million, primarily due to increased contract value, but gross profit significantly decreased from approximately RMB 0.09 million to approximately RMB 0.02 million - Revenue increased from approximately **RMB 0.20 million** in the same period of 2024 to approximately **RMB 0.80 million** in 2025, primarily due to increased contract value[31](index=31&type=chunk) - Gross profit decreased from approximately **RMB 0.09 million** in the same period of 2024 to approximately **RMB 0.02 million** in 2025[31](index=31&type=chunk) [Loss for the Period](index=13&type=section&id=LossForThePeriod) For the six months ended June 30, 2025, the Group recorded a loss of approximately RMB 16.87 million, primarily because revenue was insufficient to cover administrative expenses and finance costs - The Group incurred a loss of approximately **RMB 16.87 million** for the six months ended June 30, 2025[32](index=32&type=chunk) - The primary reason for the loss was that revenue could not cover administrative expenses and finance costs[32](index=32&type=chunk) [Liquidity and Capital Resources](index=13&type=section&id=LiquidityAndCapitalResources) This section details the Group's liquidity, showing decreased monetary funds, stable trade receivables but increased payables, high borrowings, deteriorating debt-to-asset ratio, and issues such as pledged assets and frozen bank deposits [Monetary Funds](index=13&type=section&id=MonetaryFunds) As of June 30, 2025, the Group's monetary funds (including cash and cash equivalents and restricted cash) decreased to approximately RMB 5.44 million, primarily due to repayment of personal borrowings, payment of daily expenses, inability to obtain new financing, and frozen company accounts | Metric (RMB million) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Monetary funds | 5.44 | 7.03 | ⬇️ 22.62% | - The decrease in monetary funds was primarily due to the repayment of some personal borrowings, payment of daily expenses, inability to obtain new external financing, and frozen company accounts[33](index=33&type=chunk) [Trade Receivables and Contract Assets](index=13&type=section&id=TradeReceivablesAndContractAssets) As of June 30, 2025, trade receivables remained at approximately RMB 3.44 million, consistent with December 31, 2024, primarily consisting of unrecovered amounts from prior years that are still under collection - Trade receivables as of June 30, 2025, amounted to approximately **RMB 3.44 million**, consistent with December 31, 2024, both representing unrecovered amounts from prior years[34](index=34&type=chunk) [Trade and Other Payables Liquidity](index=13&type=section&id=TradeAndOtherPayablesLiquidity) As of June 30, 2025, trade and other payables increased to approximately RMB 462.19 million, up from December 31, 2024, primarily due to the Group's tight liquidity and delayed payments to some suppliers | Metric (RMB million) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Trade and other payables | 462.19 | 448.71 | ⬆️ 3.00% | - The increase was primarily due to the Group's tight liquidity, resulting in delayed payments to some suppliers[35](index=35&type=chunk) [Borrowings Liquidity](index=14&type=section&id=BorrowingsLiquidity) As of June 30, 2025, the Group's total borrowings were approximately RMB 224.81 million, consistent with December 31, 2024, comprising interest-bearing bank borrowings and other interest-bearing borrowings | Metric (RMB million) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Total borrowings | 224.81 | 224.81 | — | [Pledge of Assets](index=14&type=section&id=PledgeOfAssets) As of June 30, 2025, the Group's short-term borrowings were secured by fixed assets totaling approximately RMB 40.66 million and guaranteed by certain related parties, with the value of pledged assets consistent with the end of 2024 - The Group's short-term borrowings are secured by fixed assets totaling approximately **RMB 40.66 million** and guaranteed by related parties[37](index=37&type=chunk) [Debt-to-Asset Ratio](index=14&type=section&id=DebtToAssetRatio) As of June 30, 2025, the Group's debt-to-asset ratio deteriorated to 1426.91%, an increase from 1319.04% as of December 31, 2024, primarily due to the loss incurred during the period | Metric | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Debt-to-asset ratio | 1426.91% | 1319.04% | ⬆️ 107.87% | - The increase in the debt-to-asset ratio was primarily due to the Group's loss for the current period[38](index=38&type=chunk) [Capital Expenditure](index=14&type=section&id=CapitalExpenditure) For the six months ended June 30, 2025, the Group incurred no capital expenditure, consistent with the same period in 2024 - For the six months ended June 30, 2025, the Group incurred no capital expenditure (2024: nil)[39](index=39&type=chunk) [Capital Commitments](index=14&type=section&id=CapitalCommitments) As of June 30, 2025, the Group had no capital commitments or overseas debt commitments - As of June 30, 2025, the Group had no capital commitments (2024: nil)[40](index=40&type=chunk) - Since its establishment, the company has not conducted business overseas and has no overseas debt commitments[40](index=40&type=chunk) [Contingent Liabilities](index=14&type=section&id=ContingentLiabilities) As of June 30, 2025, the Group's bank deposits totaling approximately RMB 8.95 million have been frozen by Chinese courts due to tight liquidity, overdue bank borrowings, and multiple lawsuits - As of June 30, 2025, the Group's bank deposits totaling approximately **RMB 8.95 million** have been frozen by Chinese courts due to tight liquidity, overdue bank borrowings, and involvement in multiple lawsuits[41](index=41&type=chunk) [RMB Exchange Rate Fluctuations and Foreign Exchange Risk](index=15&type=section&id=RMBExchangeRateFluctuationsAndForeignExchangeRisk) Most of the Group's business and all bank borrowings are denominated in RMB, resulting in insignificant exposure to foreign exchange fluctuations; the Board expects exchange rate fluctuations will not materially impact business or financial performance, and there is currently no hedging policy - Most of the Group's business and all bank borrowings are denominated in RMB, resulting in insignificant exposure to foreign exchange fluctuations[42](index=42&type=chunk) - The Board expects RMB exchange rate fluctuations will not have a significant impact on the Group's business operations or financial performance[42](index=42&type=chunk) - The Group currently has no hedging policy in place for foreign exchange risk[42](index=42&type=chunk) [Significant Investments, Acquisitions and Disposals](index=15&type=section&id=SignificantInvestmentsAcquisitionsAndDisposals) For the six months ended June 30, 2025, the Group did not undertake any significant investments, acquisitions, or disposals of subsidiaries, associates, or assets - For the six months ended June 30, 2025, the Group did not undertake any significant investments, acquisitions, or disposals of subsidiaries, associates, or assets[43](index=43&type=chunk) [Employees and Remuneration Policy](index=15&type=section&id=EmployeesAndRemunerationPolicy) As of June 30, 2025, the Group's employee count decreased to 24, with a corresponding reduction in employee costs; the company provides remuneration, benefits, and vocational training to employees and contributes to social security funds as required | Metric | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Number of employees | 24 | 39 | ⬇️ 38.46% | | Metric (RMB million) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change | | :--- | :--- | :--- | :--- | | Employee costs | 2.27 | 3.02 | ⬇️ 24.83% | - The company provides employees with salaries, allowances, bonuses, pension contributions, and other in-kind benefits, determines salaries based on individual qualifications, positions, and experience, implements vocational training, and contributes to mandatory social security funds[44](index=44&type=chunk) [Future Development Prospects and Strategies](index=16&type=section&id=FutureDevelopmentProspectsAndStrategies) This section outlines the Group's overall strategy, focusing on market development, operational efficiency, talent acquisition, and exploring new business opportunities for future growth [Overall Strategy](index=16&type=section&id=OverallStrategy) The Group aims to become a leading international green decoration integrated service provider, planning to resolve debt and liquidity risks through debt restructuring and introducing new investors to achieve revitalization - The Group is committed to becoming a leading international green decoration integrated service provider[45](index=45&type=chunk) - Plans include leveraging debt restructuring and introducing new investors to resolve debt and liquidity risks, aiming for revitalization[45](index=45&type=chunk) [Focus on Niche Markets and Regional Development](index=16&type=section&id=FocusOnNicheMarketsAndRegionalDevelopment) The Group will actively respond to national policies, expand business, adopt a prudent order strategy, screen high-quality clients, and leverage technology; it will focus on developing business in the medical and hotel niche sectors, concentrating on the "Guangdong-Hong Kong-Macao Greater Bay Area" to consolidate its advantages - Actively respond to national policies, expand business, adopt a prudent order strategy, and intensify efforts to screen high-quality clients[46](index=46&type=chunk) - Focus on supporting and developing business in the medical and hotel niche sectors, concentrating on the development of the "Guangdong-Hong Kong-Macao Greater Bay Area" to consolidate and highlight advantages in these segments[46](index=46&type=chunk) [Optimize Engineering Management and Efficiency](index=16&type=section&id=OptimizeEngineeringManagementAndEfficiency) The Group will continuously optimize engineering management processes, enhance efficiency through process reengineering and innovation, and adapt business models to industry management changes, strengthening risk control and liquidity management - Continuously optimize engineering management processes, enhancing efficiency through process reengineering and innovation[47](index=47&type=chunk) - Optimize business models, strengthening risk control and liquidity management[47](index=47&type=chunk) [Strengthen Talent Pool](index=16&type=section&id=StrengthenTalentPool) The Group plans to strengthen corporate culture, optimize existing staff, and recruit outstanding management and project manager talent to build a "market-oriented, professionally skilled, career-driven, and management-integrated" team - Strengthen corporate culture, optimize existing staff, and recruit outstanding management and project manager talent within the industry[48](index=48&type=chunk) - Build a "market-oriented, professionally skilled, career-driven, and management-integrated" team[48](index=48&type=chunk) [Explore New Business Opportunities](index=16&type=section&id=ExploreNewBusinessOpportunities) While focusing on core business development, the company will explore new business opportunities with new investors, expanding into new energy and technological innovation sectors, transforming from a traditional architectural decoration service enterprise to a technology-innovative development - While concentrating on developing core business advantages, explore new business opportunities and ventures with new investors[49](index=49&type=chunk) - Expand into new energy and technological innovation sectors, transforming from a traditional architectural decoration service enterprise to a technology-innovative development[49](index=49&type=chunk) [Other Information](index=17&type=section&id=OtherInformation) This section covers various additional disclosures, including securities transactions, corporate governance, interim dividends, audit committee review, post-reporting period events, and trading suspension [Purchase, Sale or Redemption of Listed Securities](index=17&type=section&id=PurchaseSaleOrRedemptionOfListedSecurities) During the reporting period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities, and as of June 30, 2025, the company held no treasury shares - During the reporting period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[50](index=50&type=chunk) - As of June 30, 2025, the company held no treasury shares[50](index=50&type=chunk) [Compliance with Corporate Governance Code](index=17&type=section&id=ComplianceWithCorporateGovernanceCode) The company's Board of Directors comprises four executive directors, one non-executive director, and four independent non-executive directors, and has adopted the Corporate Governance Code set out in Appendix C1 of the Listing Rules, fully complying with all applicable code provisions during the reporting period - The Board of Directors comprises four executive directors, one non-executive director, and four independent non-executive directors[51](index=51&type=chunk) - The company has adopted and fully complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules during the reporting period[51](index=51&type=chunk) [Standard Code for Securities Transactions](index=17&type=section&id=StandardCodeForSecuritiesTransactions) The company has adopted the Standard Code as set out in Appendix C3 of the Listing Rules as the code of conduct for directors and supervisors in securities transactions, confirming that all directors and supervisors complied with the relevant provisions during the reporting period, with no non-compliance incidents found among relevant employees - The company has adopted the Standard Code as set out in Appendix C3 of the Listing Rules as the code of conduct for directors and supervisors in securities transactions[53](index=53&type=chunk) - Following inquiry, all directors and supervisors confirmed compliance with the relevant provisions of the Standard Code during the reporting period, with no non-compliance incidents found among relevant employees[53](index=53&type=chunk) [Interim Dividend](index=17&type=section&id=InterimDividend) The Board does not recommend the payment of an interim dividend for the six months ended June 30, 2025, consistent with the same period in 2024 - The Board does not recommend the payment of an interim dividend for the six months ended June 30, 2025 (2024: nil)[54](index=54&type=chunk) [Audit Committee Review](index=18&type=section&id=AuditCommitteeReview) The Audit Committee has reviewed the accounting principles and practices adopted by the Group with management and discussed risk management, internal control, and financial reporting matters, including the review of interim results for the six months ended June 30, 2024 - The Audit Committee has reviewed the accounting principles and practices adopted by the Group and discussed risk management, internal control, and financial reporting matters[55](index=55&type=chunk) - The Audit Committee has reviewed the Group's interim results for the six months ended June 30, 2024[55](index=55&type=chunk) [Events After Reporting Period](index=18&type=section&id=EventsAfterReportingPeriod) This section discloses significant events occurring from the end of the reporting period to the announcement date, including the failure to repay approximately RMB 217.83 million in matured loans due to breaches of loan agreements, and the company's bankruptcy reorganization application being rejected but with plans to reapply [Breach of Loan Agreements](index=18&type=section&id=BreachOfLoanAgreements) From the end of the reporting period to the announcement date, approximately RMB 217.83 million of the Group's loans matured and could not be repaid, breaching loan agreement terms without waiver, and lenders have demanded immediate repayment - From the end of the reporting period to the announcement date, loans totaling approximately **RMB 217.83 million** from **8 banks**, **1 company**, and **3 individuals** matured, which the Group failed to repay or renew[56](index=56&type=chunk) - The Group has breached loan agreement terms, has not obtained waivers, and lenders have demanded immediate repayment[56](index=56&type=chunk) [Matters Regarding Bankruptcy Reorganization](index=18&type=section&id=MattersRegardingBankruptcyReorganization) The company's application for bankruptcy reorganization submitted to the Shenzhen Intermediate People's Court has been rejected, but the company will adjust and improve its reorganization plan based on the court's opinion and reapply for bankruptcy reorganization - The company's application for bankruptcy reorganization submitted to the Shenzhen Intermediate People's Court has been rejected[57](index=57&type=chunk) - The company will adjust and improve its reorganization plan based on the court's opinion and reapply for bankruptcy reorganization[57](index=57&type=chunk) [Publication of Interim Results Announcement and Interim Report](index=19&type=section&id=PublicationOfInterimResultsAndReport) This interim results announcement has been published on the Stock Exchange and the company's website, and the interim report containing all information required by the Listing Rules will be dispatched to shareholders and published on the websites in due course - This interim results announcement has been published on the Stock Exchange website (www.hkexnews.hk) and the company's website (www.aidewei.cn)[58](index=58&type=chunk) - The interim report containing all information required by the Listing Rules will be dispatched to shareholders and published on the aforementioned websites in due course[58](index=58&type=chunk) [Continued Suspension of Trading](index=19&type=section&id=ContinuedSuspensionOfTrading) The company's shares have been suspended from trading since July 16, 2025, under Listing Rule 6.01(3), and will remain suspended until further notice, advising shareholders and potential investors to exercise caution - The company's shares have been suspended from trading since **July 16, 2025**, under Listing Rule 6.01(3)[59](index=59&type=chunk) - Trading in the shares will remain suspended until further notice, advising shareholders and potential investors to exercise caution[59](index=59&type=chunk) [Board of Directors Members](index=19&type=section&id=BoardOfDirectorsMembers) The announcement lists the Board of Directors members as of the announcement date (September 3, 2025), including executive directors, non-executive directors, and independent non-executive directors - As of **September 3, 2025**, the Board of Directors includes Mr. Ye Yujing, Ms. Ye Xiujin, Mr. Ye Guofeng, and Mr. Ye Jiajun (Executive Directors); Mr. Zhuang Liangbin (Non-executive Director); and Mr. Cai Huiming, Mr. Sun Changqing, Mr. Lin Zhiyang, and Mr. Zhou Wanxiong (Independent Non-executive Directors)[61](index=61&type=chunk)

Group 1 - The company reported a revenue of RMB 840,000 for the six months ending June 30, 2025, representing a year-on-year increase of 326% [1] - The company incurred a loss of RMB 16.871 million during the same period, which is an increase of 98.16% compared to the previous year [1] - The loss per share was RMB 0.07 [1] Group 2 - The increase in revenue is primarily attributed to a rise in contract value [1]

Core Viewpoint - The company reported a significant decline in financial performance for the six months ending June 30, 2025, with a notable increase in losses compared to the previous year [1] Financial Performance Summary - Revenue for the period was 840,000 RMB, a decrease from 1,970,000 RMB in the same period last year [1] - Gross profit was 24,000 RMB, down from 93,000 RMB year-on-year [1] - Loss attributable to owners amounted to 16,871,000 RMB, compared to a loss of 8,514,000 RMB in the previous year [1] - Basic and diluted loss per share was 0.07 RMB [1]

Core Points - The company reported a revenue of RMB 840,000 for the six months ending June 30, 2025, representing a year-on-year increase of 326% [1] - The company incurred a loss of RMB 16.871 million during the same period, which is an increase of 98.16% compared to the previous year [1] - The loss per share was reported at RMB 0.07 [1] - The increase in revenue is attributed to a rise in contract value [1]

Financial Summary and Announcement This section presents the unaudited interim financial results for the six months ended June 30, 2025, highlighting key financial performance and the announcement's scope [Financial Summary](index=1&type=section&id=FinancialSummary) Summarizes H1 2025 financial performance, noting revenue growth, gross profit decline, and expanded loss per share | Metric | Six Months Ended June 30, 2025 (RMB million) | Six Months Ended June 30, 2024 (Restated, RMB million) | Change | | :--- | :--- | :--- | :--- | | Revenue | 0.80 | 0.20 | ⬆️ 300% | | Gross Profit | 0.02 | 0.09 | ⬇️ 77.78% | | Gross Profit Margin | 2.86% | 47.21% | ⬇️ 44.35% | | Loss for the Period | (16.87) | (8.52) | ⬆️ 98.00% | | Net Loss Margin | (2,008.45%) | (4,321.83%) | ⬆️ 2313.38% (loss narrowed) | | Basic and Diluted Loss Per Share | (0.07) | (0.04) | ⬆️ 75% | [Announcement Statement](index=1&type=section&id=AnnouncementStatement) This announcement presents the unaudited condensed consolidated interim results for H1 2025, reviewed by the audit committee - This announcement presents the company's unaudited condensed consolidated interim results for the six months ended June 30, 2025, which have been reviewed by the audit committee[2](index=2&type=chunk) Condensed Consolidated Financial Statements This section presents the condensed consolidated financial statements, including the statement of profit or loss and financial position, detailing the company's financial performance and position [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=ConsolidatedStatementOfProfitOrLoss) Revenue increased, gross profit declined, leading to expanded operating loss and a higher loss for the period | Metric (RMB thousand) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 (Restated) | Change | | :--- | :--- | :--- | :--- | | Revenue | 840 | 197 | ⬆️ 326.4% | | Cost of Sales | (816) | (104) | ⬆️ 684.6% | | Gross Profit | 24 | 93 | ⬇️ 74.2% | | Selling and Marketing Expenses | (379) | (390) | ⬇️ 2.8% | | Administrative Expenses | (3,629) | (5,418) | ⬇️ 33.0% | | Net Impairment Losses on Financial and Contract Assets | — | 11,696 | ⬇️ 100% | | Other (Expenses) / Income — Net | (1,690) | 2,027 | ⬇️ 183.4% | | Operating Loss | (5,675) | 8,008 | ⬇️ 170.9% (from profit to loss) | | Finance Costs — Net | (11,196) | (13,922) | ⬇️ 19.6% | | Loss Before Income Tax | (16,871) | (5,914) | ⬆️ 185.3% | | Income Tax Expense | — | (2,600) | ⬇️ 100% | | Loss for the Period | (16,871) | (8,514) | ⬆️ 98.2% | [Condensed Consolidated Statement of Financial Position](index=3&type=section&id=ConsolidatedStatementOfFinancialPosition) Total assets decreased, current assets declined, total equity negative and expanded, net current liabilities worsened | Metric (RMB thousand) | As of June 30, 2025 | As of December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | **Assets** | | | | | Non-current Assets | 39,623 | 40,661 | ⬇️ 2.55% | | Current Assets | 14,680 | 17,063 | ⬇️ 13.97% | | Total Assets | 54,303 | 57,724 | ⬇️ 5.93% | | **Equity** | | | | | Total Equity | (720,551) | (703,680) | ⬇️ 2.39% (negative expanded) | | **Liabilities** | | | | | Non-current Liabilities | 1,230 | 1,265 | ⬇️ 2.77% | | Current Liabilities | 773,624 | 760,139 | ⬆️ 1.77% | | Total Liabilities | 774,854 | 761,404 | ⬆️ 1.77% | | Net Current Liabilities | (758,944) | (743,076) | ⬇️ 2.14% (negative expanded) | | Net Assets | (720,551) | (703,680) | ⬇️ 2.39% (negative expanded) | Notes to Financial Information This section provides detailed notes to the financial information, covering general company data, significant accounting policies, segment reporting, and specific financial statement line items [General Information](index=5&type=section&id=GeneralInformation) Guangdong Adway Construction, listed on HKEX, provides architectural decoration and design services in China, controlled by its founders - The company primarily engages in providing interior and exterior architectural decoration and design services in China[7](index=7&type=chunk) - Mr. Ye Yujing and Ms. Ye Xiujin have been the controlling shareholders of the Group since its establishment[7](index=7&type=chunk) [Summary of Significant Accounting Policies](index=5&type=section&id=SummaryOfSignificantAccountingPolicies) This section outlines the significant accounting policies adopted for the consolidated financial statements, including preparation basis, going concern, and new/revised standards [Basis of Preparation](index=5&type=section&id=BasisOfPreparation) The consolidated financial statements are prepared under HKFRSs, Hong Kong Companies Ordinance, and Listing Rules, using the historical cost convention - The consolidated financial statements are prepared in accordance with Hong Kong Financial Reporting Standards, the Hong Kong Companies Ordinance, and the disclosure requirements of the Listing Rules[10](index=10&type=chunk) - The consolidated financial statements are prepared on a historical cost basis[11](index=11&type=chunk) [Going Concern Assumption](index=6&type=section&id=GoingConcernAssumption) Despite significant uncertainties like net loss, net current liabilities, and overdue borrowings, the Board deems the going concern basis appropriate through debt restructuring and new financing - As of June 30, 2025, the Group reported a net loss of approximately **RMB 16,871 thousand**, net current liabilities of approximately **RMB 758,944 thousand**, net liabilities of approximately **RMB 720,551 thousand**, and cash and cash equivalents of only **RMB 106 thousand**, indicating significant going concern uncertainties[12](index=12&type=chunk) - The Board plans to mitigate liquidity pressure through debt restructuring with creditors, seeking new financing, and controlling administrative expenses, thus considering the preparation of consolidated financial statements on a going concern basis appropriate[12](index=12&type=chunk)[14](index=14&type=chunk) [New and Revised Standards Adopted](index=6&type=section&id=NewAndRevisedStandardsAdopted) The Group adopted HKFRS 21 (Amendment) "Lack of Exchangeability" from January 1, 2025, with no material impact on financial performance or position - The Group first adopted HKFRS 21 (Amendment) "Lack of Exchangeability" from **January 1, 2025**[13](index=13&type=chunk) - The application of the new and revised standards had no material impact on the Group's financial position and performance for the current and prior periods[13](index=13&type=chunk) [New Standards Not Yet Adopted](index=7&type=section&id=NewStandardsNotYetAdopted) This section lists several new and amended standards not yet effective, which are not expected to materially impact the Group's financial performance or position - Several new and revised standards, including HKFRS 9, HKFRS 7, and HKFRS 18, have been published but are not yet mandatorily effective, with most effective dates on or after **January 1, 2026**[18](index=18&type=chunk) - The Group's preliminary assessment anticipates no material impact on its financial performance and position upon the effective adoption of these new standards and amendments[15](index=15&type=chunk) [Correction to 2024 Interim Results Announcement](index=7&type=section&id=CorrectionTo2024InterimResults) Management corrected revenue and cost of sales data in the 2024 interim results due to an inadvertent error, with no impact on 2025 financial performance - Management corrected revenue and cost of sales data in the interim results announcement for the six months ended June 30, 2024[16](index=16&type=chunk) | Metric (RMB thousand) | 2024 (Previously Presented) | 2024 (Restated) | | :--- | :--- | :--- | | Revenue | 5,534 | 197 | | Cost of Sales | 5,445 | 104 | - This correction does not affect the financial performance and position for the six months ended June 30, 2025[17](index=17&type=chunk) [Segment Information](index=8&type=section&id=SegmentInformation) The Group operates as a single segment in China, providing architectural decoration and design services, with all revenue and non-current assets located in China - The Group primarily engages in providing interior and exterior architectural decoration and design services in China, managed as a single operating segment[19](index=19&type=chunk) - For the six months ended June 30, 2025, all the Group's revenue was generated in China, and all non-current assets are also located in China[19](index=19&type=chunk)[20](index=20&type=chunk)

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 公司名稱: 廣東愛得威建設（集團）股份有限公司 呈交日期: 2025年9月3日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | H | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 06189 | 說明 | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 62,763,000 | RMB | | 1 RMB | | 62,763,000 | | 增加 / 減少 (-) | | | | | | RMB | | | | 本月底結存 | | | 62,763,000 | RMB | | 1 RMB | | 62,763,000 | | 2. 股份分類 | 普通股 | 股份類別 | | 其他類別 (請註明) | | 於香港聯交所上市 (註1) | | 否 | | | --- | - ...

Group 1 - The board meeting of Aidewei Construction Group (06189.HK) is scheduled for September 3, 2025, to consider and approve the interim results for the six months ending June 30, 2025, and to consider the distribution of an interim dividend, if any [1] - The company's stock will be suspended from trading starting from 9:00 AM on July 16, 2025, in accordance with Listing Rule 6.01(3), and will remain suspended until further notice [1]