Investment Rating - The investment rating for the company is "Buy" (maintained) [2][6] Core Insights - The music content IP "乐来乐快乐" has successfully concluded, achieving the highest viewership ratings among similar variety shows, with over 20 billion views on related topics and 600 million total plays on short video platforms [5][6] - The company is in a business expansion phase, leading to a downward adjustment in profit forecasts for 2024-2026, with expected net profits of 89 million, 151 million, and 205 million yuan respectively [5][6] - The company has demonstrated strong IP operational capabilities, with a revenue increase of 76% year-on-year in 2024H1, driven by IP operations and private traffic leading to self-owned brands [7] Financial Performance Summary - In 2024H1, the company achieved a revenue of 267 million yuan, a year-on-year increase of 76%, and a net profit of 24.96 million yuan, up 91.6% year-on-year [7] - The gross profit margin for 2024 is projected to be 60.3%, with net profit margins improving to 13.6% [8] - The company's earnings per share (EPS) for 2024 is expected to be 0.11 yuan, with a price-to-earnings (P/E) ratio of 87.7 [8]

业绩点评 2024 年 9 月 2 日 巨星传奇（6683.HK） 余浩樑 CE No.BOI816 852-3762 9662 Albert.hl.yu@pingan.com 李峰 CE No.BPX900 852-3762 9696 Lifeng383@pingan.com.cn 基本资料 现价：10.24 港元 H 股市值：8,533 百万港元 52 周股价波幅：5.87-13.16 港元 近 3 个月日均成交额：28.4 百万港元 来源：彭博，数据更新至 2023 年 8 月 30 日 | --- | --- | |---------------------------------------------|-------------------| | 股价表现 | | | 15.0 港元 | 15.0 百万股 | | 10.0 | 10.0 | | 5.0 | 5.0 | | | | | 0 3/24 4/24 5/24 6/24 成交量 (右轴) | 0.0 8/24 恒生指数 | 来源：彭博，数据更新至 2023 年 8 月 30 日 IP 业务表现亮眼，推动收入大幅增 评级：未评级 长，看好未来 ...

Revenue and Profit Growth - Revenue for the six months ended June 30, 2024, was RMB 266.5 million, an increase of approximately 76.0% compared to RMB 151.4 million in the same period of 2023[2] - Revenue from IP creation and operation business was RMB 156.6 million, representing a significant increase of approximately 149.8% from RMB 62.7 million in the first half of 2023[2] - Gross profit for the period was RMB 134.0 million, up approximately 44.6% from RMB 92.7 million in the same period last year[2] - Profit for the period was RMB 25.5 million, an increase of approximately 55.5% compared to RMB 16.4 million in the first half of 2023[2] - The company reported a net profit attributable to equity holders of RMB 24,963 thousand for the six months ended June 30, 2024, compared to RMB 13,027 thousand for the same period in 2023, representing an increase of 92%[29] Earnings Per Share - Basic and diluted earnings per share for the company were RMB 0.03, compared to RMB 0.02 in the previous year[5] - Basic earnings per share for the six months ended June 30, 2024, was RMB 0.03, compared to RMB 0.02 for the same period in 2023[28] Assets and Equity - Total assets as of June 30, 2024, amounted to RMB 1,144.2 million, an increase from RMB 902.6 million as of December 31, 2023[9] - Non-current assets increased to RMB 195.8 million from RMB 179.9 million as of December 31, 2023[7] - Current assets totaled RMB 948.4 million, up from RMB 722.7 million at the end of 2023[9] - Total equity increased to RMB 929.6 million from RMB 691.6 million as of December 31, 2023[8] Cash Position - The company reported a net cash position of RMB 362.7 million in cash and cash equivalents as of June 30, 2024, compared to RMB 145.8 million at the end of 2023[7] - As of June 30, 2024, the group held cash and cash equivalents of RMB 362.7 million, significantly up from RMB 145.8 million as of December 31, 2023[64] Revenue Segmentation - The revenue from the new retail segment was RMB 109,986 thousand, while the IP creation and operation segment generated RMB 156,560 thousand, indicating strong performance across both segments[18] - Revenue from health management products and skincare sales amounted to RMB 108,615 thousand, up 24% from RMB 87,483 thousand in the previous year[22] - The company’s revenue from television program production was RMB 87,184 thousand, with no revenue reported in the previous year[22] - Revenue from television programs during the reporting period generated RMB 87.2 million, contributing significantly to the growth of the IP segment[47] - The IP creation and operation segment became the largest business unit, accounting for approximately 58.8% of total revenue in the first half of 2024, up from RMB 62.7 million in the first half of 2023 to RMB 156.6 million, representing a growth of about 149.8%[47] Expenses - The company incurred sales and marketing expenses of RMB 47,287 thousand and general and administrative expenses of RMB 53,639 thousand during the reporting period[18] - Sales and marketing expenses increased to RMB 47.3 million in the first half of 2024, a rise of approximately 45.1% from RMB 32.6 million in the same period of 2023[59] - General and administrative expenses rose to RMB 53.6 million in the first half of 2024, an increase of about 29.8% from RMB 41.3 million in the first half of 2023[60] Financial Management - The company incurred income tax expenses of RMB 11,347 thousand for the six months ended June 30, 2024, compared to RMB 6,407 thousand in the same period of 2023, reflecting an increase of 77%[23] - The financial asset impairment loss provision was RMB 1,848 thousand, indicating a focus on managing financial risks[18] - The company plans to adopt new accounting standards effective January 1, 2025, which may impact future financial reporting[14] - The company continues to evaluate the impact of new accounting standards on foreseeable future transactions, indicating proactive financial management[14] Shareholder Returns - A special dividend of HKD 60,000,000 was declared from the share premium account[42] - The company did not declare an interim dividend for the six months ended June 30, 2024, compared to no dividend for the same period in 2023[42] Employee Information - The company had 400 employees as of June 30, 2024, an increase from 353 employees on December 31, 2023, with most employees based in China[69] - Employee benefit expenses amounted to RMB 50.2 million for the reporting period, compared to RMB 31.8 million in the first half of 2023[69] Future Plans and Investments - The company plans to continue expanding its market presence and developing new products, particularly in the health management and entertainment sectors[22] - The group aims to expand its IP creation and operation business into three areas: virtual media content creation, virtual artist IP management, and digital content marketing[51] - The group plans to launch vending machines in major shopping malls across various cities in China in the second half of 2024 to sell related products[52] - The company is actively pursuing potential investments related to its main business activities, with a budget of HKD 60.0 million allocated for this purpose[73] Market Presence - The majority of the company's revenue is derived from the Chinese market, highlighting its strong regional presence[20] - The group is actively seeking opportunities to promote and distribute its products in overseas markets to increase market share and brand recognition[52] Financial Ratios - The current ratio as of June 30, 2024, was 4.5 times, an increase from 3.6 times as of December 31, 2023[64]

传媒/广告营销 把握健康生活红利，焕新明星 IP 价值，加速进击 巨星传奇（06683.HK） 2024 年 08 月 15 日 ——港股公司首次覆盖报告 投资评级：买入（首次） | --- | --- | |--------------------|--------------| | 日期 | 2024/8/14 | | 当前股价(港元) | 10.260 | | 一年最高最低(港元) | 13.160/5.300 | | 总市值(亿港元) | 85.50 | | 流通市值(亿港元) | 85.50 | | 总股本(亿股) | 8.33 | | 流通港股(亿股) | 8.33 | | 近 3 个月换手率(%) | 22.5 | 股价走势图 巨星传奇 恒生指数 -50% 0% 50% 100% 150% 2023-08 2023-12 2024-04 数据来源：聚源 初敏（分析师） 方光照（分析师） chumin@kysec.cn 证书编号：S0790522080008 fangguangzhao@kysec.cn 证书编号：S0790520030004 IP 运营+新零售双轮驱动，稀缺明星 IP 构筑护城河 ...

浦银国际研究 公司研究 | 消费行业 巨星传奇（6683.HK）：多项业务增量驱动 桑若楠，CFA 收入扩张，期待 AI+IP 赋能新增长曲线 消费分析师 浦 serena_sang@spdbi.com 银  电视节目制作成为 2024 年增长重点：2023 年 4 季度《周游记 2》在 (852) 2808 6439 国 浙江卫视和 Netflix正式上线，在 2023 年录得电视节目制作收入 8,414 际 万元，但由于有一半的集数在2024 年播放，预计2024 年也将计入来 林闻嘉 自《周游记 2》的部分收入（约人民币 8000 万元），带动收入扩张。 首席消费分析师 展望 2024 年，庾澄庆主持的音乐节目《乐来乐快乐》已在今年 6 月 richard_lin@spdbi.com 播出，计划推出以刘畊宏为主演的巴黎奥运会相关节目，以及按年推 (852) 2808 6433 公 出一季新的《周游记》电视节目（《周游记 3》已开始录制），均将带 2024年6月13日 司 动2024 年收入扩张。 研  运用明星资源赋能多条业务线：除周杰伦、刘畊宏以及Vivi 的等相对 究 评级 成熟的明星IP 外， ...

Investment Rating - The investment rating for the company is "Hold" [1] Core Insights - The company reported a revenue of 430 million RMB in 2023, representing a year-on-year growth of 25%, while the adjusted net profit decreased by 3.6% to 74.4 million RMB [2] - The IP creation and operation business saw a significant revenue increase of 82.9% to 190 million RMB, driven by the commercial value of Jay Chou's IP and the monetization of the celebrity matrix through live streaming [2][3] - The company completed a placement to raise 220 million HKD, primarily for concert investments and building a metaverse ecosystem [3] Summary by Sections Financial Performance - In 2023, the company achieved a revenue of 430 million RMB, with a growth rate of 25% [4] - The adjusted net profit for 2023 was 74.4 million RMB, showing a decline of 3.6% [4] - Revenue projections for 2024-2026 are 674 million RMB, 961.8 million RMB, and 1.23 billion RMB, with growth rates of 56.7%, 42.7%, and 27.8% respectively [4][10] Business Segments - The IP creation and operation segment is expected to continue its growth momentum, with revenue projected to increase significantly in the coming years [3][8] - The new retail business maintained stable revenue of 240 million RMB in 2023, with a focus on expanding public domain channels [2][3] Future Outlook - The company plans to launch new IP-related projects and collaborations, including video ringtones and upcoming variety shows [3] - The expected adjusted net profits for 2024-2026 are 140 million RMB, 210 million RMB, and 270 million RMB, indicating strong growth potential [4][10]

IP Creation and Operation - The Group's IP creation and operation segment experienced a significant revenue increase of 82.9% compared to the previous year, primarily due to the successful launch of "J-Style Trip II" which aired on Zhejiang Satellite TV and various online platforms[18]. - Revenue from the IP creation and operation segment increased from RMB 104.1 million in FY2022 to RMB 190.4 million in FY2023, representing an increase of approximately 82.9%[29]. - The Group aims to fully utilize and monetize the value of its celebrity IPs to drive business growth for its partners[17]. - The positive response to the IP content indicates strong market demand and potential for future growth in the entertainment sector[18]. - The Group's strategies are designed to solidify and replicate the success of its unique business model[17]. - The Group aims to enhance user engagement and generate additional IP licensing income through various online and offline activities related to its celebrity IPs[22]. - The Group is developing a digital human of Mr. Jay Chou as part of its entry into the metaverse ecosystem[29]. - The Group has developed a series of artificial intelligence systems aimed at enhancing the efficiency of IP content creation related to the metaverse[18]. Financial Performance - The overall performance in FY2023 reflects the effectiveness of the Group's strategic initiatives and market positioning[18]. - The Group recorded a revenue of RMB430.2 million for FY2023, representing an increase of approximately 25.0% compared to FY2022's revenue of RMB344.2 million[40]. - The Group's gross profit for FY2023 was RMB276.3 million, up approximately 24.0% from RMB222.8 million in FY2022[47]. - The gross profit margin remained stable at 64.2% in FY2023, compared to 64.7% in FY2022[47]. - The cost of revenue for FY2023 was RMB153.9 million, an increase of approximately 26.9% from RMB121.3 million in FY2022[46]. - The Group's profit for FY2023 decreased to RMB41.4 million, with a net profit margin of 9.6%, down from RMB64.9 million and 18.9% in FY2022[53]. - The adjusted net profit for FY2023 was RMB74.4 million, a slight decrease of 3.6% compared to RMB77.2 million in FY2022, with an adjusted net profit margin of 17.3%[59]. Shareholder and Governance - The successful listing of the Group's shares on the Stock Exchange occurred on July 13, 2023, marking a significant milestone for the company[16]. - The Group's strategic initiatives are focused on creating value for shareholders and driving continued growth and success in the future[26]. - The Group has a diverse board with expertise in finance, legal, and entertainment sectors, enhancing its strategic decision-making capabilities[79][86]. - The management team includes professionals with significant backgrounds in both local and international markets, contributing to the Group's growth strategy[80][84]. - The Group's focus on corporate governance is reflected in the appointment of independent directors to ensure transparency and accountability[86][88]. Employee and Operational Insights - For FY2023, the Group's employee benefit expense was RMB70.5 million, an increase from RMB51.5 million in FY2022, reflecting a growth of approximately 36.8%[131]. - As of December 31, 2023, the Group had 353 employees, up from 250 employees on December 31, 2022, indicating a growth of 41.2% in workforce size[130]. - Significant resources have been invested in recruitment to attract suitable personnel, and competitive remuneration packages are offered to high-performing staff[119]. - The Group participates in various government statutory employee benefit plans, including social insurance funds[119]. Future Plans and Developments - The Group plans to launch a video ringtones subscription channel in collaboration with Migu Music, featuring celebrity IPs for users to download[22]. - The upcoming music-themed variety show "Yue Lai Yue Kuai Le" is scheduled to air in the first half of 2024, in collaboration with Mr. Harlem Yu[23]. - The Group plans to launch pet food and related products in collaboration with celebrity IPs to diversify its product offerings[37]. - The Group intends to continue expanding its e-commerce operations and promoting products through livestreaming and short videos[39]. Financial Management and Compliance - The Group has confirmed compliance with non-competition undertakings by controlling shareholders since the Listing Date[164]. - The Group has not faced any fines or penalties for non-compliance with environmental regulations during FY2023[116]. - The Group has complied with relevant laws and regulations in the PRC that significantly impact its business operations for FY2023[117]. - The Group's management considers that the business is not exposed to significant foreign exchange risk due to the nature of its operations[67]. Charitable Contributions - The Group made charitable contributions totaling approximately RMB2.8 million in FY2023, significantly higher than approximately RMB0.5 million in FY2022[148]. - The Group is committed to maintaining stable relationships with key suppliers to achieve cost effectiveness and long-term business benefits[125].

Financial Performance - The company reported a revenue of RMB 430.2 million for the fiscal year ending December 31, 2023, representing an increase of approximately 25.0% compared to the fiscal year 2022[2]. - Revenue from IP creation and operation business reached RMB 190.4 million, marking a significant increase of approximately 82.9% year-over-year[2]. - Gross profit for the year was RMB 276.3 million, which is an increase of about 24.0% from the previous fiscal year[2]. - Adjusted net profit (after deducting listing expenses and share-based compensation) was RMB 74.4 million, a decrease of approximately 3.6% compared to the fiscal year 2022[2]. - The total comprehensive income for the year was RMB 54.9 million, down from RMB 66.7 million in the previous year[4]. - The company reported a pre-tax profit of RMB 66,858,000 for the fiscal year ending December 31, 2023, compared to RMB 93,138,000 for the previous year, indicating a decrease of approximately 28.2%[16][17]. - The company recorded a profit of RMB 41.4 million in FY2023, down from RMB 64.9 million in FY2022, with a net profit margin of 9.6% compared to 18.9% in FY2022[59]. - Adjusted net profit for FY2023, excluding listing expenses and share-based compensation, was RMB 74.4 million, a decrease of 3.6% from RMB 77.2 million in FY2022, with an adjusted net profit margin of 17.3%[60]. Revenue Breakdown - For the fiscal year ending December 31, 2023, the total revenue from the new retail segment was RMB 239,808,000, while the IP creation and operation segment generated RMB 86,239,000, resulting in a total revenue of RMB 326,047,000 recognized at a point in time[16]. - The revenue from the mainland China market for the fiscal year ending December 31, 2023, was RMB 428,140,000, compared to RMB 344,157,000 in the previous year, reflecting a growth of approximately 24.5%[17]. - Revenue from health management products and skincare sales reached RMB 237,440,000, up from RMB 232,308,000 in 2022, indicating a growth of 2.4%[19]. - Revenue from television program production was RMB 84,142,000 for the year ended December 31, 2023, with no revenue reported in 2022[19]. - The company’s star IP management revenue increased to RMB 71,239,000 in 2023 from RMB 41,708,000 in 2022, marking a growth of 70.9%[19]. - The total income from entertainment video production and licensing reached RMB 15,840,000, significantly up from RMB 5,660,000 in 2022, representing an increase of 179.4%[19]. Expenses and Liabilities - The total sales and marketing expenses for the fiscal year ending December 31, 2023, were RMB 112,317,000, while general and administrative expenses amounted to RMB 106,633,000[16]. - Selling and marketing expenses rose to RMB 112.3 million in FY2023, a 55.1% increase from RMB 72.4 million in FY2022, driven by higher advertising and marketing expenditures[57]. - General and administrative expenses increased by approximately 66.3% to RMB 106.6 million in FY2023 from RMB 64.1 million in FY2022, mainly due to increased listing expenses and employee benefits[58]. - The income tax expense for the year ended December 31, 2023, was RMB 25,447,000, compared to RMB 28,240,000 in 2022, showing a decrease of 6.3%[20]. - The company’s deferred tax expense was RMB 31,825,000 for the year ended December 31, 2023, compared to RMB 29,395,000 in 2022, indicating an increase of 8.3%[20]. Assets and Cash Flow - The company’s total assets as of December 31, 2023, amounted to RMB 902.6 million, compared to RMB 554.9 million in 2022[5]. - The company’s cash and cash equivalents stood at RMB 145.8 million, down from RMB 182.6 million in the previous year[5]. - As of December 31, 2023, the company had cash and cash equivalents of RMB 145.8 million, down from RMB 182.6 million in the previous year, with a current ratio of 3.6 times[62]. - The total borrowings decreased to RMB 10,000,000 in 2023 from RMB 15,000,000 in 2022, a reduction of 33%[45]. Shareholder Information - The company declared a special dividend of HKD 60,000,000 (approximately RMB 54,029,000) from the share premium account[25]. - The board of directors did not recommend any final dividend for the year ended December 31, 2023[69]. - The total number of weighted average ordinary shares issued was 758,952,130 for the year ended December 31, 2023, compared to 720,788,659 in 2022, reflecting an increase of 5.3%[27]. - The total number of ordinary shares issued as of December 31, 2023, is 801,887,500, an increase from 542,914,624 shares at the beginning of 2022[39]. Corporate Governance and Compliance - The audit committee reviewed the group's consolidated performance for FY2023 and found no objections to the accounting principles and practices adopted[73]. - The annual financial report for the fiscal year 2023 has been approved by the auditors and is consistent with the audited consolidated financial statements as of December 31, 2023[74]. - The annual report for fiscal year 2023 will be sent to shareholders in due course and published on the Hong Kong Stock Exchange and the company's website[75]. - The board of directors consists of three executive directors and three independent non-executive directors, ensuring a diverse governance structure[76]. Market and Strategic Initiatives - The company is focused on expanding its market presence and enhancing its product offerings through new retail initiatives and IP management strategies[14]. - The flagship product, Magic Coffee, ranked first in the bulletproof beverage market in China by both sales volume and revenue in 2023[49]. - The average viewership rating for the major IP program "Around the World 2" was 1.15%, ranking first among all television programs aired during the same time slot[48]. - The group plans to launch a series of video ringtones featuring its star IP in collaboration with China Mobile's music platform, Migu Music[50]. - The group aims to enhance brand awareness and sales through various e-commerce platforms and live streaming promotions[51]. - The company plans to continue expanding its new retail business and IP management services, which are key revenue drivers[34].

Financial Performance - Revenue for the six months ended June 30, 2023, was RMB 151,388,000, representing an increase of 21.1% compared to RMB 125,018,000 for the same period in 2022[15]. - Gross profit for the reporting period was RMB 92,711,000, up from RMB 74,287,000, indicating a growth of 24.7% year-over-year[15]. - Operating profit increased slightly to RMB 22,734,000 from RMB 22,026,000, reflecting a growth of 3.2%[15]. - Profit for the period was RMB 16,430,000, compared to RMB 16,344,000 in the previous year, showing a marginal increase of 0.5%[15]. - The profit attributable to owners of the Company was RMB 13,027,000, down from RMB 14,512,000, a decrease of 10.2%[15]. - Total comprehensive income for the period was RMB 17,115,000, down from RMB 17,265,000, indicating a decrease of 0.87%[17]. - Earnings per share remained stable at RMB 0.03 for both basic and diluted shares[17]. - Profit for the period increased slightly to RMB 16,430,000 compared to RMB 16,344,000 in the same period last year, reflecting a growth of 0.53%[17]. Expenses and Costs - Selling and marketing expenses rose to RMB 32,563,000 from RMB 23,887,000, an increase of 36.4%[15]. - General and administrative expenses increased to RMB 41,338,000 from RMB 27,846,000, marking a rise of 48.5%[15]. - The total expenses for the six months ended June 30, 2023, amounted to RMB 132,578,000, compared to RMB 102,464,000 for the same period in 2022, reflecting a growth of 29.4%[64]. - Cost of goods sold increased to RMB 38,672,000 in H1 2023 from RMB 30,354,000 in H1 2022, representing a growth of 27.5%[64]. - Advertising and marketing expenses rose significantly to RMB 11,771,000 in H1 2023, up from RMB 5,310,000 in H1 2022, marking an increase of 121.3%[64]. - Employee benefit expenses, including commissions, totaled RMB 31,760,000 in H1 2023 compared to RMB 24,685,000 in H1 2022, reflecting a growth of 28.5%[64]. Assets and Liabilities - Non-current assets totaled RMB 142,736,000, a slight decrease from RMB 138,666,000 as of December 31, 2022[18]. - Current assets decreased to RMB 409,383,000 from RMB 416,199,000, reflecting a decline of 1.95%[18]. - Total liabilities increased to RMB 353,557,000 from RMB 320,754,000, marking an increase of 10.21%[20]. - Cash and cash equivalents decreased to RMB 100,423,000 from RMB 182,633,000, a decline of 45.0%[18]. - As of June 30, 2023, trade receivables amounted to RMB 59,479,000, an increase from RMB 39,204,000 as of December 31, 2022, reflecting a growth of approximately 51.7%[86]. - The total trade and other receivables reached RMB 87,596,000 as of June 30, 2023, up from RMB 62,066,000 at the end of 2022, representing a growth of 40.9%[88]. Cash Flow and Financing - For the six months ended June 30, 2023, the net cash outflow from operating activities was RMB (12,655,000), compared to an inflow of RMB 10,610,000 in the same period of 2022[24]. - The company paid dividends totaling RMB 50,300,000 to shareholders during the first half of 2023, marking a significant cash outflow in financing activities[24]. - The net cash outflow from investing activities was RMB (3,709,000) for the first half of 2023, compared to RMB (5,272,000) in the same period of 2022, showing an improvement in cash management[24]. - The Group's outstanding bank borrowings decreased to RMB 12,500,000 as of June 30, 2023, from RMB 15,000,000 at the end of 2022[183]. - The current ratio as of June 30, 2023, was 1.2 times, down from 1.3 times at the end of 2022, while the gearing ratio increased to 1.02 times from 0.84 times[183]. Business Segments - Segment revenue for the new retail business reached RMB 92,021,000, while the IP creation and operation segment generated RMB 32,997,000, totaling RMB 125,018,000 for the six months ended June 30, 2023[56]. - Revenue from health management products and skincare was RMB 87,483,000, while revenue from celebrity IP management surged to RMB 38,379,000, reflecting growth in these areas[58]. - Revenue from the celebrity IP management business increased from RMB 14.6 million in 1H2022 to RMB 38.4 million in 1H2023[163]. - The new retail business generated revenue of RMB 88.7 million in 1H2023, slightly down from RMB 92.0 million in 1H2022[164]. Strategic Initiatives - The company plans to continue expanding its IP portfolio to enhance brand recognition and reputation, leveraging its unique IP-driven traffic and all-domain marketing model[138]. - The company aims to solidify and replicate the success of its unique IP-empowerment business model, which has been a driving force for growth in recent years[137]. - The company is committed to developing high-quality proprietary products while creating synergy effects through its IP creation and operation segment[137]. - The company aims to expand its business beyond Mainland China, having sponsored a concert for Norwegian DJ Alan Walker[160]. - The company is exploring business opportunities in the metaverse, including creating and incubating more IP content and organizing concerts related to celebrity IPs[150]. Human Resources - As of June 30, 2023, the Group had 296 employees, an increase from 250 employees at the end of 2022[193]. - Key management compensation for the six months ended June 30, 2023, was RMB 3,262,000, down from RMB 4,540,000 in the same period of 2022, indicating a decrease of approximately 28.2%[128].

Financial Performance - The company recorded revenue of approximately RMB 151.4 million for the six months ended June 30, 2023, representing a growth of 21.1% compared to RMB 125.0 million in the same period of 2022[2] - Gross profit for the same period was approximately RMB 92.7 million, an increase of about 24.8% from RMB 74.3 million in the prior year[2] - Adjusted net profit (excluding listing expenses and share-based compensation) was approximately RMB 25.0 million, up 16.8% from RMB 21.4 million in the same period of 2022[2] - Operating profit was recorded at RMB 22.7 million, slightly up from RMB 22.0 million in the previous year[4] - The total comprehensive income for the period was RMB 17.1 million, compared to RMB 17.3 million in the same period of 2022[4] - The company reported a net profit attributable to equity holders of RMB 13,027 thousand for the six months ended June 30, 2023, compared to RMB 14,512 thousand for the same period in 2022[25] - The net profit for the first half of 2023 was RMB 16.4 million, with a net profit margin of 10.9%, slightly down from 13.1% in the first half of 2022[50] Revenue Breakdown - For the six months ended June 30, 2023, the total segment revenue was RMB 151,388 thousand, with RMB 88,692 thousand from new retail and RMB 62,696 thousand from IP creation and operation[18] - Revenue from mainland China reached RMB 151,009 thousand, up from RMB 125,018 thousand, indicating a strong growth in the domestic market[21] - Revenue from health management and skincare products was RMB 87,483 thousand, slightly down from RMB 88,533 thousand in the previous year[22] - IP project and event planning and management revenue increased to RMB 19,376 thousand from RMB 8,937 thousand, showing significant growth in this segment[22] - The income from the IP creation and operation segment rose from RMB 33.0 million in the first half of 2022 to RMB 62.7 million in the first half of 2023[39] - The new retail business generated revenue of RMB 88.7 million in the first half of 2023, compared to RMB 92.0 million in the same period of 2022[44] - Sales from the flagship product, Mo Dong Coffee, accounted for RMB 52.8 million in the first half of 2023, representing 59.5% of the new retail business revenue[44] - The new product line "Ai Chi Xian Mo Ren" generated sales of RMB 15.1 million in the first half of 2023, contributing 17.0% to the new retail business revenue[44] - The skincare product sales under the Mo Ji Bo Shi sub-brand reached RMB 3.3 million in the first half of 2023[44] Expenses and Costs - The cost of revenue for the first half of 2023 was RMB 58.7 million, up about 15.8% from RMB 50.7 million in the same period of 2022, primarily due to an increase in the cost of goods sold from RMB 30.4 million to RMB 40.3 million[46] - Sales and marketing expenses rose by approximately 36.4% to RMB 32.6 million in the first half of 2023, driven by increased costs related to live streaming and marketing activities[48] - General and administrative expenses increased to RMB 41.4 million in the first half of 2023 from RMB 27.8 million in the same period of 2022, including employee benefits of RMB 18.4 million and listing-related expenses of RMB 7.9 million[49] Assets and Liabilities - The company’s cash and cash equivalents decreased to RMB 100.4 million from RMB 182.6 million as of December 31, 2022[6] - Total assets amounted to RMB 552.1 million, a slight decrease from RMB 554.9 million at the end of 2022[8] - Total liabilities increased to RMB 353.6 million from RMB 320.8 million at the end of 2022[8] - The company’s equity attributable to owners decreased to RMB 194.8 million from RMB 233.5 million at the end of 2022[7] - Trade and other receivables increased to RMB 87,596 thousand as of June 30, 2023, from RMB 62,066 thousand as of December 31, 2022[28] - Trade and other payables amounted to RMB 54,248,000 as of June 30, 2023, a decrease from RMB 69,010,000 as of December 31, 2022, representing a reduction of approximately 21.3%[32] - Total borrowings decreased from RMB 15,000,000 as of December 31, 2022, to RMB 12,500,000 as of June 30, 2023, reflecting a reduction of 16.7%[36] Corporate Actions and Future Plans - The company plans to continue expanding its new retail business and IP creation and operation in China[9] - The group is collaborating with China Mobile to enter the metaverse ecosystem, launching a digital persona of Jay Chou[40] - The group plans to enhance its core products and media content, focusing on the creation of new IP programs set to air in the second half of 2023[41] - The group aims to expand its brand and business outside of mainland China, sponsoring events like Alan Walker's concert in Norway[41] - The company plans to allocate HKD 60.2 million for diversifying its product portfolio by the end of 2025[58] - HKD 21.8 million is earmarked for R&D in food and beverages, with a similar amount for skincare products[58] - The company intends to enhance brand exposure and product sales through multi-channel networks, allocating HKD 77.4 million for this purpose by the end of 2025[58] Shareholder Information - The company declared a special dividend of HKD 60,000,000 on June 13, 2023, with no interim dividend declared for the six months ending June 30, 2023[31] - The company has not declared an interim dividend for the six months ended June 30, 2023[59] - The audit committee reviewed the unaudited condensed consolidated results for the six months ended June 30, 2023, with no objections raised[63] - The mid-term report for the six months ended June 30, 2023, will be sent to shareholders and published on the company's website[64] Accounting Standards - The company has adopted new accounting standards effective from January 1, 2023, including HKFRS 17 on insurance contracts[12] - The company has not yet adopted several new accounting standards that will become effective on January 1, 2024, including HKAS 1 regarding the classification of liabilities[15] - The financial results are prepared in accordance with Hong Kong Financial Reporting Standards and are presented in RMB[10] - The company’s functional currency is Hong Kong Dollar, but the financial data is presented in RMB[10] - The management's significant accounting estimates and judgments remain consistent with those reported for the year ended December 31, 2022[16] - The company’s board of directors is identified as the chief operating decision maker, evaluating performance based on the type of goods or services delivered[17]