香港交易及結算所有限公司與香港聯合交易所有限公司對本公告的內容槪不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示槪不就因本公告全部或任何部份內容而產生或因依賴 該等內容而引致的任何損失承擔任何責任。 董事會會議召開日期 盈利時控股有限公司（「本公司」）董事會（「董事會」）謹此宣佈， 董事會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）批准刊發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，以及考慮派發二零二五年中期股息（倘適用）。 承董事會命 主席 姚漢明 香港‧二零二五年八月十一日 WINOX HOLDINGS LIMITED 盈 利 時 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：6838） 於本公告日，董事會包括(a)六名執行董事，分別為姚漢明先生、姚達星先生、李 展強先生、羅惠萍女士、周錦榮先生及姚浩婷女士；及(b)三名獨立非執行董事， 分別為侯伯堅先生、黃龍德教授及胡銘霖先生。 ...

香港交易及結算所有限公司與香港聯合交易所有限公司對本公告的內容槪不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示槪不就因本公告全部或任何部份內容而產生或因依賴 該等內容而引致的任何損失承擔任何責任。 本公司董事（「董事」）會（「董事會」）謹此通知本公司股東（「股 東」）及有意投資者，根據對本集團截至二零二五年六月三十日止六個 月（「本期間」）之管理賬目進行之初步審閱及董事會現時所獲取的資 料 ， 董事會 預 期 本集團 於 本期間 錄得介乎 13,000,000 港 元 至 15,000,000 港 元 之虧損 （ 二 零 二 四 年 ： 淨 溢 利 為 9,255,000 港 元）。本期間估計虧損主要歸因於（1）根據精簡人力計劃支付的離職 補償約 10,000,000 港元；及（ 2 ） 整體毛利 率因 市 場競爭激烈而下 跌。 1 本公告所載之資料僅根據就本集團本期間的管理賬目作出的初步審閱， 該等賬目尚未經本公司之核數師審閱。本集團就本期間之中期業績公告 將於二零二五年八月底前刊發。 WINOX HOLDINGS LIMITED 盈 利 時 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司 ...

Group 1 - The financing transaction process involves submitting collateral, applying for financing limits, purchasing target stocks, and repaying funds and interest, while the securities lending process includes submitting collateral, applying for lending limits, selling target stocks, and buying back stocks for repayment [1] - The exchange adjusts the list of financing and securities lending targets quarterly, with new targets needing to meet specific criteria such as an average daily trading volume of at least 50 million yuan over the past three months [2] - Cash is counted as 100% collateral, while stocks are subject to different collateral ratios, such as 70% for blue-chip stocks and 50% for ordinary stocks, affecting the maximum financing amount [3] Group 2 - Interest is calculated daily and charged monthly, with penalties for overdue interest calculated on a compound basis, emphasizing the importance of timely repayments [4] - When the maintenance margin ratio is insufficient, it can be supplemented by depositing cash or transferring eligible securities, with the latter being subject to collateral ratios [7] - Trading restrictions are imposed when the financing balance of a single stock reaches 25% of its circulating market value, halting further financing purchases until it drops below 20% [8] Group 3 - Initial trading should involve small amounts to familiarize with the process, followed by recording trading logic and market responses to improve understanding of the dual trading mechanism [9]

Company Overview - 盈利时控股有限公司 is a global manufacturer of stainless steel watch bands, primarily engaged in original equipment manufacturing for stainless steel products [2] - The company manufactures stainless steel watch bands, fashion jewelry, and accessories for internationally renowned brands based in Europe, as well as stainless steel mobile phone casings and accessories [2] - The company emphasizes quality control, precise manufacturing technology, and a robust quality management system to maintain relationships with clients and meet their needs [2] Financial Performance - As of December 31, 2024, the company reported total revenue of 631 million yuan, a year-on-year decrease of 12.01% [1] - The net profit attributable to shareholders was -18.83 million yuan, representing a year-on-year decrease of 131.9% [1] - The gross profit margin stood at 16.06%, and the debt-to-asset ratio was 19.41% [1] Market Position and Valuation - The company's price-to-earnings (P/E) ratio is -7.32, ranking 87th in the industry, while the average P/E ratio for the textile and apparel industry is -12.84 [1] - The industry median P/E ratio is 3.63, with other competitors like FAST RETAIL-DRS at 0.37 and 浙江永安 at 1.34 [1] - The stock has seen a cumulative decline of 33.87% year-to-date, underperforming the Hang Seng Index by 20.75% [1]

Group 1 - The core issue for NIU Technologies is its struggle to convert revenue growth into profitability, as evidenced by a net loss of 38.84 million RMB in Q1 2025 despite a revenue increase of 35.1% to 682 million RMB [2][4] - The electric two-wheeler industry is experiencing a recovery driven by the "old-for-new" policy, which has positively impacted the financial performance of various companies, including NIU [3][6] - NIU's revenue growth is notable, with Q1 2025 sales volume reaching 203,000 units, a year-on-year increase of over 50%, but the average revenue per unit has declined significantly [6][7] Group 2 - The company's gross margin has decreased to 17.3%, down 1.6 percentage points year-on-year, indicating ongoing challenges in maintaining profitability [2][4] - Despite the positive revenue trends, NIU's stock price fell by over 12% following the earnings report, reflecting investor skepticism about the company's ability to achieve sustainable profitability [2][8] - The competitive landscape is shifting, with NIU needing to decide between pursuing a high-end product strategy or adopting a volume-driven approach to attract a broader consumer base [9]

Financial Performance - Revenue for the fiscal year ended December 31, 2024, decreased by 12.0% to HKD 681,678,000 compared to HKD 774,727,000 in 2023[7] - Gross profit dropped by 51.2% to HKD 109,444,000 from HKD 224,288,000 year-on-year[7] - The company reported a net loss of HKD 20,329,000 for the year, compared to a profit of HKD 63,726,000 in the previous year[15] - Earnings per share showed a loss of HKD 3.4, down from a profit of HKD 10.6 in 2023[7] - For the year ended December 31, 2024, the group's revenue decreased by 12.0% to HKD 681,678,000, compared to HKD 774,727,000 in 2023[26] - The gross profit for the year decreased by 51.2% to HKD 109,444,000, with a gross profit margin decline of 12.9 percentage points to 16.1%[31] - The company reported a loss of HKD 20,329,000 for the year, compared to a profit of HKD 63,726,000 in 2023, resulting in a basic loss per share of HKD 0.034[32] - The company paid dividends of HKD 15,000,000 in 2024, down from HKD 39,000,000 in 2023[188] Revenue Breakdown - Revenue from watch bands and fashion accessories fell by 28.9% and 30.7% respectively due to global demand slowdown[17] - Revenue from smartphone frames and parts increased by 7.3% despite geopolitical tensions affecting orders[17] - The revenue from watch bands decreased by 28.9% to HKD 190,626,000, down from HKD 267,940,000 in 2023[27] - Revenue from mobile phone frames and parts increased by 7.3% to HKD 304,378,000, compared to HKD 283,570,000 in 2023[28] - The largest customer accounted for approximately 19.4% of the total revenue for the year ending December 31, 2024, down from 31.9% in 2023, while the top five customers accounted for 56.1% of total revenue, down from 69.2%[117] Assets and Liabilities - Total assets decreased by 1.9% to HKD 1,169,745,000 from HKD 1,192,807,000[7] - Total borrowings increased by 35.5% to HKD 67,783,000 compared to HKD 50,033,000 in the previous year[7] - The company's current assets net value decreased to HKD 297,079,000 from HKD 381,265,000 in 2023, with cash and bank balances at HKD 222,249,000[45] - The total outstanding bank borrowings increased to HKD 67,783,000 from HKD 50,033,000 in 2023, with a debt-to-asset ratio of 0.06[47] - Current liabilities increased to HKD 224,561,000 in 2024 from HKD 180,860,000 in 2023[187] Operational Efficiency and Cost Management - The company implemented stricter cost-cutting measures to enhance competitiveness in a challenging business environment[18] - The company aims to enhance operational efficiency and optimize resource allocation to ensure long-term stable and sustainable profitability amidst global economic challenges[53] - The group focuses on high-end customers and aims to expand its product range to include mobile and wearable device components to mitigate risks associated with customer concentration[73] Corporate Governance - The company has adopted a board diversity policy, considering factors such as gender, age, and professional experience to enhance board effectiveness[151] - The board consists of ten directors, including six executive directors and four independent non-executive directors, ensuring a diverse skill set and experience[135] - Independent non-executive directors make up at least one-third of the board, with a designated term of three years, ensuring compliance with independence guidelines[138] - The company has received annual confirmations of independence from its four independent non-executive directors, representing one-third of the board[96] - The company has adopted a standard code for securities trading by directors, confirming compliance with regulations up to December 31, 2024[133] Environmental and Social Responsibility - The company emphasizes environmental protection and has implemented monitoring systems to manage waste and pollution in its operations[77] - The company aims to integrate economic growth, environmental protection, and social responsibility into its business strategy to create sustainable value for stakeholders[129] - The company has established an environmental, social, and governance report to inform stakeholders about its sustainable development performance[78] Audit and Compliance - The audit opinion confirms that the consolidated financial statements present a true and fair view of the group's financial position as of December 31, 2024[171] - The auditors assessed the appropriateness of the accounting policies and the reasonableness of accounting estimates made by the directors[181] - The audit involved understanding and evaluating the design and implementation of internal controls related to revenue recognition[177] - The Audit Committee held three meetings during the year ending December 31, 2024, to review the group's interim and annual performance, accounting principles, and internal controls[143] Employee Management - The total number of employees as of December 31, 2024, was 2,455, a decrease from 2,495 in the previous year, with total employee costs amounting to HKD 273,309,000, down from HKD 295,377,000[52] - The company’s employee compensation includes salaries and discretionary bonuses based on group performance and individual contributions[52] - The range of senior management compensation for the year ending December 31, 2024, was between HKD 1,000,001 and HKD 2,000,000[148] Future Outlook - The company is focused on revenue growth while prioritizing long-term stability and sustainable profitability as key strategic measures[53] - The company expects that the application of new standards will not have a significant impact on consolidated financial statements in the foreseeable future[194] - The company has no plans for market expansion or acquisitions mentioned in the provided documents[102]

Financial Performance - The group's revenue for the year ended December 31, 2024, was HKD 681,678,000, a decrease of 12.0% compared to HKD 774,727,000 in 2023[5] - The group's gross profit fell to HKD 109,444,000, down 51.2% from HKD 224,288,000 in the previous year, resulting in a gross margin of 16.1%, a decrease of 12.9 percentage points[8] - The group reported a net loss of HKD 20,329,000 for the year, compared to a profit of HKD 63,726,000 in 2023, with a basic loss per share of HKD 0.034[9] - The total capital expenditure contracted but not provided for was HKD 46,935,000, up from HKD 23,731,000 in 2023, indicating ongoing investment in infrastructure[23] - Pre-tax profit before losses was HKD 69,062,000 in 2024, down from HKD 86,285,000 in 2023, a decrease of 20.0%[39] - Tax expenses for the year 2024 were HKD 1,387,000, significantly lower than HKD 7,205,000 in 2023, a reduction of 80.7%[40] Revenue Breakdown - Revenue from watchbands and fashion accessories decreased by 28.9% and 30.7% respectively, while revenue from mobile phone frames and parts increased by 7.3%[6] - Revenue from mobile phone frames and parts increased to HKD 304,378,000 in 2024 from HKD 283,570,000 in 2023, representing a growth of 7.0%[36] - Revenue from smart wearable device frames and parts decreased to HKD 157,130,000 in 2024 from HKD 180,613,000 in 2023, a decline of 12.9%[36] - Revenue from the Chinese market was HKD 319,033,000 in 2024, down from HKD 335,253,000 in 2023, a decline of 4.3%[37] - Revenue from Switzerland decreased to HKD 177,555,000 in 2024 from HKD 253,505,000 in 2023, a decline of 30.0%[37] - Revenue from Vietnam increased significantly to HKD 40,389,000 in 2024 from HKD 7,764,000 in 2023, a growth of 419.5%[37] Assets and Liabilities - The group's inventory balance as of December 31, 2024, was HKD 64,244,000, an increase of 6.4% from HKD 60,358,000 in 2023, with an inventory turnover period of 39.8 days[16] - Trade receivables amounted to HKD 166,055,000, up from HKD 141,884,000 in the previous year, with a trade receivables turnover period of 82.7 days[17] - Trade payables increased to HKD 116,514,000 from HKD 85,776,000 in 2023, with a trade payables turnover period of 64.7 days[18] - As of December 31, 2024, the group's net current assets amounted to HKD 297,079,000, a decrease from HKD 381,265,000 as of December 31, 2023[19] - The total cash and bank balances were HKD 222,249,000, down from HKD 317,161,000 in the previous year, with 20.9% in HKD, 19.9% in RMB, and 59.1% in USD[19] - The total outstanding bank borrowings increased to HKD 67,783,000 from HKD 50,033,000, with 57,783,000 HKD due within one year[19] Dividends and Shareholder Returns - The group did not recommend the payment of a final dividend for the year ended December 31, 2024[5] - The company confirmed an interim dividend of HKD 0.5 per share for 2024, totaling HKD 3,000,000, while no final dividend was proposed for the year[44] - The interim dividend paid in October 2024 was 0.5 HK cents per ordinary share, down from 1.5 HK cents in 2023, resulting in a total dividend of 0.5 HK cents for the year[55] - The company did not repurchase or redeem any of its listed securities during the year ended December 31, 2024[52] Operational Challenges and Future Plans - The group faced challenges due to a slowdown in global demand for luxury personal goods, impacting sales across its product lines[4] - The group plans to enhance operational efficiency and resource allocation to ensure sustainable profitability amid global economic challenges[26] Employee and Cost Management - The total number of employees decreased to 2,455 from 2,495, with total employee costs amounting to HKD 273,309,000, down from HKD 295,377,000[25] - Total employee costs amounted to HKD 273,309,000 in 2024, compared to HKD 295,377,000 in 2023, reflecting a decrease of 7.5%[39] Financial Ratios and Metrics - The group's debt-to-asset ratio increased to 0.06 from 0.04, indicating a slight rise in leverage[21] - Financing costs decreased to HKD 2,866,000 in 2024 from HKD 4,271,000 in 2023, a reduction of 32.8%[38] Receivables and Overdue Accounts - The total trade and other receivables increased to HKD 231,926,000 in 2024 from HKD 181,219,000 in 2023, reflecting a growth of approximately 28%[45] - Trade receivables amounted to HKD 169,004,000 in 2024, up from HKD 142,768,000 in 2023, indicating an increase of about 18%[45] - As of December 31, 2024, overdue trade receivables amounted to HKD 79,016,000, compared to HKD 54,037,000 in 2023, showing an increase of approximately 46%[48] Reporting and Compliance - The preliminary annual performance announcement will be published on the company's website and the Hong Kong Stock Exchange website[56] - The annual report for the year ending December 31, 2024, will be presented to shareholders by the end of April 2025[56] - The financial figures in the preliminary announcement have been verified by Deloitte, but no opinion or guarantee has been provided regarding the summary[54]

Group 1 - Pony.ai reported a revenue of 548 million yuan for 2024, representing a year-on-year growth of 4.3% [1] - The company's revenue for 2022 and 2023 were 472 million yuan and 510 million yuan respectively, marking three consecutive years of revenue growth [1] - In 2024, Pony.ai's autonomous driving ride-hailing service generated revenue of 53.28 million yuan, while the Robotaxi business achieved a quarterly revenue of 259 million yuan in Q4 [1] Group 2 - The autonomous driving industry is still in a pre-profit state, with WeRide reporting a revenue of 361 million yuan in 2024, down 10% from 402 million yuan the previous year [2] - Mobileye's revenue for 2024 decreased by 20.4% to 1.654 billion USD, with a net loss reaching 3 billion USD [2] - Industry experts emphasize the importance of actual scalable commercial applications and the ability to adapt to new technological changes for autonomous driving companies [2] Group 3 - The profitability plans of autonomous driving companies are now on the agenda, with LoBot planning to achieve break-even in Wuhan by the end of 2024 and full profitability by 2025 [2] - Pony.ai's Robotaxi is expected to reach single-vehicle break-even between 2025 and 2026, with profitability dependent on the speed of Robotaxi deployment [2] - Current regulatory progress and technological advancements may accelerate production capacity ramp-up, potentially leading to profitability before 2029 [2]

[Company Information and Important Dates](index=3&type=section&id=Company%20Information%20and%20Important%20Dates) This section provides essential corporate details, governance structure, and key dates for the 2024 interim dividend [Company Information and Important Dates](index=3&type=section&id=Company%20Information%20and%20Important%20Dates) This chapter outlines the company's core registration details, board composition, contact information, listing specifics, and key dates for the 2024 interim dividend Key Company Information and Interim Dividend Dates | Item | Details | | :--- | :--- | | **Stock Code** | 6838 | | **Listing Place** | Main Board of The Stock Exchange of Hong Kong Limited | | **Financial Year End Date** | December 31 | | **Interim Dividend** | HK 0.5 cents per ordinary share | | **Book Close Period** | September 12 to 16, 2024 | | **Interim Dividend Record Date** | September 16, 2024 | | **Interim Dividend Payment Date** | October 4, 2024 | [Financial Highlights](index=4&type=section&id=Financial%20Highlights) This section presents a summary of the company's financial performance and position, highlighting significant declines in profitability and a stable gearing ratio [Financial Highlights](index=4&type=section&id=Financial%20Highlights) The company experienced significant declines in key financial metrics for the six months ended June 30, 2024, including revenue, gross profit, and profit for the period, while maintaining a low gearing ratio Performance Highlights (For the six months ended June 30) | Performance Highlights (For the six months ended June 30) | 2024 (Unaudited) | 2023 (Unaudited) | Change | | :--- | :--- | :--- | :--- | | **Revenue (HK$ thousands)** | 322,245 | 384,233 | -16.1% | | **Gross Profit (HK$ thousands)** | 68,559 | 109,534 | -37.4% | | **Profit for the Period (HK$ thousands)** | 9,255 | 28,013 | -67.0% | | **Basic Earnings Per Share (HK cents)** | 1.5 | 4.7 | -68.1% | | **Interim Dividend Per Share (HK cents)** | 0.5 | 1.5 | -66.7% | Balance Sheet Highlights | Balance Sheet Highlights | June 30, 2024 (Unaudited) | December 31, 2023 (Audited) | Change | | :--- | :--- | :--- | :--- | | **Total Assets (HK$ thousands)** | 1,153,908 | 1,192,807 | -3.3% | | **Total Borrowings (HK$ thousands)** | 46,025 | 50,033 | -8.0% | | **Net Assets (HK$ thousands)** | 982,587 | 1,008,710 | -2.6% | | **Gearing Ratio** | 0.04 | 0.04 | Unchanged | [Management Discussion and Analysis](index=5&type=section&id=Management%20Discussion%20and%20Analysis) This section provides a comprehensive analysis of the company's operational performance, financial results, liquidity position, and future outlook [Business Review](index=5&type=section&id=Business%20Review) The Group's sales were broadly impacted by a slowdown in luxury consumer goods demand amid global economic challenges, with most product segments declining except for mobile phone casings and components - Global economic challenges led to a slowdown in demand for luxury consumer goods, impacting the Group's product sales[16](index=16&type=chunk) - Performance varied across business segments: - Watch strap revenue decreased by **19.5%** year-on-year - Fashion accessories revenue decreased by **15.6%** year-on-year - Smart wearable device casings and components revenue significantly decreased by **57.8%** year-on-year - Mobile phone casings and components revenue increased by **32.6%** year-on-year[16](index=16&type=chunk) [Financial Review](index=5&type=section&id=Financial%20Review) The Group's total revenue declined by 16.1% to HK$322.2 million, with gross profit and profit for the period significantly impacted by intense market competition and price reductions, despite effective cost control Revenue by Product Segment | Revenue by Product Segment (HK$ thousands) | H1 2024 | H1 2023 | YoY Change | | :--- | :--- | :--- | :--- | | **Mobile Phone Casings and Components** | 152,124 | 114,707 | +32.6% | | **Watch Straps** | 99,701 | 123,796 | -19.5% | | **Smart Wearable Device Casings and Components** | 52,564 | 124,577 | -57.8% | | **Fashion Accessories** | 17,856 | 21,153 | -15.6% | | **Total** | **322,245** | **384,233** | **-16.1%** | - Gross profit decreased by **37.4%** year-on-year to **HK$68.56 million**, with gross profit margin declining from **28.5%** to **21.3%**, primarily due to price reductions from intense domestic market competition[18](index=18&type=chunk) - Profit for the period decreased by **67.0%** year-on-year to **HK$9.26 million**, and basic earnings per share decreased by **68.1%** to **HK 1.5 cents**[18](index=18&type=chunk) - Other income significantly increased by **142.7%** year-on-year to **HK$7.83 million** due to higher interest from bank fixed deposits[21](index=21&type=chunk) - The Group effectively controlled expenses, with sales and distribution costs, administrative and other expenses, and research and development expenses decreasing by **15.8%**, **12.2%**, and **50.4%** year-on-year respectively[22](index=22&type=chunk) [Liquidity, Debt and Outlook](index=7&type=section&id=Liquidity%2C%20Debt%20and%20Outlook) The Group maintained strong liquidity with ample cash and a low gearing ratio, and despite ongoing global economic challenges, it aims to enhance operational efficiency and profitability for sustainable growth - As of June 30, 2024, the Group held bank balances and cash of **HK$283 million** and net current assets of **HK$375 million**[27](index=27&type=chunk) - Outstanding bank borrowings amounted to **HK$46.03 million**, an **8.0%** decrease from the beginning of the period, with the gearing ratio remaining at **0.04**[27](index=27&type=chunk)[28](index=28&type=chunk) - As of June 30, 2024, the Group's total number of employees was approximately **2,408**, a decrease from **2,695** at the end of 2023[30](index=30&type=chunk) - Looking ahead, in the face of ongoing global economic challenges, the Group will focus on enhancing revenue and prioritizing sustained long-term profitability[31](index=31&type=chunk) [Review Report on Condensed Consolidated Financial Statements](index=9&type=section&id=Review%20Report%20on%20Condensed%20Consolidated%20Financial%20Statements) This section presents the auditor's review report on the condensed consolidated financial statements, confirming their preparation in accordance with relevant accounting standards [Review Report on Condensed Consolidated Financial Statements](index=9&type=section&id=Review%20Report%20on%20Condensed%20Consolidated%20Financial%20Statements) Deloitte Touche Tohmatsu issued an unmodified review conclusion on the interim financial statements, affirming their preparation in accordance with Hong Kong Accounting Standard 34 - Auditor Deloitte issued an **unmodified review conclusion** on the interim financial statements[33](index=33&type=chunk) - The scope of a review is significantly narrower than an audit, thus the auditor does not express an audit opinion[33](index=33&type=chunk) [Interim Financial Information](index=10&type=section&id=Interim%20Financial%20Information) This section presents the unaudited condensed consolidated financial statements for the six months ended June 30, 2024, including key statements and detailed notes on performance, position, and cash flows [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=10&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2024, the Group reported a 16.1% decrease in revenue to HK$322.2 million and a 67.0% decline in profit for the period to HK$9.255 million Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Highlights | Item (HK$ thousands) | H1 2024 | H1 2023 | | :--- | :--- | :--- | | **Revenue** | 322,245 | 384,233 | | **Gross Profit** | 68,559 | 109,534 | | **Profit Before Tax** | 12,583 | 32,258 | | **Profit for the Period** | 9,255 | 28,013 | [Condensed Consolidated Statement of Financial Position](index=11&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2024, the Group's total assets slightly decreased to HK$1.154 billion, with total liabilities at HK$171 million and net current assets of HK$375 million, indicating sound liquidity Condensed Consolidated Statement of Financial Position Highlights | Item (HK$ thousands) | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total Assets** | 1,153,908 | 1,192,807 | | **Total Liabilities** | 171,321 | 184,097 | | **Net Assets** | 982,587 | 1,008,710 | | **Net Current Assets** | 374,512 | 381,265 | [Condensed Consolidated Statement of Changes in Equity](index=12&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) Total shareholders' equity decreased from HK$1.009 billion to HK$983 million, primarily due to comprehensive expenses including exchange losses and declared dividends - Total equity at the beginning of the period was **HK$1,008,710 thousand**[36](index=36&type=chunk) - Total comprehensive expenses for the period amounted to **HK$14,123 thousand**, comprising **HK$9,255 thousand** in profit and a **HK$23,378 thousand** decrease in translation reserve (exchange differences)[36](index=36&type=chunk) - Dividends declared during the period totaled **HK$12,000 thousand**[36](index=36&type=chunk) - Total equity at the end of the period was **HK$982,587 thousand**[36](index=36&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=13&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) Net cash generated from operating activities significantly decreased to HK$3.266 million, while investing activities generated HK$33.676 million, and financing activities resulted in a net outflow of HK$18.734 million, with cash and cash equivalents at period-end at HK$248 million Condensed Consolidated Statement of Cash Flows Highlights | Cash Flow Item (HK$ thousands) | H1 2024 | H1 2023 | | :--- | :--- | :--- | | **Net Cash Generated from Operating Activities** | 3,266 | 95,315 | | **Net Cash Generated from (Used in) Investing Activities** | 33,676 | (34,993) | | **Net Cash Used in Financing Activities** | (18,734) | (81,546) | | **Net Increase (Decrease) in Cash and Cash Equivalents** | 18,208 | (21,224) | | **Cash and Cash Equivalents at End of Period** | 247,683 | 246,862 | [Notes to the Condensed Consolidated Financial Statements](index=14&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations and supplementary information for financial statement items, including revenue segmentation, tax basis, dividend distribution, and capital commitments [Note 3. Revenue and Segment Information](index=15&type=section&id=Note%203.%20Revenue%20and%20Segment%20Information) The Group manufactures and sells fine steel products, with mobile phone casings, watch straps, and smart wearable device components as key offerings, and Mainland China and Switzerland as primary markets Revenue by Geographical Region | Revenue by Geographical Region (HK$ thousands) | H1 2024 | H1 2023 | | :--- | :--- | :--- | | **China** | 138,145 | 190,696 | | **Switzerland** | 94,669 | 113,026 | | **Hong Kong** | 45,734 | 41,803 | | **Others** | 44,197 | 38,708 | [Note 7. Dividends](index=19&type=section&id=Note%207.%20Dividends) The Board declared an interim dividend of HK 0.5 cents per ordinary share for the six months ended June 30, 2024, totaling approximately HK$3 million, payable on October 4, 2024 - An interim dividend of **HK 0.5 cents** per share for 2024 was declared, totaling **HK$3,000,000**[48](index=48&type=chunk) - The final dividend of **HK 2.0 cents** per share for the year ended December 31, 2023, totaling **HK$12,000,000**, was paid during the period[48](index=48&type=chunk) [Note 15. Capital Commitments](index=24&type=section&id=Note%2015.%20Capital%20Commitments) As of June 30, 2024, contracted but unprovided capital expenditure significantly increased to HK$51.014 million, primarily for property, plant, equipment, and land use rights - Contracted but unprovided capital expenditure amounted to **HK$51,014 thousand**, a significant increase from **HK$23,731 thousand** at the end of 2023[60](index=60&type=chunk) [Corporate Governance and Other Information](index=25&type=section&id=Corporate%20Governance%20and%20Other%20Information) This section covers the company's corporate governance practices, disclosures on directors' and major shareholders' interests, and other relevant information [Corporate Governance](index=25&type=section&id=Corporate%20Governance) The company maintains high corporate governance standards, largely complying with the Corporate Governance Code, with details on the Audit, Remuneration, and Nomination Committees - The company has adopted and complied with the **Corporate Governance Code**, with no deviations except for Code Provision C.1.6[63](index=63&type=chunk) - The Audit Committee has reviewed the Group's interim results, accounting principles, and internal controls[63](index=63&type=chunk) - All directors confirmed compliance with the **Model Code** for securities transactions by directors during the reporting period[65](index=65&type=chunk) [Interests of Directors, Chief Executive, and Major Shareholders in Securities](index=27&type=section&id=Interests%20of%20Directors%2C%20Chief%20Executive%2C%20and%20Major%20Shareholders%20in%20Securities) This section discloses the interests of directors, the chief executive, and major shareholders in the company's securities, noting the controlling shareholder and spouse's deemed joint holding of approximately 66.34% of shares - Controlling shareholder Mr. Yiu Hon Ming and his spouse Ms. Law Wai Ping (Executive Director) are deemed to collectively own **66.34%** of the company's issued share capital through controlled corporations and personal holdings[67](index=67&type=chunk)[68](index=68&type=chunk) - Major shareholders Ming Fung Investment Limited and Success Hero Holdings Limited hold **66.00%** and **8.50%** of the company's shares respectively[72](index=72&type=chunk) [Other Information](index=30&type=section&id=Other%20Information) During the period, the company had no share transactions or schemes, disclosed a bank financing arrangement with a controlling shareholder's shareholding covenant, and reconfirmed interim dividend distribution and review by auditor and audit committee - During the reporting period, neither the company nor its subsidiaries engaged in any purchase, sale, or redemption of the company's listed securities[75](index=75&type=chunk) - The company has a bank financing arrangement requiring controlling shareholder Mr. Yiu Hon Ming and his family to hold no less than **50%** of the company's issued shares[76](index=76&type=chunk) - The Board declared an interim dividend of **HK 0.5 cents** per share, payable on October 4, 2024[77](index=77&type=chunk)

[Financial Highlights](index=1&type=section&id=Financial%20Highlights) [Key Financial Indicators](index=1&type=section&id=Key%20Financial%20Indicators) The Group experienced a significant decline in performance during the first half of 2024, with double-digit decreases in revenue, gross profit, and profit for the period, yet the Board declared an interim dividend of HK 0.5 cents per share | Indicator | H1 2024 | YoY Change | | :--- | :--- | :--- | | Revenue | 322,245,000 HKD | -16.1% | | Gross Profit | 68,559,000 HKD | -37.4% | | Profit for the Period | 9,255,000 HKD | -67.0% | | Basic EPS | 1.5 HK cents | -68.1% | | Interim Dividend | 0.5 HK cents per share | - | [Management Discussion and Analysis](index=1&type=section&id=Management%20Discussion%20and%20Analysis) [Business Review](index=1&type=section&id=Business%20Review) The Group specializes in high-grade stainless steel products, including watch bands, mobile phone casings, smart wearable device casings, and fashion accessories; while most segments saw sales decline due to global economic challenges and slowing luxury demand, the mobile phone casing and parts business achieved a **32.6%** growth from a low base - The Group's core business involves developing and producing high-grade stainless steel products across four main segments: watch bands, mobile phone casings and parts, smart wearable device casings and parts, and fashion accessories[3](index=3&type=chunk) - Global economic challenges, including high US interest rates, European conflicts, and China's real estate crisis, led to a slowdown in luxury consumer goods demand, negatively impacting the Group's product sales[4](index=4&type=chunk) H1 2024 Revenue YoY Change by Business Segment | Business Segment | H1 2024 Revenue YoY Change | | :--- | :--- | | Mobile Phone Casings and Parts | +32.6% | | Fashion Accessories | -15.6% | | Watch Bands | -19.5% | | Smart Wearable Device Casings and Parts | -57.8% | [Financial Review](index=2&type=section&id=Financial%20Review) The period saw comprehensive financial pressure with total revenue down **16.1%**, gross profit margin contracting **7.2 percentage points** to **21.3%** due to intense market competition, and profit for the period sharply declining by **67.0%**; the company managed expenses, improved inventory turnover despite increased balances, and maintained robust liquidity with a low gearing ratio of **0.04** [Revenue Analysis](index=2&type=section&id=Revenue%20Analysis) Total revenue decreased by **16.1%** year-on-year to **HKD 322 million**, with significant shifts in segment contributions as mobile phone casings and parts surged from **29.9%** to **47.2%** of revenue, becoming the largest source, while smart wearable device casings declined from **32.4%** to **16.3%** Revenue by Business Segment (HK$'000) | Business Segment | H1 2024 Revenue (HK$'000) | H1 2023 Revenue (HK$'000) | YoY Change | | :--- | :--- | :--- | :--- | | Mobile Phone Casings and Parts | 152,124 | 114,707 | +32.6% | | Watch Bands | 99,701 | 123,796 | -19.5% | | Smart Wearable Device Casings and Parts | 52,564 | 124,577 | -57.8% | | Fashion Accessories | 17,856 | 21,153 | -15.6% | | **Total** | **322,245** | **384,233** | **-16.1%** | [Gross Profit and Profit for the Period](index=2&type=section&id=Gross%20Profit%20and%20Profit%20for%20the%20Period) Gross profit decreased by **37.4%** year-on-year to **HKD 68.56 million**, with the gross profit margin contracting by **7.2 percentage points** to **21.3%** due to intense market competition from domestic manufacturers' price reductions, ultimately leading to a **67.0%** decline in profit for the period to **HKD 9.26 million** Gross Profit and Profit for the Period Indicators | Indicator | H1 2024 | H1 2023 | Change | | :--- | :--- | :--- | :--- | | Gross Profit | 68,559,000 HKD | 109,534,000 HKD | -37.4% | | Gross Profit Margin | 21.3% | 28.5% | -7.2 percentage points | | Profit for the Period | 9,255,000 HKD | 28,013,000 HKD | -67.0% | - The primary reason for the decline in gross profit margin was intense market competition driven by price reductions from domestic manufacturers[6](index=6&type=chunk) [Costs and Expenses](index=3&type=section&id=Costs%20and%20Expenses) The Group effectively controlled various expenses; direct material costs increased to **47.7%** of sales costs, while selling and distribution, administrative, and research and development expenses all saw double-digit percentage decreases, with R&D down **50.4%**, and other income grew **142.7%** primarily due to increased bank fixed deposit interest - Within the cost of sales composition, direct material costs increased from **42.3%** to **47.7%**, while direct labor costs decreased from **40.5%** to **36.1%**[7](index=7&type=chunk)[8](index=8&type=chunk) - Other income increased by **142.7%** year-on-year to **HKD 7.83 million**, primarily due to higher interest from bank fixed deposits[9](index=9&type=chunk) - Various operating expenses decreased: - Selling and distribution costs: decreased by **15.8%** - Administrative and other expenses: decreased by **12.2%** - Research and development expenses: decreased by **50.4%**[10](index=10&type=chunk) [Working Capital Analysis](index=3&type=section&id=Working%20Capital%20Analysis) In working capital management, inventory balance increased by **14.1%** from the beginning of the year, but inventory turnover days improved from **51.2** to **46.3** days; trade receivables turnover days slightly increased to **78.9** days, while trade payables turnover days decreased from **65.1** to **61.7** days Working Capital Balances | Indicator | As at June 30, 2024 | As at December 31, 2023 | Change | | :--- | :--- | :--- | :--- | | Inventory Balance | 68,851,000 HKD | 60,358,000 HKD | +14.1% | | Trade Receivables | 137,501,000 HKD | 141,884,000 HKD | -3.1% | | Trade Payables | 86,366,000 HKD | 85,776,000 HKD | +0.7% | Working Capital Turnover Days | Indicator | H1 2024 | 2023 | Change | | :--- | :--- | :--- | :--- | | Inventory Turnover Days | 46.3 Days | 51.2 Days (Same Period) | Improved | | Trade Receivables Turnover Days | 78.9 Days | 77.5 Days (Annual) | Slightly Increased | | Trade Payables Turnover Days | 61.7 Days | 65.1 Days (Annual) | Improved | [Liquidity and Financial Position](index=5&type=section&id=Liquidity%20and%20Financial%20Position) The Group maintained ideal liquidity with **HKD 283 million** in bank balances and cash, and a very low gearing ratio of **0.04**; sales are primarily settled in USD, HKD, and RMB, and while production costs are mainly in RMB, exposing the Group to exchange rate fluctuations, no hedging instruments were used during the period - As at June 30, 2024, the Group held bank balances and cash of **HKD 282.8 million** and net current assets of **HKD 374.5 million**[13](index=13&type=chunk) - The gearing ratio (total borrowings/total assets) remained stable at **0.04** compared to the beginning of the year, indicating a robust financial structure[13](index=13&type=chunk) - Sales are primarily settled in USD (**51.4%**), HKD (**34.3%**), and RMB (**14.3%**), while production costs are mainly paid in RMB, exposing the Group to exchange rate risks; no hedging operations were undertaken by the Group[14](index=14&type=chunk)[15](index=15&type=chunk) [Outlook](index=6&type=section&id=Outlook) Looking ahead, the Group anticipates ongoing global economic challenges and will prioritize long-term profitability by focusing on improving operational efficiency and resource utilization to achieve sustainable growth - The Group anticipates continued global economic challenges, including US trade sanctions against China and geopolitical tensions[19](index=19&type=chunk) - The future strategic focus is to ensure consistent and sustained long-term profitability, to be achieved through improved operational efficiency and optimal resource utilization[19](index=19&type=chunk) [Condensed Consolidated Financial Statements](index=7&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2024, the Group reported revenue of **HKD 322 million** and gross profit of **HKD 68.56 million**; after deducting expenses and taxes, profit for the period was **HKD 9.26 million**, a significant decrease from **HKD 28.01 million** in the prior year period Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (HK$'000) | Item (HK$'000) | H1 2024 | H1 2023 | | :--- | :--- | :--- | | Revenue | 322,245 | 384,233 | | Gross Profit | 68,559 | 109,534 | | Profit Before Tax | 12,583 | 32,258 | | **Profit for the Period** | **9,255** | **28,013** | [Condensed Consolidated Statement of Financial Position](index=8&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As at June 30, 2024, the Group's total assets were **HKD 1.154 billion**, total liabilities **HKD 171 million**, and net assets **HKD 983 million**; net current assets stood at **HKD 375 million**, indicating strong short-term solvency and financial health Condensed Consolidated Statement of Financial Position (HK$'000) | Item (HK$'000) | As at June 30, 2024 | As at December 31, 2023 | | :--- | :--- | :--- | | Non-current Assets | 610,571 | 630,682 | | Current Assets | 543,337 | 562,125 | | **Total Assets** | **1,153,908** | **1,192,807** | | Current Liabilities | 168,825 | 180,860 | | Non-current Liabilities | 2,496 | 3,237 | | **Total Liabilities** | **171,321** | **184,097** | | **Net Assets** | **982,587** | **1,008,710** | [Notes to Financial Statements](index=9&type=section&id=Notes%20to%20Financial%20Statements) [Revenue and Segment Information](index=10&type=section&id=Revenue%20and%20Segment%20Information) This note details revenue by major product and geographical region; mobile phone casings and parts became the largest revenue source, while Mainland China remained the largest market despite a **27.6%** year-on-year revenue decrease, Switzerland saw a **16.2%** decline, and Vietnam's revenue significantly grew from **HKD 1.32 million** to **HKD 15.68 million** Revenue by Major Product (HK$'000) | Product | H1 2024 | H1 2023 | | :--- | :--- | :--- | | Mobile Phone Casings and Parts | 152,124 | 114,707 | | Watch Bands | 99,701 | 123,796 | | Smart Wearable Device Casings and Parts | 52,564 | 124,577 | | Fashion Accessories | 17,856 | 21,153 | Revenue by Geographical Region (HK$'000) | Region | H1 2024 | H1 2023 | | :--- | :--- | :--- | | China | 138,145 | 190,696 | | Switzerland | 94,669 | 113,026 | | Hong Kong | 45,734 | 41,803 | | Vietnam | 15,684 | 1,321 | [Dividends](index=13&type=section&id=Dividends) The Board resolved to declare an interim dividend of **HK 0.5 cents** per ordinary share for the six months ended June 30, 2024, totaling **HKD 3 million**, compared to **HKD 9 million** for the same period last year - The Board declared a 2024 interim dividend of **HK 0.5 cents** per ordinary share, totaling **HKD 3,000,000**[32](index=32&type=chunk) - The total interim dividend paid for the same period in 2023 was **HKD 9,000,000**[32](index=32&type=chunk) [Earnings Per Share](index=13&type=section&id=Earnings%20Per%20Share) Basic earnings per share, calculated based on profit for the period attributable to owners of the Company of **HKD 9.255 million** and a weighted average of **600 million** shares, was **HK 1.5 cents**, a significant decrease from **HK 4.7 cents** in the prior year period; diluted earnings per share is identical to basic earnings per share due to the absence of potential dilutive shares Earnings Per Share Indicators | Indicator | H1 2024 | H1 2023 | | :--- | :--- | :--- | | Profit for the Period (HK$'000) | 9,255 | 28,013 | | Weighted Average Number of Shares | 600,000,000 | 600,000,000 | | **Basic EPS** | **1.5 HK cents** | **4.7 HK cents** | [Corporate Governance and Other Information](index=16&type=section&id=Corporate%20Governance%20and%20Other%20Information) [Corporate Governance and Compliance](index=16&type=section&id=Corporate%20Governance%20and%20Compliance) The company is committed to maintaining high corporate governance standards, complying with all applicable provisions of the Corporate Governance Code during the reporting period, with only one deviation where an independent non-executive director was unable to attend the annual general meeting; furthermore, neither the company nor its subsidiaries purchased, sold, or redeemed any listed securities during the period - The Company complied with the Corporate Governance Code during the reporting period, with the exception of one independent non-executive director who was unable to attend the annual general meeting due to other commitments (a deviation from Code Provision C.1.6)[39](index=39&type=chunk) - All Directors confirmed compliance with the Model Code for Securities Transactions by Directors during the reporting period[41](index=41&type=chunk) - During the period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[40](index=40&type=chunk) [Interim Dividend Details](index=17&type=section&id=Interim%20Dividend%20Details) This section announces the specific arrangements for the interim dividend: an interim dividend of **HK 0.5 cents** per share will be paid on October 4, 2024, to shareholders registered on September 16, 2024, with the share register closed from September 12 to 16 for this purpose - The interim dividend is **HK 0.5 cents** per ordinary share[43](index=43&type=chunk) - The record date for entitlement is September 16, 2024, with payment on October 4, 2024[43](index=43&type=chunk)