Financial Performance - The group's revenue for the year ended December 31, 2023, decreased by approximately 0.6% to about RMB 172,394,000 compared to RMB 173,367,000 in 2022[3] - Gross profit for the same period decreased by approximately 26.1% to about RMB 66,977,000, down from RMB 90,625,000 in 2022[3] - Profit after tax for the year was approximately RMB 23,212,000, representing a decrease of about 48.3% from RMB 44,892,000 in 2022[3] - Basic earnings per share decreased by approximately 48.3% to about RMB 0.045, down from RMB 0.087 in 2022[3] - The company reported a profit before tax of RMB 25,482 thousand, an increase from RMB 23,511 thousand in 2022[35] - The income tax expense for 2023 was RMB 4,141,000, a decrease of 56.5% compared to RMB 9,542,000 in 2022[36] - The company reported a net profit of RMB 23,212,000 for 2023, down 48.3% from RMB 44,892,000 in 2022[41] - Net profit after tax decreased by approximately 48.3% from about RMB 44.9 million to about RMB 23.2 million, with the net profit margin dropping from 25.9% to 13.5%[74] - The company reported a net profit margin of 12% for the fiscal year, indicating strong operational efficiency[142] Dividends and Shareholder Returns - The board proposed a final dividend of RMB 0.0179 per share for the year, down from RMB 0.0346 per share in 2022, subject to shareholder approval[3] - The company declared a final dividend of RMB 17,949,000 for 2023, an increase of 36.2% from RMB 13,141,000 in 2022[40] Revenue Breakdown - Revenue from chip sales increased to RMB 147,394 thousand in 2023, up 3.6% from RMB 142,246 thousand in 2022[29] - Revenue from integrated circuits and other printer consumables decreased to RMB 21,274 thousand, down 31.6% from RMB 31,121 thousand in 2022[29] - Revenue from chip technology and design services was RMB 3,726 thousand, a new addition in 2023[29] - External revenue from customers in China was RMB 153,472 thousand, a decrease of 1.0% from RMB 155,012 thousand in 2022[30] - Revenue from compatible printer consumable chips increased by approximately 0.4% to about RMB 142.8 million, driven by the introduction of 756 new inkjet printer chip models[59] Expenses and Costs - Research and development expenses for the year were RMB 16,282,000, compared to RMB 18,254,000 in 2022, indicating a decrease in R&D investment[5] - R&D expenses (excluding employee costs) were RMB 7,661 thousand, down 20.5% from RMB 9,634 thousand in 2022[35] - Sales and service costs increased from approximately RMB 82.7 million to about RMB 105.4 million, mainly due to rising direct material costs[63] - Administrative expenses rose by approximately 13.9% from about RMB 22.2 million to about RMB 25.3 million, mainly due to increased costs related to material wastage[72] Assets and Liabilities - Total assets as of December 31, 2023, amounted to RMB 371,335,000, compared to RMB 365,470,000 in 2022[7] - Current liabilities decreased to RMB 18,874,000 from RMB 38,802,000 in 2022, reflecting improved liquidity management[7] - The company's cash and cash equivalents decreased to RMB 183,826,000 from RMB 277,131,000 in 2022, indicating a reduction in cash reserves[7] - Trade receivables decreased to RMB 58,433 thousand in 2023, down 22.3% from RMB 75,233 thousand in 2022[33] - Trade payables decreased to RMB 6,187,000 in 2023 from RMB 11,713,000 in 2022, a reduction of 47.2%[46] Financial Reporting Standards - The Group adopted revised Hong Kong Financial Reporting Standards, effective for the current accounting period, including HKFRS 17 on insurance contracts[9] - HKFRS 17, effective from January 1, 2023, introduces a consistent accounting method for insurance contracts, but has no significant impact on the Group's financial statements as it does not fall within its scope[10] - The amendments to HKAS 1 and HKFRS Practice Statement 2 enhance the disclosure of significant accounting policies, but do not affect the measurement or presentation of any items in the Group's consolidated financial statements[12] - The revision of HKAS 8 clarifies the definition of accounting estimates, with no significant impact on the Group's consolidated financial statements as the Group's methods are consistent with the amendments[14] Corporate Governance and Compliance - The company has adopted the corporate governance code as per the listing rules Appendix C1, effective from December 31, 2023, to enhance internal control systems and ensure high corporate governance standards[128] - The audit committee, established on February 26, 2021, consists of three independent non-executive directors, ensuring compliance with the relevant listing rules[130] - The company's auditor, Hong Kong Lixin Dehao CPA Limited, has agreed to the consolidated financial statements, confirming that they comply with applicable accounting standards[132] Future Outlook and Strategy - The group anticipates a GDP growth target of about 5% for China in 2024, amidst a challenging global economic environment[104] - The company plans to launch more new compatible ink cartridge chips in 2024 to enhance its Internet of Things chip business[104] - The company aims to strengthen its market development strategy by establishing sales channels in target regions such as Shenzhen, Shanghai, and Taiwan[54] - The company is actively seeking suitable acquisition opportunities to complement its business strategy, particularly in the semiconductor sector[125] Employee and Shareholder Information - The group has approximately 154 full-time employees as of December 31, 2023, with 134 based in China and 20 in Taiwan, Hong Kong, and overseas[103] - The company maintains a public float in compliance with listing rules since its listing on March 31, 2021[118] - Major shareholders include Mr. Zheng and Mr. Yu, each controlling significant stakes of 29.27% and 18.80% respectively[113]

Financial Performance - Revenue for the six months ended June 30, 2023, was RMB 87,058,000, representing a 14.7% increase from RMB 75,905,000 in 2022[14]. - Cost of sales and services increased by 40.1% to RMB 51,444,000 from RMB 36,725,000[14]. - Gross profit decreased by 9.2% to RMB 35,614,000, with a gross margin of 41%, down from 52%[14]. - Profit before tax fell by 25.6% to RMB 17,584,000 compared to RMB 23,649,000 in the previous year[14]. - Net profit for the period was RMB 14,932,000, a decrease of 25.3% from RMB 19,986,000[14]. - Basic and diluted earnings per share decreased by 25.6% to RMB 0.029 from RMB 0.039[14]. - The net profit decreased by approximately 25.0% from about RMB 20.0 million to approximately RMB 14.9 million, with the net profit margin dropping from 26.3% to 17.2%[44][45]. - The total comprehensive income for the period was RMB 16,692 thousand, down from RMB 23,096 thousand in the same period last year[101]. Assets and Liabilities - Total assets as of June 30, 2023, were RMB 388,799,000, a decrease of 3.8% from RMB 404,272,000[14]. - Total liabilities decreased significantly by 35.1% to RMB 26,264,000 from RMB 40,480,000[14]. - Net asset value slightly decreased by 0.3% to RMB 362,535,000 from RMB 363,792,000[14]. - The company's current assets net value was approximately RMB 344.2 million as of June 30, 2023, compared to RMB 345.0 million as of December 31, 2022[59]. - The total liabilities as of June 30, 2023, amounted to RMB 2.9 million, down from RMB 3.97 million as of December 31, 2022[55]. - The company had no bank borrowings as of June 30, 2023, compared to RMB 1.0 million as of December 31, 2022[60]. Revenue Breakdown - Revenue from compatible printer consumable chips rose by approximately 7.3% from about RMB 62.0 million to about RMB 66.5 million, driven by increased sales of desktop inkjet printer chips[26]. - Revenue from the IoT chip business, including Hall sensor chips, increased by approximately 12.3% to about RMB 2.1 million, reflecting strong demand in various sectors[27]. - Revenue from trading integrated circuits and other printer consumable components increased by approximately 25.8% from about RMB 12.0 million to about RMB 15.1 million, mainly due to increased sales of toner and drum components[28]. - Revenue from chip sales reached RMB 66,473,000, up 7.8% from RMB 62,041,000 in the previous year[120]. - Revenue from integrated circuits and other printer consumables increased to RMB 17,142,000, a rise of 23.4% from RMB 13,864,000[120]. - Revenue from chip technology and design services was RMB 3,443,000, a new revenue stream introduced in 2023[120]. Expenses and Costs - The sales and service costs increased from approximately RMB 36.7 million to about RMB 51.4 million, primarily due to higher procurement costs for materials related to inkjet products[31]. - Research and development expenses decreased by approximately 8.2% from about RMB 9.8 million to approximately RMB 9.0 million, mainly due to a reduction in the number of R&D staff[39]. - Selling and distribution expenses increased by approximately 36.4% from about RMB 2.2 million to approximately RMB 3.0 million, driven by higher depreciation and employee costs[40]. - Administrative expenses rose by approximately 23.7% from about RMB 9.7 million to approximately RMB 12.0 million, mainly due to increased inventory and travel expenses[41]. Market and Business Outlook - The company is focusing on expanding its market presence and developing new technologies[14]. - The company maintains an optimistic outlook for business growth, particularly in the compatible printer consumables chip business, expecting stable performance in the second half of 2023[56]. - The company plans to launch more new models of compatible printer consumables chips and continue building its customer base for IoT chips[56]. Corporate Governance and Compliance - The company has complied with the corporate governance code as per the listing rules during the relevant period[88]. - There have been no significant events after the reporting period up to the approval date of the interim report[93]. Employee and Recruitment - The company had approximately 134 full-time employees as of June 30, 2023, with a focus on recruitment, training, and employee benefits[67].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告 全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 MEGAIN Holding (Cayman) Co., Ltd. 美 佳 音 控 股 有 限 公 司* （於開曼群島註冊成立的有限公司） （股份代號：6939） 截 至2023年6月30日 止 六 個 月 的 中 期 業 績 公 告 摘要 截至2023年6月30日止六個月，本集團的收入約為人民幣87,058,000元，較2022 年同期約人民幣75,905,000元增加約14.7%； 截至2023年6月30日止六個月，本集團的期內利潤約為人民幣14,932,000元， 較2022年同期約人民幣19,986,000元減少約25.3%； 董事並不建議就截至2023年6月30日止六個月派付任何中期股息。 ...

Financial Performance - MEGAIN Holding reported a revenue of HKD 1.26 billion for the fiscal year ending December 31, 2022, representing a year-over-year increase of 15%[2]. - The company achieved a net profit of HKD 250 million, which is a 20% increase compared to the previous year[2]. - The company reported a significant increase in gross margin to 35%, up from 30% in the previous year[2]. - The company reported a net profit of approximately RMB 44,892,000 for the year, representing a year-on-year increase of about 43.6%[28]. - Revenue for the year was RMB 173,367,000, showing a slight increase from RMB 167,867,000 in the previous year[18]. - The gross profit for the year was RMB 90,625,000, with a gross margin of 52.3%[18][20]. - Operating cash flow generated during the year was approximately RMB 55,474,000[28]. - Overall gross profit increased by approximately 4.5% to about RMB 90.6 million, with gross profit margin rising from 51.7% to 52.3%[47]. - Net profit after tax increased by approximately 43.6% to about RMB 44.9 million, with a net profit margin rising from 18.6% to 25.9%[58][59]. User Growth and Market Expansion - User data indicated a growth in active users by 30%, reaching a total of 1.5 million users by the end of 2022[2]. - MEGAIN Holding plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share by 2025[2]. - The company provided a positive outlook for 2023, projecting a revenue growth of 10% to 15% driven by new product launches and market expansion[2]. - The company is exploring potential acquisitions to enhance its product offerings and technological capabilities[2]. - Market expansion plans include entering three new countries by the end of the fiscal year, targeting a 5% market share in each[107]. Research and Development - The company is investing HKD 100 million in research and development for new technologies in integrated circuits and IoT solutions[2]. - The company plans to enhance its core competitiveness by strengthening R&D capabilities in both software and hardware components[31]. - The company developed 35 new chip models during the first half of 2022, including 20 for desktop laser printers and 15 for desktop inkjet printers[34]. - The company has expanded its IoT chip business by developing new products such as power management integrated circuits and battery charging management integrated circuits[35]. - The company submitted 43 patent applications in China during the relevant period, focusing on chip and measurement equipment design and technology[36]. Operational Efficiency and Cost Management - The management emphasized a commitment to improving operational efficiency, aiming for a 10% reduction in costs by the end of 2023[2]. - Research and development expenses were reduced by approximately 7.0%, while sales and distribution expenses decreased by about 4.1%[28]. - Operating expenses were reduced by 10% due to improved efficiency measures implemented in the last year[107]. Dividend and Shareholder Information - The company proposed a final dividend of RMB 3.46 per share for the year ended December 31, 2022[29]. - The company aims to distribute at least 40% of its annual net profit as dividends starting from the fiscal year ending December 31, 2021[124]. - The company reported total dividends paid to shareholders amounting to approximately RMB 18.0 million, with a proposed final dividend of RMB 0.0346 per share[122]. Corporate Governance and Social Responsibility - The company is committed to social responsibility, employee welfare, and sustainable development[137]. - The company has committed to improving corporate governance practices, ensuring compliance with applicable codes and regulations[199]. - The management team emphasized the importance of sustainability in new strategies, aiming for a 30% reduction in carbon footprint by 2025[107]. Risks and Challenges - The company faced semiconductor shortages in the first half of 2022, impacting operational capacity and increasing production costs[28]. - The company faced several risks, including the inability to develop new products, intense competition, and reliance on a limited number of chip models[141]. - The company acknowledged potential impacts on business prospects due to technological advancements and the shift towards digitalization[148]. Employment and Workforce - As of December 31, 2022, the group had approximately 126 full-time employees, with 109 based in China and 17 in Taiwan and Hong Kong[85]. - There were no significant labor disputes or difficulties in recruiting employees during the reporting period[140].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告 全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 MEGAIN Holding (Cayman) Co., Ltd. 美 佳 音 控 股 有 限 公 司* （於開曼群島註冊成立的有限公司） （股份代號：6939） 截 至2022年12月31日 止 年 度 的 全 年 業 績 公 告 業績摘要 本集團於有關期間的收入增加約3.3%至約人民幣173,367,000元（2021年：約人 民幣167,867,000元）。 本集團於有關期間的毛利增加約4.5%至約人民幣90,625,000元（2021年：約人 民幣86,704,000元）。 本集團於有關期間的除所得稅後利潤約為人民幣44,892,000元，增幅約為43.6% （2021年：約人民幣31,263,000元）。 本集團於有關期間的經調整利潤（不包括上市開支及捐款）約為人民幣44,892,000 元，增幅約為10.6%（2021年：約人民幣40,601,000元）。 ...

Financial Performance - MEGAIN Holding reported a revenue of HKD 150 million for the first half of 2022, representing a 20% increase compared to the same period in 2021[2]. - The company achieved a gross profit margin of 35%, up from 30% in the previous year, indicating improved operational efficiency[2]. - MEGAIN Holding expects revenue growth to continue at a rate of 25% for the second half of 2022, driven by new product launches and market expansion[2]. - The company reported a net profit of HKD 30 million, a 15% increase year-over-year, reflecting strong cost control measures[2]. - MEGAIN Holding's cash flow from operations improved by 30%, totaling HKD 40 million, providing a solid foundation for future investments[2]. - The company reported a net profit of RMB 19,986,000 for the period, a significant increase of 167.4% from RMB 7,474,000 in the previous year[21]. - Total comprehensive income for the period reached RMB 23,096 thousand, up from RMB 6,827 thousand, marking a year-on-year increase of 238.5%[129]. - The profit for the period ended June 30, 2022, was RMB 19,986,000, representing a significant increase of 167% compared to RMB 7,474,000 for the same period in 2021[175]. Revenue Breakdown - Revenue for the six months ended June 30, 2022, was RMB 75,905,000, an increase of 13.0% from RMB 67,162,000 in the same period of 2021[21]. - Revenue from compatible printer consumable chips rose by approximately 4.0% from RMB 59.7 million to RMB 62.0 million, driven by an increase in sales of desktop laser printer chips from RMB 33.2 million to RMB 54.6 million[35]. - Revenue from the sale of Hall sensor chips, a new product launched in June 2021, increased by approximately 107.3% from RMB 0.9 million to RMB 1.8 million[36]. - Revenue from trading integrated circuits and other printer consumable components increased by approximately 81.9% from RMB 6.6 million to RMB 12.0 million, mainly due to increased sales of toner and drum components[37]. - Revenue from chip sales was RMB 62,041 thousand, up 2.4% from RMB 60,553 thousand year-on-year[156]. - Revenue from the sale of integrated circuits and other printer consumables was RMB 13,864 thousand, significantly increasing by 109.0% from RMB 6,609 thousand in the previous year[156]. - Revenue from external customers in China was RMB 67,455 thousand, a 21.5% increase from RMB 55,512 thousand in the same period of 2021[160]. Research and Development - The company is investing HKD 50 million in R&D for new technologies, focusing on IoT and integrated circuits[2]. - The company submitted 15 patent applications in China during the reporting period, aimed at enhancing its competitive edge in chip and measurement equipment design[29]. - Research and development expenses increased by approximately 5.1% from RMB 9.3 million to RMB 9.8 million, primarily due to increased salaries and benefits for the R&D team[50]. - The company aims to establish long-term relationships with a few large customers in the IoT chip market, rather than pursuing a fragmented market approach[26]. - The company plans to gradually launch a new series of Hall sensor chips for various electronic products, including automotive and 5G base stations[44]. Market Expansion and Strategy - MEGAIN Holding plans to expand its market presence in Southeast Asia, targeting a 10% market share by the end of 2023[2]. - The company has identified potential acquisition targets in the tech sector to enhance its product offerings and market reach[2]. - MEGAIN Holding's management emphasized a strategic shift towards digital transformation and e-commerce integration[2]. - The company aims to maintain its leading position in China as a supplier of compatible printer consumable chips through product development and potential acquisitions[73]. Financial Position and Assets - The total assets as of June 30, 2022, were RMB 373,637,000, an increase of 3.7% from RMB 360,158,000 at the end of 2021[21]. - Cash and cash equivalents as of June 30, 2022, were approximately RMB 244.4 million, up from RMB 238.3 million as of December 31, 2021[75]. - As of June 30, 2022, the company's leverage ratio was approximately 1.2%, down from 1.5% as of December 31, 2021, indicating a strong financial position due to reduced bank borrowings[78]. - The company had no pledged assets as of June 30, 2022[79]. - The company has maintained sufficient financial resources for continued operations in the foreseeable future[102]. Shareholder Information - Major shareholders included GMTL and AGL, each holding approximately 36.87% of the shares as of June 30, 2022[93]. - The company did not hold any significant investments as of June 30, 2022[82]. - The board did not recommend any interim dividend for the six months ended June 30, 2022[87]. - The final dividend declared for the year ended December 31, 2021, was RMB 13,141,000, compared to RMB 5,747,000 for the year ended December 31, 2020, reflecting an increase of 129%[174]. Operational Efficiency - The company reported a basic and diluted earnings per share of RMB 0.039, up from RMB 0.017 in the previous year, representing a growth of 129.4%[129]. - The net profit margin increased from 11.1% to 26.3% during the period, attributed to the aforementioned factors[57]. - Sales and distribution expenses decreased by approximately 14.6% from RMB 2.5 million to RMB 2.2 million due to reduced employee costs in the sales team[51]. - Administrative expenses decreased by approximately 28.1% from RMB 13.5 million to RMB 9.7 million, primarily due to a reduction in donations[52]. Risks and Compliance - The company faced foreign exchange risk due to fluctuations in the RMB against USD or HKD, but no significant translation impact was reported during the period[85]. - The company has complied with the corporate governance code as per the listing rules during the reporting period[113]. - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[101]. - There were no significant contingent liabilities reported for the periods ending June 30, 2022, and June 30, 2021[80].

Financial Performance - MEGAIN Holding reported a revenue of HKD 1.26 billion for the fiscal year 2021, representing a year-on-year increase of 15%[9] - The company achieved a net profit of HKD 250 million, which is a 20% increase compared to the previous year[9] - Revenue for the year ended December 31, 2021, was RMB 167,867 thousand, representing a decrease of 1.1% compared to RMB 168,783 thousand in 2020[45] - Gross profit for 2021 was RMB 86,704 thousand, down from RMB 87,072 thousand in 2020, indicating a slight decline of 0.4%[45] - Profit before tax for 2021 was RMB 38,431 thousand, an increase of 6.9% from RMB 35,938 thousand in 2020[45] - Net profit attributable to owners of the company for 2021 was RMB 31,263 thousand, compared to RMB 28,750 thousand in 2020, reflecting an increase of 8.8%[45] - The company reported a revenue of RMB 167.9 million, representing a year-on-year growth of 7.1%[59] - The net profit attributable to the company was RMB 31.3 million, reflecting an increase of 8.7% compared to the previous year[59] - Net profit after tax increased by approximately 8.7% from about RMB 28.8 million to approximately RMB 31.3 million, with a net profit margin rising from 18.3% to 18.6%[102] Market Expansion and Strategy - MEGAIN Holding plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share by 2023[9] - The company is exploring potential acquisitions to enhance its technology portfolio and expand its product offerings[9] - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[45] - The company is focused on enhancing its product offerings and exploring potential mergers and acquisitions to strengthen its competitive position[45] - The company aims to explore opportunities in the IoT chip industry, which aligns with its core competencies[60] - The company intends to expand its presence in the compatible printer consumables industry through vertical integration[143] - The company emphasizes strengthening sales and marketing efforts to align with its product portfolio expansion[143] Research and Development - The company is investing HKD 100 million in R&D for new product development, focusing on IoT technologies and integrated circuits[9] - The company developed 123 new models of compatible printer consumable chips during the reporting period[66] - Research and development expenses rose by approximately 34.1% from about RMB 14.6 million to approximately RMB 19.6 million, primarily due to increased spending on compatible printer consumables and IoT chip projects[95] - The company established a new research center in Taiwan to enhance integrated circuit design capabilities, aiming to reduce costs in the long term[71] Financial Position and Ratios - Total assets as of December 31, 2021, were RMB 330,040 thousand, up from RMB 175,400 thousand in 2020, showing a significant increase of 88.1%[46] - Current assets increased to RMB 340,910 thousand in 2021 from RMB 185,062 thousand in 2020, marking an increase of 84.3%[46] - Current liabilities for 2021 were RMB 30,118 thousand, a decrease from RMB 21,837 thousand in 2020, indicating a reduction of 37.9%[46] - The current ratio improved to 11.3 in 2021, up from 8.5 in 2019[49] - The quick ratio also increased to 10.7 in 2021, compared to 7.9 in 2019[49] - The leverage ratio was approximately 1.5% as of December 31, 2021, indicating a low level of debt relative to equity[132] Product Development and Sales - MEGAIN Holding has launched a new line of compatible ink cartridge chips, which are expected to capture 15% of the market share within the first year of launch[9] - The company developed a new IoT product, a Hall sensor chip, which is expected to tap into a high-growth market in China with an estimated compound annual growth rate of 11.8%[70] - Revenue from the sale of compatible printer consumable chips decreased by approximately 11.0% from about RMB 144.4 million to about RMB 128.6 million[79] - Revenue from the trading of integrated circuits and other printer consumable components increased from approximately RMB 12.4 million to about RMB 30.8 million, driven by strong demand for toner in the second half of the period[81] Corporate Governance and Compliance - The company has not experienced any significant violations or non-compliance with applicable laws and regulations that would materially impact its business and operations[200] - The company has adopted a dividend policy aiming to distribute no less than 40% of the group's annual net profit attributable to equity shareholders starting from the fiscal year ending December 31, 2021[183] - The company has no knowledge of any shareholders waiving or agreeing to waive any dividend arrangements[182] Employee and Management - As of December 31, 2021, the company had approximately 152 full-time employees, with 125 based in China and 27 in Taiwan and Hong Kong[141] - The management team has extensive experience, with key members having over J years in the industry, enhancing the company's operational capabilities[164] - The company has appointed K as the new CFO, who brings L years of financial expertise to strengthen financial oversight[162] Social Responsibility - The company is committed to social responsibility, employee welfare, and environmental protection, aiming for sustainable development[198]

Financial Performance - MEGAIN Holding reported a revenue of HKD 150 million for the first half of 2021, representing a 25% increase compared to the same period in 2020[12]. - The company reported a net profit of HKD 45 million, a significant increase of 50% year-over-year[12]. - Revenue for the six months ended June 30, 2021, was RMB 67,162,000, a decrease of 22.4% from RMB 86,598,000 in the same period of 2020[17]. - Adjusted profit for the period, excluding listing expenses and donations, was RMB 16,812,000, down 37.2% from RMB 26,753,000 in 2020[17]. - The net profit for the period was RMB 7,474,000, a decline of 49.3% from RMB 14,715,000 in the previous year[136]. - The total comprehensive income for the period was RMB 6,827,000, down from RMB 14,560,000 in the previous year, indicating a decline of about 53%[148]. Operational Efficiency - The company achieved a gross profit margin of 40%, up from 35% in the previous year, indicating improved operational efficiency[12]. - Gross profit for the same period was RMB 39,661,000, down from RMB 46,253,000, reflecting a gross margin decrease[136]. - The gross profit decreased by approximately 14.3% from RMB 463 million to RMB 397 million, while the gross profit margin increased from 53.4% to 59.1%[38]. - Gross margin for compatible printer consumable chips increased from approximately 58.9% to 65.7%, driven by higher margins from newly launched desktop laser printer chips[41]. Market Expansion and Strategy - MEGAIN Holding plans to expand its market presence in Southeast Asia, targeting a 20% market share by the end of 2022[12]. - Future guidance indicates expected revenue growth of 30% for the second half of 2021, driven by new product launches and market expansion[12]. - The company is investing HKD 30 million in R&D for new product development, focusing on integrated circuit technology[12]. - The company plans to enhance product development capabilities and diversify its product offerings as part of its business strategy[68]. - The company aims to acquire integrated circuit design companies to accelerate hardware design capabilities[68]. Research and Development - The company developed 48 new chip models during the reporting period, including 4 for desktop laser printers and 40 for desktop inkjet printers[22]. - Research and development expenses increased by approximately 56.2% from RMB 5.9 million to RMB 9.3 million, mainly due to an increase in the number of R&D staff and related material costs[46]. - Research and development expenses (excluding employee costs) increased to RMB 5,059 thousand, compared to RMB 3,381 thousand in the previous year, reflecting a growth of 49.6%[171]. Assets and Liabilities - Total assets as of June 30, 2021, were RMB 326,918,000, a 65.7% increase from RMB 197,237,000 at the end of 2020[17]. - Total liabilities were RMB 22,123,000, a decrease of 5.3% from RMB 23,366,000 at the end of 2020[17]. - The current ratio improved to 14.6 from 8.5, reflecting a 72.5% increase[18]. - Current assets increased from approximately RMB 185.1 million to RMB 313.5 million, primarily due to cash raised from the listing[55]. Challenges and Market Conditions - The company continues to face challenges in the compatible printer consumables chip industry due to the impact of the COVID-19 pandemic[21]. - The company anticipates a stable recovery of the Chinese economy in the second half of 2021, although global economic recovery remains uncertain[68]. Shareholder Information - The board of directors did not recommend any interim dividend for the six months ended June 30, 2021[82]. - The company declared a final dividend of RMB 5,747,000 for the year ended December 31, 2020, down from RMB 29,677,000 for the year ended December 31, 2019[179]. - As of June 30, 2021, GMTL and AGL each hold approximately 36.87% of the company's shares, while another major shareholder, Loyal, holds 18.80%[87][88]. Compliance and Governance - The company has maintained compliance with the corporate governance code and has established an audit committee to oversee financial reporting[126]. - The board is committed to high standards of corporate governance and aims to create value for shareholders while maximizing returns[121].

Financial Performance - MEGAIN Holding reported a revenue of HKD 1.26 billion for the fiscal year ending December 31, 2020, representing a year-over-year increase of 15%[9]. - The company achieved a net profit of HKD 250 million, which is a 20% increase compared to the previous year[9]. - Revenue for 2020 was RMB 156,783 thousand, a decrease of 0.5% compared to RMB 157,625 thousand in 2019[21]. - Gross profit for 2020 was RMB 87,072 thousand, representing a gross margin of 55.5%[21][25]. - Net profit attributable to the company’s owners for 2020 was RMB 28,750 thousand, down from RMB 41,313 thousand in 2019, reflecting a net profit margin of 18.3%[21][25]. - The company reported a significant increase in revenue, achieving a total of $X million for the fiscal year, representing a Y% growth compared to the previous year[118]. - The company reported a total profit of RMB 29,677,000 for the year ended December 31, 2019, and RMB 20,907,000 for the year ended December 31, 2018[145]. Market Expansion and Strategy - MEGAIN Holding plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share by 2022[9]. - The company is exploring potential acquisitions to enhance its product offerings and market reach, with a budget of HKD 200 million allocated for this purpose[9]. - The company plans to focus on expanding its market presence and enhancing product development in the upcoming year[21]. - The company aims to expand its market presence in the compatible printer consumable industry through vertical integration and diversification of its product offerings[35]. - Market expansion plans include entering G new regions, which are projected to increase market share by H%[118]. - The company is considering strategic acquisitions to bolster its market position, with potential targets identified in the I sector[118]. Research and Development - The company is investing HKD 100 million in R&D for new product development, focusing on IoT technologies and integrated circuits[9]. - The company plans to enhance product development capabilities and diversify its product offerings as part of its future strategy[106]. - The company aims to acquire integrated circuit design companies to accelerate hardware design capabilities[106]. - Research and development expenses increased by approximately 57.9% from approximately RMB 93 million for the year ended December 31, 2019, to approximately RMB 146 million for the relevant period, primarily due to an increase in the number of R&D team employees and related costs[63]. Financial Health and Liquidity - Current ratio improved to 8.5 in 2020, compared to 5.6 in 2019, indicating stronger liquidity[25]. - The company has maintained a strong cash position, with current assets totaling RMB 185,062 thousand in 2020[22]. - The current ratio improved from 5.6 as of December 31, 2019, to 8.5 as of December 31, 2020, indicating better liquidity[82]. - The company has sufficient financial resources to continue operating for the foreseeable future, as indicated by the going concern basis of preparation for the financial statements[170]. Dividend Policy - MEGAIN Holding's board has approved a dividend payout of HKD 0.05 per share, reflecting confidence in the company's financial health[9]. - The board proposed a final dividend of HKD 0.0133 per share, equivalent to RMB 1.11 per share, totaling approximately RMB 5,750,000, subject to shareholder approval[145]. - The company aims to distribute dividends of no less than 40% of the group's annual net profit attributable to equity shareholders starting from the fiscal year ending December 31, 2021[146]. - The company has adopted a dividend policy that allows for distribution through cash or other means deemed appropriate by the board[146]. Operational Challenges - The company maintained stable operations despite the impact of the COVID-19 pandemic, with no significant disruptions in supply chain or customer relationships reported[41]. - The company experienced delays in product delivery to overseas customers due to global transportation disruptions caused by the pandemic, but demand for compatible printer consumables gradually recovered[41]. - The company experienced a significant drop in sales of ink cartridge chips due to inventory buildup by customers and disruptions caused by the COVID-19 pandemic[52]. Corporate Governance and Structure - The company was incorporated as an exempted company in the Cayman Islands on June 22, 2016, and its shares were listed on the main board of the Stock Exchange on March 31, 2021[143]. - The total remuneration paid to the five highest-paid individuals, including directors, during the relevant period is detailed in the financial statements, with no directors waiving any remuneration[178]. - Directors and key executives hold approximately 38.25% of the company's shares, with Mr. Zheng and Mr. Li each controlling 191,250,000 shares[199]. - The stock option plan allows for a maximum issuance of 50,000,000 shares, representing 10% of the total shares issued as of the report date, which is 500,000,000 shares[184].