Strategic Focus and Business Development - The company has shifted its strategic focus to the third generation of internet business starting in 2024, emphasizing applications, investments, and computing power services [4]. - The company acquired a 35% stake in Element, a popular NFT trading market, which will enhance its development in the third generation internet sector [6]. - The company is actively developing new tools such as the NFT Creator Studio and a Token Bridge aggregator to enhance its NFT offerings [6]. - The company aims to explore micro-short drama business as part of its long-term development strategy [5]. - The company is committed to deepening its strategic deployment in the gaming and film sectors [5]. - The company is planning to establish a dedicated cryptocurrency asset management company, responding to the growing demand for professional cryptocurrency asset management services [7]. Financial Performance - The company's revenue decreased by approximately 40.3%, from RMB 985 million for the six months ended June 30, 2023, to RMB 588 million for the six months ended June 30, 2024 [13]. - Total revenue for the six months ended June 30, 2024, was approximately RMB 58.8 million, a decrease of 40.4% compared to RMB 98.5 million for the same period in 2023 [14]. - Gross profit for the six months ended June 30, 2024, was approximately RMB 14.7 million, a decrease of 34.1% from RMB 22.3 million in the same period last year [17]. - Operating loss for the six months ended June 30, 2024, was approximately RMB 13.7 million, compared to an operating loss of RMB 12.2 million in the same period of 2023 [20]. - The company reported a net loss of RMB (13,681,000) for the six months ended June 30, 2024, compared to a loss of RMB (12,216,000) in the same period of 2023 [129]. - The total comprehensive loss for the period was RMB 11,027,000, compared to RMB 7,264,000 in the prior year, indicating an increase in comprehensive loss of approximately 51.0% [89]. Revenue Breakdown - Game business revenue dropped to RMB 23.3 million in 2024 from RMB 47.0 million in 2023, reflecting a significant decline [13]. - Film and television business revenue also fell to RMB 35.5 million in 2024 from RMB 51.5 million in 2023 [13]. - Revenue from customers in China decreased to RMB 51,028,000 from RMB 79,610,000, a decline of 35.8% [130]. - The film and television business achieved an operating profit of RMB 2,941,000, improving from a loss of RMB (1,890,000) in the prior year [129]. Cryptocurrency Investments - The company has invested in 43.3396 units of Bitcoin and 848.386 units of Ethereum, with a total cash cost of approximately $8.8 million [6]. - The company plans to continue purchasing more cryptocurrencies to further preserve and increase asset value, especially following the SEC's approval of spot Bitcoin and Ethereum ETFs [6]. - The company holds investments in cryptocurrencies valued at approximately USD 8.8 million, including 142.8539 units of Bitcoin and 848.386 units of Ethereum as of June 30, 2024 [32]. - The group purchased cryptocurrencies, including 43.3396 units of Bitcoin and 848.3860 units of Ethereum, for a total cash consideration of USD 5,904,000 (approximately RMB 41,927,000) [146]. Operational Metrics - In the first half of 2024, Element Market recorded 649,241 unique trading addresses, 2,546,332 transactions, and a total trading volume of approximately $234.59 million [6]. - The remastered version of "Naughty Heaven 1" has over 20 million registered users and emphasizes fair competition, officially launching in August 2024 [8]. - "Naughty Heaven 2," a tower defense card game, is set to launch in September 2024, having received its game license in April 2023 [9]. - The fantasy romance drama "Nian Nian Ren Jian Yu" has garnered 22.6 million paid views since its release on July 31, 2024 [11]. - The company is expanding into the short drama market, with several micro-dramas set to premiere starting August 2024 [12]. Compliance and Governance - The management has confirmed that the information in the report is accurate and complete, with no misleading elements [4]. - The audit committee has reviewed the unaudited interim financial results for the six months ending June 30, 2024, confirming the accounting principles adopted by the company [42]. - The company complied with the corporate governance code as outlined in the GEM Listing Rules during the six months ending June 30, 2024 [74]. - As of June 30, 2024, all directors confirmed compliance with the trading standards regarding the buying and selling of the company's securities [77]. Shareholder Information - The total number of issued shares as of June 30, 2024, is 367,974,964 [44]. - Major shareholder Zhu Li holds 21.53% of the company's shares, totaling 79,216,540 shares [49]. - The company holds 21.53% equity interest through Wangfeng Management Limited, which owns 66,576,160 shares [43]. - The company has not declared an interim dividend for the six months ending June 30, 2024 [41]. Employee Compensation and Stock Options - The total employee compensation for the six months ended June 30, 2024, is approximately RMB 21.2 million, down from RMB 25.7 million for the same period in 2023 [30]. - The company has not purchased any shares on the stock exchange to meet the exercise needs of RSUs during the reporting period [55]. - The total number of RSUs granted to the top five highest-paid individuals as of June 30, 2024, includes significant allocations to directors Wang Feng, Liao Mingxiang, and Qi Yunxiao [56]. - The company has a stock option plan approved on November 20, 2014, with various grants made at exercise prices ranging from HKD 0.335 to HKD 8.10 [62]. Asset and Liability Management - Total assets increased to RMB 361,630 thousand as of June 30, 2024, compared to RMB 320,566 thousand as of December 31, 2023, reflecting a growth of approximately 12.8% [90]. - Current liabilities increased to RMB 111,130 thousand from RMB 70,746 thousand, marking a rise of approximately 57% [92]. - The company incurred RMB 41,927,000 in the purchase of intangible assets during the reporting period, compared to RMB 6,439,000 in the previous year [103]. - The company reported a cumulative loss of RMB 1,891,392 thousand as of June 30, 2024, compared to RMB 1,878,628 thousand at the end of 2023, reflecting an increase in losses of about 0.67% [91].

Financial Performance - For the six months ended June 30, 2024, the company's revenue was approximately RMB 58.8 million, a decrease of about 40.3% compared to RMB 98.5 million for the same period in 2023[2]. - The gross profit for the six months ended June 30, 2024, was approximately RMB 14.7 million, down approximately 34.1% from RMB 22.3 million for the same period in 2023[2]. - The net loss attributable to the owners of the company for the six months ended June 30, 2024, was approximately RMB 12.8 million, compared to a net loss of RMB 12.9 million for the same period in 2023[2]. - The operating loss for the six months ended June 30, 2024, was RMB 13.7 million, compared to an operating loss of RMB 12.2 million for the same period in 2023[4]. - The company reported a total comprehensive loss of RMB 11.0 million for the six months ended June 30, 2024, compared to a total comprehensive loss of RMB 7.3 million for the same period in 2023[5]. - The basic and diluted loss per share for the six months ended June 30, 2024, was RMB 0.037, unchanged from the same period in 2023[5]. - The group reported an operating loss of RMB 13,681 thousand for the six months ended June 30, 2024, compared to an operating loss of RMB 12,216 thousand for the same period in 2023[21]. - The group's revenue decreased by approximately 40.3% from RMB 98.5 million for the six months ended June 30, 2023, to RMB 58.8 million for the six months ended June 30, 2024[48]. Assets and Liabilities - Total assets as of June 30, 2024, amounted to RMB 361.6 million, an increase from RMB 320.6 million as of December 31, 2023[6]. - Total liabilities rose to RMB 113,138 thousand, up from RMB 72,906 thousand, marking an increase of 55.4%[8]. - The company's accumulated losses reached RMB 1,891,392 thousand, up from RMB 1,878,628 thousand, indicating a continued trend of increasing losses[9]. - The company's total assets increased to RMB 361,630 thousand from RMB 320,566 thousand, reflecting a growth of 12.8%[8]. - The group's non-current assets as of June 30, 2024, totaled RMB 88,324 thousand, an increase from RMB 36,957 thousand as of December 31, 2023[23]. Cash Flow and Investments - Cash flow from operating activities showed a significant increase to RMB 46,475 thousand, compared to a cash outflow of RMB 5,718 thousand in the previous year[12]. - Cash and cash equivalents as of June 30, 2024, were RMB 92.0 million, compared to RMB 77.7 million as of December 31, 2023[6]. - The group reported a cash outflow from investing activities of RMB 32,330 thousand, compared to RMB 29,875 thousand in the previous year, indicating an increase in investment expenditures[12]. - Total capital expenditure for the six months ended June 30, 2024, was approximately RMB 43.9 million, significantly up from RMB 10.4 million in the same period of 2023, primarily due to cryptocurrency purchases[60]. Revenue Breakdown - Revenue from the gaming business was RMB 23,334 thousand, down 50.4% from RMB 47,044 thousand in the previous year[21]. - Revenue from the film and television business was RMB 35,453 thousand, a decrease of 31.1% compared to RMB 51,487 thousand in the same period last year[21]. - Revenue from customers in China was RMB 51,028 thousand, down 35.8% from RMB 79,610 thousand in the previous year[21]. - Revenue from South Korea was RMB 6,984 thousand, a decrease of 19.7% compared to RMB 8,699 thousand in the same period last year[21]. - The group recognized revenue from customer contracts of RMB 55,380 thousand for the six months ended June 30, 2024, down 24.0% from RMB 72,809 thousand in 2023[22]. Expenses - Sales and marketing expenses for the six months ended June 30, 2024, were approximately RMB 7.7 million, an increase of about 86.9% from RMB 4.1 million in the same period of 2023[52]. - Administrative expenses for the six months ended June 30, 2024, were approximately RMB 10.3 million, a decrease of about 34.8% from RMB 15.8 million in the same period of 2023[54]. - Research and development expenses for the six months ended June 30, 2024, were RMB 10.3 million, compared to RMB 13.7 million for the same period in 2023[4]. Strategic Initiatives - The company plans to focus on the third-generation internet business as a strategic priority starting in 2024, with significant investments in applications, cryptocurrency, and AI computing services[41]. - The company is actively planning to establish a dedicated cryptocurrency asset management company to meet the growing market demand for professional cryptocurrency asset management services[44]. - The company has initiated a partnership with EcoPowX to provide sustainable power solutions for AI computing and Bitcoin networks, expected to commence operations in Q3 2024[43]. Corporate Governance - The board of directors did not recommend the payment of an interim dividend for the six months ended June 30, 2024[67]. - The company is committed to transparency and timely disclosure of information to stakeholders[75]. - The board structure reflects a balance between executive and independent oversight[75]. - The company aims to enhance corporate governance through its board composition[75].

Business Strategy and Development - The company reported a significant focus on self-developed IP products, with the sequel to "Naughty Heaven" nearing large-scale public testing after a year of multiple rounds of testing[9]. - The company aims to produce high-quality self-developed games and film works within its annual budget constraints, supported by a stable and professional management team[12]. - The company is focusing on high-quality IP reserves in its film and television business, with plans to launch more quality productions in 2024[9]. - The company is expanding its third-generation internet gaming platform and gamified financial issuance under the leadership of Mr. Lai Weifeng, appointed on February 8, 2023[20]. - The company plans to focus future capital expenditures primarily on gaming and film IP development[55]. - The company plans to actively participate in establishing a cryptocurrency asset management company and apply for a cryptocurrency asset management license in Hong Kong[12]. - The company plans to establish a headquarters for its third-generation internet business in Hong Kong, aiming to connect with the global cryptocurrency industry[10]. - The company is currently considering quantitative targets for board diversity, although no specific targets have been set as of the report date[94]. Financial Performance - The company's revenue for the fiscal year ending December 31, 2023, was approximately RMB 135.5 million, an increase of about 90.6% compared to RMB 71.1 million for the fiscal year ending December 31, 2022[34]. - The cost of goods sold for the fiscal year ending December 31, 2023, was approximately RMB 101.2 million, representing an increase of about 102.0% from RMB 50.1 million in the previous year[39]. - The gross profit for the fiscal year ending December 31, 2023, was approximately RMB 34.3 million, a 64.1% increase from RMB 20.9 million in the previous year, with a gross margin of 25.3%[40]. - The gaming business contributed approximately RMB 70.1 million in revenue for the fiscal year ending December 31, 2023, an increase of about 5.4% from RMB 66.5 million in the previous year[37]. - The film and television business generated approximately RMB 65.4 million in revenue for the fiscal year ending December 31, 2023, a significant increase of about 1,321.7% from RMB 4.6 million in the previous year[37]. - The company reported a net loss of approximately RMB 17.0 million for the fiscal year ending December 31, 2023, a decrease of 72.2% from a net loss of RMB 61.1 million in the previous year[33]. - The adjusted net loss for the year ended December 31, 2023, was approximately RMB 13.8 million, a decrease of about 67.8% from RMB 42.7 million for the year ended December 31, 2022, attributed to recognized revenues from new projects and further cost reductions[50]. - Cash and cash equivalents as of December 31, 2023, were approximately RMB 77.7 million, down from RMB 116.4 million as of December 31, 2022, with a composition of 50.8% in USD, 36.8% in RMB, and 11.9% in HKD[54]. Management and Governance - The company appointed Mr. Wang Feng as CEO and Compliance Officer on February 26, 2023, who has over 25 years of experience in the internet industry[14]. - The company has a strong management team with diverse backgrounds in internet, gaming, and entertainment sectors, enhancing its strategic capabilities[17][18][19]. - The board of directors did not recommend a final dividend for the year ended December 31, 2023, similar to the previous year[71]. - The company has adopted the required standards for directors' securities trading as per GEM Listing Rules, ensuring compliance during the blackout period before financial performance announcements[85]. - The company has established arrangements to assess the independence of its directors, ensuring strong independent elements within the board[96]. - The board holds regular meetings to discuss significant operational matters, ensuring all directors are informed and can make well-informed decisions[80]. - The company emphasizes the importance of effective governance practices to safeguard the interests of shareholders and enhance overall corporate performance[72]. Environmental, Social, and Governance (ESG) Initiatives - The company has established an ESG governance framework to enhance management of sustainability, with the board responsible for overseeing ESG-related risks and opportunities[138]. - The company has set ESG-related goals to align with the Hong Kong government's carbon neutrality targets, and has reviewed the progress of these goals during the year[138]. - The total greenhouse gas emissions and total electricity consumption have decreased, indicating good progress towards the established environmental goals[147]. - The company has not violated any local environmental laws regarding emissions or waste disposal during the year[147]. - The company has implemented a series of internal policies, including a whistleblowing management system, to combat corruption and money laundering[122]. - The company conducts regular anti-bribery and anti-corruption training for employees, tailored to different positions[122]. - The company has established multiple channels for shareholder communication, ensuring timely and equal access to information[126]. - The company has integrated ESG considerations into its management, strategy, and business plans to ensure sustainable operations[139]. Employee and Workplace Practices - The total number of employees as of December 31, 2023, is 88, down from 103 in 2022, indicating a reduction in workforce[162]. - The company emphasizes a competitive and fair compensation system, with various forms of reward and punishment to enhance employee motivation[168]. - Training programs are provided to employees based on their development needs, with a focus on management, professional, and general knowledge[167]. - The company has established a communication channel for employees to express their opinions and feedback, ensuring their rights are protected[170]. - The company has implemented safety management systems to ensure a safe and healthy working environment, with no work-related deaths reported[163]. - The company has implemented a series of pandemic prevention measures, including regular cleaning and disinfection of all office areas and providing employees with masks and sanitizers[166]. - The company offers a diverse range of employee benefits, including statutory paid leave, social insurance, and annual health check-ups[169]. Product Development and Quality Assurance - The company is focusing on the development of its core gaming business and has increased investment in key strategic areas, including the release of new games such as "Naughty Heaven 2" and "Ys VIII"[179]. - The company has established a global strategic partnership with Bilibili for the mobile game "Ys VIII," which will feature comprehensive upgrades while retaining the original IP charm[182]. - The company emphasizes product quality and has implemented strict quality enhancement methods across product positioning, development, and testing phases[178]. - The company has strengthened its game development and operational capabilities, focusing on user feedback and information security to enhance product quality[176]. - The company has implemented a minor protection system across all online products, strictly controlling minors' gaming time and limiting paid services[190].

Financial Performance - For the year ended December 31, 2023, the company's revenue was approximately RMB 135.5 million, an increase of about 90.6% compared to RMB 71.1 million for the year ended December 31, 2022[5]. - The gross profit for the year ended December 31, 2023, was approximately RMB 34.3 million, up about 64.1% from RMB 20.9 million for the previous year[5]. - The loss attributable to owners of the company for the year ended December 31, 2023, was approximately RMB 17.4 million, a significant improvement from a loss of RMB 60.6 million in the previous year[5]. - The adjusted net loss for the year ended December 31, 2023, was approximately RMB 13.8 million, down from RMB 42.7 million in the previous year[5]. - The company reported a net operating loss of RMB 21.4 million for the year ended December 31, 2023, compared to RMB 44.3 million in the previous year[6]. - The company's accumulated losses increased to RMB 1.88 billion from RMB 1.86 billion, indicating a rise of approximately 0.4%[13]. - The company reported a decrease in trade and other payables from RMB 32.07 million to RMB 27.00 million, a decline of about 15.7%[13]. - The company reported a net financial income of RMB 2,071 thousand in 2023, compared to a net financial cost of RMB (206) thousand in 2022[43]. - The total expenses for the company increased to RMB 157,774 thousand in 2023 from RMB 119,584 thousand in 2022, reflecting a 32% rise[42]. Revenue Breakdown - The gaming business generated revenue of RMB 70,134 thousand in 2023, a 5% increase from RMB 66,498 thousand in 2022[32]. - The film and television business saw a significant revenue increase to RMB 65,372 thousand in 2023 from RMB 4,559 thousand in 2022[32]. - Revenue from customers in China increased significantly to RMB 107,222 thousand in 2023 from RMB 43,350 thousand in 2022, representing a 147% growth[37]. - Game business revenue contributed approximately RMB 70.1 million, a 5.4% increase or RMB 3.6 million from the previous year, attributed to the exclusive global release of "Ys: The Oath in Felghana" by Bilibili[77]. - The revenue from customized web series and other income was approximately RMB 65.4 million, a significant increase of about 1,321.7% or RMB 60.8 million compared to RMB 4.6 million in the previous year, mainly due to the recognition of income from "More Than Just Likes"[78]. Assets and Liabilities - Total assets as of December 31, 2023, were RMB 320.6 million, a decrease from RMB 364.8 million as of December 31, 2022[10]. - Total equity attributable to the owners of the company decreased to RMB 247.23 million from RMB 262.41 million, representing a decline of approximately 5.8%[13]. - Total liabilities decreased to RMB 72.91 million from RMB 102.42 million, reflecting a reduction of about 28.8%[13]. - The company's total assets decreased to RMB 320.57 million from RMB 364.82 million, a decline of around 12.1%[13]. - Contract liabilities decreased significantly from RMB 65.31 million to RMB 34.64 million, a reduction of approximately 47%[13]. Corporate Governance and Management - The board appointed a new CEO and compliance officer on January 12, 2023, with the changes effective from February 26, 2023[113]. - The company maintains high standards of corporate governance, believing it is key to gaining and maintaining stakeholder trust[117]. - The company has no directors or major shareholders engaged in any competing business as of December 31, 2023[121]. - All executive directors have committed to non-competition agreements, ensuring no involvement in competing businesses[122]. - The company has adopted a diversity policy since December 29, 2014, and reviews it annually to ensure effective implementation[188]. Employee and Compensation - The total employee compensation for the year was approximately RMB 47.6 million, compared to RMB 53.4 million in the previous year[104]. - The company has 88 employees as of December 31, 2023, down from 103 employees in the previous year[104]. - The compensation committee reviewed the remuneration of directors and senior management for the year ending December 31, 2023, and deemed it fair and reasonable[182]. Future Plans and Investments - The company is focusing on expanding its market presence and enhancing its product offerings through ongoing research and development efforts[5]. - The company plans to focus on the third-generation internet business starting in 2024, emphasizing applications, investments, and computing power services[69]. - The company has secured a 35% stake in Element, a popular NFT trading market, to enhance its presence in the third-generation internet sector[71]. - The company is optimistic about cryptocurrency investment opportunities following the SEC's approval of spot Bitcoin ETFs in January 2024[72]. - The company has initiated the development of new mobile games, including the remastered version of "Naughty Heaven 1" and "Naughty Heaven 2," with expected launches in Q2 2024 and Q3 2024 respectively[58]. Share Plans and Options - The company has granted a total of 36,983,846 share options under the share option plan, which is capped at 10% of the total shares issued on the listing date[160]. - The share option plan is valid for ten years from the listing date, with approximately nine months remaining as of the announcement date[167]. - The maximum number of shares that can be granted to any individual under the plan is limited to 1% of the total issued shares over a 12-month period[163]. - The company has a total of 1,000,000 stock options granted in 2019, all of which remain unexercised at an exercise price of HKD 0.88[172]. Audit and Compliance - The audit committee was established on April 24, 2014, and is chaired by an independent non-executive director, ensuring compliance with GEM listing rules[191]. - The consolidated financial statements for the year ending December 31, 2023, have been reviewed by the audit committee and comply with applicable accounting standards[192]. - The audit committee provides recommendations to the board regarding the appointment of external auditors and reviews internal control procedures[192].

智通财经APP数据显示，截止2月26日收盘，有51只股票创52周新高，其中蓝港互动(08267)、长久股份(06959)、力天影业(09958)创高率位于前3位，分别为174.19%、33.21%、15.53%。另外有32只股票创52周新低，其中山西安装(02520)、新丰泰集团(01771)、火山邑动国际控股(01715)创低率位于前三位，分别为-28.30%、-21.82%、-11.54%。 52周新高排行 股票名称 收盘价 最高价 创高率 蓝港互动(08267) 0.840 0.850 174.19% 长久股份(06959) 14.260 14.600 33.21% 力天影业(09958) 2.510 2.530 15.53% 铁货(01029) 0.165 0.165 15.38% 澳至尊(02031) 0.295 0.300 15.38% 环能国际(01102) 0.160 0.171 12.50% 中国重汽(03808) 21.050 22.800 11.22% 华津国际控股(02738) 1.890 1.990 10.56% 天立国际控股(01773) ...

Financial Performance - For the third quarter of 2023, the company reported revenue of RMB 10,115,000, a decrease of 45.4% compared to RMB 18,642,000 in the same period of 2022[6]. - The gross profit for the nine months ended September 30, 2023, was RMB 24,786,000, representing an increase of 23.5% from RMB 20,068,000 in the previous year[6]. - Operating loss for the third quarter was RMB 7,642,000, an improvement from a loss of RMB 10,490,000 in Q3 2022[6]. - The company incurred a total comprehensive loss of RMB 17,936,000 for the third quarter, compared to a loss of RMB 590,000 in the same quarter last year[7]. - For the nine months ended September 30, 2023, the company reported a total comprehensive loss of RMB 25,200 thousand, compared to a total comprehensive loss of RMB 21,715 thousand for the same period in 2022[8][9]. - The company experienced a net loss of RMB 20,081 thousand for the nine months ended September 30, 2023, which is a decrease from a net loss of RMB 45,288 thousand in the same period of 2022[8][9]. - The company reported a net financial income of RMB 517,000 for the nine months ended September 30, 2023, compared to a net financial cost of RMB 982,000 in the previous year[6]. - The adjusted net loss for the nine months ended September 30, 2023, was approximately RMB 15 million, a decrease of 54.4% from RMB 32.8 million in the same period last year, mainly due to revenue recognition from "Ys: The Oath in Felghana" and further cost reductions[58]. Revenue Breakdown - The gaming business generated revenue of RMB 10,002 thousand for the three months ended September 30, 2023, down 32% from RMB 14,661 thousand in the same period last year[20]. - The film and television business reported revenue of RMB 113 thousand for the three months ended September 30, 2023, a significant decline from RMB 3,981 thousand in the prior year[20]. - Game business revenue contributed approximately RMB 57 million, representing a 9.9% increase or RMB 5.2 million compared to the same period in 2022, primarily due to revenue from the exclusive global release of "Ys: The Oath in Felghana" by Bilibili[48]. - The film and television business generated approximately RMB 51.6 million, a significant increase of 1,071.7% or RMB 47.2 million compared to RMB 4.4 million in the same period last year, mainly due to revenue recognition from "More Than Just Likes"[49]. Expenses and Costs - The total operating expenses, including sales and marketing, administrative, and R&D, amounted to RMB 26,102,000 for the nine months ended September 30, 2023, down from RMB 55,624,000 in the previous year[6]. - The company's total costs for the nine months ended September 30, 2023, were approximately RMB 83.9 million, an increase of 52.5% or RMB 28.9 million from RMB 55 million in the same period in 2022[50]. - Sales and marketing expenses decreased by 73.5% to approximately RMB 5.5 million from RMB 20.7 million in the same period last year, due to a reduction in promotional spending[52]. - Administrative expenses decreased by 19.2% to approximately RMB 21.2 million from RMB 26.3 million in the same period last year, primarily due to a reduction in impairment losses on game and film IPs[53]. - Research and development expenses increased by 4.3% to approximately RMB 19.1 million from RMB 18.3 million in the same period last year, reflecting increased investment in self-developed games[54]. Shareholder Information - As of September 30, 2023, the company has a total of 367,974,964 issued shares[76]. - Mr. Wang Feng holds 66,576,160 shares, representing approximately 21.53% of the company's equity[73]. - Major shareholder Zhu Li has a spouse's interest in 79,216,540 shares, equating to 21.53% of the company's equity[81]. - The company has a significant interest in its subsidiary, Blueport Online, with Mr. Wang Feng holding 75.45% of its registered capital[76]. - The company has no other directors or key executives with any interests in shares or related securities as of September 30, 2023[80]. Business Strategy and Focus - The company aims to enhance its market presence and product offerings through ongoing research and development initiatives[5]. - The company is focusing on the development of new mobile games, including "Naughty Heaven 2" and "Ys VIII," with ongoing testing and a planned release for external testing in Q4 2023[31]. - The company is expanding its market presence in overseas regions, with the game "Primal Era" launched in Thailand in Q2 2023 and "The Great Voyage" maintaining stable operations in South Korea[31]. - The company plans to continue focusing on IP expansion, female-oriented and casual games, and Web3 initiatives in the fourth quarter of 2023, aiming to create engaging products and explore financial innovations in the gaming industry[45]. Cryptocurrency and Financial Management - The company has purchased a total of 97.6621 units of Bitcoin for approximately $2.8 million as part of its asset allocation strategy, amid rising Bitcoin prices[43]. - The approval of Bitcoin ETFs by the SEC is expected to catalyze Bitcoin's adoption as an emerging asset class, influencing the company's investment strategy[43]. - The company emphasizes a cautious approach to cryptocurrency investments due to market volatility and potential financial losses[44]. - The company has invested most of its idle funds in fixed deposits with Chinese commercial banks, adopting a prudent financial management approach[60]. Corporate Governance - The company has an independent board structure with independent non-executive directors making up 50% of the board[96]. - The audit committee was established on April 24, 2014, and is chaired by an independent non-executive director[97]. - The board believes that having the same individual serve as both chairman and CEO enhances the consistency of the company's leadership direction[96].

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，並明確表示概不就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。 Linekong Interactive Group Co., Ltd. 藍 港 互 動 集 團 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8267） 二零二三年第三季度業績公告 藍港互動集團有限公司（「本公司」）董事會（「董事會」）欣然公佈本公司及其附 屬公司截至二零二三年九月三十日止九個月的未經審核業績。本公告（載有本 公司二零二三年第三季度報告全文）符合香港聯合交易所有限公司GEM證券上 市規則有關季度業績初步公告所附載資料的相關規定。本公司將於適當時候 向本公司股東寄發本公司二零二三年第三季度報告的印刷本。 承董事會命 藍港互動集團有限公司 主席 王峰 中國，北京，二零二三年十一月十四日 於本公告日期，本公司執行董事為王峰先生、陳浩先生及王勁先生（又名嚴雨松）；及本公司 獨立非執行董事張向東先生、吳月琴女士及FU Frank Kan先生。 ...

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，並明確表示概不就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之任何損失承擔任何責任。 Linekong Interactive Group Co., Ltd. 藍 港 互 動 集 團 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8267） 有關二零二二年年報之 補充公告 茲提述藍港互動集團有限公司（「本公司」）於二零二三年三月三十一所刊發截 至二零二二年十二月三十一日止年度之年度報告（「二零二二年年報」）。除非 文義另有所指，否則本公告所用詞彙與二零二二年年報所界定者具有相同涵義。 除二零二二年年報所載董事會報告「股份獎勵計劃及購股權計劃」一節的披露 資料外，董事有意向本公司股東及潛在投資者提供有關股份獎勵計劃及購股 權計劃之詳情如下： (i) 於報告期內，緊接受限制股份單位獲行使及╱或歸屬當日前，受限制股份 單位之加權平均收市價為每股股份0.2384港元； (ii) 受限制股份單位計劃的餘下年期為二零二二年年報日期起計一年； ...

Game Development and Publishing - The group has initiated testing for mobile game projects including "Naughty Heaven 1 Remake," "Naughty Heaven 2," and "Ys VIII," with a focus on enhancing user engagement and game quality[9]. - The historical registered users for "Naughty Heaven 1" exceed 20 million, capturing a significant share of the light competitive MOBA market[13]. - The group has launched "Wild Era" in Thailand on June 15, 2023, and maintains stable operations and product updates for "The Sailing Road" in South Korea, contributing to revenue[9]. - The mobile game "Ys: Dream of the Night" has entered the final optimization stage and is expected to launch in August 2023 after a global strategic cooperation with Bilibili[14]. - The MMORPG "Wild Era" was launched in Thailand on June 15, 2023, with plans for promotion in August, aiming to provide a new experience for players[14]. - The AVG+RPG female-oriented mobile game "Zhen Huan Chuan: Floating Life Dream" has completed version testing and is expected to launch by the end of 2023[14]. - The game "The Road to the Ocean" continues stable operations in South Korea, with two major updates planned for this year, including new professions and legendary ships[14]. - The group is enhancing its game publishing strategy and expanding market exploration in overseas regions[9]. - The group has applied advanced technologies such as ChatGPT and AIGC in the development and marketing of "Naughty Heaven 2," aiming to launch independent AI applications in the future[9]. Financial Performance - The company's revenue increased by approximately 120.5% from about RMB 44.7 million for the six months ended June 30, 2022, to about RMB 98.5 million for the six months ended June 30, 2023[25]. - Game business revenue contributed approximately RMB 47.0 million, a 26.3% increase or RMB 9.8 million compared to the same period in 2022, primarily due to the exclusive global release of "Ys: The Oath in Felghana" by Bilibili[27]. - The film and television business generated approximately RMB 51.5 million, a significant increase of 12,065% or RMB 51.1 million compared to about RMB 0.4 million in the same period last year, mainly due to revenue from "More Than You Like"[28]. - The company's total cost for the six months ended June 30, 2023, was approximately RMB 76.2 million, an increase of about 145.8% from approximately RMB 31.0 million in the same period in 2022[29]. - Gross profit for the six months ended June 30, 2023, was approximately RMB 22.3 million, a 63.2% increase from about RMB 13.7 million in the same period last year[30]. - The gross profit margin decreased to approximately 22.6% from about 30.6% in the same period last year, primarily due to the recognition of full costs related to the film "More Than You Like"[30]. - The company's operating loss for the six months ended June 30, 2023, was approximately RMB 12.2 million, an improvement from an operating loss of about RMB 24.5 million in the same period in 2022[34]. - The adjusted net loss for the six months ended June 30, 2023, was approximately RMB 8.0 million, a decrease of 62.4% compared to RMB 21.3 million for the same period in 2022[38]. - The company reported a net loss of RMB 12,868 thousand for the six months ended June 30, 2023, compared to a net loss of RMB 33,770 thousand for the same period in 2022, showing a reduction in losses of approximately 61.9%[104]. Investment and Asset Management - The group is actively exploring Web3 opportunities and has established LK Venture to enter the virtual asset investment market, optimizing asset allocation[11]. - In Q2 2023, the group purchased 33.1273 units of Bitcoin in the public market to achieve asset preservation and appreciation[11]. - The company has purchased 33.1273 units of Bitcoin as part of its asset allocation strategy, recognizing the long-term value of virtual assets[22]. - The establishment of LK Venture aims to enter the Web3 and virtual asset investment market, focusing on blockchain technology and innovative projects[22]. - The company plans to leverage insights into emerging Web3 technologies and virtual asset markets to achieve diversified asset allocation and value preservation[23]. - The group has launched a new Web3 game platform NAGA, featuring over 3,000 Web3 games and various user services, with further developments planned[19][20]. Strategic Focus and Future Plans - The group is committed to deepening its strategic investment in game and film sectors, aiming for long-term sustainable growth[9]. - The company plans to continue focusing on IP expansion, female-oriented and casual games, and Web3 initiatives in the second half of 2023[24]. - The group is collaborating with Tencent Video for a custom drama based on the S-level IP "Falling into Our Love," expected to start production in Q4 2023[10]. - The group is focusing on the production of high-quality IP dramas, with several projects in the pipeline, including "The Love of Our Lives" and "Ancient Music Wind and Flower Record" expected to start production soon[10]. - The company plans to pursue potential strategic acquisitions or investments in companies engaged in gaming and related businesses, with a focus on the film and television industry[53]. Shareholder and Equity Information - As of June 30, 2023, the company has a total of 367,974,964 issued shares[59]. - Mr. Wang Feng holds a 21.53% equity interest in the company through Wangfeng Management Limited, which directly owns 66,576,160 shares[57]. - Major shareholder Zhu Li holds 21.53% of the company's shares, amounting to 79,216,540 shares[65]. - Wangfeng Management Limited, a beneficial owner, holds 18.09% of the company's shares, totaling 66,576,160 shares[65]. - The company has a 9.47% ownership in shares held by Huiju Trust Co., Ltd., totaling 34,839,317 shares[68]. - IDG-Accel China Growth Fund L.P. holds 6.27% of the company's shares, amounting to 23,061,443 shares[68]. Employee Compensation and Stock Options - The company has adopted stock option and restricted share unit plans to incentivize directors and eligible personnel, reflecting a commitment to human resource development[48]. - The company has not declared an interim dividend for the six months ending June 30, 2023[55]. - The company has not issued any restricted share units or canceled any during the six months ending June 30, 2023[72]. - The company has a stock option plan approved on November 20, 2014, with various grants made at exercise prices ranging from HKD 0.65 to HKD 8.10[85]. - The company’s stock option plan is designed to incentivize employees and align their interests with shareholders[85]. - The total number of restricted share units granted to key personnel as of June 30, 2023, is 10,317,355[75]. Corporate Governance and Compliance - The audit committee has reviewed the unaudited interim financial results for the six months ending June 30, 2023, confirming the accounting principles adopted by the company[56]. - The board believes that the dual role of the chairman and CEO held by Mr. Wang since February 26, 2023, enhances strategic consistency despite a deviation from the code[97]. - The audit committee, established on April 24, 2014, is chaired by an independent non-executive director, ensuring compliance with GEM listing rules[98]. - The company has adhered to the corporate governance code as stipulated in the GEM listing rules during the reporting period[96]. Financial Risk and Asset Valuation - The group’s financial risk factors include market risk, credit risk, and concentration risk[119]. - The fair value estimation methods used for financial instruments are based on observable market data to minimize reliance on entity-specific estimates[123]. - The company utilized a discounted cash flow model for fair value estimation, with a discount rate range of 20% to 23%[131]. - The revenue compound annual growth rate (CAGR) used in the valuation was estimated at 6%[131]. - The fair value of the company's investments in joint ventures decreased from RMB 35,303,000 to RMB 22,245,000, representing a decline of 37%[128]. Discontinued Operations and Other Financial Information - The company sold its food business in December 2022, which is now classified as a discontinued operation[136]. - The company reported a total loss from discontinued operations of RMB 1,330,000 for the six months ended June 30, 2022, with no revenue generated from this segment[175]. - The company reported a net reversal of impairment losses on receivables of RMB 745,000 for the six months ended June 30, 2023, compared to a net loss of RMB 51,000 in the same period of 2022[169].

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，並明確表示概不就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之任何損失承擔任何責任。 Linekong Interactive Group Co., Ltd. 藍 港 互 動 集 團 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8267） 截 至 二 零 二 三 年 六 月 三 十 日 止 六 個 月 的 中 期 業 績 公 告 藍港互動集團有限公司（「本公司」）董事會欣然公佈本公司及其附屬公司截至 二零二三年六月三十日止六個月的未經審計中期業績。本公告附載本公司二 零二三年中期報告的全文，符合香港聯合交易所有限公司GEM證券上市規則 中有關中期業績初步公告須附載資料的要求。本公司將於適當時候寄發二零 二三年中期報告的印刷版本予本公司股東。 承董事會命 藍港互動集團有限公司 主席 王峰 中國，北京，二零二三年八月十四日 ...