[Corporate Information](index=4&type=section&id=Corporate%20Information) This section provides an overview of the company's foundational details, including its governance structure, board composition, registration, and contact information [Board of Directors and Committees](index=4&type=section&id=Board%20of%20Directors%20and%20Committees) The company's board comprises two executive and three independent non-executive directors, supported by audit, remuneration, and nomination committees to ensure robust corporate governance - Board members include **Dr. Li Dahong** (Chairman), **Ms. Ma Xiaona** (Executive Director), and **Mr. Guo Wei**, **Mr. Lam Man Sum**, **Mr. Cheung Wai Hung** (Independent Non-executive Directors)[14](index=14&type=chunk) - The company has an Audit Committee (chaired by Mr. Lam Man Sum), a Remuneration Committee (chaired by Mr. Guo Wei), and a Nomination Committee (chaired by Mr. Guo Wei)[14](index=14&type=chunk) [Company Details](index=5&type=section&id=Company%20Details) The company is registered in the Cayman Islands with its principal place of business in Hong Kong, detailing legal advisors, share registrars, principal bankers, stock code, and contact information - The company's registered office is in the Cayman Islands, with its principal place of business in Wing Yip Centre, Sheung Wan, Hong Kong[18](index=18&type=chunk)[19](index=19&type=chunk) - The company's stock code is **8299**, and its official website is http://www.gt-gold.com[20](index=20&type=chunk) [Chairman's Statement](index=6&type=section&id=Chairman's%20Statement) This report highlights the company's strategic focus on technical upgrades and AI integration for future growth, alongside its commitment to sustainable expansion [Fiscal Year 2024-25 Overview](index=6&type=section&id=Fiscal%20Year%202024-25%20Overview) Fiscal Year 2024-25 demonstrated the company's resilience, focusing on technical upgrades at its subsidiary Taizhou Mining to establish a foundation for future growth - Fiscal Year 2024-25 was a year of resilience and consolidation, with the company focusing on technical upgrades at its production subsidiary, Taizhou Mining, amidst domestic and international challenges[22](index=22&type=chunk) - Upon completion of technical upgrades, gold production is expected to increase significantly, driving revenue and profitability growth against a backdrop of relatively stable mining and processing costs and anticipated rising gold prices[23](index=23&type=chunk) - The company plans to achieve robust growth by acquiring gold and gold polymetallic mines in adjacent areas, prioritizing those already in production or with production potential[24](index=24&type=chunk) [Strategic Initiatives and Future Outlook](index=7&type=section&id=Strategic%20Initiatives%20and%20Future%20Outlook) The company initiated AI model development with a leading industrial AI firm to optimize mining operations and plans to commercialize these solutions for revenue diversification, aiming for sustained high growth through organic expansion and strategic acquisitions - The company collaborated with a leading industrial AI enterprise in mainland China to develop AI models, initially focusing on optimizing exploration plans, with plans to extend applications across the entire mining, processing, and smelting value chain to enhance operational efficiency[29](index=29&type=chunk) - The company has deepened its partnership with AI developers through a newly established joint venture and collaborated with global mining technology authority SRK Consulting to refine AI-driven mining models[29](index=29&type=chunk) - The company aims to commercialize these AI solutions, expanding into broader industrial scenarios to diversify revenue streams[29](index=29&type=chunk) [Management Discussion and Analysis](index=8&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the group's financial performance, liquidity, operational activities, and future outlook, detailing key business developments and financial positions [Business Review](index=8&type=section&id=Business%20Review) The company's primary business is investment holding, with its main subsidiaries engaged in gold exploration, mining, mineral processing, and refining, producing gold concentrate and gold ingots - The company's principal activity is investment holding, with its main subsidiaries engaged in gold exploration, mining, mineral processing, and refining, producing gold concentrate and gold ingots[33](index=33&type=chunk)[37](index=37&type=chunk) [Financial Review](index=8&type=section&id=Financial%20Review) For the year ended March 31, 2025, group revenue significantly increased by **81.8% to HKD 1.314 billion**, driven by extended refining production and higher average gold prices, while net profit attributable to owners rose to **HKD 66.6 million** 2025 Fiscal Year Key Financial Data | Indicator | 2025 (HKD) | 2024 (HKD) | Change Rate | | :--- | :--- | :--- | :--- | | Revenue | 1,314,100,000 | 722,700,000 | +81.8% | | Gross Profit | 103,800,000 | 83,800,000 | +23.8% | | Gross Profit Margin | 7.9% | 11.6% | -3.7% | | Selling and Distribution Expenses | 1,300,000 | 1,900,000 | -30.8% | | Administrative Expenses | 26,700,000 | 24,500,000 | +9.0% | | Profit for the Year | 94,900,000 | 76,000,000 | +24.9% | | Net Profit Attributable to Owners | 66,600,000 | 55,300,000 | +20.4% | | Earnings Per Share | 0.95 HK cents | 0.92 HK cents | +3.3% | - The decrease in gross profit margin was primarily due to the company needing to purchase more gold concentrate from other mines to meet the capacity of its large refinery, where refining typically yields lower gross margins[36](index=36&type=chunk)[40](index=40&type=chunk) - The company acquired a gold refinery to establish a complete gold production chain, enhance revenue scale and profit potential, recover other mineral resources like silver, copper, and lead, and enter the end-user market for future growth and business diversification[36](index=36&type=chunk)[40](index=40&type=chunk) [Liquidity, Financial Resources and Funding](index=10&type=section&id=Liquidity,%20Financial%20Resources%20and%20Funding) As of March 31, 2025, cash and cash equivalents decreased to **HKD 29.5 million**, net current assets significantly declined to **HKD 19.6 million**, and inventory substantially increased to **HKD 401.2 million**, reflecting changes in financial structure 2025 Fiscal Year Liquidity and Financial Resources | Indicator | 2025 (HKD) | 2024 (HKD) | Change | | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 29,500,000 | 47,500,000 | Decrease of 18,000,000 | | Net Current Assets | 19,600,000 | 174,600,000 | Decrease of 155,000,000 | | Inventories | 401,200,000 | 149,400,000 | Increase of 251,800,000 | | Non-current Other Payables | 139,900,000 | 345,100,000 | Decrease of 205,200,000 | | Current Ratio | 1.04 | 1.87 | Decrease | | Gearing Ratio | 15.5% | 27.3% | Decrease | | Trade and Other Payables (Current) | 451,400,000 | 132,700,000 | Increase of 318,700,000 | - The significant decrease in non-current other payables was primarily due to the settlement of most of the standby financing arrangement with Tongguan County Huineng Nonferrous Technology Co., Ltd. (the largest single creditor) through gold concentrate purchases, and the waiver of compensation payments from some former directors and supervisors[52](index=52&type=chunk)[54](index=54&type=chunk) - The significant increase in inventories was mainly due to an increase in finished goods (gold ingots), as management anticipated rising gold prices and held onto gold ingots for higher-priced sales[57](index=57&type=chunk)[61](index=61&type=chunk) - The group's monetary assets and transactions are primarily denominated in HKD or RMB, resulting in minimal foreign exchange exposure[67](index=67&type=chunk)[68](index=68&type=chunk)[73](index=73&type=chunk)[75](index=75&type=chunk)[80](index=80&type=chunk) [Significant Investments, Acquisitions, and Disposals](index=13&type=section&id=Significant%20Investment,%20Material%20Acquisition%20and%20Disposal) The group did not undertake any significant investments, acquisitions, or disposals of subsidiaries during the year, focusing on existing business development and exploring future growth opportunities - The group did not undertake any significant investments, material acquisitions, or disposals of subsidiaries and associates during the year[76](index=76&type=chunk)[81](index=81&type=chunk) - The company is focused on developing and strengthening its existing businesses, while exploring investment opportunities to broaden revenue streams, enrich reserves and resources, and enhance profitability, ultimately aiming to deliver substantial returns to shareholders[77](index=77&type=chunk)[81](index=81&type=chunk) [Employees and Remuneration Policies](index=14&type=section&id=Employees%20and%20Remuneration%20Policies) As of March 31, 2025, the group had **154 employees** primarily in mainland China and Hong Kong, with total staff costs of approximately **HKD 21.9 million**, and remuneration policies are based on industry practice and performance 2025 Fiscal Year Employee and Remuneration Data | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Number of Employees | 154 | 173 | | Total Staff Costs | 21,900,000 HKD | 18,400,000 HKD | - The group's remuneration policy is based on industry practice and individual employee performance, while the directors' remuneration policy aims to attract, motivate, and retain qualified directors by offering balanced and competitive compensation[84](index=84&type=chunk)[87](index=87&type=chunk) [Relationships with Employees, Customers, and Suppliers](index=14&type=section&id=Relationships%20with%20Employees,%20Customers%20and%20Suppliers) The group values employees as key to sustainable development, aims to provide comprehensive solutions to customers, and fosters deep cooperation with suppliers to create competitive advantages - The directors believe employees are crucial for the group's sustainable development and are committed to maintaining good working relationships and enhancing product quality[85](index=85&type=chunk)[88](index=88&type=chunk) - The group aims to provide comprehensive solutions to customers and establish a vertical supply chain management system through resource integration and supplier screening management[86](index=86&type=chunk)[89](index=89&type=chunk) - The group's goal is to deepen cooperation with strategic suppliers, create competitive advantages in the value chain, enhance social and environmental impact, and ensure suppliers uphold similar sustainability stances[90](index=90&type=chunk)[95](index=95&type=chunk) [Outlook](index=15&type=section&id=Prospect) The group plans to accelerate gold mining and production expansion through technical upgrades and asset acquisitions, aiming for significant output increases, while also exploring AI-driven mining models and gold jewelry e-commerce for revenue diversification - The group will accelerate gold mining and production expansion through technical upgrades and mining asset acquisitions, expecting a significant increase in gold output this year and sustained growth in the coming years[91](index=91&type=chunk)[92](index=92&type=chunk)[96](index=96&type=chunk) - The group plans to acquire multiple gold and gold polymetallic mines, either already in production or with production potential, within the next three to four years to substantially increase total gold resources, reserves, and annual production capacity[93](index=93&type=chunk)[96](index=96&type=chunk) - The group established an intelligent mining joint venture with a leading industrial AI developer in mainland China and partnered with SRK Consulting to develop AI-driven mining models, aiming to enhance exploration, mining, and smelting efficiency, and commercialize AI solutions for revenue diversification[97](index=97&type=chunk)[102](index=102&type=chunk) - The group also plans to enter the gold jewelry live e-commerce business, attracting young, brand-conscious customers through innovative designs and IP applications[97](index=97&type=chunk)[102](index=102&type=chunk) [Mineral Exploration, Mine Development, and Ore Mining Activities](index=16&type=section&id=Mineral%20Exploration,%20Mine%20Development%20and%20Ore%20Mining%20Activities) During the year, Taizhou Mining completed approximately **19,212 meters** of various roadway excavations and other mine development projects, with total mine development expenditure of approximately **HKD 117.9 million** - Taizhou Mining primarily completed various mine development projects during the year, including approximately **19,212 meters** of roadway excavation, **1,537 meters** of ramp excavation, **2,305 meters** of ore pass excavation, and **5,763 meters** of track laying and ditch excavation[99](index=99&type=chunk)[104](index=104&type=chunk) 2025 Fiscal Year Mineral Activity Expenditures | Activity Type | 2025 (HKD) | | :--- | :--- | | Total Mine Development Expenditure | 117,900,000 | | Total Mineral Exploration Expenditure | 2,400,000 | | Total Ore Mining Expenditure | 31,000,000 | [Resources and Reserves](index=17&type=section&id=Resources%20and%20Reserves) As of March 31, 2025, the group's gold resources and reserves were updated according to JORC Code (2012 Edition), with total Measured + Indicated Resources of **5,404 thousand tonnes** containing **32,982 kilograms** of gold - Resources and reserves data are based on a technical due diligence review completed by SRK Consulting China Ltd in August 2024 and comply with the JORC Code (2012 Edition)[107](index=107&type=chunk)[108](index=108&type=chunk) Gold Resources as of March 31, 2025 (1.2 g/t cut-off grade) | Indicator | Tonnage (thousand tonnes) | Grade (g/t, gold) | Contained Metal (kilograms, gold) | | :--- | :--- | :--- | :--- | | Measured Resources | 4,094 | 6.12 | 25,047 | | Indicated Resources | 1,310 | 6.04 | 7,935 | | Total Measured + Indicated Resources | 5,404 | 6.10 | 32,982 | | Inferred Resources | 680 | 6.03 | 4,089 | | Total | 6,084 | 6.09 | 37,071 | Gold Ore Reserves as of March 31, 2025 (1.7 g/t cut-off grade) | Indicator | Tonnage (thousand tonnes) | Grade (g/t, gold) | Contained Metal (kilograms, gold) | | :--- | :--- | :--- | :--- | | Proved Ore Reserves | 3,919 | 5.40 | 21,170 | | Probable Ore Reserves | 803 | 5.20 | 4,235 | | Total | 4,722 | 5.38 | 25,405 | [Biographical Details of Directors and Senior Management](index=18&type=section&id=Biographical%20Details%20of%20Directors%20and%20Senior%20Management) This section provides detailed biographical information for the company's executive directors, independent non-executive directors, and senior management team [Executive Directors](index=18&type=section&id=Executive%20Directors) Dr. Li Dahong (67) serves as Executive Director and Chairman with over 25 years of investment banking and finance experience, while Ms. Ma Xiaona (50) is an Executive Director and Compliance Officer with over 20 years of project finance and M&A experience in China and Hong Kong - Dr. Li Dahong (67) has over **25 years** of experience in investment banking, M&A, and other financial businesses, holding a Ph.D. in Civil Engineering from the University of Toronto, Canada, and graduating from Tsinghua University's Department of Civil and Environmental Engineering[111](index=111&type=chunk)[113](index=113&type=chunk) - Ms. Ma Xiaona (50) has over **20 years** of experience in project finance, joint ventures, and M&A in both mainland China and Hong Kong, covering gold mines, other resource mining, traditional manufacturing, and high-tech industries[112](index=112&type=chunk)[114](index=114&type=chunk) [Independent Non-executive Directors](index=19&type=section&id=Independent%20Non-executive%20Directors) Mr. Guo Wei (70) has over 30 years of management experience, Mr. Lam Man Sum (69) is a member of multiple professional accounting bodies, and Mr. Cheung Wai Hung (44) is a Chartered Tax Adviser and Certified Public Accountant - Mr. Guo Wei (70) has served as Chairman of Zhejiang Ruifeng Investment Co., Ltd. since 2004, possessing over **30 years** of management experience, including **20 years** as a corporate leader[115](index=115&type=chunk)[116](index=116&type=chunk) - Mr. Lam Man Sum (69) is a member of several professional bodies, including the Institute of Chartered Accountants in England and Wales, the Association of Chartered Certified Accountants, and the Hong Kong Institute of Certified Public Accountants, and is currently a partner at Grant Thornton Hong Kong Limited[117](index=117&type=chunk)[118](index=118&type=chunk) - Mr. Cheung Wai Hung (44) is a Chartered Tax Adviser of the Taxation Institute of Hong Kong, a Certified Public Accountant of the Hong Kong Institute of Certified Public Accountants, and a Fellow of the Association of Chartered Certified Accountants, currently serving as Financial Controller of Wai Chi Holdings Limited[119](index=119&type=chunk)[122](index=122&type=chunk) [Senior Management](index=21&type=section&id=Senior%20Management) Mr. Ma Qianzhou (67) possesses over 30 years of senior management experience in China's gold mining sector, and Ms. Li Qihua serves as Company Secretary, specializing in capital markets and corporate finance - Mr. Ma Qianzhou (67) has over **30 years** of senior management experience in gold mining, exploration, ore processing, refining, and M&A in China, currently serving as President of Tongguan County Gold Association and General Manager and Director of Taizhou Mining[120](index=120&type=chunk)[123](index=123&type=chunk) - Ms. Li Qihua has served as Company Secretary since February 2020, is a practicing solicitor in Hong Kong, and specializes in capital markets and corporate finance matters[121](index=121&type=chunk)[124](index=124&type=chunk) [Report of the Directors](index=22&type=section&id=Report%20of%20the%20Directors) This report outlines the company's principal activities, key risks, compliance, environmental performance, financial results, corporate governance, and shareholder information [Principal Activities and Business Review](index=22&type=section&id=Principal%20Activities%20and%20Business%20Review) The company's principal business is investment holding, with its subsidiaries engaged in gold exploration, mining, mineral processing, and refining, with a detailed business review provided in the Chairman's Statement and MD&A - The company's principal business is investment holding, with its main subsidiaries engaged in gold exploration, mining, mineral processing, and refining[127](index=127&type=chunk)[131](index=131&type=chunk) - The business review and discussion of future business development for the year are included in the Chairman's Statement and Management Discussion and Analysis[128](index=128&type=chunk)[132](index=132&type=chunk) [Principal Risks and Uncertainties](index=22&type=section&id=Principal%20Risks%20and%20Uncertainties) The group faces key risks including gold price volatility, inherent investment risks in mineral exploration and mining, changes in government regulations, increasingly stringent environmental protection requirements, and financial funding needs - **Gold Price Volatility**: China's gold prices are highly influenced by international gold prices (denominated in USD) and the USD/RMB exchange rate; global economic conditions, monetary policies, inflation, and geopolitical factors are beyond the group's control and significantly impact its revenue, cash flow, and profitability[129](index=129&type=chunk)[133](index=133&type=chunk) - **Investment Risks**: Mineral exploration and mining investments are inherently high-risk, requiring substantial capital expenditure, and results may not meet expectations; the group mitigates risks through risk assessment, engaging professionals, adopting AI-assisted solutions, and business diversification (e.g., providing technical services, exploring the gold end-consumer market)[135](index=135&type=chunk)[136](index=136&type=chunk)[137](index=137&type=chunk)[138](index=138&type=chunk) - **Government Regulations**: Mining activities are affected by various government policies, standards, permits, and regulations, such as mining rights consolidation and lengthy, uncertain approval processes; the group addresses this by close cooperation with government agencies, expanding mining permit scope, and closely monitoring policy developments[140](index=140&type=chunk)[141](index=141&type=chunk) - **Environmental Protection**: The nationwide green mine construction campaign has led to increasingly stringent environmental regulations, potentially increasing operating costs and causing temporary production interruptions; the group has formulated environmental policies, taken proactive measures, reserved financial and material resources, and strengthened management training to ensure compliance[143](index=143&type=chunk)[144](index=144&type=chunk) - **Financial Risks**: The group requires sufficient funding for working capital, debt repayment, development, and acquisitions; financial management involves expanding the revenue base, enhancing profitability, and raising capital as needed to ensure cash flow and achieve profit targets, which are crucial for financial health[146](index=146&type=chunk)[148](index=148&type=chunk) [Compliance with Relevant Laws and Regulations](index=26&type=section&id=Compliance%20with%20Relevant%20Laws%20and%20Regulations) As of the report date, the group has complied in all material respects with relevant laws and regulations in the Cayman Islands, Hong Kong, and the People's Republic of China - For the year and up to the date of this report, the group has complied in all material respects with all relevant laws and regulations of the Cayman Islands, Hong Kong, and the People's Republic of China concerning its business operations[147](index=147&type=chunk)[149](index=149&type=chunk) [Environmental Policies and Performance](index=27&type=section&id=Environmental%20Policies%20and%20Performance) The group's environmental policy aims to protect natural and social environments, ensure regulatory compliance, and achieve sustainable operations through impact assessments, emission controls, waste management, and land reclamation, with no environmental claims or penalties incurred this year - The group's environmental policy aims to protect the natural and social environment, ensure full compliance with all applicable regulatory requirements and standards, and achieve sustainable operations[151](index=151&type=chunk)[155](index=155&type=chunk) - The group adopts proactive and effective measures, including conducting preliminary impact assessments for new projects, planning production activities with environmental considerations, controlling and gradually reducing greenhouse gas emissions, collecting and treating all waste at source, recycling and reusing treated waste where possible, minimizing environmental discharges, and reclaiming areas affected by mining activities[151](index=151&type=chunk)[155](index=155&type=chunk) - During the year, the group did not face any environmental claims, lawsuits, fines, or disciplinary actions[152](index=152&type=chunk)[157](index=157&type=chunk) [Financial Results and Summaries](index=27&type=section&id=Financial%20Results%20and%20Summaries) The group's financial performance for the year is presented in the consolidated statement of profit or loss and other comprehensive income, with no dividend recommended by the Board - The group's performance for the year is presented in the consolidated statement of profit or loss and other comprehensive income (page 111)[153](index=153&type=chunk)[158](index=158&type=chunk) - The Board does not recommend the payment of any dividend for the year[161](index=161&type=chunk)[168](index=168&type=chunk) - A five-year financial summary can be found on page 236, and details of changes in property, plant and equipment and share capital are disclosed in notes 16 and 31 to the consolidated financial statements, respectively[162](index=162&type=chunk)[163](index=163&type=chunk)[164](index=164&type=chunk)[169](index=169&type=chunk)[170](index=170&type=chunk)[171](index=171&type=chunk) [Corporate Governance and Shareholder Information](index=28&type=section&id=Corporate%20Governance%20and%20Shareholder%20Information) The Audit Committee reviewed the audited consolidated financial statements, the company issued **1,130,434,782 new ordinary shares** upon convertible bond exercise, and sales to the top five customers accounted for **100%** of total sales - The Audit Committee has reviewed the company's audited consolidated financial statements for the year ended March 31, 2025[167](index=167&type=chunk)[174](index=174&type=chunk) - During the year, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[178](index=178&type=chunk)[184](index=184&type=chunk) - During the year, the company issued **1,130,434,782 new ordinary shares** upon the exercise of conversion rights attached to convertible bonds[178](index=178&type=chunk)[184](index=184&type=chunk) - As of March 31, 2025, the company had no reserves available for distribution to shareholders[180](index=180&type=chunk)[186](index=186&type=chunk) - For the year, sales to the group's top five customers accounted for approximately **100%** of total sales, with the largest customer accounting for approximately **65.3%**; purchases from the top five suppliers accounted for approximately **100%** of total purchases, with the largest supplier accounting for approximately **91.5%**[181](index=181&type=chunk)[187](index=187&type=chunk) [Directors and Service Contracts](index=30&type=section&id=Directors%20and%20Service%20Contracts) As of the report date, the Board comprises Dr. Li Dahong, Ms. Ma Xiaona (Executive Directors), and Mr. Guo Wei, Mr. Lam Man Sum, Mr. Cheung Wai Hung (Independent Non-executive Directors), all with three-year service contracts subject to rotation provisions - As of the date of this report, the Board members include Executive Directors Dr. Li Dahong and Ms. Ma Xiaona, and Independent Non-executive Directors Mr. Guo Wei, Mr. Lam Man Sum, and Mr. Cheung Wai Hung[190](index=190&type=chunk)[194](index=194&type=chunk) - Mr. Cheung Wai Hung's service contract is for a term of three years from September 27, 2024; Dr. Li Dahong and Mr. Lam Man Sum's service contracts are for a term of three years from September 28, 2023; Ms. Ma Xiaona and Mr. Guo Wei's service contracts are for a term of three years from September 22, 2025[190](index=190&type=chunk)[191](index=191&type=chunk)[193](index=193&type=chunk) - The directors' terms of service are subject to the provisions for retirement by rotation as set out in the company's articles of association[191](index=191&type=chunk)[193](index=193&type=chunk) [Management Contracts and Retirement Benefit Schemes](index=31&type=section&id=Management%20Contracts%20and%20Retirement%20Benefit%20Schemes) The company had no management contracts during the year and provides defined contribution retirement benefit schemes for employees in Hong Kong and mainland China, with no work-related fatalities in the past three years - The company did not enter into or have any management and administration contracts concerning the whole or any substantial part of its business during the year[197](index=197&type=chunk)[201](index=201&type=chunk) - The group implements a Mandatory Provident Fund retirement benefit scheme for Hong Kong employees and a central pension scheme for employees of its mainland China subsidiaries, both being defined contribution schemes[198](index=198&type=chunk)[202](index=202&type=chunk) - The group's contributions to defined contribution schemes are fully and immediately vested in employees, and there have been no work-related fatalities in the past three years[199](index=199&type=chunk)[202](index=202&type=chunk)[72](index=72&type=chunk)[409](index=409&type=chunk) [Directors' Interests and Share Option Scheme](index=32&type=section&id=Directors'%20Interests%20and%20Share%20Option%20Scheme) As of March 31, 2025, directors and chief executives held interests in the company's shares, primarily through share options, with major shareholder Mr. Ma Qianzhou and his spouse Ms. Zhao Yuebing holding a majority interest, and a share option scheme adopted in 2021 to incentivize staff Directors' Interests in Shares and Related Shares as of March 31, 2025 | Director Name | Nature of Interest | Number of Ordinary Shares Held | Number of Related Ordinary Shares | Approximate Shareholding Percentage | | :--- | :--- | :--- | :--- | :--- | | Dr. Li Dahong | Beneficial Owner | – | 23,948,516 | 0.32% | | Ms. Ma Xiaona | Beneficial Owner | – | 20,954,950 | 0.28% | | Mr. Cheung Wai Hung | Beneficial Owner | – | 2,993,564 | 0.04% | | Mr. Guo Wei | Beneficial Owner | – | 2,993,564 | 0.04% | | Mr. Lam Man Sum | Beneficial Owner | – | 2,993,564 | 0.04% | | Total | | – | 53,884,158 | 0.73% | - Major shareholder Mr. Ma Qianzhou holds **4,029,354,894 shares (54.24%)** of the company, and his spouse Ms. Zhao Yuebing holds **179,613,860 shares (2.42%)**, with both considered to have mutual interests[224](index=224&type=chunk)[225](index=225&type=chunk) - The company adopted a share option scheme on September 27, 2021, with a **ten-year validity**, aimed at incentivizing employees and recruiting talent[229](index=229&type=chunk)[230](index=230&type=chunk)[233](index=233&type=chunk) - As of the date of this annual report, the total number of shares available for issue under the share option scheme is **89,806,930 shares**, representing **1.21%** of the company's issued shares[236](index=236&type=chunk)[239](index=239&type=chunk) Share Option Movements as of March 31, 2025 | Participant Category Name | April 1, 2024 | Granted | Exercised | Lapsed | Cancelled | March 31, 2025 | Grant Date | Exercise Period | Exercise Price (HKD/share) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Directors | 53,884,158 | – | – | – | – | 53,884,158 | 31-8-23 | 31-8-23-30-8-33 | 0.117 | | Employees (Cumulative) | 22,577,564 | – | – | – | – | 22,577,564 | 24-5-22/31-8-23 | 24-5-22-23-5-32/31-8-23-30-8-33 | 0.088/0.117 | | Consultants | 12,785,564 | – | – | – | – | 12,785,564 | 24-5-22/31-8-23 | 24-5-22-23-5-32/31-8-23-30-8-33 | 0.088/0.117 | | Total | 89,247,286 | – | – | – | – | 89,247,286 | | | 0.144 (Weighted Average) | [Related Party Transactions and Emolument Policy](index=40&type=section&id=Related%20Party%20Transactions%20and%20Emolument%20Policy) Related party transactions primarily involve loans from major shareholders and directors, which are unsecured, interest-free, and repayable on demand, complying with GEM Listing Rules for exempted connected transactions, while remuneration policies are performance-based - Related party loans primarily originated from Ms. Zhao Yuebing, Mr. Ma Qianzhou, and Mr. Zhou Yong, which have been included in the borrowing balance and are interest-free, unsecured, and repayable on demand[248](index=248&type=chunk)[252](index=252&type=chunk)[226](index=226&type=chunk)[1133](index=1133&type=chunk)[1134](index=1134&type=chunk)[1135](index=1135&type=chunk)[1136](index=1136&type=chunk)[1137](index=1137&type=chunk)[1138](index=1138&type=chunk)[1139](index=1139&type=chunk) - These related party transactions comply with the exempted connected transaction requirements under Chapter 20 of the GEM Listing Rules, exempting them from reporting, announcement, or independent shareholders' approval requirements[248](index=248&type=chunk)[249](index=249&type=chunk)[252](index=252&type=chunk) - The group's remuneration policy is based on employee performance, experience, and market rates, while directors' remuneration considers their experience, company responsibilities, and market conditions[250](index=250&type=chunk)[253](index=253&type=chunk) [Sufficiency of Public Float and Use of Proceeds](index=40&type=section&id=Sufficiency%20of%20Public%20Float%20and%20Use%20of%20Proceeds) As of the report date, the company maintained at least **25%** public float, complying with GEM Listing Rules, and net proceeds of approximately **HKD 41.1 million** from a share subscription were primarily used for technical upgrade projects and general working capital - As of the date of this report, at least **25%** of the company's total issued shares are held by the public, complying with the GEM Listing Rules[251](index=251&type=chunk)[254](index=254&type=chunk) - On March 22, 2024, the company entered into a subscription agreement with King Tower Global Absolute Return Fund SPC to subscribe for **310,638,298 new ordinary shares** at **HKD 0.141 per share**[256](index=256&type=chunk)[259](index=259&type=chunk) Use of Net Proceeds from Subscription (as of March 31, 2025) | Intended Use | Actual Net Proceeds (HKD thousands) | Actual Use as of Report Date (HKD thousands) | Unused Net Proceeds as of Report Date (HKD thousands) | Expected Timeline for Intended Use | | :--- | :--- | :--- | :--- | :--- | | Technical Upgrade Projects | 26,100 | 20,500 | 5,600 | On or before September 2025 | | General Working Capital | 15,000 | 15,000 | – | Used as intended | | Total | 41,100 | 35,500 | 5,600 | | [Event After the Reporting Period and Auditor](index=42&type=section&id=Event%20After%20the%20Reporting%20Period%20and%20Auditor) Subsequent to the reporting period, the company established AI Mining Company Limited in Hong Kong on June 2, 2025, with **51%** ownership, focusing on AI model development for mining, and the consolidated financial statements were audited by Evergreen (Hong Kong) CPA Limited - On June 2, 2025, the company established a joint venture, AI Mining Company Limited, in Hong Kong, with the company owning **51%** equity, primarily engaged in developing artificial intelligence models for the mining sector[266](index=266&type=chunk)[267](index=267&type=chunk) - The consolidated financial statements for the year were audited by Evergreen (Hong Kong) CPA Limited[270](index=270&type=chunk)[273](index=273&type=chunk) - Evergreen (Hong Kong) CPA Limited was appointed on March 5, 2024, to fill the vacancy left by the resignation of the previous auditor, aiming to address growing global gold demand and rising gold prices, and prepare for future overseas business expansion[271](index=271&type=chunk)[273](index=273&type=chunk) [Environmental, Social and Governance Report](index=44&type=section&id=Environmental,%20Social%20and%20Governance%20Report) This report, prepared in accordance with GEM Listing Rules Appendix C2, outlines the company's ESG initiatives, with the Board overseeing ESG matters, assessing risks, and setting policies, supported by annual materiality assessments and stakeholder engagement [Objectives and Governance Structure](index=44&type=section&id=Objectives%20and%20Governance%20Structure) This report, prepared in accordance with GEM Listing Rules Appendix C2, outlines the company's ESG initiatives, with the Board overseeing ESG matters, assessing risks, and setting policies, supported by annual materiality assessments and stakeholder engagement - This report is prepared in accordance with Appendix C2 "Environmental, Social and Governance Reporting Guide" of the GEM Listing Rules, presenting the ESG measures and activities of the company and its subsidiaries for the year ended March 31, 2025[276](index=276&type=chunk)[279](index=279&type=chunk) - The Board plays a primary role in overseeing the group's ESG matters, assessing ESG-related risks, and formulating policies, ensuring that management and the ESG working team have the necessary tools and resources[277](index=277&type=chunk)[280](index=280&type=chunk) - The group conducts a comprehensive materiality assessment annually, identifying and prioritizing **24 significant ESG issues** covering environmental, social, and operational aspects through communication with stakeholders[281](index=281&type=chunk)[282](index=282&type=chunk)[286](index=286&type=chunk)[287](index=287&type=chunk)[303](index=303&type=chunk)[304](index=304&type=chunk) [Reporting Principles and Scope](index=46&type=section&id=Reporting%20Principles%20and%20Scope) The report adheres to four principles—materiality, quantitative, balance, and consistency—focusing on Taizhou Mining's gold exploration, mining, and mineral processing operations, covering environmental protection and social responsibility policies - This report adheres to four key principles: materiality, quantitative, balance, and consistency[289](index=289&type=chunk)[290](index=290&type=chunk)[293](index=293&type=chunk)[294](index=294&type=chunk) - The report's scope primarily focuses on the gold exploration, mining, and mineral processing operations of Tongguan County Taizhou Mining Co., Ltd. (Taizhou Mining), with gold concentrate as its product[291](index=291&type=chunk)[292](index=292&type=chunk)[295](index=295&type=chunk) - Taizhou Mining completed multiple mine development projects in 2025, including roadway excavation, ramp excavation, ore pass excavation, and track laying and ditch excavation[292](index=292&type=chunk)[295](index=295&type=chunk) - The group actively participates in activities to help vulnerable communities, considering social responsibility as its fundamental duty[296](index=296&type=chunk)[298](index=298&type=chunk) [Stakeholder Engagement and Materiality Assessment](index=47&type=section&id=Stakeholder%20Engagement%20and%20Materiality%20Assessment) The group maintains regular communication with stakeholders through various channels to understand their expectations, conducting annual materiality assessments to identify and prioritize **24 key ESG issues** impacting business and stakeholders - The group emphasizes establishing regular communication mechanisms with stakeholders, setting up online and offline communication channels to timely articulate sustainable development strategic plans and performance, and solicit feedback and requirements from all parties[297](index=297&type=chunk)[300](index=300&type=chunk) - Stakeholders include shareholders, employees, government and regulatory bodies, customers, suppliers, communities, institutional and individual investors, whose expectations cover financial performance, information transparency, robust risk control, career development, salary and benefits, safe working environment, compliant operations, product quality, customer privacy, integrity in cooperation, environmental protection, and employment opportunities[298](index=298&type=chunk)[301](index=301&type=chunk)[302](index=302&type=chunk) - In 2025, the group conducted a comprehensive materiality assessment, identifying and determining **24 issues** covering greenhouse gas emissions, energy consumption, employee welfare, occupational health and safety, supply chain management, customer privacy, anti-corruption, and community investment[303](index=303&type=chunk)[304](index=304&type=chunk)[305](index=305&type=chunk)[309](index=309&type=chunk) [Environmental Performance](index=51&type=section&id=Environmental%20Performance) The group is committed to minimizing environmental impact from mining activities, strictly adhering to environmental laws, setting reduction targets for air pollutants and greenhouse gas emissions, and implementing measures for waste, wastewater, and noise management, with no harmful waste generated - The group is committed to reducing the environmental impact of its mining activities, production activities, and products, strictly complying with relevant environmental laws and regulations such as the "Environmental Protection Law of the People's Republic of China"[311](index=311&type=chunk)[316](index=316&type=chunk)[318](index=318&type=chunk)[358](index=358&type=chunk)[361](index=361&type=chunk) 2025 Fiscal Year Air Pollutant Emissions | Pollutant Type | Unit | 2025 | 2024 | | :--- | :--- | :--- | :--- | | Nitrogen Oxides (NOx) | grams | 7,233 | 7,357 | | Sulfur Oxides (SOx) | grams | 132 | 138 | | Particulate Matter (PM) | grams | 476 | 522 | - The group has set a target to reduce the emission density of nitrogen oxides, sulfur oxides, and particulate matter by **3%** by 2029[322](index=322&type=chunk)[323](index=323&type=chunk) 2025 Fiscal Year Greenhouse Gas Emissions | Indicator | Unit | 2025 | 2024 | | :--- | :--- | :--- | :--- | | GHG Emissions (Scope 1) | kg CO2e | 33,072 | 28,029 | | GHG Emissions (Scope 2) | kg CO2e | 5,329,688 | 4,656,315 | | GHG Emissions (Scope 3) | kg CO2e | 13,764 | 6,533 | | Total GHG Emissions | kg CO2e | 5,376,524 | 4,690,877 | | Total Production | tonnes | 66,012 | 66,663 | | GHG Intensity | kg CO2e/tonne | 81 | 70 | - The group has set a target to reduce the greenhouse gas emission density for Scope 1, Scope 2, and Scope 3 by **3%** by 2029[329](index=329&type=chunk)[330](index=330&type=chunk) - The group controls micro-dust waste emissions through measures such as wet drilling, ventilation fans, regular cleaning of rock surfaces, automatic feeding systems, wet mining agents, fully enclosed workshops, and dense mesh[336](index=336&type=chunk)[337](index=337&type=chunk)[339](index=339&type=chunk) - The group has constructed wastewater treatment facilities, recycling all treated wastewater back to the beneficiation plant, with no direct discharge into the environment under normal operations, and complies with the "Integrated Wastewater Discharge Standard"[338](index=338&type=chunk)[340](index=340&type=chunk)[341](index=341&type=chunk)[342](index=342&type=chunk)[343](index=343&type=chunk)[344](index=344&type=chunk) - The group's mining waste rock is crushed and used for road paving and underground backfilling, with remaining waste stored in designated waste rock dumps, and measures taken to prevent soil erosion; no hazardous waste was generated during production[346](index=346&type=chunk)[347](index=347&type=chunk)[348](index=348&type=chunk) 2025 Fiscal Year Waste Generation | Waste Type | Unit | 2025 | 2024 | | :--- | :--- | :--- | :--- | | Total Hazardous Waste | tonnes | Not Applicable | Not Applicable | | Total Non-hazardous Waste | tonnes | 18,346 | 18,059 | | Non-hazardous Waste Intensity | tonnes/tonne of product | 0.28 | 0.28 | - The group has set a target to reduce non-hazardous waste intensity by **3%** by 2029[351](index=351&type=chunk)[352](index=352&type=chunk) - The group controls noise through measures such as silencers, vibration reduction methods, soundproof rooms, and rubber linings, and selects mining areas away from residential zones, strictly complying with the "Industrial Enterprise Boundary Noise Standard"[353](index=353&type=chunk)[354](index=354&type=chunk)[355](index=355&type=chunk)[356](index=356&type=chunk) 2025 Fiscal Year Resource Consumption Data | Indicator | Unit | 2025 | 2024 | | :--- | :--- | :--- | :--- | | Electricity Consumption | kWh | 9,098,213 | 7,950,000 | | Fuel Consumption | kWh | 401,123 | 554,385 | | Total Energy Consumption | kWh | 9,499,336 | 8,504,385 | | Energy Consumption Intensity | kWh/tonne of product | 144 | 128 | | Water Consumption | cubic meters | 22,847 | 10,783 | | Water Consumption Intensity | cubic meters/tonne of product | 0.35 | 0.16 | - The group has set a target to reduce energy consumption intensity and water consumption intensity by **3%** by 2029[369](index=369&type=chunk)[370](index=370&type=chunk) - The group implements measures such as upgrading high-voltage lines, replacing equipment and lines to enhance production capacity and reduce line losses, and implementing water-saving and consumption reduction initiatives, including industrial wastewater recycling[363](index=363&type=chunk)[364](index=364&type=chunk)[366](index=366&type=chunk) - The group continuously monitors the potential impact of climate change on its business and operations, regularly reviews government policies and market trends, and develops plans to address physical and transition risks based on the Task Force on Climate-related Financial Disclosures framework[376](index=376&type=chunk)[377](index=377&type=chunk)[378](index=378&type=chunk)[379](index=379&type=chunk) [Social Performance](index=66&type=section&id=Social%20Performance) The group is dedicated to providing a fair and non-discriminatory work environment, safeguarding employee rights, ensuring occupational health and safety, prohibiting child and forced labor, maintaining a robust supply chain, ensuring product quality, and actively engaging in anti-corruption and community investment initiatives - The group is committed to providing a non-discriminatory, equal opportunity work environment, safeguarding employee rights in terms of remuneration, dismissal, recruitment, promotion, rest periods, and annually reviews its employment policies[380](index=380&type=chunk)[381](index=381&type=chunk)[382](index=382&type=chunk)[384](index=384&type=chunk)[385](index=385&type=chunk)[386](index=386&type=chunk) 2025 Fiscal Year Employee Composition (excluding Independent Non-executive Directors) | Category | 2025 | 2024 | | :--- | :--- | :--- | | **By Gender** | | | | Male | 127 (82%) | 148 (86%) | | Female | 27 (18%) | 25 (14%) | | **By Age Group** | | | | Under 30 | 7 (5%) | 7 (4%) | | 30 to 50 | 79 (51%) | 98 (57%) | | Over 50 | 68 (44%) | 68 (39%) | | **By Employment Category** | | | | Full-time | 154 (100%) | 173 (100%) | | **By Geographical Region** | | | | Hong Kong | 9 (6%) | 8 (5%) | | China | 145 (94%) | 165 (95%) | | **Total** | 154 (100%) | 173 (100%) | 2025 Fiscal Year Employee Turnover Rate | Category | 2025 | 2024 | | :--- | :--- | :--- | | **By Gender** | | | | Male | 18% | 6% | | Female | – | 13% | | **By Age Group** | | | | Under 30 | 29% | 14% | | 30 to 50 | – | – | | Over 50 | 1% | 16% | | **By Region** | | | | China | 16% | 7% | - The group places high importance on occupational health and safety, requiring employees to comply with safety instructions, attend safety training, and be equipped with necessary safety equipment, and passes government safety inspections; in the past three years, the group has had no employee fatalities due to work-related accidents[398](index=398&type=chunk)[399](index=399&type=chunk)[400](index=400&type=chunk)[401](index=401&type=chunk)[409](index=409&type=chunk)[410](index=410&type=chunk) - The group strictly adheres to rules and regulations for explosive use, maintaining approved dedicated isolated explosive storage facilities and implementing stringent access control measures to ensure safety[405](index=405&type=chunk)[406](index=406&type=chunk) - The group provides continuous training for employees, including new employee induction training and on-the-job training, to enhance skills and knowledge; in 2025, the employee training percentage was **95%**, with an average training duration of **5.8 hours**[413](index=413&type=chunk)[416](index=416&type=chunk)[417](index=417&type=chunk)[418](index=418&type=chunk)[419](index=419&type=chunk)[420](index=420&type=chunk)[421](index=421&type=chunk)[422](index=422&type=chunk) - The group strictly enforces recruitment procedures to prevent child and forced labor, complying with relevant laws and regulations such as the "Labor Law of the People's Republic of China" and the "Labor Contract Law"[427](index=427&type=chunk)[428](index=428&type=chunk)[430](index=430&type=chunk)[431](index=431&type=chunk)[432](index=432&type=chunk) - The group establishes a comprehensive vertical supply chain management system through resource integration and supplier screening management, maintaining long-term cooperative relationships with suppliers to ensure stable supply[433](index=433&type=chunk)[434](index=434&type=chunk)[435](index=435&type=chunk) Number of Key Suppliers as of End of 2025 (by Region) | Region | 2025 | 2024 | | :--- | :--- | :--- | | Mainland China | 11 | 10 | - The group ensures product quality and gold content through independent laboratory sampling and testing, complying with the "Product Quality Law of the People's Republic of China"; in 2025, no products were returned due to safety or health issues, and no customer complaints were received[439](index=439&type=chunk)[440](index=440&type=chunk)[443](index=443&type=chunk)[444](index=444&type=chunk)[448](index=448&type=chunk)[452](index=452&type=chunk) - The group maintains confidentiality of commercial information and customer data, establishes strict employee codes of conduct, and complies with anti-corruption laws and regulations such as the "Prevention of Bribery Ordinance" and the "Anti-Unfair Competition Law of the People's Republic of China"; in 2025, there were no bribery or corruption allegations[446](index=446&type=chunk)[447](index=447&type=chunk)[449](index=449&type=chunk)[450](index=450&type=chunk)[453](index=453&type=chunk)[454](index=454&type=chunk)[455](index=455&type=chunk)[456](index=456&type=chunk)[457](index=457&type=chunk)[460](index=460&type=chunk)[461](index=461&type=chunk) - The group actively participates in community welfare and environmental restoration activities, encourages employee involvement in public welfare, prioritizes hiring local villagers, and is committed to exploring more community investment opportunities[462](index=462&type=chunk)[463](index=463&type=chunk)[464](index=464&type=chunk) [Corporate Governance Report](index=83&type=section&id=Corporate%20Governance%20Report) This report describes the company's corporate governance practices, board composition, committee functions, risk management, and commitment to investor relations and shareholder rights [Corporate Governance Practices and Culture](index=83&type=section&id=Corporate%20Governance%20Practices%20and%20Culture) The company is committed to maintaining high standards of corporate governance, adopting the GEM Listing Rules Corporate Governance Code, and fostering a proactive corporate culture that emphasizes investment value, environmental protection, and financial objectives - The company is committed to achieving and maintaining the highest standards of corporate governance, having adopted the Corporate Governance Code and Corporate Governance Report provisions set out in Appendix C1 of the GEM Listing Rules[466](index=466&type=chunk)[467](index=467&type=chunk)[469](index=469&type=chunk) - While the roles of Chairman and Chief Executive Officer should be separate, the Chairman role was held by Dr. Li Dahong during the year, and the CEO position was vacant; the Board will continue to review the existing structure and fill the CEO position when appropriate[468](index=468&type=chunk)[469](index=469&type=chunk) - The group upholds a proactive corporate culture that guides employee behavior and ensures alignment of the company's vision, mission, policies, and business strategies, including maintaining investment value and reputation, prioritizing environmental protection and occupational health and safety, delivering high-quality products on time, encouraging diversity and innovation, controlling costs, and achieving financial objectives[470](index=470&type=chunk)[471](index=471&type=chunk)[475](index=475&type=chunk) [Board Composition and Diversity](index=84&type=section&id=Board%20Composition%20and%20Diversity) The Board consists of two executive and three independent non-executive directors, possessing balanced experience and qualifications, and adheres to a diversity policy considering professional experience, skills, gender, age, and background to enhance decision-making - The Board comprises **five directors**, including **two executive directors** and **three independent non-executive directors**[485](index=485&type=chunk)[489](index=489&type=chunk) - The company has adopted a Board Diversity Policy, recognizing it as a key element for maintaining good corporate governance, achieving sustainable development, and fulfilling strategic objectives[492](index=492&type=chunk)[495](index=495&type=chunk) - The concept of diversity encompasses multiple dimensions, including professional experience, business acumen, skills, knowledge, gender, age, cultural and educational background, ethnicity, and length of service[492](index=492&type=chunk)[495](index=495&type=chunk) - Measurable objectives of the Board Diversity Policy include: at least one-third of members being independent non-executive directors; at least three members being independent non-executive directors; and at least one member possessing appropriate professional qualifications or expertise in accounting or related financial management[501](index=501&type=chunk) - As of March 31, 2025, the company had achieved the measurable objectives under its Board Diversity Policy[497](index=497&type=chunk)[499](index=499&type=chunk) [Mechanisms to Ensure Independent Views and Directors' Attendance](index=89&type=section&id=Mechanisms%20to%20Ensure%20Independent%20Views%20and%20Directors'%20Attendance) The company ensures independent opinions through annual reviews by the Nomination Committee, requiring independent non-executive directors to confirm their independence and recuse themselves from conflicts of interest, with high attendance rates at Board and committee meetings - The Nomination Committee annually reviews the Board's composition and the independence of independent non-executive directors to ensure the Board receives independent advice and perspectives[502](index=502&type=chunk)[503](index=503&type=chunk)[504](index=504&type=chunk) - Independent non-executive directors have confirmed their independence in accordance with Rule 3.13 of the Listing Rules, and the company considers all independent non-executive directors to be independent[504](index=504&type=chunk) - The Board Chairman holds at least one meeting annually with the independent non-executive directors, and all directors may seek independent professional advice when necessary[504](index=504&type=chunk) 2025 Fiscal Year Directors' Meeting Attendance Record | Director Name | Board Meetings | Audit Committee Meetings | Remuneration Committee Meetings | Nomination Committee Meetings | General Meetings | | :--- | :--- | :--- | :--- | :--- | :--- | | Dr. Li Dahong | 7/7 | – | – | – | 1/1 | | Ms. Ma Xiaona | 7/7 | – | 3/3 | 2/2 | 1/1 | | Mr. Guo Wei | 7/7 | 3/3 | 3/3 | 2/2 | 1/1 | | Mr. Lam Man Sum | 7/7 | 3/3 | 3/3 | 2/2 | 1/1 | | Mr. Cheung Wai Hung | 7/7 | 3/3 | – | – | 1/1 | [Corporate Governance Function and Directors' Training](index=90&type=section&id=Corporate%20Governance%20Function%20and%20Directors'%20Training) The Board is responsible for establishing and reviewing corporate governance policies, overseeing director training, ensuring legal compliance, and developing codes of conduct, with all directors engaging in continuous professional development - The Board is responsible for formulating and reviewing the group's corporate governance policies, overseeing the training of directors and senior management, ensuring compliance with laws and regulations, establishing codes of conduct, and reviewing the company's adherence to these codes[507](index=507&type=chunk)[509](index=509&type=chunk)[515](index=515&type=chunk) - All directors participate in continuous professional development to develop and update their knowledge and skills, ensuring their contributions to the Board are informed and relevant[509](index=509&type=chunk)[510](index=510&type=chunk)[512](index=512&type=chunk)[513](index=513&type=chunk) [Board Committees and Nomination Policy](index=92&type=section&id=Board%20Committees%20and%20Nomination%20Policy) The company has Audit, Remuneration, and Nomination Committees to assist the Board, with the Audit Committee reviewing financial information, the Nomination Committee assessing board structure and candidate suitability, and the Remuneration Committee setting compensation policies - The company has established an Audit Committee, a Remuneration Committee, and a Nomination Committee to assist the Board in fulfilling its responsibilities, with adequate resources and access to external professional advice[517](index=517&type=chunk)[521](index=521&type=chunk) - The primary responsibilities of the Audit Committee are to review the company's financial information, oversee the financial reporting process, risk management, and internal control systems, and maintain a relationship with the auditor[518](index=518&type=chunk)[522](index=522&type=chunk) - The primary responsibilities of the Nomination Committee are to review the Board's structure, identify qualified candidates, assess the independence of independent non-executive directors, and make recommendations for director appointments[526](index=526&type=chunk)[529](index=529&type=chunk) - The selection criteria for the nomination policy include candidates' ethnicity, reputation, character, integrity, qualifications, skills, knowledge, business judgment, and experience relevant to the group's business, as well as factors related to the Board Diversity Policy[531](index=531&type=chunk)[534](index=534&type=chunk)[536](index=536&type=chunk) - The primary responsibilities of the Remuneration Committee are to formulate transparent remuneration policies and packages for directors and senior management, and to review and/or approve matters related to share schemes[546](index=546&type=chunk)[549](index=549&type=chunk) 2025 Fiscal Year Senior Management Remuneration Range | Remuneration Range (HKD) | Number of Individuals | | :--- | :--- | | Zero to 1,000,000 | 6 | | 1,000,001 to 6,000,000 | 1 | [Auditors' Remuneration and Dividend Policy](index=97&type=section&id=Auditors'%20Remuneration%20and%20Dividend%20Policy) For fiscal year 2025, auditor fees for annual audit services were **HKD 1.43 million**, and the company's dividend policy aims to distribute surplus funds to shareholders after meeting operational and development needs, considering various financial factors 2025 Fiscal Year Auditor Remuneration | Service Category | Amount (HKD) | | :--- | :--- | | Annual Audit Services | 1,430,000 | | Non-audit Services | – | - The company's dividend policy aims to distribute surplus funds to shareholders after deducting operational needs and requirements for current and future business development[556](index=556&type=chunk)[560](index=560&type=chunk) - When deciding on dividend payments, the Board considers factors such as financial performance, profits, losses and distributable reserves, working capital and liquidity needs, gearing ratio, capital requirements, company development plans, and shareholders' interests[561](index=561&type=chunk)[564](index=564&type=chunk) - The Board reserves the sole and absolute right to update, amend, change, and/or cancel the dividend policy, and does not guarantee the payment of any specific amount of dividend in any given period[562](index=562&type=chunk)[565](index=565&type=chunk) [Accountability, Risk Management and Internal Control Systems](index=98&type=section&id=Accountability,%20Risk%20Management%20and%20Internal%20Control%20Systems) Directors are responsible for preparing fair financial statements and maintaining effective risk management and internal control systems, with annual reviews by independent professionals and an adopted inside information policy to ensure timely disclosure - Directors are responsible for preparing true and fair financial statements and for implementing the internal controls necessary to ensure that the financial statements are free from material misstatement, whether due to fraud or error[566](index=566&type=chunk)[567](index=567&type=chunk) - The Board is collectively responsible for assessing and determining the nature and extent of risks it is willing to undertake in achieving the group's strategic objectives, and for ensuring that appropriate and effective risk management and internal control systems are established and maintained[567](index=567&type=chunk)[568](index=568&type=chunk) - The group has engaged independent professionals (internal control experts) to perform internal audit functions and conduct annual reviews of the effectiveness of the risk management and internal control systems for the reporting period[574](index=574&type=chunk)[576](index=576&type=chunk) - The Board has approved and adopted an inside information policy and procedures to provide guidance to directors, management, and relevant employees, ensuring that inside information is disseminated to the public in an equal and timely manner in accordance with applicable laws and regulations[575](index=575&type=chunk)[576](index=576&type=chunk) [Investor Relations and Shareholders' Rights](index=101&type=section&id=Investor%20Relations%20and%20Shareholders'%20Rights) The company promotes two-way communication with shareholders through various reports and channels, ensuring shareholder rights by requiring independent resolutions for significant issues and allowing shareholders to request special general meetings and submit inquiries - The company encourages two-way communication with shareholders, providing extensive information through quarterly, interim, and annual reports, and maintaining communication channels such as mail, telephone, fax, and email[577](index=577&type=chunk)[579](index=579&type=chunk) - To protect shareholders' rights, independent resolutions are proposed for shareholders' consideration and voting on significant issues (including the election of individual directors) at shareholder meetings, and all resolutions are voted on by poll[578](index=578&type=chunk)[580](index=580&type=chunk) - Shareholders holding not less than one-tenth of the paid-up share capital have the right to requisition the Board or the company secretary to convene a special general meeting in writing[581](index=581&type=chunk)[582](index=582&type=chunk) - Shareholders have the right to submit written inquiries to the Board and to propose resolutions at general meetings[583](index=583&type=chunk)[584](index=584&type=chunk)[585](index=585&type=chunk)[586](index=586&type=chunk) [Independent Auditor's Report](index=103&type=section&id=Independent%20Auditor's%20Report) This report presents the auditor's opinion on the consolidated financial statements, highlights key audit matters, and outlines the responsibilities of both directors and the auditor [Opinion and Basis for Opinion](index=103&type=section&id=Opinion%20and%20Basis%20for%20Opinion) The auditor believes the consolidated financial statements for the year ended March 31, 2025, fairly present the group's financial position, performance, and cash flows in accordance with HKFRSs and Hong Kong Companies Ordinance, having conducted the audit independently and ethically - The auditor believes that the consolidated financial statements give a true and fair view of the group's consolidated financial position as of March 31, 2025, and of its consolidated financial performance and consolidated cash flows for the year then ended in accordance with Hong Kong Financial Reporting Standards issued by the Hong Kong Institute of Certified Public Accountants[588](index=588&type=chunk)[590](index=590&type=chunk) - The audit was conducted in accordance with Hong Kong Standards on Auditing issued by the Hong Kong Institute of Certified Public Accountants, and the auditor is independent of the group and has fulfilled ethical responsibilities as a professional accountant[589](index=589&type=chunk)[591](index=591&type=chunk) [Key Audit Matters](index=104&type=section&id=Key%20Audit%20Matters) Key audit matters include the net realizable value of inventories and expected credit loss provisions for trade and other receivables, both involving significant management judgment and estimation due to their materiality and inherent uncertainties - Key audit matters include: i) Net realizable value of inventories; and ii) Expected credit loss provision for trade and other receivables[592](index=592&type=chunk)[593](index=593&type=chunk) - Determining the net realizable value of inventories involves significant management judgment regarding costs to complete and sell, the form and quality of gold, and expected selling prices based on economic conditions and future market prices, posing a risk of misstatement given commodity price volatility[596](index=596&type=chunk)[597](index=597&type=chunk) - Measuring expected credit loss provisions requires significant judgment and complexity, including identifying exposures with significant deterioration in credit quality and the assumptions used in the expected credit loss model (e.g., forward-looking macroe

Group 1 - Hong Kong gold stocks are performing strongly, with Tongguan Gold (00340.HK) rising by 4.90% [1] - Chifeng Gold (06693.HK) increased by 1.80% [1] - Datang Gold (08299.HK) saw a rise of 1.69% [1] - Zhaojin Mining (01818.HK) experienced a gain of 1.62% [1]

Financial Performance - Revenue for the year ended March 31, 2025, was HKD 1,314,101,000, representing a 82% increase from HKD 722,725,000 in the previous year[3] - Gross profit increased to HKD 103,804,000, up from HKD 83,829,000, reflecting a gross margin improvement[3] - Net profit for the year was HKD 94,919,000, compared to HKD 76,041,000 in the prior year, marking a 25% increase[4] - Basic earnings per share rose to HKD 0.95 from HKD 0.92, while diluted earnings per share increased to HKD 0.92 from HKD 0.75[4] - The company reported a total comprehensive income of HKD 90,163,000, significantly higher than HKD 49,168,000 in the previous year[4] - The company's gross profit from gold sales was HKD 1,143,142,000 in 2025, up from HKD 621,004,000 in 2024, reflecting an 84% increase[17] - The group's profit for the year was approximately HKD 95 million, compared to approximately HKD 76 million in the previous year, with net profit attributable to equity holders of approximately HKD 66.6 million, up from HKD 55.3 million last year[33] - The group recorded earnings per share of approximately HKD 0.95, compared to approximately HKD 0.92 in the previous year[34] Assets and Liabilities - Total assets amounted to HKD 1,699,156,000, up from HKD 1,628,067,000, indicating growth in the company's asset base[5] - The company's net assets rose to HKD 749,549,000 from HKD 506,651,000, indicating a strong equity position[5] - Total assets in the gold mining segment reached HKD 1,721,406,000 as of March 31, 2025, compared to HKD 1,403,581,000 in 2024, indicating a 22.6% growth[14][15] - The company’s total liabilities decreased to HKD 929,607,000 in 2025 from HKD 921,621,000 in 2024, indicating a stable financial position[15] - The accounts payable increased to HKD 591,351,000 as of March 31, 2025, compared to HKD 477,860,000 in the previous year, indicating a rise of approximately 23.7%[25] Cash Flow and Financing - The company's cash and bank balances decreased to HKD 29,481,000 from HKD 47,489,000, reflecting changes in liquidity[5] - The company’s financing costs totaled HKD 11,174,000 in 2025, a slight decrease from HKD 13,376,000 in 2024[14][15] - The total interest expenses for the year ended March 31, 2025, amounted to HKD 11,174,000, a decrease of approximately 16.4% from HKD 13,376,000 in the previous year[18] Revenue Sources and Customer Base - The company identified two major customers contributing over 10% of total revenue in 2025, compared to three in 2024, with total revenue from major customers reaching approximately HKD 858,000,000[16] - Other income increased significantly to HKD 20,125,000 in 2025 from HKD 993,000 in 2024, marking a substantial rise[17] Capital Expenditure and Investments - Capital expenditure for the gold mining segment was HKD 123,915,000 in 2025, compared to HKD 360,583,000 in 2024, showing a reduction in investment[14][15] - Total spending on mining development and exploration for the year was approximately HKD 117.9 million and HKD 2.4 million, respectively[53] Taxation and Compliance - The income tax expense for the year ended March 31, 2025, was HKD 20,503,000, compared to HKD 10,411,000 for the previous year, reflecting an increase of approximately 96.5%[20] - The audit committee reviewed the draft consolidated financial statements for the year ending March 31, 2025, ensuring compliance with accounting principles and internal controls[66] Future Plans and Strategic Initiatives - The company plans to continue its focus on gold exploration and mining, aiming for further market expansion and operational efficiency[6] - The group plans to accelerate gold mining and production capacity expansion, with significant increases in gold output expected following the completion of technical upgrades at its subsidiary, Taizhou Mining[50] - The group is actively exploring acquisition opportunities for multiple gold and polymetallic mines, aiming to complete several acquisitions within the next three to four years[50] - The group will continue its mineral exploration program, extending the exploration area from approximately 1,100 meters above sea level down to 400 meters, aiming to increase gold and other mineral resources and reserves[50] - The group has established a joint venture with a leading industrial AI developer in mainland China to develop AI-driven mining models, aiming to enhance exploration, extraction, and smelting efficiency[51] - The group aims to diversify its revenue sources through the commercialization of AI solutions across various industries[51] Corporate Governance - The group is committed to maintaining high standards of corporate governance to enhance shareholder value and protect shareholder rights[61]

Group 1: Stock Movements in Hong Kong Market - Youqu Holdings (02177) surged over 24% as it actively expands into the health sector with the launch of the Canadian anti-aging health food brand Vanpearl containing ergothioneine [1] - Longfly Fiber Optics (06869) rose nearly 10% following the commencement of mass production at its advanced Wuhan base, successfully producing its first 6-inch silicon carbide wafer [1] - SF Holding (06936) increased over 5% with a reported 19.1% year-on-year growth in express delivery volume in April 2025, reaching 16.32 billion parcels [1] Group 2: Notable Developments in Other Companies - Alibaba Pictures (01060) gained over 4% after announcing a name change to Damai Entertainment, indicating a focus on offline performances and IP derivatives [2] - Innovent Biologics (01801) rose over 4% after presenting promising results for its innovative drug IBI343 for treating advanced pancreatic cancer at the 2025 ASCO annual meeting [2] - Ideal Auto (02015) saw a rise of over 6% with May deliveries reaching 40,856 units, marking a 16.7% year-on-year increase [4] Group 3: U.S. Market Highlights - Ferguson (FERG.US) increased by 2.9% with Q3 sales of $7.621 billion, a 4.3% year-on-year growth, exceeding market expectations [5] - Credo Technology (CRDO.US) surged over 14% with Q4 revenue of $170.3 million, a 179.7% year-on-year increase [6] - Nvidia (NVDA.US) rose by 2.8% as UBS projected significant revenue from a new AI data center project in Texas [6]

Group 1 - As of June 3, a total of 105 stocks reached their 52-week highs, with Huayin International Holdings (00989), Dingyifeng Holdings (00612), and Youquhui Holdings (02177) leading the high rate at 57.26%, 37.93%, and 23.02% respectively [1] - The closing prices and highest prices for the top three stocks are as follows: Huayin International Holdings at 1.370 and 1.950, Dingyifeng Holdings at 0.770 and 0.800, and Youquhui Holdings at 3.550 and 3.580 [1] - Other notable stocks that reached their 52-week highs include China Antibody-B (03681) with a high rate of 21.62% and Fengcheng Holdings (02295) at 19.52% [1] Group 2 - The report also lists stocks that reached their 52-week lows, with Des Holdings (08437) showing the largest decline at -38.79%, followed by Dimi Life Holdings (01667) at -20.50% [3] - The closing prices and lowest prices for the top three stocks that reached their lows are: Des Holdings at 0.177 and 0.071, Dimi Life Holdings at 0.140 and 0.128, and Lujizhi Technology (01745) at 0.197 and 0.194 [3] - Other stocks with significant declines include GBA Group (00261) at -11.48% and Baide International (02668) at -10.88% [3]

Group 1: Stock Movements and Market Reactions - JunDa Co., Ltd. (02865) fell by 12.69% due to weak fundamentals, expected shareholder sell-off, and cash flow concerns [1] - Rongchang Biopharmaceutical (09995) rose by 4.61% after ASCO announced positive data for RC108 combined with vorinostat, enhancing its commercialization prospects [1] - Datang Gold (08299) increased by 7.27% as it partnered with Wuxi to develop AI mining applications, benefiting from gold's safe-haven demand [1] - Kanglong Chemical (03759) gained 4.35% by investing in a biopharmaceutical fund, strengthening its investment ecosystem [1] - Automotive stocks surged following a significant increase in May's new energy vehicle sales, with Li Auto (2015) rising nearly 6% and Great Wall Motors (2333) up over 3% [1] - Gold stocks led the market as COMEX gold prices returned to $3,400, with Goldman Sachs predicting $4,200, driven by geopolitical tensions [1] Group 2: Company-Specific Developments - Changfei Optical Fiber (06869) rose by 8.34% as its Wuhan base began mass production of 6-inch silicon carbide wafers, achieving a 97% yield rate [2] - China Shipbuilding Defense (00317) increased by 7.58% after securing the highest global new orders from January to April, with Q1 net profit up 1,099% [2] - Hengrui Medicine (00013) rose by 5.09% as SACHI III phase data met expectations, opening up market space for MET amplification lung cancer treatment [2] - Lepu Medical Technology (02157) gained 5.76% following positive ASCO data for its ADC drug MRG003, boosting approval expectations for nasopharyngeal carcinoma [2] - Aidi Kang Holdings (09860) increased by 5.2% after acquiring Suzhou Yuande Youqin to enhance blood disease diagnostics [2] - NetDragon (00777) rose by 5.82% due to its collaboration with Thailand on an AI education platform, attracting investor interest [2] Group 3: Notable Market Trends - China Everbright Holdings (00165) surged over 21% following the enactment of Hong Kong's stablecoin regulations, with Circle's IPO expectations boosting related equity valuations [3] - iFlytek Medical (02506) rose by 6.62% as its medical AI model demonstrated superior accuracy, supported by favorable policies [3] - MicroPort NeuroTech (02172) increased by 9.59% as it initiated clinical research on brain-machine interfaces, benefiting from policy incentives [3] - Longpan Technology (02465) rose by 14.9% after its subsidiary signed a $7.1 billion contract with Yiwei Lithium Energy for lithium iron phosphate [4] - Hansoh Pharmaceutical (03692) gained 3.85% after reaching a global licensing agreement with Regeneron, receiving an $80 million upfront payment [4] Group 4: U.S. Market Highlights - Steel and aluminum stocks surged over 10%-28% as Trump proposed increasing steel tariffs to 50%, benefiting domestic companies [5] - Blueprint Medicines (BPMC.US) rose by 26% following Sanofi's $9.1 billion acquisition, enhancing its rare disease pipeline [5] - BioNTech (BNTX.US) increased by 18% due to a collaboration with Bristol-Myers Squibb, securing a $1.5 billion upfront payment [5] - Applied Digital (APLD.US) surged by 48.46% after signing a $7 billion AI data center lease, validating its business model [5] - Tempus AI (TEM.US) rose by 15% as it launched an AI medical innovation plan, attracting investor interest [7]

Group 1 - The company has established a joint venture named Artificial Intelligence Mining Limited with Wuxi Zhuangxin Zhizhi Technology Co., Ltd, holding 51% of the equity [1] - The joint venture aims to develop and evaluate AI applications in non-ferrous metal exploration, mining processes, and safety production [1] - The company has been collaborating with Wuxi Zhuangxin Zhizhi since 2024 to develop AI technology models to reduce exploration costs and improve success rates [1] Group 2 - AI models will be developed for intelligent ore sorting to optimize mining activities and minimize dilution rates [2] - AI will be applied for dynamically adjusting grinding, flotation, and leaching parameters to enhance recovery rates and efficiency [2] - AI-assisted predictions will be utilized to optimize smelting conditions and improve metal recovery rates [2]

大唐黄金(08299)发布公告，公司与无锡专心智制科技有限公司(无锡专心智制)已于香港成立合资公司， 即人工智能矿业有限公司。合资公司由公司拥有51%的股权，并将于集团的综合财务报表中作为附属公 司入账。 无锡专心智制在中国成立的领先的创新科技公司，专注于为工业领域提供数据服务和人工智能(AI)解决 方案。 合资公司旨在开发及评估AI在有色金属勘探、开采工艺以及安全生产方面的应用。合资公司将通过随 机森林、强化学习、卷积神经网络及其他机器学习(ML)工具开发专业的AI应用模型，以推动采矿业向 数字化及智能化转型。此外，合资公司将引入数字孪生及数字化绩效运营系统，整合技术、供应链及运 营要素，以提高生产及资源利用效率以及工作安全，以及为采矿业创造合作机会。 合资公司近期已与全球领先的矿业技术及咨询公司SRK Consulting(China)Ltd.(SRK)订立一份谅解备忘 录，旨在开展战略合作以共同打造AI深度结合黄金及有色金属开采的标杆案例，建立系统性AI采矿学 习机制，开发适用于采矿生产各个环节的应用模型，并于采矿行业中实施AI模型。 公告称，与SRK的战略合作符合当前采矿行业应用AI解决方案的趋势，并 ...

Summary of Key Points Core Viewpoint - As of May 28, a total of 65 stocks reached their 52-week highs, with notable performances from Kingway Medical Holdings (08559), China Silver Technology (00515), and Honghui Group (00183) leading the list with high rates of increase [1]. Group 1: Stocks Reaching 52-Week Highs - Kingway Medical Holdings (08559) achieved a closing price of 0.027 with a peak of 0.045, marking a high rate of 32.35% [1]. - China Silver Technology (00515) closed at 0.280, reaching a maximum of 0.305, resulting in a high rate of 28.15% [1]. - Honghui Group (00183) had a closing price of 0.255, with a peak price of 0.255, reflecting a high rate of 27.50% [1]. - Other notable stocks include Emperor Watch and Jewellery (00887) with a high rate of 27.14% and Sogo Department Store (00312) at 21.79% [1]. Group 2: Additional Stocks with Significant Increases - Lehua Entertainment (02306) reached a high rate of 13.73% with a closing price of 2.540 [1]. - Kingway Medical (08143) had a closing price of 0.124 and a peak of 0.230, resulting in a high rate of 10.05% [1]. - Other stocks with notable increases include Zhu Feng Gold (01815) at 6.98% and Yaoshi Bang (09885) at 6.68% [1]. Group 3: Stocks with Lower Performance - The report also includes stocks that did not perform as well, with some reaching their 52-week lows, such as China Parenting Network (01736) with a low rate of -14.40% [2]. - XI Nan Tes-U (09366) and XI Nan Tes (07366) also showed declines of -10.08% and -8.60% respectively [2]. - Other stocks like He Fu Hui Huang (00733) and Pai Ge Biomedical-B (02565) experienced decreases of -7.04% and -6.95% [2].

Group 1 - As of May 26, a total of 88 stocks reached their 52-week highs, with Tianbao Energy (01671), China Nuclear International (02302), and Honghui Group (00183) leading the high rate at 141.60%, 93.92%, and 21.34% respectively [1] - Tianbao Energy closed at 0.700 and reached a peak of 1.510, marking a significant increase of 141.60% [1] - China Nuclear International closed at 4.090 with a highest price of 5.100, reflecting a rise of 93.92% [1] Group 2 - Other notable stocks that reached their 52-week highs include Century International (00959) with an increase of 18.64%, and Junjie Group Holdings (08188) with a rise of 17.95% [1] - The list also includes Haotian Financial Group (01260) with a 13.70% increase and Dechang Electric Holdings (00179) with a 10.96% rise [1] - The overall trend indicates a strong performance in the market, with multiple stocks achieving significant gains [1] Group 3 - The report also highlights stocks that reached their 52-week lows, with Sipai Health (00314) showing the largest decline at -11.65% [3] - Other stocks experiencing declines include Feitian Yundong (06610) at -9.05% and Hengrui Medicine (01276) at -4.81% [3] - The presence of stocks reaching both highs and lows suggests a volatile market environment [3]