股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年10月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 信義儲電控股有限公司 呈交日期: 2025年11月5日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 08328 | 說明 | | | | | | | | | | | | 法定/註冊股份數目 | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 2,000,000,000,000 | HKD | | 0.01 | HKD | | 20,000,000,000 | | 增加 / 減少 (-) | | | | 0 | | | HKD | | | | 本月底結存 | | | 2,000,000,000,000 | HKD | | 0.01 | HKD | | 20,000, ...

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年9月30日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 信義儲電控股有限公司 呈交日期: 2025年10月6日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 08328 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 2,000,000,000,000 | HKD | | 0.01 HKD | | 20,000,000,000 | | 增加 / 減少 (-) | | | | 0 | | HKD | | 0 | | 本月底結存 | | | 2,000,000,000,000 | HKD | | 0.01 HKD | | 20,000,000,000 | 本月底法定/註 ...

XINYI ELECTRIC STORAGE HOLDINGS LIMITED 信義儲電控股有限公司 (Incorporated in the Cayman Islands with limited liability) 於開曼群島註冊成立之有限公司） (Stock code 股份代號: 08328) Dear Non-Registered Holder of Securities of the Company(1) , Xinyi Electric Storage Holdings Limited (the "Company") - Notice of Publication of Interim Report 2025 (the "Current Corporate Communications") and Arrangement of Electronic Dissemination of Corporate Communications The English and Chinese versions of the Company's Current Corporate Communications ...

– Notice of Publication of Interim Report 2025 (the "Current Corporate Communications") and Arrangement of Electronic Dissemination of Corporate Communications The English and Chinese versions of the Company's Current Corporate Communications are available on the Company's website at www.xinyies.com and the HKEXnews website of The Stock Exchange of Hong Kong Limited (the "HKEXnews website") at www.hkexnews.hk (the "Website Version"). You may access the Current Corporate Communications on the Company's websi ...

Financial Performance - Revenue for the six months ended June 30, 2025, was HKD 477,436,000, a decrease of 26.2% compared to HKD 646,517,000 for the same period in 2024[9] - Gross profit for the same period was HKD 83,289,000, down 25.4% from HKD 111,753,000 in 2024[9] - Operating profit decreased to HKD 18,360,000, a decline of 44.8% from HKD 33,227,000 in the previous year[9] - Net profit for the period was HKD 5,854,000, representing a 63.6% decrease from HKD 16,054,000 in 2024[10] - Total comprehensive income for the period was HKD 58,512,000, compared to a loss of HKD 23,948,000 in the same period last year[10] - Basic and diluted earnings per share for the period were HKD 0.60, down from HKD 1.56 in the previous year[10] - The company reported a pre-tax profit of HKD 11,367,000 for the six months ended June 30, 2025, a decline of 53.8% from HKD 24,686,000 in the same period of 2024[28] - Profit attributable to the company's owners dropped to HKD 4.7 million in H1 2025 from HKD 12.3 million in H1 2024, reflecting the overall operational performance[102] Assets and Liabilities - Non-current assets amounted to HKD 1,158,440,000 as of June 30, 2025, slightly up from HKD 1,105,426,000 at the end of 2024[12] - Current assets decreased to HKD 864,282,000 from HKD 908,349,000 at the end of 2024[12] - Current liabilities increased to HKD 815,458,000 from HKD 837,825,000 at the end of 2024[12] - Non-current liabilities decreased from HKD 212,058,000 to HKD 184,194,000, a reduction of approximately 13.1%[13] - Total liabilities as of June 30, 2025, were HKD (636,175,000), compared to HKD (580,219,000) as of December 31, 2024, indicating an increase in liabilities[32] - Total equity increased from HKD 963,892,000 to HKD 1,023,070,000, indicating a rise of approximately 6.2%[14] Cash Flow and Investments - Operating cash flow for the six months ended June 30, 2025, was HKD 129,861,000, significantly up from HKD 26,907,000 in the previous year, marking an increase of approximately 382.5%[18] - Cash and cash equivalents at the end of the period rose to HKD 92,124,000 from HKD 48,782,000, reflecting an increase of about 88.9%[18] - The company reported a net cash outflow from investing activities of HKD 30,667,000, an improvement compared to HKD 53,729,000 in the prior year[18] - Capital expenditures for property, plant, and equipment were HKD 7,896,000 for the six months ended June 30, 2025, compared to HKD 24,670,000 in the same period of 2024[45] Revenue Breakdown - For the six months ended June 30, 2025, total revenue reached HKD 477,436,000, with external customer revenue from the energy storage business at HKD 105,521,000, EPC services at HKD 256,620,000, and automotive glass repair and replacement services at HKD 30,028,000[26] - The company reported a significant increase in external customer revenue from the energy storage business, which rose from HKD 65,926,000 for the six months ended June 30, 2024, to HKD 105,521,000 for the current period, representing a growth of approximately 60%[27] - Revenue from customer A in the energy storage business accounted for HKD 75,941,000, representing over 10% of the total revenue for the group[29] - EPC services revenue decreased to HKD 256.6 million in the first half of 2025, down 20.8% from HKD 324.0 million in the first half of 2024[88] - Revenue from photovoltaic film dropped significantly to HKD 74.2 million in the first half of 2025, a decline of 66.9% from HKD 224.2 million in the same period last year[88] - Automotive glass repair and replacement service revenue increased to HKD 30.1 million in the first half of 2025, a rise of 15.8% from HKD 26.0 million in the same period last year[88] Research and Development - Research and development expenses for the six months ended June 30, 2025, were HKD 14,563,000, a decrease of 27.2% from HKD 20,014,000 in 2024[37] - The company has committed to increasing R&D investments to enhance energy storage system products and related technologies in response to market demands[75] - The company ceased lithium battery production in 2024, necessitating adjustments in R&D for energy storage systems[76] Shareholder Information - The company reported no interim dividend for the six months ended June 30, 2025, consistent with the previous year[44] - As of June 30, 2025, Dr. Li Xianyi holds 132,990,198 shares, representing 16.92% of the issued share capital[123] - The total shares held by Dr. Li Xianyi and associated parties amount to 385,054,412 shares, which is 49.01% of the issued share capital[123] - The combined holdings of the major shareholders indicate a significant concentration of ownership, with the top shareholders controlling over 63% of the issued share capital[125] Corporate Governance - The company confirmed compliance with the corporate governance code as per GEM Listing Rules during the first half of 2025[136] - All directors confirmed adherence to the trading code of conduct during the first half of 2025[137] - The Audit Committee has been established in compliance with GEM listing rules, consisting of all independent non-executive directors[139] - The main responsibilities of the Audit Committee include reviewing and supervising the group's financial reporting procedures and risk management[139]

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年8月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 信義儲電控股有限公司 呈交日期: 2025年9月4日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 08328 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 2,000,000,000,000 | HKD | | 0.01 HKD | | 20,000,000,000 | | 增加 / 減少 (-) | | | | 0 | | HKD | | 0 | | 本月底結存 | | | 2,000,000,000,000 | HKD | | 0.01 HKD | | 20,000,000,000 | 本月底法定/註冊 ...

Core Viewpoint - Xinyi Storage's financial results for the first half of 2025 show a significant decline in overall revenue and profit, with contrasting performance across its core business segments [3]. Financial Summary - Total revenue for the first half of 2025 was HKD 477.4 million, a decrease of 26.2% compared to HKD 646.5 million in the same period of 2024 [3][4]. - Profit attributable to the company's owners was HKD 4.7 million, down 61.6% from HKD 12.3 million year-on-year [3][4]. - Basic earnings per share fell to HKD 0.60, a decline of 61.5% from HKD 1.56 [3]. Business Segment Performance - The energy storage segment saw revenue increase from HKD 65.9 million to HKD 105.5 million, representing a growth of 60.1%, becoming a highlight of the performance [4]. - Engineering, Procurement, and Construction (EPC) services revenue decreased from HKD 324 million to HKD 256.6 million, a decline of 20.8% [4]. - The photovoltaic film business experienced a significant drop in revenue from HKD 224.2 million to HKD 74.2 million, a decrease of 66.9%, attributed to intensified market competition leading to lower sales prices and gross margins [2][4]. Strategic Direction - The company has transitioned from providing automotive glass and repair services in Hong Kong to becoming a comprehensive solution provider, focusing on energy storage products, EPC services, and photovoltaic films [4]. - Xinyi Storage emphasizes a clear development direction centered on diversified growth in its "3E" new energy business, which includes energy storage, EPC services, and EVA film [4].

Group 1 - The company Xinyi Storage (08328) reported a mid-year performance for 2025, achieving revenue of approximately HKD 477 million, representing a year-on-year decrease of 26.2% [1] - The profit attributable to the company's owners was HKD 4.708 million, reflecting a year-on-year decline of 61.6% [1] - Earnings per share were reported at 0.6 HKD cents [1]

Group 1 - The company reported a revenue of approximately HKD 477 million for the mid-year of 2025, representing a year-on-year decrease of 26.2% [1] - The profit attributable to the company's owners was HKD 4.708 million, which is a year-on-year decrease of 61.6% [1] - Earnings per share were reported at HKD 0.006 [1]

[Company Information and Declarations](index=1&type=section&id=Company%20Information%20and%20Declarations) This section provides an overview of the company and its interim results, along with disclaimers regarding the GEM market's inherent risks [Company Overview and Disclaimer](index=1&type=section&id=1.1%20Company%20Overview%20and%20Disclaimer) This announcement presents the interim results of Xinyi Storage Holdings Limited for the six months ended June 30, 2025, with a disclaimer regarding GEM market risks - Xinyi Storage Holdings Limited (Stock Code: 08328) released its interim results announcement for the six months ended June 30, 2025[2](index=2&type=chunk) - The GEM market provides a listing platform for small and medium-sized companies, carrying higher investment risks that investors should carefully consider[2](index=2&type=chunk) [Financial Highlights](index=2&type=section&id=Financial%20Highlights) This section summarizes key financial performance indicators for the period, highlighting significant changes in revenue and profit [Summary of Key Financial Data](index=2&type=section&id=2.1%20Summary%20of%20Key%20Financial%20Data) Revenue decreased by **26.2%** to **HK$477,436 thousand**, with profit attributable to owners down **61.6%** to **HK$4,708 thousand** Key Financial Data for the Six Months Ended June 30 | Metric | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 477,436 | 646,517 | -26.2% | | Profit Attributable to Owners of the Company | 4,708 | 12,250 | -61.6% | | Earnings Per Share - Basic | 0.60 HK cents | 1.56 HK cents | -61.5% | [Condensed Consolidated Financial Statements](index=3&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements, including statements of profit or loss, financial position, changes in equity, and cash flows [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=3&type=section&id=3.1%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) Profit for the period decreased to **HK$5,854 thousand**, while total comprehensive income turned positive due to exchange differences - Profit for the period decreased from **HK$16,054 thousand** in H1 2024 to **HK$5,854 thousand** in H1 2025[4](index=4&type=chunk) - Exchange differences on translation of financial statements of overseas operations shifted from a **negative HK$37,851 thousand** in H1 2024 to a **positive HK$50,991 thousand** in H1 2025, resulting in total comprehensive income for the period changing from a **negative HK$23,948 thousand** to a **positive HK$58,512 thousand**[4](index=4&type=chunk) [Condensed Consolidated Statement of Financial Position](index=5&type=section&id=3.2%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) Total assets slightly increased, with net assets rising from **HK$963,892 thousand** to **HK$1,023,070 thousand** as of June 30, 2025 - As of June 30, 2025, total assets were **HK$2,022,722 thousand**, a slight increase from **HK$2,013,775 thousand** as of December 31, 2024[23](index=23&type=chunk) - Net assets increased from **HK$963,892 thousand** as of December 31, 2024, to **HK$1,023,070 thousand** as of June 30, 2025[8](index=8&type=chunk) [Condensed Consolidated Statement of Changes in Equity](index=7&type=section&id=3.3%20Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) Total equity attributable to owners increased from **HK$940,147 thousand** to **HK$996,677 thousand**, driven by positive comprehensive income - Total equity attributable to owners of the Company increased from **HK$940,147 thousand** as of January 1, 2025, to **HK$996,677 thousand** as of June 30, 2025[9](index=9&type=chunk) - Total comprehensive income for the period was **HK$55,729 thousand**, primarily due to exchange differences of **HK$49,354 thousand** arising from the translation of financial statements of overseas operations[9](index=9&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=8&type=section&id=3.4%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) Net cash from operating activities significantly increased, yet cash and cash equivalents saw a net decrease of **HK$22,222 thousand** - Net cash generated from operating activities significantly increased from **HK$26,907 thousand** in H1 2024 to **HK$129,861 thousand** in H1 2025[10](index=10&type=chunk) - Net cash used in investing activities was **HK$30,667 thousand**, and net cash used in financing activities was **HK$121,416 thousand**[10](index=10&type=chunk) - Cash and cash equivalents at the end of the period amounted to **HK$92,124 thousand**, a decrease of **HK$22,222 thousand** from the beginning of the period[10](index=10&type=chunk) [Notes to the Financial Statements](index=9&type=section&id=Notes%20to%20the%20Financial%20Statements) This section provides detailed notes supporting the condensed consolidated financial statements, covering general information, accounting policies, segment data, and other financial disclosures [General Information](index=9&type=section&id=4.1%20General%20Information) The Group's core businesses include energy storage products, PV encapsulant film production, EPC services, and automotive glass repair across multiple regions - The Group's core businesses include the production and sale of energy storage products and photovoltaic encapsulant films, as well as solar project EPC services[11](index=11&type=chunk) - Business operations span China, Malaysia, and Hong Kong[11](index=11&type=chunk) [Basis of Preparation and Accounting Policies](index=9&type=section&id=4.2%20Basis%20of%20Preparation%20and%20Accounting%20Policies) Interim financial information adheres to GEM Listing Rules and HKAS 34, with no significant impact from new or revised accounting standards - This interim financial information is prepared in accordance with the GEM Listing Rules and Hong Kong Accounting Standard 34[12](index=12&type=chunk) - The newly adopted Hong Kong Accounting Standard 21 (Amendment) "Lack of Exchangeability" has no significant impact on the Group's results and financial position[13](index=13&type=chunk) - New or revised Hong Kong Financial Reporting Standards issued but not yet effective are not expected to have a significant impact on the Group's consolidated financial performance and position[14](index=14&type=chunk) [Adoption of New or Revised Hong Kong Financial Reporting Standards](index=9&type=section&id=4.2.1%20Adoption%20of%20New%20or%20Revised%20Hong%20Kong%20Financial%20Reporting%20Standards) HKAS 21 (Amendment) "Lack of Exchangeability" was adopted, with no significant impact on the Group's financial performance - Hong Kong Accounting Standard 21 (Amendment) "Lack of Exchangeability" was first applied, effective from January 1, 2025[13](index=13&type=chunk) - The adoption of new standards has no significant impact on the Group's results and financial position[13](index=13&type=chunk) [New or Revised Hong Kong Financial Reporting Standards Issued But Not Yet Effective](index=10&type=section&id=4.2.2%20New%20or%20Revised%20Hong%20Kong%20Financial%20Reporting%20Standards%20Issued%20But%20Not%20Yet%20Effective) Several new or revised HKFRSs are issued but not yet effective, with no anticipated material impact on the Group's financials - Several new or revised Hong Kong Financial Reporting Standards have been issued but are not yet effective, including HKFRS 9, 7, 18, and 19[14](index=14&type=chunk) - Directors anticipate that the application of these new standards will not have a significant impact on the Group's consolidated financial performance and position[14](index=14&type=chunk) [Revenue and Segment Information](index=11&type=section&id=4.3%20Revenue%20and%20Segment%20Information) Total revenue for H1 2025 decreased by **26.2%**, driven by declines in EPC and PV encapsulant film, despite energy storage growth - The Group identifies five operating segments: energy storage business, EPC services, photovoltaic encapsulant film, automotive glass repair and replacement services, and other segments[16](index=16&type=chunk) - Total revenue for H1 2025 was **HK$477,436 thousand**, a **26.2%** decrease from **HK$646,517 thousand** in H1 2024[17](index=17&type=chunk)[18](index=18&type=chunk) [Segment Results](index=11&type=section&id=4.3.1%20Segment%20Results) Energy storage revenue grew **60.1%**, while EPC and PV encapsulant film declined, resulting in a **25.5%** drop in total gross profit Segment Revenue and Gross Profit (For the Six Months Ended June 30) | Segment | 2025 Revenue (HK$ thousand) | 2024 Revenue (HK$ thousand) | Revenue Change (%) | 2025 Gross Profit (HK$ thousand) | 2024 Gross Profit (HK$ thousand) | Gross Profit Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Energy Storage Business | 105,521 | 65,926 | +60.1% | 6,370 | 5,728 | +11.2% | | EPC Services | 256,620 | 323,963 | -20.8% | 61,249 | 89,516 | -31.6% | | Photovoltaic Encapsulant Film | 74,241 | 224,172 | -66.9% | 572 | 8,391 | -93.2% | | Automotive Glass Repair and Replacement Services | 30,028 | 25,976 | +15.6% | 9,545 | 7,340 | +30.0% | | Others | 11,026 | 6,480 | +70.2% | 5,553 | 778 | +613.8% | | **Total** | **477,436** | **646,517** | **-26.2%** | **83,289** | **111,753** | **-25.5%** | - In H1 2025, revenue from Customer A accounted for **HK$75,941 thousand** of total energy storage business revenue, whereas no single customer contributed over **10%** in H1 2024[20](index=20&type=chunk) [Geographical Information of Revenue](index=14&type=section&id=4.3.2%20Geographical%20Information%20of%20Revenue) China and Canada's revenue declined in H1 2025, while Hong Kong and other regions experienced growth Sales by Geographical Location of Customers (For the Six Months Ended June 30) | Region | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | China | 278,300 | 396,828 | -29.9% | | Canada | 152,341 | 217,671 | -30.0% | | Hong Kong | 30,034 | 25,993 | +15.5% | | Others | 16,761 | 6,025 | +178.2% | | **Total** | **477,436** | **646,517** | **-26.2%** | [Segment Assets and Liabilities](index=15&type=section&id=4.3.3%20Segment%20Assets%20and%20Liabilities) Total assets reached **HK$2,022,427 thousand** and liabilities **HK$636,175 thousand**, with non-current assets mainly in China Segment Assets and Liabilities (As of June 30, 2025) | Segment | Total Assets (HK$ thousand) | Total Liabilities (HK$ thousand) | | :--- | :--- | :--- | | Energy Storage Business | 460,857 | (229,780) | | EPC Services | 986,049 | (245,112) | | Photovoltaic Encapsulant Film | 470,859 | (132,498) | | Automotive Glass Repair and Replacement Services | 42,646 | (13,690) | | Others | 62,016 | (15,095) | | **Total** | **2,022,427** | **(636,175)** | - As of June 30, 2025, the Group's non-current assets, excluding financial instruments and deferred tax assets, were primarily located in China (**HK$530,300 thousand**), followed by Hong Kong (**HK$36,310 thousand**) and Malaysia (**HK$20,723 thousand**)[24](index=24&type=chunk) [Other Income and Net Other Gains](index=16&type=section&id=4.4%20Other%20Income%20and%20Net%20Other%20Gains) Other income decreased due to reduced government grants, while net other gains significantly increased from asset disposals Other Income and Net Other Gains (For the Six Months Ended June 30) | Metric | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | **Other Income** | | | | | Government grants | 409 | 1,756 | -76.7% | | Others | 7,159 | 8,872 | -19.3% | | **Total Other Income** | **7,568** | **10,628** | **-28.7%** | | **Net Other Gains** | | | | | Net gain on disposal of scrap, property, plant and equipment or intangible assets | 5,366 | 411 | +1205.6% | | Net exchange (loss)/gain | (3,750) | 518 | -824.3% | | **Total Net Other Gains** | **1,616** | **929** | **+73.9%** | - The decrease in other income was primarily due to reduced additional input VAT deductions[70](index=70&type=chunk) - The increase in net other gains was mainly attributable to gains from the disposal of intangible assets and other assets of the mobile energy storage business, partially offset by net exchange losses[71](index=71&type=chunk) [Finance Income and Finance Costs](index=17&type=section&id=4.5%20Finance%20Income%20and%20Finance%20Costs) Finance income and costs both decreased in H1 2025, with lower finance costs driven by optimized borrowing rates and reduced average balances Finance Income and Finance Costs (For the Six Months Ended June 30) | Metric | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Finance income | 445 | 675 | -34.1% | | Finance costs (before capitalisation) | 7,830 | 11,630 | -32.7% | | Less: Amount capitalised | (392) | (2,414) | -83.7% | | **Finance costs (after capitalisation)** | **7,438** | **9,216** | **-19.3%** | - The decrease in finance costs was primarily due to the refinancing of HKD bank borrowings with RMB bank borrowings and a reduction in the average balance of bank borrowings[75](index=75&type=chunk) - The capitalisation rate for borrowing costs decreased from **2.02%** in 2024 to **1.54%** in 2025[26](index=26&type=chunk) [Profit Before Income Tax](index=18&type=section&id=4.6%20Profit%20Before%20Income%20Tax) Profit before income tax significantly decreased to **HK$11,367 thousand** in H1 2025, impacted by various operating expenses Deductions from Profit Before Income Tax (For the Six Months Ended June 30) | Item | 2025 (HK$ thousand) | 2024 (HK$ thousand) | | :--- | :--- | :--- | | Cost of inventories | 325,445 | 346,457 | | Write-down and provision for impairment of inventories | 37 | 812 | | Depreciation expenses | 23,337 | 28,419 | | Amortisation expenses | 2,163 | 2,021 | | Employee benefit expenses | 45,742 | 52,802 | | Research and development expenses | 14,563 | 20,014 | - Profit before income tax decreased from **HK$24,686 thousand** in H1 2024 to **HK$11,367 thousand** in H1 2025[19](index=19&type=chunk) [Income Tax Expense](index=18&type=section&id=4.7%20Income%20Tax%20Expense) Income tax expense decreased by **36.1%** to **HK$5,513 thousand**, primarily due to lower Canadian EPC profit and preferential tax rates for some Chinese subsidiaries Income Tax Expense (For the Six Months Ended June 30) | Tax Type | 2025 (HK$ thousand) | 2024 (HK$ thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Hong Kong profits tax | 560 | 234 | +139.3% | | PRC corporate income tax | 2,042 | 14,478 | -85.9% | | Canada corporate income tax | 300 | 1,664 | -82.0% | | Deferred tax expense/(credit) | 2,611 | (7,744) | +133.7% | | **Total Income Tax Expense** | **5,513** | **8,632** | **-36.1%** | - The decrease in income tax expense was mainly due to a reduction in profit before income tax attributable to Canadian EPC services[76](index=76&type=chunk) - Three PRC subsidiaries are recognised as high-tech enterprises, enjoying a **15%** preferential corporate income tax rate[33](index=33&type=chunk) [Earnings Per Share](index=19&type=section&id=4.8%20Earnings%20Per%20Share) Basic earnings per share decreased by **61.5%** to **0.60 HK cents**, with diluted EPS remaining equal due to no dilutive shares Basic Earnings Per Share (For the Six Months Ended June 30) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Profit attributable to owners of the Company (HK$ thousand) | 4,708 | 12,250 | | Weighted average number of ordinary shares in issue (thousand shares) | 785,534 | 785,437 | | **Basic earnings per share (HK cents)** | **0.60** | **1.56** | - Diluted earnings per share were the same as basic earnings per share, as there were no potential dilutive shares[31](index=31&type=chunk) [Basic Earnings Per Share](index=19&type=section&id=4.8.1%20Basic%20Earnings%20Per%20Share) Basic earnings per share for H1 2025 was **0.60 HK cents**, calculated from profit attributable to owners and weighted average shares - Basic earnings per share was **0.60 HK cents**, a decrease from **1.56 HK cents** in the prior year[30](index=30&type=chunk) [Diluted Earnings Per Share](index=19&type=section&id=4.8.2%20Diluted%20Earnings%20Per%20Share) Diluted earnings per share equals basic earnings per share, as no potential dilutive ordinary shares existed - For the six months ended June 30, 2025 and 2024, diluted earnings per share were equal to basic earnings per share, as there were no potential dilutive ordinary shares[31](index=31&type=chunk) [Dividends](index=19&type=section&id=4.9%20Dividends) No interim dividend was declared for the six months ended June 30, 2025 - No interim dividend was declared for H1 2025, consistent with H1 2024[32](index=32&type=chunk) [Property, Plant and Equipment and Intangible Assets](index=20&type=section&id=4.10%20Property%2C%20Plant%20and%20Equipment%20and%20Intangible%20Assets) Carrying amounts of property, plant and equipment and intangible assets slightly decreased to **HK$527,046 thousand** and **HK$35,676 thousand** Changes in Carrying Amounts of Property, Plant and Equipment and Intangible Assets (For the Six Months Ended June 30) | Item | June 30, 2025 (HK$ thousand) | January 1, 2025 (HK$ thousand) | June 30, 2024 (HK$ thousand) | January 1, 2024 (HK$ thousand) | | :--- | :--- | :--- | :--- | :--- | | Property, plant and equipment | 527,046 | 534,033 | 716,927 | 735,904 | | Intangible assets | 35,676 | 36,816 | 102,765 | 89,200 | - In H1 2025, additions to property, plant and equipment amounted to **HK$7,896 thousand**, with no additions to intangible assets[34](index=34&type=chunk) - Exchange adjustments had a positive impact of **HK$14,929 thousand** on property, plant and equipment and **HK$1,023 thousand** on intangible assets[34](index=34&type=chunk) [Contract Assets, Trade and Other Receivables and Prepayments](index=21&type=section&id=4.11%20Contract%20Assets%2C%20Trade%20and%20Other%20Receivables%20and%20Prepayments) Current contract assets, trade and other receivables, and prepayments decreased to **HK$609,912 thousand**, reflecting shifts in trade receivables aging and reduced bills receivable Contract Assets, Trade and Other Receivables and Prepayments (As of June 30, 2025) | Item | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | | :--- | :--- | :--- | | Finance lease — present value of minimum lease payments | 541,356 | 504,051 | | Trade receivables | 338,387 | 340,492 | | Contract assets | 132,934 | 143,931 | | Bills receivable at fair value through other comprehensive income | 33,264 | 92,837 | | Prepayments | 56,558 | 27,102 | | **Total current portion** | **609,912** | **652,323** | [Trade Receivables](index=22&type=section&id=4.11.1%20Trade%20Receivables) Trade receivables totaled **HK$338,387 thousand**, with a shift in aging from **0-90 days** to **91-365 days** as of June 30, 2025 Aging Analysis of Trade Receivables (As of June 30, 2025) | Aging | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | | :--- | :--- | :--- | | 0 to 90 days | 181,942 | 232,797 | | 91 to 180 days | 68,876 | 42,878 | | 181 to 365 days | 59,806 | 28,770 | | Over 365 days | 27,763 | 36,047 | | **Total** | **338,387** | **340,492** | [Bills Receivable and Transferred Financial Assets](index=22&type=section&id=4.11.2%20Bills%20Receivable%20and%20Transferred%20Financial%20Assets) Bills receivable mature within six months; endorsed bills not fully derecognized totaled **HK$24,365 thousand**, while derecognized bills significantly decreased - As of June 30, 2025, the carrying amount of endorsed bills not fully derecognized was **HK$24,365 thousand**, and discounted bills had a carrying amount of zero[37](index=37&type=chunk) - The total carrying amount of outstanding endorsed bills transferred and derecognized was **HK$23,219 thousand**, and outstanding discounted bills was **HK$74,668 thousand**, a significant decrease from December 31, 2024[38](index=38&type=chunk) [Contract Liabilities, Trade and Other Payables](index=24&type=section&id=4.12%20Contract%20Liabilities%2C%20Trade%20and%20Other%20Payables) Total contract liabilities, trade and other payables increased to **HK$567,488 thousand**, with a shift in trade payables aging Contract Liabilities, Trade and Other Payables (As of June 30, 2025) | Item | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | | :--- | :--- | :--- | | Trade payables | 204,802 | 175,281 | | Bills payable | 215,468 | 163,297 | | Contract liabilities | 24,400 | 19,696 | | Accrued salaries and bonuses | 13,162 | 24,645 | | Other payables for acquisition of property, plant and equipment | 36,345 | 60,003 | | Other creditors and accrued charges | 43,439 | 36,041 | | VAT payable | 3,620 | 9,237 | | Deferred income related to government grants | 26,252 | 25,513 | | **Total** | **567,488** | **513,713** | - Total trade payables increased from **HK$175,281 thousand** as of December 31, 2024, to **HK$204,802 thousand** as of June 30, 2025[39](index=39&type=chunk) [Bank Borrowings](index=25&type=section&id=4.13%20Bank%20Borrowings) Bank borrowings decreased by **22.6%** to **HK$362,269 thousand**, with a shift to fixed rates and **HK$1,018.5 million** in unutilized facilities Repayment Schedule of Bank Borrowings (As of June 30, 2025) | Repayment Term | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | | :--- | :--- | :--- | | On demand or within one year | 238,612 | 312,927 | | In the second year | 123,657 | 154,896 | | **Repayable in full within five years** | **362,269** | **467,823** | - Borrowings at floating annual interest rates decreased from **HK$346,915 thousand** to **HK$101,782 thousand**, while those at fixed annual interest rates increased from **HK$108,309 thousand** to **HK$260,487 thousand**[41](index=41&type=chunk) - The Group had **HK$1,018,503 thousand** in unutilized bank facilities[41](index=41&type=chunk) [Share Capital](index=25&type=section&id=4.14%20Share%20Capital) Authorised share capital was **HK$20,000,000 thousand**, with issued and fully paid capital of **HK$7,855 thousand**, and share count unchanged Share Capital Information (As of June 30, 2025) | Item | Number of Shares | HK$ thousand | | :--- | :--- | :--- | | Authorised: Ordinary shares of HK$0.01 each | 2,000,000,000,000 | 20,000,000 | | Issued and fully paid: As of June 30, 2025 | 785,533,629.38 | 7,855 | [Share Options](index=26&type=section&id=4.15%20Share%20Options) Outstanding share options decreased to **7,341,103** as of June 30, 2025, with new grants offset by significant forfeitures Movements in Share Options (For the Six Months Ended June 30) | Item | 2025 Average Exercise Price (HK$) | 2025 Share Options (units) | 2024 Average Exercise Price (HK$) | 2024 Share Options (units) | | :--- | :--- | :--- | :--- | :--- | | At January 1 | 2.71 | 16,779,504 | 2.87 | 16,079,071 | | Granted | 0.81 | 1,680,000 | 1.78 | 2,200,000 | | Exercised | Not applicable | — | 1.36 | (217,648) | | Forfeited | 2.24 | (11,118,401) | 2.99 | (300,550) | | **At June 30** | **2.98** | **7,341,103** | **2.75** | **17,760,873** | - On March 20, 2025, **1,680,000** share options were granted with an exercise price of **HK$0.81**, valid until March 31, 2029[42](index=42&type=chunk) - As of June 30, 2025, **2,351,403** share options were exercisable[42](index=42&type=chunk) [Fair Value Measurement](index=27&type=section&id=4.16%20Fair%20Value%20Measurement) Financial assets and liabilities' fair values approximate carrying amounts, with Level 2 bills receivable and Level 3 financial assets measured at fair value through OCI - The fair values of financial assets and liabilities carried at amortised cost approximate their carrying amounts[46](index=46&type=chunk) - The relative reliability of significant inputs used in fair value measurements of financial assets or liabilities is categorised into three levels: Level 1 (quoted prices in active markets), Level 2 (observable inputs), and Level 3 (unobservable inputs)[46](index=46&type=chunk)[47](index=47&type=chunk) [Fair Value Hierarchy](index=28&type=section&id=4.16.1%20Fair%20Value%20Hierarchy) Level 2 fair value measurement was used for bills receivable (**HK$33,264 thousand**), and Level 3 for financial assets (**HK$42,552 thousand**) Financial Assets Measured at Fair Value (As of June 30, 2025) | Item | Level 1 (HK$ thousand) | Level 2 (HK$ thousand) | Level 3 (HK$ thousand) | Total (HK$ thousand) | | :--- | :--- | :--- | :--- | :--- | | Bills receivable at fair value through other comprehensive income | — | 33,264 | — | 33,264 | | Financial assets at fair value through other comprehensive income | — | — | 42,552 | 42,552 | - Level 2 fair value measurement for bills receivable is calculated by discounting available interest rates for instruments with similar terms, credit risk, and remaining maturities offered by banks[48](index=48&type=chunk) - Level 3 instruments refer to unlisted equity, with fair value determined using the discounted cash flow method[49](index=49&type=chunk) [Reconciliation of Level 3 Fair Value Measurements](index=29&type=section&id=4.16.2%20Reconciliation%20of%20Level%203%20Fair%20Value%20Measurements) Unlisted equity investments totaled **HK$42,552 thousand**, impacted by fair value changes in OCI and exchange adjustments Reconciliation of Level 3 Fair Value Measurements for Unlisted Equity Investments (As of June 30, 2025) | Item | HK$ thousand | | :--- | :--- | | At January 1, 2025 (audited) | 39,783 | | Fair value changes recognised in other comprehensive income | 1,583 | | Exchange adjustments | 1,186 | | **At June 30, 2025 (unaudited)** | **42,552** | - There were no changes in the valuation methods and techniques used for fair value measurements compared to prior reporting periods[51](index=51&type=chunk) [Related Party Transactions](index=30&type=section&id=4.17%20Related%20Party%20Transactions) The Group conducted diverse transactions with Xinyi Glass, Xinyi Solar subsidiaries, and other related parties, while key management compensation decreased - Related party transactions with subsidiaries of Xinyi Glass Holdings Limited included purchases of automotive glass and consumables, sales of energy storage products, automotive glass, and electricity, and receipt of management fees[52](index=52&type=chunk) - Related party transactions with subsidiaries of Xinyi Solar Holdings Limited primarily involved sales of energy storage products and photovoltaic encapsulant films[52](index=52&type=chunk) - Key management personnel compensation decreased from **HK$6,091 thousand** in H1 2024 to **HK$5,071 thousand** in H1 2025[53](index=53&type=chunk) [Capital Commitments](index=31&type=section&id=4.18%20Capital%20Commitments) Contracted but unprovided capital expenditure significantly increased to **HK$25,800 thousand**, mainly for Indonesian encapsulant film facilities Capital Commitments (As of June 30, 2025) | Item | June 30, 2025 (HK$ thousand) | December 31, 2024 (HK$ thousand) | | :--- | :--- | :--- | | Contracted but not provided for | 25,800 | 12,800 | - Capital commitments primarily relate to the acquisition of property, plant and equipment and the development of the encapsulant film business in Indonesia[80](index=80&type=chunk) [Business Review and Prospects](index=32&type=section&id=Business%20Review%20and%20Prospects) This section reviews the Group's business performance across its segments and outlines future strategies and market outlook [Energy Storage Business](index=32&type=section&id=5.1%20Energy%20Storage%20Business) Energy storage business revenue grew **60.1%** in H1 2025, driven by resumed production and delivery of industrial and commercial projects - The Group focuses on lithium battery-based energy storage systems and household "PV-storage-charging" products, continuously increasing R&D investment[56](index=56&type=chunk) - Industrial and commercial energy storage project revenue was low in H1 2024, but production and delivery normalised in Q4 2024 after technology switching and design optimisation[57](index=57&type=chunk) - Energy storage business revenue increased by **60.1%** in H1 2025 compared to the prior year[57](index=57&type=chunk) [Photovoltaic Power Station Engineering, Procurement and Construction ("EPC") Services Business](index=33&type=section&id=5.2%20Photovoltaic%20Power%20Station%20Engineering%2C%20Procurement%20and%20Construction%20%28%22EPC%22%29%20Services%20Business) PV EPC services saw **62.7%** growth in China, a decline in Canada, and a nearing completion project in Indonesia - Driven by policies, China's industrial and commercial distributed PV projects experienced a rush to install in H1 2025, with installation volume increasing by **62.7%** year-on-year[59](index=59&type=chunk) - EPC service revenue in Canada decreased due to the federal government's suspension of subsidy applications, but the Group is expanding industrial and commercial projects and transitioning to a "PV-storage EPC" model[59](index=59&type=chunk) - A joint venture was established in Indonesia to provide PV EPC services, with its first project nearing completion of installation[60](index=60&type=chunk) [Photovoltaic Encapsulant Film Business](index=34&type=section&id=5.3%20Photovoltaic%20Encapsulant%20Film%20Business) PV encapsulant film business faces oversupply and price declines, leading to cautious sales and reduced H1 2025 revenue - The Group's photovoltaic encapsulant film products primarily include EVA, POE, and co-extruded POE (EPE) films[61](index=61&type=chunk) - The photovoltaic encapsulant film industry faces severe challenges from supply-demand imbalance, intensified competition, and declining product sales prices and gross margins[61](index=61&type=chunk) - The Group adopted a cautious sales strategy, controlling order intake, which led to a decrease in photovoltaic encapsulant film business revenue in H1 2025 compared to the prior year[61](index=61&type=chunk) [Outlook](index=34&type=section&id=5.4%20Outlook) The Group, now a 3E new energy solution provider, plans R&D, overseas expansion, an Indonesian PV encapsulant film base, and North American PV-storage EPC integration - The Group has transformed into a diversified comprehensive solution provider primarily focused on energy storage, EPC services, and EVA encapsulant film, referred to as the "3E" new energy businesses[62](index=62&type=chunk) - The Group will continue to focus on market expansion, strengthening R&D, optimising product quality, and expanding into overseas markets[63](index=63&type=chunk) - Plans include establishing a photovoltaic encapsulant film production base in Surabaya, Indonesia, to meet local and regional demand and address international trade barriers[64](index=64&type=chunk) - The Group will further deepen its North American PV-storage EPC business layout, enhance the penetration rate of integrated PV-storage solutions, and expand the Canadian commercial PV EPC market[63](index=63&type=chunk) [Financial Review](index=35&type=section&id=Financial%20Review) This section provides a detailed analysis of the Group's financial performance, resources, and related policies for the reporting period [Revenue](index=35&type=section&id=6.1%20Revenue) Total revenue decreased by **26.2%** to **HK$477.4 million**, with energy storage and automotive glass growing, but EPC and PV encapsulant film declining Segment Revenue Contribution and Changes (For the Six Months Ended June 30) | Segment | 2025 (HK$ million) | Contribution (%) | 2024 (HK$ million) | Contribution (%) | Change (HK$ million) | Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Energy Storage Business | 105.5 | 22.1 | 65.9 | 10.2 | 39.6 | 60.1 | | EPC Services | 256.6 | 53.7 | 324.0 | 50.1 | (67.4) | (20.8) | | Photovoltaic Encapsulant Film | 74.2 | 15.6 | 224.2 | 34.7 | (150.0) | (66.9) | | Automotive Glass Repair and Replacement Services | 30.1 | 6.3 | 26.0 | 4.0 | 4.1 | 15.8 | | Others | 11.0 | 2.3 | 6.4 | 1.0 | 4.6 | 71.9 | | **Total Revenue** | **477.4** | **100.0** | **646.5** | **100.0** | **(169.1)** | **(26.2)** | - The increase in energy storage business revenue was mainly due to the resumption of industrial and commercial energy storage product deliveries[65](index=65&type=chunk) - The decrease in EPC service revenue was primarily due to lower average selling prices in the PRC market and reduced installation volume in the Canadian market[65](index=65&type=chunk) - The decrease in photovoltaic encapsulant film revenue was mainly due to lower average selling prices caused by market oversupply[65](index=65&type=chunk) [Cost of Revenue](index=37&type=section&id=6.2%20Cost%20of%20Revenue) Cost of revenue totaled **HK$394.1 million**, yielding **HK$83.3 million** gross profit and a **17.4%** margin, despite declines in EPC and PV encapsulant film margins - The increase in gross profit from the energy storage business was mainly due to increased revenue, but the gross profit margin decreased due to the relatively lower gross profit margin of industrial and commercial energy storage products[67](index=67&type=chunk) - The decrease in gross profit from EPC services was mainly due to reduced revenue and gross profit margin, with the latter attributed to lower average selling prices in the PRC market[68](index=68&type=chunk) - The decrease in gross profit from photovoltaic encapsulant film was mainly due to reduced revenue and gross profit margin, with the latter attributed to increased unit costs due to lower sales volume[68](index=68&type=chunk) - Total gross profit decreased from **HK$111.8 million** in H1 2024 to **HK$83.3 million** in H1 2025, while the gross profit margin slightly increased from **17.3%** to **17.4%**[69](index=69&type=chunk) [Other Income](index=38&type=section&id=6.3%20Other%20Income) Other income decreased in H1 2025, mainly due to reduced additional input VAT deductions and electricity sales - Other income in H1 2025 primarily refers to additional input VAT deductions and electricity sales revenue[70](index=70&type=chunk) - The decrease in other income was mainly due to reduced additional input VAT deductions during the period[70](index=70&type=chunk) [Net Other Gains](index=38&type=section&id=6.4%20Net%20Other%20Gains) Net other gains in H1 2025 comprised asset disposal gains, partially offset by net exchange losses - Net other gains in H1 2025 included gains from the disposal of intangible assets and other assets of the mobile energy storage business, partially offset by net exchange losses[71](index=71&type=chunk) [Selling and Marketing Costs](index=38&type=section&id=6.5%20Selling%20and%20Marketing%20Costs) Selling and marketing costs rose by **HK$3.0 million** to **HK$18.6 million** in H1 2025, mainly due to increased advertising - Selling and marketing costs increased from **HK$15.6 million** in H1 2024 to **HK$18.6 million** in H1 2025, primarily due to increased advertising expenses[72](index=72&type=chunk) [Administrative Expenses](index=38&type=section&id=6.6%20Administrative%20Expenses) Administrative expenses decreased by **HK$6.5 million** to **HK$67.9 million** in H1 2025, driven by lower share-based payments, R&D, and depreciation - Administrative expenses decreased from **HK$74.4 million** in H1 2024 to **HK$67.9 million** in H1 2025[73](index=73&type=chunk) - The decrease was attributed to reduced share-based payments, lower lithium battery R&D expenses, and decreased depreciation of property and equipment[73](index=73&type=chunk) [Share of Results of Joint Ventures](index=38&type=section&id=6.7%20Share%20of%20Results%20of%20Joint%20Ventures) Share of results of joint ventures significantly increased, mainly from PT Xinkai Solar Indonesia, whose first project installation concentrated in H1 2025 - Share of results of joint ventures primarily came from the Indonesian joint venture PT Xinkai Solar Indonesia, with increased contribution compared to H1 2024[74](index=74&type=chunk) - The increase in results was mainly because PT Xinkai's operations commenced in H2 2024, and the installation of its first project was primarily concentrated in H1 2025[74](index=74&type=chunk) [Finance Costs](index=39&type=section&id=6.8%20Finance%20Costs) Finance costs decreased by **HK$1.8 million** to **HK$7.4 million**, driven by refinancing to lower-interest RMB borrowings and reduced average bank balances - Finance costs decreased from **HK$9.2 million** in H1 2024 to **HK$7.4 million** in H1 2025[75](index=75&type=chunk) - The decrease was due to refinancing HKD borrowings with RMB borrowings (which have lower interest rates) and a reduction in the average balance of bank borrowings[75](index=75&type=chunk) [Income Tax Expense](index=39&type=section&id=6.9%20Income%20Tax%20Expense) Income tax expense decreased to **HK$5.5 million**, mainly due to lower Canadian EPC profit and preferential tax rates for some Chinese subsidiaries - Income tax expense decreased from **HK$8.6 million** in H1 2024 to **HK$5.5 million** in H1 2025[76](index=76&type=chunk) - The decrease in income tax expense was mainly due to a reduction in profit before income tax attributable to Canadian EPC services[76](index=76&type=chunk) - Three PRC subsidiaries enjoy a **15%** preferential corporate income tax rate and R&D expense tax incentives[76](index=76&type=chunk) [Profit Attributable to Owners of the Company](index=39&type=section&id=6.10%20Profit%20Attributable%20to%20Owners%20of%20the%20Company) Profit attributable to owners significantly decreased to **HK$4.7 million** in H1 2025, reflecting the Group's operational performance - Profit attributable to owners of the Company decreased from **HK$12.3 million** in H1 2024 to **HK$4.7 million** in H1 2025[77](index=77&type=chunk) - The decrease in profitability was primarily due to the Group's operational performance[77](index=77&type=chunk) [Financial Resources and Liquidity](index=39&type=section&id=6.11%20Financial%20Resources%20and%20Liquidity) Net current assets were **HK$48.8 million**, cash and cash equivalents **HK$92.1 million**, and gearing ratio decreased to **26.4%** due to reduced bank borrowings - As of June 30, 2025, net current assets were **HK$48.8 million**, a decrease from **HK$70.5 million** as of December 31, 2024[78](index=78&type=chunk) - Cash and cash equivalents amounted to **HK$92.1 million**, a decrease from **HK$111.7 million** as of December 31, 2024[78](index=78&type=chunk) - The gearing ratio decreased from **36.9%** as of December 31, 2024, to **26.4%** as of June 30, 2025, primarily due to reduced bank borrowings[78](index=78&type=chunk) [Capital Expenditure and Commitments](index=40&type=section&id=6.12%20Capital%20Expenditure%20and%20Commitments) Capital expenditure was **HK$19.5 million** for new PV encapsulant film equipment, with commitments rising to **HK$25.8 million** for Indonesian film business development - Capital expenditure for H1 2025 was **HK$19.5 million**, primarily related to the acquisition of new equipment for the photovoltaic encapsulant film business[80](index=80&type=chunk) - Contracted but unprovided capital commitments amounted to **HK$25.8 million**, mainly related to land acquisition, plant construction, and machinery procurement for the Indonesian encapsulant film business[80](index=80&type=chunk) [Pledge of Assets](index=40&type=section&id=6.13%20Pledge%20of%20Assets) Bank balances of **HK$0.7 million** were pledged as security for the Group's bills payable as of June 30, 2025 - As of June 30, 2025, bank balances of **HK$0.7 million** were pledged to secure the Group's bills payable[81](index=81&type=chunk) [Employees and Remuneration Policy](index=40&type=section&id=6.14%20Employees%20and%20Remuneration%20Policy) The Group had **350** full-time employees, a decrease from **445**, offering training, market-aligned remuneration, and retirement plans - As of June 30, 2025, the Group had **350** full-time employees, a decrease from **445** as of December 31, 2024[82](index=82&type=chunk) - Employees are distributed across China (**200**), Hong Kong (**70**), and Malaysia and Canada (**80**)[82](index=82&type=chunk) - The Group provides employee training, remuneration and benefits aligned with market conditions, and offers discretionary bonuses and defined contribution retirement plans[82](index=82&type=chunk) [Treasury Policy and Foreign Currency Fluctuation Risk](index=41&type=section&id=6.15%20Treasury%20Policy%20and%20Foreign%20Currency%20Fluctuation%20Risk) Operating in HKD, RMB, and CAD, the Group saw RMB appreciation increase exchange reserves by **HK$49.4 million**, with no significant exchange difficulties and potential future hedging - The Group's primary transaction currencies are HKD, RMB, and CAD[83](index=83&type=chunk) - In H1 2025, the appreciation of RMB against HKD led to an increase of **HK$49.4 million** in exchange reserves[83](index=83&type=chunk) - The Group has not encountered significant difficulties due to exchange rate fluctuations and may use financial instruments for hedging purposes when appropriate, though none were used in H1 2025[83](index=83&type=chunk) [Material Investments, Acquisitions and Disposals](index=41&type=section&id=6.16%20Material%20Investments%2C%20Acquisitions%20and%20Disposals) No material investments exceeding **5%** of total assets, significant acquisitions, or disposals occurred, with no other major investment plans beyond the Indonesian encapsulant film business - As of June 30, 2025, no material investments exceeding **5%** of the Group's total assets were held[84](index=84&type=chunk) - In H1 2025, there were no material acquisitions or disposals of subsidiaries and associates[84](index=84&type=chunk) - Other than the disclosed plans for the Indonesian encapsulant film business production facilities, there were no other material investment or capital asset increase plans[84](index=84&type=chunk) [Contingent Liabilities](index=41&type=section&id=6.17%20Contingent%20Liabilities) The Group had no material contingent liabilities as of June 30, 2025 - As of June 30, 2025, the Group had no material contingent liabilities[85](index=85&type=chunk) [Events After the Reporting Period](index=41&type=section&id=6.18%20Events%20After%20the%20Reporting%20Period) No significant events occurred after June 30, 2025, up to the announcement date - No significant events occurred after June 30, 2025, and up to the date of this announcement[86](index=86&type=chunk) [Other Information](index=42&type=section&id=Other%20Information) This section covers additional disclosures including share option schemes, securities transactions, corporate governance, and board information [Share Option Scheme](index=42&type=section&id=7.1%20Share%20Option%20Scheme) Under the 2017 scheme, **1,680,000** share options were granted in March 2025, vesting over three years until March 2029 - In March 2025, **1,680,000** share options were granted under the share option scheme adopted in May 2017[87](index=87&type=chunk) - The share options are valid from March 20, 2025, to March 31, 2029, and vest over three years[87](index=87&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=42&type=section&id=7.2%20Purchase%2C%20Sale%20or%20Redemption%20of%20Listed%20Securities) Neither the company nor its subsidiaries purchased, sold, or redeemed any listed securities in H1 2025 - In H1 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[88](index=88&type=chunk) [No Competing Business](index=42&type=section&id=7.3%20No%20Competing%20Business) No directors, controlling shareholders, or their associates have interests in competing businesses or other conflicts of interest - Neither the directors nor the controlling shareholders and their associates hold any interests in any business directly or indirectly competing with the Group[89](index=89&type=chunk) - There are no other existing or potential conflicts of interest between any such persons and the Group[89](index=89&type=chunk) [Corporate Governance](index=42&type=section&id=7.4%20Corporate%20Governance) Directors confirm compliance with GEM Listing Rules' Corporate Governance Code throughout H1 2025 - The Company has complied with the applicable code provisions of the Corporate Governance Code as set out in Appendix C1 Part 2 of the GEM Listing Rules throughout H1 2025[90](index=90&type=chunk) [Model Code for Securities Transactions by Directors](index=42&type=section&id=7.5%20Model%20Code%20for%20Securities%20Transactions%20by%20Directors) The company adopted a strict model code for directors' securities transactions, with all directors confirming compliance in H1 2025 - The Company has adopted a model code for securities transactions by directors with terms no less exacting than those in the GEM Listing Rules[91](index=91&type=chunk) - All directors have confirmed compliance with the required standards of dealings and their code of conduct in H1 2025[91](index=91&type=chunk) [Interim Dividend](index=42&type=section&id=7.6%20Interim%20Dividend) Directors do not recommend paying any interim dividend for H1 2025 - The directors do not recommend paying any interim dividend for H1 2025, consistent with H1 2024[92](index=92&type=chunk) [Audit Committee](index=43&type=section&id=7.7%20Audit%20Committee) The Audit Committee, composed of three independent non-executive directors, reviewed H1 2025 unaudited interim results and oversees financial reporting and controls - The Audit Committee comprises entirely independent non-executive directors Mr. Wang Guisheng (Chairman), Mr. Wu Weixiong, and Mr. Chen Keqin[93](index=93&type=chunk) - Its primary responsibilities include reviewing and overseeing the Group's financial reporting process, risk management, and internal control systems[93](index=93&type=chunk) - The Audit Committee has reviewed the Company's unaudited interim results for H1 2025[93](index=93&type=chunk) [Publication of Interim Report](index=43&type=section&id=7.8%20Publication%20of%20Interim%20Report) The H1 2025 interim report will be published on the Stock Exchange and company website in due course - The Company's interim report for H1 2025 will be published on the Stock Exchange and the Company's website in due course[94](index=94&type=chunk) [Board of Directors Information](index=43&type=section&id=7.9%20Board%20of%20Directors%20Information) The Board comprises executive directors Mr. Wu Yinhe, Ms. Li Birong, Mr. Wang Mohan; non-executive directors Tan Sri Dato' Ong Thian Seng (Chairman), Mr. Li Shenggan; and independent non-executive directors Mr. Wang Guisheng, Mr. Wu Weixiong, Mr. Chen Keqin - Executive Directors are Mr. Wu Yinhe, Ms. Li Birong, and Mr. Wang Mohan[96](index=96&type=chunk) - Non-executive Directors are Tan Sri Dato' Ong Thian Seng (Chairman) and Mr. Li Shenggan[96](index=96&type=chunk) - Independent Non-executive Directors are Mr. Wang Guisheng, Mr. Wu Weixiong, and Mr. Chen Keqin[96](index=96&type=chunk)