Revenue and Profitability - The company's revenue for the six months ended June 30, 2024, was approximately RMB 260.6 million, representing an increase of about 13.6% compared to the corresponding period in 2023[8]. - Revenue from overseas markets increased by approximately 5.7%, driven by demand from the United Arab Emirates, Indonesia, and other overseas markets[8]. - Revenue from Chinese customers maintained strong demand, with a slight increase of about 17.6% compared to the corresponding period[8]. - Gross profit increased significantly by approximately RMB 16.1 million or about 27.7% to approximately RMB 74.1 million, with a gross margin rising to approximately 28.4% from 25.3% in the corresponding period[10]. - Profit attributable to the owners of the company was approximately RMB 15.1 million, compared to approximately RMB 6.9 million in the corresponding period[17]. - Operating profit increased to RMB 21,589,000, up 63.2% from RMB 13,248,000 in the previous year[29]. - Net profit for the period was RMB 15,134,000, a significant increase of 117.5% compared to RMB 6,933,000 in the same period of 2023[30]. - The company reported earnings per share of RMB 3.03 for the period, compared to RMB 1.39 in the previous year[29]. Expenses and Costs - The cost of sales increased by approximately RMB 15.1 million or about 8.8% to approximately RMB 186.5 million, primarily due to increased production volume[9]. - Selling expenses increased by approximately RMB 3.2 million or 17.9% to approximately RMB 21.1 million, mainly due to increased salaries and benefits for sales personnel and higher transportation and entertainment expenses[12]. - Administrative expenses increased by approximately RMB 7.2 million or 24.5% to approximately RMB 36.6 million during the period[13]. - Employee costs increased to approximately RMB 40.2 million from RMB 30.9 million in the corresponding period, reflecting market standards and individual performance[22]. - Depreciation and amortization expenses rose to RMB 18,408,000 from RMB 17,703,000, an increase of 4.0%[50]. Financial Position - Current assets were approximately RMB 299.4 million, with a current ratio of approximately 1.63, up from 1.28[19]. - Total bank borrowings increased by approximately 33.3% to RMB 334.8 million, with an asset-to-liability ratio of approximately 1.25[19]. - The company’s total equity increased to RMB 268,886,000 from RMB 255,537,000 at the end of 2023[31]. - Total assets as of June 30, 2024, were RMB 720,456,000, an increase from RMB 694,071,000 as of December 31, 2023[31]. - Long-term bank borrowings increased to RMB 264,800,000 as of June 30, 2024, up 33.7% from RMB 197,900,000 as of December 31, 2023[68]. - Short-term bank borrowings rose to RMB 70,000,000 as of June 30, 2024, compared to RMB 50,000,000 as of December 31, 2023, reflecting a 40% increase[69]. Cash Flow and Investments - For the six months ended June 30, 2024, the company reported a net cash outflow from operating activities of RMB (48,871) thousand, compared to a net inflow of RMB 3,709 thousand in the same period of 2023[34]. - The company experienced a significant increase in cash inflow from financing activities, totaling RMB 77,901 thousand for the six months ended June 30, 2024, compared to RMB 17,606 thousand in the prior year, marking a growth of approximately 341%[34]. - The company incurred RMB 41,041 thousand in cash outflow for the purchase of land use rights during the reporting period, which was not present in the previous year[34]. - The company reported a decrease in cash and cash equivalents, with a net decrease of RMB (16,551) thousand for the six months ended June 30, 2024, compared to an increase of RMB 17,741 thousand in the same period of 2023[35]. - The company’s total cash and cash equivalents at the end of the reporting period stood at RMB 68,520 thousand, down from RMB 84,448 thousand at the beginning of the period[35]. Business Expansion and Development - The company plans to expand production facilities to meet the increasing demand for decorative printing materials[25]. - The company plans to establish another production facility in Shexian to meet the growing demand for decorative printing materials, enhancing capacity and flexibility[27]. - The company acquired land use rights for approximately 122,836 square meters at a cost of RMB 36,850,890 to establish a production factory and industrial research center[23]. - A construction contract was signed for the factory and research center with a total price of RMB 220.0 million[24]. - The company is actively seeking opportunities to expand its business in the global decorative printing materials market and develop beneficial partnerships[27]. Shareholder Information and Corporate Governance - The company repurchased a total of 9,580,000 shares at a total cash consideration of approximately HKD 4.5 million, which will enhance the company's net asset value[86]. - The company holds 65.81% of its ordinary shares, with 322,760,000 shares held by a key individual[88]. - Bright Commerce holds a beneficial interest of 239,950,000 shares, representing 48.93% of the company[92]. - Mr. Sheng has a beneficial interest of 322,760,000 shares, accounting for 65.81% of the company[92]. - Ms. Chen, as Mr. Sheng's spouse, is deemed to have an interest in the same 322,760,000 shares, also representing 65.81%[94]. - The company has adopted GEM Listing Rules for securities trading standards, confirming compliance by all directors during the reporting period[97]. - The company has adhered to the corporate governance code, with the exception of the separation of roles between the Chairman and CEO[99]. - An audit committee has been established, consisting of three independent non-executive directors, to oversee financial reporting and internal controls[100]. - The interim results for the reporting period have been reviewed by the audit committee and deemed compliant with applicable accounting standards[101].

Financial Performance - The company's revenue reached RMB 540.5 million, an increase of 20.4% compared to RMB 448.8 million in the previous year[13]. - The profit before tax surged to RMB 32.95 million, reflecting a significant increase of 171.1% from RMB 12.15 million[13]. - Net profit attributable to the owners of the company rose to RMB 28.35 million, a 135.1% increase from RMB 12.06 million[13]. - Basic and diluted earnings per share increased to RMB 5.67, up by RMB 3.26 from RMB 2.41[13]. - Gross profit margin improved to 28.9%, an increase of 6.2 percentage points from 22.7%[13]. - The group's revenue for the year was approximately RMB 540.5 million, an increase of about 20.4% compared to RMB 448.8 million in the previous fiscal year[20]. - Gross profit increased by approximately RMB 54.2 million or 53.1% to about RMB 156.1 million, with a gross margin of approximately 28.9% compared to 22.7% in the previous fiscal year[24]. - The net profit attributable to the company's owners was approximately RMB 28.3 million, a significant increase of about 135.1% from RMB 12.1 million in the previous fiscal year[32]. Business Operations - The company plans to focus on business expansion and enhance R&D and production technology to maintain market position[16]. - The company served over 500 customers in domestic and international markets during the year[19]. - Revenue from decorative paper increased significantly by approximately 50.3%, while revenue from melamine-impregnated paper, paint paper, and PVC furniture film decreased by approximately 30.6%, 92.3%, and 100.0% respectively[21]. - The company plans to enhance operational efficiency and quality control through advanced technology and is considering expanding its production facilities to meet growing product demand[34]. - The company aims to explore opportunities to expand its presence in the global decorative printing materials market and develop beneficial partnerships[35]. - The company's main business activities include the manufacturing and sales of decorative printing materials, specifically decorative paper, melamine-impregnated paper, paint paper, PVC furniture film, and PVC flooring film[70]. Financial Position - Current assets increased by 59.3% to RMB 303.19 million from RMB 190.27 million[13]. - Non-current liabilities rose by 25.5% to RMB 201.45 million from RMB 160.46 million[13]. - The interest coverage ratio improved to 4.2 times, an increase of 1.9 times from 2.3 times[13]. - As of December 31, 2023, the group had current assets of approximately RMB 303.2 million, an increase from RMB 190.3 million in 2022, with cash and cash equivalents of RMB 77.3 million compared to RMB 10.3 million in 2022[37]. - The current ratio as of December 31, 2023, was approximately 1.28, up from 0.98 in 2022, indicating improved liquidity[37]. - Total bank borrowings as of December 31, 2023, were approximately RMB 251.1 million, a 15.9% increase from RMB 216.6 million in 2022[37]. - Trade receivables increased by approximately RMB 29.7 million to RMB 168.0 million as of December 31, 2023, with turnover days rising to 103.4 days from 101.5 days in 2022[39]. Expenses and Costs - Selling expenses rose by approximately RMB 8.1 million or 21.5% to about RMB 46.2 million, primarily due to increased salaries and benefits for sales personnel[25]. - Administrative expenses increased by approximately RMB 24.6 million or 49.3% to about RMB 74.3 million, mainly due to higher salaries and maintenance costs[26]. - Financial costs increased by approximately RMB 0.6 million or 6.8% to about RMB 10.3 million, primarily due to increased bank borrowing and decreased interest income[30]. - Employee costs, including director remuneration, amounted to approximately RMB 74.0 million, an increase from RMB 63.8 million in 2022[43]. Corporate Governance - The board consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[128]. - The company has complied with the GEM Listing Rules and corporate governance code throughout the year[131]. - The board is committed to enhancing corporate governance standards and believes it is crucial for maintaining investor confidence and increasing shareholder returns[126]. - The remuneration committee held one meeting during the year to discuss compensation packages for executive directors and senior management[140]. - All independent non-executive directors confirmed their independence annually, in accordance with GEM Listing Rules[131]. - The company has established a dividend policy aimed at balancing shareholder expectations with prudent capital management, with the payout rate determined by the board[157]. Risk Management - The group faced various risks, including reliance on sales agents and fluctuations in raw material prices, which could negatively impact operations and profitability[53]. - The management discussion and analysis section provides insights into the major risks and uncertainties faced by the group, as well as potential future developments[72]. Shareholder Information - The company did not recommend the distribution of a final dividend for the year[79]. - The reserves available for distribution as of December 31, 2023, were approximately RMB 103.9 million, a slight decrease from RMB 104.6 million in 2022[88]. - Sales to the top five customers accounted for approximately 48.7% of total annual sales, with the largest customer contributing about 14.5%[92]. - Purchases from the top five suppliers represented about 70.7% of total annual purchases, with the largest supplier accounting for approximately 36.8%[92]. Compliance and Ethics - The company has complied with all relevant laws and regulations during the year, with no significant violations reported[90]. - The company has established a set of codes of conduct for securities trading by directors, ensuring compliance with GEM listing rules[185]. - The company has implemented a policy for insider information disclosure, adhering to the Securities and Futures Ordinance and GEM listing rules[189]. - The company has not engaged in any business activities with sanctioned countries during the year, ensuring compliance with international sanctions[177]. Environmental and Social Responsibility - The company is committed to developing green enterprises and environmentally friendly materials, focusing on health, safety, and environmental responsibility[197]. - The board of directors is responsible for overseeing the company's environmental, social, and governance strategies and performance[198]. - The company emphasizes gender diversity in hiring senior staff and aims to provide career development opportunities for female employees[156].

Financial Performance - Revenue for the year ended December 31, 2023, was RMB 540,544 thousand, representing a 20.4% increase from RMB 448,796 thousand in 2022[20] - Profit before tax increased by 171.1% to RMB 32,950 thousand from RMB 12,154 thousand in the previous year[20] - Net profit attributable to owners of the company rose by 135.1% to RMB 28,353 thousand compared to RMB 12,058 thousand in 2022[20] - Basic and diluted earnings per share increased to RMB 5.67 from RMB 2.41, an increase of RMB 3.26[20] - Gross profit margin improved to 28.9%, up by 6.2 percentage points from 22.7% in the previous year[20] - Net profit margin increased to 5.2%, a rise of 2.5 percentage points from 2.7%[20] - Gross profit increased significantly to approximately RMB 156.1 million, up 53.1% from RMB 101.9 million in the previous fiscal year, resulting in a gross margin of approximately 28.9%[31] Assets and Liabilities - Total equity increased by 12.5% to RMB 255,537 thousand from RMB 227,155 thousand in 2022[20] - Current assets rose by 59.3% to RMB 303,191 thousand compared to RMB 190,268 thousand in the previous year[20] - Non-current liabilities increased by 25.5% to RMB 201,450 thousand from RMB 160,462 thousand in 2022[20] - As of December 31, 2023, the company's current assets amounted to approximately RMB 303.2 million, an increase from RMB 190.3 million in 2022, with cash and cash equivalents at RMB 77.3 million compared to RMB 10.3 million in 2022[44] - The current ratio as of December 31, 2023, was approximately 1.28, up from 0.98 in 2022, indicating improved liquidity[44] - The company's total bank borrowings increased by approximately 15.9% to RMB 251.1 million as of December 31, 2023, compared to RMB 216.6 million in 2022[44] Operational Efficiency - Interest coverage ratio improved to 4.2 times, up from 2.3 times, indicating better ability to cover interest expenses[20] - Inventory turnover days decreased to approximately 26.5 days in 2023 from 36.0 days in 2022, reflecting efficient inventory management despite revenue growth[46] - Trade receivables increased by approximately RMB 29.7 million to RMB 168.0 million as of December 31, 2023, with turnover days slightly increasing to 103.4 days from 101.5 days in 2022[46] Market and Sales - The demand for decorative paper in China increased by approximately 18.6%, contributing to the overall revenue growth[27] - Revenue from overseas markets grew by approximately 24.5%, with significant demand from Pakistan, India, UAE, and Indonesia[27] - The overall sales of decorative paper increased by approximately 50.3%, while sales of melamine-impregnated paper, paint paper, and PVC furniture film saw declines of approximately 30.6%, 92.3%, and 100.0% respectively[28] - Sales expenses rose by 21.5% to approximately RMB 46.2 million, primarily due to increased salaries and marketing expenses[32] - Administrative expenses increased by 49.3% to approximately RMB 74.3 million, driven by higher salaries and maintenance costs[33] Strategic Plans - The company plans to focus on business expansion and enhance R&D and production technologies to maintain market position and improve shareholder returns[23] - The company plans to enhance its R&D capabilities and optimize its product portfolio to maintain product quality and customer satisfaction[44] - The company is exploring opportunities to expand its presence in the global decorative printing materials market and develop beneficial partnerships[42] Corporate Governance - The company has complied with all relevant laws and regulations during the year, with no significant violations reported[97] - The board consists of three executive directors and three independent non-executive directors, responsible for corporate policy, business strategy, and risk management[135] - The company has not established a corporate governance committee, with the board responsible for governance matters[136] - The board holds meetings quarterly, ensuring all members receive adequate notice and materials for discussion[143] - The board of directors held 4 out of 4 meetings, with all members present except for independent non-executive director Mr. Cao Bingchang, who attended 3 out of 4 meetings[144] Shareholder Information - The company reported a profit for the year, with total reserves available for distribution amounting to approximately RMB 103.9 million as of December 31, 2023, compared to RMB 104.6 million in 2022[95] - The company did not recommend the distribution of a final dividend for the year[86] - The company has a total of 500,000,000 shares issued, with Mr. Sheng holding 322,760,000 shares, representing 64.55% ownership[114] - Bright Commerce, a company controlled by Mr. Sheng, holds 239,950,000 shares, accounting for 47.99% of the total shares[117] Risk Factors - The group's business and financial condition may be adversely affected by the contraction or losses in overseas markets[60] - Fluctuations in raw material prices or unstable supply may negatively impact the group's operations and profitability[60] - The group does not have long-term supply contracts with suppliers, which could adversely affect production costs and timelines if materials are not secured[60] - Failure to maintain the current utilization rate of production facilities may significantly impact the group's profit margins and profitability[60] Environmental and Social Responsibility - The company is committed to environmental sustainability and has established compliance procedures to adhere to applicable laws and regulations[80] - The report period for the environmental, social, and governance report is from January 1, 2023, to December 31, 2023[198] Audit and Compliance - The group's financial statements for the year have been audited by Tianjian International CPA Limited, which was appointed on July 21, 2020[130] - The external auditor received approximately RMB 850,000 for audit services during the year, with no non-audit services provided[173] - The board will continue to regularly review its corporate governance principles to ensure compliance with relevant codes and guidelines[195]

Financial Performance - For the nine months ended September 30, 2023, revenue was approximately RMB 383.3 million, an increase of about 15.4% compared to the same period in 2022[6]. - Gross profit for the period was approximately RMB 94.9 million, representing an increase of about 37.7% from the corresponding period[6]. - Profit attributable to owners of the company was approximately RMB 18.4 million, a significant increase of about 167.3% compared to the same period last year[6]. - Basic earnings per share for the period were approximately RMB 3.67, compared to RMB 1.37 for the corresponding period[6]. - The company reported a net profit of RMB 18,364,000 for the nine months ended September 30, 2023, compared to RMB 6,871,000 for the same period in 2022, marking an increase of 167.5%[56]. - The company reported a basic and diluted earnings per share of RMB 2.29 for the three months ended September 30, 2023, compared to RMB 0.85 in the same period last year[29]. - The total comprehensive income for the three months ended September 30, 2023, was RMB 11,419,000, compared to RMB 3,030,000 in the previous year, reflecting an increase of 276.5%[30]. Revenue Growth - Revenue growth was driven by increased sales in overseas markets, which rose by approximately 17.0%, and strong demand from Chinese customers, which increased by about 14.6%[9]. - The company's revenue for the three months ended September 30, 2023, was RMB 153,872,000, representing a 28.5% increase compared to RMB 119,762,000 for the same period in 2022[29]. - Revenue for the three months ended September 30, 2023, was RMB 153,872,000, an increase of 28.5% compared to RMB 119,762,000 for the same period in 2022[44]. - The company experienced a significant increase in revenue from external customers in China, which rose to RMB 98,114,000 for the three months ended September 30, 2023, up 27% from RMB 77,229,000 in 2022[44]. - The company’s revenue from Pakistan increased by 72.5% to RMB 25,676,000 for the three months ended September 30, 2023, compared to RMB 14,862,000 in the same period of 2022[44]. Cost and Expenses - Administrative expenses increased by approximately RMB 11.9 million or 31.5% to about RMB 49.7 million, primarily due to increased depreciation and maintenance costs[14]. - Financial expenses net increased by approximately RMB 0.7 million or 11.2% to about RMB 7.8 million, mainly due to increased interest expenses from higher bank borrowings[16]. - The gross profit margin improved to approximately 24.7%, up from 20.7% in the corresponding period, due to stable production material prices and effective cost reduction measures[11]. Corporate Governance - The company is committed to high corporate governance standards and has adhered to the GEM Listing Rules throughout the reporting period[76]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited consolidated results for the period and found them to comply with applicable accounting standards[79]. - The company has maintained compliance with the corporate governance code, except for the separation of the roles of Chairman and CEO, which are held by Mr. Sheng[76]. - The company has not reported any violations of trading regulations by its directors during the reporting period[73]. Employee and Shareholder Information - As of September 30, 2023, the company had 375 employees, an increase from 347 employees as of December 31, 2022[22]. - As of September 30, 2023, the company has 500,000,000 shares issued, with Mr. Sheng holding 322,760,000 shares, representing 64.55% ownership[66]. - Mr. Sheng directly owns 82,810,000 shares and has control over an additional 239,950,000 shares held by Bright Commerce, which accounts for 47.99% of the total shares[66]. - The company has confirmed that there are no other interests or short positions held by directors or key executives in the company or its subsidiaries as of September 30, 2023[68]. - There are no interests held by directors or major shareholders in any competing businesses as of September 30, 2023[72]. Strategic Initiatives - The company aims to enhance operational efficiency and product quality through advanced technologies and flexible strategies in production, supply chain, and marketing[26]. - The company is committed to increasing R&D capabilities and optimizing its product portfolio, including new products and materials, to maintain competitiveness and profitability[26]. - The company is exploring opportunities to expand its business footprint in the global decorative printing materials market and develop beneficial partnerships[26]. Dividends and Stock Options - The company did not recommend any dividend payment for the period, consistent with the previous period[6]. - The company has not granted any stock options since the adoption of the stock option plan in June 2017[61]. - The company has not established any arrangements for directors to acquire shares or debt securities during the reporting period[71]. - The company has not disclosed any new product developments or market expansion strategies in the current report[79].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不就因本公告 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 SHENGLONG SPLENDECOR INTERNATIONAL LIMITED 盛 龍 錦 秀 國 際 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8481） 截 至 二 零 二 三 年 九 月 三 十 日 止 九 個 月 之 第 三 季 度 業 績 公 告 盛龍錦秀國際有限公司（「本公司」連同其附屬公司，為「本集團」）之董事（「董事」） 會（「董事會」）欣然宣佈本集團截至二零二三年九月三十日止九個月之未經審 核簡明綜合業績。本公告載有本公司二零二三年第三季度報告全 文，符合香 港聯合交易所有限公司（「聯交所」）GEM證券上市規則（「GEM上市規則」）有關季 度業績初步公告之資料之相關規定。本公司二零二三年第三季度報告之印刷 版將適時寄發予本公司股東，並可於聯交所網站www.hkexnews.hk及本公司網站 www.splendecor.com閱覽。 承董事會命 ...

Financial Performance - The group's revenue for the six months ended June 30, 2023, was approximately RMB 229.5 million, an increase of about 8.0% compared to the corresponding period[5]. - Revenue from overseas markets increased by approximately 8.5%, driven by demand from Pakistan, India, UAE, and Indonesia[5]. - Gross profit rose to approximately RMB 55.3 million, an increase of about 28.3% from RMB 43.1 million in the corresponding period, with a gross margin of approximately 24.1%[7]. - The operating profit for the six months ended June 30, 2023, increased to RMB 13,248 thousand, compared to RMB 7,450 thousand for the same period in 2022, reflecting an increase of 77.4%[28]. - The net profit attributable to the owners of the company for the six months ended June 30, 2023, was RMB 6,933 thousand, significantly higher than RMB 2,645 thousand for the same period in 2022, marking a growth of 162.5%[28]. - The total comprehensive income for the first half of 2023 was RMB 8,783,000, compared to RMB 1,619,000 in the same period of 2022, marking a substantial increase[33]. - The company reported a profit of RMB 6,933,000 for the first half of 2023, up from RMB 2,645,000 in the same period of the previous year, indicating a year-on-year growth of approximately 162%[33]. Expenses and Costs - Selling expenses decreased by approximately RMB 1.1 million or 6.8% to RMB 15.2 million, primarily due to reduced licensing fees from related product sales[9]. - Administrative expenses increased by approximately RMB 6.3 million or 27.3% to RMB 29.4 million, mainly due to maintenance costs related to new factory renovations[10]. - Other income and gains decreased by approximately RMB 1.2 million or 32.4% to RMB 2.6 million, primarily due to a reduction in government subsidy income[11]. - Net finance costs increased by approximately RMB 1.3 million or 28.4% to RMB 6.0 million, mainly due to increased interest expenses from higher bank borrowings[12]. - The company reported a depreciation and amortization expense of RMB 17,703,000 for the six months ended June 30, 2023, compared to RMB 13,756,000 in 2022, indicating an increase of 28.5%[54]. Assets and Liabilities - The company had a total asset value of RMB 590,641 thousand as of June 30, 2023, compared to RMB 580,956 thousand as of December 31, 2022[31]. - As of June 30, 2023, the total liabilities of Shenglong Jinxi International Limited amounted to RMB 354,703,000, slightly up from RMB 353,801,000 as of December 31, 2022[32]. - The company's total equity increased to RMB 590,641,000 as of June 30, 2023, compared to RMB 580,956,000 at the end of 2022, reflecting a growth of approximately 1.2%[32]. - Long-term bank loans increased to RMB 206,537,000 as of June 30, 2023, from RMB 154,613,000 at the end of 2022, representing a rise of about 33.5%[32]. - The company's current assets minus current liabilities improved to RMB 70,450,000 as of June 30, 2023, compared to a negative net of RMB 3,071,000 at the end of 2022[32]. Cash Flow - The net cash flow from operating activities for the first half of 2023 was RMB 3,709,000, a significant improvement from a cash outflow of RMB 31,352,000 in the same period of 2022[34]. - The net increase in cash and cash equivalents for the first half of 2023 was RMB 17,741,000, compared to a modest increase of RMB 739,000 in the first half of 2022[36]. - Cash flow from financing activities for the first half of 2023 was RMB 17,606,000, compared to RMB 12,733,000 in the same period of 2022, indicating a growth of approximately 38%[34]. Workforce and Development - The group employed 368 staff as of June 30, 2023, an increase from 347 staff as of December 31, 2022, reflecting a focus on workforce development[21]. - The group plans to enhance operational efficiency and product quality control through advanced technology in the second half of 2023[26]. - The company is committed to optimizing its R&D capabilities and product offerings, including new products and materials, to maintain competitiveness and profitability[26]. Corporate Governance - The company confirms compliance with corporate governance standards, except for the separation of the roles of Chairman and CEO, which are held by Mr. Sheng[96]. - The audit committee, consisting of three independent non-executive directors, oversees the financial reporting process and internal controls[97]. - The company has adhered to all corporate governance code provisions during the reporting period, except for the aforementioned role separation[96]. - The audit committee has reviewed the unaudited interim consolidated results, affirming compliance with applicable accounting standards[99]. Shareholder Information - The company has a total of 500,000,000 shares issued, with Mr. Sheng holding 322,760,000 shares, representing 64.55% ownership[88]. - Bright Commerce, fully owned by Mr. Sheng, holds 239,950,000 shares, accounting for 47.99% of the total shares[89]. - The company has not granted any share options since the adoption of the share option scheme in June 2017[84]. - The company did not recommend any interim dividend for the period, consistent with the previous period[75].

香港交易及結算所有限公司及香港聯合交易所有限公司（「聯交所」）對本公告 的內容概不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不 就因本公告全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失 承擔任何責任。 SHENGLONG SPLENDECOR INTERNATIONAL LIMITED 盛 龍 錦 秀 國 際 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8481） 截 至二 零 二三 年 六 月 三 十 日 止 六 個 月 之 中 期 業 績 公 告 盛龍錦秀國際有限公司（「本公司」連同其附屬公司，為「本集團」）之董事（「董事」） 會（「董事會」）欣然宣佈本集團截至二零二三年六月三十日止六個月之未經審核 簡明綜合業績。本公告載有本公司二零二三年中期報告全文，符合聯交所 GEM 證券上市規則（「GEM上市規則」）有關 中期業績初步公告之資料之相關規定。本 公司二零二三年中期報告之印刷版將寄發予本公司股東，並可適時於聯交所 網站www.hkexnews.hk及本公司網站www.splendecor.com閱覽。 承董事會命 盛龍錦秀國際有限公司 ...

Financial Performance - For the three months ended March 31, 2023, revenue was approximately RMB 96.1 million, an increase of about 1.4% compared to the same period in 2022[5] - Gross profit for the same period was approximately RMB 20.0 million, representing an increase of approximately 30.8% from the corresponding period[5] - The loss attributable to the company's owners was approximately RMB 0.6 million, a significant improvement from a loss of approximately RMB 3.8 million in the same period last year[5] - Basic loss per share for the period was approximately RMB 0.13, compared to RMB 0.77 in the corresponding period[5] - Revenue for the first quarter of 2023 was RMB 96,068 thousand, a 1.4% increase from RMB 94,702 thousand in the same period of 2022[25] - Gross profit increased to RMB 20,026 thousand, up 30.5% from RMB 15,313 thousand year-over-year[25] - Operating profit turned positive at RMB 1,961 thousand compared to an operating loss of RMB 2,239 thousand in Q1 2022[25] - Net loss for the period was RMB 640 thousand, significantly improved from a net loss of RMB 3,845 thousand in the previous year[26] - The company reported a total comprehensive loss of RMB 1,682 thousand, compared to RMB 3,937 thousand in Q1 2022[26] - Basic and diluted loss per share improved to RMB 0.13 from RMB 0.77 in the previous year[25] - For the three months ended March 31, 2023, the company reported a loss attributable to owners of the company of RMB 640,000, compared to a loss of RMB 3,845,000 for the same period in 2022, representing a 83.4% improvement in losses year-over-year[46] - The basic and diluted loss per share for the current period was RMB 0.13, significantly improved from RMB 0.77 in the prior year period, indicating a reduction of 83.1%[46] Expenses and Costs - The gross profit margin increased to approximately 20.8% from 16.2% in the same period last year, driven by improved production efficiency[9] - Sales expenses decreased by approximately RMB 0.6 million or 7.6% to approximately RMB 6.5 million due to reduced licensing fees from related products[11] - Administrative expenses increased by approximately RMB 0.9 million or 7.8% to approximately RMB 12.4 million, primarily due to increased depreciation and amortization from office facility upgrades[12] - The company incurred depreciation and amortization expenses of RMB 8,603,000 for the three months ended March 31, 2023, compared to RMB 7,120,000 in the same period of 2022, reflecting an increase of 20.8%[41] - The company reported a total tax expense of RMB 86,000 for the current period, compared to a tax credit of RMB 636,000 in the prior year, indicating a shift from a tax benefit to a tax expense[43] Business Strategy and Operations - The company plans to enhance its R&D capabilities and optimize its product portfolio, colors, patterns, and specifications to improve product quality and customer satisfaction[23] - The company aims to explore opportunities to expand its business presence in the global decorative printing materials market and develop beneficial partnerships for overall business growth[23] - The company continues to focus on manufacturing and selling decorative printing materials, with all revenue generated from product sales in China[36] - The company had no significant investments or acquisitions during the period, maintaining a focus on operational efficiency and product quality control[20] Shareholder Information - As of March 31, 2023, the major shareholder, Mr. Sheng Yingming, holds 322,760,000 shares, representing 64.55% of the total shareholding[53] - Bright Commerce, a controlled entity of Mr. Sheng, holds 239,950,000 shares, accounting for 47.99% of the total shareholding[56] - The weighted average number of ordinary shares issued during the period remained constant at 500,000,000 shares[46] - The company has not granted any share options under its share option scheme since its adoption in June 2017[50] - The company did not recommend any interim dividend for the current period, consistent with the prior year[47] Corporate Governance - The company has adhered to all principles and code provisions of the corporate governance code, except for the separation of the roles of Chairman and CEO, which are currently held by the same individual[63] - The audit committee, consisting of three independent non-executive directors, is responsible for reviewing and supervising the company's financial reporting procedures and internal controls[64] - The unaudited consolidated results for the period have been reviewed by the audit committee, which confirmed that the report was prepared in accordance with applicable accounting standards and regulations[66] - The company has not engaged in any purchase, sale, or redemption of its listed securities during the period[51]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不就因本公告 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 SHENGLONG SPLENDECOR INTERNATIONAL LIMITED 盛 龍 錦 秀 國 際 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：8481） 截 至 二 零 二 三 年 三 月 三 十 一 日 止 三 個 月 之 第 一 季 度 業 績 公 告 盛龍錦秀國際有限公司（「本公司」連同其附屬公司，為「本集團」）之董事（「董事」） 會（「董事會」）欣然宣佈本集團截至二零二三年三月三十一日止三個月之未經審 核簡明綜合業績。本公告載有本公司二零二三年第一季度報告全文，符合香港 聯合交易所有限公司GEM證券上市規則（「GEM上市規則」）有關季度業績初步 公告之資料之相關規定。本公司二零二三年第一季度報告之印刷版將於適當 時侯寄發予本公司股東，並可於香港聯合交易所有限公司網站www.hkexnews.hk 及本公司網站www.splendecor.com閱覽。 承董事會命 ...

Financial Performance - The total revenue for the year 2022 was RMB 448.8 million, a decrease of 9.3% compared to RMB 494.96 million in 2021[14] - The net profit for the year was RMB 12.1 million, down from RMB 13.6 million in 2021, representing a decrease of approximately 11.3%[14] - The company's revenue for the year was approximately RMB 448.8 million, a decrease of about 9.3% compared to RMB 495.0 million in the previous fiscal year[23] - Gross profit increased by approximately RMB 7.5 million or 8.0% to about RMB 101.9 million, with a gross margin of approximately 22.7%, up from 19.1% in the previous fiscal year[27] - The company recorded a profit attributable to owners of approximately RMB 12.1 million, a decrease of about 11.3% from RMB 13.6 million in the previous fiscal year[35] Asset and Liability Management - Non-current assets increased by 3.9% to RMB 390.7 million, while current assets decreased by 12.6% to RMB 190.3 million[14] - The company experienced a significant increase in non-current liabilities, which rose by 207.1% to RMB 160.5 million[14] - The group's current liabilities were approximately RMB 193.3 million, down 40.6% from RMB 326.3 million in 2021, resulting in a current ratio of 0.98, up from 0.67 in 2021[40] - Total bank borrowings increased by approximately 13.9% to RMB 216.6 million as of December 31, 2022, compared to RMB 190.1 million in 2021, leading to a debt-to-equity ratio of 0.95, up from 0.88 in 2021[41] - The group's net current liabilities as of December 31, 2022, amounted to approximately RMB 31 million, with RMB 62 million and RMB 33 million in current bank borrowings and payables, respectively, due within the next twelve months[176] Operational Efficiency - Trade receivables turnover days increased to 101.5 days, up by 22.6 days from the previous year, indicating slower collection of receivables[14] - Inventory turnover days decreased to approximately 36.0 days from 38.8 days in 2021, with inventory value dropping by 32.3% to RMB 27.6 million[42] - The group employed 347 staff as of December 31, 2022, a decrease from 417 in 2021, with employee costs totaling approximately RMB 63.8 million[46] Revenue Breakdown - Revenue from decorative paper increased by approximately 12.8%, while revenue from melamine-impregnated paper, paint paper, and PVC flooring film decreased by approximately 30.2%, 39.7%, and 29.8% respectively[24] Expenses and Costs - Selling expenses rose by approximately RMB 3.9 million or 11.3% to about RMB 38.1 million, primarily due to increased salaries and marketing expenses[28] - Administrative expenses increased by approximately RMB 10.0 million or 25.3% to about RMB 49.7 million, attributed to maintenance and depreciation costs related to a new factory[29] - Net finance costs rose by approximately RMB 2.2 million or 29.0% to about RMB 9.7 million, driven by increased bank borrowings[33] Corporate Governance - The board consists of three executive directors and three independent non-executive directors, ensuring a balanced governance structure[133] - The company has complied with the GEM Listing Rules and has not established a corporate governance committee, delegating responsibilities to the board[134] - All independent non-executive directors have confirmed their independence, meeting the requirements of GEM Listing Rules[136] - The board is committed to enhancing corporate governance standards and believes it is crucial for maintaining investor confidence and increasing shareholder returns[131] Risk Management - The management discussion and analysis section of the annual report includes a review of the major risks and uncertainties faced by the group, as well as indications of potential future developments[76] - The audit committee noted a significant uncertainty regarding the group's ability to continue as a going concern, as highlighted in the independent auditor's report[178] - The board has conducted an annual review of the effectiveness of the internal control and risk management systems, covering financial, operational, compliance procedures, and risk management functions[187] Future Outlook - The company remains cautiously optimistic about the economic recovery in China, which may lead to increased demand for decorative printing materials[17] - The company aims to enhance R&D capabilities and optimize product offerings while exploring opportunities for market expansion and partnerships to improve profitability[37] Compliance and Regulations - The company complied with all relevant laws and regulations during the year, with no significant violations reported[94] - The company has established compliance procedures to ensure adherence to applicable environmental laws and regulations[77] Shareholder Information - The company did not recommend the distribution of a final dividend for the year[84] - The company has established a dividend policy to balance shareholder expectations with prudent capital management, with the dividend payout ratio determined by the board[165]