Financial Performance - For the fiscal year ending December 31, 2024, the company's revenue was RMB 3,086.7 million, a decrease of 21.9% compared to RMB 3,950.6 million for the fiscal year ending December 31, 2023[8]. - The total payment transaction volume (GPV) for the fiscal year ending December 31, 2024, was RMB 233.55 billion, down 19.0% from RMB 288.29 billion for the fiscal year ending December 31, 2023[10]. - Total revenue for 2024 was RMB 3,086,742 thousand, a decrease of 21.9% compared to RMB 3,950,585 thousand in 2023[15]. - Revenue from the one-stop payment service fell by 22.9% from RMB 3,485.0 million in 2023 to RMB 2,685.9 million in 2024, primarily due to macroeconomic fluctuations[38]. - The revenue from merchant solutions slightly decreased by 6.4% from RMB 363.0 million in 2023 to RMB 339.6 million in 2024, offset by a record high in transaction volume[39]. - Revenue from in-store e-commerce services dropped by 40.4% from RMB 102.7 million in 2023 to RMB 61.2 million in 2024, due to a strategic shift towards higher quality and more profitable customers[40]. - The company reported a total operating expense of RMB 3,008,887,000 for the year ended December 31, 2024, down from RMB 3,941,797,000 in 2023, indicating a reduction of 23.6%[133]. - The company incurred a total tax expense of RMB 10,433,000 for the year ended December 31, 2024, compared to RMB 25,321,000 in 2023, representing a decrease of 58.8%[134]. Profitability - The company's overall gross profit margin increased from 18.7% for the fiscal year ending December 31, 2023, to 23.6% for the fiscal year ending December 31, 2024[8]. - The adjusted EBITDA for the fiscal year ending December 31, 2024, was RMB 384.5 million, with net profit for the same period rising over sixfold to RMB 73.0 million from RMB 10.1 million in the previous year[12]. - Net profit for the period surged to RMB 73,014 thousand, a significant increase of 622.0% from RMB 10,113 thousand in the previous year[15]. - Net profit surged over six times year-on-year to RMB 73.0 million in 2024, with a net profit margin increasing to 2.4%[27]. - Basic and diluted earnings per share for the year were RMB 0.22, compared to RMB 0.03 in 2023, indicating a significant improvement[94]. Cost Management - The financing cost decreased by 31.5% for the fiscal year ending December 31, 2024, compared to the previous year, due to proactive upgrades in equity and financing structure[8]. - The company’s sales, administrative, and R&D expenses decreased by 11.0%, 10.8%, and 10.5%, respectively, for the fiscal year ending December 31, 2024, attributed to the broader application of AI technologies[12]. - Operating costs decreased by 26.6% from RMB 3,212.4 million in 2023 to RMB 2,358.0 million in 2024, attributed to improved bargaining power and reduced commission fees[41]. - Financial costs decreased by over 30% year-on-year in 2024 due to streamlined debt structure and financing cost control[27]. Strategic Initiatives - The company is focusing on AI and generative technologies, having developed new products tailored to various vertical industries to enhance operational efficiency and reduce costs[8]. - The company plans to accelerate its globalization strategy and expand into overseas markets, leveraging its established product system and operational experience in China[28]. - The company has successfully introduced local life services in Japan, Singapore, and Hong Kong, enhancing its global presence[26]. - The company expanded its global payment network by joining major institutions like Visa, Mastercard, and UnionPay International, enhancing service quality[18]. Shareholder Engagement - The company’s ESG rating improved to 59 points, achieving an A- rating in the Hang Seng Corporate Sustainability Index[31]. - The company’s stock buyback program approved a total of $10 million to enhance shareholder returns[30]. - The board does not recommend the payment of a final dividend for the year ending December 31, 2024 (2023: zero)[73]. Employee and Governance - The company has a total of 871 employees, primarily located in China[77]. - The board is actively seeking female candidates to promote diversity and improve corporate governance standards[33]. - The company emphasizes the protection of minority shareholders' rights through various communication methods[33]. - The audit committee, consisting of three independent non-executive directors, has reviewed the audited consolidated financial statements for the year ending December 31, 2024[184]. Risk Management - The company has made over 170 billion risk-based decisions and handled over 19 million risk transactions during the reporting period, enhancing transaction safety[32]. - The company is exposed to credit risk related to cash and cash equivalents, restricted cash, receivables, and loans provided to partners[109]. - The company provides guarantees for loans issued by certain lending partners, which may require repayment if the borrowers default[109]. Financial Position - Total assets decreased from RMB 8,420.4 million as of December 31, 2023, to RMB 7,705.5 million as of December 31, 2024, while total liabilities decreased from RMB 5,803.0 million to RMB 5,116.0 million, resulting in a debt-to-asset ratio decrease from 68.9% to 66.4%[61]. - Cash and cash equivalents decreased by 32.9% from RMB 887.9 million to RMB 595.7 million due to early redemption of convertible bonds and payments to the trustee for restricted share units[62]. - The company’s total issued shares decreased to 443,012,442 as of December 31, 2024, from 445,992,842 in 2023, reflecting a reduction of about 0.7%[151]. Investments and Acquisitions - The company did not engage in any significant investments, acquisitions, or disposals during the fiscal year ending December 31, 2024, but will continue to identify new business development opportunities[69]. - The investment in the associate company, Fushi Technology, amounted to RMB 834.96 million, representing 10.8% of total assets, with an unrealized fair value gain of RMB 103.06 million recognized during the year[70]. Future Outlook - The company has set a future revenue guidance of 3,094,193 thousand currency units for the upcoming fiscal year, indicating growth expectations[97]. - Future guidance indicates a cautious outlook, with expectations of gradual recovery in user engagement and revenue growth[98].

Core Viewpoint - The company, Yika (9923.HK), has successfully completed the issuance and placement of 19.15 million shares to fund its overseas and artificial intelligence business development [1] Group 1: Fund Allocation - Approximately 40% of the net proceeds from the subscription will be used to expand the company's overseas presence in various business segments across Asia [1] - Another 40% will be allocated for research and development, including the use of artificial intelligence in proprietary software to enhance the competitiveness of the company's digital ecosystem [1] - The remaining 20% will be utilized for working capital and general corporate purposes [1]

Group 1 - The core viewpoint of the article is the collaboration between Yika and Shenzhen Tong to develop a digital virtual community leveraging generative AI technology [2] - The partnership aims to enhance user experience by integrating entertainment, discounts, and public welfare elements into the virtual community [2] - The initiative is expected to help Shenzhen Tong in brand promotion, commercial order conversion, and innovative service experiences [2] Group 2 - In April, Shenzhen Tong conducted a research exchange with Yika to discuss the implementation of various "convenient and beneficial" cooperation projects [1] - The cooperation agreement was recently signed, marking a significant step in utilizing Shenzhen Tong's traffic scenarios for the development of the digital community [2] - The virtual community will also include merchant benefits, cultural and creative public welfare, gaming entertainment, and brand promotion [2]

Company and Industry Summary Company Overview - The company primarily focuses on the Southeast Asian market, initially serving Starbucks in Singapore and expanding services to Australia and New Zealand due to positive customer experiences [1] Core Business Insights - The company offers local acquiring services for payments, targeting not only tourists but also local merchants and consumers, integrating various payment methods including Visa, Mastercard, and QR code payments [1] - There is strong confidence in the overseas business segment, indicating significant growth potential [1] AI Development and Implementation - The company established its AI studio six to seven years ago, led by a founder with a technical background from Tencent [2] - Current AI tools are primarily used for internal processes, achieving an 80% self-service response rate in customer service [2] - AI is also utilized in content generation for commercial applications, including digital human hosts for live streaming [3] - The company is exploring the use of AI to enhance merchant solutions, particularly for larger clients, to increase average transaction values [3] Customer Acquisition and Cost Management - The company has shifted focus to acquiring key accounts (KA merchants) through partnerships with SaaS platforms rather than direct sales, which has not significantly increased customer acquisition costs [4][5] - The transition to KA merchants has led to a reduction in sales personnel, resulting in lower overall sales expenses despite higher demands for negotiation and expertise [5][6] - Monthly losses in the e-commerce sector have decreased to a few hundred thousand, indicating improved cost efficiency [6] Market Demand and Future Outlook - The company sees a strong recovery in demand from the restaurant and hospitality sectors, particularly in Q3, influenced by seasonal factors [7] - R&D expenses are expected to remain stable with slight increases, as investments in AI and overseas operations will not require substantial additional funding [8] - The company anticipates that while R&D costs may rise slightly, overall operational costs will benefit from AI applications reducing personnel needs [8]

Financial Performance - The company's GPV for the six months ended June 30, 2024, was RMB 116.62 billion, a decrease of 17.8% compared to RMB 141.92 billion for the same period in 2023[5]. - Revenue for the six months ended June 30, 2024, was RMB 1,577.7 million, down 23.5% from RMB 2,062.2 million in the same period last year[5]. - The company's profit for the six months ended June 30, 2024, was RMB 32.6 million, exceeding the full-year profit of 2023[5]. - Profit for the period increased from RMB 30.4 million in the first half of 2023 to RMB 32.6 million in the first half of 2024, representing a growth of 7.3%[10]. - The gross profit for the six months ended June 30, 2024, was RMB 300.2 million, down from RMB 366.0 million in the same period of 2023[23]. - Operating profit decreased to RMB 56.8 million from RMB 94.1 million year-on-year[23]. - The net profit for the period was RMB 32,580, compared to RMB 30,350 in the previous year, representing a growth of 4.1%[89]. - The profit attributable to equity holders for the six months ended June 30, 2024, was RMB 31,628,000, a decrease of 4.6% from RMB 33,163,000 in 2023[129]. Revenue Breakdown - Non-payment services contributed 14.6% to total revenue for the six months ended June 30, 2024, up from 11.0% in the same period of 2023[5]. - Revenue from the one-stop payment service decreased by 26.6% to RMB 1,346.6 million, down from RMB 1,835.3 million in the previous year[26]. - Revenue from merchant solutions increased by 21.2% to RMB 202.3 million, compared to RMB 166.9 million in the same period last year[27]. - Revenue from in-store e-commerce services decreased by 51.9% year-on-year for the six months ending June 30, 2024, due to a strategic upgrade in the business model[14]. - Revenue from technology service income for the six months ended June 30, 2024, was RMB 18,654,000, a decrease from RMB 30,173,000 in the same period of 2023, representing a decline of approximately 38.4%[175]. Cost Management - Sales and administrative expenses decreased by 11.2% for the six months ended June 30, 2024, compared to the same period in 2023[5]. - Operating costs decreased by 24.7% from RMB 1,696.2 million in the first half of 2023 to RMB 1,277.5 million in the same period of 2024, mainly due to a decline in the total GPV of one-stop payment services[29]. - Financing costs decreased by 6.2% for the six months ended June 30, 2024, compared to the same period in 2023[5]. - The total operating expenses for the six months ended June 30, 2024, were RMB 1,613,771,000, a decrease of 21.3% from RMB 2,053,100,000 in the same period of 2023[122]. Operational Efficiency - The overall gross profit margin increased from 17.7% for the six months ended June 30, 2023, to 19.0% for the same period in 2024[5]. - Gross profit from non-payment services accounted for 69.1% of total gross profit for the six months ended June 30, 2024, up from 52.6% in the same period of 2023[5]. - The gross margin for merchant solutions rose from 87.6% in the first half of 2023 to 90.9% in the first half of 2024[13]. - The company continues to enhance its operational efficiency through the application of technologies such as artificial intelligence[7]. - AI-driven products and services have been launched to enhance marketing efficiency and reduce operational costs, with automation in customer service increasing efficiency to over 80%[17]. Market Expansion - The number of active merchants using the merchant solutions increased by 5.8% year-on-year, reflecting strong capabilities in digital business and efficiency enhancement[13]. - The company continues to expand its market presence in under-served regions, particularly in North China and Southwest areas[11]. - The number of brand stores served increased from over 13,000 at the end of 2023 to over 18,000 by June 30, 2024, representing a year-on-year growth of approximately 35%[14]. - The overseas payment business grew rapidly, with GPV in Singapore increasing by over 50% year-on-year[12]. - The company has expanded its overseas market presence, providing digital merchant solutions to over 20,000 stores across Southeast Asia, including brands like Starbucks and New Balance[16]. Financial Position - The asset-liability ratio decreased to 41.1% as of June 30, 2024, due to the early repurchase of convertible bonds using internal cash flow[5]. - Total assets decreased from RMB 8,420.4 million as of December 31, 2023, to RMB 7,575.1 million as of June 30, 2024, while total liabilities decreased from RMB 5,803.0 million to RMB 4,993.8 million during the same period[47]. - The debt-to-asset ratio improved from 68.9% as of December 31, 2023, to 65.9% as of June 30, 2024[47]. - Cash and cash equivalents decreased by 23.0% from RMB 887.9 million as of December 31, 2023, to RMB 683.7 million as of June 30, 2024, mainly due to cash used for repurchasing convertible bonds[48]. - The company maintains a strong cash position to meet potential business expansion and development needs[48]. Shareholder Actions - The company repurchased $35 million of convertible bonds at a discount in the first half of 2024 to optimize its capital structure[18]. - A total of $10 million has been approved for share buybacks to enhance shareholder returns[18]. - The company repurchased a total of 1,448,400 shares, representing 0.33% of the issued shares as of the report date, signaling confidence in future growth[20]. - The company has not declared an interim dividend for the six months ending June 30, 2024, consistent with the previous period[55]. Governance and Compliance - The company has complied with most of the corporate governance code provisions, except for the separation of the roles of the chairman and CEO[81]. - All directors confirmed compliance with the standard code of conduct for securities transactions from the last report until June 30, 2024[82]. - The company has adopted a written guideline for employees regarding securities transactions to prevent insider trading[82]. Employee and Management Changes - The company appointed a new executive director, Ms. Liang Shengtian, effective June 5, 2024[72]. - As of June 30, 2024, the company employs 1,015 staff members, primarily located in China, with a focus on attracting and retaining qualified talent[56]. Future Outlook - The company aims to maintain its market leadership in one-stop payment services while expanding its international business and leveraging AI tools for greater efficiency[19]. - Future guidance indicates a projected revenue growth of 20% for the second half of 2024, aiming for HKD 1.5 billion[190]. - Overall, Yeahka remains optimistic about the growth trajectory, citing strong demand for digital payment solutions in the post-pandemic landscape[190].

Investment Rating - The report maintains a "Buy" rating for the company [1][3] Core Insights - The company has experienced a decline in revenue due to macroeconomic factors affecting its payment business, but growth in merchant solutions has offset some of these losses [2][3] - The overseas payment business is expanding, with significant growth in Singapore, while the company is adjusting its in-store business strategy to focus on higher profitability [2][3] - The company is expected to achieve breakeven in its in-store e-commerce segment by the second half of 2024 [2] Financial Performance Summary - For H1 2024, the company reported revenue of 1.578 billion yuan, a year-over-year decrease of 23.5%, with a gross profit of 300 million yuan, down 18.0% [2] - The net profit for H1 2024 was 33 million yuan, showing a year-over-year increase of 7.3% [2] - Non-GAAP EBITDA for H1 2024 was 163 million yuan, down 43.9% year-over-year [2] Business Segment Analysis - The one-stop payment service revenue decreased by 26.6% to 1.35 billion yuan in H1 2024, primarily due to a 17.8% decline in total GPV [2] - Merchant solutions revenue grew by 21.2% to 202 million yuan, with an increase in active merchants by 5.8% [2] - The in-store e-commerce service revenue fell by 51.9% to 29 million yuan, attributed to a strategic shift towards more profitable clients [2] Future Projections - Revenue projections for 2024-2026 are estimated at 3.418 billion yuan, 3.992 billion yuan, and 4.521 billion yuan respectively, with net profits expected to be 118 million yuan, 275 million yuan, and 399 million yuan [3][4] - The diluted EPS is projected to be 0.34 yuan, 0.78 yuan, and 1.14 yuan for the years 2024, 2025, and 2026 respectively [4]

Investment Rating - The report maintains a "Buy" rating for the company with a target price adjusted to HKD 12.0, down from HKD 14.3 [5][3]. Core Insights - The company's total revenue for the first half of 2024 decreased by 23% year-on-year, with payment business GPV and revenue declining by 18% and 27% respectively. However, the increase in the proportion of merchant solutions revenue has led to an improvement in overall gross margin [2][3]. - The report anticipates that payment revenue will stabilize in the second half of 2024, projecting adjusted net profits of RMB 250 million and RMB 320 million for 2024 and 2025 respectively [3][2]. Financial Performance Summary - Total revenue for the first half of 2024 was RMB 1.58 billion, with a year-on-year decline of 23%. The one-stop payment service revenue fell by 27% to RMB 1.35 billion, accounting for 85% of total revenue. Merchant solutions revenue increased by 21% to RMB 200 million, raising its share to 13% [2][3]. - Gross profit decreased by 18% to RMB 300 million, with merchant solutions contributing 61% and one-stop payment contributing 31% to gross profit. The overall gross margin improved to 19% due to the higher margin of merchant solutions [2][3]. - The company reported a net profit of RMB 31.6 million, a decline of 5% year-on-year, with adjusted EBITDA falling by 44% to RMB 160 million, primarily due to the drop in payment revenue and adjustments in non-recurring income [2][3]. Business Segment Analysis - Payment business GPV for the first half of 2024 was RMB 1.2 trillion, down 18% year-on-year. The overall payment fee rate was 12.3 bps, compared to 14.1 bps in the first half of 2023 [2][3]. - The number of active merchants in the merchant solutions segment reached approximately 1.6 million, a year-on-year increase of 6%, indicating improved penetration into payment merchants [2][3]. - The e-commerce service segment reported a revenue decline of 52% to RMB 29 million, but the net loss narrowed to RMB 15.6 million, reflecting an optimization in the business model [2][3]. Future Outlook - The report expects macroeconomic consumption to remain weak in July and August, but anticipates a slowdown in the year-on-year decline of payment business GPV to 8% in the second half of 2024, with payment revenue expected to stabilize [3][2]. - The company has announced a USD 10 million share buyback plan to enhance shareholder returns, which may provide some support for the stock price [3][2].

Investment Rating - The investment rating for the company is Neutral [2][7]. Core Insights - The company reported a revenue of 1.6 billion RMB in the first half of 2024, a year-on-year decrease of 29%, primarily due to a decline in payment transaction scale [1]. - Payment transaction volume remained stable year-on-year, but the transaction scale was impacted by a decrease in average transaction amount [1]. - The company is focusing on enhancing its one-stop merchant services based on payment solutions and leveraging AI technology for service improvement and overseas expansion [1]. Financial Performance Summary - In the first half of 2024, the company's revenue was 1.578 billion RMB, down 23% from the previous half [4]. - The adjusted net profit for the same period was 159 million RMB, reflecting a 29% year-on-year decline [4]. - The gross payment volume (GPV) for the first half of 2024 was 1.166 trillion RMB, a decrease of 18% year-on-year [4]. - The company expects a recovery in payment scale in the second half of 2024, with projected GPV and revenue of 2.4 trillion RMB and 28 billion RMB, respectively [1][5]. Valuation - The target price has been adjusted to 13 HKD from 14 HKD, based on a 14x P/E ratio for comparable payment and SaaS companies in 2025 [1]. - The potential upside from the current share price is estimated at 21.5% [1][7]. Business Segment Performance - Merchant solutions revenue increased by 21% year-on-year, with active merchant numbers rising by 5.8% [1]. - The gross margin for merchant solutions improved by 3 percentage points to 91% [1]. - The company is focusing on profitable merchants in its in-store e-commerce segment, which has led to a reduction in losses [1]. Financial Forecast - Revenue is expected to decline by 15.8% in 2024, followed by a recovery of 14.3% in 2025 [2]. - The net profit forecast for 2024 is 126 million RMB, with significant growth anticipated in subsequent years [2][5]. - The company aims to maintain a high gross margin for merchant solutions, driven by merchant expansion and increased average payments [1].

Investment Rating - The report maintains an "Accumulate" rating for the company [5]. Core Views - The company's payment business has experienced a decline in both volume and pricing, which is the primary reason for the decrease in performance. The acceleration of overseas business expansion is expected to become a new growth point [2][5]. Summary by Sections Financial Performance - For the first half of 2024, the company reported revenue of 1.578 billion RMB, a year-on-year decrease of 23.49%. The net profit was 33 million RMB, an increase of 7.35% year-on-year. The payment business revenue was 1.347 billion RMB, down 27% year-on-year, with a gross payment volume (GPV) decline of 17.8% to 11.7 trillion RMB [5]. - The payment fee rate decreased to 0.123% in the first half of 2024, compared to 0.141% in the first half of 2023 and 0.125% in the second half of 2023 [5]. - The merchant solutions business saw a revenue increase of 21.2% to 202 million RMB, with the number of active merchants growing by 5.8% year-on-year. The gross margin improved from 87.6% in the same period of 2023 to 90.9% [5]. - The in-store e-commerce business generated 29 million RMB, down 52% year-on-year, as the company phased out less profitable merchants, leading to a significant improvement in gross margin, which increased by 4.6% to 81.5% [5]. Growth Catalysts - The company is rapidly expanding its overseas payment business, with GPV in Singapore growing by over 50% year-on-year. The company aims to leverage its extensive merchant cooperation experience and technology to continue expanding in the overseas payment market [5]. - The in-store e-commerce business is expected to turn profitable in the second half of the year as the company optimizes its input-output ratio [5].

Financial Performance - Total payment transaction volume (GPV) for the six months ended June 30, 2024, was RMB 116.62 billion, a decrease of 17.8% compared to RMB 141.92 billion for the same period in 2023[2]. - Revenue for the six months ended June 30, 2024, was RMB 1,577.7 million, down 23.5% from RMB 2,062.2 million in the same period of 2023[2]. - Profit for the six months ended June 30, 2024, was RMB 32.6 million, exceeding the full-year profit of RMB 30.4 million for 2023[6]. - Gross profit for the period was RMB 300,219 thousand, down 18.0% from RMB 366,001 thousand year-on-year, with a gross margin of 19.0%[7]. - Operating profit decreased to RMB 56,842 thousand from RMB 94,056 thousand, indicating a decline of 39.5%[65]. - The company reported a net profit of RMB 32,580 thousand, slightly up from RMB 30,350 thousand, showing a year-on-year increase of 4.1%[66]. - Adjusted EBITDA decreased by 43.9% from RMB 290.9 million for the six months ended June 30, 2023, to RMB 163.3 million for the same period in 2024[44]. Revenue Breakdown - Contribution from non-payment services increased from 11.0% of total revenue in the six months ended June 30, 2023, to 14.6% in the same period of 2024[2]. - One-stop payment service revenue decreased by 26.6% to RMB 1,346,561 thousand, while merchant solutions revenue increased by 21.2% to RMB 202,319 thousand[7]. - The gross profit margin for non-payment services increased from 52.6% in the first half of 2023 to 69.1% in the first half of 2024[5]. - The number of active merchants using merchant solutions increased by 5.8% year-on-year, reflecting strong capabilities in digital business and efficiency improvement[10]. - In-store e-commerce service revenue decreased by 51.9% year-on-year, but the gross margin increased by 4.6 percentage points to 81.5%[12]. Cost Management - Sales and administrative expenses decreased by 11.2% for the six months ended June 30, 2024, compared to the same period in 2023[6]. - Operating costs reduced by 24.7% from RMB 1,696.2 million to RMB 1,277.5 million, primarily due to a decrease in commission and fees associated with the decline in GPV[27]. - Sales expenses decreased by 36.9% from RMB 82.9 million to RMB 52.3 million, mainly due to broader applications of artificial intelligence and reduced employee benefits and outsourcing costs[31]. - The company reported a decrease in commission and marketing costs to RMB 1,199,748 thousand for the six months ended June 30, 2024, down from RMB 1,625,299 thousand in the same period of 2023, a reduction of approximately 26.2%[94]. Asset and Liability Management - The asset-to-liability ratio decreased to 41.1% as of June 30, 2024, due to early redemption of convertible bonds using internal cash flow[2]. - Total assets decreased from RMB 8,420.4 million as of December 31, 2023, to RMB 7,575.1 million as of June 30, 2024, while total liabilities decreased from RMB 5,803.0 million to RMB 4,993.8 million during the same period[45]. - The debt-to-asset ratio improved from 68.9% as of December 31, 2023, to 65.9% as of June 30, 2024[45]. - Cash and cash equivalents decreased by 23.0% from RMB 887.9 million as of December 31, 2023, to RMB 683.7 million as of June 30, 2024, mainly due to cash used for the repurchase of convertible bonds[46]. - The total debt as of June 30, 2024, amounted to RMB 1,101.2 million, down from RMB 1,237.0 million as of December 31, 2023[48]. Shareholder Returns and Capital Structure - A total of $10 million has been approved for share buybacks to enhance shareholder returns[16]. - The company repurchased $35 million of convertible bonds at a discount in the first half of 2024, aiming to reduce interest expenses and optimize capital structure[16]. - The company has redeemed all $70 million of 6.25% convertible bonds due in 2027, significantly reducing interest expenses[18]. - The controlling shareholder has purchased 1,448,400 shares, representing 0.33% of the issued shares, reflecting confidence in the company's future prospects[17]. International Expansion - International payment business in Singapore saw GPV growth of over 50% year-on-year, with significant client acquisitions including luxury brands[9]. - The company serves over 20,000 stores across Southeast Asia, including brands like Starbucks and New Balance, enhancing profit quality through high customer payment willingness[14]. - The company aims to maintain its market leadership in one-stop payment services while expanding its international business and leveraging AI tools for commercialization[17]. Technology and Innovation - The company has enhanced its AI-driven products and services, improving operational efficiency and reducing costs[6]. - AI-driven products and services have improved operational efficiency, with customer service automation efficiency exceeding 80%[15]. - The company has established a strong foundation for international expansion supported by technology layout and merchant service insights[17]. Governance and Compliance - The company has adopted the corporate governance code principles to promote effective internal controls and high ethical standards, ensuring compliance with applicable laws and regulations[123]. - The board of directors has confirmed compliance with the standard code for securities trading by directors, with no violations reported since the last report until June 30, 2024[124]. - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited interim financial information for the six months ending June 30, 2024[125]. Risk Management - The company’s risk management plan focuses on minimizing potential adverse effects on financial performance due to market unpredictability[75]. - There have been no significant changes in risk management policies since December 31, 2023[75].