Financial Performance - The company's net revenue for the year ending December 31, 2024, was HKD 36.17 billion, an increase of HKD 6.64 billion or 22.5% compared to HKD 29.53 billion for the same period in 2023[40] - Adjusted EBITDA for the year was HKD 9.03 billion, up from HKD 7.51 billion in the previous year[39] - The loss attributable to the company's owners was HKD 780 million, significantly reduced from HKD 1.74 billion in 2023[39] - Casino revenue rose by 22.2% from HKD 24,090.4 million in 2023 to HKD 29,432.3 million in 2024, with hotel room revenue increasing by 24.5% and food and beverage revenue increasing by 36.4%[106] - Total operating revenue for Melco Resorts increased to $4,640,000,000 in 2024 from $3,780,000,000 in 2023, representing a growth of 22.8%[115] - Adjusted property EBITDA for Melco Resorts reached $1,220,000,000 in 2024, up from $1,040,000,000 in 2023, marking a 17.3% increase[116] - Net income attributable to Melco Resorts was $43,500,000 in 2024, a significant recovery from a net loss of $326,900,000 in 2023[116] Strategic Expansion and Development - The company is set to launch the highly anticipated "The House of Dancing Water" show in May 2025, enhancing the tourism experience at City of Dreams[41] - The company plans to open a new casino at City of Dreams Sri Lanka in Q3 2025, expanding its brand and customer base[41] - The group anticipates the opening of City of Dreams Sri Lanka in Q3 2025, which is expected to be a light capital investment project with significant returns[59] - The group is exploring strategic options for City of Dreams Manila to optimize investments and effectively reallocate resources[59] - The group continues to invest resources to enrich its cultural, leisure, and tourism projects in Macau, including the return of the acclaimed water show "The House of Dancing Water" to enhance the tourism experience[75] Sustainability and Corporate Social Responsibility - The group has received recognition for its community initiatives, winning awards for best corporate social responsibility programs[25] - The group is committed to achieving carbon neutrality and reducing waste and water consumption as part of its sustainability goals[45] - The group made charitable contributions of approximately HKD 135.7 million in 2024, with nearly 3,600 volunteer hours contributed by employees globally[44] - The company was awarded the "ESG Best Performance Award - Merit" and "Theme Award - Merit" at the BDO ESG Awards 2024, recognizing its outstanding performance in sustainability[101] - The group won the "Best Overall Corporate Social Responsibility Program" and "Best Corporate Social Responsibility Initiative" at the IAG Academy IR Awards for its "Small Kindness, Big Love" initiative[98] Operational Improvements and Guest Experience - The gradual improvement in operations is attributed to the recovery of inbound tourists to Macau and the opening of new facilities[40] - The group is focusing on enhancing guest experiences and has introduced new entertainment facilities, including the first Dolby Cinema in Hong Kong and Macau[56] - The upgraded membership program offers exclusive benefits and personalized experiences to guests, aimed at increasing property attractiveness and foot traffic[56] - The group has implemented significant property upgrades that have improved guest satisfaction and overall financial performance[57] - The company continues to enhance guest experiences at Studio City through the addition of new facilities and attractions, including the opening of the first Dolby Cinema in Hong Kong and Macau[67] Environmental Impact - Greenhouse gas emissions increased from 17,688 MtCO2e in 2022 to 20,770 MtCO2e in 2023, and are projected to reach 28,675 MtCO2e in 2024[46] - Total energy consumption rose from 390,278 MWh in 2022 to 470,030 MWh in 2023, with a forecast of 536,449 MWh in 2024[47] - The total amount of waste generated increased from 7,680 tons in 2022 to 15,633 tons in 2023, expected to reach 20,996 tons in 2024[48] Corporate Governance and Leadership - The company emphasizes maintaining high levels of corporate governance to ensure responsible decision-making and improve transparency to shareholders[178] - The corporate governance framework is designed in accordance with applicable laws and listing rules, with regular reviews by the board of directors[179] - The board of directors consists of six members, with three executive directors and three independent non-executive directors, ensuring compliance with independence regulations[192] - The independent non-executive directors play a crucial role in maintaining financial reporting standards and safeguarding shareholder interests[198] - The company has established a code of conduct to ensure the highest ethical standards are upheld across all employees[181] Employee Development and Community Engagement - The company emphasizes the importance of talent and diversity in its workforce, aiming to create a supportive work environment[156] - The group is committed to providing training and development opportunities to enhance employee skills and performance[159] - The company continues to focus on supporting local SMEs through various initiatives, enhancing communication platforms to better understand their needs and services[100] - The company has implemented training programs for new employees to instill its culture and values, with ongoing monitoring of cultural promotion effectiveness[190] Market Performance and Recognition - The group has received eight Michelin stars across its five fine dining establishments, reaffirming its status as a leader in Macau's culinary scene[77] - The group received a record 107 stars in the 2025 Forbes Travel Guide, with 19 properties awarded five-star honors, reinforcing its leadership in the integrated resort sector in Macau and Asia[86] - The group was recognized as one of the top ten best integrated resorts in the Asia-Pacific region by Travel + Leisure in 2024[91] - The group’s City of Dreams Mediterranean won two awards at the 2024 World Luxury Hotel Awards, showcasing its growing influence in the global market[91]

Financial Performance - The total gross merchandise volume (GMV) reached RMB 15.08 billion, solidifying the company's leading position in the industry[5] - Revenue for the reporting period was approximately RMB 1.25 billion, an increase of about 16.4% compared to RMB 1.07 billion for the same period last year[10] - Net profit was approximately RMB 70 million, a decrease of 36.6% year-on-year, while adjusted net profit was about RMB 120 million, down 32.4%[10] - The group's total revenue increased by approximately 16.4% to about RMB 1.25 billion, up from RMB 1.07 billion in the previous year[18] - Revenue from the new media services segment accounted for approximately 91.0% of total revenue, growing from about RMB 988.73 million to RMB 1.14 billion[19] - The broadcasting business segment's revenue rose from approximately RMB 85.6 million to about RMB 112.4 million, representing a growth in contribution to total revenue from 8.0% to 9.0%[20] - The group's gross profit for the reporting period was approximately RMB 606.7 million, up about 7.0% from approximately RMB 566.9 million in the same period last year, with a gross margin of 48.5% compared to 52.8% last year[24] - The gross margin of the new media services segment decreased from approximately 54.0% in the same period last year to approximately 50.5% during the reporting period[25] Operational Strategy - The company aims to optimize cost structure and enhance operational efficiency to address market challenges and improve profitability[10] - The company has developed an AI-driven intelligent operation system for live e-commerce, enhancing supply chain efficiency and user engagement[6] - The strategic focus includes deepening AI and big data applications to improve product selection accuracy and operational efficiency[7] - The company plans to explore new cross-border trade models to capitalize on global e-commerce market growth trends[7] - The company is focusing on refined operations and profitability optimization to achieve sustainable high-quality development amid rising costs and market competition[11] - The smart middle platform "Friend Cloud" has been fully upgraded to achieve end-to-end digital management, significantly enhancing operational efficiency through AI technology[13] - The introduction of the "live streaming + science popularization" model has expanded the boundaries of live commerce into the high-tech sector, enhancing consumer trust in domestic technology brands[13] Cost and Expenses - The group's sales costs increased by approximately 26.9% to about RMB 643.8 million, up from RMB 507.4 million in the previous year[21] - The sales cost of the new media services segment increased from approximately RMB 454.8 million in the same period last year to approximately RMB 563.9 million during the reporting period, representing a growth of about 24.0%[22] - The sales cost of the broadcasting business segment rose from approximately RMB 52.6 million in the same period last year to approximately RMB 79.9 million during the reporting period, an increase of about 51.9%[23] - Administrative expenses rose from approximately RMB 173.6 million in the same period last year to approximately RMB 192.5 million during the reporting period, an increase of about 10.9%[28] Profitability and Cash Flow - The profit attributable to the owners of the company for the reporting period was approximately RMB 81.7 million, down from approximately RMB 119.5 million in the same period last year[32] - The net cash outflow from operating activities during the reporting period was approximately RMB 27.6 million, compared to a net inflow of approximately RMB 183.0 million in the same period last year[35] - The net financial expenses decreased from approximately RMB 13.3 million in the same period last year to approximately RMB 8.2 million during the reporting period, a reduction of about 38.3%[30] Share Incentive Plan - The 2022 Share Award Scheme allows for a maximum of 131,127,099 shares to be issued, representing 9.47% of the total issued shares as of the report date[45] - The maximum number of shares that can be awarded to participants under the 2022 Share Award Scheme is capped at 1% of the issued share capital as of December 8, 2022[48] - The company granted a total of 15,169,920 incentive shares on April 10, 2024, and 3,913,610 incentive shares on October 10, 2024, under the 2022 Share Incentive Plan[55] - The fair value of the incentive shares granted in the first half of 2024 is estimated at HKD 22,299,782, while the second half is estimated at HKD 4,618,060[56] - The total number of unvested shares as of December 31, 2024, is 12,022,968, representing approximately 12.6% of the total shares granted[60] - The total number of shares granted under the 2022 share incentive plan is 95,052,480, with 60,562,488 shares currently vested[63] - The company has a vesting schedule that includes 30% for shares granted on various dates, with specific vesting periods outlined[58] Governance and Compliance - The company is committed to compliance management innovations, ensuring a robust risk warning mechanism across its operations[6] - The company has established long-term cooperative relationships with its suppliers[130] - The company actively seeks customer feedback to ensure continuous improvement in service quality[129] - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[135] - The company has adhered to the corporate governance code and all its provisions for the fiscal year ending December 31, 2024[136] - The roles of the chairman and the CEO are clearly separated to ensure distinct responsibilities[145] - The company has established a securities trading code applicable to all directors and relevant employees[138] Risk Management - The company faces significant risks including technological lag, which could impact operational efficiency and long-term competitiveness[184] - The company has implemented strict supplier admission reviews and dynamic product qualification checks to ensure compliance and quality of listed products[187] - The legal compliance department actively tracks e-commerce regulations to ensure operations meet legal requirements and protect intellectual property rights[188] - The company has established a closed-loop mechanism for intellectual property protection, focusing on prevention, monitoring, and enforcement[188] - The board and senior management are responsible for evaluating and determining the nature and extent of risks undertaken to achieve strategic objectives[182] Leadership and Management - Mr. Li Liang was appointed as CEO and Chairman of the Investment Committee on December 5, 2024, and holds 44,628,200 shares, representing approximately 3.21% of the total issued shares[66] - Mr. Lu Zhisen, the founder and Executive Director, has over 36 years of experience in the broadcasting and television industry, contributing to the overall business strategy and operations of the group[69] - Ms. Zhao Huili, appointed as Executive Director on September 29, 2021, holds 1,000,000 shares, representing about 0.07% of the total issued shares, and has been granted 1,200,000 incentive shares under the 2022 Share Incentive Plan[70] - The company has a diverse board with members holding significant shares and extensive industry experience, enhancing its governance and strategic direction[66][67][68][70][72][73][74] Employee and Board Diversity - The company emphasizes equal employment opportunities and non-discrimination across all levels[173] - The company has achieved its targets of at least 10% female directors, 50% female senior management, and 50% female employees[173] - The current board composition includes 6 male directors and 1 female director, with age distribution across various ranges[169] - The gender ratio among employees shows 14.3% female directors, 66.7% female senior management, and 53.9% female employees overall[173] Shareholder Relations - The group did not recommend the distribution of a final dividend for the year ending December 31, 2024 (2023: none) [83] - The company repurchased a total of 6,188,000 ordinary shares at a total cost of HKD 7,952,000 (approximately RMB 7,364,000) during the reporting period [89] - The board believes that the share buyback demonstrates confidence in the company's business outlook and will ultimately benefit the company and create value for shareholders [90]

Financial Performance - In 2024, the company achieved a net profit of RMB 36.5 million, a significant increase of 308.1% year-on-year, marking a turnaround from previous losses [9]. - The overall gross margin for 2024 was 30.0%, an increase of 3.7 percentage points compared to 2023, despite a decrease in revenue scale [11]. - In 2024, the company's total revenue was RMB 1,348.4 million, a decrease of 22.3% compared to the previous year, primarily due to strategic optimization of existing brands and channels, and a decline in consumer confidence in the Chinese market [17]. - Operating profit for 2024 was RMB 27.8 million, a significant improvement from an operating loss of RMB 7.9 million in 2023, primarily due to reduced operating expenses and improved inventory turnover [28]. - The company achieved earnings per share of RMB 0.23 in 2024, compared to a loss per share of RMB 0.11 in 2023 [29]. - The company reported a financial income of RMB 10,410 thousand in 2024, up from RMB 4,802 thousand in 2023 [191]. - The total operating costs decreased to RMB 943,705 thousand in 2024 from RMB 1,279,245 thousand in 2023, contributing to improved profitability [191]. - The company declared dividends amounting to RMB 37,644 thousand in 2024, compared to RMB 18,203 thousand in 2023, reflecting an increase of approximately 106.7% [199]. Revenue and Sales - The sales volume of the Ansu brand's fly bait exceeded 750,000 bottles in 2024, representing a growth of 40% year-on-year [10]. - The sales revenue of adult personal care products decreased by 20.6% year-on-year, while infant personal care products saw a decline of 35.6%, mainly due to market demand reduction and increased competition [21]. - The health product sales revenue decreased by 21.3% year-on-year, impacted by brand events and stock shortages, although a new anti-aging health food brand was successfully launched in the second half of 2024 [21]. - Total revenue for the year ended December 31, 2024, was approximately RMB 1,336,824,000, with B2B sales contributing RMB 649,007,000 and B2C sales contributing RMB 687,817,000 [180]. Inventory and Cash Management - The company’s inventory as of December 31, 2024, was RMB 265.0 million, down 5.2% from RMB 279.6 million in the previous year [11]. - Cash and cash equivalents increased to RMB 438.6 million as of December 31, 2024, up by RMB 100.2 million from RMB 338.4 million in 2023 [30]. - Net cash generated from operating activities was RMB 172.2 million, reflecting improved cash flow management and inventory turnover [31]. Operational Efficiency and Strategy - The company continues to optimize its business structure by terminating low-margin business collaborations to enhance operational efficiency [11]. - The company is focused on leveraging digital tools to improve efficiency across various business segments [11]. - The company plans to strengthen its profitable business scale and profit through the establishment of an AI task force and the integration of AI technologies into its operations [15]. - The group plans to implement a "Efficiency Revolution" in its existing e-commerce operations, focusing on refined operations, cost reduction, and enhanced AI technology application [45]. Market Position and Brand Development - The new product "Morning Day and Night Pants" from the Sofy brand ranked TOP 1 in Tmall's new sanitary napkin product list for the 38th anniversary [10]. - The Kose Cosmeport brand's cleansing oil achieved TOP 1 in Tmall's imported cleansing oil repurchase list during the Double Eleven shopping festival [10]. - The company was recognized as a "Five-Star Operating Service Provider" and "Super V-Partner" by Tmall for its operational capabilities [10]. Corporate Governance and Compliance - The company has established three board committees, including the audit committee, remuneration committee, and nomination committee, to oversee specific areas of governance [128]. - The company is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value [124]. - The independent auditor's report confirmed that the consolidated financial statements fairly reflect the group's financial position as of December 31, 2024 [177]. - The company has complied with all relevant laws and regulations that significantly impact its business and operations during the reporting period [108]. Employee Relations and Diversity - The group has maintained stable employee relations without significant strikes or labor disputes affecting business activities [40]. - The group is committed to providing competitive compensation packages to retain employees, including salaries, discretionary bonuses, and benefits plans [40]. - As of December 31, 2024, female employees represent approximately 73.7% of the total workforce, including senior management [136]. - The company emphasizes gender diversity at all levels, particularly in the boardroom, and is committed to providing career development opportunities for employees [136]. Future Outlook and Challenges - The external environment for 2025 remains uncertain, with unfavorable factors such as international instability and weak consumer sentiment [44]. - The group is confident in navigating uncertainties in 2025, leveraging its accumulated operational experience and professional expertise [44]. - The company aims to explore overseas business development opportunities in North America and Southeast Asia, leveraging its mature e-commerce operational capabilities [15].

Financial Performance - The company reported a net loss of HKD 194.7 million for the year ending December 31, 2024, compared to a net loss of HKD 84.5 million for the previous year, primarily due to unrealized fair value losses of HKD 43 million and share of losses from associates amounting to HKD 60.6 million [6]. - Brokerage commission income from securities trading decreased by 8.3% to HKD 1.1 million, down from HKD 1.2 million in the previous year [8]. - Interest income from margin financing services fell by 58.3% to HKD 9.3 million, compared to HKD 22.3 million in the previous year [8]. - The group recorded total revenue of HKD 36.1 million, a decrease of 40.0% from HKD 60.2 million in the previous year, with financial services segment revenue at HKD 10.5 million [37]. - The group reported a net loss of HKD 194.7 million, compared to a net loss of HKD 84.5 million in the previous year, with basic and diluted loss per share at HKD 0.0315 [38]. - As of December 31, 2024, the group's total assets were HKD 3,217.8 million, down from HKD 3,888.4 million in 2023, and net assets were HKD 3,036.2 million [39]. - The group's cash and cash equivalents stood at HKD 282.4 million as of December 31, 2024, compared to HKD 348.1 million in 2023, maintaining a strong liquidity position with a current ratio of 7.1 [42]. - The company reported a reserve available for distribution to shareholders of approximately HKD 2,679,176,000 as of December 31, 2024, down from HKD 3,356,198,000 in 2023, representing a decrease of about 20.1% [73]. Credit Risk Management - The company maintains a unique lending model focusing on high-quality borrowers, including listed companies and individuals with valuable assets, ensuring low credit risk [9]. - The credit committee, consisting of two directors with over 20 years of experience in finance and credit, is responsible for assessing credit risks and approving loan applications [11]. - The company has implemented internal controls for credit risk assessment, requiring potential borrowers to disclose financial information and undergo legal due diligence [12]. - Loan terms are tailored based on the borrower's financial needs and credit risk assessment, with interest rates reflecting market conditions [13]. - The company actively monitors loan repayment status and communicates with borrowers to address any repayment difficulties [15]. - In cases of overdue loans, the company contacts borrowers to remind them of potential legal actions and seeks to understand the reasons for delays [16]. - As of December 31, 2024, the total net receivables from loans amounted to HKD 626,300,000, a significant increase from HKD 272,500,000 in 2023 [20]. - Interest income from receivables for the year was HKD 28,900,000, representing a 97.9% increase compared to HKD 14,600,000 in the previous year [21]. - The impairment provision for outstanding loans and interest increased to HKD 40,800,000 from HKD 11,100,000 in 2023, reflecting a rise of HKD 29,700,000 [25]. - New loans and interest classified as performing amounted to HKD 492,600,000, with a provision for losses of HKD 12,800,000 [29]. - The company provided attractive interest rates as low as 3% to maintain good relationships with borrowers who met satisfactory credit assessment results [21]. - The company has established a credit risk classification system to evaluate each receivable loan individually [24]. Investment Performance - The tactical and strategic investments segment reported a loss of HKD 46,300,000 for the year, compared to a loss of HKD 26,500,000 in the previous year [28]. - The company has a diversified investment portfolio, with significant holdings in listed and unlisted shares, including a 12.52% stake in Shengjing Bank [30]. - The company plans to consider liquidating certain investments based on internal resource requirements and alternative investment opportunities [28]. - The largest borrower accounted for HKD 59,800,000, approximately 9.5% of total receivables, while the top five borrowers collectively represented 41.6% of total receivables at HKD 260,300,000 [22]. Corporate Governance - The board of directors includes a mix of executive and independent non-executive members, ensuring compliance with independence guidelines [74]. - The audit committee consists of four independent non-executive directors and is responsible for reviewing the financial reporting process and internal controls [129]. - The board is responsible for overseeing the company's management, business strategies, policies, and annual budgets, ensuring effective governance [139]. - The company has complied with the corporate governance code as per the listing rules during the fiscal year ending December 31, 2024 [135]. - The nomination committee evaluates the independence of non-executive directors annually to ensure effective governance [151]. - The company has established procedures for directors to seek independent professional advice at the company's expense when necessary [139]. - The board actively participates in the subsidiary and associate companies' board meetings to ensure alignment with the company's overall strategy [148]. - The board emphasizes the importance of diversity, with 57% male and 43% female employees as of December 31, 2024 [175]. Employee Compensation and Shareholder Relations - The company continues to prioritize employee compensation based on market practices and individual performance, including salaries and discretionary bonuses [51]. - The remuneration policy for employees is determined by the remuneration committee based on performance, qualifications, and capabilities [121]. - The company has not sought shareholder approval to renew the share incentive authorization since it expired on June 12, 2023, resulting in no reward shares being available for issuance in the fiscal year ending December 31, 2024 [98]. - The company has established a shareholder communication policy to ensure effective communication with shareholders [188]. - The board reviewed the implementation and effectiveness of the shareholder communication policy during the year [191]. - The company is committed to enhancing communication with investors and maintaining open dialogue with institutional investors and analysts [188]. ESG Commitment - The company is committed to ESG reporting, covering environmental and social performance for the fiscal year ending December 31, 2024, in accordance with the Hong Kong Stock Exchange's guidelines [197]. - The ESG report includes key performance indicators (KPIs) and compliance with relevant laws and regulations, highlighting the company's operational impact in Hong Kong [199]. - The company emphasizes the importance of stakeholder feedback in assessing the materiality and relevance of ESG issues [200]. - The report outlines the management, measurement, and monitoring systems implemented for ESG strategies, detailing the company's operational priorities and goals [198].

Financial Performance - Revenue for the year ended December 31, 2024, was RMB 1,391,552, a decrease of 9.6% from RMB 1,539,942 in 2023[27]. - Gross profit for 2024 was RMB 786,889, down from RMB 871,436 in 2023, resulting in a gross profit margin of 56.5%[27]. - Profit before income tax decreased to RMB 68,400 in 2024 from RMB 95,156 in 2023[27]. - Profit for the year attributable to owners of the Company increased to RMB 48,247 in 2024 from RMB 20,830 in 2023[27]. - Basic and diluted earnings per share for 2024 were both 2.32 RMB cents, compared to 1.00 RMB cent in 2023[27]. - The net profit margin for 2024 improved to 3.5%, up from 1.4% in 2023[27]. Operational Efficiency - Average inventory turnover improved to 192.7 days in 2024 from 216.0 days in 2023[27]. - Average account receivable turnover increased to 43.0 days in 2024 from 35.9 days in 2023[27]. - Average payable turnover increased slightly to 73.2 days in 2024 from 71.2 days in 2023[27]. - The liquidity ratio for 2024 was 397.6, a slight decrease from 403.9 in 2023[27]. - The company is implementing a digital transformation plan to enhance efficiency in personnel and inventory management, starting in 2025[47]. - The company aims to increase gross profit and reduce inventory levels by 2025[52]. - The Group will continue to optimize its retail network and streamline store operations to avoid excessive inventory accumulation[189][192]. - The Company aims to improve single-store efficiency and control inventory, striving to increase same-store sales growth[200]. Market Trends and Growth Drivers - In 2024, China's GDP reached RMB 134,908.4 billion, marking a year-on-year growth of 5.0%[33]. - The footwear market in China has shown resilience, with increasing consumer demand for diversified and personalized products[34]. - The expansion of the middle class and demand for high-quality branded footwear are key drivers of market growth[37]. - E-commerce has opened new sales channels, significantly boosting sales, especially in second- and third-tier cities[38]. - Rising inflationary pressures are suppressing sales revenue and increasing inventory levels, impacting profitability[41]. - The government plans to implement policies to boost consumption and stabilize household spending, which is expected to enhance consumer market expansion[182][184]. - There are favorable conditions for sustained consumption growth, including stable employment and the expansion of new consumption scenarios[183]. Strategic Initiatives - The company aims to maintain its market leadership through a multi-brand strategy centered on its core brand, C.banner[45]. - The company is committed to innovation, quality, and service as core values to navigate the complex business environment[49]. - The company plans to develop five additional special systems for stores by 2025 to improve operational efficiency[50]. - The company will prioritize the creation of blockbuster products and enhance core products in 2025, shifting from a goods-oriented to a customer-centric approach[57]. - The company is exploring profit models for shopping mall stores, currently operating nearly 90 shopping mall stores, with plans to gradually increase this number[196]. - The Group has strengthened strategic cooperation with chain groups such as SHANSHAN, SASSEUR, and Bailian, planning to open more than 10 new outlet stores in 2025[199]. Corporate Governance and Compliance - The Group has complied with all relevant laws and regulations concerning labor rights, environmental protection, product safety, and health during the year[75]. - The Group is committed to providing a pleasant working environment and competitive remuneration packages to maintain a high employee retention rate[72]. - The Group has established long-term relationships with renowned international brands to ensure high-quality customer service[73]. - The Group's suppliers must meet specific assessment criteria and comply with anti-bribery policies[74]. - The Company is committed to maintaining high standards of corporate governance practices[163]. Shareholder Information - As of December 31, 2024, the Company had reserves available for distribution of approximately RMB584.7 million, up from approximately RMB189.4 million as of December 31, 2023[92]. - The Board did not recommend a final dividend for the year ended 31 December 2024, consistent with the previous year[76]. - The Company has adopted a share award scheme as an incentive for eligible employees[109]. - The Share Award Scheme has a total of 187,000,000 shares available for grant as of both January 1, 2024, and December 31, 2024[159]. - The Company did not enter into any equity-linked agreements during the review period[160].

Financial Performance - For the year ended December 31, 2024, the company reported a loss attributable to equity holders of RMB 213.0 million, compared to a profit of RMB 11.9 million in 2023[11]. - Revenue for the period was RMB 8,608.9 million, a decrease of 21.6% compared to the same period in 2023, driven by a 15.8% decline in new car sales to 27,107 units[13]. - The gross loss for the period was RMB 29.8 million, with a gross loss margin of 0.3%, down from a gross profit margin of 3.8% in 2023[13]. - The company’s after-sales service revenue decreased by 8.4% to RMB 1,154.2 million, while used car sales revenue increased by 2.3% to RMB 431.5 million[13]. - The company recorded a significant increase in used car transactions, achieving a total of 7,673 units sold during the period[23]. - The company’s pre-tax loss for the period was RMB 187.7 million, compared to a profit of RMB 18.0 million in 2023[13]. - Basic and diluted loss per share attributable to ordinary equity holders was RMB 0.36, compared to earnings of RMB 0.02 per share in 2023[12]. - The group achieved a revenue of RMB 8,608.9 million in 2024, with 37 operational outlets as of December 31, 2024[40]. - The group reported a 12.9% year-over-year increase in renewal policy numbers and a 14.8% increase in premiums, despite a competitive market environment[44]. - The group’s revenue for the year ended December 31, 2024, was RMB 8,608.9 million, a decrease of RMB 2,368.9 million or 21.6% compared to the same period in 2023[52]. - New car sales revenue was RMB 7,023.2 million, down RMB 2,272.4 million or 24.4% year-on-year, accounting for 81.6% of total revenue[52]. - The after-sales service revenue was RMB 1,154.2 million, a decrease of RMB 106.3 million or 8.4% year-on-year, representing 13.4% of total revenue[52]. - The used car sales revenue increased to RMB 431.5 million, up RMB 9.8 million or 2.3% year-on-year, contributing 5.0% to total revenue[52]. - The gross profit from dealership sales of used cars was RMB 20.7 million, an increase of 3.9% year-on-year[47]. - The cost of sales and services for the year was RMB 8,638.7 million, a decrease of RMB 1,919.0 million or 18.2% compared to 2023[55]. - The cost of new car sales was RMB 7,503.5 million, down RMB 1,896.1 million or 20.2% year-on-year[55]. - The company recorded a gross loss of RMB 298 million for the year ended December 31, 2024, compared to a gross profit of RMB 420.1 million for the same period in 2023, primarily due to a decline in new car sales profitability[56]. - The gross loss margin for the year ended December 31, 2024, was 0.3%, down from a gross profit margin of 3.8% in 2023[57]. - Other income and net gains increased by 30.4% to RMB 622.3 million for the year ended December 31, 2024, compared to RMB 477.4 million in 2023, driven by improved commission income from automotive financing agency services[58]. - Selling and distribution expenses decreased by RMB 97.8 million to RMB 445.4 million for the year ended December 31, 2024, a decline of 18.0% from RMB 543.2 million in 2023[59]. - Administrative expenses decreased slightly by RMB 2.7 million to RMB 238.5 million for the year ended December 31, 2024, a decrease of 1.1% from RMB 241.2 million in 2023[60]. - The company reported a loss before tax of RMB 187.7 million for the year ended December 31, 2024, compared to a profit before tax of RMB 18.0 million in 2023[62]. - The net loss for the year ended December 31, 2024, was RMB 213.0 million, a significant decline from a profit of RMB 11.9 million in 2023[65]. - Cash inflow from operating activities increased to RMB 523.2 million for the year ended December 31, 2024, compared to RMB 365.7 million in 2023[67]. - Inventory decreased by 20.8% to RMB 1,011.5 million as of December 31, 2024, down from RMB 1,277.5 million in 2023, reflecting improved inventory management[69]. - The company's bank loans and other borrowings decreased by 18.2% to RMB 2,062.9 million as of December 31, 2024, compared to RMB 2,521.1 million in 2023[70]. - The total capital expenditure for the group amounted to RMB 257.5 million for the year ending December 31, 2024, a decrease of RMB 82.2 million from RMB 339.7 million for the year ending December 31, 2023, representing a reduction of approximately 24.2%[73]. - Employee costs decreased by 17.2% to RMB 319.8 million for the year ending December 31, 2024, down from RMB 386.0 million for the previous year, due to active adjustments in personnel and performance schemes[74]. Market Trends - In 2024, the domestic GDP reached RMB 13,490.84 billion, growing by 5.0% year-on-year[28]. - The total retail sales of consumer goods in 2024 amounted to RMB 4,878.95 billion, an increase of 3.5% compared to the previous year[28]. - In Shaanxi Province, the GDP for 2024 was RMB 3,553.88 billion, with a year-on-year growth of 5.3%[29]. - The retail sales of new energy vehicles in Shaanxi Province increased by 36.9% year-on-year in 2024[29]. - In 2024, the production and sales of new energy vehicles reached 12.89 million and 12.87 million units, respectively, marking year-on-year growth of 34.4% and 35.5%[33]. - The market share of new energy vehicles in total vehicle sales reached 40.9%, up by 9.3 percentage points from 2023[33]. - The total number of motor vehicles in China reached 453 million, with 35.3 million being cars, and new registrations of electric vehicles accounted for 41.83% of total new car registrations[34]. - In 2024, Porsche delivered a total of 310,718 vehicles globally, with 56,887 units delivered to Chinese customers, representing 18.31% of its global market share[34]. - BMW Group's sales in China reached 714,530 units in 2024, maintaining its position as the top luxury car seller in the market[35]. - Mercedes-Benz sold 1.9834 million passenger cars in 2024, with over 714,000 units delivered to Chinese customers, continuing to lead the luxury car market[35]. - Audi's global sales for 2024 reached 1.6712 million vehicles, with over 649,000 units delivered in China, a decrease of approximately 11% year-over-year, accounting for 39% of global sales[36]. - BYD's global sales of new energy vehicles in 2024 totaled 4.27 million units, with passenger car sales increasing by 41.1% year-over-year to 4,250,370 units, making it the top seller in the Chinese automotive market[38]. - The total sales of Seres Group's new energy vehicles in 2024 reached 426,885 units, representing a year-over-year growth of 182.84%, with the Wanjie series accounting for 386,300 units, or 90% of total sales[38]. - In 2025, China's total automobile sales are expected to reach 32.9 million units, a year-on-year increase of 4.7%[86]. - The domestic passenger car market is projected to achieve a total sales volume of 28.9 million units in 2025, reflecting a year-on-year growth of 4.9%[86]. - The sales of new energy vehicles in China are anticipated to reach 16 million units in 2025, representing a year-on-year growth rate of 24.4%[86]. Strategic Initiatives - The company introduced competitive new energy brands, which are expected to become a core growth driver in the future[22]. - The company is focusing on enhancing customer service through the establishment of specialized centers in key cities[23]. - The overall replacement rate for used cars improved year-on-year, indicating a positive trend in the used car business[23]. - The group is focusing on enhancing customer satisfaction and loyalty through a digital management platform and customized services[50]. - The group has expanded its used car business by establishing sales centers in Xi'an, Lanzhou, and Yinchuan, leading to increased sales scale in these regions[48]. - The company is actively enhancing its digital infrastructure, implementing advanced technologies such as electronic work badges and large models[92]. - The company plans to continue expanding its network and collaboration with leading new energy brands in key regions like Shaanxi, Gansu, and Ningxia[88]. - The company is exploring new market opportunities and potential acquisitions to expand its market presence and enhance competitive advantage[94]. - The company plans to continue enhancing its talent reserve and management of human resources to align with business volume changes[74]. - The company is committed to providing ongoing training and professional development for its directors to keep them informed of legal and regulatory developments[125]. Governance and Compliance - The company adheres to the corporate governance code, ensuring compliance and regular reviews to protect shareholder interests[110]. - The board is responsible for overall development and strategic approval, ensuring operational and financial performance monitoring[113]. - Independent non-executive directors are encouraged to actively participate in board meetings, ensuring compliance with listing rules[113]. - The company has mechanisms in place for independent opinions to assist the board in fulfilling its responsibilities[113]. - The board conducted an independence assessment for all directors, with satisfactory results reported[113]. - The board of directors held 4 meetings during the reporting period, discussing and approving the overall strategy and policies of the company[118]. - All directors attended the board meetings with a 100% attendance rate, ensuring active participation in decision-making[119]. - The company has no significant uncertainties that could cast doubt on its ability to continue as a going concern[126]. - The independent non-executive directors are deemed independent and have no relationships that could significantly interfere with their independent judgment[117]. - The company has adopted corporate governance codes to ensure compliance with legal and regulatory requirements[125]. - The board reviewed and approved the audited annual results for the year ending December 31, 2023, and the unaudited interim results for the six months ending June 30, 2024[118]. - The company has established a risk management and internal control system, which was reviewed during the board meetings[118]. - The board consists of 2 female directors and 5 male directors, meeting the requirement of at least one different gender director as per listing rules[129]. - The current gender diversity in the board is 28.57% female, with 25% of senior management being female, and 39.6% of the total workforce being female[132]. - The company has appointed three independent non-executive directors, fulfilling the requirement that they constitute at least one-third of the board[139]. - The audit committee is composed of three independent non-executive directors, responsible for reviewing the financial reporting process and risk management[141]. - The company has established a board diversity policy, which considers various factors such as gender, age, and professional experience in board member selection[129]. - The board has formed four committees: audit, remuneration, nomination, and finance and investment, each with clear written terms of reference[140]. - The company has purchased directors' liability insurance for all directors[128]. - The chairman and CEO positions are separated, with Mr. Hu Delin serving as the chairman and Ms. Zhao Min as the CEO[135]. - The nomination committee is responsible for the selection and appointment of directors, ensuring they possess the necessary skills and experience[133]. - The audit committee held 2 meetings during the reporting period, with a 100% attendance rate from all members present[142]. - The remuneration committee reviewed the remuneration packages for senior management, with 2 individuals earning between RMB 0-500,000 and 1 individual earning between RMB 500,001-1,000,000 for the year ending December 31, 2024[150]. - The nomination committee confirmed the diversity of the board, including two female members and members with deep understanding of automotive dealerships and financial experience[156]. - The finance and investment committee held 1 meeting during the reporting period, with a 100% attendance rate from all members present[158]. - The audit committee reviewed the annual financial statements for the year ending December 31, 2023, and the interim financial statements for the six months ending June 30, 2024[143]. - The remuneration committee recommended the reappointment of Chen Wei as an executive director, along with her remuneration and contract terms[151]. - The finance and investment committee evaluated the independence of independent non-executive directors during the reporting period[159]. - The audit committee discussed the performance and effectiveness of the risk management and internal control systems[143]. - The nomination committee is responsible for identifying and recommending suitable candidates for the board[153]. - The company plans to reappoint external auditors based on the audit committee's recommendations[143]. - The audit fee for the year ending December 31, 2024, is RMB 2,280,000, with no non-audit service fees incurred[167]. - The board has confirmed that the risk management and internal control systems are effective and adequate for the year ending December 31, 2024[170]. - The company held one annual general meeting on May 30, 2024, with a 100% attendance rate from all executive directors[175]. - The company has implemented a series of risk management measures, including property protection control and performance evaluation control, to keep risks within acceptable limits[171]. - The company has adopted a written guideline for employees regarding securities trading, which is as stringent as the standard code[167]. - The company has established a management system for insider information to ensure compliance with disclosure regulations[172]. - The company emphasizes effective communication with shareholders through various channels, including annual meetings and performance briefings[173]. - The company has conducted professional training for the company secretary, totaling no less than 15 hours for the year[165]. - The board has reviewed the effectiveness of the risk management and internal control systems once during the reporting period[170]. - The company has adopted a policy to ensure timely disclosure of information to facilitate informed investment decisions by shareholders[173]. - The company plans to distribute dividends not exceeding 30% of distributable profits for each financial year, subject to board discretion based on financial performance and cash flow[181]. - The company remains committed to enhancing environmental performance and implementing energy-saving measures in its operations[191]. - The company operates in a highly regulated industry, requiring various licenses and permits for automotive dealership and maintenance services[193]. - The company provides a comprehensive range of automotive sales and services, including after-sales services and value-added services[190]. - The board emphasizes effective communication with shareholders and encourages active participation in company affairs[182]. - The company has established multiple channels for ongoing dialogue with shareholders, including announcements and a corporate website[183][184]. - The company has not reported any significant legal or regulatory violations that could adversely impact its operations as of December 31, 2024[193]. - The company continues to focus on risk management and has discussed major risks and uncertainties faced during the financial year[189]. - The company’s main business nature has not undergone significant changes during the financial year ending December 31, 2024[188]. - The board has reviewed the implementation of the shareholder communication policy and found the results satisfactory[182]. - The company will hold its 2025 Annual General Meeting on May 28, 2025, with a suspension of share transfer registration from May 23 to May 28, 2025[196]. - The board has decided not to recommend any final dividend for the year ending December 31, 2024[197]. - Details regarding changes in property, plant, and equipment for the year are included in the financial statements note 13[198]. - As of the report date, the company's authorized share capital is $100,000.00, divided into 1,000,000,000 shares with a par value of $0.0001 each, with no changes in issued shares during the year[199]. - Changes in reserves for the company and the group during the year are detailed in financial statements notes 42 and 32, with distributable reserves for shareholders also outlined in these notes[200].

Financial Performance - Revenue for 2024 is projected to be HK$8,101,694, a decrease of 6.5% from 2023's HK$8,665,765[11] - Profit attributable to owners of the Company for 2024 is expected to reach HK$650,253 million, reflecting a growth of 12% from 2023's HK$580,420 million[11] - Basic earnings per share for 2024 are expected to be HK$28.83, an increase from HK$25.73 in 2023[11] - In 2024, the Group's principal business revenue reached HK$8,102 million, with a profit attributable to shareholders of HK$650 million, representing a year-on-year increase of 12.0%[110] - Earnings per share for 2024 amounted to HK28.83 cents, reflecting a year-on-year increase of 12.0%[110] - Total dividends distributed for the year were HK9.8 cents per share, marking a year-on-year increase of 12.6%[110] - The Group's total revenue decreased by 6.5% to HK$8,102 million for the year ended December 31, 2024, compared to HK$8,666 million in 2023[150] - Profit attributable to owners increased to HK$650 million, up 12.0% from HK$580 million in 2023, with basic earnings per share rising to HK28.83 cents from HK25.73 cents[150] Assets and Liabilities - Total assets increased to HK$11,502,371 million in 2024, up from HK$10,641,662 million in 2023, representing a growth of 8.1%[11] - As of December 31, 2024, the Group had cash and bank balances of HK$983 million, an increase from HK$713 million in 2023, while total borrowings rose to HK$1.58 billion from HK$1.19 billion[164] - The Group's net gearing ratio as of December 31, 2024, was approximately 23.4%, up from 20.7% in 2023, indicating a higher level of debt relative to net assets[164] - The Group recorded a cumulative new contract amount of HK$11.02 billion for the year ended December 31, 2024, with a backlog of contracts amounting to approximately HK$34.02 billion, including unfinished contracts of about HK$18.53 billion[162] Market and Project Developments - The Company has expanded into overseas markets with the incorporation of Far East Facade (Singapore) Pte. Ltd. in January 2024[23] - In April 2024, the Company won the bid for the facade project of New Central Site 3A, a significant international-level project in Hong Kong[33] - The Company achieved a first-place ranking in Tencent Group's third-party safety assessment for 14 consecutive months during the construction of the Tenova future project[35] - Major new projects awarded included the New Central Harbourfront 3A Commercial Project and the Kwu Tung North residential project, contributing to the Group's strong performance in Hong Kong[114] - The Galaxy (phase 4) project in Macau, the largest single facade contract globally, is progressing smoothly and meeting its phased targets[115] - The Group is focusing on the facade market development along the "Belt and Road" initiative, with plans to explore large potential projects in the Middle East and Southeast Asia[121][123] Sustainability and Innovation - The Company was awarded the "Hong Kong Green Organisation Certification" for the eighth consecutive year, highlighting its commitment to sustainability[19] - In May, the newly established Far East Photovoltaic Technology (Guangdong) Company Limited will focus on research and development of building integrated photovoltaic (BIPV) products[41] - The Group plans to enhance its facade business through building-integrated photovoltaics (BIPV), with ongoing projects in Hong Kong and the Chinese Mainland[137] - The Group is committed to sustainability and will continue to deepen climate risk management initiatives and enhance technology research and development for BIPV projects[139] - The project BIM Design Team won the Gold Award in the 2024 Seventh "Youlu Cup" National BIM Technology Competition, highlighting the company's commitment to innovation in construction technology[83][84] Corporate Governance and Leadership - Mr. Zhu Haiming was appointed as Executive Director and CEO on June 1, 2024, bringing over 18 years of experience in construction engineering management and infrastructure investment[184] - Mr. Wong Man Cheung, appointed as Executive Director and CFO on July 1, 2022, has over 28 years of experience in accounting, financial management, and corporate financing[188] - The company is focused on sustainability, with key members of the board involved in the Sustainability Committee[187][191] - The board comprises a diverse group of professionals with extensive experience across various sectors, including construction, finance, and legal services[187][194] - The company aims to enhance its corporate governance through the expertise of its independent directors[191] Operational Performance - The facade and general contracting business segment's revenue decreased by 6.4% to HK$7,224 million, with gross profit down 2.4% to HK$862 million and operating profit down 4.0% to HK$782 million[153] - The operating management business segment's revenue decreased to HK$877 million, while operating profit increased to HK$56 million due to effective cost control measures[154] - Administrative, selling, and other operating expenses decreased to HK$210 million from HK$288 million in 2023, reflecting improved cost management[156] - Finance costs decreased to HK$75 million from HK$82 million in 2023, attributed to stringent finance cost control measures[156] Employee and Workforce - The Group employed a total of 4,006 employees as of December 31, 2024, down from 4,498 employees in 2023[178]

Financial Performance - The Company reported a reduced loss attributable to shareholders of approximately US$4.48 million, primarily due to operating and R&D expenses of approximately US$4.99 million[2]. - The Group recorded a reduced loss attributable to shareholders of approximately US$4.48 million in 2024, down from US$25.05 million in 2023[15][34]. - Total revenue for 2024 was US$656,000, compared to a loss of US$539,000 in 2023, indicating a significant improvement[34]. - The operating loss after impairment losses and provisions for 2024 was US$4.34 million, a decrease from US$30.38 million in 2023[34]. - Revenue for the year ended December 31, 2024, increased to US$0.72 million, a 148.28% increase from US$0.29 million in 2023[191]. - Other income rose to US$0.08 million, reflecting a 166.67% increase from US$0.03 million in the previous year[191]. - Total loss attributable to shareholders decreased to US$4.48 million for the year ended December 31, 2024, an 82.12% reduction from US$25.05 million in 2023[191]. - Capital deficiency increased to approximately US$5.90 million as of December 31, 2024, up from approximately US$1.55 million as of December 31, 2023[194]. - The Group recorded no amortization of intangible assets for the year ended December 31, 2024, compared to US$22.18 million in 2023[198]. - The Group's income tax credit for the year ended December 31, 2024, was approximately US$26,000, a 99.45% decrease from US$5.42 million in 2023[198]. Product Development and Market Strategy - Wanbang Biopharmaceutical submitted the NDA to NMPA at the end of 2024, with approval expected within 12 months, and upon approval, the Group expects to receive US$5 million and an additional US$2 million upon first commercial sale of Senstend™ in China[2][7]. - The manufacturing and supply agreement was signed between Wanbang Biopharmaceutical, Genetic S.p.A., and Plethora Solutions Limited for the production of Senstend™ for the PRC market[2]. - The rights to Fortacin™ were out-licensed to Kobayashi Pharmaceutical Co., Ltd. for the Japanese market[2][7]. - The Company has completed the evaluation of two proposals for Phase 3 clinical studies of Fortacin™ in the US[2]. - The potential market for Senstend™ in China is approximately 9 million patients in its first year, growing to over 170 million patients by its tenth year[8]. - The Company is focused on the successful commercialization of Fortacin™/Senstend™ in key markets including China, the US, and Japan[4][5]. - The Company aims to commercialize its deep learning aging clock technology and partner with clinics and insurance companies[4][5]. - Deep Longevity is integrating its AI-led deep learning technology to build and commercialize various aging clocks[6]. - The Group aims to improve its financial performance and reduce losses in the upcoming fiscal year, as indicated by the significant decrease in losses reported[189]. Financial Position and Assets - Total assets decreased from US$80,310,000 in 2020 to US$610,000 in 2024, representing a decline of approximately 99.24%[37]. - Current liabilities increased significantly from US$9,105,000 in 2020 to US$5,649,000 in 2024, indicating a rise of about 62.5%[37]. - The Group's net liabilities reached US$5,901,000 in 2024, compared to net assets of US$50,305,000 in 2020, marking a substantial shift in financial position[37]. - The Group's current assets dropped from US$12,790,000 in 2021 to US$601,000 in 2024, a decrease of approximately 95.3%[37]. - The Group's intangible assets were fully impaired, decreasing from US$72,418,000 in 2020 to zero in 2024[37]. Corporate Governance and Compliance - The Group has complied with relevant laws and regulations that significantly impact its operations, ensuring adherence to applicable standards[42]. - The Group's financial risk management objectives and policies are detailed in the consolidated financial statements, indicating a structured approach to managing financial uncertainties[38]. - The company has applied all principles of the Corporate Governance Code and complied with applicable provisions during the year ended December 31, 2024[100]. - All directors have confirmed compliance with the Securities Dealing Code and the Model Code during the year ended December 31, 2024[99]. - The company has a strong governance structure with experienced professionals in key management positions, including a Chartered Secretary and a Chartered Governance Professional[188]. Share Options and Capital Structure - As of December 31, 2024, the total issued ordinary share capital consisted of 228,438,619 shares, unchanged from the previous year[55]. - The Share Option Scheme (2016) allows for 2,456,532 options available for grant as of December 31, 2024[64]. - No options were granted or exercised during the year ended December 31, 2024[65]. - The total number of options vested/unvested as of December 31, 2024, was 6,229,723[68]. - The company has not experienced any lapsing or cancellation of options during the year ended December 31, 2024[87]. - As of December 31, 2024, the company's distributable reserves amounted to approximately US$294 million, unchanged from 2023[88]. Leadership and Management - Jamie Alexander Gibson has been the CEO since May 2002, focusing on corporate finance and emerging market investment products[172]. - Jayne Allison Sutcliffe co-founded the Group in 1990 and has extensive experience in fund management, previously serving as Group Chief Executive of Charlemagne Capital Limited[175]. - Stawell Mark Searle has over 30 years of experience in investment management and has been an Independent Non-Executive Director since October 2001[175]. - Adrian Alan Chan has over 25 years of experience in accounting and financial management, serving as CFO for multiple companies including Enviro Energy International Holdings Limited[176][179]. - The management team includes experienced professionals such as Paul Eric Jones, who has over 30 years in the energy industry and corporate finance, and Michael Grant Wyllie, who has over 30 years in the pharmaceutical industry[185]. - The leadership team includes directors with diverse backgrounds in finance, law, and investment management, enhancing strategic decision-making[176][179]. Auditor and Financial Reporting - The Company has appointed RSM Hong Kong as the new auditor effective from June 21, 2023, following the resignation of BDO Limited[158]. - The company announced the resignation of RSM as the external auditor effective from July 16, 2024, due to a disagreement on the audit fee for the financial year ending December 31, 2024[162]. - Baker Tilly Hong Kong Limited was appointed as the new auditor effective from July 16, 2024, to fill the vacancy left by RSM, with a term until the next annual general meeting tentatively scheduled for June 2025[163]. - The consolidated financial statements for the year ended December 31, 2024, have been audited by Baker Tilly, which has expressed its willingness to continue in office and will seek re-appointment at the 2025 AGM[164]. - The Audit Committee reviewed RSM's audit fee proposal and deemed it inappropriate considering the current operational scale of the group and prevailing market rates[162].

Financial Performance - In 2024, the company's revenue reached RMB 417.3 million, representing a year-on-year growth of 69.4%[8] - The company's revenue for the fiscal year 2024 reached RMB 417,307 thousand, a significant increase of 69.3% compared to RMB 246,367 thousand in 2023[12] - The company achieved a revenue of RMB 417.3 million, representing a year-on-year growth of 69.4%, with a gross margin of approximately 53.9%[17] - Ophthalmic product sales revenue surged by 87.8%, contributing RMB 384.3 million in 2024 compared to RMB 204.7 million in 2023[41] - Gross profit for 2024 was RMB 225,065 thousand, representing a gross margin of approximately 54%[12] - Gross profit rose by 55.9% from RMB 144.4 million in 2023 to RMB 225.1 million in 2024, aligning with revenue growth[43] - The adjusted net loss for the reporting period was RMB 183.6 million, a decrease of 24.5% year-on-year, primarily due to increased revenue and gross profit from ophthalmic products[17] - The net loss attributable to the company for 2024 was RMB 268,274 thousand, an improvement from a net loss of RMB 379,787 thousand in 2023[13] - The adjusted net loss for 2024 was RMB 183,642 thousand, compared to RMB 243,237 thousand in 2023, indicating a trend towards reduced losses[13] Product Development and Innovation - The core product, OT-401, saw significant sales growth after being included in the national medical insurance catalog, further expanding market coverage[8] - The company’s innovative drug, OT-1001, was approved for market launch in 2024, with OT-702 and OT-502 having submitted NDA applications[7] - The new drug, Zhiweitai® (0.24% cetirizine eye drops), was approved for commercialization in September 2024, with two additional innovative products entering the registration phase[17] - The pipeline includes three products in Phase III clinical trials and two innovative drugs in the commercialization registration phase[17] - The NDA for OT-502 (DEXYCU®) was accepted by the National Medical Products Administration in September 2024, with expectations for commercialization approval within the year[25] - OT-702 (博優景®) completed Phase III clinical trials in April 2024, showing significant improvement in best-corrected visual acuity compared to baseline, and the BLA was accepted in July 2024[23] Strategic Partnerships and Collaborations - The company established a long-term strategic relationship with Alcon Group, acquiring and licensing a total of 8 products, 7 of which are commercially validated with stable sales foundations[9] - The partnership with Alcon is expected to enhance the company's brand recognition and influence in the international ophthalmic field[9] - The Alcon transaction granted the company rights to eight products in China, including seven commercialized products and one in clinical development, enhancing its market position[29] - The company entered into a manufacturing and supply agreement with Alcon Pharma to purchase transferred products for commercialization in China[190] Operational Efficiency and Management - The company is committed to enhancing its commercialization capabilities and optimizing sales team efficiency, which is expected to lead to significant revenue growth in the short term[9] - The company’s Suzhou factory optimized production processes and management levels, achieving commercial batch production of its own products and providing complex ophthalmic formulation CDMO services[8] - The company plans to optimize production and supply chain management, focusing on stable supply and product quality in 2025[32] - The company completed 11 batches of commercial production during the reporting period, ensuring a stable and efficient supply of products[30] Research and Development - Research and development expenses decreased to RMB 113,935 thousand in 2024 from RMB 123,768 thousand in 2023, indicating a focus on cost management[12] - Continuous investment in R&D is prioritized to maintain technological leadership and explore new treatment areas[37] - The company has established a comprehensive ophthalmic drug product line with 34 drug assets, including 21 products in the commercialization stage[17] Market Expansion and Future Outlook - The company aims to continue improving its commercialization system and sales efficiency to ensure sustained revenue growth in 2025[10] - The company plans to leverage international cooperation to enhance its overall strength and move towards becoming a global leader in ophthalmic innovative drugs[10] - The company plans to accelerate new product development and commercialization, aiming for at least one NDA approval in 2025[31] - The company is focused on addressing the significant unmet needs in China's ophthalmic healthcare market[17] Corporate Governance and Management Structure - The company has a commitment to high levels of corporate governance to protect shareholder interests and enhance corporate value[93] - The board consists of two executive directors, three non-executive directors, and three independent non-executive directors, ensuring compliance with listing rules[99] - The company has established effective mechanisms to support an independent board and independent viewpoints, ensuring good corporate governance[107] - The company has a gender diversity policy in place, aiming to maintain a balanced representation of female members on the board[104] Shareholder Communication and Relations - The company has adopted a shareholder communication policy to enhance investor relations and ensure timely disclosure of information to shareholders and potential investors[148] - The company emphasizes the importance of effective communication with shareholders to strengthen investor relations and provide insights into its business and strategies[147] - The company maintains regular communication with shareholders to ensure the quality and effectiveness of information disclosure[178] Risk Management - The company has established a risk management manual clarifying responsibilities and processes for risk management across departments[141] - The board has reviewed and confirmed the effectiveness of the risk management and internal control systems as of December 31, 2024, ensuring adequate protection for stakeholders[142] - The group faces risks related to the successful completion of clinical trials and obtaining regulatory approvals for new drug candidates[167] Employee and Organizational Development - The total employee count increased to 489 as of December 31, 2024, up from 444 in the previous year[69] - Employee training programs are provided to ensure compliance with company policies and procedures, with a focus on both formal and on-the-job training[69] - The company encourages all directors to attend relevant training courses, with costs covered by the company[109]

Financial Performance - The company's operating revenue for Q1 2025 was CNY 405,735,194.47, a decrease of 16.17% compared to CNY 484,002,973.06 in the same period last year[6] - The net profit attributable to shareholders was a loss of CNY 35,281,525.82, an improvement from a loss of CNY 45,922,679.29 in the previous year[6] - The net cash flow from operating activities was a negative CNY 13,707,748.31, compared to a negative CNY 22,987,313.49 in the same period last year[6] - Total revenue for the current period is CNY 405,735,194.47, a decrease of 16.2% compared to CNY 484,002,973.06 in the same period last year[34] - Total operating costs amount to CNY 475,357,834.06, down 15% from CNY 558,402,603.99 year-over-year[33] - Net loss for the current period is CNY -22,635,691.07, an improvement from CNY -34,980,470.90 in the previous year[36] - Earnings per share (EPS) for the current period is CNY -0.0386, compared to CNY -0.0503 in the same period last year[39] Assets and Liabilities - Total assets at the end of the reporting period were CNY 5,101,113,317.55, down 4.13% from CNY 5,320,807,895.66 at the end of the previous year[8] - Current assets totaled RMB 3,496,433,398.65, down from RMB 3,730,401,134.18, indicating a decrease of about 6.28%[26][29] - The company reported a total liability of RMB 1,734,130,113.79, down from RMB 1,931,188,750.83, representing a reduction of approximately 10.19%[30] - Total liabilities and shareholders' equity amount to CNY 5,101,113,317.55, reflecting a decrease from CNY 5,320,807,895.66 at the beginning of the year[31] - The equity attributable to shareholders decreased by 1.13% to CNY 3,079,012,871.78 from CNY 3,114,294,647.60 at the end of the previous year[8] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 67,175[15] - The top shareholder, Hong Kong Central Clearing Limited, holds 26.64% of the shares, totaling 243,474,507 shares[16] - The largest shareholder, Hong Kong Central Clearing Limited, holds 243,474,507 shares, accounting for 26.64% of the total issued shares[22] - Panda Electronics Group Co., Ltd. holds 210,661,444 shares, representing 23.05% of the total shares[21] - The actual controller, China Electronics Corporation, indirectly holds 29.98% of the shares through subsidiaries[21] - Panda Group has pledged 105,091,430 shares, which is 49.89% of its holdings and 11.50% of the total shares[22] - The report indicates that certain shares held by major shareholders are subject to unknown restrictions[18] Cash Flow - Operating cash inflow totaled $723,622,354.13, down 9.8% from $802,221,146.42 in the same period last year[43] - Operating cash outflow amounted to $737,330,102.44, a decrease of 10.6% compared to $825,208,459.91 in the previous year[44] - The net increase in cash and cash equivalents was $18,063,358.51, a decline of 91.1% from $202,843,530.96 in the same period last year[46] - The ending balance of cash and cash equivalents was $684,585,465.21, down from $1,001,263,284.05 at the end of the previous year[46] Investments and Transactions - The company plans to sell goods and provide services to related subsidiaries with an estimated annual transaction amount not exceeding RMB 100 million, RMB 10 million, and RMB 6 million respectively[23] - Ericsson intends to purchase a 49% stake in ENC from the company and other Chinese shareholders, with expected recoverable amounts of no less than RMB 250 million[24] - Cash received from investment activities was $391,459,395.74, down 21.5% from $498,631,157.45 in the same period last year[45] - Net cash flow from investment activities was $38,986,634.33, a significant decrease of 83.1% compared to $230,637,612.84 last year[45] - Cash outflow from investment activities reached $352,472,761.41, an increase of 31.4% from $267,993,544.61 in the previous year[45] Operational Challenges and Strategies - The company reported a significant decrease in operating income primarily due to reduced orders in information network equipment and intelligent manufacturing sectors[12] - The company is actively advancing the implementation of equity disposal, although uncertainties remain due to ongoing negotiations and required procedures[25] - The company disclosed ongoing litigation involving its subsidiary, with further details to be provided in future reports[25] - The company is focusing on market expansion and new strategies, although specific details were not disclosed in the current report[25]