Financial Performance - Revenue for the year ended December 31, 2024, was RMB 27,026,490, a decrease of 12.4% compared to RMB 30,868,289 in 2023[7] - Gross profit for 2024 was RMB 7,293,298, down 10.2% from RMB 8,121,014 in the previous year[7] - Profit for the year decreased by 29.4% to RMB 1,638,017 from RMB 2,320,346 in 2023[7] - In 2024, China Lesso recorded revenue of RMB 27,026 million, a decrease of 12.1% compared to RMB 30,868 million in 2023[17] - Profit attributable to owners of the Company was RMB 1,684 million, down from RMB 2,368 million in the previous year, representing a decline of 29.0%[17] - China Lesso reported total revenue of RMB 27.026 billion and a profit attributable to shareholders of RMB 1.684 billion for the year ending December 31, 2024[21] - Basic earnings per share for 2024 were RMB 0.55, a decrease of 28.6% compared to RMB 0.77 in 2023[7] Assets and Liabilities - Total assets as of December 31, 2024, were RMB 58,329,059, a decline of 2.8% from RMB 60,031,270 in 2023[7] - Total debts decreased by 5.1% to RMB 19,645,705 from RMB 20,695,637 in 2023[7] - Non-current liabilities increased to RMB 12,332 million in 2024, up from RMB 11,207 million in 2023, reflecting a rise of 10.1%[1] - The Group's equity attributable to owners increased to RMB 23,844 million in 2024 from RMB 23,503 million in 2023, a growth of 1.4%[1] Dividends - Proposed final dividend per share remains at 20 HK cents, unchanged from the previous year[7] - The Board recommended a final dividend of HK 20 cents per share for the year ended 31 December 2024[17] - The board proposed a final dividend of HKD 0.20 per share to reward shareholders for their support and share in the performance results[21] Strategic Focus and Growth - The Group plans to focus on quality and innovation as key drivers for future growth, aiming to enhance its core products and increase market share[19] - China Lesso aims to expand its industrial footprint while maintaining a strong focus on the piping sector[19] - Despite external uncertainties, China Lesso is confident in achieving stable economic growth, leveraging its 38 years of development foundation[21] - The company aims to strengthen its core pipeline industry and optimize its product mix to increase market share[21] - China Lesso will accelerate smart manufacturing upgrades by leveraging advanced technologies such as AI and IoT to boost core competitiveness[20] - The management team is committed to continuous innovation and seizing overseas opportunities while improving management standards[23] - The company emphasizes sustainable development principles to drive industry transformation and contribute to a brighter future[23] Corporate Governance - The company is committed to maintaining high standards of corporate governance practices, which are essential for sustainable development and investor confidence[73] - The Board currently comprises 14 directors, including 9 executive directors and 5 independent non-executive directors, ensuring a balance of interests[79] - The chairman and chief executive roles are held by different individuals to effectively segregate management responsibilities[87] - All directors confirmed compliance with the Model Code governing securities transactions throughout the year, ensuring adherence to ethical standards[78] - The Company has established various Board Committees, including the Audit Committee, to delegate responsibilities and engage intermediaries for professional opinions[119] Risk Management - The Board is responsible for evaluating and determining the nature and extent of risks in achieving the Group's strategic objectives[173] - The existing risk management and internal control system is deemed sufficient, effective, and adequate by the Board[174] - The Audit Committee continuously monitors and annually reviews the effectiveness of the risk management and internal control system[176] - The Group has established a comprehensive risk management organization structure to manage encountered risks[177] - Material risks identified include macro-economic risks, inappropriate market strategies, raw material price fluctuations, environmental policy adjustments, cybersecurity risks, and climate change risks[198] Management Team Experience - The current executive directors have extensive experience in the plastic pipe industry, with key figures having over 25 years of experience each[27][28][31][32] - Mr. Kong Zhaocong has approximately 31 years of experience in the plastic pipe industry and is responsible for domestic sales[33] - Mr. Chen Guonan has around 35 years of experience in production management within the plastic pipe industry[36] - Dr. Lin Shaoquan has about 22 years of experience in overseas sales and is responsible for the Group's international market[37] - Mr. Luo Jianfeng has 32 years of accounting experience and has held various positions in accounting firms prior to joining the Group[40] - Dr. Song Keming is the chief engineer and president of the Research Institute, focusing on technical research and development[41] Audit and Compliance - The Company appointed Ernst & Young as the independent auditor for the interim results for the six months ended 30 June 2024 and the annual results for the year ended 31 December 2024[90] - The total fees paid to Ernst & Young for audit and non-audit services amounted to RMB 15.27 million, with RMB 9.96 million for annual audit services and RMB 2.00 million for interim results review[129] - The Audit Committee recommended the re-appointment of Ernst & Young as external auditors for the year ended December 31, 2023, based on their confirmation of independence[123] Diversity and Inclusion - The Company has 30% of its workforce as women, with 17.1% at the middle or above managerial level, reflecting a commitment to gender diversity[170] - The Board diversity policy considers various factors including gender, age, cultural background, and professional experience to enhance decision-making[161] - The Company ensures that all employees are treated equally regardless of gender, nationality, age, race, or religion, with impartial recruitment procedures[170]

Financial Performance - In 2024, the Group's revenue was RMB 740.2 million, a decrease of 52% compared to RMB 1,542.3 million in 2023[16] - The Group reported a net loss of RMB 274.0 million in 2024, worsening from a loss of RMB 104.1 million in 2023[16] - The Group's gross profit for 2024 was RMB 28.9 million, recovering from a gross loss of RMB 25.0 million in 2023[16] - The company reported a loss attributable to owners of approximately RMB 25.7 billion for the year ended December 31, 2024, with a basic and diluted loss per share of RMB 3.00[195] - Property sales revenue for the year ended December 31, 2024, was RMB 612.3 billion, a decrease of approximately RMB 795.7 billion (about 56.5%) compared to RMB 1,408.0 billion in 2023[26] - The total delivered property area for the year ended December 31, 2024, was 462.4 million square meters, a decrease of 815.8 million square meters (about 63.8%) from 1,278.2 million square meters in 2023[26] - Gross profit for the year ended December 31, 2024, was approximately RMB 28.9 billion, an increase of RMB 53.9 billion compared to a gross loss of RMB 25.0 billion in 2023, resulting in a gross margin of 3.9%[30] Assets and Liabilities - The total assets of the Group decreased to RMB 8,828.8 million in 2024 from RMB 9,778.5 million in 2023, representing a decline of approximately 9.7%[17] - The total liabilities of the Group decreased to RMB 8,277.3 million in 2024 from RMB 8,940.6 million in 2023, indicating a reduction of approximately 7.4%[17] - The total equity of the Group decreased to RMB 551.5 million in 2024 from RMB 837.9 million in 2023, reflecting a decline of approximately 34.1%[17] - The total equity attributable to the company's owners at the end of 2024 was approximately RMB 40.52 billion, indicating a stable asset base[20] - The group's total cash balance, including restricted cash, decreased from approximately RMB 24.62 billion as of December 31, 2023, to approximately RMB 19.75 billion as of December 31, 2024[40] - The total borrowings of the group as of December 31, 2024, were approximately RMB 259.67 billion, a decrease of approximately RMB 18.16 billion from approximately RMB 277.83 billion as of December 31, 2023[42] Operational Highlights - The Group successfully delivered approximately 170,000 housing units across 84 cities in 2024, ranking among the top in the industry[18] - The Group aims to deliver an additional 60,000 housing units in 2025, continuing its commitment to fulfill delivery obligations[18] - The property management segment, Sunac Services, achieved revenue of approximately RMB 6.97 billion, with third-party revenue growing by about 5.6% year-on-year, accounting for approximately 98% of total revenue[21] - The cultural tourism segment generated revenue of approximately RMB 5.21 billion in 2024, with ongoing efforts to transform into an experience-driven ecological platform[22] Debt Management and Restructuring - The company aims to resolve domestic public market debt risks by 2025, with a comprehensive restructuring plan already approved by bondholders[19] - The company is actively restructuring project-level debt by introducing funds from asset management companies and financial institutions to optimize its debt structure[27] - The company has developed a comprehensive domestic debt restructuring plan, which was approved by creditors in January 2025, to address current debt issues and liquidity pressures[117] - The restructuring plan offers creditors the opportunity to convert their debts into equity, aiming to resolve offshore debt risks and establish a sustainable capital structure[118] - The company is actively seeking broad support from creditors for the restructuring support agreement to ensure successful implementation of the offshore restructuring plan[118] Governance and Management - The company has adopted the corporate governance code and has complied with all applicable provisions for the year ending December 31, 2024[77] - The board consists of six executive directors, one non-executive director, and four independent non-executive directors, ensuring a diverse governance structure[82] - The company emphasizes the importance of high standards of corporate governance to enhance performance and long-term shareholder value[75] - The management team has extensive experience in the real estate industry, with key executives holding significant positions since the company's inception[57][58][59][60] Legal and Compliance Issues - The company faces approximately 414 lawsuits with a total claim amount of about RMB 165.08 billion, primarily related to unpaid loans and project payments[49] - The company is actively negotiating with creditors to resolve various lawsuits and has made provisions for litigation and interest payable[49] - The company has taken measures to mitigate risks associated with potential changes in Chinese laws that could affect the validity of its investment structure[168] Future Outlook - The company anticipates gradual stabilization in core cities and locations, although overall recovery in the real estate market may take longer[22] - The company plans to enhance cooperation with financial institutions to further mitigate project debt risks and revitalize quality assets in 2025[20] - The company is committed to timely and accurate information disclosure to shareholders and investors, enhancing transparency and informed decision-making[130] Employee and Diversity Initiatives - As of December 31, 2024, the total number of employees is 36,364, with 21,583 male employees (59.4%) and 14,781 female employees (40.6%)[105] - The company has adopted a revised employee diversity policy to ensure fair treatment regardless of citizenship, nationality, race, gender, religion, and cultural background[104] - The board currently consists of 10 male directors and 1 female director, with measurable diversity goals deemed satisfactorily implemented as of December 31, 2024[102]

Financial Performance - In 2024, the company's revenue reached RMB 278.8 billion, representing an 11.0% year-over-year increase[11]. - The core net profit for 2024 was RMB 25.4 billion, reflecting an 8.5% decrease compared to the previous year[11]. - The recurring business revenue in 2024 was RMB 41.6 billion, which is a 6.6% increase year-over-year[11]. - The full-year dividend per share for 2024 was RMB 1.319, down 8.5% year-over-year[11]. - Revenue for 2024 reached RMB 278,799 million, reflecting an 11.0% increase from RMB 251,137 million in 2023[84]. - Gross profit for 2024 was RMB 60,334 million, down 4.5% from RMB 63,162 million in the previous year[84]. - Net profit attributable to owners of the Company for 2024 was RMB 25,577 million, a decline of 18.5% from RMB 31,365 million in 2023[84]. - Core net profit attributable to owners of the Company decreased by 8.5% to RMB 25,418 million from RMB 27,774 million[84]. - The gross profit reached RMB60.33 billion, with a comprehensive gross profit margin of 21.6%, down 3.6 percentage points year-on-year[130]. - The gross profit margin for the investment property business increased by 0.4 percentage points year-on-year to 70.0%[130]. Sales and Market Position - The contracted sales for 2024 amounted to RMB 261.1 billion, ranking third in the industry[13]. - Contracted sales for 2024 amounted to RMB 261,100 million, a decrease of 15.0% compared to RMB 307,033 million in 2023[84]. - The Group's contracted sales amounted to RMB261.1 billion, accounting for approximately 2.7% of total commercial housing sales in the PRC, with an industry ranking increase to 3rd place[92]. - Recognised revenue from development properties for 2024 was RMB237.15 billion, representing an increase of 11.8% YoY, while booked GFA decreased by 10.0% YoY to 10.65 million square meters[141]. Asset Management and Investments - By the end of 2024, the asset management scale reached RMB 462.1 billion, an 8.1% increase year-over-year[13]. - The Group acquired 29 projects with an equity investment of RMB52.6 billion, maintaining a focus of 94% on tier-one and tier-two cities[93]. - The Group achieved total comprehensive revenue of RMB278.8 billion in 2024, representing a year-on-year increase of 11.0%[126]. - The investment property business included significant projects such as Changsha MIXc with a total GFA of 255,000 square meters, fully attributable to the group[166]. - The Group acquired 29 high-quality land parcels in 2024, with a total land premium of RMB77.58 billion, adding 3.93 million square meters to its land bank[176][177]. Operational Metrics - The number of operational shopping malls by the end of 2024 was 92, with retail sales of RMB 195.3 billion, up 19.2% year-over-year[13]. - The average occupancy rate for newly opened malls in 2024 was 95.9%[59]. - Retail sales from shopping malls reached RMB195.3 billion, representing approximately 0.4% of national retail sales, with an operating profit margin of 61%[98]. - The total GFA of shopping malls increased by 19.0% YoY to 11.46 million square meters[150]. - The total carrying value of shopping malls after revaluation was RMB212.99 billion, accounting for 18.9% of the Group's total assets[150]. Financial Position and Debt Management - Total assets at year-end 2024 were RMB 1,128,394 million, down 5.3% from RMB 1,191,177 million in 2023[84]. - The total debt at year-end 2024 was RMB 259,782 million, an increase of 8.5% from RMB 239,529 million in 2023[84]. - Cash reserves at the end of 2024 increased by 16.5% year-on-year to RMB133.21 billion, maintaining low total interest-bearing gearing and net gearing ratios[120]. - The net interest-bearing debt-to-equity ratio was 31.9% as of December 31, 2024, down from 32.6% at the end of 2023, indicating a strong financial position[187]. - The Group maintained a low weighted average financing cost of approximately 3.11% as of December 31, 2024, a decrease of 45 basis points from 3.56% at the end of 2023[188]. Employee and Corporate Governance - The total number of employees in mainland China and Hong Kong was 65,785 as of December 31, 2024[200]. - The company offers performance bonuses and other employee benefits, including provident funds and insurance[200]. - The company maintains credit ratings of BBB+, Baa1, and BBB+ from S&P, Moody's, and Fitch respectively[193]. Sustainability and Community Impact - The Group's carbon emission intensity was reduced by 27.16% through energy-saving technologies, achieving zero carbon electricity usage upon opening for Xi'an MIXc[119]. - The Group constructed 19.15 million square meters of affordable housing, contributing to community welfare and rural revitalization[119].

Financial Performance - The total revenue for 2024 reached ¥1,161.86 billion, representing a year-on-year increase of 1.2%[8] - The net profit attributable to shareholders for 2024 was ¥7.52 billion, with a basic earnings per share of ¥0.048[8] - In 2023, the company's revenue was RMB 114,797 million, a decrease of 2.4% compared to 2022's RMB 117,623 million[40] - The pre-tax profit for 2023 was RMB 3,813 million, a significant recovery from a loss of RMB 1,711 million in 2022[40] - The net profit attributable to shareholders in 2023 was RMB 803 million, compared to a loss of RMB 3,302 million in 2022[40] - The gross profit margin for 2024 was reported at 18.6%[8] - Net profit attributable to shareholders decreased by 6.3% to 752.48 million from 803.35 million[42] - Revenue grew by 1.2% to 116.19 billion compared to 114.80 billion in the prior year[42] - Operating cash flow increased significantly by 127.3% to 17.64 billion from 7.76 billion[42] Market and Orders - New orders for the company amounted to ¥1,536.0 billion, an increase of 11.9% year-on-year[11] - In the energy equipment sector, new orders totaled ¥891.0 billion, including ¥326.2 billion for coal-fired power equipment and ¥78.9 billion for nuclear power equipment[11] - The company has expanded its market presence in various sectors, including aerospace, high-speed rail, and medical equipment[18] - The company is actively participating in national key projects, focusing on core technologies to support national strategic needs[12] Research and Development - The company is investing $50 million in R&D for new technologies aimed at enhancing product efficiency and sustainability[5] - Research and development expenses increased by 5.51% to RMB 5.665 billion compared to the previous year[129] - The company’s subsidiary won the second prize in the National Science and Technology Progress Award for its core technology in large-capacity lithium-ion battery manufacturing[22] - The company achieved a 25 g/kWh reduction in coal consumption for its coal-fired units through the implementation of advanced heating and efficiency improvement technologies[139] Corporate Governance - The company is focused on maintaining compliance with regulatory requirements during the transition of its board and management[51] - The company has a strong emphasis on governance and oversight, as evidenced by the roles of independent directors and the supervisory board[56] - The company is committed to enhancing its corporate governance structure to align with best practices in the industry[57] - The board consists of eight directors, including three executive directors and three independent non-executive directors, with a third of the board being independent[89][90] Sustainability and Environmental Initiatives - The company is committed to implementing a carbon management service platform to systematically promote green and low-carbon management practices[30] - The company is committed to green and low-carbon development, aligning with national carbon neutrality goals[87] - The company emphasizes sustainable development as a key strategic focus, promoting circular economy and resource efficiency[195] - The company is actively developing clean energy and green technologies, focusing on ultra-low and near-zero emissions[195] Strategic Plans and Future Outlook - The company aims to enhance its core competitiveness and achieve high-quality development by focusing on national strategic needs and advancing new productive forces by 2025[31] - The company plans to continue optimizing its supply chain management platform to improve procurement efficiency and coverage[30] - The company intends to pursue mergers and acquisitions, research and development, and joint ventures to expand its core business areas and explore new markets[172] - Future outlook remains positive, with a projected annual growth rate of 15% over the next three years[10] Employee and Management Information - The total remuneration paid to all directors, supervisors, and senior management at the end of the reporting period amounted to RMB 16.79818 million[74] - The number of employees in the parent company is 152, while the total number of employees in major subsidiaries is 40,108, resulting in a combined total of 40,260 employees[77] - The company has focused on training core employees, especially leadership and strategically critical talent, to enhance business development and human capital[79] - The company has established a salary growth mechanism linked to business performance and labor productivity, emphasizing performance-based pay adjustments[78] Financial Position and Debt - As of December 31, 2024, the total bank and other borrowings and bonds amounted to RMB 46.786 billion, an increase of RMB 739 million from the beginning of the year[180] - The company's debt ratio was 41.97%, up from 40.67% at the beginning of the year, representing an increase of 1.30 percentage points[184] - The total amount of non-collateral loans as of December 31, 2024, was USD 70 million, EUR 221.714 million, and HKD 815 million, with significant reductions in previous year amounts[180] Acquisitions and Investments - The company completed the acquisition of 100% equity in Ning Sheng Industrial for a cash consideration of RMB 308,242.11 million on October 18, 2024[159] - The company holds various equity stakes in listed companies, with a total investment value of RMB 1,125,900 thousand, reflecting a diverse investment portfolio[162] Customer and Supplier Relations - The company’s top five customers contributed RMB 7.44 billion, accounting for 6.40% of total annual sales, with related party sales amounting to RMB 1.74 billion[134] - The company’s top five suppliers accounted for RMB 4.78 billion in procurement, representing 4.91% of total annual procurement, with related party procurement at RMB 1.69 billion[135]

Business Strategy and Development - The company aims to achieve a market capitalization of 100 billion by establishing three leading brands in fertilisers, melamine, and polyformaldehyde, contributing to its growth strategy [20]. - The Henan base is focused on building a modern chemical park with a goal of enhancing per capita labour efficiency and reducing energy consumption through technological transformation [17]. - The Jiangxi base plans to develop four business sectors: basic chemicals, high-efficiency fertilisers, fine chemicals, and new materials, aiming for industry-leading safety and profitability [19]. - The Xinjiang base targets to become the leading fertiliser brand in the region, with a focus on increasing the quantity and quality of chemical fertilisers and enhancing melamine technology [21]. - The Guangxi base is set to become the most competitive benchmark in South China, concentrating on base construction and industrial chain planning over the next three years [22]. - The company has established scientific research platforms, including the "National Enterprise Technology Centre" and "Postdoctoral Research Station," to support its technology-leading development strategy [34]. - The company reported a commitment to low-cost and differentiated operational strategies to enhance its competitive edge in the fertiliser market [16]. - The company is actively responding to national strategies aimed at increasing efficiency in fertiliser use and promoting soil testing and formula fertilization [34]. - The company has a strategic focus on high-efficiency, high-end, and lean development to solidify its position as a respected fertiliser enterprise in China [15]. - The company emphasizes creating maximum value for society with minimal resources, reflecting its commitment to sustainable development [10]. Financial Performance - Revenue for FY2024 was RMB 23,128 million, a decrease of 1.5% compared to RMB 23,475 million in FY2023 [47]. - Gross profit for FY2024 was RMB 3,931 million, down 6.1% from RMB 4,187 million in FY2023 [47]. - Profit before tax increased by 22.5% to RMB 2,376 million in FY2024, compared to RMB 1,940 million in FY2023 [47]. - Net profit attributable to the parent rose by 23% to RMB 1,459 million in FY2024, up from RMB 1,187 million in FY2023 [47]. - The Group achieved sales revenue of approximately RMB 23,128 million, representing a year-on-year decline of 1% due to declining product prices [97]. - The net profit increased by 23% year-on-year to RMB 2,014 million, with net profit attributable to the parent company also increasing by 23% year-on-year to RMB 1,459 million [97]. Production and Technology - The new large-scale stable urea production unit began operations in February 2024, breaking the monopoly of foreign companies on this technology [52]. - The group standard of "Urea Humic Acid" led by the company passed technical review in May 2024 and was officially promulgated in December [58]. - The company operates under a flexible production mode allowing for adjustments between products, enhancing operational efficiency [40]. - The company was approved for key R&D projects under the national "14th Five-Year" plan for the fourth time in January 2024 [50]. - The Group successfully completed the construction of new projects, including a 60,000 tons polyformaldehyde project and a 300,000 tons compound fertilizer project, enhancing its market capabilities [96]. Market Trends and Challenges - The fertiliser market has entered a downward trend after a high-price phase, prompting the company to enhance its capabilities to cope with market uncertainties [80]. - The fertilizer market is experiencing increased competition due to demand-supply mismatches, environmental pressures, and geopolitical tensions [147][149]. - The rigid demand for fertilizers is expected to steadily grow due to national policies supporting farmland protection and increasing grain yield per unit area [147][149]. - In 2025, domestic nitrogen fertilizer demand and supply is expected to remain stable, with increased sales driven by stronger demand for differentiated products [145]. Employee and Corporate Governance - The Group's employee count increased to 11,787 as of December 31, 2024, up from 10,390 in 2023 [186]. - The Company provides various employee benefits, including medical and life insurance, and discretionary bonuses based on performance [189]. - The Group has complied with all provisions of the Corporate Governance Code during the year ended December 31, 2024 [175]. Shareholder Returns and Dividends - The proposed final dividend is RMB 0.26 per share for the year ended December 31, 2024, an increase from RMB 0.24 per share in 2023, pending shareholder approval [151][156]. - The Company repurchased a total of 6,312,000 shares at a total consideration of HK$24,609,000, representing approximately 0.5% of the issued shares as of December 31, 2024 [180]. - The repurchase of shares was based on the Company's confidence in its long-term business prospects and potential growth [180].

Financial Performance - The company reported a revenue of $500 million for the fiscal year 2023, representing a 20% increase compared to the previous year[1]. - Total revenue for 2023 was RMB 1,056,033 thousand, a decrease of 30.8% compared to 2022[11]. - Gross profit for 2023 was RMB 702,405 thousand, down 32.7% from RMB 1,044,114 thousand in 2022[11]. - The company reported a net loss of RMB 138,120 thousand for 2023, compared to a profit of RMB 25,111 thousand in 2022[11]. - The total revenue for the year ended December 31, 2024, was approximately RMB 1,162.8 million, representing a year-on-year growth of about 10.1%[20]. - The net loss for the year was approximately RMB 48.9 million, narrowing by about 64.6% compared to the previous year[20]. - Adjusted net loss for the year was approximately RMB 42.8 million, narrowing by about 67.8% year-on-year[20]. - Game revenue accounted for 99.9% of total revenue in 2024, amounting to RMB 1,162.1 million, which is a 10.1% increase from RMB 1,055.4 million in 2023[54]. - Gross profit for the year ended December 31, 2024, was RMB 813.5 million, a 15.8% increase from RMB 702.4 million in 2023, with a gross margin of 70.0%, up 3.5 percentage points from 66.5%[58]. User Growth and Market Expansion - User data showed a growth of 1 million active users, reaching a total of 10 million active users by the end of Q4 2023[1]. - Market expansion plans include entering three new international markets by Q3 2024, aiming for a 15% increase in user base[1]. - The company aims to deepen its market presence in both female-oriented and male-oriented gaming segments, targeting diverse user groups[13]. - Revenue from mainland China reached RMB 897.5 million, accounting for 77.2% of total game revenue, up from 68.3% in 2023, representing a 24.6% year-on-year increase[55]. Product Development and Innovation - New product launches included two major game titles, which are projected to contribute an additional $50 million in revenue in 2024[1]. - The company plans to launch multiple new games in 2024, including "墨劍江湖" and several lightweight games, to expand its product matrix[13]. - The launch of "Floating Life Memories" in January 2024 and "Ink Sword Jianghu" in July 2024 contributed significantly to revenue growth, with a sequential revenue increase of approximately 20.7% in the first half and 21.0% in the second half of 2024[20]. - The company is focusing on integrating AI technology across its development, publishing, and operations processes to enhance efficiency and user experience[14]. - The company is focusing on the development of an AI productivity engine to automate various aspects of game production, significantly reducing labor costs and production cycles[44]. Financial Strategy and Shareholder Value - The board approved a share buyback program worth $20 million to enhance shareholder value[1]. - The company has adopted a dividend policy, considering factors such as operating performance, cash flow, and future prospects when determining dividend levels[141]. - The board does not recommend the payment of dividends for the year ending December 31, 2024, consistent with the previous year[164]. Corporate Governance and Management - The company has a strong management team with over 20 years of experience in the gaming industry, including key figures like Mr. Sun Bo, who is the Executive Director and Vice President[92]. - The company has established a strong governance structure with independent directors responsible for monitoring the board and providing independent advice[96]. - The board consists of 6 members, including 3 executive directors and 3 independent non-executive directors[112]. - The company has established a risk management and internal control system to manage risks associated with achieving business objectives, ensuring reasonable assurance against significant misstatements or losses[144]. Corporate Social Responsibility - The company has strengthened its commitment to corporate social responsibility, ensuring user data protection and actively participating in educational support initiatives in remote areas[17]. - The company has implemented environmental protection measures and encourages employees to conserve resources[169]. - The board is committed to integrating environmental, social, and governance (ESG) principles into business operations, overseeing related risks and opportunities[147]. Strategic Focus and Future Outlook - The company continues to focus on a "premium, diversified, and global" strategy, enhancing user engagement through frequent updates and localized content[21]. - The company aims to deepen its strategic layout in the coming year, focusing on innovation, technology integration, and industry ecosystem collaboration[17]. - The company plans to continue its global development strategy, focusing on regional depth and category breakthroughs in game offerings[51].

Financial Performance - Profit attributable to shareholders reached HK$1,673 million in 2024, a rise of 5.1% compared to HK$1,592 million in 2023[7]. - Basic earnings per share increased to HK$5.25 in 2024, up from HK$4.99 in 2023, reflecting a growth of 5.2%[7]. - Total dividend distribution for 2024 was HK$669 million, compared to HK$637 million in 2023, marking a 5.0% increase[7]. - The Group's profit attributable to shareholders increased by 5% to HK$1,673 million, driven by higher net interest and non-interest income[60]. - Profit attributable to shareholders rose by 5.1% to HK$1,673.1 million in 2024, up from HK$1,592.1 million in 2023[74]. - Operating income rose by 17.2% to HK$6,934.9 million, driven by higher net interest income and improved asset yields[87]. - The Group's operating profit before credit impairment losses increased by 25.9% to HK$3,767.8 million in 2024, compared to HK$2,993.4 million in 2023[74]. Assets and Liabilities - Total assets decreased to HK$266,523 million in 2024 from HK$269,789 million in 2023, a decline of 1.0%[7]. - The total liabilities, including subordinated notes, were HK$223,325 million in 2024, down from HK$228,790 million in 2023, a decrease of 2.4%[7]. - The consolidated Common Equity Tier 1 ratio increased to 16.9% as of December 31, 2024, up from 16.2% at the end of 2023[96]. Deposits and Loans - Total deposits decreased to HK$204,894 million in 2024 from HK$208,963 million in 2023, a decline of 2.6%[7]. - Advances to customers (excluding trade bills) were HK$138,374 million in 2024, down from HK$143,049 million in 2023, a decrease of 3.7%[7]. - Customer deposits rose from HK$206,535 million in 2023 to HK$200,599 million in 2024, indicating a slight decrease of 2.0%[7]. - Loan growth was weak, with overall loan balances declining by 3% due to subdued demand in core markets[61]. - The total loan volume in Hong Kong dropped by approximately 3% year-on-year, with refinancing being the primary driver of loan demand[120]. Economic Environment - The economic growth in Hong Kong for 2024 is expected to be moderate, influenced by high interest rates affecting loan demand and consumer confidence[65]. - Hong Kong's economic growth slowed to 2.5% in 2024 from 3.2% in 2023, impacted by weak domestic demand[78]. - Geopolitical risks, including the Russia-Ukraine war and US-China trade conflicts, have dampened economic growth and reduced international trade activities[196]. Governance and Leadership - The company has a strong board with members holding significant experience in finance, banking, and regulatory affairs[27][28][29][31][32][33]. - The company is focused on maintaining high standards of governance and compliance through its independent directors[28][32]. - The leadership team is well-positioned to navigate market challenges and pursue growth opportunities in the banking industry[41]. - The company continues to strengthen its board with experienced professionals from diverse banking backgrounds, enhancing strategic decision-making capabilities[39][41]. Risk Management - The Group maintained a prudent approach to expense control and risk management amidst a high interest rate environment[54]. - Credit impairment charges surged by 145.0% year-on-year, primarily due to increased provisions for credit losses in the Mainland China property sector and Hong Kong commercial real estate[89]. - The Group employs Expected Credit Loss (ECL) models to assess impairment provisions, considering macroeconomic factors and risk characteristics[197]. - The Group's fraud risk management framework includes a dedicated team to improve fraud awareness and prevention in a rapidly changing market[200]. Insurance and Investment Operations - Insurance revenue increased by 19.3% to HK$1,154 million in 2024, up from HK$967 million in 2023[166]. - The Group's insurance operations faced risks from natural disasters, but the impact on financial position was immaterial due to prudent underwriting and reinsurance arrangements[199]. - The solvency ratio of Macau Insurance Company (MIC) was 919% in 2024, down from 1,288% in 2023[175]. - DSI achieved gross premium written (GPW) of HK$916 million, with a compound annual growth rate of over 10% from 2019 to 2024 and a year-on-year growth of 9%[186]. Digital Transformation and Customer Experience - Digital transactions surged by 42% year-on-year in 2024 due to enhancements in the "Next Best Action" AI solution and the launch of a streamlined identity verification service for SMEs[112]. - The bank continues to focus on enhancing digital solutions and improving customer experience through system upgrades and process changes[131][138]. - The bank's strategy includes gradually renovating and relocating branches to enhance customer service and digital experience, while transitioning to paperless operations[113].

Financial Performance - Total revenue for the year ended December 31, 2024, was RMB 709,405,000, a decrease of 16.6% compared to RMB 850,733,000 in 2023[5] - Profit before tax for 2024 was RMB 5,458,000, down 94.4% from RMB 97,528,000 in 2023[5] - Net profit attributable to shareholders for 2024 was RMB 39,734,000, a decline of 63.4% from RMB 108,627,000 in 2023[5] - The company's revenue decreased by 17% year-on-year during the reporting period[34] - The company's revenue for the fiscal year 2024 was approximately RMB 709,405 thousand, a decrease of 17% compared to RMB 850,733 thousand in 2023, primarily from core business operations[55] - Revenue from the sale of medical and diagnostic products in 2024 was RMB 709,378 thousand, accounting for 99.9963% of core business revenue, also down 17% from RMB 850,564 thousand in 2023[57] - The net profit for 2024 was approximately RMB 39,434 thousand, a decline of about 64% from RMB 108,450 thousand in 2023, with a net profit margin of 6% compared to 13% in the previous year[67] - Sales revenue from Aira® decreased by 13% compared to the same period last year[35] - Sales revenue from Libod® declined by 28% year-on-year[36] - Sales revenue from Fumida® dropped by 4% compared to the previous year[37] Assets and Liabilities - Total assets as of December 31, 2024, were RMB 2,586,503,000, a decrease of 10.1% from RMB 2,876,688,000 in 2023[6] - Total liabilities for 2024 were RMB 281,226,000, down 45.4% from RMB 518,124,000 in 2023[6] - The company has a cash and cash equivalents balance of approximately RMB 1,056,286 thousand as of December 31, 2024, down from RMB 1,195,896 thousand as of December 31, 2023[78] - The company has no outstanding bank financing as of December 31, 2024, indicating a debt-free status[75] Research and Development - The company plans to strategically focus on the development and industrialization of photodynamic therapy technology, leveraging its competitive advantages in this area[11] - The company aims to accelerate the research and industrialization of antibody-drug conjugates (ADCs), despite the competitive landscape in this field[11] - The company has established multiple technology platforms, including gene engineering and nanotechnology, to support ongoing drug development projects[10] - The company emphasizes a balanced approach between innovation and industrialization, as well as research and marketing[12] - Research and development expenses increased by 29% to RMB 314,162 thousand in 2024, up from RMB 243,763 thousand in 2023, reflecting a commitment to ongoing R&D projects[60] - The company is focusing on research and development in its advantageous fields, including photodynamic technology and nanotechnology[43] - The company is committed to continuous innovation and the development of new projects to provide valuable treatment options for patients[43] - The company has made significant progress in R&D, including the initiation of clinical trials for multiple drug candidates targeting various cancers and diseases[51] Clinical Trials and Product Development - The current pipeline includes photodynamic therapy (PDT) and photodynamic diagnosis (PDD), targeting conditions such as cervical precancerous lesions and breast cancer[14] - The photodynamic treatment for severe acne using aminolevulinic acid (ALA) has completed Phase II clinical trials, with results presented at the European Society for Dermatological Research meeting[20] - The clinical study for ALA in treating cervical precancerous lesions has completed Phase II trials and will soon enter Phase III trials, aiming for new indication registration[19] - The company is developing intraoperative molecular imaging (IMI) technology for real-time tumor visualization during surgeries, particularly for gliomas and bladder cancer[16] - The clinical trial for the use of aminolevulinic acid hydrochloride granules in non-muscle invasive bladder cancer (NMIBC) surgery has received approval, with the first subject enrolled during the reporting period[22] - The clinical trial for the use of aminolevulinic acid hydrochloride granules in breast-conserving surgery for breast cancer has also received approval, addressing a significant clinical need in real-time tumor margin assessment[24] - The global first photodynamic drug for treating infantile hemangioma, Heimofen, has completed the enrollment of the first subject in its Phase II clinical trial in the U.S.[25] - The first antibody-drug conjugate (ADC) developed by the company, targeting CD30, has had its Phase I clinical trial results presented at the American Society of Hematology meeting, although its advancement has been temporarily paused due to strategic considerations[27] - The second ADC targeting Trop2 for triple-negative breast cancer and other tumors has completed the enrollment of the first subject in its Phase III clinical trial for triple-negative breast cancer[28] Market and Industry Trends - The global pharmaceutical market is expected to exceed USD 1.1 trillion in 2024, with a projected compound annual growth rate of 3-6% until 2026[49] - By 2025, the Chinese pharmaceutical market is estimated to reach RMB 2.1 trillion, with the biopharmaceutical market expected to account for 48% of this[49] - The global biopharmaceutical industry is undergoing profound changes driven by new technologies, with a shift towards patent cooperation and mergers and acquisitions[50] - The Chinese pharmaceutical industry is a strategic emerging industry, with a focus on accelerating the development of innovative drugs and biomanufacturing as new growth engines[131] - The market for broad skin disease treatment and care in China grew from RMB 300.4 billion in 2017 to RMB 471.8 billion in 2021, with a compound annual growth rate of 11.95%[132] - The incidence of skin diseases is increasing, with a significant rise in the number of patients and treatment visits, indicating a growing market demand[132] Corporate Governance and Financial Policies - The company has established a robust corporate governance structure to enhance transparency and accountability, thereby protecting shareholder interests and boosting investor confidence[190] - The company has implemented a stable and proactive profit distribution policy since 2015, prioritizing cash dividends when profits are available[170] - The company plans to maintain a cash dividend ratio of no less than 10% of the distributable profits in the first three years post-IPO[170] - The company has a conservative financial policy to ensure that its assets do not bear unnecessary risks, with no outstanding bank loans as of the reporting date[79] Employee and Management Information - The employee cost for the year 2024, including director remuneration, was RMB 232,115 thousand, compared to RMB 238,468 thousand in 2023[82] - The company has not provided employee dormitories during the year, and details regarding housing provident funds are included in the financial statements[188] - The company has purchased liability and indemnity insurance for directors and senior management, covering responsibilities related to both H-shares and A-shares listings[199]

Financial Performance - In 2024, Hisense achieved a revenue of RMB 92.746 billion, representing a year-on-year growth of 8.35%[8] - The net profit attributable to shareholders reached RMB 3.348 billion, with a growth rate of 17.99%[8] - The compound annual growth rate (CAGR) for revenue over the past decade was 16%, while the CAGR for net profit attributable to shareholders was 21%[8] - Hisense has increased its dividend payout ratio from 30% to 50% of net profit, with a 95.9% year-on-year increase in dividends per share for 2023[15] - The company has cumulatively distributed approximately 5.05 billion yuan in dividends over the past ten years[15] - The company's cash flow from operating activities decreased by 51.64% year-on-year, amounting to approximately RMB 5.13 billion[64] - The weighted average return on equity is expected to rise to 23.27%, an increase of 0.63 percentage points from the previous year[64] - Hisense's total assets at the end of 2024 are projected to be approximately RMB 69.70 billion, a 5.69% increase from the end of 2023[64] - Total operating revenue for 2024 reached RMB 92.75 billion, an increase of 8.35% compared to RMB 85.60 billion in 2023[70] - Net profit attributable to shareholders for Q1 2024 was RMB 981.25 million, while Q4 2023 saw a decline to RMB 554.89 million[66] Market Expansion and Sales Growth - Hisense's overseas revenue exceeded RMB 35.6 billion, marking a year-on-year increase of 28%[12] - The market share of Hisense refrigerators in Europe reached 10.3%, while in South Africa it surpassed 34%[12] - The high-end product series, "Brilliant Series," saw a year-on-year growth of 52%[10] - The company plans to achieve peak carbon emissions by 2026 and carbon neutrality by 2050, as stated in its 2024 carbon neutrality white paper[14] - The overall market capacity for central air conditioning is expected to decline by 12.5% in 2024, influenced by a decrease in large public construction projects[17] - The domestic air conditioning market is projected to see a retail volume decline of 1.7% and a retail value decrease of 2.1% in 2024[18] - The refrigerator market is anticipated to grow by 4.9% in retail volume and 7.6% in retail value in 2024, driven by national subsidy policies[19] - The global automotive sales are expected to reach 89 million units in 2024, with a 24.4% increase in new energy vehicle sales[22] - In 2024, the penetration rate of smart air conditioners in the offline market reached 94.3%, an increase of 4.2%, while smart refrigerators reached 57.6%, an increase of 10.5%[23] - The export volume of cold products is expected to grow by 20% year-on-year in 2024, with air conditioning exports increasing by 28% and washing machine exports by 17%[24] Product Innovation and Technology - The company launched over 400 new technological achievements in 2024, enhancing its product innovation capabilities[9] - The "AI Air Butler" service for air quality management achieved the highest sales and revenue in the industry[10] - Hisense's new air conditioning products, including the Brilliant C3 series, are expected to lead the industry in both sales volume and revenue in 2024, with the Brilliant 72C310 dominating the fresh air cabinet segment[34] - The new M3 series solution can operate in extreme temperatures ranging from -30 to 58 degrees Celsius, providing stability in complex environments[30] - The smart building business experienced a growth rate of 22.5%, reflecting the company's ability to replace manual control with intelligent algorithms[31] - The company's new wind indoor unit meets ultra-energy-saving and high static pressure fresh air demands, showcasing innovation in the heat pump fresh air business[31] - Hisense's vacuum preservation technology has led to a 1.6 percentage point increase in high-end market share for its refrigerators in 2024[40] - The AI air management system can automatically adjust temperature and air quality based on user commands and environmental conditions[49] - The AI washing and care system can respond to specific user needs, such as removing pet hair or de-wrinkling suits, with tailored washing programs[50] - The AI food management system optimizes food preservation and cooking processes, enhancing user experience with smart features[51] Corporate Governance and Management - The company has established 22 leadership principles to improve strategic execution and organizational leadership among its management team[101] - The board consists of nine members, including six executive directors and three independent non-executive directors[124] - The company has established five specialized committees: Compensation and Assessment Committee, Nomination Committee, Strategy Committee, Audit Committee, and ESG Committee, with defined work guidelines[134] - The board has adopted a diversity policy, currently including one female director, Gao Yuling, who was appointed as an executive director on January 19, 2022, and as chairperson on November 21, 2024[126] - The board held 14 meetings in 2024, with a 100% attendance rate from all directors[128] - The company has implemented a system to ensure timely disclosure of interests and potential conflicts of interest by directors[128] - The company has committed to regular reviews of its corporate governance policies and compliance with relevant laws and regulations[131] - The independent non-executive directors' terms are set to expire on June 23, 2027[132] - The company has engaged Shinewing Certified Public Accountants to conduct independent audits of its internal control and risk management systems, with audit fees of approximately RMB 2.1 million for financial reporting and RMB 900,000 for internal control[185] Sustainability and Environmental Initiatives - Hisense has initiated a digital transformation, achieving a 37.59% reduction in material numbers and a 25.8% year-on-year decrease in order fulfillment cycle[13] - The company aims for a 10% improvement in manufacturing costs per unit by 2024 and a 14.9% increase in output per hour[13] - Hisense's Qingdao factory has been recognized as a global "lighthouse factory," marking a significant achievement in green manufacturing[14] - The company has achieved a 36% improvement in energy efficiency through systematic technological innovation in home air conditioning, establishing a comprehensive ecosystem covering product development and industry standards[94] - In the refrigerator segment, the company has reached a 30% increase in overall energy efficiency, meeting European A-level standards, while achieving a 14.2% reduction in carbon footprint through the use of recycled materials[95] - Hisense is focused on building a green and low-carbon transformation, implementing carbon neutrality strategies and improving ESG risk management mechanisms[108] Risks and Challenges - The company faces risks from macroeconomic fluctuations, rising costs, exchange rate volatility, and trade protectionism that could impact its operational performance[111]

Financial Performance - The company's operating revenue for the first quarter was RMB 179,906,064, representing a year-on-year increase of 21.85% compared to RMB 147,647,109 in the same period last year[5]. - Net profit attributable to shareholders was RMB 2,665,114, reflecting a growth of 13.53% from RMB 2,347,396 in the previous year[5]. - Net profit for Q1 2025 was RMB 2,581,403, compared to RMB 2,259,878 in Q1 2024, showing a growth of 14.2%[20]. Cash Flow - The net cash flow from operating activities decreased significantly by 84.34%, amounting to RMB 6,880,311, down from RMB 43,938,388 in the same period last year[5][10]. - For the first quarter of 2025, the net cash flow from operating activities was RMB 6,880,311, a decrease of 84.7% compared to RMB 43,938,388 in the first quarter of 2024[21]. - Total cash inflow from operating activities was RMB 238,939,006, down 2.9% from RMB 244,729,122 in the same period last year[21]. - Cash outflow from operating activities increased to RMB 232,058,695, up 15.5% from RMB 200,790,734 in the first quarter of 2024[21]. - The net cash flow from investing activities was -RMB 283,810,018, compared to -RMB 3,807,572 in the first quarter of 2024, indicating a significant increase in cash outflow[21]. - Cash inflow from investing activities totaled RMB 591,051,753, a decrease of 35.6% from RMB 919,724,441 in the previous year[21]. - Cash outflow from investing activities was RMB 874,861,771, down 5.3% from RMB 923,532,013 in the first quarter of 2024[21]. - The net cash flow from financing activities was -RMB 2,005,026, compared to -RMB 2,669,076 in the first quarter of 2024[21]. - The ending cash and cash equivalents balance was RMB 777,319,430, a decrease of 37.0% from RMB 1,233,394,449 at the end of the first quarter of 2024[21]. - The company received RMB 8,367,074 in other cash related to operating activities, an increase of 121.5% from RMB 3,769,626 in the first quarter of 2024[21]. - The company reported a cash flow impact from foreign exchange fluctuations of -RMB 31,466, compared to a positive impact of RMB 36,712 in the first quarter of 2024[21]. Research and Development - Research and development expenses totaled RMB 84,068,447, which is an increase of 31.00% compared to RMB 64,173,693 from the previous year[5][10]. - The ratio of R&D investment to operating revenue increased to 46.73%, up by 3.27 percentage points from 43.46% in the previous year[8]. - R&D expenses rose to RMB 84,068,447 in Q1 2025, compared to RMB 63,616,910 in Q1 2024, indicating a focus on innovation and product development[20]. Assets and Liabilities - Total assets at the end of the reporting period were RMB 2,531,022,514, a decrease of 2.14% from RMB 2,586,502,623 at the end of the previous year[8]. - The total assets as of March 31, 2025, amounted to RMB 2,531,022,514, a decrease from RMB 2,586,502,623 as of December 31, 2024[19]. - Total liabilities decreased to RMB 223,197,709 as of March 31, 2025, down from RMB 281,225,518 at the end of 2024[19]. - The total equity attributable to shareholders reached RMB 2,307,198,823 as of March 31, 2025, slightly up from RMB 2,304,567,412 at the end of 2024[19]. Shareholder Information - The company reported a total of 19,246 common shareholders at the end of the reporting period[13]. - The top ten shareholders held a combined total of 1,339,000,000 shares, representing significant ownership concentration[14]. Government Subsidies and Market Strategy - The company received government subsidies amounting to RMB 4,538,759, which are closely related to its normal business operations[7]. - The company plans to adjust its sales strategies and pricing for the drug Libao Duo® in response to changes in the national drug procurement landscape starting April 2025[17]. - The company is focusing on optimizing its marketing network and customer base in light of provincial medical insurance policies[17]. Credit Impairment - The company reported a significant increase in credit impairment losses, amounting to RMB 14,720,951 in Q1 2025, compared to a reversal of RMB 5,559,028 in Q1 2024[20].