香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 北 京 迪 信 通 商 貿 股 份 有 限 公 司 Beijing Digital Telecom Co., Ltd. （ 於 中 華 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司 ） （股 份 代 號：6188） 有關截至2024年12月31日止年度之年報 的補充公告 茲提述北京迪信通商貿股份有限公司（「本公司」，連同附屬公司統稱「本集團」） 於2025年4月29日在香港聯合交易所有限公司網站及本公司網站刊發之截至2024年 12月31日止年度之年報（「年報」）。除另有界定者外，本公告所用詞彙與年報所界 定者具有相同涵義。 除年報所提供的資料外，本公司謹此進一步通知本公司股東及潛在投資者以下資料： （各賬齡組別的歷史虧損率）x（1 +前瞻性調整因素） 有擔保應收賬款及有擔保其他應收款項的賬齡情況 於2024年12月31日，有擔保應收賬款及有擔保其他應收款項的賬面總值分別約為 人民幣6 ...

[Company Information](index=3&type=section&id=Company%20Information) [Board of Directors](index=3&type=section&id=Board%20of%20Directors) The company's Board of Directors consists of executive, non-executive, and independent non-executive directors, led by Mr. Yang Jian as Chairman - Executive Director: **Mr. Gong Xin**[5](index=5&type=chunk) - Non-executive Directors: **Mr. Yang Jian** (Chairman of the Board), **Mr. Zhang Quan**, **Mr. Liu Jinliang**, **Mr. Li Yang**, **Ms. Zhou Xiaohong**[5](index=5&type=chunk) - Independent Non-executive Directors: **Ms. Liu Xin**, **Ms. Liu Ning**, **Mr. Fu Qiang**[5](index=5&type=chunk) [Audit Committee](index=3&type=section&id=Audit%20Committee) The Audit Committee is composed of Ms. Liu Xin (Chairperson), Mr. Zhang Quan, and Ms. Liu Ning - Members include **Ms. Liu Xin** (Chairperson), **Mr. Zhang Quan**, and **Ms. Liu Ning**[5](index=5&type=chunk) [Remuneration Committee](index=3&type=section&id=Remuneration%20Committee) The Remuneration Committee comprises Mr. Fu Qiang (Chairman), Mr. Gong Xin, and Ms. Liu Xin - Members include **Mr. Fu Qiang** (Chairman), **Mr. Gong Xin**, and **Ms. Liu Xin**[5](index=5&type=chunk) [Nomination Committee](index=3&type=section&id=Nomination%20Committee) The Nomination Committee is composed of Mr. Yang Jian (Chairman), Ms. Liu Ning, and Mr. Fu Qiang - Members include **Mr. Yang Jian** (Chairman), **Ms. Liu Ning**, and **Mr. Fu Qiang**[5](index=5&type=chunk) [Joint Company Secretaries](index=3&type=section&id=Joint%20Company%20Secretaries) The Joint Company Secretaries are Mr. Zhong Xueyin and Mr. Li Zhongcheng - Joint Company Secretaries: **Mr. Zhong Xueyin**, **Mr. Li Zhongcheng**[5](index=5&type=chunk) [Authorized Representatives](index=3&type=section&id=Authorized%20Representatives) The Authorized Representatives are Mr. Gong Xin and Mr. Li Zhongcheng - Authorized Representatives: **Mr. Gong Xin**, **Mr. Li Zhongcheng**[5](index=5&type=chunk) [Auditor](index=3&type=section&id=Auditor) The company's auditor is PricewaterhouseCoopers - Auditor: **PricewaterhouseCoopers**[5](index=5&type=chunk) [Registered Office](index=3&type=section&id=Registered%20Office) The company's registered office is located in the Cayman Islands - Registered Office: P.O. Box 31119, Grand Pavilion Hibiscus Way, 802 West Bay Road Grand Cayman, KY1-1205 Cayman Islands[5](index=5&type=chunk) [Headquarters and Principal Place of Business in China](index=3&type=section&id=Headquarters%20and%20Principal%20Place%20of%20Business%20in%20China) The company's headquarters and principal place of business in China are located in Suzhou, Jiangsu Province, China - Headquarters and Principal Place of Business in China: Building 1, Xinhui Lake Building, No. 66 Lugang Street, High-speed Rail New City, Xiangcheng District, Suzhou, Jiangsu Province, China[5](index=5&type=chunk) [Principal Place of Business in Hong Kong](index=3&type=section&id=Principal%20Place%20of%20Business%20in%20Hong%20Kong) The company's principal place of business in Hong Kong is located in Wan Chai, Hong Kong - Principal Place of Business in Hong Kong: 46th Floor, Hopewell Centre, 183 Queen's Road East, Wan Chai, Hong Kong[5](index=5&type=chunk) [Legal Advisers](index=4&type=section&id=Legal%20Advisers) The company's legal advisers include Latham & Watkins LLP (Hong Kong law), King & Wood Mallesons (PRC law), and Ogier (Cayman Islands law) - Legal Adviser for Hong Kong Law: **Latham & Watkins LLP**[6](index=6&type=chunk) - Legal Adviser for PRC Law: **King & Wood Mallesons**[6](index=6&type=chunk) - Legal Adviser for Cayman Islands Law: **Ogier**[6](index=6&type=chunk) [Compliance Adviser](index=4&type=section&id=Compliance%20Adviser) The company's compliance adviser is Halcyon Capital Limited - Compliance Adviser: **Halcyon Capital Limited**[6](index=6&type=chunk) [Hong Kong Share Registrar](index=4&type=section&id=Hong%20Kong%20Share%20Registrar) The company's Hong Kong share registrar is Computershare Hong Kong Investor Services Limited - Hong Kong Share Registrar: **Computershare Hong Kong Investor Services Limited**[6](index=6&type=chunk) [Principal Share Registrar](index=4&type=section&id=Principal%20Share%20Registrar) The company's principal share registrar is Vistra (Cayman) Limited - Principal Share Registrar: **Vistra (Cayman) Limited**[6](index=6&type=chunk) [Principal Banks](index=4&type=section&id=Principal%20Banks) The company's principal banks include China Merchants Bank Suzhou Branch and Bank of China Zhejiang Provincial Branch - Principal Banks: **China Merchants Bank Suzhou Branch**, **Bank of China Zhejiang Provincial Branch**[6](index=6&type=chunk) [Stock Code](index=4&type=section&id=Stock%20Code) The company's stock code is 2643 - Stock Code: **2643**[6](index=6&type=chunk) [Company Website](index=4&type=section&id=Company%20Website) The company's website is www.caocao.com.cn - Company Website: **www.caocao.com.cn**[6](index=6&type=chunk) [Listing Date](index=4&type=section&id=Listing%20Date) The company's listing date is June 25, 2025 - Listing Date: **June 25, 2025**[6](index=6&type=chunk) [Summary](index=5&type=section&id=Summary) [Financial Highlights](index=5&type=section&id=Financial%20Highlights) For the six months ended June 30, 2025, the company's revenue increased by **53.5%** to **RMB 9.456 billion**, gross margin improved by **1.4 percentage points** to **8.4%**, loss for the period narrowed by **39.8%**, adjusted net loss narrowed by **34.0%**, and net cash from operating activities significantly increased by **164.6%** 2025 H1 Financial Highlights (RMB thousands) | Indicator | 2025 | 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 9,455,968 | 6,160,176 | 53.5% | | Gross Margin | 8.4% | 7.0% | 1.4 percentage points | | Loss for the Period | (468,208) | (778,093) | 39.8% | | Adjusted Net Loss (Non-IFRS Measure) | (329,641) | (499,823) | 34.0% | | Adjusted Loss Margin (Non-IFRS Measure) | (3.5%) | (8.1%) | 4.6 percentage points | | Net Cash from Operating Activities | 325,206 | 122,906 | 164.6% | [Operating Metrics](index=5&type=section&id=Operating%20Metrics) For the six months ended June 30, 2025, the company's Gross Transaction Value (GTV) and order volume increased by **53.6%** and **49.0%** year-on-year, respectively, with significant growth in average monthly active users and drivers 2025 H1 Key Operating Metrics | Indicator | 2025 | 2024 | YoY Change (%) | | :--- | :--- | :--- | :--- | | GTV (RMB millions) | 10,954 | 7,132 | 53.6 | | Order Volume (thousands) | 379,505 | 254,766 | 49.0 | | AOV (RMB yuan) | 28.9 | 28.0 | 3.2 | | Daily Order Volume (thousands) | 2,108 | 1,400 | 50.6 | | Average Monthly Active Users (millions) | 38.1 | 24.2 | 57.4 | | Average Monthly Active Drivers (thousands) | 554 | 361 | 53.5 | [Business Overview](index=6&type=section&id=Business%20Overview) [Company Background and Market Position](index=6&type=section&id=Company%20Background%20and%20Market%20Position) Caocao Mobility, incubated by Geely Group, is China's second-largest ride-hailing platform by 2024 GTV, known for its excellent service quality and customized fleet - The company was incubated by Geely Group, established in 2015 with a mission to reshape green shared mobility through technology[11](index=11&type=chunk) - According to Frost & Sullivan, the company is China's **second-largest ride-hailing platform by 2024 GTV**[11](index=11&type=chunk) - Caocao Mobility was rated "Best Service Reputation" and ranked first in user recognition in quarterly surveys from Q4 2023 to Q2 2025[12](index=12&type=chunk) [Revenue Streams and Business Scope](index=6&type=section&id=Revenue%20Streams%20and%20Business%20Scope) The company's revenue primarily stems from mobility services, particularly ride-hailing, and also offers vehicle leasing and sales services, operating in **163 cities** with a customized fleet of over **37,000 vehicles** as of June 30, 2025 - Revenue primarily derived from mobility services, especially ride-hailing, with additional vehicle leasing and sales services[11](index=11&type=chunk) - As of June 30, 2025, the company operates in **163 cities**[12](index=12&type=chunk) - Over **37,000 customized vehicles** are deployed for affiliated drivers as of June 30, 2025[12](index=12&type=chunk) - Customized vehicles contributed **RMB 2.5 billion** in GTV, a **34.7%** year-on-year increase[12](index=12&type=chunk) - Vehicle sales significantly increased from **2,826 units** in H1 2024 to **7,993 units** in H1 2025[12](index=12&type=chunk) [Market Opportunities and Growth Strategy](index=6&type=section&id=Market%20Opportunities%20and%20Growth%20Strategy) China's shared mobility market is vast with low penetration, projected for continuous growth, and the company aims for revenue growth and margin improvement through strategic positioning, economies of scale, and operational efficiency - China's shared mobility market is projected to grow at a **CAGR of 17.0%** from 2025, reaching **RMB 804.2 billion** by 2029[13](index=13&type=chunk) - Market penetration is expected to increase from **4.3%** in 2024 to **7.6%** in 2029[13](index=13&type=chunk) - Revenue for the six months ended June 30, 2025, increased by **53.5%** year-on-year to **RMB 9.5 billion**[13](index=13&type=chunk) - Gross margin improved from **7.0%** in H1 2024 to **8.4%** in H1 2025[13](index=13&type=chunk) - The company will continue to optimize its growth strategy, aiming for a healthy combination of rapid growth and profitability, benefiting from competitive advantages, geographical expansion, Robotaxi development, and strategic relationship with Geely Group[15](index=15&type=chunk) [Robotaxi Services](index=7&type=section&id=Robotaxi%20Services) The company continues to invest in its autonomous driving platform, Caocao Zhixing, expanding Robotaxi coverage and collaborating with Geely Group on customized vehicle development, having completed over **15,000 km** of autonomous driving test mileage in Suzhou and Hangzhou as of June 30, 2025 - Continued investment in its autonomous driving platform, Caocao Zhixing, to enhance Robotaxi operational capabilities and gradually expand coverage[16](index=16&type=chunk) - Collaboration with Geely Group on developing autonomous driving technology and customized vehicles pre-installed with proprietary autonomous driving components[16](index=16&type=chunk) - Deployment of the latest generation of Robotaxis since April 2025, featuring Geely's newest redundant architecture design[16](index=16&type=chunk) - As of June 30, 2025, Caocao Zhixing has accumulated over **15,000 km** of autonomous driving test mileage in Suzhou and Hangzhou[16](index=16&type=chunk) [Vehicle Sales](index=7&type=section&id=Vehicle%20Sales) The market for mobility service vehicle sales is growing significantly, and the company strategically focuses on this segment, with vehicle sales increasing by **137.3%** to **7,993 units** and sales revenue reaching **RMB 743.6 million** for the six months ended June 30, 2025 - The mobility operation vehicle sales market is projected to grow at a **CAGR of 8.2%** from **RMB 260.4 billion** in 2025 to **RMB 357.5 billion** in 2029[17](index=17&type=chunk) - Vehicle sales significantly increased from **2,826 units** in H1 2024 to **7,993 units** in H1 2025[17](index=17&type=chunk) - Vehicle sales revenue increased by **137.3%** year-on-year to **RMB 743.6 million**[17](index=17&type=chunk) [Geographical Coverage](index=8&type=section&id=Geographical%20Coverage) The company plans to continue expanding its geographical coverage, particularly in lower-tier cities, by selling customized vehicles to local capacity partners, having entered **27 new cities** - Expected to continue expanding geographical coverage, with a focus on lower-tier cities[19](index=19&type=chunk) - Entered **27 new cities** by selling customized vehicles to local capacity partners for the six months ended June 30, 2025[19](index=19&type=chunk) [Corporate Social Responsibility](index=8&type=section&id=Corporate%20Social%20Responsibility) The company actively promotes corporate social responsibility initiatives, including accessibility services, driver rights protection, and support for drivers' children's education - Launched an accessibility public welfare brand on March 28, 2025, deploying over **1,000 accessible vehicles** in more than 20 key cities, serving over **5 million passenger trips**[21](index=21&type=chunk) - As the first platform in the industry to participate in the pilot program for occupational injury protection for new employment forms, committed to reducing driver occupational injury risks and providing comprehensive insurance coverage[22](index=22&type=chunk) - Initiated the Luming Plan and Qingdou Plan since 2021, offering scholarships and educational assistance to children of high-performing drivers for college entrance examinations[23](index=23&type=chunk) [Management Discussion and Analysis](index=9&type=section&id=Management%20Discussion%20and%20Analysis) [Financial Review](index=9&type=section&id=Financial%20Review) This section provides a detailed review of the company's financial performance for the six months ended June 30, 2025, including changes in revenue, costs, gross profit, various expenses, finance costs, and loss for the period, along with their primary drivers [Operating Results](index=9&type=section&id=Operating%20Results) In H1 2025, the company achieved revenue of **RMB 9.456 billion**, a **53.5%** year-on-year increase, with gross profit of **RMB 796 million** and a gross margin of **8.4%**, while the loss for the period narrowed to **RMB 468 million** Condensed Consolidated Statement of Comprehensive Loss Summary (RMB thousands) | Indicator | 2025 (RMB thousands) | 2025 (%) | 2024 (RMB thousands) | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Revenue | 9,455,968 | 100 | 6,160,176 | 100 | | Cost of Sales | (8,659,954) | (91.6) | (5,731,682) | (93.0) | | Gross Profit | 796,014 | 8.4 | 428,494 | 7.0 | | Selling and Marketing Expenses | (840,728) | (8.9) | (519,239) | (8.4) | | General and Administrative Expenses | (452,618) | (4.8) | (382,073) | (6.2) | | Research and Development Expenses | (116,903) | (1.2) | (125,641) | (2.0) | | Other Income | 112,840 | 1.2 | 81,108 | 1.3 | | Net Other Income | 5,496 | 0.1 | 14,298 | 0.2 | | Reversal of Impairment Loss on Financial Assets / (Net Impairment Loss) | 1,703 | 0.0 | (3,931) | (0.1) | | Operating Loss | (494,196) | (5.2) | (506,984) | (8.2) | | Net Finance Costs | (144,239) | (1.5) | (159,265) | (2.6) | | Change in Carrying Amount of Financial Liabilities at Fair Value Through Profit or Loss | 138,864 | 1.4 | (64,532) | (1.1) | | Loss Before Income Tax | (499,571) | (5.3) | (730,781) | (11.9) | | Income Tax Credit / (Expense) | 31,363 | 0.3 | (47,312) | (0.7) | | Loss for the Period | (468,208) | (5.0) | (778,093) | (12.6) | [Revenue](index=10&type=section&id=Revenue) The company's total revenue increased by **53.5%** year-on-year to **RMB 9.5 billion**, primarily driven by strong growth in mobility services and vehicle sales - Total revenue increased by **53.5%** from **RMB 6.2 billion** in H1 2024 to **RMB 9.5 billion** in H1 2025[28](index=28&type=chunk) Revenue Breakdown (RMB thousands) | Revenue Source | 2025 (RMB thousands) | 2025 (%) | 2024 (RMB thousands) | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Mobility Services | 8,600,024 | 90.9 | 5,741,834 | 93.2 | | Vehicle Sales | 743,587 | 7.9 | 313,320 | 5.1 | | Vehicle Leasing | 103,923 | 1.1 | 82,700 | 1.3 | | Others | 8,434 | 0.1 | 22,322 | 0.4 | | Total | 9,455,968 | 100.0 | 6,160,176 | 100.0 | - Mobility services revenue同比增長49.8%至人民幣86億元，得益於地域擴展、用戶流量增加及品牌認知度提升[30](index=30&type=chunk) - Vehicle sales revenue increased by **137.3%** year-on-year to **RMB 743.6 million**, primarily due to the establishment of a sales system and strategic expansion, with sales volume increasing to **7,993 units**[32](index=32&type=chunk) - Vehicle leasing revenue increased by **25.7%** year-on-year to **RMB 103.9 million**, but its proportion of total revenue is not significant[33](index=33&type=chunk) [Cost of Sales](index=11&type=section&id=Cost%20of%20Sales) Cost of sales increased by **51.1%** year-on-year to **RMB 8.66 billion**, mainly due to higher driver income and incentives for mobility services, increased cost of vehicles sold, and commissions to capacity partners - Cost of sales increased by **51.1%** from **RMB 5.7317 billion** in H1 2024 to **RMB 8.66 billion** in H1 2025[34](index=34&type=chunk) - The primary reasons were increased driver income and incentives for mobility services, higher cost of vehicles sold, and increased commissions paid to capacity partners[34](index=34&type=chunk) [Gross Profit and Gross Margin](index=11&type=section&id=Gross%20Profit%20and%20Gross%20Margin) Gross profit increased to **RMB 796 million**, and gross margin improved to **8.4%**, primarily benefiting from economies of scale and enhanced operational efficiency - Gross profit increased from **RMB 428.5 million** in H1 2024 to **RMB 796 million** in H1 2025[35](index=35&type=chunk) - Gross margin improved from **7.0%** in H1 2024 to **8.4%** in H1 2025[35](index=35&type=chunk) - The improvement in gross margin is mainly attributed to revenue growth outpacing cost of sales growth, benefiting from economies of scale and improved operating efficiency[35](index=35&type=chunk) [Selling and Marketing Expenses](index=11&type=section&id=Selling%20and%20Marketing%20Expenses) Selling and marketing expenses increased by **61.9%** year-on-year to **RMB 840.7 million**, primarily due to higher aggregation platform commissions, partially offset by reduced promotion, advertising, and customer referral subsidies - Selling and marketing expenses increased by **61.9%** from **RMB 519.2 million** in H1 2024 to **RMB 840.7 million** in H1 2025[36](index=36&type=chunk) - Aggregation platform commissions increased by **70.0%** to **RMB 738 million**, while promotion, advertising, and customer referral subsidies decreased by **21.1%** to **RMB 39.3 million**[36](index=36&type=chunk) [General and Administrative Expenses](index=12&type=section&id=General%20and%20Administrative%20Expenses) General and administrative expenses increased by **18.5%** year-on-year to **RMB 452.6 million**, mainly due to higher share-based payment expenses and listing expenses - General and administrative expenses increased by **18.5%** from **RMB 382.1 million** in H1 2024 to **RMB 452.6 million** in H1 2025[38](index=38&type=chunk) - The main reasons were increased share-based payment expenses and higher listing expenses[38](index=38&type=chunk) [Research and Development Expenses](index=12&type=section&id=Research%20and%20Development%20Expenses) Research and development expenses decreased by **7.0%** year-on-year to **RMB 116.9 million**, primarily due to reduced expenses related to mature existing vehicle technologies and a slight decrease in R&D personnel - Research and development expenses decreased by **7.0%** from **RMB 125.6 million** in H1 2024 to **RMB 116.9 million** in H1 2025[39](index=39&type=chunk) - The main reasons were reduced expenses related to customized vehicle technical services and a slight decrease in the number of R&D personnel[39](index=39&type=chunk) [Other Income](index=12&type=section&id=Other%20Income) Other income increased by **39.1%** year-on-year to **RMB 112.8 million**, primarily due to increased government subsidies - Other income increased by **39.1%** from **RMB 81.1 million** in H1 2024 to **RMB 112.8 million** in H1 2025[40](index=40&type=chunk) - The main reason was increased government subsidies related to local taxes paid to local governments[40](index=40&type=chunk) [Net Other Income](index=12&type=section&id=Net%20Other%20Income) Net other income decreased by **61.6%** year-on-year to **RMB 5.5 million**, primarily due to reduced income from the disposal of property, plant, and equipment and assets classified as held for sale - Net other income decreased by **61.6%** from **RMB 14.3 million** in H1 2024 to **RMB 5.5 million** in H1 2025[41](index=41&type=chunk) - The main reason was reduced income from the disposal of property, plant, and equipment and assets classified as held for sale[41](index=41&type=chunk) [Net Finance Costs](index=13&type=section&id=Net%20Finance%20Costs) Net finance costs decreased by **9.4%** year-on-year to **RMB 144.2 million**, primarily due to reduced interest expenses on borrowings, despite a decrease in interest income from cash and cash equivalents - Finance income decreased by **66.0%** from **RMB 6.3 million** in H1 2024 to **RMB 2.2 million** in H1 2025, mainly due to reduced interest income from cash and cash equivalents[43](index=43&type=chunk) - Finance costs decreased by **11.6%** from **RMB 165.6 million** in H1 2024 to **RMB 146.4 million** in H1 2025, mainly due to reduced interest expenses on borrowings[43](index=43&type=chunk) - Net finance costs decreased by **9.4%** from **RMB 159.3 million** in H1 2024 to **RMB 144.2 million** in H1 2025[43](index=43&type=chunk) [Fair Value Change of Financial Liabilities at Fair Value Through Profit or Loss](index=13&type=section&id=Fair%20Value%20Change%20of%20Financial%20Liabilities%20at%20Fair%20Value%20Through%20Profit%20or%20Loss) The company recognized a fair value gain of approximately **RMB 138.9 million**, primarily due to the reclassification of financial liabilities to equity following the conversion of Series B preferred shares to ordinary shares after listing - As of June 30, 2025, financial liabilities at fair value through profit or loss were **zero**, compared to **RMB 1.9719 billion** as of December 31, 2024[44](index=44&type=chunk) - Following the listing on June 25, 2025, Series B preferred shares were converted to ordinary shares, and financial liabilities at fair value through profit or loss were reclassified to equity[44](index=44&type=chunk) - A fair value gain of approximately **RMB 138.9 million** was recognized[44](index=44&type=chunk) [Income Tax Credit / (Expense)](index=13&type=section&id=Income%20Tax%20Credit%20%2F%20%28Expense%29) The company recorded an income tax credit of **RMB 31.4 million** in H1 2025, compared to an income tax expense in the prior period, mainly due to an increase in deferred tax assets - An income tax credit of **RMB 31.4 million** was recorded for the six months ended June 30, 2025, compared to an income tax expense of **RMB 47.3 million** for the same period in 2024[45](index=45&type=chunk) - The change is primarily due to an increase in deferred tax assets arising from tax losses carried forward by certain subsidiaries[45](index=45&type=chunk) [Loss for the Period](index=13&type=section&id=Loss%20for%20the%20Period) Loss for the period decreased by **39.8%** year-on-year to **RMB 468.2 million** - Loss for the period decreased by **39.8%** from **RMB 778.1 million** in H1 2024 to **RMB 468.2 million** in H1 2025[46](index=46&type=chunk) [Non-IFRS Measures](index=14&type=section&id=Non-IFRS%20Measures) The company uses adjusted loss and adjusted EBITDA as non-IFRS measures to provide a clearer comparison of operating performance, with both showing improvement in H1 2025 - Adjusted net loss (Non-IFRS measure) decreased by **34.0%** from **RMB 499.8 million** in H1 2024 to **RMB 329.6 million** in H1 2025[51](index=51&type=chunk) - Adjusted loss margin (Non-IFRS measure) improved from **(8.1%)** in H1 2024 to **(3.5%)** in H1 2025[51](index=51&type=chunk) - Adjusted EBITDA (Non-IFRS measure) increased by **42.9%** from **RMB 91.99 million** in H1 2024 to **RMB 131.5 million** in H1 2025[53](index=53&type=chunk) - Adjusted EBITDA margin (Non-IFRS measure) slightly decreased from **1.5%** in H1 2024 to **1.4%** in H1 2025[53](index=53&type=chunk) Reconciliation of Adjusted Loss and Adjusted EBITDA (RMB thousands) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Loss for the Period | (468,208) | (778,093) | | Net Loss Margin (%) | (5.0) | (12.6) | | Add: Listing Expenses | 42,057 | 9,354 | | Add: Share-based Payment Expenses | 235,374 | 204,384 | | Add: Fair Value Change of Financial Liabilities at Fair Value Through Profit or Loss | (138,864) | 64,532 | | Adjusted Loss for the Period (Non-IFRS Measure) | (329,641) | (499,823) | | Adjusted Loss Margin (Non-IFRS Measure) (%) | (3.5) | (8.1) | | EBITDA (Non-IFRS Measure) | (7,091) | (186,284) | | EBITDA Margin (Non-IFRS Measure) (%) | (0.1) | (3.0) | | Adjusted EBITDA (Non-IFRS Measure) | 131,476 | 91,986 | | Adjusted EBITDA Margin (Non-IFRS Measure) (%) | 1.4 | 1.5 | [Debt](index=16&type=section&id=Debt) As of June 30, 2025, the company's total debt was **RMB 7.8067 billion**, a decrease from the end of 2024, with a gearing ratio of **124.8%**, and approximately **RMB 7.4 billion** in unutilized bank credit facilities Debt Details (RMB thousands) | Category | As of June 30, 2025 | As of December 31, 2024 | | :--- | :--- | :--- | | Subtotal Current Portion | 6,238,537 | 7,717,479 | | Subtotal Non-current Portion | 1,568,148 | 1,601,730 | | Total | 7,806,685 | 9,319,209 | - As of June 30, 2025, total borrowings amounted to **RMB 7.6889 billion**[58](index=58&type=chunk) - As of June 30, 2025, the company had approximately **RMB 7.4 billion** in unutilized bank credit facilities[58](index=58&type=chunk) - Total lease liabilities (current and non-current portions) were **RMB 117.8 million**, a slight increase from the end of 2024[61](index=61&type=chunk) - As of June 30, 2025, other payables were **zero**, with amounts from the end of 2024 having been settled[62](index=62&type=chunk) - As of June 30, 2025, the gearing ratio was **124.8%**[63](index=63&type=chunk) [Liquidity and Capital Resources](index=19&type=section&id=Liquidity%20and%20Capital%20Resources) The company's cash and cash equivalents significantly increased to **RMB 2.1984 billion**, with net cash from operating activities growing substantially; the company raised funds through various channels, including a global offering, asset-backed securities, and bank borrowings, and secured approval for new asset-backed securities shelf offerings - Cash and cash equivalents increased from **RMB 1.5349 billion** in H1 2024 to **RMB 2.1984 billion** in H1 2025, primarily due to net proceeds from the global offering[66](index=66&type=chunk)[68](index=68&type=chunk) - Net cash from operating activities increased from **RMB 122.9 million** in H1 2024 to **RMB 325.2 million** in H1 2025, mainly due to improved profitability and operational efficiency[68](index=68&type=chunk) Cash Flow Summary (RMB thousands) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash from Operating Activities | 325,206 | 122,906 | | Net Cash (Used in) / From Investing Activities | (235,804) | 21,569 | | Net Cash from Financing Activities | 1,949,457 | 807,468 | | Net Increase in Cash and Cash Equivalents | 2,038,859 | 951,943 | | Cash and Cash Equivalents at Beginning of Period | 159,497 | 582,995 | | Effect of Exchange Rate Changes on Cash and Cash Equivalents | 3 | 1 | | Cash and Cash Equivalents at End of Period | 2,198,359 | 1,534,939 | - Approval for a **RMB 6 billion** asset-backed securities shelf offering was obtained in April 2025, with the first tranche of **RMB 1.5 billion** already issued[69](index=69&type=chunk) - An application for a new **RMB 5.5 billion** asset-backed securities shelf offering was submitted to the Shanghai Stock Exchange and approved on August 22, 2025[69](index=69&type=chunk) - As of June 30, 2025, unutilized bank credit facilities amounted to approximately **RMB 7.4 billion**[69](index=69&type=chunk) - Capital expenditures primarily for the purchase of property, plant, and equipment amounted to **RMB 234 million** in H1 2025, largely consistent with the prior year[70](index=70&type=chunk) - As of June 30, 2025, total outstanding capital commitments were **RMB 9.5 million**, a significant decrease from the end of 2024[71](index=71&type=chunk) [Pledge of Assets](index=21&type=section&id=Pledge%20of%20Assets) The company's asset-backed securities are pledged against the right to receive service fees from ride-hailing services using certain group-owned vehicles and are guaranteed by Geely Holding; as of June 30, 2025, total pledged assets amounted to **RMB 1.0443 billion** - Asset-backed securities are pledged against the right to receive service fees generated from ride-hailing services using certain group-owned vehicles and are guaranteed by Geely Holding[75](index=75&type=chunk) Carrying Amount of Assets Pledged as Security (RMB thousands) | Category | As of June 30, 2025 | As of December 31, 2024 | | :--- | :--- | :--- | | Vehicles Pledged under Asset-Backed Securities Arrangements | 1,038,815 | 1,194,612 | | Vehicles Pledged under Finance Lease Arrangements | 5,481 | 77,995 | | Total | 1,044,296 | 1,272,607 | [Future Plans for Material Investments and Capital Assets](index=21&type=section&id=Future%20Plans%20for%20Material%20Investments%20and%20Capital%20Assets) As of June 30, 2025, the company has no specific plans for material investments or acquisitions of capital assets - As of June 30, 2025, the company has no specific plans for material investments or acquisitions of capital assets[76](index=76&type=chunk) [Foreign Currency Exchange Risk](index=21&type=section&id=Foreign%20Currency%20Exchange%20Risk) The company primarily operates in China, with most transactions settled in RMB, and considers its exposure to exchange rate fluctuations insignificant, thus not hedging against foreign currency risks - The company primarily operates in China, with most transactions settled in RMB[77](index=77&type=chunk) - Proceeds from the global offering were received in HKD but converted to RMB after the reporting period, resulting in no significant exchange gains or losses[77](index=77&type=chunk) - The company considers its exposure to exchange rate fluctuations insignificant and therefore does not hedge against any foreign currency fluctuations[77](index=77&type=chunk) [Corporate Governance and Other Information](index=22&type=section&id=Corporate%20Governance%20and%20Other%20Information) [Disclosure of Interests](index=22&type=section&id=Disclosure%20of%20Interests) This section discloses the interests and short positions of directors, chief executives, and substantial shareholders in the company's shares and related shares as of June 30, 2025 [Interests and Short Positions of Directors and Chief Executives in Shares, Underlying Shares, and Debentures of the Company or any Associated Corporation](index=22&type=section&id=Interests%20and%20Short%20Positions%20of%20Directors%20and%20Chief%20Executives%20in%20Shares%2C%20Underlying%20Shares%2C%20and%20Debentures%20of%20the%20Company%20or%20any%20Associated%20Corporation) As of June 30, 2025, Executive Director Mr. Gong Xin and Non-executive Director Mr. Liu Jinliang held **2.80%** and **1.02%** of the company's shares, respectively Interests of Directors or Chief Executives in the Company's Shares | Name of Director or Chief Executive | Capacity / Nature of Interest | Number of Shares Held | Approximate Percentage of Interest in the Company | | :--- | :--- | :--- | :--- | | Mr. Gong Xin | Beneficial Owner | 15,221,429 (L) | 2.80% | | Mr. Liu Jinliang | Beneficial Owner | 5,555,556 (L) | 1.02% | - The beneficial ownership of the listed directors refers to the shares underlying the share options granted to them under the pre-IPO share incentive scheme[79](index=79&type=chunk) [Interests and Short Positions of Substantial Shareholders in Shares and Underlying Shares](index=23&type=section&id=Interests%20and%20Short%20Positions%20of%20Substantial%20Shareholders%20in%20Shares%20and%20Underlying%20Shares) As of June 30, 2025, Mr. Li and his wholly-owned Ugo Investment Limited were substantial shareholders, collectively holding approximately **77.06%** of the company's equity and controlling an additional **3.93%** of voting rights through a voting proxy arrangement, while Xiangcheng Xiangxing Venture Capital held **6.84%** equity Interests of Substantial Shareholders in Shares and Underlying Shares | Name of Substantial Shareholder | Capacity / Nature of Interest | Number of Shares Held | Approximate Percentage of Equity in the Company | | :--- | :--- | :--- | :--- | | Mr. Li | Controlled Corporation Interest | 419,346,000 (L) | 77.06% | | | Voting Proxy Arrangement Interest | 21,403,500 (L) | 3.93% | | Ugo Investment Limited | Beneficial Owner | 419,346,000 (L) | 77.06% | | | Voting Proxy Arrangement Interest | 21,403,500 (L) | 3.93% | | Xiangcheng Xiangxing Venture Capital | Beneficial Owner | 37,234,000 (L) | 6.84% | - Mr. Li holds shares through Ugo Investment Limited, which is wholly owned by him[83](index=83&type=chunk) - Under the voting proxy agreement, Oceanpine Marvel has entrusted Ugo Investment Limited to exercise the voting rights attached to its shares[83](index=83&type=chunk) [Pre-IPO Incentive Scheme](index=24&type=section&id=Pre-IPO%20Incentive%20Scheme) The company adopted a pre-IPO employee share ownership scheme in November 2022 to incentivize employees through share options, aligning personal interests with shareholder interests; as of June 30, 2025, **53,510,685 shares** related to unexercised share options remained under the scheme [Pre-IPO Employee Share Ownership Scheme](index=24&type=section&id=Pre-IPO%20Employee%20Share%20Ownership%20Scheme) This scheme aims to link employee interests with shareholder interests and promote company success by granting share options or other awards, with a maximum of **55,555,600 shares** issuable and a typical four-year vesting period - Scheme Purpose: To promote the company's success and enhance value by aligning employees' personal interests with shareholders' interests and providing incentives[86](index=86&type=chunk) - Award Types: Grant of share options to purchase shares, or other awards determined by the administrator[86](index=86&type=chunk) - Maximum Number of Shares: The maximum total number of shares issuable under all awards granted under the scheme is **55,555,600 shares**[89](index=89&type=chunk) - Vesting Schedule: Unless otherwise approved by the Board, the vesting schedule for each grant is four years, with **25%** vesting annually[89](index=89&type=chunk) [Unexercised Share Options Granted Under the Pre-IPO Employee Share Ownership Scheme](index=25&type=section&id=Unexercised%20Share%20Options%20Granted%20Under%20the%20Pre-IPO%20Employee%20Share%20Ownership%20Scheme) As of June 30, 2025, the number of shares related to unexercised share options granted under the pre-IPO share incentive scheme was **53,510,685**, representing approximately **9.83%** of the issued shares - As of June 30, 2025, the number of shares related to unexercised share options was **53,510,685**, equivalent to approximately **9.83%** of the issued shares[90](index=90&type=chunk) - As of June 30, 2025, share options were conditionally granted to **735 participants** and remain unexercised[90](index=90&type=chunk) - All share options were granted between November 30, 2022, and June 10, 2025, with no share options available for grant after listing[90](index=90&type=chunk) Number of Shares Related to Unexercised Share Options as of June 30, 2025 | Name | Position | Number of Unexercised Share Options as of January 1, 2025 | Granted for the Six Months Ended June 30, 2025 | Exercised for the Six Months Ended June 30, 2025 | Cancelled for the Six Months Ended June 30, 2025 | Number of Unexercised Share Options as of June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Subtotal Directors | | 23,551,985 | – | – | 2,775,000 | 20,776,985 | | Subtotal Other Grantees | | 28,409,127 | 6,218,088 | 459,231 | – | 32,733,700 | | Total | | 51,961,112 | 6,218,088 | 459,231 | 2,775,000 | 53,510,685 | [Compliance with Corporate Governance Code](index=28&type=section&id=Compliance%20with%20Corporate%20Governance%20Code) The company has complied with all principles and applicable code provisions of Appendix C1 (Corporate Governance Code) of the Listing Rules from its listing date up to June 30, 2025 - The company has complied with all principles and applicable code provisions set out in Part 2 of Appendix C1 (Corporate Governance Code) of the Listing Rules from its listing date up to June 30, 2025[99](index=99&type=chunk) [Compliance with Model Code](index=28&type=section&id=Compliance%20with%20Model%20Code) The company has adopted the Model Code as the code of conduct for directors' dealings in company securities and established guidelines for employee securities transactions; all directors confirmed compliance with the Model Code - The company has adopted the Model Code as the code of conduct for directors' dealings in the company's securities[100](index=100&type=chunk) - All directors confirmed compliance with the provisions of the Model Code from the listing date to June 30, 2025[101](index=101&type=chunk) - The company has established written guidelines for securities transactions by employees who may possess inside information, and no breaches were identified[101](index=101&type=chunk) [Audit Committee and Review of Interim Financial Results](index=28&type=section&id=Audit%20Committee%20and%20Review%20of%20Interim%20Financial%20Results) The Audit Committee has reviewed and approved the unaudited interim condensed consolidated financial information for the six months ended June 30, 2025, confirming its compliance with IAS 34 - The Audit Committee comprises two independent non-executive directors and one non-executive director, with Chairperson Ms. Liu Xin possessing professional qualifications[102](index=102&type=chunk) - The interim financial report is unaudited but has been reviewed by PricewaterhouseCoopers in accordance with International Standard on Review Engagements 2410[104](index=104&type=chunk) - The Audit Committee has reviewed, and the Board has approved, the company's unaudited interim condensed consolidated financial information for the six months ended June 30, 2025[104](index=104&type=chunk) - The Audit Committee is satisfied that the financial information was prepared in accordance with applicable accounting standards and fairly presents the financial position and results[104](index=104&type=chunk) [Directors' Responsibilities for Financial Reporting of Financial Statements](index=29&type=section&id=Directors'%20Responsibilities%20for%20Financial%20Reporting%20of%20Financial%20Statements) The directors confirm their responsibility for preparing the financial statements and ensuring that the report provides a balanced, clear, and understandable assessment; management provides the Board with necessary information for informed evaluations - The directors confirm their responsibility for preparing the company's financial statements for the six months ended June 30, 2025[105](index=105&type=chunk) - The Board is responsible for making balanced, clear, and understandable assessments in annual and interim reports, inside information announcements, and other disclosures[105](index=105&type=chunk) [Changes in Information of Directors and Chief Executives](index=29&type=section&id=Changes%20in%20Information%20of%20Directors%20and%20Chief%20Executives) Since June 2025, Independent Non-executive Director Ms. Liu Ning has served as an independent director and member of the strategy committee of Shangwei Co., Ltd.; no other significant changes have occurred - Since June 2025, Independent Non-executive Director **Ms. Liu Ning** has served as an independent director and member of the strategy committee of Shangwei Co., Ltd. (a company listed on the Shanghai Stock Exchange)[106](index=106&type=chunk) - From the listing date up to the date of this interim report, there have been no other changes in the information of directors and chief executives requiring disclosure, apart from those mentioned above[106](index=106&type=chunk) [Employees, Training, and Remuneration Policy](index=30&type=section&id=Employees%2C%20Training%2C%20and%20Remuneration%20Policy) As of June 30, 2025, the Group had **949 full-time employees**; the company offers competitive remuneration, performance-linked bonuses, and long-term incentives, along with new employee training and regular on-the-job training - As of June 30, 2025, the Group had **949 full-time employees**, with three located in Hong Kong and the rest in mainland China[108](index=108&type=chunk) - Offers competitive remuneration, performance-linked cash bonuses, regular awards, and long-term incentives[108](index=108&type=chunk) - For the six months ended June 30, 2025, staff costs (including directors' remuneration and share-based payment expenses) amounted to approximately **RMB 446.1 million**[108](index=108&type=chunk) - Provides new employee training and regular on-the-job training to enhance employees' skills and knowledge[108](index=108&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=30&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20the%20Company's%20Listed%20Securities) From the listing date to the date of this interim report, neither the company nor any of its subsidiaries or consolidated affiliated entities purchased, sold, or redeemed any of the company's listed securities - From the listing date to the date of this interim report, neither the company nor any subsidiary purchased, sold, or redeemed any of the company's listed securities[110](index=110&type=chunk) - As of June 30, 2025, the company did not hold any treasury shares[111](index=111&type=chunk) [Arrangements to Purchase Shares or Debentures](index=30&type=section&id=Arrangements%20to%20Purchase%20Shares%20or%20Debentures) For the six months ended June 30, 2025, neither the company nor any of its subsidiaries was a party to any arrangement enabling directors to acquire benefits by purchasing shares or debentures of the company or any other corporation - For the six months ended June 30, 2025, neither the company nor any of its subsidiaries was a party to any arrangement designed to enable directors to obtain benefits by acquiring shares or debentures of the company or any other corporation[112](index=112&type=chunk) [Material Acquisitions and Disposals and Material Investments](index=31&type=section&id=Material%20Acquisitions%20and%20Disposals%20and%20Material%20Investments) For the six months ended June 30, 2025, the company had no material acquisitions or disposals of subsidiaries, associates, and joint ventures, nor any material investments in other companies - For the six months ended June 30, 2025, the company had no material acquisitions or disposals of subsidiaries, associates, and joint ventures, nor any material investments in other companies[114](index=114&type=chunk) [Use of Proceeds from Global Offering](index=31&type=section&id=Use%20of%20Proceeds%20from%20Global%20Offering) The company was listed on June 25, 2025, with net proceeds from the global offering of approximately **HKD 1.7184 billion**; as of June 30, 2025, these proceeds remained unutilized, and their intended use aligns with the prospectus disclosure - Shares were listed on the Main Board of the Stock Exchange on **June 25, 2025**[115](index=115&type=chunk) - Net proceeds from the global offering amounted to approximately **HKD 1.7184 billion**[115](index=115&type=chunk) - As of June 30, 2025, no portion of these net proceeds had been utilized[115](index=115&type=chunk) - The intended use of net proceeds remains unchanged from what was previously disclosed in the "Future Plans and Use of Proceeds" section of the prospectus[115](index=115&type=chunk) [Future Plans for Material Investments or Capital Assets](index=31&type=section&id=Future%20Plans%20for%20Material%20Investments%20or%20Capital%20Assets) Except as disclosed in the prospectus and this interim report, as of June 30, 2025, the company has no detailed future plans for material investments or capital assets - As of June 30, 2025, the company has no detailed future plans for material investments or capital assets, other than those disclosed in the prospectus and this interim report[116](index=116&type=chunk) [Interim Dividend](index=31&type=section&id=Interim%20Dividend) The Board of Directors has resolved not to declare an interim dividend for the six months ended June 30, 2025 - The Board of Directors has resolved not to declare an interim dividend for the six months ended June 30, 2025[117](index=117&type=chunk) [Significant Events After June 30, 2025](index=31&type=section&id=Significant%20Events%20After%20June%2030%2C%202025) In August 2025, the company received approval from the Shanghai Stock Exchange for a **RMB 5.5 billion** asset-backed securities shelf offering and has issued a new tranche of approximately **RMB 1.1 billion** in asset-backed securities - The company received approval from the Shanghai Stock Exchange on August 22, 2025, for a **RMB 5.5 billion** asset-backed securities shelf offering[118](index=118&type=chunk) - The company issued a new tranche of approximately **RMB 1.1 billion** in asset-backed securities on August 28, 2025, utilizing the approved quota[118](index=118&type=chunk) [Interim Financial Information Review Report](index=32&type=section&id=Interim%20Financial%20Information%20Review%20Report) [Introduction](index=32&type=section&id=Introduction) The auditor has reviewed the company's interim financial information for the six months ended June 30, 2025, which was prepared in accordance with IAS 34 and is the responsibility of the company's directors for presentation - The auditor has reviewed the interim condensed consolidated statement of financial position of the company and its subsidiaries as of June 30, 2025, and the statements of comprehensive loss, changes in deficit, and cash flows for the six-month period then ended[120](index=120&type=chunk) - The interim financial information report must comply with the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and International Accounting Standard 34 "Interim Financial Reporting"[120](index=120&type=chunk) - The company's directors are responsible for the preparation and presentation of this interim financial information in accordance with International Accounting Standard 34 "Interim Financial Reporting"[120](index=120&type=chunk) [Scope of Review](index=32&type=section&id=Scope%20of%20Review) The review was conducted in accordance with International Standard on Review Engagements 2410, with a scope smaller than an audit, thus no audit opinion is expressed - The review was conducted in accordance with International Standard on Review Engagements 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity"[121](index=121&type=chunk) - The scope of a review is substantially less than that of an audit conducted in accordance with International Standards on Auditing, and consequently, no audit opinion is expressed[121](index=121&type=chunk) [Conclusion](index=32&type=section&id=Conclusion) The auditor found no matters that lead them to believe the Group's interim financial information is not prepared, in all material respects, in accordance with IAS 34 "Interim Financial Reporting" - The auditor has not become aware of any matter that causes them to believe that the Group's interim financial information is not prepared, in all material respects, in accordance with International Accounting Standard 34 "Interim Financial Reporting"[122](index=122&type=chunk) [Condensed Consolidated Interim Statement of Comprehensive Loss](index=33&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Comprehensive%20Loss) [Condensed Consolidated Interim Statement of Comprehensive Loss](index=33&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Comprehensive%20Loss) For the six months ended June 30, 2025, the company recorded a loss for the period of **RMB 468.2 million**, a narrowing from **RMB 778.1 million** in the prior period, with basic loss per share of **RMB 1.09** and diluted loss per share of **RMB 1.26** Condensed Consolidated Interim Statement of Comprehensive Loss (RMB thousands) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | 9,455,968 | 6,160,176 | | Cost of Sales | (8,659,954) | (5,731,682) | | Gross Profit | 796,014 | 428,494 | | Selling and Marketing Expenses | (840,728) | (519,239) | | General and Administrative Expenses | (452,618) | (382,073) | | Research and Development Expenses | (116,903) | (125,641) | | Other Income | 112,840 | 81,108 | | Net Other Income | 5,496 | 14,298 | | Reversal of Impairment Loss on Financial Assets / (Net Impairment Loss) | 1,703 | (3,931) | | Operating Loss | (494,196) | (506,984) | | Finance Income | 2,151 | 6,334 | | Finance Costs | (146,390) | (165,599) | | Net Finance Costs | (144,239) | (159,265) | | Fair Value Change of Financial Liabilities at Fair Value Through Profit or Loss | 138,864 | (64,532) | | Loss Before Income Tax | (499,571) | (730,781) | | Income Tax Credit / (Expense) | 31,363 | (47,312) | | Loss for the Period | (468,208) | (778,093) | | Loss for the Period Attributable to Owners of the Company | (494,983) | (766,777) | | Loss for the Period Attributable to Non-controlling Interests | 26,775 | (11,316) | | Basic Loss Per Share (RMB yuan/share) | (1.09) | (1.70) | | Diluted Loss Per Share (RMB yuan/share) | (1.26) | (1.70) | | Total Comprehensive Loss for the Period | (468,205) | (778,092) | [Condensed Consolidated Interim Statement of Financial Position](index=35&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Financial%20Position) [Condensed Consolidated Interim Statement of Financial Position](index=35&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Financial%20Position) As of June 30, 2025, the company's total assets were **RMB 6.1591 billion**, and total liabilities were **RMB 10.1176 billion**, resulting in a total deficit of **RMB 3.9584 billion**; total current assets significantly increased, while total current liabilities decreased Condensed Consolidated Interim Statement of Financial Position (RMB thousands) | Indicator | As of June 30, 2025 | As of December 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Total Non-current Assets | 2,464,067 | 2,542,534 | | Total Current Assets | 3,695,053 | 1,535,118 | | **Total Assets** | **6,159,120** | **4,077,652** | | **Liabilities** | | | | Total Non-current Liabilities | 1,568,148 | 1,601,730 | | Total Current Liabilities | 8,549,404 | 9,681,501 | | **Total Liabilities** | **10,117,552** | **11,283,231** | | **Deficit** | | | | Deficit Attributable to Owners of the Company | (3,765,946) | (6,970,034) | | Non-controlling Interests | (192,486) | (235,545) | | **Total Deficit** | **(3,958,432)** | **(7,205,579)** | [Condensed Consolidated Interim Statement of Changes in Deficit](index=37&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Changes%20in%20Deficit) [Condensed Consolidated Interim Statement of Changes in Deficit](index=37&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Changes%20in%20Deficit) For the six months ended June 30, 2025, the company's total deficit decreased from **RMB 7.2056 billion** at the beginning of the period to **RMB 3.9584 billion**, primarily due to an increase in capital reserves from the conversion of Series B preferred shares to ordinary shares and the issuance of ordinary shares in the global offering Condensed Consolidated Interim Statement of Changes in Deficit (RMB thousands) | Indicator | Share Capital | Other Equity Instruments | Other Reserves | Accumulated Losses | Total Attributable to Owners of the Company | Non-controlling Interests | Total Deficit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Balance at January 1, 2025 (Audited) | 30 | 2 | 6,411,142 | (13,381,208) | (6,970,034) | (235,545) | (7,205,579) | | Loss / Profit for the Period | – | – | – | (494,983) | (494,983) | 26,775 | (468,208) | | Currency Translation Differences | – | – | 3 | – | 3 | – | 3 | | Total Comprehensive Loss | – | – | 3 | (494,983) | (494,980) | 26,775 | (468,205) | | Conversion of Series A and A1 Preferred Shares to Ordinary Shares after IPO | 2 | (2) | – | – | – | – | – | | Conversion of Series B Preferred Shares to Ordinary Shares after IPO | 4 | – | 1,833,033 | – | 1,833,037 | – | 1,833,037 | | Issuance of Ordinary Shares after IPO | 3 | – | 1,648,642 | – | 1,648,645 | – | 1,648,645 | | Exercise of Share Options | -* | – | 4,096 | – | 4,096 | – | 4,096 | | Transactions with Non-controlling Interests | – | – | (22,084) | – | (22,084) | 16,284 | (5,800) | | Share-based Payment Expenses | – | – | 235,374 | – | 235,374 | – | 235,374 | | Balance at June 30, 2025 (Unaudited) | 39 | – | 10,110,206 | (13,876,191) | (3,765,946) | (192,486) | (3,958,432) | [Condensed Consolidated Interim Statement of Cash Flows](index=39&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Cash%20Flows) [Condensed Consolidated Interim Statement of Cash Flows](index=39&type=section&id=Condensed%20Consolidated%20Interim%20Statement%20of%20Cash%20Flows) For the six months ended June 30, 2025, the company's net cash from operating activities was **RMB 325.2 million**, net cash outflow from investing activities was **RMB 235.8 million**, net cash from financing activities was **RMB 1.9495 billion**, and cash and cash equivalents increased to **RMB 2.1984 billion** at period-end Condensed Consolidated Interim Statement of Cash Flows (RMB thousands) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash from Operating Activities | 325,206 | 122,906 | | Net Cash (Used in) / From Investing Activities | (235,804) | 21,569 | | Net Cash from Financing Activities | 1,949,457 | 807,468 | | Net Increase in Cash and Cash Equivalents | 2,038,859 | 951,943 | | Cash and Cash Equivalents at Beginning of Period | 159,497 | 582,995 | | Effect of Exchange Rate Changes on Cash and Cash Equivalents | 3 | 1 | | Cash and Cash Equivalents at End of Period | 2,198,359 | 1,534,939 | [Notes to the Condensed Consolidated Interim Financial Information](index=41&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Interim%20Financial%20Information) [1 General Information](index=41&type=section&id=1%20General%20Information) Caocao Mobility Limited was incorporated in the Cayman Islands on November 8, 2021, primarily operating a new energy ride-hailing platform, mobility services, and vehicle sales in China, with Mr. Li Shufu as the ultimate controlling shareholder - The company was incorporated as an exempted company in the Cayman Islands on **November 8, 2021**[141](index=141&type=chunk) - The Group primarily operates a new energy ride-hailing platform, providing mobility services, other services, and selling automobiles in the People's Republic of China[141](index=141&type=chunk) - The ultimate controlling shareholder of the Group is **Mr. Li Shufu**[141](index=141&type=chunk) [2 Basis of Preparation](index=41&type=section&id=2%20Basis%20of%20Preparation) As of June 30, 2025, the Group had a total deficit and net current liabilities, but management has formulated plans and measures to alleviate liquidity pressure and prepared financial information on a going concern basis; this interim financial information is prepared in accordance with IAS 34 - As of June 30, 2025, the Group had a total deficit of approximately **RMB 3.958 billion** and net current liabilities of approximately **RMB 4.854 billion**[143](index=143&type=chunk) - For the six months ended June 30, 2025, the Group incurred a loss of approximately **RMB 468.2 million** and generated net cash inflows from operating activities of approximately **RMB 325.2 million**[143](index=143&type=chunk) - The Group has formulated plans and measures, including obtaining approval for asset-backed securities issuance, financial support from related parties, improving operating cash flows, and managing capital expenditures, to alleviate liquidity pressure[143](index=143&type=chunk)[146](index=146&type=chunk) - The condensed consolidated interim financial information is prepared on a going concern basis, expecting to realize assets and settle liabilities in the ordinary course of business[145](index=145&type=chunk) - This interim financial information has been prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting"[145](index=145&type=chunk) - All effective standards, amendments to standards, and interpretations mandatory for financial years beginning on or after January 1, 2025, have been adopted since January 1, 2025, and have no significant impact on the Group[148](index=148&type=chunk) [3 Financial Risk Management](index=44&type=section&id=3%20Financial%20Risk%20Management) The Group faces various financial risks, including market risk (foreign exchange, interest rate), credit risk, and liquidity risk; this section explains fair value estimation methods and categorizes financial instruments into three levels - The Group's operations are exposed to various financial risks: market risk (including foreign exchange risk, cash flow and fair value interest rate risk), credit risk, and liquidity risk[151](index=151&type=chunk) - There have been no significant changes in risk management policies since December 31, 2024[151](index=151&type=chunk) - Financial instruments are categorized into three levels: Level 1 (quoted prices in active markets), Level 2 (valuation techniques using observable market data), and Level 3 (significant unobservable input data)[152](index=152&type=chunk)[153](index=153&type=chunk) - As of June 30, 2025, financial liabilities at fair value through profit or loss were **zero**, compared to **RMB 1.8832 billion** as of January 1, 2024, with a fair value gain of **RMB 138.9 million** recognized during the period due to the conversion of Series B preferred shares to ordinary shares[158](index=158&type=chunk) [4 Key Accounting Estimates and Judgments](index=47&type=section&id=4%20Key%20Accounting%20Estimates%20and%20Judgments) The preparation of financial statements involves accounting estimates and management judgments; the significant judgments and key sources of estimation uncertainty in this interim financial information are consistent with those applied in the accountants' report - The preparation of financial statements requires the use of accounting estimates, and management also needs to make judgments when applying the Group's accounting policies[159](index=159&type=chunk) - In preparing this condensed consolidated interim financial information, the significant judgments made by management and the key sources of estimation uncertainty are the same as those applied in the accountants' report[159](index=159&type=chunk) [5 Revenue and Segment Information](index=47&type=section&id=5%20Revenue%20and%20Segment%20Information) The Group has only one operating segment, with all sales derived from the Chinese market; revenue primarily comes from mobility services, vehicle sales, and vehicle leasing - The Group has only one operating segment, with all sales derived from the Chinese market[160](index=160&type=chunk) Revenue Breakdown by Business Line (RMB thousands) | Revenue Source | 2025 | 2024 | | :--- | :--- | :--- | | Mobility Services | 8,600,024 | 5,741,834 | | Vehicle Sales | 743,587 | 313,320 | | Vehicle Leasing | 103,923 | 82,700 | | Others | 8,434 | 22,322 | | Total | 9,455,968 | 6,160,176 | Contract Revenue with Customers (RMB thousands) | Revenue Recognition Point | 2025 | 2024 | | :--- | :--- | :--- | | At a Point in Time | 9,352,045 | 6,072,661 | | Over Time | – | 4,815 | | Total | 9,352,045 | 6,077,476 | [6 Expenses by Nature](index=49&type=section&id=6%20Expenses%20by%20Nature) For the six months ended June 30, 2025, total cost of sales, selling and marketing expenses, general and administrative expenses, and R&D expenses amounted to **RMB 10.0702 billion**, primarily comprising driver income and subsidies for mobility services Expenses by Nature (RMB thousands) | Expense Item | 2025 | 2024 | | :--- | :--- | :--- | | Driver Income and Subsidies for Mobility Services | 6,950,513 | 4,497,503 | | Commissions Charged by Aggregation Platforms | 737,990 | 434,132 | | Cost of Vehicles Sold | 685,907 | 303,129 | | Employee Benefit Expenses | 446,053 | 411,364 | | Depreciation of Property, Plant and Equipment | 321,833 | 349,220 | | Commissions Paid to Capacity Partners | 199,324 | 128,702 | | Insurance Costs | 167,532 | 174,887 | | Battery Service Fees | 122,894 | 119,901 | | Vehicle Maintenance Fees | 67,861 | 61,037 | | Listing Expenses | 42,057 | 9,354 | | Promotion, Advertising and Customer Referral Subsidies | 39,301 | 49,805 | | Depreciation of Right-of-Use Assets | 25,771 | 34,609 | | Auditor's Remuneration | 1,850 | – | | Amortization of Intangible Assets | 637 | 1,403 | | Others | 260,680 | 183,589 | | Total | 10,070,203 | 6,758,635 | [7 Employee Benefit Expenses](index=50&type=section&id=7%20Employee%20Benefit%20Expenses) For the six months ended June 30, 2025, total employee benefit expenses amounted to **RMB 446.1 million**, primarily comprising share-based payment expenses, wages, salaries, and bonuses Employee Benefit Expenses (RMB thousands) | Expense Item | 2025 | 2024 | | :--- | :--- | :--- | | Share-based Payment Expenses | 235,374 | 204,384 | | Wages, Salaries and Bonuses | 177,596 | 174,804 | | Housing Benefits | 14,274 | 13,711 | | Employee Social Security Schemes, Medical Insurance and Other Social Insurance Obligations | 12,154 | 11,946 | | Employee Benefits | 6,655 | 6,519 | | Total | 446,053 | 411,364 | [8 Other Income](index=50&type=section&id=8%20Other%20Income) For the six months ended June 30, 2025, other income primarily consisted of government grants, totaling **RMB 112.8 million** Other Income (RMB thousands) | Income Source | 2025 | 2024 | | :--- | :--- | :--- | | Government Grants | 112,840 | 81,108 | - Government grants are recognized in the statement of comprehensive loss upon receipt of cash subsidies and fulfillment of grant conditions[167](index=167&type=chunk) [9 Net Other Income](index=51&type=section&id=9%20Net%20Other%20Income) For the six months ended June 30, 2025, net other income was **RMB 5.5 million**, primarily including income from the disposal of property, plant, and equipment, offset by fines for unlicensed vehicles or drivers Net Other Income (RMB thousands) | Income Item | 2025 | 2024 | | :--- | :--- | :--- | | Income from Disposal of Property, Plant and Equipment and Assets Classified as Held for Sale | 10,836 | 15,132 | | Income from Disposal of Investments Accounted for Using the Equity Method | – | 900 | | Fines for Unlicensed Vehicles or Drivers | (6,532) | (4,130) | | Others | 1,192 | 2,396 | | Total | 5,496 | 14,298 | [10 Net Finance Costs](index=51&type=section&id=10%20Net%20Finance%20Costs) For the six months ended June 30, 2025, net finance costs amounted to **RMB 144.2 million**, primarily composed of interest expenses on asset-backed securities and bank and other borrowings, partially offset by interest income from cash and cash equivalents Net Finance Costs (RMB thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Finance Income: Interest Income from Cash and Cash Equivalents | 2,151 | 6,334 | | Finance Costs: Interest Expense on Asset-Backed Securities | (78,997) | (121,029) | | Finance Costs: Interest Expense on Bank and Other Borrowings | (44,788) | (41,472) | | Finance Costs: Interest Expense on Loans from Related Parties | (19,984) | – | | Finance Costs: Interest Expense on Lease Liabilities | (2,621) | (3,098) | | Net Finance Costs | (144,239) | (159,265) | [11 Taxation](index=52&type=section&id=11%20Taxation) For the six months ended June 30, 2025, the company recorded an income tax credit of **RMB 31.36 million**, primarily due to deferred income tax credits; the company is exempt from income tax in the Cayman Islands and BVI, has no taxable profits in Hong Kong, and its PRC subsidiaries are subject to corporate income tax rates of **25%** or **15%** Taxation (RMB thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Current Income Tax Expense | (93) | (30) | | Deferred Income Tax Credit / (Expense) | 31,456 | (47,282) | | Total | 31,363 | (47,31

海通恆信國際融資租賃股份有限公司 Haitong Unitrust International Financial Leasing Co., Ltd. 股份代號: 1905 （於中華人民共和國註冊成立的股份有限公司） 中期報告 2025 Interim Report 2025 (A joint stock company incorporated in the People's Republic of China with limited liability) Stock Code: 1905 海通恆信國際融資租賃股份有限公司 Haitong Unitrust International Financial Leasing Co., Ltd. 2025 Interim Report 中期報告 Haitong Unitrust International Financial Leasing Co., Ltd. 海通恆信國際融資租賃股份有限公司 目 錄 | 公司簡介 | 2 | | --- | --- | | 公司資料 | 3 | | 財務概要 | 5 | | 領導致辭 | 9 | | 管理層討論與分析 | 12 ...

Interim Report 中期報告 2025 中期報告 INTERIM REPORT 2 0 2 5 成為享譽世界的華資戶外廣告傳媒集團 To be a world-class outdoor advertising enterprise with Asian background 為客戶提供最佳的戶外廣告方案，以贏取最高廣告效益與投資回報率 To provide optimal Out-Of-Home (OOH) advertising solutions with highest Return-On-Investment (ROI) and effectiveness 積極推動行業發展，提高行業專業認可 To promote professional excellence in outdoor advertising media 培養和諧、高效、優秀的團隊 To nurture our workforce into a harmonious, efficient and effective team 履行社會責任，關愛社會群體 To be a community conscious enterpris ...

Market Position and Product Development - The company reported a leading market share in laundry liquid and hand wash for 16 years and 13 years respectively, with a comprehensive market share ranking first in their categories from 2009 to 2024 and 2012 to 2024[9]. - The company launched the new "Concentrated+" Supreme Biotech Laundry Liquid in 2024, enhancing its product line to meet the trend of multi-functional and efficient living[10]. - The company has maintained a strong commitment to innovation, transitioning from powder to liquid and then to concentrated laundry liquids since 2015[10]. - The company has been recognized for its innovative cleaning solutions, consistently ranking first in the China Brand Power Index for 15 consecutive years[9]. Sales and Revenue Performance - For the first half of 2024, the company reported revenue of HKD 3,131 million, with a gross profit of HKD 1,836 million[24][25]. - The revenue breakdown for the first half of 2024 shows that clothing care products accounted for 88.4%, home care products 6.1%, and personal care products 5.5%[26]. - Online sales channels contributed HKD 2,272 million, representing 72.6% of total revenue, while offline distributors and direct sales to major clients accounted for 4.2% and 23.2%, respectively[27]. - For the six months ended June 30, 2025, the group recorded a loss attributable to equity holders of approximately HKD 435.3 million, a decrease of 34.4% compared to a loss of approximately HKD 663.7 million for the same period in 2024[38][54]. - Revenue for the six months ended June 30, 2025, was approximately HKD 3,036.8 million, remaining stable compared to approximately HKD 3,131.2 million for the same period in 2024[39]. Cost Management and Expenses - The company successfully reduced sales and distribution expenses by 13.2% year-on-year in the first half of 2025, while maintaining stable growth in traditional online and offline sales channels[28]. - Gross profit decreased by approximately 3.9% to HKD 1,764.5 million, with a gross margin slightly declining from 58.7% to 58.1% due to increased costs of key raw materials[45]. - General and administrative expenses decreased by approximately 20.4% to HKD 450.0 million, mainly due to reduced employee costs from improved operational efficiency[48]. Financial Position and Shareholder Information - The company’s stock is listed on the Hong Kong Stock Exchange under the code 6993, with significant dates for interim results and dividends announced for 2025[7]. - The company will review its dividend policy to provide stable and sustainable returns to shareholders[37]. - The company proposed an interim dividend of HKD 0.08 per share for the six months ended June 30, 2025, subject to shareholder approval[88]. - The company’s major shareholder, ZED Group Limited, holds 4,326,400,000 shares, representing 73.79% of the total issued shares as of June 30, 2025[73]. Employee and Operational Insights - As of June 30, 2025, the company has approximately 7,136 employees, with competitive salary levels maintained[63]. - The company has not engaged in any purchase, sale, or redemption of its listed securities during the reporting period[102]. - The total remuneration for key management personnel for the six months ended June 30, 2025, is HKD 28,207,000, down from HKD 49,687,000 for the same period in 2024[182]. Future Plans and Strategic Initiatives - The company plans to enhance its product offerings and continue innovation in response to changing consumer demands, focusing on environmental sustainability[35]. - The company aims to optimize its online product structure and promotional strategies to increase market penetration on major e-commerce platforms[35]. - The company will continue to promote "scientific washing" through interactive educational activities, enhancing consumer awareness of laundry efficiency[37]. Financial Risks and Management - Financial risks faced by the company include market risk (foreign exchange, interest rate, and price risks), credit risk, and liquidity risk[128]. - The company has not made any changes to its risk management policies since the end of the reporting period[129]. - The company is currently evaluating the impact of new accounting standards and interpretations on its financial data[126]. Asset and Liability Management - The company’s total equity attributable to owners decreased to HKD 7,776,852,000 from HKD 8,664,599,000, a decline of 10.2%[111]. - The company’s inventory decreased to HKD 398,750,000 from HKD 487,579,000, a reduction of 18.2%[111]. - The total trade payables and notes payable as of June 30, 2025, were HKD 405,248,000, a decrease from HKD 659,681,000 as of December 31, 2024[174].

（於開曼群島註冊成立的有限公司） 股份代號：2107 中期 報告 2025 First Service Holding Limited 第一服 務 控股有限公司 Interim Report 中期報告 2025 第一服务控股有限公司 二零二五年中期報告 目 錄 2 公司資料 4 財務摘要 5 董事長報告 8 管理層討論與分析 17 其他資料 24 致第一服务控股有限公司董事會之審閱報告 25 綜合損益及其他全面收益表 27 綜合財務狀況表 29 綜合權益變動表 30 簡明綜合現金流量表 31 未經審核中期財務報告附註 52 釋義 第一服务控股有限公司 / 二零二五年中期報告 第一服务控股有限公司 / 二零二五年中期報告 公司資料 董事會 執行董事 劉培慶先生 （首席執行官兼總經理） 金純剛先生 朱莉女士 非執行董事 張鵬先生 （董事長） 龍晗先生 王子鳴先生 獨立非執行董事 孫靜女士 程鵬先生 楊熙先生 公司秘書 伍秀薇女士 (FCG, HKFCG) 授權代表 劉培慶先生 伍秀薇女士 審核委員會 孫靜女士 （主席） 程鵬先生 楊熙先生 薪酬委員會 程鵬先生 （主席） 張鵬先生 孫靜女士 提名委員會 楊熙先生 ...

2025 中期報告 重要提示 | 未出席董事姓名 | 未出席董事職務 | 未出席董事的原因說明 | 被委託人姓名 | | --- | --- | --- | --- | | 羅卓堅 | 獨立非執行董事 | 工作原因 | 范小雲 | 針對上述風險，本公司從完善組織架構、優化管理機制和工具、升級系統功能、規範人員管理等方面建立健全 一體化防控體系，同時通過定期監測、持續評估、不斷優化業務流程和控制措施來防範操作風險，對市場風 險、信用風險和流動性風險進行專業化管理，並重點做好創新業務和創新產品等的風險管控。 中國銀河證券股份有限公司 2025中期報告 一、 本公司董事會、監事會及董事、監事、高級管理人員保證本中期報告內容的真實性、準確性、完整性，不存在 虛假記載、誤導性陳述或重大遺漏，並承擔個別和連帶的法律責任。 二、 本中期報告經本公司第五屆董事會第六次會議（定期）審議通過。除以下董事外，公司董事均親自出席董事會會 議，未有董事對本中期報告提出異議。 三、 本中期報告未經審計。本公司按照國際財務報告準則編製的2025年中期財務報告已經安永會計師事務所審閱。 四、 公司負責人王晟、主管會計工作負責人薛軍及會計機構 ...

www.asymchem.com 目錄 | 公司資料 | 2 | | --- | --- | | 財務摘要 | 4 | | 管理層討論與分析 | 5 | | 企業管治及其他資料 | 28 | | 獨立審閱報告 | 62 | | 中期簡明綜合損益表 | 63 | | 中期簡明綜合全面收益表 | 64 | | 中期簡明綜合財務狀況表 | 65 | | 中期簡明綜合權益變動表 | 67 | | 中期簡明綜合現金流量表 | 68 | | 中期簡明綜合財務資料附註 | 70 | | 釋義及詞彙 | 86 | 公司資料 Asymchem Laboratories (Tianjin) Co., Ltd. 凱 萊 英 醫 藥 集 團（ 天 津 ）股 份 有 限 公 司 ( 於中華人民共和國註冊成立的股份有限公司 ) www.asymchem.com 股份代號 : 6821 中期報告 2025 一、董事會 1. 執行董事 Hao Hong博士 楊蕊女士 張達先生 洪亮先生 2. 非執行董事 Ye Song博士 張婷女士 3. 獨立非執行董事 孫雪嬌博士 侯欣一博士 謝維愷先生 （於2025年8月6日獲委任） 李家聰先生 （於2 ...

[About Us](index=3&type=section&id=About%20Us) [Company Profile, Mission, and Vision](index=3&type=section&id=About%20Us) A new-generation stock investment assistant, the company leverages 'technology + investment research' to simplify investing and enhance financial well-being - The company is positioned as a new-generation stock investment assistant, offering stock investment tools, securities investment advisory, and investor education services[5](index=5&type=chunk)[7](index=7&type=chunk) - The core strategy is 'technology + investment research' dual-driven, developing intelligent advisory products based on AI and big data to achieve industry-leading innovation and application scenarios[6](index=6&type=chunk)[7](index=7&type=chunk) - The company's mission is to 'make investment simpler, more professional, and enhance financial well-being,' with a vision to 'become a lifelong partner for clients' financial management'[7](index=7&type=chunk)[8](index=8&type=chunk)[10](index=10&type=chunk) [Corporate Information](index=4&type=section&id=Corporate%20Information) [Board of Directors and Committees](index=4&type=section&id=Board%20of%20Directors) The company's board comprises executive, non-executive, and independent non-executive directors, supported by audit, remuneration, and nomination committees for robust governance - Board members include Executive Directors Chen Wenbin (Chairman), Chen Jigeng, Zhang Peihong; Non-Executive Directors Yan Ming, CHEN NINGFENG; and Independent Non-Executive Directors Zhao Guoqing, Fan Yonghong, Tian Shu[12](index=12&type=chunk)[13](index=13&type=chunk) - Dr. Zhao Guoqing chairs both the Audit and Remuneration Committees, while Mr. Chen Wenbin chairs the Nomination Committee[12](index=12&type=chunk)[13](index=13&type=chunk) [Company Secretary and Authorized Representatives](index=4&type=section&id=Company%20Secretary%20and%20Authorized%20Representatives) The company has Ms. Liang Yingxian and Mr. Tao Qitao as company secretaries, and Mr. Chen Wenbin and Mr. Tao Qitao as authorized representatives, managing legal compliance and external affairs - The company secretaries are Ms. Liang Yingxian and Mr. Tao Qitao[13](index=13&type=chunk) - The authorized representatives are Mr. Chen Wenbin and Mr. Tao Qitao[13](index=13&type=chunk) [Auditor and Legal Advisor](index=5&type=section&id=Auditor%20and%20Legal%20Advisor) KPMG serves as the auditor, and Linklaters is the Hong Kong legal advisor, ensuring independent financial audits and professional legal support - The auditor is KPMG[15](index=15&type=chunk) - The Hong Kong legal advisor is Linklaters[16](index=16&type=chunk) [Registered and Principal Places of Business](index=5&type=section&id=Registered%20and%20Business%20Offices) The company maintains a registered office in the Cayman Islands and principal places of business in Hong Kong and Shanghai, China, supporting global operations - The registered office is located at Cricket Square, Cayman Islands[16](index=16&type=chunk) - The principal place of business in Hong Kong is at Golden Centre, Des Voeux Road Central, Hong Kong[16](index=16&type=chunk) - The principal place of business and headquarters in China are located at Yinke Financial Center, Qingpu District, Shanghai[16](index=16&type=chunk) [Principal Banks and Stock Information](index=6&type=section&id=Principal%20Banks%20and%20Stock%20Information) The company's principal banks include China Merchants Bank and Bank of Communications Hong Kong Branch, with stock code 9636 and a corporate website - Principal banks include China Merchants Bank Shanghai Changde Sub-branch and Bank of Communications Co., Ltd. Hong Kong Branch[18](index=18&type=chunk) - The stock code is **9636**[18](index=18&type=chunk) - The company website is www.jfztkg.com/IR.html[18](index=18&type=chunk) [Management Discussion and Analysis](index=7&type=section&id=Management%20Discussion%20and%20Analysis) [Business Review and Outlook](index=7&type=section&id=Business%20Review%20and%20Outlook) The company achieved strong business performance with 133.8% revenue growth and a turnaround to profit, driven by AI empowerment, enhanced research, and refined traffic operations, with future plans for global expansion and new partnerships Key Financial Performance for H1 2025 | Indicator | H1 2025 (RMB million) | H1 2024 (RMB million) | Year-on-Year Growth/Change | | :--- | :--- | :--- | :--- | | Revenue | 2,099.7 | 898.1 | 133.8% | | Profit attributable to shareholders | 865.4 | (174.2) (Net Loss) | Turnaround to profit, increase of 1,039.5 million RMB | - Since its 2023 listing, the company has consistently paid cash dividends for three consecutive years, with a **50.3% dividend payout ratio in 2024**, demonstrating its commitment to shareholder returns[28](index=28&type=chunk)[30](index=30&type=chunk) [Business Review](index=7&type=section&id=Business%20Review) The company strengthened its large-scale software products, advanced the stock learning machine, diversified small-ticket products, accelerated App platformization, and leveraged AI for enhanced research and refined traffic operations, boosting scale and profitability - The company solidified its base of large-scale software products (e.g., Gudaolinghang series, Super Investor), empowering them with AI technology, adding new AI products like 'Lingxi Qinlong' and **8 real-time monitoring indicators**, enhancing AI service capabilities[31](index=31&type=chunk)[32](index=32&type=chunk) - The Stock Learning Machine completed its framework, undergoing **5 major version iterations** and over **200 functional optimizations**, building three matrices: content, tools, and trading, with live stream and course viewership increasing by nearly **7 times** and **4 times** respectively from the beginning of the period[34](index=34&type=chunk)[35](index=35&type=chunk) - Jiuyao Gu (small-ticket product series) launched nearly **50 lightweight products**, with cumulative user usage exceeding **3.27 million times**, effectively tapping into long-tail customer value through AI technology, algorithm optimization, and content upgrades[36](index=36&type=chunk)[37](index=37&type=chunk) - Jiufang Zhitou App accelerated its platformization, building a chief IP ecosystem, upgrading market data, adding real-time monitoring and multi-product linked viewing, and introducing brokers to expand scenarios, creating a closed loop of 'content cultivating users, trust driving conversion'[39](index=39&type=chunk)[41](index=41&type=chunk) - AI empowered the securities sector, moving towards 'Advisory Intelligent Agent 2.0,' achieving full-cycle coverage, personalized memory, and proactive intelligent services; during the reporting period, 'Jiufang Lingxi' and the intelligent advisory digital human 'Brother Jiu' served approximately **373,000 clients**, with cumulative services reaching **13.515 million times**[42](index=42&type=chunk)[43](index=43&type=chunk) - The '1+N' investment research system was strengthened, with Jiufang Financial Research Institute forming a team of **4 experts + 9 super IPs + 128 professionals**, producing approximately **560 in-depth analysis articles**, and conducting on-site visits to the Berkshire Hathaway Shareholders Meeting[46](index=46&type=chunk)[47](index=47&type=chunk)[49](index=49&type=chunk) - AI empowered MCN for refined traffic operations, upgrading operational efficiency, expanding platform presence to **994 MCN accounts**, with approximately **63.06 million followers**, an increase of **17.47 million year-on-year**[53](index=53&type=chunk)[54](index=54&type=chunk) - Actively engaged in investor education, joining the China Fund News Investor Education Alliance, exclusively sponsoring the First Financial Buffett Shareholders Meeting live broadcast, and participating in CCTV's 'Financial Powerhouses' special program, enhancing brand influence[56](index=56&type=chunk)[59](index=59&type=chunk) Operating Performance of Financial Software Sales and Services Business | Indicator | H1 2025 (RMB million) | H1 2024 (RMB million) | Year-on-Year Growth/Change | | :--- | :--- | :--- | :--- | | Order Amount | 1,612.9 | 925.6 | 74.3% | | Number of Paying Users | 101,905 | Not Applicable | Not Applicable | | Refund Rate | 24.6% | 30.5% | Decrease of 5.9 percentage points | [Business Outlook](index=20&type=section&id=Business%20Outlook) The company anticipates future capital market opportunities driven by economic growth, policy support, and tech innovation, planning to deepen AI empowerment, expand overseas, diversify products, and explore new partnerships with licensed institutions - Future economic growth, policy implementation, and technological innovation are expected to resonate, with capital market reforms guiding the securities industry back to its roots, promoting rational, value, and long-term investing[65](index=65&type=chunk)[66](index=66&type=chunk) - Deepen AI empowerment across product services, business operations, and management, increasing R&D investment, upgrading AI product capabilities, and building an AI intelligent engine and full-cycle advisory intelligent agent product matrix[68](index=68&type=chunk)[70](index=70&type=chunk) - Actively expand into overseas markets through entity acquisition strategies to broaden international business scope and license qualifications, focusing on licensed businesses and digital asset services to support global development[69](index=69&type=chunk)[71](index=71&type=chunk) - Continuously build a multi-dimensional product matrix, strengthening the product competitiveness and operational efficiency of the Stock Learning Machine, Jiuyao Gu, and the App, expanding target customer coverage, and achieving diversified revenue structure[73](index=73&type=chunk)[75](index=75&type=chunk) - Explore new business cooperation models with licensed institutions such as securities companies, strengthening business synergy, building a full-scenario service closed-loop, and precisely meeting diverse client financial needs[74](index=74&type=chunk)[76](index=76&type=chunk) [Financial Review](index=23&type=section&id=Financial%20Review) The company's financial performance significantly improved with substantial revenue and gross profit growth, achieving a turnaround to profit, driven by increased other income from financial assets and VAT refunds, while maintaining strong liquidity and a reduced debt-to-asset ratio Summary of Financial Performance for H1 2025 | Indicator | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | Year-on-Year Change (RMB thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | :--- | :--- | | Revenue | 2,099,748 | 898,143 | 1,201,605 | 133.8% | | Cost of sales | (248,214) | (180,278) | (67,936) | 37.7% | | Gross profit | 1,851,534 | 717,865 | 1,133,669 | 157.9% | | Other income/(loss), net | 224,175 | (28,101) | 252,276 | 897.7% | | Selling and marketing expenses | (662,094) | (552,956) | (109,138) | 19.7% | | Research and development expenses | (146,949) | (154,498) | 7,549 | -4.9% | | General and administrative expenses | (239,347) | (199,281) | (40,066) | 20.1% | | Operating profit/(loss) | 1,028,027 | (215,517) | 1,243,544 | Turnaround to profit | | Profit/(loss) for the period | 865,350 | (174,182) | 1,039,532 | Turnaround to profit | - Net other income significantly increased by **897.7%**, primarily due to gains from financial assets measured at fair value through profit or loss of approximately **RMB 63.5 million** (an increase of approximately **RMB 158.1 million** from the prior period), and VAT refunds of approximately **RMB 115.7 million**[86](index=86&type=chunk)[92](index=92&type=chunk) Key Financial Position Indicators | Indicator | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | Year-on-Year Change (RMB million) | | :--- | :--- | :--- | :--- | | Cash and other liquid financial resources | 3,182.8 | 3,220.7 (Estimated) | (37.9) | | Net cash from operating activities | 42.1 | (164.0) (Estimated) | 206.1 | | Debt-to-asset ratio | 38.6% | 57.7% | Decrease of 19.1 percentage points | | Capital expenditure | 24.5 | 2.2 (Estimated) | 22.3 | - The company scientifically allocated idle funds, primarily in low-risk fixed-income products, with a moderate increase in quantitative neutral products, optimizing portfolio returns and risks, and establishing a whitelist access mechanism and research database to enhance investment scientificity and foresight[107](index=107&type=chunk) - During the reporting period, the company acquired all equity and core information systems of Yintech Financial for a total consideration of **HKD 126.97 million**, with **RMB 57.973 million** paid as of June 30, 2025; the acquisition is not yet complete[113](index=113&type=chunk)[114](index=114&type=chunk)[432](index=432&type=chunk) - As of June 30, 2025, the company had not pledged any assets as collateral for bank borrowings or other financing activities, nor did it have any significant contingent liabilities[117](index=117&type=chunk)[118](index=118&type=chunk)[121](index=121&type=chunk)[122](index=122&type=chunk) Employee Structure (As of June 30, 2025) | Employee Function | Number of Employees | Percentage of Total Employees (%) | | :--- | :--- | :--- | | Content Development and Production | 714 | 24.87 | | Sales and Marketing | 849 | 29.57 | | Research and Development | 505 | 17.59 | | Service and Operations | 500 | 17.42 | | Administration | 303 | 10.55 | | **Total** | **2,871** | **100.00** | - The company complies with corporate governance codes, but the roles of Chairman and CEO are combined and held by Mr. Chen Wenbin; the Board believes this arrangement provides strong and consistent leadership and will regularly review its effectiveness[130](index=130&type=chunk)[131](index=131&type=chunk)[133](index=133&type=chunk) - Net proceeds from the global offering were approximately **RMB 873.3 million**; as of June 30, 2025, **RMB 64.4 million** had been utilized, with the remaining **RMB 192.3 million** allocated to enhancing content production, improving technical capabilities, and investing in KOLs or MCNs[138](index=138&type=chunk)[139](index=139&type=chunk)[140](index=140&type=chunk) - The Board recommended an interim dividend of approximately **HKD 238.9 million** for the six months ended June 30, 2025, equivalent to **HKD 0.51 per share** (cash), expected to be distributed before November 30, 2025[141](index=141&type=chunk)[145](index=145&type=chunk) [Other Information](index=37&type=section&id=Other%20Information) This section details changes in director and chief executive information, share interests of directors and major shareholders, and two share incentive schemes (Pre-IPO RSU Scheme and 2024 Share Incentive Scheme), including their purpose, participants, share numbers, and vesting conditions - The annual remuneration for independent non-executive directors was adjusted to **HKD 360,000** effective May 1, 2025[161](index=161&type=chunk)[164](index=164&type=chunk) Interests of Directors and Chief Executive in Shares (As of June 30, 2025) | Director Name | Type/Nature of Interest | Number of Ordinary Shares | Approximate Percentage of Shareholding | Long/Short Position | | :--- | :--- | :--- | :--- | :--- | | Mr. Chen Wenbin | Controlled Corporation Interest, Jointly Held Interest with Other Persons | 293,665,000 | 65.50% | Long Position | | Mr. Yan Ming | Controlled Corporation Interest, Jointly Held Interest with Other Persons | 293,665,000 | 65.50% | Long Position | | Ms. CHEN NINGFENG | Controlled Corporation Interest, Jointly Held Interest with Other Persons | 293,665,000 | 65.50% | Long Position | | Mr. Chen Jigeng | Beneficial Interest | 14,215,000 | 3.17% | Long Position | | Mr. Zhang Peihong | Beneficial Interest | 7,207,500 | 1.61% | Long Position | Interests of Major Shareholders in Shares (As of June 30, 2025) | Shareholder Name/Entity | Type/Nature of Interest | Number of Ordinary Shares | Approximate Percentage of Shareholding | Long/Short Position | | :--- | :--- | :--- | :--- | :--- | | Coreworth Investments Limited | Beneficial Interest | 100,000,000 | 22.30% | Long Position | | Embrace Investments Limited | Beneficial Interest | 40,615,000 | 9.06% | Long Position | | Harmony Creek Investments Limited | Beneficial Interest | 78,050,000 | 17.41% | Long Position | | Rich Horizon Investments Limited | Beneficial Interest | 75,000,000 | 16.73% | Long Position | | The Core Trust Company Limited | Trustee | 28,390,000 | 6.33% | Long Position | | TCT (BVI) Limited | Controlled Corporation Interest | 28,390,000 | 6.33% | Long Position | | RSU Holding Entity | Beneficial Interest | 28,390,000 | 6.33% | Long Position | - The Pre-IPO Restricted Share Unit Scheme aims to recognize and reward grantees' contributions to the Group; as of June 30, 2025, awards involving a total of **28.43 million relevant shares** have been granted, representing **6.34%** of issued shares[178](index=178&type=chunk)[182](index=182&type=chunk)[188](index=188&type=chunk)[192](index=192&type=chunk) - The 2024 Share Incentive Scheme aims to reward and motivate employees' contributions to the Group; as of the interim report date, awards involving a total of **4.714 million relevant shares** have been granted, representing **1.05%** of issued shares[197](index=197&type=chunk)[201](index=201&type=chunk)[207](index=207&type=chunk)[211](index=211&type=chunk) [Review Report on Interim Financial Report](index=57&type=section&id=Review%20Report%20on%20Interim%20Financial%20Report) [Introduction and Scope of Review](index=57&type=section&id=Introduction%20and%20Scope%20of%20Review) KPMG reviewed the interim financial report for the six months ended June 30, 2025, in accordance with Hong Kong Standard on Review Engagements 2410, without expressing an audit opinion due to the limited scope - KPMG has reviewed this interim financial report, with the scope of review based on Hong Kong Standard on Review Engagements 2410[232](index=232&type=chunk)[234](index=234&type=chunk)[236](index=236&type=chunk) - The scope of review is substantially less than an audit, and therefore no audit opinion is expressed[237](index=237&type=chunk)[239](index=239&type=chunk) [Conclusion](index=58&type=section&id=Conclusion) Based on the review, KPMG found no matters suggesting the interim financial report for June 30, 2025, was not prepared in all material respects according to HKAS 34 - The review concluded that KPMG found no matters that cause it to believe the interim financial report was not prepared, in all material respects, in accordance with Hong Kong Accounting Standard 34[238](index=238&type=chunk)[240](index=240&type=chunk) [Consolidated Statement of Profit or Loss](index=59&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) [Consolidated Statement of Profit or Loss for the six months ended June 30, 2025](index=59&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) For the six months ended June 30, 2025, the company achieved revenue of **RMB 2,099.7 million**, a **133.8% year-on-year increase**, and a significant turnaround to profit of **RMB 865.4 million** from a net loss of **RMB 174.2 million** in the prior year, with basic and diluted earnings per share of **RMB 1.96** Key Data from Consolidated Statement of Profit or Loss (For the six months ended June 30, 2025) | Indicator | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue | 2,099,748 | 898,143 | | Gross profit | 1,851,534 | 717,865 | | Operating profit/(loss) | 1,028,027 | (215,517) | | Profit/(loss) for the period | 865,350 | (174,182) | | Basic and diluted earnings/(loss) per share (RMB) | 1.96 | (0.40) | [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=60&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) [Consolidated Statement of Profit or Loss and Other Comprehensive Income for the six months ended June 30, 2025](index=60&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) For the six months ended June 30, 2025, the company reported a profit of **RMB 865.4 million**; after accounting for exchange differences from translating foreign operations in Mainland China (a loss of **RMB 7.8 million**), total comprehensive income for the period was **RMB 857.5 million**, a significant improvement from the prior year's loss of **RMB 169.9 million** Key Data from Consolidated Statement of Profit or Loss and Other Comprehensive Income (For the six months ended June 30, 2025) | Indicator | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Profit/(loss) for the period | 865,350 | (174,182) | | Exchange differences on translating financial statements of foreign operations in Mainland China | (7,844) | 4,285 | | Total comprehensive income for the period | 857,506 | (169,897) | [Consolidated Statement of Financial Position](index=61&type=section&id=Consolidated%20Statement%20of%20Financial%20Position%20at%20June%2030%2C%202025%20%E2%80%93%20unaudited) [Consolidated Statement of Financial Position at June 30, 2025](index=61&type=section&id=Consolidated%20Statement%20of%20Financial%20Position%20at%20June%2030%2C%202025%20%E2%80%93%20unaudited) As of June 30, 2025, total assets less current liabilities were **RMB 2,374.7 million**, with net assets of **RMB 2,373.8 million**; net current assets significantly increased to **RMB 2,111.7 million**, influenced by financial assets and cash changes, while contract liabilities substantially decreased due to revenue recognition Key Data from Consolidated Statement of Financial Position (As of June 30, 2025) | Indicator | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Non-current assets | 263,009 | 282,452 | | Current assets | 3,600,849 | 3,506,937 | | Current liabilities | 1,489,174 | 2,183,294 | | Net current assets | 2,111,675 | 1,323,643 | | Total assets less current liabilities | 2,374,684 | 1,606,095 | | Net assets | 2,373,789 | 1,604,334 | | Share capital | 4 | 4 | | Reserves | 2,373,785 | 1,604,330 | | Total equity attributable to equity holders of the Company | 2,373,789 | 1,604,334 | - Financial assets measured at fair value through profit or loss increased from approximately **RMB 665.1 million** as of December 31, 2024, to approximately **RMB 1,333.7 million** as of June 30, 2025[247](index=247&type=chunk) - Cash and cash equivalents decreased from approximately **RMB 2,208.7 million** as of December 31, 2024, to approximately **RMB 1,574.1 million** as of June 30, 2025[247](index=247&type=chunk) - Contract liabilities decreased from approximately **RMB 1,488.9 million** as of December 31, 2024, to approximately **RMB 808.9 million** as of June 30, 2025[247](index=247&type=chunk) [Consolidated Statement of Changes in Equity](index=63&type=section&id=Consolidated%20Statement%20of%20Changes%20in%20Equity%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) [Consolidated Statement of Changes in Equity for the six months ended June 30, 2025](index=63&type=section&id=Consolidated%20Statement%20of%20Changes%20in%20Equity%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) For the six months ended June 30, 2025, total equity increased from **RMB 1,604.3 million** to **RMB 2,373.8 million**, primarily due to profit and other comprehensive income of **RMB 857.5 million** and share-based payments of **RMB 47.1 million**, offset by prior year dividend payments of **RMB 135.1 million** Key Data from Consolidated Statement of Changes in Equity (For the six months ended June 30, 2025) | Indicator | Balance at January 1, 2025 (RMB thousand) | Balance at June 30, 2025 (RMB thousand) | | :--- | :--- | :--- | | Share capital | 4 | 4 | | Capital reserve | 580,816 | 492,765 | | Exchange reserve | 30,654 | 22,810 | | Retained earnings | 992,860 | 1,858,210 | | Total equity | 1,604,334 | 2,373,789 | | Profit and other comprehensive income for the period | - | 857,506 | | Approved dividend for prior year | - | (135,134) | | Share-based payments | - | 47,083 | [Condensed Consolidated Cash Flow Statement](index=64&type=section&id=Condensed%20Consolidated%20Cash%20Flow%20Statement%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) [Condensed Consolidated Cash Flow Statement for the six months ended June 30, 2025](index=64&type=section&id=Condensed%20Consolidated%20Cash%20Flow%20Statement%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20%E2%80%93%20unaudited) For the six months ended June 30, 2025, net cash from operating activities was **RMB 42.1 million**, a significant improvement; net cash outflow from investing activities was **RMB 640.4 million**, mainly for financial investments and subsidiary acquisitions; net cash outflow from financing activities was **RMB 40.3 million**; period-end cash and cash equivalents were **RMB 1,574.1 million**, a decrease of **RMB 638.6 million** from the beginning of the period Key Data from Condensed Consolidated Cash Flow Statement (For the six months ended June 30, 2025) | Activity Type | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Net cash from operating activities | 42,135 | (164,037) | | Net cash from investing activities | (640,448) | 365,569 | | Net cash used in financing activities | (40,301) | (221,775) | | Net decrease in cash and cash equivalents | (638,614) | (20,243) | | Cash and cash equivalents at June 30 | 1,574,053 | 721,457 | - Net cash outflow from investing activities primarily included **RMB 24.5 million** for purchases of property, plant and equipment, intangible assets, and other non-current assets, **RMB 49.6 million** for acquisition of subsidiaries, and **RMB 536.6 million** net outflow for financial investments[255](index=255&type=chunk) [Notes to the Unaudited Interim Financial Report](index=65&type=section&id=Notes%20to%20the%20Unaudited%20Interim%20Financial%20Report) [General Information](index=65&type=section&id=General%20Information) The company was incorporated in the Cayman Islands on May 3, 2021, primarily providing online investment decision solution services, and listed on the Main Board of the Hong Kong Stock Exchange on March 10, 2023 - The company was incorporated in the Cayman Islands on **May 3, 2021**, primarily engaging in online investment decision solution services[257](index=257&type=chunk)[258](index=258&type=chunk)[263](index=263&type=chunk) - The company's shares have been listed on The Stock Exchange of Hong Kong Limited since **March 10, 2023**[258](index=258&type=chunk)[263](index=263&type=chunk) [Basis of Preparation](index=65&type=section&id=Basis%20of%20Preparation) This interim financial report is prepared in accordance with applicable disclosure provisions of the HKEX Listing Rules and HKAS 34 'Interim Financial Reporting,' and has been reviewed by KPMG - This interim financial report is prepared in accordance with the HKEX Listing Rules and Hong Kong Accounting Standard 34 'Interim Financial Reporting'[259](index=259&type=chunk)[264](index=264&type=chunk) - The interim financial report is unaudited but has been reviewed by KPMG in accordance with Hong Kong Standard on Review Engagements 2410[265](index=265&type=chunk)[268](index=268&type=chunk) [Changes in Accounting Policies](index=66&type=section&id=Changes%20in%20Accounting%20Policies) The Group applied amendments to HKAS 21 'The Effects of Changes in Foreign Exchange Rates' regarding 'lack of exchangeability,' which had no material impact on this interim report, and no new standards or interpretations not yet effective were applied - The Group has applied the amendments to Hong Kong Accounting Standard 21 'The Effects of Changes in Foreign Exchange Rates' regarding 'lack of exchangeability,' which had no material impact on this interim report[266](index=266&type=chunk)[269](index=269&type=chunk) - The Group has not applied any new standards or interpretations that are not yet effective for the current accounting period[267](index=267&type=chunk)[269](index=269&type=chunk) [Revenue](index=66&type=section&id=Revenue) For the six months ended June 30, 2025, total revenue was **RMB 2,099.7 million**, with **RMB 2,019.7 million** from financial software sales and services, primarily recognized over time, and no single customer accounting for over 10% of total revenue Revenue from Contracts with Customers by Major Product or Service Line | Product or Service Line | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Financial software sales and services | 2,019,684 | 898,143 | | Others | 80,064 | – | | **Total** | **2,099,748** | **898,143** | Revenue from Contracts with Customers by Timing of Revenue Recognition | Timing of Revenue Recognition | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue recognized over time | 2,019,684 | 898,143 | | Revenue recognized at a point in time | 80,064 | – | | **Total** | **2,099,748** | **898,143** | - The Group's customer base is diversified, with no single customer accounting for more than **10%** of total revenue for the six months ended June 30, 2024, and 2025[273](index=273&type=chunk)[277](index=277&type=chunk) - All of the Group's operating assets, revenue, and operating profit are derived from China, thus no geographical segment analysis is provided[276](index=276&type=chunk)[278](index=278&type=chunk) [Other Income/(Loss), Net](index=68&type=section&id=Other%20Income%2F%28Loss%29%2C%20Net) For the six months ended June 30, 2025, net other income was **RMB 224.2 million**, a significant improvement from the prior year's loss of **RMB 28.1 million**, mainly driven by VAT refunds and gains from financial assets measured at fair value through profit or loss Details of Other Income/(Loss), Net (For the six months ended June 30, 2025) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Government grants – VAT refunds | 115,743 | 54,772 | | Government grants – other government grants | 25,164 | 4,781 | | Net gains/(losses) from financial assets measured at fair value through profit or loss | 63,488 | (94,612) | | Exchange gains/(losses) | 4,005 | (4,170) | | Others | 15,775 | 11,128 | | **Total** | **224,175** | **(28,101)** | [Profit/(Loss) Before Taxation](index=68&type=section&id=Profit%2F%28Loss%29%20Before%20Taxation) For the six months ended June 30, 2025, profit before taxation was **RMB 1,027.0 million**, a significant turnaround from the prior year's loss of **RMB 216.8 million**, with increases in staff costs, internet traffic acquisition expenses, and depreciation Details of Staff Costs (For the six months ended June 30, 2025) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Salaries, wages and other benefits | 584,753 | 522,301 | | Contributions to defined contribution retirement plans | 32,601 | 31,922 | | Equity-settled share-based payment expenses | 47,083 | 20,927 | | **Total** | **664,437** | **575,150** | Details of Other Expense Items (For the six months ended June 30, 2025) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Internet traffic acquisition expenses | 464,456 | 395,221 | | Depreciation of right-of-use assets | 39,277 | 40,372 | | Cost of inventories sold | 26,246 | – | | Taxes and surcharges | 20,098 | 9,715 | | Cloud server operating fees | 16,969 | 17,537 | | Technical service fees | 14,223 | 7,377 | | Rental and property fees | 11,604 | 10,291 | | Office and travel expenses | 5,140 | 6,131 | | Depreciation expenses | 4,471 | 3,492 | | Audit fees | 800 | 650 | | Amortization of intangible assets | 722 | 1,132 | | Reversal of impairment losses | (708) | (1,454) | [Income Tax in the Consolidated Statements of Profit or Loss](index=70&type=section&id=Income%20Tax%20in%20the%20Consolidated%20Statements%20of%20Profit%20or%20Loss) For the six months ended June 30, 2025, income tax expense was **RMB 161.7 million**, a significant increase from the prior year's income tax credit of **RMB 42.6 million**, primarily due to increased operating profit, with certain Mainland China subsidiaries enjoying preferential tax rates Details of Tax in Consolidated Statement of Profit or Loss (For the six months ended June 30, 2025) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Current tax – provision for PRC corporate income tax for the period | 71,308 | – | | Current tax – over-provision in prior years | (199) | (14,764) | | Deferred tax – origination of temporary differences | 90,572 | (27,841) | | **Total** | **161,681** | **(42,605)** | - Jiufang Cloud was granted the 'Key Software Enterprise' designation in **April 2024**, enjoying a **10% preferential income tax rate** for the 2023 fiscal year[298](index=298&type=chunk)[303](index=303&type=chunk) - Jiufang Cloud was granted 'High-tech Enterprise' qualification in **December 2024**, enjoying a **15% preferential income tax rate** for 2024, 2025, and 2026[299](index=299&type=chunk)[303](index=303&type=chunk) [Earnings/(Loss) Per Share](index=73&type=section&id=Earnings%2F%28Loss%29%20Per%20Share) For the six months ended June 30, 2025, basic and diluted earnings per share were **RMB 1.96**, a significant improvement from the prior year's loss per share of **RMB 0.40**, calculated based on profit attributable to ordinary equity holders and the weighted average number of ordinary shares outstanding Earnings/(Loss) Per Share Calculation (For the six months ended June 30, 2025) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Profit/(loss) attributable to ordinary equity holders of the Company (RMB thousand) | 837,216 | (174,182) | | Weighted average number of ordinary shares | 426,938,624 | 432,567,014 | | Basic and diluted earnings/(loss) per share (RMB) | 1.96 | (0.40) | - Unvested shares under the share incentive schemes were not included in the calculation of diluted earnings/(loss) per share as their effect would be anti-dilutive[311](index=311&type=chunk) [Property, Plant and Equipment](index=75&type=section&id=Property%2C%20Plant%20and%20Equipment) As of June 30, 2025, the net book value of property, plant and equipment was **RMB 22.7 million**, an increase from **RMB 18.9 million** as of December 31, 2024, primarily due to additions of **RMB 8.3 million** during the period Net Book Value of Property, Plant and Equipment (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Electronic and other office equipment | 15,714 | 12,255 | | Motor vehicles | 2,064 | 1,812 | | Leasehold improvements | 4,877 | 4,798 | | **Total** | **22,655** | **18,865** | - Additions to property, plant and equipment amounted to **RMB 8.3 million** for the six months ended June 30, 2025[313](index=313&type=chunk) [Leases](index=76&type=section&id=Lease) As of June 30, 2025, the net book value of right-of-use assets was **RMB 43.5 million**, with total lease liabilities of **RMB 45.6 million**; total lease-related expenses for the period amounted to **RMB 40.3 million**, including depreciation and interest expenses Lease-Related Assets and Liabilities (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Right-of-use assets – buildings | 43,483 | 6,070 | | Lease liabilities – current | (44,739) | (6,496) | | Lease liabilities – non-current | (895) | (1,761) | | **Total Lease Liabilities** | **(45,634)** | **(8,257)** | Lease-Related Expenses (For the six months ended June 30, 2025) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Depreciation of right-of-use assets | 39,277 | 40,372 | | Interest expense on lease liabilities | 996 | 1,270 | | Expenses relating to short-term leases | 41 | 188 | | Gains from lease termination and modification | (8) | (64) | | **Total** | **40,306** | **41,766** | [Intangible Assets](index=78&type=section&id=Intangible%20Assets) As of June 30, 2025, the net book value of intangible assets was **RMB 44.2 million**, an increase from **RMB 37.2 million** as of December 31, 2024, primarily due to additions of **RMB 7.8 million** during the period Net Book Value of Intangible Assets (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Software | 7,979 | 931 | | Trademarks and licenses | 76 | 81 | | Licenses | 36,187 | 36,187 | | **Total** | **44,242** | **37,199** | - Additions to intangible assets amounted to **RMB 7.8 million** for the six months ended June 30, 2025[324](index=324&type=chunk) [Investments in Subsidiaries and Structured Entities](index=80&type=section&id=Investments%20in%20Subsidiaries%20and%20Structured%20Entities) The Group invests in subsidiaries and structured entities through direct or indirect equity holdings to provide online investment decision solutions; during the period, the company acquired Shanghai Beixun and its subsidiaries to obtain content licenses, controlling them via contractual arrangements due to foreign ownership restrictions - The Group primarily engages in online investment decision solution services, holding equity interests in structured entities established by third-party institutions through direct or indirect investments[258](index=258&type=chunk)[347](index=347&type=chunk) - On **April 10, 2024**, the Group acquired all shares of Shanghai Beixun and its subsidiaries for a consideration of **RMB 38.42 million** to obtain an Information Network Dissemination Audio-Visual Program License and a Radio and Television Program Production and Operation License[338](index=338&type=chunk)[339](index=339&type=chunk) - Due to restrictions on foreign ownership under Chinese law, the company exercises control over Shanghai Beixun and its subsidiaries through a series of contractual arrangements (VIE agreements) and consolidates their financial results into the Group's financial information[340](index=340&type=chunk)[341](index=341&type=chunk) [Financial Assets Measured at Fair Value Through Profit or Loss](index=85&type=section&id=Financial%20Assets%20Measured%20at%20Fair%20Value%20Through%20Profit%20or%20Loss) As of June 30, 2025, financial assets measured at fair value through profit or loss totaled **RMB 1,333.7 million**, a significant increase from **RMB 665.1 million** as of December 31, 2024, primarily invested in funds, listed equity securities, and wealth management products Details of Financial Assets Measured at Fair Value Through Profit or Loss (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Wealth management products | 48,022 | 61,410 | | Listed equity securities | 118,151 | 53,129 | | Asset management plans | 48,750 | – | | Funds | 1,109,251 | 549,741 | | Bonds | 8,533 | – | | Structured deposits | 1,000 | 800 | | **Total** | **1,333,707** | **665,080** | - As of June 30, 2025, the Group's interests in consolidated and unconsolidated structured entities were **RMB 911.435 million** and **RMB 1,206.023 million** respectively[348](index=348&type=chunk)[349](index=349&type=chunk) - As of June 30, 2025, the single investment exceeding **5%** of total assets was Panhou Weiran - Smart Selection No. 10 Private Securities Investment Fund, valued at **RMB 219.311 million**, representing **5.68%** of total assets[109](index=109&type=chunk)[111](index=111&type=chunk)[351](index=351&type=chunk)[353](index=353&type=chunk) [Prepayments and Other Receivables](index=87&type=section&id=Prepayments%20and%20Other%20Receivables) As of June 30, 2025, total prepayments and other receivables were **RMB 245.5 million**, an increase from **RMB 164.6 million** as of December 31, 2024, primarily due to increased prepayments for subsidiary and system acquisitions Details of Prepayments and Other Receivables (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Non-current – amounts due from related parties | 22,883 | – | | Current – prepayments for acquisition of subsidiaries and systems | 94,373 | 36,400 | | Current – prepayments to suppliers | 32,140 | 28,992 | | Current – amounts due from related parties | 29,122 | 34,809 | | Current – VAT refunds receivable | 23,870 | 24,688 | | Current – deposits | 19,944 | 15,357 | | Current – employee loans | 2,350 | 4,750 | | Current – IT service receivables | – | 683 | | Current – others | 20,790 | 18,920 | | **Total** | **245,472** | **164,599** | - As of June 30, 2025, total amounts due from related parties (trade and non-trade) were **RMB 52.0 million**[358](index=358&type=chunk) - Impairment losses of **RMB 708 thousand** were reversed during the period, and as of June 30, 2025, the loss allowance account balance was zero[358](index=358&type=chunk) [Cash and Cash Equivalents, Time Deposits, and Restricted Cash](index=89&type=section&id=Cash%20and%20Cash%20Equivalents%2C%20Time%20Deposit%20and%20Restricted%20Cash) As of June 30, 2025, cash and cash equivalents totaled **RMB 1,574.1 million**, with restricted cash of **RMB 150.8 million**, primarily contractually restricted due to regulatory requirements Details of Cash and Cash Equivalents (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Cash at bank | 1,499,218 | 2,161,512 | | Cash equivalents | 74,490 | 46,976 | | Cash on hand | 345 | 174 | | **Total Cash and Cash Equivalents** | **1,574,053** | **2,208,662** | Restricted Cash (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Restricted cash | 150,804 | 121,668 | - Restricted cash comprises funds contractually restricted from use or withdrawal due to regulatory requirements, all denominated in RMB and deposited with financial institutions in Mainland China[362](index=362&type=chunk) [Contract Liabilities](index=90&type=section&id=Contract%20Liabilities) As of June 30, 2025, contract liabilities were **RMB 808.9 million**, a significant decrease from **RMB 1,488.9 million** as of December 31, 2024, reflecting revenue recognition from customer advances and the impact of customer refunds Changes in Contract Liabilities (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Balance at beginning of period/year | 1,488,902 | 689,322 | | Additions | 1,762,830 | 3,625,219 | | Decrease due to revenue recognized | (1,373,693) | (479,847) | | Decrease due to revenue recognized in the same period/year | (645,991) | (1,826,139) | | Decrease due to refunds to customers | (423,151) | (519,653) | | **Balance at end of period/year** | **808,897** | **1,488,902** | - Contract liabilities relate to prepaid subscription fees received from customers, with revenue recognized over time; for the six months ended June 30, 2025, **RMB 1,763 million** in subscription fees were received, of which **RMB 646 million** was recognized as revenue in the same period[365](index=365&type=chunk) [Accrued Expenses and Other Current Liabilities](index=91&type=section&id=Accrued%20Expenses%20and%20Other%20Current%20Liabilities) As of June 30, 2025, total accrued expenses and other current liabilities were **RMB 512.5 million**, an increase from **RMB 466.0 million** as of December 31, 2024, primarily due to increased dividends payable and accrued internet traffic acquisition expenses Details of Accrued Expenses and Other Current Liabilities (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Dividends payable | 135,134 | – | | Accrued salaries and welfare | 134,162 | 203,177 | | Accrued internet traffic acquisition expenses | 95,087 | 44,859 | | Refund liabilities | 87,671 | – | | VAT and surcharges payable | 40,227 | 53,183 | | Customer advances | 10,165 | 151,214 | | Other accrued expenses and other payables | 10,055 | 11,179 | | Amounts due to employees | – | 2,431 | | **Total** | **512,501** | **466,043** | [Income Tax in the Consolidated Statement of Financial Position](index=91&type=section&id=Income%20Tax%20in%20the%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, income tax payable was **RMB 48.4 million**, with net deferred tax assets of **RMB 129.7 million**; the company did not recognize deferred tax assets for accumulated tax losses or deferred tax liabilities for undistributed profits of Mainland China subsidiaries Current Tax in Consolidated Statement of Financial Position (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | PRC corporate income tax | 48,437 | 165,309 | Changes in Deferred Tax Assets (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Net deferred tax assets | 129,746 | 220,318 | - As of June 30, 2025, the company did not recognize deferred tax assets for accumulated tax losses of **RMB 262.683 million**, as future taxable profits are unlikely to be available to offset the losses[377](index=377&type=chunk)[379](index=379&type=chunk) - As of June 30, 2025, no deferred tax liabilities were recognized for undistributed profits of Mainland China subsidiaries amounting to **RMB 1,665.241 million**, as the company controls the dividend policy and these profits are not expected to be distributed in the foreseeable future[378](index=378&type=chunk)[380](index=380&type=chunk) [Capital and Reserves](index=95&type=section&id=Capital%20and%20Reserves) As of June 30, 2025, share capital was **RMB 4 thousand** and reserves were **RMB 2,373.8 million**; during the period, the company distributed prior year dividends of **RMB 135.1 million** and recognized share-based payment expenses of **RMB 47.1 million**, with changes in unvested shares under incentive schemes Changes in Share Capital (As of June 30, 2025) | Item | 2025 (thousand shares) | 2025 (RMB thousand) | 2024 (thousand shares) | 2024 (RMB thousand) | | :--- | :--- | :--- | :--- | :--- | | At January 1 | 448,357 | 4 | 466,087 | 4 | | Shares repurchased | – | – | (17,730) | (*) | | **At June 30/December 31** | **448,357** | **4** | **448,357** | **4** | - The company repurchased and cancelled **17.73 million ordinary shares** in 2024, totaling approximately **RMB 181.468 million**[388](index=388&type=chunk)[390](index=390&type=chunk) Dividends Payable (For the six months ended June 30, 2025) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Interim dividend proposed after the interim period (HKD 0.51 per share) | 217,830 | – | | Final dividend approved for previous financial year during the interim period (HKD 0.33 per share) | 135,134 | 89,958 | Changes in Number of Equity Instruments Under Share Incentive Schemes (As of June 30, 2025) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Beginning of period/year | 23,073,177 | 28,430,000 | | Vested | (8,568,000) | – | | Granted | 2,961,000 | 1,753,177 | | Forfeited | (103,000) | (7,110,000) | | **End of period/year** | **17,363,177** | **23,073,177** | - For the six months ended June 30, 2025, expenses recognized for restricted share units granted to employees under the share incentive schemes amounted to **RMB 47.083 million**[402](index=402&type=chunk) [Fair Value Measurement of Financial Instruments](index=99&type=section&id=Fair%20Value%20Measurement%20of%20Financial%20Instruments) As of June 30, 2025, the fair value of the company's financial assets and liabilities was primarily measured using Level 1 and Level 2 valuation methods, with Level 1 including listed equity securities and some funds, and Level 2 including wealth management products, asset management plans, some funds, and structured deposits - Fair value measurements are categorized into three levels: Level 1 (quoted prices in active markets), Level 2 (observable inputs other than quoted prices), and Level 3 (significant unobservable inputs)[406](index=406&type=chunk)[407](index=407&type=chunk) Fair Value Hierarchy of Financial Assets and Liabilities (As of June 30, 2025) | Item | Level 1 (RMB thousand) | Level 2 (RMB thousand) | Level 3 (RMB thousand) | | :--- | :--- | :--- | :--- | | **Assets** | | | | | Wealth management products | – | 48,022 | – | | Listed equity securities | 118,151 | – | – | | Asset management plans | – | 48,750 | – | | Funds | 491,208 | 618,043 | – | | Bonds | 8,533 | – | – | | Structured deposits | – | 1,000 | – | | **Total Assets** | **617,892** | **715,815** | **–** | | **Liabilities** | | | | | Financial liabilities measured at fair value through profit or loss | – | 74,600 | – | | **Total Liabilities** | **–** | **74,600** | **–** | - During the six months ended June 30, 2025, there were no transfers between Level 1 and Level 2, nor any transfers into or out of Level 3[414](index=414&type=chunk) [Commitments](index=102&type=section&id=Commitments) As of June 30, 2025, the company's commitments for contracted acquisitions of subsidiaries and systems amounted to **RMB 73.4 million**, a significant increase from **RMB 15.6 million** as of December 31, 2024 Unfulfilled Commitments (As of June 30, 2025) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Contracted acquisitions of subsidiaries and systems | 73,424 | 15,600 | [Material Related Party Transactions](index=102&type=section&id=Material%20Related%20Party%20Transactions) The company engaged in transactions with several related parties controlled by its ultimate owner, including purchases of property, plant and equipment, intangible assets, and office leases, alongside two significant acquisitions involving equity and core information systems of Guangfa Insurance and Founder Financial Holdings - Key related parties include Yinsai, Yinke Investment Holdings, Yinke Chuangzhan, Founder Financial Holdings, Xieyu, Guangfa Insurance, Qijian, Feixiu, etc., all controlled by the ultimate owner[420](index=420&type=chunk)[421](index=421&type=chunk)[422](index=422&type=chunk)[423](index=423&type=chunk)[424](index=424&type=chunk) Key Management Personnel Compensation (For the six months ended June 30, 2025) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Salaries, allowances and benefits in kind | 1,386 | 1,675 | | Discretionary bonuses | 1,683 | 390 | | Retirement scheme contributions | 125 | 158 | | Share-based payments | 19,199 | 20,927 | | **Total** | **22,393** | **23,150** | Overview of Material Related Party Transactions (For the six months ended June 30, 2025) | Transaction Type | Related Party | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | :--- | | Purchase of property, plant and equipment | Yinke Chuangzhan | 671 | – | | Purchase of property, plant and equipment | Yinsai | 554 | – | | Purchase of intangible assets | Yinke Chuangzhan | 2,651 | – | | Purchase of intangible assets | Yinsai | 178 | – | | Office lease – depreciation expenses | Xieyu | 38,038 | 39,472 | | Office lease – interest expenses | Xieyu | 902 | 1,213 | - On **March 8, 2024**, the Group entered into an equity transfer agreement with Qijian and Guangfa Insurance to acquire all equity of Guangfa Insurance for a consideration of **RMB 52.0 million**; as of June 30, 2025, **RMB 36.4 million** had been paid, and the acquisition is not yet complete[430](index=430&type=chunk) - On **April 3, 2025**, the company entered into an agreement with Yinke Chuangzhan and Feixiu to acquire all equity and core information systems of Founder Financial Holdings for a total consideration of **HKD 126.97 million**; as of June 30, 2025, **RMB 57.973 million** had been paid, and the acquisition is not yet complete[432](index=432&type=chunk) Balances with Related Parties (As of June 30, 2025) | Item | Related Party | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | :--- | | Prepayments for acquisition of subsidiaries and systems | Qijian | 36,400 | 36,400 | | Prepayments for acquisition of subsidiaries and systems | Yinke Chuangzhan | 49,615 | – | | Prepayments for acquisition of subsidiaries and systems | Feixiu | 8,358 | – | | Amounts due from related parties | Xieyu | 22,277 | 21,365 | | Amounts due from related parties | Yinsai | – | 13,444 | | Right-of-use assets | Xieyu | 40,128 | 2,627 | | Lease liabilities | Xieyu | 42,196 | 4,740 | | Non-trade – amounts due from related parties | Founder Financial Holdings | 29,728 | – | [Subsequent Events](index=107&type=section&id=Subsequent%20Events) Subsequent to the reporting period, the company completed a top-up placement of **20 million H shares** on July 28, 2025, raising approximately **HKD 772.80 million** for developing blockchain financial resources, digital asset services, new digital asset advisory models, and working capital; the Board also recommended an interim dividend - On **July 28, 2025**, the company completed a top-up placement of **20 million H shares** at **HKD 39.25 per share**, raising net proceeds of approximately **HKD 772.80 million**[142](index=142&type=chunk)[146](index=146&type=chunk)[440](index=440&type=chunk) - The placement proceeds will be used to cultivate and develop blockchain financial resources, establish digital asset services (focusing on Hong Kong and the Middle East), explore new digital asset advisory models (with 'AI + research' as the core strategy), and supplement working capital and for general corporate purposes[143](index=143&type=chunk)[146](index=146&type=chunk) - On **August 28, 2025**, the Board recommended an interim dividend of approximately **HKD 238.9 million**, or **HKD 0.51 per share** (cash), for the six months ended June 30, 2025, subject to approval at an extraordinary general meeting[141](index=141&type=chunk)[145](index=145&type=chunk)[441](index=441&type=chunk)[443](index=443&type=chunk) [Comparatives](index=107&type=section&id=Comparatives) Certain comparative figures have been reclassified to conform with the current period's presentation - Certain comparative figures have been reclassified to conform with the current period's presentation[442](index=442&type=chunk)[444](index=444&type=chunk) [Definitions](index=108&type=section&id=Definitions) [Glossary of Terms](index=108&type=section&id=Definitions) This section provides definitions for key technical, operational, company, and financial terms used in the report, such as 'AI,' 'App,' 'MCN,' 'KOL,' 'the Company,' 'the Group,' and 'Listing Date,' ensuring clarity and understanding - 'AI' refers to Artificial Intelligence[445](index=445&type=chunk) - 'Stock Learning Machine' is an innovative product launched by the Group, relying on three foundational systems—hardware, AI, and investment research—to build six core modules, helping users enhance their financial knowledge and investment capabilities[445](index=445&type=chunk) - 'Jiuyao Gu' or 'Small-Ticket Product Series' are standardized products developed by the Group, leveraging data analysis and AI technology, using professional strategies and signal analysis to lower investment thresholds and provide intelligent, diversified, and personalized high-quality financial products[446](index=446&type=chunk) - 'MCN' refers to 'Multi-Channel Network,' an organization that assists internet KOLs or influencers with production, content programming, monetization, and audience expansion[447](index=447&type=chunk) - 'Jiufang Zhitou App' is the Group's proprietary application, featuring multiple products that integrate market display and analysis, trading, expert video live streaming, insights, and professional information, providing intelligent services[449](index=449&type=chunk)

[Chairman's Statement](index=3&type=section&id=%E4%B8%BB%E5%B8%AD%E5%A0%B1%E5%91%8A) [Performance Overview](index=3&type=section&id=%E6%A5%AD%E7%B8%BE) The Group reported a net loss of HKD 210 million for H1 2025, a 26.5% increase, mainly due to a HKD 99.4 million property impairment loss H1 2025 Performance Summary | Metric | H1 2025 (HKD million) | H1 2024 (HKD million) | Increase/(Decrease) % | | :--- | :--- | :--- | :--- | | Net loss attributable to equity holders of the parent company | (210) | (166) | 26.5% | | Property impairment loss | 99.4 | - | - | [Interim Dividend Policy](index=3&type=section&id=%E4%B8%AD%E6%9C%9F%E8%82%A1%E6%81%AF) The Board does not recommend an interim dividend for the period, aiming to preserve cash reserves amidst a challenging business environment - The Board does not recommend paying an interim dividend for the current period (June 30, 2024: nil), aiming to preserve cash reserves to address future difficulties and challenges[6](index=6&type=chunk) [Business Review](index=3&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) The Group operates in Hong Kong property, securities, Blackbird Group's automotive and collectibles businesses, and culture and entertainment, with strong Ferrari performance despite economic headwinds - The Group primarily operates in Hong Kong property business, securities business, Blackbird Group's multifaceted automotive business and valuable collectibles investment, and culture and entertainment business (primarily film business)[7](index=7&type=chunk) [Hong Kong Property Business](index=3&type=section&id=%E9%A6%99%E6%B8%AF%E7%89%A9%E6%A5%AD%E6%A5%AD%E5%8B%99) The Hong Kong property market remains sluggish, with the Group's property values facing revaluation pressure due to US economic and interest rate policy uncertainties - The Hong Kong property market remains sluggish, and uncertainties in the new US administration's economic and interest rate policies are expected to severely impact the recovery of the global economy and property market, leading to continued revaluation pressure on the Group's property values[8](index=8&type=chunk) [Securities Business](index=4&type=section&id=%E8%AD%89%E5%88%B8%E6%A5%AD%E5%8B%99) The Company avoided trading listed stocks in H1 to preserve cash and reduce risk, with income primarily from stable interest on bills receivable - In H1 2025, to preserve cash and mitigate risks, the Company did not trade any listed stocks or securities in the stock market, but received stable interest income from bills receivable[9](index=9&type=chunk) [Blackbird Group](index=4&type=section&id=Blackbird%E9%9B%86%E5%9C%98) Blackbird Group operates Ferrari and Maserati dealerships, valuable collectibles trading, and automotive logistics, with management satisfied by its multifaceted automotive business's positive development despite challenges - Blackbird Group primarily engages in Ferrari business, Maserati business, valuable collectibles trading and investment business, and automotive logistics business[10](index=10&type=chunk) - Despite the challenging business environment, management is satisfied with the positive development of Blackbird Group's multifaceted automotive business[10](index=10&type=chunk) [Ferrari Business](index=4&type=section&id=%E6%B3%95%E6%8B%89%E5%88%A9%E6%A5%AD%E5%8B%99) Ferrari business in Hong Kong and Macau saw strong H1 2025 performance with increased deliveries, 10% full-year production growth, high demand for new models, and successful certified pre-owned car programs - Ferrari delivery speed increased in H1 2025, with full-year production for 2025 expected to achieve **10% growth**[11](index=11&type=chunk) - Deliveries of the highly anticipated Ferrari Purosangue and limited-edition Daytona SP3 continued, with the Ferrari F80 configuration finalized and production nearing **20 units**, solidifying growth in new generation collectors and VIPs[11](index=11&type=chunk) - New car order personalization levels exceeded business targets, with a slight increase of **5% year-to-date**. The newly launched 296 Speciale and Amalfi V8 twin-turbo GT sports car received enthusiastic market response, with nearly **90% of the 3-year allocation for the Hong Kong market for the former already sold out**[11](index=11&type=chunk)[12](index=12&type=chunk) [Maserati Business](index=6&type=section&id=%E7%91%AA%E8%8E%8E%E6%8B%89%E8%92%82%E6%A5%AD%E5%8B%99) Maserati business in Hong Kong and Macau achieved stable sales, driven by sustained demand for Grecale, initial deliveries of Grecale Folgore, and preparations for the new GranTurismo - Maserati's exclusive importer, Blackbird Tridente, recorded stable sales performance, reflecting sustained customer demand for the high-end SUV Grecale[15](index=15&type=chunk) - Maserati's first all-electric SUV, Grecale Folgore, has commenced deliveries, marking a milestone in the brand's electrification journey[15](index=15&type=chunk) [Valuable Collectibles Trading and Investment Business](index=6&type=section&id=%E5%AF%8C%E5%83%B9%E5%80%BC%E7%9A%84%E6%94%B6%E8%97%8F%E5%93%81%E8%B2%BF%E6%98%93%E5%8F%8A%E6%8A%95%E8%B3%87%E6%A5%AD%E5%8B%99) The vintage and investment-grade car market faced global weakness, yet management remains cautiously optimistic, while the vintage watch department maintains its reputation through publications and brand collaborations - The vintage and investment-grade car market continued to be affected by global market weakness, but management remains cautiously optimistic about the long-term development of the vintage car trading environment[16](index=16&type=chunk) - The vintage watch department is renowned for its vintage watch magazine and online platform, continuing to collaborate with numerous important brands on editorial partnerships and consulting services[16](index=16&type=chunk) [Automotive Logistics Business](index=7&type=section&id=%E6%B1%BD%E8%BB%8A%E7%89%A9%E6%B5%81%E6%A5%AD%E5%8B%99) Blackbird Works Supply's Hong Kong logistics is the main revenue source, with growing cross-border services in mainland China, expanded roll-on/roll-off transport, and call center operations, while improving systems and seeking market share expansion - Blackbird Works Supply comprises Hong Kong logistics, cross-border logistics (mainland China and Macau), pre-sales inspection and roll-on/roll-off vessel transport handling, and call center services, with Hong Kong logistics remaining the primary revenue source[17](index=17&type=chunk) - Cross-border logistics services in mainland China continued to grow, with collaborations with two shipping companies to commence roll-on/roll-off cargo handling services[17](index=17&type=chunk) - Call center business continued to grow, with opportunities for collaboration with insurance companies on call center services being explored[17](index=17&type=chunk) [Culture and Entertainment Business](index=8&type=section&id=%E6%96%87%E5%8C%96%E5%A8%9B%E6%A8%82%E6%A5%AD%E5%8B%99) The Group divested its stage engineering associate in February 2025, making film business the sole remaining operation within the culture and entertainment segment - The Group disposed of its associate engaged in stage audio, lighting, and stage engineering business on February 28, 2025, making film business the sole remaining operation within the culture and entertainment segment[18](index=18&type=chunk) [Outlook](index=8&type=section&id=%E5%89%8D%E6%99%AF) Amidst global economic slowdown, geopolitical tensions, and tariff disputes, the Group will focus on developing Blackbird Automotive, implementing prudent financial management, and preparing for recovery - Both global and local economic outlooks face challenges, with recovery progress likely to remain slow and uneven[19](index=19&type=chunk) - The Group will continue to strive to build and develop the Blackbird Automotive Group, aiming to become one of the global leaders in the automotive industry in the near future[19](index=19&type=chunk) - Prudent financial management and cost-saving measures will continue to be implemented, striving to turn crises into opportunities for long-term sustainable growth and enhanced shareholder value[19](index=19&type=chunk) [Acknowledgements](index=8&type=section&id=%E8%87%B4%E8%AC%9D) The Chairman, on behalf of the Board, extends sincere gratitude to all stakeholders, including directors, employees, shareholders, and business partners - The Chairman, on behalf of the Board, extends sincere gratitude to the directors, management, and all employees for their unwavering commitment, loyalty, and diligent performance during the period[20](index=20&type=chunk) - Deep appreciation is extended to shareholders, investors, banks, customers, suppliers, and landlords for their consistent encouragement and strong support during these unprecedented times[20](index=20&type=chunk) [Financial Review](index=8&type=section&id=%E8%B2%A1%E5%8B%99%E5%9B%9E%E9%A1%A7) [Summary of Financial Results for H1 2025](index=9&type=section&id=2025%E5%B9%B4%E4%B8%8A%E5%8D%8A%E5%B9%B4%E8%B2%A1%E5%8B%99%E6%A5%AD%E7%B8%BE%E6%91%98%E8%A6%81) The Group's H1 2025 revenue decreased by 19.4% to HKD 258 million, with loss expanding to HKD 210 million, basic loss per share at HKD 0.132, and no interim dividend H1 2025 Financial Results Summary | Metric | H1 2025 (HKD million) | H1 2024 (HKD million) | Increase/(Decrease) % | | :--- | :--- | :--- | :--- | | Revenue | 258 | 320 | (19.4%) | | Loss before tax | (210) | (165) | 27.3% | | Loss for the period | (210) | (166) | 26.5% | | Loss per share attributable to ordinary equity holders of the parent company — Basic | (0.132 HKD) | (0.104 HKD) | 26.9% | | Dividend per share | Nil | Nil | N/A | [Review of Financial Performance](index=9&type=section&id=%E8%B2%A1%E5%8B%99%E6%A5%AD%E7%B8%BE%E5%9B%9E%E9%A1%A7) Revenue declined due to the 2024 multimedia business disposal and a weak collectibles market, while loss expanded due to increased property impairment; Ferrari revenue grew by 7.4% from accelerated deliveries - The Group's revenue for H1 2025 was approximately **HKD 258 million**, a decrease of approximately **19.4%** compared to H1 2024, primarily due to the disposal of the unprofitable multimedia business in June 2024 and the continued weakness in the global valuable collectibles market[22](index=22&type=chunk) - The expanded loss was mainly due to an impairment loss on properties classified as assets held for sale of approximately **HKD 99.4 million**, compared to approximately HKD 43 million in H1 2024[23](index=23&type=chunk) - Benefiting from accelerated car deliveries in H1 2025, Ferrari business revenue increased by approximately **7.4% to approximately HKD 204 million**[23](index=23&type=chunk) [Analysis by Business Segment](index=10&type=section&id=%E6%8C%89%E6%A5%AD%E5%8B%99%E5%88%86%E9%83%A8%E5%8A%83%E5%88%86%E7%9A%84%E5%88%86%E6%9E%90) Business segments showed mixed performance, with Ferrari revenue and profit growing, Maserati and collectibles revenue declining, property loss expanding due to impairment, and other segments impacted by disposals Revenue by Business Segment for the Six Months Ended June 30 (HKD million) | Business Segment | 2025 (HKD million) | 2024 (HKD million) | Increase/(Decrease) % | | :--- | :--- | :--- | :--- | | Property Investment and Holding | 1 | 4 | (75.0%) | | Ferrari Business | 204 | 190 | 7.4% | | Maserati Business | 22 | 39 | (43.6%) | | Valuable Collectibles and Logistics Business | 20 | 57 | (64.9%) | | Other Businesses | 11 | 30 | (63.3%) | | Total | 258 | 320 | (19.4%) | Operating Profit/(Loss) by Business Segment for the Six Months Ended June 30 (HKD million) | Business Segment | 2025 (HKD million) | 2024 (HKD million) | Increase/(Decrease) % | | :--- | :--- | :--- | :--- | | Property Investment and Holding | (102) | (41) | 148.8% | | Securities Business | 4 | 4 | –% | | Ferrari Business | 5 | 3 | 66.7% | | Maserati Business | (4) | (7) | (42.9%) | | Valuable Collectibles and Logistics Business | (12) | (22) | (45.5%) | | Culture and Entertainment Business | –* | –* | –% | | Other Businesses | (10) | (22) | (54.5%) | | Total | (119) | (85) | 40.0% | - Hong Kong property business rental income decreased by **75% to HKD 1 million**, and operating loss expanded to **HKD 102 million**, primarily due to property impairment loss[27](index=27&type=chunk) [Analysis by Geographical Segment](index=12&type=section&id=%E6%8C%89%E5%8D%80%E5%9F%9F%E5%8A%83%E5%88%86%E7%9A%84%E5%88%86%E6%9E%90) Most revenue originated from Hong Kong, Macau, and mainland China, decreasing by 11.3% to HKD 258 million due to the 2024 multimedia business disposal, while other regions reported no revenue from a weak collectibles market Revenue by Geographical Segment for the Six Months Ended June 30 (HKD million) | Region | 2025 (HKD million) | 2024 (HKD million) | Increase/(Decrease) % | | :--- | :--- | :--- | :--- | | Hong Kong, Macau and Mainland China | 258 | 291 | (11.3%) | | Rest of the World | –* | 29 | (100.0%) | | Total | 258 | 320 | (19.4%) | - Revenue from Hong Kong, Macau, and mainland China decreased by approximately **11.3%**, primarily due to the disposal of the unprofitable Hong Kong multimedia business in June 2024[34](index=34&type=chunk) - Revenue from the rest of the world primarily came from global sales of valuable collectibles, but no such sales were recorded during the period, reflecting the weak global valuable collectibles market[34](index=34&type=chunk) [Capital Structure and Gearing Ratio](index=13&type=section&id=%E8%B3%87%E6%9C%AC%E7%B5%90%E6%A7%8B%E5%8F%8A%E8%B3%87%E6%9C%AC%E8%B2%A0%E5%80%B5%E6%AF%94%E7%8E%87) Shareholders' equity decreased by HKD 210 million to HKD 462 million due to period loss, while the gearing ratio rose from 70.5% to 78.2%, with total borrowings of HKD 1.662 billion, 99.2% being short-term Capital Structure (HKD million) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Bank borrowings | 1,157 | 1,172 | | Other borrowings | 350 | 261 | | Lease liabilities | 26 | 43 | | Convertible bonds | 98 | 96 | | Bank borrowings directly related to assets classified as held for sale | 31 | 33 | | **Total borrowings** | **1,662** | **1,605** | | Shareholders' equity attributable to equity holders of the parent company | 462 | 672 | | **Total capital employed** | **2,124** | **2,277** | - Shareholders' equity attributable to equity holders of the parent company was approximately **HKD 462 million**, a decrease of approximately **HKD 210 million** from the beginning of 2025, primarily attributable to the net loss attributable to equity holders of the parent company for the period[35](index=35&type=chunk) - The Group's gearing ratio increased from approximately **70.5%** as at December 31, 2024, to approximately **78.2%** as at June 30, 2025, mainly due to the decrease in equity[36](index=36&type=chunk) [Liquidity and Financial Resources](index=14&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91%E5%8F%8A%E8%B2%A1%E5%8B%99%E8%B3%87%E6%BA%90) Net current liabilities increased to HKD 1.328 billion due to working capital use and property impairment, with all bank borrowings reclassified as current liabilities due to covenant non-compliance; the Group is actively pursuing asset sales, loan renewals, and capital transactions to improve liquidity Liquidity (HKD million) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current assets | 832 | 950 | | Current liabilities | (2,160) | (2,100) | | Net current liabilities | (1,328) | (1,150) | - Net current liabilities increased by approximately **HKD 178 million to HKD 1.328 billion**, primarily due to the utilization of working capital for daily operations and the recognition of a property impairment loss of approximately **HKD 99.4 million** on assets classified as held for sale during the period[38](index=38&type=chunk) - The Group failed to comply with financial covenants under bank credit facilities, resulting in all bank borrowings (approximately **HKD 1.14 billion**) being reclassified as current liabilities, and negotiations for renewal waivers are ongoing[39](index=39&type=chunk)[63](index=63&type=chunk) - The Group plans to meet its working capital and capital expenditure requirements through asset disposals, additional borrowings and fundraising activities (if necessary), and the disposal of non-core assets[39](index=39&type=chunk)[61](index=61&type=chunk) [Capital Commitments](index=15&type=section&id=%E8%B3%87%E6%9C%AC%E6%89%BF%E6%93%94) As of June 30, 2025, the Group's capital commitments decreased to HKD 3 million from HKD 5 million, with funding planned through internal resources Capital Commitments (HKD million) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Capital commitments | 3 | 5 | - The Group intends to fund its capital commitments through internal resources[41](index=41&type=chunk)[102](index=102&type=chunk) [Treasury Management](index=15&type=section&id=%E5%BA%AB%E5%8B%99%E7%AE%A1%E7%90%86) The Group employs a conservative approach to treasury management, centralizing activities, with no significant foreign exchange risk and no current hedging for interest rate risk - The Group adopts a conservative approach to cash management and risk control, centralizing treasury activities[42](index=42&type=chunk) - Currently, the Group's foreign exchange risk is not significant, and no financial instruments are used to hedge its interest rate risk[42](index=42&type=chunk) [Disposal of Significant Subsidiaries and Associates](index=15&type=section&id=%E5%87%BA%E5%94%AE%E9%87%8D%E5%A4%A7%E9%99%84%E5%B1%AC%E5%85%AC%E5%8F%B8%E5%8F%8A%E8%81%AF%E7%87%9F%E5%85%AC%E5%8F%B8) On February 28, 2025, the Group disposed of its stage audio, lighting, and engineering associate for HKD 8.1 million, exiting that business - On December 27, 2024, the Group entered into two sale and purchase agreements to dispose of its associate engaged in stage audio, lighting, and stage engineering business within its culture and entertainment segment for a total consideration of **HKD 8.1 million**[43](index=43&type=chunk) - Upon completion of the disposal on February 28, 2025, the Group ceased to operate the stage audio, lighting, and stage engineering business[43](index=43&type=chunk) [Pledge of Assets](index=16&type=section&id=%E8%B3%87%E7%94%A2%E6%8A%B5%E6%8A%BC) The Group's interest-bearing bank borrowings are secured by various assets, including leasehold land and buildings, investment properties, inventories, fixed deposits, assets held for sale, and valuable collectibles - Pledge of certain leasehold land and buildings of the Group located in Hong Kong, with a total carrying value of approximately **HKD 842 million**[103](index=103&type=chunk) - Pledge of the Group's investment properties located in Hong Kong, with a total carrying value of approximately **HKD 610 million**[103](index=103&type=chunk) - Pledge of the Group's valuable collectibles held for investment, with a total carrying value of approximately **HKD 235 million**[103](index=103&type=chunk) [Contingent Liabilities](index=16&type=section&id=%E6%88%96%E7%84%B6%E8%B2%A0%E5%82%B5) The Group faces legal proceedings for property sales misrepresentations, but the Board deems a successful defense reasonably high, requiring no provision - Certain property buyers have initiated legal proceedings against a subsidiary of the Company regarding misrepresentations involved in property sales[101](index=101&type=chunk) - The Directors believe that the chance of successful defense for the subsidiary is reasonably high, and therefore no provision is required for claims arising from these legal proceedings at the end of the reporting period[101](index=101&type=chunk) [Employees and Remuneration Policy](index=16&type=section&id=%E5%83%B1%E5%93%A1%E5%8F%8A%E8%96%AA%E9%85%AC%E6%94%BF%E7%AD%96) As of June 30, 2025, the Group had 175 employees, a decrease of 12, with a fair, performance-based, and market-competitive remuneration policy including provident fund, medical insurance, and bonuses Number of Employees | Date | Total Employees | | :--- | :--- | | June 30, 2025 | 175 | | December 31, 2024 | 187 | - The Group's remuneration policy is based on fairness, providing employees with incentive-driven, performance-based, and market-competitive remuneration packages, which are reviewed annually[46](index=46&type=chunk) - In addition to salaries, other employee benefits include provident fund contributions, medical insurance, and performance-linked bonuses. As of June 30, 2025, the Company had no outstanding share options[46](index=46&type=chunk) [Convertible Bonds](index=17&type=section&id=%E5%8F%AF%E6%8F%9B%E8%82%A1%E5%82%B5%E5%8B%B5) The Group holds 2025 and 2024 convertible bonds; 2025 bonds have HKD 93.5 million outstanding, partly converted or offset, while 2024 bonds have HKD 6.755 million outstanding, with some redeemed and others extended with revised terms [2025 Convertible Bonds](index=17&type=section&id=2025%E5%8F%AF%E6%8F%9B%E8%82%A1%E5%82%B5%E5%88%B8) The Company issued HKD 220 million in 2025 convertible bonds, maturing December 31, 2025, at 4.5% annual interest; some converted or offset, leaving HKD 93.5 million outstanding as of June 30, 2025 - The Company issued 2025 convertible bonds with a total principal amount of **HKD 220 million**, maturing on December 31, 2025, at an annual interest rate of **4.5%** of the principal amount[47](index=47&type=chunk)[95](index=95&type=chunk) - Portions of the 2025 convertible bonds have been converted into shares, and some have been offset by consideration from the disposal of multimedia business and landscape design services subsidiaries[48](index=48&type=chunk)[49](index=49&type=chunk)[97](index=97&type=chunk) Outstanding Principal Amount of 2025 Convertible Bonds (HKD million) | Date | Outstanding Principal Amount | | :--- | :--- | | June 30, 2025 | 93.5 | | Date of this report | 87.92 | [2024 Convertible Bonds](index=18&type=section&id=2024%E5%8F%AF%E6%8F%9B%E8%82%A1%E5%82%B5%E5%88%B8) The Company issued HKD 30.0115 million in 2024 convertible bonds, with HKD 6.755 million outstanding, whose maturity was extended to August 18, 2025, with a revised conversion price of HKD 0.15 and a 9.0% annual interest rate - The Company issued 2024 convertible bonds with a total principal amount of **HKD 30.0115 million**, part of which has been redeemed[50](index=50&type=chunk)[98](index=98&type=chunk)[99](index=99&type=chunk) - The maturity date for the outstanding principal amount of **HKD 6.755 million** of the 2024 convertible bonds was extended by one year from August 18, 2024, to August 18, 2025[51](index=51&type=chunk)[99](index=99&type=chunk) - The conversion price was changed from **HKD 0.193 per share to HKD 0.15 per share**, and the annual interest rate was increased from **4.5% to 9.0%**[51](index=51&type=chunk)[99](index=99&type=chunk) [Interim Results](index=19&type=section&id=%E4%B8%AD%E6%9C%9F%E6%A5%AD%E7%B8%BE) [Condensed Consolidated Statement of Profit or Loss](index=20&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E8%A1%A8) For the six months ended June 30, 2025, the Group reported HKD 258 million revenue, HKD 53 million gross profit, HKD 210 million loss, and HKD 0.132 basic and diluted loss per share Condensed Consolidated Statement of Profit or Loss Summary (HKD million) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | 258 | 320 | | Cost of sales | (205) | (247) | | Gross profit | 53 | 73 | | Other income and gains | 10 | 9 | | Selling and distribution expenses | (9) | (14) | | Administrative expenses | (108) | (133) | | Other expenses and losses | (99) | (45) | | Finance costs | (57) | (57) | | Loss before tax | (210) | (165) | | Income tax expense | – | (1) | | Loss for the period | (210) | (166) | | Loss per share attributable to ordinary equity holders of the parent company (Basic and diluted) | (0.132 HKD) | (0.104 HKD) | [Condensed Consolidated Statement of Comprehensive Income](index=21&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) For the six months ended June 30, 2025, the Group reported a total comprehensive loss of HKD 210 million, contrasting with a HKD 159 million comprehensive income in the prior year due to leasehold land revaluation Condensed Consolidated Statement of Comprehensive Income Summary (HKD million) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Loss for the period | (210) | (166) | | Revaluation of leasehold land and buildings | – | 325 | | Other comprehensive income for the period | – | 325 | | Total comprehensive (loss)/income for the period | (210) | 159 | [Condensed Consolidated Statement of Financial Position](index=22&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) As of June 30, 2025, the Group reported total assets of HKD 2.635 billion, total liabilities of HKD 2.173 billion, shareholders' equity of HKD 462 million, and net current liabilities of HKD 1.328 billion, indicating liquidity pressure Condensed Consolidated Statement of Financial Position Summary (HKD million) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total non-current assets | 1,803 | 1,836 | | Total current assets | 832 | 950 | | **Total assets** | **2,635** | **2,786** | | Total equity | 462 | 672 | | Total non-current liabilities | 13 | 14 | | Total current liabilities | 2,160 | 2,100 | | **Total liabilities** | **2,173** | **2,114** | | **Total equity and liabilities** | **2,635** | **2,786** | | Net current liabilities | (1,328) | (1,150) | [Condensed Consolidated Statement of Changes in Equity](index=24&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%AC%8A%E7%9B%8A%E8%AE%8A%E5%8B%95%E8%A1%A8) As of June 30, 2025, accumulated losses increased to HKD 2.013 billion, and total shareholders' equity decreased to HKD 462 million, primarily due to a HKD 210 million comprehensive loss for the period Condensed Consolidated Statement of Changes in Equity Summary (HKD million) | Metric | As at January 1, 2025 | Total comprehensive loss for the period | As at June 30, 2025 | | :--- | :--- | :--- | :--- | | Issued share capital | 160 | – | 160 | | Share premium account | 272 | – | 272 | | Capital reserve | 751 | – | 751 | | Distributable reserve | 841 | – | 841 | | Equity component of convertible bonds | 15 | – | 15 | | Asset revaluation reserve | 383 | – | 383 | | Exchange fluctuation reserve | 29 | – | 29 | | Capital redemption reserve | 24 | – | 24 | | Accumulated losses | (1,803) | (210) | (2,013) | | **Total equity** | **672** | **(210)** | **462** | [Condensed Consolidated Statement of Cash Flows](index=25&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) For the six months ended June 30, 2025, net cash outflow from operations was HKD 87 million, net cash inflow from investing activities was HKD 3 million, and net cash inflow from financing activities was HKD 51 million, resulting in period-end cash and cash equivalents of HKD 12 million Condensed Consolidated Statement of Cash Flows Summary (HKD million) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Net cash flows used in operating activities | (87) | (12) | | Net cash flows from investing activities | 3 | 25 | | Net cash flows from/(used in) financing activities | 51 | (36) | | Net decrease in cash and cash equivalents | (33) | (23) | | Cash and cash equivalents at beginning of period | 45 | 47 | | Cash and cash equivalents at end of period | 12 | 24 | [Notes to the Condensed Consolidated Financial Information](index=27&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E8%B3%87%E6%96%99%E9%99%84%E8%A8%BB) This section details financial statement presentation, accounting policies, revenue, segment performance, receivables, payables, convertible bonds, related party transactions, and post-reporting events, highlighting going concern uncertainty reliant on asset sales, loan renewals, and capital transactions [Basis of Presentation](index=27&type=section&id=%E5%91%88%E5%A0%B1%E5%9F%BA%E6%BA%96) The Group reported a HKD 210 million net loss and HKD 1.328 billion net current liabilities, with only HKD 12 million cash and most borrowings due within 12 months, indicating significant going concern uncertainty reliant on asset sales, loan renewals, and capital transactions - The Group recorded a net loss of approximately **HKD 210 million**, and as at June 30, 2025, the Group's net current liabilities were approximately **HKD 1.328 billion**[60](index=60&type=chunk) - The Group's cash and bank balances were approximately **HKD 12 million**, pledged fixed deposits were **HKD 17 million**, and interest-bearing bank and other borrowings were approximately **HKD 1.564 billion**, of which approximately **HKD 1.551 billion** are repayable within 12 months after the end of the reporting period[60](index=60&type=chunk) - The Group's ability to continue as a going concern depends on the successful and timely disposal of assets, successful renewal of bank financing, completion of capital transactions to improve its net asset position, and effective implementation of plans to improve operating cash flows[64](index=64&type=chunk) [Revenue Analysis](index=31&type=section&id=%E6%94%B6%E5%85%A5) The Group's revenue primarily derived from Ferrari business (HKD 204 million), with significant declines in Maserati and collectibles/logistics, and most revenue recognized at a point in time upon goods transfer Revenue Analysis (HKD million) | Business | 2025 | 2024 | | :--- | :--- | :--- | | Ferrari Business | 204 | 190 | | Maserati Business | 22 | 39 | | Valuable Collectibles and Logistics Business | 20 | 57 | | Other Businesses | 11 | 30 | | Rental income from investment properties | 1 | 4 | | **Total revenue** | **258** | **320** | Disaggregation of Revenue from Contracts with Customers (HKD million) | Timing of revenue recognition | 2025 | 2024 | | :--- | :--- | :--- | | At a point in time (transfer of goods) | 186 | 214 | | Over time (transfer of services) | 71 | 102 | | **Total** | **257** | **316** | [Operating Segment Information](index=34&type=section&id=%E7%B6%93%E7%87%9F%E5%88%86%E9%83%A8%E8%B3%87%E6%96%99) The Group's operating segments include property investment, securities, Ferrari, Maserati, collectibles/logistics, culture/entertainment, and other businesses, with Ferrari contributing most revenue and profit, and property investment incurring the largest operating loss - The Group's operating segments include property investment and holding, securities business, Ferrari business, Maserati business, valuable collectibles and logistics business, culture and entertainment business, and other businesses[79](index=79&type=chunk) H1 2025 Segment Revenue (HKD million) | Segment | Sales to external customers | Other income | Total | | :--- | :--- | :--- | :--- | | Property Investment and Holding | 1 | – | 1 | | Securities Business | – | 4 | 4 | | Ferrari Business | 204 | 5 | 209 | | Maserati Business | 22 | 1 | 23 | | Valuable Collectibles and Logistics Business | 20 | – | 20 | | Culture and Entertainment Business | – | – | – | | Other Businesses | 11 | – | 11 | | **Grand Total** | **258** | **10** | **268** | H1 2025 Operating (Loss)/Profit (HKD million) | Segment | Operating (Loss)/Profit | | :--- | :--- | | Property Investment and Holding | (102) | | Securities Business | 4 | | Ferrari Business | 5 | | Maserati Business | (4) | | Valuable Collectibles and Logistics Business | (12) | | Culture and Entertainment Business | –* | | Other Businesses | (10) | | **Total** | **(119)** | [Trade Receivables](index=40&type=section&id=%E6%87%89%E6%94%B6%E5%B8%B3%E6%AC%BE) As of June 30, 2025, total trade receivables were HKD 31 million, with 77% due within 180 days, and most business credit terms typically one month Ageing Analysis of Trade Receivables (HKD million) | Ageing | Balance as at June 30, 2025 | Percentage | | :--- | :--- | :--- | | Within 180 days | 24 | 77% | | 181 to 365 days | 4 | 13% | | 1 to 2 years | 2 | 7% | | Over 2 years | 1 | 3% | | **Total** | **31** | **100%** | - The credit period for most of the Group's businesses is typically **one month**[92](index=92&type=chunk) [Trade Payables](index=41&type=section&id=%E6%87%89%E4%BB%98%E5%B8%B3%E6%AC%BE) As of June 30, 2025, total trade payables were HKD 24 million, with 83% overdue by over 90 days; these payables are interest-free, unsecured, and typically settled within 60 days Ageing Analysis of Trade Payables (HKD million) | Ageing | Balance as at June 30, 2025 | Percentage | | :--- | :--- | :--- | | Current to 30 days | 3 | 13% | | 31 to 60 days | 1 | 4% | | 61 to 90 days | –* | –* | | Over 90 days | 20 | 83% | | **Total** | **24** | **100%** | - Trade payables are interest-free, unsecured, and generally settled within **60 days**[94](index=94&type=chunk) [Related Party Transactions](index=46&type=section&id=%E9%97%9C%E9%80%A3%E4%BA%BA%E5%A3%AB%E4%BA%A4%E6%98%93) Significant related party transactions included HKD 4 million interest expense on 2025 convertible bonds, HKD 1 million rental income, and a HKD 10 million subsidiary disposal in 2024 Related Party Transactions (HKD million) | Type of transaction | 2025 | 2024 | | :--- | :--- | :--- | | Interest expense on 2025 convertible bonds | 4 | 5 | | Rental income | 1 | – | | Disposal of a subsidiary | – | 10 | - Remuneration for key management personnel was **HKD 8 million** (2024