Financial Performance - For the year ended December 31, 2024, the group's revenue from property development decreased by 15% to HKD 20,548 million, while the pre-tax profit contribution increased by 31% to HKD 5,632 million[1]. - Total rental income from property leasing rose by 1% to HKD 8,942 million, with pre-tax net rental income also increasing by 1% to HKD 6,507 million[1]. - The group's basic earnings attributable to shareholders for the year were HKD 9,774 million, a slight increase of 1% from HKD 9,706 million in the previous year, resulting in basic earnings per share of HKD 2.02[1][27]. - The announced profit attributable to shareholders decreased by 32% to HKD 6,296 million, with announced earnings per share dropping to HKD 1.30 from HKD 1.91[1][27]. - The net asset value per share as of December 31, 2024, was HKD 66.55, down 1% from HKD 67.45 in the previous year[1]. - The group's total contracted sales in Hong Kong amounted to approximately HKD 112,850 million for the year ended December 31, 2024, with an unrecognized contracted sales amount of HKD 81,650 million as of the end of December 2024[1][32]. - The group recorded a fair value loss of HKD 20,222 million on completed investment properties and properties under development, while adjustments from sold investment properties amounted to HKD 14,556 million[1][27]. - The group has a strong financial position, with a focus on maximizing shareholder value through quality products and services[2]. Land and Development Projects - The company holds a substantial land reserve of 3.78 million square feet in New Territories, 2.38 million square feet in Kowloon, and 0.64 million square feet on Hong Kong Island, which is expected to generate significant revenue in the coming years[11]. - Future expansion plans include developing a series of commercial and residential projects across its extensive land reserves, aiming to capitalize on market opportunities[11]. - The total floor area available for sale by 2025 is 3.2 million square feet, consisting of 1.4 million square feet from unsold units and 1.8 million square feet from upcoming projects[34]. - The total area of urban redevelopment projects is 5.0 million square feet, including 1.7 million square feet from fully acquired properties and 0.6 million square feet from properties with over 20% ownership[34]. - The total area of New Territories projects is 4.1 million square feet, with significant contributions from the Hung Shui Kiu project at 3.4 million square feet[34]. - The company has 24 ongoing major development projects, with a total remaining residential area of 1,994,363 square feet as of December 31, 2024[39]. - The group plans to launch "Belgravia Place" Phase 2 and "South Point" in Ma Tau Kok in February and March 2025, respectively, with strong initial sales performance expected[1][32]. - The company has several projects in the pipeline, including the Kai Tak New Kowloon site with a total floor area of 1,205,028 sq ft and 2,060 units, of which 30% is owned[41]. Sustainability and Environmental Initiatives - The company is focused on sustainable development, achieving Platinum-level certifications in various green building standards, which reflects its commitment to environmental responsibility[13][18]. - The group has secured over HKD 50 billion in green loans and sustainable development financing since 2020, highlighting its commitment to environmental responsibility[114]. - The group has initiated a recycling program for old uniforms, transforming them into eco-friendly school uniforms for special needs students, demonstrating its commitment to sustainability[65]. - The group has launched an environmental Christmas tree project, using collected aluminum cans to create a festive display, further promoting its green initiatives[65]. - The group aims to continue its commitment to sustainable development through its "G.I.V.E." strategy, focusing on environmental protection, innovation, community care, and integrity[115]. Market Position and Strategy - Henderson Land Development has a diversified portfolio with interests in various sectors, including retail, hospitality, and energy, enhancing its market presence and revenue streams[20]. - The company is actively exploring mergers and acquisitions to enhance its market position and expand its operational capabilities[20]. - The group is focusing on leasing large commercial projects, achieving over 80% occupancy for the "Starry International Business Center" in Guangzhou and nearly 90% for the "Starry West Coast Center" in Shanghai[69]. - The group is exploring new market opportunities and potential acquisitions to further enhance its portfolio and market presence[197]. - The group is actively managing lease expirations, with several properties set to expire in 2047, ensuring long-term stability[198]. Awards and Recognition - The company has received multiple awards in 2024, including the Quality Building Award for innovative projects and the Hong Kong Institute of Architects Annual Awards, highlighting its commitment to quality and sustainability[13][18]. - The flagship project, The Henderson, completed in 2024, received multiple awards, including the Hong Kong Non-Residential Project Award at the Quality Building Awards 2024[116]. - The Henderson has received multiple international awards, including the Platinum pre-certification from LEED and the Asia Pacific Green Building Leadership Award from WorldGBC, highlighting the group's commitment to quality and sustainability[62]. Rental and Property Management - The average occupancy rate of the group's rental properties as of December 31, 2024, was 93%[55]. - The group's self-owned rental property portfolio expanded to approximately 10.4 million square feet, with 54% in retail space and 40% in office space[55]. - The total rental income attributable to the group increased by 2% to HKD 6.84 billion, while the attributable net rental income remained stable at HKD 4.91 billion[54]. - The office property portfolio remains resilient with a stable occupancy rate of around 90%, despite challenges in the leasing market due to economic uncertainty and significant new supply[58][60]. - The group manages over 79,000 residential and commercial units, 10 million square feet of retail and office space, and 20,000 parking spaces, maintaining a leading position in the property management industry[64]. Future Outlook - The group anticipates that the average annual completion of private residential units in the next five years will decrease by approximately 8% compared to the previous five years, providing support for the local property market[118]. - The group plans to launch 11 development projects in Hong Kong this year, with approximately 6,400 self-owned residential units or about 3 million square feet of self-owned residential floor area expected to be available for sale by 2025[120]. - The group is expanding its sustainable aviation fuel production capacity with a new plant in Johor, Malaysia, expected to be completed by 2025[122]. - The company is actively pursuing market expansion through various residential and mixed-use developments across key locations in Hong Kong[196].

Financial Performance - The company's net profit attributable to equity holders for the year ended December 31, 2024, was RMB 3,861,822 thousand, representing a 25.20% increase from RMB 3,364,381 thousand in 2023[6]. - Total revenue for 2024 reached RMB 54,212,792 thousand, up 11.33% from RMB 48,675,000 thousand in 2023[12]. - The operating profit for 2024 was RMB 12,167,191 thousand, which is a 39.61% increase from RMB 8,715,187 thousand in 2023[12]. - The company reported a basic earnings per share of RMB 0.27 for 2024, up 22.73% from RMB 0.22 in 2023[9]. - The company's cash and cash equivalents amounted to RMB 197,360,970 thousand in 2024, showing a 16.98% increase from RMB 168,714,840 thousand in 2023[9]. - The total assets of the company reached RMB 340,455,547 thousand in 2024, representing an 11.33% increase from RMB 305,806,779 thousand in 2023[9]. - The company reported a significant increase in revenue, achieving a total of $1.5 billion, representing a 20% year-over-year growth[125]. - The company reported a net profit margin of 15%, up from 12% in the previous year, indicating improved operational efficiency[125]. Installed Capacity and Energy Production - The total installed capacity of the company increased to 107,532,393 MW in 2024, reflecting a growth of 13.17% compared to 95,020,712 MW in 2023[9]. - The total electricity sales volume for 2024 was 127,959,080 MWh, a 23.94% increase from 103,239,505 MWh in 2023[8]. - As of December 31, 2024, the total installed capacity of the group is 49,390.9 MW, with clean energy capacity accounting for 39,570.9 MW, representing 80.12% of the total[24]. - The group has a total of 85,868.0 MW of installed capacity, with equity capacity of 39,717.1 MW[24]. - The total installed capacity of the group's power plants as of December 31, 2024, is 36,477.1 MW, with equity capacity amounting to 8,136.0 MW[32]. - Ongoing construction projects have a total installed capacity of 6,429.0 MW, with equity capacity of 4,376.4 MW, including 4,609.9 MW from photovoltaic power and 1,716.5 MW from wind power[33]. - The consolidated installed capacity of the group reached 49,390.9 MW as of December 31, 2024, an increase of 4,372.1 MW or 9.71% year-on-year[175]. - The group's clean energy capacity, including hydropower, wind power, photovoltaic power, gas power, and environmental protection power, accounted for approximately 80.12% of the total installed capacity, up by about 4.73 percentage points from the previous year[175]. Renewable Energy Initiatives - The company plans to expand its renewable energy capacity, particularly in wind and solar power, to align with its vision of becoming a world-class green low-carbon energy supplier[17]. - The company is continuously expanding its business into various renewable energy sectors, including hydropower, wind power, solar power, and environmental power[24]. - The company aims to enhance its technological innovation capabilities through strategic acquisitions in green technology and low-carbon energy sectors[83]. - The company has transitioned from a traditional coal-fired power generation enterprise to a leader in clean energy, with a strategic goal of becoming a world-class green low-carbon energy supplier[61]. - The company aims to become a leading green low-carbon energy supplier in China by 2025, focusing on high-quality development and low-carbon green transformation[179]. - The offshore wind power project in Shandong Province has a total planned capacity of 450 MW, expected to generate 1 million MWh annually, saving approximately 406,000 tons of coal and reducing CO2 emissions by 1.125 million tons each year[183]. - The 100 MW pastoral photovoltaic project is expected to contribute 176 million kWh of green electricity annually, significantly saving standard coal and water resources while reducing pollutant emissions[187]. Technological Innovation and ESG Practices - The company is focusing on technological innovation and strategic partnerships to enhance its market position and operational efficiency[18]. - The company has been recognized for its innovation, winning the first prize in the 2024 Power Innovation Award for its autonomous energy storage system[60]. - The company was awarded the "Outstanding ESG Rating Award" at the 7th Hong Kong Environmental, Social and Governance Reporting Awards[52]. - The company improved its ESG rating, ranking in the top ten of its industry according to S&P ESG ratings[115]. - The company has been recognized for its ESG practices, receiving multiple awards for sustainable development and corporate social responsibility initiatives[55]. - The total number of patents held by the company exceeded 700 in 2024, reinforcing its technological leadership in the power industry[111]. - The company successfully completed the installation of a 50 MW/100 MWh energy storage project, showcasing its forward-looking technology application[194]. Strategic Acquisitions and Partnerships - The company received a proposal for asset restructuring from State Power Investment Corporation, which includes acquiring shares in Far East Environmental and cash in exchange for controlling stakes in Wuling Power and Changzhou Hydropower[46]. - The company signed a capital increase agreement with Huainan Mining to strengthen strategic cooperation in the "coal and coal power" and "coal power and new energy" industry model advantages[59]. - The company is actively pursuing the acquisition and restructuring of Yuanda Environmental Protection assets to enhance its corporate structure[115]. - The company is considering strategic acquisitions to enhance its market position, with a budget of $100 million allocated for potential deals[125]. Future Outlook and Market Expansion - The company provided an optimistic outlook for the next quarter, projecting a revenue increase of 25% to $1.875 billion[125]. - New product launches are expected to contribute an additional $200 million in revenue over the next fiscal year[125]. - Market expansion plans include entering two new international markets by the end of the fiscal year, targeting a potential revenue of $300 million[125]. - User data showed a growth in active users, reaching 5 million, which is a 15% increase compared to the previous quarter[125]. - The company plans to increase its workforce by 10% to support growth initiatives and new projects[125].

Revenue and Financial Performance - In 2024, the total revenue reached approximately HK$38,930 million, an increase from HK$36,832 million in 2023, representing a growth of 5.7%[7] - The real estate segment generated revenue of HK$30,134 million, up from HK$26,500 million in 2023, marking a growth of 13.8%[7] - The commercial segment reported revenue of approximately HK$4,446 million, compared to HK$4,239 million in the previous year, reflecting an increase of 4.9%[9] - The property management segment income was approximately HK$1,304 million, a slight decrease from HK$1,395 million in 2023, indicating a decline of 6.5%[9] - The Group's investments losses in the primary and secondary market amounted to approximately HK$97 million in 2024[9] - Financial assets at fair value through other comprehensive income were approximately HK$2,325 million, while those at fair value through profit or loss were approximately HK$1,156 million as of December 31, 2024[9] - The company reported a significant increase in revenue, achieving a total of $1.2 billion for the fiscal year, representing a 15% year-over-year growth[23] - The company provided guidance for the next fiscal year, projecting revenue growth of 10% to $1.32 billion[25] Property Development and Sales - Contracted sales for the year amounted to approximately RMB16,629 million, with several properties achieving over RMB800 million in sales[9] - As of December 31, 2024, the Group's revenue from property development was approximately HK$30,134 million, representing a year-on-year increase of 14%[52] - In 2024, property contracted sales amounted to approximately RMB16,629 million, a decrease of 49% year-on-year, with an average selling price of RMB29,844 per sq.m.[52] - The top residential projects YUNĒ in Shanghai and MAHÁ in Beijing achieved sales of over RMB7,600 million and RMB1,700 million respectively in 2024[53] - The completed area in 2024 totaled 1,211,909 sq.m., with Northern China contributing 59%, Eastern China 19%, and Southern China 22%[60] - The average selling price of contracted sales for the year was approximately RMB29,844 per sq.m., indicating a premium positioning in the market[52] Strategic Initiatives and Market Expansion - The company aims to create a full-cycle capital ecological chain, enhancing investment returns through diversified operating strategies and technology empowerment[11] - The company is expanding its market presence in major cities like Beijing, Shanghai, and Guangzhou, with multiple high-end projects underway[11] - The Group's strategic focus remains on the three core economic development regions in China, actively expanding market presence[53] - The Group is focusing on strategic cooperation with local governments to improve urban redevelopment project efficiency[55] - The Group's strategy includes responding to the real estate market's challenges by promoting stabilization and recovery through various policy adjustments[78] Infrastructure and Construction - The total annual output in the infrastructure segment for 2024 was approximately HK$6,030 million, with an area under construction of approximately 6.54 million sq.m. and a completed area of approximately 0.83 million sq.m.[173] - The area under construction increased by 26% to 6.54 million sq.m. in 2024 from 5.18 million sq.m. in 2023[175] - The company is focusing on technological transformation, promoting the application of smart construction platforms and automated processes to enhance work quality and efficiency[176] - The infrastructure segment faced challenges such as delays in production indicators and the need for improved project quality and management[180] Property Management Services - The property management segment has achieved a national first-class qualification, positioning the company as a leading player in the industry with a strong asset management platform[11] - The property management services are divided into three major segments: Jinghe, Puhe, and MAHÁ, focusing on various property types including commercial and luxury residential[140] - The property management segment aims to enhance internal management efficiency and cost control while focusing on market expansion in residential buildings and commercial industry parks[156] - The property management segment has been recognized as a leader in the industry, reflecting confidence in its service capabilities and operational efficiency[144] Risk Management and Financial Health - The Group's proactive risk management policies aim to address uncertainties in the real estate market, ensuring stable operations and financial health[96] - The Group is proactively reducing financing to lower interest expenses and is accelerating cash collection to improve cash inflow[93] - The commercial segment faces risks primarily related to market competition and human resources[119] - Business risks include the potential inability to procure new property management contracts and collect management fees, which could lead to impairment losses[158] Leadership and Governance - The board of directors has undergone changes, with a new Chief Financial Officer appointed effective March 27, 2024, to strengthen financial oversight[13] - CHU Kut Yung has been appointed as the Chairman of the Company since January 10, 2020, and has solid experience in investment and management[183] - ZHANG Fan has been responsible for optimizing the Group's overall investment management system and has successfully expanded various first-level projects[184] - LUO Taibin has been appointed as the Chief Financial Officer and an executive Director of the Company since March 27, 2024, with a focus on overall investment and financial management[197]

Financial Performance - For the year ended December 31, 2024, Minmetals Land reported a revenue of HK$9,882,956,000, a decrease of 21.8% compared to HK$12,630,739,000 in 2022[23]. - The company recorded a loss for the year of HK$3,748,397,000, compared to a loss of HK$525,686,000 in 2022, indicating a significant deterioration in performance[23]. - The basic loss per share for equity holders was HK$0.48, a change of 246.7% from a loss of HK$1.05 in 2023[24]. - Core loss attributable to equity holders was HK$566,266,000, compared to a profit of HK$106,719,000 in 2023, highlighting ongoing challenges in profitability[23]. - In 2024, the Group's consolidated revenue decreased by 21.8% year-on-year to HK$9,883 million[75]. - The net loss for the year widened to HK$3,748 million, compared to HK$526 million in 2023[75]. - Loss attributable to equity holders of the Company was HK$3,521 million, up from HK$1,016 million in 2023[75]. - The core loss attributable to equity holders of the Company was HK$566 million, compared to HK$44 million in 2023[75]. - Revenue for 2024 amounted to HK$9,883 million, representing a year-on-year decrease of 21.8% from HK$12,631 million in 2023[116]. - Revenue from real estate development decreased by 20.1% to HK$9,832 million, accounting for 99.5% of the Group's total revenue[119]. Assets and Liabilities - The total assets as of December 31, 2024, were HK$41,030,920,000, down from HK$53,575,153,000 in 2022, reflecting a decline of 23.4%[23]. - Total liabilities decreased to HK$31,773,951 in 2024, down 19% from HK$39,227,508 in 2023[27]. - The equity attributable to equity holders of the Company fell to HK$1,608,836 in 2024, a decrease of 69.6% from HK$5,287,069 in 2023[27]. - The Group's total developable GFA (Land Bank) as of December 31, 2024, was 5,761,000 square meters, with first-tier cities accounting for 30.2% of the total[112]. - As of December 31, 2024, the Group's total assets decreased by 23.4% to HK$41,031 million (2023: HK$53,575 million)[147]. - The total number of staff decreased by 7.0% to 1,017 as of December 31, 2024, compared to 1,094 in 2023[168]. Debt and Financing - The net debt stood at HK$19,802 million, a slight increase of 5.2% from HK$18,817 million in 2023[24]. - The net gearing ratio improved to 138.0% from 203.3% in the previous year, showing a positive trend in financial leverage management[24]. - The Group's total borrowings amounted to HK$21.683 billion, a decrease from HK$23.317 billion in 2023[156]. - The maturity profile of borrowings shows that 75.2% (HK$16.295 billion) is due within one year, compared to 65.3% (HK$15.223 billion) in 2023[156]. - The currency profile indicates that 48.5% (HK$10.521 billion) of borrowings are in Renminbi, up from 31.6% (HK$7.359 billion) in 2023[157]. - Finance costs recognized in profit or loss for the year amounted to HK$535 million, an increase from HK$477 million in 2023[159]. - The Group is in the process of obtaining waivers for non-compliance with financial covenants on borrowings amounting to HK$9.878 billion, which has caused cross defaults on an additional HK$1.762 billion[158]. Real Estate Development - The company is focusing on expanding its real estate development business across key regions including the Pan Bohai Rim and the Pearl River Delta[7]. - The Group's interest in the Neo-Metropolis project is 49%, with an expected completion date in Q4 2031[38]. - The Group's interest in the Academic Royale project is 100%, and it has been completed[38]. - The Group's land bank totals 5,761,000 sq.m. across various regions, with the Pan Bohai Rim accounting for 35.7%[32]. - The contracted sales decreased by 37.9% year-on-year to RMB7.02 billion, with the gross floor area contracted for sale decreasing by 24.1% year-on-year to 421,000 square meters[100]. - The Group aims to enhance its real estate development business and expand its property management business as part of its strategic transformation[84]. Corporate Governance - The company is committed to maintaining high standards of corporate governance and has established a governance structure to oversee its affairs[173]. - The Board of Directors consists of nine members, ensuring compliance with the Listing Rules regarding independent directors[184]. - All independent non-executive directors confirmed their independence, and the company considers them to be independent[185]. - The company has complied with the requirement to have at least three independent non-executive directors, representing at least one-third of the Board[184]. - The Company held a total of four Board meetings and two general meetings during the year, with all Directors attending 100% of the Board meetings[196]. - The Company has established mechanisms to ensure independent views are available to the Board, which are reviewed annually for effectiveness[192]. - All Directors participated in continuous professional development, receiving training on corporate governance and regulatory obligations[199]. Market Outlook - The property market in China is expected to stabilize and rebound in 2025, supported by accommodative policies[78]. - The market is projected to improve due to enhanced policies, despite ongoing oversupply and high inventory levels[78]. - The real estate industry is in a difficult stage after four years of correction, with recovery expected to take longer[75]. - The overall market remains uncertain, with signs of stabilization in some cities but still facing challenges[98].

Financial Performance - The company achieved a total cargo throughput of 28.3 million tons and generated revenue of RMB 177.0 million with a profit of RMB 88.8 million for the year[8]. - In 2024, the total cargo throughput reached 28.3 million tons, a 2.0% increase from 27.8 million tons in 2023, while container throughput decreased by 11.4% to 17,004 TEUs from 19,199 TEUs[14]. - The group's revenue for 2024 was RMB 177.0 million, up 2.0% from RMB 173.6 million in 2023, with net profit increasing by 9.6% to RMB 88.8 million from RMB 81.1 million[14]. - The revenue from bulk cargo and miscellaneous cargo handling services was RMB 147.2 million, a slight increase of 0.9% from RMB 145.8 million in 2023[19]. - The group recorded a net profit of approximately RMB 88.8 million for the year, an increase of 9.1% compared to RMB 81.1 million in 2023, with a net profit margin of 50.2%[26]. - The income tax expense for the year was approximately RMB 14.7 million, a decrease of 13.5% from RMB 17.0 million in 2023, resulting in an effective tax rate of approximately 14.2%[25]. - The company reported a total reserve available for distribution to shareholders of RMB 32,756,000 as of December 31, 2024, down from RMB 37,824,000 in 2023[62]. Operational Developments - The company implemented cost reduction and efficiency enhancement measures, resulting in significant improvements in internal management practices[11]. - The company is set to commence full construction of the dedicated railway line in 2025, marking a crucial year for its transformation and development[11]. - The company’s logistics park project has been completed and passed inspection, contributing to new cargo sources for the business[8]. - The company aims to enhance its logistics services and port operations in 2025, coinciding with the full-scale construction of dedicated railway lines to the port[17]. - The company is facing challenges such as increased competition from self-owned terminals of large mines and a decline in the non-metallic mineral market, impacting cargo availability[15]. - The management anticipates a stable growth in water transport demand, supported by the overall resilience of the Chinese economy[16]. Innovation and Technology - In 2024, the company successfully authorized 2 utility model patents and 15 software copyrights, with 11 utility patents and 3 invention patents pending[9]. - The company’s technology center was recognized as an "Anhui Provincial Enterprise Technology Center"[9]. - The company is committed to improving operational efficiency and reducing costs, with a focus on innovative practices and risk management strategies[15]. - The CEO has obtained 26 utility model patents and 34 software copyrights since joining the group[38]. - The company is committed to innovation, as evidenced by its significant number of patents and software copyrights obtained by its management[38]. Corporate Governance - The board consists of six members, including two executive directors and three independent non-executive directors, ensuring a diverse skill set relevant to the company's management[105]. - The roles of the chairman and CEO are separated to ensure effective governance and operational efficiency[106]. - The company has adopted a board diversity policy, aiming for a diverse board composition based on gender, age, cultural background, and professional experience[112]. - The company has established a clear framework for the roles and responsibilities of the audit, remuneration, and nomination committees, all composed of independent non-executive directors[132]. - The company has received annual independence confirmations from all independent non-executive directors, affirming their independence[88]. - The company is committed to enhancing its corporate governance practices in line with legal requirements and best practices[104]. Environmental, Social, and Governance (ESG) Initiatives - The company’s ESG report outlines strategies and practices for environmental and social governance for the fiscal year 2024[162]. - The report covers the performance of the company’s two main terminals, Jiangkou and Niutoushan, in environmental protection and social development[163]. - The company has complied with all relevant environmental regulations, including the Water Pollution Prevention Law and the Air Pollution Prevention Law of the People's Republic of China[176]. - The company has implemented environmental measures such as dust screens, water spraying systems, and dust detection systems to control pollution[178]. - The company has identified key ESG issues, including health and safety, product responsibility, and climate change, which are prioritized based on their significance[175]. - The company aims to create long-term value for stakeholders and the communities in which it operates through sustainable development initiatives[173]. Risk Management and Compliance - The company has a zero-tolerance policy towards corruption and fraud, with no reported violations of relevant laws during the reporting year[144]. - The internal control policies cover various operational aspects, including risk assessment, financial reporting, cost management, and employee recruitment, and are reviewed at least annually[140]. - The company has established a whistleblowing policy to allow employees and stakeholders to report misconduct confidentially[144]. - The company emphasizes the importance of internal monitoring measures to prevent future compliance issues and has issued a memorandum to the board and senior management[160]. - The audit committee is responsible for recommending the appointment and remuneration of external auditors, ensuring their independence and objectivity[132]. Human Resources and Employee Engagement - The total number of employees decreased to 205 from 214, which will also be used for calculating other density metrics[183]. - The company has provided training and resources to all directors regarding their responsibilities and relevant regulations[121]. - Directors have participated in continuous professional development, covering topics such as corporate governance and finance[123]. - The company has established an ESG working group to assist the board in overseeing and implementing ESG strategies[170]. Future Outlook - The company aims to maintain or reduce greenhouse gas emissions density in the upcoming year through vehicle management measures and energy-saving policies[184]. - The company plans to continue reducing energy consumption emissions and aims to maintain or decrease emissions density in the next fiscal year, with 2024 as the reference year[196]. - The next annual general meeting is scheduled for May 28, 2025, with voting procedures explained during the meeting[147].

Financial Performance - The company's revenue for the fiscal year 2024 increased by approximately 11.4% to around RMB 407.5 million, compared to RMB 365.8 million in fiscal year 2023[9]. - The profit attributable to shareholders reached approximately RMB 111.2 million, representing a significant year-on-year growth of about 32.4% from RMB 84.0 million in the previous fiscal year[9]. - The group achieved a net profit margin of 27.6% in FY2024, up from 23.1% in FY2023[25]. - The group recorded a profit of approximately RMB 112.4 million for the year, a growth of 32.9% compared to RMB 84.6 million in FY2023, attributed to increased revenue and other income[39]. - The cost of sales for the year was approximately RMB 245.5 million, an increase of about 11.4% from RMB 220.4 million in the previous year, primarily due to rising production and raw material costs[31]. - Gross profit for the year was approximately RMB 162.0 million, up about 11.3% from RMB 145.5 million, with a stable gross margin of approximately 39.8%[32]. - Other income rose significantly to approximately RMB 20.3 million, an increase of about 178.1% from RMB 7.3 million, mainly due to increased government subsidies and rental refunds[33]. - The total asset return increased to 16.3% in FY2024 from 15.2% in FY2023[25]. - The interest coverage ratio improved significantly to 41.1 times in FY2024, compared to 25.9 times in FY2023[25]. Production and Operations - The company has established two production bases in Dongguan, Guangdong Province, and Anji, Zhejiang Province, with the Dongguan factory fully operational in fiscal year 2024[10]. - The company plans to concentrate operations at its main production base in Changchun, Jilin Province, after ceasing operations at the Dongguan and Anji factories[10]. - Approximately HKD 59.2 million of the funds raised post-IPO have been allocated for expanding the new production line at the Changchun base and for R&D projects[11]. - The company has entered into a transfer agreement to purchase land in Changchun to establish a new production base aimed at increasing production capacity for biodegradable plastic products[9]. - The new production base in Changchun is still in the planning stage as of the report date[9]. - The group plans to consolidate operations by relocating machinery from Dongguan and Anji factories to the main base in Changchun, aiming for cost efficiency and improved production capabilities[16][20]. - The company has initiated trial production of newly purchased machinery and equipment at the Changchun production base, despite not completing the full expansion by the second quarter of 2024[67]. - The company plans to establish a production base in Dongguan instead of Huizhou due to unexpected delays in obtaining necessary approvals, with the decision to use internal funds for initial investments[68]. - The new production base in Changchun will enhance flexibility to meet the growing demand in Northeast China, where biodegradable product sales accounted for over 80% of the company's revenue[71]. Market and Regulatory Environment - The Chinese government has implemented policies to ban non-biodegradable plastic bags by the end of 2025, which is expected to benefit the company's biodegradable plastic product business[12]. - The Chinese government is expanding the ban on non-biodegradable plastic bags to various commercial venues by the end of 2025, increasing demand for biodegradable products[22][23]. - The company is optimistic about the future prospects of its biodegradable plastic products business, supported by favorable government policies and measures[12]. - The group is strategically positioned to meet the growing demand for biodegradable products due to changing consumer habits and supportive government policies[23]. Research and Development - The group is collaborating with the Changchun Institute of Applied Chemistry for R&D on biodegradable plastic products, enhancing competitive advantages in technology and quality control[19]. - The company plans to enhance its R&D capabilities and upgrade existing R&D equipment, with an allocation of approximately HKD 6.68 million[65]. - The company has a strong focus on research and development in biodegradable products, with key personnel involved in industry associations[82]. - The company is focused on developing smart polymer materials and biodegradable multi-phase materials for biomedical and ecological applications[86]. - The company has published over 50 research papers and holds 15 patents in biodegradable polymers, showcasing its commitment to innovation and research[86]. Governance and Compliance - The company has adopted the corporate governance code as per the Stock Exchange's listing rules for the fiscal year 2024, ensuring compliance with all applicable provisions[93]. - The board of directors consists of four executive directors and several independent non-executive directors, ensuring a diverse and independent governance structure[101]. - The company has established four board committees: Audit Committee, Remuneration Committee, Nomination Committee, and ESG Committee[115]. - The company has adopted a board diversity policy, with a current gender ratio of approximately 0.48:1 among its 161 employees, down from 0.58:1 in 2023[130]. - The company has established a shareholder communication policy to ensure effective communication with shareholders and investors[155]. - The company has implemented a whistleblowing policy to report any suspected violations or misconduct[149]. - The company has adopted a zero-tolerance policy towards bribery, extortion, fraud, and money laundering[148]. - The board has confirmed that the risk management and internal control systems for the fiscal year 2024 are effective and adequate[147]. - The company is committed to transparency and accountability to its shareholders, reinforcing its corporate governance principles[93]. Shareholder Information - The company reported a total issued share capital of HKD 10,000,000, divided into 1,000,000,000 shares with a par value of HKD 0.01 each as of December 31, 2023[159]. - The company has significant shareholdings with Ms. Zhang owning 321,080,700 shares, representing approximately 32.11% of the issued share capital[199]. - Mr. Dan holds 190,822,340 shares, accounting for about 19.08% of the company's issued share capital[199]. - The shareholding structure reflects a concentrated ownership, with the top three shareholders holding over 52% of the total shares[199]. - The report indicates that the company is compliant with the Securities and Futures Ordinance regarding the disclosure of interests[199]. - The company continues to monitor and report on shareholding changes as per regulatory requirements[199]. Employee and Social Responsibility - The total employee cost for the fiscal year 2024 was approximately RMB 14.4 million, an increase from RMB 13.1 million in the previous year[61]. - The company recognizes employees as important assets and provides competitive compensation to attract and retain high-quality staff[165]. - The company made charitable donations of approximately RMB 50,000 in the fiscal year 2024, compared to RMB 30,000 in the fiscal year 2023[176]. - The company has not encountered any significant disputes with customers or suppliers during the fiscal year 2024[166]. - The company has complied with relevant laws and regulations without any serious violations as of the fiscal year 2024[164].

Financial Performance - In the fiscal year 2024, the sales revenue increased by 234% to RMB 255.9 million, attributed to the inclusion of Huadongning® in the National Medical Insurance Drug List[8]. - The total revenue for the fiscal year 2024 was approximately RMB 255.9 million, reflecting sales of about 2,105,000 boxes of Huadongning®, with sales revenue and volume increasing by approximately 234% and 740% respectively compared to the previous year[10]. - Other income for the fiscal year 2024 totaled approximately RMB 116.8 million, a decrease of about RMB 13.8 million or 11% from the previous year, primarily due to milestone income from Bayer[10]. - The pre-tax loss for the fiscal year 2024 increased by approximately RMB 38.9 million or 18% to about RMB 250.1 million, mainly due to increased sales and R&D expenses[10]. - Gross profit for the fiscal year ending December 31, 2024, was approximately RMB 124.7 million, with a gross margin of 48.7%, slightly down from 48.8% in the previous year, primarily due to a decrease in sales price from RMB 341.95 to RMB 124.88 per box after inclusion in the national medical insurance catalog[35]. - The company recorded a net cash outflow from operating activities of RMB 418.0 million for the fiscal year ending December 31, 2024, with cash and cash equivalents amounting to RMB 1,139.8 million as of the same date[46]. - For the year ended December 31, 2024, the net cash used in operating activities was RMB 418.0 million, a significant decrease from RMB 889.4 million for the year ended December 31, 2023, primarily due to a pre-tax loss of RMB 250.1 million[48]. - The net cash generated from investing activities for the year ended December 31, 2024, was RMB 10.0 million, compared to RMB 8.1 million for the year ended December 31, 2023, mainly from interest on short-term bank deposits[50]. - The net cash generated from financing activities for the year ended December 31, 2024, was RMB 83.7 million, an increase from RMB 69.1 million for the year ended December 31, 2023, primarily from short-term and long-term bank loans[51]. - The company’s total reserves available for distribution as of December 31, 2024, amounted to RMB 1,747.54 million[110]. Research and Development - R&D expenses for the fiscal year 2024 amounted to approximately RMB 215.1 million, an increase of about RMB 43.6 million or 25% compared to the previous year[10]. - The company is advancing the development of the second-generation glucose kinase activator (GKA) HM-002-1005 for Type 2 diabetes and obesity, with successful results from the single-dose escalation study in the U.S.[13]. - The company is conducting clinical research on dorzagliatin for prediabetes and early-stage Type 2 diabetes, testing new dosages to explore its potential for these indications[14]. - The company is focused on the development of dorzagliatin, with a strong emphasis on R&D led by experienced professionals in the biopharmaceutical industry[68]. - Dorzagliatin is a novel glucose kinase activator (GKA) aimed at restoring blood glucose homeostasis in type 2 diabetes patients[97]. - The company has been granted global rights by Roche to develop dorzagliatin[97]. Market Expansion and Commercialization - The company plans to expand its glucose kinase-targeted therapies into international markets, particularly the U.S., with significant progress in the development of the second-generation glucose kinase activator (HM-002-1005)[8]. - The company is preparing to submit registration applications for dorzagliatin in Macau and Hong Kong markets in 2025[10]. - Following the termination of the exclusive promotion service agreement with Bayer, the company sold approximately 592,000 boxes of Huadongning® in the first two months of 2025, generating net sales of approximately RMB 73.2 million, reflecting a 199% increase compared to the same period in 2024[31]. - The company aims to strengthen its commercialization capabilities through a hub-and-spoke development model, focusing on building internal sales and medical marketing organizations[16]. - The company is investing to expand production capacity to meet anticipated market demand in 2026 and 2027[10]. - The company is actively pursuing new technologies and product development in the biopharmaceutical sector, particularly in innovative drug development[72]. Corporate Governance and Management - The board of directors consists of three executive directors, two non-executive directors, and three independent non-executive directors[194]. - The company has established an independent board evaluation mechanism this year to ensure strong independence and effective judgment[200]. - The evaluation aims to enhance board efficiency and identify areas for improvement and development[200]. - The company has a strong management team with extensive experience in finance, quality assurance, and drug development[91][92][94]. - The company has adopted a competitive compensation policy for employees, including stock options and bonuses, based on industry standards and employee performance[183]. Risks and Financial Position - The company faces various market risks, including currency risk, interest rate risk, credit risk, and liquidity risk, and currently does not have any hedging policies in place[54][58]. - The leverage ratio was reported as meaningless for the year ended December 31, 2024, compared to 165.8% for the year ended December 31, 2023, reflecting changes in financing strategy[60][61]. - The current ratio decreased to 4.0 as of December 31, 2024, from 6.2 as of December 31, 2023, while the quick ratio decreased to 3.7 from 6.1 during the same period, primarily due to increased short-term and long-term loans[60][61]. - The company has bank deposits of RMB 8.9 million pledged to banks, with RMB 1,565,000 at a fixed interest rate of 2.75% pledged for factory construction completion guarantees[63]. - The company has no significant contingent liabilities as of December 31, 2024[66]. Employee and Compensation - The company employed a total of 168 employees as of December 31, 2024, down from 177 employees as of December 31, 2023[183]. - Employee costs for the year ending December 31, 2024, were approximately RMB 154.2 million, compared to RMB 163.3 million for the year ending December 31, 2023, reflecting a decrease of about 5.5%[183]. - The company regularly reviews compensation and benefits to retain key management personnel and attract qualified staff[175]. - The company is committed to providing ongoing training and development programs for employees to enhance their skills and knowledge[183]. Shareholder Information - Major shareholders include ARCH Venture Fund VII, L.P. with 11.85% and Venrock Associates V, L.P. with 9.80%[130]. - The company has no equity-linked agreements other than the pre-IPO and post-IPO share option plans[125]. - The company has not granted any shares or options under the pre-IPO share incentive plan or post-IPO option plan during the reporting period, resulting in 0 shares issued[139]. - The total unexercised stock options as of December 31, 2024, amount to 61,784,143 shares, with an average closing price of HKD 1.51[151].

Financial Performance - The company reported total revenue of approximately SGD 14.9 million for the fiscal year 2024, a decrease of about 7.4% from SGD 16.1 million in fiscal year 2023[7]. - Manufacturing business revenue decreased to SGD 12.3 million, accounting for 82.66% of total revenue, down from SGD 15.8 million or 98.58% in the previous year[16]. - Online business revenue increased significantly to SGD 2.58 million, representing 17.34% of total revenue, compared to only SGD 228,000 or 1.42% in the previous year[16]. - The overall gross profit increased to approximately SGD 5.97 million in fiscal year 2024, up from SGD 5.94 million in fiscal year 2023[7]. - The net loss attributable to shareholders decreased to approximately SGD 3.4 million in fiscal year 2024, compared to a net loss of SGD 4.9 million in fiscal year 2023[7]. - Manufacturing business revenue decreased by approximately 22.4% to about 15.8 million SGD in FY2024, down from about 12.3 million SGD in FY2023 due to reduced market demand in Singapore's sheet metal manufacturing industry[17]. - Online mobile gaming revenue increased by approximately 1,031.1% to about 2.58 million SGD in FY2024, driven by the launch of new game experiences that expanded the player base[18]. - Gross profit for FY2024 was approximately 5.97 million SGD, a slight increase of about 0.5% from 5.94 million SGD in FY2023, with a gross margin of approximately 40.1% compared to 37.0% in FY2023, attributed to high-profit revenue from mobile gaming[19]. - Administrative expenses decreased by approximately 6.8% to about 5.1 million SGD in FY2024, down from about 5.5 million SGD in FY2023, due to effective cost-saving measures[20]. - Research and development expenses for mobile gaming increased by approximately 14.5% to about 3.2 million SGD in FY2024, up from about 2.8 million SGD in FY2023, primarily due to increased employee costs and outsourcing expenses[21]. - Income tax expenses decreased by approximately 33.2% to about 0.5 million SGD in FY2024, down from about 0.7 million SGD in FY2023, mainly due to reduced profits in the manufacturing business[23]. - The group recorded a net loss of approximately 3.4 million SGD in FY2024, an improvement from a net loss of approximately 4.9 million SGD in FY2023[24]. - The group did not recommend a final dividend for FY2024, consistent with FY2023[25]. - As of December 31, 2024, total equity attributable to owners was approximately 30.2 million SGD, down from about 34.1 million SGD in FY2023[27]. - The group had no significant acquisitions or disposals of subsidiaries, associates, or joint ventures in FY2024[32]. Business Strategy and Development - The company plans to enhance production efficiency and competitiveness by upgrading machinery and utilizing robotics in its manufacturing operations[8]. - The company is actively developing and optimizing mobile game products, with recent games in testing phases across various markets, generating approximately SGD 2.58 million in revenue during the fiscal year[14]. - The board is exploring other business opportunities to diversify revenue sources and improve performance in the current challenging environment[8]. - The company aims to regularly review its development strategies and online business operations to adapt to market changes[8]. Corporate Governance - The company has adopted all provisions of the Corporate Governance Code as its own governance practices for the fiscal year 2024[47]. - The board of directors held regular meetings in fiscal year 2024 to formulate overall strategies and monitor business development and financial performance[49]. - All directors participated in training related to their responsibilities under the listing rules during fiscal year 2024[56]. - The board includes two executive directors and three independent non-executive directors, ensuring compliance with relevant guidelines for financial reporting[53]. - The company emphasizes continuous professional development for all directors, ensuring they are well-informed about their duties and responsibilities[56]. - The company is committed to maintaining high levels of corporate governance to protect shareholder interests and enhance corporate value[47]. - The board has established a framework for internal control and risk management to evaluate financial performance[49]. - Independent non-executive directors confirm their independence in accordance with listing rules, ensuring compliance in financial reporting[53]. - The company has implemented a standard code for securities trading by directors, ensuring adherence to regulations during fiscal year 2024[58]. - The remuneration committee held one meeting this year to review the group's remuneration policy and structure, approving the remuneration packages for all directors and senior management[59]. - The audit committee conducted two meetings this year, reviewing the audited annual results for the year ending December 31, 2023, and the unaudited interim results for the six months ending June 30, 2024[65]. - The auditor's fees for the annual audit for the fiscal year 2024 amounted to approximately SGD 343,000, a decrease from approximately SGD 419,000 in the fiscal year 2023[67]. - The company has adopted a board diversity policy, recognizing that diversity contributes to sustainable development and enhances decision-making capabilities[68]. - The board composition analysis as of December 31, 2024, indicates that 60% of the board members are independent non-executive directors (INED) and 40% are executive directors (ED)[71]. - The board consists of 60% male and 40% female members, with 20% of directors aged 65 and above[71]. - The remuneration committee's responsibilities include ensuring that a significant portion of executive directors' remuneration is linked to corporate and individual performance[59]. - The nomination committee reviewed the board's structure, size, and composition, and assessed the independence of independent non-executive directors this year[62]. - The company has no new share schemes or significant matters related to the share option plan for the fiscal year ending December 31, 2024[59]. - The company emphasizes the importance of maintaining high standards of corporate governance and recognizes the benefits of board diversity in enhancing board quality and efficiency[68]. Employee Relations and Training - The company has a total of 229 employees as of December 31, 2024, with a gender ratio of 1:4 (45 females and 184 males)[74]. - The employee turnover rate is 17.4% for males and 6.4% for females, with a total turnover rate of 10.1% for employees under 31 years old[194]. - The average training hours per employee are 20.64 for males and 25.44 for females, with production staff averaging 18.28 hours[191]. - The company emphasizes continuous development of employee skills and provides regular training opportunities[186]. - The company has provided a total of 43 hours of safety training to employees in production roles during 2024, emphasizing the importance of safety awareness[181]. - 80.3% of male employees and 19.7% of female employees received training during the reporting period[191]. - The new hire rate is 29.4% for males and 5.0% for females, with a total new hire rate of 20.2% for employees under 31 years old[194]. - The company has participated in various retirement plans across different regions, including Singapore, Malaysia, Hong Kong, and China[135]. Environmental and Social Responsibility - The group has established an environmental management system certified by ISO 14001:2015 to enhance energy efficiency and minimize operational impact[91]. - The company aims to reduce environmental impact and prevent pollution through its established environmental policy[198]. - The company has achieved ISO 14001:2015 certification for its environmental management system, ensuring compliance with environmental regulations[197]. - The group made charitable donations of approximately SGD 45,000 in the fiscal year 2024, compared to SGD 6,000 in fiscal year 2023[95]. - FSM Holdings Limited established an Environmental, Social, and Governance (ESG) committee in 2021, responsible for managing ESG-related risks and opportunities[155]. - The company has not encountered any significant complaints or violations of relevant laws and regulations during the reporting period[166]. - The company has established a supplier monitoring policy to manage supply chain risks effectively and ensure a smooth supply of quality products and services[167]. - The company has implemented measures to protect intellectual property, including confidentiality agreements and regular training for employees[169]. - The company has not identified any incidents of corruption or violations of anti-bribery laws during the reporting period[174]. - The group will continue to review its environmental measures and consider implementing further actions to enhance sustainability[92]. Risk Management - The company has established a continuous risk assessment method to identify and evaluate inherent risks affecting its strategic objectives[76]. - The board is responsible for assessing the nature and extent of acceptable risks while achieving strategic goals[76]. - The group faces several risks in its manufacturing business, including reliance on key customers and currency fluctuations[99]. - The internal audit function is performed by an outsourced team, which evaluates the adequacy and effectiveness of the company's risk management and internal control systems at least once a year[79]. - The board has reviewed the effectiveness of the risk management and internal control systems and considers them to be effective and sufficient[79]. Shareholder Information - The company has a policy for shareholders to request a special general meeting if they hold at least 10% of the voting shares[81]. - The company has adopted a dividend policy, allowing the board to declare dividends based on overall business conditions and financial performance[145]. - No final dividend for the fiscal year 2024 has been recommended by the board[146]. - The total issued share capital of the company as of December 31, 2024, was 1,000,000,000 shares with a par value of HKD 0.01 each[100]. - The group will suspend share transfer registration from June 20, 2025, to June 25, 2025, for the annual general meeting[96]. - The company has not engaged in any stock-linked agreements during the fiscal year 2024[130]. - The company has not conducted any related party transactions that require independent shareholder approval under the Listing Rules during the fiscal year 2024[122]. - There are no known tax exemptions or reliefs enjoyed by shareholders due to their holdings in the company's securities[124]. - The company has appropriate insurance arrangements for liabilities arising from legal actions against directors and senior management during the fiscal year 2024[125]. - The company has not purchased, sold, or redeemed any of its listed securities during the fiscal year 2024[139]. - The company has no other disclosures regarding interests or short positions held by directors or senior management in the company's shares or related securities as of December 31, 2024[115]. - The largest customer contributed approximately 41.1% to total revenue, with the top five customers accounting for around 77.7%[131]. - In the fiscal year 2024, the largest supplier accounted for approximately 9.7% of total procurement, while the top five suppliers represented about 40.0%[131].

Financial Performance - Revenue increased from RMB 63.5 million in the year ended December 31, 2023, to RMB 155.7 million for the year ended December 31, 2024, representing a growth of 145.2%[14] - Gross profit increased from RMB 3.2 million for the year ended December 31, 2023, to RMB 155.7 million for the year ended December 31, 2024, a rise of 4,765.6%[109] - Other income rose from RMB 7.5 million in 2023 to RMB 14.3 million in 2024, primarily due to increased government subsidies related to R&D projects[110] - The adjusted loss for the year ended December 31, 2024, was RMB (145,727) thousand, a significant improvement from RMB (337,022) thousand in 2023, representing a reduction of approximately 57%[123] - The net cash used in operating activities for the year ended December 31, 2024, was RMB 74.1 million, a decrease of RMB 290.1 million compared to RMB 364.2 million for the year ended December 31, 2023[126] - The net cash generated from investing activities for the year ended December 31, 2024, was RMB 256.2 million, an increase of RMB 303.6 million from RMB 47.4 million in 2023[126] - The net cash generated from financing activities for the year ended December 31, 2024, was RMB 21.3 million, a decrease of RMB 224.4 million compared to RMB 245.7 million in 2023[128] - As of December 31, 2024, the company's cash and cash equivalents amounted to RMB 1,174.5 million, a slight decrease from RMB 1,197.9 million as of December 31, 2023[130] Research and Development - Research and development expenses decreased from RMB 372.3 million to RMB 330.2 million, a reduction of 11.3%[15] - The company aims to enhance its R&D platforms and has identified a unique STING agonist molecule for its iADC candidate products[102] - The company is focusing on advancing core projects like Pan-KRAS and iADC, targeting approximately 25% of cancer patients with KRAS mutations[11] - The company aims to establish strategic partnerships with leading multinational companies to enhance the success rate of its drug candidates[34] - The company is actively pursuing collaborations with academic institutions and other biotech firms to advance its research objectives and product pipeline[157] Drug Development and Clinical Trials - The company submitted a New Drug Application (NDA) for the KRAS G12C inhibitor glecirasib, marking a significant milestone in its commercialization journey[10] - Glecirasib's NDA for ≥2L NSCLC was submitted to CDE in May 2024, with priority review status, and is expected to receive approval in H1 2025[21] - The pivotal trial for Glecirasib combined with Sitneprotafib in 1L NSCLC has been approved by CDE and initiated on August 7, 2024[21] - Glecirasib has received ODD from the FDA for PDAC in April 2024 and from EMA in October 2024[22] - The company has demonstrated efficient clinical development, completing the entire clinical development of Glecirasib in less than three years[41] - The company is the first to initiate a first-line NSCLC Phase III trial in China, comparing an oral combination therapy with chemotherapy and immunotherapy, targeting KRAS G12C mutation patients with PD-L1 <1%[46] Strategic Partnerships and Collaborations - A collaboration agreement with Eli Lilly for glecirasib and SHP2 inhibitor (JAB-3312) was established, with a total transaction value of RMB 900 million[10] - The rights for Glecirasib and Sitneprotafib in Greater China were licensed to Elysium for up to RMB 900 million in upfront and milestone payments, plus a double-digit percentage of net sales[23] - The company has established an exclusive licensing agreement with Elysium for Glecirasib and Sitneprotafib in the Greater China region, retaining rights outside this area[55] Management and Governance - The company has implemented a 2021 equity incentive plan to attract and retain key personnel, providing additional rewards to employees[139] - The audit committee consists of one non-executive director and two independent non-executive directors, ensuring compliance with accounting standards and internal controls[140] - The company has established effective mechanisms to ensure the board receives independent advice and recommendations[174] - The board consists of three executive directors, one non-executive director, and three independent non-executive directors, ensuring strong independence[171] - The company has adopted the Corporate Governance Code as its own governance code, complying with all applicable provisions as of December 31, 2024[167] Employee and Organizational Structure - As of December 31, 2024, the group had a total of 257 employees, down from 301 employees in 2023[139] - Total salary costs for the year ending December 31, 2024, amounted to RMB 153.5 million, a decrease from RMB 174.1 million for the year ending December 31, 2023[139] - The company has a strong focus on expanding its research and development capabilities in innovative drug therapies for neurological and oncological diseases[157][163] - The company has established a competitive compensation structure, including bonuses and stock-based compensation, to incentivize employees[139] Innovation and Technology - The company is focused on developing cutting-edge KRAS combinations for single-agent and rational combination therapies to address significant unmet medical needs in tumors with KRAS mutations[99] - The iADC projects utilize proprietary STING agonist payloads to tackle challenges related to low response rates of current ICI therapies and toxicity issues associated with traditional ADCs[101] - The company has developed a proprietary STING agonist iADC, with the clinical candidate HER2-STING iADC named JAB-BX467 expected to be nominated in the second half of 2024 and an IND application planned for 2026[92] Market Position and Competitive Landscape - The company has established significant competitive barriers in the KRAS inhibitor field, with over 80+ priority filings compared to competitors' 10+ and an earliest priority date of 2021[98] - The company aims to lead in the development of innovative cancer therapies targeting KRAS, with a diverse pipeline including glecirasib (KRAS G12C inhibitor JAB-21822) and JAB-22000 (KRAS G12D inhibitor)[97] - The KRASi ADC platform aims to expand to pan-KRAS inhibitors, targeting broader KRAS mutations like G12V and G13D, with expectations to surpass existing small molecule drugs in efficacy[84]

Financial Performance - Revenue for the year ended December 31, 2024, is approximately $254.9 million, a decrease of 1.9% from approximately $259.9 million for the year ended December 31, 2023[14]. - Adjusted net profit for the year ended December 31, 2024, is projected to be $13.243 million, down from $23.974 million for the year ended December 31, 2023[9]. - The gross profit margin for the year ended December 31, 2024, is projected to be 27.4%, a decrease from 30.2% for the year ended December 31, 2023[9]. - The adjusted net profit margin for the year ended December 31, 2024, is projected to be 5.2%, down from 9.2% for the year ended December 31, 2023[9]. - The company's revenue decreased by 1.9% from approximately $259.9 million for the year ended December 31, 2023, to approximately $254.9 million for the year ended December 31, 2024[26]. - Revenue from North America and Europe decreased by 0.5% from approximately $199.1 million to approximately $198.2 million for the same periods[62]. - Revenue from the Chinese market decreased by 5.9%, from approximately RMB 428.9 million (approximately $60.8 million) to approximately RMB 403.5 million (approximately $56.7 million)[62]. - The decline in revenue was primarily due to decreased earnings from drug development and discovery services, influenced by a weak global investment environment in the biopharmaceutical sector[62]. - Gross profit decreased by 11.0% to approximately $69.8 million in 2024, with a gross margin of 27.4%, down from 30.2% in 2023[68]. - Adjusted net profit for the year ended December 31, 2024, was approximately $13.2 million, a decrease of 45.0% from $24.0 million in 2023[78]. Future Revenue and Growth - Future contracted revenue as of December 31, 2024, reached approximately $390.6 million, an increase of 14.1% from approximately $342.2 million as of December 31, 2023[14]. - The company aims to enhance service capabilities through organic growth and strategic acquisitions, ensuring comprehensive and high-quality services for global clients[27]. - The global contract research organization market is projected to grow from $83.49 billion in 2024 to $192.68 billion by 2032, with a CAGR of 11.1%[58]. - The company aims to leverage its over 20 years of experience to address complex regulatory issues and provide comprehensive solutions in the evolving market[59]. Operational Developments - In 2024, the company expanded its headquarters in Exton, Pennsylvania, adding 46,300 square feet of life sciences space, increasing total space to over 200,000 square feet, enhancing biorepository capabilities[17]. - The company established a leading high-throughput screening platform in Wuhan, China, significantly improving R&D efficiency and reducing project delivery times[17]. - The clinical sample production facility in Suzhou, covering 89,000 square feet, has been fully completed and equipped with intelligent production lines for oral solid preparations, sterile injections, and semi-solid external preparations[39]. - The company has established a full-service system in China covering drug discovery, preclinical research, and clinical research[38]. - The company successfully completed the cross-species pharmacokinetics study for the world's first PRMT5 inhibitor, delivering key data packages for regulatory submissions in both China and the U.S.[40]. Leadership and Management - The company appointed Mr. Gao Jun as President of the Asia-Pacific region and Chief Financial Officer, effective January 2, 2024, and February 1, 2024, respectively[15]. - Dr. Wentao Zhang and Dr. Zhongping Lin were appointed as co-CEOs, marking a significant leadership transition aimed at enhancing the company's leadership and driving growth and innovation[16]. - The management team includes experienced professionals with backgrounds in pharmaceuticals and biostatistics, contributing to the company's strategic direction[106][107][108]. - The management team emphasizes the importance of recruiting and retaining talent through targeted training programs[103]. Employee and Talent Management - As of December 31, 2024, the group has a total of 1,560 employees, with 839 located in North America and 721 in China[101]. - Employee costs for the year ended December 31, 2024, were approximately $114.6 million, compared to $112.2 million for the year ended December 31, 2023, reflecting a year-over-year increase of about 2.1%[101]. - Approximately 84% of employees hold a bachelor's degree or higher, with 562 employees possessing advanced degrees[101]. - The group has implemented several stock incentive plans, including pre-IPO stock incentive plans and 2018 and 2021 stock incentive plans, to reward contributions from eligible participants[103]. Compliance and Governance - The company is committed to compliance with applicable laws and regulations, ensuring mandatory training in various technical and safety areas[103]. - The board of directors includes a mix of executive and non-executive members, with specific terms for rotation and re-election outlined[150]. - The company has arranged appropriate directors' and officers' liability insurance for its directors and senior management during the reporting period[161]. - The board believes that all independent non-executive directors are independent individuals as per the annual confirmation received[154]. Shareholder Information - The board has decided not to recommend any final dividend for the reporting period[136]. - The group has adopted a dividend policy to allow shareholders to participate in profit distribution while retaining sufficient reserves for future growth[135]. - As of December 31, 2024, the total distributable reserves available for shareholders amounted to approximately $107.3 million[143]. - Sales to the top five customers accounted for approximately 14.6% of the total revenue, with the largest customer contributing about 5.0%[148]. Stock Options and Incentive Plans - The company has a stock option plan with a total of 53,360,000 unexercised options as of December 31, 2024[175]. - The exercise price of unexercised stock options ranges from $0.049 to $0.057[179]. - The total number of stock options granted during the reporting period was 4,500,000 shares at an exercise price of HKD 0.820[197]. - The company aims to attract and retain skilled individuals through the 2018 Share Incentive Plan to promote shareholder interests[185].