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佈之內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公佈全部或任 何部份內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 * （於百慕達註冊成立之有限公司） （股份代號：385） 截至二零二五年六月三十日止六個月中期業績公佈 建聯集團有限公司（「本公司」）之董事會（「董事會」）欣然宣佈本公司及其附屬公司 （「本集團」）截至二零二五年六月三十日止六個月之未經審核簡明綜合損益表及 未經審核簡明綜合全面收益表，以及本集團於二零二五年六月三十日之未經審核 簡明綜合財務狀況表，連同二零二四年之比較數字如下： 簡明綜合損益表 | | | 截至六月三十日止六個月 | | | --- | --- | --- | --- | | | | 二零二五年 | 二零二四年 | | | | （未經審核） | （未經審核） | | | 附註 | 千港元 | 千港元 | | 收入 | 3 | 3,296,178 | 3,446,519 | | 銷售╱提供服務成本 | | (2,956,666) | (3,074,000) | | 毛利 | | 339,5 ...

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，並明確表示概不就因本公告全部或任何部分內容而產生或因依賴該等內容 而引致的任何損失承擔任何責任。 REDCO PROPERTIES GROUP LIMITED 力高地產集團有限公司 ‧ 截至二零二五年六月三十日止六個月的收益為人民幣988.5百萬元 ‧ 截至二零二五年六月三十日止六個月的虧損為人民幣710.4百萬元 ‧ 截至二零二五年六月三十日止六個月本公司所有者應佔虧損為人民幣590.0百 萬元 ‧ 於二零二五年六月三十日的土地儲備為9.8百萬平方米（二零二四年十二月 三十一日：10.6百萬平方米） ‧ 董事會建議不派付截至二零二五年六月三十日止六個月的中期股息（二零二四 年：無）。 力高地產集團有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然宣佈，本公司及 其附屬公司（統稱「本集團」）截至二零二五年六月三十日止六個月的未經審核簡明合 併業績連同比較數字如下： 簡明合併損益表 （於開曼群島註冊成立的有限公司） （股份代號：1622） 截至二零二五年六月三十日止六個月的 中期業績公告 財務摘 ...

[Section I Definitions](index=7&type=section&id=Section%20I%20Definitions) This section defines key terms used in the report, such as company name, Group, and reporting period, to ensure clear understanding of the content [Definitions of Common Terms](index=7&type=section&id=Definitions%20of%20Common%20Terms) - The Company, CHALCO International refers to CHALCO International Engineering Co., Ltd[25](index=25&type=chunk) - The Group refers to the Company and its subsidiaries[25](index=25&type=chunk) - CHINALCO Group refers to Aluminum Corporation of China Limited, the Company's controlling shareholder[25](index=25&type=chunk) - Reporting Period, This Reporting Period refers to **January 2025 to June 2025**[26](index=26&type=chunk) [Section II Company Profile and Key Financial Indicators](index=9&type=section&id=Section%20II%20Company%20Profile%20and%20Key%20Financial%20Indicators) [I. Company Information](index=9&type=section&id=I.%20Company%20Information) This section provides CHALCO International's Chinese and English names, abbreviations, and legal representative details - The Company's Chinese name is 中鋁國際工程股份有限公司, abbreviated as **CHALCO International**[27](index=27&type=chunk) - The Company's legal representative is **Li Yihua**[27](index=27&type=chunk) [II. Contact Person and Contact Information](index=9&type=section&id=II.%20Contact%20Person%20and%20Contact%20Information) This section lists contact details for the Company Secretary and Securities Affairs Representative, including names, addresses, and communication methods - The Company Secretary and Joint Company Secretary is **Tao Fulun**, and the Securities Affairs Representative is **Ma Shaozhu**[29](index=29&type=chunk) - The contact address for all is **Building C, No. 99 Xishikou Road, Haidian District, Beijing**[29](index=29&type=chunk) [III. Brief Introduction to Changes in Basic Information](index=9&type=section&id=III.%20Brief%20Introduction%20to%20Changes%20in%20Basic%20Information) This section outlines historical changes in the company's registered address and confirms no changes occurred during the reporting period - The Company's registered address is **Building C, No. 99 Xishikou Road, Haidian District, Beijing**, which has changed historically[30](index=30&type=chunk) - During the reporting period, there were **no changes** in the Company's registered address, domestic office address, Hong Kong office address, or website[30](index=30&type=chunk) [IV. Brief Introduction to Changes in Information Disclosure and Document Storage Locations](index=10&type=section&id=IV.%20Brief%20Introduction%20to%20Changes%20in%20Information%20Disclosure%20and%20Document%20Storage%20Locations) This section specifies the company's chosen information disclosure newspapers, website addresses, and report storage locations, confirming no changes - The newspapers selected by the Company for information disclosure are **Securities Daily** and **Securities Times**[31](index=31&type=chunk) - The websites for publishing the semi-annual report are **www.sse.com.cn** and **www.hkex.com.hk**[31](index=31&type=chunk) [V. Company Stock Overview](index=10&type=section&id=V.%20Company%20Stock%20Overview) This section lists the listing exchanges, stock abbreviations, and stock codes for the company's A-shares and H-shares - The Company's A-shares are listed on the Shanghai Stock Exchange, with stock abbreviation **CHALCO International** and code **601068**[32](index=32&type=chunk) - The Company's H-shares are listed on the Hong Kong Stock Exchange, with stock abbreviation **CHALCO International** and code **2068**[32](index=32&type=chunk) [VI. Other Relevant Information](index=10&type=section&id=VI.%20Other%20Relevant%20Information) This section discloses details of the accounting firm, legal advisors, and share registrars appointed by the company - The Company appointed **Grant Thornton (Special General Partnership)** as its accounting firm[33](index=33&type=chunk) - The Company appointed **Jia Yuan Law Offices** as its domestic legal advisor and **Jia Yuan Law Offices** as its overseas legal advisor[33](index=33&type=chunk) [VII. Key Accounting Data and Financial Indicators](index=11&type=section&id=VII.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) This section presents the company's key accounting data and financial indicators for H1 2025, including revenue, net profit, and EPS, with prior period comparisons 2025 First Half Key Accounting Data (Unit: Thousand Yuan, RMB) | Indicator | This Reporting Period (Jan-Jun) | Prior Period | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 9,698,350 | 10,710,476 | -9.45 | | Total Profit | 235,317 | 269,332 | -12.63 | | Net profit attributable to shareholders of the listed company | 102,589 | 155,989 | -34.23 | | Net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses | 55,926 | 66,325 | -15.68 | | Net cash flow from operating activities | -199,300 | -2,034,849 | N/A | | Net assets attributable to shareholders of the listed company (Period-end) | 6,664,224 | 6,582,409 | 1.24 | | Total Assets (Period-end) | 40,425,812 | 41,156,527 | -1.78 | 2025 First Half Key Financial Indicators | Indicator | This Reporting Period (Jan-Jun) | Prior Period | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (Yuan/share) | 0.01 | 0.02 | -50.00 | | Diluted Earnings Per Share (Yuan/share) | 0.01 | 0.02 | -50.00 | | Basic Earnings Per Share after deducting non-recurring gains and losses (Yuan/share) | -0.01 | -0.01 | N/A | | Weighted Average Return on Net Assets (%) | 0.96 | 2.98 | Decrease of 2.02 percentage points | | Weighted Average Return on Net Assets after deducting non-recurring gains and losses (%) | -0.70 | -1.07 | N/A | [IX. Non-recurring Gains and Losses Items and Amounts](index=13&type=section&id=IX.%20Non-recurring%20Gains%20and%20Losses%20Items%20and%20Amounts) This section lists the company's non-recurring gains and losses items and their amounts for H1 2025, totaling a net 46,663 thousand Yuan 2025 First Half Non-recurring Gains and Losses Items and Amounts (Unit: Thousand Yuan, RMB) | Non-recurring Gains and Losses Item | Amount | | :--- | :--- | | Gains or losses from disposal of non-current assets | 28,468 | | Government grants recognized in current profit or loss | 4,476 | | Funds occupation fees received from non-financial enterprises recognized in current profit or loss | 2,395 | | Reversal of impairment provisions for receivables subject to separate impairment testing | 31,870 | | Gains or losses from debt restructuring | 568 | | Other non-operating income and expenses apart from the above | 3,745 | | Less: Income tax impact | 16,474 | | Less: Impact on minority interests (after tax) | 8,385 | | Total | 46,663 | [X. Companies with Equity Incentives or Employee Stock Ownership Plans May Choose to Disclose Net Profit After Deducting Share-based Payment Impact](index=14&type=section&id=X.%20Companies%20with%20Equity%20Incentives%20or%20Employee%20Stock%20Ownership%20Plans%20May%20Choose%20to%20Disclose%20Net%20Profit%20After%20Deducting%20Share-based%20Payment%20Impact) This section discloses the company's net profit after deducting share-based payment impact for H1 2025, which was 164,809 thousand Yuan, a 17.22% year-on-year decrease Net profit after deducting share-based payment impact (Unit: Thousand Yuan, RMB) | Indicator | This Reporting Period (Jan-Jun) | Prior Period | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Net profit after deducting share-based payment impact | 164,809 | 199,094 | -17.22 | [Section III Chairman's Statement](index=15&type=section&id=Section%20III%20Chairman's%20Statement) [First Half Operating Review](index=15&type=section&id=First%20Half%20Operating%20Review) In H1 2025, CHALCO International implemented its "Technology + International" strategy, achieving stable operations and significant progress in transformation and market competitiveness - The Company's new industrial contracts in the first half amounted to **15.633 billion Yuan**, a year-on-year increase of **38%**, accounting for **95%** of total new contracts[44](index=44&type=chunk) - New EPC general contracting and construction contracts reached **13.981 billion Yuan**, a year-on-year increase of **26%**[44](index=44&type=chunk) - New overseas contracts amounted to **3.189 billion Yuan**, a year-on-year increase of **284%**, successfully signing the Simandou mining operations and maintenance project contract in Guinea[44](index=44&type=chunk)[45](index=45&type=chunk) - Six of the Company's "Sci-Tech Reform Enterprises" were rated as "one benchmark, three excellent, two good" in the SASAC's 2024 special assessment[46](index=46&type=chunk) [Second Half Strategic Outlook](index=16&type=section&id=Second%20Half%20Strategic%20Outlook) In H2, CHALCO International will focus on "strengthening operations, promoting transformation, preventing risks, and deepening reforms" to enhance market share and accelerate business upgrades - **Strengthen Operations**: Continuously increase market share in design consulting, expand EPC general contracting business development, deepen technology marketing, and enhance full mining industry chain service capabilities[47](index=47&type=chunk) - **Promote Transformation**: Establish a three-tier marketing structure, focus on core businesses, exit high-risk and inefficient non-core businesses, increase the proportion of industrial, survey and design, EPC, strategic emerging, and overseas businesses, and high-quality prepare the "15th Five-Year Plan"[47](index=47&type=chunk) - **Prevent Risks**: Strengthen on-site safety control, promote safety and environmental information construction, comprehensively improve overseas project management standards, and conduct risk assessments[48](index=48&type=chunk) - **Deepen Reforms**: Optimize organizational structure and human resource allocation, promote systemic reforms in key areas, and enhance operational efficiency and management effectiveness[48](index=48&type=chunk) [Section IV Management Discussion and Analysis](index=18&type=section&id=Section%20IV%20Management%20Discussion%20and%20Analysis) [I. Industry and Principal Business Overview During the Reporting Period](index=18&type=section&id=I.%20Industry%20and%20Principal%20Business%20Overview%20During%20the%20Reporting%20Period) This section details the company's business models in non-ferrous metals engineering, including design, EPC, and equipment manufacturing, analyzing H1 2025 industry performance and trends [ (I) Principal Business and Operating Model](index=18&type=section&id=(I)%20Principal%20Business%20and%20Operating%20Model) The company's main businesses include design consulting, EPC, and equipment manufacturing, providing comprehensive solutions across the non-ferrous metals industry chain and expanding into strategic emerging industries - Design consulting is the Company's traditional core business, covering the entire non-ferrous metals mining, beneficiation, smelting, and processing chain, as well as new energy, chemical, and environmental fields, with **leading technology** and **higher profit margins**[50](index=50&type=chunk) - EPC general contracting and construction business covers multiple industrial and construction sectors, with diverse models, benefiting from industrial advantages and strategic emerging industry development[51](index=51&type=chunk) - Equipment manufacturing is the Company's high-tech industry, focusing on R&D of new processes, technologies, materials, and equipment for non-ferrous metals, with products applied across the entire industry chain, expected to benefit from equipment upgrade policies[52](index=52&type=chunk) [ (II) Industry Conditions](index=20&type=section&id=(II)%20Industry%20Conditions) The non-ferrous metals industry performed well in H1 2025, with key indicators surpassing the industrial average and strong copper/aluminum prices, anticipating continued growth in H2 - In the first half of 2025, the non-ferrous metals industry generally performed well, with **main indicators surpassing the industrial average** and accelerating transformation and upgrading[53](index=53&type=chunk) - **Copper and aluminum prices and output led the industry**, with copper prices remaining high and aluminum prices showing strong performance[53](index=53&type=chunk) - The industry is expected to achieve a leap from "structural growth" to "overall recovery" in the second half, with "high-end breakthroughs, green and low-carbon transformation, and intelligent penetration" as the main themes[53](index=53&type=chunk) [II. Discussion and Analysis of Operating Performance](index=21&type=section&id=II.%20Discussion%20and%20Analysis%20of%20Operating%20Performance) This section comprehensively analyzes the company's H1 2025 operating performance, highlighting achievements in market, projects, overseas business, innovation, and reforms, and outlining H2 strategies [ (I) Business Operating Performance in the First Half](index=21&type=section&id=(I)%20Business%20Operating%20Performance%20in%20the%20First%20Half) The company achieved significant results in H1 in production, innovation, reforms, and risk control, enhancing core competitiveness and improving operational quality, with better international rankings - The Company was listed among ENR's "Top 150 Global Design Firms" and "Global Top 250 International Contractors," with **improved rankings** in both[55](index=55&type=chunk) - In the first half, new contracts totaled **16.401 billion Yuan**, a year-on-year increase of **26%**; industrial projects accounted for **15.633 billion Yuan**, a year-on-year increase of **38%**[56](index=56&type=chunk) - Overseas business grew rapidly, with **116 new overseas contracts** totaling **3.189 billion Yuan**, a year-on-year increase of **284%**[57](index=57&type=chunk) - In technological innovation, the Company led the formulation of national standards, achieved multiple internationally leading scientific and technological results, and increased new invention patent applications by **39%** year-on-year[58](index=58&type=chunk)[59](index=59&type=chunk) - Digitalization showed strong momentum, with **366 million Yuan** in digital contracts signed for smart factories and production lines[60](index=60&type=chunk) - Deepening reforms achieved breakthroughs, with six "Sci-Tech Reform Enterprises" rated as "**1 benchmark, 3 excellent, 2 good**"[61](index=61&type=chunk) [ (II) Outlook for the Second Half](index=26&type=section&id=(II)%20Outlook%20for%20the%20Second%20Half) In H2, the company will deepen market development, strengthen project control, pursue technological breakthroughs, enhance strategic effectiveness, and stabilize risks for improved business development - **Deepen market development**, focus on core businesses, target incremental markets, expand EPC market share, and elevate overseas business to new heights[64](index=64&type=chunk) - **Strengthen technological breakthroughs**, plan for "15th Five-Year Plan" technological development, tackle major scientific and technological projects, accelerate industrialization of scientific achievements, and build a strong talent pipeline[65](index=65&type=chunk)[66](index=66&type=chunk) - **Advance reform initiatives**, high-quality prepare the "15th Five-Year Plan" development strategy, optimize organizational performance and compensation distribution mechanisms, and promote three-tier control and "penetrating management"[67](index=67&type=chunk) - **Stabilize risks**, improve compliance, strengthen safety and environmental basic capabilities, and enforce primary responsibilities[68](index=68&type=chunk) [ (III) Contract Status](index=29&type=section&id=(III)%20Contract%20Status) In H1 2025, new contracts totaled 16.401 billion Yuan, up 26.24%, with significant growth in industrial and overseas contracts; uncompleted contracts were 45.838 billion Yuan 2025 January-June New Contract Status (Unit: Billion Yuan, RMB) | Contract Type | Quantity (Units) | Amount | Prior Period | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | :--- | | **I. By Industry** | | | | | | 1. Industrial | 1,908 | 15.63 | 11.35 | 37.68 | | 2. Non-industrial | 573 | 0.77 | 1.64 | -53.08 | | **Total** | **2,481** | **16.40** | **12.99** | **26.24** | | **II. By Business** | | | | | | 1. Design Consulting | 1,049 | 1.20 | 0.81 | 48.03 | | 2. EPC General Contracting & Construction | 1,115 | 13.98 | 11.10 | 25.94 | | 3. Equipment Manufacturing | 317 | 1.22 | 1.08 | 12.88 | | **Total** | **2,481** | **16.40** | **12.99** | **26.24** | | **III. By Region** | | | | | | 1. Domestic | 2,365 | 13.21 | 12.16 | 8.63 | | 2. Overseas | 116 | 3.19 | 0.83 | 284.22 | | **Total** | **2,481** | **16.40** | **12.99** | **26.24** | Cumulative Existing Contracts as of June 30, 2025 (Unit: Billion Yuan, RMB) | Contract Type | Amount | Prior Period | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | **I. By Industry** | | | | | 1. Industrial | 32.34 | 24.41 | 32.50 | | 2. Non-industrial | 13.50 | 23.18 | -41.77 | | **Total** | **45.84** | **47.59** | **-3.67** | | **II. By Business** | | | | | 1. Design Consulting | 4.46 | 4.09 | 9.10 | | 2. EPC General Contracting & Construction | 34.85 | 38.43 | -9.30 | | 3. Equipment Manufacturing | 6.52 | 5.07 | 28.62 | | **Total** | **45.84** | **47.59** | **-3.68** | | **III. By Region** | | | | | 1. Domestic | 34.63 | 40.60 | -14.70 | | 2. Overseas | 11.21 | 6.99 | 60.39 | | **Total** | **45.84** | **47.59** | **-3.67** | [ (IV) Operating Performance and Discussion](index=31&type=section&id=(IV)%20Operating%20Performance%20and%20Discussion) In H1 2025, revenue decreased by 9.45% to 9.698 billion Yuan, and net profit attributable to shareholders fell by 34.23% to 103 million Yuan, mainly due to non-industrial business exit - Operating revenue was **9.698 billion Yuan**, a year-on-year decrease of **9.45%**, primarily due to business transformation and the exit from non-industrial sectors such as municipal and civil construction[71](index=71&type=chunk) - Net profit attributable to shareholders of the listed company was **103 million Yuan**, a year-on-year decrease of **53 million Yuan**, a **34.23%** decline[71](index=71&type=chunk) - Administrative expenses were **420 million Yuan**, a year-on-year decrease of **51 million Yuan**, mainly due to labor efficiency reforms and cost reduction[75](index=75&type=chunk) - Financial expenses were **137 million Yuan**, a year-on-year increase of **32 million Yuan**, primarily affected by a **62 million Yuan** decrease in exchange gains due to USD exchange rate fluctuations[77](index=77&type=chunk) - Reversal of credit impairment losses increased profit by **118 million Yuan**, a year-on-year decrease of **40 million Yuan**; asset impairment losses were **27 million Yuan**, a year-on-year decrease in profit of **52 million Yuan** compared to a reversal in the prior period[78](index=78&type=chunk)[79](index=79&type=chunk) [ (V) Principal Business by Industry and Region](index=33&type=section&id=(V)%20Principal%20Business%20by%20Industry%20and%20Region) The company's principal business gross profit margin was 10.84%, up 1.26 percentage points, with design consulting and equipment manufacturing revenue and margins rising, and overseas revenue growing by 6.89% Principal Business by Industry (Unit: Thousand Yuan, RMB) | By Industry | Operating Revenue | Operating Cost | Gross Profit Margin (%) | Year-on-year Change in Operating Revenue (%) | Year-on-year Change in Operating Cost (%) | Year-on-year Change in Gross Profit Margin (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Design Consulting | 600,070 | 396,898 | 33.86 | 0.37 | -0.90 | Increase of 0.85 percentage points | | EPC General Contracting & Construction | 7,349,618 | 6,748,146 | 8.18 | -17.57 | -18.27 | Increase of 0.79 percentage points | | Equipment Manufacturing | 1,748,662 | 1,502,149 | 14.10 | 46.20 | 46.20 | Flat | | Total | 9,698,350 | 8,647,193 | 10.84 | -9.45 | -10.72 | Increase of 1.26 percentage points | Principal Business by Region (Unit: Thousand Yuan, RMB) | By Region | Operating Revenue | Operating Cost | Gross Profit Margin (%) | Year-on-year Change in Operating Revenue (%) | Year-on-year Change in Operating Cost (%) | Year-on-year Change in Gross Profit Margin (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Mainland China | 7,682,027 | 6,915,269 | 9.98 | -12.94 | -14.13 | Increase of 1.24 percentage points | | Other Countries and Regions | 2,016,323 | 1,731,925 | 14.10 | 6.89 | 6.14 | Increase of 0.61 percentage points | | Total | 9,698,350 | 8,647,193 | 10.84 | -9.45 | -10.72 | Increase of 1.26 percentage points | - Design consulting business revenue was **600 million Yuan**, a year-on-year increase of **0.37%**, with a gross profit margin of **33.86%**, a year-on-year increase of **0.85 percentage points**[88](index=88&type=chunk) - Equipment manufacturing business revenue was **1.749 billion Yuan**, a year-on-year increase of **46.20%**, primarily driven by technological innovation and key technology R&D[92](index=92&type=chunk) - Overseas business revenue was **2.016 billion Yuan**, a year-on-year increase of **6.89%**, mainly due to focusing on "Belt and Road" countries and emerging markets[95](index=95&type=chunk) [III. Analysis of Core Competencies During the Reporting Period](index=38&type=section&id=III.%20Analysis%20of%20Core%20Competencies%20During%20the%20Reporting%20Period) The company's core competencies include strong technology and talent, comprehensive industry chain coverage, numerous top-tier qualifications, and leading domestic and international market positions - The Company owns **5 Class A design institutes**, **2 Class A survey and design institutes**, and **3 large integrated construction and installation enterprises**, along with multiple national-level engineering technology research centers and enterprise technology centers[97](index=97&type=chunk) - It boasts **41 national and industry survey and design masters** and **5,943 professional technical personnel** of various types[98](index=98&type=chunk) - The Company possesses world-leading or industry-advanced technologies in mining, metallurgy, and processing, such as **ultra-fine droplet electrolytic flue gas horizontal desulfurization technology**, **intelligent sampling equipment and control systems**, and **wide-width high-precision aluminum alloy plate and strip six-roll cold rolling equipment**[99](index=99&type=chunk)[107](index=107&type=chunk)[120](index=120&type=chunk) - It has a "three-full" advantage, covering **all metal categories, the entire industry chain, and the full project lifecycle**[128](index=128&type=chunk) - The Company holds a total of **398 qualifications**, including comprehensive Class A engineering design, comprehensive Class A survey, and special grade construction general contracting[130](index=130&type=chunk) - Domestic market advantages are significant, participating in numerous national key projects and creating over a hundred "China's First" and "World's First" achievements[131](index=131&type=chunk) - Overseas market advantages are prominent, focusing on "Belt and Road" countries and emerging markets, with **100% market share in electrolytic aluminum design in Indonesia**[132](index=132&type=chunk) [IV. Key Operating Performance During the Reporting Period](index=57&type=section&id=IV.%20Key%20Operating%20Performance%20During%20the%20Reporting%20Period) This section analyzes changes in financial statement items, asset-liability structure, investments, and subsidiary operations, showing progress in financing and collections despite increased investment cash outflow [ (I) Principal Business Analysis](index=57&type=section&id=(I)%20Principal%20Business%20Analysis) Operating revenue decreased by 9.45% due to business transformation; operating costs fell, financial expenses rose from reduced exchange gains, and operating cash outflow decreased Financial Statement Related Item Fluctuation Analysis (Unit: Thousand Yuan, RMB) | Item | Current Period Amount | Prior Period Amount | Change Ratio (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 9,698,350 | 10,710,476 | -9.45 | | Operating Cost | 8,647,193 | 9,684,950 | -10.72 | | Selling Expenses | 50,931 | 60,095 | -15.25 | | Administrative Expenses | 419,689 | 470,888 | -10.87 | | Financial Expenses | 137,420 | 104,985 | 30.89 | | R&D Expenses | 284,058 | 315,561 | -9.98 | | Net cash flow from operating activities | -199,300 | -2,034,849 | N/A | | Net cash flow from investing activities | -65,860 | 702,903 | -109.37 | | Net cash flow from financing activities | -387,865 | 1,269,801 | -130.55 | - Operating revenue decreased by **9.45%**, primarily due to business transformation and the exit from non-industrial sectors such as municipal and civil construction[135](index=135&type=chunk) - Financial expenses increased by **30.89%**, mainly affected by a **62 million Yuan** year-on-year decrease in exchange gains due to USD exchange rate fluctuations[138](index=138&type=chunk) - Net cash flow from operating activities saw a **1.836 billion Yuan** smaller outflow year-on-year, mainly due to strengthened collection management[139](index=139&type=chunk) [ (III) Analysis of Assets and Liabilities](index=59&type=section&id=(III)%20Analysis%20of%20Assets%20and%20Liabilities) As of June 30, 2025, total assets were 40.426 billion Yuan (down 1.78%), net assets attributable to shareholders were 6.664 billion Yuan (up 1.24%), with increased net current assets but reduced cash Asset and Liability Status Changes (Unit: Thousand Yuan) | Item Name | Period-end Amount | Period-end Amount as % of Total Assets | Prior Year-end Amount | Prior Year-end Amount as % of Total Assets | Period-end Amount vs. Prior Year-end Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Notes Receivable | 243,024 | 0.60 | 360,418 | 0.88 | -32.57 | | Receivables Financing | 127,275 | 0.31 | 321,003 | 0.78 | -60.35 | | Lease Liabilities | 12,814 | 0.03 | 28,078 | 0.07 | -54.36 | - As of June 30, 2025, the Company held **3.162 billion Yuan** in bank deposits and cash, a decrease of **786 million Yuan** from the end of 2024, mainly due to payments for project engineering and loan repayments[145](index=145&type=chunk) - Net current assets were **7.688 billion Yuan**, an increase of **54 million Yuan** from the end of 2024[145](index=145&type=chunk) - Outstanding borrowings were **9.560 billion Yuan**, a decrease of **229 million Yuan** from the end of 2024[146](index=146&type=chunk) - Net cash outflow from operating activities was **199 million Yuan**, a year-on-year decrease in outflow of **1.836 billion Yuan**, mainly due to strengthened collection management[147](index=147&type=chunk) - The capital-to-debt ratio was **44.03%**, a slight increase from **42.82%** at the end of 2024[148](index=148&type=chunk) [ (IV) Analysis of Investment Status](index=64&type=section&id=(IV)%20Analysis%20of%20Investment%20Status) As of June 30, 2025, long-term equity investments were 742 million Yuan (up 0.23%), while financial assets measured at fair value decreased to 170 million Yuan - Long-term equity investment balance was **742 million Yuan**, an increase of **1.715 million Yuan** or **0.23%** from the beginning of the year[149](index=149&type=chunk) Financial Assets Measured at Fair Value (Unit: Thousand Yuan, RMB) | Asset Category | Beginning of Period | End of Period | | :--- | :--- | :--- | | Receivables Financing | 321,003 | 127,275 | | Other Equity Instrument Investments | 43,160 | 43,067 | | Total | 364,163 | 170,342 | [ (VI) Analysis of Major Controlled and Investee Companies](index=66&type=section&id=(VI)%20Analysis%20of%20Major%20Controlled%20and%20Investee%20Companies) This section lists financial data for major controlled and investee companies, including assets, net assets, revenue, and net profit, covering engineering and construction subsidiaries Major Controlled and Investee Company Financial Data (Unit: Thousand Yuan, RMB) | Company Name | Business Scope | Total Assets | Net Assets | Operating Revenue | Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | | Shenyang Aluminum & Magnesium Engineering & Research Institute Co., Ltd. | Engineering Survey & Design | 2,687,060 | 1,355,652 | 735,981 | 61,675 | | Guiyang Aluminum & Magnesium Design and Research Institute Co., Ltd. | Engineering Survey & Design | 1,921,339 | 545,920 | 689,987 | 73,602 | | Changsha Nonferrous Metallurgical Design and Research Institute Co., Ltd. | Engineering Survey & Design | 4,673,184 | 2,393,013 | 1,061,137 | 73,952 | | China Nonferrous Metal Industry Technology Co., Ltd. | Engineering Design & Equipment Manufacturing | 2,015,634 | 616,620 | 578,615 | 37,712 | | Kunming Institute of Nonferrous Metals Engineering & Research Co., Ltd. | Engineering Survey & Design | 1,938,405 | 1,070,751 | 762,637 | 32,526 | | China Nonferrous Metal Industry Sixth Metallurgical Construction Co., Ltd. | Construction | 11,977,362 | 2,367,184 | 2,682,399 | 14,350 | | Jiu Ye Construction Co., Ltd. | Construction | 9,301,525 | 1,779,861 | 1,331,898 | -8,544 | | China Nonferrous Metal Industry Twelfth Metallurgical Construction Co., Ltd. | Construction | 4,420,730 | 767,941 | 1,230,005 | -50,442 | [V. Other Disclosure Matters](index=68&type=section&id=V.%20Other%20Disclosure%20Matters) This section covers key risks (safety, cash flow, project management, transformation, market competition), progress of the 2025 "Quality Improvement" plan, and other significant items like contracts and director changes [ (I) Potential Risks](index=68&type=section&id=(I)%20Potential%20Risks) The company faces safety, environmental, cash flow, project management, reform, and market competition risks, with mitigation measures in place - **Safety and Environmental Risks**: Insufficient pressure on subcontract safety management, inadequate safety and environmental awareness, and unclear personnel safety production responsibilities[156](index=156&type=chunk) - **Cash Flow Risks**: Intense competition in the construction engineering sector, long settlement and collection cycles, and difficulties in recovering receivables from existing municipal and civil construction businesses[158](index=158&type=chunk) - **Engineering Project Management Risks**: Inadequate construction technical management for some projects, deviations in performance management, and weak capabilities for secondary and tertiary project value enhancement[160](index=160&type=chunk) - **Reform and Business Transformation Risks**: Market and external environmental uncertainties, some key reform tasks not meeting expectations, and some employees lacking understanding and support for reforms[162](index=162&type=chunk) - **Market Change and Market Competition Risks**: Decreased investment in the non-ferrous industry, shrinking real estate and municipal civil markets, and intensified competition due to increased industry concentration[164](index=164&type=chunk) [ (II) Other Disclosure Matters](index=73&type=section&id=(II)%20Other%20Disclosure%20Matters) The company's 2025 "Quality Improvement" plan shows progress in business, innovation, and governance; no new sanctioned country business or interim dividend proposed - Business structure continued to optimize, with new contracts increasing by **26%** year-on-year in the first half, industrial contracts increasing by **38%** year-on-year, and total overseas business value growing by **284%** year-on-year[166](index=166&type=chunk) - In technological innovation, R&D investment intensity reached **3.12%**, with **3 new internationally leading achievements** and a **39%** year-on-year increase in invention patent applications[168](index=168&type=chunk) - The Company completed the re-election of its board of directors, formed a diverse team, and abolished the supervisory board's powers, transferring them to the audit committee[169](index=169&type=chunk) - The Company launched a reserved grant plan for restricted shares, granting **2 million restricted shares** to **21 incentive recipients**, stimulating internal organizational vitality[171](index=171&type=chunk) - The Company confirmed **no new business with sanctioned countries** and no related transaction plans or arrangements have been formed[173](index=173&type=chunk) - The Board of Directors did **not propose an interim dividend** for the six months ended June 30, 2025[174](index=174&type=chunk) - Executive Director **Liu Dongjun** ceased to hold his position from August 2025, Non-executive Director **Hu Weixi** was re-designated from June 2025, and Independent Non-executive Directors **Xiao Zhixiong** and **Tong Pengfang** had changes in their positions[180](index=180&type=chunk) [Section V Corporate Governance, Environment and Society](index=79&type=section&id=Section%20V%20Corporate%20Governance,%20Environment%20and%20Society) [I. Changes in Directors and Senior Management During the Reporting Period](index=80&type=section&id=I.%20Changes%20in%20Directors%20and%20Senior%20Management%20During%20the%20Reporting%20Period) During the period, the board completed re-election with new directors, Mr. Liu Dongjun resigned, and the supervisory board's powers transferred to the audit committee - The Company's fourth board of directors' term expired, and the fifth board of directors was elected, including **4 executive directors, 2 non-executive directors, and 3 independent non-executive directors**[182](index=182&type=chunk) - New directors include **Mr. Tao Fulun, Mr. Liu Changkui, and Ms. Hu Weixi**[182](index=182&type=chunk) - The Company **abolished the supervisory board**, and its powers are exercised by the Board of Directors' Audit Committee[184](index=184&type=chunk) - Mr. Liu Dongjun resigned as an executive director of the Company on **August 18, 2025**[184](index=184&type=chunk) [II. Profit Distribution or Capital Reserve to Share Capital Increase Plan](index=81&type=section&id=II.%20Profit%20Distribution%20or%20Capital%20Reserve%20to%20Share%20Capital%20Increase%20Plan) The semi-annual profit distribution and capital reserve to share capital increase plans both propose no distribution or increase, with zero bonus shares, dividends, and capital increase - The Company's semi-annual profit distribution plan proposes **no distribution or increase**[184](index=184&type=chunk) - The number of bonus shares, dividends (including tax), and capital increase per 10 shares are **all 0**[184](index=184&type=chunk) [III. Company Equity Incentive Plan, Employee Stock Ownership Plan or Other Employee Incentive Measures and Their Impact](index=82&type=section&id=III.%20Company%20Equity%20Incentive%20Plan,%20Employee%20Stock%20Ownership%20Plan%20or%20Other%20Employee%20Incentive%20Measures%20and%20Their%20Impact) The 2023 Restricted Stock Incentive Plan, approved by SASAC, completed initial and reserved grants to incentivize management and core personnel, with performance targets for unlocking - The Company's 2023 Restricted Stock Incentive Plan has received approval from the State-owned Assets Supervision and Administration Commission (SASAC) of the State Council, agreeing in principle to its implementation[185](index=185&type=chunk) - The initial grant date was **June 18, 2024**, granting **26.7696 million restricted shares** to **237 incentive recipients** at a grant price of **2.37 Yuan/share**[186](index=186&type=chunk)[191](index=191&type=chunk) - The reserved grant date was **May 26, 2025**, granting **2 million restricted shares** to **21 incentive recipients** at a grant price of **2.28 Yuan/share**[187](index=187&type=chunk)[214](index=214&type=chunk) - Restricted shares are unlocked in **three tranches**, with lock-up periods of **24 months, 36 months, and 48 months** from the date of grant registration completion, and unlocking ratios of **40%, 30%, and 30%** respectively[196](index=196&type=chunk)[197](index=197&type=chunk)[198](index=198&type=chunk) - Performance assessment targets for unlocking include **Return on Net Assets (EOE)**, **Compound Growth Rate of Net Profit Attributable to Parent Company Shareholders**, and **Economic Value Added Improvement (ΔEVA)**[200](index=200&type=chunk)[201](index=201&type=chunk) - The incentive plan has a maximum validity period of **72 months**, from **July 26, 2024** (date of initial grant registration completion) to **July 26, 2028**[215](index=215&type=chunk) [V. Specifics of Consolidating and Expanding Poverty Alleviation Achievements, Rural Revitalization, and Other Work](index=98&type=section&id=V.%20Specifics%20of%20Consolidating%20and%20Expanding%20Poverty%20Alleviation%20Achievements,%20Rural%20Revitalization,%20and%20Other%20Work) In H1 2025, CHALCO International invested 1.9993 million Yuan in rural revitalization, achieving phased results through anti-poverty monitoring, industrial cultivation, and livelihood improvements - In the first half, **1.9993 million Yuan** was invested, including **1.9503 million Yuan** for purchasing agricultural products for assistance[218](index=218&type=chunk) - Subsidiaries such as Guiyang Institute, Changsha Institute, and China Nonferrous Metal Industry Technology Co., Ltd. diligently carried out dynamic monitoring to prevent a return to poverty, ensuring **zero new cases of re-impoverishment**[218](index=218&type=chunk) - In industrial cultivation, Jinkeng Village achieved **collective economic dividends for three consecutive years**, and China Nonferrous Metal Industry Technology Co., Ltd. led **8 villagers** to participate in a sheep farm project, increasing annual income by **30,000 Yuan per household**[219](index=219&type=chunk) - In livelihood improvement, the Jinkeng Village drinking water renovation project was completed, and road, water conservancy, and high-standard farmland construction in Tianmashan Village were advanced[219](index=219&type=chunk) [VI. Corporate Governance Code](index=99&type=section&id=VI.%20Corporate%20Code%20of%20Governance) The company adheres to HKEX Listing Rules' Corporate Governance Code and Model Code, with a diverse board and an effective audit committee that reviewed interim results - The Company complies with **all code provisions** of Appendix C1 of the HKEX Listing Rules' Corporate Governance Code[220](index=220&type=chunk) - All directors confirmed strict compliance with the **Model Code for Securities Transactions by Directors of Listed Issuers**[221](index=221&type=chunk) - The Company appointed **three independent non-executive directors** with appropriate professional qualifications[222](index=222&type=chunk) - The Audit Committee, composed of three directors with **Mr. Xiao Zhixiong as chairman**, has reviewed and confirmed the **unaudited interim results for the first half of 2025**[224](index=224&type=chunk)[225](index=225&type=chunk) [Section VI Significant Matters](index=101&type=section&id=Section%20VI%20Significant%20Matters) [I. Fulfillment of Commitments](index=101&type=section&id=I.%20Fulfillment%20of%20Commitments) The controlling shareholder and related parties strictly fulfilled commitments regarding independence, related party transactions, competition, and dilution mitigation measures - CHINALCO Group and its concerted parties, Luoyang Institute and Yunnan Aluminum International, committed to maintaining the listed company's independence, reducing and regulating related party transactions, and avoiding horizontal competition, all of which have been **strictly fulfilled**[226](index=226&type=chunk) - The Company's directors, senior management, and CHINALCO Group, among others, committed to measures to mitigate dilution of immediate returns, all of which have been **strictly fulfilled**[226](index=226&type=chunk) [VII. Significant Litigation and Arbitration Matters](index=103&type=section&id=VII.%20Significant%20Litigation%20and%20Arbitration%20Matters) During the reporting period, the company was involved in multiple significant litigation and arbitration cases, with some concluded and others remaining unresolved in court or arbitration Significant Litigation and Arbitration Cases Concluded During the Reporting Period (Unit: Ten Thousand Yuan, RMB) | Plaintiff (Applicant) | Defendant (Respondent) | Type of Litigation (Arbitration) | Amount Involved | Progress | Outcome and Impact of Litigation (Arbitration) | | :--- | :--- | :--- | :--- | :--- | :--- | | Kunming Haokun Concrete Manufacturing Co., Ltd. | Sixth Metallurgical, Sixth Metallurgical Yunnan Branch | Sales Contract Dispute | 6,262.79 | Concluded | Fully performed | | Duyun Economic Development Zone Tongda Construction Co., Ltd. | Duyun Industrial Agglomeration Zone Capital Operation Co., Ltd. etc. | Construction Project Contract Dispute | 9,929.75 | Concluded | Fully performed | | CHALCO International Engineering Equipment Co., Ltd. | Shandong Jialun Tire Co., Ltd. etc. | Sales Contract Dispute | 34,868.06 | Concluded | Case closed due to inability to execute | | Jiu Ye Construction Co., Ltd. | Shaanxi Weida Real Estate Development Co., Ltd. | Construction Project Contract Dispute | 26,113.6 | Concluded | Settled by asset-for-debt swap | Significant Unresolved Litigation and Arbitration Cases During the Reporting Period (Unit: Ten Thousand Yuan, RMB) | Plaintiff (Applicant) | Defendant (Respondent) | Type of Litigation (Arbitration) | Amount Involved | Progress | Outcome and Impact of Litigation (Arbitration) | | :--- | :--- | :--- | :--- | :--- | :--- | | Twelfth Metallurgical | Luohe Shengxu Real Estate Development Co., Ltd. etc. | Construction Project Contract Dispute | 6,474.67 | First instance ongoing | Undecided | | Twelfth Metallurgical | Xiangcheng State-owned Investment Resources Development Investment Management Co., Ltd. | Construction Project Contract Dispute | 12,484.16 | First instance ongoing | Undecided | | Twelfth Metallurgical | Guiyang Yuncheng Real Estate Co., Ltd. | Construction Project Contract Dispute | 5,887.03 | Arbitration ongoing | Undecided | | Jiu Ye | Zhengzhou Erqi District Housing and Urban-Rural Development Bureau | Construction Project Contract Dispute | 10,771 | First instance ongoing | Undecided | [X. Significant Related Party Transactions](index=106&type=section&id=X.%20Significant%20Related%20Party%20Transactions) The company engages in daily operational related party transactions with CHINALCO Group and its affiliates, including procurement, sales, leasing, and fund transfers, primarily at market rates and within approved limits Daily Operations Related Party Procurement and Sales (Unit: Thousand Yuan, RMB) | Related Party | Type of Related Party Transaction | Related Party Transaction Item | Related Party Transaction Amount | | :--- | :--- | :--- | :--- | | CHINALCO Group and its subsidiaries | Procurement of Goods | Procurement of main and auxiliary materials | 249,228 | | CHINALCO Group and its subsidiaries | Provision of Services | EPC General Contracting & Construction | 1,966,759 | | The Company's Associates | Provision of Services | EPC General Contracting & Construction | 500,198 | | CHINALCO Group and its subsidiaries | Sale of Goods | Equipment Manufacturing | 234,854 | | CHINALCO Group and its subsidiaries | Provision of Services | Design & Consulting | 120,208 | Related Party Creditor and Debtor Balances (Unit: Thousand Yuan, RMB) | Related Party | Related Party Relationship | Beginning of Period Balance (Funds Provided) | Amount Incurred (Funds Provided) | End of Period Balance (Funds Provided) | | :--- | :--- | :--- | :--- | :--- | | CHINALCO Finance Co., Ltd. | Wholly-owned subsidiary of parent company | 4,727,200 | -837,000 | 3,890,200 | Financial Business with Related Finance Company (Unit: Thousand Yuan, RMB) | Related Party | Business Type | Beginning of Period Balance (Deposits) | Amount Deposited (Deposits) | Amount Withdrawn (Deposits) | End of Period Balance (Deposits) | | :--- | :--- | :--- | :--- | :--- | :--- | | CHINALCO Finance Co., Ltd. | Deposit Business | 1,466,513 | - | 659,823 | 806,690 | | CHINALCO Finance Co., Ltd. | Loan Business | 4,727,200 | - | 837,000 | 3,890,200 | | CHINALCO Finance Co., Ltd. | Factoring Business | - | - | - | 0 | | CHINALCO Finance Co., Ltd. | Other Financing Business | - | - | - | 0 | [XI. Significant Contracts and Their Performance](index=112&type=section&id=XI.%20Significant%20Contracts%20and%20Their%20Performance) The company primarily provided loan guarantees for PPP project companies, totaling 8.723 billion Yuan (97.58% of net assets), mostly to entities with over 70% debt-to-asset ratio Company External Guarantees (Excluding Guarantees to Subsidiaries) (Unit: Thousand Yuan, RMB) | Guarantor | Guaranteed Party | Guarantee Amount | Guarantee Start Date | Guarantee End Date | Has Guarantee Been Fulfilled | | :--- | :--- | :--- | :--- | :--- | :--- | | CHALCO International Engineering Co., Ltd. | Ningyong Expressway Co., Ltd. | 983,315 | 2019/10/31 | 2047/10/31 | No | | CHALCO International Engineering Co., Ltd. | Ningyong Expressway Co., Ltd. | 1,390,914 | 2022/3/31 | 2047/3/21 | No | | CHALCO International Engineering Co., Ltd. | Linyun Expressway Co., Ltd. | 590,214 | 2019/10/31 | 2047/10/31 | No | | CHALCO International Engineering Co., Ltd. | Linshuang Expressway Co., Ltd. | 673,503 | 2021/12/24 | 2046/12/24 | No | Company Total Guarantee Status (Including Guarantees to Subsidiaries) (Unit: Thousand Yuan, RMB) | Indicator | Amount | | :--- | :--- | | Total Guarantees (A+B) | 8,723,446 | | Total Guarantees as % of Company Net Assets | 97.58% | | Of which: Guarantees to Shareholders, Actual Controllers and their Related Parties (C) | 0 | | Debt Guarantees provided directly or indirectly to guaranteed parties with debt-to-asset ratio exceeding 70% (D) | 6,818,056 | | Amount of Total Guarantees exceeding 50% of Net Assets (E) | 4,253,669 | | Total of the above three guarantee amounts (C+D+E) | 11,071,725 | [Section VII Share Changes and Shareholder Information](index=115&type=section&id=Section%20VII%20Share%20Changes%20and%20Shareholder%20Information) [I. Changes in Share Capital](index=115&type=section&id=I.%20Changes%20in%20Share%20Capital) The company's total share capital increased by 2 million shares due to the 2023 Restricted Stock Incentive Plan's reserved grant, with a corresponding rise in restricted shares Share Change Table (Unit: Shares) | | Number Before This Change | Percentage Before This Change (%) | Increase/Decrease in This Change (+, -) Subtotal | Number After This Change | Percentage After This Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 26,769,600 | 0.90 | 2,000,000 | 28,769,600 | 0.96 | | 3. Other Domestic Shares | 26,769,600 | 0.90 | 2,000,000 | 28,769,600 | 0.96 | | Domestic Natural Persons' Shares | 26,769,600 | 0.90 | 2,000,000 | 28,769,600 | 0.96 | | II. Unrestricted Tradable Shares | 2,959,066,667 | 99.10 | ╱ | 2,959,066,667 | 99.04 | | III. Total Shares | 2,985,836,267 | 100.00 | 2,000,000 | 2,987,836,267 | 100.00 | - The Company granted **2 million restricted shares** to **21 incentive recipients** on May 26, 2025, and completed registration and transfer on June 13, 2025[253](index=253&type=chunk) Restricted Share Change Status (Unit: Shares) | Shareholder Name | Restricted Shares at Period-beginning | Restricted Shares Increased During Reporting Period | Restricted Shares at Period-end | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | | Company 2023 Restricted Stock Incentive Plan Reserved Grant Recipients | 26,769,600 | 2,000,000 | 28,769,600 | Restricted stock incentive plan lock-up period requirement | [II. Shareholder Information](index=118&type=section&id=II.%20Shareholder%20Information) As of June 30, 2025, total issued shares were 2,987,836,267 (86.63% A-shares, 13.37% H-shares), with 41,233 ordinary shareholders and CHINALCO Group holding 72.85% - As of June 30, 2025, the Company's total issued shares were **2,987,836,267 shares**[258](index=258&type=chunk) Share Capital Structure as of June 30, 2025 | Share Class | Number of Shares | Percentage of Issued Share Capital (%) | | :--- | :--- | :--- | | A-shares | 2,588,360,267 | 86.63 | | Of which: Unrestricted Tradable Shares | 2,559,590,667 | 85.67 | | Restricted Shares | 28,769,600 | 0.96 | | H-shares | 399,476,000 | 13.37 | | Total | 2,987,836,267 | 100.00 | - As of the end of the reporting period, the total number of ordinary shareholders was **41,233**[260](index=260&type=chunk) Top Ten Shareholders' Shareholding (Excluding Shares Lent Through Securities Lending) (Unit: Shares) | Full Name of Shareholder | Shares Held at Period-end | Percentage (%) | Shareholder Nature | | :--- | :--- | :--- | :--- | | Aluminum Corporation of China Limited | 2,176,758,534 | 72.85 | State-owned Legal Person | | HKSCC Nominees Limited | 399,476,000 | 13.37 | Overseas Legal Person | | Luoyang Nonferrous Metals Processing Design and Research Institute Co., Ltd. | 86,925,466 | 2.91 | State-owned Legal Person | | Aladdin Legend Technology Group Co., Ltd. | 5,600,000 | 0.19 | Other | | Hong Kong Securities Clearing Company Limited | 5,481,889 | 0.18 | Other | - CHINALCO Group, together with its subsidiaries, held a total of **2,283,179,000 shares** in the Company, accounting for **76.42%** of the Company's total share capital[263](index=263&type=chunk) [III. Directors and Senior Management Information](index=124&type=section&id=III.%20Directors%20and%20Senior%20Management%20Information) As of June 30, 2025, the company had 10,613 employees, predominantly engineering technical personnel, with a comprehensive compensation and training system, and some directors/senior management holding restricted shares - As of June 30, 2025, the Company had **10,613 employees** on duty[270](index=270&type=chunk) Employees on Duty by Business Segment (June 30, 2025) | | Number of Employees on Duty | Percentage of Total (%) | | :--- | :--- | :--- | | Management Personnel | 3,219 | 30.33% | | Engineering Technical Personnel | 5,912 | 55.71% | | Production Operators | 1,223 | 11.52% | | Service and Other Personnel | 259 | 2.44% | | Total | 10,613 | 100.00% | - In the first half of 2025, the Company actually paid **RMB 1,044 million** in employee compensation[273](index=273&type=chunk) Directors and Chief Executive Officers' Shareholding (June 30, 2025) | Name | Position | Nature of Interest | Number of A-shares Held in the Company | Percentage of Total Share Capital as of June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | | Li Yihua | Chairman, Executive Director | Beneficial Owner | 267,400 shares | 0.01% | | Liu Jing | Executive Director, General Manager | Beneficial Owner | 267,400 shares | 0.01% | | Liu Dongjun | Executive Director | Beneficial Owner | 200,600 shares | 0.01% | | Tao Fulun | Executive Director | Beneficial Owner | 183,900 shares | 0.01% | [Section VIII Bond-Related Information](index=127&type=section&id=Section%20VIII%20Bond-Related%20Information) [I. Corporate Bonds (Including Enterprise Bonds) and Non-Financial Enterprise Debt Financing Instruments](index=128&type=section&id=I.%20Corporate%20Bonds%20(Including%20Enterprise%20Bonds)%20and%20Non-Financial%20Enterprise%20Debt%20Financing%20Instruments) The company issued 2.8 billion Yuan in perpetual medium-term notes and an additional 2 billion Yuan in August 2025, showing stable liquidity ratios and improved debt coverage Basic Information on Non-Financial Enterprise Debt Financing Instruments (Unit: Thousand Yuan, RMB) | Bond Name | Abbreviation | Code | Issue Date | Interest Commencement Date | Maturity Date | Bond Balance | Interest Rate (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | CHALCO International 2023 First Perpetual MTN | 23CHALCO MTN001 | 102382877 | 2023/10/27 | 2023/10/27 | 2025/10/27 | 1,500,000 | 4.17% | | CHALCO International 2023 Second Perpetual MTN | 23CHALCO MTN002 | 102383165 | 2023/11/24 | 2023/11/24 | 2025/11/24 | 1,300,000 | 3.77% | - The Company issued **2 billion Yuan** of perpetual medium-term notes in the interbank market on August 4, 2025, with a term of 3+N and an interest rate of **2.25%**[281](index=281&type=chunk) Key Accounting Data and Financial Indicators (Unit: Thousand Yuan, RMB) | Key Indicator | End of This Reporting Period | End of Prior Year | Year-on-year Change at Period-end (%) | | :--- | :--- | :--- | :--- | | Current Ratio | 1.32 | 1.30 | 0.02 | | Quick Ratio | 1.21 | 1.21 | 0.00 | | Asset-Liability Ratio (%) | 77.89 | 78.52 | -0.63 | | EBITDA to Total Debt Ratio | 0.02 | 0.01 | 100.00 | | Interest Coverage Ratio | 2.77 | 2.71 | 2.21 | | Cash Interest Coverage Ratio | -1.50 | -12.95 | N/A | | EBITDA Interest Coverage Ratio | 3.69 | 3.15 | 17.14 | | Loan Repayment Rate (%) | 100% | 100% | 0.00 | | Interest Payment Rate (%) | 100% | 100% | 0.00 | [Section IX Financial Report](index=133&type=section&id=Section%20IX%20Financial%20Report) [Review Report](index=134&type=section&id=Review%20Report) Grant Thornton reviewed CHALCO International's H1 2025 unaudited financial statements, concluding they fairly reflect the company's financial position, operating results, and cash flows in all material respects - Grant Thornton (Special General Partnership) reviewed the Company's consolidated and company balance sheets as of June 30, 2025, and other financial statements[288](index=288&type=chunk) - The review results indicated that the financial statements were not prepared in accordance with enterprise accounting standards and did not fairly reflect the Company's financial position, operating results, and cash flows in all material respects[289](index=289&type=chunk) [Consolidated Balance Sheet](index=136&type=section&id=Consolidated%20Balance%20Sheet) This section presents the consolidated balance sheets as of June 30, 2025, and December 31, 2024, detailing the company's assets, liabilities, and shareholders' equity [Company Balance Sheet](index=139&type=section&id=Company%20Balance%20Sheet) This section presents the company balance sheets as of June 30, 2025, and December 31, 2024, reflecting the parent company's assets, liabilities, and shareholders' equity [Consolidated Income Statement](index=142&type=section&id=Consolidated%20Income%20Statement) This section presents the consolidated income statements for H1 2025 and H1 2024, detailing the company's operating revenue, costs, expenses, total profit, and net profit [Company Income Statement](index=144&type=section&id=Company%20Income%20Statement) This section presents the company income statements for H1 2025 and H1 2024, reflecting the parent company's revenue, costs, expenses, and net profit [Consolidated Cash Flow Statement](index=146&type=section&id=Consolidated%20Cash%20Flow%20Statement) This section presents the consolidated cash flow statements for H1 2025 and H1 2024, detailing net cash flows from the company's operating, investing, and financing activities [Company Cash Flow Statement](index=148&type=section&id=Company%20Cash%20Flow%20Statement) This section presents the company cash flow statements for H1 2025 and H1 2024, reflecting net cash flows from the parent company's operating, investing, and financing activities [Consolidated Statement of Changes in Equity](index=150&type=section&id=Consolidated%20Statement%20of%20Changes%20in%20Equity) This section presents the consolidated statements of changes in equity for H1 2025 and H1 2024, detailing changes in share capital, reserves, comprehensive income, and minority interests [Company Statement of Changes in Equity](index=152&type=section&id=Company%20Statement%20of%20Changes%20in%20Equity) This section presents the company statements of changes in equity for H1 2025 and H1 2024, reflecting changes in the parent company's share capital, reserves, and comprehensive income [Notes to Financial Statements](index=154&type=section&id=Notes%20to%20Financial%20Statements) This section provides detailed notes to the financial statements, covering company overview, accounting policies, taxation, financial statement item details, equity in other entities, and other significant matters [I. Company Overview](index=154&type=section&id=I.%20Company%20Overview) CHALCO International, restructured in 2011 and listed on HKEX and SSE, focuses on engineering technology, construction, and equipment manufacturing, with CHINALCO Group as its ultimate controlling party - The Company was listed on the Main Board of the HKEX in **July 2012** (stock code **2068**) and on the Shanghai Stock Exchange on **August 31, 2018** (stock code **601068**)[323](index=323&type=chunk)[324](index=324&type=chunk) - The Company's registered capital changed to **RMB 2,987,836,267 Yuan**, with **Aluminum Corporation of China Limited** as the ultimate controlling party[325](index=325&type=chunk)[328](index=328&type=chunk) - The Company's business scope includes **engineering technology and design consulting, engineering construction and installation, and equipment manufacturing**[327](index=327&type=chunk) [II. Basis of Preparation of Financial Statements](index=156&type=section&id=II.%20Basis%20of%20Preparation%20of%20Financial%20Statements) These financial statements are prepared according to Enterprise Accounting Standards, presented on a going concern basis, with accounting based on the accrual method and historical cost measurement - The financial statements are prepared in accordance with **Enterprise Accounting Standards** and comply with the information disclosure requirements of the China Securities Regulatory Commission[330](index=330&type=chunk) - The financial statements are presented on a **going concern basis**, with accounting based on the accrual method, and, except for certain financial instruments, are measured at historical cost[331](index=331&type=chunk) [III. Significant Accounting Policies and Accounting Estimates](index=156&type=section&id=III.%20Significant%20Accounting%20Policies%20and%20Accounting%20Estimates) This section details the company's accounting policies and estimates, including accounting period, financial instruments, revenue recognition, and share-based payments - The Company's accounting period adopts the **calendar year**, with the reporting period from **January 1, 2025, to June 30, 2025**[333](index=333&type=chunk)[334](index=334&type=chunk) - Financial instruments are classified into three categories: **measured at amortized cost**, **measured at fair value with changes recognized in other comprehensive income**, and **measured at fair value with changes recognized in current profit or loss**[360](index=360&type=chunk) - Revenue recognition principle is to recognize revenue when **performance obligations are fulfilled** and the customer obtains control of the related goods or services[455](index=455&type=chunk) - Revenue from construction contracts is recognized based on **progress of performance**; revenue from design services is recognized over time or upon acceptance based on contract nature; revenue from equipment manufacturing is recognized based on progress of performance or upon completion and delivery based on contract nature[459](index=459&type=chunk)[460](index=460&type=chunk)[461](index=461&type=chunk) - Share-based payments are classified as **equity-settled** and **cash-settled**, measured at the fair value of the equity instruments granted to employees[446](index=446&type=chunk)[449](index=449&type=chunk) [IV. Taxation](index=220&type=section&id=IV.%20Taxation) This section discloses the company's main tax types and rates, including VAT and corporate income tax, with most subsidiaries benefiting from preferential rates or tax incentives Main Tax Types and Rates | Tax Type | Tax Base | Statutory Tax Rate % | | :--- | :--- | :--- | | Value-Added Tax | Taxable Value Added | 3, 5, 6, 9, 13 | | Urban Maintenance and Construction Tax | Calculated based on total VAT actually paid | 1, 5, 7 | | Education Surcharge | Calculated based on total VAT actually paid | 2, 3 | | Corporate Income Tax | Taxable Income | 25 (except for overseas subsidiaries and preferential policies described in Note IV (II)) | - The Company and several subsidiaries (e.g., CHALCO International Engineering Co., Ltd., Shenyang Aluminum & Magnesium Engineering & Research Institute Co., Ltd., Guiyang Aluminum & Magnesium Design and Research Institute Co., Ltd.) apply a **15% preferential corporate income tax rate** for high-tech enterprises[503](index=503&type=chunk)[506](index=506&type=chunk)[507](index=507&type=chunk)[510](index=510&type=chunk)[511](index=511&type=chunk)[512](index=512&type=chunk) - Some subsidiaries apply **small and micro-enterprise tax incentives**, with 25% included in taxable income and a **20% tax rate** for corporate income tax[513](index=513&type=chunk) - The Company has assessed the impact of the OECD "Pillar Two legislative model" and believes it did **not have a significant impact** on the financial position and operating results for January-June 2025[517](index=517&type=chunk) [V. Notes to Consolidated Financial Statement Items](index=229&type=section&id=V.%20Notes%20to%20Consolidated%20Financial%20Statement%20Items) This section provides detailed notes to major consolidated financial statement items, including monetary funds, receivables, contract assets, revenue, costs, and cash flows - As of June 30, 2025, restricted monetary funds totaled **634,151 thousand Yuan**, mainly for letter of guarantee deposits, acceptance bill deposits, and frozen funds[520](index=520&type=chunk) - Accounts receivable period-end balance was **20,037,580 thousand Yuan**, with bad debt provision of **3,860,700 thousand Yuan**, of which **15.21%** was individually assessed for bad debt provision[525](index=525&type=chunk) - Contract assets period-end balance was **8,177,931 thousand Yuan**, with impairment provision of **1,387,602 thousand Yuan**[557](index=557&type=chunk) - Operating revenue was **9,698,350 thousand Yuan**, operating cost was **8,647,193 thousand Yuan**, with principal business revenue accounting for **99.15%**[630](index=630&type=chunk) - Net cash flow from operating activities was **-199,300 thousand Yuan**, a year-on-year decrease in outflow of **1,835,549 thousand Yuan**[655](index=655&type=chunk) [VI. Equity in Other Entities](index=300&type=section&id=VI.%20Equity%20in%20Other%20Entities) This section discloses the company's significant subsidiaries and equity interests in joint ventures/associates, noting two former subsidiaries were deregistered Important Components of Enterprise Group (Partial) | Subsidiary Name | Business Nature | Shareholding Ratio % (Direct) | Method of Acquisition | | :--- | :--- | :--- | :--- | | China Nonferrous Metal Industry Technology Co., Ltd. | Technology Development & Sales | 92.35 | Business combination under common control | | China Nonferrous Metal Industry Sixth Metallurgical Construction Co., Ltd. | Construction Engineering | 100.00 | Business combination under common control | | Changsha Nonferrous Metallurgical Design and Research Institute Co., Ltd. | Survey & Design | 64.90 | Business combination under common control | | Jiu Ye Construction Co., Ltd. | Engineering Construction | 73.17 | Business combination not under common control | | Shenyang Aluminum & Magnesium Engineering & Research Institute Co., Ltd. | Engineering Survey & Design | 60.22 | Investment establishment | Key Financial Information of Important Non-Wholly Owned Subsidiaries (June 30, 2025, Unit: Thousand Yuan, RMB) | Subsidiary Name | Current Assets | Non-current Assets | Total Assets | Current Liabilities | Non-current Liabilities | Total Liabilities | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Changsha Nonferrous Metallurgical Design and Research Institute Co., Ltd. | 3,722,189 | 950,995 | 4,673,184 | 2,144,382 | 135,790 | 2,280,172 | | Shenyang Aluminum & Magnesium Engineering & Research Institute Co., Ltd. | 2,404,576 | 282,484 | 2,687,060 | 1,272,732 | 58,676 | 1,331,408 | | Kunming Institute of Nonferrous Metals Engineering & Research Co., Ltd. | 1,766,033 | 172,372 | 1,938,405 | 790,959 | 76,695 | 867,654 | | Jiu Ye Construction Co., Ltd. | 8,062,420 | 1,239,105 | 9,301,525 | 6,652,918 | 868,746 | 7,521,664 | - During the reporting period, Guangxi Tongrui Investment Construction Co., Ltd. and Henan Sixth Metallurgical Trading Co., Ltd. were **deregistered** and no longer included in the consolidation scope[674](index=674&type=chunk) [VII. Government Grants](index=309&type=section&id=VII.%20Government%20Grants) This section discloses government grants re

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佈之內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公佈全部或任 何部份內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 CHINNEY KIN WING HOLDINGS LIMITED 建業建榮控股有限公 司 * （於百慕達註冊成立之有限公司） （股份代號：1556） 截至二零二五年六月三十日止六個月 中期業績公佈 建業建榮控股有限公司（「本公司」）之董事會（「董事會」）欣然宣佈本公司及其附屬 公司（「本集團」）截至二零二五年六月三十日止六個月之未經審核簡明綜合損益及 其他全面收益表及本集團於二零二五年六月三十日之未經審核簡明綜合財務狀況 表，連同二零二四年之比較數字如下： 簡明綜合損益及其他全面收益表 | | | 截至六月三十日止六個月 | | | --- | --- | --- | --- | | | | 二零二五年 | 二零二四年 | | | | （未經審核） | （未經審核） | | | 附註 | 千港元 | 千港元 | | 收入 | 4 | 1,205,100 | 1,102,053 | | 建造成本 | | ...

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。 彩虹集團新能源股份有限公司 IRICO GROUP NEW ENERGY COMPANY LIMITED* 2025年度中期業績公告 彩 虹 集 團 新 能 源 股 份 有 限 公 司（「本公司」）董 事 會（「董事會」）之 全 體 董 事（「董 事」）謹 此 公 佈 本 公 司 及 其 附 屬 公 司（統 稱「本集團」）於2025年6月30日及截 至 該 日 止 六 個 月（「報告期」）之 未 經 審 核 簡 明 綜 合 中 期 業 績 及 財 務 狀 況 連 同 比 較 數 字 如 下。 – 1 – 合併資產負債表（未經審計） 2025年6月30日 （除 特 別 註 明 外，金 額 單 位 均 為 人 民 幣 元） | 項 目 | | 2025年6月30日 | 2024年12月31日 | | --- | --- | --- | -- ...

[Company Overview](index=3&type=section&id=Company%20Overview) True Partner Capital Holding Limited, established in 2010, is a professional hedge fund manager specializing in global volatility trading across liquid markets - The company was established in **2010** by a team of former market makers, operating as a professional hedge fund management firm[5](index=5&type=chunk) - Specializes in volatility trading in liquid markets, primarily focusing on equity index futures, options, and Exchange Traded Funds (ETFs)[5](index=5&type=chunk) - Employs a **3-T model** combining advanced technology with an experienced team to implement professional trading strategies[5](index=5&type=chunk) - Operates globally with offices in Asia, the US, and Europe, enabling **24/7 trading**[5](index=5&type=chunk) [Company Information](index=5&type=section&id=Company%20Information) This section details True Partner Capital Holding Limited's board members, committee structures, key contact information, stock code, and website - Board members include Executive Directors Ralph Paul Johan van Put (Chairman and CEO), Godefriedus Jelte Heijboer, Tobias Benjamin Hekster, Roy van Bakel, Non-Executive Director Mr. Chan Hang Fai, and Independent Non-Executive Directors Jeronimus Mattheus Tielman, Bai Wanting, and Wei Mingde[7](index=7&type=chunk) - Ms. Bai Wanting chairs the Audit Committee, Remuneration Committee, and Nomination Committee[7](index=7&type=chunk) - The Company Secretary is Siu Yuet Chau, and authorized representatives are Ralph Paul Johan van Put and Godefriedus Jelte Heijboer[7](index=7&type=chunk) - The company's stock code is **8657**, and its website is **www.truepartnercapital.com**[9](index=9&type=chunk) [Results](index=6&type=section&id=Results) This section presents the unaudited condensed consolidated results for the six months ended June 30, 2025, covering financial performance, market conditions, AUM, and strategic initiatives [Selected Financial Highlights](index=7&type=section&id=Selected%20Financial%20Highlights) Total revenue decreased by 5% to HK$4,784 thousand, while loss attributable to owners significantly narrowed by 41% to HK$15,967 thousand Selected Financial Highlights (Six Months Ended June 30) | Metric | H1 2025 (HK$ '000) | H1 2024 (HK$ '000) | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | 4,784 | 5,026 | (5)% | | Revenue from Managed Funds | 3,549 | 3,534 | 0% | | Consulting Service Income | 1,310 | 840 | 56% | | Net Trading Gain/(Loss) | (75) | 652 | (112)% | | Gross Profit | 4,268 | 4,547 | (6)% | | Operating Loss | (15,923) | (26,611) | (40)% | | Loss Attributable to Owners of the Company | (15,967) | (26,871) | (41)% | | Total Comprehensive Loss | (14,393) | (27,234) | (47)% | | Loss Per Share (HK cents) — Basic and Diluted | (3.86) | (6.72) | (43)% | [Selected Business and Financial Highlights](index=8&type=section&id=Selected%20Business%20and%20Financial%20Highlights) The Group achieved a **6.3% positive return** from its volatility strategy amid rising markets and increased volatility, while AUM slightly decreased and G&A expenses were cut by **40%** - Global equities rebounded in H1 2025, with the MSCI World Index rising by **6.8%** and the Bloomberg Global Aggregate Government Bond Index increasing by **2.3%**[15](index=15&type=chunk) - Implied volatility indicators fluctuated, creating trading opportunities, particularly with the relative value strategy rising **5.3%** in April; the VIX index slightly increased from **16.4** at end-2024 to **16.7** by June 30, 2025[15](index=15&type=chunk) - Realized volatility increased, creating a more favorable trading environment, with MSCI World Index realized volatility at **18.8%** and S&P 500 Index at **24.6%**[15](index=15&type=chunk) - The Group's relative value volatility strategy recorded a **6.3% positive return** in H1 2025, maintaining a negative correlation with the MSCI World Index[16](index=16&type=chunk) - The strategy achieved a **12.0% return** for the twelve months ended June 30, 2025, outperforming several hedge fund indices[19](index=19&type=chunk) - True Partner Fund won the Hedge Fund Journal's "Best Performing Fund for 2024 and Two Years" award and was nominated for the "With Intelligence HFM APAC Performance Awards 2025"[19](index=19&type=chunk) Assets Under Management (US$ million) | Date | AUM (US$ million) | | :--- | :--- | | 2025年6月30日 | 474 | | 2024年12月31日 | 501 | | 2024年6月30日 | 512 | - The decrease in AUM primarily reflects specific client changes and product portfolio adjustments[21](index=21&type=chunk) - The Group launched two new investment strategies implemented through managed accounts, with a combined AUM of **US$77 million**[21](index=21&type=chunk) Key Financial Data (HK$ '000) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Revenue | 4,800 | 5,000 | | General and Administrative Expenses | 20,900 | 31,700 | | Loss Before Income Tax | (16,000) | (26,900) | | Loss Attributable to Owners of the Company | (16,000) | (26,900) | - Revenue decreased mainly due to reduced AUM and product portfolio changes, though performance fee income slightly increased[21](index=21&type=chunk) - General and administrative expenses decreased by **40%**, primarily due to reduced staff costs, professional, and administrative expenses, as the Group actively reviewed its operations, implemented layoffs, and improved efficiency[21](index=21&type=chunk) - The Group reduced its headcount by **36%** since December 31, 2023, and implemented a cost reduction plan[21](index=21&type=chunk) - The expected timeline for utilizing the remaining unutilized net IPO proceeds has been extended to **December 31, 2025**[21](index=21&type=chunk) [Management Discussion and Analysis](index=12&type=section&id=Management%20Discussion%20and%20Analysis) This section provides an in-depth analysis of the Group's H1 2025 operations, market conditions, investment performance, financial health, AUM, business development, and future outlook [Business Review](index=12&type=section&id=Business%20Review) The Group is a Hong Kong, Europe, and US-based fund manager specializing in discretionary global relative value volatility strategies, with **US$474 million** AUM as of June 30, 2025 - The Group is a fund management firm based in Hong Kong, Europe, and the US, focusing on volatility trading in liquid markets[28](index=28&type=chunk) - Primarily manages funds and managed accounts on a discretionary basis, utilizing global relative value volatility strategies and other volatility strategies[28](index=28&type=chunk) - Trading decisions are supported by an in-house proprietary trading platform with embedded option pricing and volatility surface models for real-time pricing, quantitative comparison, risk management, and rapid trade execution[28](index=28&type=chunk) Assets Under Management Composition (June 30, 2025) | Category | Amount (US$ million) | | :--- | :--- | | Total AUM | 474 | | Hybrid Flagship Fund True Partner Fund | 46 | | Managed Accounts or Similar Arrangements | 428 | - Investors are primarily professional investors, including collective investment schemes, family offices, pension funds, endowments/foundations, financial institutions, and high-net-worth individuals[29](index=29&type=chunk) [Market Environment](index=12&type=section&id=Market%20Environment) Global equities rebounded in H1 2025, with increased realized volatility and fluctuating implied volatility, creating favorable conditions for volatility trading - The MSCI World Total Return USD Hedged Index rose by **6.8%** during the reporting period, with a strong rebound of **9.6%** in Q2[30](index=30&type=chunk) - The Bloomberg Global Aggregate Government Bond USD Hedged Index increased by **2.3%** during the reporting period[30](index=30&type=chunk) - The VIX index closed at **16.4** at the end of 2024, with a slight change to **16.7** as of June 30, 2025[30](index=30&type=chunk) - The Euro Stoxx 50 Index and VSTOXX rose from **15.4** to **17.7**, while Japan's Nikkei Index and Korea's Kospi 200 Index increased from **20.4** to **24.6** and **20.5** to **24.0**, respectively[30](index=30&type=chunk) - Realized volatility increased in H1 2025, with most indices near or above their long-term averages, creating a more favorable trading environment[31](index=31&type=chunk) - The MSCI World Index's realized volatility was **18.8%**, and the S&P 500 Index's was **24.6%**[31](index=31&type=chunk) [Investment Performance](index=14&type=section&id=Investment%20Performance) The Group's relative value volatility strategy delivered a **6.3% positive return** in H1 2025 and **12.0%** over twelve months, earning industry awards and outperforming hedge fund indices - The Group's relative value volatility strategy recorded a **6.3% positive return** in H1 2025, maintaining a negative correlation with the MSCI World Index[32](index=32&type=chunk) - For the twelve months ended June 30, 2025, the Group's relative value volatility strategy achieved a **12.0% return**[33](index=33&type=chunk) - The strategy outperformed broad hedge fund indices and several volatility hedge fund indices in Q2 2025, H1 2025, and the twelve months ended June 30, 2025[33](index=33&type=chunk) - True Partner Fund received the Hedge Fund Journal's "Best Performing Fund for 2024 and Two Years" award and was nominated for the "With Intelligence HFM APAC Performance Awards 2025" in the relative value category[33](index=33&type=chunk)[34](index=34&type=chunk) - Since its inception in July 2011 to June 30, 2025, True Partner Fund's returns and alpha values have exceeded both broad hedge fund indices and peer volatility hedge fund indices[37](index=37&type=chunk) [Financial Results](index=15&type=section&id=Financial%20Results) Fund management revenue remained flat at **HK$3.5 million**, while general and administrative expenses significantly decreased by **34%** to **HK$20.9 million**, narrowing the loss before tax to **HK$16.0 million** Fund Management Revenue (HK$ '000) | Category | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Fund Management Revenue | 3,500 | 3,500 | - Revenue per unit of AUM varies due to different mandate natures, sizes, and fee structures, with an overall decrease in AUM[38](index=38&type=chunk) - Performance fee income, though positive, remains below long-term targets, but recent performance improvements have lowered the threshold for future performance fees[38](index=38&type=chunk) - Consulting business revenue includes providing expert witness services to market regulators[38](index=38&type=chunk) - Derivatives trading business revenue is recognized under "net trading gains/(losses)" and aims to support new strategy development for the fund management business[39](index=39&type=chunk) General and Administrative Expenses (HK$ '000) | Period | Amount (HK$ '000) | | :--- | :--- | | H1 2025 | 20,900 | | H1 2024 | 31,700 | - The reduction in general and administrative expenses primarily stems from decreased staff costs, professional, and administrative expenses, as the Group actively reviewed its operations, implemented layoffs, and improved efficiency[41](index=41&type=chunk) - The Group reduced its headcount by **36%** since December 31, 2023, and implemented a cost reduction plan[42](index=42&type=chunk) - The expected timeline for utilizing the remaining unutilized net IPO proceeds has been extended to **December 31, 2025**[42](index=42&type=chunk) Loss Situation (HK$ '000) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Loss Before Income Tax | (16,000) | (26,800) | | Loss Attributable to Owners of the Company (After Tax) | (16,000) | (26,900) | | Total Comprehensive Loss Attributable to Owners of the Company | (14,400) | (27,200) | [Assets Under Management](index=17&type=section&id=Assets%20Under%20Management) As of June 30, 2025, the Group's AUM decreased to **US$474 million**, primarily due to investor-driven portfolio adjustments Assets Under Management (US$ million) | Date | Total AUM | | :--- | :--- | | 2025年6月30日 | 474 | | 2024年12月31日 | 501 | | 2024年6月30日 | 512 | - The decrease in AUM was primarily due to portfolio adjustments by investors in some of the Group's products, driven by changes in their own asset management[43](index=43&type=chunk) Assets Under Management by Category (US$ million) | Category | June 30, 2025 | December 31, 2024 | June 30, 2024 | | :--- | :--- | :--- | :--- | | Fund Vehicles | 46 | 43 | 87 | | Managed Accounts | 428 | 459 | 426 | [Business Development Activities](index=17&type=section&id=Business%20Development%20Activities) The Group expanded digital engagement, maintained investor relations, launched two new volatility strategies, and is exploring a China-focused strategy for product diversification - The Group expanded digital content offerings and leveraged technology for global investor engagement, including webinars and one-on-one online meetings[44](index=44&type=chunk) - Published outlook reports and received positive media coverage, with Bloomberg featuring True Partner Fund's strong performance in April 2025[44](index=44&type=chunk) - Utilizes industry-leading CRM software and actively engages with capital introduction partners[45](index=45&type=chunk) - Senior personnel participated in industry events through international travel, such as the Global Volatility Summit in Tokyo and volatility investment events in London, to build brand presence[45](index=45&type=chunk)[46](index=46&type=chunk) - Continued engagement with Dutch pension funds on potential opportunities and published thought leadership articles[46](index=46&type=chunk) - Launched a new volatility investment strategy with an institutional investor in H2 2024 and a second new strategy with another institutional investor in H1 2025[46](index=46&type=chunk)[47](index=47&type=chunk) - New strategies are expected to drive further AUM growth and have the potential to be launched as hybrid funds[47](index=47&type=chunk) - A new China-focused strategy is under research, with potential launch in H1 2025 or H1 2026[47](index=47&type=chunk) [Technological Developments](index=19&type=section&id=Technological%20Developments) The Group optimized global data center infrastructure, upgraded IT solutions, enhanced core proprietary systems, and facilitated the Hong Kong office relocation in H1 2025 - Optimized global data center deployment and connectivity to enhance cost-efficiency and maintain redundancy and stability[48](index=48&type=chunk) - Implemented multiple upgrades to third-party hardware, software, and network solutions, significantly enhancing cybersecurity resilience[48](index=48&type=chunk) - The development team focused on maintaining and incrementally improving key elements of core proprietary systems, including enhancements to front-end applications and back-testing environments[48](index=48&type=chunk) - The IT team played a crucial role in the smooth relocation of the Hong Kong office, leveraging robust network infrastructure and self-developed advanced systems[48](index=48&type=chunk) [Market Outlook](index=19&type=section&id=Market%20Outlook) The Group's market outlook highlights near-peak US equity valuations, policy-driven volatility, AI investment impacts, narrowing market breadth, and opportunities in China, emphasizing tail risk protection and relative value volatility strategies [Macroeconomic Observations](index=20&type=section&id=Macroeconomic%20Observations) The S&P 500 saw strong returns in 2024, but H1 2025 brought market uncertainty from proposed tariffs and labor policies, which later subsided - The S&P 500 Index delivered a total return exceeding **25%** for the second consecutive year in 2024, with the market pricing in potential market-friendly policies from the Trump administration[49](index=49&type=chunk) - In H1 2025, market uncertainty arose from proposed tariffs and labor repatriation plans, peaking in early April[49](index=49&type=chunk) - The Trump administration subsequently calmed market fears by delaying implementation and reducing tariff magnitudes, coining the term "TACO trade"[49](index=49&type=chunk) [Valuation](index=20&type=section&id=Valuation) US equity valuations are near historical peaks, driven by optimism in "Magnificent Seven" and AI, despite narrowing market breadth and underperforming small-cap stocks - US equities' cyclically adjusted price-to-earnings (CAPE) ratio is near **41x**, in the **98th percentile** of observations since 1900, approaching levels seen at the end of the dot-com bubble[50](index=50&type=chunk) - Valuations calculated by forward P/E ratios are also near historical highs, moving in tandem with backward-looking cyclically adjusted total return P/E ratios[51](index=51&type=chunk) - Bullish expectations for future earnings growth are primarily driven by the "Magnificent Seven" stocks and optimism surrounding AI, leading to significant increases in AI-related capital expenditures[53](index=53&type=chunk) - Chipmaker Nvidia's market capitalization far exceeds **US$4 trillion**, and Chinese tech stocks have also seen a recovery[53](index=53&type=chunk) - US market breadth narrowed in H1 2025, with the top **10 stocks** in the S&P 500 accounting for over **one-third** of its market capitalization[54](index=54&type=chunk) - Small and mid-cap companies underperformed large-cap and tech peers, with the S&P 400 and S&P 600 indices still recording declines year-to-date[54](index=54&type=chunk) - Analysts' earnings growth expectations for the S&P 500 in 2026 exceed **13%**, significantly higher than the annualized average earnings growth between 2014 and 2023[56](index=56&type=chunk)[59](index=59&type=chunk) [Trump 2.0: Make America Great Again?](index=23&type=section&id=Trump%202.0%3A%20Make%20America%20Great%20Again%3F) Trump's "Big and Beautiful Bill" could add **US$3.4 trillion** to the deficit, with a Trump 2.0 administration potentially driving ideologically-led policies like tariffs and deportations, raising inflation concerns - The Trump administration's "Big and Beautiful Bill" is projected to add **US$3.4 trillion** to the federal deficit over the next decade, increasing to **US$5 trillion** if temporary tax cuts are extended[60](index=60&type=chunk) - A Trump 2.0 administration would act swiftly, appointing individuals loyal to him and implementing broad changes via executive orders[60](index=60&type=chunk)[61](index=61&type=chunk) - Policies may be more ideologically driven, with less internal opposition to change, and the market potentially serving as a practical constraint on unfavorable policies[61](index=61&type=chunk) - Key elements of the Trump agenda, particularly imposing tariffs (raising domestic prices) and deporting undocumented immigrants (reducing labor supply), could lead to inflation[61](index=61&type=chunk) - Breakeven inflation rates have risen significantly, and the University of Michigan Consumer Sentiment Index notably declined from **74.0** at end-2024 to **61.7** in July 2025[62](index=62&type=chunk) [What Does This Mean for Equity Markets?](index=24&type=section&id=What%20Does%20This%20Mean%20for%20Equity%20Markets%3F) With **91%** of fund managers deeming US equities overvalued, investors may diversify into non-US markets like Europe and China, where Chinese equities offer strong upside potential amid stimulus - **91%** of fund managers believe US equities are overvalued, the highest level since April 2001, with the most crowded trade being long "Magnificent Seven" stocks[63](index=63&type=chunk) - Investors may diversify funds into other equity markets, especially considering US confrontational trade policies[63](index=63&type=chunk) - The US accounts for **65%** of the MSCI All Country World Index (**75%** of the MSCI World Index), significantly higher than **47%** in 2012[63](index=63&type=chunk) - Non-US markets, including Europe and China, have performed well since early 2025[63](index=63&type=chunk) - Chinese equities trade at lower valuations than other major markets, with authorities implementing coordinated fiscal and monetary stimulus measures[67](index=67&type=chunk) - As of end-June 2025, the MSCI China Index's expected earnings yield was approximately **9%**, significantly higher than the **1.65%** yield on RMB-denominated 10-year bonds[67](index=67&type=chunk) [How Are Volatility Markets Pricing Risk?](index=25&type=section&id=How%20Are%20Volatility%20Markets%20Pricing%20Risk%3F) Volatility markets are not pricing in increased risk despite rising downside risks, with 1-month at-the-money volatility below long-term averages, but increased realized volatility offers hedging opportunities - As of August 2025, the 1-month at-the-money volatility for almost all indices traded by the Group was below long-term averages[68](index=68&type=chunk)[71](index=71&type=chunk) - Realized volatility in H1 2025 significantly increased compared to previous years, potentially offering an interesting entry point for hedging[68](index=68&type=chunk) [What Are the Potential Solutions for Investors?](index=26&type=section&id=What%20Are%20the%20Potential%20Solutions%20for%20Investors%3F) In challenging markets, tail risk protection offers strong returns during downturns, while the Group's relative value volatility strategy provides diversification and absolute returns, performing best during rising volatility - Investors require portfolios adaptable to changing market environments, where volatility strategies can add value[72](index=72&type=chunk) - Tail risk protection aims to provide strong returns during significant market downturns, allowing investors to take on more risk elsewhere in their portfolios[72](index=72&type=chunk) - The Group's relative value volatility strategy acts as a crucial diversifier, delivering attractive absolute returns, and performing best during periods of rising volatility and disruptive shocks[72](index=72&type=chunk) - This strategy exhibits a negative correlation with equities over the long term and possesses the ability to monetize during shocks[72](index=72&type=chunk) [Use of IPO Proceeds](index=27&type=section&id=Use%20of%20IPO%20Proceeds) The Company raised **HK$104 million** from its 2020 IPO and an additional **HK$7.3 million** in 2024, extending the utilization timeline for remaining proceeds to December 31, 2025, due to market conditions - The Company listed on **October 16, 2020**, raising net proceeds of approximately **HK$104 million** from its share offer[74](index=74&type=chunk) - On **December 27, 2024**, the company entered into a subscription agreement with True Partner International Limited, issuing **19,500,000 new shares** at **HK$0.400 per share**, raising net proceeds of approximately **HK$7.3 million**[75](index=75&type=chunk) - The net proceeds from the subscription were primarily used to increase the Group's general working capital, including salaries, professional fees, office administrative expenses, and other general expenses for maintaining existing operations[76](index=76&type=chunk) Utilization of IPO Net Proceeds (As of June 30, 2025) | Item | Actual Net IPO Proceeds (HK$ '000) | Amount Utilized (HK$ '000) | Balance as of June 30, 2025 (HK$ '000) | Expected Timeline for Utilizing Remaining Unutilized Net Proceeds | | :--- | :--- | :--- | :--- | :--- | | Business Expansion: Hong Kong | 26,403 | 6,297 | 20,106 | Before December 31, 2025 | | Business Expansion: Amsterdam, Netherlands | 20,610 | 17,009 | 3,601 | Before December 31, 2025 | | Business Expansion: London, UK | 10,711 | 6,663 | 4,048 | Before December 31, 2025 | | Business Expansion: Chicago, US | 8,216 | 1,373 | 6,843 | Before December 31, 2025 | | Business Expansion by Obtaining Investment Firm License from AFM | 5,403 | 1,958 | 3,445 | Before December 31, 2025 | | Enhancement of IT Systems | 22,302 | 16,083 | 6,219 | Before December 31, 2025 | | Sales and Marketing | 2,745 | 2,745 | – | Before December 31, 2025 | | Investment in Funds Managed by the Group | 7,610 | – | 7,610 | Before December 31, 2025 | | **Net Proceeds from Subscription** | | | | | | Strengthening General Working Capital: Salaries | 4,234 | 2,458 | 1,776 | Before December 31, 2025 | | Strengthening General Working Capital: Professional Fees | 657 | 412 | 245 | Before December 31, 2025 | | Strengthening General Working Capital: Office Administrative Expenses | 1,168 | 254 | 914 | Before December 31, 2025 | | Strengthening General Working Capital: Other General Expenses for Maintaining Existing Business | 1,241 | 344 | 897 | Before December 31, 2025 | | **Total** | **111,300** | **55,596** | **55,704** | | - The expected timeline for utilizing the remaining unutilized net IPO proceeds has been extended from **June 30, 2023**, to **December 31, 2025**, primarily due to recruitment delays and unfavorable market conditions[77](index=77&type=chunk)[79](index=79&type=chunk) - The planned utilization of proceeds for sales and marketing activities was fully utilized by **December 31, 2021**[79](index=79&type=chunk) - The plan to invest in funds managed by the Group is ongoing and is intended to be launched when a more favorable market sentiment emerges[80](index=80&type=chunk) - The Board believes the Group's development direction remains unchanged and will continue to monitor the situation[81](index=81&type=chunk) [Financial Review](index=30&type=section&id=Financial%20Review) This section reviews H1 2025 financial performance, covering revenue, gross profit, expenses, risk factors, and liquidity, noting slight revenue decline but significant expense reduction [Revenue](index=30&type=section&id=Revenue) Revenue for the period was **HK$4.8 million**, a **4% decrease** from 2024, mainly due to product structure changes and AUM fluctuations, despite a slight increase in performance fees Revenue (HK$ '000) | Period | Amount (HK$ '000) | | :--- | :--- | | H1 2025 | 4,800 | | H1 2024 | 5,000 | - Revenue decreased by approximately **4%**, primarily due to a shift in product structure leading to reduced revenue from funds and managed accounts[82](index=82&type=chunk) - Changes in AUM primarily reflect specific changes from certain clients and the impact of a challenging overall market environment[82](index=82&type=chunk) - Performance fee income slightly increased compared to the same period in 2024, though it remains below the Group's long-term expectations[82](index=82&type=chunk) [Gross Profit and Gross Profit Margin](index=30&type=section&id=Gross%20Profit%20and%20Gross%20Profit%20Margin) Gross profit for the period was **HK$4.3 million**, a **4% decrease** from 2024, primarily due to a reduction in average revenue per unit of AUM Gross Profit (HK$ '000) | Period | Amount (HK$ '000) | | :--- | :--- | | H1 2025 | 4,300 | | H1 2024 | 4,500 | - Gross profit decreased by **4%**, primarily due to a reduction in average revenue per unit of AUM during the reporting period[83](index=83&type=chunk)[84](index=84&type=chunk) [General and Administrative Expenses](index=30&type=section&id=General%20and%20Administrative%20Expenses) General and administrative expenses decreased by **HK$10.8 million**, or approximately **34%**, to **HK$20.9 million**, driven by staff cost reductions and efficiency adjustments General and Administrative Expenses (HK$ '000) | Period | Amount (HK$ '000) | | :--- | :--- | | H1 2025 | 20,900 | | H1 2024 | 31,700 | - Expenses decreased by approximately **34%**, primarily due to reduced staff costs, professional, and administrative expenses, as the Group implemented layoffs and efficiency adjustments[85](index=85&type=chunk) [Share of Results of Associates](index=31&type=section&id=Share%20of%20Results%20of%20Associates) The Group's share of results of associates was **HK$0** due to the disposal of its entire interest in Zhejiang Honglanmu Investment Management Co., Ltd. in October 2024 - Share of results of associates was **HK$0** in H1 2025[86](index=86&type=chunk) - This was due to the Group's disposal of its entire interest in Zhejiang Honglanmu Investment Management Co., Ltd. to a third party in **October 2024**, resulting in a recognized loss of **HK$208,000** in 2024[86](index=86&type=chunk) [Key Risks and Uncertainties Faced by the Group](index=31&type=section&id=Key%20Risks%20and%20Uncertainties%20Faced%20by%20the%20Group) The Group manages foreign exchange and credit risks, maintaining stable liquidity with a **10.6x current ratio** and no corporate bank borrowings, while monitoring currency fluctuations [Foreign Exchange Risk](index=31&type=section&id=Foreign%20Exchange%20Risk) The Group's financial items are denominated in multiple currencies, with limited USD-HKD impact, insignificant EUR, SGD, GBP effects, and minor RMB currency risk from derivatives, with no current hedging policy - The Group's revenue, cost of sales, administrative expenses, investments, and borrowings are primarily denominated in HKD, USD, EUR, SGD, RMB, and GBP[88](index=88&type=chunk) - Fluctuations in the USD-HKD exchange rate have limited impact due to Hong Kong's linked exchange rate system[88](index=88&type=chunk) - RMB currency risk arises from deposits in broker RMB accounts related to RMB-settled derivatives transactions, with insignificant fluctuation amounts[88](index=88&type=chunk) - The Group currently has no foreign exchange hedging policy, but management will continue to monitor foreign exchange risks and consider hedging when necessary[88](index=88&type=chunk)[89](index=89&type=chunk) [Credit Risk](index=32&type=section&id=Credit%20Risk) The Group's maximum credit risk is from recognized financial assets' carrying amounts, managed through close monitoring, credit approval, and debt collection procedures - The Group's maximum credit risk from financial losses due to counterparty non-performance arises from the carrying amounts of recognized financial assets[90](index=90&type=chunk) - Directors closely monitor the overall credit risk level, with management responsible for determining credit approval and monitoring debt collection procedures[90](index=90&type=chunk) [Liquidity, Current Ratio and Capital Structure](index=32&type=section&id=Liquidity%2C%20Current%20Ratio%20and%20Capital%20Structure) The Group's main revenue is fund management fees, maintaining strong liquidity with a **HK$16.5 million** net cash balance, **HK$12.8 million** in fixed deposits, and a **10.6x current ratio** - The Group's primary revenue source is fund management fees, with other income sources including bank deposit interest income[91](index=91&type=chunk) Liquidity Position (June 30, 2025) | Metric | Amount (HK$ million) | | :--- | :--- | | Net Cash Balance | 16.5 | | Fixed Bank Deposits | 12.8 | | Current Ratio | 10.6倍 | - The Group has no corporate bank borrowings, with net cash exceeding net debt, thus no debt-to-equity ratio is presented[91](index=91&type=chunk) Capital Structure (June 30, 2025) | Metric | Amount | | :--- | :--- | | Shareholders' Equity | 38.7 million HK$ | | Total Number of Issued Shares | 419,500,000 shares | [Pledge of Assets](index=33&type=section&id=Pledge%20of%20Assets) As of June 30, 2025, the Group had no assets pledged as collateral for overdrafts or other loan financing - As of **June 30, 2025**, the Group had not pledged any assets as collateral for overdrafts or other loan financing[93](index=93&type=chunk) [Segment Information](index=33&type=section&id=Segment%20Information) The Group's segment information analysis is detailed in Note 3 to the unaudited condensed consolidated financial statements - The analysis of the Group's segment information is presented in Note 3 to the unaudited condensed consolidated financial statements[94](index=94&type=chunk) [Future Plans for Material Investments or Capital Assets](index=33&type=section&id=Future%20Plans%20for%20Material%20Investments%20or%20Capital%20Assets) As of June 30, 2025, the Group had no specific plans for material investments or capital assets - As of **June 30, 2025**, the Group had no specific plans for material investments or capital assets[95](index=95&type=chunk) [Contingent Liabilities](index=33&type=section&id=Contingent%20Liabilities) As of June 30, 2025, the Group had no significant contingent liabilities or guarantees - As of **June 30, 2025**, the Group had no significant contingent liabilities or guarantees[96](index=96&type=chunk) [Donations for Charitable or Other Purposes](index=33&type=section&id=Donations%20for%20Charitable%20or%20Other%20Purposes) The Group made **HK$98,000** in charitable donations during the reporting period, consistent with the prior year Charitable Donations (HK$) | Period | Amount (HK$) | | :--- | :--- | | H1 2025 | 98,000 | | H1 2024 | 98,000 | [Interim Dividend](index=33&type=section&id=Interim%20Dividend) The Board does not recommend the payment of an interim dividend for the reporting period - The Board does not recommend the payment of an interim dividend for the reporting period[98](index=98&type=chunk) [Human Resources Management](index=33&type=section&id=Human%20Resources%20Management) As of June 30, 2025, the Group employed **16 staff**, a decrease from **20** in 2024, with remuneration based on performance and a share option scheme in place Number of Employees | Date | Number of Employees | | :--- | :--- | | 2025年6月30日 | 16 | | 2024年6月30日 | 20 | - Employee remuneration is determined with reference to individual qualifications and performance[99](index=99&type=chunk) - The Group ensures all employees are provided with adequate training and continuous professional opportunities[99](index=99&type=chunk) - The Group has adopted a share option scheme to reward individual employees for their contributions to the Group[99](index=99&type=chunk) [Other Information](index=34&type=section&id=Other%20Information) This section covers directors' and major shareholders' interests, share option scheme status, non-competing interests, share capital changes, corporate governance compliance, directors' securities dealings, listed securities transactions, director information changes, and audit committee review [Interests and Short Positions of Directors and Chief Executives in Shares, Underlying Shares or Debentures of the Company and its Associated Corporations](index=34&type=section&id=Interests%20and%20Short%20Positions%20of%20Directors%20and%20Chief%20Executives%20in%20Shares%2C%20Underlying%20Shares%20or%20Debentures%20of%20the%20Company%20and%20its%20Associated%20Corporations) As of June 30, 2025, directors and chief executives held long positions in the Company's shares, with notable interests including Tobias Benjamin Hekster (**14.08%**) and Mr. Chan Hang Fai (**23.02%**) Long Positions of Directors/Chief Executives in Shares (June 30, 2025) | Name of Director/Chief Executive | Capacity/Nature of Interest | Number of Ordinary Shares Held | Approximate Percentage of Interest | | :--- | :--- | :--- | :--- | | Tobias Benjamin Hekster | Beneficial Owner | 59,049,018 | 14.08% | | Godefriedus Jelte Heijboer | Beneficial Owner | 56,055,644 | 13.36% | | Ralph Paul Johan van Put | Interest in Controlled Corporation | 58,337,399 | 13.91% | | Roy van Bakel | Beneficial Owner | 27,686,280 | 6.60% | | 陳恒輝 | Interest in Controlled Corporation and Beneficial Owner | 96,582,908 | 23.02% | - Save as disclosed above, none of the Directors or chief executives of the Company had any other interests or short positions in the shares, underlying shares, and debentures of the Company or any of its associated corporations that were required to be disclosed[103](index=103&type=chunk) [Interests and Short Positions of Substantial Shareholders in Shares, Underlying Shares or Debentures of the Company](index=35&type=section&id=Interests%20and%20Short%20Positions%20of%20Substantial%20Shareholders%20in%20Shares%2C%20Underlying%20Shares%20or%20Debentures%20of%20the%20Company) As of June 30, 2025, substantial shareholders, including True Partner International Limited (**19.51%**) and various controlled entities, held significant interests in the Company's shares Long Positions of Substantial Shareholders in Shares (June 30, 2025) | Name of Shareholder/Entity | Capacity/Nature of Interest | Number of Ordinary Shares Held | Approximate Percentage of Interest | | :--- | :--- | :--- | :--- | | Franca Kurpershoek-Hekster | Spouse's Interest | 59,049,018 | 14.08% | | Wong Rosa Maria | Spouse's Interest | 56,055,644 | 13.36% | | True Partner Participation Limited | Beneficial Owner | 58,337,399 | 13.91% | | 龔芸靚 | Spouse's Interest | 58,337,399 | 13.91% | | True Partner International Limited | Beneficial Owner | 81,836,908 | 19.51% | | DSS Financial Management, Inc. | Interest in Controlled Corporation | 81,836,908 | 19.51% | | DSS Securities, Inc. | Interest in Controlled Corporation | 81,836,908 | 19.51% | | DSS, Inc. | Interest in Controlled Corporation | 81,836,908 | 19.51% | | 陳江玉嬌 | Spouse's Interest | 96,582,908 | 23.02% | | Edo Bordoni | Beneficial Owner | 29,839,153 | 7.11% | | Anne Joy Bordoni | Spouse's Interest | 29,839,153 | 7.11% | | Maria Victoria Diaz Basilio | Spouse's Interest | 27,686,280 | 6.60% | | Nardinc Beheer B.V. | Beneficial Owner | 36,200,000 | 8.63% | | SomethingEls B.V. | Interest in Controlled Corporation | 36,200,000 | 8.63% | | ERMA B.V. | Interest in Controlled Corporation | 36,200,000 | 8.63% | | Dasym Managed Accounts B.V. | Investment Manager | 36,200,000 | 8.63% | | F.J. Botman Holding B.V. | Interest in Controlled Corporation | 36,200,000 | 8.63% | | Franciscus Johannes Botman | Interest in Controlled Corporation | 36,200,000 | 8.63% | - Save as disclosed above, the Directors are not aware of any other persons/entities who had interests or short positions in the shares or underlying shares of the Company that were required to be disclosed[107](index=107&type=chunk) [Share Option Scheme](index=38&type=section&id=Share%20Option%20Scheme) The Company adopted a share option scheme on **September 22, 2020**, compliant with GEM Listing Rules, but no options have been granted to date - The Company adopted and approved a share option scheme on **September 22, 2020**, with terms compliant with Chapter 23 of the GEM Listing Rules[109](index=109&type=chunk) - No share options have been granted under the share option scheme since its adoption up to the date of this report[109](index=109&type=chunk) [Interests in Competing Business](index=38&type=section&id=Interests%20in%20Competing%20Business) No directors, substantial shareholders, or their associates held interests in any competing business or had conflicts of interest with the Group as of June 30, 2025 - For the six months ended **June 30, 2025**, and up to the date of this report, none of the Company's directors or substantial shareholders or their respective close associates had any interest in any business that directly or indirectly competes with the Group's business[110](index=110&type=chunk) - Nor were they aware of any other conflicts of interest that such persons had or might have with the Group[110](index=110&type=chunk) [Changes in Share Capital](index=38&type=section&id=Changes%20in%20Share%20Capital) On **February 24, 2025**, the Company issued **19,500,000 new shares** to True Partner International Limited, increasing the issued share capital to **419,500,000 shares** - On **February 24, 2025**, the Company allotted and issued **19,500,000 shares** to True Partner International Limited[111](index=111&type=chunk) Changes in Share Capital | Metric | Quantity | | :--- | :--- | | Number of Subscription Shares | 19,500,000 shares | | % of Issued Share Capital Immediately Before Completion | 約4.88% | | % of Enlarged Issued Share Capital | 約4.65% | | Issued Share Capital Immediately Before Completion | 400,000,000 shares | | Issued Share Capital Immediately After Completion | 419,500,000 shares | [Corporate Governance Code](index=38&type=section&id=Corporate%20Governance%20Code) The Group adheres to the GEM Listing Rules' Corporate Governance Code, with a deviation in combining Chairman and CEO roles, which the Board believes provides strong leadership and is under review - The Group has adopted the principles and code provisions of the Corporate Governance Code in Appendix C1 of the GEM Listing Rules[112](index=112&type=chunk) - The Group has a deviation from code provision C.2.1 of the Corporate Governance Code, where the roles of Chairman and Chief Executive Officer are combined and held by Mr. Ralph Paul Johan van Put[112](index=112&type=chunk)[113](index=113&type=chunk) - The Board believes that Mr. Ralph Paul Johan van Put serving concurrently as Chairman and Chief Executive Officer provides strong leadership for the Group and is in the best interests of the Company and its shareholders[113](index=113&type=chunk) - The Board will continue to review and consider separating the roles of Chairman of the Board and Chief Executive Officer of the Company when appropriate[113](index=113&type=chunk) - Independent non-executive directors possess extensive professional knowledge and experience, providing independent advice and overseeing the Board's operations[114](index=114&type=chunk) [Directors' Securities Transactions](index=39&type=section&id=Directors%27%20Securities%20Transactions) The Company adopted a code of conduct for directors' securities transactions, and all directors confirmed full compliance for the six months ended June 30, 2025 - The Company has adopted a code of conduct with terms no less exacting than the required standard of dealings set out in the GEM Listing Rules[115](index=115&type=chunk) - All Directors have confirmed their full compliance with the code of conduct for the six months ended **June 30, 2025**[115](index=115&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=40&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20the%20Company%27s%20Listed%20Securities) On **February 24, 2025**, the Company issued **19,500,000 ordinary shares**; otherwise, no listed securities were purchased, sold, or redeemed during the period, and no treasury shares were held - On **February 24, 2025**, the Company completed the additional issuance of **19,500,000 ordinary shares** to True Partner International Limited[116](index=116&type=chunk) - Save as disclosed above, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's securities during the six months ended **June 30, 2025**[116](index=116&type=chunk) - As of the end of the reporting period, the Company held no treasury shares[117](index=117&type=chunk) [Changes in Directors' Information](index=40&type=section&id=Changes%20in%20Directors%27%20Information) Mr. Chan Hang Fai was appointed Non-Executive Director effective **June 30, 2025**, and Mr. Wei Mingde's external directorships changed effective **June 23, 2025** - Mr. Chan Hang Fai was appointed as a Non-Executive Director, effective **June 30, 2025**[118](index=118&type=chunk) - Mr. Wei Mingde was appointed as an external director of China Merchants Group Limited, effective **June 23, 2025**[118](index=118&type=chunk) - Mr. Wei Mingde resigned as an external director of China COSCO Shipping Corporation Limited, effective **June 23, 2025**[118](index=118&type=chunk) [Audit Committee](index=40&type=section&id=Audit%20Committee) The Audit Committee, comprising three independent non-executive directors and chaired by Ms. Bai Wanting, reviewed the H1 2025 unaudited condensed consolidated financial results, confirming compliance with accounting standards - The Company has established an Audit Committee in compliance with the GEM Listing Rules and Corporate Governance Code[119](index=119&type=chunk) - The Audit Committee comprises three independent non-executive directors: Ms. Bai Wanting (Chairperson), Mr. Jeronimus Mattheus Tielman, and Mr. Wei Mingde[119](index=119&type=chunk) - Key responsibilities include recommending the appointment and removal of external auditors, reviewing and overseeing financial statements, and monitoring internal control procedures and risk management systems[119](index=119&type=chunk) - The Audit Committee has reviewed the Company's unaudited condensed consolidated financial results for the six months ended **June 30, 2025**, and considers them compliant with applicable accounting standards and requirements under the GEM Listing Rules[119](index=119&type=chunk) [Unaudited Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=42&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) This statement presents the unaudited condensed consolidated profit or loss and other comprehensive income for H1 2025, showing a significant narrowing of loss attributable to owners to **HK$15,967 thousand** due to reduced expenses and positive exchange differences Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (Six Months Ended June 30) | Metric | 2025 (HK$ '000) | 2024 (HK$ '000) | | :--- | :--- | :--- | | Revenue | 4,784 | 5,026 | | Other Income and Gains | 687 | 567 | | Direct Costs | (516) | (479) | | Net Gain/(Loss) on Financial Assets at FVTPL | – | 198 | | General and Administrative Expenses | (20,878) | (31,725) | | Finance Costs | (3) | (36) | | Share of Results of Associates | – | (329) | | Loss Before Income Tax | (15,926) | (26,778) | | Income Tax Expense | (41) | (93) | | Loss for the Period Attributable to Owners of the Company | (15,967) | (26,871) | | Other Comprehensive Income/(Loss): Exchange Differences on Translating Foreign Operations | 1,573 | (363) | | Total Comprehensive Loss for the Period Attributable to Owners of the Company | (14,394) | (27,234) | | Loss Per Share (HK cents) — Basic and Diluted | (3.86) | (6.72) | [Unaudited Condensed Consolidated Statement of Financial Position](index=43&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) This statement presents the unaudited condensed consolidated financial position as of June 30, 2025, showing total current assets of **HK$42,728 thousand** and total equity of **HK$38,691 thousand** Condensed Consolidated Statement of Financial Position (As of June 30, 2025 and December 31, 2024) | Metric | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | | :--- | :--- | :--- | | **Current Assets** | | | | Derivative Financial Assets | 321 | 577 | | Trade Receivables | 2,643 | 2,540 | | Other Receivables | 1,847 | 3,121 | | Deposits with Brokers | 7,117 | 12,786 | | Tax Recoverable | 1,102 | 1,143 | | Fixed Bank Deposits | 12,770 | 112 | | Cash and Cash Equivalents | 16,458 | 32,475 | | **Total Current Assets** | **42,258** | **52,754** | | Assets Classified as Held for Sale | 470 | 470 | | **Total Current Assets** | **42,728** | **53,224** | | **Current Liabilities** | | | | Accruals and Other Payables | 3,883 | 6,775 | | Derivative Financial Liabilities | 154 | 311 | | Lease Liabilities | – | 353 | | **Total Current Liabilities** | **4,037** | **7,439** | | **Net Current Assets** | **38,691** | **45,785** | | **Total Assets Less Current Liabilities** | **38,691** | **45,785** | | **Net Assets** | **38,691** | **45,785** | | **Capital and Reserves** | | | | Share Capital | 164,374 | 157,074 | | Reserves | (125,683) | (111,289) | | **Total Equity** | **38,691** | **45,785** | [Unaudited Condensed Consolidated Statement of Changes in Equity](index=44&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) This statement details the unaudited condensed consolidated changes in equity for H1 2025, showing total equity decreased to **HK$38,691 thousand** from **HK$45,785 thousand** at the beginning of the period Condensed Consolidated Statement of Changes in Equity (Six Months Ended June 30) | Metric | Share Capital (HK$ '000) | Share Premium (HK$ '000) | Group Reorganization Reserve (HK$ '000) | Exchange Reserve (HK$ '000) | Fair Value Reserve (HK$ '000) | Capital Reserve (HK$ '000) | Share Option Reserve (HK$ '000) | Retained Profits/(Accumulated Losses) (HK$ '000) | Total (HK$ '000) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | As at January 1, 2024 (Audited) | 4,000 | 153,074 | 1,145 | (585) | – | (1,093) | – | (61,281) | 95,260 | | Loss for the period | – | – | – | – | – | – | – | (26,871) | (26,871) | | Other comprehensive loss | – | – | – | (363) | – | – | – | – | (363) | | Total comprehensive loss for the period | – | – | – | (363) | – | – | – | (26,871) | (27,234) | | As at June 30, 2024 (Unaudited) | 4,000 | 153,074 | 1,145 | (948) | – | (1,093) | – | (88,152) | 68,026 | | As at January 1, 2025 (Audited) | 4,000 | 153,074 | 1,145 | (1,554) | – | (1,093) | – | (109,787) | 45,785 | | Loss for the period | – | – | – | – | – | – | – | (15,967) | (15,967) | | Other comprehensive income | – | – | – | 1,573 | – | – | – | – | 1,573 | | Total comprehensive loss for the period | – | – | – | 1,573 | – | – | – | (15,967) | (14,394) | | Subscription of new shares | 195 | 7,105 | – | – | – | – | – | – | 7,300 | | As at June 30, 2025 (Unaudited) | 4,195 | 160,1

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。 CAROTE LTD 卡 羅 特（ 商 業 ）有 限 公 司 （於 開 曼 群 島 註 冊 成 立 的 獲 豁 免 有 限 公 司） （股 份 代 號：2549） 截 至2025年6月30日止六個月中期業績公告 中期業績 董 事 會 謹 此 提 呈 本 集 團 於 報 告 期 間 的 未 經 審 計 簡 明 合 併 中 期 業 績，連 同 去 年 同 期 的 比 較 數 字。本 集 團 的 未 經 審 計 簡 明 合 併 中 期 業 績 已 由 審 計 委 員 會 審 閱。 關鍵亮點 財務摘要 截 至6月30日止六個月 | | | | 2025年 | | | 2024年 | | 變 動 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | （未 | 經 | 審 | 計 ...

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份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。 （ 在 中 華 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司 ） （股份代號：1055） 2025年中期業績公告 中 國 南 方 航 空 股 份 有 限 公 司（「本公司」）董 事 會（「董事會」）謹 此 宣 佈 本 公 司 及 其 附 屬 公 司（「本集團」）截 至2025年6月30日 止6個月期間之未經審計 業 績。本 公 告 列 載 本 公 司2025年 中 期 報 告 全 文，並 符 合 香 港 聯 合 交 易 所 有 限 公 司 證 券 上 市 規 則 中 有 關 中 期 業 績 初 步 公 告 附 載 的 資 料 之 要 求。 本公司2025年中期業績公告可於香港交易及結算所有限公司披露易網 站www.hkexnews.hk及本公司的網站www.csair.com閱 覽，而 本 公 司2025年 中 期報告 ...

I. [Company Information and Announcements](index=1&type=section&id=I.%20Company%20Information%20and%20Announcements) Provides essential company details and the scope of the interim results announcement 1.1 [Announcement Statement](index=1&type=section&id=1.1%20Announcement%20Statement) The Hong Kong Stock Exchange and the Stock Exchange are not responsible for the announcement's content, accuracy, or completeness, and bear no liability for reliance on it - The Hong Kong Stock Exchange and the Stock Exchange are not responsible for the content of this announcement, make no statement as to its accuracy or completeness, and assume no liability for any loss arising from reliance on its contents[1](index=1&type=chunk) 1.2 [Company Overview](index=1&type=section&id=1.2%20Company%20Overview) YuanShengTai Dairy Farm Limited (Stock Code: 1431) announces its unaudited condensed consolidated interim results for the six months ended June 30, 2025 - Company name: **YuanShengTai Dairy Farm Limited**, Stock Code: **1431**[2](index=2&type=chunk) - The announcement covers the unaudited condensed consolidated interim results for the six months ended **June 30, 2025**[2](index=2&type=chunk) II. [Interim Condensed Consolidated Financial Statements](index=2&type=section&id=II.%20Interim%20Condensed%20Consolidated%20Financial%20Statements) Presents the company's financial performance and position through condensed consolidated statements for the interim period 2.1 [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=2.1%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For H1 2025, revenue and gross profit declined, but profit before tax and profit for the period both increased Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Key Data (Six Months Ended June 30) | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 1,204,776 | 1,311,814 | -8.2% | | Cost of sales | (759,044) | (784,437) | -3.2% | | Gross profit | 445,732 | 527,377 | -15.5% | | Other income and gains | 105,458 | 100,760 | 4.7% | | Administrative expenses | (62,484) | (52,391) | 19.3% | | Other expenses | (8,679) | (13,654) | -36.5% | | Finance costs | (14,117) | (22,567) | -37.5% | | Changes in fair value less costs to sell of biological assets | (336,911) | (423,433) | -20.4% | | Profit before tax | 125,667 | 119,424 | 5.2% | | Profit for the period | 128,996 | 118,871 | 8.5% | | Total comprehensive income for the period | 130,761 | 116,821 | 11.9% | | Basic and diluted earnings per share (RMB) | 0.025 | 0.028 | -10.7% | 2.2 [Condensed Consolidated Statement of Financial Position](index=3&type=section&id=2.2%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, total assets slightly decreased, but net current assets turned positive, improving liquidity and increasing equity Condensed Consolidated Statement of Financial Position Key Data (As of June 30) | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Total non-current assets | 6,105,566 | 6,252,010 | -2.3% | | Total current assets | 1,584,032 | 1,691,873 | -6.4% | | Total current liabilities | 1,564,301 | 1,911,522 | -18.1% | | Net current assets/(liabilities) | 19,731 | (219,649) | 109.0% | | Net assets | 5,183,694 | 5,066,873 | 2.3% | | Total equity | 5,183,694 | 5,066,873 | 2.3% | III. [Notes to the Interim Condensed Consolidated Financial Information](index=4&type=section&id=III.%20Notes%20to%20the%20Interim%20Condensed%20Consolidated%20Financial%20Information) Provides detailed explanations and disclosures for the interim condensed consolidated financial statements, covering accounting policies, segment information, and key financial items 3.1 [Basis of Preparation and Accounting Policies](index=4&type=section&id=3.1%20Basis%20of%20Preparation%20and%20Accounting%20Policies) Interim financial information is prepared in accordance with IAS 34 and should be read with annual financial statements, with no significant impact from new IFRS amendments - The interim condensed consolidated financial information is prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting" and should be read in conjunction with the annual consolidated financial statements for the year ended **December 31, 2024**[5](index=5&type=chunk) - The revised International Financial Reporting Standards accounting standards were adopted for the first time in this period, but these revisions had no impact on the condensed interim consolidated financial information due to the convertibility of the Group's transaction and functional currencies[6](index=6&type=chunk)[7](index=7&type=chunk) 3.1.1 [Basis of Preparation](index=4&type=section&id=3.1.1%20Basis%20of%20Preparation) Financial information is prepared in accordance with IAS 34 and should be read in conjunction with the annual financial statements - The interim condensed consolidated financial information is prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting"[5](index=5&type=chunk) 3.1.2 [Changes in Accounting Policies and Disclosures](index=4&type=section&id=3.1.2%20Changes%20in%20Accounting%20Policies%20and%20Disclosures) Accounting policies are consistent with the prior year, with new IFRS amendments having no material impact on the group's financial information - The accounting policies adopted in the preparation of the interim condensed consolidated financial information are consistent with those applied in the preparation of the Group's annual consolidated financial statements for the year ended December 31, 2024, except for the first-time adoption of the following revised International Financial Reporting Standards accounting standards for the current period[6](index=6&type=chunk) - Amendments to IAS 21 clarify how an entity should assess whether a currency is exchangeable into another currency and how an entity should estimate the spot exchange rate when convertibility is lacking, with these amendments having no impact on the condensed interim consolidated financial information[7](index=7&type=chunk) 3.2 [Operating Segment Information](index=4&type=section&id=3.2%20Operating%20Segment%20Information) The Group primarily engages in raw milk production and sales, with management focusing on overall operating results, thus no separate segment information is presented - The Group is principally engaged in the production and sale of raw milk[8](index=8&type=chunk) - For the purpose of resource allocation and performance assessment, the Group's management focuses on the overall operating results of the Group, and therefore, resources are integrated, and no operating segment information is presented[8](index=8&type=chunk) 3.3 [Revenue](index=5&type=section&id=3.3%20Revenue) For H1 2025, raw milk sales revenue increased by 8.9% to RMB 1.31 billion, all from mainland China Revenue Analysis (Six Months Ended June 30) | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Sale of raw milk | 1,311,814 | 1,204,776 | | Geographical market | Mainland China | Mainland China | | Timing of revenue recognition | Goods transferred at a point in time | Goods transferred at a point in time | 3.4 [Components of Profit Before Tax](index=6&type=section&id=3.4%20Components%20of%20Profit%20Before%20Tax) Profit before tax for H1 2025 was influenced by production costs, depreciation, and biological asset fair value changes Major Deductions/Additions to Profit Before Tax (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Production and rearing costs | 559,019 | 556,981 | | Raw milk production costs | 225,418 | 202,063 | | Cost of sales | 784,437 | 759,044 | | Depreciation of property, plant and equipment | 110,410 | 101,448 | | Depreciation recognized in profit or loss and other comprehensive income | 60,428 | 49,009 | | Changes in fair value less costs to sell of biological assets | 423,433 | 336,911 | | Gain/(loss) on disposal of property, plant and equipment | (962) | 174 | | Foreign exchange differences, net | (352) | (8,645) | - Depreciation included in cost of sales increased from **RMB 48,400 thousand in 2024 to RMB 59,244 thousand in 2025**[10](index=10&type=chunk) 3.5 [Income Tax](index=7&type=section&id=3.5%20Income%20Tax) For H1 2025, income tax expense was RMB 553 thousand, with certain agricultural subsidiaries exempt from enterprise income tax - Income tax on assessable profit in Mainland China is calculated at a **25% corporate income tax rate**[11](index=11&type=chunk) - Certain subsidiaries of the Group engaged in agricultural businesses are **exempt from enterprise income tax**[12](index=12&type=chunk) Income Tax Expense (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Income tax expense | 486 | – | | Deferred tax expense/(credit) | 67 | (3,329) | | Total tax expense/(credit) for the period | 553 | (3,329) | 3.6 [Dividends](index=7&type=section&id=3.6%20Dividends) No dividends were declared or proposed by the company during the reporting period - No dividends were declared or proposed by the Company during the reporting period[14](index=14&type=chunk) 3.7 [Earnings Per Share](index=7&type=section&id=3.7%20Earnings%20Per%20Share) Basic and diluted EPS for H1 2025 decreased to RMB 0.025, mainly due to lower profit attributable to owners Earnings Per Share Calculation Data (Six Months Ended June 30) | Indicator | 2025 (RMB thousands/share) | 2024 (RMB thousands/share) | | :--- | :--- | :--- | | Profit attributable to ordinary equity holders of the Company | 118,871 | 128,996 | | Weighted average number of ordinary shares in issue | 4,690,496,400 | 4,690,496,400 | | Basic and diluted earnings per share | 0.025 | 0.028 | - The Group had no outstanding ordinary shares with dilutive potential for the six months ended **June 30, 2025, and June 30, 2024**[15](index=15&type=chunk) 3.8 [Property, Plant and Equipment](index=8&type=section&id=3.8%20Property,%20Plant%20and%20Equipment) For H1 2025, the Group acquired RMB 73.48 million in assets, disposed of some, and pledged other assets for bank loans Property, Plant and Equipment Movements (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Cost of asset acquisitions | 73,476 | 83,650 | | Net book value of asset disposals | 1,516 | 1,539 | | Net gain/(loss) on disposal | 962 | (174) | - As of June 30, 2025, assets with a net book value of **RMB 25,037 thousand were pledged** as collateral for interest-bearing bank borrowings[20](index=20&type=chunk) 3.9 [Biological Assets](index=8&type=section&id=3.9%20Biological%20Assets) The Group holds dairy cattle for milk production, with numbers slightly increasing and value affected by fair value changes 3.9.1 [Nature of Business and Dairy Cattle Numbers](index=8&type=section&id=3.9.1%20Nature%20of%20Business%20and%20Dairy%20Cattle%20Numbers) The Group holds dairy cattle primarily for milk production, including lactating cows, heifers, and calves, with total cattle increasing to 108,439 heads as of June 30, 2025 - The dairy cattle owned by the Group are primarily held for milk production, including heifers, calves, and lactating cows[21](index=21&type=chunk) - Sales of dairy cattle are not the Group's principal business, and proceeds are not recognized as revenue[23](index=23&type=chunk) Dairy Cattle Numbers (As of June 30) | Dairy Cattle Category | June 30, 2025 (heads) | December 31, 2024 (heads) | Change (%) | | :--- | :--- | :--- | :--- | | Lactating cows | 51,452 | 49,330 | 4.3% | | Heifers and calves | 56,987 | 57,966 | -1.7% | | Total dairy cattle | 108,439 | 107,296 | 1.1% | 3.9.2 [Changes in Dairy Cattle Value](index=9&type=section&id=3.9.2%20Changes%20in%20Dairy%20Cattle%20Value) As of June 30, 2025, the total value of dairy cattle decreased to RMB 2,236,840 thousand, primarily due to losses from changes in fair value less costs to sell Dairy Cattle Value Movements (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Total value of dairy cattle | 2,236,840 | 2,339,650 | | Increase due to breeding (rearing costs and others) | 397,463 | 857,207 | | Decrease due to sales | (76,840) | (143,455) | | Loss arising from changes in fair value less costs to sell | (423,433) | (609,322) | 3.9.3 [Fair Value Hierarchy](index=9&type=section&id=3.9.3%20Fair%20Value%20Hierarchy) The fair value measurement of the Group's biological assets is classified as Level 3, utilizing significant unobservable inputs, with some assets pledged as collateral for bank loans - The fair value measurement of the Group's biological assets is classified as **Level 3**, which uses significant unobservable inputs[25](index=25&type=chunk) - As of June 30, 2025, biological assets with a carrying amount of **RMB 916,799 thousand were pledged** as collateral for interest-bearing bank borrowings[25](index=25&type=chunk) 3.10 [Current Assets and Liabilities](index=10&type=section&id=3.10%20Current%20Assets%20and%20Liabilities) The Group's current asset structure changed, with trade receivables decreasing, cash increasing, and payables also decreasing 3.10.1 [Trade Receivables](index=10&type=section&id=3.10.1%20Trade%20Receivables) As of June 30, 2025, trade receivables significantly decreased to RMB 1,669 thousand, with most due within one month Trade Receivables Ageing Analysis (As of June 30) | Ageing | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within one month | 1,669 | 34,663 | | Three to six months | – | 385 | | Total | 1,669 | 35,048 | 3.10.2 [Cash and Cash Equivalents](index=10&type=section&id=3.10.2%20Cash%20and%20Cash%20Equivalents) As of June 30, 2025, cash and cash equivalents increased to RMB 670,866 thousand, driven by an increase in cash and bank balances Cash and Cash Equivalents (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Cash and bank balances | 669,775 | 459,819 | | Time deposits | 423,624 | 503,290 | | Total | 1,093,399 | 963,109 | | Less: Unpledged time deposits | (422,533) | (303,708) | | Restricted cash | – | (21,807) | | Cash and cash equivalents | 670,866 | 637,594 | 3.10.3 [Trade Payables and Bills](index=10&type=section&id=3.10.3%20Trade%20Payables%20and%20Bills) As of June 30, 2025, total trade payables and bills significantly decreased by 39.7% to RMB 268,255 thousand Trade Payables and Bills Ageing Analysis (As of June 30) | Ageing | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Within two months | 223,333 | 352,232 | -36.6% | | Two to six months | 36,135 | 53,524 | -32.5% | | Six to twelve months | 2,933 | 13,851 | -78.8% | | Over one year | 5,854 | 25,725 | -77.2% | | Total | 268,255 | 445,332 | -39.7% | 3.10.4 [Other Payables and Accrued Expenses](index=11&type=section&id=3.10.4%20Other%20Payables%20and%20Accrued%20Expenses) As of June 30, 2025, total other payables and accrued expenses decreased to RMB 963,733 thousand, with deferred income primarily representing government grants Other Payables and Accrued Expenses (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Deferred income | 483,908 | 473,743 | 2.1% | | Contract liabilities | 644,673 | 682,635 | -5.6% | | Total other payables | 1,423,788 | 1,501,592 | -5.2% | | Non-current portion | (460,055) | (450,247) | 2.2% | | Total current portion | 963,733 | 1,051,345 | -8.3% | - Deferred income represents government grants received by the Group as financial subsidies for feed purchases and farm construction, recognized as income over the relevant periods[29](index=29&type=chunk) 3.11 [Share Capital](index=11&type=section&id=3.11%20Share%20Capital) As of June 30, 2025, the company's authorized share capital was 50 billion shares, with 4.69 billion shares issued and fully paid, and no new shares issued Share Capital Structure (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Authorized share capital (50,000,000,000 shares) | 406,897 | 406,897 | | Issued and fully paid share capital (4,690,496,400 shares) | 37,674 | 37,674 | - No new shares were issued by the Company during the reporting period[69](index=69&type=chunk) 3.12 [Commitments and Related Party Transactions](index=12&type=section&id=3.12%20Commitments%20and%20Related%20Party%20Transactions) The Group engages in raw milk sales with related parties, receives bank loan guarantees, and has a reduced contract liability to China Feihe 3.12.1 [Commitments](index=12&type=section&id=3.12.1%20Commitments) At the end of the reporting period, raw milk sales to the ultimate holding company increased to RMB 1,304,008 thousand compared to the prior year Sales of Raw Milk to Ultimate Holding Company (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Sales of raw milk to ultimate holding company | 1,304,008 | 1,166,091 | 11.8% | 3.12.2 [Related Party Transactions](index=12&type=section&id=3.12.2%20Related%20Party%20Transactions) Related parties provide guarantees for the Group's bank loans, and the outstanding contract liability to China Feihe decreased, while key management personnel remuneration also declined - The vice president of a fellow subsidiary of the Group and his spouse provided guarantees for certain bank loan facilities of the Group up to **RMB 831,000,000**, of which **RMB 256,655,000 remained unutilized**[32](index=32&type=chunk) - A director of a subsidiary and his spouse provided guarantees for bank loan facilities of the Group up to **RMB 340,000,000**, of which **RMB 105,052,000 remained unutilized**[33](index=33&type=chunk) - As of June 30, 2025, the Group's outstanding contract liability balance to China Feihe was **RMB 644,673 thousand**, a decrease from **RMB 682,635 thousand as of December 31, 2024**[33](index=33&type=chunk) Key Management Personnel Remuneration (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Short-term employee benefits | 2,876 | 4,310 | -33.3% | | Post-employment benefits | 336 | 385 | -12.7% | | Total remuneration | 3,212 | 4,695 | -31.6% | 3.13 [Fair Value of Financial Instruments](index=13&type=section&id=3.13%20Fair%20Value%20of%20Financial%20Instruments) Most of the Group's financial instruments have fair values approximating carrying amounts, with no fair value measurement hierarchy transfers - The fair values of financial instruments such as cash and cash equivalents, time deposits, trade receivables, and trade payables and bills approximate their carrying amounts, primarily due to their short-term maturities[36](index=36&type=chunk) - The fair value of the non-current portion of interest-bearing bank borrowings is calculated by discounting expected future cash flows using current interest rates for instruments with similar terms, credit risk, and remaining maturities[36](index=36&type=chunk) Fair Value Measurement Hierarchy for Financial Liabilities (As of June 30) | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Interest-bearing bank borrowings (fair value) | 782,003 | 884,106 | | Interest-bearing bank borrowings (carrying amount) | 782,079 | 884,269 | - For the six months ended June 30, 2025, there were no transfers between Level 1 and Level 2 fair value measurements, nor any transfers into or out of Level 3 for financial assets and financial liabilities[38](index=38&type=chunk) IV. [Management Discussion and Analysis](index=14&type=section&id=IV.%20Management%20Discussion%20and%20Analysis) Provides an overview of the Group's operational and financial performance, market conditions, and strategic outlook for the reporting period 4.1 [Market Review](index=14&type=section&id=4.1%20Market%20Review) Global economic growth slowed in H1 2025, while China's economy grew steadily; the dairy industry faces challenges but holds long-term potential with policy support 4.1.1 [Macroeconomic Environment](index=14&type=section&id=4.1.1%20Macroeconomic%20Environment) Global economic growth slowed in H1 2025, with the World Bank lowering its forecast, while China's GDP grew by 5.3% - Global economic growth slowed in the first half of 2025, with the World Bank significantly lowering its 2025 global economic growth forecast from **2.7% in January to 2.3%**[40](index=40&type=chunk) - China's gross domestic product was **RMB 66,053.6 billion** in the first half, representing a **5.3% year-on-year increase** at constant prices[40](index=40&type=chunk) 4.1.2 [Dairy Industry Analysis](index=14&type=section&id=4.1.2%20Dairy%20Industry%20Analysis) The Chinese dairy industry is at a new turning point with improving supply-demand, but raw milk prices remain under pressure due to weak consumption and oversupply - The Chinese dairy industry is at a new turning point, with supply and demand relations gradually improving, but the overall market has not yet broken through cyclical development difficulties[41](index=41&type=chunk) - As of the fourth week of June, the average price of raw milk in 10 major producing provinces was **RMB 3.04 per kg**, a **7.0% year-on-year decrease**[41](index=41&type=chunk) - The structural contradiction of rapid growth in raw milk supply and weak demand for dairy products still needs to be resolved, with no signs of raw milk price recovery, and the industry faces challenges of pressure on overall profit growth[41](index=41&type=chunk) 4.1.3 [Industry Outlook and Company Strategy](index=14&type=section&id=4.1.3%20Industry%20Outlook%20and%20Company%20Strategy) The dairy industry faces short-term challenges but has significant long-term growth potential in China, with the company focusing on optimizing herd size, technology, and quality - In the short term, the dairy industry is at a critical juncture, facing significant relief pressure and approaching a new "15th Five-Year Plan"[42](index=42&type=chunk) - In the long term, China's per capita dairy consumption is still less than one-third of the world average, and rural residents' consumption is less than 60% of urban residents'; the penetration rate of deep-processed products like cheese and butter is less than 5%, indicating huge development potential in the future dairy market[43](index=43&type=chunk) - The Ministry of Agriculture and Rural Affairs and two other departments issued the "China Food and Nutrition Development Program (2025–2030)", proposing to reach **47 kg of per capita annual dairy consumption by 2030** and promote consumption of dry dairy products like cheese[43](index=43&type=chunk) - The Group will continue to closely follow market trends, flexibly adjust production and operation strategies, orderly optimize herd size, enhance feeding and production technologies, improve quality and efficiency, and achieve better economies of scale[44](index=44&type=chunk) 4.2 [Business Review](index=15&type=section&id=4.2%20Business%20Review) The Group achieved increased raw milk sales volume and revenue, but average selling prices declined, with net profit at RMB 118.9 million 4.2.1 [Overall Performance](index=15&type=section&id=4.2.1%20Overall%20Performance) Raw milk sales volume increased by 17.6% to 304,729 tonnes, total sales revenue grew by 8.9% to RMB 1,311.8 million, but net profit was RMB 118.9 million Business Key Performance (Six Months Ended June 30) | Indicator | 2025 | 2024 | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Raw milk sales volume (tonnes) | 304,729 | 259,180 | 17.6% | | Raw milk sales revenue (RMB millions) | 1,311.8 | 1,204.8 | 8.9% | | Average selling price (RMB per tonne) | 4,305 | 4,648 | -7.4% | | Net profit (RMB millions) | 118.9 | 129.0 | -7.9% | - During the reporting period, some feed prices decreased, leading to a reduction in cost per kg of milk, but the average selling price of raw milk also declined[45](index=45&type=chunk) - The Group's main customers are China Feihe and Huishan Dairy Group, and it continues to optimize and expand its product portfolio and improve dairy product quality[46](index=46&type=chunk) 4.2.2 [Farm Construction](index=16&type=section&id=4.2.2%20Farm%20Construction) As of June 30, 2025, the Group operates 11 farms in Heilongjiang and Jilin provinces, with a total design capacity of 143,960 dairy cattle and 108,439 actual heads - As of June 30, 2025, the Group operates **ten farms in Heilongjiang Province and one in Jilin Province**, totaling eleven dairy cattle farms[47](index=47&type=chunk) Farm Distribution and Scale (As of June 30) | Number of Farms | Designed Capacity (heads) | Actual Herd Size (heads) | Total Area (square meters) | | :--- | :--- | :--- | :--- | | 11 | 143,960 | 108,439 | 9,694,458 | 4.2.3 [Milk Production and Herd Size](index=17&type=section&id=4.2.3%20Milk%20Production%20and%20Herd%20Size) Average annual milk yield per lactating cow slightly increased by 0.5% to 12.46 tonnes, while total dairy cattle numbers slightly decreased, with lactating cows increasing and heifers/calves decreasing - During the reporting period, the average annual milk yield per lactating cow was **12.46 tonnes**, a slight increase of **0.5%** compared to the same period last year[49](index=49&type=chunk) - The Group will dynamically optimize its dairy cattle herd size to consolidate and enhance the supply of high-quality raw milk[50](index=50&type=chunk) Herd Size (As of June 30) | Dairy Cattle Category | June 30, 2025 (heads) | June 30, 2024 (heads) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Lactating cows | 51,452 | 49,231 | 4.5% | | Heifers and calves | 56,987 | 60,465 | -5.8% | | Total dairy cattle | 108,439 | 109,696 | -1.1% | 4.2.4 [Raw Milk Price](index=17&type=section&id=4.2.4%20Raw%20Milk%20Price) The average selling price of raw milk decreased by 7.4% to RMB 4,305 per tonne, primarily due to weak consumer demand and peak milk production - During the reporting period, the Group's average selling price for raw milk was **RMB 4,305 per tonne**, a **7.4% decrease** from **RMB 4,648 per tonne** in the same period last year[52](index=52&type=chunk) - The recovery of raw milk prices is still slower than market expectations, mainly due to weak consumer demand and the peak milk production season in the second quarter[52](index=52&type=chunk) 4.3 [Financial Performance Analysis](index=19&type=section&id=4.3%20Financial%20Performance%20Analysis) The Group's revenue and gross profit increased, but net profit slightly decreased, driven by higher costs and expanded biological asset fair value losses 4.3.1 [Revenue](index=19&type=section&id=4.3.1%20Revenue) Total raw milk sales increased by 8.9% to RMB 1,311.8 million, driven by an expanded lactating cow herd and increased milk yield, despite a 7.4% drop in average selling price Raw Milk Sales and Volume (Six Months Ended June 30) | Indicator | 2025 (RMB millions/tonnes) | 2024 (RMB millions/tonnes) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Total raw milk sales | 1,311.8 | 1,204.8 | 8.9% | | Raw milk sales volume | 304,729 | 259,180 | 17.6% | | Average selling price (per tonne) | 4,305 | 4,648 | -7.4% | - The increase in raw milk sales volume was primarily due to the expansion of the lactating cow herd and an increase in the average annual milk yield per cow[56](index=56&type=chunk) 4.3.2 [Cost of Sales](index=19&type=section&id=4.3.2%20Cost%20of%20Sales) Cost of sales increased to RMB 784.4 million, with feed costs accounting for 71.3% and increasing slightly due to more dairy cattle, alongside a significant rise in depreciation Cost of Sales Components (Six Months Ended June 30) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Feed | 559,019 | 556,981 | 0.4% | | Salaries, welfare and social insurance | 61,941 | 58,795 | 5.4% | | Depreciation | 59,244 | 48,400 | 22.4% | | Veterinary costs | 25,110 | 27,480 | -8.6% | | Utilities | 54,085 | 48,425 | 11.7% | | Transportation costs | 665 | 834 | -20.2% | | Other costs | 24,373 | 18,129 | 34.4% | | Total cost of sales | 784,437 | 759,044 | 3.3% | - Feed costs accounted for **71.3% of cost of sales** (2024: 73.4%), with the increase attributed to the increased number of dairy cattle[58](index=58&type=chunk) 4.3.3 [Gross Profit](index=19&type=section&id=4.3.3%20Gross%20Profit) Gross profit increased by 18.3% to RMB 527.4 million, with the gross profit margin improving from 37.0% to 40.2% Gross Profit and Gross Profit Margin (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Gross profit | 527.4 | 445.7 | 18.3% | | Gross profit margin | 40.2% | 37.0% | 3.2 percentage points | 4.3.4 [Other Income and Gains](index=20&type=section&id=4.3.4%20Other%20Income%20and%20Gains) Other income and gains decreased by 4.5% to RMB 100.8 million, mainly due to reduced interest income and no disposal gains from subsidiaries Other Income and Gains (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Other income and gains | 100.8 | 105.5 | -4.5% | - The decrease in other income and gains was due to reduced interest income and no gain on disposal of subsidiaries during the reporting period[60](index=60&type=chunk) 4.3.5 [Administrative Expenses](index=20&type=section&id=4.3.5%20Administrative%20Expenses) Administrative expenses increased by 19.3% to RMB 62.5 million, primarily driven by higher repair and maintenance costs Administrative Expenses (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Administrative expenses | 62.5 | 52.4 | 19.3% | - The increase in administrative expenses was primarily due to increased repair and maintenance costs[61](index=61&type=chunk) 4.3.6 [Other Expenses](index=20&type=section&id=4.3.6%20Other%20Expenses) Other expenses decreased by 36.5% to RMB 8.7 million, mainly due to reduced losses from equipment disposal and expenses related to dairy cattle waste disposal Other Expenses (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Other expenses | 8.7 | 13.7 | -36.5% | - The decrease in other expenses was due to reduced losses from disposal of equipment and expenses related to the disposal of dairy cattle waste[62](index=62&type=chunk) 4.3.7 [Changes in Fair Value of Biological Assets](index=20&type=section&id=4.3.7%20Changes%20in%20Fair%20Value%20of%20Biological%20Assets) Loss from changes in fair value less costs to sell of biological assets expanded by 25.7% to RMB 423.4 million, primarily due to fewer heifers and calves and a decrease in their fair value Changes in Fair Value of Biological Assets (Six Months Ended June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Loss from changes in fair value less costs to sell of biological assets | 423.4 | 336.9 | 25.7% | - The increase in loss was primarily due to a decrease in the number and fair value of heifers and calves[63](index=63&type=chunk) 4.3.8 [Impairment Losses](index=20&type=section&id=4.3.8%20Impairment%20Losses) No impairment losses were recognized for property, plant and equipment or right-of-use assets during the reporting period - No impairment losses were recognized for property, plant and equipment and right-of-use assets during the reporting period[64](index=64&type=chunk) 4.3.9 [Profit for the Period and Earnings Per Share](index=20&type=section&id=4.3.9%20Profit%20for%20the%20Period%20and%20Earnings%20Per%20Share) Net profit for the period was RMB 118.9 million, a 7.8% decrease year-on-year, with basic earnings per share falling by 10.7% to RMB 2.5 cents Profit for the Period and Earnings Per Share (Six Months Ended June 30) | Indicator | 2025 (RMB millions/cents) | 2024 (RMB millions/cents) | | :--- | :--- | :--- | | Net profit | 118.9 | 129.0 | | Basic earnings per share | 2.5 | 2.8 | 4.3.10 [Interim Dividends](index=20&type=section&id=4.3.10%20Interim%20Dividends) The Board of Directors decided not to declare any interim dividends for the reporting period - The Board of Directors has resolved not to declare any interim dividends for the reporting period[66](index=66&type=chunk) 4.4 [Financial Resources and Capital Management](index=21&type=section&id=4.4%20Financial%20Resources%20and%20Capital%20Management) Net cash inflow from operations slightly decreased, but cash and cash equivalents increased, while bank borrowings reduced, significantly improving the gearing ratio 4.4.1 [Liquidity and Financial Resources](index=21&type=section&id=4.4.1%20Liquidity%20and%20Financial%20Resources) Net cash inflow from operating activities was RMB 586.0 million, a 7.6% decrease, while cash and cash equivalents increased to RMB 670.9 million, and the gearing ratio improved to 3.3% Liquidity Key Indicators (As of June 30) | Indicator | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Net cash inflow from operating activities | 586.0 | 634.5 | -7.6% | | Cash and cash equivalents | 670.9 | 637.6 | 5.2% | | Interest-bearing bank borrowings | 782.1 | 884.3 | -11.5% | | Gearing ratio | 3.3% | 11.3% | -8.0 percentage points | - The annual interest rate for interest-bearing bank borrowings ranged from **2.60% to 3.85%** (December 31, 2024: 2.90% to 3.85%)[68](index=68&type=chunk) 4.4.2 [Capital Structure](index=21&type=section&id=4.4.2%20Capital%20Structure) As of June 30, 2025, the company's issued share capital was HKD 46,904,964, comprising 4,690,496,400 shares of HKD 0.01 each, with no new shares issued - As of June 30, 2025, the Company's issued share capital was **HKD 46,904,964**, divided into **4,690,496,400 shares of HKD 0.01 each**[69](index=69&type=chunk) - No new shares were issued by the Company during the reporting period[69](index=69&type=chunk) 4.4.3 [Significant Investments and Future Plans](index=21&type=section&id=4.4.3%20Significant%20Investments%20and%20Future%20Plans) Capital expenditures during the period related to new farm construction, existing farm maintenance, and equipment purchases, with future plans focusing on new farm development funded by operating cash, debt, and IPO proceeds - During the reporting period, the Group's major capital expenditures were related to the construction of new farms, maintenance work for existing farms, and the purchase of additional equipment[70](index=70&type=chunk) - Future capital expenditures will primarily be related to the construction and commissioning of new farms, with funding sources including cash generated from operations, debt financing or bank loans, and unutilized net proceeds from the IPO[70](index=70&type=chunk) 4.4.4 [Use of Proceeds from Initial Public Offering](index=22&type=section&id=4.4.4%20Use%20of%20Proceeds%20from%20Initial%20Public%20Offering) Of the approximately HKD 2,564.0 million net IPO proceeds, HKD 347.8 million remains unutilized, originally for upstream operations, but the timeline is now postponed to end-2027 due to market conditions Use of IPO Net Proceeds (As of June 30) | Planned Use | Planned Amount (HKD millions) | Actual Use (HKD millions) | Unutilized Amount (HKD millions) | | :--- | :--- | :--- | :--- | | Construction of new farms | 1,923.0 | 1,923.0 | – | | Development of upstream operations | 384.6 | 36.8 | 347.8 | | Working capital and general corporate purposes | 256.4 | 256.4 | – | | Total | 2,564.0 | 2,216.2 | 347.8 | - The unutilized net proceeds of approximately **HKD 347.8 million** were intended for the development of upstream operations, but the timeline is expected to be further postponed to **end-2027** due to market conditions[72](index=72&type=chunk) 4.4.5 [Significant Acquisitions and Disposals](index=22&type=section&id=4.4.5%20Significant%20Acquisitions%20and%20Disposals) The Group did not undertake any significant acquisitions or disposals of subsidiaries, associates, or joint ventures during the reporting period - During the reporting period, the Group did not undertake any significant acquisitions or disposals of subsidiaries, associates, or joint ventures[74](index=74&type=chunk) 4.4.6 [Pledged Assets](index=23&type=section&id=4.4.6%20Pledged%20Assets) As of June 30, 2025, certain bank loans of the Group were secured by its assets - As of June 30, 2025, certain bank loans of the Group were secured by its assets[75](index=75&type=chunk) 4.4.7 [Foreign Currency Exchange Risk](index=23&type=section&id=4.4.7%20Foreign%20Currency%20Exchange%20Risk) Some of the Group's assets are denominated in foreign currencies like USD and HKD, and while no hedging policy is currently in place, management continuously monitors exchange rate risk - Certain assets of the Group are denominated in foreign currencies such as **USD and HKD**[76](index=76&type=chunk) - The Group currently does not have any foreign currency hedging policy in place, but management continuously monitors foreign currency exchange risk[76](index=76&type=chunk) 4.4.8 [Financial Policies](index=23&type=section&id=4.4.8%20Financial%20Policies) The Group adopts a conservative financial management policy, mitigating credit risk through continuous credit assessment and monitoring liquidity to meet funding needs - The Group adopts a conservative financial management policy, striving to mitigate credit risk through continuous credit assessment of customers[77](index=77&type=chunk) - The Board of Directors closely monitors the Group's liquidity position to ensure that the liquidity structure of the Group's assets, liabilities, and commitments can meet its funding requirements[77](index=77&type=chunk) 4.4.9 [Capital Commitments and Contingent Liabilities](index=23&type=section&id=4.4.9%20Capital%20Commitments%20and%20Contingent%20Liabilities) As of June 30, 2025, the Group's capital commitments totaled RMB 56.7 million, primarily for new farm construction and facility upgrades, with no significant contingent liabilities Capital Commitments (As of June 30) | Item | 2025 (RMB millions) | 2024 (RMB millions) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Capital commitments | 56.7 | 10.8 | 425.0% | - Capital commitments are primarily for the construction of new farms and the upgrade of existing facilities[78](index=78&type=chunk) - As of June 30, 2025, the Group had no significant contingent liabilities[78](index=78&type=chunk) 4.5 [Employees and Remuneration Policy](index=23&type=section&id=4.5%20Employees%20and%20Remuneration%20Policy) As of June 30, 2025, the Group had 2,339 employees with total remuneration and staff costs of RMB 141.6 million, offering various benefits and training Employee Numbers and Remuneration Costs (As of June 30) | Indicator | 2025 | 2024 | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Number of employees | 2,339 | 2,375 | -1.5% | | Remuneration and staff costs (RMB millions) | 141.6 | 177.4 | -20.2% | - Employee remuneration is determined by job type, level, and years of service, with employees enjoying social security benefits, housing provident fund, and on-the-job training[80](index=80&type=chunk) - Remuneration for directors and senior management is linked to the Group's performance and is regularly reviewed by the Board's Remuneration Committee, considering time commitment, responsibilities, comparable salaries, and Group performance[81](index=81&type=chunk) V. [Other Information](index=24&type=section&id=V.%20Other%20Information) Covers additional disclosures including post-reporting period events, dealings in listed securities, corporate governance practices, and information dissemination 5.1 [Events After Reporting Period](index=24&type=section&id=5.1%20Events%20After%20Reporting%20Period) There were no significant events after the reporting period and up to the date of this announcement - There were no significant events after the reporting period and up to the date of this announcement[82](index=82&type=chunk) 5.2 [Dealings in Listed Securities](index=24&type=section&id=5.2%20Dealings%20After%20Reporting%20Period) During the reporting period, neither the company nor its subsidiaries redeemed, purchased, or sold any listed shares, and no treasury shares were held - During the reporting period, the Company did not redeem any of its shares listed on the Stock Exchange, and neither the Company nor any of its subsidiaries purchased or sold any such shares[83](index=83&type=chunk) - As of June 30, 2025, the Company did not hold any treasury shares[83](index=83&type=chunk) 5.3 [Corporate Governance](index=24&type=section&id=5.3%20Corporate%20Governance) The Group maintains high corporate governance standards, complying with the Code, with combined Chairman and CEO roles ensuring stable leadership and efficient decision-making 5.3.1 [Compliance with Corporate Governance Code](index=24&type=section&id=5.3.1%20Compliance%20with%20Corporate%20Governance%20Code) The company complied with the Corporate Governance Code, with the Chairman and CEO roles combined to ensure stable leadership and efficient decision-making, balanced by independent non-executive directors - The Company has complied with all code provisions of the Corporate Governance Code as set out in Appendix C1 to the Listing Rules, except for code provision C.2.1 which stipulates that the roles of chairman and chief executive should be separate and not performed by the same individual[84](index=84&type=chunk) - Following Mr. Zhao Hongliang's resignation, Mr. Zhang Yongjiu, an executive director and chief executive officer, was appointed as Chairman and a member of the Remuneration Committee on the same day[85](index=85&type=chunk) - The Board believes that vesting the roles of Chairman and Chief Executive Officer in the same person ensures strong and stable leadership for the Group, making the planning and execution of business decisions and strategies more effective and efficient[85](index=85&type=chunk) - With three independent non-executive directors providing independent perspectives, the Board believes there are sufficient safeguards to ensure that the balance of power within the Board is adequately maintained[86](index=86&type=chunk) 5.3.2 [Compliance with Model Code](index=25&type=section&id=5.3.2%20Compliance%20with%20Model%20Code) The company adopted the Model Code for Securities Transactions by Directors of Listed Issuers, and all directors confirmed compliance during the reporting period - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 to the Listing Rules as its own code of conduct regarding dealings in the Company's securities by directors[87](index=87&type=chunk) - All directors confirmed their compliance with the Model Code throughout the reporting period[87](index=87&type=chunk) 5.3.3 [Audit Committee and Independent Auditor](index=26&type=section&id=5.3.3%20Audit%20Committee%20and%20Independent%20Auditor) The Audit Committee, comprising three independent non-executive directors, reviewed the interim results, which were also reviewed by Ernst & Young in accordance with HKSRS 2410 - The Audit Committee comprises all three independent non-executive directors, namely Mr. Meng Jingzong, Mr. Zhang Yuezhou, and Ms. Liu Jinping, with Mr. Meng serving as the Chairman of the Audit Committee[88](index=88&type=chunk) - The Company's unaudited condensed consolidated interim results for the reporting period and this announcement have been reviewed by the Audit Committee[88](index=88&type=chunk) - The Group's unaudited interim condensed consolidated financial information for the reporting period has been reviewed by the independent auditor, Ernst & Young, in accordance with Hong Kong Standard on Review Engagements 2410 issued by the Hong Kong Institute of Certified Public Accountants[88](index=88&type=chunk) 5.4 [Information Disclosure](index=26&type=section&id=5.4%20Information%20Disclosure) This announcement is published on the HKEX and company websites, and the interim report will be published and dispatched to shareholders as required by Listing Rules - This announcement is published on the website of the Stock Exchange (www.hkexnews.hk) and the Company's websites (www.ystdfarm.com and www.ystdairyfarm.com) respectively[89](index=89&type=chunk) - The interim report for the reporting period will be published on the websites of the Stock Exchange and the Company, and dispatched to shareholders in due course as required by the Listing Rules[89](index=89&type=chunk)

[Financial Highlights](index=1&type=section&id=%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81) Kangji Medical's H1 2025 unaudited results show **8.3%** revenue growth to **RMB496.6 million**, but **7.0%** profit decline to **RMB265.8 million** due to reduced other income and higher associate losses; no interim dividend is recommended Key Financial Data for H1 2025 (RMB thousands) | Metric | 2025 (Unaudited) | 2024 (Unaudited) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 496,555 | 458,413 | 8.3 | | Gross Profit | 392,361 | 363,123 | 8.1 | | Profit for the Period | 265,760 | 275,686 | (3.6) | | Profit Attributable to Owners of the Parent | 265,760 | 285,847 | (7.0) | | Non-IFRS Adjusted Net Profit Attributable to Owners of the Parent | 224,097 | 274,873 | (18.5) | | Basic Earnings Per Share (RMB) | 22.56 cents | 24.39 cents | (7.5) | | Diluted Earnings Per Share (RMB) | 22.56 cents | 24.39 cents | (7.5) | - Revenue growth was primarily attributable to increased sales of **disposable products**[2](index=2&type=chunk) - The decrease in profit attributable to owners of the parent was mainly due to a decrease in other income and gains and an increased share of loss from associate Weijing Medical[2](index=2&type=chunk) - The Board does not recommend the payment of any interim dividend for the six months ended June 30, 2025[3](index=3&type=chunk) [Interim Condensed Consolidated Financial Statements](index=2&type=section&id=%E4%B8%AD%E6%9C%9F%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8) [Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=%E4%B8%AD%E6%9C%9F%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) For the six months ended June 30, 2025, the company's revenue increased by **8.3%** to **RMB496.6 million**, and gross profit increased by **8.1%** to **RMB392.4 million**; however, profit for the period and profit attributable to owners of the parent both decreased due to lower other income and gains, increased loss from an associate, and higher income tax expense Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (RMB thousands) | Metric | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Revenue | 496,555 | 458,413 | | Cost of Sales | (104,194) | (95,290) | | Gross Profit | 392,361 | 363,123 | | Other Income and Gains | 81,497 | 115,403 | | Selling and Distribution Expenses | (37,898) | (39,062) | | Administrative Expenses | (37,658) | (50,854) | | Research and Development Costs | (33,874) | (43,354) | | Share of Loss of an Associate | (19,542) | (5,868) | | Finance Costs | (46) | (614) | | Profit Before Tax | 324,876 | 327,733 | | Income Tax Expense | (59,116) | (52,047) | | Profit for the Period | 265,760 | 275,686 | | Profit Attributable to Owners of the Parent | 265,760 | 285,847 | | Total Comprehensive Income for the Period | 263,320 | 277,540 | - Other income and gains decreased year-on-year from **RMB115,403 thousand** in 2024 to **RMB81,497 thousand** in 2025[4](index=4&type=chunk) - Share of loss of an associate significantly increased from **RMB5,868 thousand** in 2024 to **RMB19,542 thousand** in 2025[4](index=4&type=chunk) [Interim Condensed Consolidated Statement of Financial Position](index=4&type=section&id=%E4%B8%AD%E6%9C%9F%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 company's total assets slightly decreased, with total non-current assets decreasing and total current assets increasing; cash and cash equivalents significantly grew, but investments in an associate decreased, while total current liabilities substantially increased, mainly due to higher other payables and accruals Interim Condensed Consolidated Statement of Financial Position (RMB thousands) | Metric | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Total Non-Current Assets | 777,727 | 854,645 | | Total Current Assets | 2,278,162 | 2,063,645 | | Total Assets Less Current Liabilities | 2,612,492 | 2,657,686 | | Total Current Liabilities | 443,397 | 260,604 | | Total Non-Current Liabilities | 18,108 | 28,791 | | Net Assets | 2,594,384 | 2,628,895 | | Cash and Cash Equivalents | 1,707,184 | 1,126,799 | | Inventories | 128,697 | 108,219 | | Trade Receivables | 278,478 | 271,949 | | Investments in an Associate | 345,331 | 377,797 | | Other Payables and Accruals | 359,953 | 150,320 | - Cash and cash equivalents increased from **RMB1,126,799 thousand** as of December 31, 2024, to **RMB1,707,184 thousand** as of June 30, 2025[6](index=6&type=chunk) - Total current liabilities significantly increased from **RMB260,604 thousand** as of December 31, 2024, to **RMB443,397 thousand** as of June 30, 2025, primarily due to an increase in other payables and accruals[7](index=7&type=chunk) [Interim Condensed Consolidated Statement of Cash Flows](index=6&type=section&id=%E4%B8%AD%E6%9C%9F%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 generated from operating activities was **RMB199.2 million**, a year-on-year decrease; net cash from investing activities shifted from a net inflow to a net outflow, mainly due to increased fixed deposits and purchases of financial assets; cash outflow from financing activities decreased, and the net increase in cash and cash equivalents was significantly lower than the prior year Interim Condensed Consolidated Statement of Cash Flows (RMB thousands) | Metric | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Net Cash Generated from Operating Activities | 199,227 | 221,722 | | Net Cash (Used in)/Generated from Investing Activities | (66,343) | 1,213,364 | | Net Cash Used in Financing Activities | (4,658) | (35,692) | | Net Increase in Cash and Cash Equivalents | 128,226 | 1,399,394 | | Cash and Cash Equivalents at End of Period | 1,535,846 | 2,915,728 | - Net cash from investing activities shifted from a net inflow of **RMB1,213,364 thousand** in the same period of 2024 to a net outflow of **RMB66,343 thousand** in the same period of 2025, mainly impacted by an increase in fixed deposits and purchases of financial assets measured at fair value[9](index=9&type=chunk) - Cash and cash equivalents at the end of