Financial Performance - The company's revenue decreased by 3.2% from approximately HKD 843 million for the year ended December 31, 2023, to approximately HKD 815 million for the year ended December 31, 2024[12]. - The company's revenue for the year ending December 31, 2024, was approximately HKD 81.5 million, a decrease of about 3.2% from approximately HKD 84.3 million for the same period in 2023[16]. - Revenue from the sale of industrial aluminum electrolytic capacitors decreased from approximately HKD 73.6 million in 2023 to approximately HKD 68.7 million in 2024, a decline of about 4.9 million HKD[16]. - The net loss for the year ending December 31, 2024, was approximately HKD 5.5 million, a reduction from a loss of approximately HKD 12.2 million in 2023[24]. - Basic loss per share for the year ending December 31, 2024, was approximately HKD 0.019, compared to approximately HKD 0.0423 for the year ending December 31, 2023[25]. - Total assets as of December 31, 2024, were approximately HKD 96.6 million, down from HKD 107.6 million in 2023[26]. - The company did not recommend a final dividend for the year ending December 31, 2024, consistent with the previous year[29]. - The company reported no final dividend for the year ending December 31, 2024, consistent with the previous year where no dividend was declared[122]. Strategic Initiatives - The company successfully expanded into the high-end smart electronic devices and artificial intelligence sectors, leveraging its experience in electronic component production[12]. - The integration of AI technology into products aims to create data-driven added value for customers[12]. - The company plans to increase innovation investment to promote the synergy of electronic components, smart hardware, and AI algorithms[13]. - The strategic implementation is expected to create sustainable long-term value for shareholders[13]. - The company is focused on developing a comprehensive solution from underlying technology to application scenarios[13]. Corporate Governance - The company has a strong governance structure with independent non-executive directors overseeing audit and remuneration committees[42]. - The company has adhered to the corporate governance code throughout the fiscal year ending December 31, 2024, with the exception of deviation from code provision C.2.1[52]. - The board consists of five members, including two executive directors and three independent non-executive directors[57]. - The company has adopted the GEM Listing Rules regarding the minimum appointment of three independent non-executive directors, ensuring compliance with independence guidelines[61]. - The board has established an independence assessment mechanism to enhance its effectiveness and identify areas for improvement[62]. - The independence assessment report for the board was presented and the results were satisfactory for the fiscal year ending December 31, 2024[63]. - The company aims to provide satisfactory and sustainable returns to shareholders while safeguarding the interests of business partners[54]. - The company will continue to strengthen its corporate governance practices to align with its business operations and development[52]. Risk Management - The company has implemented a risk management and internal control system to identify, assess, and manage risks affecting operational efficiency and effectiveness[97]. - The board has adopted a credit risk management policy to mitigate financial risks, including continuous credit assessments and monitoring of significant overdue payments[98]. - The company has established a whistleblowing policy for employees and stakeholders to report misconduct confidentially and anonymously[98]. - The board confirmed that there are no significant uncertainties that may cast doubt on the company's ability to continue as a going concern[101]. Environmental, Social, and Governance (ESG) Practices - The company emphasizes sustainable development and stakeholder engagement in its environmental, social, and governance (ESG) practices[169]. - The group adheres to ISO 9001:2015 quality standards and has implemented a comprehensive quality control system[176]. - The board is responsible for overseeing the group's ESG strategies and performance, with a dedicated ESG working group assisting in implementation[178]. - The total greenhouse gas emissions for the reporting year amounted to 4,404.90 tons of CO2 equivalent, a slight increase from 4,328.70 tons in the previous year[191]. - The company aims to maintain stable levels of waste and greenhouse gas emissions in the next reporting year, targeting a density of 80% to 120% of the current year's recorded density[190]. - The company achieved ISO14001:2015 certification, ensuring minimal negative environmental impact during major production processes[187]. - The company has implemented an environmental management system to guide the R&D, production, and sales of aluminum electrolytic capacitors[187]. Shareholder Relations - The company has a shareholder communication policy to ensure that shareholder opinions and concerns are properly addressed[111]. - The independent non-executive directors attended the annual general meeting to gather shareholder feedback[95]. - The company has received annual confirmations from former controlling shareholders regarding compliance with non-competition agreements[73]. Board Composition and Diversity - The company has adopted a board diversity policy on October 24, 2017, which emphasizes the importance of a diverse board for maintaining competitive advantage[81]. - The board consists of 5 members, with 4 male and 1 female, achieving a gender diversity target of at least 20% female directors[86]. - The company aims for female employees, including senior management, to represent at least 40% of the workforce, which has been met[86]. - The nomination committee will regularly review the board diversity policy to ensure its effectiveness[84]. Operational Performance - The company operates in a highly competitive aluminum electrolytic capacitor industry, with significant reliance on the Chinese market for revenue[124]. - The company has established a good reputation for producing high-quality and reliable products, which is crucial for customer satisfaction[127]. - The company has fully utilized funds to increase production capacity for aluminum electrolytic capacitors and establish a second production facility in Dongguan, Guangdong Province[162].

Financial Performance - The company's operating revenue for Q1 2025 reached RMB 32,968,196 thousand, representing a 7.82% increase compared to RMB 30,578,301 thousand in Q1 2024[10] - Net profit attributable to ordinary shareholders decreased by 10.50% to RMB 2,453,172 thousand from RMB 2,740,979 thousand year-on-year[10] - The company's basic and diluted earnings per share both decreased by 10.53% to RMB 0.51 from RMB 0.57 year-on-year[10] - Net profit for Q1 2025 was RMB 2,464,117 thousand, down 10.8% from RMB 2,761,185 thousand in Q1 2024[25] - Total operating profit for Q1 2025 was RMB 2,912,938 thousand, a decrease of 9.5% from RMB 3,216,306 thousand in Q1 2024[25] - The company’s total profit for Q1 2025 was RMB 2,928,391 thousand, compared to RMB 3,206,793 thousand in Q1 2024, reflecting a decline of 8.7%[25] - The company’s total comprehensive income for Q1 2025 was RMB 2,428,225 thousand, down from RMB 2,709,941 thousand in Q1 2024[25] Cash Flow and Financial Position - The net cash flow from operating activities fell by 37.93% to RMB 1,851,253 thousand, down from RMB 2,982,601 thousand in the same period last year[10] - Operating cash flow decreased by 37.93% to 1,851,253 from 2,982,601 year-on-year, mainly due to increased cash payments for purchases and services[15] - Cash flow from operating activities generated RMB 1,851,253 thousand in Q1 2025, a significant decline from RMB 2,982,601 thousand in Q1 2024[27] - Cash and cash equivalents at the end of Q1 2025 totaled RMB 33,392,385 thousand, compared to RMB 44,943,538 thousand at the end of Q1 2024[27] Assets and Liabilities - Total assets as of March 31, 2025, increased by 5.11% to RMB 217,918,283 thousand from RMB 207,323,230 thousand at the end of 2024[10] - Current assets totaled RMB 151,359,279 thousand, up from RMB 141,787,346 thousand, indicating a growth of about 6.5%[21] - Total liabilities amounted to RMB 145,350,129 thousand, compared to RMB 134,212,948 thousand, reflecting an increase of approximately 8.4%[23] - The company's total equity reached RMB 72,568,154 thousand, up from RMB 73,110,282 thousand, indicating a decrease of approximately 0.7%[23] - Non-current assets totaled RMB 66,559,004 thousand, an increase from RMB 65,535,884 thousand, indicating a growth of about 1.6%[21] Shareholder Information - The total number of shareholders as of March 31, 2025, was 542,757, with 542,461 being A-share shareholders[17] - The largest shareholder, ZTE Corporation, holds 20.09% of the shares, amounting to 958,940,400 shares[17] Other Financial Metrics - The weighted average return on equity declined by 0.56 percentage points to 3.38% from 3.94% in the previous year[10] - Research and development expenses amounted to RMB 5,946,993 thousand in Q1 2025, a decrease of 6.5% compared to RMB 6,375,823 thousand in Q1 2024[25] - Other income increased by 90.72% to 16,642 from 8,726 year-on-year, primarily due to increased external compensation income[15] - Financial expenses surged by 432.98% to RMB (340,005) thousand, attributed to increased net interest income and foreign exchange gains compared to losses in the previous year[14] - Credit impairment losses increased by 263.81% to (117,240) compared to (32,226) in the same period last year, primarily due to increased provisions for accounts receivable[15] - The company reported a 78.86% decrease in asset impairment losses to (80,064) from (378,745) year-on-year, mainly due to reduced provisions for inventory write-downs[15] - Foreign currency translation losses decreased by 33.77% to (35,708) from (53,913) year-on-year, attributed to fluctuations in exchange rates[15] - Minority shareholders' profit decreased by 45.83% to 10,945 from 20,206 year-on-year, mainly due to reduced profits from subsidiaries with higher minority ownership[15] Investment Activities - Investment cash flow net outflow decreased by 90.81% to (1,383,661) from (15,060,862) year-on-year, indicating reduced investment outflows[15]

Financial Performance - The group's revenue for the year ended December 31, 2024, was approximately RMB 232,677,000, representing a year-on-year increase of 32.5% compared to RMB 175,556,000 in 2023[14]. - The gross profit for the same period was approximately RMB 43,596,000, reflecting a year-on-year growth of 16.9% from RMB 37,297,000[15]. - The group reported a net loss of approximately RMB 4,893,000 for the year, a decrease of 146.5% compared to a profit of RMB 10,521,000 in the previous year[15]. - The total revenue from logistics services grew by 11.3% year-on-year, reaching approximately RMB 27,922,000 in 2024[20]. - Revenue from port services decreased by 3.5% in 2024 due to the higher unit price of port transportation compared to logistics services[19]. Supply Chain and Logistics - The supply chain business revenue increased approximately 5.0 times year-on-year, contributing significantly to the overall revenue growth[8]. - Container throughput for port logistics services was 4,008,184 TEUs, a 3.1% increase from 3,889,024 TEUs in 2023[17]. - The logistics service revenue from port logistics was RMB 56,678,000, up 4.0% from RMB 54,507,000 in the previous year[18]. - The group completed over 4 million TEUs in container logistics services for the year 2024, representing a year-on-year growth of 3.1%[19]. - Heavy container transportation volume increased by 18.1% and empty container transportation volume increased by 17.4% in 2024, driven by a larger share of short-distance transportation[20]. Strategic Initiatives - The group plans to enhance management and optimize production processes to improve efficiency and better meet market demands[10]. - The company aims to increase the use of electric traction vehicles and explore the feasibility of autonomous driving solutions in port transportation services[10]. - The group will focus on accounts receivable management in the supply chain operations, particularly in the sand and gravel sector, amid domestic infrastructure and real estate market developments[10]. - The company emphasizes green development and the intelligentization of production processes as part of its strategic initiatives[8]. Corporate Governance - The board has maintained high standards of corporate governance, adhering to the corporate governance code as of December 31, 2024[52]. - The board consists of five members, including two executive directors and three independent non-executive directors, complying with listing rules[57]. - The company has established corporate governance policies and practices, which are regularly reviewed to ensure compliance with legal and regulatory requirements[69]. - The audit committee is tasked with monitoring the integrity of financial statements and overseeing the risk management and internal control systems[76]. - The company has implemented a whistleblowing policy that encourages reports from stakeholders, ensuring confidentiality and protection for whistleblowers[94]. Environmental, Social, and Governance (ESG) Efforts - The company has established an ESG committee composed of executive directors and heads of finance, human resources, and operations to implement ESG policies and monitor key performance indicators[111]. - The ESG report adheres to the Hong Kong Stock Exchange's mandatory disclosure requirements and follows four reporting principles: materiality, quantification, balance, and consistency[114]. - The company aims to enhance its environmental management efforts and expand the scope of disclosures to cover all ESG work and major business areas[121]. - The company has set three environmental goals: emissions reduction, climate change impact management, and workplace safety and health[130]. - The company has complied with all applicable laws and regulations related to air and greenhouse gas emissions, with no significant claims or penalties during the reporting period[132]. Employee and Workforce Management - Employee costs for the group were approximately RMB 92,806,000 in 2024, up from RMB 91,222,000 in 2023[22]. - The group employed 856 staff members as of December 31, 2024, an increase from 846 in the previous year[35]. - The overall employee turnover rate is reported at 46% for the current period, slightly down from 54% in 2023, showing a decrease of approximately 14.8%[158]. - The company emphasizes equal employment opportunities and has established a fair treatment policy for all employees[163]. - The company has implemented strict safety measures, including mandatory safety training for all dock workers[165]. Community and Social Responsibility - The company is committed to corporate social responsibility, actively participating in community service and encouraging employee involvement in social welfare activities[196]. - The company has a policy against collaborating with suppliers that frequently violate environmental regulations[185]. - The company encourages employees and stakeholders to report any suspected misconduct, ensuring protection for whistleblowers[195]. - The company has established supplier behavior guidelines focusing on human rights, labor protection, environmental protection, and anti-corruption[182]. Future Outlook - The company anticipates that China's import and export growth may slow down in 2025, potentially aligning with the growth rate of 2024 due to external uncertainties and domestic market stability[43]. - The company aims to achieve both revenue and profit growth by 2025[47]. - The company plans to enhance stakeholder communication and engagement through diversified channels[128].

Financial Performance - Revenue rose by 3.7% to $8,182.2 million compared to $7,890.2 million in 2023[10] - Profit attributable to owners increased by 42.8% to $392.4 million, up from $274.7 million in the previous year[10] - Basic earnings per share rose by 42.9% to 24.37 cents, compared to 17.05 cents in 2023[10] - The company reported a significant increase in orders, contributing to improved production efficiency and capacity utilization[30] - The company's overall revenue increased by 3.7% to approximately $8.2 billion, driven by strong performance in the manufacturing business[31] - The company reported a 42.8% increase in profit attributable to shareholders, reaching approximately $392.4 million[32] - The manufacturing business's total revenue was $5,620.8 million, reflecting an 11.1% increase from the previous year[49] - Gross profit rose by 3.5% to $1,992.7 million, with an overall gross margin of 24.4%[57] - The group achieved a gross profit margin of 24.4% for the fiscal year 2024, maintaining the same level as in 2023, while the operating profit margin increased to 6.7% from 5.1% in 2023[181] - The net profit margin improved to 5.2% in 2024, up from 3.9% in 2023, indicating a positive trend in profitability[181] Cash Flow and Dividends - Free cash flow decreased by 56.2% to $325.8 million, down from $744.1 million in 2023[10] - Cash flow from operating activities was $537.1 million, down from $944.7 million in 2023[66] - The company declared a total annual dividend of 1.30 HKD per share, a 44.4% increase from 0.90 HKD in 2023[10] - The board has declared a final dividend of HK$0.90 per share for 2025, up from HK$0.70 per share in 2023, resulting in a total annual dividend of HK$1.30 per share[81] - The company declared an interim dividend of HKD 0.40 per share for the six months ending June 30, 2024, and proposed a final dividend of HKD 0.90 per share, totaling approximately HKD 1,444,094,000, subject to shareholder approval[111] Operational Efficiency - The gross profit margin for the manufacturing business improved by 0.7 percentage points to 19.9%, achieving the highest operating profit margin since 2010[31] - Retail sales in the Greater China region decreased by 8.0% year-on-year in RMB terms, reflecting weak consumer confidence[30] - The company aims to fully implement the SAP ERP system and integrated operation platform by 2025 to enhance production efficiency[33] - The company is focusing on digital transformation and smart manufacturing to enhance short-term and long-term profitability[33] - The company plans to focus on optimizing store efficiency and selectively adjusting or renovating stores as part of its refined retail strategy[51] Market Trends and Demand - Total footwear shipments increased by 16.9% year-on-year to 255.3 million pairs in 2024[10] - Global footwear demand showed a significant recovery, with Vietnam's footwear exports rising by 13.0% to $22.9 billion in 2024[30] - The company’s sports/outdoor footwear accounted for 53.8% of total revenue, while casual shoes and sports sandals made up 9.4%[52] Sustainability and ESG - The company received a "BB" rating from MSCI ESG and improved its scores in various sustainability assessments, outperforming 87% of companies in the textile, apparel, and luxury goods sector[35] - The company’s ESG score improved to 48 in 2024 from 41 in 2023, outperforming 87% of companies in the textile, apparel, and luxury goods sector[45] - The company aims to achieve a 46.2% reduction in absolute greenhouse gas emissions by 2030, using 2019 as the baseline year[184] - The group plans to achieve carbon neutrality by 2025 through the procurement of renewable energy and enhancing energy efficiency[184] Employee and Governance - The group employed approximately 285,500 employees as of December 31, 2024, a 7.9% increase from 264,700 employees in 2023[83] - The board of directors includes a mix of executive and independent non-executive members, ensuring a diverse governance structure[121] - The company emphasizes the importance of employee development and communication channels, including internal websites and surveys, to enhance talent capital and sustainable competitiveness[189] Risk Management - The company has established a risk management framework to address various operational risks, including labor law compliance and data security, by hiring local experts and implementing high-security communication systems[195][197] - The company is focused on diversifying its revenue sources by continuously analyzing brand client orders and exploring new brands and profit sources to mitigate operational risks[198] - The company is prepared to activate contingency plans in response to significant events or abnormal price fluctuations affecting operational costs[200] Capital Expenditure and Investments - The group’s total capital expenditure for 2024 is $211.3 million, an increase from $200.6 million in 2023, with manufacturing capital expenditure at $159.8 million, up from $152.0 million[72] - The group plans to invest approximately ₹23 billion (approximately $276 million) in a production base in an economic zone in Tamil Nadu, India, with the project already underway[73] - The company invested $142.2 million in product development, focusing on innovation and sustainable materials[62] Shareholder Relations - The total number of issued shares is 1,604,556,486 shares[135] - The company has adopted stock option and share award plans to incentivize directors and eligible employees, aligning their interests with the company's performance[127] - The company confirmed a net expense of $2,766,000 related to the Yu Yuan Share Incentive Plan for the year ending December 31, 2024, as equity-settled share-based payments[147]

Financial Performance - For the fiscal year ending December 31, 2024, the company's revenue was RMB 18,453,923, a decrease of 8.0% compared to RMB 20,064,497 in 2023[12] - Gross profit for the same period was RMB 6,308,950, down 6.6% from RMB 6,755,980 in the previous year[12] - Operating profit decreased by 3.6% to RMB 709,226 from RMB 735,861 in 2023[12] - The profit attributable to the company's owners was RMB 491,497, a slight increase of 0.2% from RMB 490,425[12] - The gross profit margin improved to 34.2%, up 0.5 percentage points from 33.7%[12] - The company reported a 22.4% decrease in cash and cash equivalents, totaling RMB 1,419,052 compared to RMB 1,827,563 in 2023[12] - In 2024, the company recorded operating revenue of RMB 18,453.9 million, a decrease of 8.0% compared to 2023[43] - Gross profit for 2024 was RMB 6,308.9 million, down 6.6% year-on-year, with a gross margin increase of 0.5 percentage points to 34.2%[46] - Sales and distribution expenses for 2024 were RMB 5,136.1 million, accounting for 27.8% of operating revenue, a slight decrease from 27.9% in 2023[47] - Operating profit decreased by 3.6% to RMB 709.2 million, with an operating profit margin slightly improving by 0.1 percentage points to 3.8%[48] - Financial income for 2024 was RMB 50.0 million, while financing costs decreased by 26.6% to RMB 67.8 million[49] - The net profit attributable to the company's owners was RMB 491.5 million, with a profit margin of 2.7%, up 0.3 percentage points year-on-year[50] Market Environment - In 2024, the retail sales of clothing, footwear, and knitted goods in China grew by only 0.3%, while overall retail sales increased by 3.5%, indicating a challenging market environment[35] - The company reported a nearly 30% year-on-year decline in foot traffic to physical stores, although the in-store conversion rate improved, partially offsetting the negative trend in same-store sales[37] - The total number of directly operated stores in Greater China decreased from 4,093 at the beginning of the year to 3,448 by the end of 2024, reflecting a net reduction of 75 stores[39] - The company's omnichannel sales contributed approximately 28% to total sales in 2024, helping to mitigate the impact of weak foot traffic in physical stores[40] - The group anticipates that the retail environment will remain volatile and challenging in 2025, focusing on balancing sales momentum and profit margins[56] Strategic Initiatives - The company is focusing on digital transformation and operational excellence to enhance store efficiency and optimize channel mix[27] - The company upgraded its ERP system to improve decision-making efficiency and operational excellence[29] - The company is expanding its market presence in lower-tier cities through enhanced collaboration with wholesale partners[28] - The company continues to enhance its digital capabilities and optimize its store layout to improve customer experience and operational efficiency[39] - The company is committed to advancing digitalization and robust channel strategies while deepening strategic partnerships with brand partners[30] - The company aims to balance sales momentum with profitability as a primary objective in the upcoming challenging year of 2025[30] - The group aims to enhance operational efficiency and implement a digital transformation strategy, including the launch of a new multi-brand outlet store "Victory Warehouse" to provide high-quality products at great value[56] - The group plans to expand its product categories and market segments, including opening new single-brand stores for Crocs, Saucony, and Pony 1972, and targeting the outdoor market with Jack Wolfskin and Dynafit[57] Corporate Governance - The company has a strong focus on corporate governance, with independent directors actively participating in various committees[66][67] - The board of directors includes experienced members with backgrounds in finance, management, and corporate governance, enhancing strategic planning and development[68][69][70][71][72][73] - The company maintains transparency in its operations and governance, adhering to regulatory requirements and best practices in corporate governance[66][67] - The board consists of eight directors, including three independent non-executive directors, ensuring compliance with listing rules regarding board composition[170] - The roles of the Chairman and the CEO are separated to ensure a balanced distribution of power and authority within the board[172] - The board is committed to maintaining high standards of corporate governance to enhance shareholder returns and ensure effective management[166] Employee and Talent Management - The company is committed to expanding its talent pool and providing competitive compensation and development opportunities to attract and retain skilled employees[85] - The company has established effective retention systems and succession planning to address the risk of losing key management personnel[85] - The company has arranged suitable directors and officers liability insurance for its directors and senior management[123] - The company provides ongoing professional development for directors to enhance their knowledge and skills[181] Environmental, Social, and Governance (ESG) Initiatives - The company is actively involved in environmental, social, and governance (ESG) initiatives, reflecting its commitment to sustainable practices[75] - The group has established a climate change policy and is actively monitoring regulatory changes related to carbon emissions[89] - The company has implemented measures to reduce carbon emissions and improve energy efficiency as part of its ESG initiatives[95] - The group has established a dedicated ESG team to manage environmental risks and promote sustainable practices[95] Shareholder Information - The company proposed a final dividend of HKD 0.01 per share and a special dividend of HKD 0.01 per share, totaling an annual dividend of HKD 0.06 per share, with a payout ratio of 60%, doubling from last year[30] - The company declared an interim dividend of HKD 0.02 per share and a special dividend of HKD 0.02 per share, totaling approximately HKD 213.0 million for the six months ended June 30, 2024, compared to HKD 98.5 million for the same period in 2023[79] - The total dividend for the year 2024 is expected to be HKD 0.06 per share, with a payout ratio of 60%, up from 30% in 2023[79] Risk Management - The company is addressing potential risks from natural disasters and public health crises that could impact its retail operations[87] - The company has made significant investments in technology infrastructure to mitigate risks related to IT and data security, including regular testing and maintenance plans[84] - The group has made significant investments in logistics and delivery infrastructure to enhance operational efficiency and reduce costs[87]

Business Strategy and Market Position - The company aims to become a leading financial investor in the region, with a focus on providing high-quality financial products to achieve stable profits[3]. - The company is committed to becoming a top supplier for garment operators in the export business, enhancing its market position[3]. - The retail business aims to lead the clothing retail market in its region, focusing on customer satisfaction and shareholder returns[3]. - The company is focused on sustainable growth and aims to achieve social benefits alongside its partners[3]. - The company plans to expand its market presence in Australia and New Zealand, contributing HKD 8.3 million to the overall revenue in 2024[86]. - The company is focusing on new product development and technology innovation to enhance its competitive edge in the market[87]. - Future guidance indicates a continued growth trajectory with expectations of revenue growth of approximately 15% year-over-year for 2024[87]. - The company is exploring potential mergers and acquisitions to strengthen its market position and diversify its business portfolio[87]. Financial Performance - The company's total revenue for the year reached HKD 910,170,000, representing a growth of 10.83% compared to the previous year[34]. - Profit attributable to equity holders increased by 40.75% to HKD 61,380,000[34]. - Basic earnings per share rose by 41.96% to HKD 4.06[35]. - The company reported a significant increase in financial investment revenue, up 291.00% to HKD 194,385,000[35]. - The proposed final dividend is HKD 0.058 per share, an increase of 20.83% from HKD 0.048 per share last year[36]. - The company continues to focus on high-quality development and effectivity, concentrating resources on the most beneficial and promising businesses[33]. - The company has consistently opted for voluntary dissolution as a method to exit non-performing business segments[24][25][27]. - The operating profit margin improved to 11.18% in 2024 from 6.31% in 2023, indicating enhanced operational efficiency[76]. Corporate Governance - The company has adopted the corporate governance code principles as per the Hong Kong Stock Exchange Listing Rules for the fiscal year ending December 31, 2024[97]. - The board consists of nine members, with five executive directors and four independent non-executive directors, ensuring compliance with the requirement of at least three independent non-executive directors[105]. - The company has maintained a gender diversity policy within the board, with two female executive directors among the nine members[105]. - The board has established mechanisms to ensure independent viewpoints are communicated effectively, which were reviewed and deemed effective during the fiscal year[106]. - The company has confirmed that all independent non-executive directors meet the independence criteria as per the Listing Rules[104]. - The board is committed to appointing at least three independent non-executive directors, with at least one-third of the board being independent[107]. - The company has a clear separation of roles between the chairman and the CEO, enhancing governance and operational oversight[101]. - The company has implemented a code of conduct for securities trading by directors, ensuring compliance with the established standards[126]. Shareholder Information - The company plans to hold its annual general meeting on May 19, 2025, to discuss financial statements and declare dividends for the year ending December 31, 2024[9][10]. - The company will seek approval for the appointment of new executive directors and independent non-executive directors during the annual general meeting[10]. - The company intends to authorize the board to determine the remuneration of directors and auditors, ensuring proper governance[10]. - The company will suspend share registration from May 14, 2025, to May 19, 2025, to determine eligibility for the upcoming annual general meeting[19]. - The company will also suspend share registration from May 23, 2025, to May 27, 2025, for the distribution of the proposed final dividend[19]. - The proposed final dividend for the year ending December 31, 2024, is HKD 5.80 per share, an increase from HKD 4.80 in 2023, with a total dividend amounting to approximately HKD 147,555,000, representing 240.40% of the profit attributable to equity holders[54]. Risk Management and Internal Controls - The company has adopted a risk management and internal control system that is reviewed at least annually, covering financial, operational, and compliance areas[132]. - The board confirmed that there were no significant deficiencies found in the risk management and internal control system during the review period[139]. - The internal audit department plays a crucial role in reviewing and assessing the effectiveness of the risk management and internal control system, following the COSO control framework[138]. - The company has established a whistleblowing policy to allow employees and third parties to report concerns confidentially and anonymously[140]. - The company has adopted an anti-corruption policy outlining guidelines and personal responsibilities regarding anti-corruption and bribery prevention[141]. Share Repurchase and Capital Management - The company authorized the purchase of shares in China Construction Bank and Industrial and Commercial Bank of China, with a total amount not exceeding HKD 400 million each, excluding stamp duty and related costs[6]. - The company repurchased a total of 13,332,000 shares during the year, with a total cost of approximately HKD 12,958,000[8]. - The highest repurchase price per share was HKD 1.24, while the lowest was HKD 0.82[9]. - The company has maintained at least 25% of its issued shares held by the public as of the report date[7]. Audit and Compliance - The auditor for the financial statements for the year ending December 31, 2024, is Ernst & Young, with no change in auditors over the past three years[11]. - The consolidated financial statements reflect the group's financial position as of December 31, 2024, and its performance for the year ended on that date[198]. - The audit was conducted in accordance with the Hong Kong Financial Reporting Standards, ensuring a true and fair view of the financial statements[198]. - Key audit matters were identified based on professional judgment, highlighting the most significant issues during the audit process[200].

Financial Performance - In 2024, the Group recorded a revenue of RMB114,231,000, which is basically unchanged from RMB114,030,000 in the same period of 2023[15]. - The loss attributable to owners of the Company increased to RMB24,418,000 in 2024 from RMB18,179,000 in 2023, primarily due to an impairment provision of approximately RMB54,024,000 for State Subsidy receivables and power plant assets[15]. - The Group recorded a revenue of RMB114,231,000 during the Reporting Period, which is basically on par with RMB114,030,000 in the same period of 2023[28]. - Loss attributable to owners of the Company increased to RMB24,418,000 from RMB18,179,000 in the same period of 2023[28]. - Total power generation revenue was approximately RMB61,899,000, a decrease from RMB69,261,000 in the same period of 2023, primarily due to reduced solar power generation[33]. - The smart energy business contributed approximately RMB85,506,000 to the Group's revenue, representing a decrease of approximately 10.26% compared to RMB95,283,000 in the same period of 2023[34]. - The public infrastructure construction business contributed approximately RMB28,725,000 to the Group's revenue, an increase from RMB18,747,000 in the same period of 2023[35]. - The Group's total revenue for the reporting period was RMB114,231,000, slightly up from RMB114,030,000 in the same period of 2023, while gross profit increased to RMB30,652,000 from RMB24,854,000, resulting in a gross profit margin of 26.83%, up from 21.80%[40][43]. Impairment and Losses - An impairment provision of approximately RMB54,024,000 was made for accounts receivable related to the State Subsidy and the assets of a solar power plant during the Reporting Period[28]. - The management's decision to make a total impairment provision reflects a cautious approach due to the uncertain recovery of state subsidies[15]. - Impairment losses on non-financial assets amounted to approximately RMB33,322,000, down from RMB58,794,000 in the same period of 2023, mainly due to a provision for a solar power plant with uncertain state subsidy recovery[46][51]. - The Group recognized impairment losses on financial assets of RMB18,653,000, compared to a reversal of RMB5,012,000 in the same period of 2023, primarily related to accounts receivable for state subsidies[47][52]. Operational Challenges - The solar industry faces challenges such as unstable electricity prices and restricted power generation capacity due to increased installed capacity[14]. - The solar power generation industry in China is expected to transition from scale expansion to high-quality development by 2025, with a slowdown in growth anticipated[19]. - The PRC has issued regulations to address consumption difficulties in solar power generation, including accelerating the construction of new energy power grid projects[19]. Asset Management and Strategy - The Group aims to improve asset operation levels and create good returns for shareholders through timely adjustments to business strategies[20]. - The Group aims to enhance asset operation levels and ensure stable business development in response to national policy changes[23]. - The Group operates 11 existing ground and commercial distributed solar power plants with an installed capacity of approximately 64 MW and 18 MW household solar power plants[33]. Financial Position and Cash Flow - As of December 31, 2024, cash and bank balances were approximately RMB221,468,000, down from RMB227,743,000 as of December 31, 2023, mainly due to bank loan repayments[56]. - Total current assets were approximately RMB665,114,000 with a current ratio of 5.47, down from RMB672,255,000 and 6.53 respectively as of December 31, 2023, primarily due to decreases in cash and trade receivables[57]. - External borrowings decreased to RMB133,600,000 as of December 31, 2024, from RMB160,500,000 as of December 31, 2023, secured by machinery at solar power plants valued at RMB209,228,000[62]. - The Group's net debt was negative as of December 31, 2024, due to loan repayments and recovery of receivables during the reporting period[65]. - The proportion of long-term and short-term debts was 53.33% and 46.67% respectively as of December 31, 2024, compared to 63.90% and 36.10% as of December 31, 2023[66]. Employee and Management - The total staff costs for the year ended December 31, 2024, were RMB12,802,000, with a workforce reduction to 43 employees from 67 in the previous year[80]. - The company has a strong performance evaluation system for employees based on their position, qualifications, performance, work experience, and market trends[83]. - The group provides a mandatory provident fund plan for employees in Hong Kong and statutory social insurance contributions for employees in China, in compliance with local laws[83]. - The company emphasizes the importance of maintaining good relationships with suppliers and customers to achieve both immediate and long-term goals, with no significant disputes reported during the reporting period[175]. Governance and Compliance - The company emphasizes the importance of corporate governance and compliance, as reflected in the roles of its independent directors[93]. - The Group has complied with all relevant environmental protection laws and regulations throughout the reporting period, ensuring sustainable operations[136]. - The Group's operations are primarily regulated by local laws on renewable energy and construction projects in Mainland China[145]. Strategic Initiatives - The Group's principal activities include smart energy business, public infrastructure construction, and related management, with gradual expansion into other clean energy sectors[102]. - The strategic direction includes exploring new business opportunities and enhancing investor relations to support long-term growth[94]. - The Group's commitment to sustainable development includes maintaining mutually beneficial relationships with stakeholders, which is vital for the Group's growth[137]. Customer and Supplier Relationships - Sales to the Group's five largest customers accounted for approximately 65% of total sales for the Reporting Period, with the largest customer contributing 25%[170]. - Purchases from the Group's five largest suppliers accounted for approximately 83% of total purchases for the Reporting Period, with the largest supplier contributing 47%[170]. - The Group offers competitive remuneration packages to attract and motivate employees, regularly reviewing these packages[172].

Financial Performance - Revenue for the fiscal year ended December 31, 2024, was RMB 237,646,000, representing an increase of 8.7% compared to RMB 218,698,000 in 2023[12] - Gross profit decreased to RMB 47,410,000, down 6.8% from RMB 50,878,000, with a gross margin of 19.9%, a decline of 3.4 percentage points from 23.3%[12] - Net profit attributable to owners of the company was RMB 16,035,000, a decrease of 22.0% from RMB 20,552,000, resulting in a net profit margin of 6.7%, down 2.7 percentage points from 9.4%[12] - The group's revenue for the fiscal year 2024 was approximately RMB 237.6 million, an increase of about RMB 18.9 million or 8.7% compared to RMB 218.7 million in fiscal year 2023[16] - The profit attributable to the company's owners for fiscal year 2024 was approximately RMB 16.0 million, a decrease of about 22.0% from approximately RMB 20.6 million in fiscal year 2023[16] - The group's gross profit for the fiscal year 2024 was approximately RMB 47.4 million, a decrease of about 3.5 million or 6.8% compared to RMB 50.9 million in fiscal year 2023, with a gross margin decline from 23.3% to 19.9%[28] - Net profit for fiscal year 2024 was approximately RMB 16.0 million, down from RMB 20.6 million in fiscal year 2023, resulting in a net profit margin decrease from 9.4% to 6.7%[34] Assets and Liabilities - Total assets increased by 10.4% to RMB 683,288,000 from RMB 619,063,000[13] - Total liabilities rose by 18.0% to RMB 326,799,000 from RMB 276,864,000[13] - Cash and cash equivalents decreased by 26.4% to RMB 31,034,000 from RMB 42,169,000[13] - Current assets increased to approximately RMB 482.3 million as of December 31, 2024, compared to RMB 417.9 million as of December 31, 2023, while current liabilities rose to about RMB 313.5 million from RMB 260.0 million[36] - The total equity of the group increased to approximately RMB 356.5 million as of December 31, 2024, from RMB 342.2 million as of December 31, 2023, primarily due to the net profit recorded in fiscal year 2024[39] Operational Developments - The company focuses on the development of customized molds and automotive lightweight applications, aiming to provide comprehensive mold services and solutions[14] - The new factory construction in Kunshan, Jiangsu Province, was completed by the end of 2023, with operations expected to enhance production efficiency[18] - The group plans to continue expanding its domestic and overseas markets while strengthening cooperation with existing clients[19] - The company has established a clear process for the appointment, re-election, and removal of directors, ensuring compliance with listing rules[94] Corporate Governance - The board is committed to maintaining high corporate governance standards to protect shareholder interests and enhance corporate value[77] - The company has adopted the principles and code provisions of the Corporate Governance Code as the basis for its governance practices[77] - The board consists of a balanced mix of executive and non-executive directors, ensuring at least three independent non-executive directors are appointed[83] - The company has implemented various policies, including an employee code of conduct and anti-corruption measures, to strengthen governance practices[76] - The company has ensured compliance with all code provisions of the Corporate Governance Code as of December 31, 2024, except for one specific provision[77] Risk Management - The group has established a risk management framework to address various operational risks, including labor shortages and credit risks from customers[159] - The company faces significant risks, including reliance on five major customers, where a decrease or termination of sales to any of them could adversely affect its business and financial condition[157] - The board is responsible for overseeing the company's risk management and approving significant business decisions[161] Shareholder Relations - The company has established various channels for continuous dialogue with shareholders, including annual general meetings and other shareholder meetings[146] - The company emphasizes effective communication with shareholders to enhance investor relations and understanding of its business performance and strategies[144] - The company encourages shareholder participation in meetings and allows for the appointment of representatives if shareholders cannot attend[146] Employee and Remuneration Policies - The total employee costs for the fiscal year 2024 were approximately RMB 51.1 million, an increase from RMB 47.0 million in the fiscal year 2023, primarily due to rising direct labor costs[45] - The company is committed to attracting and retaining high-quality employees through competitive remuneration packages[109] - The remuneration committee is responsible for recommending overall remuneration policies for all directors and senior management, ensuring competitive compensation[108] Future Outlook - Future outlook includes continued investment in new technologies and market expansion strategies[14] - The company aims to assist China in becoming a global manufacturing powerhouse as part of its mission[76] - The company has a vision to become a model happy enterprise in China[76]

Financial Performance - For Q1 2025, the operating revenue was RMB 263.8 billion, a slight increase of 0.02% year-over-year, with communication service revenue at RMB 222.4 billion, growing by 1.4%[3] - EBITDA reached RMB 80.7 billion, reflecting a year-over-year increase of 3.4%, with an EBITDA margin of 30.6%[4] - The profit attributable to shareholders was RMB 30.6 billion, up 3.5% compared to the previous year, resulting in a profit margin of 11.6%[9] - The total comprehensive income for the three months ended March 31, 2025, was RMB 30,647 million, compared to RMB 30,545 million for the same period in 2024, representing an increase of 0.33%[12] - The profit attributable to shareholders for the period was RMB 30,630 million, up from RMB 29,629 million in the previous year, reflecting a growth of 3.37%[12] - Earnings per share (basic and diluted) for the period was RMB 1.42, compared to RMB 1.38 in the same period last year, indicating a 2.89% increase[12] Customer Base and Services - The total mobile customer base stood at 1.003 billion, with 5G customers reaching 578 million, indicating a strong growth in 5G adoption[5] - The average revenue per user (ARPU) for mobile services was RMB 46.9, an increase of 3.5% year-over-year[6] - The number of fixed broadband customers increased to 320 million, with a net addition of 5.48 million in the quarter[7] - The company is focusing on enhancing its service ecosystem centered around smart home solutions, with a significant increase in household broadband customers[7] Market Expansion and Revenue Sources - The revenue from emerging markets has further increased, indicating successful international expansion efforts[8] - The sales revenue from products and others was RMB 41.4 billion, down 6.8% year-over-year, highlighting challenges in this segment[8] Assets and Liabilities - Total assets as of March 31, 2025, amounted to RMB 2,125,572 million, a slight increase from RMB 2,108,127 million as of December 31, 2024[15] - Non-current assets decreased to RMB 1,556,866 million from RMB 1,539,568 million, primarily due to a reduction in fixed assets[13] - Current liabilities decreased to RMB 612,042 million from RMB 633,018 million, showing a reduction of approximately 3.32%[15] - The company's equity attributable to shareholders increased to RMB 1,425,616 million from RMB 1,392,032 million, reflecting a growth of 2.41%[15] - Cash and cash equivalents decreased to RMB 125,078 million from RMB 167,309 million, indicating a decline of 25.29%[15] - The company reported an increase in accounts receivable to RMB 101,394 million from RMB 75,741 million, representing a significant rise of 33.93%[13] - The company’s bank deposits increased to RMB 64,813 million from RMB 54,413 million, marking a growth of 19.19%[13] Cash Flow and Investment Activities - The company's pre-tax profit for the three months ended March 31, 2025, was RMB 39,312 million, an increase from RMB 38,374 million in the same period of 2024, representing a growth of 2.4%[16] - Operating cash flow before changes in working capital was RMB 88,347 million, compared to RMB 86,446 million in the previous year, indicating a year-over-year increase of 2.2%[16] - Net cash inflow from operating activities was RMB 31,317 million, down from RMB 56,904 million in the same period last year, reflecting a decrease of 45%[16] - The company reported a net cash outflow from investing activities of RMB 20,491 million, a significant reduction from RMB 75,799 million in the previous year, showing improved cash management[18] - Cash and cash equivalents at the end of the period increased to RMB 166,026 million, up from RMB 125,078 million at the end of the same period last year, marking a growth of 32.8%[20] - The company recorded a net cash outflow from financing activities of RMB 12,064 million, compared to a net inflow of RMB 2,305 million in the same period of 2024[20] Strategic Focus and Future Outlook - The company is committed to deepening reforms and innovation to enhance operational efficiency and drive high-quality growth[9] - The company plans to continue investing in new technologies and market expansion, although specific figures were not disclosed in the call[22] - The company emphasized the importance of cautious investment decisions, highlighting the potential risks and uncertainties in future performance[22] - The board of directors remains committed to strategic growth and shareholder value, with ongoing assessments of market conditions and operational strategies[22]

Financial Performance - The group's revenue decreased by approximately 25.4% to about HKD 21.5 million from approximately HKD 28.9 million in the previous year[7]. - Gross profit fell to approximately HKD 6.8 million, a decrease of about 19.7% from last year's HKD 8.4 million[7]. - The group recorded a loss attributable to owners of approximately HKD 3.3 million, compared to a loss of HKD 5.7 million in the previous year[8]. - Revenue from office property projects decreased by HKD 4.9 million, while revenue from elderly care projects increased by HKD 2.2 million[38]. - The gross profit margin for office property projects decreased from approximately 29.3% last year to about 26.6% this year[41]. - The gross profit margin for elderly care projects increased significantly from approximately 4.7% last year to about 54.8% this year[41]. - The company completed several office property and elderly care projects during the year, indicating a cautious recovery in the market[34]. - Sales and distribution expenses slightly increased to HKD 1.3 million this year from HKD 1.2 million last year, primarily due to increased employee costs[44]. - Administrative expenses decreased from approximately HKD 14.1 million last year to about HKD 11.1 million this year, mainly due to a reduction in employee costs[45]. - The group recognized a provision for trade receivables and contract assets loss of HKD 0.4 million for the year ended December 31, 2024, compared to an impairment loss of HKD 0.9 million in 2023[49]. - As of December 31, 2024, the group had net current assets of approximately HKD 60.1 million, down from HKD 62.0 million in 2023, with cash and cash equivalents of about HKD 9.0 million[50]. - The current ratio increased to approximately 19.4 times as of December 31, 2024, compared to 15.7 times in 2023, primarily due to an increase in trade and other receivables[50]. - The group maintained a strong liquidity position with no outstanding borrowings as of December 31, 2024, due to no significant debt financing needs during the year[50]. - The group had unutilized bank financing of HKD 2.0 million as of December 31, 2024, consistent with the previous year[50]. - The company’s available distributable reserves as of December 31, 2024, are approximately HKD 54.6 million, up from HKD 36.0 million in 2023[78]. Market Outlook - The company anticipates a recovery in demand for office property renovations as market sentiment improves[9]. - The aging population in Hong Kong is expected to drive the demand for more healthcare centers, medical clinics, and laboratories[9]. - The company remains cautiously optimistic about the external economic environment and market developments[9]. - New contracts awarded have not yet reached pre-pandemic levels, but the company believes it has weathered the most challenging period[9]. Management and Governance - The company has a strong management team with diverse backgrounds in finance, project management, and design, enhancing its operational capabilities[21]. - The company is committed to maintaining high standards of financial management and corporate governance, as evidenced by the qualifications of its board members[31]. - The board includes members with extensive experience in both local and international markets, contributing to strategic decision-making[28]. - The company has a strong governance structure with independent non-executive directors overseeing key committees such as the Audit and Remuneration Committees[27]. - The company has established a clear framework for corporate governance functions, which was reviewed and executed during the year[159]. - The board consists of six members, including three executive directors and three independent non-executive directors[127]. - The company has complied with all corporate governance code provisions, except for a deviation from provision C.2.1[126]. - The company has established a procedure for directors to seek independent professional advice at the company's expense[147]. - The company has implemented a system for continuous professional development for all directors, including participation in seminars and reading relevant materials[147]. Risk Management - The company has established a risk management team that includes operational staff and the company secretary to execute risk identification and monitoring procedures[167]. - The risk management procedures have been reviewed this year, and the board considers them effective and sufficient[168]. - The internal control system is reviewed at least annually, and an independent external consultant has been appointed to assess its effectiveness[165]. - The company has adopted a code of conduct for directors regarding securities trading, ensuring compliance with the GEM listing rules[162]. - The board is committed to maintaining an effective internal control system to protect shareholders' interests and the group's assets[166]. Shareholder Relations - The company encourages two-way communication with institutional and private investors, enhancing investor relations[173]. - The annual general meeting was held on June 7, 2024, providing a platform for direct communication between the board and shareholders[174]. - The board has confirmed the effectiveness of the shareholder communication policy during the review this year[175]. Environmental, Social, and Governance (ESG) - The company emphasizes its commitment to integrating Environmental, Social, and Governance (ESG) principles into all aspects of its operations[182]. - The board is responsible for assessing and determining the company's ESG-related risks and ensuring effective risk management and internal control systems are in place[186]. - The company aims to minimize its environmental footprint by prioritizing sustainable material procurement, energy-saving solutions, and waste reduction practices[182]. - The ESG report is prepared in accordance with the Hong Kong Stock Exchange's guidelines, ensuring compliance with all relevant regulations[187]. - Stakeholder engagement is actively pursued to identify and address ESG issues, with various communication channels established for different stakeholder groups[192]. - The group strictly adhered to applicable environmental laws and regulations during the reporting period, ensuring compliance with the Environmental Impact Assessment Ordinance and Waste Disposal Ordinance[200]. - The project team actively collaborates with subcontractors to meet environmental protection requirements in interior renovation projects[200]. - Regular inspections are conducted to monitor subcontractors' environmental performance and ensure compliance with environmental regulations[200]. - The group identified 22 key environmental, social, and governance (ESG) issues that are most important to its business and stakeholders[195].