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 倚 賴 該 等 內 容 而 引 致 的 任 何 損 失 承 擔 任 何 責 任。 Xi'an Kingfar Property Services Co., Ltd. 西安經發物業股份有限公司 （於中華人民共和國註冊成立的股份有限公司） （股份代號：1354） 截 至2025年6月30日止六個月之中期業績公告 | 財務摘要 | | | | | | | | | | | | | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | | | | | | ...

[Company Information](index=3&type=section&id=Company%20Information) This section provides an overview of the company's corporate structure, including its board composition, committees, and fundamental registration details [Board of Directors and Committee Composition](index=3&type=section&id=Board%20of%20Directors%20and%20Committee%20Composition) The company's Board of Directors comprises two executive directors and three independent non-executive directors, supported by audit, remuneration, and nomination committees for effective corporate governance - The Board members include executive directors Mr. Hu Bo and Ms. Ji Guiping, and independent non-executive directors Mr. Chan Chi Hung, Mr. To Kin Chuen, and Mr. Choi Kam Yan[8](index=8&type=chunk) - The Audit Committee is chaired by Mr. To Kin Chuen, the Remuneration Committee by Mr. To Kin Chuen, and the Nomination Committee by Mr. Hu Bo[8](index=8&type=chunk) [Company Basic Information](index=3&type=section&id=Company%20Basic%20Information) The company is incorporated in the Cayman Islands with its headquarters in Kowloon, Hong Kong, stock code 1150, and primary banking relationships with OCBC Wing Hang Bank, DBS Bank (Hong Kong), and China Construction Bank (Asia) - The company's stock code is **1150**[9](index=9&type=chunk) - Key banking relationships include OCBC Wing Hang Bank Limited, DBS Bank (Hong Kong) Limited, and China Construction Bank (Asia) Corporation Limited[9](index=9&type=chunk) - The company's website is www.milanstation.com.hk[9](index=9&type=chunk) [Condensed Consolidated Statement of Profit or Loss](index=5&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss) For the six months ended June 30, 2025, the Group reported a net loss of approximately HK$11.0 million, a significant 48.8% reduction year-on-year, primarily due to a narrower fair value change loss on financial assets at fair value through profit or loss Key Financial Data from Condensed Consolidated Statement of Profit or Loss | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Revenue | 50,057 | 63,159 | (13,102) | -20.7% | | Cost of Sales | (44,314) | (59,105) | 14,791 | -25.0% | | Gross Profit | 5,743 | 4,054 | 1,689 | 41.7% | | Other Income and Other Gains | 729 | 3,676 | (2,947) | -80.2% | | Fair Value Change Loss on Financial Assets at Fair Value Through Profit or Loss | (1,878) | (11,341) | 9,463 | -83.4% | | Operating Loss | (10,199) | (20,780) | 10,581 | -50.9% | | Loss for the Period | (11,023) | (21,521) | 10,498 | -48.8% | | Basic Loss Per Share (HK Cents) | (1.04) | (2.44) | 1.40 | -57.4% | [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2025, the Group's total comprehensive loss was HK$11.0 million, a substantial 48.0% decrease year-on-year, mainly driven by the narrowed loss for the period Key Data from Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Loss for the Period | (11,023) | (21,521) | 10,498 | -48.8% | | Exchange Differences Arising from Translation of Foreign Operations | (1) | 316 | (317) | -100.3% | | Total Comprehensive Loss for the Period | (11,024) | (21,205) | 10,181 | -48.0% | [Condensed Consolidated Statement of Financial Position](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the Group's net assets were HK$61.2 million, a 15.3% decrease from December 31, 2024, primarily due to reductions in current assets like inventories and financial assets Key Data from Condensed Consolidated Statement of Financial Position | Indicator | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Non-current Assets | 10,973 | 7,580 | 3,393 | 44.8% | | Current Assets | 81,980 | 96,117 | (14,137) | -14.7% | | Current Liabilities | 17,766 | 19,463 | (1,697) | -8.7% | | Net Current Assets | 64,214 | 76,654 | (12,440) | -16.2% | | Total Assets Less Current Liabilities | 75,187 | 84,234 | (9,047) | -10.7% | | Non-current Liabilities | 13,975 | 11,998 | 1,977 | 16.5% | | Net Assets | 61,212 | 72,236 | (11,024) | -15.3% | | Total Equity | 61,212 | 72,236 | (11,024) | -15.3% | - Non-current assets increased by **44.8%**, driven by increases in property, plant and equipment and right-of-use assets[17](index=17&type=chunk) - Current assets decreased by **14.7%**, primarily due to reductions in inventories, trade receivables, loans receivable, and financial assets at fair value through profit or loss[17](index=17&type=chunk) [Condensed Consolidated Statement of Changes in Equity](index=8&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) For the six months ended June 30, 2025, total equity attributable to owners of the company decreased to HK$61.2 million, primarily reflecting the loss for the period and minor exchange differences Key Data from Condensed Consolidated Statement of Changes in Equity | Indicator | January 1, 2025 (Audited) (HK$ '000) | Total Comprehensive Income for the Period (HK$ '000) | June 30, 2025 (Unaudited) (HK$ '000) | | :--- | :--- | :--- | :--- | | Share Capital | 42,277 | – | 42,277 | | Share Premium Account | 271,741 | – | 271,741 | | Capital Reserve | 10 | – | 10 | | Merger Reserve | (23,782) | – | (23,782) | | Statutory Reserve | – | – | – | | Exchange Reserve | 527 | (1) | 526 | | Share Option Reserve | – | – | – | | Accumulated Losses | (218,537) | (11,023) | (229,560) | | **Total Equity** | **72,236** | **(11,024)** | **61,212** | - The total comprehensive loss for the period was **HK$11,024 thousand**, leading to a corresponding reduction in total equity[18](index=18&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) For the six months ended June 30, 2025, the Group's net decrease in cash and cash equivalents was HK$1.8 million, primarily due to increased net cash flows used in financing activities Key Data from Condensed Consolidated Statement of Cash Flows | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Net Cash Flows from Operating Activities | 5,277 | 3,402 | 1,875 | 55.1% | | Net Cash Flows Used in Investing Activities | (1,196) | (233) | (963) | 413.3% | | Net Cash Flows Used in Financing Activities | (5,888) | (4,640) | (1,248) | 26.9% | | Net Decrease in Cash and Cash Equivalents | (1,807) | (1,471) | (336) | 22.8% | | Cash and Cash Equivalents at End of Period | 9,447 | 9,098 | 349 | 3.8% | - Net cash flows from operating activities increased by **55.1%** year-on-year[23](index=23&type=chunk) - Net cash flows used in investing activities significantly increased by **413.3%**, primarily due to higher acquisitions of property, plant and equipment[23](index=23&type=chunk)[41](index=41&type=chunk) [Notes to the Condensed Consolidated Interim Financial Statements](index=10&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Interim%20Financial%20Statements) This section provides detailed notes to the condensed consolidated interim financial statements, covering company information, basis of preparation, operating segment data, revenue and expense analysis, taxation, loss per share, dividends, asset and liability item details, related party transactions, and financial instrument classification [1. Company Information](index=10&type=section&id=1.%20Company%20Information) The company's principal business is investment holding, with its subsidiaries primarily engaged in the retail of handbags, fashion accessories, and ornaments, with no significant change in the Group's principal business nature during the period - The principal business of the Company is investment holding[24](index=24&type=chunk) - The principal business of the Company's subsidiaries is the retail of handbags, fashion accessories, and ornaments[24](index=24&type=chunk) - There was no significant change in the nature of the Group's principal business during the period[24](index=24&type=chunk) [2. Basis of Preparation](index=10&type=section&id=2.%20Basis%20of%20Preparation) The unaudited condensed consolidated interim financial statements are prepared in accordance with HKAS 34 and the Listing Rules, with principal accounting policies consistent with the prior year's audited consolidated financial statements, and no significant changes from new or revised HKFRS standards - The interim financial statements are prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants and the Listing Rules of the Stock Exchange[25](index=25&type=chunk) - The principal accounting policies and methods of computation used in preparing these unaudited condensed consolidated financial statements are consistent with those adopted in the annual audited consolidated financial statements for the year ended December 31, 2024[25](index=25&type=chunk) - The adoption of new and revised Hong Kong Financial Reporting Standards has not resulted in significant changes to the Group's accounting policies, financial statement presentation, or reported amounts[26](index=26&type=chunk) [3. Operating Segment Information](index=11&type=section&id=3.%20Operating%20Segment%20Information) The Group's sole operating segment is the retail of handbags and fashion accessories, with revenue and non-current assets primarily located in Hong Kong, and no single customer accounted for 10% or more of total Group revenue during the period - The Group's principal business is the retail of handbags and fashion accessories, which constitutes its sole operating segment[28](index=28&type=chunk) - The Group's revenue is primarily derived from the sale of goods in Hong Kong, where its non-current assets are also mainly located[28](index=28&type=chunk) - For the six months ended June 30, 2025 and 2024, no single customer accounted for **10%** or more of the Group's total revenue[29](index=29&type=chunk) [4. Revenue, Other Income and Other Gains](index=11&type=section&id=4.%20Revenue,%20Other%20Income%20and%20Other%20Gains) Total revenue for the period decreased by 20.7% to HK$50.1 million, primarily from handbag sales, while other income and gains significantly dropped by 80.2% due to the absence of a gain from subsidiary disposal in the prior period Analysis of Revenue, Other Income and Other Gains | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Sale of handbags | 49,657 | 62,558 | (12,901) | -20.6% | | Sale of fashion accessories | 400 | 601 | (201) | -33.4% | | **Total Revenue** | **50,057** | **63,159** | **(13,102)** | **-20.7%** | | Interest income | 3 | 11 | (8) | -72.7% | | Interest income from loans receivable | 223 | 154 | 69 | 44.8% | | Other income | 503 | 611 | (108) | -17.7% | | Gain on disposal of a subsidiary | – | 2,900 | (2,900) | -100.0% | | **Total Other Income and Other Gains** | **729** | **3,676** | **(2,947)** | **-80.2%** | - The decrease in other income and other gains was primarily due to the gain on disposal of a subsidiary recorded in 2024, which was absent in the current period[30](index=30&type=chunk) [5. Finance Costs](index=12&type=section&id=5.%20Finance%20Costs) Finance costs for the period were HK$0.7 million, a slight decrease from the prior period, primarily comprising imputed interest expense on bonds payable and interest expense on lease liabilities Analysis of Finance Costs | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Imputed interest expense on bonds payable | 400 | 320 | 80 | 25.0% | | Interest expense on lease liabilities | 295 | 421 | (126) | -29.9% | | **Total Finance Costs** | **695** | **741** | **(46)** | **-6.2%** | [6. Loss Before Tax](index=12&type=section&id=6.%20Loss%20Before%20Tax) The Group's loss before tax significantly narrowed to HK$10.9 million, a 49.3% reduction from the prior period, mainly due to decreased employee benefit expenses, cost of inventories sold, and depreciation expenses Analysis of Loss Before Tax Components | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Employee benefit expenses | 3,793 | 4,807 | (1,014) | -21.1% | | Cost of inventories sold | 44,314 | 59,105 | (14,791) | -25.0% | | Depreciation (property, plant and equipment) | 465 | 1,010 | (545) | -54.0% | | Depreciation (right-of-use assets) | 3,613 | 4,275 | (662) | -15.5% | [7. Income Tax Expense](index=13&type=section&id=7.%20Income%20Tax%20Expense) Income tax expense for the period was HK$129 thousand, primarily due to under-provision in the prior year, with no provision for profits tax required as Hong Kong and PRC subsidiaries had no assessable profits - Income tax expense for 2025 was **HK$129 thousand**, mainly due to under-provision in the prior year[36](index=36&type=chunk) - No provision for Hong Kong profits tax and enterprise income tax was required for the period as the Group's Hong Kong entities and PRC subsidiaries had no assessable profits[37](index=37&type=chunk) [8. Loss Per Share](index=14&type=section&id=8.%20Loss%20Per%20Share) Both basic and diluted loss per share for the period were (1.04) HK Cents, a significant improvement from (2.44) HK Cents in the prior year, reflecting the narrowed loss for the period, with no potential dilutive ordinary shares outstanding Analysis of Loss Per Share | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Loss attributable to owners of the Company | (11,023) | (21,521) | 10,498 | -48.8% | | Weighted average number of ordinary shares | 1,056,936,650 | 880,786,650 | 176,150,000 | 20.0% | | **Basic Loss Per Share (HK Cents)** | **(1.04)** | **(2.44)** | **1.40** | **-57.4%** | | **Diluted Loss Per Share (HK Cents)** | **(1.04)** | **(2.44)** | **1.40** | **-57.4%** | - For the six months ended June 30, 2025 and 2024, no adjustment was made to the basic loss per share as there were no potential dilutive ordinary shares outstanding during the period[39](index=39&type=chunk) [9. Dividends](index=14&type=section&id=9.%20Dividends) No dividends were paid or proposed for the period, consistent with the prior year - No dividends were paid or proposed during the period (June 30, 2024: Nil)[40](index=40&type=chunk) [10. Property, Plant and Equipment](index=14&type=section&id=10.%20Property,%20Plant%20and%20Equipment) The Group acquired approximately HK$1.2 million in property, plant and equipment during the period, a significant increase from the prior year, with no disposals of such assets - For the six months ended June 30, 2025, the Group acquired property, plant and equipment of approximately **HK$1,199,000** (six months ended June 30, 2024: HK$244,000)[41](index=41&type=chunk) - For the six months ended June 30, 2025, the Group did not dispose of any property, plant and equipment (six months ended June 30, 2024: Nil)[42](index=42&type=chunk) [11. Right-of-use Assets](index=14&type=section&id=11.%20Right-of-use%20Assets) A new lease arrangement amounting to approximately HK$6.7 million was entered into during the period, with no new right-of-use assets recognized due to the renewal of existing leases - For the six months ended June 30, 2025, a new lease arrangement amounted to approximately **HK$6,672,000** (2024: two new leases amounted to HK$6,885,000)[43](index=43&type=chunk) - For the six months ended June 30, 2025, the Group did not recognize new right-of-use assets due to the renewal of existing leases during the period (2024: HK$1,198,000)[43](index=43&type=chunk) [12. Trade Receivables](index=15&type=section&id=12.%20Trade%20Receivables) As of June 30, 2025, net trade receivables were HK$1.8 million, an 18.2% decrease from December 31, 2024, with the Group maintaining strict control over receivables and typically granting credit terms of 0 to 90 days Analysis of Trade Receivables | Indicator | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Trade receivables | 2,731 | 3,129 | (398) | -12.7% | | Less: Provision for expected credit losses | (947) | (947) | – | 0.0% | | **Net Trade Receivables** | **1,784** | **2,182** | **(398)** | **-18.2%** | - Customers are generally granted credit terms of **0 to 90 days**[45](index=45&type=chunk) - The aging analysis of trade receivables shows that receivables aged 7 to 12 months decreased from **HK$1,601 thousand** to **HK$1,029 thousand**[46](index=46&type=chunk) [13. Loans Receivable](index=15&type=section&id=13.%20Loans%20Receivable) As of June 30, 2025, net loans receivable were HK$2.1 million, a 43.2% decrease from December 31, 2024, with these loans being unsecured, bearing 8% annual interest, and repayable within one year Analysis of Loans Receivable | Indicator | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Loans receivable | 13,118 | 14,696 | (1,578) | -10.7% | | Less: Provision for expected credit losses | (11,041) | (11,041) | – | 0.0% | | **Net Loans Receivable** | **2,077** | **3,655** | **(1,578)** | **-43.2%** | - Loans receivable are unsecured, bear interest at an annual rate of **8%**, and are repayable within one year[47](index=47&type=chunk) [14. Trade and Other Payables](index=16&type=section&id=14.%20Trade%20and%20Other%20Payables) As of June 30, 2025, total trade and other payables were HK$10.9 million, a 9.8% decrease from December 31, 2024, primarily due to a reduction in trade payables Analysis of Trade and Other Payables | Indicator | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Trade payables | 602 | 1,989 | (1,387) | -69.7% | | Accruals | 7,828 | 7,805 | 23 | 0.3% | | Other payables | 2,447 | 2,326 | 121 | 5.2% | | Deposits received | 56 | – | 56 | N/A | | **Total** | **10,933** | **12,120** | **(1,187)** | **-9.8%** | - All trade payables are aged within **1 month**[49](index=49&type=chunk) [15. Share Capital](index=16&type=section&id=15.%20Share%20Capital) As of June 30, 2025, the company's authorized and issued and fully paid share capital remained unchanged at HK$80.0 million and HK$42.3 million, respectively - Authorized share capital consists of **2,000,000,000** ordinary shares of **HK$0.04** each, totaling **HK$80,000 thousand**[50](index=50&type=chunk) - Issued and fully paid share capital comprises **1,056,936,650** ordinary shares of **HK$0.04** each, totaling **HK$42,277 thousand**[50](index=50&type=chunk) [16. Related Party Transactions](index=17&type=section&id=16.%20Related%20Party%20Transactions) Related party transactions for the period included lease liabilities with a company indirectly wholly-owned by the former chairman and key management personnel remuneration, with lease liabilities reduced to zero by period-end and a decrease in key management personnel remuneration Related Party Transactions: Lease Liabilities and Related Interest Expenses | Indicator | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | 2025 Interest Expense (HK$ '000) | 2024 Interest Expense (HK$ '000) | | :--- | :--- | :--- | :--- | :--- | | Lease liabilities | – | 440 | – | 29 | Key Management Personnel Remuneration | Indicator | 2025 (HK$ '000) | 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Short-term employee benefits | 942 | 1,526 | (584) | -38.3% | | Post-employment benefits | 18 | 36 | (18) | -50.0% | | **Total** | **960** | **1,562** | **(602)** | **-38.5%** | - Lease liabilities relate to a lease agreement with Top Wind Limited, indirectly wholly-owned by Mr. Yiu Kwan Tat, former Chairman and Executive Director[54](index=54&type=chunk) [17. Financial Instruments by Category](index=18&type=section&id=17.%20Financial%20Instruments%20by%20Category) As of June 30, 2025, financial assets at fair value through profit or loss (listed securities) decreased to HK$32.2 million, with changes observed in both financial assets and financial liabilities measured at amortized cost Financial Assets Classification | Indicator | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Financial assets at fair value through profit or loss: Listed securities | 32,235 | 35,014 | (2,779) | -7.9% | | Financial assets at amortized cost: Trade receivables | 1,784 | 2,182 | (398) | -18.2% | | Financial assets at amortized cost: Loans receivable | 2,077 | 3,655 | (1,578) | -43.2% | | Financial assets at amortized cost: Deposits and other receivables | 3,440 | 6,078 | (2,638) | -43.4% | | Financial assets at amortized cost: Cash and bank balances | 9,447 | 11,249 | (1,802) | -16.0% | Financial Liabilities Classification | Indicator | June 30, 2025 (HK$ '000) | December 31, 2024 (HK$ '000) | Change (HK$ '000) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Financial liabilities at amortized cost: Trade payables | 602 | 1,989 | (1,387) | -69.7% | | Financial liabilities at amortized cost: Bonds payable | 6,891 | 7,131 | (240) | -3.4% | | Financial liabilities at amortized cost: Accruals and other payables | 10,331 | 12,120 | (1,789) | -14.8% | | Financial liabilities at amortized cost: Lease liabilities | 13,367 | 11,648 | 1,719 | 14.8% | [18. Approval of Unaudited Condensed Consolidated Interim Financial Statements](index=18&type=section&id=18.%20Approval%20of%20Unaudited%20Condensed%20Consolidated%20Interim%20Financial%20Statements) The Board of Directors approved and authorized for issue the unaudited condensed consolidated interim financial statements on August 27, 2025 - The Board of Directors approved and authorized for issue the unaudited condensed consolidated interim financial statements on August 27, 2025[57](index=57&type=chunk) [Management Discussion and Analysis](index=19&type=section&id=Management%20Discussion%20and%20Analysis) This section outlines the Group's operating environment, business performance, and financial position for the first half of 2025, highlighting improved gross profit margins and significantly reduced net loss through cost control and quality management despite retail challenges, while also addressing future market opportunities and strategic responses [Market Overview](index=19&type=section&id=Market%20Overview) From May to July 2025, Hong Kong's unemployment rate rose to 3.7%, posing challenges for retail sales despite a slight increase in total retail sales value in June, while US-China relations, geopolitical tensions, and monetary policy uncertainties necessitate cautious business planning - The seasonally adjusted unemployment rate rose to **3.7%** during May to July 2025[59](index=59&type=chunk) - The provisional estimate of total retail sales value in June 2025 was **HK$30.1 billion**, representing a **0.7%** increase compared to the same month in 2024[59](index=59&type=chunk) - Retail sales began to face challenges, primarily due to rising unemployment affecting customer purchasing behavior[59](index=59&type=chunk) - Adverse factors such as US-China relations, geopolitical tensions, and evolving monetary policy stances of major central banks necessitate more cautious business planning by enterprises[59](index=59&type=chunk) [Business Review](index=19&type=section&id=Business%20Review) The Group's total revenue decreased by 20.7% to HK$50.1 million, but gross profit increased by 41.7% to HK$5.7 million, and net loss decreased by 48.8% to HK$11.0 million, primarily due to reduced fair value change loss on financial assets, while the Group maintained focus on "Authentic Goods" principles, quality management, and a prudent store expansion strategy - The Group's total revenue decreased by approximately **20.7%** to approximately **HK$50.1 million**, with revenue generated from the Hong Kong market[60](index=60&type=chunk)[61](index=61&type=chunk) - The Group's gross profit was approximately **HK$5.7 million**, an increase of **41.7%** compared to the same period last year[60](index=60&type=chunk) - The Group recorded a net loss of approximately **HK$11.0 million**, a **48.8%** reduction from the same period last year, primarily due to a decrease in fair value change loss on financial assets at fair value through profit or loss[60](index=60&type=chunk) - The Group adheres to the principle of providing "Authentic Goods" to customers, establishing stringent and systematic product verification schemes, and continuously investing more human resources in product quality management[61](index=61&type=chunk)[62](index=62&type=chunk) - The Group maintains a prudent store network expansion strategy, seeking to open new stores in better locations at lower rents while focusing on cost control[62](index=62&type=chunk) - As of June 30, 2025, the Group held listed securities with a fair value of approximately **HK$32.2 million** (December 31, 2024: HK$35.0 million) under financial assets at fair value through profit or loss in Hong Kong[62](index=62&type=chunk) [Financial Review](index=20&type=section&id=Financial%20Review) This section provides a detailed review of the Group's financial performance, including revenue segmentation by product category, price range, and geographical location, cost of sales, gross profit, inventory analysis, other income and gains, fair value change loss on financial assets, selling and administrative expenses, and ultimately, loss attributable to owners of the company [Employees and Remuneration Policy](index=24&type=section&id=Employees%20and%20Remuneration%20Policy) As of June 30, 2025, the Group's employee count decreased to 20 from 28 on December 31, 2024, with remuneration policy based on rank, performance, experience, and market trends, including basic salary, allowances, insurance, and commission/bonuses - As of June 30, 2025, the Group had a total of **20 employees** (December 31, 2024: 28 employees)[79](index=79&type=chunk) - The Group's remuneration policy is determined based on employees' rank, performance, experience, and market trends, with benefits including basic salary, allowances, insurance, and commission/bonuses[79](index=79&type=chunk) [Liquidity and Financial Resources](index=24&type=section&id=Liquidity%20and%20Financial%20Resources) As of June 30, 2025, the Group had no bank borrowings, with cash and bank balances of HK$9.4 million, total liabilities of HK$31.7 million, and shareholders' equity of HK$61.2 million, resulting in a capital gearing ratio of 33.1%, current ratio of 4.6, and quick ratio of 2.9 - As of June 30, 2025, and December 31, 2024, the Group had no bank borrowings[80](index=80&type=chunk) Key Data on Liquidity and Financial Resources | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and bank balances (HK$ Million) | 9.4 | 11.2 | | Total liabilities (HK$ Million) | 31.7 | 31.5 | | Shareholders' equity (HK$ Million) | 61.2 | 72.2 | | Capital gearing ratio | 33.1% | 26.0% | | Current ratio | 4.6 | 4.9 | | Quick ratio | 2.9 | 3.0 | [Pledge of Assets](index=24&type=section&id=Pledge%20of%20Assets) As of June 30, 2025, and December 31, 2024, the Group had not pledged any assets or bank deposits to banks for borrowings or general banking facilities - As of June 30, 2025, and December 31, 2024, the Group had no bank borrowings or general banking facilities, and thus no assets or bank deposits were pledged to banks[81](index=81&type=chunk) [Foreign Exchange Policy](index=24&type=section&id=Foreign%20Exchange%20Policy) The Group primarily transacts in HKD, RMB, and USD, aiming to maintain a balanced position in the same currencies, without engaging in foreign exchange hedging arrangements, and considers foreign exchange transaction risk at an acceptable level - The Group primarily conducts its trading transactions in Hong Kong Dollars, Renminbi, and US Dollars[82](index=82&type=chunk) - It is the Group's policy to maintain a balance in its purchases and sales in the same currencies[82](index=82&type=chunk) - The Group has not entered into any foreign exchange hedging arrangements, and the Directors believe that the Group's exposure to transactional foreign exchange risk in currencies other than its functional currency is maintained at an acceptable level[82](index=82&type=chunk) [Contingent Liabilities](index=25&type=section&id=Contingent%20Liabilities) As of June 30, 2025, the Group had no significant contingent liabilities - As of June 30, 2025, the Group had no significant contingent liabilities[85](index=85&type=chunk) [Capital Commitments](index=25&type=section&id=Capital%20Commitments) As of June 30, 2025, and December 31, 2024, the Group had no capital commitments regarding property, plant and equipment - As of June 30, 2025, and December 31, 2024, the Group had no capital commitments in respect of property, plant and equipment[86](index=86&type=chunk) [Material Investments](index=25&type=section&id=Material%20Investments) The Group's material investments primarily consist of listed securities at fair value through profit or loss, with a total fair value of HK$32.2 million, and the Group will closely monitor portfolio performance and maintain a prudent investment strategy Analysis of Material Investments | Company | Stock Code | Fair Value as of January 1, 2024 (HK$ '000) | Fair Value as of June 30, 2025 (HK$ '000) | Fair Value Loss (HK$ '000) | Approximate Percentage of Total Assets (June 30, 2025) | | :--- | :--- | :--- | :--- | :--- | :--- | | China Investment and Finance Group Limited | 1226 | 6,198 | 8,115 | 1,220 | 8.7% | | Harbour Digital Industry Capital Limited | 913 | 5,278 | 5,487 | 209 | 5.9% | | Others | | 23,538 | 18,633 | 5,011 | | | **Total** | | **35,014** | **32,235** | **3,582** | | - The Group will closely monitor the performance of this investment portfolio and continue to maintain a prudent investment strategy, aiming to enhance capital utilization and generate additional investment returns from the Group's idle funds[62](index=62&type=chunk) [Outlook](index=25&type=section&id=Outlook) Looking ahead, government initiatives to boost tourism and the Greater Bay Area development are expected to create opportunities for Hong Kong's retail sector; however, rising unemployment, US-China relations, geopolitical tensions, and the pandemic still pose challenges, which management will address by seizing opportunities, strengthening resources, and implementing prudent business policies - The government has launched various initiatives to encourage tourism, thereby stimulating local retail and consumption-related spending, which in turn boosts local consumer sentiment[88](index=88&type=chunk) - The development of the Greater Bay Area economic zone is also expected to provide new opportunities for Hong Kong's luxury retailers to expand their business scope and customer base[88](index=88&type=chunk) - Various uncertainties, including rising unemployment, US-China relations, geopolitical tensions, evolving policy stances of major central banks, and the recent global spread of the pandemic, pose challenges to the global economic outlook[88](index=88&type=chunk) - Management should continue to seize any opportunities arising in the market, strengthen resources to maintain a leading position in the luxury handbag and accessories trading industry, and simultaneously implement more prudent business policies[88](index=88&type=chunk) [Other Information](index=26&type=section&id=Other%20Information) This section provides information on corporate governance, directors' and substantial shareholders' interests, share option schemes, securities dealings, compliance with corporate governance code, material acquisitions or disposals, post-reporting period events, and the composition and responsibilities of the audit, remuneration, and nomination committees [Directors' and Chief Executive's Interests and Short Positions in Shares, Underlying Shares and Debentures of the Company and its Associated Corporations](index=26&type=section&id=Directors'%20and%20Chief%20Executive's%20Interests%20and%20Short%20Positions%20in%20Shares,%20Underlying%20Shares%20and%20Debentures%20of%20the%20Company%20and%20its%20Associated%20Corporations) As of June 30, 2025, Executive Director Mr. Hu Bo held 2,210,000 shares of the Company, representing 0.21% of the total issued shares, with no other directors or chief executives holding any interests or short positions Directors' Long Positions in Shares of the Company | Name of Participant | Number of Shares Held | Approximate Percentage of Total Issued Shares | | :--- | :--- | :--- | | Mr. Hu Bo (Executive Director) | 2,210,000 | 0.21% | - Save as disclosed above, as of June 30, 2025, no Director or chief executive of the Company or any of their associates had any interests or short positions in the shares, underlying shares, or debentures of the Company or any of its associated corporations[90](index=90&type=chunk) [Share Options](index=26&type=section&id=Share%20Options) The company has a share option scheme adopted on June 30, 2021, and for the six months ended June 30, 2025, no share options were granted, exercised, lapsed, or reclassified, nor were there any outstanding share options - The Company has a share option scheme adopted on **June 30, 2021**[91](index=91&type=chunk) - For the six months ended June 30, 2025, no share options were granted, exercised, lapsed, or reclassified under the scheme[92](index=92&type=chunk) - As of June 30, 2025, there were no outstanding share options under the scheme[92](index=92&type=chunk) [Substantial Shareholders' and Other Persons' Interests and Short Positions in Shares and Underlying Shares](index=27&type=section&id=Substantial%20Shareholders'%20and%20Other%20Persons'%20Interests%20and%20Short%20Positions%20in%20Shares%20and%20Underlying%20Shares) As of June 30, 2025, to the best knowledge of the Directors, no person held interests or short positions in shares or underlying shares disclosable under the SFO, or held 10% or more of the voting equity interest in any other Group member - As of June 30, 2025, no person had or was deemed to have any interests or short positions in the shares or underlying shares that were required to be disclosed to the Company and the Stock Exchange under Divisions 2 and 3 of Part XV of the Securities and Futures Ordinance[94](index=94&type=chunk) - Furthermore, no person directly or indirectly owned an interest of **10%** or more in the nominal value of any class of share capital carrying voting rights in all circumstances at general meetings of any other member of the Group[94](index=94&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=27&type=section&id=Purchase,%20Sale%20or%20Redemption%20of%20Listed%20Securities) For the six months ended June 30, 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities - For the six months ended June 30, 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[95](index=95&type=chunk) [Use of Net Proceeds](index=27&type=section&id=Use%20of%20Net%20Proceeds) The net proceeds from the listing, after deducting related issue expenses, amounted to HK$0.3 million - The net proceeds from the listing, after deducting related issue expenses, amounted to **HK$0.3 million**[96](index=96&type=chunk) [Directors' Interests in Competing Business](index=27&type=section&id=Directors'%20Interests%20in%20Competing%20Business) For the six months ended June 30, 2025, the Directors were unaware of any business or interest of any Director, controlling shareholder, or their respective associates that competed or might compete with the Group's business, nor any other potential conflicts of interest - For the six months ended June 30, 2025, the Directors were unaware of any business or interest of any Director, controlling shareholder of the Company, and their respective associates that competed or might compete with the Group's business, nor any other potential conflicts of interest that such persons might have with the Group[97](index=97&type=chunk) [Compliance with Corporate Governance Code](index=27&type=section&id=Compliance%20with%20Corporate%20Governance%20Code) The company complied with all applicable code provisions of the Corporate Governance Code in Appendix C1 of the Listing Rules during the period, except for certain board meetings with less than 14 days' notice, and the Board will endeavor to comply with this requirement in the future - For the six months ended June 30, 2025, the Company complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 to the Listing Rules[98](index=98&type=chunk) - Exception: Certain Board meetings were convened with less than **14 days' notice** to facilitate timely responses and prompt decision-making by Directors regarding the Group's investment opportunities and internal affairs[98](index=98&type=chunk) - The Board will make reasonable efforts to comply with code provision C.5.3 of the Corporate Governance Code in the future[98](index=98&type=chunk) [Material Acquisitions or Disposals](index=27&type=section&id=Material%20Acquisitions%20or%20Disposals) For the six months ended June 30, 2025, the Group had no material acquisitions or disposals of subsidiaries and associated companies - For the six months ended June 30, 2025, the Group had no material acquisitions or disposals of subsidiaries and associated companies[99](index=99&type=chunk) [Standard of Dealings in Securities by Directors](index=28&type=section&id=Standard%20of%20Dealings%20in%20Securities%20by%20Directors) All Directors confirmed compliance with the Standard Code for Securities Transactions by Directors, as set out in Appendix C3 of the Listing Rules, for the six months ended June 30, 2025 - Following specific enquiries with the Directors, all Directors confirmed that they have complied with the required standards set out in the Standard Code for the six months ended June 30, 2025[100](index=100&type=chunk) [Events After the Reporting Period](index=28&type=section&id=Events%20After%20the%20Reporting%20Period) Except as disclosed, no significant events affecting the Group occurred after the six months ended June 30, 2025, and up to the date of this report - Save as disclosed, no significant events affecting the Group occurred after the six months ended June 30, 2025, and up to the date of this report[101](index=101&type=chunk) [Audit Committee](index=28&type=section&id=Audit%20Committee) The Audit Committee, comprising three independent non-executive directors, reviewed the Group's financial statements for the six months ended June 30, 2025, and discussed audit, risk management, internal control, and financial reporting matters with management - The Audit Committee comprises three independent non-executive directors: Mr. To Kin Chuen (Chairman), Mr. Chan Chi Hung, and Mr. Choi Kam Yan[102](index=102&type=chunk) - The Audit Committee reviewed the Group's financial statements for the six months ended June 30, 2025, with the Company's management and discussed audit, risk management, internal control, and financial reporting matters[102](index=102&type=chunk) [Remuneration Committee](index=28&type=section&id=Remuneration%20Committee) The Remuneration Committee, composed of three members, predominantly independent non-executive directors, is responsible for formulating, reviewing, and determining the remuneration policies and packages for directors and senior management - The Remuneration Committee comprises three members, with a majority being independent non-executive directors: Mr. To Kin Chuen (Chairman), Mr. Chan Chi Hung, and Mr. Hu Bo[103](index=103&type=chunk) - The Remuneration Committee formulates the remuneration policy for the Company's Directors and senior management, reviews and determines their remuneration packages, and provides recommendations to the Board[103](index=103&type=chunk) [Nomination Committee](index=28&type=section&id=Nomination%20Committee) The Nomination Committee, comprising three members, predominantly independent non-executive directors, is responsible for matters related to director nominations - The Nomination Committee comprises three members, with a majority being independent non-executive directors: Mr. Hu Bo (Chairman), Mr. Chan Chi Hung, and Mr. To Kin Chuen[104](index=104&type=chunk) [Risk Management and Internal Control](index=29&type=section&id=Risk%20Management%20and%20Internal%20Control) The Board acknowledges its responsibility for risk management and internal control systems, having reviewed their effectiveness, which are designed to provide reasonable, not absolute, assurance, with an independent consultant engaged for review, and both the Board and Audit Committee confirmed the systems' effectiveness - The Board acknowledges its responsibility for the risk management and internal control systems and reviews their effectiveness, with the systems designed to provide reasonable, not absolute, assurance against material misstatement or loss[106](index=106&type=chunk) - The Board has engaged an independent internal control review consultant to assess the effectiveness of the Group's internal control systems[106](index=106&type=chunk) - For the six months ended June 30, 2025, the Board and the Audit Committee reviewed and confirmed the effectiveness of the risk management and internal control systems[107](index=107&type=chunk) - The Group has formal whistleblowing and inside information policies to ensure compliance in internal communication and information disclosure[107](index=107&type=chunk) [Interim Dividend](index=29&type=section&id=Interim%20Dividend) The Board resolved not to declare any interim dividend for the six months ended June 30, 2025, consistent with the prior year - The Board resolved not to declare any interim dividend for the six months ended June 30, 2025 (six months ended June 30, 2024: Nil)[108](index=108&type=chunk)

[Financial Highlights](index=1&type=section&id=%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81) [Financial Highlights](index=1&type=section&id=%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81) Xingfa Aluminium Holdings Limited saw revenue and sales volume growth in H1 2025, but profit attributable to owners and EPS decreased; the board does not recommend an interim dividend Key Financial Data for H1 2025 | Item | H1 2025 (RMB million) | H1 2024 (RMB million) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 9,323.2 | 8,349.8 | +11.7% | | Sales Volume (tonnes) | 407,224 | 362,049 | +12.5% | | Profit Attributable to Owners of the Company | 270.9 | 378.4 | -28.4% | | Earnings Per Share (RMB) | 0.64 | 0.90 | -28.9% | - The Board does not recommend any interim dividend for H1 2025 (H1 2024: nil)[2](index=2&type=chunk) [Performance Overview](index=2&type=section&id=%E6%A5%AD%E7%B8%BE%E6%A6%82%E8%A6%8B) [Performance Overview](index=2&type=section&id=%E6%A5%AD%E7%B8%BE%E6%A6%82%E8%A6%8B) This announcement discloses the unaudited condensed consolidated results of Xingfa Aluminium Holdings Limited and its subsidiaries for the six months ended June 30, 2025, prepared under IFRS and reviewed by the Audit Committee and Deloitte Touche Tohmatsu - The Group's unaudited condensed consolidated results for the six months ended June 30, 2025, have been reviewed by the Audit Committee and the Company's independent auditor, Deloitte Touche Tohmatsu[3](index=3&type=chunk) [Condensed Consolidated Financial Statements](index=2&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8) [Condensed Consolidated Statement of Profit or Loss](index=2&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E8%A1%A8) The Group's H1 2025 revenue grew 11.7% to RMB 9,323.2 million, but gross profit decreased 17.6% to RMB 617.9 million, leading to a 28.4% drop in profit attributable to owners to RMB 270.9 million Condensed Consolidated Statement of Profit or Loss (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Revenue | 9,323,190 | 8,349,840 | | Cost of sales | (8,705,303) | (7,600,105) | | Gross profit | 617,887 | 749,735 | | Other income | 98,635 | 97,181 | | Other gains and losses | 1,275 | 16,273 | | Distribution costs | (146,652) | (178,973) | | Administrative expenses | (222,213) | (212,728) | | Impairment losses on trade and other receivables | (12,496) | (10,283) | | Finance costs | (45,091) | (51,477) | | Profit before tax | 291,345 | 409,728 | | Income tax expense | (21,340) | (31,010) | | Profit for the period | 270,005 | 378,718 | | Profit attributable to owners of the Company | 270,866 | 378,355 | | Basic earnings per share (RMB) | 0.64 | 0.90 | [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=3&type=section&id=%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) The Group's H1 2025 profit for the period was RMB 270.0 million, with total other comprehensive income of RMB 293 thousand, resulting in a total comprehensive income of RMB 270.5 million, down from RMB 379.0 million in the prior period Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Profit for the period | 270,005 | 378,718 | | Exchange differences arising on translation of functional currency to presentation currency | (98,786) | 42,854 | | Exchange differences on translation of foreign operations | 99,252 | (42,561) | | Total other comprehensive income for the period | 293 | 466 | | Total comprehensive income for the period | 270,471 | 379,011 | | Total comprehensive income attributable to owners of the Company | 271,332 | 378,648 | | Total comprehensive income attributable to non-controlling interests | (861) | 363 | [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) As of June 30, 2025, the Group's total assets less current liabilities were RMB 8,250.3 million, and net assets were RMB 5,932.4 million, with a decrease in net current assets and a significant increase in trade and other payables Condensed Consolidated Statement of Financial Position (As at June 30, 2025) | Item | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Non-current assets | 4,997,831 | 4,528,390 | | Current assets | 11,017,812 | 10,014,050 | | Current liabilities | 7,765,307 | 6,246,072 | | Net current assets | 3,252,505 | 3,767,978 | | Total assets less current liabilities | 8,250,336 | 8,296,368 | | Non-current liabilities | 2,317,916 | 2,388,908 | | Net assets | 5,932,420 | 5,907,460 | | Total equity attributable to owners of the Company | 5,923,696 | 5,897,875 | | Total equity | 5,932,420 | 5,907,460 | [Condensed Consolidated Statement of Cash Flows](index=6&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) The Group's H1 2025 net cash from operating activities remained stable at RMB 680.4 million, while net cash used in investing activities significantly increased to RMB 969.0 million, and net cash from financing activities turned into an inflow of RMB 264.9 million, resulting in a net decrease in cash and cash equivalents Condensed Consolidated Statement of Cash Flows (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Net cash from operating activities | 680,409 | 680,595 | | Net cash used in investing activities | (969,001) | (505,189) | | Net cash from (used in) financing activities | 264,899 | (140,915) | | Net (decrease) increase in cash and cash equivalents | (23,693) | 34,491 | | Cash and cash equivalents at June 30 | 2,701,521 | 2,875,829 | [Notes to the Financial Statements](index=7&type=section&id=%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB) [Basis of Preparation and Principal Accounting Policies](index=7&type=section&id=1%20%E7%B7%A8%E8%A3%BD%E5%9F%BA%E6%BA%96) The condensed consolidated financial statements are prepared in accordance with IAS 34 and applicable disclosure requirements of the HKEX Listing Rules, measured at historical cost, with no significant impact from new IFRS amendments - The condensed consolidated financial statements are prepared in accordance with IAS 34 and the applicable disclosure requirements of the Listing Rules of The Stock Exchange of Hong Kong Limited[9](index=9&type=chunk) - The condensed consolidated financial statements are prepared on the historical cost basis except for certain financial instruments that are measured at fair value[10](index=10&type=chunk) - The application of the amendments to IFRSs in the current interim period has had no material impact on the Group's financial positions and performance and/or disclosures set out in these condensed consolidated financial statements[11](index=11&type=chunk) [Revenue and Segment Reporting](index=7&type=section&id=3%20%E6%94%B6%E7%9B%8A%E5%8F%8A%E5%88%86%E9%83%A8%E5%A0%B1%E5%91%8A) The Group's principal businesses are manufacturing and selling aluminum products and completed properties, managed and reported across industrial aluminum profiles, architectural aluminum profiles, and all other segments; H1 2025 aluminum profile sales revenue was RMB 9,042.3 million, with architectural profiles being the largest contributor - The principal activities of the Group are the manufacture and sale of aluminium products and sale of completed properties[12](index=12&type=chunk) - The Group has presented the following reportable segments: industrial aluminium profiles, architectural aluminium profiles and all other segments[12](index=12&type=chunk)[16](index=16&type=chunk) [Revenue Disaggregation](index=8&type=section&id=3%20(a)%20%E6%94%B6%E7%9B%8A%E7%B4%B0%E5%88%86) The Group's H1 2025 total revenue from contracts with customers was RMB 9,323.2 million, with aluminum profile sales accounting for RMB 9,042.3 million, primarily from Mainland China (excluding Hong Kong) at RMB 9,068.9 million Revenue Disaggregation (For the six months ended June 30) | Product or service line | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Sale of aluminium profiles | 9,042,335 | 8,083,355 | | Sale of aluminium plates, aluminium alloys, moulds and components | 277,459 | 266,485 | | Sale of completed properties | 3,396 | – | | **Total** | **9,323,190** | **8,349,840** | | Geographical markets | | | | Mainland China (excluding Hong Kong) | 9,068,917 | 8,061,715 | | Hong Kong | 58,178 | 46,378 | | Asia Pacific (excluding Mainland China and Hong Kong) | 191,855 | 233,665 | | Other regions | 4,240 | 8,082 | | **Total** | **9,323,190** | **8,349,840** | [Segment Results](index=9&type=section&id=3%20(b)%20%E5%88%86%E9%83%A8%E6%A5%AD%E7%B8%BE) In H1 2025, the Group's total reportable segment profit (gross profit) was RMB 617.9 million, down from RMB 749.7 million in H1 2024, with architectural aluminum profiles contributing the most but seeing its gross profit decrease from RMB 624.6 million to RMB 429.6 million Segment Gross Profit (For the six months ended June 30) | Segment | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Gross profit from industrial aluminium profiles | 45,880 | 55,782 | | Gross profit from architectural aluminium profiles | 429,638 | 624,639 | | Gross profit from all other segments | 142,369 | 69,314 | | **Total reportable segment profit (gross profit)** | **617,887** | **749,735** | [Reconciliation of Reportable Segment Profit or Loss](index=9&type=section&id=3%20(c)%20%E5%8F%AF%E5%A0%B1%E5%91%8A%E5%88%86%E9%83%A8%E6%90%8D%E7%9B%8A%E4%B9%8B%E5%B0%8D%E8%B3%AC) The Group's H1 2025 reportable segment profit was RMB 617.9 million, and after adjusting for other income, gains and losses, distribution costs, administrative expenses, impairment losses, and finance costs, consolidated profit before tax was RMB 291.3 million, down from RMB 409.7 million in the prior period Reconciliation of Reportable Segment Profit or Loss (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Reportable segment profit from external customers of the Group | 617,887 | 749,735 | | Other income | 98,635 | 97,181 | | Other gains and losses | 1,275 | 16,273 | | Distribution costs | (146,652) | (178,973) | | Administrative expenses | (222,213) | (212,728) | | Impairment losses on trade and other receivables | (12,496) | (10,283) | | Finance costs | (45,091) | (51,477) | | **Consolidated profit before tax** | **291,345** | **409,728** | [Finance Costs](index=10&type=section&id=4%20%E8%B2%A1%E5%8B%99%E6%88%90%E6%9C%AC) The Group's H1 2025 finance costs decreased to RMB 45.1 million from RMB 51.5 million in the prior period, primarily comprising interest expenses on bank and other borrowings and discounted bills, net of capitalized interest on construction in progress Finance Costs Breakdown (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Interest expenses on bank and other borrowings | 40,731 | 44,448 | | Interest expenses on discounted bills | 10,468 | 13,067 | | Interest on lease liabilities | 62 | 115 | | **Sub-total** | **51,261** | **57,630** | | Less: Interest expenses capitalised to construction in progress | (6,170) | (6,153) | | **Total finance costs** | **45,091** | **51,477** | [Income Tax Expense](index=10&type=section&id=5%20%E6%89%80%E5%BE%97%E7%A8%85%E9%96%8B%E6%94%AF) The Group's H1 2025 income tax expense decreased to RMB 21.3 million from RMB 31.0 million in the prior period, with current tax primarily comprising PRC corporate income tax provision, dividend withholding tax, and Pillar Two income tax, and some PRC subsidiaries enjoying preferential high-tech enterprise tax rates - The Company's PRC subsidiaries are subject to PRC corporate income tax at **25%** for H1 2025, except for certain entities qualified as "High and New Technology Enterprises" enjoying a preferential tax rate of **15%**[21](index=21&type=chunk) [Tax in Condensed Consolidated Statement of Profit or Loss](index=10&type=section&id=5%20(a)%20%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E8%A1%A8%E4%B8%AD%E7%9A%84%E7%A8%85%E9%A0%85) The Group's H1 2025 current tax was RMB 35.8 million, deferred tax was RMB (14.5) million, totaling RMB 21.3 million in income tax expense, with RMB 1.3 million of Pillar Two income tax recognized for the first time in current tax Income Tax Expense Breakdown (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Current tax | | | | Provision for PRC corporate income tax | 19,098 | 40,273 | | PRC dividend withholding tax | 12,500 | 13,500 | | Underprovision in prior years for PRC corporate income tax | 2,900 | – | | Pillar Two income tax | 1,315 | – | | **Total current tax** | **35,813** | **53,773** | | Deferred tax | | | | Origination and reversal of temporary differences | (1,973) | (9,263) | | Impact of dividend distribution | (12,500) | (13,500) | | **Total deferred tax** | **(14,473)** | **(22,763)** | | **Total income tax expense** | **21,340** | **31,010** | [Pillar Two Income Tax](index=11&type=section&id=5%20(b)%20%E7%AC%AC%E4%BA%8C%E6%94%AF%E6%9F%B1%E6%89%80%E5%BE%97%E7%A8%85) The Group is subject to global anti-base erosion rules (Pillar Two rules) and has recognized RMB 1,315,000 as expected current tax expense related to these rules for H1 2025, applying a temporary mandatory exemption for deferred tax assets and liabilities - The Group is subject to the global minimum top-up tax under the global anti-base erosion rules ("GloBE Rules" or "Pillar Two Rules")[22](index=22&type=chunk) - Top-up tax is provided in the current interim period based on the estimated adjusted covered taxes and the GloBE net income for the year, with **RMB 1,315,000** recognized as expected current tax expense related to Pillar Two rules for the six months ended June 30, 2025[22](index=22&type=chunk) - The Group has applied the temporary mandatory exemption from recognising and disclosing deferred tax assets and liabilities for the impact of Pillar Two Rules, and has accounted for it as current tax when incurred[22](index=22&type=chunk) [Profit for the Period](index=11&type=section&id=6%20%E6%9C%9F%E9%96%93%E6%BA%A2%E5%88%A9) The Group's H1 2025 profit for the period was achieved after deducting (including) depreciation expenses, total staff costs, cost of inventories sold, and R&D costs, with increases in depreciation and total staff costs, and continued growth in R&D costs Key Items Affecting Profit for the Period (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Depreciation expenses | | | | – Investment properties | 2,979 | 2,465 | | – Property, plant and equipment | 293,480 | 243,450 | | – Right-of-use assets | 6,705 | 6,577 | | Amortisation of intangible assets | 453 | 822 | | Total staff costs | 594,928 | 555,630 | | Net exchange gains | (1,367) | (3,553) | | Interest income | (30,458) | (15,763) | | Cost of inventories sold | 8,284,362 | 7,204,869 | | Research and development costs | 420,941 | 395,236 | | Income from additional VAT input deductions | 46,261 | 54,939 | - For the six months ended June 30, 2025, certain entities were entitled to additional deduction for R&D expenses, resulting in a reduction of income tax by **RMB 34,450,000**[24](index=24&type=chunk) - H1 2025 R&D costs included **RMB 95,935,000** related to employee staff costs, an increase from **RMB 88,672,000** in H1 2024[29](index=29&type=chunk) [Dividends](index=12&type=section&id=7%20%E8%82%A1%E6%81%AF) The Company's directors do not recommend an interim dividend for the six months ended June 30, 2025, consistent with the prior period - The directors of the Company do not recommend the payment of an interim dividend for the six months ended June 30, 2025 (for the six months ended June 30, 2024: nil)[25](index=25&type=chunk) [Earnings Per Share](index=12&type=section&id=8%20%E6%AF%8F%E8%82%A1%E7%86%B1%E5%88%A9) The Group's H1 2025 basic earnings per share decreased to RMB 0.64 from RMB 0.90 in the prior period, calculated based on profit attributable to owners and the weighted average number of ordinary shares outstanding, with no diluted EPS presented Basic Earnings Per Share (For the six months ended June 30) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Profit attributable to owners of the Company (RMB '000) | 270,866 | 378,355 | | Weighted average number of ordinary shares in issue (shares) | 420,649,134 | 420,649,134 | | Basic earnings per share (RMB) | 0.64 | 0.90 | - No diluted earnings per share is presented as the Group had no dilutive potential ordinary shares during both periods[28](index=28&type=chunk) [Trade and Other Receivables](index=13&type=section&id=9%20%E4%BA%A4%E6%98%93%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E6%94%B6%E6%AC%BE%E9%A0%85) As of June 30, 2025, the Group's total trade and other receivables increased to RMB 5,512.1 million from RMB 5,282.0 million on December 31, 2024, with receivables due within one month being the largest portion, and a credit loss allowance of RMB 1,106.7 million recognized Ageing Analysis of Trade and Other Receivables (As at June 30) | Ageing | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Within 1 month | 2,692,797 | 2,142,174 | | 1 to 3 months | 1,325,900 | 1,663,596 | | 3 to 6 months | 853,064 | 932,157 | | Over 6 months | 245,528 | 201,533 | | **Trade receivables and bills receivable (net of allowance for credit losses)** | **5,117,289** | **4,939,460** | | Other receivables (net of allowance for credit losses) | 394,826 | 342,510 | | **Financial assets measured at amortised cost** | **5,512,115** | **5,281,970** | - As at June 30, 2025, an allowance for credit losses of **RMB 1,106,712,000** (December 31, 2024: RMB 1,094,199,000) was recognised for trade receivables and bills receivable[31](index=31&type=chunk) - As at June 30, 2025, certain bills receivable with carrying amounts of **RMB 545,918,000** (December 31, 2024: RMB 273,251,000) were pledged as collateral for the Group's bills payable[33](index=33&type=chunk) [Trade and Other Payables](index=14&type=section&id=10%20%E4%BA%A4%E6%98%93%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E4%BB%98%E6%AC%BE%E9%A0%85) As of June 30, 2025, the Group's total trade and other payables significantly increased to RMB 6,131.9 million from RMB 5,230.3 million on December 31, 2024, with a notable rise in bills payable reflecting increased use of bills to extend settlement cycles Ageing Analysis of Trade and Other Payables (As at June 30) | Ageing | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Within 1 month | 1,234,857 | 567,917 | | 1 to 3 months | 2,396,571 | 1,906,863 | | 3 to 6 months | 1,364,444 | 1,509,035 | | Over 6 months | 338,627 | 477,802 | | **Trade payables and bills payable** | **5,334,499** | **4,461,617** | | Bills payable | 4,402,011 | 3,377,143 | | **Financial liabilities measured at amortised cost** | **6,099,192** | **5,195,134** | | **Total** | **6,131,901** | **5,230,340** | - Bills payable significantly increased from **RMB 3,377,143,000** as at December 31, 2024 to **RMB 4,402,011,000** as at June 30, 2025, reflecting the Group's increased use of bills payable, which has led to an increase in the overall settlement cycle[34](index=34&type=chunk)[69](index=69&type=chunk) [Management Discussion and Analysis](index=15&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E8%88%87%E5%88%86%E6%9E%90) [Industry Review](index=15&type=section&id=%E8%A1%8C%E6%A5%AD%E5%9B%9E%E9%A1%A7) In H1 2025, China's economy showed stable growth with GDP up 5.3% and consumption contributing 52.0%; the aluminum profile industry, driven by "dual carbon" and new quality productive forces strategies, accelerated its high-end, intelligent, and green transformation, with strong demand for industrial profiles and emerging high-end demand for architectural profiles despite real estate adjustments - In H1 2025, China's GDP reached **RMB 66,053.6 billion**, growing **5.3%** year-on-year, a **0.3 percentage point** increase from H1 2024[35](index=35&type=chunk) - Consumption contributed **52.0%** to GDP; the aluminum profile industry is deeply integrated into national "dual carbon" and new quality productive forces policies, with high-end, intelligent, and green transformation becoming the industry's main theme[35](index=35&type=chunk) - Industrial aluminum profiles benefited from strong demand in new energy photovoltaics, automotive lightweighting, and aerospace, showing good development; architectural aluminum profiles were affected by real estate market adjustments, but high-end system doors and windows and green building aluminum materials showed growth potential[35](index=35&type=chunk) [Business Development and Strategic Transformation](index=16&type=section&id=%E6%A5%AD%E5%8B%99%E7%99%BC%E5%B1%95%E5%8F%8A%E6%88%B0%E7%95%A5%E8%BD%89%E5%9E%8B) Xingfa Aluminium strengthened its industry position through technological innovation and strategic transformation, holding 878 patents and participating in drafting 137 standards; the company optimized customer structure and expanded retail channels in architectural aluminum profiles, accelerated penetration into new energy and high-end equipment in industrial profiles, boosting revenue and transitioning from "architectural-led" to "dual-track" development - As at June 30, 2025, the Group held a total of **878** valid patents, including **128** invention patents, **332** utility model patents, and **414** design patents, and participated in drafting approximately **137** national and industry standards[36](index=36&type=chunk) - Architectural aluminum profile revenue increased by **11.6%** year-on-year to approximately **RMB 7,472.5 million**, with sales volume up **14.7%**; industrial aluminum profile revenue increased by **13.1%** year-on-year to approximately **RMB 1,569.9 million**, with sales volume up **8.4%**[38](index=38&type=chunk) - The Group actively adapted to market changes, deepened strategic transformation, accelerated penetration into the end-consumer market, and leveraged technological accumulation to deepen its layout in high-end application fields such as new energy vehicle structural parts and photovoltaic frames, gradually achieving a structural transformation from "architectural-led" to "dual-track" development[39](index=39&type=chunk) [Overseas Strategic Layout](index=17&type=section&id=%E6%B5%B7%E5%A4%96%E6%88%B0%E7%95%A5%E4%BD%88%E5%B1%80) The Group continues its "zero-distance strategy" by building professional overseas sales teams and localized production and sales networks to deepen global client cooperation; the 180,000-tonne capacity base in Vietnam is under construction, and the Australia project is in trial production, aiming to expand global business and enhance international competitiveness - The Group continues to advance its "zero-distance strategy" by establishing professional overseas sales teams and building localized production and sales networks to deepen cooperation with global customers[40](index=40&type=chunk) - In H1 2025, the main construction of the **180,000-tonne** capacity base in Vietnam is underway, and the Australia project has entered the trial production phase, marking the accelerated implementation of the "local production, local users, local service" strategic blueprint[40](index=40&type=chunk) - Leveraging the localized service capabilities of its overseas bases, the Group provides more efficient technical support and supply chain response to customers in Southeast Asia and Oceania, driving an increase in overseas revenue and significantly enhancing international competitiveness[40](index=40&type=chunk) [Financial Performance Analysis](index=18&type=section&id=%E8%B2%A1%E5%8B%99%E8%A1%A8%E7%8F%BE%E5%88%86%E6%9E%90) [Revenue](index=18&type=section&id=%E7%87%9F%E6%A5%AD%E9%A1%8D) The Group's H1 2025 revenue increased by 11.7% to RMB 9,323.2 million, with sales volume up 12.5% to 407,224 tonnes; both architectural and industrial aluminum profile sales grew, accounting for 80.1% and 16.8% of total revenue, respectively - The Group's revenue for H1 2025 increased by **11.7%** to **RMB 9,323.2 million**, with sales volume of **407,224 tonnes**[41](index=41&type=chunk)[48](index=48&type=chunk) - Architectural aluminum profile revenue increased by **11.6%** year-on-year to approximately **RMB 7,472.5 million**, with sales volume up **14.7%**[42](index=42&type=chunk)[48](index=48&type=chunk) - Industrial aluminum profile revenue increased by **13.1%** year-on-year to approximately **RMB 1,569.9 million**, with sales volume up **8.4%**[43](index=43&type=chunk)[48](index=48&type=chunk) Revenue Details by Segment (For the six months ended June 30) | Segment | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Architectural aluminium profiles | 7,472,452 | 6,694,894 | | Industrial aluminium profiles | 1,569,883 | 1,388,461 | | **Total sale of aluminium profiles** | **9,042,335** | **8,083,355** | | Others | 280,855 | 266,485 | | **Total** | **9,323,190** | **8,349,840** | [Gross Profit and Gross Profit Margin](index=22&type=section&id=%E6%AF%9B%E5%88%A9%E5%8F%8A%E6%AF%9B%E5%88%A9%E7%8E%87) The Group's H1 2025 gross profit decreased by 17.6% to approximately RMB 617.9 million, with overall gross profit margin falling to 6.6% (H1 2024: 9.0%), primarily due to intensified market competition, and both architectural and industrial aluminum profile margins also declined - The Group's gross profit for H1 2025 decreased by **17.6%** to approximately **RMB 617.9 million**[50](index=50&type=chunk) - The Group's overall gross profit margin for H1 2025 decreased to **6.6%** (H1 2024: **9.0%**), primarily due to intensified market competition[50](index=50&type=chunk)[52](index=52&type=chunk) Segment Gross Profit Margin (For the six months ended June 30) | Segment | 2025 | 2024 | | :--- | :--- | :--- | | Overall | 6.6% | 9.0% | | Architectural aluminium profiles | 5.7% | 9.3% | | Industrial aluminium profiles | 2.9% | 4.0% | | All other segments | 50.7% | 26.0% | [Other Income](index=22&type=section&id=%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5) The Group's H1 2025 other income remained stable at approximately RMB 98.6 million, primarily due to increased government grants received - The Group's other income for H1 2025 remained stable at approximately **RMB 98.6 million** (H1 2024: RMB 97.2 million), with the increase primarily attributable to higher government grants received in H1 2025[53](index=53&type=chunk) [Distribution Costs](index=22&type=section&id=%E5%88%86%E9%8A%B7%E6%88%90%E6%9C%AC) The Group's H1 2025 distribution costs decreased by 18.1% to approximately RMB 146.7 million, representing 1.6% of revenue, primarily due to tighter cost control - The Group's distribution costs for H1 2025 decreased by **18.1%** to approximately **RMB 146.7 million** (H1 2024: RMB 179.0 million), representing **1.6%** of revenue (H1 2024: 2.1%)[54](index=54&type=chunk) - The decrease in distribution costs was primarily due to tighter cost control[54](index=54&type=chunk) [Administrative Expenses](index=22&type=section&id=%E8%A1%8C%E6%94%BF%E9%96%8B%E6%94%AF) The Group's H1 2025 administrative expenses increased by 4.5% to RMB 222.2 million, representing 2.4% of revenue - The Group's administrative expenses for H1 2025 increased by **4.5%** to **RMB 222.2 million** (H1 2024: RMB 212.7 million), representing **2.4%** of revenue (H1 2024: 2.5%)[55](index=55&type=chunk) [Profit Attributable to Owners of the Company and Net Profit Margin](index=23&type=section&id=%E6%9C%AC%E5%85%AC%E5%8F%B8%E6%93%81%E6%9C%89%E4%BA%BA%E6%87%89%E4%BD%B5%E6%BA%A2%E5%88%A9%E5%8F%8A%E7%B4%94%E5%88%A9%E7%8E%87) The Group's H1 2025 profit attributable to owners decreased by 28.4% to approximately RMB 270.9 million, with net profit margin falling to 2.9% (H1 2024: 4.5%), primarily due to the decline in overall gross profit margin - The profit attributable to owners of the Company for H1 2025 decreased by **28.4%** to approximately **RMB 270.9 million** (H1 2024: RMB 378.4 million), while the net profit margin decreased to **2.9%** (H1 2024: 4.5%)[56](index=56&type=chunk) - The Board believes that the decrease in profit was primarily due to the reduction in overall gross profit margin[57](index=57&type=chunk) [Financial Position Analysis](index=23&type=section&id=%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E5%88%86%E6%9E%90) The Group's current and quick ratios decreased in H1 2025, while the gearing ratio slightly increased; inventory turnover remained stable, and both trade receivables and payables days extended, mainly due to increased use of bills receivable/payable [Current and Quick Ratios](index=23&type=section&id=%E6%B5%81%E5%8B%95%E5%8F%8A%E9%80%9F%E5%8B%95%E6%AF%94%E7%8E%87) As of June 30, 2025, the Group's current ratio was 1.42 and quick ratio was 1.15, both lower than December 31, 2024, primarily due to higher utilization of bills payable for supplier settlements and short-term bank and other borrowings Current and Quick Ratios (As at period end) | Ratio | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current ratio | 1.42 | 1.60 | | Quick ratio | 1.15 | 1.34 | - The current ratio and quick ratio decreased as at June 30, 2025, primarily due to the higher utilisation of bills payable for settlement of suppliers' accounts and short-term bank and other borrowings in H1 2025[59](index=59&type=chunk) [Gearing Ratio](index=23&type=section&id=%E8%B2%A0%E5%82%B5%E6%AF%94%E7%8E%87) As of June 30, 2025, the Group's gearing ratio slightly increased to 21.5% (December 31, 2024: 19.8%), primarily due to an increase in overall bank and other borrowings in H1 2025 Gearing Ratio (As at period end) | Ratio | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Gearing ratio | 21.5% | 19.8% | - The gearing ratio as at June 30, 2025 slightly increased compared to December 31, 2024, primarily due to the combined effect of an increase in the overall amount of bank and other borrowings in H1 2025[62](index=62&type=chunk) [Inventory Turnover Days](index=24&type=section&id=%E5%AD%98%E8%B2%A8%E9%80%B1%E8%BD%89%E6%9C%9F) The Group's H1 2025 inventory turnover days remained stable at 39 days, consistent with the prior period Inventory Turnover Days (For the six months ended June 30) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Inventory turnover days (days) | 39 | 39 | - The Group's inventory turnover days for H1 2025 remained stable compared to H1 2024[64](index=64&type=chunk) [Trade Receivables Turnover Days](index=24&type=section&id=%E6%87%89%E6%94%B6%E8%B3%A6%E6%AC%BE%E8%A8%98%E8%B3%A6%E6%9C%9F) The Group's H1 2025 trade receivables turnover days increased to 98 days (H1 2024: 91 days), primarily due to increased use of bills receivable, extending the overall settlement cycle Trade Receivables Turnover Days (For the six months ended June 30) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Trade receivables turnover days (days) | 98 | 91 | - The trade receivables turnover days for H1 2025 increased compared to H1 2024, due to the Group's increased use of bills receivable, which has led to an extension of the overall settlement cycle[67](index=67&type=chunk) [Trade Payables Turnover Days](index=25&type=section&id=%E6%87%89%E4%BB%98%E8%B3%A6%E6%AC%BE%E8%A8%98%E8%B3%A6%E6%9C%9F) The Group's H1 2025 trade payables turnover days increased to 102 days (H1 2024: 86 days), primarily due to increased use of bills payable, extending the overall settlement cycle Trade Payables Turnover Days (For the six months ended June 30) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Trade payables turnover days (days) | 102 | 86 | - The trade payables turnover days for H1 2025 increased compared to H1 2024, due to the Group's increased use of bills payable, which has led to an increase in the overall settlement cycle[69](index=69&type=chunk) [Loans and Borrowings](index=25&type=section&id=%E8%B2%B8%E6%AC%BE%E5%8F%8A%E5%80%9F%E8%B2%B8) As of June 30, 2025, the Group's loans and borrowings were approximately RMB 3,440.1 million (December 31, 2024: RMB 2,877.4 million), with approximately RMB 499.9 million bearing fixed interest rates, and all borrowings denominated in RMB - As at June 30, 2025, the Group's loans and borrowings amounted to approximately **RMB 3,440.1 million** (December 31, 2024: RMB 2,877.4 million), of which approximately **RMB 499.9 million** bore interest at fixed rates[70](index=70&type=chunk) - As at June 30, 2025, all the Group's loans and borrowings were denominated in RMB[70](index=70&type=chunk) [Bank Facilities and Guarantees](index=25&type=section&id=%E9%8A%80%E8%A1%8C%E4%BF%A1%E8%B2%B8%E9%A1%8D%E5%BA%A6%E5%8F%8A%E6%93%94%E4%BF%9D) As of June 30, 2025, the Group's bank facilities were approximately RMB 16,211.2 million (December 31, 2024: RMB 14,231.2 million), with approximately RMB 8,365.2 million utilized, and no bank facilities were guaranteed by the Group's related parties - As at June 30, 2025, the Group's bank facilities amounted to approximately **RMB 16,211.2 million** (December 31, 2024: RMB 14,231.2 million), of which approximately **RMB 8,365.2 million** (December 31, 2024: RMB 6,420.1 million) were utilised[71](index=71&type=chunk) - No bank facilities were guaranteed by the Group's related parties[72](index=72&type=chunk) [Cash Flow Summary](index=26&type=section&id=%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F%E6%91%98%E8%A6%81) The Group's H1 2025 net cash from operating activities remained stable at RMB 680.4 million, while net cash used in investing activities significantly increased to RMB 969.0 million, and net cash from financing activities turned into an inflow of RMB 264.9 million, resulting in a net decrease in cash and cash equivalents Cash Flow Summary (For the six months ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Net cash from operating activities | 680,409 | 680,595 | | Payments for purchase of property, plant and equipment and land use rights | (341,358) | (530,511) | | Net (increase)/decrease in pledged deposits | (243,423) | (49,917) | | Interest paid | (51,199) | (58,400) | | Net increase in bank borrowings | 562,781 | 162,712 | | Dividends paid | (245,511) | (243,880) | - As at June 30, 2025, the Group's cash and cash equivalents were approximately **RMB 2,701.5 million** (December 31, 2024: RMB 2,726.1 million), with **8.9%** held in USD, **1.2%** in HKD, **0.5%** in AUD, and the remaining balance in RMB[76](index=76&type=chunk) [Outlook and Future Strategies](index=19&type=section&id=%E5%B1%95%E6%9C%9B%E8%88%87%E6%9C%AA%E4%BE%86%E7%AD%96%E7%95%A5) [Industry Outlook](index=19&type=section&id=%E8%A1%8C%E6%A5%AD%E5%B1%95%E6%9C%9B) In H2 2025, real estate policy effectiveness is expected to deepen, improving market activity; the aluminum profile industry faces short-term supply-demand rebalancing challenges, but expanding applications in new energy vehicle lightweighting, photovoltaic installations, and aerospace composites will continue to open growth opportunities for high-end industrial aluminum profiles - Entering H2 2025, the real estate sector is experiencing a period of deepening policy effectiveness, with market activity showing signs of steady improvement, and industry downward pressure is expected to be temporarily alleviated[44](index=44&type=chunk) - Global economic recovery and expanding application scenarios in emerging industries, such as new energy vehicle lightweighting penetration exceeding **40%**, estimated global new photovoltaic installations reaching **230 GW**, and rising demand for aerospace composite materials, continue to open growth opportunities for high-end industrial aluminum profiles[44](index=44&type=chunk) [Group's Future Strategies](index=19&type=section&id=%E9%9B%86%E5%9C%98%E6%9C%AA%E4%BE%86%E7%AD%96%E7%95%A5) The Group will focus on building a green and low-carbon product system and deepening overall business strategic synergy; in architectural aluminum profiles, it will strengthen cooperation with state-owned enterprises on green supply chains and expand ultra-low energy building solutions; in industrial aluminum profiles, it will seize the lightweighting trend in new energy equipment, focus on breakthroughs in aerospace-grade high-strength aluminum alloys, and promote global production and sales system synergy - The Group is accelerating the construction of a green and low-carbon product system and deepening overall business strategic synergy[45](index=45&type=chunk) - In the architectural aluminum profile sector, responding to opportunities from accelerated urban renewal and affordable housing construction, the Group will strengthen cooperation with central state-owned enterprises on green supply chains and expand ultra-low energy building system solutions[45](index=45&type=chunk) - In the industrial aluminum profile sector, seizing the lightweighting trend in new energy equipment, focusing on breakthroughs in aerospace-grade high-strength aluminum alloys, new energy vehicle integrated die-casting structural parts have obtained EU airworthiness certification, and photovoltaic frame products have adopted TOPCon module global technical standards[45](index=45&type=chunk) [Global Layout and Green Intelligent Upgrade](index=20&type=section&id=%E5%85%A8%E7%90%83%E5%8C%96%E4%BD%88%E5%B1%80%E8%88%87%E7%B6%A0%E8%89%B2%E6%99%BA%E8%83%BD%E5%8D%87%E7%B4%9A) The Group will seize dual opportunities from global industrial chain restructuring and new quality productive forces to accelerate global capacity layout and green intelligent upgrades; seven domestic subsidiaries reduced export product carbon footprints by 40%, while overseas expansion deepens regional synergy, with Vietnam focusing on ASEAN semiconductor and industrial materials, and Australia serving Oceania data centers and high-end equipment manufacturing, building a "global resources-local delivery" resilient supply chain - The Group will seize the dual opportunities of global industrial chain restructuring and the development of new quality productive forces to accelerate the global layout of production capacity and green intelligent upgrades[46](index=46&type=chunk) - Domestically, **7** subsidiaries have enabled a **40%** reduction in the carbon footprint of export products[46](index=46&type=chunk) - Overseas layout continues to deepen regional synergy, with the Vietnam project focusing on meeting ASEAN market demand for semiconductor heat dissipation profiles and high-end industrial materials, and the Australia project dedicated to serving data centers and high-end equipment manufacturing in Oceania[46](index=46&type=chunk) - Simultaneously building a "global resources-local delivery" resilient supply chain system to comprehensively enhance international market pricing power, supply chain risk resistance, and ESG compliance competitiveness[46](index=46&type=chunk) [Risk Management and Sustainable Development](index=20&type=section&id=%E9%A2%A8%E9%9A%AA%E7%AE%A1%E7%90%86%E8%88%87%E5%8F%AF%E6%8C%81%E7%BA%8C%E7%99%BC%E5%B1%95) Facing dual challenges of aluminum price cyclical fluctuations and trade policy adjustments, the Group manages risks with dynamic hedging and recycled aluminum technology, adhering to its strategic development; looking ahead, it will leverage core patent-based technological barriers and global production network advantages, adapting to market demand through agile response mechanisms to drive sustainable value growth and deliver long-term stable returns to shareholders - Facing the dual challenges of cyclical aluminum price fluctuations and trade policy adjustments, the Group manages risks with a dynamic hedging mechanism combined with recycled aluminum technology iteration, adhering to its strategic development axis[47](index=47&type=chunk) - The Group will leverage its technological barriers built on core patents and global production network advantages, adapting to evolving market demands through agile response mechanisms to provide cost-effective aluminum application solutions to customers[47](index=47&type=chunk) - Driving sustainable value growth for the Group and creating long-term stable returns for shareholders[47](index=47&type=chunk) [Other Information](index=26&type=section&id=%E5%85%B6%E4%BB%96%E8%B3%87%E6%96%99) [Share Capital](index=26&type=section&id=%E8%82%A1%E6%9C%AC) As of June 30, 2025, the Company had 420,649,134 ordinary shares of HKD 0.01 par value in issue; no shares were issued or repurchased in H1 2025 - As at June 30, 2025, the Company had **420,649,134** ordinary shares of **HKD 0.01** par value in issue[73](index=73&type=chunk) - No shares of the Company were issued or repurchased during H1 2025[73](index=73&type=chunk) [Treasury Policy](index=26&type=section&id=%E5%BA%AB%E5%8B%99%E6%94%BF%E7%AD%96) The Group's treasury policy aims to regularly monitor liquidity needs and comply with loan covenants, ensuring sufficient cash reserves and committed facilities from major financial institutions to meet short-term and long-term liquidity requirements, while also managing USD and HKD currency risks - The Group's treasury policy is to regularly monitor liquidity requirements and compliance with loan covenants to ensure that it maintains sufficient cash reserves and adequate committed facilities from major financial institutions to meet its short-term and long-term liquidity needs[74](index=74&type=chunk) - The Group is exposed to **USD** and **HKD** currency risks as certain inventories, trade and other receivables, trade and other payables, loans and borrowings, and bank balances are denominated in these currencies[74](index=74&type=chunk) [Events After the Reporting Period](index=27&type=section&id=%E8%87%AA%E4%BA%8C%E4%BA%94%E5%B9%B4%E4%B8%8A%E5%8D%8A%E5%B9%B4%E5%BA%95%E4%BB%A5%E4%BE%86%E4%B8%A6%E7%84%A1%E7%99%BC%E7%94%9F%E5%B0%8D%E6%9C%AC%E9%9B%86%E5%9C%98%E9%80%A0%E6%88%90%E5%BD%B1%E9%9F%BF%E7%9A%84%E9%87%8D%E5%A4%A7%E5%85%B6%E5%BE%8C%E4%BA%8B%E9%A0%85) No significant subsequent events affecting the Group have occurred since the end of H1 2025 - No significant subsequent events affecting the Group have occurred since the end of H1 2025[77](index=77&type=chunk) [Human Resources](index=27&type=section&id=%E4%BA%BA%E5%8A%9B%E8%B3%87%E6%BA%90) As of June 30, 2025, the Group employed approximately 10,527 full-time employees in China and Hong Kong; H1 2025 total employee remuneration expenses were about RMB 594.9 million, representing 6.4% of the Group's revenue; the remuneration policy is performance-based, offering discretionary bonuses and training programs - As at June 30, 2025, the Group employed a total of approximately **10,527** full-time employees in the PRC and Hong Kong[78](index=78&type=chunk) - For H1 2025, the Group's total employee remuneration expenses were approximately **RMB 594.9 million** (H1 2024: approximately RMB 555.6 million), representing approximately **6.4%** of the Group's revenue (H1 2024: 6.7%)[78](index=78&type=chunk) - The Group's remuneration policy is determined based on the performance of individual employees and directors and is reviewed annually; in addition to statutory benefits, discretionary bonuses and employee share options are offered as incentives based on individual performance appraisals, and internal and external training programs are provided as needed[78](index=78&type=chunk) [Interim Dividend](index=27&type=section&id=%E4%B8%AD%E6%9C%9F%E8%82%A1%E6%81%AF) The directors do not recommend an interim dividend for H1 2025 (H1 2024: nil) - The directors do not recommend the payment of an interim dividend for H1 2025 (H1 2024: nil)[79](index=79&type=chunk) [Corporate Governance](index=27&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB) The Board believes the Company complied with all code provisions of the Corporate Governance Code in Appendix C1 Part 2 of the Listing Rules during H1 2025, and all directors confirmed compliance with the Model Code for Securities Transactions by Directors of Listed Issuers in Appendix C3 - The Directors are of the opinion that the Company has complied with all the code provisions set out in Part 2 of Appendix C1 to the Listing Rules on Corporate Governance Code throughout H1 2025[80](index=80&type=chunk) - 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 and all Directors have confirmed that they have complied with the required standards set out in the Model Code throughout H1 2025[81](index=81&type=chunk) [Review by Audit Committee](index=28&type=section&id=%E7%94%B1%E5%AF%A9%E6%A0%B8%E5%A7%94%E5%93%A1%E6%9C%83%E5%AF%A9%E9%96%B1) The Audit Committee, comprising three independent non-executive directors and one non-executive director, with Mr. Lam Ying Hung as chairman possessing financial expertise, has met with management and external auditors to review the Group's unaudited condensed consolidated results for H1 2025 - The Audit Committee comprises Mr. Chan Mok, Mr. Ho Kwan Yiu and Mr. Lam Ying Hung, all independent non-executive Directors, and Mr. Wang Lei, a non-executive Director; Mr. Lam (who possesses professional qualifications and experience in financial matters) is the chairman of the Audit Committee[82](index=82&type=chunk) - The Audit Committee has held meetings with the management of the Company and the external auditor and has reviewed the unaudited condensed consolidated results of the Group for H1 2025[82](index=82&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=28&type=section&id=%E8%B3%BC%E8%B2%B7%E3%80%81%E5%87%BA%E5%94%AE%E6%88%96%E8%B4%96%E5%9B%9E%E6%9C%AC%E5%85%AC%E5%8F%B8%E4%B8%8A%E5%B8%82%E8%AD%89%E5%88%B8) Neither the Company nor any of its subsidiaries purchased, redeemed, or sold any of the Company's listed securities in H1 2025 - Neither the Company nor any of its subsidiaries purchased, redeemed or sold any of the Company's listed securities during H1 2025[83](index=83&type=chunk) [Publication of 2025 Interim Report](index=28&type=section&id=%E6%96%BC%E8%81%AF%E4%BA%A4%E6%89%80%E5%8F%8A%E6%9C%AC%E5%85%AC%E5%8F%B8%E7%B6%B2%E7%AB%99%E5%88%8A%E8%BC%89%E4%BA%8C%E9%9B%B6%E4%BA%94%E4%BA%94%E5%B9%B4%E4%B8%AD%E6%9C%9F%E5%A0%B1%E5%91%8A) This announcement has been published on the HKEX and Company websites, and the Company's 2025 Interim Report, containing all information required by the Listing Rules, will be published on both websites in due course - This announcement will be published on the website of the Stock Exchange (www.hkexnews.hk) and the website of the Company (www.xingfa.com) respectively[84](index=84&type=chunk) - The Company's 2025 Interim Report containing all the information required by the Listing Rules will be published on the respective websites of the Stock Exchange and the Company in due course[84](index=84&type=chunk) [Board of Directors](index=29&type=section&id=%E6%96%BC%E6%9C%AC%E5%85%AC%E4%BD%88%E6%97%A5%E6%9C%9F%EF%BC%8C%E6%9C%AC%E5%85%AC%E5%8F%B8%E8%91%A3%E4%BA%8B%E5%A6%82%E4%B8%8B%EF%BC%9A) Lists the Company's Board of Directors as of August 27, 2025, including executive, non-executive, and independent non-executive directors - The Company's Board of Directors includes Executive Directors Mr. Wang Li (Chairman), Mr. Liao Yuqing (Chief Executive Officer), Ms. Zheng Jianhua (Chief Financial Officer), Mr. Luo Yongguan, Mr. Wang Zhihua, and Mr. Luo Jianfeng[86](index=86&type=chunk) - Non-executive Directors include Mr. Zuo Manlun and Mr. Wang Lei[86](index=86&type=chunk) - Independent Non-executive Directors include Mr. Chan Mok, Mr. Ho Kwan Yiu, Mr. Lam Ying Hung, and Mr. Wen Xianjun[86](index=86&type=chunk)

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 容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （以存續方式於開曼群島註冊的有限公司） （股份代號：1837） 截至2025年6月30日止六個月 中期業績 五谷磨房食品國際控股有限公司（「本公司」，連同其附屬公司統稱「本集團」）董事 （「董事」）會（「董事會」）欣然公佈本集團截至2025年6月30日止六個月（「本報告期」） 的綜合業績，連同截至2024年6月30日止六個月（「2024年同期」）的比較數字如下。 Natural Food International Holding Limited 五谷磨房食品國際控股有限公司 財務摘要 1 中期簡明綜合損益及其他全面收入表 截至2025年6月30日止六個月 | | | 截至6月30日止六個月 | | | --- | --- | --- | --- | | | | 2025年 | 2024年 | | | 附註 | 人民幣千元 | 人民幣千元 | | | | （未經審核） | （未經審核） | | 收入 | 4 ...

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。 Shandong Boan Biotechnology Co., Ltd. 山東博安生物技術股份有限公司 （於 中 華 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司） （股 份 代 號：6955） 截 至2025年6月30日止六個月的中期業績公告 財務摘要 1. 收 入 截 至2025年6月30日 止 六 個 月，本 集 團 的 收 入 約 為 人 民 幣393.4百 萬 元， 較截至2024年6月30日止六個月的人民幣362.9百萬元增加約人民幣30.5 百 萬 元，同 比 增 長8.4%。該 增 加 主 要 是 由 於 產 品（博 優 諾®、博 優 倍®及 博 洛 加®）銷售較截至2024年6月30日止六個月持續增長15.9%至人民幣385.3 百 萬 元。 2. ...

[Financial Highlights](index=1&type=section&id=Financial%20Highlights) This section presents a concise overview of the company's key financial performance indicators for the period Financial Highlights for the Six Months Ended June 30, 2025 | Indicator | 2025 (RMB '000) | 2024 (RMB '000) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 406,759 | 369,696 | 10.03 | | Gross Profit | 47,690 | 47,110 | 1.23 | | Profit Before Tax | 16,507 | 14,850 | 11.16 | | Profit for the Period | 14,923 | 12,543 | 18.97 | | Earnings Per Share (RMB) | 0.03 | 0.03 | — | [Interim Condensed Consolidated Financial Statements](index=2&type=section&id=Interim%20Condensed%20Consolidated%20Financial%20Statements) This section presents the company's interim consolidated financial statements, detailing its financial performance and position [Interim Condensed Consolidated Statement of Profit or Loss](index=2&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss) For the six months ended June 30, 2025, the company's revenue increased by **10.03%** to **RMB 406,759 thousand**, with profit for the period rising **18.97%** to **RMB 14,923 thousand**, driven by revenue growth and cost control Interim Condensed Consolidated Statement of Profit or Loss (For the Six Months Ended June 30) | Indicator | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Revenue | 406,759 | 369,696 | | Cost of Sales | (359,069) | (322,586) | | Gross Profit | 47,690 | 47,110 | | Other Income and Gains | 3,754 | 4,321 | | Selling and Distribution Expenses | (3,147) | (3,639) | | Administrative Expenses | (17,289) | (20,963) | | Research and Development Expenses | (9,270) | (6,683) | | Impairment Loss on Financial Assets | (1,690) | (2,335) | | Other Expenses | (40) | (20) | | Finance Costs | (3,501) | (2,941) | | Profit Before Tax | 16,507 | 14,850 | | Income Tax Expense | (1,584) | (2,307) | | Profit for the Period | 14,923 | 12,543 | | Profit Attributable to Owners of the Parent | 14,687 | 12,320 | | Profit Attributable to Non-controlling Interests | 236 | 223 | [Interim Condensed Consolidated Statement of Comprehensive Income](index=3&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) For the six months ended June 30, 2025, the company's total comprehensive income was **RMB 13,069 thousand**, a decrease from **RMB 16,952 thousand** in the prior period, primarily due to changes in exchange differences Interim Condensed Consolidated Statement of Comprehensive Income (For the Six Months Ended June 30) | Indicator | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Profit for the Period | 14,923 | 12,543 | | Exchange Differences on Translation of Foreign Operations (may be reclassified to profit or loss) | 3,083 | 4,409 | | Exchange Differences on Translation of Foreign Operations (will not be reclassified to profit or loss) | (4,937) | — | | Other Comprehensive (Loss)/Income for the Period (net of tax) | (1,854) | 4,409 | | Total Comprehensive Income for the Period | 13,069 | 16,952 | | Total Comprehensive Income Attributable to Owners of the Parent | 12,833 | 16,729 | | Total Comprehensive Income Attributable to Non-controlling Interests | 236 | 223 | [Interim Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the company's total assets less current liabilities amounted to **RMB 418,989 thousand**, an increase from December 31, 2024, primarily driven by an increase in net current assets Interim Condensed Consolidated Statement of Financial Position (As of June 30) | Indicator | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | **Non-current Assets** | | | | Property, Plant and Equipment | 40,493 | 32,597 | | Right-of-use Assets | 421 | 641 | | Other Intangible Assets | 248 | 230 | | Deferred Tax Assets | 2,226 | 1,836 | | Other Non-current Assets | 42,205 | 53,915 | | **Total Non-current Assets** | **85,593** | **89,219** | | **Current Assets** | | | | Inventories | 771 | 129 | | Trade Receivables | 300,485 | 235,042 | | Prepayments, Other Receivables and Other Assets | 225,847 | 215,973 | | Restricted Cash | — | 27 | | Cash and Cash Equivalents | 348,055 | 371,016 | | **Total Current Assets** | **875,158** | **822,187** | | **Current Liabilities** | | | | Trade Payables | 216,309 | 199,598 | | Other Payables and Accruals | 26,166 | 38,023 | | Contract Liabilities | 179 | 231 | | Interest-bearing Bank Borrowings | 294,567 | 262,811 | | Lease Liabilities | 262 | 485 | | Tax Payable | 4,279 | 4,329 | | **Total Current Liabilities** | **541,762** | **505,477** | | **Net Current Assets** | **333,396** | **316,710** | | **Total Assets Less Current Liabilities** | **418,989** | **405,929** | | **Non-current Liabilities** | | | | Lease Liabilities | — | 9 | | **Total Non-current Liabilities** | **—** | **9** | | **Net Assets** | **418,989** | **405,920** | | **Equity** | | | | Equity Attributable to Owners of the Parent | 415,275 | 402,442 | | Non-controlling Interests | 3,714 | 3,478 | | **Total Equity** | **418,989** | **405,920** | [Notes to the Interim Condensed Consolidated Financial Information](index=6&type=section&id=Notes%20to%20the%20Interim%20Condensed%20Consolidated%20Financial%20Information) This section details accounting policies, significant judgments, and explanatory notes to the interim consolidated financial information [1. Company Information](index=6&type=section&id=1.%20Company%20Information) The company was incorporated in the Cayman Islands and primarily engages in IDC solution services, edge computing services, and other services in China - The Company was incorporated in the Cayman Islands as a limited liability company on December **10**, **2021**[10](index=10&type=chunk) - The Group primarily engages in providing Internet Data Center (IDC) solution services, edge computing services, and other services in Mainland China[10](index=10&type=chunk) [2. Basis of Presentation](index=6&type=section&id=2.%20Basis%20of%20Presentation) The interim condensed consolidated financial information is prepared in accordance with IAS 34 and should be read in conjunction with the annual consolidated financial statements - The interim condensed consolidated financial information has been prepared in accordance with International Accounting Standard **34** — Interim Financial Reporting[11](index=11&type=chunk) [3. Changes in Accounting Policies and Disclosures](index=6&type=section&id=3.%20Changes%20in%20Accounting%20Policies%20and%20Disclosures) The amendment to IAS 21, "Lack of Exchangeability," was first adopted this period but had no impact on the financial information as the Group's transaction and functional currencies are convertible - The Group first adopted the amendment to IAS **21**, 'Lack of Exchangeability', during the period[12](index=12&type=chunk)[13](index=13&type=chunk) - As the currencies used for transactions by the Group and the functional currencies used by Group entities for translation into the Group's presentation currency are convertible, these amendments had no impact on the interim condensed consolidated financial information[13](index=13&type=chunk) [4. Operating Segment Information](index=6&type=section&id=4.%20Operating%20Segment%20Information) The Group primarily provides IDC solution services, edge computing services, and other services in Mainland China, which management considers a single reportable operating segment, with all revenue and non-current assets originating from Mainland China - The Group is primarily a provider of IDC solution services, edge computing services, and other services in Mainland China[14](index=14&type=chunk) - Management considers the Group's operating segments as a single reportable operating segment[14](index=14&type=chunk) - All of the Group's revenue and non-current assets are derived from Mainland China[15](index=15&type=chunk) [5. Revenue, Other Income and Gains](index=7&type=section&id=5.%20Revenue,%20Other%20Income%20and%20Gains) For the six months ended June 30, 2025, total revenue from contracts with customers was **RMB 406,759 thousand**, primarily from IDC solution services, while other income and gains totaled **RMB 3,754 thousand**, a decrease from the prior period Revenue from Contracts with Customers by Type of Goods or Services (For the Six Months Ended June 30) | Type of Goods or Services | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | IDC Solution Services | 376,077 | 348,699 | | Edge Computing Services | 29,228 | 20,997 | | Other Services | 1,454 | — | | **Total Revenue from Contracts with Customers** | **406,759** | **369,696** | Other Income and Gains Analysis (For the Six Months Ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Government Grants | 372 | 3,502 | | Bank Interest Income | 255 | 198 | | Interest Income from Long-term Receivables | 2,921 | 621 | | Other | 206 | — | | **Total** | **3,754** | **4,321** | [6. Profit Before Tax](index=8&type=section&id=6.%20Profit%20Before%20Tax) For the six months ended June 30, 2025, profit before tax was **RMB 16,507 thousand**, influenced by factors such as cost of services, depreciation, R&D expenses, and employee benefit expenses Profit Before Tax Deducted/(Credited) Items (For the Six Months Ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Cost of Services Provided | 359,069 | 322,586 | | Depreciation of Property, Plant and Equipment | 4,197 | 2,451 | | Depreciation of Right-of-use Assets | 220 | 294 | | Amortisation of Intangible Assets | 124 | 162 | | Research and Development Expenses | 9,270 | 6,683 | | Total Employee Benefit Expenses | 17,594 | 14,967 | | Impairment Loss on Financial Assets Recognised | 1,690 | 2,335 | | Bank Interest Income | (255) | (198) | | Interest Income from Long-term Receivables | (2,921) | (621) | | Listing Expenses | — | 7,507 | [7. Finance Costs](index=9&type=section&id=7.%20Finance%20Costs) For the six months ended June 30, 2025, total finance costs amounted to **RMB 3,501 thousand**, primarily comprising interest on bank borrowings, representing an increase from the prior period Finance Costs Analysis (For the Six Months Ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Interest on Bank Borrowings | 3,490 | 2,915 | | Interest on Lease Liabilities | 11 | 26 | | **Total** | **3,501** | **2,941** | [8. Income Tax](index=9&type=section&id=8.%20Income%20Tax) For the six months ended June 30, 2025, total income tax expense was **RMB 1,584 thousand**, a decrease from the prior period, primarily including current and deferred income tax in Mainland China Income Tax Expense Analysis (For the Six Months Ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Current | 1,974 | 2,331 | | Deferred | (390) | (24) | | **Total Tax Expense for the Period** | **1,584** | **2,307** | [9. Dividends](index=9&type=section&id=9.%20Dividends) For the six months ended June 30, 2025, the company neither declared nor proposed any interim dividends - For the six months ended June 30, 2025, no interim dividend was declared or proposed to the ordinary shareholders of the Company[22](index=22&type=chunk) [10. Earnings Per Share Attributable to Owners of the Parent](index=9&type=section&id=10.%20Earnings%20Per%20Share%20Attributable%20to%20Owners%20of%20the%20Parent) For the six months ended June 30, 2025, basic and diluted earnings per share attributable to owners of the parent remained stable at **RMB 0.03** Basic and Diluted Earnings Per Share Calculation (For the Six Months Ended June 30) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Profit Attributable to Owners of the Parent (RMB '000) | 14,687 | 12,320 | | Weighted Average Number of Ordinary Shares in Issue for the Period | 460,000,000 | 382,083,333 | | Earnings Per Share (Basic and Diluted, RMB) | 0.03 | 0.03 | [11. Property, Plant and Equipment](index=10&type=section&id=11.%20Property,%20Plant%20and%20Equipment) For the six months ended June 30, 2025, the Group acquired property, plant and equipment at a cost of **RMB 12,099 thousand** and disposed of assets with a net book value of **RMB 6 thousand**, resulting in a net loss of **RMB 5 thousand** - For the six months ended June 30, 2025, the Group acquired property, plant and equipment at a cost of **RMB 12,099 thousand**, an increase from **RMB 10,179 thousand** in the prior period[25](index=25&type=chunk) - The Group disposed of assets with a net book value of **RMB 6 thousand**, resulting in a net loss on disposal of **RMB 5 thousand**[25](index=25&type=chunk) [12. Other Non-current Assets](index=10&type=section&id=12.%20Other%20Non-current%20Assets) As of June 30, 2025, total other non-current assets amounted to **RMB 42,205 thousand**, primarily consisting of long-term receivables net of impairment provisions Other Non-current Assets (As of June 30) | Item | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Long-term Receivables | 67,360 | 78,691 | | Less: Long-term Receivables Due Within One Year | (23,859) | (23,025) | | Less: Impairment | (1,296) | (1,751) | | **As at Year/Period End** | **42,205** | **53,915** | [13. Trade Receivables](index=10&type=section&id=13.%20Trade%20Receivables) As of June 30, 2025, total trade receivables amounted to **RMB 300,485 thousand**, with the majority due within one year, representing an increase from December 31, 2024 Trade Receivables (As of June 30) | Item | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Trade Receivables | 307,179 | 239,564 | | Less: Impairment | (6,694) | (4,522) | | **As at Year/Period End** | **300,485** | **235,042** | Trade Receivables Aging Analysis (As of June 30) | Aging | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Within One Year | 259,898 | 191,579 | | One to Two Years | 40,587 | 43,463 | | **Total** | **300,485** | **235,042** | [14. Prepayments, Other Receivables and Other Assets](index=11&type=section&id=14.%20Prepayments,%20Other%20Receivables%20and%20Other%20Assets) As of June 30, 2025, prepayments, other receivables, and other assets totaled **RMB 225,847 thousand**, an increase from December 31, 2024, primarily comprising prepayments and other receivables Prepayments, Other Receivables and Other Assets (As of June 30) | Item | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Long-term Receivables Due Within One Year (net of impairment) | 23,148 | 22,301 | | Prepayments | 159,707 | 121,716 | | Other Receivables | 38,749 | 67,924 | | Deposits | 1,156 | 863 | | Other | 3,166 | 3,262 | | Less: Impairment | (79) | (93) | | **Total** | **225,847** | **215,973** | - Prepayments, other receivables, and other assets are unsecured, interest-free, and have no fixed repayment terms[27](index=27&type=chunk) [15. Trade Payables](index=12&type=section&id=15.%20Trade%20Payables) As of June 30, 2025, total trade payables amounted to **RMB 216,309 thousand**, with the majority due within one year, representing an increase from December 31, 2024 Trade Payables Aging Analysis (As of June 30) | Aging | June 30, 2025 (RMB '000) | December 31, 2024 (RMB '000) | | :--- | :--- | :--- | | Within One Year | 212,626 | 199,048 | | One to Two Years | 3,683 | 550 | | **Total** | **216,309** | **199,598** | [16. Interest-bearing Bank Borrowings](index=12&type=section&id=16.%20Interest-bearing%20Bank%20Borrowings) As of June 30, 2025, total interest-bearing bank borrowings amounted to **RMB 294,567 thousand**, with interest rates ranging from **1.80%** to **3.00%**, all denominated in RMB with fixed interest rates Interest-bearing Bank Borrowings (As of June 30) | Item | Effective Interest Rate (%) | Year of Maturity | June 30, 2025 (RMB '000) | | :--- | :--- | :--- | :--- | | Bank Borrowings—Unsecured | 1.80 – 3.00 | 2025 – 2026 | 294,567 | | **Bank Borrowings Repayable: Within 1 Year** | | | **294,567** | - The Group's borrowings are denominated in RMB, and all borrowings bear fixed interest rates[29](index=29&type=chunk) [17. Share Capital](index=12&type=section&id=17.%20Share%20Capital) As of June 30, 2025, issued and fully paid ordinary shares totaled **460,000,000** shares, with a share capital of **RMB 32,722**, consistent with December 31, 2024 Share Capital (As of June 30) | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | | :--- | :--- | :--- | | Issued and Fully Paid Ordinary Shares (**460,000,000** shares) | 32,722 | 32,722 | [18. Commitments](index=13&type=section&id=18.%20Commitments) As of June 30, 2025, the Group had no significant contractual commitments - As of June 30, 2025 and December 31, 2024, the Group has no significant contingent liabilities or capital commitments[30](index=30&type=chunk) [19. Related Party Transactions](index=13&type=section&id=19.%20Related%20Party%20Transactions) For the six months ended June 30, 2025, total remuneration paid to key management personnel amounted to **RMB 3,702 thousand**, a decrease from the prior period Remuneration Paid to Key Management Personnel (For the Six Months Ended June 30) | Item | 2025 (RMB '000) | 2024 (RMB '000) | | :--- | :--- | :--- | | Short-term Employee Benefits | 3,436 | 4,294 | | Pension Scheme Contributions | 266 | 287 | | **Total Remuneration Paid to Key Management Personnel** | **3,702** | **4,581** | [20. Fair Value and Fair Value Hierarchy of Financial Instruments](index=13&type=section&id=20.%20Fair%20Value%20and%20Fair%20Value%20Hierarchy%20of%20Financial%20Instruments) The carrying amounts of the Group's financial instruments approximate their fair values, primarily due to their short-term maturity - The carrying amounts of the Group's financial instruments approximate their fair values[32](index=32&type=chunk) - The main reason for the fair value approximating the carrying amount is that these instruments mature in the short term[32](index=32&type=chunk) [21. Events After the Reporting Period](index=13&type=section&id=21.%20Events%20After%20the%20Reporting%20Period) After the reporting period, the company completed a new share subscription on July 18, 2025, and established a joint venture with Shannon Semiconductor Technology Co., Ltd. on August 12, 2025, to expand into the intelligent computing services market [(a) Subscription of New Shares](index=13&type=section&id=21.%20%28a%29%20Subscription%20of%20New%20Shares) On July 18, 2025, the company signed subscription agreements with two investment entities to issue a total of **45,985,000** new shares at **HKD 4.98** per share, completed on August 18, 2025, with net proceeds of approximately **HKD 228 Million** to be used for core business enhancement, business expansion, establishing intelligent computing centers, and supplementing working capital - On July **18**, **2025**, the Company entered into subscription agreements with Xichuang Phase I Artificial Intelligence Investment (Wuxi) Partnership (Limited Partnership) and Wuxi Xintou Chuangrong Equity Investment Partnership (Limited Partnership)[33](index=33&type=chunk)[34](index=34&type=chunk) - A total of **45,985,0

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。 CALB Group Co., Ltd. 中創新航科技集團股份有限公司 （於中華人民共和國註冊成立的股份有限公司） （股份代號：3931） 截至2025年6月30日止六個月之中期業績公告 中創新航科技集團股份有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然宣 布本公司及其附屬公司（統稱「本集團」、「中創新航」或「我們」）截至2025年6月30 日止六個月（「報告期」）的未經審計簡明合併中期業績，連同截至2024年6月30日 止六個月的業績比較數字，如下文所示： 財務摘要 本集團收入由截至2024年6月30日止六個月的人民幣12,469.24百萬元增長31.7% 至截至2025年6月30日止六個月的人民幣16,418.88百萬元。 本集團期內利潤由截至2024年6月30日止六個月的人民幣417.31百萬元增長 80.4%至截至2025年6月30日止六個月的人民幣752.99百萬元。 本集團基本每 ...

[Company Announcement and Interim Results Summary](index=1&type=section&id=Company%20Announcement%20and%20Interim%20Results%20Summary) This section provides an overview of the company's interim results announcement [Interim Results Announcement](index=1&type=section&id=Interim%20Results%20Announcement) Chuyu Smart Manufacturing Technology Group Co., Ltd. announced its unaudited condensed consolidated results for the six months ended June 30, 2025, with comparative financial data for the same period in 2024 - This announcement is released by the Board of Directors of Chuyu Smart Manufacturing Technology Group Co., Ltd., covering the unaudited condensed consolidated results for the six months ended June 30, 2025[2](index=2&type=chunk) [Condensed Consolidated Financial Statements](index=2&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents the company's condensed consolidated financial performance and position [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2025, the company experienced a significant revenue decline, a shift from profit to loss, increased gross loss, and higher operating and period losses, leading to an expanded basic loss per share Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (For the six months ended June 30) | Indicator | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Revenue | 50,170 | 235,289 | | (Gross Loss) / Gross Profit | (29,923) | 3,038 | | Operating Loss | (247,259) | (141,663) | | Loss Before Income Tax | (286,524) | (184,704) | | Loss for the Period | (286,524) | (185,064) | | Loss for the period attributable to owners of the Company | (270,848) | (170,487) | | Loss per share attributable to owners of the Company (HK Cents) | (8.73) | (5.50) | | Total comprehensive loss for the period | (260,313) | (201,481) | - Basic loss per share attributable to owners of the Company expanded from **5.50 HK Cents** in the same period of 2024 to **8.73 HK Cents** in 2025[3](index=3&type=chunk) - Regarding other comprehensive income/(loss), exchange differences arising from the translation of overseas operations shifted from a loss of **HK$15,274 thousand** in 2024 to a gain of **HK$24,119 thousand** in 2025[4](index=4&type=chunk) [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the company's total assets and net assets both decreased, and net current liabilities expanded, reflecting challenging financial conditions Condensed Consolidated Statement of Financial Position (As of June 30) | Indicator | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Total Assets | 5,255,685 | 5,489,993 | | Net Current Liabilities | (936,798) | (793,249) | | Net Assets | 1,758,899 | 2,018,536 | | Equity attributable to owners of the Company | 1,128,781 | 1,372,569 | - Non-current assets slightly decreased from **HK$3,627,316 thousand** as of December 31, 2024, to **HK$3,609,308 thousand** as of June 30, 2025[5](index=5&type=chunk) - Current assets decreased from **HK$1,862,677 thousand** as of December 31, 2024, to **HK$1,646,377 thousand** as of June 30, 2025, primarily due to a reduction in trade and other receivables[5](index=5&type=chunk) - Non-current liabilities increased from **HK$815,531 thousand** as of December 31, 2024, to **HK$913,611 thousand** as of June 30, 2025, mainly due to increased borrowings[6](index=6&type=chunk) [Notes to the Financial Statements](index=6&type=section&id=Notes%20to%20the%20Financial%20Statements) This section provides detailed explanations and disclosures supporting the condensed consolidated financial statements [Basis of Preparation](index=6&type=section&id=Basis%20of%20Preparation) The Group's condensed consolidated interim financial statements are prepared in accordance with HKAS 34, revised under the historical cost convention, emphasizing significant uncertainties regarding going concern and mitigation plans - The financial statements are prepared in accordance with Hong Kong Accounting Standard 34 “Interim Financial Reporting” issued by the Hong Kong Institute of Certified Public Accountants, and are revised under the historical cost convention, with certain financial assets and investment properties measured at fair value being revalued[7](index=7&type=chunk) [Going Concern Basis](index=6&type=section&id=Going%20Concern%20Basis) The company faces severe going concern risks, including substantial losses, net current liabilities, cash shortages, bank loan defaults, and multiple lawsuits; mitigation plans are in place, but their success remains highly uncertain - For the six months ended June 30, 2025, the Group incurred a loss of **HK$286,524,000** and had net current liabilities exceeding current assets by **HK$936,798,000**[8](index=8&type=chunk) - The Group failed to repay principal of **RMB245,454,000** (approximately **HK$269,153,000**) and interest of **RMB86,277,000** (approximately **HK$94,607,000**) on several commercial bank borrowings by their due dates, constituting events of default[9](index=9&type=chunk) - Several suppliers and banks initiated multiple lawsuits against the Group for overdue payables and borrowings totaling approximately **RMB636,838,000** (approximately **HK$698,326,000**)[10](index=10&type=chunk) - To alleviate liquidity pressure, the Group plans to negotiate repayment, renewal, and extension of overdue borrowings with lenders (successfully extended **RMB237,520,000**), seek new financing, negotiate repayment schedules with suppliers, increase sales and accelerate receivables collection, and dispose of assets and investments[12](index=12&type=chunk)[13](index=13&type=chunk) - Despite the mitigation plans, significant uncertainty remains regarding the Group's ability to implement these plans and measures[14](index=14&type=chunk) [Significant Accounting Policies](index=8&type=section&id=Significant%20Accounting%20Policies) The accounting policies adopted in these financial statements are consistent with the prior year, with new and revised standards having no material impact or requiring retrospective adjustments - The accounting policies adopted in the preparation of the unaudited condensed consolidated financial statements are consistent with those applied in the annual consolidated financial statements for the year ended December 31, 2024[15](index=15&type=chunk) - New and revised Hong Kong Financial Reporting Standards effective for accounting periods beginning on or after January 1, 2025, had no significant impact on the Group's financial statements and required no retrospective adjustments[15](index=15&type=chunk) [Segment Information](index=9&type=section&id=Segment%20Information) The Group operates under a centralized management model, with the Board of Directors treating the entire Group as a single business segment, thus no segment information is presented - The Group adopts centralized management, and the Board of Directors considers the entire Group as a single business segment, therefore no segment information is presented[17](index=17&type=chunk) [Revenue](index=9&type=section&id=Revenue) For the six months ended June 30, 2025, the Group's revenue significantly decreased, primarily due to reduced sales of prefabricated assembled building components and decoration and landscaping services, with consulting and equipment sales revenue falling to zero Revenue Components (For the six months ended June 30) | Revenue Source | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Sales of prefabricated assembled building components | 42,488 | 201,093 | | Decoration and landscaping services | 2,062 | 25,932 | | Rental income | 5,620 | 4,124 | | Consulting services | – | 3,489 | | Sales of prefabricated assembled building equipment | – | 651 | | **Total Revenue** | **50,170** | **235,289** | [Other Income](index=9&type=section&id=Other%20Income) The Group's other income remained relatively stable during the reporting period, primarily derived from bank deposit interest and other miscellaneous income Other Income Components (For the six months ended June 30) | Income Source | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Bank deposit interest income | 10 | 39 | | Others | 523 | 454 | | **Total** | **533** | **493** | [Other Losses — Net](index=10&type=section&id=Other%20Losses%20%E2%80%94%20Net) For the six months ended June 30, 2025, the Group's net other losses increased, primarily comprising losses from disposal of equipment and fair value changes of investment properties Other Losses — Net (For the six months ended June 30) | Loss Source | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Loss on disposal of equipment | (9,130) | (8,727) | | Net exchange loss | – | (9) | | Fair value changes of investment properties | (6,455) | – | | Others | (848) | (3,021) | | **Total** | **(16,433)** | **(11,757)** | [Expenses by Nature](index=10&type=section&id=Expenses%20by%20Nature) The Group's total expenses for the six months ended June 30, 2025, significantly decreased, mainly due to substantial reductions in raw materials and consumables, employee benefits, and transportation costs, reflecting a contraction in business scale Expenses by Nature (For the six months ended June 30) | Expense Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Raw materials and consumables used | 17,679 | 128,876 | | Employee benefit expenses | 44,777 | 63,485 | | Subcontracting charges | 11,825 | 15,448 | | Subcontracting charges related to decoration and landscaping services | – | 12,369 | | Depreciation | 52,503 | 58,009 | | Transportation expenses | 5,738 | 14,467 | | Legal and professional fees | 3,138 | 8,728 | | **Total cost of sales, selling and distribution expenses and administrative expenses** | **186,985** | **345,717** | [Income Tax Expense](index=11&type=section&id=Income%20Tax%20Expense) The Group had no Hong Kong profits tax provision for the six months ended June 30, 2025, with PRC subsidiaries applying preferential corporate income tax rates of 25% or 15%, resulting in a significant reduction in current income tax expense - No Hong Kong profits tax provision was made as the Group had no estimated taxable profits in Hong Kong for the six months ended June 30, 2025[22](index=22&type=chunk) - The applicable corporate income tax rate for PRC subsidiaries is generally **25%**, with some subsidiaries enjoying a preferential rate of **15%**[22](index=22&type=chunk) Income Tax Expense (For the six months ended June 30) | Indicator | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Current income tax — PRC corporate income tax | – | 360 | [Dividends](index=11&type=section&id=Dividends) The Board of Directors does not recommend the payment of any dividends for the six months ended June 30, 2025 - The Board of Directors does not recommend the payment of any dividends for the six months ended June 30, 2025[23](index=23&type=chunk) [Loss Per Share](index=11&type=section&id=Loss%20Per%20Share) The Group's basic loss per share for the six months ended June 30, 2025, was 8.73 HK Cents, an increase from the prior year, with diluted loss per share being the same due to the anti-dilutive effect of share options Loss Per Share Calculation (For the six months ended June 30) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Consolidated loss attributable to owners of the Company (HK$ Thousand) | (270,848) | (170,487) | | Weighted average number of ordinary shares in issue (Thousand shares) | 3,101,096 | 3,101,096 | | Basic loss per share (HK Cents) | (8.73) | (5.50) | [Basic Loss Per Share](index=11&type=section&id=Basic%20Loss%20Per%20Share) Basic loss per share is calculated by dividing the consolidated loss attributable to owners of the Company by the weighted average number of ordinary shares in issue during the period - The consolidated loss attributable to owners of the Company was **HK$270,848 thousand**, resulting in a basic loss per share of **8.73 HK Cents**[24](index=24&type=chunk) [Diluted Loss Per Share](index=12&type=section&id=Diluted%20Loss%20Per%20Share) Due to the anti-dilutive effect of share options, diluted loss per share for the six months ended June 30, 2025 and 2024, was equal to the respective basic loss per share - The calculation of diluted loss per share for the six months ended June 30, 2025 and 2024, did not include share options as their inclusion would have an anti-dilutive effect[25](index=25&type=chunk) - Consequently, the diluted loss per share for the six months ended June 30, 2025 and 2024, was equal to the respective basic loss per share[25](index=25&type=chunk) [Trade and Other Receivables and Prepayments](index=12&type=section&id=Trade%20and%20Other%20Receivables%20and%20Prepayments) As of June 30, 2025, the Group's total trade and other receivables and prepayments decreased, with a significant increase in impairment provisions for trade receivables and a higher proportion of receivables over two years old Trade and Other Receivables and Prepayments (As of June 30) | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Trade receivables — Third parties | 852,664 | 973,546 | | Trade receivables — Related parties | 704,583 | 722,479 | | Impairment provision for trade and other receivables | (360,384) | (292,166) | | **Total (after provision)** | **1,511,446** | **1,722,876** | Ageing Analysis of Trade Receivables and Bills Receivable (As of June 30) | Ageing | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Less than one year | 353,925 | 330,899 | | One to two years | 317,644 | 846,663 | | Over two years | 935,953 | 564,923 | | **Total** | **1,607,522** | **1,742,485** | - Impairment provision for trade and other receivables increased from **HK$292,166 thousand** as of December 31, 2024, to **HK$360,384 thousand** as of June 30, 2025[26](index=26&type=chunk) - Trade receivables and bills receivable with an ageing over two years significantly increased from **HK$564,923 thousand** as of December 31, 2024, to **HK$935,953 thousand** as of June 30, 2025[27](index=27&type=chunk) [Trade and Other Payables](index=14&type=section&id=Trade%20and%20Other%20Payables) As of June 30, 2025, the Group's total trade and other payables remained stable, but interest payable significantly increased, and the proportion of trade payables over one year old remained high Trade and Other Payables (As of June 30) | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Trade payables — Third parties | 1,047,032 | 1,083,001 | | Trade payables — Related parties | 16,072 | 16,692 | | Accrued tax liabilities | 122,583 | 135,738 | | Interest payable | 94,607 | 61,972 | | **Total** | **1,615,174** | **1,612,263** | Ageing Analysis of Trade Payables (As of June 30) | Ageing | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Less than one year | 72,958 | 247,893 | | Over one year | 990,146 | 851,800 | | **Total** | **1,063,104** | **1,099,693** | - Interest payable increased from **HK$61,972 thousand** as of December 31, 2024, to **HK$94,607 thousand** as of June 30, 2025[29](index=29&type=chunk) - Trade payables with an ageing over one year increased from **HK$851,800 thousand** as of December 31, 2024, to **HK$990,146 thousand** as of June 30, 2025[29](index=29&type=chunk) [Borrowings](index=15&type=section&id=Borrowings) As of June 30, 2025, the Group's total borrowings slightly increased, and a significant portion of non-current borrowings was reclassified as current liabilities due to bank loan defaults, exacerbating liquidity pressure Borrowings Components (As of June 30) | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Total non-current borrowings | 817,834 | 719,994 | | Total current borrowings | 880,615 | 959,656 | | **Total Borrowings** | **1,698,449** | **1,679,650** | - The Group failed to repay principal of **RMB245,454,000** (approximately **HK$269,153,000**) and interest of **RMB86,277,000** (approximately **HK$94,607,000**) on several commercial bank borrowings by their due dates, constituting events of default[32](index=32&type=chunk) - Due to the default events, borrowings of **RMB393,954,000** (approximately **HK$431,990,000**) became immediately repayable upon demand by lenders, of which **RMB203,981,000** (approximately **HK$223,676,000**) was originally non-current and has been reclassified as current liabilities[32](index=32&type=chunk) - All borrowings are denominated in RMB and are secured by the Group's property, plant and equipment, right-of-use assets, and restricted cash deposits and/or guaranteed by subsidiaries or related parties[32](index=32&type=chunk) [Management Discussion and Analysis](index=16&type=section&id=Management%20Discussion%20and%20Analysis) This section provides management's perspective on the Group's operational performance, financial condition, and future strategies [Business Review](index=16&type=section&id=Business%20Review) In the first half of 2025, the Group's operating performance was severely impacted by a complex global economy, a Chinese construction industry downturn, and a shrinking real estate market, leading to significant revenue and gross profit declines and expanded losses - In the first half of 2025, China's real estate development enterprises saw a **9.1%** year-on-year decrease in housing construction area and a **20.0%** decrease in new housing starts, with the prefabricated building industry facing shrinking market demand, market saturation, and overcapacity[33](index=33&type=chunk) Overview of Operating Performance for the First Half of 2025 | Indicator | H1 2025 | Y-o-Y Change | | :--- | :--- | :--- | | Sales Revenue | Approx. HK$50.2 million | Decreased by approx. 78.7% | | Gross Loss | Approx. HK$29.9 million | Shifted from profit to loss | | Net Loss Attributable to Parent Company | HK$270.8 million | Increased by approx. 58.9% | [Deepening Transformation and Upgrading, Actively Expanding Diversified Markets](index=16&type=section&id=Deepening%20Transformation%20and%20Upgrading%2C%20Actively%20Expanding%20Diversified%20Markets) Facing a severe market, the Group actively promotes business transformation from traditional housing construction to a technology-integrated application service enterprise, expanding into diversified markets like wind power towers, municipal construction, industrial park development, and overseas business, significantly increasing the proportion of transformation and state-owned enterprise orders in new contracts - The Group accelerated its technology marketing and all-staff marketing efforts, continuously promoting business transformation and market upgrading, committed to evolving into a technology-integrated application service enterprise[35](index=35&type=chunk) - Building on traditional housing construction, the Group vigorously promoted transformation and upgrading, and new business expansion, making progress in areas such as wind power towers, municipal construction, industrial park development, and overseas business[35](index=35&type=chunk) New Contract Situation in H1 2025 | Order Type | Amount | Proportion | | :--- | :--- | :--- | | Accumulated new contracts (all external orders) | RMB180 million | - | | New transformation and upgrading and new business orders | RMB54 million | 30% | | New central/state-owned enterprise orders | RMB114 million | 63% (Y-o-Y increase of 18 percentage points) | | New strategic client orders | RMB98 million | 54% | - Overseas markets developed rapidly, with the Group making progress on international orders, including the Hong Kong Light Public Housing project, California project in the US, El Salvador project, Riyadh project in Saudi Arabia, and Australian villa project, all currently being followed up[37](index=37&type=chunk) [Optimizing Operations for Stability, Collaborating for Breakthroughs](index=17&type=section&id=Optimizing%20Operations%20for%20Stability%2C%20Collaborating%20for%20Breakthroughs) The Group maintains quality development in its PC business, operating 19 PC factories and 1 prefabricated decoration industrial park. In the first half, PC component sales contract value, production, and sales volumes all significantly decreased. The company is addressing market challenges by strengthening operational cash collection, optimizing personnel structure, and fostering cooperation and exchanges - As of June 30, 2025, the Group operates **19 PC factories** and **1 prefabricated decoration industrial park** nationwide, with an available capacity of **725,000 cubic meters**[38](index=38&type=chunk) PC Component Business Data for H1 2025 | Indicator | H1 2025 | Y-o-Y Change | | :--- | :--- | :--- | | Sales Contract Value | Approx. RMB180 million | Decreased by approx. 44% | | Production Volume | Approx. 41,200 cubic meters | Decreased by approx. 48% | | Sales Volume | Approx. 43,000 cubic meters | Decreased by approx. 54% | - In the first half, operating cash collection reached **RMB277 million**, including **RMB108 million** in cash (accounting for **40%**), and bad debt recovery of **RMB10 million** was achieved[39](index=39&type=chunk) - In the first half, **192 employees** were optimized, representing a **27%** reduction in personnel, leading to a **24%** decrease in monthly labor costs to **RMB5.31 million**[39](index=39&type=chunk) - Held a partner conference, released customer satisfaction survey reports and supplier credit evaluation results, and participated in a carbon neutrality technology exchange conference to seek business cooperation opportunities[40](index=40&type=chunk)[41](index=41&type=chunk) [Future Outlook](index=19&type=section&id=Future%20Outlook) Looking ahead, the Group plans to leverage national "dual carbon" strategy and prefabricated building policy benefits, deepen its full industrial chain advantages, expand into emerging application scenarios like wind power hybrid towers, industrial multi-story buildings, and water conservancy projects, and activate existing renovation and rural revitalization markets. Concurrently, it will strengthen technological leadership, deepen digital-intelligent industrial integration, and actively expand international markets through a "domestic factory + overseas factory" model to upgrade the industry [Continued Policy Benefits Release, Dual Carbon Drives Industry Upgrading](index=19&type=section&id=Continued%20Policy%20Benefits%20Release%2C%20Dual%20Carbon%20Drives%20Industry%20Upgrading) With China's high-quality economic development and the deepening implementation of the "dual carbon" strategy, the construction industry will experience structural recovery and sustained growth momentum. Prefabricated construction, as a core carrier of green building, will continue to benefit from policy support, with market penetration expected to accelerate - The deepening implementation of the domestic "dual carbon" strategy injects definite growth momentum into the construction industry, with building carbon emissions accounting for **51.3%** of the national total[42](index=42&type=chunk) - The Ministry of Housing and Urban-Rural Development's "14th Five-Year Plan" clearly targets prefabricated buildings to account for **30%** of new construction by 2025, further increasing to **40%** by 2030[42](index=42&type=chunk) [Deepening Full Industrial Chain Advantages, Expanding into Emerging Application Scenarios](index=19&type=section&id=Deepening%20Full%20Industrial%20Chain%20Advantages%2C%20Expanding%20into%20Emerging%20Application%20Scenarios) The Group will consolidate its EMPC full-chain capabilities, integrate PC component, landscaping, and decoration businesses, and prioritize emerging areas like wind power hybrid towers, industrial multi-story buildings, and water conservancy projects. Concurrently, it will activate market opportunities through existing renovation, rural revitalization, and new infrastructure initiatives [Consolidating Full Industrial Chain Synergistic Capabilities](index=19&type=section&id=Consolidating%20Full%20Industrial%20Chain%20Synergistic%20Capabilities) The Group will leverage its design-manufacturing-centralized procurement-logistics-assembly (EMPC) full-chain capabilities to deepen the integration of PC components, landscaping, and decoration businesses, building a service system covering the entire lifecycle of prefabricated buildings, with a focus on wind power hybrid towers, industrial multi-story buildings, and water conservancy projects - The Group will leverage its EMPC full-chain capabilities to deepen the integration of PC components, landscaping, and decoration businesses, building a service system covering the entire lifecycle of prefabricated buildings[43](index=43&type=chunk) - Key focus areas include wind power hybrid towers (targeting a **18%** increase in single-project profit margin), industrial multi-story buildings (promoting standardized product packages to reduce comprehensive costs by **20%**), and water conservancy projects (developing prefabricated caissons and culvert modules to reduce river treatment costs by **30%**) in emerging fields[43](index=43&type=chunk)[44](index=44&type=chunk) [Activating Existing Market and New Infrastructure Opportunities](index=20&type=section&id=Activating%20Existing%20Market%20and%20New%20Infrastructure%20Opportunities) The Group plans to launch "old house renovation + prefabricated decoration" packages through Jianye Xinsheng Life Resources, promote standardized prefabricated farmhouse product packages to capture the rural revitalization market, and expand into new infrastructure areas like municipal pipe networks and railway protection components - Leveraging Jianye Xinsheng Life Resources, the Group will launch "old house renovation + prefabricated decoration" packages, focusing on community renewal and industrialized interior decoration[45](index=45&type=chunk) - Promote standardized prefabricated farmhouse product packages, combining with new rural construction policies to capture the grassroots market[45](index=45&type=chunk) - Expand into new infrastructure areas such as municipal pipe networks and railway protection components, enriching order structure and improving capacity utilization[45](index=45&type=chunk) [Strengthening Technological Leadership, Deepening Digital-Intelligent Industrial Integration](index=21&type=section&id=Strengthening%20Technological%20Leadership%2C%20Deepening%20Digital-Intelligent%20Industrial%20Integration) The Group will adhere to its "technology leadership" strategy, increase R&D investment, and promote research and commercialization of cutting-edge prefabricated construction technologies, including the RIFF system and prestressed composite slabs. Concurrently, it will achieve standardized, industrialized, and intelligent operations across the entire industrial chain through digital management systems and BIM+ERP integration, with plans to promote its digital systems both domestically and internationally - The Group adheres to "technology leadership" as its development policy and will continue to focus on R&D investment, strengthening research into cutting-edge prefabricated building technologies[46](index=46&type=chunk) - Developed new large-span prestressed composite floor slab products and dry-wet hybrid connection high-efficiency prefabricated building technology products (RIFF system), and has obtained national patents[47](index=47&type=chunk) - The Group possesses the industry's most comprehensive and advanced digital management system, committed to creating an innovative full industrial chain collaborative model and implementing the "Home Smart Manufacturing" strategy[49](index=49&type=chunk) - Deepen BIM+ERP system integration to achieve data interoperability across design, manufacturing, and construction processes, controlling component production error rates to **<0.5mm** and reducing rework costs[49](index=49&type=chunk) - Plans to promote its digital systems within the industry, serving domestic and international PC manufacturing factories, leading the construction industry into digital-intelligent transformation and upgrading[50](index=50&type=chunk) - In terms of technology marketing, the full-year target is for technology marketing-driven orders to account for **≥35%** of contract value[51](index=51&type=chunk) [Deepening Domestic Ecological Cooperation, Breaking Through International Market Layout](index=23&type=section&id=Deepening%20Domestic%20Ecological%20Cooperation%2C%20Breaking%20Through%20International%20Market%20Layout) The Group will focus on the domestic market, securing state-owned enterprise resources, introducing strategic investors, and strengthening strategic client relationships and new client development. Concurrently, it will actively expand international markets with MIC modular buildings and integrated villas as core products, exploring an "equity investment + local OEM" industrial model [Seizing Domestic Market Opportunities](index=23&type=section&id=Seizing%20Domestic%20Market%20Opportunities) The Group plans to deepen cooperation with state-owned enterprises like China Construction and China Nuclear Construction, undertake large-scale infrastructure projects through EPC joint ventures, and introduce strategic investors such as China Energy Engineering and Tie Jian Tou to optimize debt-to-asset ratios and secure policy-favored orders. Concurrently, it will strengthen strategic client maintenance and new client development, and promote all-staff marketing - Secure state-owned enterprise resources, deepen cooperation with central enterprises like China Construction and China Nuclear Construction, undertake large-scale infrastructure projects through EPC joint venture models, and improve profit margins[52](index=52&type=chunk) - Introduce strategic investors such as China Energy Engineering and Tie Jian Tou to optimize debt-to-asset ratios and secure policy and order preferences[52](index=52&type=chunk) - Strengthen coordination, synergize resources from all parties to advance strategic client development, engage new clients, maintain existing clients, and sign strategic cooperation agreements[52](index=52&type=chunk) [Expanding International Markets](index=23&type=section&id=Expanding%20International%20Markets) The Group will position low-rise technical products like villas for overseas export, with MIC modular buildings and integrated villas as core products, actively following up on key projects such as Hong Kong Light Public Housing and California villas in the US. Concurrently, it will engage in technology export and collaborate with state-owned enterprises involved in overseas housing construction, leveraging China's prefabricated building technology advantages - Product positioning focuses on low-rise technical products such as villas, with MIC modular buildings and integrated villas as core and primary export products for overseas markets[53](index=53&type=chunk) - Plans for the second half include signing contracts for the Hong Kong Light Public Housing and Bafang Canal renovation projects, and promoting the signing of the California villa project in the US[53](index=53&type=chunk) - Conduct technology export and engage in deep cooperation with central enterprises involved in overseas housing construction to achieve complementary advantages[54](index=54&type=chunk) [Upgrading Industrial Model](index=24&type=section&id=Upgrading%20Industrial%20Model) The Group will adopt a "domestic factory + overseas factory" dual production model, with MIC assembled houses as the primary overseas export product, supplemented by full dry-assembly system and RIFF system components. It will also reduce heavy asset investment through an "equity investment + local OEM" model and strive to establish nomadic factories in suitable countries - Adopt a "domestic factory + overseas factory" dual production model, with overseas exports primarily consisting of MIC assembled houses, supplemented by full dry-assembly system and RIFF system components[55](index=55&type=chunk) - Reduce heavy asset investment through an "equity investment + local OEM" model[55](index=55&type=chunk) - Strive to establish nomadic factories in suitable countries, potentially adopting a cooperation model with investors where Chuyu holds control, and investors bear transportation, factory lease, and operating costs, achieving shared profits[55](index=55&type=chunk) [Revenue from Sales of Prefabricated Assembled Building Components](index=25&type=section&id=Revenue%20from%20Sales%20of%20Prefabricated%20Assembled%20Building%20Components) As of June 30, 2025, the Group signed third-party prefabricated component sales contracts totaling approximately RMB181.47 million, with a total volume of 89,809 cubic meters. Sales revenue primarily came from third parties, with related party sales revenue falling to zero - As of June 30, 2025, the Group had signed third-party prefabricated component sales contracts totaling approximately **RMB181,470,000**, with a total volume of **89,809 cubic meters**[56](index=56&type=chunk) Revenue from Sales of Prefabricated Assembled Building Components (For the six months ended June 30) | Sales Source | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Sales revenue — Third parties | 42,488 | 173,072 | | Sales revenue — Related parties | – | 28,021 | | **Total** | **42,488** | **201,093** | - As of June 30, 2025, a cumulative total of **1,973 patents** have been authorized[58](index=58&type=chunk) [Operational Plants](index=25&type=section&id=Operational%20Plants) The Group operates 13 technology parks nationwide, with an estimated annual production capacity of 845 thousand cubic meters, covering a total land area of 2,022 mu and a total plant area of 332,855 square meters Overview of Operational Plants | Region | Estimated Annual Capacity (Approx. Thousand Cubic Meters) | Land Area (Approx. Mu) | Plant Area (Approx. Square Meters) | | :--- | :--- | :--- | :--- | | Nanjing Technology Park | 90 | 151 | 35,981 | | Zhengzhou Technology Park | 80 | 235 | 19,659 | | Hefei Technology Park | 70 | 154 | 22,398 | | Huizhou Technology Park | 65 | 61 | 22,284 | | Changsha Technology Park | 60 | 352 | 33,433 | | Zhoukou Technology Park | 60 | 135 | 20,639 | | Qingdao Jiaozhou Technology Park | 60 | 93 | 19,339 | | Luoyang Technology Park | 60 | 308 | 55,260 | | Jiaozuo Technology Park | 60 | 80 | 19,383 | | Huai'an Technology Park | 60 | 120 | 19,356 | | Nantong Technology Park | 60 | 100 | 26,154 | | Xiangtan Technology Park | 60 | 100 | 19,310 | | Chongqing Technology Park | 60 | 133 | 19,659 | | **Total** | **845** | **2,022** | **332,855** | [Government Grants for the First Half of 2025](index=26&type=section&id=Government%20Grants%20for%20the%20First%20Half%20of%202025) As a national high-tech enterprise, the Group's technological innovation capabilities are recognized by the government, receiving grants for contributions to energy conservation, environmental protection, industrial upgrading, and smart manufacturing, though the grant amount significantly decreased in H1 2025 - As a national high-tech enterprise, the Group's technological innovation capabilities are widely recognized by government authorities, receiving honorary awards and financial support[60](index=60&type=chunk) - The Group has made significant contributions to energy-saving and environmental protection projects, promoting industrial upgrading and transformation, and smart manufacturing, driving local employment and industrial development[60](index=60&type=chunk) Government Grants (For the six months ended June 30) | Indicator | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Government grants | 401 | 5,470 | [Financial Review](index=26&type=section&id=Financial%20Review) This section provides a detailed analysis of the Group's financial performance and position during the reporting period [Performance Review](index=26&type=section&id=Performance%20Review) The Group's performance significantly deteriorated in H1 2025, with substantial revenue decline, increased gross loss, and expanded loss for the period, primarily from prefabricated assembled building engineering, decoration and landscaping services, patent technology licensing, consulting services, and equipment sales - The Group's principal activities are engaging in prefabricated assembled building engineering, decoration and landscaping services, granting patent technology usage rights, consulting services, and selling equipment in the People's Republic of China[62](index=62&type=chunk) [Revenue](index=26&type=section&id=Revenue) The Group's revenue significantly decreased by approximately HK$185.1 million from HK$235.3 million in H1 2024 to HK$50.2 million in H1 2025, mainly due to fewer customers, reduced sales of prefabricated assembled building components and consulting services, and lower smart landscaping and smart decoration business revenue - The Group's revenue decreased by approximately **HK$185,100,000** from approximately **HK$235,300,000** for the six months ended June 30, 2024, to approximately **HK$50,200,000** for the six months ended June 30, 2025[63](index=63&type=chunk) - The decrease in revenue was primarily attributable to a reduction in the number of customers, leading to decreased revenue from sales of prefabricated assembled building components and consulting services, as well as lower revenue from smart landscaping and smart decoration businesses[63](index=63&type=chunk) [Cost of Sales](index=27&type=section&id=Cost%20of%20Sales) The Group's cost of sales decreased from approximately HK$232.3 million in H1 2024 to HK$80.1 million in H1 2025, primarily due to reduced sales volume of prefabricated assembled building components - For the six months ended June 30, 2025, the Group recorded cost of sales of approximately **HK$80,100,000** (2024: approximately **HK$232,300,000**)[65](index=65&type=chunk) - The decrease in cost of sales was primarily due to the reduced sales volume of prefabricated assembled building components[65](index=65&type=chunk) [Other Income](index=27&type=section&id=Other%20Income) The Group's other income remained stable at approximately HK$0.5 million in H1 2025, primarily from bank deposit interest income - The Group's other income remained unchanged at approximately **HK$500,000** for the six months ended June 30, 2024, and June 30, 2025[66](index=66&type=chunk) [Other Losses — Net](index=27&type=section&id=Other%20Losses%20%E2%80%94%20Net) For the six months ended June 30, 2025, net other losses were approximately HK$16.4 million, mainly comprising losses from disposal of equipment and fair value changes of investment properties - For the six months ended June 30, 2025, net other losses were approximately **HK$16,400,000**, primarily including a loss on disposal of equipment of approximately **HK$9,100,000** and fair value changes of investment properties of approximately **HK$6,500,000**[67](index=67&type=chunk) [Selling and Distribution Expenses](index=27&type=section&id=Selling%20and%20Distribution%20Expenses) Selling and distribution expenses decreased by approximately HK$12.7 million from HK$22.2 million in H1 2024 to HK$9.5 million in H1 2025, directly related to the sales of prefabricated assembled building components - Selling and distribution expenses decreased by approximately **HK$12,700,000** from approximately **HK$22,200,000** for the six months ended June 30, 2024, to approximately **HK$9,500,000** for the six months ended June 30, 2025[68](index=68&type=chunk) [Administrative Expenses](index=28&type=section&id=Administrative%20Expenses) Administrative expenses increased by approximately HK$6.1 million from HK$91.3 million in H1 2024 to HK$97.4 million in H1 2025, primarily due to increased amortization expenses incurred by factories - Administrative expenses increased by approximately **HK$6,100,000** from approximately **HK$91,300,000** for the six months ended June 30, 2024, to approximately **HK$97,400,000** for the six months ended June 30, 2025[69](index=69&type=chunk) - The increase in administrative expenses was due to increased amortization expenses incurred by factories[69](index=69&type=chunk) [Finance Costs](index=28&type=section&id=Finance%20Costs) Finance costs decreased by approximately HK$3.7 million from HK$43.0 million in H1 2024 to HK$39.3 million in H1 2025, primarily from interest expenses on bank borrowings - Finance costs decreased by approximately **HK$3,700,000** from approximately **HK$43,000,000** for the six months ended June 30, 2024, to approximately **HK$39,300,000** for the six months ended June 30, 2025[70](index=70&type=chunk) [Loss for the Period](index=28&type=section&id=Loss%20for%20the%20Period) Due to the aforementioned factors, the Group recorded a loss of approximately HK$286.5 million for the six months ended June 30, 2025, an increase from approximately HK$185.1 million in the same period of 2024 - For the six months ended June 30, 2025, the Group recorded a loss of approximately **HK$286,500,000**, compared to a loss of approximately **HK$185,100,000** for the same period in 2024[71](index=71&type=chunk) [Liquidity and Financial Resources](index=28&type=section&id=Liquidity%20and%20Financial%20Resources) As of June 30, 2025, the Group's current assets, cash and cash equivalents both decreased, with a deteriorating current ratio and an increased net debt-to-equity ratio, indicating heightened liquidity pressure Overview of Liquidity and Financial Resources (As of June 30) | Indicator | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Current Assets | 1,646,400 | 1,862,700 | | Current Liabilities | 2,583,200 | 2,655,900 | | Current Ratio | 0.6 | 0.7 | | Total Borrowings | 1,698,400 | 1,679,700 | | Net Debt-to-Equity Ratio | 102% | 86.0% | | Cash and cash equivalents | 2,900 | 6,400 | | Restricted cash | 25,100 | 26,800 | - The Group had interest-bearing bank and other borrowings of approximately **HK$1,698,400,000**, all denominated in RMB, with annual interest rates ranging from **3.10% to 6.95%**[74](index=74&type=chunk) [Capital Structure](index=29&type=section&id=Capital%20Structure) As of June 30, 2025, the company had a total of 3,101,095,730 shares in issue, with a market capitalization of approximately HK$204.7 million - As of June 30, 2025, the total number of shares in issue was **3,101,095,730**[75](index=75&type=chunk) - Based on the closing price of **HK$0.066 per share** on June 30, 2025, the Company's market capitalization was approximately **HK$204,700,000**[75](index=75&type=chunk) [General Information](index=29&type=section&id=General%20Information) This section provides information on the company's corporate governance, securities transactions, and board composition [Corporate Governance Practices](index=29&type=section&id=Corporate%20Governance%20Practices) The company is committed to high corporate governance standards; the Chairman and CEO roles are combined, deviating from Listing Rules but deemed beneficial for strategy execution and operational efficiency, while one non-executive director was absent from the AGM due to business commitments - Mr. Guo Weiqiang holds both the Chairman and Chief Executive Officer positions, which deviates from code provision C.2.1 of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[76](index=76&type=chunk) - The Board believes that combining the roles of Chairman and Chief Executive Officer facilitates the execution of the Group's business strategies and enhances its operational efficiency[76](index=76&type=chunk) - Mr. Wang Jun was unable to attend the Company's Annual General Meeting held on May 20, 2025, due to business commitments, which deviates from code provision C.1.6[77](index=77&type=chunk) - Save as disclosed, the Company has fully complied with the code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[78](index=78&type=chunk) [Code for Securities Transactions](index=30&type=section&id=Code%20for%20Securities%20Transactions) The company adopted the Model Code for Securities Transactions by Directors of Listed Issuers as its code of conduct, with all directors confirming full compliance, and a similar code adopted for relevant employees - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules[79](index=79&type=chunk) - All Directors have confirmed that they have fully complied with the required standards set out in the Model Code for the six months ended June 30, 2025[79](index=79&type=chunk) [Purchase, Sale or Redemption of Securities](index=30&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20Securities) For the six months ended June 30, 2025, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities - For the six months ended June 30, 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[80](index=80&type=chunk) [Review of Interim Results](index=30&type=section&id=Review%20of%20Interim%20Results) The company's Audit Committee has reviewed the Group's interim results and unaudited condensed consolidated financial statements for the six months ended June 30, 2025 - The Company's Audit Committee has reviewed the Group's interim results and unaudited condensed consolidated financial statements for the six months ended June 30, 2025[81](index=81&type=chunk) [Board of Directors](index=30&type=section&id=Board%20of%20Directors) As of the announcement date, the Board comprises Executive Directors Mr. Guo Weiqiang (Chairman) and Ms. Wang Yuping, Non-executive Directors Mr. Wang Jun and Mr. Guo Jianfeng, and Independent Non-executive Directors Mr. Jiang Hongqing, Mr. Li Zhiming, and Mr. Ma Lishan - The Board of Directors includes Mr. Guo Weiqiang (Chairman) and Ms. Wang Yuping as Executive Directors; Mr. Wang Jun and Mr. Guo Jianfeng as Non-executive Directors; and Mr. Jiang Hongqing, Mr. Li Zhiming, and Mr. Ma Lishan as Independent Non-executive Directors[83](index=83&type=chunk)

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，並明確表示概不會就本公佈全部或任何部份內容而 產生或因依賴該等內容而引致之任何損失承擔任何責任。 EVA Precision Industrial Holdings Limited （於開曼群島註冊成立之有限公司） （股份代號：838） 截至二零二五年六月三十日止六個月之中期業績 財務業績 億和精密工業控股有限公司（「本公司」）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之未經審核合併財務業績及比較數字如下： - 1 - 簡明合併中期綜合收益表 截至二零二五年六月三十日止六個月 | | | 未經審核 | | | --- | --- | --- | --- | | | | 截至六月三十日止六個月 | | | | 附註 | 二零二五年 | 二零二四年 | | | | 港幣千元 | 港幣千元 | | 收入 | 4 | 3,055,327 | 2,999,779 | | 銷售成本 | | (2,435,501) | (2,397,115) | | 毛利 | | 619, ...

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 告 全部或任何部分內容而產生或因依賴該等內容而引致之任何損失承擔任何責 任。 ROYALE HOME HOLDINGS LIMITED 皇朝家居控股有限公司* 業 績 皇 朝 家 居 控 股 有 限 公 司（「本 公 司」）董 事 會（「董 事 會」）公 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（「報 告 期 內」）之 未 經 審 核 中 期 簡 明 綜 合 業 績 連 同 二 零 二 四 年 同 期 之 比 較 數 字。報 告 期 內 中 期 業 績 已 經 由 本 公 司 審 核 委 員 會 審 閱，並 獲 董 事 會 批 准。 * 僅供識別 – 1 – 簡明綜合損益表 截至二零二五年六月三十日止六個月 | 截至六月三十日止六個月 | 二零二五年 | 二零二四年 | | | | | | | | | | | | --- | --- | - ...