截至二零二五年六月三十日止六個月 財務摘要 1 （於百慕達註冊成立之有限公司） （股份代號：297） 中期業績公告 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，並明確表示概不會就因本公告全部或任何部份內容而產生或因倚賴該等內 容而引致之任何損失承擔任何責任。 SINOFERT HOLDINGS LIMITED 中化化肥控股有限公司 本集團始終牢記助力糧食安全、服務中國農民的使命責任，聚焦主責主業，堅定推進「生物+」戰略， 以科技創新為核心驅動，強化產業協同和加速商業轉化，提升渠道數字化能力，進一步提質增效， 經營效益及經營效率取得雙增長。 財務業績 截至二零二五年六月三十日止六個月，本集團實現營業額人民幣147.15億元，本公司股東應佔溢利 人民幣11.04億元，同比增長5.04%。 2 研究開發 ‧ 本期本集團營業額人民幣147.15億元，同比增長7.56% ‧ 本期本公司股東應佔溢利人民幣11.04億元，同比增長5.04% ‧ 本期每股基本盈利人民幣0.1572元，同比增長5.04% ‧ 董事會建議不宣派截至二零二五年六月三十日止六個月的中 ...

[Financial Highlights](index=1&type=section&id=Financial%20Highlights) Provides a concise overview of the company's key financial and operational performance for the first half of 2025 Key Financial and Operational Data for H1 2025 | Indicator | H1 2025 (CNY) | YoY Change | Remarks | | :--- | :--- | :--- | :--- | | Contracted Sales | 16.61 billion yuan | -12.7% | Involving contracted GFA of 1,472,400 sq.m. | | Revenue | 14.54 billion yuan | -33.4% | | | Gross Profit | 1.35 billion yuan | -36.1% | Gross profit margin 9.3% | | Profit Attributable to Owners of the Company | 284 million yuan | -67.9% | | | Basic Earnings Per Share | 8.0 fen | -67.9% | | | Sales Collection | 16.95 billion yuan | | | | Operating Cash Flow | Net inflow of 1.17 billion yuan | | | | Total Cash and Bank Balances | 28.53 billion yuan | | 22.3% of total assets | | Net Gearing Ratio | 33.5% | | | | Total GFA of Newly Acquired Land | 1,328,300 sq.m. | | Total consideration 6.19 billion yuan | | Total GFA of Land Bank | 13,541,900 sq.m. | | Group's attributable GFA 11,459,500 sq.m. | | Interim Dividend | HKD 1 fen per share | | | [Chairman's Statement](index=2&type=section&id=Chairman's%20Statement) The Chairman's Statement provides an overview of the company's performance, market conditions, and strategic direction [Introduction](index=2&type=section&id=Introduction) The company announced its unaudited interim results for H1 2025, with revenue down 33.4% to CNY 14.54 billion and profit attributable to owners down 67.9% to CNY 284 million H1 2025 Core Financial Performance | Indicator | H1 2025 (CNY) | YoY Change | | :--- | :--- | :--- | | Revenue | 14.54 billion yuan | -33.4% | | Profit Attributable to Owners of the Company | 284 million yuan | -67.9% | | Basic Earnings Per Share | 8.0 fen | | - The Board declared an interim dividend of **HKD 1 fen per share** for the six months ended June 30, 2025[5](index=5&type=chunk) [Market Review](index=2&type=section&id=Market%20Review) In H1 2025, China's economy showed resilience with 5.3% GDP growth, while the real estate market stabilized with steady sales and narrowing price declines - In H1 2025, China's GDP grew by **5.3%**, driven by stable domestic demand, better-than-expected exports, and rapid industrial production[6](index=6&type=chunk) - The real estate market stabilized, with new home sales area and value remaining steady, a narrowing year-on-year decline in new commercial residential prices, and a continuous three-month reduction in unsold inventory[6](index=6&type=chunk) H1 2025 National Top 100 Cities Commercial Residential Sales Data | Indicator | H1 2025 (CNY) | YoY Change | | :--- | :--- | :--- | | Sales Value | 2.04 trillion yuan | -2.1% | | Sales Area | 95 million sq.m. | -6.1% | [Operations Review](index=3&type=section&id=Operations%20Review) The Group's H1 2025 contracted sales decreased by 12.7% to CNY 16.61 billion, but attributable contracted sales decreased by 8.9% to CNY 14.25 billion, ranking 20th in the industry H1 2025 Sales and Operations Data | Indicator | H1 2025 (CNY) | YoY Change | | :--- | :--- | :--- | | Contracted Sales (Group series companies) | 16.61 billion yuan | -12.7% | | Contracted Sales Area (Group series companies) | 1,472,400 sq.m. | -11.1% | | Attributable Contracted Sales | 14.25 billion yuan | -8.9% | | Average Residential Sales Price | 12,200 yuan/sq.m. | -2.1% | | Commercial Property Revenue | 235 million yuan | +11.3% | | Commercial Property Leased Area | 480,000 sq.m. | +2.9% | - The Group launched **8 new projects** in H1, with an average efficiency of **102 days**, shortening the average launch efficiency by 42 days compared to full-year 2024[9](index=9&type=chunk) - The Group's sales value ranked among the top three in **19 cities**, including first place in 8 cities such as Lanzhou, Ganzhou, Yinchuan, Hohhot, Taizhou, and Tangshan[11](index=11&type=chunk) H1 2025 Land Bank New Additions and Period-End Data | Indicator | H1 2025 (CNY) | Remarks | | :--- | :--- | :--- | | Newly Added Total GFA | 1,328,300 sq.m. | Total consideration 6.19 billion yuan | | Newly Added Attributable GFA | 1,195,700 sq.m. | Attributable land price 5.36 billion yuan | | Period-End Total Land Bank GFA | 13,541,900 sq.m. | Group's attributable GFA 11,459,500 sq.m. | - The Group demonstrated leading delivery capabilities, with approximately **9,200 units delivered** in H1 2025 and a delivery satisfaction rate of **96%**, exceeding the industry's 95th percentile[14](index=14&type=chunk) H1 2025 Financial Stability Indicators | Indicator | H1 2025 (CNY) | H1 2024 (CNY) | | :--- | :--- | :--- | | Sales Collection | 16.95 billion yuan | | | Operating Cash Flow | Net inflow | Positive for three consecutive years | | Cash Reserves | 28.53 billion yuan | | | Net Gearing Ratio | 33.5% | | | Weighted Average Financing Cost | 3.5% | 4.3% | | HKD and USD Interest-Bearing Debt Ratio | 14.2% | 19.0% (end of last year) | - The Group maintained a "green-light" status under the "Three Red Lines" policy, indicating strong financial health[14](index=14&type=chunk) - The Group received an **AA rating** in the Wind ESG assessment for three consecutive years, ranking among the top three in the real estate industry[15](index=15&type=chunk) - The company actively promotes ESG initiatives, with its "China Overseas Heshan Daguan" project selected as a demonstration case for national green and low-carbon "good houses" in 2024-2025[15](index=15&type=chunk) [Strategic Outlook](index=6&type=section&id=Strategic%20Outlook) For H2 2025, policies are expected to further stabilize the housing market, with urban renewal and land acquisition improving inventory pressure, while the Group focuses on "medium and beautiful" development - Policies are expected to further stabilize the housing market in H2 2025, with urban renewal and land acquisition improving industry inventory pressure, accelerating a new balance between supply and demand in the real estate market[18](index=18&type=chunk) - The Group will adhere to its "medium and beautiful" development positioning, focusing on key second and third-tier cities, with a core strategy of "refining existing assets and optimizing new additions"[18](index=18&type=chunk)[19](index=19&type=chunk) - The company will systematically promote the construction of "good houses," providing safe, comfortable, green, and smart products that meet customer expectations, while maintaining high customer satisfaction in the industry[21](index=21&type=chunk) - The Group will continuously strengthen cash flow management, cost, and risk control capabilities to maintain sufficient financial flexibility and ensure its "Three Red Lines" remain in the "green-light" category[21](index=21&type=chunk) - Human resource management will accelerate digital transformation, optimize organizational structure, streamline redundant positions, prioritize retaining core technical and management talent, and emphasize employee development and corporate culture building[22](index=22&type=chunk) [Acknowledgement](index=8&type=section&id=Acknowledgement) The Chairman extends sincere gratitude to all directors, management, employees, stakeholders, customers, partners, and the community, pledging to create greater value for shareholders [Management Discussion and Analysis](index=9&type=section&id=Management%20Discussion%20and%20Analysis) This section provides a detailed review of the Group's business performance, financial position, and future outlook [Business Review](index=9&type=section&id=Business%20Review) In H1 2025, the mainland real estate market continued to recover with policy support, but slowed in Q2, leading to a 33.4% revenue decrease and a 67.9% decline in profit attributable to owners - In H1 2025, the mainland real estate market continued its recovery with policy support, but slowed in the second quarter, showing significant differentiation across cities[27](index=27&type=chunk) H1 2025 Core Financial and Operational Data | Indicator | H1 2025 (CNY) | H1 2024 (CNY) | YoY Change | | :--- | :--- | :--- | :--- | | Contracted Sales (Group series companies) | 16.61 billion yuan | 19.02 billion yuan | -12.7% | | Attributable Contracted Sales | 14.25 billion yuan | 15.63 billion yuan | -8.9% | | Revenue | 14.54 billion yuan | 21.85 billion yuan | -33.4% | | Gross Profit | 1.35 billion yuan | 2.11 billion yuan | -36.1% | | Gross Profit Margin | 9.3% | 9.6% | -0.3 percentage points | | Distribution and Selling Expenses | 569 million yuan | 602 million yuan | -33 million yuan | | Administrative Expenses | 290 million yuan | 407 million yuan | -117 million yuan | | Operating Profit | 622 million yuan | 1.32 billion yuan | -52.9% | | Total Interest Expense | 710 million yuan | 922 million yuan | -212 million yuan | | Finance Costs | 19 million yuan | 24 million yuan | | | Share of Loss of Associates | 18 million yuan | Profit of 45 million yuan | | | Share of Loss of Joint Ventures | 36 million yuan | Profit of 18 million yuan | | | Income Tax Expense | 167 million yuan | 495 million yuan | -328 million yuan | | Effective Tax Rate | 30.4% | 36.5% | | | Profit Attributable to Owners of the Company | 284 million yuan | 885 million yuan | -67.9% | | Basic Earnings Per Share | 8.0 fen | 24.9 fen | | [Land Bank](index=11&type=section&id=Land%20Bank) In H1 2025, the Group acquired 11 new projects in seven key cities, totaling 1,328,300 sq.m. of GFA for CNY 6.19 billion, bringing the total land bank to 13,541,900 sq.m. - The Group acquired **11 new projects** in H1, with a total consideration of **CNY 6.19 billion**, absorbing a total GFA of **1,328,300 sq.m.**, of which the Group's attributable GFA was **1,195,700 sq.m.**[31](index=31&type=chunk) H1 2025 Newly Acquired Land Information | City | Project Name | Attributable Equity | Total GFA (sq.m.) | | :--- | :--- | :--- | :--- | | Nantong | Chongchuan District Project (Nantong Zhenrufu Phase II) | 100% | 89,200 | | Hohhot | Xincheng District Project 1 (COHL Xueshili) | 100% | 97,300 | | Hohhot | Xincheng District Project 2 (COHL Xueshili) | 100% | 114,500 | | Hefei | Baohe District Project 1 (Yuejing Yunqi) | 100% | 113,900 | | Yangzhou | Hanjiang District Project (Yangzhou Jiuyuanzi) | 100% | 22,900 | | Shaoxing | Yuecheng District Project (Yuehu Yunqi) | 100% | 67,200 | | Nanning | Xingning District Project (COHL Future Realm) | 100% | 156,800 | | Hefei | Yaohai District Project (COHL Wangjinfu) | 100% | 87,000 | | Lanzhou | Chengguan District Project (Sky Mirror) | 100% | 319,600 | | Hefei | Baohe District Project 2 | 39% | 42,900 | | Hefei | Baohe District Project 3 | 51% | 217,000 | | **Total** | | | **1,328,300** | - As of June 30, 2025, the Group's series companies had a total land bank GFA of **13,541,900 sq.m.** (December 31, 2024: 13,778,100 sq.m.), of which the Group's attributable GFA was **11,459,500 sq.m.**[33](index=33&type=chunk) [Segment Information](index=12&type=section&id=Segment%20Information) The Group's two main segments are property development and commercial property operations, with property development revenue decreasing by 33.9% and commercial property revenue increasing by 11.3% in H1 2025 [Property Development](index=12&type=section&id=Property%20Development) The property development segment's H1 2025 contracted sales decreased by 12.7% to CNY 16.61 billion, with recognized revenue down 33.9% to CNY 14.31 billion and gross profit margin narrowing to 8.6% H1 2025 Property Development Segment Sales and Revenue | Indicator | H1 2025 (CNY) | H1 2024 (CNY) | YoY Change | | :--- | :--- | :--- | :--- | | Contracted Sales (Group series companies) | 16.61 billion yuan | 19.02 billion yuan | -12.7% | | Contracted Area (Group series companies) | 1,472,400 sq.m. | 1,656,200 sq.m. | -11.1% | | Contracted Sales from Associates and Joint Ventures | 973 million yuan | 1.69 billion yuan | | | GFA Completed | 1,570,400 sq.m. | 3,224,500 sq.m. | | | Recognized Revenue | 14.31 billion yuan | 21.64 billion yuan | -33.9% | | Gross Profit Margin | 8.6% | 9.2% | -0.6 percentage points | | Segment Profit | 449 million yuan | 1.24 billion yuan | | - As of June 30, 2025, the total amount of ongoing subscriptions pending signing of sale and purchase agreements was **CNY 207 million**, covering a total contracted area of **19,200 sq.m.**[34](index=34&type=chunk) - Property sales from real estate development projects of associates and joint ventures were also affected by the continued market consolidation, with the segment's share of net loss from associates and joint ventures being **CNY 57 million** (H1 2024: net profit of CNY 61 million)[38](index=38&type=chunk) - As of June 30, 2025, the GFA of properties under development and completed properties held for sale was **7,487,100 sq.m.** and **3,052,600 sq.m.** respectively, totaling **10,539,700 sq.m.**[42](index=42&type=chunk) [Commercial Property Operations](index=16&type=section&id=Commercial%20Property%20Operations) The Group's commercial property operations generated CNY 235 million in revenue in H1 2025, an 11.3% increase, with segment profit remaining stable at CNY 111 million - As of June 30, 2025, the Group's series companies held commercial properties with a leased area of approximately **480,000 sq.m.** and a total book value of **CNY 6.95 billion**[43](index=43&type=chunk) H1 2025 Commercial Property Operations Revenue | Revenue Source | H1 2025 (CNY) | H1 2024 (CNY) | | :--- | :--- | :--- | | Commercial Property Rental Income | 151 million yuan | 137 million yuan | | Hotel and Other Commercial Property Operations | 84 million yuan | 74 million yuan | | **Total Revenue** | **235 million yuan** | **211 million yuan** | - The segment profit for the period was **CNY 111 million** (H1 2024: CNY 110 million), remaining stable year-on-year[44](index=44&type=chunk) [Financial Resources and Liquidity](index=16&type=section&id=Financial%20Resources%20and%20Liquidity) The Group maintains a healthy financial position with a net gearing ratio of 33.5%, operating cash flow of CNY 1.17 billion, and a weighted average financing cost reduced to 3.5% - The Group successfully issued an additional **CNY 1.5 billion** in domestic corporate bonds with a term of three to five years and an annual coupon rate of **2.4% to 2.7%**[46](index=46&type=chunk) - During the period, **CNY 970 million** in new operating property loans were drawn, with a term of ten to fifteen years[46](index=46&type=chunk) H1 2025 Financing Cost and Debt Structure | Indicator | H1 2025 | H1 2024/Year-end | | :--- | :--- | :--- | | Weighted Average Financing Cost | 3.5% | 4.3% (H1 2024) / 4.1% (YE 2024) | | Total Bank and Other Loans | 31.70 billion yuan | 30.92 billion yuan (YE 2024) | | CNY Loan Proportion (Bank and other loans) | 93.0% | 87.8% (YE 2024) | | HKD Loan Proportion (Bank and other loans) | 7.0% | 12.2% (YE 2024) | | Fixed-Rate Borrowings Proportion (Bank and other loans) | 41.7% | 41.6% (YE 2024) | | Floating-Rate Borrowings Proportion (Bank and other loans) | 58.3% | 58.4% (YE 2024) | | Bank and Other Loans Due Within One Year Proportion | 22.4% | 31.5% (YE 2024) | | Total Guaranteed Notes and Corporate Bonds | 9.68 billion yuan | 8.78 billion yuan (YE 2024) | | Total Loans (incl. guaranteed notes and corporate bonds) | 41.38 billion yuan | 39.70 billion yuan (YE 2024) | | CNY Loan Proportion (Total loans) | 85.8% | 81.0% (YE 2024) | | HKD/USD Loan Proportion (Total loans) | 14.2% | 19.0% (YE 2024) | | Average Repayment Period of Total Loans | 2.7 years | 2.5 years (YE 2024) | H1 2025 Liquidity and Debt Indicators | Indicator | June 30, 2025 (CNY) | December 31, 2024 (CNY) | | :--- | :--- | :--- | | Sales Collection | 16.95 billion yuan | | | Operating Cash Flow | Net inflow of 1.17 billion yuan | | | Cash and Bank Balances | 28.53 billion yuan | 27.29 billion yuan | | Cash and Bank Balances as % of Total Assets | 22.3% | 21.1% | | Net Working Capital | 59.70 billion yuan | 59.44 billion yuan | | Current Ratio | 2.0 | 2.0 | | Net Gearing Ratio | 33.5% | 33.1% | | Asset-Liability Ratio | 69.9% | 70.9% | | Asset-Liability Ratio (excluding pre-receipts) | 61.5% | 63.0% | | Cash to Short-Term Debt Ratio | 1.5 times | 1.7 times | | Available Funds (incl. undrawn credit facilities) | 37.50 billion yuan | 37.77 billion yuan | - The Group did not trigger any of China's "Three Red Lines" and maintained its "green-light" enterprise status[53](index=53&type=chunk) [Foreign Exchange Risk](index=20&type=section&id=Foreign%20Exchange%20Risk) While the Group's mainland business is naturally hedged by CNY settlement, the 14.2% HKD/USD debt exposure still poses foreign exchange risk, which is managed by increasing CNY loan proportion - HKD/USD still accounts for approximately **14.2%** of the Group's total borrowings (December 31, 2024: 19.0%), posing foreign exchange risk[56](index=56&type=chunk) - The Group has not entered into hedging or speculative derivative financial instruments and is managing foreign exchange risk by increasing the proportion of CNY loans in its overall loan portfolio[57](index=57&type=chunk) [Commitments and Guarantees](index=20&type=section&id=Commitments%20and%20Guarantees) As of June 30, 2025, the Group's total commitments amounted to CNY 12.38 billion, primarily related to land payments and property development, alongside guarantees for mortgage credit and associate/joint venture financing H1 2025 Commitments and Guarantees | Type | June 30, 2025 (CNY) | December 31, 2024 (CNY) | | :--- | :--- | :--- | | Total Commitments | 12.38 billion yuan | 12.15 billion yuan | | Guarantees for Property Sales User Mortgage Credit | 14.96 billion yuan | 15.86 billion yuan | | Guarantees for Associates and Joint Ventures Credit Financing | 238 million yuan | 290 million yuan | [Capital Expenditure and Asset Pledges](index=21&type=section&id=Capital%20Expenditure%20and%20Asset%20Pledges) The Group's H1 2025 capital expenditure was CNY 1 million, with assets totaling CNY 7.39 billion pledged to secure property development and operating property loans H1 2025 Capital Expenditure and Asset Pledges | Indicator | H1 2025 (CNY) | H1 2024 (CNY) | | :--- | :--- | :--- | | Capital Expenditure | 1 million yuan | 35 million yuan | | Book Value of Pledged Property Inventories | 3.41 billion yuan | 7.20 billion yuan (YE 2024) | | Book Value of Pledged Investment Properties | 3.90 billion yuan | 3.81 billion yuan (YE 2024) | | Book Value of Pledged Property, Plant and Equipment | 84 million yuan | None (YE 2024) | | Property Development Project Loans | 1.30 billion yuan | 1.60 billion yuan (YE 2024) | | Operating Property Loans | 3.36 billion yuan | 2.51 billion yuan (YE 2024) | [Employees](index=21&type=section&id=Employees) As of June 30, 2025, the Group's employee count was 2,307, a reduction primarily due to organizational streamlining, with ongoing efforts in talent development and compensation review - As of June 30, 2025, the Group had **2,307 employees** (December 31, 2024: 2,429 employees), with the decrease primarily due to organizational streamlining and headcount optimization during the period[60](index=60&type=chunk) - The Group regularly reviews its remuneration policies and benefits, providing compensation and discretionary bonuses based on position, performance, and market conditions, along with training and development opportunities[60](index=60&type=chunk) [Condensed Consolidated Financial Statements](index=22&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents the Group's unaudited condensed consolidated financial statements, including the statement of profit or loss, comprehensive income, and financial position [Condensed Consolidated Statement of Profit or Loss](index=22&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss) This chapter presents the unaudited condensed consolidated statement of profit or loss for the six months ended June 30, 2025, showing a profit for the period of CNY 382 million, a 55.7% decrease year-on-year Condensed Consolidated Statement of Profit or Loss (For the six months ended June 30) | Indicator | 2025 (CNY thousand) | 2024 (CNY thousand) | | :--- | :--- | :--- | | Revenue | 14,543,468 | 21,852,074 | | Cost of Sales and Services | (13,195,524) | (19,743,700) | | Gross Profit | 1,347,944 | 2,108,374 | | Operating Profit | 621,897 | 1,319,439 | | Profit Before Income Tax | 549,817 | 1,358,741 | | Income Tax Expense | (167,400) | (495,263) | | Profit for the Period | 382,417 | 863,478 | | Profit Attributable to Owners of the Company | 283,841 | 884,588 | | Non-controlling Interests | 98,576 | (21,110) | | Basic Earnings Per Share (CNY fen) | 8.0 | 24.9 | [Condensed Consolidated Statement of Comprehensive Income](index=23&type=section&id=Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) This chapter presents the unaudited condensed consolidated statement of comprehensive income for the six months ended June 30, 2025, with a total comprehensive income of CNY 708 million for the period Condensed Consolidated Statement of Comprehensive Income (For the six months ended June 30) | Indicator | 2025 (CNY thousand) | 2024 (CNY thousand) | | :--- | :--- | :--- | | Profit for the Period | 382,417 | 863,478 | | Other Comprehensive Income (after tax) | 325,463 | (239,647) | | **Total Comprehensive Income for the Period** | **707,880** | **623,831** | | Total Comprehensive Income Attributable to Owners of the Company | 609,304 | 644,941 | | Non-controlling Interests | 98,576 | (21,110) | [Condensed Consolidated Statement of Financial Position](index=24&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) This chapter presents the unaudited condensed consolidated statement of financial position as of June 30, 2025, showing total assets of CNY 127.74 billion, total liabilities of CNY 89.35 billion, and net assets of CNY 38.40 billion Condensed Consolidated Statement of Financial Position (As of June 30) | Indicator | June 30, 2025 (CNY thousand) | December 31, 2024 (CNY thousand) | | :--- | :--- | :--- | | **Assets** | | | | Non-current Assets | 7,386,115 | 7,980,192 | | Current Assets | 120,356,393 | 121,202,702 | | **Total Assets** | **127,742,508** | **129,182,894** | | **Liabilities** | | | | Current Liabilities | 60,652,197 | 61,766,987 | | Non-current Liabilities | 28,694,770 | 29,864,844 | | **Total Liabilities** | **89,346,967** | **91,631,831** | | **Net Assets** | **38,395,541** | **37,551,063** | | Net Current Assets | 59,704,196 | 59,435,715 | | Equity Attributable to Owners of the Company | 31,777,569 | 31,395,867 | | Non-controlling Interests | 6,617,972 | 6,155,196 | [Notes to the Condensed Financial Statements](index=26&type=section&id=Notes%20to%20the%20Condensed%20Financial%20Statements) This section provides detailed notes explaining the basis of preparation, accounting policies, and specific financial items within the condensed consolidated financial statements [1. General Information](index=26&type=section&id=1.%20General%20Information) This note outlines China Overseas Grand Oceans Group Limited's basic information, including its Hong Kong incorporation, listed shares, primary business in property development and commercial property operations in mainland China - The Company's principal activities are property development and commercial property operations, primarily conducted in certain regions of mainland China[66](index=66&type=chunk) - The interim financial statements are prepared in accordance with Hong Kong Accounting Standard 34 and the Listing Rules, and have been reviewed by the Audit Committee[66](index=66&type=chunk)[67](index=67&type=chunk) [2. Basis of Preparation](index=27&type=section&id=2.%20Basis%20of%20Preparation) These interim financial statements are prepared under the historical cost convention, except for investment properties measured at fair value, and are presented in CNY, with consistent accounting policies as the 2024 annual financial statements - These interim financial statements are prepared under the historical cost convention, except for investment properties measured at fair value, and are presented in CNY[68](index=68&type=chunk)[69](index=69&type=chunk) - Interim income tax is accrued using the tax rate applicable to the expected total annual earnings[70](index=70&type=chunk) - The Group designates certain CNY-denominated borrowings as net investment hedges for overseas operations, with gains or losses on the effective portion of hedging instruments recognized in other comprehensive income[71](index=71&type=chunk)[72](index=72&type=chunk) [3. Adoption of Hong Kong Financial Reporting Standards](index=27&type=section&id=3.%20Adoption%20of%20Hong%20Kong%20Financial%20Reporting%20Standards) The Group first applied a single amendment to HKAS 21 in the annual reporting period beginning January 1, 2025, with no significant impact expected, and is evaluating other new or revised standards - The Group first applied a single amendment to Hong Kong Accounting Standard 21 in the annual reporting period beginning January 1, 2025, with no significant impact expected on the current or future periods[74](index=74&type=chunk) - The report lists several new or revised accounting standards and interpretations not yet adopted, and the Group is assessing their impact upon initial application[75](index=75&type=chunk)[76](index=76&type=chunk) [4. Revenue](index=28&type=section&id=4.%20Revenue) The Group's total revenue for H1 2025 was CNY 14.54 billion, primarily derived from property development (CNY 14.31 billion) and commercial property operations (CNY 235 million) Revenue Composition (For the six months ended June 30) | Business Type | 2025 (CNY thousand) | 2024 (CNY thousand) | | :--- | :--- | :--- | | Property Development | 14,308,715 | 21,641,173 | | Commercial Property Operations | 234,753 | 210,901 | | **Total Revenue** | **14,543,468** | **21,852,074** | [5. Segment Information](index=29&type=section&id=5.%20Segment%20Information) The Group's reportable segments are property development and commercial property operations, with H1 2025 segment revenue of CNY 14.31 billion and CNY 235 million, respectively - The Group's reportable segments are property development (property development and sales) and commercial property operations (property leasing, hotel, and other commercial property operations)[79](index=79&type=chunk)[80](index=80&type=chunk) Segment Performance Overview (For the six months ended June 30) | Indicator | Property Development (CNY thousand) | Commercial Property Operations (CNY thousand) | Consolidated (CNY thousand) | | :--- | :--- | :--- | :--- | | **H1 2025** | | | | | Reportable Segment Revenue | 14,308,715 | 234,753 | 14,543,468 | | Reportable Segment Profit | 449,047 | 111,022 | 560,069 | | Profit Before Income Tax | | | 549,817 | | Reportable Segment Assets | 116,407,115 | 6,961,016 | 123,368,131 | | Total Consolidated Assets | | | 127,742,508 | | Reportable Segment Liabilities | 43,989,569 | 106,530 | 44,096,099 | | Total Consolidated Liabilities | | | 89,346,967 | | **H1 2024** | | | | | Reportable Segment Revenue | 21,641,173 | 210,901 | 21,852,074 | | Reportable Segment Profit | 1,238,445 | 110,161 | 1,348,606 | | Profit Before Income Tax | | | 1,358,741 | [6. Profit Before Income Tax](index=32&type=section&id=6.%20Profit%20Before%20Income%20Tax) This chapter details the components of profit before income tax, including depreciation, inventory recognized as expense, staff costs, and net exchange gains, totaling CNY 550 million for H1 2025 Profit Before Income Tax Components (For the six months ended June 30) | Item | 2025 (CNY thousand) | 2024 (CNY thousand) | | :--- | :--- | :--- | | Total Depreciation | 60,706 | 59,120 | | Inventory Recognized as Expense in Cost of Sales and Services | 12,818,211 | 19,641,866 | | Staff Costs | 384,722 | 520,891 | | Net Exchange Gains | (14,056) | (57,410) | - Enterprise income tax in other regions of China is calculated at **25%**, and land appreciation tax is levied at progressive rates of **30% to 60%** on the estimated land appreciation amount[85](index=85&type=chunk) [7. Income Tax Expense](index=32&type=section&id=7.%20Income%20Tax%20Expense) This chapter presents the Group's H1 2025 income tax expense of CNY 167 million, a significant decrease from the prior year, primarily due to lower operating profit and land appreciation tax adjustments Income Tax Expense (For the six months ended June 30) | Item | 2025 (CNY thousand) | 2024 (CNY thousand) | | :--- | :--- | :--- | | Current Tax - Enterprise Income Tax | 203,801 | 354,440 | | Current Tax - Land Appreciation Tax | (411,748) | (11,759) | | Under/(Over) Provision in Prior Years | 2,204 | (2,817) | | Deferred Tax | 373,143 | 155,399 | | **Total Income Tax Expense** | **167,400** | **495,263** | - The decrease in income tax expense was primarily due to lower operating profit and adjustments following land appreciation tax settlements for certain projects, resulting in an effective tax rate of **30.4%** (H1 2024: 36.5%)[30](index=30&type=chunk)[86](index=86&type=chunk) [8. Dividends](index=33&type=section&id=8.%20Dividends) The Board declared an interim dividend of HKD 0.01 per share for the six months ended June 30, 2025, totaling approximately CNY 32.67 million, which is lower than the prior year Dividend Distribution | Dividend Type | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Interim Dividend (per share) | HKD 0.01 | HKD 0.03 | | Total Interim Dividend (approx. CNY) | 32,670,000 yuan | 97,730,000 yuan | [9. Earnings Per Share](index=33&type=section&id=9.%20Earnings%20Per%20Share) Basic earnings per share attributable to owners of the Company was 8.0 fen, identical to diluted earnings per share due to the absence of potentially dilutive ordinary shares during the period Earnings Per Share (For the six months ended June 30) | Indicator | 2025 (CNY thousand/thousand shares) | 2024 (CNY thousand/thousand shares) | | :--- | :--- | :--- | | Profit for the Period Attributable to Owners of the Company | 283,841 | 884,588 | | Weighted Average Number of Ordinary Shares in Issue | 3,559,375 | 3,559,375 | | Basic Earnings Per Share (CNY fen) | 8.0 | 24.9 | | Diluted Earnings Per Share (CNY fen) | 8.0 | 24.9 | [10. Trade and Other Receivables](index=34&type=section&id=10.%20Trade%20and%20Other%20Receivables) As of June 30, 2025, the Group's total trade and other receivables amounted to CNY 752 million, with trade receivables at CNY 165 million, and no significant impairment provisions or concentrated credit risk recognized Trade and Other Receivables (As of June 30) | Item | June 30, 2025 (CNY thousand) | December 31, 2024 (CNY thousand) | | :--- | :--- | :--- | | Trade Receivables | 164,813 | 210,825 | | Other Receivables | 587,209 | 537,585 | | **Total** | **752,022** | **748,410** | Trade Receivables Ageing Analysis (As of June 30) | Ageing | June 30, 2025 (CNY thousand) | December 31, 2024 (CNY thousand) | | :--- | :--- | :--- | | 30 days or less | 89,950 | 90,632 | | 31 – 60 days | 4,235 | 594 | | 61 – 90 days | 2,368 | 1,469 | | 91 – 180 days | 5,089 | 365 | | 181 – 360 days | 37,473 | 10,383 | | Over 360 days | 25,698 | 107,382 | - As of June 30, 2025, no significant impairment provisions were recognized for the total amount of trade and other receivables, and there was no concentrated credit risk[90](index=90&type=chunk)[91](index=91&type=chunk) [11. Cash and Bank Balances](index=34&type=section&id=11.%20Cash%20and%20Bank%20Balances) As of June 30, 2025, the Group's total cash and bank balances amounted to CNY 28.53 billion, comprising CNY 23.30 billion in cash and cash equivalents and CNY 5.22 billion in other bank balances Cash and Bank Balances (As of June 30) | Item | June 30, 2025 (CNY thousand) | December 31, 2024 (CNY thousand) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 23,301,980 | 21,735,740 | | Other Bank Balances | 5,223,669 | 5,555,114 | | **Total** | **28,525,649** | **27,290,854** | - Other bank balances primarily represent pre-sale proceeds from property sales in China and are subject to usage restrictions[92](index=92&type=chunk) [12. Trade and Other Payables](index=35&type=section&id=12.%20Trade%20and%20Other%20Payables) As of June 30, 2025, the Group's total trade and other payables were CNY 10.81 billion, with trade payables at CNY 9.80 billion, and the largest proportion falling within 30 days or less Trade and Other Payables (As of June 30) | Item | June 30, 2025 (CNY thousand) | December 31, 2024 (CNY thousand) | | :--- | :--- | :--- | | Trade Payables | 9,802,041 | 12,090,963 | | Other Payables and Accrued Expenses | 496,979 | 1,188,997 | | Dividends Payable | 227,665 | - | | Deposits Received | 279,770 | 370,295 | | **Total** | **10,806,455** | **13,650,255** | Trade Payables Ageing Analysis (As of June 30) | Ageing | June 30, 2025 (CNY thousand) | December 31, 2024 (CNY thousand) | | :--- | :--- | :--- | | 30 days or less | 3,095,743 | 4,368,642 | | 31 – 60 days | 407,052 | 601,722 | | 61 – 90 days | 228,512 | 284,335 | | 91 – 180 days | 1,060,190 | 1,054,726 | | 181 – 360 days | 2,227,757 | 2,272,931 | | Over 360 days | 2,782,787 | 3,508,607 | [Other Information](index=36&type=section&id=Other%20Information) This section covers additional disclosures including interim dividend details, compliance with securities transaction codes, corporate governance practices, and audit committee review [Interim Dividend and Closure of Register of Members](index=36&type=section&id=Interim%20Dividend%20and%20Closure%20of%20Register%20of%20Members) The Board declared an interim dividend of HKD 1 fen per share for the six months ended June 30, 2025, payable on October 17, 2025, with the register of members to be closed on September 22, 2025 - The Board declared an interim dividend of **HKD 1 fen per share** (2024: HKD 3 fen per share) for the six months ended June 30, 2025, payable in cash[94](index=94&type=chunk) Interim Dividend Payment Key Dates | Event | Date | | :--- | :--- | | Ex-dividend Date | September 18, 2025 | | Latest Time for Lodging Transfer Documents | 4:30 p.m. on September 19, 2025 | | Book Close Date and Record Date | September 22, 2025 | | Interim Dividend Payment Date | October 17, 2025 | [Standard Code for Securities Transactions](index=36&type=section&id=Standard%20Code%20for%20Securities%20Transactions) The Company has adopted a code of conduct for directors' securities transactions that meets or exceeds Listing Rule Appendix C3 requirements, and all directors confirmed compliance in H1 2025 - The Company has adopted a code of conduct for directors' securities transactions, with terms no less exacting than those set out in Appendix C3 of the Listing Rules[96](index=96&type=chunk) - All directors confirmed compliance with the code of conduct for the six months ended June 30, 2025[96](index=96&type=chunk) [Corporate Governance Practices](index=36&type=section&id=Corporate%20Governance%20Practices) The Group is committed to enhancing corporate governance and has practiced the principles and complied with all code provisions of the Corporate Governance Code in Appendix C1 of the Listing Rules during H1 2025 - The Group is committed to enhancing corporate governance and has practiced the principles and complied with all code provisions of the Corporate Governance Code in Appendix C1 of the Listing Rules during the six months ended June 30, 2025[97](index=97&type=chunk) [Repurchase, Sale or Redemption of the Company's Listed Securities](index=37&type=section&id=Repurchase%2C%20Sale%20or%20Redemption%20of%20the%20Company's%20Listed%20Securities) In H1 2025, China Overseas Grand Oceans Properties Group Co., Ltd. issued CNY 1.5 billion in corporate bonds to redeem existing ones and early redeemed CNY 500 million in carbon-neutral green corporate bonds - In May 2025, China Overseas Grand Oceans Properties completed the issuance of **CNY 1.5 billion** in 2025 corporate bonds (First Tranche) for the redemption of existing bonds[98](index=98&type=chunk) - In June 2025, China Overseas Grand Oceans Properties early redeemed in full **CNY 500 million** of its 2023 Carbon Neutral Green Corporate Bonds (First Tranche) at par value[98](index=98&type=chunk) [Audit Committee Review of Interim Results](index=37&type=section&id=Audit%20Committee%20Review%20of%20Interim%20Results) The Audit Committee under the Board has reviewed the Company's unaudited interim results for the six months ended June 30, 2025, and discussed related matters with management - The Audit Committee under the Board has reviewed the Company's unaudited interim results for the six months ended June 30, 2025, and discussed matters related to audit, internal control, and other important issues with management[99](index=99&type=chunk)

財務概要 | | | 截至6月30日止六個月 | | | --- | --- | --- | --- | | | 2025年 | 2024年 | 變動 | | | 人民幣百萬元 | 人民幣百萬元 | | | | （未經審核） | （未經審核） | | | 收入 | 8,392.0 | 7,871.4 | 增加6.6% | | 毛利 | 1,626.7 | 1,610.1 | 增加1.0% | | 毛利率 | 19.38% | 20.46% | 降低1.08個 | | | | | 百分點 | | 期內溢利 | 904.0 | 854.6 | 增加5.8% | | 淨利率 | 10.8% | 10.9% | 降低0.1個 | | | | | 百分點 | | 本公司擁有人應佔期內溢利 | 890.6 | 846.0 | 增加5.3% | | （人民幣元） 每股基本盈利 | 1.6178 | 1.5415 | 增加4.9% | 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 ...

[Summary](index=1&type=section&id=%E6%91%98%E8%A6%81) The company achieved significant year-on-year growth in operating revenue and turned profitable before fair value adjustments of biological assets, driven by improved farming efficiency and reduced losses in the fresh meat business Key Operating Data (For the Six Months Ended June 30) | Indicator | 2025 | 2024 | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Hog Slaughter Volume (Thousand Heads) | 2,898 | 1,584 | 83.0% | | Average Sales Price of Commercial Hogs (RMB/kg) | 14.59 | 15.28 | -4.5% | | Fresh Pork Sales Volume (Thousand Tons) | 150 | 120 | 25.1% | | Branded Boxed Pork Sales Volume (Thousand Boxes) | 27,792 | 18,968 | 46.5% | | Brand Revenue Share in Fresh Pork Business | 31.2% | 26.7% | Increased by 4.5 percentage points | | Meat Import Sales Volume (Thousand Tons) | 34 | 33 | 2.5% | Key Financial Data (For the Six Months Ended June 30) | Indicator | 2025 (Before Fair Value Adjustment of Biological Assets) | 2025 (After Fair Value Adjustment of Biological Assets) | 2024 (Before Fair Value Adjustment of Biological Assets) | 2024 (After Fair Value Adjustment of Biological Assets) | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue (RMB Thousands) | 8,963,004 | 8,963,004 | 7,483,311 | 7,483,311 | | Profit/(Loss) for the Period (RMB Thousands) | 203,390 | 321,951 | (314,992) | 323,024 | | Profit/(Loss) Attributable to Owners of the Company (RMB Thousands) | 198,174 | 316,735 | (321,947) | 316,069 | | Basic Earnings/(Loss) Per Share (RMB) | 0.0433 | 0.0691 | (0.0703) | 0.0690 | - Revenue increased by **19.8%** year-on-year, primarily due to stable production pace and efficiency improvements in the farming business[6](index=6&type=chunk) - Before fair value adjustment of biological assets, profit attributable to owners of the company turned profitable to **RMB 198 million**, mainly due to improved costs in the hog farming business and significant loss reduction in the fresh meat business[6](index=6&type=chunk) - The Board resolved not to declare an interim dividend for the six months ended June 30, 2025[5](index=5&type=chunk) [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) This statement presents the company's financial performance for the six months ended June 30, detailing revenue, costs, and profit/loss before and after fair value adjustments of biological assets Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (For the Six Months Ended June 30) | Indicator | 2025 (Before Fair Value Adjustment of Biological Assets) | 2025 (Total) | 2024 (Before Fair Value Adjustment of Biological Assets) | 2024 (Total) | | :--- | :--- | :--- | :--- | :--- | | Revenue (RMB Thousands) | 8,963,004 | 8,963,004 | 7,483,311 | 7,483,311 | | Cost of Sales (RMB Thousands) | (8,232,263) | (8,767,776) | (7,408,512) | (7,306,011) | | Gross Profit (RMB Thousands) | 730,741 | 195,228 | 74,799 | 177,300 | | Other Income (RMB Thousands) | 164,147 | 164,147 | 191,069 | 191,069 | | Other Gains and Losses (RMB Thousands) | (19,051) | (19,051) | 35,149 | 35,149 | | Selling and Distribution Costs (RMB Thousands) | (266,477) | (266,477) | (258,232) | (258,232) | | Administrative Expenses (RMB Thousands) | (302,922) | (302,922) | (268,986) | (268,986) | | Finance Costs (RMB Thousands) | (64,782) | (64,782) | (64,986) | (64,986) | | Profit Before Tax (RMB Thousands) | 229,301 | 347,862 | (290,685) | 347,331 | | Profit for the Period (RMB Thousands) | 203,390 | 321,951 | (314,992) | 323,024 | | Profit Attributable to Owners of the Company (RMB Thousands) | 316,735 | 316,069 | | | | Basic Earnings Per Share (RMB) | 0.0691 | 0.0690 | | | [Condensed Consolidated Statement of Financial Position](index=5&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) This statement provides a snapshot of the company's assets, liabilities, and equity as of June 30, highlighting the composition of non-current and current financial positions Condensed Consolidated Statement of Financial Position (As of June 30) | Indicator | June 30, 2025 (RMB Thousands) | December 31, 2024 (RMB Thousands) | | :--- | :--- | :--- | | **Non-current Assets** | | | | Property, Plant and Equipment | 12,663,931 | 12,033,230 | | Biological Assets | 909,545 | 919,651 | | Total Non-current Assets | 14,608,879 | 14,043,794 | | **Current Assets** | | | | Inventories | 1,587,712 | 1,433,305 | | Biological Assets | 2,792,938 | 2,389,057 | | Cash and Bank Balances | 635,711 | 1,063,987 | | Total Current Assets | 6,559,187 | 6,313,027 | | **Current Liabilities** | | | | Bank Borrowings | 6,190,137 | 2,609,132 | | Loans from Related Companies | 492,500 | 1,792,500 | | Total Current Liabilities | 9,169,076 | 8,441,618 | | Net Current Liabilities | (2,609,889) | (2,128,591) | | **Non-current Liabilities** | | | | Bank Borrowings | 1,361,279 | 1,621,963 | | Total Non-current Liabilities | 2,082,467 | 2,321,899 | | **Total Equity** | | | | Total Equity | 9,916,523 | 9,593,304 | - As of June 30, 2025, the Group's current liabilities exceeded its current assets by **RMB 2.61 billion**, but the Board expects sufficient bank financing to meet its liabilities[13](index=13&type=chunk) [Notes to the Condensed Consolidated Financial Statements](index=7&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%E9%99%84%E8%A8%BB) This section provides detailed explanations and disclosures for the condensed consolidated financial statements, covering accounting policies, segment information, and specific financial line items [1 Basis of Preparation and Presentation](index=7&type=section&id=1%20%E7%B7%A8%E8%A3%BD%E5%8F%8A%E5%91%88%E5%88%97%E5%9F%BA%E7%A4%8E) This section outlines the basis for preparing the interim financial statements, including the accounting standards followed, currency unit, and accounting treatment for the COFCO Giahua acquisition, emphasizing retrospective restatement for common control combination - The condensed consolidated 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 Hong Kong Stock Exchange[12](index=12&type=chunk) - The acquisition of 100% equity in COFCO Giahua Industrial Co., Ltd. was completed in December 2024; as COFCO Group controlled the entity both before and after the acquisition, it was accounted for as a common control business combination, and comparative figures have been retrospectively restated[12](index=12&type=chunk)[13](index=13&type=chunk) - As of June 30, 2025, the Group's net current liabilities amounted to **RMB 2.61 billion**, but the Board, based on available bank financing, expects the Group to have sufficient resources to meet its liabilities and continue as a going concern[13](index=13&type=chunk) [2 Significant Accounting Policies](index=7&type=section&id=2%20%E4%B8%BB%E8%A6%81%E6%9C%83%E8%A8%88%E6%94%BF%E7%AD%96) This section describes the significant accounting policies adopted in the condensed consolidated financial statements, noting that, apart from the application of revised HKFRSs, accounting policies remain consistent with the prior year, and the revisions have no material impact on financial performance - The condensed consolidated financial statements are prepared on a historical cost basis, except for biological assets and certain financial instruments measured at fair value at the end of the reporting period[14](index=14&type=chunk) - Revised Hong Kong Financial Reporting Standards were first applied in this interim period, but they had no material impact on the financial performance and position for this period and prior periods[15](index=15&type=chunk)[16](index=16&type=chunk) [3 Revenue from Contracts with Customers](index=8&type=section&id=3%20%E5%AE%A2%E6%88%B6%E5%90%88%E7%B4%84%E6%94%B6%E7%9B%8A) During the reporting period, the company's total revenue from contracts with customers was **RMB 8.963 billion**, primarily from hog farming and sales, feed sales, fresh pork sales, meat product sales, and imported meat product sales, with a significant year-on-year increase in hog farming and sales revenue Revenue from Contracts with Customers (For the Six Months Ended June 30) | Product or Service Type | 2025 (RMB Thousands) | 2024 (RMB Thousands) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Hog Farming and Sales | 2,656,526 | 1,226,591 | 116.6% | | Feed Products | 2,393,490 | 2,912,491 | -17.8% | | Fresh Pork | 2,490,985 | 2,063,075 | 20.7% | | Meat Products | 378,804 | 376,803 | 0.5% | | Imported Meat Products | 1,043,199 | 904,351 | 15.3% | | **Total** | **8,963,004** | **7,483,311** | **19.8%** | - All revenue is recognized at a point in time[17](index=17&type=chunk) [4 Segment Information](index=8&type=section&id=4%20%E5%88%86%E9%83%A8%E8%B3%87%E6%96%99) The company is divided into five reportable operating segments based on product or service type: hog farming, feed, fresh pork, meat products, and meat import and export, with restated segment data for the corresponding period in 2024 to reflect changes in business structure after the COFCO Giahua acquisition - The Group has five reportable operating segments: hog farming, feed, fresh pork, meat products, and meat import and export[18](index=18&type=chunk)[19](index=19&type=chunk) - Comparative segment information for 2024 has been restated to reflect the business structure after the COFCO Giahua acquisition[19](index=19&type=chunk) Segment Revenue and Results (For the Six Months Ended June 30) | Segment | 2025 Segment Revenue (External Customers, RMB Thousands) | 2025 Segment Results (RMB Thousands) | 2024 Segment Revenue (External Customers, RMB Thousands) | 2024 Segment Results (RMB Thousands) | | :--- | :--- | :--- | :--- | :--- | | Hog Farming | 2,656,526 | 243,889 | 1,226,591 | (375,158) | | Feed | 2,393,490 | 55,812 | 2,912,491 | 100,572 | | Fresh Pork | 2,490,985 | (4,296) | 2,063,075 | (27,633) | | Meat Products | 378,804 | 6,183 | 376,803 | 21,675 | | Meat Import | 1,043,199 | 15,796 | 904,351 | 28,208 | | **Total Segments** | **8,963,004** | **317,384** | **7,483,311** | **(252,336)** | - The hog farming segment's performance turned from loss to profit, increasing by **RMB 619 million** year-on-year[21](index=21&type=chunk) - The fresh pork segment's performance significantly reduced losses by **RMB 23.34 million** year-on-year[21](index=21&type=chunk) [5 Other Income](index=10&type=section&id=5%20%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5) During the reporting period, the company's total other income was **RMB 164 million**, a year-on-year decrease, mainly due to lower dividend income and bank interest income, with government grants remaining a significant component Other Income (For the Six Months Ended June 30) | Item | 2025 (RMB Thousands) | 2024 (RMB Thousands) | | :--- | :--- | :--- | | Bank Interest Income | 1,021 | 6,934 | | Interest Income from Related Companies | 4,547 | 5,519 | | Dividend Income from Equity Instruments at Fair Value Through Other Comprehensive Income | 37,500 | 75,000 | | Government Grants | 121,079 | 103,616 | | **Total** | **164,147** | **191,069** | - Government grants are mainly related to the harmless disposal of dead pigs and the construction of hog farms, with a year-on-year increase in government grants for the current period[25](index=25&type=chunk) [6 Other Gains and Losses](index=11&type=section&id=6%20%E5%85%B6%E4%BB%96%E6%94%B6%E7%9B%8A%E5%8F%8A%E虧%E6%90%8D) During the reporting period, the company's total other gains and losses amounted to a loss of **RMB 19.051 million**, a significant decrease from a gain of **RMB 35.149 million** in the prior year, mainly due to fair value changes in foreign currency forward contracts and losses from disposal of property, plant and equipment Other Gains and Losses (For the Six Months Ended June 30) | Item | 2025 (RMB Thousands) | 2024 (RMB Thousands) | | :--- | :--- | :--- | | Net Exchange Gain | 111 | 3,710 | | Net Loss/(Gain) on Disposal of Property, Plant and Equipment | (512) | 17,098 | | Write-down of Inventories to Net Realizable Value | (2,459) | (9,516) | | Net Loss/(Gain) on Fair Value Changes of Foreign Currency Forward Contracts, Realized and Unrealized | (13,563) | 9,243 | | **Total** | **(19,051)** | **35,149** | [7 Finance Costs](index=11&type=section&id=7%20%E8%9E%8D%E8%B3%87%E6%88%90%E6%9C%AC) During the reporting period, the company's total finance costs were **RMB 64.782 million**, largely consistent with the prior year, with an increase in bank loan interest expenses, but some borrowing costs were capitalized Finance Costs (For the Six Months Ended June 30) | Item | 2025 (RMB Thousands) | 2024 (RMB Thousands) | | :--- | :--- | :--- | | Interest on Bank Borrowings | 52,509 | 38,494 | | Interest on Loans from Related Companies | 14,594 | 14,803 | | Interest on Lease Liabilities | 7,981 | 9,810 | | Interest on Long-term Payables | 2,987 | 3,097 | | Total Borrowing Costs | 78,071 | 66,204 | | Less: Borrowing Costs Capitalized in Cost of Qualifying Assets | (13,289) | (1,218) | | **Total** | **64,782** | **64,986** | [8 Profit Before Tax](index=12&type=section&id=8%20%E9%99%A4%E7%A8%85%E5%89%8D%E6%BA%A2%E5%88%A9) During the reporting period, the company's profit before tax (before fair value adjustment of biological assets) turned profitable to **RMB 229 million**, compared to a loss of **RMB 291 million** in the prior year, mainly due to the combined impact of increased inventory costs, fair value changes in biological assets, and depreciation and amortization Components of Profit Before Tax (For the Six Months Ended June 30) | Item | 2025 (RMB Thousands) | 2024 (RMB Thousands) | | :--- | :--- | :--- | | Cost of Inventories Recognized | 8,210,681 | 7,400,762 | | Net Loss on Fair Value Changes of Commodity Futures Contracts, Realized and Unrealized | 21,582 | 7,750 | | Loss/(Gain) on Fair Value Changes of Biological Assets | 535,513 | (102,501) | | Total Cost of Sales | 8,767,776 | 7,306,011 | | Total Depreciation and Amortization | 398,527 | 380,622 | | Less: Capitalized in Biological Assets | (237,688) | (244,336) | - Fair value changes in biological assets shifted from a gain to a loss, negatively impacting cost of sales[29](index=29&type=chunk) [9 Income Tax Expense](index=12&type=section&id=9%20%E6%89%80%E5%BE%97%E7%A8%85%E9%96%8B%E6%94%AF) During the reporting period, the company's income tax expense was **RMB 25.911 million**, a slight increase from the prior year, primarily Chinese corporate income tax, with some Chinese subsidiaries benefiting from tax exemptions Income Tax Expense (For the Six Months Ended June 30) | Item | 2025 (RMB Thousands) | 2024 (RMB Thousands) | | :--- | :--- | :--- | | China Corporate Income Tax | 27,504 | 26,216 | | Over-provision in Prior Years | (1,085) | (568) | | Deferred Tax | (508) | (1,341) | | **Total Income Tax Expense** | **25,911** | **24,307** | - Chinese subsidiaries are subject to a **25%** corporate income tax rate, but income from initial processing of agricultural products and livestock/poultry farming projects is exempt from corporate income tax[30](index=30&type=chunk) [10 Earnings Per Share](index=13&type=section&id=10%20%E6%AF%8F%E8%82%A1%E7%9B%88%E5%88%A9) During the reporting period, the company's basic earnings per share were **RMB 0.0691**, largely consistent with the prior year, and no diluted earnings per share were presented due to the absence of potential ordinary shares Calculation of Basic Earnings Per Share (For the Six Months Ended June 30) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Profit Attributable to Owners of the Company (RMB Thousands) | 316,735 | 316,069 | | Weighted Average Number of Ordinary Shares (Thousand Shares) | 4,581,998 | 4,581,998 | | **Basic Earnings Per Share (RMB)** | **0.0691** | **0.0690** | - No potential ordinary shares were outstanding during either period, thus no diluted earnings per share were presented[32](index=32&type=chunk) [11 Dividends](index=13&type=section&id=11%20%E8%82%A1%E6%81%AF) The Board has resolved not to declare an interim dividend for the six months ended June 30, 2025, consistent with the prior year - No dividends were paid, declared, or proposed for the six months ended June 30, 2025 and 2024[33](index=33&type=chunk) [12 Trade Receivables](index=13&type=section&id=12%20%E6%87%89%E6%94%B6%E8%B3%B4%E6%AC%BE) As of June 30, 2025, the company's total trade receivables were **RMB 372 million**, an increase from the end of 2024, with most receivables aged within 90 days Trade Receivables (As of June 30) | Item | June 30, 2025 (RMB Thousands) | December 31, 2024 (RMB Thousands) | | :--- | :--- | :--- | | Trade Receivables from Contracts with Customers | 399,246 | 309,990 | | Less: Provision for Credit Losses | (27,413) | (27,416) | | **Total** | **371,833** | **282,574** | Ageing Analysis of Trade Receivables (As of June 30) | Ageing | June 30, 2025 (RMB Thousands) | December 31, 2024 (RMB Thousands) | | :--- | :--- | :--- | | Within 90 days | 370,753 | 281,666 | | 90 to 180 days | 936 | 769 | | 180 days to 1 year | 82 | – | | Over 1 year | 62 | 139 | [13 Balances with Related Companies](index=14&type=section&id=13%20%E8%88%87%E9%97%9C%E8%81%AF%E5%85%AC%E5%8F%B8%E7%9A%84%E7%B5%90%E9%A4%98) As of June 30, 2025, the company had trade-related receivables from and payables to related companies, with a decrease in receivables from related companies and a significant reduction in payables to related companies due to the settlement of acquisition consideration Ageing Analysis of Trade Receivables from Related Companies (As of June 30) | Ageing | June 30, 2025 (RMB Thousands) | December 31, 2024 (RMB Thousands) | | :--- | :--- | :--- | | Within 90 days | 35,527 | 143,195 | | Over 90 days but less than 1 year | 23,218 | 10,928 | | Over 1 year | 4,574 | 2,784 | | **Total Trade Receivables from Related Companies** | **63,319** | **156,907** | Ageing Analysis of Trade Payables to Related Companies (As of June 30) | Ageing | June 30, 2025 (RMB Thousands) | December 31, 2024 (RMB Thousands) | | :--- | :--- | :--- | | Within 90 days | 103,010 | 87,332 | | Over 90 days but less than 1 year | 11,220 | 12,015 | | Over 1 year | 46 | 9 | | **Total Trade Payables to Related Companies** | **114,276** | **99,356** | - Trade payables to related companies as of December 31, 2024, included the consideration for the acquisition of COFCO Giahua of **RMB 1.569 billion**, which was fully settled during the current interim period[37](index=37&type=chunk) [14 Trade Payables](index=15&type=section&id=14%20%E6%87%89%E4%BB%98%E8%B3%B4%E6%AC%BE) As of June 30, 2025, the company's total trade payables were **RMB 815 million**, a decrease from the end of 2024, with the vast majority of payables aged within 1 year Trade Payables (As of June 30) | Item | June 30, 2025 (RMB Thousands) | December 31, 2024 (RMB Thousands) | | :--- | :--- | :--- | | **Trade Payables** | **815,008** | **893,278** | Ageing Analysis of Trade Payables (As of June 30) | Ageing | June 30, 2025 (RMB Thousands) | December 31, 2024 (RMB Thousands) | | :--- | :--- | :--- | | Within 1 year | 814,519 | 892,090 | | 1 to 2 years | 450 | 1,188 | | Over 2 years | 39 | – | - Trade payables are interest-free, with credit terms generally ranging from 15 to 60 days[39](index=39&type=chunk) [I. Company Overview](index=16&type=section&id=%E4%B8%80%E3%80%81%20%E5%85%AC%E5%8F%B8%E6%A6%82%E6%B3%81) This section provides an overview of COFCO Joycome, detailing its business segments, strategic acquisitions, and commitment to full industry chain development and market leadership [Company Profile](index=16&type=section&id=%E5%85%AC%E5%8F%B8%E7%B0%A1%E4%BB%8B) COFCO Joycome is COFCO Group's meat business platform, listed in 2016, primarily engaged in feed, hog farming, fresh pork, meat products, and meat import/export, further strengthening its full industry chain layout and enhancing profitability through the acquisition of COFCO Giahua - The company is COFCO Group's meat business platform, listed on the Main Board of the Stock Exchange on November 1, 2016 (Stock Code: 1610)[41](index=41&type=chunk) - Its business covers feed R&D, hog farming, fresh pork, meat product production and sales, and meat product import and export distribution[41](index=41&type=chunk) - In 2024, through the strategic acquisition of COFCO Giahua Industrial Co., Ltd., the company further improved its feed processing capacity layout, aiming to integrate upstream resources, reduce farming costs, optimize business structure, and enhance earnings stability[41](index=41&type=chunk) [Segment Business Overview](index=16&type=section&id=%E5%88%86%E9%83%A8%E6%A5%AD%E5%8B%99%E7%B0%A1%E4%BB%8B) The company's business is divided into five major segments: hog farming, feed, fresh pork, meat products, and meat import/export, each with modern production bases and clear brand strategies, committed to technological upgrading, market expansion, and brand building [Hog Farming](index=16&type=section&id=%E7%94%9F%E8%B1%AC%E9%A4%8A%E6%AE%96) The hog farming segment covers feed production, breeding pig propagation, and hog rearing; the company has modern farming bases in multiple provinces and cities, vigorously promoting breeding breakthroughs, intelligent upgrades, and the introduction of scientific research talents to develop new quality productive forces - The hog farming segment includes feed production, breeding pig propagation, and hog rearing businesses[42](index=42&type=chunk) - The company has modern hog farming bases in provinces and cities such as Jilin, Inner Mongolia, Hebei, Henan, Jiangsu, and Hubei[42](index=42&type=chunk) - Vigorously promoting breeding breakthroughs, intelligent upgrades, accelerating the introduction of high-end scientific research talents, and developing new quality productive forces[42](index=42&type=chunk) [Feed](index=16&type=section&id=%E9%A3%BC%E6%96%99) The feed segment, centered on COFCO Feed, provides comprehensive animal nutrition solutions covering feed products for pigs, ruminants, poultry, and aquaculture, continuously expanding capacity with an investment philosophy of 'market first, then layout,' and enhancing market influence with 'Wugu Fengdeng' and 'Ruike' brands - COFCO Feed provides products such as pig, ruminant, poultry, and aquaculture feeds and premixes, along with supporting technical services[43](index=43&type=chunk) - In January 2025, the Hohhot feed mill with an annual capacity of **180,000 tons** officially commenced operation, with an additional **660,000 tons** of feed processing capacity under development, further expanding the scale of feed processing[43](index=43&type=chunk) - The brand influence of core brands 'Wugu Fengdeng' and 'Ruike' is steadily increasing, and market scale is expanding[43](index=43&type=chunk) [Fresh Pork](index=17&type=section&id=%E7%94%9F%E9%AE%AE%E8%B1%AC%E8%82%89) The fresh pork segment primarily engages in hog slaughtering and butchering, and the distribution and sale of chilled pork, possessing four modern slaughtering and processing bases and two butchering centers, covering major national consumer markets through the 'Joycome' brand and vigorously promoting brand operations - The fresh pork segment includes hog slaughtering and butchering, and the distribution and sale of fresh pork, with products primarily being chilled pork[44](index=44&type=chunk) - It has four modern slaughtering and processing bases in Jiangsu, Hubei, Jilin, and Inner Mongolia, and two butchering centers in Guangdong and Beijing[44](index=44&type=chunk) - Through the 'Joycome' brand, it covers major pork consumer markets in provinces and regions such as Beijing, Shanghai and the Yangtze River Delta, Guangdong, Hubei, Jilin, and Inner Mongolia[44](index=44&type=chunk) [Meat Products](index=17&type=section&id=%E8%82%89%E8%A3%BD%E5%93%81) The meat products segment primarily produces and sells Western-style low-temperature meat products, possessing two modern processing bases, further enhancing capacity through mergers, acquisitions, and expansions, covering major first-tier city markets in China with its 'Wanweike' and 'Joycome' brands - The meat products segment includes the production, distribution, and sale of various meat products (primarily Western-style low-temperature meat products)[45](index=45&type=chunk) - It has two modern meat product processing bases in Jiangsu and Guangdong, and in July 2025, acquired a high-quality meat deep processing factory in Pinghu City, Jiaxing, Zhejiang (with an annual capacity of **9,000 tons**)[45](index=45&type=chunk) - Through its 'Wanweike' and 'Joycome' brands, it covers major meat product consumer markets in first-tier cities in China[45](index=45&type=chunk) [Meat Import and Export](index=17&type=section&id=%E8%82%89%E9%A1%9E%E9%80%B2%E5%8F%A3) The meat import and export segment primarily imports and distributes products and by-products such as pork, beef, poultry, and lamb in China, providing high-value-added products to renowned food processors and large catering enterprises by combining imported raw materials with domestic processing capacity - The meat import and export segment includes the import and domestic distribution of meat products (including pork, beef, poultry, and lamb) and by-products[46](index=46&type=chunk) - By combining imported raw materials with domestic processing capacity and serving major clients, it provides high-value-added products to renowned domestic food processors, large chain catering enterprises, and others[46](index=46&type=chunk) [II. Market Overview](index=17&type=section&id=%E4%BA%8C%E3%80%81%20%E5%B8%82%E5%A0%B4%E6%A6%82%E8%A7%88) This section provides an overview of the market conditions in H1 2025, covering trends in feed production, hog supply and demand, consumer market recovery, and meat import volumes [Slight Increase in Feed Production, Clear Trend of Industry Technology Upgrades](index=17&type=section&id=%E9%A3%BC%E6%96%99%E7%94%A2%E9%87%8F%E5%B0%8F%E5%B9%85%E5%A2%9E%E9%95%B7%EF%BC%8C%E8%A1%8C%E6%A5%AD%E6%8A%80%E8%A1%93%E5%8D%87%E7%B4%9A%E8%B6%A8%E5%8B%A2%E6%98%8E%E9%A1%AF) In H1 2025, national industrial feed output increased by **7.7%** year-on-year, driven by recovering aquaculture demand and stable hog and poultry farming. Feed raw material prices fluctuated, with average corn prices down **6.3%** and soybean meal prices down **5.2%** year-on-year. The industry shows a clear trend of technological upgrades, with low-protein diets and soybean meal reduction policies continuously advancing Key Feed Market Data (H1 2025) | Indicator | Data | Year-on-Year Change | | :--- | :--- | :--- | | National Industrial Feed Output | 158.5 Million Tons | Increased by 7.7% | | Average Spot Corn Price | RMB 2,050/Ton (early year) to RMB 2,410/Ton (end of June) | Decreased by 6.3% (H1 average price) | | Average Soybean Meal Price | RMB 4,062/Ton (peaked in April) to RMB 2,932/Ton (end of June) | Decreased by 5.2% (H1 average price) | - The industry shows a clear trend of technological upgrades, with low-protein diet technology and soybean meal reduction policies continuously advancing[47](index=47&type=chunk) [Tight Balance in Hog Supply and Demand, Pig Prices Fell First Then Rebounded](index=18&type=section&id=%E7%94%9F%E8%B1%AC%E4%BE%9B%E9%9C%80%E7%B7%8A%E5%B9%B3%E8%A1%A1%EF%BC%8C%E8%B1%AC%E5%83%B9%E5%85%88%E8%B7%8C%E5%BE%8C%E5%8F%8D%E5%BD%88) In H1 2025, national hog slaughter volume and pork production saw slight increases, with breeding sow inventory remaining at the upper limit of the green reasonable range for capacity regulation, indicating a tight market balance. Hog prices generally fell in the first half but rebounded in late June, with average prices down **3.9%** year-on-year Key Hog Market Data (H1 2025) | Indicator | Data | Year-on-Year Change | | :--- | :--- | :--- | | National Hog Slaughter Volume | 366 Million Heads | Increased by 0.6% | | Pork Production | 30.2 Million Tons | Increased by 1.3% | | Breeding Sow Inventory (end of June) | 40.43 Million Heads | 103.7% of normal retention | | National Average Hog Price | RMB 14.77/kg | Decreased by 3.9% | - The hog market remains in a tight supply-demand balance, with breeding sow inventory at the upper limit of the green reasonable range for capacity regulation[48](index=48&type=chunk) [Consumer Market Recovery, Growth in Health and Quality Demand, Differentiated Brand Advantages Emerge](index=18&type=section&id=%E6%B6%88%E8%B2%BB%E5%B8%82%E5%A0%B4%E5%BE%A9%E7%94%A6%EF%BC%8C%E5%81%A5%E5%BA%B7%E3%80%81%E5%93%81%E8%B3%AA%E9%9C%80%E6%B1%82%E5%A2%9E%E9%95%B7%EF%BC%8C%E5%B7%AE%E7%95%B0%E5%8C%96%E5%93%81%E7%89%8C%E5%84%AA%E5%8B%A2%E9%A1%AF%E7%8F%BE) In H1 2025, total retail sales of consumer goods increased by **5.0%** year-on-year, and catering revenue grew by **4.3%**, indicating a moderate consumer market recovery. Consumers' pursuit of quality and emotional connection to brands deepened, with flaxseed antibiotic-free branded boxed pork gaining higher recognition due to its high quality, standardization, and nutritional health characteristics, demonstrating clear differentiated advantages Key Consumer Market Data (H1 2025) | Indicator | Data | Year-on-Year Change | | :--- | :--- | :--- | | Total Retail Sales of Consumer Goods | RMB 24.5 Trillion | Increased by 5.0% | | Catering Revenue | RMB 2.7 Trillion | Increased by 4.3% | - The consumer market showed a quarter-on-quarter recovery trend, with Q2 growing by **5.4%**, accelerating by **0.8 percentage points** compared to Q1[49](index=49&type=chunk) - Consumers' pursuit of quality and emotional connection to brands deepened, with flaxseed antibiotic-free branded boxed pork demonstrating clear differentiated advantages due to its high quality, standardization, and nutritional health characteristics[49](index=49&type=chunk) [Beef Imports Further Decreased, Total Meat Imports Hit a Six-Year Low](index=18&type=section&id=%E7%89%9B%E8%82%89%E9%80%B2%E5%8F%A3%E9%87%8F%E9%80%B2%E4%B8%80%E6%AD%A5%E6%B8%9B%E5%B0%91%EF%BC%8C%E9%80%B2%E5%8F%A3%E8%82%89%E7%B8%BD%E9%87%8F%E9%99%8D%E8%87%B3%E5%85%AD%E5%B9%B4%E5%85%A7%E6%96%B0%E4%BD%8E) In H1 2025, China's total meat imports decreased by **2.7%** year-on-year, reaching a six-year low. Pork imports increased by **4.9%**, while beef imports decreased by **9.5%**, indicating structural changes in the import market Meat Import Data (H1 2025) | Indicator | Data | Year-on-Year Change | | :--- | :--- | :--- | | China's Total Meat Imports | 3.2 Million Tons | Decreased by 2.7% | | Pork Imports (excluding by-products) | 0.54 Million Tons | Increased by 4.9% | | Beef Imports (excluding by-products) | 1.3 Million Tons | Decreased by 9.5% | - Total meat imports are at a six-year low[50](index=50&type=chunk) [III. Business Review](index=19&type=section&id=%E4%B8%89%E3%80%81%20%E7%B6%93%E7%87%9F%E5%9B%9E%E9%A1%A7) This section reviews the company's operational performance across its key business segments in H1 2025, highlighting strategic initiatives, efficiency improvements, and market achievements - In H1 2025, the company maintained strategic focus, advancing key initiatives according to the 'cost leadership, technology empowerment, brand leadership, and green development' work policy[51](index=51&type=chunk) - The hog farming segment's performance reached **RMB 244 million**, a year-on-year increase of **RMB 619 million**; branded boxed fresh pork sales increased by **46.5%** year-on-year, with flaxseed pork sales increasing by **123%** year-on-year[51](index=51&type=chunk) - During the reporting period, the company's profit before fair value adjustment of biological assets was **RMB 203 million**, a year-on-year increase of **RMB 518 million**[51](index=51&type=chunk) [Hog Farming Business](index=19&type=section&id=%E7%94%9F%E8%B1%AC%E9%A4%8A%E6%AE%96%E6%A5%AD%E5%8B%99) The hog farming business reduced costs and improved efficiency through dedicated efforts, developing a 'company + farmer' model. It also vigorously developed new quality productive forces, utilizing genomic breeding technology and digital intelligent operation platforms to enhance production management, and actively practiced green development concepts, promoting integrated farming and the resource utilization of manure [Dedicated Efforts to Reduce Farming Costs](index=19&type=section&id=%E5%B0%88%E9%A0%85%E6%94%BB%E5%A0%85%E5%A3%93%E9%99%8D%E9%A4%8A%E6%AE%96%E6%88%90%E6%9C%AC) The company comprehensively reduced farming costs by improving farming efficiency, continuously implementing herd rotation, promoting efficient breeding systems, actively expanding the 'company + farmer' free-range business, and focusing on key aspects such as feed conversion ratio, feeding management, medicine and vaccine costs, and employee incentives - Improving farming efficiency, continuously carrying out herd rotation, and promoting the implementation of efficient breeding systems[52](index=52&type=chunk) - Actively expanding free-range farming business and building a COFCO-featured 'company + farmer' business model[52](index=52&type=chunk) - Focusing on specific improvements in key areas such as feed conversion ratio, feeding management, medicine and vaccine costs, and frontline employee incentives, narrowing regional disparities, and building a sustainable low-cost strategy[52](index=52&type=chunk) [Vigorously Developing New Quality Productive Forces](index=19&type=section&id=%E5%A4%A7%E5%8A%9B%E7%99%BC%E5%B1%95%E6%96%B0%E8%B3%AA%E7%94%A2%E7%94%9F%E5%8A%9B) The company relies on genomic breeding technology to increase gene chip testing, improve breeding value accuracy, and establish joint laboratories with renowned universities. Simultaneously, it develops a digital intelligent operation platform, integrates IoT smart devices, achieves precise control and risk prediction through big data analysis, and accelerates the introduction of high-end scientific research talents - Relying on genomic breeding technology, increasing the number of gene chip tests, improving breeding value accuracy, and establishing joint laboratories for hog breeding with renowned university research teams[53](index=53&type=chunk) - Developing a digital intelligent operation platform, integrating IoT smart device clusters, real-time collection of production data, dynamically optimizing feeding plans through a big data analysis platform, achieving precise control and risk prediction[53](index=53&type=chunk) - Accelerating the introduction of high-end scientific research talents, strengthening scientific research cooperation with universities such as Huazhong Agricultural University, and inviting university professors as external experts[53](index=53&type=chunk) [Vigorously Grasping Energy Saving and Environmental Protection, Focusing on Three Wastes, Steadily Advancing Dual Carbon and Energy Management, Continuously Practicing Green Development Concepts](index=20&type=section&id=%E7%8B%A0%E6%8A%93%E7%AF%80%E8%83%BD%E7%92%B0%E4%BF%9D%E5%B7%A5%E4%BD%9C%EF%BC%8C%E8%81%9A%E7%84%A6%E4%B8%89%E5%BB%A2%EF%BC%8C%E7%A9%A9%E6%AD%A5%E6%8E%A8%E9%80%B2%E9%9B%99%E7%A2%B3%E8%88%87%E8%83%BD%E6%BA%90%E7%AE%A1%E7%90%86%EF%BC%8C%E6%8C%81%E7%BA%8C%E8%B9%9B%E8%A1%8C%E7%B6%A0%E8%89%B2%E7%99%BC%E5%B1%95%E7%90%86%E5%BF%B5) The company constructs integrated farming demonstration parks tailored to local conditions, creating a low-carbon closed-loop system through waste resource utilization and cascaded energy development. Simultaneously, it collaborates with multiple universities to explore cutting-edge technologies such as low-carbon treatment of manure and biogas slurry for saline-alkali land remediation, and builds a unique ecological circular green model of 'feed production – hog farming – manure treatment – biogas power generation/heating – manure return to field – circular planting – circular aquaculture – feed raw materials' - Constructing integrated farming demonstration parks tailored to local conditions, creating a low-carbon closed-loop system from farm to table through integrated farming, waste resource utilization, and cascaded energy development[54](index=54&type=chunk) - Conducting joint research with multiple universities to explore cutting-edge technologies such as low-carbon treatment and resource utilization of farming manure, and biogas slurry for coastal saline-alkali land remediation[54](index=54&type=chunk) - Building and continuously improving a unique ecological circular green model of 'feed production – hog farming – manure treatment – biogas power generation/heating – manure return to field – circular planting – circular aquaculture – feed raw materials'[54](index=54&type=chunk) [Feed Business](index=20&type=section&id=%E9%A3%BC%E6%96%99%E6%A5%AD%E5%8B%99) The feed business deepened industrial collaboration, increasing internal synergy for pig feed and collaborating with Mengniu in the ruminant feed sector. It controlled raw material costs and improved efficiency by strengthening centralized procurement and refined management. Additionally, the establishment of a Feed Professional Committee and a Ruminant Animal Nutrition Innovation Alliance injected new momentum into R&D innovation [Deepening Industrial Collaboration and Leveraging Synergistic Advantages](index=20&type=section&id=%E6%B7%B1%E5%8C%96%E7%94%A2%E6%A5%AD%E5%8D%94%E4%BD%9C%EF%BC%8C%E7%99%BC%E6%8F%AE%E5%8D%94%E5%90%8C%E5%84%AA%E5%8B%A2) In the first half, the feed segment increased internal synergy for pig feed and further deepened collaboration with Mengniu in the ruminant feed sector, aiming to build a new 'feed-livestock-dairy' industry chain and optimize the customer structure of ranches - Internal synergy for pig feed increased in the first half[55](index=55&type=chunk) - Further deepening collaboration with Mengniu in the ruminant feed sector, building a new 'feed-livestock-dairy' industry chain, and optimizing the customer structure of ranches[55](index=55&type=chunk) [Strengthening Centralized Procurement and Adhering to Refined Management](index=20&type=section&id=%E5%BC%B7%E5%8C%96%E9%9B%86%E6%8E%A1%EF%BC%8C%E5%A0%85%E6%8C%81%E7%B2%BE%E7%B4%B0%E5%8C%96%E7%AE%A1%E7%90%86) In the first half, the feed segment significantly increased its centralized procurement ratio, analyzing market trends through a comprehensive market intelligence system and locking in positions in advance to control raw material costs. Simultaneously, it adhered to refined management, improving efficiency and reducing inventory costs through efficient联动 of technology R&D, raw material procurement, production quality control, and marketing services - Significantly increasing the centralized procurement ratio, relying on a comprehensive market intelligence system to fully analyze corn and soybean meal market trends, locking in positions in advance, and controlling feed raw material procurement costs[56](index=56&type=chunk) - Adhering to refined management, with efficient联动 of technology R&D, raw material procurement, production quality control, and marketing services, improving efficiency through high turnover and reducing inventory costs[56](index=56&type=chunk) [Establishment of Feed Professional Committee Injects New Momentum into R&D Innovation](index=20&type=section&id=%E6%88%90%E7%AB%8B%E9%A3%BC%E6%96%99%E5%B0%88%E6%A5%AD%E5%A7%94%E5%93%A1%E6%9C%83%E7%82%BA%E7%A0%94%E7%99%BC%E5%89%B5%E6%96%B0%E6%B3%A8%E5%85%A5%E6%96%B0%E5%8B%95%E8%83%BD) In April 2025, the company established a Feed Professional Management Committee, appointing academicians as academic members, focusing on cutting-edge technological breakthroughs such as raw material optimization, precise nutrition, and low-protein diets. In June 2025, it established a Ruminant Animal Nutrition Innovation Alliance, deeply collaborating with scientific research institutions to research practical new patent technologies and break through the R&D bottleneck of selenium-enriched Tan sheep meat - In April 2025, the Feed Professional Management Committee was established, appointing three academicians of the Chinese Academy of Engineering as academic members, focusing on cutting-edge technological breakthroughs in the feed industry[57](index=57&type=chunk) - In June 2025, the Ruminant Animal Nutrition Innovation Alliance was established, deeply collaborating with renowned scientific research institutions to research practical new patent technologies for ruminant nutrition and break through the R&D bottleneck of selenium-enriched Tan sheep meat[57](index=57&type=chunk) [Fresh Pork](index=21&type=section&id=%E7%94%9F%E9%AE%AE%E8%B1%AC%E8%82%89) In the first half, the fresh pork business focused on flaxseed antibiotic-free pork, strictly controlling quality with high standards, winning international taste awards, and strengthening high-end quality perception. Through in-depth expansion of supermarket and e-commerce channels, flaxseed pork sales grew rapidly by **123%** year-on-year. Brand communication focused on family users and parent-child scenarios, building a full-audience communication matrix, achieving breakthroughs in both brand value and sales growth - In the first half, fresh pork sales reached **150,000 tons**, a year-on-year increase of **25.1%**; overall fresh business revenue reached **RMB 2.54 billion**, a year-on-year increase of **21.1%**; of which branded business revenue reached **RMB 792 million**, a year-on-year increase of **41.5%**[58](index=58&type=chunk) - Branded business profitability was outstanding, driving a significant year-on-year reduction in losses for the fresh segment by **RMB 23.34 million** during the reporting period[58](index=58&type=chunk) [Quality Adherence: Building Differentiated Competitive Advantages and Strengthening High-End Quality Perception](index=21&type=section&id=%E5%93%81%E8%B3%AA%E5%A0%85%E5%AE%88%EF%BC%9A%E6%89%93%E9%80%A0%E5%B7%AE%E7%95%B0%E5%8C%96%E7%AB%B6%E7%88%AD%E5%84%AA%E5%8B%A2%EF%BC%8C%E5%BC%B7%E5%8C%96%E9%AB%98%E7%AB%AF%E5%93%81%E8%B3%AA%E8%AA%8D%E7%9F%A5) The company continuously maintains high standards to strictly control the quality of fresh pork products, building differentiated selling points with flaxseed antibiotic-free pork as the core. This product won an International Taste Award, effectively strengthening the perception of safety, deliciousness, health, and high quality - Continuously maintaining high standards to strictly control product quality and enhance product value[58](index=58&type=chunk) - With flaxseed antibiotic-free pork as the core, creating differentiated selling points; at the beginning of the year, flaxseed pork products won the International Taste Award from the International Taste Institute, strengthening the perception of safety, deliciousness, health, and high quality[58](index=58&type=chunk) [Channel Deepening: Full-Link Coverage, All-Channel Volume Expansion](index=21&type=section&id=%E6%B8%A0%E9%81%93%E6%B7%B1%E5%8C%96%EF%BC%9A%E5%85%A8%E9%8F%88%E8%B7%AF%E8%A6%86%E8%93%8B%EF%BC%8C%E5%85%A8%E6%B8%A0%E9%81%93%E6%93%B4%E5%A2%9E%E9%87%8F) In the first half, the fresh segment deeply expanded its branded channels; supermarket channels significantly increased sales by expanding coverage and adding outlets, focusing on developing renowned channels. E-commerce channels primarily promoted flaxseed antibiotic-free pork products, achieving rapid year-on-year sales growth due to stable quality and efficient supply chain - Supermarket channels expanded coverage and added outlets, adapting to the trend of traditional supermarkets shrinking and new retail and new-type supermarkets rising, focusing on developing renowned channels with demonstration effects, increasing terminal visibility, and significantly boosting sales[59](index=59&type=chunk) - E-commerce channels primarily promoted flaxseed antibiotic-free pork products, favored by consumers for their high and stable product quality, coupled with efficient supply chain cooperation ensuring stable supply, platform cooperation stickiness gradually strengthened, and flaxseed pork product sales maintained rapid year-on-year growth[59](index=59&type=chunk) [Brand Communication: Product-Centric, Precise Scenario Reach, Emotional Resonance Addressing Pain Points](index=21&type=section&id=%E5%93%81%E7%89%8C%E5%82%B3%E6%92%AD%EF%BC%9A%E7%94%A2%E5%93%81%E7%82%BA%E6%A0%B8%E7%B2%BE%E5%87%86%E5%A0%B4%E6%99%AF%E8%A7%B8%E9%81%94%EF%BC%8C%E6%83%85%E6%84%9F%E5%85%B1%E9%B3%B4%E7%9B%B4%E6%93%8A%E7%97%9B%E9%BB%9E) The brand communication strategy focused on a three-dimensional linkage of 'precise targeting, image building, and pain point resolution,' with flaxseed pork as the core, precisely targeting parent-child families in Beijing, Shanghai, Guangzhou, Shenzhen, etc., shaping an 'assured health' quality image through sports events, AI innovation competitions, and other activities, and building a full-audience communication matrix of 'DHA for children's intelligence, low-fat for fitness, and high-calcium for seniors' - The brand communication strategy focused on a three-dimensional linkage of 'precise targeting, image building, and pain point resolution,' with flaxseed pork as the core, precisely targeting family users, and linking parent-child scenarios to quality perception[60](index=60&type=chunk) - Reaching precise customer segments through sports events such as the Hundred Schools Cheerleading Competition and marathons, AI innovation competitions, leveraging endorsements from national team athletes and in-depth reports from central media to establish an 'assured health' quality image[60](index=60&type=chunk) - Deeply strengthening differentiated application scenarios for flaxseed pork, building a full-audience communication matrix of 'DHA for children's intelligence, low-fat for fitness, and high-calcium for seniors'[60](index=60&type=chunk) [Meat Products](index=22&type=section&id=%E8%82%89%E8%A3%BD%E5%93%81) In the first half, the meat products business optimized supply chain management to consolidate pork product development and innovatively expanded into beef categories. The company acquired a deep processing factory in Pinghu City, Jiaxing, Zhejiang, with an annual capacity of **9,000 tons**, and the Dongtai Phase II factory is expected to commence production by the end of 2025, significantly increasing capacity. Market expansion was driven by a 'B+C dual-wheel' strategy, with the new 'Crispy Fried Pork Chop' product gaining popularity in the Hong Kong market, achieving year-on-year sales growth - Leveraging strong supply chain management capabilities to capitalize on the integrated industry chain advantages of pork products, promoting the consolidated development of pork products; simultaneously, vigorously innovating beef products, expanding beef categories around consumption scenarios for young people, and creating differentiated selling points for beef products[62](index=62&type=chunk) - The company acquired a high-quality meat deep processing factory in Pinghu City, Jiaxing, Zhejiang, with an annual capacity of **9,000 tons**; the Dongtai Phase II factory is expected to commence production by the end of 2025, and the planned capacity for the meat products business will increase from **23,000 tons/year** to **52,000 tons/year**[62](index=62&type=chunk) - Through a 'B+C dual-wheel drive' strategy, vigorously expanding market channels, the new 'Crispy Fried Pork Chop' product fully launched in 10 'Meet Noodle' stores in Hong Kong, widely welcomed by Hong Kong consumers, with sales far exceeding expectations[62](index=62&type=chunk) - Meat product sales achieved year-on-year growth in the first half, despite the impact of rising beef prices[62](index=62&type=chunk) [Import Business](index=22&type=section&id=%E9%80%B2%E5%8F%A3%E6%A5%AD%E5%8B%99) In the first half, the import business accurately judged the volatile upward trend of beef prices, strategically planned procurement in advance, deeply cultivated downstream channels, and continuously developed valuable customers. By deepening the integration of processing and trade, it built a beef value chain, achieving counter-cyclical growth in scale - In the first half, despite a decrease in national beef import volume, the company accurately judged the volatile upward trend of beef prices, strategically planned upstream procurement in advance, and seized procurement opportunities[63](index=63&type=chunk) - Deeply cultivating downstream channels, continuously developing valuable customers; building a beef value chain, deepening the integration of processing and trade, and achieving counter-cyclical growth in scale[63](index=63&type=chunk) [IV. Financial Review](index=22&type=section&id=%E5%9B%9B%E3%80%81%20%E8%B2%A1%E5%8B%99%E5%9B%9E%E9%A1%A7) This section provides a comprehensive review of the company's financial performance in H1 2025, covering overall results, revenue, profitability, expenses, and capital structure [Overall Performance](index=22&type=section&id=%E6%95%B4%E9%AB%94%E6%A5%AD%E7%B8%BE) In H1 2025, the company's operating revenue reached **RMB 8.963 billion**, a year-on-year increase of **RMB 1.48 billion**. Before fair value adjustment of biological assets, the company's profit for the period turned profitable, reaching **RMB 203 million**, compared to a net loss of **RMB 315 million** in the prior year Overall Financial Performance (For the Six Months Ended June 30) | Indicator | 2025 (RMB Billions) | 2024 (RMB Billions) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 8.963 | 7.483 | Increased by 1.480 | | Profit for the Period (Before Fair Value Adjustment of Biological Assets) | 0.203 | (0.315) (Loss) | Turned profitable | [Revenue](index=22&type=section&id=%E6%94%B6%E5%85%A5) In H1 2025, the company's operating revenue was **RMB 8.963 billion**, an increase of **19.8%** from **RMB 7.483 billion** in H1 2024, primarily due to stable production pace and efficiency improvements in the farming business Operating Revenue (For the Six Months Ended June 30) | Indicator | 2025 (RMB Billions) | 2024 (RMB Billions) | Year-on-Year Growth | | :--- | :--- | :--- | :--- | | Operating Revenue | 8.963 | 7.483 | 19.8% | - Revenue growth was primarily attributable to stable production pace and improved production efficiency in the farming business[65](index=65&type=chunk) [Gross Profit Margin](index=22&type=section&id=%E6%AF%9B%E5%88%A9%E7%8E%87) In H1 2025, the company's gross profit margin (before fair value adjustment of biological assets) was **8.2%**, a significant year-on-year increase of **7.2 percentage points**, primarily driven by improvements in the hog farming business Gross Profit Margin (Before Fair Value Adjustment of Biological Assets, For the Six Months Ended June 30) | Indicator | 2025 | 2024 | Year-on-Year Increase | | :--- | :--- | :--- | :--- | | Gross Profit Margin | 8.2% | 1.0% | 7.2 percentage points | [Selling and Distribution Expenses / Administrative Expenses](index=23&type=section&id=%E9%8A%B7%E5%94%AE%E5%8F%8A%E5%88%86%E9%8A%B7%E6%94%AF%E5%87%BA%E2%81%84%E8%A1%8C%E6%94%BF%E6%94%AF%E5%87%BA) In H1 2025, the company's combined selling and distribution expenses and administrative expenses totaled **RMB 569 million**, an increase of **RMB 42 million** from **RMB 527 million** in the prior year Selling and Distribution Expenses / Administrative Expenses (For the Six Months Ended June 30) | Indicator | 2025 (RMB Billions) | 2024 (RMB Billions) | Year-on-Year Increase | | :--- | :--- | :--- | :--- | | Total Expenses | 0.569 | 0.527 | 0.042 | [Finance Costs](index=23&type=section&id=%E8%9E%8D%E8%B3%87%E6%88%90%E6%9C%AC) In H1 2025, the company's finance costs were **RMB 65 million**, largely consistent with **RMB 65 million** in H1 2024 Finance Costs (For the Six Months Ended June 30) | Indicator | 2025 (RMB Billions) | 2024 (RMB Billions) | | :--- | :--- | :--- | | Finance Costs | 0.065 | 0.065 | [Other Income, Other Gains and Losses](index=23&type=section&id=%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5%E3%80%81%E5%85%B6%E4%BB%96%E6%94%B6%E7%9B%8A%E5%8F%8A%E虧%E6%90%8D) In H1 2025, the company's total other income, other gains and losses amounted to a gain of **RMB 145 million**, a decrease of **RMB 81 million** from H1 2024, primarily affected by dividend income and fair value of foreign currency forward contracts Total Other Income, Other Gains and Losses (For the Six Months Ended June 30) | Indicator | 2025 (RMB Billions) | 2024 (RMB Billions) | Year-on-Year Decrease | | :--- | :--- | :--- | :--- | | Total Gain | 0.145 | 0.226 | 0.081 | - The decrease was mainly affected by dividend income and fair value of foreign currency forward contracts[69](index=69&type=chunk) [Profit / (Loss) for the Period](index=23&type=section&id=%E6%9C%9F%E5%85%A7%E6%BA%A2%E5%88%A9%E2%81%84%EF%BC%88%E虧%E6%90%8D%EF%BC%89) In H1 2025, the company recorded a net profit of **RMB 203 million** before fair value adjustment of biological assets, compared to a net loss of **RMB 315 million** in H1 2024, achieving a significant turnaround to profitability Profit / (Loss) for the Period (Before Fair Value Adjustment of Biological Assets, For the Six Months Ended June 30) | Indicator | 2025 (RMB Billions) | 2024 (RMB Billions) | | :--- | :--- | :--- | | Net Profit / (Loss) | 0.203 | (0.315) | [Significant Investments Held, Material Acquisitions and Disposals of Subsidiaries](index=23&type=section&id=%E6%8C%81%E6%9C%89%E7%9A%84%E9%87%8D%E5%A4%A7%E6%8A%95%E8%B3%87%E3%80%81%E9%99%84%E5%B1%AC%E5%85%AC%E5%8F%B8%E7%9A%84%E9%87%8D%E5%A4%A7%E6%94%B6%E8%B3%BC%E5%8F%8A%E5%87%BA%E5%94%AE) In H1 2025, the company held no significant investments and there were no material acquisitions or disposals of subsidiaries - In H1 2025, the Group held no significant investments or made any material acquisitions or disposals of subsidiaries[71](index=71&type=chunk) [Capital Resources Analysis](index=23&type=section&id=%E8%B3%87%E6%9C%AC%E8%B3%87%E6%BA%90%E5%88%86%E6%9E%90) The company adheres to a prudent financial policy, expanding financing channels and strengthening bank cooperation to ensure liquidity. Through centralized fund management and hedging exchange rate risks, it optimizes fund utilization. Despite a decrease in cash and bank balances, unused bank financing facilities are ample, EBITDA and operating cash flow significantly improved, but interest-bearing bank borrowings and net debt increased [Liquidity and Financial Policy](index=24&type=section&id=%E6%B5%81%E5%8B%95%E6%80%A7%E5%8F%8A%E8%B2%A1%E5%8B%99%E6%94%BF%E7%AD%96) The company adheres to a prudent financial policy, ensuring liquidity by expanding financing channels and strengthening bank cooperation. Internally, it implements centralized management of surplus funds to improve inventory and trade receivables turnover efficiency. The company optimizes fund utilization through financial service agreements and cash pools, and uses currency forward contracts to hedge exchange rate risks - Adhering to a prudent financial policy, committed to expanding financing channels, strengthening financing capabilities, and enhancing cooperation with banks to obtain sufficient credit facilities, ensuring liquidity[72](index=72&type=chunk) - Internally implementing centralized management of surplus funds to improve inventory and trade receivables turnover efficiency and cash flow generation capability[72](index=72&type=chunk) - Entering into financial service agreements and entrusted loan framework agreements with COFCO Finance Co., Ltd., and simultaneously utilizing cash pools in mainland China to more effectively use cash, reduce the Group's average borrowing costs, and accelerate inter-company settlement services within the Group[72](index=72&type=chunk) - Closely monitoring exchange rate fluctuations and appropriately using currency forward contracts to hedge most exchange rate risks[72](index=72&type=chunk) Liquidity Indicators (As of June 30) | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and Bank Balances (RMB Billions) | 0.636 | 1.064 | | Current Ratio | 0.72 | 0.75 | | Unused Bank Financing Facilities (RMB Billions) | 9.897 | N/A | [EBITDA and Cash Flow](index=24&type=section&id=EBITDA%E5%8F%8A%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F) In H1 2025, the company's EBITDA (before fair value adjustment of biological assets) significantly increased to **RMB 834 million**, and cash flow from operating activities turned positive to **RMB 106 million**. Cash used in investing activities increased, mainly for the purchase of property, plant and equipment, and cash from financing activities also significantly increased EBITDA and Cash Flow (For the Six Months Ended June 30) | Indicator | 2025 (RMB Billions) | 2024 (RMB Billions) | | :--- | :--- | :--- | | EBITDA (Before Fair Value Adjustment of Biological Assets) | 0.834 | 0.245 | | EBITDA (After Fair Value Adjustment of Biological Assets) | 0.811 | 0.793 | | Cash from Operating Activities | 0.106 | (0.513) (Used) | | Cash Used in Investing Activities | 2.452 | 0.552 | | Cash from Financing Activities | 1.927 | 0.273 | | Net Decrease in Cash and Bank Balances | 0.428 | N/A | - Cash used in investing activities included the purchase of property, plant and equipment of **RMB 939 million** (H1 2024: **RMB 527 million**)[75](index=75&type=chunk) [Capital Structure](index=24&type=section&id=%E8%B3%87%E6%9C%AC%E7%B5%90%E6%A7%8B) As of June 30, 2025, the total number of issued shares of the company remained unchanged. Total interest-bearing bank borrowings and loans from related parties significantly increased, leading to a rise in net debt and net debt to equity ratio - As of June 30, 2025, the total number of issued shares of the company was **4,581,998,323 shares**[76](index=76&type=chunk) Interest-Bearing Bank Borrowings (As of June 30) | Term | 2025 (RMB Millions) | 2024 (RMB Millions) | | :--- | :--- | :--- | | Within one year | 6,190 | 2,609 | | One to two years | 536 | 1,048 | | Two to five years | 615 | 389 | | Over five years | 210 | 185 | | **Total** | **7,551** | **4,231** | Interest-Bearing Bank Borrowings by Interest Rate Type (As of June 30) | Type | 2025 (RMB Millions) | 2024 (RMB Millions) | | :--- | :--- | :--- | | Fixed Rate Borrowings | 4,626 | 2,494 | | Floating Rate Borrowings | 2,925 | 1,737 | | **Total** | **7,551** | **4,231** | Net Debt and Net Debt to Equity Ratio (As of June 30) | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Net Assets (RMB Billions) | 9.917 | 9.593 | | Net Debt (RMB Billions) | 7.516 | 5.066 | | Net Debt to Equity Ratio | 75.8% | 52.8% | [Capital Expenditure](index=26&type=section&id=%E8%B3%87%E6%9C%AC%E9%96%8B%E6%94%AF) In H1 2025, the company's capital expenditure was **RMB 942 million**, a significant increase from **RMB 565 million** in the prior year, primarily for the construction of hog farms and other production and supporting facilities, especially the continued construction of hog farms in Jilin Province Capital Expenditure (For the Six Months Ended June 30) | Item | 2025 (RMB Millions) | 2024 (RMB Millions) | | :--- | :--- | :--- | | Payments for Property, Plant and Equipment | 939 | 527 | | Payments for Right-of-Use Assets | 2 | 35 | | Payments for Intangible Assets | 1 | 3 | | **Total** | **942** | **565** | - Capital expenditure was primarily for the construction of hog farms and other production and supporting facilities, especially the continued construction of hog farms in Jilin Province[83](index=83&type=chunk) [Capital Commitments](index=26&type=section&id=%E8%B3%87%E6%9C%AC%E6%89%BF%E6%93%94) As of June 30, 2025, the company's capital commitments were **RMB 1.563 billion**, a slight increase from the end of 2024, mainly related to the construction of hog farms and other production and supporting facilities Capital Commitments (As of June 30) | Indicator | June 30, 2025 (RMB Billions) | December 31, 2024 (RMB Billions) | | :--- | :--- | :--- | | Capital Commitments | 1.563 | 1.551 | - Capital commitments are mainly related to the construction of hog farms and other production and supporting facilities[84](index=84&type=chunk) [Biological Assets](index=26&type=section&id=%E7%94%9F%E7%89%A9%E8%B3%87%E7%94%A2) As of June 30, 2025, the company's fair value of biological assets was **RMB 3.702 billion**, an increase from the end of 2024. Changes in the fair value of biological assets significantly impacted cost of sales and profit, with the net impact of fair value adjustments on profit for the current period being a gain of **RMB 119 million** Fair Value of Biological Assets (As of June 30) | Indicator | June 30, 2025 (RMB Billions) | December 31, 2024 (RMB Billions) | | :--- | :--- | :--- | | Fair Value of Biological Assets | 3.702 | 3.309 | - Changes in the fair value of biological assets resulted in an adjustment to cost of sales, increasing cost of sales by **RMB 536 million** in the current period, compared to a decrease of **RMB 103 million** in the prior year[86](index=86&type=chunk) - Gains from fair value less costs to sell of agricultural produce at the point of harvest were **RMB 311 million** (H1 2024: loss of **RMB 48 million**)[86](index=86&type=chunk) - Overall, the net impact of fair value adjustments of biological assets on profit for the current period was a gain of **RMB 119 million** (H1 2024: gain of **RMB 638 million**)[86](index=86&type=chunk) [V. Human Resources](index=27&type=section&id=%E4%BA%94%E3%80%81%20%E4%BA%BA%E5%8A%9B%E8%B3%87%E6%BA%90) As of June 30, 2025, the company's total headcount increased to **14,243 employees**, with total remuneration growing year-on-year, and the company is committed to enhancing employee knowledge and skills through continuous training and development Human Resources Overview (As of June 30) | Indicator | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Total Employees | 14,243 Employees | 12,075 Employees | | Total Remuneration (For the Six Months Ended June 30, RMB Billions) | 0.980 | 0.847 | - The company provides employees with basic social insurance and housing provident fund as required by Chinese law, and encourages employees to enhance their comprehensive career development and knowledge and skills through continuous training courses, seminars, and online learning[87](index=87&type=chunk) [VI. Material Risks and Uncertainties](index=27&type=section&id=%E5%85%AD%E3%80%81%20%E9%87%8D%E5%A4%A7%E9%A2%A8%E9%9A%AA%E5%8F%8A%E4%B8%8D%E7%A2%BA%E5%AE%9A%E6%80%A7) The Group faces multiple material risks and uncertainties, including epidemic diseases, market competition, food safety, production safety, and environmental protection, which may directly or indirectly affect its performance and business operations - The Group's performance and business operations are affected by numerous risks and uncertainties directly or indirectly related to its business, with major risks including epidemic disease risk, market competition and market change risk, food safety risk, production safety risk, and environmental protection risk[88](index=88&type=chunk)[90](index=90&type=chunk)[91](index=91&type=chunk)[92](index=92&type=chunk)[93](index=93&type=chunk) [Epidemic Disease Risk](index=27&type=section&id=%E7%96%AB%E7%97%85%E9%A2%A8%E9%9A%AA) The livestock industry faces epidemic disease risks such as African Swine Fever and Porcine Reproductive and Respiratory Syndrome, which may lead to hog deaths, reduced output, decreased production efficiency, increased costs, and even impact consumer demand. The company has formulated multiple biosafety control and emergency plans to enhance epidemic prevention and control capabilities - Epidemic disease risks include hog deaths, reduced output, decreased production efficiency, increased feed and veterinary medicine consumption, higher operating costs, phased production cuts, and decreased demand due to consumer panic[88](index=88&type=chunk) - The company has formulated systems such as 'Biosafety Control Procedures,' 'Emergency Plan for Major Animal Epidemics,' and 'African Swine Fever Prevention and Emergency Response Plan' to comprehensively prevent and control major animal epidemics[89](index=89&type=chunk) - Enhancing veterinary laboratory testing capabilities, optimizing epidemic prevention and control measures, and establishing an African Swine Fever prevention and control team to improve professional capabilities in epidemic handling[89](index=89&type=chunk) [Market C

香港交易及結算所有限公司以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 因 本 公佈全部或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任 何 責 任。 KINGBOARD HOLDINGS LIMITED 建滔集團有限公司 （於 開 曼 群 島 註 冊 成 立 之 有 限 公 司） （股 份 代 號：148） 中期業績公佈 | 財務摘要 | | | | | --- | --- | --- | --- | | | 截至六月三十日止六個月 | | | | | 二零二五年 | 二零二四年 | 變動 | | | 百萬港元 | 百萬港元 | | | 營業額 | 21,608.3 | 20,415.2 | +6% | | 未 扣 除 利 息、稅 項、折 舊 及 | | | | | 攤銷前盈利 | 4,771.2 | 3,736.0 | +28% | | 除稅前溢利 | 3,174.0 | 2,138.7 | +48% | | 本公司持有人應佔純利 | 2,581.6 | 1,506.9 | +71% ...

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 佈 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 KINGBOARD LAMINATES HOLDINGS LIMITED 建滔積層板控股有限公司 （於 開 曼 群 島 註 冊 成 立 之 有 限 公 司） （股 份 代 號：1888） 中期業績公佈 | 財務摘要 | | | | | --- | --- | --- | --- | | | 截至六月三十日止六個月 | | | | | 二零二五年 | 二零二四年 | 變動 | | | 百萬港元 | 百萬港元 | | | 營業額 | 9,588.0 | 8,638.2 | +11% | | 未 扣 除 利 息、稅 項、折 舊 及 | | | | | 攤銷前溢利 | 1,699.4 | 1,569.7 | +8% | | 除稅前溢利 | 1,171.3 | 957.5 | +22% | | 本公司持有人應佔純利 | 933.3 | 727.8 | +28 ...

康師傅控股有限公司 摘要 | | | 截至6月30日止6個月 | | | | --- | --- | --- | --- | --- | | | 人民幣千元 | 2025年 | 2024年 | 變動 | | ‧ | 收益 | 40,092,163 | 41,201,208 | ↓2.7% | | ‧ | 毛利率(%) | 34.5% | 32.6% | ↑1.9個百分點 | | ‧ | 集團毛利 | 13,815,035 | 13,439,915 | ↑2.8% | | ‧ | 扣除利息、稅項、折舊及攤銷前盈利(EBITDA) | 5,450,637 | 4,824,605 | ↑13.0% | | ‧ | 本期溢利 | 2,688,304 | 2,235,065 | ↑20.3% | | ‧ | 本公司股東應佔溢利 | 2,271,116 | 1,885,310 | ↑20.5% | | ‧ | 本公司股東應佔經調整溢利* | 2,111,604 | 1,885,310 | ↑12.0% | | ‧ | 每股溢利（人民幣分） | | | | | | 基本 | 40.30 | 33.46 | ↑6.84分 | ...

Revenue Performance - Revenue for the six months ended June 30, 2025, was RMB 183,368,000, a decrease of 45% compared to RMB 333,120,000 for the same period in 2024[3] - Total revenue for the six months ended June 30, 2025, was RMB 333,120 thousand, compared to RMB 183,368 thousand for the same period in 2024, representing an increase of 81.6%[13] - Revenue from digital marketing and online media reached RMB 95,550 thousand for the six months ended June 30, 2025, up from RMB 41,944 thousand in 2024, marking a growth of 128.5%[13] - Revenue from television media resource operations was RMB 91,486 thousand, down 48% from RMB 176,511 thousand year-on-year, primarily due to a significant decline in advertising spending from consumer goods, tourism, automotive, and healthcare clients[41] - Digital marketing and online media revenue totaled RMB 41,944 thousand, a 56% decrease from RMB 95,550 thousand in the previous year, influenced by reduced advertising budgets from some clients[45] Profitability - Operating profit decreased by 28% to RMB 15,014,000 from RMB 20,863,000 year-on-year[5] - Profit attributable to equity shareholders increased by 10% to RMB 32,948,000 compared to RMB 29,879,000 in the previous year[5] - Basic and diluted earnings per share rose by 9% to RMB 0.071 from RMB 0.065[5] - The company's pre-tax profit for the six months ended June 30, 2025, was RMB 32,948 thousand, compared to RMB 29,879 thousand in 2024, reflecting an increase of 6.9%[22] Financial Position - Total comprehensive income for the period was RMB 412,500,000, significantly up from RMB 31,106,000 in the previous year[7] - Non-current assets totaled RMB 1,426,410,000, a slight decrease from RMB 1,046,635,000 year-on-year[8] - Cash and cash equivalents increased to RMB 449,780,000 from RMB 217,422,000[8] - Net assets rose to RMB 2,221,766,000 from RMB 1,944,993,000 year-on-year[9] - As of June 30, 2025, the group's bank deposits amounted to RMB 565,590,000, a decrease from RMB 719,273,000 as of December 31, 2024[27] - The group’s financial assets measured at fair value through profit or loss amounted to RMB 765,607,000 as of June 30, 2025, compared to RMB 375,993,000 as of December 31, 2024[25] - The group’s total liabilities increased significantly, with accounts payable totaling RMB 51,182,000 as of June 30, 2025, compared to RMB 24,195,000 as of December 31, 2024[28] - The group’s total equity as of June 30, 2025, was RMB 528,190,000, reflecting changes in share capital and reserves[30] - The group had no interest-bearing debt and maintained a debt-to-equity ratio of zero as of June 30, 2025[51] Cash Flow - The net cash inflow from operating activities was RMB 51,496 thousand, a decrease from RMB 88,020 thousand in the same period last year[49] - The net cash inflow from investing activities was RMB 168,471 thousand, significantly up from RMB 9,168 thousand in the same period last year, primarily due to the maturity of bank deposits[49] - The net cash inflow from financing activities was RMB 13,687 thousand, compared to a net cash outflow of RMB 452 thousand in the same period last year, mainly from share issuance under the stock option plan[50] Operational Efficiency - Operating expenses for the six months were RMB 40,032 thousand, down 18% from RMB 48,753 thousand, representing 21.8% of revenue compared to 14.6% in the same period last year[43] - The company optimized its marketing strategies and integrated marketing resources to improve operational efficiency and product competitiveness[41] - The company continues to focus on digital marketing capabilities, leveraging data technology and AI algorithms to enhance advertising efficiency[38] - The company has been actively providing integrated communication services to well-known clients, including China Feihe and China Ping An, among others[37] Dividends and Shareholder Returns - The group did not declare an interim dividend for the six months ended June 30, 2025, consistent with the previous year[31] - The board does not recommend any interim dividend for the six months ended June 30, 2025[57] Market Environment - The advertising market overall spending increased by 0.6% year-on-year in the first half of 2025, reflecting cautious marketing budgets among advertisers[34] - The group aims to enhance its brand marketing capabilities by focusing on cross-screen creative communication services amidst a challenging market environment[34] - The group plans to enhance operational efficiency and strengthen core competitiveness in creative communication and brand strategy, while focusing on diversified business growth[54] - The group will continue to optimize media resources and provide comprehensive marketing services, leveraging AI and big data for innovative content business[55] Employee and Resource Management - The total number of employees was 177, with a focus on optimizing internal resources and enhancing employee performance amid macroeconomic uncertainties[52]

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之任何損失承擔任何責任。 SINOPHARM GROUP CO. LTD. * （於中華人民共和國註冊成立之股份有限公司， 在香港以國控股份有限公司之名稱經營業務） （股份代號：01099） 二零二五年中期業績公告 國藥控股股份有限公司（「本公司」、「公司」或「國藥控股」）董事會（「董事會」）欣然宣佈本 公司及其附屬公司（「本集團」）截至二零二五年六月三十日止六個月期間（「報告期間」或 「報告期」）之未經審核中期業績，連同去年同期的比較資料如下： * 本公司以其中文名稱及英文名稱「Sinopharm Group Co. Ltd.」根據香港公司條例註冊為非香 港公司。 - 1 - 中期簡明綜合損益表 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 | | | --- | --- | --- | --- | | | 附註 | 二零二五年 | 二零二四年 | | | | 人民幣千元 | 人民幣千元 | | | | ...

[Financial Highlights](index=1&type=section&id=Financial%20Highlights) New Trend Group reported strong 2025 interim results, with revenue up 54.3% to RMB 334.8 million and profit for the period increasing 586.4% to RMB 24.4 million, with no interim dividend recommended | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Revenue | 334,798 | 217,015 | | Gross Profit | 77,948 | 22,098 | | Gross Margin | 23.3% | 10.2% | | Profit for the Period | 24,375 | 3,551 | | Net Margin | 7.3% | 1.6% | | Profit Attributable to Owners of the Company | 24,375 | 3,551 | | Basic Earnings Per Share (RMB) | 0.28 | 0.04 | - Total revenue was approximately **RMB 334.8 million**, an increase of approximately **54.3%** compared to approximately RMB 217.0 million in the same period last year[3](index=3&type=chunk) - Gross profit was approximately **RMB 77.9 million**, an increase of approximately **252.7%** from approximately RMB 22.1 million in the same period of 2024. Gross margin was **23.3%**, an increase of approximately **13.1 percentage points** from **10.2%** in the same period of 2024[4](index=4&type=chunk) - Profit for the period was approximately **RMB 24.4 million**, an increase of approximately **586.4%** from approximately RMB 3.6 million in the same period of 2024[4](index=4&type=chunk) - The Board recommended no interim dividend for the six months ended June 30, 2025[5](index=5&type=chunk) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=3&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) This section presents the condensed consolidated statement of profit or loss and other comprehensive income, highlighting significant growth in key financial metrics for the period | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Revenue | 334,798 | 217,015 | | Cost of Sales | (256,850) | (194,917) | | Gross Profit | 77,948 | 22,098 | | Other Income, Gains and Losses | 6,461 | 12,245 | | Selling and Distribution Expenses | (2,696) | (2,106) | | Administrative Expenses | (19,915) | (12,845) | | Research and Development Costs | (12,007) | (7,130) | | Listing Expenses | (12,661) | (7,633) | | Impairment Loss under Expected Credit Loss Model | (4,163) | (900) | | Finance Costs | (4,614) | (1,352) | | Profit Before Tax | 28,353 | 2,377 | | Income Tax (Expense) Credit | (3,978) | 1,174 | | Profit for the Period | 24,375 | 3,551 | | Exchange Differences on Translation of Overseas Operations | 3,116 | (4,596) | | Total Comprehensive Income (Expense) for the Period | 27,491 | (1,045) | | Basic and Diluted Earnings Per Share | 0.28 | 0.04 | [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) The statement of financial position as of June 30, 2025, reflects significant asset growth, driven by current assets and cash, with non-current liabilities increasing due to borrowing restructuring, yet overall equity improved | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | **Non-current Assets** | | | | Property, Plant and Equipment | 390,581 | 386,389 | | Right-of-use Assets | 20,640 | 12,465 | | Deferred Tax Assets | 19,986 | 17,891 | | Total Non-current Assets | 432,184 | 418,607 | | **Current Assets** | | | | Inventories | 112,644 | 91,903 | | Trade and Bills Receivables | 302,533 | 224,613 | | Bank Balances and Cash | 250,087 | 51,469 | | Total Current Assets | 693,740 | 394,301 | | **Current Liabilities** | | | | Trade and Bills Payables | 119,399 | 96,285 | | Bank Borrowings | 144,600 | 74,700 | | Other Borrowings | 11,256 | 95,650 | | Total Current Liabilities | 352,976 | 325,608 | | Net Current Assets | 340,764 | 68,693 | | **Non-current Liabilities** | | | | Other Borrowings | 79,715 | – | | Total Non-current Liabilities | 94,554 | 8,181 | | Net Assets | 678,394 | 479,119 | | Total Equity | 678,394 | 479,119 | [Notes to the Condensed Consolidated Interim Financial Statements](index=6&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, accounting policies, segment revenue, asset and liability composition and changes, borrowings, share capital movements, related party transactions, and financial instrument classification, offering essential context and details for understanding the financial statements [1. General Information](index=6&type=section&id=1.%20General%20Information) New Trend Group Co., Ltd. was established in China in 2006, renamed in February 2025, and listed on the Main Board of the Stock Exchange on June 10, 2025, primarily engaged in the production and sale of food-grade glycine, industrial-grade glycine, and sucralose - The Company was listed on the Main Board of The Stock Exchange of Hong Kong Limited on **June 10, 2025**[10](index=10&type=chunk) - The Group is principally engaged in the production and sale of food-grade glycine, industrial-grade glycine, and sucralose[10](index=10&type=chunk) [2. Basis of Preparation](index=6&type=section&id=2.%20Basis%20of%20Preparation) The unaudited condensed consolidated interim financial statements are prepared in accordance with the Listing Rules of The Stock Exchange of Hong Kong Limited and HKAS 34 "Interim Financial Reporting" issued by the HKICPA, and should be read in conjunction with the historical financial information disclosed in Appendix I of the Company's prospectus - The unaudited condensed consolidated interim financial statements have been prepared in accordance with the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants[12](index=12&type=chunk) [3. Application of Amendments to Hong Kong Financial Reporting Standards](index=7&type=section&id=3.%20Application%20of%20Amendments%20to%20Hong%20Kong%20Financial%20Reporting%20Standards) During the current interim period, the Group first applied the revised HKFRSs issued by the HKICPA that are mandatorily effective for annual periods beginning on or after January 1, 2025, which did not have a significant impact on the financial position and performance - The application of the amended HKFRSs in the current period has had no material impact on the Group's financial position and performance and/or disclosures in these unaudited condensed consolidated interim financial statements for the current and prior periods[14](index=14&type=chunk) [4. Critical Accounting Estimates and Judgements](index=7&type=section&id=4.%20Critical%20Accounting%20Estimates%20and%20Judgements) The preparation of the condensed consolidated interim financial statements involves management's judgments, estimates, and assumptions, which are consistent with the accounting policies, key accounting estimates, and judgments adopted in the historical financial information disclosed in Appendix I of the Company's prospectus - The unaudited condensed consolidated interim financial statements have been prepared using the same accounting policies, key accounting estimates, and judgments as those applied in the historical financial information disclosed in Appendix I to the Company's prospectus[15](index=15&type=chunk) [5. Revenue and Segment Information](index=7&type=section&id=5.%20Revenue%20and%20Segment%20Information) The Group's revenue primarily derives from the sale of sucralose, food-grade glycine, and industrial-grade glycine products, with sucralose sales showing significant growth. Due to resource integration, the Group does not present asset and liability segment information, and all revenue is recognized at a point in time. The geographical distribution of revenue indicates strong growth in the North American market Revenue from Contracts with Customers by Major Product Line | Product | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Sale of Sucralose Products | 152,064 | 70,125 | | Sale of Food-grade Glycine Products | 141,428 | 110,070 | | Sale of