[Interim Performance Summary](index=1&type=section&id=Interim%20Performance%20Summary) [Overall Performance Overview](index=1&type=section&id=Overall%20Performance%20Overview) In the first half of 2025, the company experienced a decline in overall revenue and profit due to continuous cost reduction and efficiency improvement by major clients in the communications industry, while AI large model business achieved explosive growth, and cost control measures were effective 2025 H1 Key Performance Indicators | Indicator | 2025 H1 | YoY Change | | :--- | :--- | :--- | | **Operating Revenue** | **RMB 2.598 billion** | **-13.2%** | | ICT Support Business Revenue | RMB 2.118 billion | -14.7% | | Digital Intelligence Operations Business Revenue | RMB 0.408 billion | -8.8% | | 5G Private Network and Application Business Revenue | RMB 0.047 billion | -26.3% | | AI Large Model Application and Delivery Business Revenue | RMB 0.026 billion | +7600% (76x) | | **Net Loss** | **RMB 0.202 billion** | Loss widened | | Adjusted Net Loss* | RMB 0.048 billion | Loss narrowed (vs. RMB 0.07 billion loss in prior period) | - Despite revenue decline in some businesses in H1, new emerging business orders showed strong growth: AI large model business orders increased by **78 times** year-on-year, and 5G private network business orders increased by **51.7%** year-on-year, indicating significant market potential[5](index=5&type=chunk) - The company's strategy focuses on three growth engines: AI large model application and delivery, 5G private network and application, and digital intelligence operations, with accelerated order signing expected in H2 to drive full-year performance improvement[5](index=5&type=chunk) [Chairman's Report](index=2&type=section&id=Chairman%27s%20Report) [Overall Performance and Strategic Response](index=2&type=section&id=Overall%20Performance%20and%20Strategic%20Response) Facing pressure from major clients' (operators) cost reduction and efficiency improvement, the company's overall revenue and profit declined in H1, prompting a strategic adjustment to focus on AI large models, 5G private networks, and digital intelligence operations as key growth engines - The company proactively responded to market changes by establishing three growth engine strategies: AI large model application and delivery, 5G private network and application, and digital intelligence operations[6](index=6&type=chunk) 2025 H1 Financial Performance | Indicator | 2025 H1 | YoY Change | | :--- | :--- | :--- | | Operating Revenue | RMB 2.598 billion | -13.2% | | Gross Profit | RMB 0.783 billion | +6.1% | | Gross Profit Margin | 30.1% | +5.4 percentage points | | Net Cash Outflow from Operating Activities | - | Improved by 35.3% YoY | - The Board of Directors recommends a 2025 year-end dividend payout ratio of **40%** of the annual net profit attributable to shareholders, reflecting a commitment to shareholder returns[8](index=8&type=chunk) [Business Segment Performance](index=4&type=section&id=Business%20Segment%20Performance) The company's three growth engine businesses show mixed performance but optimistic prospects, with AI large model business achieving explosive growth, 5G private network business showing strong order growth despite revenue decline, and digital intelligence operations optimizing its structure [AI Large Model Application and Delivery Business](index=4&type=section&id=AI%20Large%20Model%20Application%20and%20Delivery%20Business) The AI large model business experienced explosive growth, establishing the company as an industry leader through first-mover advantage and high-quality delivery, with deep collaborations and successful benchmark cases across multiple industries AI Large Model Business H1 Performance | Indicator | Amount | YoY Growth | | :--- | :--- | :--- | | Revenue | RMB 0.026 billion | 76x | | Signed Orders | RMB 0.070 billion | 78x | - The company has established strategic collaborations with Alibaba Cloud, Baidu AI Cloud, NVIDIA, and AsiaInfo Security to jointly promote the industrialization of large models, with ample business opportunities[11](index=11&type=chunk) - The company has independently developed a series of toolsets for data quality governance, hallucination suppression, and multi-model scheduling to improve delivery quality and efficiency, building a technological barrier[10](index=10&type=chunk) [5G Private Network and Application Business](index=5&type=section&id=5G%20Private%20Network%20and%20Application%20Business) The 5G private network business continues to advance, with new signed orders increasing by over 50% year-on-year despite a revenue decline due to delayed nuclear power orders, solidifying its leading position in the nuclear power sector and achieving breakthroughs in new energy and mining - H1 revenue was approximately **RMB 0.047 billion**, a **26.3%** year-on-year decrease, mainly due to delayed confirmation of nuclear power orders, but signed orders increased by **51.7%** year-on-year, with high growth expected in H2[16](index=16&type=chunk) - In the nuclear power sector, the company holds the **number one market share** nationwide, serving 29 units across 7 nuclear power bases, and successfully expanded into Huaneng Group[14](index=14&type=chunk) - Progress was made in the new energy and mining sectors, covering over **210** new energy stations, and establishing a joint venture with Zhengzhou Coal Mining Machinery Group to explore new models for digital intelligence operations in mining[14](index=14&type=chunk)[15](index=15&type=chunk) [Digital Intelligence Operations Business](index=7&type=section&id=Digital%20Intelligence%20Operations%20Business) The digital intelligence operations business saw an 8.8% year-on-year revenue decline in H1 due to operator cost controls, but its business structure continues to optimize, with non-communications industry orders growing by 18.2%, and revenue based on results/revenue sharing increasing to 33.4% Digital Intelligence Operations Business H1 Performance | Indicator | Amount/Ratio | YoY Change | | :--- | :--- | :--- | | Revenue | RMB 0.408 billion | -8.8% | | Non-communications Industry Orders | - | +18.2% | | - Financial Sector Orders | - | +48.3% | | - Automotive Sector Orders | - | +5.3% | | - Consumer Sector Orders | - | +4.4% | | Revenue from Results/Revenue Sharing | 33.4% | +6.7 percentage points | [ICT Support Business](index=8&type=section&id=ICT%20Support%20Business) As the company's foundational business, ICT support revenue declined by 14.7% year-on-year in H1 due to overall investment reductions by operators, prompting the company to actively respond through AI empowerment, new client expansion, and cost reduction initiatives - H1 ICT support business revenue was approximately **RMB 2.118 billion**, a **14.7%** year-on-year decrease, primarily due to reduced investment by operator clients[21](index=21&type=chunk) - The company is offsetting the downward pressure on BSS business through AI empowerment, new client expansion, and joint development of government and enterprise markets with operators, while continuously advancing organizational transformation to reduce delivery costs[21](index=21&type=chunk) [Product Technology and Outlook](index=9&type=section&id=Product%20Technology%20and%20Outlook) The company continues to strengthen its technological leadership in "Cloud-Network," "Digital Intelligence," and "IT" product systems, fully promoting product evolution towards AI Native, actively participating in standard setting, and aiming to achieve full-year targets by accelerating order conversion for growth engines - The company focuses on "Cloud-Network," "Digital Intelligence," and "IT" product systems, fully promoting their evolution towards AI Native, providing technical support for the three growth engines[22](index=22&type=chunk) - In the digital intelligence domain, a product system of "2 large model platforms, 5 industry large models, and N industry intelligent agent tools" has been formed, with **240** accumulated successful cases[24](index=24&type=chunk) - As of June 2025, the company has participated in the formulation of **356** international/domestic standards, with **26** new additions in H1, continuously solidifying its industry technological influence[26](index=26&type=chunk) - The company expects H2 performance to be significantly better than H1, aiming to firmly achieve full-year targets by accelerating order signing[27](index=27&type=chunk) [Condensed Consolidated Financial Statements](index=13&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=13&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2025, the company's revenue was RMB 2.598 billion, a 13.2% year-on-year decrease, but gross profit increased by 6.1% to RMB 0.783 billion due to effective cost control, while loss for the period widened to RMB 0.202 billion due to increased administrative expenses and expected credit losses Profit or Loss Statement Key Data (For the six months ended June 30) | Indicator (RMB Thousand) | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | 2,597,875 | 2,994,262 | | Cost of Sales | (1,814,839) | (2,255,981) | | **Gross Profit** | **783,036** | **738,281** | | Administrative Expenses | (297,373) | (183,144) | | Research and Development Expenses | (414,863) | (436,012) | | Loss Before Tax | (236,524) | (91,392) | | **Loss for the Period** | **(202,329)** | **(70,131)** | | **Basic Loss Per Share (RMB)** | **(0.22)** | **(0.06)** | [Condensed Consolidated Statement of Financial Position](index=15&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the company's total assets were RMB 9.311 billion, a 11.3% decrease from year-end 2024, with total liabilities at RMB 3.153 billion and net assets at RMB 6.158 billion, maintaining a stable financial structure despite a significant decrease in cash and cash equivalents Balance Sheet Key Data (RMB Thousand) | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **9,311,376** | **10,499,966** | | Non-current Assets | 2,903,706 | 2,861,391 | | Current Assets | 6,407,670 | 7,638,575 | | **Total Liabilities** | **3,153,188** | **3,858,767** | | Current Liabilities | 2,810,280 | 3,461,615 | | Non-current Liabilities | 342,908 | 397,152 | | **Total Equity** | **6,158,188** | **6,641,199** | | Cash and Cash Equivalents | 612,693 | 1,618,100 | [Condensed Consolidated Statement of Cash Flows](index=18&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) In H1 2025, net cash used in operating activities was RMB 0.594 billion, a significant 35.3% improvement year-on-year due to enhanced sales collection and cost control, while net cash outflow from financing activities was RMB 0.417 billion, primarily for dividend payments, resulting in reduced cash and cash equivalents Cash Flow Statement Key Data (For the six months ended June 30, RMB Thousand) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash Used in Operating Activities | (594,425) | (919,009) | | Net Cash From Investing Activities | 7,970 | 328,375 | | Net Cash Used in Financing Activities | (417,475) | (696,196) | | **Net Decrease in Cash and Cash Equivalents** | **(1,003,930)** | **(1,286,830)** | | **Cash and Cash Equivalents at End of Period** | **612,693** | **1,326,432** | [Management Discussion and Analysis](index=26&type=section&id=Management%20Discussion%20and%20Analysis) [Overall Operating Performance and Financial Analysis](index=26&type=section&id=Overall%20Operating%20Performance%20and%20Financial%20Analysis) In H1 2025, the company faced overall operational pressure with revenue declining by 13.2% to RMB 2.598 billion, but gross profit increased by 6.1% due to personnel adjustments and cost control, while net loss widened to RMB 0.202 billion primarily due to one-off severance payments 2025 H1 Performance Review | Indicator | 2025 H1 | YoY Change | | :--- | :--- | :--- | | Revenue | RMB 2.598 billion | -13.2% | | Gross Profit | RMB 0.783 billion | +6.1% | | Gross Profit Margin | 30.1% | +5.4 percentage points | | Net Loss | RMB 0.202 billion | Loss widened | | Adjusted Net Loss | RMB 0.048 billion | Loss narrowed | | Net Cash Used in Operating Activities | RMB 0.594 billion | Improved by 35.3% | - Administrative expenses increased by **62.4%** year-on-year to **RMB 0.297 billion**, primarily due to increased one-off severance payments from personnel structure adjustments[63](index=63&type=chunk) [Segment Revenue Analysis](index=27&type=section&id=Segment%20Revenue%20Analysis) The company's revenue decline was mainly driven by the largest segment, ICT support business, which saw a 14.7% year-on-year decrease due to operator cost reductions, while AI large model business was the sole highlight, achieving explosive growth and reaching 1.0% of total revenue Revenue Breakdown by Business Segment (For the six months ended June 30) | Business Type | 2025 Revenue (Thousand Yuan) | Share | 2024 Revenue (Thousand Yuan) | Share | | :--- | :--- | :--- | :--- | :--- | | ICT Support Business | 2,117,736 | 81.5% | 2,483,649 | 83.0% | | Digital Intelligence Operations Business | 407,647 | 15.7% | 447,001 | 14.9% | | 5G Private Network and Application Business | 46,652 | 1.8% | 63,277 | 2.1% | | AI Large Model Application and Delivery Business | 25,840 | 1.0% | 335 | 0.0% | | **Total Revenue** | **2,597,875** | **100.0%** | **2,994,262** | **100.0%** | [Financial Position and Cash Flow](index=29&type=section&id=Financial%20Position%20and%20Cash%20Flow) As of June 30, 2025, the company's financial position remains generally healthy with total assets of RMB 9.311 billion and net assets of RMB 6.158 billion, no bank borrowings, and a zero leverage ratio, while net cash used in operating activities significantly improved by 35.3% - As of June 30, 2025, the Group had **no bank borrowings**, and its leverage ratio was **zero**, indicating a robust financial structure[78](index=78&type=chunk) - Net cash used in operating activities significantly improved by **35.3%** year-on-year, primarily due to enhanced sales collection and strengthened cost control[81](index=81&type=chunk) Key Balance Sheet Item Changes | Indicator (RMB Billion) | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 0.613 | 1.618 | -62.1% | | Trade Receivables and Bills Receivable | 1.785 | 2.065 | -13.6% | | Inventories | 0.412 | 0.275 | +49.9% | | Trade Payables and Bills Payable | 0.958 | 1.104 | -13.2% | [Other Information](index=33&type=section&id=Other%20Information) [Corporate Governance and Compliance](index=33&type=section&id=Corporate%20Governance%20and%20Compliance) The company is committed to maintaining high standards of corporate governance, having complied with all applicable provisions of the Corporate Governance Code during the reporting period, with the Audit Committee reviewing interim results and confirming effective risk management and internal control systems - The company has consistently complied with all applicable code provisions under the Corporate Governance Code during the reporting period[86](index=86&type=chunk) - The Audit Committee has reviewed the interim results and considers the company's risk management and internal control systems to be effective and adequate[90](index=90&type=chunk) - During the reporting period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[88](index=88&type=chunk)

Financial Performance - For the six months ended June 30, 2025, the group reported revenue of approximately RMB 18.0 million, an increase of about 25.1% compared to RMB 14.4 million for the same period last year[5] - The group confirmed a profit of approximately RMB 2.4 million for the six months ended June 30, 2025, compared to a loss of approximately RMB 3.3 million for the same period last year[5] - The earnings per share attributable to ordinary shareholders of the parent company for the six months ended June 30, 2025, was approximately RMB 1.63[5] - The total comprehensive income for the period attributable to the parent company was RMB 2.494 million, a significant recovery from a loss of RMB 3.142 million in the previous year[8] - The total comprehensive income for the period, excluding tax, was 2,393 thousand RMB, compared to a loss of 3,280 thousand RMB in the previous period[9] - The net income attributable to the parent company was 2,461 thousand RMB, a significant improvement from a loss of 3,133 thousand RMB[9] - The group achieved a profit of approximately RMB 2.4 million during the reporting period, a turnaround from a net loss of approximately 3.3 million in the same period last year[57] Revenue Sources - Total revenue for the six months ended June 30, 2025, was RMB 18,033 thousand, an increase of approximately 25.5% compared to RMB 14,411 thousand in 2024[22] - The company reported consulting income of RMB 17,026 thousand for the first half of 2025, up from RMB 13,829 thousand in the same period of 2024, reflecting a growth of about 23.8%[22] - Rental income from investment properties was RMB 1,007 thousand, which is an increase of 73.0% from RMB 582 thousand in 2024[22] - Consulting fee income reached approximately RMB 14.1 million, with a significant increase of about RMB 9.8 million compared to the previous year, driven by the investment advisory business[52] Expenses and Liabilities - Administrative expenses increased to RMB 16.093 million from RMB 12.751 million year-on-year, reflecting higher operational costs[7] - The total liabilities for current liabilities were 29,766 thousand RMB, compared to 26,679 thousand RMB previously[11] - Other payables and accrued expenses totaled RMB 8,579,000 as of June 30, 2025, an increase from RMB 5,941,000 as of December 31, 2024[38] Asset Management - The company is focusing on enhancing its asset management capabilities to drive future growth and profitability[5] - The group managed a total of approximately RMB 2,018.8 million in assets as of June 30, 2025, with a significant focus on commercial real estate, urbanization, and distressed asset projects[42] - The assets under management for commercial real estate projects accounted for 63.6% of the total, amounting to RMB 1,283.2 million, while urbanization and redevelopment projects represented 28.8% with RMB 581.3 million[43] - The group has shifted its focus towards value extraction and enhancement of existing assets in response to the structural changes in the real estate market[41] Investments - The group’s investment consulting business has shown significant expansion, with multiple key projects signed in the first half of 2025[44] - The group’s funds invested in 14 projects across various regions, including Shanghai, Jiangsu, and Sichuan, demonstrating a diversified investment strategy[42] - The group will continue to operate a diversified investment portfolio and closely monitor investment performance and market trends to adjust investment strategies accordingly[73] Corporate Governance - The company has adopted and complied with the corporate governance principles and standards, except for the deviation regarding the separation of the roles of Chairman and CEO[78] - The Chairman and CEO roles are currently held by Mr. Zhu Ping, which deviates from the corporate governance code[79] - The audit committee, composed of three independent non-executive directors, reviewed the accounting principles and practices adopted by the group[87] Employee and Operational Management - The group employed a total of 75 employees as of June 30, 2025, an increase from 62 employees as of December 31, 2024[71] - The group has implemented effective operational management strategies to improve rental rates and occupancy levels in long-term rental apartment projects[41] Taxation and Financial Policies - The group is subject to a corporate income tax rate of 25% in mainland China, with small enterprises qualifying for a reduced rate of 5% due to low profitability[25] - The group maintained a prudent treasury policy, ensuring a stable cash flow situation and minimizing credit risk through strict control of receivables[61] Other Financial Information - The company has no issued potential dilutive ordinary shares as of the reporting dates[28] - The company has no significant investment or capital asset plans as of June 30, 2025[77] - The financial performance during the reporting period was not audited or reviewed by external auditors[88]

Company Information This section provides Republic Healthcare Limited's fundamental corporate details, including its board, key management, and listing information [Company Basic Information](index=4&type=section&id=Company%20Basic%20Information) This section provides essential company information for Republic Healthcare Limited, including its registered office, principal place of business, board members, committee members, company secretary, auditor, share registrar, and principal bankers - Key management includes **Executive Director** Dr. Tan Cher Sen (Chairman), **Non-Executive Director** Mr. Ong Liang, and **Independent Non-Executive Directors** Mr. Yeo Teck Chuan, Mr. Wong Yee Leong, and Ms. Kong Lai Ngo[7](index=7&type=chunk) - The company is listed on GEM with stock code **8357**, and its trading unit is **5,000 shares** per board lot[8](index=8&type=chunk) 2025 Financial Highlights (Unaudited) This section presents the Group's unaudited financial performance for H1 2025, highlighting revenue decline, widening losses, and key business challenges and strategic responses [Overall Financial Performance](index=5&type=section&id=Overall%20Financial%20Performance) For the six months ended June 30, 2025, the Group experienced a significant decline in revenue and gross profit, with revenue decreasing by 16.7% to S$3.7 million and gross profit by 17.5% to S$2.5 million, while net loss after tax widened to S$1.20 million from S$0.15 million due to increased investment in the Philippine education business and higher staff costs Key Financial Indicators for H1 2025 | Indicator | 2025 H1 (S$) | 2024 H1 (S$) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | Approx. 3.7 million | Approx. 4.5 million | -16.7% | | Gross Profit | Approx. 2.5 million | Approx. 3.1 million | -17.5% | | Net Loss After Tax | Approx. 1.20 million | Approx. 0.15 million | Loss Widened | - The widening loss is primarily attributed to increased costs from education business expansion and higher staff expenses to retain key talent[12](index=12&type=chunk) [Business Challenges and Outlook](index=5&type=section&id=Business%20Challenges%20and%20Outlook) Medical business sales declined due to intensified market competition, macroeconomic pressures, and increased compliance costs from regulatory changes, while global geopolitical tensions and macroeconomic uncertainties also challenge the Group's growth strategy, leading the Board to resolve no dividend payment for the period - Three key factors for the decline in medical business sales: **intensified market competition** from new entrants and existing providers, **macroeconomic pressures** making consumers price-sensitive and delaying non-essential treatments, and **regulatory developments** increasing compliance costs and operational burdens[11](index=11&type=chunk)[13](index=13&type=chunk) - Ongoing geopolitical tensions, such as the Russia-Ukraine conflict and US-China relations, have led to subdued economic sentiment and increased cost pressures, impacting patient spending behavior and business planning[15](index=15&type=chunk) - The Board has resolved not to declare any dividend for the period, consistent with the prior year[16](index=16&type=chunk) Unaudited Condensed Consolidated Financial Statements This section presents the Group's unaudited consolidated financial statements, including the statement of profit or loss, financial position, changes in equity, and cash flows for the reporting period [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) This financial statement presents the Group's operating results for the six months ended June 30, 2025, showing revenue of S$3.73 million, a year-on-year decrease, and a net loss for the period widening to S$1.22 million from S$0.15 million due to the combined impact of various expenses, particularly increased other operating expenses, resulting in basic and diluted loss per share of S$0.20 cents Summary of Consolidated Statement of Profit or Loss (For the six months ended June 30) | Item | 2025 (Unaudited) S$ | 2024 (Unaudited) S$ | | :--- | :--- | :--- | | Revenue | 3,734,532 | 4,481,738 | | Employee Benefit Expenses | (2,053,166) | (1,975,387) | | Other Operating Expenses | (1,482,966) | (989,395) | | **Net Loss for the Period** | **(1,216,725)** | **(149,149)** | | **Total Comprehensive Loss Attributable to Owners of the Company** | **(1,243,658)** | **(156,057)** | | Basic and Diluted Loss Per Share (Singapore cents) | (0.20) | (0.03) | [Consolidated Statement of Financial Position](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) This statement reflects the Group's financial position as of June 30, 2025, with total assets slightly decreasing to S$13.65 million from S$14.48 million at the end of 2024, total liabilities increasing to S$2.34 million from S$1.93 million primarily due to higher lease liabilities, and consequently, net assets (equity) decreasing to S$11.31 million from S$12.55 million Summary of Consolidated Statement of Financial Position | Item | June 30, 2025 (Unaudited) S$ | December 31, 2024 (Audited) S$ | | :--- | :--- | :--- | | **Total Assets** | **13,649,957** | **14,478,888** | | Non-current Assets | 2,464,026 | 1,585,486 | | Current Assets | 11,185,931 | 12,893,402 | | **Total Liabilities** | **2,342,840** | **1,928,113** | | Non-current Liabilities | 930,183 | 490,098 | | Current Liabilities | 1,412,657 | 1,438,015 | | **Net Assets** | **11,307,117** | **12,550,775** | | Cash and Cash Equivalents | 9,613,162 | 11,367,752 | [Consolidated Statement of Changes in Equity](index=10&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) This statement details changes in shareholders' equity during the reporting period, showing total equity decreasing from S$12.55 million at the beginning of the period to S$11.31 million at the end, primarily due to a total comprehensive loss of S$1.24 million recorded for the period, while share capital and share premium remained unchanged - As of June 30, 2025, total equity attributable to owners of the Company decreased from **S$12,550,775** at the beginning of the period to **S$11,307,117**[22](index=22&type=chunk) - The decrease in equity is primarily due to a total comprehensive loss of **S$1,243,658** recorded for the financial period, comprising a net loss of **S$1,216,725** and exchange differences of **S$26,933**[22](index=22&type=chunk) [Consolidated Statement of Cash Flows](index=11&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) This statement summarizes cash inflows and outflows for the reporting period, showing a net cash outflow from operating activities of S$0.82 million, contrasting with a net inflow of S$0.45 million in the prior year, with both investing and financing activities also resulting in net cash outflows, ultimately leading to a S$1.75 million decrease in cash and cash equivalents, with an ending balance of S$9.61 million Summary of Consolidated Statement of Cash Flows (For the six months ended June 30) | Item | 2025 (Unaudited) S$ | 2024 (Unaudited) S$ | | :--- | :--- | :--- | | Net Cash Used In/Generated From Operating Activities | (823,484) | 448,743 | | Net Cash Used In Investing Activities | (637,220) | (1,971,837) | | Net Cash Used In Financing Activities | (293,886) | (265,120) | | **Decrease in Cash and Cash Equivalents** | **(1,754,590)** | **(1,788,214)** | | Cash and Cash Equivalents at Beginning of Period | 11,367,752 | 11,934,070 | | **Cash and Cash Equivalents at End of Period** | **9,613,162** | **10,145,856** | Notes to the Financial Statements This section provides detailed notes to the unaudited condensed consolidated financial statements, covering general information, accounting policies, revenue breakdown, income tax, loss per share, asset and liability details, related party transactions, and contingent liabilities [Notes 1-2: General Information, Basis of Presentation and Accounting Policies](index=12&type=section&id=Notes%201-2%3A%20General%20Information%2C%20Basis%20of%20Presentation%20and%20Accounting%20Policies) This section outlines the company's basic information, the basis of financial statement preparation, and key accounting policies, noting the Group's primary engagement in medical diagnostic center and healthcare-related education businesses, with statements prepared in accordance with International Financial Reporting Standards and consistent accounting policies as the 2024 audited financial statements, using Singapore Dollars as both functional and presentation currency, and detailing accounting treatments for assets like property, plant, and equipment and leases - The Group primarily engages in two main businesses: (i) operating medical diagnostic centers and providing management consultancy services in Singapore; and (ii) healthcare-related education business[24](index=24&type=chunk) - The unaudited condensed consolidated financial statements have been reviewed by the Audit Committee and incorporate all new/revised International Financial Reporting Standards effective January 1, 2025, with no material impact on the Group[25](index=25&type=chunk)[27](index=27&type=chunk) [Notes 3-5: Revenue, Income Tax and Loss Per Share](index=18&type=section&id=Notes%203-5%3A%20Revenue%2C%20Income%20Tax%20and%20Loss%20Per%20Share) This section details revenue composition, income tax expense, and loss per share calculation, showing all Group revenue derived from medical services, with treatment services being the largest component, an income tax profit of S$11,114 recorded in H1 2025 primarily from Philippine operations, and basic and diluted loss per share of S$0.20 cents based on a S$1.24 million loss and 624 million weighted average ordinary shares Revenue by Service Type (For the six months ended June 30) | Medical Service Type | 2025 (S$) | 2024 (S$) | | :--- | :--- | :--- | | Treatment Services | 2,238,278 | 2,763,858 | | Medical Examination Services | 964,449 | 1,074,389 | | Consultation Services | 531,805 | 643,491 | | **Total** | **3,734,532** | **4,481,738** | Loss Per Share Calculation | Item | 2025 | 2024 | | :--- | :--- | :--- | | Loss Attributable to Owners of the Company (S$) | (1,243,658) | (156,057) | | Weighted Average Number of Ordinary Shares | 624,000,000 | 624,000,000 | | **Loss Per Share (Singapore cents)** | **(0.20)** | **(0.03)** | [Notes 6-17: Details of Assets, Liabilities and Equity Items](index=20&type=section&id=Notes%206-17%3A%20Details%20of%20Assets%2C%20Liabilities%20and%20Equity%20Items) This section provides detailed information on key balance sheet items, including S$0.66 million in additions to property, plant, and equipment, primarily land and buildings, an increase in right-of-use assets and lease liabilities due to new leases, trade receivables rising from S$0.049 million to S$0.13 million, cash and cash equivalents decreasing to S$9.61 million, and a stable share capital structure with S$100 million authorized and 624 million shares issued - Additions to property, plant and equipment amounted to **S$658,971** during the period, primarily comprising **S$499,116** for land and buildings[54](index=54&type=chunk) - The Group's right-of-use assets increased from **S$0.73 million** to **S$1.29 million**, and lease liabilities increased from **S$0.76 million** to **S$1.25 million**, mainly due to new leases for diagnostic center units[57](index=57&type=chunk) - The Board resolved not to declare an interim dividend, consistent with the prior year[70](index=70&type=chunk) [Notes 18-19: Related Party Transactions and Contingent Liabilities](index=27&type=section&id=Notes%2018-19%3A%20Related%20Party%20Transactions%20and%20Contingent%20Liabilities) This section discloses related party transactions, with total key management personnel compensation, including directors and senior management, increasing to S$811,987 for the period from S$769,431 in the prior year, and confirms no significant contingent liabilities or guarantees for the Group at the reporting period end Key Management Personnel Compensation (For the six months ended June 30) | Compensation Item | 2025 (S$) | 2024 (S$) | | :--- | :--- | :--- | | Salaries, Allowances and Benefits in Kind | 668,680 | 683,053 | | Directors' Fees | 108,000 | 54,000 | | Employer's Defined Contribution Scheme Contributions | 35,307 | 32,378 | | **Total** | **811,987** | **769,431** | - As of June 30, 2025, the Group had no significant contingent liabilities or guarantees[73](index=73&type=chunk) Management Discussion and Analysis This section provides management's review of the Group's business and financial performance, strategic outlook, liquidity, capital structure, and the utilization of proceeds from fundraising activities [Business Review and Outlook](index=28&type=section&id=Business%20Review%20and%20Outlook) Management reviewed the Group's business as a leading general practice network in Singapore, noting a 16.7% revenue decline in H1 2025, and plans to strengthen core operations by opening new clinics and introducing specialized services, with a key strategy to invest in Langgu Bio's proprietary dendritic cell (DC) vaccine technology for expansion into Southeast Asia and Greater China, while also establishing healthcare education as a new strategic growth pillar to address industry skill gaps and create new revenue streams, currently operating five DTAP clinics - The Group entered into a letter of intent to invest in Langgu Bio's proprietary dendritic cell (DC) vaccine technology for treating malignant tumors, which has received clinical application approval in Hainan Boao Lecheng[76](index=76&type=chunk) - This investment aims to leverage Langgu Bio's advanced technology to deepen the Group's presence in Southeast Asia and explore high-growth opportunities in Greater China[77](index=77&type=chunk) - The Group positions healthcare education as a strategic development pillar, aiming to create new sustainable revenue streams and establish itself as a thought leader in the field by offering specialized training programs[78](index=78&type=chunk) [Financial Review](index=30&type=section&id=Financial%20Review) This section provides a detailed analysis of the Group's financial performance, noting a 16.7% year-on-year revenue decrease to S$3.7 million, a decline in gross profit to S$2.5 million while maintaining a relatively stable gross margin, a slight 3.9% increase in employee benefit expenses due to talent retention strategies, and a significant rise in other operating expenses primarily from ongoing investment in the education business and foreign exchange losses, all contributing to the net loss attributable to owners of the Company widening to approximately S$1.2 million Financial Performance Analysis | Item | H1 2025 (S$) | H1 2024 (S$) | Change | Explanation | | :--- | :--- | :--- | :--- | :--- | | Revenue | Approx. 3.7 million | Approx. 4.4 million | -16.7% | Decline in medical business performance | | Gross Profit | Approx. 2.5 million | Approx. 3.1 million | -19.4% | Due to revenue decline | | Employee Benefit Expenses | Approx. 2.05 million | Approx. 1.98 million | +3.9% | Staff retention efforts | | Other Operating Expenses | Increased | - | - | Education business expansion and foreign exchange losses | | Loss for the Period | Approx. 1.2 million | Approx. 0.15 million | Loss Widened | Combined impact of the above factors | [Liquidity, Financial Resources and Capital Structure](index=31&type=section&id=Liquidity%2C%20Financial%20Resources%20and%20Capital%20Structure) The Group primarily funds operations through internal cash flow and shareholder contributions, holding approximately S$9.6 million in cash and cash equivalents as of June 30, 2025, with no bank borrowings, while the gearing ratio increased from 6% at the end of 2024 to 11% mainly due to higher lease liabilities, maintaining a robust capital structure comprising only issued shares, reserves, and retained earnings - As of June 30, 2025, the Group held approximately **S$9.6 million** in cash and cash equivalents and had no bank borrowings[90](index=90&type=chunk) - The gearing ratio (total liabilities/total equity) increased from **6%** at the end of 2024 to **11%**, primarily due to lease liabilities rising from **S$0.76 million** to **S$1.25 million**[91](index=91&type=chunk) [Use of Proceeds and Progress on Business Objectives](index=33&type=section&id=Use%20of%20Proceeds%20and%20Progress%20on%20Business%20Objectives) This section details the utilization of IPO and placing proceeds and the progress towards business objectives, noting that the S$9.1 million net proceeds from the initial public offering were fully utilized by June 30, 2025, while approximately S$1.27 million of the S$3.6 million from the 2021 placing remains unutilized, primarily earmarked for potential acquisitions and expansion of allied health services, expected to be deployed in H2 2025, with most prospectus business objectives either completed or fully funded - The net proceeds from the initial public offering, approximately **S$9.1 million**, were fully utilized by June 30, 2025[102](index=102&type=chunk)[103](index=103&type=chunk) Use of Placing Proceeds (As of June 30, 2025) | Purpose | Revised Allocation (S$ '000) | Actual Use (S$ '000) | Balance (S$ '000) | Expected Time of Use | | :--- | :--- | :--- | :--- | :--- | | Establish new online business segment | 600 | 600 | – | – | | Acquire interest in a potential enterprise | 500 | – | 500 | H2 2025 | | Allied health and/or ancillary healthcare products | 1,000 | 441 | 559 | H2 2025 | | General working capital | 1,500 | 1,500 | – | – | | **Total** | **3,600** | **2,335** | **1,265** | | - Most business objectives outlined in the prospectus, such as expanding the DTAP clinic network, talent acquisition, and IT infrastructure enhancement, have had their allocated funds fully utilized[106](index=106&type=chunk) Corporate Governance and Other Information This section details the Group's corporate governance practices, share option scheme, interests of directors and shareholders, and the Audit Committee's review of the interim financial report [Corporate Governance Practices](index=37&type=section&id=Corporate%20Governance%20Practices) The company is committed to maintaining high corporate governance standards and has complied with the GEM Listing Rules' Corporate Governance Code, with one deviation noted during the reporting period where Chairman Dr. Tan Cher Sen also serves as CEO, an arrangement the Board deems beneficial for efficient management during a transitional period given his founder status and extensive experience, aligning with the Group's best interests - The company has one deviation from the Corporate Governance Code: the roles of Chairman (Dr. Tan Cher Sen) and Chief Executive Officer are not segregated and are held by the same individual[109](index=109&type=chunk) - The Board considers this deviation appropriate, as Dr. Tan, as the founder, holding both roles facilitates efficient management and business development during this transitional period[109](index=109&type=chunk) [Share Option Scheme and Directors' and Shareholders' Interests](index=38&type=section&id=Share%20Option%20Scheme%20and%20Directors'%20and%20Shareholders'%20Interests) This section outlines the company's share option scheme and the shareholdings of key directors and shareholders, noting that no share options have been granted since the scheme's adoption in 2018, and Chairman and Executive Director Dr. Tan Cher Sen is the controlling shareholder, holding approximately 56.29% of shares through his wholly-owned company Cher Sen Holdings Limited and in his personal capacity - Since the adoption of the Share Option Scheme in May 2018, no share options have been granted up to the date of this report[112](index=112&type=chunk) - Chairman Dr. Tan Cher Sen is the controlling shareholder, holding **350,000,000 shares** through his controlled corporation Cher Sen and **1,275,000 shares** in his personal capacity, totaling approximately **56.29%** interest in the company[113](index=113&type=chunk)[114](index=114&type=chunk) - During the reporting period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[120](index=120&type=chunk) [Audit Committee Review](index=42&type=section&id=Audit%20Committee%20Review) The Audit Committee, comprising three independent non-executive directors chaired by Mr. Yeo Teck Chuan, has reviewed this interim results report and the unaudited condensed consolidated financial statements, deeming them prepared in compliance with applicable accounting standards, GEM Listing Rules, and legal requirements, with sufficient disclosures made - The Audit Committee comprises three independent non-executive directors: Mr. Yeo Teck Chuan (Chairman), Mr. Wong Yee Leong, and Ms. Kong Lai Ngo[123](index=123&type=chunk) - The Audit Committee has reviewed this interim financial report and believes it has been prepared in compliance with applicable accounting standards and Listing Rules, with sufficient disclosures made[123](index=123&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因倚 賴該等內容而引致的任何損失承擔任何責任。 GUOQUAN FOOD (SHANGHAI) CO., LTD. 於本公告中，「我們」指本公司或如文義所指，為本集團。 業務回顧及展望 鍋圈食品（上海）股份有限公司 （於中華人民共和國註冊成立的股份有限公司） （股份代號：2517） 截至二零二五年六月三十日止六個月之 中期業績公告 二零二五年中期業績摘要 附註： 核心經營利潤界定為就非上市可轉換可贖回優先股的公允價值變動損益做出調整後的淨利潤。 核心經營利潤並非國際財務報告準則計量。詳情請參閱本公告「管理層討論及分析－非國際財 務報告準則計量」一節。 1 • 截至二零二五年六月三十日止六個月的收入為人民幣3,239.7百萬元，同比增 加21.6%。 • 截至二零二五年六月三十日止六個月的毛利為人民幣717.4百萬元，同比增加 17.8%。截至二零二五年六月三十日止六個月的毛利率為22.1%，去年同期為 22.8%。 • 截至二零二五年六月三十日止六個 ...

[Supplemental Announcement Regarding Annual Report for the Year Ended May 31, 2024](index=1&type=section&id=%E6%9C%89%E9%97%9C%E6%88%AA%E8%87%B3%E4%BA%8C%E9%9B%B6%E4%BA%8C%E5%9B%9B%E5%B9%B4%E4%BA%94%E6%9C%88%E4%B8%89%E5%8D%81%E4%B8%80%E6%97%A5%E6%AD%A2%E5%B9%B4%E5%BA%A6%E5%B9%B4%E6%8A%A5%E4%B9%8B%E8%A3%9C%E5%85%85%E5%85%AC%E5%91%8A) This announcement provides supplementary disclosures for the annual report, primarily focusing on the share option scheme's status and compliance with HKEX Listing Rules [Purpose and Background of the Announcement](index=1&type=section&id=%E5%85%AC%E5%91%8A%E7%9B%AE%E7%9A%84) This announcement provides supplementary disclosures regarding the company's annual report for the year ended May 31, 2024 (the '2023/2024 Annual Report'), primarily concerning information related to the share option scheme, in accordance with the HKEX Listing Rules - This announcement provides supplementary information from Tiancheng Holdings Limited regarding its annual report for the year ended May 31, 2024[2](index=2&type=chunk) - The supplementary information is disclosed in accordance with the provisions of Listing Rules 17.07(2) and 17.09(3)[2](index=2&type=chunk) [Share Option Scheme](index=1&type=section&id=%E8%B3%BC%E8%82%A1%E6%AC%8A%E8%A8%88%E5%8A%83) The announcement details the status of the share option scheme, with **22,240,000** share options available for grant as of May 31, 2024, representing approximately **7.41%** of total issued shares on the report publication date Key Data of Share Option Scheme | Item | Quantity (shares)/Ratio (%) | | :--- | :--- | | Total Share Options Available for Grant at Beginning and End of Fiscal Year | 22,240,000 | | Percentage of Issued Shares on Scheme Adoption Date (Nov 13, 2020) | 10% | | Percentage of Issued Shares on Annual Report Publication Date (Sep 24, 2024) | Approx 7.41% | | Total Issued Shares on Annual Report Publication Date | 300,000,000 |

（股份代號：2488） 2025年中期業績公告 摘要： 營業收入：人民幣982,000,000元，增長10% 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文件的內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示，概不對因本文件全部或任何部分內容而產生或因倚賴該等內 容而引致的任何損失承擔任何責任。 深圳市元征科技股份有限公司 LAUNCH TECH COMPANY LIMITED* （於中華人民共和國註冊成立之股份有限公司） 深圳市元征科技股份有限公司（「本公司」）董事會（「董事會」）謹此公佈本公司及其附屬公司（本集團）截 至2025年6月30日止6個月（「報告期」）按照中國企業會計準則編製之未經審核綜合業績如下： 1 一、 財務資料 淨利潤：人民幣196,000,000元，增長28% 每股盈利：人民幣0.469元 派發中期股息：每股人民幣0.31元 （除特別註明外，金額單位為人民幣千元） 合併資產負債表 | | | 2025年 | 2024年 | | --- | --- | --- | --- | | | 附註 | 6月30日 | 12月31日 | | | | | （經審核） | | 流 ...

[Company Information](index=5&type=section&id=Section%20I.%20Company%20Information) This section provides essential corporate details, including registration, stock listings, disclosure channels, and key personnel [Company Profile](index=5&type=section&id=I.%20Company%20Profile) This section provides basic registration information for Contemporary Amperex Technology Co., Limited (CATL), including its full Chinese and English names, legal representative, registered address, and official contact details | Item | Details | | :--- | :--- | | **Chinese Name** | 寧德時代新能源科技股份有限公司 | | **English Name** | Contemporary Amperex Technology Co., Limited (CATL) | | **Legal Representative** | Zeng Yuqun | | **Registered Address** | No. 2 Xingang Road, Zhangwan Town, Jiaocheng District, Ningde City, Fujian Province, China | | **Website** | https://www.catl.com | [Stock Overview](index=5&type=section&id=II.%20Stock%20Overview) This section lists the company's stock listing information on the Shenzhen Stock Exchange (A-shares) and the Hong Kong Stock Exchange (H-shares) | Stock Type | Listing Exchange | Stock Abbreviation | Stock Code | | :--- | :--- | :--- | :--- | | A-share | Shenzhen Stock Exchange | CATL | 300750 | | H-share | The Stock Exchange of Hong Kong Limited | CATL | 03750 | [Information Disclosure and Availability](index=5&type=section&id=III.%20Information%20Disclosure%20and%20Availability) This section outlines the official disclosure channels for the company's A-share and H-share related information, including designated websites and newspapers - The company's information disclosure is primarily conducted through Juchao Information Network, SZSE official website, HKEXnews website, and four major securities newspapers[11](index=11&type=chunk) [Contacts and Contact Information](index=5&type=section&id=IV.%20Contacts%20and%20Contact%20Information) This section provides contact information for the company's Board Secretary and Securities Affairs Representative | Position | Name | Phone | Email | | :--- | :--- | :--- | :--- | | Board Secretary | Jiang Li | 0593-8901666 | CATL-IR@catl.com | | Securities Affairs Representative | Chen Jin | 0593-8901666 | CATL-IR@catl.com | [Other Relevant Information](index=6&type=section&id=V.%20Other%20Relevant%20Information) This section details key partners such as the company's Board of Directors, Supervisors, members of various professional committees, legal advisors, and share registrars - The company has four committees: Strategy, Audit, Nomination, and Remuneration & Appraisal. Dr. Wu Yuhui, an independent non-executive director, chairs the Audit Committee, and Dr. Zhao Bei, an independent non-executive director, chairs the Remuneration & Appraisal Committee[14](index=14&type=chunk) [Financial Highlights](index=7&type=section&id=Section%20II.%20Financial%20Highlights) This section presents key financial data and indicators, highlighting the company's performance and financial position during the reporting period [Key Accounting Data and Financial Indicators](index=7&type=section&id=I.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) During the reporting period, the company achieved steady growth with revenue increasing by 7.27% year-on-year, and profit attributable to owners of the company significantly growing by 33.02% year-on-year. Operating cash flow was robust, increasing by 31.26% year-on-year, with both total assets and shareholders' equity showing growth | Indicator | Current Reporting Period | Prior Year Period | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Revenue (RMB thousand) | 178,886,253 | 166,766,834 | 7.27% | | Profit Attributable to Owners of the Company (RMB thousand) | 30,512,219 | 22,937,461 | 33.02% | | Net Cash from Operating Activities (RMB thousand) | 58,687,066 | 44,708,955 | 31.26% | | Basic Earnings Per Share (RMB/share) | 6.92 | 5.21 | 32.82% | | **Indicator** | **End of Current Reporting Period** | **End of Prior Year** | **Year-on-Year Change** | | Total Assets (RMB thousand) | 867,181,431 | 786,658,123 | 10.24% | | Equity Attributable to Owners of the Company (RMB thousand) | 294,923,020 | 246,930,033 | 19.44% | [Differences in Accounting Standards between Domestic and Overseas](index=7&type=section&id=II.%20Differences%20in%20Accounting%20Data%20under%20Domestic%20and%20Overseas%20Accounting%20Standards) This section discloses the differences in the company's net profit and net assets under International Accounting Standards and Chinese Accounting Standards. The differences primarily arise from the treatment of passive dilution effects on equity in associates, but the overall difference is small and does not significantly impact core financial data | Item | Under Chinese Accounting Standards (RMB thousand) | Under International Accounting Standards (RMB thousand) | | :--- | :--- | :--- | | **Profit Attributable to Owners of the Company for the Current Period** | 30,485,139 | 30,512,219 | | **Equity Attributable to Owners of the Company at Period-End** | 294,923,020 | 294,923,020 | - Accounting standard differences primarily arise from the "passive dilution effect on equity in associates" item, with an impact of **RMB 27.08 million** in the current period[18](index=18&type=chunk) [Management Discussion and Analysis](index=9&type=section&id=Section%20III.%20Management%20Discussion%20and%20Analysis) This section provides an in-depth review of the company's industry, principal operations, core competencies, and financial performance, along with future development strategies and corporate governance [Industry Overview During the Reporting Period](index=9&type=section&id=I.%20Industry%20Overview%20During%20the%20Reporting%20Period) The clear global trend towards clean energy transition is driving continuous high-speed growth in the new energy vehicle and energy storage markets. During the reporting period, global new energy vehicle sales and power battery usage both achieved over 30% year-on-year growth, and energy storage market demand also rapidly expanded, providing vast opportunities for the company's business development. The company maintains a leading position in the global power battery and energy storage battery sectors - From January to May 2025, global new energy vehicle sales increased by **32.4%** year-on-year, and global power battery usage increased by **38.5%** year-on-year[24](index=24&type=chunk) - From January to June 2025, global battery energy storage system installations increased by **54%** year-on-year[25](index=25&type=chunk) - The company's market position is stable: from January to May 2025, its global market share for power battery usage was **38.1%**, an increase of **0.6 percentage points** year-on-year; from January to June 2025, its energy storage battery production ranked **first globally**[28](index=28&type=chunk) [Principal Businesses Engaged by the Company During the Reporting Period](index=10&type=section&id=II.%20Principal%20Businesses%20Engaged%20by%20the%20Company%20During%20the%20Reporting%20Period) The company's core business involves the R&D, production, and sales of power batteries and energy storage batteries, extending to battery materials, recycling, and mineral resources. The company has established a comprehensive product matrix, such as the Qilin, Shenxing, and Tianheng series, to meet diverse application scenarios including passenger vehicles, commercial vehicles, and energy storage. Its operating model is centered on independent R&D, integrating procurement, production, and sales systems - The company's main products include power battery systems, energy storage battery systems, and battery materials and recycling, with applications covering passenger vehicles, commercial vehicles, front-of-meter, and behind-the-meter energy storage in various fields[30](index=30&type=chunk)[31](index=31&type=chunk) - Power battery products cover various chemical systems such as LFP, NCM, sodium-ion, M3P, and condensed matter, meeting different demands for fast charging, long lifespan, and high safety[32](index=32&type=chunk) - Energy storage batteries provide cell-to-system level solutions, such as the Tianheng energy storage system and TENER Stack, applied in utility-scale, commercial and industrial, and data center energy storage[34](index=34&type=chunk) [Core Competitiveness Analysis](index=13&type=section&id=III.%20Core%20Competitiveness%20Analysis) The company's core competitiveness is reflected in four key areas: comprehensive R&D advantages, an advanced product matrix, extensive customer collaboration, and leading sustainable development practices. The company boasts over 21,000 R&D personnel and nearly 50,000 patents, collaborates deeply with global mainstream automakers and energy storage clients, and actively promotes its zero-carbon strategy - **R&D Advantage**: Possesses six R&D centers, over **21,000** R&D personnel, with a total of **49,347** patents and applications[40](index=40&type=chunk) - **Product Matrix**: Launched multiple product series including Qilin, Shenxing, Xiaoyao, Tianxing, and Tianheng, covering full-scenario demands for passenger vehicles, commercial vehicles, and energy storage[42](index=42&type=chunk) - **Client Collaboration**: Established deep cooperation with mainstream automakers such as Volkswagen, BMW, Mercedes-Benz, Toyota, Li Auto, and NIO, as well as leading energy storage clients like NextEra and State Power Investment Corporation[43](index=43&type=chunk) - **Sustainable Development**: CDP rating improved to B, zero-carbon factories increased to **10**, and drove a **11%** reduction in supply chain raw material carbon footprint[44](index=44&type=chunk) [Analysis of Principal Business](index=15&type=section&id=IV.%20Analysis%20of%20Principal%20Business) During the reporting period, the company successfully listed on the Hong Kong Stock Exchange, raising HKD 41 billion. Operationally, it continued to launch innovative products such as the second-generation Shenxing battery and Xiaoyao dual-core battery, becoming the first enterprise with all mass-produced products passing new national standard tests. Concurrently, it accelerated the construction of its battery swap ecosystem and advanced zero-carbon technology solutions and global production capacity expansion - Listed on the Main Board of the Hong Kong Stock Exchange in May 2025, raising a total of **HKD 41 billion** for the construction of the Hungary project and working capital[45](index=45&type=chunk) - Released multiple innovative products, including the world's first LFP battery with an **800 km** range and **12C** ultra-fast charging (second-generation Shenxing), and the **9MWh** ultra-large capacity energy storage system TENER Stack[46](index=46&type=chunk)[47](index=47&type=chunk) - Deepened cooperation in the battery swap ecosystem, reaching a strategic partnership with NIO for passenger vehicle battery swap network sharing, and comprehensively deepening cooperation with Sinopec to promote Chocolate and Qiji battery swap solutions[48](index=48&type=chunk) - Steadily advanced global production capacity construction, including domestic bases in Zhongzhou and Jining, and overseas facilities such as the Hungary factory and a joint venture factory in Spain[51](index=51&type=chunk) [Financial Review](index=16&type=section&id=V.%20Financial%20Review) During the reporting period, the company's total revenue increased by 7.27% year-on-year to RMB 178.89 billion, primarily driven by the power battery business. Gross profit margin improved to 25.02%, enhancing profitability. The asset-liability ratio decreased to 62.59% due to H-share listing proceeds, optimizing the financial structure and ensuring ample cash flow [Revenue Analysis](index=16&type=section&id=1.%20Revenue%20Analysis) Total revenue increased by 7.27% year-on-year, reaching RMB 178.89 billion. Power battery systems were the primary growth driver, increasing by 16.80% year-on-year. Overseas revenue showed strong growth, increasing by 21.14% year-on-year and raising its proportion to 34.22%. Energy storage battery system revenue slightly declined, while battery materials and recycling business revenue significantly decreased | Item (Amount Unit: RMB thousand) | Current Reporting Period | Proportion | Prior Year Period | Proportion | Year-on-Year Change | | :--- | :--- | :--- | :--- | :--- | :--- | | **Total Revenue** | **178,886,253** | **100%** | **166,766,834** | **100%** | **7.27%** | | **By Product** | | | | | | | Power Battery Systems | 131,572,512 | 73.55% | 112,648,721 | 67.55% | 16.80% | | Energy Storage Battery Systems | 28,400,044 | 15.88% | 28,824,715 | 17.28% | -1.47% | | Battery Materials and Recycling | 7,887,379 | 4.41% | 14,333,007 | 8.59% | -44.97% | | **By Region** | | | | | | | Domestic | 117,677,899 | 65.78% | 116,237,917 | 69.70% | 1.24% | | Overseas | 61,208,354 | 34.22% | 50,528,917 | 30.30% | 21.14% | [Gross Profit and Gross Profit Margin](index=17&type=section&id=2.%20Gross%20Profit%20and%20Gross%20Profit%20Margin) The consolidated gross profit margin increased by 1.57 percentage points from 23.45% in the prior year to 25.02%. Overseas business gross profit margin reached 29.02%, significantly higher than the domestic business's 22.94%. Both energy storage battery and battery materials and recycling businesses saw significant improvements in gross profit margins | Item | Gross Profit Margin for Current Reporting Period | Gross Profit Margin for Prior Year Period | | :--- | :--- | :--- | | **Total** | **25.02%** | **23.45%** | | **By Product** | | | | Power Battery Systems | 22.41% | 23.48% | | Energy Storage Battery Systems | 25.52% | 24.41% | | Battery Materials and Recycling | 26.42% | 8.21% | | **By Region** | | | | Domestic | 22.94% | 22.84% | | Overseas | 29.02% | 24.86% | [Liquidity, Financial Resources, and Capital Structure](index=17&type=section&id=3.%20Liquidity,%20Financial%20Resources,%20and%20Capital%20Structure) As of the end of the reporting period, the company's asset-liability ratio decreased from 65.24% at the beginning of the year to 62.59%, primarily due to the increase in net assets from H-share issuance proceeds. Cash and cash equivalents were abundant, reaching RMB 323.79 billion, providing sufficient liquidity to support daily operations and capital expenditures | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Assets (RMB thousand) | 867,181,431 | 786,658,123 | | Total Liabilities (RMB thousand) | 542,792,019 | 513,201,949 | | Asset-Liability Ratio | 62.59% | 65.24% | - As of June 30, 2025, cash and cash equivalents amounted to **RMB 323.785 billion**, a significant increase from **RMB 270.160 billion** at the beginning of the year[61](index=61&type=chunk) [Outlook for the Company's Future Development](index=19&type=section&id=VI.%20Outlook%20for%20the%20Company%27s%20Future%20Development) The company will continue to advance its development around 'Three Strategic Directions' and 'Four Innovation Systems'. Strategically, it will focus on replacing fossil fuels in stationary and mobile applications, and promote integrated innovation in electrification and intelligence. Operationally, it will consolidate its industry-leading position through four innovation systems: materials, system structure, extreme manufacturing, and business models, while upholding an open innovation spirit - **Three Strategic Directions**: - **Stationary Energy Replacement**: Replacing thermal power with "electrochemical energy storage + renewable energy generation" - **Mobile Energy Replacement**: Replacing petroleum with "power batteries + new energy vehicles" - **Integrated Innovation**: Driving application innovation and zero-carbon transition across various industries through "electrification + intelligence"[72](index=72&type=chunk) - **Four Innovation Systems**: - **Material and Material System Innovation**: Efficiently screening new materials using computational platforms - **System Structure Innovation**: Iterating CTP and CTC technologies to enhance integration - **Green Extreme Manufacturing Innovation**: Building TWh-level delivery capability with DPPB-grade quality - **Business Model Innovation**: Expanding into new scenarios such as battery swap, construction machinery, ships, aircraft, and zero-carbon solutions[74](index=74&type=chunk)[75](index=75&type=chunk) [Corporate Governance](index=21&type=section&id=VII.%20Corporate%20Governance) During the reporting period, the company complied with most provisions of the Corporate Governance Code under the Hong Kong Listing Rules. The sole deviation was the dual role of Chairman and General Manager held by Mr. Zeng Yuqun. The Board believes this arrangement provides strong and continuous leadership, with sufficient checks and balances in place, benefiting the company's development - The company deviates from Rule C.2.1 of the Corporate Governance Code, as the roles of Chairman and Chief Executive Officer (General Manager) are not separated and are both held by Mr. Zeng Yuqun[80](index=80&type=chunk) - The Board explains that this arrangement provides strong leadership and facilitates strategic execution, and that the Board's composition and operation (including three independent non-executive directors) provide sufficient checks and balances[81](index=81&type=chunk) [Disclosure of Interests](index=22&type=section&id=VIII.%20Disclosure%20of%20Interests) This section discloses the shareholdings of major shareholders, directors, supervisors, and chief executives as of the end of the reporting period. Mr. Zeng Yuqun indirectly holds approximately 22.47% of the company's shares through controlled corporations, making him the controlling shareholder. Mr. Huang Shilin is the second largest shareholder, holding approximately 10.30% of the shares | Shareholder/Director | Nature of Interest | Number of Shares Held (A-shares) | Approximate Interest in Total Share Capital (%) | | :--- | :--- | :--- | :--- | | Zeng Yuqun | Interest in controlled corporations | 1,024,704,949 | 22.47% | | Huang Shilin | Beneficial owner/Interest in controlled corporations | 469,621,309 | 10.30% | | Ningbo United Innovation | Beneficial owner | 284,220,608 | 6.23% | | Li Ping | Beneficial owner | 201,510,277 | 4.42% | [Issuance, Purchase, Sale or Redemption of Securities](index=26&type=section&id=IX.%20Issuance,%20Purchase,%20Sale%20or%20Redemption%20of%20the%20Company%27s%20Listed%20Securities) During the reporting period, the company completed its H-share issuance, raising net proceeds of approximately HKD 40.6 billion, primarily for the construction of the Hungary project. Concurrently, the company continued to utilize funds raised from its 2022 A-share issuance and executed an A-share repurchase plan, cumulatively repurchasing 22.63 million shares. Additionally, some ineligible restricted shares were repurchased and cancelled | H-share Issuance Proceeds Usage | Planned Amount (HKD thousand) | Balance as of Period-End (HKD thousand) | | :--- | :--- | :--- | | Hungary Project Construction | 36,564,393 | 36,564,393 | | Working Capital and General Purposes | 4,062,710 | 4,062,710 | - The company executed a share repurchase plan, repurchasing **6,640,986** A-shares totaling approximately **RMB 1.55 billion** during the reporting period. As of period-end, a cumulative total of **22,632,510** A-shares were repurchased, accounting for **0.51%** of the total A-share capital[101](index=101&type=chunk) [Employee Information and Share Schemes](index=28&type=section&id=X.%20Employee%20Information%20and%20Share%20Schemes) As of the end of the reporting period, the Group had approximately 148,000 employees, with employee compensation costs accounting for about 10.11% of revenue. The company has three phases of share incentive plans (2021, 2022, and 2023) in the form of restricted shares and share options to incentivize middle management and core employees, aligning the interests of shareholders, the company, and employees - As of June 30, 2025, the Group had approximately **147,716** employees, with employee compensation costs for the reporting period amounting to **RMB 18.08 billion**[103](index=103&type=chunk) - The company is implementing three phases of share incentive plans (2021, 2022, 2023) aimed at establishing long-term incentive mechanisms to attract and retain talent[104](index=104&type=chunk)[106](index=106&type=chunk) - As of June 30, 2025, the total number of equity incentives (restricted shares and share options) granted and not yet exercised under the share incentive plans was **15,229,530** shares[122](index=122&type=chunk) [Other Information](index=37&type=section&id=XI.%20Other%20Information) This section primarily outlines the 2025 interim dividend distribution plan. The company's Board of Directors resolved to distribute a cash dividend of RMB 10.07 (tax inclusive) per 10 shares, totaling approximately RMB 4.57 billion. It also details the dividend distribution and tax arrangements for A-share, H-share, and Stock Connect investors. The report also confirms no significant financial assistance, guarantees, or loan defaults - **2025 Interim Dividend Plan**: Proposed cash dividend of **RMB 10.07** (tax inclusive) per 10 shares to all shareholders, totaling approximately **RMB 4.57 billion**, representing **15%** of the net profit attributable to the parent company for the first half of the year[128](index=128&type=chunk) - H-share shareholders' interim dividend will be paid in HKD, calculated at a specified exchange rate as **HKD 11.04** (tax inclusive) per 10 shares[128](index=128&type=chunk) - The Audit Committee has reviewed this interim report and believes it complies with accounting standards and regulatory requirements, with sufficient disclosures made[145](index=145&type=chunk) [Financial Report](index=41&type=section&id=Section%20IV.%20Financial%20Report) This section presents the condensed consolidated financial statements, including the profit or loss, comprehensive income, financial position, changes in equity, and cash flow statements, along with detailed notes [Condensed Consolidated Statement of Profit or Loss](index=41&type=section&id=I.%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss) This statement presents the company's operating results for the reporting period. Revenue was RMB 178.89 billion, and gross profit was RMB 44.76 billion. After deducting various expenses and taxes, profit for the period was RMB 32.39 billion, with net profit attributable to owners of the company being RMB 30.51 billion, a year-on-year increase of 33.02% | Item (RMB thousand) | First Half 2025 | First Half 2024 | | :--- | :--- | :--- | | Revenue | 178,886,253 | 166,766,834 | | Gross Profit | 44,762,650 | 39,109,590 | | Profit for the Period | 32,392,527 | 24,951,329 | | Profit Attributable to Owners of the Company | 30,512,219 | 22,937,461 | [Condensed Consolidated Statement of Comprehensive Income](index=42&type=section&id=II.%20Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) This statement builds upon the profit for the period by incorporating other comprehensive income items (such as fair value changes of financial assets, cash flow hedges, etc.) to derive the total comprehensive income for the period. Total comprehensive income for the reporting period was RMB 33.77 billion, with the portion attributable to owners of the company being RMB 31.83 billion | Item (RMB thousand) | First Half 2025 | First Half 2024 | | :--- | :--- | :--- | | Profit for the Period | 32,392,527 | 24,951,329 | | Other Comprehensive Income/(Loss) for the Period | 1,376,911 | (1,936,799) | | Total Comprehensive Income for the Period | 33,769,438 | 23,014,530 | [Condensed Consolidated Statement of Financial Position](index=43&type=section&id=III.%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) This statement reflects the company's financial position at the end of the reporting period. Total assets increased to RMB 867.18 billion, and total liabilities were RMB 542.79 billion. Benefiting from profit growth and H-share issuance, equity attributable to owners of the company increased to RMB 294.92 billion, with net assets of RMB 324.39 billion, indicating a robust financial position | Item (RMB thousand) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **867,181,431** | **786,658,123** | | Non-current Assets | 299,481,094 | 276,516,035 | | Current Assets | 567,700,337 | 510,142,089 | | **Total Liabilities** | **542,792,019** | **513,201,949** | | Current Liabilities | 336,005,110 | 317,171,534 | | Non-current Liabilities | 206,786,909 | 196,030,416 | | **Total Equity** | **324,389,412** | **273,456,174** | | Equity Attributable to Owners of the Company | 294,923,020 | 246,930,033 | [Condensed Consolidated Statement of Changes in Equity](index=45&type=section&id=IV.%20Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) This statement details the changes in shareholders' equity from the beginning to the end of the period. Equity attributable to owners of the company at the beginning of the period was RMB 246.93 billion. Key increases were profit for the period of RMB 30.51 billion and H-share issuance proceeds of RMB 37.36 billion, while the main decrease was dividends declared of RMB 19.97 billion, resulting in an ending equity of RMB 294.92 billion - Key drivers of changes in shareholders' equity include: - **Increases**: Total comprehensive income for the period (**RMB 31.83 billion**), H-share issuance (**RMB 37.36 billion**) - **Decreases**: Dividends declared (**RMB 19.97 billion**)[153](index=153&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=47&type=section&id=V.%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) This statement summarizes cash inflows and outflows during the reporting period. Operating activities generated a strong net cash inflow of RMB 58.69 billion. Investing activities resulted in a net cash outflow of RMB 26.27 billion, primarily for capacity expansion. Financing activities generated a net cash inflow of RMB 20.61 billion, mainly from H-share issuance. Cash and cash equivalents at period-end increased to RMB 323.79 billion | Item (RMB thousand) | First Half 2025 | | :--- | :--- | | Net Cash from Operating Activities | 58,687,066 | | Net Cash Used in Investing Activities | (26,269,519) | | Net Cash from Financing Activities | 20,607,571 | | **Net Increase in Cash and Cash Equivalents** | **53,025,118** | | **Cash and Cash Equivalents at Period-End** | **323,785,232** | [Notes to the Financial Statements](index=49&type=section&id=VI.%20Notes%20to%20the%20Financial%20Statements) This section provides detailed explanations and supplementary information for the condensed consolidated financial statements, covering the company's general information, accounting policies, segment information, details of major statement items, related party transactions, contingent liabilities, and subsequent events [Note 4: Revenue and Segment Information](index=51&type=section&id=4.%20Revenue%20and%20Segment%20Information) This note details the revenue breakdown by product and geographical segment. Power battery systems are the primary source of revenue, accounting for 73.55%. Geographically, Mainland China contributed approximately 65.8% of revenue, with the remainder from overseas | Revenue Source (First Half 2025) | Amount (RMB thousand) | | :--- | :--- | | **By Product** | | | Power Battery Systems | 131,572,512 | | Energy Storage Battery Systems | 28,400,044 | | **By Region** | | | Mainland China | 117,677,899 | | Other Countries/Regions | 61,208,354 | [Note 8: Dividends](index=56&type=section&id=8.%20Dividends) This note explains the approval of the 2025 interim dividend. Authorized by the shareholders' meeting and approved by the Board of Directors, the company resolved to distribute an interim dividend of RMB 10.07 (tax inclusive) per 10 shares - The 2025 interim dividend is a cash dividend of **RMB 10.07** (tax inclusive) per 10 shares, which was not recognized as a liability at the end of the reporting period[187](index=187&type=chunk) [Note 13: Trade and Bills Receivables](index=61&type=section&id=13.%20Trade%20and%20Bills%20Receivables) As of the end of the reporting period, the company's net trade and bills receivables amounted to RMB 64.12 billion. An aging analysis indicates that the vast majority of receivables (approximately 92%) are within 90 days, suggesting a low collection risk | Trade Receivables Aging Analysis | Amount (RMB thousand) | | :--- | :--- | | 0 to 90 days | 58,778,887 | | 91 to 365 days | 4,278,694 | | Over 365 days | 742,794 | | **Total Net Amount** | **63,800,375** | [Note 18: Contingent Liabilities](index=64&type=section&id=18.%20Contingent%20Liabilities) This note discloses the company's contingent liabilities, primarily external guarantees provided. As of the end of the reporting period, the actual outstanding guarantees provided by the company and its subsidiaries to external parties amounted to RMB 4.64 billion, while guarantees provided by the company for its subsidiaries amounted to RMB 55.33 billion - As of June 30, 2025, the outstanding guarantees provided by the company to external parties amounted to **RMB 4.637 billion**, and guarantees provided for subsidiaries amounted to **RMB 55.332 billion**[206](index=206&type=chunk) [Note 19: Related Party Transactions](index=65&type=section&id=19.%20Related%20Party%20Transactions) This note lists transactions with associates, joint ventures, and other related parties. During the reporting period, sales to related parties amounted to RMB 3.90 billion, and purchases from related parties amounted to RMB 14.28 billion. At period-end, total receivables from related parties were RMB 14.54 billion, and total payables to related parties were RMB 6.32 billion | Related Party Transactions (First Half 2025) | Amount (RMB thousand) | | :--- | :--- | | Sales Transactions | 3,900,259 | | Purchase Transactions | 14,275,706 | [Note 21: Events After the Reporting Period](index=73&type=section&id=21.%20Events%20After%20the%20Reporting%20Period) This note discloses significant events occurring after the balance sheet date. The most important event is the formal approval of the 2025 interim dividend plan by the company's Fourth Board of Directors at its Seventh Meeting on July 30, 2025 - The company's Board of Directors approved the interim dividend plan on July 30, 2025, proposing a cash dividend of **RMB 10.07** (tax inclusive) per 10 shares[231](index=231&type=chunk)[232](index=232&type=chunk)

[Financial Summary and Chairman's Statement](index=1&type=section&id=Financial%20Summary%20and%20Chairman's%20Statement) [Financial Summary](index=1&type=section&id=Financial%20Summary) CLP Group's H1 2025 total earnings fell 5.5% to HK$5.624 billion, with operating earnings declining 8.0% due to weaker performance in Australia and Mainland China Key Financial Indicators for H1 2025 | Metric | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Total Earnings | HK$5,624 million | HK$5,951 million | -5.5% | | Operating Earnings before Fair Value Changes | HK$5,227 million | HK$5,683 million | -8.0% | | Consolidated Revenue | HK$42,854 million | HK$44,086 million | -2.8% | | Second Interim Dividend | HK$0.63 per share | HK$0.63 per share | 0.0% | - The **decline in operating earnings** was primarily attributed to the underperformance of EnergyAustralia's customer business amid retail market competition and reduced contributions from assets in Mainland China, partially offset by strong performance in Hong Kong[5](index=5&type=chunk)[12](index=12&type=chunk) - **Total earnings included favorable one-off items**, mainly a transaction gain from introducing a joint venture partner for the Wooreen energy storage system project in Australia[5](index=5&type=chunk)[12](index=12&type=chunk) [Chairman's Statement](index=1&type=section&id=Chairman's%20Statement) The Chairman's Statement highlights the Group's business resilience amid a volatile market, its commitment to Hong Kong's development, and progress in energy transition and digital transformation - The Group is committed to providing a stable energy supply for Hong Kong and supporting its long-term development, including the Northern Metropolis and the National Games[4](index=4&type=chunk)[7](index=7&type=chunk) - The energy transition is progressing in key markets, including strategic partnerships for energy storage in Australia and the construction of zero-carbon assets in India[8](index=8&type=chunk) - The Group is actively investing in technology and digital transformation, having completed the first phase of its ERP-driven transformation and leveraging AI and drones to enhance operational efficiency[6](index=6&type=chunk)[9](index=9&type=chunk) - Talent development is emphasized through collaborations such as establishing a "student practice base" with Tsinghua University, deepening a long-term partnership started in 2009[9](index=9&type=chunk) [Financial and Segment Performance](index=4&type=section&id=Financial%20and%20Segment%20Performance) In H1 2025, the Group's operating earnings before fair value changes decreased by 8.0% to HK$5.227 billion, with growth in Hong Kong offset by declines across all other regions Operating Earnings by Business Segment (before Fair Value Changes) | Business Segment | H1 2025 (HK$ million) | H1 2024 (HK$ million) | Change (%) | | :--- | :--- | :--- | :--- | | Hong Kong Energy | 4,469 | 4,165 | 7.3 | | Mainland China | 870 | 988 | (11.9) | | Australia | 167 | 611 | (72.7) | | India | 79 | 203 | (61.1) | | Taiwan Region & Thailand | 19 | 79 | (75.9) | | **Total** | **5,227** | **5,683** | **(8.0)** | - **Hong Kong's earnings growth** was driven by an increased average net value of Scheme of Control fixed assets resulting from capital investments in power infrastructure[13](index=13&type=chunk) - **Mainland China's earnings decreased** due to lower average tariffs at the Yangjiang nuclear power station and reduced profits from renewable assets affected by weaker wind resources[14](index=14&type=chunk) - **Australia's earnings fell sharply** primarily because of margin pressure on the customer business from intense retail market competition[14](index=14&type=chunk) - **India's earnings declined** mainly due to a non-cash impairment charge recognized for a transmission project[14](index=14&type=chunk) - Total earnings included HK$432 million in "items affecting comparability," primarily a **HK$395 million net gain** from EnergyAustralia's introduction of a joint venture partner for its energy storage system[13](index=13&type=chunk)[14](index=14&type=chunk) [Regional Business Performance and Outlook](index=6&type=section&id=Regional%20Business%20Performance%20and%20Outlook) [Hong Kong](index=6&type=section&id=Hong%20Kong) Hong Kong operations delivered strong performance with a 6.5% increase in operating earnings to HK$4.568 billion, driven by capital investment in electricity infrastructure Hong Kong Electricity Sales in H1 2025 (by Customer Category) | Customer Category | Electricity Sales (million kWh) | Change (%) | % of Total Sales | | :--- | :--- | :--- | :--- | | Residential | 4,222 | (3.5%) | 26% | | Commercial | 6,560 | (0.8%) | 40% | | Infrastructure & Public Services | 4,940 | (1.1%) | 30% | | Manufacturing | 731 | (4.2%) | 4% | | **Total** | **16,453** | **(1.7%)** | **100%** | - Strategic investments support Hong Kong's development, including a new 132kV substation for data centres and collaboration with the government on the Northern Metropolis[17](index=17&type=chunk) - A milestone in transport decarbonisation was achieved with the completion of Hong Kong's **first ship-to-ship LNG bunkering** and simultaneous cargo operations in partnership with CNOOC[6](index=6&type=chunk)[20](index=20&type=chunk) - The company continues to promote EV adoption by launching a "Residential EV Time-of-Use Tariff" and planning to expand its charging network to over 250 charging bays[19](index=19&type=chunk) - Digitalisation advanced with **2.79 million smart meters connected**, achieving 95% coverage, and the use of "Beyond Visual Line of Sight" drones for inspections under a government "regulatory sandbox" project[21](index=21&type=chunk) [Mainland China](index=8&type=section&id=Mainland%20China) Operating earnings in Mainland China decreased by 11.9% to HK$870 million, impacted by lower nuclear tariffs and weaker performance from renewable assets - **Operating earnings fell 11.9% to HK$870 million**, mainly due to lower average tariffs at Yangjiang Nuclear Power Station and market impacts on renewable asset performance[25](index=25&type=chunk) - The renewable energy portfolio continued to expand, with **336 MW of new wind and solar capacity** added in H1 and 981 MW of projects under construction[26](index=26&type=chunk) - As of the end of June, the cumulative amount of **outstanding national renewable energy subsidies reached HK$3.108 billion**, an increase from six months prior[27](index=27&type=chunk) - The company expanded its low-carbon energy solutions by signing a new green electricity certificate contract with a global cloud computing giant, extending coverage to "Scope 3 emissions"[28](index=28&type=chunk) [Australia](index=10&type=section&id=Australia) EnergyAustralia's operating earnings fell sharply by 72.7% to HK$167 million, primarily due to intense competition in the retail energy market which compressed margins - **Operating earnings before fair value changes decreased 72.7%** year-on-year to HK$167 million, mainly due to heightened retail competition[30](index=30&type=chunk) - Intense retail market competition led to customer attrition, with **customer accounts decreasing by approximately 88,000** (about 4%) year-on-year as of the end of June[31](index=31&type=chunk) - The company is actively investing in energy transition projects, developing the **350 MW Wooreen energy storage system** with Banpu Energy Australia and exploring the 385 MW Lake Lyell pumped hydro project with EDF Australia[33](index=33&type=chunk) [India](index=12&type=section&id=India) Operating earnings from the Indian joint venture Apraava Energy decreased by 61.1% to HK$79 million, mainly due to a non-cash impairment on a transmission project - **Operating earnings fell 61.1% to HK$79 million**, primarily due to a non-cash impairment charge recognized on a transmission project after reassessing its debt and discount rates[36](index=36&type=chunk) - The zero-carbon portfolio continues to grow, with the **251 MW Sidhpur wind farm fully commissioned** and two large solar projects (550 MW total) and multiple transmission projects progressing well[36](index=36&type=chunk)[37](index=37&type=chunk) - The smart metering business is advancing, with six contracts for **6.8 million smart meters** being executed, over 1.7 million installed, and a seventh project signed in July[37](index=37&type=chunk)[39](index=39&type=chunk) [Taiwan Region & Thailand](index=13&type=section&id=Taiwan%20Region%20%26%20Thailand) Operating earnings in the Taiwan region and Thailand decreased by 75.9% to HK$19 million in H1 2025, mainly due to lower recoverable fuel costs at the Ho-Ping power station - **Operating earnings declined 75.9% to HK$19 million**, primarily due to a reduction in recoverable fuel costs at the Ho-Ping power station[41](index=41&type=chunk) - One unit at the Ho-Ping power station in Taiwan experienced an unplanned outage in late May due to equipment failure but resumed normal operations in June[40](index=40&type=chunk) [Group Operations Management](index=13&type=section&id=Group%20Operations%20Management) [Human Resources](index=13&type=section&id=Human%20Resources) The Group's total number of employees increased to 8,442 as of June 30, 2025, while total remuneration remained stable, and the company received multiple awards for its HR practices Employee Numbers and Remuneration | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Total Employees (as of June 30) | 8,442 | 8,159 | | Total Employee Remuneration | HK$3,568 million | HK$3,574 million | - The employee-led "Give Me Five" recognition programme was launched to celebrate achievements and strengthen team spirit[44](index=44&type=chunk) - The Group received a Silver Award in the Hong Kong Healthy Employers election and was named "Employer of the Year" at the "HR Excellence Awards 2024/25"[45](index=45&type=chunk) [Health, Safety, and Environment (HSE)](index=14&type=section&id=Health%2C%20Safety%2C%20and%20Environment%20(HSE)) The Group released its updated 2025-2027 HSE strategy, focusing on capability, resilience, synergy, technology, and operational excellence, with improved safety performance overall - The updated **2025-2027 HSE strategy** was launched, focusing on enhancing capability, risk management, collaboration, technology application, and operational excellence[46](index=46&type=chunk)[48](index=48&type=chunk) Safety Performance Rates (per 200,000 hours worked) | Rate | H1 2025 (Employees) | H1 2024 (Employees) | H1 2025 (Employees & Contractors) | H1 2024 (Employees & Contractors) | | :--- | :--- | :--- | :--- | :--- | | Lost Time Injury Rate | 0.05 | 0.15 | 0.03 | 0.11 | | Total Recordable Injury Rate | 0.24 | 0.26 | 0.15 | 0.21 | - A **fatal incident involving a subcontractor** occurred at the Sidhpur wind farm of the Indian joint venture Apraava Energy, and a full investigation has been initiated[51](index=51&type=chunk) - Environmental measures were actively implemented, such as using battery storage systems to reduce diesel generator use in Hong Kong, with **no environmental non-compliance incidents** resulting in fines or prosecutions in H1[52](index=52&type=chunk) [Digitalisation](index=16&type=section&id=Digitalisation) In H1 2025, the Group accelerated the adoption of AI and innovative technologies to enhance operational efficiency, including real-time grid monitoring and drone inspections - The **AI-powered Grid-V system** is used for real-time grid monitoring and successfully managed a potential power supply threat from a wildfire remotely[54](index=54&type=chunk) - The Group is participating in the Hong Kong government's "regulatory sandbox" to test **"Beyond Visual Line of Sight" drone technology** for more efficient and safer inspections of overhead lines[54](index=54&type=chunk) - A series of **AI chatbots and data analytics solutions** have been introduced in customer service, knowledge management, and IT support to enhance intelligent operations[55](index=55&type=chunk) [eMobility](index=17&type=section&id=eMobility) CLP is actively expanding its charging infrastructure and services to meet the rapid growth of the EV market, supporting government schemes and developing a comprehensive management platform - Through the government's "EV-charging at Home Subsidy Scheme," the company has assisted in installing charging infrastructure for **over 20,000 parking spaces**[56](index=56&type=chunk) - An EV charging network management platform has been developed, covering **over 5,000 charging points**, which accounts for about 40% of all public charging points in Hong Kong[56](index=56&type=chunk) - The company is exploring charging services for heavy-duty electric trucks and commercial vehicles through industry alliances and partnerships[57](index=57&type=chunk) - Over **80% of the company's own light vehicle fleet** has been converted to electric, and four pure electric double-decker buses have been procured[60](index=60&type=chunk) [Financial Information](index=19&type=section&id=Financial%20Information) [Condensed Consolidated Interim Financial Statements](index=19&type=section&id=Condensed%20Consolidated%20Interim%20Financial%20Statements) This section provides the Group's unaudited condensed consolidated financial statements for the six months ended June 30, 2025, reflecting its operational results and financial position Condensed Consolidated Income Statement | Item | H1 2025 (HK$ million) | H1 2024 (HK$ million) | | :--- | :--- | :--- | | Revenue | 42,854 | 44,086 | | Operating profit | 7,137 | 7,355 | | Profit before income tax | 7,346 | 7,796 | | Profit for the period | 6,136 | 6,430 | | Profit attributable to shareholders | 5,624 | 5,951 | Condensed Consolidated Statement of Financial Position | Item | 30 June 2025 (HK$ million) | 31 December 2024 (HK$ million) | | :--- | :--- | :--- | | Total assets | 240,482 | 233,713 | | Total liabilities | 124,835 | 123,595 | | Shareholders' funds | 105,790 | 104,055 | [Notes to the Financial Statements](index=23&type=section&id=Notes%20to%20the%20Financial%20Statements) The notes detail the basis of preparation, accounting policies, and composition of key items, including revenue breakdown, segment performance, dividends, and capital commitments - The Group's revenue is primarily derived from the sale of electricity and natural gas, with **electricity sales in Hong Kong** remaining the largest source of income[69](index=69&type=chunk) - Segment information shows that the **Hong Kong region contributed the vast majority of revenue and profit**, with Australia being the second-largest revenue source[72](index=72&type=chunk)[73](index=73&type=chunk) - The Board of Directors declared a **second interim dividend of HK$0.63 per share**, consistent with the same period in 2024[77](index=77&type=chunk) - As of June 30, 2025, the Group had capital expenditure commitments for fixed and intangible assets contracted but not yet incurred amounting to **HK$12.65 billion**[85](index=85&type=chunk) [Treasury Operations](index=34&type=section&id=Treasury%20Operations) The Group maintained a strong financial foundation and robust liquidity in H1 2025, successfully conducting several financing activities supported by its strong credit ratings - The Group maintains strong investment-grade credit ratings, including an **A (Stable Outlook) rating** for CLP Holdings from S&P[87](index=87&type=chunk) - Liquidity remains robust, with **HK$26.6 billion in undrawn committed bank facilities** and HK$3.0 billion in bank balances as of June 30[88](index=88&type=chunk) - Major financing activities in H1 included a **US$500 million perpetual capital security issuance** by CLP Power and energy transition loans totaling HK$5.8 billion for Castle Peak Power[88](index=88&type=chunk)[89](index=89&type=chunk) - As of June 30, the Group's **net debt to total capital ratio was 35.0%** (excluding perpetual capital securities), a slight increase from 33.0% at the end of 2024[92](index=92&type=chunk) [Corporate Governance and Other Information](index=36&type=section&id=Corporate%20Governance%20and%20Other%20Information) [Corporate Governance Practices](index=36&type=section&id=Corporate%20Governance%20Practices) The company adheres to its own Corporate Governance Code, which exceeds HKEX requirements, and has fully complied with all code provisions throughout the period - The **2025 Annual General Meeting was held in a hybrid format**, with nearly 800 shareholders participating[96](index=96&type=chunk) - The **Diversity and Inclusion Policy was updated** to steadily increase the representation of women in management and STEM roles[96](index=96&type=chunk) - For the six months ended June 30, 2025, the company has **complied with all code provisions** of the Corporate Governance Code[97](index=97&type=chunk) [Risk Management and Internal Control](index=37&type=section&id=Risk%20Management%20and%20Internal%20Control) The Board, through the Audit & Risk Committee, ensures the Group maintains an effective risk management and internal control system, with no material impact from identified weaknesses - The Audit & Risk Committee continuously monitors the Group's risk management and internal control frameworks[99](index=99&type=chunk) - During the period, the internal audit department submitted nine reports, and none of the identified issues had a material impact on the financial statements[99](index=99&type=chunk) [Dividend and Share Information](index=38&type=section&id=Dividend%20and%20Share%20Information) The Board declared a second interim dividend for 2025 of HK$0.63 per share, unchanged from the prior year, payable on September 15, 2025 Second Interim Dividend Details | Item | Details | | :--- | :--- | | Dividend per share | HK$0.63 | | Record date | 4 September 2025 | | Payment date | 15 September 2025 | - For the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed shares[101](index=101&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全部或任何部分內容而產生或因依賴該等內容而引致的任何損失承擔任何責 任。 DREAMEAST GROUP LIMITED ⣊㜙㕡普⛀㚱旸℔⎠ （於百慕達註冊成立的有限公司， 並以「夢東方文化娛樂」名稱於香港經營業務） （強制清盤中） （股份代號：593） 截 至2024年12月31日止年度之全年業績公告 全年業績 夢 東 方 集 團 有 限 公 司（「本公司」）本 公 司 共 同 及 各 別 清 盤 人（「清盤人」）謹 此 宣 佈 本 公 司 及 其 附 屬 公 司（統 稱「本集團」）截 至2024年12月31日 止 年 度（「本年度」）之 全 年 合 併 業 績（「業 績」），連 同 截 至2023年12月31日 止 年 度 之 相 應 對 比 數 字 如 下。 – 1 – 合併綜合收益表 截 至2024年12月31日止年度 – 3 – 合併財務狀況表 於2024年12月31日 | | | | | | | | | | ...

[Performance Summary](index=1&type=section&id=Performance%20Summary) [Financial Highlights](index=1&type=section&id=1.1%20Financial%20Highlights) In mid-2024, the Group's total revenue significantly increased to **HKD 82.3 million**, up **875.3%** year-on-year due to increased property sales, while net loss narrowed significantly to **HKD 50.5 million**; however, loss attributable to owners of the Company expanded to **HKD 1,484.1 million**, indicating severe financial distress Financial Highlights | Indicator | For the Six Months Ended June 30, 2024 | For the Six Months Ended June 30, 2023 | Year-on-Year Change | | :--- | :--- | :--- | :--- | | **Total Revenue** | 82.3 million HKD | 8.4 million HKD | +875.3% | | **Net Loss** | 50.5 million HKD | 378.3 million HKD | -86.6% | | **Deficit Attributable to Owners of the Company** | 1,484.1 million HKD (as of 2024/6/30) | - | - | [Dividend Policy](index=1&type=section&id=1.2%20Dividend%20Policy) Given the Company's current financial condition and liquidation proceedings, the Board does not recommend the payment of any interim dividend - The Board does not recommend the payment of any interim dividend[4](index=4&type=chunk) [Company Status and Restructuring Progress](index=2&type=section&id=Company%20Status%20and%20Restructuring%20Progress) [Business Review](index=2&type=section&id=Business%20Review) The Group's core business involves property development projects in mainland China, with its flagship project nearing completion; to address going concern challenges, the Company has implemented asset revitalization, debt reduction, and new business exploration measures, while also pursuing legal action to regain control of subsidiaries lost since November 2023 - The Group's flagship property development project is located in mainland China, near famous landmarks, and is nearing completion[5](index=5&type=chunk) - To stabilize its financial position, the Group has implemented a series of measures, including: - Revitalizing assets through leasing, joint ventures, and divestments - Optimizing debt through creditor negotiations - Exploring new projects such as property development and hotel services[6](index=6&type=chunk)[9](index=9&type=chunk) - The Group has initiated legal action to regain control of certain subsidiaries and a joint venture deemed to have lost control since November 2023[6](index=6&type=chunk) [Company Liquidation and Share Suspension](index=2&type=section&id=Company%20Liquidation%20and%20Appointment%20of%20Liquidators) The Company was ordered to be wound up by the Hong Kong High Court on March 11, 2024, with its shares suspended from trading on the same day, and Messrs. Ma Tak Man and Wong Kwok Keung of Kroll Advisory (Hong Kong) Limited were appointed as joint and several liquidators on August 14, 2024 - The Company was ordered to be wound up by the Hong Kong High Court on March 11, 2024, and Messrs. Ma Tak Man and Wong Kwok Keung were appointed as joint and several liquidators on August 14 of the same year[7](index=7&type=chunk) - The Company's shares have been suspended from trading on the Stock Exchange since March 11, 2024, and remain suspended as of the date of this announcement[8](index=8&type=chunk) [Proposed Restructuring](index=3&type=section&id=Proposed%20Restructuring) The liquidators are advancing a debt restructuring scheme, the 'Scheme of Arrangement,' which was approved by creditors on July 30, 2025; the Company will seek court approval on August 27, 2025, and successful implementation would discharge most liabilities and permanently stay the winding-up proceedings - The liquidators are working to restructure the Company's debt through a series of restructuring transactions, centered on a 'Scheme of Arrangement' entered into with creditors[10](index=10&type=chunk) - The Scheme of Arrangement was approved at the creditors' meeting on July 30, 2025, and is awaiting court approval at a hearing on August 27, 2025[10](index=10&type=chunk) - If the scheme is approved and successfully implemented, most of the Company's liabilities will be compromised and discharged, and an application will be made to permanently stay the winding-up proceedings[11](index=11&type=chunk) [Outlook](index=3&type=section&id=Outlook) [Macro Market Outlook](index=3&type=section&id=3.1%20Macro%20Market%20Outlook) The Company anticipates an improvement in the Chinese real estate market, supported by the government's 'houses are for living, not for speculation' principle and a series of easing policies, such as relaxed purchase restrictions and expanded urban redevelopment, expecting a gradual stabilization and recovery - The Chinese government adheres to the principle that "houses are for living, not for speculation" and emphasizes stabilizing the real estate market[12](index=12&type=chunk)[13](index=13&type=chunk) - The government is expected to relax housing restrictions and expand urban redevelopment to stimulate demand, and the Company believes the Chinese property market will improve[12](index=12&type=chunk) - With the resumption of economic activity and the introduction of support measures like the "Three Arrows" policy, the real estate market is expected to gradually stabilize and recover[13](index=13&type=chunk) [Company's Future Strategy](index=4&type=section&id=3.2%20Company's%20Future%20Strategy) The Group will actively de-stock completed property inventory, explore asset revitalization opportunities such as changing property use or selling entire buildings, and develop new property projects, while also negotiating with financial institutions to improve its debt profile in preparation for restructuring and future expansion - The Company will actively accelerate the de-stocking of completed properties and explore the feasibility of asset revitalization, including changing property use and selling entire buildings[12](index=12&type=chunk) - The Group is actively developing multiple new property projects in major Chinese cities to capitalize on strong economic growth and urbanization trends[14](index=14&type=chunk) - The Group will negotiate with various financial institutions regarding its outstanding borrowings to improve its debt and financial capital structure[14](index=14&type=chunk) [Financial Statements and Notes](index=5&type=section&id=Financial%20Statements%20and%20Notes) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=5&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2024, the Group's revenue was **HKD 82.3 million**, primarily from property sales, representing significant year-on-year growth, with a loss for the period of **HKD 50.5 million**, a notable reduction from **HKD 378.3 million** in the prior year, and basic loss per share of **HKD 0.10** Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income | Item (thousand HKD) | For the Six Months Ended June 30, 2024 | For the Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | **Revenue** | 82,342 | 8,443 | | **Gross Profit** | 37,924 | 5,440 | | **Loss Before Tax** | (42,458) | (378,255) | | **Loss for the Period** | (50,542) | (378,255) | | **Loss for the Period Attributable to Owners of the Company** | (50,536) | (376,657) | | **Basic Loss Per Share** | (0.10) HKD | (1.32) HKD | [Condensed Consolidated Statement of Financial Position](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2024, the Group was in a net liability position with total deficit reaching **HKD 1,484.1 million** and net current liabilities amounting to **HKD 1,921.6 million**, indicating severe liquidity pressure Condensed Consolidated Statement of Financial Position | Item (thousand HKD) | As of June 30, 2024 | As of December 31, 2023 | | :--- | :--- | :--- | | **Non-current Assets** | 450,812 | 461,779 | | **Current Assets** | 376,487 | 344,417 | | **Current Liabilities** | 2,298,127 | 2,227,434 | | **Non-current Liabilities** | 13,255 | 13,593 | | **Net Current Liabilities** | (1,921,640) | (1,883,017) | | **Total Net Liabilities/Deficit** | (1,484,083) | (1,434,831) | [Notes to the Financial Statements](index=9&type=section&id=Notes%20to%20the%20Financial%20Statements) The notes detail the basis of financial statement preparation, highlighting significant going concern uncertainties due to the Company's liquidation and severe liquidity issues, while also disclosing revenue sources, segment information, expenses, taxation, loss per share, and major liability components [Basis of Preparation and Going Concern](index=9&type=section&id=Basis%20of%20Preparation%20and%20Going%20Concern) The financial statements are prepared on a going concern basis, but significant uncertainties exist as the Company was ordered to be wound up in March 2024, and certain subsidiaries ceased to be consolidated (lost control) since November 2023; the Group's current liabilities significantly exceed current assets, with its ability to continue as a going concern dependent on successful debt restructuring, new financing, and accelerated property sales - The Company was subject to a winding-up petition in November 2023 and was ordered to be wound up by the High Court on March 11, 2024[22](index=22&type=chunk) - Due to interference from the former controlling shareholder, certain subsidiaries and a joint venture ceased to be consolidated (i.e., control was lost) since November 2023, and the liquidators have not yet been able to retrieve their accounting books and records[23](index=23&type=chunk) - As of June 30, 2024, the Group's current liabilities exceeded current assets by approximately **HKD 1,921.6 million**, with a capital deficit of approximately **HKD 1,484.1 million**, and cash and cash equivalents of only approximately **HKD 4.7 million**, indicating material uncertainties that may cast significant doubt on its ability to continue as a going concern[26](index=26&type=chunk)[28](index=28&type=chunk) - The Group has implemented several measures to alleviate liquidity pressure, including seeking new financing, accelerating property sales, controlling costs, and undertaking debt restructuring[28](index=28&type=chunk) [Revenue and Segment Information](index=13&type=section&id=Revenue%20and%20Segment%20Information) During the review period, all of the Group's **HKD 82.3 million** revenue was derived from property sales in China, recognized at a point in time; compared to the prior period, rental income and tourism park operations generated no revenue, resulting in only one reportable segment: property development and leasing Revenue by Source | Revenue Source (thousand HKD) | For the Six Months Ended June 30, 2024 | For the Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | Property Sales | 82,342 | 1,015 | | Rental Income | – | 4,528 | | Tourism Park Operations | – | 2,900 | | **Total** | **82,342** | **8,443** | - For the current review period, senior management determined there are no reportable segments other than property development and leasing; in the prior period, there were two segments: property development and leasing, and tourism park operations[38](index=38&type=chunk)[40](index=40&type=chunk) [Key Profit or Loss Items](index=15&type=section&id=Key%20Profit%20or%20Loss%20Items) Finance costs, totaling **HKD 80.6 million**, were a primary contributor to the loss, mainly from bank borrowings and bond interest; net other gains and losses amounted to **HKD 0.268 million** in gain, a significant improvement from the substantial loss in the prior period due to investment property disposals Finance Costs | Finance Costs (thousand HKD) | For the Six Months Ended June 30, 2024 | For the Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | Interest on Bank and Other Borrowings | 41,313 | 196,324 | | Interest on Convertible Bonds and Bonds | 39,291 | 98,285 | | **Total** | **80,604** | **287,664** | - Net other gains and losses amounted to a gain of **HKD 0.268 million**, compared to a loss of **HKD 129 million** in the prior period, primarily due to a substantial loss from the disposal of investment properties in the prior period[42](index=42&type=chunk) - Income tax expense was **HKD 0.808 million**, entirely attributable to PRC Land Appreciation Tax[46](index=46&type=chunk) [Loss Per Share and Dividends](index=17&type=section&id=Loss%20Per%20Share%20and%20Dividends) Basic and diluted loss per share narrowed to **HKD 0.10** from **HKD 1.32** in the prior period; potential conversion of convertible bonds and share options was not considered due to their anti-dilutive effect, and the Board does not recommend an interim dividend Loss Per Share | Item | For the Six Months Ended June 30, 2024 | For the Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | **Loss Attributable to Owners (thousand HKD)** | (50,536) | (376,657) | | **Weighted Average Number of Shares (thousand shares)** | 522,378 | 285,491 | | **Basic and Diluted Loss Per Share** | **(0.10) HKD** | **(1.32) HKD** | - The Directors do not recommend the payment of an interim dividend for the six months ended June 30, 2024, and 2023[47](index=47&type=chunk) [Trade and Other Payables](index=18&type=section&id=Trade%20and%20Other%20Payables) At the end of the reporting period, trade and bills payables amounted to **HKD 75.0 million**, with all balances aged over **365 days**, reflecting the Group's payment pressure Ageing Analysis of Trade and Other Payables | Ageing Analysis (thousand HKD) | As of June 30, 2024 | As of December 31, 2023 | | :--- | :--- | :--- | | 0 to 180 days | – | – | | 181 to 365 days | – | – | | Over 365 days | 75,036 | 76,932 | | **Total** | **75,036** | **76,932** | [Management Discussion and Analysis](index=19&type=section&id=Management%20Discussion%20and%20Analysis) [Liquidity and Financial Resources](index=19&type=section&id=Liquidity%20and%20Financial%20Resources) As of June 30, 2024, the Group reported net liabilities of **HKD 1,484.1 million**, net current liabilities of **HKD 1,921.6 million**, and a current ratio of only **0.16**, indicating extreme financial strain; the report details the defaulted 'CCB International Bonds' and their subsequent handling, as well as the historical conversion of the 'Tianyang Convertible Bonds' Liquidity and Financial Resources | Indicator | As of June 30, 2024 | As of December 31, 2023 | | :--- | :--- | :--- | | **Net Liabilities** | 1,484.1 million HKD | 1,434.8 million HKD | | **Net Current Liabilities** | 1,921.6 million HKD | 1,883.0 million HKD | | **Current Ratio** | Approx. 0.16 times | Approx. 0.21 times | - The history of the 'Tianyang Convertible Bonds' is disclosed, whose maturity date was extended to 2025 and subsequently fully converted into Company shares in early 2024[53](index=53&type=chunk)[56](index=56&type=chunk) - The default of the 'CCB International Bonds' upon maturity in June 2021 is disclosed, which led to the appointment of receivers and the eventual placement of the controlling shareholder's pledged shares and convertible bonds[54](index=54&type=chunk)[55](index=55&type=chunk) [Going Concern and Mitigation Measures](index=20&type=section&id=Going%20Concern%20and%20Mitigation%20Measures) Management reiterated five key measures to address severe liquidity issues and going concern risks, primarily focusing on seeking new financing, accelerating property sales, negotiating with lenders, controlling costs, and advancing the debt restructuring plan - To improve liquidity and financial position, the Company is implementing several measures, including: - Actively negotiating financing solutions with financial institutions - Accelerating pre-sales and sales of properties under development and completed properties - Identifying potential investors and seeking extensions for bank borrowings - Controlling administrative expenses through headcount optimization and salary adjustments - Undertaking debt restructuring via the 'Scheme of Arrangement'[57](index=57&type=chunk)[58](index=58&type=chunk) [Risk Management and Asset Pledges](index=21&type=section&id=Risk%20Management%20and%20Asset%20Pledges) The Group primarily faces currency risk between RMB and HKD but has not undertaken hedging; as of period-end, approximately **HKD 504.6 million** in properties under development for sale and investment properties were pledged to secure bank borrowings - The Group's operations are mostly transacted in RMB and HKD, exposing it to exchange rate fluctuation risks, but no currency hedging arrangements were made during the period[59](index=59&type=chunk) - As of June 30, 2024, properties under development for sale with a carrying amount of approximately **HKD 364.7 million** and investment properties of approximately **HKD 139.9 million** were pledged to banks and financial institutions as collateral for borrowings[60](index=60&type=chunk) [Operations and Other Matters](index=21&type=section&id=Operations%20and%20Other%20Matters) As of period-end, the Group's employee count significantly reduced to **14**; the Group is involved in legal claims totaling approximately **HKD 1.9 million**, primarily related to defaults on bank loan repayments; subsequent to the reporting period, the 'Tianyang Convertible Bonds' were fully converted into shares, and the debt restructuring plan is progressing - As of June 30, 2024, the Group's employee count was approximately **14**, a significant reduction from **66** in the prior year[63](index=63&type=chunk) - The Group is involved in multiple legal claims totaling approximately **HKD 1.9 million**, primarily concerning defaults on bank loan repayments[64](index=64&type=chunk) - Post-reporting period events primarily include the full conversion of the Tianyang Convertible Bonds and the advancement of the proposed 'Scheme of Arrangement' for restructuring[66](index=66&type=chunk)[67](index=67&type=chunk) [Other Information](index=23&type=section&id=Other%20Information) [Corporate Governance and Compliance](index=23&type=section&id=Corporate%20Governance%20and%20Compliance) Due to the Company's liquidation status, directors' powers have been suspended since March 11, 2024, precluding compliance with corporate governance codes, and the audit committee did not review the interim results; the liquidators will ensure compliance once share trading resumes - As the Company is controlled by the liquidators and the directors' powers have been suspended, the Company's current directors are unable to comply with the Corporate Governance Code[69](index=69&type=chunk) - Due to the suspension of directors' powers, the Audit Committee's powers are also suspended, and thus it did not review these interim results[72](index=72&type=chunk) [Continued Suspension of Trading](index=23&type=section&id=Continued%20Suspension%20of%20Trading) The Company's shares have remained suspended from trading on the Stock Exchange since March 11, 2024, until further notice; the liquidators, due to limited information, cannot confirm the completeness or accuracy of past performance and advise shareholders and potential investors to exercise caution when dealing in the Company's shares - The Company's shares have been suspended from trading on the Stock Exchange since March 11, 2024, and will continue to be suspended until further notice[73](index=73&type=chunk) - The liquidators state that due to limited information available, they cannot confirm the completeness, existence, and accuracy of the Group's past performance[76](index=76&type=chunk) - Shareholders and potential investors of the Company are advised to exercise caution when dealing in the Company's shares[75](index=75&type=chunk)