Financial Performance - The company recorded a consolidated loss attributable to shareholders of HKD 684 million for the year ended December 31, 2024, compared to a loss of HKD 146 million in 2023, marking a significant increase in losses [11]. - Total revenue increased to HKD 775 million in 2024, up from HKD 739 million in 2023, with 59% of revenue coming from Singapore and 34% from Hong Kong [11]. - The food business generated revenue of HKD 728 million, representing a 6% increase, and accounted for 94% of total revenue for the year [12]. - The company faced a net fair value loss on financial instruments for the year, contrasting with a net fair value gain in 2023, contributing to the increased losses [11]. - Other operating expenses rose to HKD 181 million in 2024, up from HKD 145 million in 2023, primarily due to increased legal and professional fees [11]. - The food business segment reported a loss of HKD 35 million, an improvement from a loss of HKD 55 million in 2023, despite ongoing challenges in the operating environment [12]. Investment Performance - The total revenue from the property investment segment for the year was HKD 21,000,000, down from HKD 23,000,000 in 2023, primarily from recurring rental income [13]. - The group recorded a net fair value loss of HKD 37,000,000 on investment properties, compared to HKD 26,000,000 in 2023, mainly due to a decline in property values in Hong Kong [13]. - The financial and securities investment segment generated total revenue of HKD 14,000,000, down from HKD 18,000,000 in 2023, with a net fair value loss of HKD 66,000,000 compared to a gain of HKD 20,000,000 in 2023 [14]. - The financial and securities investment portfolio decreased to HKD 792,000,000 as of December 31, 2024, down from HKD 1,057,000,000 in 2023 [15]. - As of December 31, 2024, the fair value of financial assets measured at fair value through profit or loss was HKD 493,000,000, down from HKD 749,000,000 in 2023 [17]. - The group confirmed an unrealized fair value loss of HKD 14,000,000 on GSH Corporation Limited, which represented 12.8% of the total financial assets measured at fair value through profit or loss [19]. - The investment in Amasia CIV had a fair value of HKD 56,000,000 as of December 31, 2024, accounting for 11.3% of the total financial assets measured at fair value through profit or loss [20]. - The investment in Quantedge had a fair value of HKD 45,000,000, representing 9.0% of the total financial assets measured at fair value through profit or loss, with a recorded fair value gain of HKD 12,000,000 for the year [21]. - The fair value of investments classified as measured at fair value through other comprehensive income was HKD 46,000,000 as of December 31, 2024, down from HKD 49,000,000 in 2023 [24]. - The fair value of the group's investment in GB as of December 31, 2024, is HKD 24,000,000, representing approximately 51.9% of the group's financial assets measured at fair value through other comprehensive income [25]. - The group recorded an unrealized fair value gain of HKD 6,000,000 from its investment in GB during the year [25]. - The fair value of the group's investment in H2G as of December 31, 2024, is HKD 11,000,000, accounting for about 23.1% of the group's financial assets measured at fair value through other comprehensive income [26]. - The group incurred an unrealized fair value loss of HKD 8,000,000 related to H2G during the year [26]. - The group recognized a share of profit of HKD 41,000,000 from its investment in TIH for the year, compared to a loss of HKD 10,000,000 in 2023 [29]. Corporate Governance - The company has appointed new directors with terms ranging from two years starting from various dates in 2023 and 2024 [56][57]. - The company has established employment agreements for its executives, with terms effective from various dates in 2015 and 2024 [58]. - The company has purchased directors and officers liability insurance to protect against potential liabilities arising from its business activities [60]. - Dr. Li Chong has been appointed as the Chairman of the Board since July 1992 and has over 40 years of experience in the industry [61]. - Mr. Li Lianwei transitioned from CEO to Vice Chairman in June 2024, bringing extensive experience as an independent non-executive director in various public companies [62]. - Mr. Li Guohui was appointed as the CEO in June 2024, with over 30 years of experience in financial investment and corporate administration [63]. - The company has a fixed two-year contract for all non-executive directors, with a requirement for rotation every three years [130]. - The board of directors consists of nine members, including five executive directors and four non-executive directors, with three being independent as defined by listing rules [122]. - The company is committed to high-quality corporate governance practices to enhance investor confidence and protect shareholder interests [118]. - The company has established a written guideline for employees regarding the trading of company securities, which is not more lenient than the standard code [121]. Risk Management - The company has adopted a risk management and internal control system, which is reviewed annually for effectiveness [146]. - The internal audit and risk management department was established in 2007 to ensure the effectiveness of internal control procedures and compliance with various standards [148]. - The company has implemented a whistleblowing policy and anti-corruption policy, with the whistleblowing policy being reviewed and updated in December 2023 [146]. - The board is responsible for maintaining adequate risk management and internal control systems, including assessing risks related to environmental, social, and governance factors [146]. - The company has established a systematic risk management process, including risk assessment standards and matrices to identify and manage risks effectively [171]. - Major risks identified include operational risks related to talent retention and recruitment, with measures such as competitive salary surveys and training programs implemented [178]. - The company has updated its IT policies and business continuity plans to address evolving cybersecurity risks and enhance risk management practices [177]. - The company has identified climate-related risks and opportunities, conducting comprehensive assessments to understand their potential impacts [177]. - The company has implemented a risk reporting template that includes climate-related risks and sustainability challenges [177]. - Continuous risk monitoring is maintained, with regular reporting to appropriate authority levels to ensure effective risk management [172]. Shareholder Relations - The company has adopted a dividend policy in January 2019 to enhance transparency for shareholders and investors [112]. - The company maintains sufficient public float as per the Hong Kong Stock Exchange listing rules [115]. - The company provides shareholders with the option to receive communications electronically to enhance engagement and protect the environment [151]. - The company has established a shareholder communication policy to maintain regular dialogue with investors and ensure transparency [157]. - The company maintains that no major disputes occurred with suppliers or customers during the year, ensuring stable relationships [108]. Sustainability and ESG - The company emphasizes sustainable development and resource optimization in its operations, aiming to improve its environmental, social, and governance (ESG) performance over time [113]. - The environmental, social, and governance (ESG) report covers the group's performance in these areas for the fiscal year ending December 31, 2024 [184]. - The group aims to continuously optimize internal data collection processes and gradually expand the scope of disclosures in its ESG report [185]. - The group has integrated ESG considerations into its operational decision-making throughout the year, emphasizing business ethics and responsible culture [192]. - The board of directors is responsible for overseeing the group's environmental, social, and governance (ESG) matters, including climate-related issues [193]. - The group has integrated ESG and climate-related factors into its enterprise risk management processes, ensuring accurate and reliable reporting [194]. - The group has not encountered any cases of corruption, bribery, extortion, fraud, or money laundering during the year [196]. - The group emphasizes the importance of stakeholder communication to better understand their needs and expectations [200].

Corporate Strategy and Leadership - The company aims to become Asia's best-in-class integrator of the movie entertainment industry[2]. - The strategy focuses on enlarging and strengthening the theatrical exhibition network to enhance shareholder value[3]. - The company plans to integrate its distribution business to achieve greater synergy[4]. - The management emphasizes effective execution of business strategy and compliance with internal regulations[4]. - The company is committed to the development of the film industry and aims to offer innovative offerings to customers[4]. - The company has a strong focus on maximizing shareholders' value while contributing to societal betterment[3]. - The company has a focus on mergers and acquisitions as part of its corporate strategy under Ms. Chow's leadership[15]. - The company is expanding its business operations in the non-mainland China region, leveraging the expertise of its executive team[15]. - The Group's strategic direction includes market expansion and potential mergers and acquisitions[35]. - The Group's financial performance and strategic initiatives are aimed at driving long-term growth[39]. Financial Performance - The Group's revenue decreased by 7% to HK$734.3 million in 2024, down from HK$792.8 million in 2023, primarily due to a lack of strong film releases[46]. - The Group's consolidated revenue from continuing operations decreased by 7% to HK$734.3 million in 2024, down from HK$792.8 million in 2023[93]. - The Group's loss attributable to equity holders increased to HK$242.6 million in 2024, compared to a loss of HK$90.4 million in the previous year[97]. - Gross profit for the year was HK$484.2 million, a decrease of 7% compared to HK$518.4 million in 2023[98]. - The Group recorded a non-recurring net gain of HK$285.6 million from the disposal of VS, contributing to a net loss attributable to equity holders of HK$242.6 million, compared to a loss of HK$90.4 million in the previous year[99]. - The Group incurred impairment losses on non-financial assets of HK$126.7 million in 2024, significantly higher than HK$11.6 million in 2023[96]. - The Group's investment in the 360 Theater resulted in a provision for impairment loss of HK$315.5 million due to disappointing financial performance[66]. Market and Operational Insights - Hong Kong's box office takings dropped to HK$1.34 billion in 2024, the lowest level in 13 years, despite two local productions surpassing HK$100 million at the box office[43]. - Singapore contributed 80% of the Group's total segment revenue in 2024, up from 77% in 2023, with Golden Village holding 53% of the country's box office and 47% of total installed screens[44]. - The film exhibition business accounted for 92% of the Group's total segment revenue for the year ended December 31, 2024[67]. - Total admissions fell by 6% from 7.1 million in 2023 to 6.6 million in 2024, primarily due to the absence of strong film releases[68]. - Average ticket price decreased from HK$71.5 to HK$68.2 during the year[68]. - The Group closed 2 cinemas with a total of 7 screens during the year[75]. - The Group's Singapore operations contributed 80% of total segment revenue in 2024, maintaining its market leadership with 53% of the country's total box office[81][84]. Governance and Compliance - The Board has complied with the Corporate Governance Code provisions for the year ended December 31, 2024, except for provisions C.1.6 and F.2.2[121]. - The Company has adopted a code for Directors' securities transactions that is no less stringent than the Model Code, with all Directors confirming compliance for the year ended December 31, 2024[127]. - The Board consists of five executive Directors and three independent non-executive Directors, responsible for overseeing the management of the Group's business[128]. - The Company has implemented sufficient insurance coverage for Directors' liabilities arising from legal actions related to corporate activities[135]. - The Board plays a crucial role in defining the Group's purpose, values, and strategic direction, fostering a culture focused on innovation and compliance[119]. - The Company has adhered to the Corporate Governance Code and has made its terms of reference available to shareholders[162]. - All independent non-executive Directors have confirmed their independence in accordance with the Listing Rules[160]. Human Resources and Diversity - As of December 31, 2024, the Group employed 244 permanent employees, a significant reduction from 441 in 2023, reflecting adjustments in operational efficiency[113]. - The Group's employee composition as of December 31, 2024 included 593 males (52.90%) and 528 females (47.10%), showing a slight increase in female representation compared to the previous year[192]. - The board consists of 8 members, with 3 women, representing approximately 38% gender diversity[195]. - The Board adopted a Board Diversity Policy on 28 August 2013 to enhance performance quality and ensure a diverse range of skills and experiences[190]. - The Nomination Committee will review the Board Diversity Policy in a timely manner to ensure its effectiveness[190]. Future Outlook and Strategic Initiatives - The Group plans to adopt a conservative approach for future operations and expansion, focusing on creating integrated entertainment hubs[49]. - The Group aims to introduce a variety of unique content and high-quality services to enhance cinema experiences[49]. - The ongoing geopolitical tensions and economic uncertainties are expected to impact the film industry and market recovery[48]. - In Hong Kong, the Group will seek quality film distribution projects while exploring options to minimize operating losses[107]. - The Group aims to transform existing cinemas into integrated lifestyle hubs, enhancing customer experience with new product offerings[108].

Financial Performance - The company's operating revenue for Q1 2025 was CNY 19,051,478,805, a decrease of 10.67% compared to CNY 21,327,718,918 in the same period last year[7] - Net profit attributable to shareholders increased by 20.51% to CNY 1,810,438,616 from CNY 1,502,318,719 year-on-year[7] - Basic and diluted earnings per share rose by 20.54% to CNY 0.34 from CNY 0.28 in the previous year[7] - Net profit for Q1 2025 reached RMB 1.78 billion, an increase of 19.33% from RMB 1.49 billion in Q1 2024[20] - The company reported a total profit of RMB 2.32 billion for Q1 2025, up 20.92% from RMB 1.92 billion in Q1 2024[20] Cash Flow and Liquidity - The net cash flow from operating activities surged by 214.92% to CNY 502,573,548, primarily due to a decrease in procurement costs of raw materials[10] - Cash flow from operating activities for Q1 2025 was RMB 502.57 million, significantly up from RMB 159.59 million in Q1 2024[21] - Cash inflow from investment activities in Q1 2025 totaled RMB 7.93 billion, an increase from RMB 5.71 billion in Q1 2024[21] - Net cash flow from financing activities was negative at approximately -¥747.84 million, contrasting with a positive net cash flow of ¥580.43 million previously[22] - The company experienced a net decrease in cash and cash equivalents of approximately -¥502.70 million, compared to -¥103.79 million in the previous period[22] Assets and Liabilities - Total assets at the end of the reporting period were CNY 254,734,648,958, reflecting a slight increase of 0.04% from CNY 254,635,243,900 at the end of the previous year[7] - The total liabilities decreased to RMB 52,127,134,396 from RMB 54,257,807,200, a reduction of approximately 3.93%[17] - Total non-current assets reached RMB 164,355,534,399, up from RMB 160,873,209,606, marking an increase of about 2.93%[16] - The company's cash and cash equivalents were RMB 63,948,787,201, down from RMB 70,229,347,994, indicating a decrease of about 9.14%[15] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 209,238[11] - The largest shareholder, Anhui Conch Group Co., Ltd., held 36.40% of the shares, totaling 1,928,870,014 shares[11] - The equity attributable to shareholders increased by 1.21% to CNY 190,205,296,702 from CNY 187,940,358,985 at the end of the last fiscal year[7] Expenses and Investments - Research and development expenses for Q1 2025 were RMB 175.46 million, slightly down from RMB 185.76 million in Q1 2024[19] - Cash paid for the acquisition of fixed assets, intangible assets, and other long-term assets was approximately ¥2.38 billion, a decrease from ¥2.97 billion[22] - Cash outflow from investment activities totaled approximately ¥8.19 billion, compared to ¥6.56 billion in the previous period[22] Other Financial Metrics - Non-recurring gains and losses totaled CNY 147,809,041 during the reporting period[8] - The company had a weighted average return on equity of 0.96%, an increase of 0.15 percentage points from 0.81% in the previous year[7] - Other comprehensive income after tax for Q1 2025 was RMB 284.19 million, compared to a loss of RMB 102.09 million in Q1 2024[20] - The company achieved an investment income of RMB 70.39 million in Q1 2025, a significant increase from RMB 20.55 million in Q1 2024[19] Future Outlook - The company plans to implement new accounting standards starting in 2025, which may involve adjustments to the financial statements[22]

Financial Performance - Net profit attributable to shareholders for Q1 2025 was RMB 19.51 billion, a year-on-year increase of 1.66%[11] - Operating income for Q1 2025 was RMB 51.61 billion, down 3.65% year-on-year[11] - Net interest income for Q1 2025 was RMB 35.68 billion, an increase of 2.05% year-on-year[17] - Non-interest income decreased by 14.36% year-on-year to RMB 15.94 billion, primarily due to rising market interest rates[17] - The annualized return on average total assets was 0.83%, down 0.03 percentage points from the previous year[11] - The annualized return on average equity was 11.40%, a decrease of 0.91 percentage points year-on-year[11] - The bank's comprehensive income for Q1 2025 was RMB 12,570 million, significantly lower than RMB 23,688 million in Q1 2024[66] - Pre-tax profit for Q1 2025 reached RMB 22,842 million, an increase of 4.2% compared to RMB 21,914 million in Q1 2024[65] - Basic earnings per share for Q1 2025 was RMB 0.36, down from RMB 0.39 in Q1 2024[65] Asset and Liability Management - Total assets as of March 31, 2025, reached RMB 9,855.27 billion, an increase of 3.38% compared to the end of 2024[9] - Total liabilities increased to RMB 9,028,427 million as of March 31, 2025, compared to RMB 8,725,357 million at the end of 2024, marking a rise of 3.47%[68] - The bank's equity attributable to shareholders increased to RMB 808,432 million, up from RMB 789,264 million, representing a growth of 2.67%[68] Loan and Deposit Growth - The total amount of loans and advances was RMB 5,866.03 billion, up 2.55% from the end of 2024[9] - Customer deposits totaled RMB 6,027.27 billion, reflecting a growth of 4.31% compared to the end of 2024[9] - The company's general corporate loan balance reached CNY 2,975.976 billion, an increase of CNY 296.309 billion or 11.06% compared to the end of the previous year[18] - The balance of loans to technology enterprises reached CNY 670.765 billion, reflecting an increase of CNY 106.393 billion or 18.85%[22] - The balance of inclusive loans for small and micro enterprises was CNY 617.233 billion, an increase of CNY 17.408 billion[25] Risk Management - The company enhanced its risk management capabilities, with a decrease in the non-performing loan ratio and attention loan ratio compared to the previous year[19] - The group's non-performing loan balance is CNY 67.846 billion, an increase of CNY 1.361 billion, with a non-performing loan ratio of 1.16%, remaining stable compared to the end of the previous year[44] - The group's provision coverage ratio is 207.11%, a decrease of 2.32 percentage points from the end of the previous year[44] - The group has focused on risk control in key areas such as retail, real estate, and local debt to ensure overall asset quality stability[42] Digital Transformation and Customer Engagement - The company provided services to 5.5 billion customer interactions, utilizing over 5,000 tags and refining customer segmentation into more than 4,400 groups[28] - The intelligent wealth advisor "Xiao Xin" served 5.22 million customers, achieving an overall satisfaction rate exceeding 95%[28] - The company upgraded its digital banking services, achieving 61 online banking products available for immediate use in the first quarter[32] - The bank's retail business saw a 1.10% increase in personal customer numbers, reaching 147 million by the end of the reporting period[37] Capital and Shareholder Information - The total number of ordinary shareholders at the end of the reporting period is 123,064, with 97,658 being A-share shareholders and 25,406 H-share shareholders[54] - China CITIC Financial Holdings Limited holds 36,028,393,412 shares, representing 64.75% of the total shares, making it the largest shareholder[54] - The total number of preferred shareholders at the end of the reporting period is 46, with the largest being China Mobile Communications Group Co., Ltd., holding 43,860,000 shares (12.53%) of the preferred stock[56] Cash Flow and Liquidity - The net cash flow from operating activities for Q1 2025 was RMB 37.99 billion, a significant improvement from a net outflow of RMB 333.14 billion in the same period last year[13] - The liquidity coverage ratio as of March 31, 2025, is 138.22%, significantly above the regulatory minimum of 100%[53] - The cash net outflow decreased from 579,554 on December 31, 2024, to 868,434 on March 31, 2025, indicating a worsening liquidity position[53]

Revenue and Profitability - The company's revenue for the first quarter reached RMB 137,160,578.06, representing a year-on-year increase of 20.02% compared to RMB 114,282,281.78[6]. - The net loss attributable to shareholders for the quarter was RMB 11,545,431.51, a significant improvement from a loss of RMB 170,095,866.61 in the same period last year, narrowing the loss by 88.41%[14][15]. - The gross profit margin improved by 23.14 percentage points due to optimized production capacity and cost reduction measures[16]. - The basic and diluted earnings per share for the quarter were both RMB (0.05), compared to RMB (0.69) in the same period last year[6]. - The company confirmed a net loss attributable to shareholders after excluding non-recurring gains and losses of RMB 55,234,681.60, compared to RMB 178,676,681.71 in the previous year[6][15]. - In Q1 2025, the company reported a total comprehensive loss of CNY 11,549,283.95, compared to a loss of CNY 169,773,064.88 in Q1 2024, indicating a significant improvement[32]. Research and Development - Research and development expenses totaled RMB 88,924,234.66, a decrease of 28.48% from RMB 124,328,450.39 in the previous year, with R&D expenses accounting for 64.83% of revenue[8]. - The proportion of R&D investment to operating income decreased by 43.96 percentage points, while total R&D investment decreased by 28.48% year-on-year, despite a 20.02% increase in operating income, indicating improved R&D efficiency[17]. - The company is focusing on integrating R&D resources and enhancing potential synergies across different pipelines to control R&D expenditures effectively[17]. Cash Flow and Financial Management - The company reported a net cash flow from operating activities of RMB (13,801,882.53), compared to RMB (108,195,674.35) in the previous year, indicating improved cash flow management[6]. - The net cash flow from operating activities for the reporting period was a net outflow of ¥13,801,882.53, a decrease of ¥94,393,791.82 compared to the same period last year, with operating cash inflow increasing by ¥59,603,047.08 due to higher sales revenue and collections of the brand Manhaixin®[17]. - Cash inflow from operating activities increased to CNY 235,251,379.47 in Q1 2025, up from CNY 175,648,332.39 in Q1 2024, reflecting a growth of approximately 34%[34]. - The company recorded cash outflow from investing activities of CNY 437,359,085.65 in Q1 2025, compared to an inflow of CNY 275,011,228.44 in Q1 2024, indicating a shift in investment strategy[36]. - The company incurred total cash outflows from financing activities of CNY 334,582,241.70 in Q1 2025, compared to CNY 168,104,615.34 in Q1 2024, indicating increased financing activities[36]. Assets and Liabilities - The total assets at the end of the reporting period were RMB 7,820,387,409.65, a decrease of 1.73% from RMB 7,958,132,235.38 at the end of the previous year[8]. - Total liabilities as of March 31, 2025, were RMB 2,921,615,159.54, down from RMB 3,048,260,581.65 as of December 31, 2024[26]. - Total equity attributable to shareholders as of March 31, 2025, was RMB 4,898,772,250.11, slightly down from RMB 4,909,871,653.73 as of December 31, 2024[26]. - The company reported other income of RMB 45,863,689.09 in Q1 2025, a significant increase from RMB 8,591,840.84 in Q1 2024[30]. Shareholder Information - The top ten shareholders held a total of 39.55% of shares, with HKSCC NOMINEES LIMITED being the largest shareholder with 97,857,297 shares[19]. - The company has not reported any changes in the participation of major shareholders in securities lending activities during the reporting period[21].

Financial Performance - The group's revenue for the year ended December 31, 2024, decreased by 13% to approximately HKD 136,109,000, compared to HKD 155,905,000 in 2023[8] - The loss attributable to the company's owners for the year was approximately HKD 27,020,000, an improvement from a loss of HKD 30,532,000 in 2023[8] - The core business recorded a loss of approximately HKD 23,433,000, compared to a loss of HKD 20,480,000 in 2023[8] - Revenue from toy products decreased by approximately 11% to about HKD 136,109,000, with a loss of HKD 18,220,000, up from a loss of HKD 16,714,000 in 2023[9] - The company reported a loss before tax of HKD 29,199,000, compared to a loss of HKD 27,606,000 in 2023, indicating a worsening financial performance[176] - The net loss for the year was HKD 29,373,000, slightly improved from HKD 30,578,000 in the prior year[176] - Basic and diluted loss per share for the year was HKD 8.26, compared to HKD 9.34 in 2023, reflecting a reduction in loss per share[176] - The company’s total comprehensive income for the year was HKD (30,356,000) in 2024, compared to HKD (29,526,000) in 2023, reflecting a slight increase in losses of about 2.8%[180] Cash Flow and Assets - As of December 31, 2024, the group's cash and bank balances were approximately HKD 24,547,000, down from HKD 42,986,000 in 2023[13] - Total current assets decreased to HKD 56,291,000 from HKD 89,423,000, a decline of 37.1% year-over-year[177] - Cash and cash equivalents decreased from HKD 42,986,000 at the beginning of the year to HKD 24,547,000 by the end of 2024, a reduction of about 42.9%[183] - The company's total assets less current liabilities decreased to HKD 54,442,000 from HKD 86,353,000, indicating a significant reduction in asset value[177] - The company's equity decreased to HKD 43,010,000 from HKD 74,661,000, reflecting a significant decline in shareholder value[177] Expenses and Liabilities - Distribution costs decreased by approximately 24% to about HKD 1,879,000, while administrative expenses decreased by approximately 25% to about HKD 58,582,000[11] - Financial expenses increased by approximately 60% to about HKD 1,108,000 due to increased interest on lease liabilities and loans[12] - The company's total liabilities increased, leading to a significant decrease in total equity, which fell from HKD 74,661,000 to HKD 43,010,000[179] - The company paid dividends to non-controlling interests amounting to HKD 1,295,000 in 2024, down from HKD 2,352,000 in 2023, a decrease of approximately 44.9%[183] Corporate Governance - The company has complied with the corporate governance code, except for the separation of roles between the chairman and the CEO, which is currently shared among the board members and the company secretary[34] - The board consists of six directors, all experienced professionals, responsible for setting the overall business development goals and long-term corporate strategies[37] - The company has established a nomination committee to provide a framework for appointing high-quality directors for sustainable development[54] - The board has three committees: the Remuneration Committee, the Audit Committee, and the Nomination Committee, each with specific responsibilities[69] - The company has adopted the latest revised corporate governance code as of August 29, 2013, and has taken steps to comply with its provisions[33] Shareholder Communication - The company is committed to maintaining high levels of transparency and timely disclosure of company information[115] - The company has a policy in place to ensure shareholders receive timely and equal access to relevant information[113] - The board will continue to review and assess the effectiveness of shareholder communication[113] - The company has confirmed the independence of all non-executive directors as per the listing rules[134] Strategic Initiatives - The company aims to enhance its product portfolio and revenue sources through the anticipated strategies outlined in the August and November framework agreements[21] - The company is actively seeking mergers and acquisitions opportunities in the oil, gas exploration, and sustainable energy infrastructure sectors[21] - The company is also looking for investment opportunities in high-tech sectors in addition to oil and gas exploration[22] - The company has entered into a non-binding cooperation framework agreement with the government of Wuwei City, Gansu Province, to develop sustainable energy infrastructure, including energy storage facilities and transmission stations[19] Risk Management - The audit committee is responsible for ensuring effective risk management and internal controls are in place[93] - The company has established and maintained an effective risk management and internal control system for the year ending December 31, 2024[101] - The board has not identified any significant concerns or weaknesses in the internal control and risk management systems during the annual review[106] - No significant risks were identified during the risk assessment conducted for the year ending December 31, 2024[104] Employee and Board Diversity - The group employed approximately 610 full-time employees as of December 31, 2024, down from 740 in 2023[17] - As of December 31, 2024, 62% of the group's employees are female, highlighting the company's commitment to gender diversity[87] - The board diversity policy was adopted on August 29, 2013, and revised on December 20, 2018, emphasizing the importance of a diverse board for strategic goals and sustainable development[84] Audit and Compliance - The independent auditor confirmed that the consolidated financial statements fairly reflect the group's financial position as of December 31, 2024, in accordance with Hong Kong Financial Reporting Standards[157] - The audit committee has reviewed the full-year results and confirmed compliance with applicable accounting standards and regulations[146] - The external auditor, Tianjian International CPA Limited, was paid HKD 785,000 for audit services during the review year[108]

Financial Performance - Revenue for the fiscal year 2024 reached $1,031,063 thousand, an increase of 8.5% compared to $950,725 thousand in 2023[10] - Gross profit for the fiscal year 2024 was $574,092 thousand, reflecting a growth of 7.9% from $532,098 thousand in 2023[10] - The net loss for the fiscal year 2024 decreased by 58.6% to $(268,459) thousand from $(649,157) thousand in 2023[10] - The loss attributable to equity shareholders improved by 55.2%, amounting to $(214,043) thousand compared to $(477,629) thousand in the previous year[10] - Basic loss per share for fiscal year 2024 was $(11.68), a reduction of 55.4% from $(26.19) in 2023[10] - The company reported a net loss of $268.5 million, a substantial narrowing of 58.6% compared to the previous year[39] - EBITDA turned positive during the reporting period, improving from a loss of $370.4 million to a profit of $60.4 million[25] - The adjusted net loss for the year ended December 31, 2024, was $222.8 million, a decrease of 48.7% compared to $434.6 million in 2023[114] - The total net loss for the year ended December 31, 2024, was $268.5 million, representing a reduction of 58.6% from $649.2 million in 2023[114] Revenue Breakdown - Revenue from orthopedic medical devices accounted for 24.5% of total revenue in 2024, while cardiovascular intervention contributed 15.6%[12] - Geographic revenue distribution showed that China represented 50.6% of total revenue, followed by Europe at 27.2% and North America at 9.0%[13] - The cardiovascular intervention business achieved global revenue of $165.7 million, a steady increase of 9.9% year-on-year (excluding currency effects) during the reporting period[44] - The orthopedic medical device business achieved global revenue of $252.7 million, a year-on-year increase of 6.2% (excluding currency effects), with net losses narrowing by 67.1% during the reporting period[50] - Global revenue for the vascular intervention business reached $169.5 million, remaining stable year-on-year, with overseas business revenue increasing significantly by 99.4%[32] - The neurointervention segment saw a global revenue growth of 14.4%, with overseas revenue surging by 137.6% year-on-year[32] - The structural heart disease segment achieved a global revenue increase of 7.5%, with overseas revenue growing robustly by 108.3%[33] - The surgical robotics business experienced a substantial global revenue growth of 146.0%, with domestic and overseas revenues increasing by 84.4% and 388.2% respectively[34] Cost and Expenses - The company's operating expense ratio decreased by 29 percentage points to 68%, while the R&D expense ratio dropped from 40% to 21%[26] - Total expenses for sales, management, and R&D decreased significantly by $216.5 million, a reduction of 23.6% year-on-year[39] - The total sales cost increased by 9.2% to $457.0 million, primarily due to higher sales volumes across major businesses[102] - Research and development costs decreased by 42.9% to $216.5 million, reflecting cost control measures and a focus on core projects[104] Market Expansion and Innovation - The company has accumulated a total of 39 products in the "green channel" for innovative medical devices, maintaining the top position in the industry for ten consecutive years[27] - The company has established a global commercialization platform that has enabled its innovative products to reach over 20,000 hospitals in more than 100 countries and regions[26] - The company aims to enhance financial health, focus on core business, and accelerate international market expansion in the future[41] - The company is focused on expanding its orthopedic business in the Asia-Pacific region, leveraging the experience of its executives[145] - The company aims to enhance its market presence through strategic acquisitions and partnerships in the healthcare sector[148] Operational Efficiency - Operating cash flow outflow was significantly reduced by 79% during the reporting period[25] - The company is focused on enhancing operational efficiency and reducing costs to drive continuous growth[157] - The company actively manages its capital structure to ensure sufficient liquidity for meeting obligations and avoiding reputational damage[116] Leadership and Management - The company has a strong leadership team with extensive experience in the medical device industry, including over 33 years in cardiac management[148] - The management team is composed of experienced professionals with backgrounds in finance, marketing, and engineering, ensuring a robust leadership structure[141] - The Chief Financial Officer, Mr. Sun Hongbin, has over 27 years of financial experience, previously serving as the General Manager of Otsuka China from 2006 to 2010[137] - The company is committed to strategic acquisitions and partnerships to diversify its medical product offerings, as demonstrated by Mr. Chen's previous experience in transformative mergers and acquisitions[143] Financial Position - Total assets decreased to $3,633,422 thousand in 2024 from $3,932,405 thousand in 2023[15] - Cash and cash equivalents decreased to $713.0 million as of December 31, 2024, down from $1,019.6 million in 2023[117] - Total borrowings increased to $1,597.1 million as of December 31, 2024, compared to $1,566.5 million in 2023, reflecting an increase of $30.6 million[118] - The debt-to-asset ratio rose from 64.3% in 2023 to 68.5% in 2024[118] - The net current assets as of December 31, 2024, were $558.3 million, down from $646.5 million in 2023[119] Regulatory Compliance and Risk Management - The company emphasizes compliance with applicable laws and regulations, with no significant investigations or disciplinary actions reported during the year[159] - The company faces market risks due to government policies affecting retail product pricing and uncertainties in medical insurance reimbursement levels in China[161] Employee and Shareholder Information - The company employed 6,347 employees as of December 31, 2024, down from 8,230 employees a year earlier[165] - Major shareholder Otsuka Holdings Co., Ltd. holds 382,994,120 shares, representing 20.73% of the issued shares[188] - The total reserves available for distribution to equity shareholders amounted to $583.688 million as of December 31, 2024, down from $600.073 million in 2023[171]

Financial Performance - In 2024, the company achieved a total revenue of RMB 470 million, with a stable gross margin of 78.1%[9] - For the fiscal year ending December 31, 2024, the company reported revenue of RMB 470.833 million, a decrease of 4.2% compared to RMB 491.373 million in 2023[16] - The company recorded a pre-tax loss of RMB 740.713 million, slightly higher than the loss of RMB 735.340 million in 2023[16] - The net loss attributable to the parent company was RMB 714.307 million, compared to RMB 703.754 million in the previous year, indicating a marginal increase in losses[16] - The gross profit for the same period was RMB 367.746 million, down from RMB 389.205 million in 2023, reflecting a decline of 5.5%[16] - The company's commercialization profit margin increased from 9.3% for the year ended December 31, 2023, to 20.7% for the year ended December 31, 2024, enhancing overall profitability and long-term value creation[45] - The company's sales cost for the year ended December 31, 2024, was RMB 103.1 million, an increase of 0.9% from RMB 102.2 million for the year ended December 31, 2023[54] - The group's gross profit decreased by 5.5% from RMB 389.2 million for the year ended December 31, 2023, to RMB 367.7 million for the year ended December 31, 2024[55] - Other income and gains fell by 84.1% from RMB 241.6 million for the year ended December 31, 2023, to RMB 38.5 million for the year ended December 31, 2024, due to the absence of fair value adjustments related to the acquisition of Nuo Cheng[56] Revenue Sources and Market Expansion - The company's international revenue reached RMB 82.5 million, a year-on-year increase of 13.5%, with overseas revenue accounting for 17.5% of total revenue[10] - Overseas revenue reached RMB 82.5 million, representing a year-on-year growth of 13.5%, with international revenue contributing 17.5% of total sales[22] - The company expanded its product coverage to 13 new countries, bringing the total to nearly 70 countries and regions[10] - The company has covered over 650 hospitals and participated in over 90 third-party conferences, hosting more than 100 self-organized meetings, reaching over 5,500 experts with a total viewership of 2 million[47] - VenusA series products accounted for 80.7% of total revenue for the year ended December 31, 2024, while VenusP-Valve contributed 18.5%[53] Research and Development - The company has established a product pipeline consisting of ten innovative devices targeting heart valve diseases, with four TAVR products already commercialized[23] - The company has invested RMB 341.2 million and RMB 524.9 million in R&D for the years ending December 31, 2024, and December 31, 2023, respectively[40] - Clinical trials for new products such as Venus-PowerX and Venus-Vitae are progressing steadily, with positive feedback from international experts[21] - Key clinical trials for Venus-PowerX and Venus-Vitae have commenced, marking significant milestones in product development[11] - VenusP-Valve has successfully enrolled patients in the IDE critical clinical trial in the U.S., further validating its safety and effectiveness[12] Clinical Trials and Product Development - Cardiovalve's European clinical research has progressed smoothly, with nearly 120 cases enrolled, demonstrating excellent safety and efficacy[12] - Cardiovalve's clinical trials are progressing steadily, with nearly 120 patients enrolled in the Target CE European pivotal clinical trial across over 30 renowned cardiovascular centers in Germany, Italy, Spain, the UK, and Canada[37] - 93.7% of patients experienced a reduction in tricuspid regurgitation to mild or less after treatment with Cardiovalve, demonstrating its safety and efficacy[37] - VenusA-Deluxe received NMPA approval in November 2024, enhancing the delivery system and reducing valve folding rates during loading[27] - VenusP-Valve's 5-year follow-up data showed zero patient deaths or reoperations, with 94% of patients classified as NYHA I/II post-surgery[29] Governance and Internal Control - The company is undergoing internal control and governance improvements, aiming to meet the resumption conditions by March 12, 2025[13] - The company has established a strengthened internal audit and compliance department to oversee compliance and internal control implementation, reporting directly to the audit committee[116] - A management committee consisting of three directors has been formed to supervise the internal control functions of the group[116] - The company has implemented a risk management framework to ensure transparency and performance in risk management across all departments[117] - The audit committee oversees the overall risk management related to the company's operations, ensuring alignment with corporate goals[113] Strategic Outlook and Challenges - The company plans to optimize market strategies and continue commercializing its R&D pipeline to ensure long-term stable growth[13] - The company aims to maintain stability and growth while maximizing shareholder value through regular review and management of its capital structure[85] - The company is facing challenges due to a complex external environment, including geopolitical uncertainties and high federal fund rates, while maintaining its leading position in the domestic structural heart disease industry[99] - The company is restructuring its product pipeline based on cash flow and prioritizing clinical progress while exploring overseas product models[100] - The company may face significant risks related to product development, including potential future losses and the impact of regulatory approvals on commercialization[101] Management and Corporate Governance - The company has appointed new supervisory board members to strengthen governance and oversight[145][146] - The management team includes experienced professionals with extensive backgrounds in finance and compliance, enhancing corporate governance[149][150] - The company has confirmed the independence of all independent non-executive directors as of December 31, 2024[182] - The company has not proposed any service contracts with directors or supervisors that could be terminated without compensation within one year[176] - The company has not made any payments to third parties for obtaining director services as of December 31, 2024[179] Environmental and Social Responsibility - The company aims to minimize its environmental impact by reducing its carbon footprint and managing hazardous materials responsibly[156] - The company has a commitment to sustainable and environmentally friendly practices as part of its corporate social responsibility[156] - The board emphasizes compliance with environmental laws and regulations, with no significant adverse events reported during the reporting period[156] Shareholder Information - As of December 31, 2024, the total issued share capital of the company is 441,011,443 shares, including 441,010,235 H shares and 1,208 non-listed foreign shares[187] - Major shareholders include Mr. Zeng Min with 33,651,618 H shares, representing 7.63% of the total share capital[188] - The company has no related party transactions requiring independent shareholder approval or annual audit compliance[185] - The board has decided not to declare a final dividend for the year ending December 31, 2024[194]

Company Overview - The total assets of the company exceed RMB 9.5 trillion, with over 65,000 employees[6]. - The company operates 1,470 branches across 153 major cities in China and has established 7 subsidiaries, including a direct bank in collaboration with Baidu[5]. - The company has a total share capital of 55.645 billion shares, with the dividend distribution plan subject to adjustments based on any changes in share capital before the record date[8]. - The company is committed to serving the real economy and fulfilling its financial responsibilities in alignment with national strategies[6]. - The company has been recognized for its strong brand competitiveness and comprehensive strength in the financial sector[6]. Financial Performance - Operating revenue reached 213.22 billion yuan, with net profit attributable to shareholders at 68.58 billion yuan[15]. - Total assets amounted to 9,532.72 billion yuan, with a net profit growth rate of 2.33%[15]. - The average return on total assets (ROAA) was 0.75%, and the average return on equity (ROAE) was 9.92%[15]. - Non-performing loan ratio stood at 1.16%, with a provision coverage ratio of 209.43%[15]. - The company achieved a significant milestone by being recognized as a "Leading Institution in Bond Market" and "Outstanding Financial Bond Issuer" by the Central Government Bond Registration and Settlement Co., Ltd.[36]. Dividend and Shareholder Returns - The proposed cash dividend for 2024 is RMB 1.722 per 10 shares, totaling RMB 9.582 billion, with an additional interim dividend of RMB 9.873 billion, leading to a total cash dividend of RMB 19.455 billion for the year[8]. - The company plans to further increase the dividend payout ratio to reward investors[19]. Risk Management - The company has not identified any significant risks that could adversely affect its future development strategy and operational goals during the reporting period[9]. - The company emphasizes a strategic focus on risk management, ensuring a robust risk control system[23]. - The company plans to enhance risk management and asset quality through improved classification systems and proactive measures[147]. Technology and Innovation - Technology investment exceeded 10 billion yuan, enhancing value through agile organizational transformation[21]. - The bank is investing in financial technology, aiming to become a leading tech-driven bank with applications in AI, blockchain, and big data[67]. - The company launched several new technology projects, including a privacy computing data fusion project and a trust technology platform, which received awards from the People's Bank of China[44]. Customer Base and Market Position - Online monthly active users reached 41.35 million, while personal customers totaled 145 million[15]. - Retail customers increased to 145 million, with retail managed assets rising to 4.69 trillion RMB and personal mortgage loans exceeding 1 trillion RMB[22]. - The company aims to solidify its customer base and expand deposit sources as part of its response strategy to the anticipated market conditions[200]. ESG Commitment - Commitment to ESG principles, seeking to balance social and economic value while creating a value community with stakeholders[26]. - The company received multiple awards in 2024, including recognition in the "Top 20 ESG Performance" and "Top 100 ESG Information Disclosure" lists[40]. Awards and Recognition - The company ranked 19th in the "Global Banking Brand Value 500" list by Brand Finance in 2024[6]. - In January 2024, the company was recognized as a "Market Influential Institution" and "Market Innovative Business Institution" by the National Interbank Funding Center[36]. - The company was awarded multiple honors in February 2024, including "Best Quotation Trading Institution" and "Best Business Innovation Contribution Institution" by the Shanghai Gold Exchange[38]. Loan and Deposit Growth - The total amount of loans and advances increased to RMB 5,720,128 million in 2024, up 4.03% from RMB 5,498,344 million in 2023[53]. - Customer deposits totaled RMB 5,778,231 million in 2024, a 7.04% increase from RMB 5,398,183 million in 2023[53]. - The company’s corporate deposits amounted to RMB 3,969,310 million, reflecting an increase of RMB 186,278 million or 4.92% from the previous year[199]. Financial Ratios and Capital Adequacy - The capital adequacy ratio as of the end of the reporting period was 13.36%, with a Tier 1 capital ratio of 11.26% and a core Tier 1 capital ratio of 9.72%, all meeting regulatory requirements[181]. - The liquidity coverage ratio significantly increased to 218.13% in 2024 from 167.48% in 2023[56]. - The leverage ratio improved to 7.06% in 2024, compared to 6.66% in 2023, indicating better capital efficiency[184].

Financial Performance - For the first quarter of 2025, the company's unaudited consolidated revenue was HKD 2.879 billion, representing a 20% increase compared to HKD 2.399 billion in the same period last year[4]. - The profit attributable to equity holders of the company for the first quarter of 2025 was HKD 34.77 million, a significant increase of 260% from HKD 9.65 million in the previous year[4]. - The total assets as of March 31, 2025, were HKD 5.035 billion, reflecting a 2% increase from HKD 4.938 billion as of December 31, 2024[4]. Segment Performance - The food biotechnology segment generated revenue of HKD 2.355 billion, a 21% increase year-on-year, despite a 7% decline in segment profit to HKD 44.59 million[7]. - The tinplate business produced 76,000 tons of products, a 10% increase year-on-year, with sales of 75,000 tons, representing a 19% increase[8]. - The revenue from the tinplate business was HKD 520 million, a 15% increase compared to the previous year, with segment profit rising 314% to HKD 19.76 million[8]. Challenges and Considerations - The company expects to continue facing challenges due to price fluctuations in pork and demand variability in the tinplate business[12]. - The company emphasizes that quarterly performance may not be indicative of annual results due to market conditions and seasonal factors[12]. Asset Valuation - The company has not recorded any valuation gains or losses on investment properties, maintaining stable property values[10]. - The unaudited financial data for the first quarter of 2025 has been reviewed by the company's audit committee[11].