Financial Performance - For the fiscal year ending December 31, 2024, the company's revenue was approximately HKD 1,068,000,000, a decrease of about 4.1% compared to the previous year[11]. - Profit attributable to the company's owners decreased by approximately 2.9% from HKD 175,400,000 in 2023 to HKD 170,400,000 in 2024, primarily due to a reduction in gross profit[18]. - The gross profit for 2024 was approximately HKD 321,600,000, with a gross profit margin of about 30.1%, down from 31.9% in 2023, reflecting a decline of 1.8%[12]. - The company reported a profit of HKD 170,373,000 for the year ended December 31, 2024, compared to HKD 175,420,000 in 2023, a decrease of approximately 2.4%[191]. - The company reported a total comprehensive income of HKD 164,618,000 for 2024, down from HKD 171,781,000 in 2023[187]. - The company's net asset value increased to HKD 829,677,000 in 2024, up from HKD 725,684,000 in 2023, representing a growth of approximately 14.3%[190]. - The company paid dividends totaling HKD 60,625,000 in 2024, compared to HKD 55,000,000 in 2023, representing an increase of approximately 10.3%[191]. Sales and Revenue Breakdown - Sales of sleepwear products increased by approximately 10.1% to about HKD 726,400,000, while sales of loungewear products decreased by approximately 26.1% to HKD 326,200,000[8]. - Revenue from product sales (sleepwear, loungewear, and grey fabric) for the year ending December 31, 2024, was approximately HKD 1,065,131,000 and HKD 2,699,000 from processing services[172]. - Revenue from customer B increased by approximately 60.6%, and revenue from Europe (UK and Ireland) rose by about 61.0% in 2024[8]. - The sales revenue for the year 2024 was approximately HKD 1,070,000,000, with sales claims amounting to about HKD 285,000[166]. Expenses and Cost Management - Sales and distribution expenses were approximately HKD 52,200,000, a decrease of about 6.2% from HKD 55,700,000 in 2023, with the expense ratio declining from about 5.0% to 4.9%[15]. - Administrative expenses for the year were approximately HKD 69,100,000, a slight increase of about 1.5% from HKD 68,100,000 in 2023, attributed to the expansion of operations[16]. - The group recorded financial expenses for 2024 of approximately HKD 19,200,000, an increase from HKD 18,100,000 in 2023, with a decrease in trade financing interest of about HKD 1,800,000[17]. - The company reported a 10% reduction in operational costs due to improved supply chain management[110]. Investments and Future Plans - The company plans to establish production bases in Africa, Central America, and Vietnam to capitalize on upcoming demand recovery opportunities[9]. - The new garment production facility in Vietnam is expected to have a monthly capacity of approximately 2,000,000 pieces, with initial trial production targeted for the end of 2025[22]. - A new garment production base is planned in Kenya, aimed at increasing production capacity and reducing delivery times to European customers, with initial trial production expected in the second half of 2025[22]. - The group aims to stabilize growth in existing businesses while planning future expansions to capture opportunities as global and domestic demand rebounds[20]. - The company is investing $10 million in research and development for sustainable materials, aiming to reduce production costs by 15%[110]. Corporate Governance and Compliance - The company has adopted the corporate governance code as per the listing rules, with the exception that the roles of Chairman and CEO are held by the same individual, Mr. Tan Guopei[114]. - The board consists of three executive directors and three independent non-executive directors, ensuring a balance between executive and non-executive members[116]. - The company has complied with the standards for securities trading by directors, confirming adherence to the established code[115]. - The board has confirmed the effectiveness of the risk management and internal control systems for the fiscal year ending December 31, 2024, with no significant issues identified[133]. Environmental Sustainability - The group emphasizes environmental sustainability through initiatives like water conservation and recycling[37]. - The company aims to reduce greenhouse gas emissions by 5% in the next reporting period[151]. - The company has implemented measures to monitor and gradually reduce energy consumption and emissions[148]. - The company has reported direct greenhouse gas emissions totaling 22,340.70 tons of CO2 equivalent, with an intensity of 11.02 tons per employee[149]. - The company plans to establish new production facilities in Vietnam and Kenya with environmentally friendly energy solutions[151]. Employee and Labor Relations - The group employed 2,028 staff members as of December 31, 2024, with 100% being full-time employees[157]. - The average employee turnover rate was 6.54% for males and 4.71% for females[159]. - The average training hours per employee were 4.32 hours for males and 2.60 hours for females[163]. - The group actively promotes a fair and harmonious employment environment, ensuring compliance with local labor laws[158]. Risk Management - The company has implemented measures to identify and prioritize significant risks based on their potential financial impact and operational efficiency[133]. - The annual review of risk management and internal control systems includes assessments of significant risks and the company's response capabilities[133]. - The board is responsible for evaluating and determining ESG-related risks and ensuring the establishment of effective ESG risk management systems[143].

Financial Performance - The Group achieved sales revenue of HK$2,349.0 million for the year 2024, representing a decrease of 22.2% compared to the previous year[13]. - Profit attributable to shareholders was HK$587.5 million, a decrease of 14.4% year-on-year, with basic earnings per share at HK28.94 cents[13][28]. - For the year ended December 31, 2024, the Group's revenue amounted to HK$2,349.0 million, representing a decrease of 22.2% compared to the previous year[31][35][37]. - The profit attributable to equity holders was HK$587.5 million, a decline of 14.4% year-on-year, with basic earnings per share at HK$28.94 compared to HK$33.82 in 2023[31]. - The total sales volume decreased by 9.7% year-on-year, influenced by sluggish market demand and inventory depletion among customers[34][36]. Dividend Recommendations - The Board recommends a dividend of HK9.0 cents per share for the year ended 31 December 2024, down from HK10.5 cents in 2023[15][18]. - The Board recommends a dividend of HK9.0 cents per share for the year ended 31 December 2024, totaling HK$182,688,000, a decrease from HK$213,137,000 in 2023[199]. Research and Development - The Group plans to enhance investment in research and development of security chips for mobile terminals, Internet of Things, and Internet of Vehicles[17][19]. - Research and development costs increased to HK$447.6 million, accounting for 19.1% of revenue, up from 14.0% in 2023, focusing on security SE chips and microcontroller unit chip products[42][44]. - The Group obtained 19 new patents, registered 1 new software copyright, and 3 new integrated circuits layout designs during the year[29]. Market Conditions - The global macroeconomic environment remains weak, with smart card demand expected to continue in a downward cycle, increasing competition and downward pressure on prices[16]. - The Group aims to dynamically adjust production and sales strategies to better meet customer needs amid changing market trends[16]. - The range of application for security SE chips and security microcontroller unit chips is expected to expand, presenting new market opportunities[16]. - The Group will closely monitor domestic and international market trends to identify potential market expansion opportunities[16]. Corporate Governance - The Company has complied with all applicable code provisions in the Corporate Governance Code throughout the year, except for one provision related to meeting attendance[63][67]. - The Group is committed to achieving high corporate governance standards, focusing on accountability, transparency, and fairness[62][66]. - The Board has ensured the adequacy of resources, staff qualifications, training programs, and budget for accounting, internal audit, and financial reporting functions[144]. - The Board consists of 87% male and 13% female members, with one female director currently serving[81]. - The Group has a Board Diversity Policy to ensure diversity among board members, currently having one female director[76]. Board Composition and Meetings - The Board comprised two executive directors, two non-executive directors, and four independent non-executive directors as of December 31, 2024, with separate roles for the chairman and the chief executive[70][73]. - The Board holds meetings at least 4 times a year, with management providing regular updates on the Group's performance and financial position[87]. - The attendance record of directors at meetings held in 2024 is documented in the annual report[88]. - The company reported a total of 7 board meetings attended by executive directors, with Chang Feng attending all 7 meetings[181]. - Non-executive director Chan Kay Cheung attended all 8 board meetings, demonstrating strong engagement[185]. Risk Management and Internal Controls - The audit committee is tasked with overseeing the Group's financial, risk management, and internal control systems, reporting to the Board on their effectiveness annually[134]. - The management is responsible for the design and implementation of risk management and internal control systems, while the audit committee oversees their effectiveness[136]. - The Group's risk management and internal control systems were reported as effective and adequate throughout the year ended December 31, 2024[142]. - The audit department is responsible for analyzing and assessing the adequacy and effectiveness of the Group's risk management and internal control systems, reporting directly to the audit committee[121]. Shareholder Communication - The Company maintains ongoing communication with shareholders through various channels, including the annual general meeting where management addresses shareholder inquiries[158]. - The Company's Shareholders' Communication Policy is available on its website, ensuring timely access to corporate information[162]. - Procedures for shareholders to convene a special general meeting require at least 10% of the paid-up capital[145]. - Shareholders holding at least 5% of the paid-up capital can request the Company to give notice of any resolution intended to be moved at a general meeting[151]. Employee and Management Policies - Employee benefit expenses for the year amounted to HK$352.6 million, with approximately 33.3% of the 470 employees being female[58][61]. - The Group emphasizes a strict recruitment policy and performance appraisal scheme, with remuneration policies aligned with industry practices and regularly reviewed[59]. - The company is focused on strategic appointments to strengthen its management and operational capabilities[176].

（於開曼群島註冊成立的有限公司） 股份代號：6816 2024 年 報 目錄 審核委員會 張志文先生 （主席） 陳艷女士 劉軍春先生 提名委員會 | 2 | 公司資料 | | --- | --- | | 3 | 主席報告 | | 4 | 管理層討論及分析 | | 12 | 企業管治報告 | | 19 | 董事會報告 | | 31 | 董事及高級管理層 | | 35 | 獨立核數師報告 | | 43 | 綜合損益表 | | 44 | 綜合全面收益表 | | 45 | 綜合財務狀況表 | | 47 | 綜合權益變動表 | | 48 | 綜合現金流量表 | | 49 | 綜合財務報表附註 | | 136 | 五年財務概要 | 公司資料 姜洪昌先生 （主席） 劉玉濤先生 張志文先生 陳艷女士 劉軍春先生 薪酬委員會 陳艷女士 （主席） 張志文先生 劉軍春先生 姜洪昌先生 劉玉濤先生 執行董事 姜洪昌先生 （主席） 劉玉濤先生 （行政總裁） 杜建志先生 董方女士 （副主席） 周宏宝先生 （運營總裁） 獨立非執行董事 張志文先生 陳艷女士 劉軍春先生 風險管理委員會 姜洪昌先生 （主席） 劉玉濤先生 杜建志先生 張志文先 ...

Research and Development - The company has over 100 ongoing research projects and has obtained more than 120 patents[1] - The company has eight Class 1 new drug projects that have entered clinical stages, including several high-value products[19] - The company is actively pursuing global licensing for new drug projects to enhance treatment options for patients[20] - The company has increased its R&D investment and efficiency, responding to national strategies for innovative drug development[19] - Total investment in drug research and development amounted to RMB 985,500,000, with R&D expenses increasing by 21.9% year-on-year[45] - The company is developing 45 new human drugs, including 22 Class 1 new drugs focused on endocrine, metabolism, and autoimmune diseases[45] - The company successfully entered into an exclusive licensing agreement with Novo Nordisk for its self-developed product UBT251, marking a significant milestone in its R&D progress[28] Financial Performance - The company reported a revenue of RMB 13,758,937,000 for 2024, a slight increase of 0.1% compared to RMB 13,739,879,000 in 2023[10] - Profit attributable to the company's owners decreased by 1.5% to RMB 2,659,704,000, down from RMB 2,701,350,000 in the previous year[10] - Basic earnings per share were RMB 146.39, reflecting a decrease of 1.5% from RMB 148.67[10] - The company declared a total annual dividend of RMB 56.0 per share, which is a 7.7% increase from RMB 52.0 in the previous year[10] - The gross profit was RMB 6,082,400,000, reflecting a year-on-year decline of 4.0%[49] - The net profit for the year was RMB 2,657,821 thousand, down from RMB 2,700,845 thousand in 2023, indicating a decrease of approximately 1.60%[171] - Operating cash flow for the year reached RMB 3,199,302,000, an increase from RMB 2,439,438,000 in the previous year[179] Market Position and Products - The company ranked 16th in the "2023 China Chemical Pharmaceutical Enterprises TOP 100" list[5] - The company’s insulin products were selected for the national centralized procurement program[5] - The company’s new drug UBT251 injection completed Phase Ia clinical research in healthy subjects in China[5] - The company’s amoxicillin potassium clavulanate tablets passed the consistency evaluation[5] - The company’s insulin injection application was accepted by the National Medical Products Administration of China[6] - The company’s amoxicillin sodium sterile API received CEP certification from the European Directorate for the Quality of Medicines[6] - The company’s new product, mupirocin ointment, received approval from the National Medical Products Administration for market launch[6] - Diabetes products achieved total sales revenue of RMB 1,248,300,000, marking a year-on-year increase of 9.5%[38] - Insulin product procurement volume increased by 52.5% due to successful selection in the national drug procurement program, leading to a significant rise in sales volume and market share[38] Corporate Governance and Management - The company has adopted the corporate governance code as per the Hong Kong Stock Exchange listing rules[122] - The board consists of six executive directors and three independent non-executive directors, with a total attendance rate of 100% for board meetings[125] - The company has achieved a gender diversity ratio of 33.3% on the board, with three out of nine directors being female[127] - The company maintains a gender ratio of 60% male to 40% female among its employees, including senior management[127] - The board has established five committees: Audit Committee, Remuneration Committee, Nomination Committee, Risk Management Committee, and Sustainability Committee[124] - The company has not appointed a CEO as of December 31, 2024, and plans to fill this position at an appropriate time[123] - All directors are required to participate in continuous professional development to enhance their knowledge and skills[129] Sustainability and ESG - The company was recognized as a "Benchmark Enterprise for ESG Comprehensive Governance" at the 2024 China International Service Trade Fair[6] - The company is committed to sustainable development, implementing advanced environmental technologies to reduce energy consumption and pollution emissions[26] - The company established a Sustainability Committee in December 2023 to set and update environmental, social, and governance goals and strategies[139] Financial Position and Assets - As of December 31, 2024, the group's current assets amounted to RMB 16,070,700,000, an increase from RMB 13,787,200,000 in 2023[55] - The total assets of the group reached approximately RMB 25,833,100,000, up from RMB 21,017,200,000 in the previous year[55] - Total liabilities increased to RMB 11,397,800,000 in 2024 from RMB 8,269,600,000 in 2023[55] - Equity attributable to owners increased from RMB 12,734,800,000 in 2023 to RMB 14,388,300,000 in 2024[55] - The company's total equity reached RMB 14,435,240 thousand in 2024, compared to RMB 12,747,618 thousand in 2023, indicating an increase of about 13.23%[175] Shareholder Relations - The company aims to enhance investor confidence and deepen understanding of its business through effective communication strategies[152] - The company has established multiple communication channels with shareholders, including annual general meetings and reports published on its website[152] - The independent auditor's report confirms that the consolidated financial statements fairly reflect the group's financial position as of December 31, 2024[154] Compliance and Legal Matters - The company has not violated any relevant laws or regulations that significantly impact its business operations during the fiscal year ending December 31, 2024[116] - The group is involved in ongoing litigation to recover approximately RMB 343,000,000 from Chengdu Evergrande, with a court ruling in favor of the group for RMB 136,300,000[59]

Financial Performance - Total revenue for the year ended December 31, 2024, reached RMB 3,868 million, a 20% increase from RMB 3,224 million in 2023[9] - Gross profit for 2024 was RMB 902 million, with a gross margin of 23.3%, down from 26.6% in 2023[9] - Net profit attributable to shareholders for 2024 was RMB 353 million, resulting in a net profit margin of 9.1%, compared to 15.1% in 2023[9] - The company reported earnings per share of RMB 0.23 for 2024, a decrease from RMB 0.32 in 2023[9] - Core net profit increased by 5.1% year-on-year to RMB 512 million[71] - The net profit for the year was RMB 285.8 million, a decrease of 42.8% compared to RMB 499.9 million in the previous year[132] - The profit attributable to the company's owners was RMB 352.9 million, down 27.5% from RMB 487.0 million year-on-year[133] - Revenue from property management services increased to RMB 1,462.9 million, a growth of 12.7% from RMB 1,298.6 million in the previous year[114] - Revenue from non-commercial property management and value-added services reached RMB 3,134.2 million, up 19.2% from RMB 2,630.1 million year-on-year[117] Assets and Equity - As of December 31, 2024, the total assets amounted to RMB 6,616 million, up from RMB 6,407 million in 2023[9] - The total equity attributable to shareholders increased to RMB 3,503 million in 2024, compared to RMB 3,444 million in 2023[9] - The group's intangible assets decreased from RMB 332.9 million as of December 31, 2023, to RMB 85.4 million as of December 31, 2024, primarily due to goodwill impairment of approximately RMB 236.9 million[137] Operational Expansion - The company managed a total area of 42.72 million square meters in residential properties, serving over 310,000 households[22] - The commercial and industrial park management area reached 11.43 million square meters as of December 31, 2024[27] - The total contracted area across various regions is 88.73 million square meters, with the Greater Bay Area accounting for 54.96 million square meters (62% of total)[54][53] - The company is actively pursuing market expansion across multiple regions, including East China, the Greater Bay Area, Northern China, and Central-Western regions[49][55] - The group signed 85 new projects in 2024, with a total contracted area of 13 million square meters, bringing the total managed projects to 437 and total managed area to 69 million square meters[75] Service Offerings and Innovations - The company plans to enhance its service offerings by integrating asset management with property management and operational services[24] - The company is expanding its service offerings to include community management services centered around residents' daily needs, such as retail and home services[37] - The asset management services include a comprehensive solution for property leasing, renovation, and management, aimed at enhancing asset value for owners[40] - The company is leveraging digital technologies like IoT and big data to transform physical spaces into smart environments, focusing on various sectors including residential and commercial[44] - The group aims to enhance service quality and customer experience through digital applications and AI tools, focusing on improving response efficiency[78] Corporate Governance - The board of directors is composed of three executive directors, three non-executive directors, and three independent non-executive directors, ensuring a balance of skills and experience[164] - The company has mechanisms in place to ensure board independence, which is crucial for good corporate governance and effective decision-making[174] - The board confirmed that there are no significant uncertainties regarding the company's ability to continue as a going concern[184] - The company has established guidelines for managing and disclosing inside information to ensure timely assessment of facts that may significantly impact the company's stock price[190] - The company emphasizes the importance of compliance with corporate governance codes and has established a written terms of reference for the Audit Committee[194] Employee and Operational Costs - The total employee cost for the year amounted to RMB 1,120.1 million, with 10,422 full-time employees as of December 31, 2024[155] - Administrative expenses rose to RMB 296.4 million, a 6.1% increase from RMB 279.3 million in the previous year[129] Recognition and Awards - The company was recognized as one of the top 12 property service companies in China for 2024 by the China Index Academy[60] - The group received multiple recognitions, including being ranked 12th in the "2024 Top 100 Property Service Companies in China" and achieving an A rating in ESG management from MSCI[76] Dividends and Financial Management - The company proposed a final dividend of HKD 0.083 per share, totaling HKD 0.183 per share for the entire year when combined with the interim dividend[71] - The proposed final dividend for the year is HKD 0.083 per share, totaling HKD 0.183 per share for the fiscal year ending December 31, 2024, which is a decrease from HKD 0.187 per share in 2023[136] - The company plans to distribute dividends of no less than 30% of the distributable net profit attributable to shareholders annually, subject to various factors including operational performance and financial condition[191]

Financial Performance - The Group's net profit for the year increased by 31.2% to RMB170.9 million compared to last year[11]. - Total revenue for the year was RMB2,261.3 million, representing an increase of 2.0% year-on-year, with urban water treatment operations accounting for 95.5% of the total[12]. - Revenue from construction services increased by 53.2% to RMB266.0 million compared to last year due to the completion of certain construction-in-progress projects[12]. - The actual wastewater treatment volume reached 1,278.4 million tonnes, representing a slight increase of 1% compared with last year[12]. - The overall gross profit margin for the year stood at 48.2%, remaining largely flat compared to 48.5% for the same period last year[12]. - Total operating revenue for the Group's Urban Water Treatment services was RMB1,176.2 million for the year ended December 31, 2024, a decrease of approximately 7% from RMB1,265.3 million in 2023[39]. - The Group's gross profit margin for the year remained stable at 48.2%, compared to 48.5% in the previous corresponding period[55]. - The Group's cost of sales for the year was RMB1,172.3 million, representing an increase of approximately 3% from RMB1,140.4 million in the previous period[51]. Cash Flow and Financing - Net operating cash inflow of RMB403.1 million was recorded for the year, which had remained positive since 2019[16]. - The average borrowing interest rate for the year decreased by 0.44 percentage points to 5.51% compared with last year[17]. - Finance costs amounted to approximately RMB544.2 million, representing a decrease of 6.0% compared with last year[17]. - The Group recorded an operating cash inflow of RMB 403.1 million for the year, maintaining positive cash flow since 2019[19]. - As of December 31, 2024, the Group's debt-to-asset ratio improved to 68.6% from 69.6% in the previous year, while the current ratio increased to 1.32 from 1.15[19]. - The average borrowing rate decreased by 0.44 percentage points to 5.51%, resulting in financing costs of approximately RMB 544.2 million, a reduction of 6.0% year-on-year[19]. - The Group's total interest-bearing debts decreased to RMB 9,854.0 million as of December 31, 2024, from RMB 9,917.0 million as of December 31, 2023, with 69.4% classified as long-term[94]. - The gearing ratio decreased to 68.6% as of December 31, 2024, compared to 69.6% in the previous year[95]. Operational Capacity and Projects - The Group operated 105 service concession arrangement projects with a total operational treatment capacity exceeding 4 million tons per day as of December 31, 2024[27]. - The total daily treatment capacity for wastewater, reclaimed water, and sludge treatment plants in operation reached 4,089,500 tonnes, 65,000 tonnes, and 550 tonnes respectively, showing an increase from 4,024,500 tonnes in 2023 for wastewater treatment[38]. - The actual aggregate processing volume for the year ended December 31, 2024, was 1,278.4 million tonnes, representing a minor increase compared to 1,265.7 million tonnes in 2023[38]. - The Group had 100 wastewater treatment projects, 2 reclaimed water treatment projects, and 3 sludge treatment projects in operation as of December 31, 2024[38]. - The total daily treatment capacity of service concession arrangements still in the construction stage was 50,500 tonnes as of December 31, 2024[44]. Strategic Initiatives and Future Plans - The Group plans to seek reasonable adjustments to wastewater treatment prices to offset rising operational costs and enhance profitability[21]. - The Group aims to optimize its debt structure during the interest rate cut cycle to further reduce financing costs[21]. - The Group is focused on expanding its Urban Water Treatment chain to improve profitability and competitiveness[33]. - The Group is confident in the sustainable development of the wastewater treatment industry, supported by national policies promoting private enterprises[20]. - The Group will enhance energy-saving and cost-reduction measures to improve operational efficiency and gross margins[21]. - The Group is focusing on integrating resources to execute Water Environment Comprehensive Remediation projects under EPC and O&M contracts[45]. - The company aims to expand its market presence and enhance its operational efficiency through strategic investments and management practices[116]. Governance and Management - The Group has complied with all applicable provisions of the Corporate Governance Code during the year ended December 31, 2024[133]. - The Board of Directors is responsible for overseeing the Group's businesses, strategic decisions, and performance, with authority delegated to the CEO and senior management for day-to-day operations[147]. - The Company has established a corporate governance framework, ensuring compliance with the Listing Rules, including the appointment of at least three independent non-executive Directors[153]. - The Board is collectively responsible for corporate governance duties and has reviewed the Company's policies and practices on compliance with legal and regulatory requirements[169]. - The Company is committed to developing and monitoring policies on corporate governance, compliance, and ethical conduct[172]. - The Board has established three committees: the nomination committee, the remuneration committee, and the audit committee[190]. - The Nomination Committee is tasked with reviewing Board composition and assessing the independence of independent non-executive Directors[168]. - The Company ensures compliance with applicable laws and regulations through the Board's oversight and independent professional advice[195]. Human Resources - The Group had 2,285 employees as of December 31, 2024, with remuneration packages determined based on market conditions and individual performance[101]. - The attendance record for Board meetings shows full participation from most Directors, with Li Zhong, Liu Yujie, and Duan Jerry Linnan attending all 9 meetings[186]. - All Directors participated in continuous professional development, including updates on rules and regulations[180]. Environmental Commitment - The Group actively promotes a green and low-carbon culture by developing and applying new technologies in sewage treatment projects to improve energy efficiency[141]. - The Group organized a "Public Open Day for Environmental Protection Facilities" to raise public awareness of ecological environment protection and water conservation[144]. - The Group aims to achieve harmonious development of people, nature, and the environment by focusing on building an environment-friendly and resource-saving enterprise[145].

Financial Performance - The company reported a total revenue of HKD 1.2 billion for the fiscal year ending December 31, 2024, representing a year-over-year increase of 15%[13]. - The group's revenue increased approximately 136% from about MOP 88.2 million for the year ended December 31, 2023, to about MOP 208.1 million for the year ended December 31, 2024[15]. - The group's net profit after tax for the year ended December 31, 2024, was approximately MOP 24.1 million, compared to a net loss of about MOP 18.5 million in the previous fiscal year[15]. - The group's gross profit increased from approximately MOP 14.7 million for the year ended December 31, 2023, to approximately MOP 49.5 million for the year ended December 31, 2024, representing a growth of about 236.3%[25]. - The gross profit margin improved from approximately 16.7% in 2023 to approximately 23.8% in 2024, primarily due to the increase in gross profit margin from renovation projects[27]. - The company's cash flow from operations increased by 18%, amounting to HKD 250 million, indicating strong operational performance[13]. - Basic earnings per share for the year ended December 31, 2024, was MOP 0.060, an increase of MOP 0.106 compared to a loss of MOP 0.046 per share in 2023[33]. Market Expansion and Strategy - The company provided a forward guidance of 10-12% revenue growth for the next fiscal year, driven by new product launches and market expansion strategies[13]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share within the next two years[13]. - The company launched two new products in Q3 2024, contributing to a 5% increase in overall sales[13]. - The company is preparing for future business development and has identified key risks and uncertainties in its operations[149]. - The company aims to expand its market presence and explore new strategies for growth in the construction and renovation sectors[149]. Investments and Acquisitions - Investment in new technology development increased by 25%, totaling HKD 300 million, focusing on enhancing operational efficiency[13]. - A strategic acquisition of a local competitor was completed, valued at HKD 500 million, expected to enhance the company's service offerings[13]. - The company has entered into a property purchase agreement in Hong Kong for HKD 10.4 million, aimed at expanding its business operations[51]. Operational Performance - The group completed 24 projects and was awarded 26 projects during the fiscal year ending December 31, 2024[15]. - The total value of new awarded renovation projects was approximately MOP 196.3 million for the year ended December 31, 2024, compared to about MOP 100.1 million for the year ended December 31, 2023[22]. - Renovation project revenue increased by approximately MOP 121.0 million or 166.1% for the year ended December 31, 2024[23]. - The revenue from retail shops and restaurants increased by approximately MOP 113.6 million or 186.0% for the year ended December 31, 2024[24]. Corporate Governance - The board of directors has confirmed compliance with all corporate governance codes for the fiscal year ending December 31, 2024[59]. - The board consists of seven members, including three independent non-executive directors, ensuring over one-third of the board is independent[72]. - The company has adopted the corporate governance code principles as the foundation for its governance practices, enhancing shareholder value and accountability[58]. - The chairman and CEO roles are held by different individuals, ensuring a clear separation of responsibilities in leadership[71]. - The company has established appropriate insurance arrangements for directors and senior management against legal liabilities arising from company operations[76]. Risk Management - The company has a robust internal control and risk management system in place, overseen by the board and its committees[74]. - The risk management process includes identifying, assessing, and managing significant risks, with annual reporting procedures in place[111]. - The board and senior management assess risks based on their potential impact on financial performance and the likelihood of occurrence[111]. - The company has implemented several measures to eliminate risks and maintain them at an acceptable level[113]. Shareholder and Financial Policies - The board of directors is responsible for the preparation of the financial statements for the year ending December 31, 2024[115]. - The company has established a dividend policy without a preset payout ratio, allowing flexibility based on financial conditions[130]. - The group plans to distribute a final dividend of HKD 0.025 per ordinary share for the year ending December 31, 2024, pending shareholder approval[156]. - The company has a shareholder communication policy to ensure that shareholder concerns are addressed effectively[129]. Legal and Compliance Matters - The company is involved in a legal dispute regarding a property damage claim amounting to approximately HKD 48,950,000 related to the collapse of a residential building, with a court decision expected within six months[41]. - The company has confirmed that there are no significant uncertainties regarding its ability to continue as a going concern[116]. - The group has achieved compliance with all necessary registrations and certifications for its operations in Macau and Hong Kong as of December 31, 2024[151]. Employee and Management Information - The total employee costs for the year ending December 31, 2024, amounted to MOP 43.3 million, an increase from MOP 36.3 million in 2023[54]. - The senior management team currently has 0% female representation, with 2 male senior managers[100]. - The total employee workforce consists of 17.8% female (26 employees) and 82.2% male (120 employees)[100]. - The company encourages all directors to participate in relevant training courses, with costs covered by the company[78]. Community and Social Responsibility - The company is actively involved in community development and has leadership roles in various associations related to youth and construction in Macau[135]. - The company has adopted an anti-corruption policy, emphasizing integrity, fairness, and transparency, with a zero-tolerance approach to fraud and bribery[106].

Financial Performance - For Q1 2025, the company reported operating revenue of approximately RMB 888 million, a decrease of about 0.54% compared to the same period last year[8]. - Net profit attributable to shareholders was approximately RMB 136 million, down 15.55% year-on-year, while net profit excluding non-recurring gains and losses was approximately RMB 133 million, a decrease of 14.21%[8]. - Total revenue for Q1 2025 was RMB 887.95 million, a slight decrease of 0.09% compared to RMB 892.74 million in Q1 2024[23]. - Operating profit for Q1 2025 was RMB 131.12 million, down 25% from RMB 174.99 million in Q1 2024[23]. - Net profit attributable to shareholders for Q1 2025 was RMB 136.18 million, a decrease of 15.5% from RMB 161.25 million in Q1 2024[23]. - The company's basic and diluted earnings per share were both RMB 0.17, a decrease of 15.00% from the previous year[7]. - The basic earnings per share for Q1 2025 was RMB 0.17, down from RMB 0.20 in Q1 2024[24]. Research and Development - The company's R&D investment totaled RMB 267 million, accounting for 30.09% of operating revenue, down 2.19 percentage points from the previous year[7]. - Research and development expenses increased to RMB 247.89 million in Q1 2025, compared to RMB 245.30 million in Q1 2024, reflecting a focus on innovation[23]. Assets and Liabilities - Total assets at the end of the reporting period were RMB 921.82 million, an increase of 1.96% from the end of the previous year[7]. - Total assets increased to RMB 9.22 billion in Q1 2025 from RMB 9.04 billion in Q1 2024, indicating growth in the company's asset base[21]. - Total liabilities rose to RMB 2.54 billion in Q1 2025, up from RMB 2.50 billion in Q1 2024, reflecting increased borrowing[21]. Cash Flow - Cash flow from operating activities was negative at RMB -26.59 million, compared to a positive RMB 10.58 million in the same period last year[7]. - Cash flow from operating activities showed a net outflow of RMB 26.59 million in Q1 2025, contrasting with a net inflow of RMB 10.58 million in Q1 2024[26]. - The company's cash received from sales in Q1 2025 was RMB 788.16 million, an increase from RMB 751.06 million in Q1 2024[26]. - Cash inflow from investment activities totaled approximately $301.38 million, a significant increase from $161.10 million in the previous period, reflecting a growth of about 87%[27]. - Net cash outflow from investment activities was approximately -$60.01 million, improving from -$236.55 million year-over-year[27]. - Cash inflow from financing activities was $307 million, down from $445.72 million, indicating a decrease of about 31%[27]. - Net cash outflow from financing activities was -$34.19 million, compared to -$24.29 million in the previous period, showing a worsening of approximately 41%[27]. - The ending cash and cash equivalents balance was $940.71 million, an increase from $740.56 million year-over-year[27]. - Cash and cash equivalents decreased by $122.59 million during the period, compared to a decrease of $252.36 million in the previous period[27]. - Cash received from loans was $307 million, while cash paid for debt repayment was $327.1 million, indicating a net cash outflow in financing activities[27]. - The impact of exchange rate changes on cash and cash equivalents was a negative $1.80 million, slightly better than the previous year's impact of -$2.10 million[27]. Shareholder Information - The top shareholder, Hong Kong Central Clearing Limited, holds 284,225,830 shares, representing 34.60% of total shares[14]. - Shanghai Fudan Fuxin Technology Holdings Limited is the second-largest shareholder with 109,620,000 shares, accounting for 13.35%[14]. - The company has 23,460 A-share shareholders and 12 H-share shareholders as of the report date[15]. - Shanghai Zhengben Enterprise Management Consulting Partnership holds 35,682,011 shares, which are under judicial freeze[18]. - The company has a total of 6,000,000 shares held by CITIC Securities, representing 0.73% of total shares[14]. - The report indicates that there are no known relationships or concerted actions among the top shareholders, except for Shanghai Zhengben and Shanghai Nianjin[15]. Inventory and Receivables - Revenue from non-volatile memory decreased by approximately 18.82% year-on-year, impacting overall revenue[8]. - The company experienced an increase in credit impairment losses due to changes in accounts receivable and inventory aging, resulting in an increase of RMB 40.23 million in impairment losses compared to the previous year[9]. - Inventory as of March 31, 2025, stands at RMB 3,240,496,314.59, compared to RMB 3,134,456,903.75 in December 2024, indicating a growth of approximately 3.38%[20]. - Accounts receivable increased to RMB 1,660,266,121.79 from RMB 1,493,805,646.24, showing a growth of approximately 11.16%[20]. Other Financial Information - The gross profit margin for the product lines increased from 56.65% to 58.14% compared to the same period last year[8]. - The weighted average return on net assets decreased to 2.28%, down 0.71 percentage points year-on-year[7]. - The company reported a decrease in other comprehensive income, with a net amount of RMB -174.45 thousand in Q1 2025 compared to RMB 31.38 thousand in Q1 2024[24]. - The company plans to implement new accounting standards starting in 2025, which may affect the financial statements[27].

Financial Performance - The pre-tax profit for Q1 2025 decreased by $3.2 billion to $9.5 billion compared to Q1 2024, primarily due to the absence of a $3.7 billion net impact from the sale of Canadian and Argentine banking operations in Q1 2024 [6]. - The net profit after tax for Q1 2025 was $7.6 billion, a decrease of $3.3 billion from Q1 2024 [6]. - Excluding notable items, the pre-tax profit increased by $1 billion to $9.8 billion, driven by strong performance in wealth management and foreign exchange businesses [6]. - Revenue for Q1 2025 decreased by $3.1 billion to $17.6 billion, reflecting a 15% decline due to the impact of business disposals, particularly in Canada and Argentina [6]. - The company reported a significant increase in adjusted pre-tax profit to $9,766 million for the quarter, compared to $7,241 million in the previous quarter [21]. - The reported pre-tax profit for Q1 2025 was $9.484 billion, a decrease of 25% compared to $12.650 billion in Q1 2024 [34]. - Total revenue for Q1 2025 was $17.649 billion, down 15% from $20.752 billion in Q1 2024 [34]. - The company reported a pre-tax profit of $2.543 billion for Q1 2025, a 10% increase compared to Q1 2024 [76]. Credit Losses - Expected credit losses increased by $200 million to $900 million, reflecting increased provisions due to geopolitical tensions and economic uncertainties [6]. - The expected credit loss provisions as a percentage of total loans are anticipated to remain between 30 to 40 basis points for 2025 [7]. - Expected credit losses increased by 22% to $876 million in Q1 2025 from $720 million in Q1 2024 [34]. - The expected credit loss provisions for the first three months of 2025 were $0.9 billion, up from $0.7 billion in Q1 2024, reflecting the impact of deteriorating future economic outlook [157]. - The expected credit loss provisions for retail loans under a 100% consistent baseline scenario decreased by $0.1 billion, while for wholesale loans it decreased by $0.3 billion [197]. Operating Expenses - Operating expenses remained flat at $8.1 billion, with increases in technology spending and inflation effects offset by the impact of business disposals [6]. - Operating expenses for Q1 2025 were $8.102 billion, slightly up by 1% from $8.151 billion in Q1 2024 [34]. - The target for operating expense growth in 2025 is approximately 3% compared to 2024, with a goal to reduce costs by about $300 million [7]. - Operating expenses for Q1 2025 were stable at $1.1 billion, with no significant changes compared to previous quarters [81]. Capital and Dividends - The common equity tier 1 capital ratio was 14.7%, a decrease of 0.2 percentage points from Q4 2024, primarily due to an increase in risk-weighted assets [6]. - The board approved a dividend of $0.10 per share for Q1 2025 and plans to initiate a share buyback of up to $3 billion following the annual general meeting [6]. - The dividend payout ratio target for 2025 is set at 50%, excluding significant items [7]. - The total equity attributable to shareholders as of March 31, 2025, was $190,810 million, with tangible common equity of $160,398 million [147]. Business Segments Performance - The wealth management business reported a revenue increase of 21% to $2.290 billion in Q1 2025 from $1.893 billion in Q1 2024 [35]. - The wholesale banking business saw a revenue increase of 10% to $2.851 billion in Q1 2025 from $2.597 billion in Q1 2024 [35]. - In Q1 2025, the wholesale banking business recorded fees and other income of $2.9 billion, a 10% increase from Q1 2024, and a 13% increase on a constant currency basis, reflecting growth in global foreign exchange business [13]. - The insurance business showed strong performance with a 13% increase, and new business contract service income from insurance products grew by $1.1 billion, a 44% increase compared to Q1 2024 [13]. Strategic Initiatives - Strategic growth opportunities include enhancing wholesale banking capabilities and expanding wealth management, particularly in Asia [11]. - The company is focused on simplifying its organizational structure and aims to reduce annualized cost base by approximately $1.5 billion by the end of 2026 [11]. - The company plans to maintain a common equity tier 1 capital ratio target range of 14% to 14.5% [7]. - The company aims for an average tangible equity return of approximately 15% annually from 2025 to 2027, excluding significant items [7]. Market Conditions and Economic Outlook - The company continues to monitor economic and financial risks, particularly due to changes in trade policies and geopolitical developments, which could significantly impact operations and financial performance [153]. - The ongoing geopolitical risks, including U.S.-China strategic competition, may affect global supply chains and the company's operations [154]. - The company anticipates that public spending will continue to represent a high proportion of GDP in major economies, which may influence borrowing costs and fiscal sustainability [154]. - The commercial real estate market in mainland China continues to face challenges, with only first-tier cities showing improved sales momentum [155]. Customer Loans and Deposits - Customer loans net amount increased to $944,708 million, compared to $930,658 million in the previous quarter [21]. - The bank's customer deposits totaled $1.67 trillion as of March 31, 2025, compared to $1.66 trillion on December 31, 2024 [67]. - The increase in customer loans was primarily driven by corporate and institutional banking (up $7.2 billion) and international wealth management (up $1.9 billion), offset by declines in Hong Kong operations (down $1.6 billion) and corporate center (down $7.2 billion) [156]. Risk Management - The company employs significant judgment and estimates in measuring expected credit losses, reflecting current economic conditions and potential risks [167]. - The expected credit loss sensitivity analysis indicates that the provisions are highly sensitive to economic forecasts, with significant adjustments based on management's judgment [196]. - The management adjusted the expected credit loss provision by an increase of $300 million as of March 31, 2025, compared to an increase of $100 million on December 31, 2024 [192].

Financial Performance - PuraPharm Corporation Limited reported a revenue increase of 15% year-over-year, reaching HKD 1.2 billion for the fiscal year 2024[3]. - The company achieved a net profit margin of 20%, translating to a net profit of HKD 240 million, compared to HKD 200 million in the previous year[3]. - The company reported a significant increase in revenue, achieving a total of $1.5 billion for the fiscal year, representing a 20% year-over-year growth[22]. - The company provided an optimistic outlook for the next fiscal year, projecting a revenue growth of 25%[24]. - The company reported a revenue of HKD 382.1 million for the year ending December 31, 2024, a decrease of HKD 24.8 million or 6.1% compared to HKD 406.9 million in the previous year[74]. - The group’s revenue for the year ended December 31, 2024, was HKD 382.1 million, a decrease of HKD 24.8 million or 6.1% compared to HKD 406.9 million in the previous year[132]. Market Expansion and Product Development - User data indicated a growth in active customers by 25%, totaling 500,000 users as of December 31, 2024[3]. - The company plans to launch three new herbal products in Q2 2025, aiming for a 10% increase in market share within the next fiscal year[3]. - PuraPharm is expanding its market presence in Southeast Asia, targeting a revenue contribution of 30% from this region by 2026[3]. - The company is expanding its market presence in Asia, targeting a 30% increase in market share within the next two years[26]. - New product launches are expected to contribute an additional $300 million in revenue, with a focus on innovative technology solutions[25]. - The company launched a new immune-boosting product, Yikangshi+, which is rich in vitamin C and produced in Japan[48]. - The company launched a new product line, the Natural Pure Extract Drink series, targeting young consumers, with sales in major chain pharmacies and convenience stores[62]. Research and Development - The company has allocated HKD 100 million for R&D in new technologies related to traditional Chinese medicine over the next two years[3]. - Research and development investments increased by 10%, focusing on advanced healthcare technologies and digital solutions[28]. - The company established a new R&D center in Nanning to enhance its product development capabilities and prepare for the standardization of concentrated Chinese medicine granules[55]. - The company continues to increase R&D investment and collaborates with top universities and research institutions in Hong Kong to enhance traditional Chinese medicine (TCM) research, focusing on clinical trials and molecular biology[80]. - The company has established a national research center for medicinal plants and seeds in Guizhou to protect herbal varieties and promote biodiversity[182]. Sustainability and ESG Initiatives - PuraPharm's environmental, social, and governance (ESG) initiatives are expected to enhance brand reputation and customer loyalty, contributing to long-term growth[3]. - The board of directors emphasized the importance of sustainability initiatives, aiming for a 50% reduction in carbon footprint by 2025[30]. - The company received the InnoESG Award for its contributions to creating a more sustainable society and environment[53]. - The company is actively seeking measures to improve energy efficiency and reduce emissions, particularly in response to climate risks affecting herbal supply stability[180]. - The company has implemented a sustainable procurement policy to manage environmental and social risks within its supply chain[183]. - The company aims to reduce total greenhouse gas emissions intensity and energy intensity by 2030, using 2020 as the baseline year[198]. Operational Efficiency - The company reported a 5% increase in gross margin, now at 60%, due to improved operational efficiencies[3]. - Sales and distribution expenses for the year ended December 31, 2024, were HKD 64.9 million, a decrease of HKD 26.8 million or 29.2% from HKD 91.7 million in the previous year, primarily due to effective marketing cost control[144]. - The percentage of sales and distribution expenses to revenue decreased from 22.5% in 2023 to 16.9% in 2024[144]. - Administrative expenses for the year ended December 31, 2024, were HKD 159.5 million, a decrease of HKD 12.0 million or 7.0% from HKD 171.5 million in the previous year[145]. Acquisitions and Partnerships - PuraPharm is exploring potential acquisitions to enhance its product portfolio, with a focus on companies specializing in herbal supplements[3]. - A strategic acquisition of a smaller tech firm was completed, expected to enhance the company's product offerings and increase operational efficiency[27]. - The company has established partnerships with leading universities to foster innovation and drive research in emerging technologies[31]. Employee and Financial Health - The total employee cost for the year ending December 31, 2024, was HKD 101.5 million, down from HKD 130.8 million in 2023, reflecting a reduction of approximately 22.4%[163]. - The group had 479 employees as of December 31, 2024, a decrease of 27.6% from 662 employees in the previous year[163]. - Cash and cash equivalents decreased by HKD 7.3 million or 36.4% to HKD 12.8 million from HKD 20.1 million in the previous year[155]. - The current ratio decreased from 0.6 in 2023 to 0.5 in 2024, primarily due to a significant reduction in trade receivables[158]. - The debt-to-equity ratio increased from 2.5 in 2023 to 3.1 in 2024, mainly due to a decrease in equity from the net loss for the year[158]. Quality Control and Compliance - The company implements strict quality control measures to ensure the highest product quality, adhering to GMP standards from NMPA, TGA, and USP[190]. - All product batches undergo multiple tests before packaging, utilizing advanced testing technologies such as FTIR and UHPLC for safety assessments[190]. - The company has established standardized complaint handling procedures, ensuring no significant product-related complaints or recalls during the reporting period[192]. - The company is committed to protecting customer privacy and complies with the Personal Data (Privacy) Ordinance, ensuring data protection principles are followed[192].