Company Overview - Baiying Holdings Group Limited is listed on the GEM with a focus on small and medium-sized enterprises, which generally carry higher investment risks[1]. - The report period covers six months ending June 30, 2024, providing insights into the company's financial performance and market activities[5]. - The company has subsidiaries including Fujian Baiying Paper Industry Co., Ltd., established in January 2021, contributing to its operational scope[5]. Financial Performance - Revenue decreased from RMB 16.9 million for the six months ended June 30, 2023, to RMB 14.7 million for the six months ended June 30, 2024, representing a decline of approximately 13.0%[9]. - The company recorded a loss of RMB 7.5 million for the six months ended June 30, 2023, which increased to a loss of RMB 9.7 million for the six months ended June 30, 2024[9]. - Total revenue decreased from RMB 168.65 million for the six months ended June 30, 2023, to RMB 146.80 million for the six months ended June 30, 2024, primarily due to a decrease in factoring service income by RMB 26.3 million and packaging paper sales by RMB 42 million, partially offset by an increase in vinegar and other condiments revenue by RMB 35 million[29]. - The company reported a net loss of RMB 9,704,001 for the six months ended June 30, 2024, compared to a loss of RMB 7,468,480 in the same period last year, representing a 30.06% increase in losses[76]. - Basic and diluted loss per share was RMB (3.60), compared to RMB (2.77) for the same period in 2023[76]. Revenue Breakdown - Financing services generated revenue of RMB 2.8 million for the six months ended June 30, 2024, accounting for 19.0% of total revenue[10]. - The revenue from vinegar and other condiments for the six months ended June 30, 2024, was RMB 5.6 million, accounting for 38.1% of total revenue[22]. - The revenue from packaging and paper products for the six months ended June 30, 2024, was RMB 6.3 million, representing 42.9% of total revenue[22]. - Revenue from the sale of packaging and paper products was RMB 6,293,347, down 39.5% from RMB 10,449,316 in the previous year[87]. - Revenue from the sale of vinegar and other condiments increased significantly to RMB 5,335,480, up 177.5% from RMB 1,925,780 in the same period last year[87]. Expenses and Losses - Administrative expenses rose from RMB 58.16 million to RMB 81.51 million, mainly due to underutilization of capacity leading to increased management costs by RMB 20 million[32]. - The company recorded a loss of RMB 75 million for the six months ended June 30, 2023, which increased to RMB 97 million for the six months ended June 30, 2024, attributed to decreased revenue and increased administrative and sales expenses[36]. - Other income decreased from RMB 7 million to RMB 2 million, mainly due to a reduction in government subsidies by RMB 4 million[30]. - The company’s tax expenses increased from RMB 3 million to RMB 10 million for the six months ended June 30, 2024[35]. Cash Flow and Assets - As of June 30, 2024, cash and cash equivalents decreased to RMB 9.966 million from RMB 13.649 million as of December 31, 2023, primarily due to increased sale-leaseback services[44]. - The net cash used in operating activities for the six months ended June 30, 2024, was RMB 22.5 million, mainly due to an operating loss of RMB 6.7 million and negative impacts from changes in working capital[39]. - Total current assets decreased from RMB 158.0 million as of December 31, 2023, to RMB 116.983 million as of June 30, 2024, primarily due to a decrease in loans and receivables by RMB 5.2 million and cash and cash equivalents by RMB 3.7 million[43]. - The company's net assets decreased from RMB 238.9 million as of December 31, 2023, to RMB 229.2 million as of June 30, 2024[43]. Governance and Compliance - The company has a diverse board of directors and committees overseeing various aspects of governance and compliance, ensuring accountability[7]. - The report indicates that the company is committed to transparency and accuracy in its financial reporting, as confirmed by the board of directors[1]. - The company complied with all applicable regulations for the six months ended June 30, 2024[28]. - The company has fully complied with the corporate governance code as per GEM listing rules during the reporting period[70]. Future Outlook and Strategy - The company plans to establish a benchmark market in Fujian for its vinegar products and expand its online e-commerce business[9]. - The group aims to optimize its leasing business structure and ensure sustainable development amid challenges in the financing leasing industry[56]. - The group continues to enhance its vinegar production and sales segment, focusing on brand penetration and expanding distribution channels[57]. Shareholder Information - Mr. Zhou Yongwei holds 124,143,908 shares, representing 45.98% of the total issued share capital[63]. - Septwolves Holdings owns 118,968,750 shares, accounting for 44.06% of the total issued share capital[63]. - Zijiang Capital has a beneficial ownership of 37,968,750 shares, which is 14.06% of the total issued share capital[63]. - The company did not recommend any interim dividend for the six months ended June 30, 2024[67]. Financial Reporting and Standards - The financial report was prepared in accordance with Hong Kong Accounting Standards and has been reviewed by an independent auditor[85]. - The report indicates that the company has not applied any new accounting standards or interpretations that have not yet come into effect during the reporting period[86].
百应控股(08525) - 2024 - 中期财报