Company Overview - Ziyuanyuan Holdings Group Limited is incorporated in the Cayman Islands and listed on the GEM of the Hong Kong Stock Exchange[1]. - The company operates primarily in China and Hong Kong, with significant business locations in Shenzhen and Kowloon[8]. - The board of directors includes Mr. Zhang Junshen as Chairman and CEO, and Mr. Tian Zhiwei as an executive director[7]. - The company has a range of principal banks including Guangdong Huaxing Bank and Agricultural Bank of China, indicating strong financial partnerships[8]. - The company operates primarily in the PRC, with all revenue and major non-current assets attributable to this region[20]. Financial Performance - Total revenue for the six months ended June 30, 2024, was RMB 187,326,000, an increase of 6.7% compared to RMB 175,623,000 in 2023[10]. - Income from trading of medical equipment and consumables rose to RMB 160,410,000, up 8.4% from RMB 147,171,000 in the previous year[10]. - Profit before income tax for the period was RMB 8,424,000, compared to RMB 7,336,000 in 2023, reflecting a year-over-year increase of 14.9%[10]. - The company reported a profit and total comprehensive income for the period of RMB 6,183,000, up from RMB 5,764,000 in the same period last year, indicating a growth of 7.3%[10]. - Earnings per share for the period attributable to owners of the company was 1.41 RMB cents, a decrease from 1.53 RMB cents in 2023[10]. Assets and Liabilities - Net current assets increased to RMB 284,716,000 as of June 30, 2024, compared to RMB 199,640,000 at the end of 2023, representing a growth of 42.6%[11]. - Non-current assets totaled RMB 181,582,000 as of June 30, 2024, compared to RMB 155,592,000 at the end of 2023, marking an increase of 16.7%[11]. - The company’s total equity increased to RMB 361,472,000 as of June 30, 2024, up from RMB 315,289,000 at the end of 2023, reflecting a growth of 14.6%[12]. - The Group's trade receivables as of June 30, 2024, were RMB 186,789,000, down from RMB 206,411,000 as of December 31, 2023, indicating a decrease of approximately 9.49%[42]. - The total past due finance lease receivables amounted to RMB 6,049,000 as of June 30, 2024, down from RMB 14,144,000 as of December 31, 2023, indicating a significant improvement in collection[41]. Cash Flow and Financing - The company reported a net cash used in operating activities of RMB (111,337,000) for the first half of 2024, a significant decrease from RMB 21,481,000 generated in the same period of 2023[14]. - Cash and cash equivalents at June 30, 2024, totaled RMB 24,413,000, slightly up from RMB 24,275,000 at the same date in 2023[14]. - The company issued new shares, raising a total of RMB 40,000,000 during the period[13]. - As of June 30, 2024, total bank borrowings amounted to RMB 158,602,000, an increase of 96.5% from RMB 81,389,000 as of December 31, 2023[56]. - The Group's bank borrowings guaranteed by Mr. Zhang and Ms. Tang included RMB 7,100,000 and RMB 30,000,000, with the latter being newly guaranteed as of June 30, 2024[57]. Operational Highlights - The Group completed the acquisition of Wuhan Meikangmao Health Management Co., Ltd. in April 2024 for a consideration of RMB 40.0 million, enhancing its postpartum care service offerings in China[63]. - The Group is focusing on expanding its services in the maternal and child postpartum care industry, which includes health care, dietary nutrition, recovery, and intellectual development for newborns[73]. - Revenue from maternal and child postpartum care services was RMB 11.9 million, impacted by weak market sentiment and a declining birth rate in China[77]. - The Group provided finance leasing services to approximately 4,900 SMEs across 30 provinces in China as of June 30, 2024[72]. Corporate Governance - The company has a dedicated audit committee to oversee financial reporting and compliance[7]. - The Audit Committee has reviewed the unaudited condensed consolidated financial statements for the six months ended 30 June 2024, confirming compliance with applicable accounting standards and adequate disclosures[125]. - The Company maintains high standards of corporate governance, complying with the Corporate Governance Code except for a deviation from code provision C.2.1[117]. - The roles of chairman and chief executive officer are held by Mr. Zhang Junshen, which the Board believes does not impair the balance of power[118]. Shareholding Structure - Directors Mr. Zhang Junshen and Mr. Zhang Junwei each held 300,000,000 shares, representing approximately 69.77% of the shareholding[104]. - The ultimate controlling shareholders, Mr. Zhang Junshen and Mr. Zhang Junwei, are deemed to be interested in 69.77% of the issued share capital of the Company[105]. - The Company has confirmed that none of the Directors or controlling shareholders have interests in any competing business during the period[111]. Risks and Challenges - The company emphasizes the potential risks associated with investing in GEM-listed companies, highlighting market volatility[3]. - The Group anticipates that the healthcare industry will become a new economic breakthrough with significant value-added potential post-pandemic[79]. - The Group plans to continue increasing investment in various businesses to find opportunities despite the grim global economic situation in 2024[79].
紫元元(08223) - 2024 - 中期财报