Financial Results - Huakang Biomedical Holdings Company Limited reported its unaudited condensed consolidated financial results for the six months ending June 30, 2025[2]. - Revenue for the six months ended June 30, 2025, reached approximately RMB12.3 million, a 3.4% increase from approximately RMB11.9 million for the corresponding period[21]. - The loss for the Reporting Period was approximately RMB2.4 million, an increase of approximately RMB590,000 or 33.2% compared to approximately RMB1.8 million in the Corresponding Period, mainly due to increased administrative expenses[50]. - Basic loss per share for the Reporting Period was RMB0.47, compared to RMB0.38 for the Corresponding Period[54]. - Total comprehensive expense for the period attributable to owners of the Company was RMB2,019,000, slightly up from RMB2,015,000 in the previous year[148]. - The total comprehensive expense for the period ended June 30, 2025, was RMB(2,019,000), which includes a loss of RMB(2,369,000)[151]. - The Group recorded a gross profit of approximately RMB8.4 million for the reporting period, representing a 5.3% increase from approximately RMB8.0 million for the corresponding period[36]. - The gross profit margin increased from approximately 67.0% for the corresponding period to approximately 68.3% for the reporting period[36]. Market and Product Development - The company plans to expand its market presence and develop new products and technologies[11]. - The commercialization of semen biochemical immunoassay equipment is expected to begin in the second half of 2025, following its Class II medical device registration[22]. - The new fertility support policy issued by the PRC in October 2024 is anticipated to drive market demand growth for the Group's products[26]. - The Group aims to integrate global resources with local capabilities to expand domestic and overseas women's health markets[25]. - The Group plans to deepen technological research and development and expand its distribution network, targeting emerging markets such as Southeast Asia[31]. Corporate Governance - The board of directors collectively and individually accepts full responsibility for the accuracy and completeness of the information contained in the report[9]. - The board of directors includes both executive and non-executive members, ensuring diverse oversight[12]. - The Audit Committee consists of three independent non-executive Directors, ensuring compliance with GEM Listing Rules and CG Code[137]. - The Company has adopted a code of conduct for securities transactions by Directors, confirming full compliance during the Relevant Period[127]. - The Board is committed to high corporate governance standards, enhancing transparency and accountability[122]. Financial Position and Cash Flow - As of June 30, 2025, the Group recorded total cash and bank balances of approximately RMB36.7 million, an increase from RMB36.5 million as of December 31, 2024, primarily due to unsecured borrowing from a licensed money lender[69][71]. - The Group entered into loan agreements with a licensed money lender totaling HK$4 million, with a fixed interest rate of 9% per annum, repayable within 12 months[73][77]. - As of June 30, 2025, the unsecured borrowings and lease liabilities were approximately RMB2.3 million and RMB1.3 million respectively, resulting in a gearing ratio of approximately 7.0%, up from 2.2% as of December 31, 2024[74][76]. - The Group had 98 full-time employees as of June 30, 2025, an increase from 91 employees as of December 31, 2024[76][78]. - The company experienced a net cash inflow from financing activities of RMB1,575,000 in the first half of 2025, down from RMB6,897,000 in 2024[152]. Acquisitions and Investments - The Group completed the acquisition of Hunan Keyue Biotechnology Company Limited on June 26, 2025, to enhance its women's health market presence[25]. - The Group completed the acquisition of 91% of Keyue Bio for approximately RMB317,000 on June 26, 2025[87]. - The fair value of identifiable net assets of Keyue Bio at the acquisition date was approximately RMB349,000[200]. - The Group acquired property, plants, and equipment worth approximately RMB404,000 in 2025, up from approximately RMB301,000 in 2024, marking a growth of 34.2%[195]. Revenue and Expenses - Sales of core male fertility IVD reagents grew by 3.4% to approximately RMB9.9 million, accounting for 80.6% of the segment's total revenue[21]. - Revenue from sales of parasite antibody detection reagents rose to approximately RMB1.5 million, reflecting sustained market demand[21]. - Selling and distribution expenses decreased by approximately RMB381,000 or 9.8%, from approximately RMB3.9 million in the Corresponding Period to approximately RMB3.5 million in the Reporting Period, due to strict cost control[46]. - Administrative expenses increased significantly by approximately RMB916,000 or 21.5%, from approximately RMB4.3 million in the Corresponding Period to approximately RMB5.2 million in the Reporting Period, primarily due to professional fees for an acquisition[47]. - Research and development expenses decreased by approximately RMB159,000 or 8.0%, from approximately RMB2.0 million in the Corresponding Period to approximately RMB1.8 million in the Reporting Period[48]. Shareholding and Equity - As of June 30, 2025, Li King Yeung held 138,672,000 ordinary shares, representing 27.7% of the total shareholding[110]. - As of June 30, 2025, Yu Chi Mau held 120,752,000 ordinary shares, representing 24.1% of the total shareholding[110]. - The total number of shares in issue as of June 30, 2025, was 500,472,000[111]. - Total equity amounted to approximately RMB52.1 million as of June 30, 2025, down from approximately RMB54.0 million as of December 31, 2024[75][76]. Compliance and Regulatory Matters - The company is required to comply with the GEM Listing Rules of the Stock Exchange of Hong Kong Limited[4]. - There have been no changes in the information of Directors required to be disclosed under GEM Listing Rules during the reporting period[120]. - The Company has not purchased, sold, or redeemed any listed securities during the reporting period[119]. - No incidents of non-compliance with the Required Standard by relevant employees were noted by the Company[128].
华康生物医学(08622) - 2025 - 中期业绩