赛目科技(02571) - 2025 - 中期业绩

2025 Interim Results Highlights Financial Highlights The company achieved significant financial growth in the first half of 2025, with revenue increasing by 63.7% year-on-year and a successful turnaround to profit, with profit attributable to owners of the company reaching RMB 1,316 thousands Financial Performance Summary | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 90,959 | 55,560 | 63.7 | | Gross Profit | 57,974 | 39,064 | 48.4 | | Profit/(Loss) Before Income Tax | 1,388 | (6,746) | — | | Profit/(Loss) Attributable to Owners of the Company | 1,316 | (4,743) | — | | Basic and Diluted Earnings/(Loss) Per Share (RMB yuan) | 0.01/0.01 | (0.05)/(0.05) | — | Interim Results Condensed Consolidated Statement of Comprehensive Income In the first half of 2025, the Group's revenue significantly increased, successfully achieving profitability and reversing the loss from the same period last year, with notable improvements in gross profit and financial income, alongside increased R&D expenses Condensed Consolidated Statement of Comprehensive Income | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Revenue | 90,959 | 55,560 | | Cost of Sales | (32,985) | (16,496) | | Gross Profit | 57,974 | 39,064 | | Other Income | 14,580 | 13,482 | | Net Other Gains/(Losses) | 544 | (449) | | Selling and Marketing Expenses | (4,260) | (5,179) | | General and Administrative Expenses | (17,714) | (14,850) | | Research and Development Expenses | (54,461) | (41,106) | | Reversal of Impairment Loss on Financial and Contract Assets | 3,004 | 1,931 | | Operating Loss | (333) | (7,107) | | Share of Profit/(Loss) of Investments Accounted for Using Equity Method | 34 | (662) | | Finance Income | 4,316 | 1,707 | | Finance Costs | (2,629) | (684) | | Profit/(Loss) Before Income Tax | 1,388 | (6,746) | | Income Tax (Expense)/Credit | (999) | 2,147 | | Profit/(Loss) for the Period | 389 | (4,599) | | Profit/(Loss) Attributable to Owners of the Company | 1,316 | (4,743) | | Non-controlling Interests | (927) | 144 | | Total Comprehensive Income/(Loss) for the Period | 122 | (4,599) | Earnings Per Share | Metric | 2025 (RMB yuan) | 2024 (RMB yuan) | | :--- | :--- | :--- | | Basic Earnings/(Loss) Per Share | 0.01 | (0.05) | | Diluted Earnings/(Loss) Per Share | 0.01 | (0.05) | Condensed Consolidated Statement of Financial Position As of June 30, 2025, the Group's total assets significantly increased, primarily driven by an increase in financial assets at fair value through profit or loss and cash and cash equivalents within current assets, while total liabilities decreased and shareholders' equity substantially improved Condensed Consolidated Statement of Financial Position | Metric | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | ASSETS | | | | Total Non-current Assets | 220,291 | 172,251 | | Total Current Assets | 748,862 | 495,709 | | TOTAL ASSETS | 969,153 | 667,960 | | EQUITY | | | | Equity Attributable to Owners of the Company | 884,040 | 553,578 | | Non-controlling Interests | 3,203 | 4,130 | | TOTAL EQUITY | 887,243 | 557,708 | | LIABILITIES | | | | Total Non-current Liabilities | 41,002 | 44,775 | | Total Current Liabilities | 40,908 | 65,477 | | TOTAL LIABILITIES | 81,910 | 110,252 | | TOTAL EQUITY AND LIABILITIES | 969,153 | 667,960 | Notes General Information Beijing Saimo Technology Co., Ltd. was established in Beijing, China in 2014, restructured into a joint-stock company in 2022, and listed on the Main Board of the Hong Kong Stock Exchange on January 15, 2025, primarily providing ICV testing, verification, and evaluation solutions - The company was incorporated in Beijing, China on January 24, 2014, and restructured into a joint-stock company on November 8, 2022[7] - The company and its subsidiaries (the Group) are primarily engaged in providing Intelligent Connected Vehicle (ICV) testing, verification, and evaluation solutions in China[7] - The company completed its initial public offering on January 15, 2025, with its ordinary shares listed on the Main Board of the Hong Kong Stock Exchange[7] Basis of Preparation and Accounting Policies This condensed consolidated interim financial information is prepared in accordance with International Accounting Standard 34 and should be read in conjunction with the 2024 annual consolidated financial statements, with the Group's initial application of IAS 21 amendments expected to have no significant impact - The condensed consolidated interim financial information is prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting"[9] - The Group has first applied "Amendments to IAS 21 – Lack of Exchangeability" for the reporting period beginning January 1, 2025, with no significant impact expected on prior or future periods[10] - Among the standards not yet adopted, International Financial Reporting Standard 18 may primarily affect the presentation of the consolidated statement of comprehensive income[13] New and Revised Standards Adopted by the Group The Group has first applied "Amendments to IAS 21 – Lack of Exchangeability" for the reporting period beginning January 1, 2025, with no significant impact expected on prior or future periods - The Group has first applied "Amendments to IAS 21 – Lack of Exchangeability" for the reporting period beginning January 1, 2025, with no significant impact expected on prior or future periods[10] New and Revised Standards and Interpretations Not Yet Adopted The Group has not early adopted certain new and revised accounting standards and amendments issued but not yet mandatorily effective for the reporting period ended June 30, 2025, with IFRS 18 potentially impacting the presentation of the consolidated statement of comprehensive income - The Group has not early adopted certain new and revised accounting standards and amendments that have been issued but are not yet mandatorily effective for the reporting period ended June 30, 2025[11] - Preliminary assessment indicates that the adoption of these new and revised standards is not expected to have a significant impact on the Group's performance and financial position, except that IFRS 18 may primarily affect the presentation of the Group's consolidated statement of comprehensive income[13] Segment Information The Group's business activities are concentrated in ICV testing, verification, and evaluation in China, with the Board of Directors reviewing consolidated results as the chief operating decision maker, resulting in only one reportable segment where all non-current assets and revenue originate from China - The Group's business activities involve testing, verifying, and evaluating the functionality, compatibility, safety, reliability, and comfort of ICVs in China[14] - The Group has only one reportable segment, with all non-current assets and revenue located in China[14] Revenue In the first half of 2025, the Group's total revenue reached RMB 90,959 thousands, primarily contributed by ICV simulation testing software and platforms, ICV data platforms and other products, and consulting and other services Revenue by Product and Service | Products and Services | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | ICV Simulation Testing Software and Platforms | 49,073 | 31,321 | | ICV Data Platforms and Other Products | 19,331 | 10,903 | | ICV Testing and Related Services | 9,310 | 6,638 | | Consulting and Other Services | 13,245 | 6,698 | | Total Revenue | 90,959 | 55,560 | Revenue Recognition Timing | Timing of Revenue Recognition | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | At a point in time | 90,507 | 54,830 | | Over time | 452 | 730 | | Total Revenue | 90,959 | 55,560 | Other Income In the first half of 2025, the Group's other income increased to RMB 14,580 thousands, primarily driven by an increase in government grants, partially offset by a decrease in VAT refunds Other Income Breakdown | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Government grants | 14,521 | 10,335 | | VAT refunds | – | 1,621 | | Others | 59 | 1,526 | | Total | 14,580 | 13,482 | - Government grants primarily relate to subsidies for the Group's contributions to government technology development, with no unfulfilled conditions or contingencies[19] Income Tax Expense/(Credit) In the first half of 2025, the Group's income tax shifted from a credit in the prior year to an expense of RMB 999 thousands, primarily due to the reversal of deferred tax liabilities and assets, with the company and some subsidiaries benefiting from preferential corporate income tax rates and R&D expense super deduction policies Income Tax Expense/(Credit) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Current income tax | – | – | | Deferred income tax | 999 | (2,147) | | Income tax expense/(credit) | 999 | (2,147) | - The company is recognized as a key software enterprise, enjoying a preferential corporate income tax rate of 10% from January 1, 2024[22] - Effective January 1, 2023, the pre-tax deduction rate for enterprise R&D expenses is 100%[22] Earnings/(Loss) Per Share In the first half of 2025, the company achieved a turnaround to profit with basic and diluted earnings per share of RMB 0.01, compared to a loss per share of RMB 0.05 in the same period last year, with the weighted average number of ordinary shares increasing due to the listing Basic Earnings/(Loss) Per Share | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Profit/(Loss) attributable to owners of the Company (RMB thousands) | 1,316 | (4,743) | | Weighted average number of ordinary shares (thousands of shares) | 129,006 | 98,450 | | Basic earnings/(loss) per share (RMB yuan) | 0.01 | (0.05) | Diluted Earnings/(Loss) Per Share | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Weighted average number of ordinary shares used in calculating basic earnings per share (thousands of shares) | 129,006 | 98,450 | | Dilutive effect: Restricted share units (thousands of units) | 1,402 | – | | Adjusted weighted average number of ordinary shares used in calculating diluted earnings per share (thousands of shares) | 130,408 | 98,450 | | Diluted earnings/(loss) per share (RMB yuan) | 0.01 | (0.05) | - As a loss was recorded in the first half of 2024, restricted share units had an anti-dilutive effect and were therefore not included in the diluted loss per share[26] Basic In the first half of 2025, the company achieved a basic earnings per share of RMB 0.01, a significant improvement from the loss of RMB 0.05 per share in the prior year, with an increased weighted average number of ordinary shares Basic Earnings/(Loss) Per Share | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Profit/(Loss) attributable to owners of the Company | 1,316 | (4,743) | | Weighted average number of ordinary shares (thousands of shares) | 129,006 | 98,450 | | Basic earnings/(loss) per share (RMB yuan) | 0.01 | (0.05) | Diluted In the first half of 2025, the company reported diluted earnings per share of RMB 0.01, a turnaround from the RMB 0.05 loss per share in the previous year, reflecting the impact of restricted share units on the adjusted weighted average number of ordinary shares Diluted Earnings/(Loss) Per Share | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Profit/(Loss) attributable to owners of the Company | 1,316 | (4,743) | | Weighted average number of ordinary shares used in calculating basic earnings per share (thousands of shares) | 129,006 | 98,450 | | Dilutive effect: Restricted share units (thousands of units) | 1,402 | – | | Adjusted weighted average number of ordinary shares used in calculating diluted earnings per share (thousands of shares) | 130,408 | 98,450 | | Diluted earnings/(loss) per share (RMB yuan) | 0.01 | (0.05) | Financial Assets at Fair Value Through Profit or Loss As of June 30, 2025, the Group's financial assets at fair value through profit or loss significantly increased, primarily driven by short-term wealth management products, generating a fair value gain of RMB 561 thousands during the period Classification of Financial Assets at Fair Value Through Profit or Loss | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Unlisted equity securities (Non-current) | 28,731 | 28,731 | | Wealth management products (Current) | 234,855 | 7,029 | Amounts Recognized in Profit or Loss | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Fair value gains on financial assets at fair value through profit or loss recognized in other gains | 561 | (448) | Classification of Financial Assets at Fair Value Through Profit or Loss As of June 30, 2025, the Group's financial assets at fair value through profit or loss primarily consisted of unlisted equity securities and a significant increase in current wealth management products Classification of Financial Assets at Fair Value Through Profit or Loss | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Unlisted equity securities (Non-current) | 28,731 | 28,731 | | Wealth management products (Current) | 234,855 | 7,029 | Amounts Recognized in Profit or Loss In 2025, the Group recognized a fair value gain of RMB 561 thousands from financial assets at fair value through profit or loss, a positive shift from a loss in the prior year Amounts Recognized in Profit or Loss | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Fair value gains on financial assets at fair value through profit or loss recognized in other gains | 561 | (448) | Trade and Bills Receivables As of June 30, 2025, the Group's total trade and bills receivables decreased to RMB 163,071 thousands, primarily due to the collection of a significant amount of receivables, with the majority of receivables falling within 6 months Trade and Bills Receivables | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Trade receivables | 162,200 | 177,675 | | Bills receivables | 871 | 13,622 | | Total | 163,071 | 191,297 | Aging of Trade and Bills Receivables | Aging | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within 6 months | 128,249 | 143,211 | | 6 months to 1 year | 7,204 | 24,125 | | 1 to 2 years | 21,728 | 19,230 | | Over 2 years | 12,128 | 13,873 | | Total | 169,309 | 200,439 | Loss Allowance for Trade and Bills Receivables | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Loss allowance at beginning of period | (9,142) | (8,818) | | Reversal of loss allowance | 2,904 | 2,022 | | Loss allowance at end of period | (6,238) | (6,796) | Trade and Bills Payables As of June 30, 2025, the Group's total trade and bills payables slightly increased to RMB 6,234 thousands, primarily denominated in RMB with similar fair values Trade and Bills Payables | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Trade payables | 5,032 | 5,136 | | Bills payables | 1,202 | 577 | | Total | 6,234 | 5,713 | Aging of Trade and Bills Payables | Aging | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within 3 months | 3,507 | 3,465 | | Over 6 months | 2,727 | 2,248 | | Total | 6,234 | 5,713 | Dividends No dividends were paid or declared by the Group or any of its companies for the six months ended June 30, 2025 - For the six months ended June 30, 2025, no dividends were paid or declared by the Group or any of its companies (2024: nil)[31] Management Discussion and Analysis Business Review As a leading ICV simulation testing technology company in China, the Group focuses on R&D of ICV simulation testing products and related solutions, expanding into emerging fields like intelligent manufacturing and low-altitude economy, while actively pursuing domestic and international market opportunities through strategic partnerships and continuous investment in AI large models - The Group is a technology company in China specializing in Intelligent Connected Vehicle (ICV) simulation testing technology, primarily engaged in the design and R&D of ICV simulation testing products and providing related testing, verification, and evaluation solutions[32] - The Group primarily offers ICV simulation testing software and platforms, ICV data platforms and other products, ICV testing and related services, and consulting and other services[32] - The Group is expanding its business into emerging fields such as intelligent manufacturing and the low-altitude economy, and has formed strategic partnerships with AutoNavi Software Co., Ltd. and SGS-CSTC Standards Technical Services (Shanghai) Co., Ltd. to jointly explore global ICV market opportunities[34] - The Group continues to increase investment in cutting-edge technologies such as AI large models, continuously enhancing its intelligent simulation testing and big data analysis capabilities[34] Market Overview Driven by government support and growing consumer demand, the ICV industry is rapidly developing, leading to a continuous increase in demand for ICV simulation testing technology, positioning the Group to steadily expand its business and achieve sustainable growth through its technological advantages and market position - The ICV industry is experiencing rapid growth, with technological advancements and widespread adoption leading to a continuous increase in demand for ICV simulation testing technology[35] - As a leading enterprise, the Group possesses strong technological advantages and market position, and is expected to steadily expand its business, seize market opportunities, and achieve sustainable growth[35] Overall Business Performance During the reporting period, the Group's operating revenue increased by 63.7% year-on-year to approximately RMB 91.0 millions, successfully achieving a turnaround to profit with profit attributable to owners of the company reaching RMB 1.3 millions, driven by optimized solutions, increased innovation investment, and enhanced ICV technology development and market acceptance - During the reporting period, the Group achieved operating revenue of approximately RMB 91.0 millions, representing a 63.7% increase compared to the same period in 2024[37] - Profit attributable to owners of the company turned from a loss of RMB 4.7 millions in the same period of 2024 to a profit of RMB 1.3 millions[37] - The performance growth is attributed to continuous optimization and upgrading of existing solutions, increased investment in innovation, and the development of intelligent driving technology and increased acceptance of ICVs in China[37] Business Performance by Product/Service Type The Group achieved growth across all four major business segments: ICV simulation testing software and platforms, ICV data platforms and other products, ICV testing and related services, and consulting and other services, with ICV data platforms and other products experiencing the fastest revenue growth at 77.3%, continuously enhancing market competitiveness through technological upgrades, customer expansion, and customized solutions ICV Simulation Testing Software and Platforms, ICV Data Platforms and Other Products Revenue from ICV simulation testing software and platforms increased by 56.7% year-on-year to RMB 49.1 millions, with SaaS solutions well-received by customers, while ICV data platforms and other products saw a 77.3% year-on-year revenue increase to RMB 19.3 millions, successfully expanding to multiple key customers and optimizing data platform functionalities - Revenue from ICV simulation testing software and platforms was approximately RMB 49.1 millions, a year-on-year increase of 56.7%[39] - In terms of ICV simulation testing platforms, the Group achieved significant success in customer expansion, establishing long-term partnerships with several renowned automotive manufacturers and technology companies[40] - Revenue from ICV data platforms and other products was approximately RMB 19.3 millions, a year-on-year increase of 77.3%[41] - The Group has participated in building ICV data platforms in multiple cities across China and successfully expanded to several key customers[41][42] ICV Testing and Related Services, and Consulting and Other Services Revenue from ICV testing and related services was approximately RMB 9.3 millions, offering customized solutions including simulation testing, closed-field testing, and platform operation and maintenance, while consulting and other services revenue increased by 97.7% year-on-year to RMB 13.2 millions, primarily assisting clients with ICV regulatory compliance and organizing industry conferences - The Group's ICV testing and related services include simulation testing, closed-field testing, and platform operation and maintenance services, offering highly customized solutions[45][46] - During the reporting period, the Group's revenue from ICV testing and related services was approximately RMB 9.3 millions[47] - Revenue from consulting and other services was approximately RMB 13.2 millions, a year-on-year increase of 97.7%[48] - Consulting services primarily assist automotive manufacturers in understanding and complying with domestic and international laws, regulations, and standards related to ICVs, while other services assist government departments in organizing ICV and related industry conferences[48][49] Prospects and Future Plans The Group plans to uphold independent innovation, increase R&D investment, continuously optimize existing solutions (Sim Pro, Safety Pro, Traffic Pro, SceCo Pro), and invest in developing new products (SGO Pro, DB Pro, Cloud Pro), while expanding its customer base and market coverage, including more Chinese cities and a Hong Kong representative office for overseas markets, further growing its talent pool, and exploring simulation technology applications in emerging industries such as drones, digital twin cities, and smart agriculture - The Group will adhere to independent innovation, strengthen R&D and technological innovation investments to enhance the core competitiveness of its products and services, expand its market share in China, and explore overseas markets and other sectors[50] The Group Plans to Continue Optimizing and Upgrading its Existing Solutions to Strengthen its Technological Advantages The Group plans to continuously optimize and upgrade its existing solutions, including Sim Pro, Safety Pro, Traffic Pro, and SceCo Pro, to enhance its technological advantages and market competitiveness - Plans to continuously optimize and upgrade existing solutions, including Sim Pro (upgrading sensor models, cloud simulation data closed-loop, XiL testing performance), Safety Pro (upgrading intelligent analysis functions, automatic generation of FuSa and SOTIF scenario libraries), Traffic Pro (optimizing real-time data processing engine, intelligent traffic light optimization algorithms, compatibility), and SceCo Pro (developing multi-source data integration, cloud deployment, and automatic generation of customized scenarios)[50] The Group Plans to Increase Investment in Innovation and Enhance New Products to Consolidate its Market Position in the ICV Testing, Verification, and Evaluation Solutions Industry The Group plans to increase investment in innovation and enhance new products, focusing on developing and commercializing tools such as SGO Pro, DB Pro, and Cloud Pro based on the Sim Pro toolchain, to consolidate its market position in the ICV testing, verification, and evaluation solutions industry - Plans to continue developing and commercializing new products, focusing on tools such as SGO Pro, DB Pro, and Cloud Pro based on the Sim Pro toolchain[51] The Group Plans to Expand its Customer Base and Geographically Broaden its Market Coverage The Group plans to expand its customer base and geographically broaden its market coverage by extending operations to more Chinese cities and considering a Hong Kong representative office and R&D center to lay the groundwork for overseas market expansion, while strengthening sales and marketing efforts domestically and internationally - Plans to expand business into more Chinese cities and consider establishing a representative office and R&D center in Hong Kong to lay the foundation for overseas market expansion[52] - Will strengthen sales and marketing efforts, including expanding and enhancing the effectiveness of domestic sales and marketing teams, and participating in and organizing more industry events in mainland China and Hong Kong[52] The Group Plans to Expand its Talent Pool to Support its Business Development Plans The Group plans to expand its talent pool to support business development by continuously investing in and growing its R&D team with technical personnel in software development, algorithms, vehicle testing, industry research, and product design, and by recruiting more professionals with sales, marketing, project management, and execution experience - Plans to continuously invest in and expand its R&D team by attracting technical personnel in areas such as software development, algorithms, vehicle testing, industry research, and product design[53] - Will recruit more professionals with sales and marketing expertise and experience, as well as management talent with project management and execution experience[53] The Group Plans to Expand the Application of Simulation Technology and Explore Business Opportunities in Other Industries The Group plans to expand the application of simulation technology and explore business opportunities in other industries by investing in drone operation management, testing, and commercial applications, addressing the growing demand for digital twin city solutions in urban transportation, and developing and commercializing simulation solutions for smart agricultural machinery manufacturers - Plans to explore investment in simulation technology for drone operation management, testing, and commercial applications[54] - Digital twin city solutions are expected to see increasing demand in administrative or research activities aimed at improving urban transportation[54] - Plans to conduct R&D and commercialize simulation solutions for testing smart agricultural machinery, targeting smart product manufacturers in the smart agriculture market[54] Revenue The Group's revenue increased by 63.7% year-on-year to RMB 91.0 millions in the first half of 2025, primarily driven by increased revenue from ICV simulation testing platforms, ICV data platforms and other products, and consulting and other services - The Group's revenue increased by RMB 35.4 millions (or approximately 63.7%) from RMB 55.6 millions in the first six months of 2024 to RMB 91.0 millions in the first six months of 2025[55] - The increase in revenue was primarily attributable to increased revenue from ICV simulation testing platforms, ICV data platforms and other products, and consulting and other services[55] Revenue Contribution by Product/Service | Revenue Contribution | 2025 (RMB thousands) | Share (%) | 2024 (RMB thousands) | Share (%) | | :--- | :--- | :--- | :--- | :--- | | ICV Simulation Testing Software and Platforms | 49,073 | 54.0 | 31,321 | 56.4 | | ICV Data Platforms and Other Products | 19,331 | 21.3 | 10,903 | 19.6 | | ICV Testing and Related Services | 9,310 | 10.2 | 6,638 | 11.9 | | Consulting and Other Services | 13,245 | 14.5 | 6,698 | 12.1 | | Total Revenue | 90,959 | 100 | 55,560 | 100 | Cost of Sales The Group's cost of sales increased by 100% year-on-year to RMB 33.0 millions in the first half of 2025, primarily due to increased hardware procurement - The Group's cost of sales increased by RMB 16.5 millions (or approximately 100%) from RMB 16.5 millions in the first six months of 2024 to RMB 33.0 millions in the first six months of 2025[56] - The increase in cost of sales was primarily attributable to increased hardware procurement[56] Gross Profit and Gross Profit Margin The Group's gross profit increased by 48.4% year-on-year to RMB 58.0 millions in the first half of 2025, but the overall gross profit margin decreased from 70.3% to 63.7%, primarily due to increased hardware and customization requirements from customers for ICV simulation testing software and platforms - The Group's gross profit increased by RMB 18.9 millions (or approximately 48.4%) from RMB 39.1 millions in the first six months of 2024 to RMB 58.0 millions in the first six months of 2025[57] - The Group's overall gross profit margin decreased from 70.3% in the first six months of 2024 to 63.7% in the first six months of 2025[57] - The decrease in gross profit margin was primarily attributable to increased hardware and customization requirements from customers for ICV simulation testing software and platforms[57] Other Income The Group's other income increased by 8.1% year-on-year to RMB 14.6 millions in the first half of 2025, primarily driven by an increase in government grants, partially offset by a decrease in VAT refunds - The Group's other income increased by RMB 1.1 millions (or approximately 8.1%) from RMB 13.5 millions in the first six months of 2024 to RMB 14.6 millions in the first six months of 2025[58] - The increase in other income was primarily attributable to increased government grants, partially offset by a decrease in VAT refunds[58] Net Other Gains/(Losses) The Group's net other gains/(losses) shifted from a loss of RMB 0.4 millions in the prior year to a gain of RMB 0.5 millions in the first half of 2025, primarily due to fair value changes in wealth management products measured at fair value through profit or loss - The Group's net other gains/(losses) turned from a loss of RMB 0.4 millions in the first six months of 2024 to a gain of RMB 0.5 millions in the first six months of 2025[59] - The change was primarily attributable to fair value changes in wealth management products measured at fair value through profit or loss[59] Selling and Marketing Expenses The Group's selling and marketing expenses decreased by 17.7% year-on-year to RMB 4.3 millions in the first half of 2025, primarily due to optimized adjustments to the sales team, leading to cost reduction and efficiency improvement - The Group's selling and marketing expenses decreased by RMB 0.9 millions (or approximately 17.7%) from RMB 5.2 millions in the first six months of 2024 to RMB 4.3 millions in the first six months of 2025[60] - The decrease was primarily attributable to optimized adjustments to the sales team, leading to cost reduction and efficiency improvement[60] General and Administrative Expenses The Group's general and administrative expenses increased by 19.3% year-on-year to RMB 17.7 millions in the first half of 2025, primarily due to increased management personnel costs and office expenses related to listing activities - The Group's general and administrative expenses increased by RMB 2.8 millions (or approximately 19.3%) from RMB 14.9 millions in the first six months of 2024 to RMB 17.7 millions in the first six months of 2025[61] - The increase was primarily attributable to increased management personnel costs and office expenses related to listing activities[61] Research and Development Expenses The Group's R&D expenses increased by 32.5% year-on-year to RMB 54.5 millions in the first half of 2025, primarily due to increased depreciation and amortization expenses for equipment and intangible assets related to R&D activities - The Group's R&D expenses increased by RMB 13.4 millions (or approximately 32.5%) from RMB 41.1 millions in the first six months of 2024 to RMB 54.5 millions in the first six months of 2025[62] - The increase was primarily attributable to increased depreciation and amortization expenses for equipment and intangible assets related to R&D activities[62] Reversal of Impairment Loss on Financial and Contract Assets The Group's reversal of impairment loss on financial and contract assets increased by 55.6% year-on-year to RMB 3.0 millions in the first half of 2025, primarily due to the collection of a significant amount of trade receivables during the reporting period - The Group's reversal of impairment loss on financial and contract assets increased by RMB 1.1 millions (or approximately 55.6%) from RMB 1.9 millions in the first six months of 2024 to RMB 3.0 millions in the first six months of 2025[63] - The increase was primarily attributable to the collection of a significant amount of trade receivables during the reporting period[63] Share of Profit/(Loss) of Investments Accounted for Using Equity Method The Group's share of profit/(loss) of investments accounted for using the equity method shifted from a loss of RMB 0.7 millions in the prior year to a profit of RMB 34 thousands in the first half of 2025, primarily due to improved operating results of the joint venture, Beijing Dishishi Data Technology Co., Ltd - The Group's share of profit/(loss) of investments accounted for using the equity method increased by RMB 0.7 millions (or approximately 105.1%) from a loss of RMB 0.7 millions in the first six months of 2024 to a profit of RMB 34 thousands in the first six months of 2025[64] - The increase was primarily attributable to the improved operating results of the joint venture, Beijing Dishishi Data Technology Co., Ltd., in the first six months of 2025 compared to the first six months of 2024[64] Net Finance Income The Group's net finance income increased by 64.9% year-on-year to RMB 1.7 millions in the first half of 2025, primarily due to increased interest income from bank deposits, partially offset by increased exchange losses and interest expenses on lease liabilities - The Group's net finance income increased by RMB 0.7 millions (or approximately 64.9%) from RMB 1.0 millions in the first six months of 2024 to RMB 1.7 millions in the first six months of 2025[65] - The increase was primarily attributable to increased interest income from bank deposits, partially offset by increased exchange losses and interest expenses on lease liabilities[65] Income Tax (Expense)/Credit The Group's income tax shifted from a credit of RMB 2.1 millions in the prior year to an expense of RMB 1.0 millions in the first half of 2025, primarily due to the reversal of deferred tax liabilities and assets - The Group's income tax shifted from a credit of RMB 2.1 millions in the first six months of 2024 to an expense of RMB 1.0 millions in the first six months of 2025[66] - The change was primarily due to the reversal of deferred tax liabilities of approximately RMB 0.3 millions and the reversal of deferred tax assets of approximately RMB 1.3 millions during the reporting period[66] Profit/(Loss) for the Period Attributable to the Group The Group's profit for the period shifted from a loss of RMB 4.6 millions in the prior year to a profit of RMB 0.4 millions in the first half of 2025, primarily driven by increased gross profit, but partially offset by increased R&D expenses, general and administrative expenses, and income tax expenses - The Group's profit/(loss) for the period turned from a loss of RMB 4.6 millions in the first six months of 2024 to a profit of RMB 0.4 millions in the first six months of 2025[67] - Primarily attributable to an increase in gross profit of approximately RMB 18.9 millions, partially offset by increased R&D expenses, general and administrative expenses, and income tax expenses[67] Non-IFRS Measures The Group uses adjusted profit/(loss) as a non-IFRS measure to better compare operating performance across different fiscal years, with this adjustment excluding share-based payment expenses and listing expenses, resulting in an adjusted profit of RMB 1,573 thousands for the first half of 2025 - The Group uses adjusted profit/(loss) (a non-IFRS measure) as an additional financial metric to compare operating performance across different fiscal years and entities[68] - Adjusted profit/(loss) is defined as profit for the period, excluding share-based payment expenses and listing expenses[68] Adjusted Profit/(Loss) for the Period (Non-IFRS Measure) | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Profit/(Loss) for the period | 389 | (4,599) | | Add: Share-based payment expenses | 604 | 604 | | Add: Listing expenses | 580 | 155 | | Adjusted profit/(loss) for the period (Non-IFRS measure) | 1,573 | (3,840) | Property, Plant and Equipment, Right-of-Use Assets and Intangible Assets As of June 30, 2025, the Group's property, plant and equipment increased to RMB 93.9 millions, primarily due to new fixed asset acquisitions, while right-of-use assets and intangible assets slightly decreased due to depreciation and amortization - The Group's property, plant and equipment increased from RMB 37.9 millions as of December 31, 2024, to RMB 93.9 millions as of June 30, 2025, primarily due to new fixed asset acquisitions during the reporting period[72] - Right-of-use assets decreased from RMB 49.0 millions as of December 31, 2024, to RMB 43.0 millions as of June 30, 2025, primarily due to depreciation of right-of-use assets[72] - Intangible assets decreased from RMB 52.3 millions as of December 31, 2024, to RMB 51.6 millions as of June 30, 2025, primarily due to amortization of intangible assets[72] Financial Assets at Fair Value Through Profit or Loss The Group's financial assets at fair value through profit or loss significantly increased from RMB 35.8 millions as of December 31, 2024, to RMB 263.6 millions as of June 30, 2025, primarily due to the purchase of wealth management products - The Group's financial assets at fair value through profit or loss increased from RMB 35.8 millions as of December 31, 2024, to RMB 263.6 millions as of June 30, 2025[73] - The increase was primarily due to the purchase of wealth management products[73] Trade and Bills Receivables The Group's trade and bills receivables decreased from RMB 191.3 millions as of December 31, 2024, to RMB 163.1 millions as of June 30, 2025, primarily due to the collection of a significant amount of receivables, with turnover days significantly improving from 517.1 days to 352.6 days - The Group's trade and bills receivables decreased from RMB 191.3 millions as of December 31, 2024, to RMB 163.1 millions as of June 30, 2025[74] - The decrease was primarily due to the collection of a significant amount of trade receivables during the reporting period, partially offset by new receivables generated during the period[74] - The turnover days for trade and bills receivables were 352.6 days for the first six months of 2025 (first six months of 2024: 517.1 days)[74] Prepayments and Other Receivables The Group's prepayments and other receivables as of June 30, 2025, amounted to RMB 26.4 millions, a decrease of RMB 33.2 millions from the end of last year, primarily due to the transfer of capitalized listing-related prepayments to capital reserve - The Group's prepayments and other receivables as of June 30, 2025, amounted to RMB 26.4 millions, a decrease of RMB 33.2 millions from RMB 59.6 millions as of December 31, 2024[75] - The decrease was primarily due to the transfer of capitalized listing-related prepayments to capital reserve[75] Current Assets The Group's current assets increased from RMB 495.7 millions as of December 31, 2024, to RMB 748.9 millions as of June 30, 2025, primarily due to an increase in cash and cash equivalents and financial assets at fair value through profit or loss - The Group's current assets increased from RMB 495.7 millions as of December 31, 2024, to RMB 748.9 millions as of June 30, 2025[76] - The increase was primarily due to an increase in cash and cash equivalents and financial assets at fair value through profit or loss[76] Liquidity and Capital Resources The Group primarily funds its operations through a combination of capital injections and operating cash flows, with cash and cash equivalents increasing to RMB 297.5 millions as of June 30, 2025, mainly due to proceeds from the listing, and the Group adopts a prudent financial management approach to its treasury policy - The Group has historically funded its operations primarily through a combination of capital injections and operating cash flows[77] - The Group's cash and cash equivalents increased from RMB 208.3 millions as of December 31, 2024, to RMB 297.5 millions as of June 30, 2025, primarily attributable to proceeds from the listing[77] Net Cash Generated from Operating Activities The Group's net cash generated from operating activities significantly increased by 9,679.2% to RMB 54.2 millions in the first half of 2025, primarily due to operating cash flow before working capital changes and working capital adjustments - The Group's net cash generated from operating activities increased by RMB 53.6 millions (or approximately 9,679.2%) from RMB 0.6 millions in the first six months of 2024 to RMB 54.2 millions in the first six months of 2025[78] - The increase was primarily attributable to operating cash flow before working capital changes of approximately RMB 35.9 millions and working capital adjustments of RMB 14.2 millions[78] Net Cash Used in Investing Activities The Group's net cash used in investing activities increased to RMB 320.3 millions in the first half of 2025, a significant increase from the prior year, primarily due to the purchase of property, plant and equipment and wealth management products - For the first six months of 2025, the Group's net cash used in investing activities was RMB 320.3 millions, compared to RMB 66.8 millions in the first six months of 2024[79] - The increase was primarily due to the purchase of property, plant and equipment and wealth management products[79] Net Cash Generated from/(Used in) Financing Activities The Group's financing activities shifted from a cash outflow of RMB 18.1 millions in the prior year to a cash inflow of RMB 357.3 millions in the first half of 2025, primarily due to proceeds from the listing - The Group's net cash generated from/(used in) financing activities shifted from a cash outflow of RMB 18.1 millions in the first six months of 2024 to a cash inflow of RMB 357.3 millions in the same period of 2025[80] - Primarily attributable to proceeds from the listing[80] Borrowings As of June 30, 2025, the Group had no external borrowings or loans - As of June 30, 2025, we had no external borrowings or loans (December 31, 2024: nil)[81] Lease Liabilities The Group's lease liabilities as of June 30, 2025, amounted to RMB 47.4 millions, a decrease of RMB 14.4 millions from the end of last year, primarily due to contractual payments for the Shunyi testing site lease - The Group's lease liabilities as of June 30, 2025, amounted to RMB 47.4 millions, a decrease of RMB 14.4 millions from RMB 61.8 millions as of December 31, 2024[82] - The decrease was primarily due to contractual payments for the lease of the Shunyi base of the National Intelligent Connected Vehicle and Smart Transportation (Beijing-Hebei) Demonstration Zone in the first half of 2025[82] Trade and Bills Payables The Group's trade and bills payables increased from RMB 5.7 millions as of December 31, 2024, to RMB 6.2 millions as of June 30, 2025, primarily due to increased procurement costs driven by higher revenue, with turnover days decreasing from 51.9 days to 32.8 days - The Group's trade and bills payables increased from RMB 5.7 millions as of December 31, 2024, to RMB 6.2 millions as of June 30, 2025[83] - The increase was primarily due to increased procurement costs driven by higher revenue, which led to an increase in trade payables[83] - The turnover days for trade and bills payables were 32.8 days for the reporting period (first six months of 2024: 51.9 days)[83] Capital Gearing Ratio As of June 30, 2025, the Group's capital gearing ratio remained at zero, consistent with the end of last year - As of June 30, 2025, the Group's capital gearing ratio was zero (December 31, 2024: zero)[84] Pledge of Assets As of June 30, 2025, the Group had no pledged assets - As of June 30, 2025, the Group had no pledged assets[85] Foreign Exchange Risk The Group's business is primarily conducted in RMB, with foreign exchange risk mainly arising from fluctuations in USD/RMB and HKD/RMB exchange rates, and while there is currently no foreign currency hedging policy, the Board of Directors will monitor the risk and consider hedging - The Group's business is primarily conducted in RMB, with most assets denominated in RMB[86] - The Group's foreign exchange risk primarily arises from fluctuations in USD/RMB and HKD/RMB exchange rates[86] - As of now, the Group has not formulated any foreign currency hedging policy, but the Board of Directors will monitor the risk and consider hedging[86] Contingent Liabilities As of June 30, 2025, the Group had no significant contingent liabilities - As of June 30, 2025, the Group had no significant contingent liabilities (as of December 31, 2024: nil)[87] Capital Commitments As of June 30, 2025, the Group's unpaid capital commitments increased by HKD 52.8 millions compared to the end of last year, primarily due to investment in its wholly-owned subsidiary, Saimo Technology (Hong Kong) Limited - The Group's unpaid capital commitments as of June 30, 2025, increased by HKD 52.8 millions compared to the end of last year, due to its investment in the wholly-owned subsidiary, Saimo Technology (Hong Kong) Limited[88] Use of Proceeds from Global Offering The company completed its global offering and listing on the Stock Exchange on January 15, 2025, raising net proceeds of approximately RMB 328.8 millions, of which RMB 30.5 millions had been utilized as of June 30, 2025, primarily for continuous R&D investment and general corporate purposes, with no change in the intended use - The company completed its global offering and successfully listed on the Hong Kong Stock Exchange on January 15, 2025[89] - The global offering generated net proceeds of approximately RMB 328.8 millions[89] Use of Net Proceeds from Global Offering | Purpose | Allocated Net Proceeds (RMB millions) | Share (%) | Net Proceeds Utilized (RMB millions) | Net Proceeds Unutilized (RMB millions) | Expected Timeline for Use of Proceeds | | :--- | :--- | :--- | :--- | :--- | :--- | | Continuous R&D Investment - R&D of existing solutions | 57.5 | 17.5% | 3.9 | 53.6 | Before December 2027 | | Continuous R&D Investment - R&D of new tools and cloud infrastructure | 101.3 | 30.8% | – | 101.3 | Before December 2027 | | Continuous R&D Investment - Penetration into new industries | 45.7 | 13.9% | – | 45.7 | Before December 2027 | | Geographical expansion and marketing | 91.4 | 27.8% | – | 91.4 | Before December 2027 | | General corporate purposes and replenishment of working capital | 32.9 | 10.0% | 26.6 | 6.3 | Before December 2027 | | Total | 328.8 | 100% | 30.5 | 298.3 | | - As of the date of this announcement, there has been no change in the intended use of net proceeds as disclosed in the prospectus[90] Significant Investments Held, Material Acquisitions and Disposals of Subsidiaries, Associates and Joint Ventures In the first half of 2025, the company had no significant investments, material acquisitions, or disposals of any subsidiaries, associates, or joint ventures, other than those disclosed in this announcement - For the first six months of 2025, the company had no significant investments other than those disclosed in this announcement[91] - For the first six months of 2025, the company had no material acquisitions or disposals of any subsidiaries, associates, or joint ventures other than those disclosed in this announcement[91] Future Plans for Material Investments or Capital Assets As of the date of this announcement, the Group had no other future plans for material investments or capital assets, except for those disclosed in the prospectus and this announcement - As of the date of this announcement, the Group had no other future plans for material investments or capital assets, except for those disclosed in the "Future Plans and Use of Proceeds" section of the prospectus and in this announcement[92] Employees and Remuneration Policy As of June 30, 2025, the Group had 162 employees with staff costs of approximately RMB 33.5 millions, providing internal and external training, employee incentive plans, and an H-share award trust scheme to attract and retain talent, while actively participating in China's local government housing provident fund and employee social security schemes - As of June 30, 2025, the Group had 162 employees (June 30, 2024: 185 employees)[93] - For the first six months of 2025, the Group's staff costs were approximately RMB 33.5 millions (same period in 2024: approximately RMB 33.9 millions)[93] - The Group provides internal and external training courses for employees and has an employee incentive scheme and a 2025 H-share award trust scheme to incentivize key management and technical personnel[94] - The Group participates in housing provident fund and employee social security schemes organized by relevant local government departments in China[94] Material Events After Reporting Period No material and significant events affecting the Group occurred after June 30, 2025, up to the date of this announcement, other than those disclosed herein - Except as disclosed in this announcement, no material and significant events affecting the Group occurred after June 30, 2025, up to the date of this announcement[96] Corporate Governance Compliance with Corporate Governance Code The company has adopted and applied the Corporate Governance Code set out in Appendix C1 to the Listing Rules of the Stock Exchange since its listing date and has continuously complied with all applicable code provisions and other laws and regulations without any deviation during the period - The company has adopted and applied the Corporate Governance Code set out in Appendix C1 to the Listing Rules of the Stock Exchange since its listing date[98] - The company has continuously complied with all applicable code provisions of the Corporate Governance Code and other applicable laws and regulatory requirements since its listing, with no deviation from the code provisions of the Corporate Governance Code during the period from the listing date to June 30, 2025[98] Compliance with the Model Code for Securities Transactions by Directors and Supervisors The company has adopted the Model Code as set out in Appendix C3 to the Listing Rules as the code of conduct for securities transactions by directors, supervisors, and relevant employees, and confirms that all directors and supervisors have complied with the Model Code during the reporting period - The company has adopted the "Model Code for Securities Transactions by Directors of Listed Issuers" as set out in Appendix C3 to the Listing Rules as the code of conduct for all securities transactions by directors, supervisors, and relevant employees of the company[99] - The company, after specific inquiries to all directors and supervisors, confirms that all directors and supervisors have complied with the required standards set out in the Model Code during the period from the listing date to June 30, 2025[99] Purchase, Sale or Redemption of the Company's Listed Securities Neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities during the reporting period, nor did the company hold any treasury shares - Neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities (including the sale of treasury shares) during the reporting period[100] - As of June 30, 2025, the company held no treasury shares[101] Interim Dividend The Board of Directors resolved not to declare any interim dividend for the six months ended June 30, 2025 - For the six months ended June 30, 2025, the Board of Directors resolved not to declare any interim dividend (for the six months ended June 30, 2024: nil)[102] Audit Committee The company's Audit Committee, comprising three independent non-executive directors, provides independent opinions on financial reporting procedures, risk management, and internal control systems, and oversees the audit process, with members possessing professional qualifications and no former partners of the current external auditor - The company's Audit Committee comprises three independent non-executive directors: Ms. Guo Lili (Chairperson), Mr. Huang Hua, and Mr. Huang Haojun[103] - The primary responsibilities of the Audit Committee are to provide independent opinions to assist the Board of Directors on the effectiveness of the Group's financial reporting procedures, risk management, and internal control systems, and to oversee audit processes, development, and review policies[104] Review of Unaudited Condensed Consolidated Interim Results The Audit Committee has reviewed the Group's unaudited condensed consolidated interim results for the six months ended June 30, 2025, and deemed them compliant with applicable accounting standards, laws, and regulations - The Audit Committee has reviewed the Group's unaudited condensed consolidated interim results for the six months ended June 30, 2025[105] - The Audit Committee is of the opinion that the Group's unaudited condensed consolidated interim results for the six months ended June 30, 2025, comply with applicable accounting standards, laws, and regulations[105] Publication of Interim Results Announcement and Interim Report This announcement has been published on the Stock Exchange website and the company's website, and the company's interim report for the six months ended June 30, 2025, will be dispatched to shareholders requesting printed corporate communications and published on the respective websites in due course - This announcement is published on the Stock Exchange website (www.hkexnews.hk) and the company's website (www.saimo.cloud)[106](index=106&type=chunk) - The company's interim report for the six months ended June 30, 2025, will be dispatched to shareholders requesting printed corporate communications in due course and published on the respective websites of the company and the Stock Exchange[106]