海丰国际(01308) - 2025 - 中期财报

Company Information This section provides an overview of the company's governance structure, including its board and committees, along with essential corporate details such as registration, listing, and key financial partners Board of Directors and Committees The company's Board of Directors comprises executive, non-executive, and independent non-executive directors, supported by audit, remuneration, nomination, risk management, disclosure, and sustainability committees to ensure effective corporate governance - The Board members include executive directors such as Yang Xianxiang (Chairman) and Xue Mingyuan (CEO), non-executive directors like Yang Xin (Vice Chairman), and independent non-executive directors such as Xie Shaoyi (Chief Independent Non-Executive Director)[4] - Committees include the Audit Committee (Chairman: Liao Jiaying), Remuneration Committee (Chairman: Xie Shaoyi), Nomination Committee (Chairman: Hu Mantian), Risk Management Committee (Chairman: Xie Shaoyi), Disclosure Committee (Chairman: Hu Mantian), and Sustainability Committee (Chairman: Yang Xin)[4] Company Basic Information The company is registered in the Cayman Islands with its headquarters in Hong Kong, listed on The Stock Exchange of Hong Kong Limited under stock code 01308, and partners with major banks, with Ernst & Young as its auditor - The company's registered office is in the Cayman Islands, with its headquarters located in Shui On Centre, Wan Chai, Hong Kong[4] - Shares are listed on The Stock Exchange of Hong Kong Limited, with stock code 01308[5] - Key banking partners include ANZ Bank, Bank of China, Citibank, Standard Chartered Bank, and others, with Ernst & Young as the auditor[5] Financial and Operational Summary For the six months ended June 30, 2025, the company achieved significant growth in profit attributable to shareholders, number of operating container vessels, container shipping volume, and net cash flow from operating activities, reflecting robust financial and operational performance 2025 H1 Financial and Operational Summary | Metric | 2025 H1 (Thousand USD/Vessels/TEUs) | 2024 H1 (Thousand USD/Vessels/TEUs) | | :--- | :--- | :--- | | Profit attributable to shareholders | 629,995 | 350,674 | | Number of operating container vessels | 119 | 108 | | Container shipping and extended logistics business volume | 1,829,665 | 1,705,164 | | Net cash flow from operating activities | 708,981 | 394,317 | Management Discussion and Analysis This section provides an in-depth review of the company's business operations, financial performance, liquidity, and capital resources, along with other significant information for the reporting period Overview and Business Review SITC International, a leading Asian shipping and logistics group, deepened its focus on the Asian market in H1 2025, offering container shipping and integrated logistics services, expanding its fleet, trade routes, and port coverage, leading to significant revenue growth driven by increased volume and average freight rates - The Group's business encompasses container shipping, freight forwarding, ship agency, container yard, warehousing services, land leasing, and other services, with a focus on the Asian market[11] - As of June 30, 2025, the Group operated 82 trade routes, covering 82 major ports including mainland China, Japan, South Korea, Taiwan, Hong Kong, Vietnam, and Thailand[12] - The fleet consists of 119 vessels with a total capacity of 185,787 TEUs, of which 101 are self-owned vessels, with an average age of 9.4 years[12] 2025 H1 Business Growth | Metric | 2025 H1 | 2024 H1 | Y-o-Y Growth | | :--- | :--- | :--- | :--- | | Revenue (Million USD) | 1,664.5 | 1,300.5 | 28.0% | | Container Volume (TEUs) | 1,829,665 | 1,705,164 | 7.3% | | Average Freight Rate (excluding slot exchange fees) (USD/TEU) | 776.4 | 632.4 | 22.8% | Financial Review In H1 2025, the company achieved substantial growth in both revenue and gross profit, primarily driven by increased shipping volume and average freight rates; despite rising cost of sales, administrative expenses, and finance costs, profit for the period significantly increased, demonstrating strong profitability 2025 H1 Key Financial Data | Metric | 2025 H1 (Thousand USD) | 2024 H1 (Thousand USD) | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Revenue | 1,664,489 | 1,300,521 | 28.0% increase | | Cost of sales | (995,058) | (897,906) | 10.8% increase | | Gross profit | 669,431 | 402,615 | 66.3% increase | | Gross profit margin | 40.2% | 31.0% | 9.2 percentage points increase | | Other income and gains, net | 37,822 | 20,228 | 87.0% increase | | Administrative expenses | (67,809) | (63,824) | 6.2% increase | | Finance costs | (8,466) | (7,345) | 15.3% increase | | Share of profit of joint ventures | 13,348 | 10,491 | 27.2% increase | | Profit before tax | 643,607 | 362,378 | 77.6% increase | | Profit for the period | 633,448 | 352,846 | 79.5% increase | - The increase in other income and gains, net, was primarily due to higher gains from the disposal of container vessels, recording approximately 13.8 million USD in H1 2025 compared to approximately 3.4 million USD in the same period of 2024[18] - The rise in administrative expenses was mainly attributable to an overall increase in staff costs[20] - The increase in finance costs was primarily due to higher interest on lease liabilities[22] Liquidity, Financial and Capital Resources As of June 30, 2025, the company's total assets and cash and cash equivalents increased, while total liabilities slightly decreased, maintaining healthy current and gearing ratios, indicating robust liquidity and financial structure 2025 H1 Liquidity and Financial Position | Metric | June 30, 2025 (Million USD) | December 31, 2024 (Million USD) | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Total assets | 3,339.9 | 3,198.1 | 4.4% increase | | Total liabilities | 753.2 | 776.6 | 3.0% decrease | | Cash and cash equivalents | 799.0 | 744.5 | 7.3% increase | | Current ratio | 2.3 | 1.9 | 0.4 points increase | | Gearing ratio | 0% | 0.9% | 0.9 percentage points decrease | - The company holds approximately 58.6 million USD in secured interest-bearing bank borrowings with diversified repayment schedules[28] - The company manages foreign exchange risk by closely monitoring foreign currency exchange rate fluctuations, with no foreign currency hedging instruments utilized during the period[28] Other Significant Information In H1 2025, the company had no significant contingent liabilities, with bank borrowings secured by vessels and land; employee numbers and costs increased, and a new share scheme was adopted for incentives, with future plans to continue investing in vessels, containers, and logistics projects - As of June 30, 2025, the Group had no significant contingent liabilities[30] - Bank borrowings are secured by vessels with a net book value of approximately 120.3 million USD and land mortgages of 10.4 million USD[31] Employee and Remuneration Information | Metric | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Number of full-time employees (excluding crew) | 2,252 | 2,132 | | Employee costs (including directors' emoluments) (Million USD) | 103.1 | 97.4 | - In H1 2025, 2 new container vessels were delivered, and options were exercised to construct 2 additional container vessels for a total consideration of 58.0 million USD[33] - The company plans to continue purchasing container vessels and containers, and investing in logistics projects, with internal financial resources and bank borrowings expected to be sufficient to meet funding requirements[34] Other Information This section details the interim dividend declaration, various share schemes for employee incentives, directors' and major shareholders' interests, corporate governance practices, and information on share repurchases and public float Interim Dividend The Board has resolved to declare an interim dividend for the six months ended June 30, 2025, representing a significant increase compared to the same period last year Interim Dividend Declaration | Period | Dividend per share (HKD) | Dividend per share (USD equivalent) | | :--- | :--- | :--- | | 2025 H1 | 1.30 | 0.17 | | 2024 H1 | 0.72 | 0.09 | - The dividend is expected to be paid on or before September 16, 2025[36] Share Schemes The company maintains share incentive schemes to attract and retain talent and foster business development, with the expired Post-IPO Share Option Scheme, the superseded Share Award Scheme, and the newly adopted Share Scheme forming its equity incentive framework Post-IPO Share Option Scheme This scheme aimed to reward contributors to the Group, with a maximum issuance of 10% of issued share capital; it expired on September 9, 2020, and as of June 30, 2025, no outstanding share options remained unexercised - The scheme was adopted on September 10, 2010, with a maximum of 260,000,000 shares issuable, representing 10% of the then-issued share capital[38] - The exercise price of share options is the highest of the closing price on the grant date, the average closing price for the five business days immediately preceding the grant date, and the nominal value of the shares[39] - The scheme expired on September 9, 2020, and as of June 30, 2025, the company had no outstanding share options under this scheme[40][42] Share Award Scheme This scheme aimed to recognize, incentivize, and retain eligible participants while attracting talent to the Group; the trustee could not hold more than 5% of the total issued shares, and although superseded by a new scheme on April 26, 2024, some awards remain unvested - The Share Award Scheme was adopted on September 13, 2017, to recognize, incentivize, and retain employees and non-executive directors, and to attract suitable talent[43][44] - At any time, the trustee under the Share Award Scheme could not hold more than 5% of the total issued shares[43] - The Share Award Scheme was superseded by the New Share Scheme on April 26, 2024[45] Unvested Awards under Share Award Scheme as of June 30, 2025 | Grantees and Positions | Number of unvested awards as of January 1, 2025 | Number of awards vested during the period | Number of unvested awards as of June 30, 2025 | | :--- | :--- | :--- | :--- | | Directors | 6,360,971 | 2,135,000 | 4,225,971 | | Other employees | 27,617,812 | 10,639,526 | 16,730,158 | | Total | 33,978,783 | 12,774,526 | 20,956,129 | New Share Scheme The New Share Scheme, adopted on April 26, 2024, aims to provide incentives for the Group's business development and success, featuring share limits, individual quotas, and specified exercise and vesting periods for share options - The New Share Scheme was adopted on April 26, 2024, to provide incentives to eligible participants and promote the Group's business development[48][49] - The total number of shares authorized under the scheme shall not exceed 10% of the issued shares on the adoption date, amounting to 268,265,336 shares[51] - Awards granted to independent non-executive directors or substantial shareholders shall not exceed 0.1% of the issued shares within a 12-month period; awards to other directors or chief executives shall also not exceed 0.1% of the issued shares within 12 months[52] - The exercise price of share options shall not be less than the highest of the closing price on the offer date, the average closing price for the five business days immediately preceding the offer date, and the nominal value of the shares[59] Unvested Share Awards under New Share Scheme as of June 30, 2025 | Grantees and Positions | Number of unvested share awards as of January 1, 2025 | Number of share awards granted during the period | Number of unvested share awards as of June 30, 2025 | | :--- | :--- | :--- | :--- | | Directors | 2,220,000 | 3,715,000 | 5,935,000 | | Other employees and connected entity participants | 5,362,548 | 10,285,000 | 15,580,320 | | Total | 7,582,548 | 14,000,000 | 21,515,320 | - In H1 2025, a total of 14,000,000 share awards were granted to selected participants under the share scheme, with 12,729,108 to be settled by new shares[65] Directors' and Major Shareholders' Interests The report discloses the long positions of directors and major shareholders in the company's shares and related shares as of June 30, 2025, including beneficial owners, controlled corporate interests, and trust beneficiaries, with Ms. Yang Xin holding the largest proportion through her capacity as a trust beneficiary Directors' Interests in Shares (June 30, 2025) | Director's Name | Nature of Interest | Number of Shares | Approximate Percentage of Shareholding | | :--- | :--- | :--- | :--- | | Yang Xianxiang | Interest in controlled corporation/Beneficial owner | 243,531,246 | 9.02% | | Liu Kecheng | Interest in controlled corporation/Beneficial owner | 44,842,356 | 1.66% | | Lai Zhiyong | Beneficiary of Go Thrive Trust/Beneficial owner | 3,457,205 | 0.13% | | Xue Mingyuan | Beneficiary of Go Thrive Trust/Beneficial owner | 4,714,618 | 0.17% | | Yang Xin | Beneficiary of trust | 1,097,794,544 | 40.66% | | Xie Shaoyi | Beneficial owner | 14,000 | 0.00% | | Liao Jiaying | Beneficial owner | 5,000 | 0.00% | | Hu Mantian | Beneficial owner | 7,000 | 0.00% | Directors' Interests in Related Shares (June 30, 2025) | Director's Name | Nature of Interest | Number of shares to be vested under Share Award Scheme | Approximate percentage of shareholding involved in shares to be vested under Share Award Scheme | | :--- | :--- | :--- | :--- | | Yang Xianxiang | Beneficiary of trust | 4,233,317 | 0.16% | | Liu Kecheng | Beneficiary of trust | 1,590,450 | 0.06% | | Xue Mingyuan | Beneficiary of trust | 2,965,994 | 0.11% | | Lai Zhiyong | Beneficiary of trust | 1,146,210 | 0.04% | | Yang Xin | Beneficiary of trust | 155,000 | 0.01% | | Xie Shaoyi | Beneficiary of trust | 28,000 | 0.00% | | Liao Jiaying | Beneficiary of trust | 21,000 | 0.00% | | Hu Mantian | Beneficiary of trust | 21,000 | 0.00% | Major Shareholders' Interests (June 30, 2025) | Name | Capacity | Number of Shares | Approximate Percentage of Shareholding | | :--- | :--- | :--- | :--- | | Yang Shaopeng | Settlor of discretionary trust | 1,097,794,544 | 40.66% | | TMF (Cayman) Ltd. | Trustee | 1,097,794,544 | 40.66% | | Better Master Limited | Interest in controlled corporation | 1,097,794,544 | 40.66% | | Resourceful Link Management Limited | Beneficial owner | 1,097,794,544 | 40.66% | | Liu Rongli | Spouse's interest | 1,097,794,544 | 40.66% | | Jixiang Limited | Beneficial owner | 233,814,950 | 8.66% | Corporate Governance The company is committed to maintaining stringent corporate governance practices, confirming compliance with the Corporate Governance Code in Appendix C1 of the Listing Rules for H1 2025, with the Audit Committee having reviewed interim results and financial reporting procedures - For the six months ended June 30, 2025, the Board believes the company has complied with the code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[73] - Directors have confirmed compliance with the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules[74] - The Audit Committee has reviewed the Group's adopted accounting principles and practices, and discussed internal controls and financial reporting matters, including this interim report[77] Share Repurchases and Public Float The company did not purchase, redeem, or sell any listed securities in H1 2025 and consistently maintained the public float as required by the Listing Rules - For the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, redeemed, or sold any of the company's listed securities[75] - The company has consistently maintained the public float as required by the Listing Rules throughout the six months ended June 30, 2025[76] Interim Condensed Consolidated Financial Information This section presents the company's interim condensed consolidated financial statements, including the statement of profit or loss, financial position, changes in equity, and cash flows, along with detailed explanatory notes Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income For the six months ended June 30, 2025, the company achieved substantial growth in both revenue and profit for the period, with other comprehensive income shifting from a loss to a gain, significantly boosting total comprehensive income, and both basic and diluted earnings per share showing marked improvement Summary of Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income | Metric | 2025 H1 (Thousand USD) | 2024 H1 (Thousand USD) | | :--- | :--- | :--- | | Revenue | 1,664,489 | 1,300,521 | | Gross profit | 669,431 | 402,615 | | Profit before tax | 643,607 | 362,378 | | Profit for the period | 633,448 | 352,846 | | Other comprehensive income/(loss) for the period | 13,990 | (3,519) | | Total comprehensive income for the period | 647,438 | 349,327 | | Basic earnings per share attributable to shareholders of the company (USD) | 0.24 | 0.13 | | Diluted earnings per share attributable to shareholders of the company (USD) | 0.23 | 0.13 | Interim Condensed Consolidated Statement of Financial Position As of June 30, 2025, the company's total assets and total equity both increased, with a significant rise in net current assets, demonstrating a robust asset base and healthy financial structure Summary of Interim Condensed Consolidated Statement of Financial Position | Metric | June 30, 2025 (Thousand USD) | December 31, 2024 (Thousand USD) | | :--- | :--- | :--- | | Total non-current assets | 2,221,864 | 2,174,554 | | Total current assets | 1,118,002 | 1,023,519 | | Total current liabilities | 485,105 | 544,756 | | Net current assets | 632,897 | 478,763 | | Total non-current liabilities | 268,133 | 231,813 | | Net assets (Total equity) | 2,586,628 | 2,421,504 | Interim Condensed Consolidated Statement of Changes in Equity For the six months ended June 30, 2025, total equity increased due to profit for the period, other comprehensive income, and share issuance, while decreasing from dividend payments and share repurchases, resulting in a net equity growth Summary of Interim Condensed Consolidated Statement of Changes in Equity | Equity Item | January 1, 2025 (Thousand USD) | Changes during the period (Thousand USD) | June 30, 2025 (Thousand USD) | | :--- | :--- | :--- | :--- | | Issued share capital | 34,641 | 165 | 34,806 | | Share premium account | 411,350 | 34,134 | 445,484 | | Shares held under share award scheme account | (100,774) | 3,838 | (96,936) | | Share-based payment reserve | 73,251 | (32,819) | 40,432 | | Retained profits | 2,007,714 | 142,680 | 2,150,394 | | Total equity attributable to shareholders of the company | 2,404,236 | 160,304 | 2,564,540 | | Non-controlling interests | 17,268 | 4,820 | 22,088 | | Total equity | 2,421,504 | 165,124 | 2,586,628 | - Profit for the period was 629,995 thousand USD, and other comprehensive income was 12,774 thousand USD[87] - Final dividend of 487,315 thousand USD for 2024 was paid[87] Interim Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2025, the company experienced a significant increase in net cash flow from operating activities, a shift from net outflow to net inflow in investing activities, but an increased net outflow from financing activities, ultimately leading to a net increase in cash and cash equivalents Summary of Interim Condensed Consolidated Statement of Cash Flows | Cash Flow Activity | 2025 H1 (Thousand USD) | 2024 H1 (Thousand USD) | | :--- | :--- | :--- | | Net cash flow from operating activities | 708,981 | 394,317 | | Net cash flow from/(used in) investing activities | 7,311 | (138,351) | | Net cash flow used in financing activities | (624,154) | (199,358) | | Net increase in cash and cash equivalents | 92,138 | 56,608 | | Cash and cash equivalents at end of period | 230,236 | 176,458 | - The positive shift in net cash flow from investing activities was primarily due to increased proceeds from the disposal of property, plant and equipment, and withdrawal of time deposits[90] - The increased net cash outflow from financing activities was mainly attributable to a significant increase in dividends paid[92] Notes to the Financial Information This section provides detailed notes to the interim condensed consolidated financial information, covering company basic information, accounting policies, operating segments, revenue, expenses, dividends, earnings per share, asset and liability items, capital commitments, related party transactions, and fair value of financial instruments, offering deeper explanations and supplementary information for the financial statements Company Information and Accounting Policies The company is registered in the Cayman Islands, primarily engaged in integrated shipping and logistics services; this interim financial information is prepared in accordance with HKAS 34, with the first-time adoption of revised HKFRSs having no significant impact on the financial data - The company is a limited liability company registered in the Cayman Islands, primarily engaged in providing integrated shipping and logistics services[93] - This interim condensed consolidated financial information is prepared in accordance with Hong Kong Accounting Standard 34 issued by the Hong Kong Institute of Certified Public Accountants and the disclosure requirements of Appendix D2 of the Listing Rules[94] - The amendments to HKAS 21 'Lack of Exchangeability', adopted for the first time in this period, had no impact on the interim condensed consolidated financial information[95][96] Operating Segments and Revenue Analysis The company operates a single segment: integrated shipping and logistics services, with revenue detailed by service type (container shipping and extended logistics, other container logistics) and geographical market (Greater China, Southeast Asia, Japan, etc.), primarily recognized when services are rendered - The Group has only one single operating segment, which is the provision of container shipping, freight forwarding, ship agency, container yard, warehousing services, land leasing, and other services[97] Revenue Breakdown (2025 H1) | Service Type | Amount (Thousand USD) | Geographical Market | Amount (Thousand USD) | | :--- | :--- | :--- | :--- | | Container shipping and extended logistics revenue | 1,512,689 | Greater China | 820,391 | | Other container logistics revenue | 150,696 | Southeast Asia | 452,476 | | Other rental income | 1,104 | Japan | 287,233 | | Total | 1,664,489 | Others | 103,285 | | | | Total | 1,664,489 | - Container shipping and extended logistics revenue is recognized over time as services are provided, while other container logistics revenue is recognized at a point in time when services are provided[101][102] Other Income and Expense Analysis This section details the composition of other income and gains/losses, net, including bank interest income, government grants, and gains from property, plant, and equipment disposal; finance costs primarily comprise bank borrowings interest and lease liabilities interest; profit before tax considers factors like bunker fuel costs, depreciation, and impairment losses, while income tax expense is calculated based on tax rates in different countries/regions Other Income and Gains/(Losses) Net (2025 H1) | Item | Amount (Thousand USD) | | :--- | :--- | | Bank interest income | 19,782 | | Government grants | 772 | | Net gain on disposal of property, plant and equipment | 13,874 | | Net exchange differences | 3,980 | | Total | 37,822 | Finance Costs (2025 H1) | Item | Amount (Thousand USD) | | :--- | :--- | | Interest on bank borrowings | 3,288 | | Interest on lease liabilities | 5,097 | | Total | 8,466 | Items Deducted From/(Credited To) Profit Before Tax (2025 H1) | Item | Amount (Thousand USD) | | :--- | :--- | | Bunker fuel consumed | 150,190 | | Depreciation of property, plant and equipment | 2,276 | | Depreciation of right-of-use assets | 1,472 | | Net impairment loss on trade receivables | 516 | Income Tax Expense (2025 H1) | Region | Amount (Thousand USD) | | :--- | :--- | | Mainland China | 3,206 | | Hong Kong | 254 | | Other countries/regions | 6,699 | | Total | 10,159 | Dividends and Earnings Per Share The Board has declared an interim dividend of HKD 1.30 per share; basic and diluted earnings per share are calculated based on profit attributable to shareholders and the weighted average number of ordinary shares outstanding, considering the dilutive effect of share options and share award schemes - The Board declared an interim dividend of HKD 1.30 per share (equivalent to 0.17 USD), totaling 447,118 thousand USD[110] - Basic earnings per share are calculated based on the profit attributable to shareholders of the company for the period and the weighted average number of ordinary shares outstanding during the period, less shares held under the share award scheme[111] Earnings Per Share Calculation Data (2025 H1) | Metric | 2025 H1 | 2024 H1 | | :--- | :--- | :--- | | Profit attributable to shareholders of the company used in calculating basic and diluted EPS (Thousand USD) | 629,995 | 350,674 | | Weighted average number of ordinary shares used in calculating basic EPS | 2,653,048,042 | 2,645,698,301 | | Dilutive effect - weighted average of share options | 28,417 | 448,884 | | Dilutive effect - weighted average of shares held under share award scheme | 38,112,092 | 37,011,444 | | Weighted average number of ordinary shares used in calculating diluted EPS | 2,691,188,551 | 2,683,158,629 | Notes on Assets and Liabilities This section details the acquisition and disposal of property, plant, and equipment, provides an aging analysis and impairment provisions for trade receivables, and outlines the aging and credit terms for trade payables, while also disclosing the composition of financial assets at fair value through profit or loss and contract liabilities Changes in Property, Plant and Equipment (2025 H1) | Item | 2025 H1 (Thousand USD) | 2024 H1 (Thousand USD) | | :--- | :--- | :--- | | Acquisition at cost | 79,815 | 115,495 | | Disposal at carrying amount | 15,989 | 2,520 | Aging Analysis of Trade Receivables (June 30, 2025) | Aging | Amount (Thousand USD) | | :--- | :--- | | Within 1 month | 134,718 | | 1 to 2 months | 20,095 | | 2 to 3 months | 7,797 | | Over 3 months | 7,780 | | Total | 170,390 | - The provision for impairment loss on trade receivables was 945 thousand USD as of June 30, 2025, an increase from 518 thousand USD as of December 31, 2024[118] - Financial assets at fair value through profit or loss, representing unlisted investments, were zero as of June 30, 2025, compared to 690 thousand USD as of December 31, 2024[121] Aging Analysis of Trade Payables (June 30, 2025) | Aging | Amount (Thousand USD) | | :--- | :--- | | Within 1 month | 225,806 | | 1 to 2 months | 20,963 | | 2 to 3 months | 9,602 | | Over 3 months | 25,258 | | Total | 281,629 | - Other payables and accrued expenses include 21,934 thousand USD in contract liabilities, representing advances received from customers for container shipping services[123] Changes in Issued Share Capital (2025 H1) | Reason for Change | Number of Shares | Thousand USD Equivalent | | :--- | :--- | :--- | | As of January 1, 2025 | 2,687,119,908 | 34,641 | | New shares issued upon exercise of share options | 139,000 | 2 | | Shares issued under share scheme | 12,729,108 | 163 | | As of June 30, 2025 | 2,699,988,016 | 34,806 | Capital Commitments and Related Party Transactions As of June 30, 2025, the company had approximately 267 million USD in capital commitments for vessel acquisitions and 4.18 million USD for smart container yard construction; this section also details various related party transactions with companies controlled by the controlling shareholder and joint ventures, along with the composition of key management personnel's remuneration Capital Commitments (June 30, 2025) | Item | Amount (Thousand USD) | | :--- | :--- | | Acquisition of vessels | 266,616 | | Construction of smart container yard | 4,183 | | Total | 270,799 | Related Party Transactions (2025 H1) | Transaction Type | Companies controlled by controlling shareholder (Thousand USD) | Joint ventures (Thousand USD) | | :--- | :--- | :--- | | Container shipping services income | 12,804 | 61,021 | | Ocean freight forwarding services income | - | 202,446 | | Container vessel charter hire expenses | 4,404 | - | | Freight forwarding services expenses | - | 11,794 | | Land and building rental income | - | 1,350 | Key Management Personnel Remuneration (2025 H1) | Remuneration Type | Amount (Thousand USD) | | :--- | :--- | | Short-term employee benefits | 1,171 | | Post-employment benefits | 18 | | Share-based payment expenses | 3,040 | | Total | 4,229 | Fair Value of Financial Instruments This section explains the valuation methods for financial instruments' fair value, primarily using present value techniques, and presents the fair value measurement of derivative financial instruments by fair value hierarchy (Level 2: significant observable inputs), with no transfers between Level 1 and Level 2, or into or out of Level 3 during the period - The fair value of financial instruments is accounted for at the amount for which an instrument could be exchanged in a current transaction between willing parties, estimated using present value techniques[131][132] - Derivative financial instruments, including forward currency contracts and interest rate swaps, are measured using valuation techniques similar to forward pricing and swap models, applying present value techniques[132] Assets Measured at Fair Value (June 30, 2025) | Item | Level 2 (Thousand USD) | Total (Thousand USD) | | :--- | :--- | :--- | | Derivative financial instruments | 53,697 | 53,697 | - During the period, there were no transfers between Level 1 and Level 2, nor any transfers into or out of Level 3 for fair value measurements of financial assets and financial liabilities[135]