雅仕维(01993) - 2025 - 中期业绩

Company Information and Report Overview This report presents the unaudited condensed consolidated financial results of Asiaray Media Group Limited for the six months ended June 30, 2025, with comparative data for 2024 - Asiaray Media Group Limited announced its unaudited interim results for the six months ended June 30, 2025[2] Condensed Consolidated Financial Statements This section outlines the Group's financial performance, including comprehensive income and balance sheet status, reflecting a turnaround to profit in H1 2025 and adjustments to the asset-liability structure Condensed Consolidated Statement of Comprehensive Income The Group achieved a turnaround to profit in H1 2025 with a net profit of RMB 14.6 million, compared to a loss of RMB 7.6 million in the prior period, driven by significantly lower net finance costs and increased operating profit Condensed Consolidated Statement of Comprehensive Income Key Data (For the six months ended June 30) | Indicator | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Revenue | 421,955 | 580,953 | | Cost of revenue | (306,757) | (416,006) | | Gross profit | 115,198 | 164,947 | | Selling and marketing expenses | (37,446) | (58,108) | | Administrative expenses | (53,162) | (74,924) | | Net impairment losses on financial assets | (8,165) | (6,223) | | Other income | 5,980 | 5,124 | | Other gains / (losses), net | 27,593 | 15,217 | | Operating profit | 49,998 | 46,033 | | Finance income | 739 | 1,305 | | Finance costs | (27,312) | (54,736) | | Net finance costs | (26,573) | (53,431) | | Share of net loss of investments accounted for using the equity method | (1,531) | (2,016) | | Profit / (loss) before income tax | 21,894 | (9,414) | | Income tax expense / (credit) | (7,270) | 1,847 | | Profit / (loss) for the period | 14,624 | (7,567) | | Attributable to: | | | | Owners of the Company | 2,165 | (13,979) | | Non-controlling interests | 12,459 | 6,412 | | Total profit / (loss) for the period | 14,624 | (7,567) | | Loss per share attributable to owners of the Company for the period (RMB cents per share) | (0.8) | (4.2) | Condensed Consolidated Statement of Financial Position As of June 30, 2025, the Group's total assets and liabilities decreased, but total equity slightly increased, indicating an improved financial structure, though current liabilities still exceed current assets Condensed Consolidated Statement of Financial Position Key Data | Indicator | June 30, 2025 (RMB Thousand) | December 31, 2024 (RMB Thousand) | | :--- | :--- | :--- | | Assets | | | | Non-current assets | 981,869 | 1,179,045 | | Current assets | 808,112 | 874,910 | | Total assets | 1,789,981 | 2,053,955 | | Equity and Liabilities | | | | Equity attributable to owners of the Company | 71,118 | 77,389 | | Non-controlling interests | 195,521 | 183,245 | | Total equity | 266,639 | 260,634 | | Non-current liabilities | 427,396 | 613,205 | | Current liabilities | 1,095,946 | 1,180,116 | | Total liabilities | 1,523,342 | 1,793,321 | | Total equity and liabilities | 1,789,981 | 2,053,955 | Notes to the Condensed Consolidated Interim Financial Information This section details the basis of preparation, accounting policies, significant estimates, segment information, and specific components and changes of financial items, providing essential context for understanding the financial statements 1 General Information This section provides company registration details, listing venue, primary business scope (out-of-home advertising media development and operation, including airports, subways, billboards, and creative building advertisements), and the presentation currency and approval date of financial information - The Company primarily engages in the development and operation of out-of-home advertising media in Mainland China, Hong Kong, Macau, and Southeast Asia, including airports, subway lines, billboards, and creative building advertisements[7] 2 Basis of Preparation The condensed consolidated interim financial information is prepared in accordance with HKAS 34 and presented on a going concern basis, as management believes available funding sources are sufficient for the next 12 months, despite current liabilities exceeding current assets - As of June 30, 2025, the Group's current liabilities exceeded its current assets by approximately RMB 287,834,000[8] - Management believes that the Group's available funding sources are sufficient to meet its financial obligations due within the next twelve months from June 30, 2025, thus preparing the financial information on a going concern basis[9] - The revised standards adopted by the Group for the first time for financial years beginning on or after January 1, 2025, had no significant impact on the Group's results and financial position[11] New and Revised Standards and Interpretations Not Yet Adopted | Standard Name | Description | Effective for annual periods beginning on or after | | :--- | :--- | :--- | | Amendments to HKFRS 9 and HKFRS 7 | Classification and Measurement of Financial Instruments | January 1, 2026 | | Amendments to HKFRS 1, HKFRS 7, HKFRS 9, HKFRS 10 and HKAS 7 | Annual Improvements to HKFRS Standards – Volume 11 | January 1, 2026 | | HKFRS 18 | Presentation and Disclosure in Financial Statements | January 1, 2027 | | HKFRS 19 | Non-publicly Accountable Subsidiaries: Disclosures | January 1, 2027 | | Amendments to HK(IFRIC)-Int 5 | Presentation of Financial Statements – Classification by a Borrower of a Term Loan that Contains a Repayment on Demand Clause | January 1, 2027 | | Amendments to HKFRS 10 and HKAS 28 | Sale or Contribution of Assets between an Investor and its Associate or Joint Venture | To be determined | 3 Significant Estimates The preparation of condensed consolidated interim financial information requires management judgments, estimates, and assumptions affecting reported amounts of accounting policies, assets, liabilities, income, and expenses, with primary sources consistent with those applied in the 2024 annual consolidated financial statements - In preparing these condensed consolidated interim financial information, the significant judgments made by management in applying the Group's accounting policies and the key sources of estimation uncertainty are the same as those applied in the consolidated financial statements for the year ended December 31, 2024[14] 4 Segment Information The Group manages and assesses performance based on three operating segments: Airport Business, Subway and Billboard Business, and Bus and Other Businesses, providing detailed financial data including revenue, costs, gross profit, and geographical distribution for each segment, reflecting differentiated performance Description of Operating Segments The Group's main operating segments include Airport Business, Subway and Billboard Business, and Bus and Other Businesses, with performance assessed by key operating decision-makers based on revenue and gross profit for each segment - The Group has three major operating segments: Airport Business, Subway and Billboard Business, and Bus and Other Businesses[18] Operating Segment Performance In H1 2025, Subway and Billboard Business saw increased revenue and gross profit, Bus and Other Businesses experienced a revenue decrease but a significant gross profit margin improvement, while Airport Business revenue and gross profit declined substantially Operating Segment Performance (For the six months ended June 30) For the six months ended June 30, 2025 | Segment | Revenue (RMB Thousand) | Cost of revenue (RMB Thousand) | Gross profit (RMB Thousand) | Segment results (RMB Thousand) | | :--- | :--- | :--- | :--- | :--- | | Airport Business | 105,319 | (102,479) | 2,840 | 1,841 | | Subway and Billboard Business | 224,426 | (142,560) | 81,866 | 81,334 | | Bus and Other Businesses | 92,210 | (61,718) | 30,492 | 30,492 | | Total | 421,955 | (306,757) | 115,198 | 113,667 | For the six months ended June 30, 2024 | Segment | Revenue (RMB Thousand) | Cost of revenue (RMB Thousand) | Gross profit (RMB Thousand) | Segment results (RMB Thousand) | | :--- | :--- | :--- | :--- | :--- | | Airport Business | 180,822 | (101,901) | 78,921 | 76,146 | | Subway and Billboard Business | 187,098 | (132,917) | 54,181 | 54,940 | | Bus and Other Businesses | 213,033 | (181,188) | 31,845 | 31,845 | | Total | 580,953 | (416,006) | 164,947 | 162,931 | Revenue Recognition Timing and Geographical Distribution The Group's revenue primarily derives from advertising publication, with most revenue recognized over time, and Mainland China remains the main revenue source, though revenue share from Hong Kong and other countries has decreased Revenue Type (For the six months ended June 30) | Revenue Type | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Advertising publication revenue | 353,549 | 454,542 | | Advertising production, installation and dismantling revenue | 68,406 | 126,411 | | Total | 421,955 | 580,953 | Revenue Recognition Timing (For the six months ended June 30) | Revenue Recognition Timing | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Revenue recognized over time | 353,549 | 454,542 | | Revenue recognized at a point in time | 68,406 | 126,411 | | Total | 421,955 | 580,953 | Revenue Geographical Distribution (For the six months ended June 30) | Region | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Mainland China | 270,282 | 319,130 | | Hong Kong and other countries | 151,673 | 261,823 | | Total | 421,955 | 580,953 | Geographical Distribution of Non-current Assets The Group's non-current assets are primarily distributed in Mainland China and Hong Kong, with non-current assets in Mainland China decreasing as of June 30, 2025 Geographical Distribution of Non-current Assets | Region | June 30, 2025 (RMB Thousand) | December 31, 2024 (RMB Thousand) | | :--- | :--- | :--- | | Mainland China | 579,353 | 732,856 | | Hong Kong | 245,041 | 281,739 | | Other countries | 19,345 | 19,147 | | Total | 843,739 | 1,033,742 | 5 Components of Operating Profit Operating profit is primarily influenced by variable concession fees for advertising space, depreciation of right-of-use assets, and employee benefit expenses, with variable concession fees for advertising space significantly increasing year-on-year Operating Profit Deduction Items (For the six months ended June 30) | Item | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Variable concession fees for advertising space | 168,732 | 56,792 | | Expenses related to short-term lease concession fees | 60,445 | 41,594 | | Depreciation of property, plant and equipment | 10,919 | 12,920 | | Depreciation of right-of-use assets | 140,454 | 260,816 | | Impairment loss on right-of-use assets | – | 5,300 | | Employee benefit expenses | 73,147 | 93,405 | | Project installation and dismantling costs | 28,794 | 54,143 | | Travel and entertainment expenses | 3,963 | 7,944 | | Amortisation of intangible assets | 868 | 1,082 | 6 Components of Other Income Other income primarily includes advertising design service income, advertising consulting service income, and rental income, with the total amount slightly increasing in H1 2025 Components of Other Income (For the six months ended June 30) | Item | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Advertising design service income | 3,302 | 2,891 | | Advertising consulting service income | 538 | 48 | | Rental income | 1,402 | 1,587 | | Dividend income | 196 | 194 | | Government grant income | 28 | – | | Others | 514 | 404 | | Total | 5,980 | 5,124 | 7 Other Gains / (Losses), Net In H1 2025, the Group's net other gains significantly increased, primarily due to higher gains from early termination of leases Other Gains / (Losses), Net Components (For the six months ended June 30) | Item | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Net gain / (loss) on early termination of leases | 28,354 | 14,798 | | Fair value gain / (loss) on investment properties | – | (1,393) | | Fair value gain / (loss) on financial assets at fair value through profit or loss | – | (257) | | Gain / (loss) on disposal of property, plant and equipment | (28) | (44) | | Net exchange gain / (loss) | (626) | 424 | | Others | (107) | 1,689 | | Total | 27,593 | 15,217 | 8 Net Finance Costs The Group's net finance costs significantly decreased year-on-year, mainly due to a substantial reduction in interest expenses on bank borrowings and lease liabilities Net Finance Costs Components (For the six months ended June 30) | Item | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | Interest income from bank deposits | (739) | (1,305) | | Interest expense on bank borrowings | 8,673 | 11,269 | | Interest expense on lease liabilities | 18,639 | 43,467 | | Net finance costs | 26,573 | 53,431 | 9 Income Tax Expense / (Credit) In H1 2025, the Group shifted from an income tax credit in the prior period to an income tax expense, primarily due to an increase in deferred income tax expense Income Tax Expense / (Credit) Analysis (For the six months ended June 30) | Item | 2025 (RMB Thousand) | 2024 (RMB Thousand) | | :--- | :--- | :--- | | PRC enterprise income tax expense | 526 | 1,677 | | Deferred income tax expense / (credit) | 6,744 | (3,605) | | Under-provision in prior years | – | 81 | | Total | 7,270 | (1,847) | 10 Earnings / (Loss) Per Share The Group's basic loss per share significantly narrowed from RMB 4.2 cents in the prior period to RMB 0.8 cents in H1 2025 Basic Earnings / (Loss) Per Share Calculation (For the six months ended June 30) | Indicator | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Profit / (loss) attributable to owners of the Company (RMB Thousand) | 2,165 | (13,979) | | Less: Distribution on perpetual subordinated convertible securities (RMB Thousand) | (5,830) | (5,775) | | Profit / (loss) for the purpose of calculating basic earnings / (loss) per share | (3,665) | (19,754) | | Weighted average number of ordinary shares in issue (Thousand shares) | 476,930 | 475,934 | | Earnings / (loss) per share (RMB cents per share) | (0.8) | (4.2) | - For the periods ended June 30, 2025 and 2024, the Group's perpetual subordinated convertible securities may dilute basic loss per share in the future, but they were not included in the calculation of diluted loss per share due to their anti-dilutive effect during the period[32] 11 Dividends No dividends were paid or proposed by the company for the six months ended June 30, 2025, or 2024 - No dividends were paid or proposed for the six months ended June 30, 2025 and 2024, and no dividends have been proposed since the end of the interim reporting period[33] 12 Trade and Other Receivables As of June 30, 2025, total trade and other receivables decreased, with net trade receivables and recoverable VAT reducing, but prepayments increasing Trade and Other Receivables | Item | June 30, 2025 (RMB Thousand) | December 31, 2024 (RMB Thousand) | | :--- | :--- | :--- | | Trade receivables, net | 287,813 | 310,715 | | Other receivables, net | 128,933 | 149,849 | | Interest receivables | 15 | 20 | | Recoverable VAT | 38,826 | 42,239 | | Prepayments | 78,403 | 71,063 | | Total current assets | 533,990 | 573,886 | | Non-current assets - Deposits | 3,748 | 5,171 | | Total | 537,738 | 579,057 | Trade Receivables Ageing Analysis | Ageing | June 30, 2025 (RMB Thousand) | December 31, 2024 (RMB Thousand) | | :--- | :--- | :--- | | Up to 6 months | 166,679 | 186,653 | | 6 to 12 months | 34,751 | 47,662 | | 1 to 2 years | 70,715 | 70,989 | | 2 to 3 years | 41,165 | 35,797 | | Over 3 years | 99,242 | 96,437 | | Total | 412,552 | 437,538 | 13 Trade and Other Payables As of June 30, 2025, total trade and other payables slightly decreased, with trade payables and salaries & employee benefits payable reducing, but accrued advertising space concession fees significantly increasing Trade and Other Payables | Item | June 30, 2025 (RMB Thousand) | December 31, 2024 (RMB Thousand) | | :--- | :--- | :--- | | Trade payables | 171,386 | 200,229 | | Accrued advertising space concession fees | 82,026 | 38,650 | | Other tax payables | 1,301 | 2,518 | | Interest payables | 558 | 559 | | Salaries and employee benefits payable | 10,328 | 25,142 | | Other payables | 68,826 | 75,164 | | Total | 334,425 | 342,262 | Trade Payables Ageing Analysis | Ageing | June 30, 2025 (RMB Thousand) | December 31, 2024 (RMB Thousand) | | :--- | :--- | :--- | | Up to 6 months | 122,394 | 83,183 | | 6 to 12 months | 27,310 | 66,582 | | 1 to 2 years | 12,569 | 43,448 | | 2 to 3 years | 2,575 | 2,114 | | Over 3 years | 6,538 | 4,902 | | Total | 171,386 | 200,229 | 14 Right-of-Use Assets and Lease Liabilities As of June 30, 2025, both right-of-use assets and lease liabilities significantly decreased, primarily due to depreciation and lease termination activities Right-of-Use Assets Movement (As of June 30, 2025) | Class of Right-of-Use Assets | January 1, 2025 (Audited) (RMB Thousand) | Additions (RMB Thousand) | Depreciation (RMB Thousand) | Terminations (RMB Thousand) | Exchange differences (RMB Thousand) | June 30, 2025 (Unaudited) (RMB Thousand) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Land use rights | 17,377 | – | (284) | – | – | 17,093 | | Advertising equipment | 694,622 | 48,087 | (135,796) | (88,572) | (1,015) | 517,326 | | Offices | 12,966 | 2,299 | (4,374) | – | (69) | 10,822 | | Total | 724,965 | 50,386 | (140,454) | (88,572) | (1,084) | 545,241 | Lease Liabilities | Lease Liabilities | June 30, 2025 (RMB Thousand) | December 31, 2024 (RMB Thousand) | | :--- | :--- | :--- | | Current portion | 421,860 | 499,569 | | Non-current portion | 323,215 | 508,179 | | Total lease liabilities | 745,075 | 1,007,748 | Management Discussion and Analysis This section reviews the Group's business performance, segment operations, new media strategy progress, future outlook, and changes in financial indicators, explaining the drivers of financial improvement and outlining financial management policies, demonstrating a turnaround to profit through strategic adjustments Business Review In H1 2025, the Group achieved a turnaround to profit through strategies like optimizing media networks, selectively withdrawing from unprofitable resources, and reacquiring high-potential resources, maintaining stable operating profit and gross margin, and a sound financial position - The Group drove financial improvement through comprehensive strategies including optimizing its media network, selectively withdrawing from unprofitable resources, and reacquiring resources with growth potential[37] - The Group successfully achieved a turnaround to profit during the period, recording a profit of RMB 14.6 million, compared to a loss of RMB 7.6 million in the same period last year[38] - As of June 30, 2025, the Group's cash and cash equivalents (including restricted cash) amounted to RMB 200.2 million, indicating a sound financial position[39] Business Segment Performance Business segment performance was mixed, with Subway and Billboard Business showing significant growth in revenue and gross profit, Bus and Other Businesses experiencing a revenue decline but a substantial increase in gross profit margin, and Airport Business seeing a sharp drop in both revenue and gross profit Subway and Billboard Business This segment's revenue increased by 19.9% to RMB 224.4 million, with gross margin rising by 7.5 percentage points to 36.5%, driven by cross-border advertising, reacquired resources like Shenzhen Metro, and enhanced advertising value at Hong Kong West Kowloon Station - Subway and Billboard Business revenue increased by 19.9% to RMB 224.4 million, with gross margin rising by 7.5 percentage points to 36.5%[40] - The Group's reacquired resources, such as Shenzhen Metro, contributed as expected, while advertising value at Hong Kong West Kowloon Station significantly improved, and innovative advertising solutions were successfully planned[40] - The Group utilized cutting-edge 3D technology to transform prime billboard locations in Tsim Sha Tsui into viral marketing campaigns for fashion brands[41] Bus and Other Businesses This segment's revenue was RMB 92.2 million, impacted by reduced media resources due to proactive termination of unprofitable contracts, but gross margin significantly improved by 18.2 percentage points to 33.1%, this was driven by streamlined operations and increased efficiency - Bus and Other Businesses revenue was RMB 92.2 million, with gross margin significantly increasing by 18.2 percentage points to 33.1%[42] - The improvement in gross margin was primarily due to streamlined operational processes and increased efficiency[42] - The Group promoted international sports brand giants and local fitness organizations during Hong Kong's flagship marathon, and created large-scale bus terminal themed visual spaces for renowned e-commerce giants[42] Airport Business This segment's revenue was RMB 105.3 million, with a gross profit of RMB 2.8 million and a gross margin of 2.7%, expected to fully recover after operational restructuring - Airport Business revenue was RMB 105.3 million, with a gross margin of 2.7%[43] - This segment is expected to achieve a full recovery after the completion of operational restructuring[43] Out-of-Home Online New Media Strategic Development Leveraging its Out-of-Home Online (O&O) new media strategy and DOOH+ platform, the Group effectively connected brands with audiences through innovative advertising campaigns and deepened collaborations with programmatic advertising platforms, earning 23 industry awards - The Group won 23 industry awards for its innovative advertising campaigns, with its Out-of-Home Online (O&O) new media strategy and DOOH+ platform deeply integrating market insights[44] - The Group deepened its collaboration with leading programmatic advertising platforms such as The Trade Desk, Hivestack by Perion, and Vistar Media, enhancing intelligent and efficient matching[45] - The Group executed data-driven advertising campaigns for food delivery platforms, precisely pushing meal choices and promotional information based on time-of-day changes, significantly improving conversion effectiveness[45] Outlook The Group is cautiously optimistic for H2 2025, anticipating cross-border tourism and the event economy as key growth drivers, and aims for sustainable development by optimizing media resource portfolios, strengthening internal controls, and deepening partnerships - Asiaray enters H2 2025 with cautious optimism, anticipating cross-border tourism and the event economy to be significant growth drivers in the near term[46] - The Group has secured the exclusive franchise for media resources in Hong Kong's Eastern Harbour Crossing for three years, further solidifying its market position[46] - The Group continues to strengthen internal controls, adheres to prudent financial management principles, and optimizes its media resource portfolio to enhance profitability by deepening partnerships with key media resource owners[47] Financial Review This section analyzes year-on-year changes in the Group's financial indicators, including revenue, costs, gross profit, various expenses, finance costs, taxes, EBITDA, and profit/loss attributable to owners, revealing the main drivers of improved financial performance Revenue Analysis Total Group revenue decreased by 27.4% year-on-year to RMB 422.0 million, primarily due to the termination of multiple projects, with significant declines in Airport and Bus & Other segments, while the Subway & Billboard segment saw revenue growth - The Group's revenue for the period decreased by 27.4% from RMB 581.0 million in the same period of 2024 to RMB 422.0 million, primarily due to the termination of multiple projects[48] - Airport segment revenue decreased by 41.8% to RMB 105.3 million, mainly due to the early termination of the Kunming Airport project[48] - Subway and Billboard segment revenue increased by 20.0% to RMB 224.4 million, primarily due to an increase in exclusive subway lines and billboards in Mainland China and Hong Kong[48] - Bus and Other segment revenue decreased by 56.7% to RMB 92.2 million, mainly due to the expiry of bus body projects[49] Cost of Revenue Analysis Cost of revenue decreased by 26.3% from RMB 416.0 million in the same period of 2024 to RMB 306.8 million in the current period, primarily attributable to project terminations and reduced rental expenses - Cost of revenue decreased by RMB 109.2 million or 26.3% from RMB 416.0 million in the same period of 2024 to RMB 306.8 million in the current period, primarily attributable to project terminations and reduced rental expenses[50] Gross Profit and Gross Margin Analysis Gross profit for the period slightly decreased by 30.2% to RMB 115.2 million from RMB 164.9 million in the same period of 2024, while gross margin slightly decreased from 28.4% to 27.3% - Gross profit for the period slightly decreased by RMB 49.7 million or 30.2% to RMB 115.2 million from RMB 164.9 million in the same period of 2024, while gross margin slightly decreased from 28.4% in the same period of 2024 to 27.3% in the current period[51] Selling and Marketing Expenses Analysis Selling and marketing expenses decreased by 35.6% from RMB 58.1 million in the same period of 2024 to RMB 37.4 million in the current period - Selling and marketing expenses decreased by RMB 20.7 million or 35.6% from RMB 58.1 million in the same period of 2024 to RMB 37.4 million in the current period[52] Administrative Expenses Analysis Administrative expenses decreased by 29.0% from RMB 74.9 million in the same period of 2024 to RMB 53.2 million in the current period - Administrative expenses decreased by RMB 21.8 million or 29.0% from RMB 74.9 million in the same period of 2024 to RMB 53.2 million in the current period[53] Net Finance Costs Analysis Net finance costs decreased by 50.3% from RMB 53.4 million in the same period of 2024 to RMB 26.6 million in the current period, primarily due to reduced interest expenses from lease liabilities under HKFRS 16 - Net finance costs decreased by RMB 26.9 million or 50.3% from RMB 53.4 million in the same period of 2024 to RMB 26.6 million in the current period, primarily due to reduced interest expenses from lease liabilities under HKFRS 16[54] Share of Net Loss of Investments Accounted for Using the Equity Method Analysis The share of net loss from investments in associates decreased by 24.1% from RMB 2.0 million in the same period of 2024 to RMB 1.5 million in the current period, mainly due to reduced media losses from Shenzhen Airport - The share of net loss from investments in associates decreased by 24.1% from RMB 2.0 million in the same period of 2024 to RMB 1.5 million in the current period, mainly due to reduced media losses from Shenzhen Airport[55] Income Tax Expense / (Credit) Analysis Income tax expense / (credit) decreased by 493.6% from an income tax credit of RMB 1.8 million in the same period of 2024 to an income tax expense of RMB 7.3 million in the current period - Income tax expense / (credit) decreased by 493.6% from an income tax credit of RMB 1.8 million in the same period of 2024 to an income tax expense of RMB 7.3 million in the current period[56] EBITDA Analysis The Group's EBITDA decreased by 37.1% from RMB 320.1 million in the same period of 2024 to RMB 201.5 million in the current period - The Group's EBITDA decreased by RMB 118.7 million or 37.1% from RMB 320.1 million in the same period of 2024 to RMB 201.5 million in the current period[57] Profit / (Loss) Attributable to Owners of the Company Analysis Profit attributable to owners of the Company increased by 115.5% from a loss of RMB 14.0 million in the same period of 2024 to a profit of RMB 2.2 million in the current period - Profit attributable to owners of the Company increased by RMB 16.2 million or 115.5% from a loss of RMB 14.0 million in the same period of 2024 to a profit of RMB 2.2 million in the current period[58] Financial Management and Treasury Policy The Group adopts a conservative approach to cash management and fund investments, with most income and expenses denominated in RMB and HKD, and directors believe there are no significant foreign exchange risks - The Group adopts a conservative approach to cash management and fund investments, with most of its income and expenditure items denominated in RMB and HKD, and the Directors believe there are no significant foreign exchange risks[59] Dividend Policy The company is committed to balancing shareholder expectations with prudent capital management, with its dividend policy based on profit attributable to owners of the Company, and distribution amounts can be up to 100% - The Company's adopted dividend policy is based on the profit attributable to owners of the Company, with distribution amounts potentially up to 100% of the profit attributable to owners of the Company[60] Liquidity and Financial Resources As of June 30, 2025, the Group's cash and cash equivalents decreased, while its current ratio and gearing ratio remained stable - As of June 30, 2025, the Group's cash and cash equivalents, and restricted cash amounted to RMB 200.2 million, a decrease from RMB 232.5 million as of December 31, 2024[61] Financial Ratios | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current Ratio | 0.75 | 0.75 | | Gearing Ratio | 0.5 | 0.4 | Borrowings As of June 30, 2025, the Group's total bank borrowings amounted to RMB 323.5 million, with most repayable within one year - As of June 30, 2025, the Group's total bank borrowings amounted to RMB 323.5 million; of the total borrowings, RMB 220.5 million is repayable within one year, and RMB 103.0 million is repayable after one year[62] Interest Rate Risk The Group's interest rate risk primarily stems from floating-rate bank borrowings, with management mitigating this risk by closely monitoring macroeconomic conditions and interest rate changes - The Group's interest rate risk primarily arises from floating-rate bank borrowings[63] Pledge of Assets As of June 30, 2025, and December 31, 2024, the Group had not pledged any of its assets to secure any borrowings - As of June 30, 2025, and December 31, 2024, the Group had not pledged any of its assets to secure any of its borrowings[64] Capital Expenditure Capital expenditure for the period was RMB 4.8 million, primarily for property, plant, and equipment, representing an increase from the prior period - During the period, capital expenditure amounted to RMB 4.8 million, primarily comprising cash expenditure for property, plant, and equipment[65] Contingent Liabilities As of June 30, 2025, and December 31, 2024, the Group had no significant outstanding contingent liabilities - As of June 30, 2025, and December 31, 2024, the Group had no significant outstanding contingent liabilities[66] Events After the Reporting Period No significant events affecting the Group have occurred since June 30, 2025, up to the date of this announcement - No significant events affecting the Group have occurred from June 30, 2025, up to the date of this announcement[67] Other Information This section provides supplementary information on human resources, dividends, corporate governance, directors' securities transactions, share repurchases, the audit committee, and report publication, emphasizing the company's operational and governance transparency Human Resources and Remuneration Policy The Group offers competitive remuneration and benefits to employees, with 476 employees as of June 30, 2025, and total salaries and related costs decreasing year-on-year - As of June 30, 2025, the Group had 476 employees (June 30, 2024: 612 employees)[68] - Total salaries and related costs for the current period and the same period in 2024 were RMB 67.8 million and RMB 93.4 million, respectively[68] Interim Dividend The Board of Directors does not recommend the payment of an interim dividend for the current period - The Board does not recommend the payment of an interim dividend for the current period (June 30, 2024: nil)[69] Corporate Governance The company complies with the Corporate Governance Code in Appendix C1 of the Listing Rules, with deviations regarding the non-segregation of Chairman and CEO roles and non-executive directors' attendance at general meetings - During the period, the Company complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 to the Listing Rules, save for deviations from code provisions C.2.1 and C.1.5 of the Corporate Governance Code[70] - Mr. Lam Tak Hing is currently both the Chairman of the Board and the Chief Executive Officer of the Company, and the Board believes this structure enhances the efficiency of the Company's strategy formulation and implementation[70] Standard Code for Securities Transactions by Directors The company has adopted the Standard Code for Securities Transactions by Directors as set out in Appendix C3 of the Listing Rules, and all directors have confirmed compliance - The Company has made specific enquiries with all Directors, and all Directors have confirmed their compliance with the standards set out in the Standard Code during the period[71] 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 period - During the period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[72] Audit Committee The Company's Audit Committee has reviewed the unaudited consolidated financial results and interim report for the period, agreeing with the accounting principles and practices adopted by the company, and is composed of three independent non-executive directors - The Company's Audit Committee has reviewed the Company's unaudited consolidated financial results and interim report for the period and agreed with the accounting principles and practices adopted by the Company[73] - The Company's Audit Committee comprises three independent non-executive Directors (namely Mr. Ma Chiu Cheung, John (Chairman), Mr. Ma Hao Hui, and Ms. Mak Ka Ling, Alice)[73] Publication of Interim Results and Interim Report All financial and other relevant information required by the Listing Rules will be published timely on the company's website and the HKEX website - All financial and other relevant information of the Company as required by the Listing Rules will be published timely on the Company's website (https://www.asiaray.com/zh/home/) and the HKEX website (https://www.hkexnews.hk/)[74](index=74&type=chunk) Board Information This section lists the members of the Board of Directors as of the announcement date, including executive, non-executive, and independent non-executive directors - As of the date of this announcement, the executive Directors are Mr. Lam Tak Hing and Mr. Kwan Tat Cheong; the non-executive Director is Ms. Ng Hiu Ping; and the independent non-executive Directors are Mr. Ma Chiu Cheung, John, Mr. Ma Hao Hui, and Ms. Mak Ka Ling, Alice[76]