中国龙天集团(01863) - 2025 - 中期业绩

Company Information and Performance Summary Company Overview Incorporated in the Cayman Islands, the company's shares have been suspended from HKEX trading since February 14, 2013, focusing on high-strength polyester fiber composites and PVC/non-PVC building materials - The company was incorporated in the Cayman Islands on October 7, 2009, with shares suspended from trading on the Main Board of The Stock Exchange of Hong Kong Limited since February 14, 2013[2][11] - The Group primarily engages in the design, development, production, and sale of high-strength polyester fiber polymer composites and other reinforced composite materials (material products), as well as PVC and non-PVC composite flooring and wall panels (building material products)[11] Interim Performance Highlights For the six months ended June 30, 2025, the Group's revenue increased by 11.2% to approximately RMB 591.6 million, but profit attributable to owners decreased by 14.6% to RMB 17.2 million, with a slight decline in gross profit margin and no interim dividend declared Summary of Key Financial Data for H1 2025 | Metric | June 30, 2025 (RMB million) | June 30, 2024 (RMB million) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 591.6 | 532.2 | +11.2% | | Gross Profit Margin | 17.0% | 17.4% | -0.4 percentage points | | Profit Attributable to Owners of the Company | 17.2 | 20.2 | -14.6% | | Basic Earnings Per Share | 2.02 cents | 2.36 cents | -14.4% | | Interim Dividend | Nil | Nil | - | Condensed Consolidated Financial Statements Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income For the six months ended June 30, 2025, the Group's revenue increased, but profit for the period and profit attributable to owners decreased year-on-year due to higher cost of sales, finance costs, and income tax expense, coupled with lower other income and gains Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (Summary) | Metric | June 30, 2025 (RMB thousand) | June 30, 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue | 591,574 | 532,153 | | Cost of sales | (490,721) | (439,418) | | Gross profit | 100,853 | 92,735 | | Other income and gains | 11,128 | 17,649 | | Selling and distribution costs | (23,437) | (23,160) | | Administrative expenses | (59,810) | (58,300) | | Profit from operations | 29,115 | 27,217 | | Finance costs | (9,228) | (4,367) | | Profit before tax | 19,415 | 22,850 | | Income tax expense | (5,264) | (5,059) | | Profit for the period | 14,151 | 17,791 | | Profit attributable to owners of the Company | 17,211 | 20,153 | | Basic earnings per share (RMB cents) | 2.02 | 2.36 | Condensed Consolidated Statement of Financial Position As of June 30, 2025, the Group's total non-current assets slightly increased, total current assets slightly decreased, but total current liabilities significantly declined, leading to an improved net current assets and an increase in total equity Condensed Consolidated Statement of Financial Position (Summary) | Metric | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Total non-current assets | 1,178,335 | 1,159,555 | | Total current assets | 767,253 | 780,919 | | Total current liabilities | 500,260 | 559,016 | | Net current assets | 266,993 | 221,903 | | Total non-current liabilities | 601,190 | 554,025 | | Total equity | 844,138 | 827,433 | Notes to the Condensed Consolidated Financial Statements General Information The company is registered in the Cayman Islands, primarily engaged in the design, development, production, and sale of material and building material products, with Mr. Lin Shengxiong as the ultimate controlling party - The Company is an investment holding company, primarily engaged in the design, development, production, and sale of material products and building material products through its subsidiaries[11] - Mr. Lin Shengxiong is the ultimate controlling party of the Company[11] Basis of Preparation The interim financial statements are prepared in accordance with Hong Kong Financial Reporting Standards, Hong Kong Generally Accepted Accounting Principles, and the Hong Kong Companies Ordinance, and should be read in conjunction with the 2024 annual report - The interim financial statements have been prepared in accordance with Hong Kong Financial Reporting Standards issued by the HKICPA, Hong Kong Generally Accepted Accounting Principles, disclosure requirements of the Hong Kong Companies Ordinance, and applicable disclosure provisions of the Listing Rules of The Stock Exchange of Hong Kong Limited[12] - The interim financial statements should be read in conjunction with the Group's 2024 annual consolidated financial statements for the year ended December 31, 2024[12] Adoption of New and Revised Hong Kong Financial Reporting Standards The Group has adopted all new and revised Hong Kong Financial Reporting Standards effective January 1, 2025, with no significant changes to its accounting policies, financial statement presentation, or reported amounts - The adoption of new and revised Hong Kong Financial Reporting Standards has not resulted in significant changes to the Group's accounting policies, financial statement presentation, or reported amounts[13] Revenue The Group's revenue primarily derives from material products, accounting for 93.3% of total revenue, with domestic sales remaining the main source, recognized upon transfer of product control, typically with credit terms of 30 to 90 days Revenue by Geographical Region and Product Type | Category | June 30, 2025 (RMB thousand) | June 30, 2024 (RMB thousand) | | :--- | :--- | :--- | | Geographical Market | | | | China | 387,135 | 357,906 | | Others | 204,439 | 174,247 | | Major Products | | | | Material products | 552,199 | 482,025 | | Building material products | 39,375 | 50,128 | | Total | 591,574 | 532,153 | - The Group had only one operating segment during the year, primarily engaged in the design, development, production, and sale of material products and building material products[14] - Sales are recognized when control of the products is transferred, with credit terms to customers typically ranging from 30 to 90 days[14] Other Income and Gains For the six months ended June 30, 2025, total other income and gains decreased to RMB 11,128 thousand from RMB 17,649 thousand in the prior period, primarily due to lower government grant income Details of Other Income and Gains | Item | June 30, 2025 (RMB thousand) | June 30, 2024 (RMB thousand) | | :--- | :--- | :--- | | Interest income | 379 | 384 | | Government grants | 2,419 | 9,962 | | Gross rental income | 2,150 | 2,173 | | Exchange gains, net | 897 | 2,317 | | Miscellaneous income | 5,267 | 2,758 | | Total | 11,128 | 17,649 | - The decrease in other income and gains was primarily due to a reduction in government grant income[16] Finance Costs For the six months ended June 30, 2025, finance costs increased to RMB 9,228 thousand, mainly because no interest expenses were capitalized during the period Details of Finance Costs | Item | June 30, 2025 (RMB thousand) | June 30, 2024 (RMB thousand) | | :--- | :--- | :--- | | Interest on lease liabilities | 62 | 95 | | Interest on bank borrowings | 9,157 | 10,131 | | Interest on other borrowings | 9 | 429 | | Total borrowing costs | 9,228 | 10,655 | | Less: Interest capitalized | – | (6,288) | | Total | 9,228 | 4,367 | - The increase in finance costs was primarily due to no interest expenses being capitalized during the period[17] Profit Before Tax The Group's profit before tax is influenced by various expenses, including directors' emoluments, depreciation of property, plant and equipment, depreciation of right-of-use assets, and amortization of intangible assets Items Deducted From/Credited to Profit Before Tax | Item | June 30, 2025 (RMB thousand) | June 30, 2024 (RMB thousand) | | :--- | :--- | :--- | | Directors' emoluments | 839 | 928 | | Depreciation of property, plant and equipment | 35,266 | 25,231 | | Depreciation of right-of-use assets | 3,579 | 1,804 | | Amortization of intangible assets | 2,193 | 64 | Income Tax Expense The Group's income tax expense slightly increased, mainly due to higher deferred tax deducted from profit or loss during the period, with PRC subsidiaries enjoying a 15% preferential tax rate as high-tech enterprises, while others pay 25% Details of Income Tax Expense | Item | June 30, 2025 (RMB thousand) | June 30, 2024 (RMB thousand) | | :--- | :--- | :--- | | Current tax – PRC | | | | Provision for the year | 4,136 | 2,265 | | Underprovision in prior years | 952 | 2,715 | | Deferred tax | 176 | 79 | | Total | 5,264 | 5,059 | - Fujian Sijia, Shanghai Sijia, and Fujian Sijia New Material, as high-tech enterprises, are subject to a 15% tax rate, while other subsidiaries are subject to a 25% corporate income tax rate[20] Dividends The Board does not recommend the payment of any interim dividend for the six months ended June 30, 2025 - The Directors do not recommend the payment of any interim dividend for the six months ended June 30, 2025[21] Earnings Per Share Attributable to Owners of the Company For the six months ended June 30, 2025, basic earnings per share attributable to owners of the Company was RMB 2.02 cents, consistent with diluted earnings per share due to the absence of potential dilutive ordinary shares Earnings Per Share | Metric | June 30, 2025 (RMB cents) | June 30, 2024 (RMB cents) | | :--- | :--- | :--- | | Basic | 2.02 | 2.36 | | Diluted | 2.02 | 2.36 | - Basic earnings per share is calculated based on profit attributable to owners of the Company of approximately RMB 17,211,000 and the weighted average number of ordinary shares in issue of approximately 852,612,470 shares[22] - Diluted earnings per share is consistent with basic earnings per share as there were no potential dilutive ordinary shares during these periods[23] Property, Plant and Equipment For the six months ended June 30, 2025, the Group acquired property, plant and equipment at a cost of RMB 19,983,000 and disposed of/derecognized assets with a carrying amount of RMB 15,000, resulting in a loss of RMB 3,000 - The Group acquired property, plant and equipment at a cost of RMB 19,983,000 (2024 corresponding period: RMB 87,416,000)[24] - Disposal/derecognition of property, plant and equipment with a carrying amount of RMB 15,000 resulted in a loss on disposal/derecognition of RMB 3,000[24] Trade and Bills Receivables The Group's total trade and bills receivables amounted to RMB 359,973 thousand, with credit terms generally ranging from 30 to 90 days, and management regularly reviews overdue balances Aging Analysis of Trade and Bills Receivables | Aging | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 3 months | 214,668 | 270,797 | | Over 3 months but within 6 months | 76,944 | 54,281 | | Over 6 months but within 1 year | 65,504 | 27,179 | | Over 1 year | 2,857 | 2,344 | | Total | 359,973 | 354,601 | - The Group's credit terms for transactions with customers generally range from 30 to 90 days, and management regularly reviews overdue balances[25] Trade and Bills Payables As of June 30, 2025, the Group's total trade and bills payables amounted to RMB 280,166 thousand, a decrease from December 31, 2024 Aging Analysis of Trade and Bills Payables | Aging | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 3 months | 181,142 | 211,095 | | Over 3 months but within 6 months | 85,979 | 81,308 | | Over 6 months but within 1 year | 10,460 | 6,271 | | Over 1 year | 2,585 | 4,939 | | Total | 280,166 | 303,613 | Interest-Bearing Borrowings For the period ended June 30, 2025, the Group obtained new interest-bearing borrowings of RMB 111,500,000 and repaid RMB 83,925,000 - The Group obtained new interest-bearing borrowings of RMB 111,500,000 for additional working capital[28] - The Group repaid interest-bearing borrowings of RMB 83,925,000[28] Management Discussion and Analysis Business Review As a leader in the environmental special functional new materials industry, the Group's revenue grew by 11.2% during the review period, driven by increased demand for material products despite a decline in building material sales, with continuous R&D investment and numerous patents - The Group is one of the world-renowned leaders in the production of environmentally friendly special functional new materials, with operations in over 100 countries and regions worldwide[29] - Revenue during the review period was approximately RMB 591.6 million, an increase of 11.2% compared to the same period last year, primarily due to the surging popularity of material products[29] - As of June 30, 2025, the Group held a total of 150 patents for material products, of which 67 were invention patents[32] Overall Business Overview The Group focuses on low-carbon, emission reduction, and technological innovation, providing functional new material products for modern transportation, medical, and construction sectors, with domestic sales remaining the primary revenue source, accounting for approximately 65.4% of total revenue - The Group is committed to leading the development of the industry's environmental protection industrial chain, providing technical consulting and services, and offering Sijia New Materials and Supercore building material products for modern transportation, medical, construction, outdoor leisure, and sports sectors[29] Revenue by Product and Geographical Region (Business Review) | Category | June 30, 2025 (RMB million) | % of Total Revenue | June 30, 2024 (RMB million) | % of Total Revenue | | :--- | :--- | :--- | :--- | :--- | | Products | | | | | | Material products | 552.20 | 93.34 | 482.02 | 90.58 | | Building material products | 39.37 | 6.66 | 50.13 | 9.42 | | Regions | | | | | | China | 387.13 | 65.4% | 357.90 | 67.3% | | Others | 204.44 | 34.6% | 174.25 | 32.7% | - Despite severe challenges such as economic downturns in European and American countries and international geopolitical instability, the Group achieved improved sales by developing new products and providing high-quality products[31] Material Products Material products business is the Group's primary revenue source, with revenue reaching RMB 552.2 million during the review period, a 14.6% year-on-year increase, accounting for 93.3% of total revenue, mainly driven by demand growth - The Group's main revenue is derived from material products, accounting for approximately 93.3% of total revenue (June 30, 2024: 90.6%)[30] - Revenue from material products reached approximately RMB 552.2 million, with sales increasing by approximately 14.6%, primarily due to increased demand for material products[33] Building Material Products Building material products business generated approximately RMB 39.4 million in revenue during the review period, a 21.5% year-on-year decrease, accounting for 6.7% of total revenue - Revenue from building material products was approximately RMB 39.4 million (June 30, 2024: RMB 50.1 million), accounting for approximately 6.7% of total revenue (June 30, 2024: 9.4%), representing a sales decrease of approximately 21.5%[34] Financial Review The Group's revenue grew by 11.2% during the review period, but gross profit margin slightly declined; increased administrative and finance costs, coupled with reduced other income and gains, led to a 14.6% decrease in profit attributable to owners, with continued R&D investment to maintain competitiveness - The Group's revenue for the six months ended June 30, 2025, was approximately RMB 591.6 million, representing a year-on-year increase of 11.2%[35] - The decrease in profit for the period was partly due to increased finance costs, resulting in profit attributable to owners of the Company of approximately RMB 17.2 million, a year-on-year decrease of 14.6%[44] - The Group continues to invest in research and development, believing it is crucial for maintaining long-term competitiveness, retaining existing customers, and enhancing its ability to attract new customers and open new markets[40] Revenue (Financial Review) The Group's revenue increased by 11.2% year-on-year to RMB 591.6 million, with material products revenue at RMB 552.2 million and building material products revenue at RMB 39.4 million - The Group's revenue for the six months ended June 30, 2025, was approximately RMB 591.6 million, an increase of approximately RMB 59.4 million, or 11.2%, compared to the same period last year[35] - Revenue from material products was approximately RMB 552.2 million, and revenue from building material products was approximately RMB 39.4 million[35] Gross Profit and Gross Profit Margin Gross profit for the review period was approximately RMB 100.9 million, with gross profit margin decreasing from 17.4% in the prior period to 17.0%; material products saw a slight increase in gross margin, while building material products experienced a significant decline Gross Profit and Gross Profit Margin | Metric | June 30, 2025 (RMB million) | June 30, 2024 (RMB million) | | :--- | :--- | :--- | | Gross profit | 100.9 | 92.7 | | Gross profit margin | 17.0% | 17.4% | Gross Profit Margin by Product Type | Product | June 30, 2025 (%) | June 30, 2024 (%) | | :--- | :--- | :--- | | Material products | 17.6 | 17.4 | | Building material products | 9.8 | 17.8 | | Total | 17.0 | 17.4 | Selling and Distribution Costs Selling and distribution costs increased by approximately RMB 0.3 million to RMB 23.4 million from RMB 23.2 million in the prior period, while their proportion of revenue decreased from 4.4% to 4.0% - Selling and distribution costs increased by approximately RMB 0.3 million to approximately RMB 23.4 million from approximately RMB 23.2 million in the prior period[38] - The proportion of selling and distribution costs to revenue decreased from 4.4% to 4.0%[38] Administrative Expenses Administrative expenses increased by approximately RMB 1.5 million or 2.6% to approximately RMB 59.8 million, primarily due to higher staff costs - Administrative expenses increased by approximately RMB 1.5 million or 2.6% to approximately RMB 59.8 million from approximately RMB 58.3 million[39] - The increase in administrative expenses was mainly attributable to higher staff costs[39] Research and Development R&D costs were approximately RMB 26.5 million, representing 4.5% of revenue, and the Group will continue to invest in R&D to reduce raw material costs, optimize production processes, increase capacity, and develop high-value-added new materials - Research and development costs were approximately RMB 26.5 million, or 4.5% of revenue (2024 corresponding period: RMB 24.9 million or 4.7% of revenue)[40] - The Group will continue to allocate resources for R&D activities at its Fuzhou, Shanghai, and Fuqing plants, aiming to reduce raw material costs, optimize production processes, increase capacity, and develop high-value-added new materials[40] Finance Costs (Financial Review) Finance costs increased to approximately RMB 9.2 million, primarily due to no interest expenses being capitalized during the period - Finance costs were approximately RMB 9.2 million (2024 corresponding period: RMB 4.4 million)[41] - The increase in finance costs was primarily due to no interest expenses being capitalized during the period[41] Other Income and Gains (Financial Review) Other income and gains were approximately RMB 11.1 million, a decrease from the prior period, mainly due to reduced government grant income - Other income and gains were approximately RMB 11.1 million (2024 corresponding period: approximately RMB 17.6 million)[42] - The decrease during the period was primarily due to reduced government grant income[42] Income Tax Total income tax expense was approximately RMB 5.3 million, a slight increase mainly due to higher deferred tax deducted from profit or loss during the period - The Group incurred total income tax expense of approximately RMB 5.3 million (2024 corresponding period: RMB 5.1 million)[43] - The slight increase was primarily due to higher deferred tax deducted from profit or loss during the period[43] Profit for the Period Profit attributable to owners of the Company was approximately RMB 17.2 million, with basic earnings per share of RMB 2.02 cents, a decrease from the prior period, partly due to increased finance costs - The Group recorded profit attributable to owners of the Company of approximately RMB 17.2 million, or basic earnings per share of RMB 2.02 cents[44] - The decrease in profit for the period was partly due to increased finance costs[44] Dividends (Financial Review) The Board has resolved not to declare any interim dividend for the six months ended June 30, 2025 - The Board has resolved not to declare any interim dividend for the six months ended June 30, 2025[45] Liquidity and Financial Resources The Group's total equity and cash and cash equivalents increased, net current assets improved, but the net gearing ratio slightly rose; the company has certain capital commitments and some assets are pledged - As of June 30, 2025, total equity was approximately RMB 844.1 million, an increase of 2.0% compared to approximately RMB 827.4 million as of December 31, 2024[46] - As of June 30, 2025, the Group had cash and cash equivalents of approximately RMB 110.7 million, an increase from RMB 83.4 million as of December 31, 2024[48] - As of June 30, 2025, the Group's net gearing ratio (calculated as total interest-bearing liabilities as a percentage of total assets) was 36.4%, compared to 35.1% as of December 31, 2024[47] Total Equity As of June 30, 2025, the Group's total equity was approximately RMB 844.1 million, representing a 2.0% increase from December 31, 2024 - As of June 30, 2025, total equity was approximately RMB 844.1 million, an increase of 2.0% compared to approximately RMB 827.4 million as of December 31, 2024[46] Financial Position The Group's net current assets increased from RMB 222.0 million as of December 31, 2024, to RMB 267.0 million as of June 30, 2025, with the net gearing ratio slightly rising to 36.4% Current Assets and Liabilities | Metric | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | | :--- | :--- | :--- | | Total current assets | 767.3 | 780.9 | | Total current liabilities | 500.3 | 559.0 | | Net current assets | 267.0 | 222.0 | - As of June 30, 2025, the Group's net gearing ratio (calculated as total interest-bearing liabilities as a percentage of total assets) was 36.4%, compared to 35.1% as of December 31, 2024[47] Cash and Cash Equivalents As of June 30, 2025, the Group's cash and cash equivalents were approximately RMB 110.7 million, primarily denominated in RMB - As of June 30, 2025, the Group had cash and cash equivalents of approximately RMB 110.7 million (December 31, 2024: RMB 83.4 million), with the majority denominated in RMB[48] Bank Borrowings As of June 30, 2025, the Group's interest-bearing bank borrowings were approximately RMB 704.8 million, with new bank loans of approximately RMB 111.5 million obtained during the year - As of June 30, 2025, the Group's interest-bearing bank borrowings were approximately RMB 704.8 million (December 31, 2024: RMB 677.3 million)[49] - New bank loans of approximately RMB 111.5 million were obtained during the year[49] 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[50] Capital Commitments As of June 30, 2025, the Group's capital commitments were approximately RMB 121.7 million, partly funded by internal resources and partly by bank borrowings - As of June 30, 2025, the Group's capital commitments were approximately RMB 121.7 million (December 31, 2024: RMB 111.2 million)[51] - Capital commitments are partly funded by internal resources and partly by bank borrowings[51] Pledge of Assets Portions of the Group's buildings, plant and machinery, construction in progress, leasehold land, investment properties, and bank deposits are pledged to banks as collateral for bank loans and general banking facilities - The Group's buildings, plant and machinery, and construction in progress of approximately RMB 516.8 million, leasehold land of approximately RMB 77.1 million, investment properties of approximately RMB 20.3 million, and bank deposits of approximately RMB 44.3 million have been pledged to banks[52] Events After Reporting Period No significant events occurred after the reporting period - There were no significant events after the reporting period[53] Human Resources As of June 30, 2025, the Group employed a total of 730 staff and is committed to enhancing employee quality and capabilities through training and competitive remuneration packages - As of June 30, 2025, the Group employed a total of 730 staff (December 31, 2024: 718 staff)[54] - The Group is committed to improving the quality, capabilities, and skills of all employees, providing job-related training and competitive remuneration packages[54] Exchange Rate Fluctuation Risk and Related Hedging Some of the Group's high-end products are sold in the European market, facing exchange loss risks from RMB to USD exchange rate fluctuations, but as most business is settled in RMB, no hedging agreements have been entered into - Some of the Group's high-end products are sold in the European market, and are affected by RMB to USD exchange rate fluctuations, leading to certain exchange losses on some foreign trade orders[55] - As the Group primarily operates in mainland China and most business transactions are settled in RMB, the Group has not entered into any agreements to hedge against foreign exchange risks[55] Significant Changes Except as disclosed in the report, there have been no significant changes in the Group's business and financial condition - Save as disclosed above, there have been no significant changes in the development or future development of the Group's business and financial condition[56] Major Acquisitions or Disposals For the six months ended June 30, 2025, the Group had no major acquisitions or disposals of subsidiaries, associates, or joint ventures - There were no major acquisitions or disposals of subsidiaries, associates, or joint ventures for the six months ended June 30, 2025[57] Future Prospects Outlook Facing global challenges, the Group will adhere to its development strategy of 'stable operation, green development, continuous innovation, and pursuit of excellence,' benefiting from new development opportunities brought by national policies - The Group actively responds to national policies, establishing and adhering to the development strategy of 'stable operation, green development, continuous innovation, and pursuit of excellence'[58] - The National Development and Reform Commission has outlined key tasks for the 2025 national economic and social development plan, and the Group's product development is closely related to national economic development, bringing new opportunities for the industry[58] Strategic Initiatives The Group will continuously upgrade its business and operating models through strategic initiatives focusing on eco-building materials development, new material R&D, business digitalization, comprehensive deployment of seven major development strategies, industrial park construction, safety management, talent cultivation, internal control, intelligent manufacturing, IP protection, corporate culture, and social responsibility - Vigorously develop eco-building material products, further expand overseas markets, and accelerate the layout of the Chinese building materials market to promote the 'Sijia Supercore' brand[58] - Strengthen the development of new material businesses while actively researching new products, exploring new application areas, and new markets[58] - Achieve phased goals of business operation digitalization, efficient horizontal/vertical business synergy, integrated business-finance, and 'refined, profitable, standardized' management[59] - Comprehensively implement seven major development strategies: talent strategy, safety strategy, green strategy, R&D strategy, digitalization strategy, supply chain management strategy, and cultural strategy[59] - Establish an Intelligent Manufacturing Technology Research Institute to promote the intelligent and automated transformation of production equipment across the Group's subsidiaries[59] - Actively fulfill corporate responsibility by participating in rural revitalization initiatives and giving back to local communities[59] Other Information Compliance with Laws and Regulations The Group is committed to complying with relevant laws and regulations, allocating financial and human resources to ensure continuous adherence to applicable rules; during the review period, the Group complied with Listing Rules, SFO, and other relevant laws - The Group is committed to complying with relevant laws and regulations, and has allocated financial and human resources to ensure continuous adherence to applicable rules and regulations[60] - During the review period, the Group complied with the Listing Rules, Securities and Futures Ordinance, Companies Ordinance, Patent Law of the People's Republic of China, Contract Law of the People's Republic of China, Labor Law, and other relevant laws and regulations[60] Standard Code for Securities Transactions by Directors The Company's directors have confirmed compliance with the Standard Code for Securities Transactions by Directors as set out in Appendix C3 of the Listing Rules for the six months ended June 30, 2025 - Following specific enquiries made to all Directors, all Directors confirmed that they have complied with the required standards set out in the Standard Code for the six months ended June 30, 2025[61] Purchase, Sale or Redemption of the Company's Listed Shares Neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed shares during the six months ended June 30, 2025 - Neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed shares during the six months ended June 30, 2025[62] Audit Committee The Audit Committee has reviewed the Group's unaudited condensed consolidated financial statements for the six months ended June 30, 2025, deeming them compliant with applicable accounting standards, Listing Rules, and all legal requirements - The Audit Committee has reviewed the accounting principles and practices adopted by the Group with management and discussed matters relating to audit, internal control, and financial reporting[63] - The Audit Committee has reviewed the Group's unaudited condensed consolidated financial statements for the six months ended June 30, 2025, and is of the opinion that the accounts comply with applicable accounting standards, the Listing Rules, and all legal requirements, and that adequate disclosures have been made[63] Suspension of Trading in Shares The Company's shares have been suspended from trading on the Stock Exchange since February 14, 2013, and will remain suspended until further notice - The Company's shares have been suspended from trading on the Stock Exchange since February 14, 2013, and will continue to be suspended until further notice[64] Publication of Interim Results Announcement and Interim Report This interim results announcement has been published on the HKEX and Company websites, and the interim report will be dispatched to shareholders and available on the aforementioned websites in due course - This interim results announcement has been published on the HKEX website (http://www.hkexnews.hk) and the Company's website (http://www.chinalongevity.hk)[65](index=65&type=chunk) - The Company's 2025 interim report will be dispatched to the Company's shareholders and available on the aforementioned websites in due course[65] Board of Directors As of the date of this announcement, the Company's Board of Directors comprises three executive directors (Mr. Liu Jun, Mr. Jiang Shisheng, and Mr. Gao Juwen) and three independent non-executive directors (Mr. Liu Zhenbang, Mr. Lu Jiayu, and Ms. Jiang Ping) - As of the date of this announcement, the Company's Board of Directors comprises three executive directors, namely Mr. Liu Jun, Mr. Jiang Shisheng, and Mr. Gao Juwen; and three independent non-executive directors, namely Mr. Liu Zhenbang, Mr. Lu Jiayu, and Ms. Jiang Ping[67]