Financial Performance - The group's revenue decreased by 4.9% from RMB 734.3 million in the same period of 2024 to RMB 698.3 million for the six months ending June 30, 2025[2]. - Gross profit fell by 11.4% from RMB 336.0 million in 2024 to RMB 297.7 million in 2025, with a gross margin decline from 45.8% to 42.6%[2]. - Profit before tax decreased by 14.8% from RMB 179.6 million in 2024 to RMB 153.1 million in 2025, resulting in a profit margin before tax of 21.9% compared to 24.5% in the previous year[2]. - Net profit declined by 17.1% from RMB 133.6 million in 2024 to RMB 110.7 million in 2025, with a net profit margin dropping from 18.2% to 15.9%[3]. - Non-IFRS adjusted net profit decreased by 18.2% from RMB 144.8 million in 2024 to RMB 118.4 million in 2025, with an adjusted net profit margin of 17.0% compared to 19.7% in the previous year[3]. - Basic earnings per share fell by 17.2% from RMB 0.20 in 2024 to RMB 0.16 in 2025[4]. - Total revenue for the six months ending June 30, 2025, was RMB 698.3 million, down 4.9% from RMB 734.3 million for the same period in 2024[14]. - Revenue from consumer ophthalmic services accounted for 51.5% of total revenue, totaling RMB 359.5 million[15]. - Revenue from basic ophthalmic services represented 48.3% of total revenue, amounting to RMB 337.5 million[15]. Operational Metrics - Outpatient visits decreased to 522,051 from 571,087, representing a decline of approximately 8.6%[12]. - Average outpatient spending per visit increased to RMB 797 from RMB 764, reflecting a growth of about 4.3%[12]. - Inpatient visits slightly decreased to 34,844 from 35,814, a decline of about 2.7%[12]. - Average inpatient spending per visit decreased to RMB 6,688 from RMB 7,052, a drop of approximately 5.2%[12]. Cost and Expenses - Other income and gains increased by 47.1% from RMB 25.7 million to RMB 37.8 million, mainly due to government subsidies and increased fair value gains on financial assets[35]. - Selling and distribution expenses decreased by 22.5% from RMB 63.0 million to RMB 48.8 million, due to more efficient advertising spending[36]. - Administrative expenses reduced by 3.9% from RMB 106.4 million to RMB 102.2 million, primarily due to the end of certain management share incentive amortization periods[37]. - Other expenses surged by 290.6% from RMB 6.4 million to RMB 25.0 million, mainly due to impairment losses on goodwill and intangible assets from underperforming hospitals[38]. Investments and Expansion Plans - The company continues to invest in advanced ophthalmic equipment and treatment plans, enhancing service quality and patient safety[20]. - The group plans to continue expanding its network in North China and aims to acquire and establish more hospitals and optical centers in the coming years, particularly in the Yangtze River Delta region[25]. - The group has not yet entered into any letters of intent or agreements regarding acquisitions and has not identified any specific acquisition targets as of the announcement date[25]. - The group has received various awards and recognitions in 2025, including being named a "High Growth Leading Enterprise" and a "Demonstration Enterprise of Integrity"[23]. Financial Position and Cash Flow - Cash and cash equivalents decreased by RMB 497.0 million for the six months ended June 30, 2025, primarily due to net cash inflow from operating activities of RMB 181.6 million and net cash outflow from investing activities of RMB 579.2 million[49]. - Trade receivables decreased by 5.5% from RMB 74.4 million as of December 31, 2024, to RMB 70.3 million as of June 30, 2025, mainly due to earlier insurance claims affecting medical receivables[46]. - Trade payables increased by 19.6% from RMB 53.6 million as of December 31, 2024, to RMB 64.1 million as of June 30, 2025, mainly due to increased payables for medical supplies and pharmaceuticals[50]. - Other payables and accrued expenses increased by 15.9% from RMB 231.0 million as of December 31, 2024, to RMB 267.8 million as of June 30, 2025, primarily due to increased engineering payables[51]. - The group is in a net cash position as of June 30, 2025, making the debt-to-asset ratio not applicable[61]. Governance and Compliance - The independent auditor, Ernst & Young, reviewed the interim financial data, confirming compliance with applicable accounting standards and regulations[87]. - The board believes that the current governance structure does not undermine the balance of power and authority between the board and management[69]. - The board has considered the proposed changes to the use of net proceeds from the global offering and believes that reallocating these funds will help effectively allocate financial resources and strengthen the group's future development[76]. Shareholder Returns - The board has decided not to declare any interim dividend for the six months ending June 30, 2025, compared to HKD 0.1307 in the same period of 2024[4]. - The company declared a final dividend of HKD 11.93 per ordinary share for the year ended 2024, down from HKD 22.08 per share in 2023, resulting in total dividends of RMB 75,981,000 compared to RMB 187,134,000 in the previous year[113]. - The board believes that the share repurchase can enhance earnings per share, benefiting shareholders overall[79].
朝聚眼科(02219) - 2025 - 中期业绩