嘉士利集团(01285) - 2025 - 中期业绩

Financial Summary Key Financial Indicators Jiasili Group's H1 2025 consolidated revenue decreased 8.2% to RMB 750.1 million, with profit for the period down 42.0% and owners' profit down 45.2% | Indicator | H1 2025 (RMB million) | H1 2024 (RMB million) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Consolidated Revenue | 750.1 | 817.0 | -8.2% | | Profit for the Period | 9.2 | 15.9 | -42.0% | | Profit Attributable to Owners of the Company | 11.8 | 21.6 | -45.2% | | EBITDA | 79.2 | 97.4 | -18.7% | | Interim Dividend (HK cents per share) | 5.00 | N/A | N/A | Condensed Consolidated Financial Statements Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income In H1 2025, Group revenue was RMB 750,100 thousand, with gross profit RMB 205,642 thousand and profit for the period RMB 9,218 thousand | Indicator | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue | 750,100 | 817,001 | | Cost of Sales | (544,458) | (602,188) | | Gross Profit | 205,642 | 214,813 | | Other Income | 24,808 | 26,526 | | Selling and Distribution Expenses | (111,065) | (99,234) | | Administrative Expenses | (53,276) | (53,980) | | Other Expenses | (39,134) | (39,107) | | Profit Before Tax | 16,666 | 26,140 | | Income Tax Expense | (7,448) | (10,260) | | Profit for the Period | 9,218 | 15,880 | | Profit Attributable to Owners of the Company | 11,816 | 21,564 | | Profit Attributable to Non-controlling Interests | (2,598) | (5,684) | | Basic Earnings Per Share (RMB cents) | 2.85 | 5.20 | Condensed Consolidated Statement of Financial Position As of June 30, 2025, Group non-current assets were RMB 1,365,813 thousand, current assets RMB 745,035 thousand, and net current liabilities RMB (121,156) thousand | Indicator | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | ASSETS | | | | Total Non-current Assets | 1,365,813 | 1,389,956 | | Total Current Assets | 745,035 | 856,298 | | Assets Classified as Held for Sale | 25,803 | 21,750 | | LIABILITIES | | | | Total Current Liabilities | 877,063 | 1,053,094 | | Liabilities Directly Associated with Assets Classified as Held for Sale | 14,931 | 463 | | Total Non-current Liabilities | 261,288 | 200,525 | | EQUITY | | | | Equity Attributable to Owners of the Company | 957,132 | 983,617 | | Non-controlling Interests | 26,237 | 30,305 | | Total Equity | 983,369 | 1,013,922 | | KEY RATIOS | | | | Net Current Liabilities | (121,156) | (175,509) | | Net Assets | 983,369 | 1,013,922 | Notes to the Condensed Consolidated Financial Statements Basis of Preparation The condensed consolidated financial statements are prepared under IAS 34 and Listing Rules; the Board expects sufficient resources for continued operation despite net current liabilities - As of June 30, 2025, the Group's current liabilities exceeded current assets by approximately RMB 121,156,000, but the Board expects the Group to have sufficient resources for continued operation[9] - Measures to mitigate liquidity include: available unutilized bank facilities of approximately RMB 98,000,000; expected sufficient cash inflows from operating activities; and anticipated refinancing of short-term revolving bank borrowings of RMB 392,536,000 upon maturity[10] Accounting Policies The condensed consolidated financial statements are prepared on a historical cost basis, with accounting policies consistent with 2024 annual statements, and new IFRS standards had no significant impact - The condensed consolidated financial statements are prepared on a historical cost basis, with accounting policies consistent with the 2024 annual financial statements, except for the application of amended IFRS standards[11] - The first-time application of IAS 21 (Amendment) "Lack of Exchangeability" during this interim period had no significant impact on the Group's financial position and performance[12] Revenue from Contracts with Customers The Group's H1 2025 revenue totaled RMB 750,100 thousand, primarily from food sales and hotel services, with distributors and mainland China as main contributors | Sales Channels | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Distributors | 687,611 | 771,139 | | Supermarkets | 1,298 | 1,475 | | Retail customers | 61,191 | 44,387 | | Total | 750,100 | 817,001 | | Timing of Revenue Recognition | | | | At a point in time | 739,924 | 807,942 | | Over time | 10,176 | 9,059 | | Geographical Markets | | | | China | 749,090 | 815,840 | | Others | 1,010 | 1,161 | Operating Segments The Group's main operating segments include biscuit, noodle, and flour products; H1 2025 external sales revenue for biscuit products was RMB 553,052 thousand, noodle products RMB 86,985 thousand, and flour products RMB 77,629 thousand - Key operating decision-makers review operating results and financial information by product or service category and assess operating segment performance based on segment profit or loss (gross profit)[15] | Segment Revenue (External Sales) | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Biscuit products | 553,052 | 621,581 | | Noodle products | 86,985 | 68,089 | | Flour products | 77,629 | 92,178 | | Others | 32,434 | 35,153 | | Total | 750,100 | 817,001 | | Segment Results (Gross Profit) | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Biscuit products | 174,619 | 188,872 | | Noodle products | 18,783 | 14,858 | | Flour products | 11,946 | 8,079 | | Others | 294 | 3,004 | | Total | 205,642 | 214,813 | Other Income Other income for H1 2025 totaled RMB 24,808 thousand, primarily from government grants, interest income, and sales of scrap and packaging materials | Income Source | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Government grants | 4,411 | 6,528 | | Interest income (bank deposits) | 870 | 1,621 | | Interest income (loans receivable) | 3,930 | 4,890 | | Sales of scrap and packaging materials | 11,040 | 10,581 | | Rental income | 3,280 | 2,294 | | Other non-operating income | 1,160 | 176 | | Total | 24,808 | 26,526 | Other Expenses Total other expenses for H1 2025 amounted to RMB 39,134 thousand, mainly including R&D, donation, and cost of scrap materials sold | Expense Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Research and development expenses | 23,860 | 25,939 | | Donation expenses | 4,460 | 4,578 | | Cost of scrap and packaging materials sold | 8,118 | 5,953 | | Building lease expenses | 1,497 | 1,472 | | Other non-operating expenses | 1,199 | 1,165 | | Total | 39,134 | 39,107 | Other Gains and Losses Net other gains and losses for H1 2025 were RMB 699 thousand, primarily from property disposal loss and fair value gain on financial assets | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Net exchange loss | (3) | (16) | | Loss on disposal of property, plant and equipment | (624) | (1,542) | | Fair value gain on financial assets at fair value through profit or loss | 1,326 | 3,843 | | Total | 699 | 2,285 | Income Tax Expense Income tax expense for H1 2025 was RMB 7,448 thousand, mainly composed of current tax and deferred tax | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | PRC enterprise income tax (current tax) | 10,604 | 14,159 | | Deferred tax | (3,156) | (3,899) | | Total | 7,448 | 10,260 | Components of Profit for the Period Profit for the period is derived after deducting directors' emoluments, employee benefits, depreciation, short-term lease expenses, and inventory costs | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Directors' and chief executive's emoluments | 2,062 | 2,706 | | Total employee benefits expense | 123,180 | 132,512 | | Total depreciation and amortization | 51,179 | 52,977 | | Cost of inventories recognized as expense | 539,208 | 596,785 | Reclassification of Discontinued Operations Held for Sale Guangdong Quancheng Great Health Beverage Co., Ltd. (soy milk business) was reclassified as a continuing operation in H1 2025 due to its sale not being completed as scheduled - The sale of Guangdong Quancheng Great Health Beverage Co., Ltd. (soy milk business) was not completed as scheduled, thus its comparative figures in the condensed consolidated statement of profit or loss and other comprehensive income for H1 2025 have been reclassified as continuing operations[30][31] Assets and Liabilities Held for Sale The Group classified 100% equity of Jiangsu Jiasili Food Co., Ltd. (plant leasing) and a Huaibei land plot as assets and liabilities held for sale, expecting net proceeds to exceed net book value - The Group agreed to dispose of 100% equity interest in Jiangsu Jiasili Food Co., Ltd. (plant leasing business) for a total cash consideration of RMB 48,300,000[32] - The Group decided to transfer a land plot in Huaibei, Anhui Province, and return previously received government grants[32] | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Total Assets Classified as Held for Sale | 25,803 | 21,750 | | Total Liabilities Directly Associated with Assets Classified as Held for Sale | (14,931) | (463) | Dividends The Board declared an interim dividend of HK 5 cents per ordinary share for H1 2025, with no interim dividend for the corresponding period in 2024 - The Board has resolved to declare an interim dividend of HK 5 cents per ordinary share for the six months ended June 30, 2025 (H1 2024: nil)[34] Earnings Per Share Basic earnings per share for H1 2025 was RMB 2.85 cents, lower than RMB 5.20 cents in H1 2024; diluted EPS is not presented due to no potential ordinary shares | Indicator | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Profit for the period attributable to owners of the Company for basic EPS calculation (RMB thousand) | 11,816 | 21,564 | | Weighted average number of ordinary shares (thousand shares) | 415,000 | 415,000 | | Basic Earnings Per Share (RMB cents) | 2.85 | 5.20 | Property, Plant and Equipment, Right-of-Use Assets, Investment Properties and Intangible Assets In H1 2025, the Group acquired RMB 22,089 thousand in property, plant and equipment, generated gains from disposals, and had no additions to investment properties, right-of-use assets, or intangible assets - In H1 2025, the Group acquired property, plant and equipment of approximately RMB 22,089 thousand (H1 2024: RMB 45,090 thousand)[37] - Gains of RMB 624 thousand were generated from the disposal of certain plant and equipment (H1 2024: loss on disposal of RMB 1,542 thousand)[39] - There were no additions to investment properties, right-of-use assets, and intangible assets in H1 2025[39] Financial Assets at Fair Value Through Profit or Loss As of June 30, 2025, total financial assets at fair value through profit or loss amounted to RMB 156,132 thousand, primarily from unlisted equity investments and funds in China | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Unlisted equity investments in China | 27,024 | 26,000 | | Unlisted equity investment funds in China | 129,108 | 128,806 | | Total | 156,132 | 154,806 | Trade and Bills Receivables, Other Receivables and Deposits As of June 30, 2025, net total trade and bills receivables were RMB 30,970 thousand, with total trade and bills receivables, other receivables, and deposits at RMB 194,868 thousand | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Net total trade and bills receivables | 30,970 | 45,641 | | Prepayments for raw materials | 60,712 | 17,643 | | Other recoverable taxes | 36,526 | 35,368 | | Other receivables (net of allowance) | 47,286 | 32,120 | | Other prepayments | 13,745 | 30,687 | | Total | 194,868 | 171,175 | | Ageing of Trade and Bills Receivables | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 2 months | 23,509 | 29,020 | | Over 6 months but within 1 year | 1,277 | 1,276 | | Over 1 year | 29 | 217 | Impairment Assessment of Financial Assets In H1 2025, the Group recognized a net impairment loss reversal of RMB (854) thousand on financial assets, mainly due to reversal on other receivables | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Loans to non-controlling shareholders of subsidiaries | — | 1,579 | | Loans to an associate | 98 | — | | Trade receivables | 2,443 | 3,785 | | Other receivables (reversal) | (4,000) | (394) | | Total (reversal) / impairment loss recognized | (854) | 6,351 | Trade and Bills Payables and Other Payables As of June 30, 2025, total trade and bills payables were RMB 75,845 thousand, with total trade and bills payables and other payables at RMB 199,617 thousand | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade and bills payables | 75,845 | 191,020 | | Accrued expenses | 41,976 | 49,497 | | Wages and welfare payables | 27,554 | 39,354 | | Other payables | 32,190 | 31,707 | | Total | 199,617 | 343,839 | | Ageing of Trade and Bills Payables | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 3 months | 72,745 | 182,381 | | Over 1 year | 1,059 | 1,474 | Bank Borrowings In H1 2025, the Group incurred RMB 503,020 thousand in new bank borrowings and repaid RMB 390,889 thousand, with interest rates from 1.50% to 4.20% - In H1 2025, the Group incurred new bank borrowings of RMB 503,020 thousand and repaid bank borrowings of RMB 390,889 thousand[48] - As of June 30, 2025, bank borrowings bore interest at fixed annual rates ranging from 1.50% to 3.25% or floating annual rates ranging from 2.37% to 4.20%[48] Review of Company Performance for the First Half of 2025 Industry Overview In H1 2025, China's biscuit and snack industry showed resilient growth amid fierce competition, with consumers shifting to healthier, value-for-money products and channel changes dominated by bulk snack stores and short-video e-commerce - China's mainland biscuit and snack industry demonstrated resilient growth in H1 2025, facing intense competition and rapidly evolving channels[49] - Consumer demand is shifting towards healthy, value-for-money products, seeking functional benefits and clean labels[49] - Channel transformation is significant, with Douyin solidifying its position as a leading online sales channel for snacks, and bulk snack stores emerging and expanding market share[49] Business Review and Strategy Jiasili, with over 69 years of history, saw H1 2025 revenue decline 8.2%, gross profit 4.3%, and owners' profit 45.2%, responding with accelerated R&D, product upgrades, digital marketing, and channel optimization - The Jiasili brand has over 69 years of history, with products sold in 31 provinces and cities and 310 prefecture-level cities, and exported to other countries[50] - In H1 2025, revenue was approximately RMB 750.1 million, a YoY decrease of 8.2%; gross profit was approximately RMB 205.6 million, a YoY decrease of 4.3%; and profit attributable to owners of the Company was approximately RMB 11.8 million, a YoY decrease of 45.2%[52] - The Group prioritizes innovation, accelerating new product R&D, product upgrades, and digital marketing, engaging consumers through social media platforms like Douyin and Xiaohongshu, and strategically expanding into the mass e-commerce sector[53] Revenue Variation Analysis In H1 2025, Group total revenue decreased 8.2% YoY, with biscuit series revenue down 11.0%, noodle business revenue up 27.8%, and flour business revenue down 15.8% | Product Category | H1 2025 (RMB million) | H1 2024 (RMB million) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Sweet single-slice biscuits | 211.6 | 245.8 | –13.9% | | Savory single-slice biscuits | 15.3 | 22.7 | –32.6% | | Sandwich biscuits | 197.9 | 191.8 | 3.2% | | Wafer biscuits | 54.9 | 69.5 | –21.0% | | Whole grain biscuits | 16.0 | 26.2 | –38.9% | | Other biscuits | 57.4 | 65.6 | –12.5% | | Total Biscuit Series | 553.1 | 621.6 | –11.0% | | Noodles | 87.0 | 68.1 | 27.8% | | Flour | 77.6 | 92.2 | –15.8% | | Others | 22.3 | 26.1 | –14.6% | | Total | 740.0 | 808.0 | –8.4% | - The overall decline in the biscuit segment resulted from a combination of macroeconomic pressures, changing consumer behavior, intense competition, inflation, and the popularity of alternative snacks[55] Gross Profit Analysis In H1 2025, Group gross profit decreased 4.3% to RMB 205.6 million, but gross margin increased 1.1 percentage points to 27.4% due to lower raw material costs; biscuit segment gross profit declined 7.5% - Group gross profit decreased by 4.3% YoY to RMB 205.6 million, but gross margin slightly increased by 1.1 percentage points to 27.4%[56] - Gross margin growth was primarily due to lower input costs for certain raw materials such as sugar and flour[56] | Segment | H1 2025 Gross Profit (RMB million) | H1 2024 Gross Profit (RMB million) | YoY Change (%) | H1 2025 Gross Margin (%) | H1 2024 Gross Margin (%) | Gross Margin Change (percentage points) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Group Total | 205.6 | 214.8 | -4.3% | 27.4% | 26.3% | +1.1 | | Biscuit Segment | 174.6 | 188.8 | -7.5% | 31.6% | 30.4% | +1.2 | | Noodle Business | 18.8 | 14.8 | +26.4% | 21.6% | 21.8% | -0.2 | Expense Analysis In H1 2025, Group other income decreased 6.5% YoY, selling and distribution expenses increased 11.9% YoY, and administrative expenses slightly decreased 1.3% YoY Other Income - Other income was approximately RMB 24.8 million, a YoY decrease of 6.5%, mainly due to reduced interest received on loans receivable and lower government grant income[57] Selling and Distribution Expenses - Selling and distribution expenses were approximately RMB 111.1 million, a YoY increase of 11.9%[58] Administrative Expenses - Administrative expenses were approximately RMB 53.3 million, a slight YoY decrease of 1.3%[59] Working Capital Management As of June 30, 2025, Group inventory balance decreased, inventory turnover days increased, and trade and bills receivables and other receivables increased with stable turnover days Inventories - Inventory balance decreased by approximately RMB 38.8 million to RMB 181.7 million (December 31, 2024: RMB 220.5 million)[60] - Inventory turnover days increased by 8 days to 67 days, primarily attributed to early product preparation for Chinese New Year sales[60] Trade and Bills Receivables, Other Receivables - Trade and bills receivables and other receivables were approximately RMB 193.5 million, an increase of 13.7% compared to December 31, 2024[61] - Trade and bills receivables and other receivables turnover days remained at 44 days (December 31, 2024: 44 days)[61] Financial and Liquidity Position As of June 30, 2025, bank balances and cash decreased to RMB 279.4 million, total bank borrowings increased 16.4% to RMB 797.2 million, total debt-to-equity ratio rose to 81.1%, and current ratio was 0.86 | Indicator | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | Change (%) | | :--- | :--- | :--- | :--- | | Bank balances and cash | 279.4 | 379.1 | -26.3% | | Total bank borrowings | 797.2 | 685.1 | +16.4% | | Total debt-to-equity ratio | 81.1% | 67.6% | +13.5pp | | Net debt-to-equity ratio | 52.7% | 30.2% | +22.5pp | | Net current liabilities | 121.2 | 175.5 | -31.0% | | Current ratio | 0.86 | 0.83 | +0.03 | - The Board believes the Group's financial position is healthy and robust, with sufficient resources to support working capital needs and meet foreseeable capital expenditures[63] Outlook The Group anticipates product upgrades as a key biscuit market driver, focusing on streamlining operations, enhancing brand awareness and product quality, and leveraging efficiencies, maintaining cautious optimism for H2 - Product upgrades in the biscuit market will be a significant driver, with companies possessing premium advantages capturing more market share[65] - The Group will focus on streamlining operations, enhancing brand awareness, maintaining and improving product quality, and leveraging operational efficiencies and cost-saving measures[65] - The Group maintains cautious optimism for satisfactory results in the second half of the current year's business operations[65] Other Information Human Resources and Employee Remuneration As of June 30, 2025, the Group had 2,220 full-time employees, a YoY decrease, with total employee benefits expense amounting to RMB 123.2 million - As of June 30, 2025, the Group had 2,220 full-time employees (June 30, 2024: 2,582 employees)[66] - Total employee benefits expense (including directors' and chief executive's emoluments) was approximately RMB 123.2 million (H1 2024: approximately RMB 132.5 million)[66] Corporate Governance Practices The Board is committed to high corporate governance standards, adopting the Listing Rules' Corporate Governance Code; the combined Chairman and CEO role deviates but is deemed beneficial with adequate checks and balances - The Board has adopted the Corporate Governance Code set out in Appendix 14 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[67] - The roles of Chairman and Chief Executive Officer are performed by Mr. Huang Xianming, deviating from Code Provision C.2.1[68] - The Board believes this combined role is beneficial for maintaining policy continuity and operational stability, with adequate checks and balances in place[68] Standard Code for Securities Transactions by Directors The company adopted the Standard Code for Securities Transactions by Directors per Listing Rules Appendix 10, and all directors confirmed compliance during the reporting period - The Company has adopted the Standard Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix 10 to the Listing Rules[69] - All Directors confirmed compliance with the required standards of dealing throughout the reporting period[69] Audit Committee The Audit Committee, comprising three independent non-executive directors, reviewed H1 2025 interim results, finding no disagreements on accounting treatments - The Audit Committee, comprising three independent non-executive directors, reviewed and discussed the Group's interim results for the six months ended June 30, 2025[70] - The Audit Committee had no disagreements regarding the accounting treatments adopted by the Company[70] Listing of Securities Transactions In H1 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any listed securities - In H1 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[71] Interim Dividend The Board declared an interim dividend of HK 5.00 cents per ordinary share for H1 2025, payable to shareholders on record as of September 16, 2025 - The Board has resolved to declare an interim dividend of HK 5.00 cents per ordinary share for the reporting period[72] - The interim dividend will be paid to shareholders of the Company whose names appear on the register of members on September 16, 2025[72] Share Registrar To determine eligibility for the 2025 interim dividend, the company will suspend share transfer registration from September 15 to September 16, 2025 - To determine eligibility for the 2025 interim dividend, the Company will suspend share transfer registration from September 15 to September 16, 2025[73] - The record date for determining eligibility for the 2025 interim dividend is September 16, 2025[73] Publication of Results This interim results announcement has been published on the websites of The Stock Exchange of Hong Kong Limited and the company - This interim results announcement has been published on the website of The Stock Exchange of Hong Kong Limited (www.hkex.com.hk) and the Company's website (http://www.gdjsl.com)[74](index=74&type=chunk)