双登股份(06960) - 2025 - 中期业绩

Company Overview This section provides a financial overview and management's discussion of the company's performance, highlighting revenue growth, AIDC data center energy storage as a key driver, and increased R&D investment Financial Highlights For the six months ended June 30, 2025, the company's revenue increased by 26.2% year-on-year to RMB 2,246.3 million, gross profit slightly increased by 0.4%, but profit for the period and profit attributable to owners of the parent both decreased by 2.7%, with basic earnings per share at RMB 0.45 截至2025年6月30日止六個月财务摘要 | Metric | 2025 (RMB million) | 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Revenue | 2,246.3 | 1,779.8 | +26.2% | | Gross Profit | 335.7 | 334.3 | +0.4% | | Profit for the Period | 160.6 | 165.0 | –2.7% | | Profit Attributable to Owners of the Parent | 160.6 | 165.0 | –2.7% | | Basic Earnings Per Share (RMB) | 0.45 | 0.46 | - | Management Discussion and Analysis As an AIDC data center and communication energy storage new energy technology enterprise, the company achieved good revenue growth and improving profitability during the reporting period, with AIDC data center energy storage becoming the core growth engine and increased R&D investment - The company is committed to providing 'connectivity + computing power' underlying energy solutions for the AI computing era, demonstrating good revenue growth and gradually improving profitability during the reporting period[4] Overall Revenue Scale and Growth Performance During the reporting period, the company achieved operating revenue of RMB 2,246.3 million, a 26.2% increase year-on-year, demonstrating robust business development resilience - During the reporting period, the company's operating revenue reached RMB 2,246.3 million, a year-on-year increase of 26.2%[4] AIDC Data Center Energy Storage Business: Core Growth Engine, Reshaping Revenue Structure AIDC data center energy storage business revenue reached RMB 1,028 million, accounting for 47.2% of total revenue, becoming the company's largest revenue source for the first time, marking a successful business transformation towards new AIDC energy storage and expected to boost overall gross margin - AIDC data center business revenue reached RMB 1,028 million, accounting for 47.2% of the company's total revenue, surpassing traditional communication energy storage business for the first time to become the largest revenue source[5] - The high value-added nature of AIDC data center energy storage products is expected to drive an increase in the company's overall gross margin[5] Continued Increase in R&D Investment During the reporting period, the company's R&D expenses increased by 28.7% year-on-year, focusing on AIDC data center energy storage, new battery technologies, and smart energy management to achieve multi-dimensional value breakthroughs - R&D expenses increased by 28.7% year-on-year during the reporting period, focusing on core areas such as AIDC data center energy storage, new battery technologies, and smart energy management[5] Industry and Technology Trends This section analyzes the explosive growth in global AIDC computing demand, supportive national policies, advancements in 5G and AI integration in communication, and the rapid expansion of the new energy storage market, alongside key battery and intelligent management technology innovations Industry Overview Global and domestic AIDC computing demand is surging, driving massive data center construction, with major cloud vendors significantly increasing capital expenditures, while national policies support energy storage development, making it a 'rigid demand' for data centers Global AIDC Computing Demand Growth Global AIDC computing demand is set to explode in 2025, driving large-scale data center construction, with four major overseas cloud vendors increasing Q2 capital expenditures by 64% to $95.8 billion, primarily for AIDC data centers - Global AIDC computing demand is experiencing explosive growth in 2025, driving large-scale data center construction[6] - The four major overseas cloud vendors' Q2 2025 capital expenditures totaled $95.8 billion, a year-on-year increase of 64%, primarily directed towards AIDC data center construction[6] Accelerated Development of Domestic AIDC Market Domestic market is accelerating, with Alibaba and Tencent focusing over RMB 100 billion in capital expenditure on AIDC data centers, ByteDance projecting over RMB 150 billion in AIDC capital expenditure for 2025, and major telecom operators significantly increasing computing power investments - Leading domestic cloud vendors Alibaba and Tencent have explicitly committed over RMB 100 billion in 2025 capital expenditure to AIDC data centers[7] - ByteDance's 2025 AIDC data center capital expenditure is projected to exceed RMB 150 billion, a year-on-year increase of 60%[7] - The three major telecom operators have significantly increased their computing power investment proportion, with China Mobile reaching 25%, and China Unicom and China Telecom growing by 28% and 22% year-on-year, respectively[7] National Policy Support Driven by AI computing demand and 'dual carbon' goals, national policies are promoting energy storage systems as a 'rigid demand' for data centers, with specific incentives for configuring new energy storage technologies - The national level has established a multi-tiered policy support system for data center energy storage, elevating energy storage systems from 'optional configuration' to 'rigid demand'[8] - The 'Action Plan for High-Quality Development of New Energy Storage Manufacturing' explicitly proposes for the first time to 'promote the configuration of new energy storage in key areas such as data centers and intelligent computing centers'[8] - Data centers configuring new energy storage technologies with a proportion of 10% or more will receive bonus points in green data center evaluations[8] Telecommunications Industry Development In H1 2025, 5G technology deepened its integration with IoT and AI, becoming a core digital economy infrastructure, with the Asia-Pacific region leading 5G deployment and China maintaining its global lead in 5G base station scale - 5G technology's integration with IoT and AI is deepening, becoming a core infrastructure driving the digital economy[9] - As of June 2025, 39 commercial 5G mobile networks have been deployed in 9 countries across the Asia-Pacific region[10] - As of the end of H1 2025, China's total 5G base stations reached 4.549 million, a net increase of 298,000 from the end of 2024[10] New Energy Storage Market Scale From January to June 2025, China's new energy storage capacity increased by 42.6 GWh, a 27.5% year-on-year growth, while global battery energy storage system installations reached 86.7 GWh, with AIDC data centers becoming a core scenario for user-side energy storage - From January to June 2025, China's new energy storage added 42.6 GWh of installed capacity, a year-on-year increase of 27.5%[10] - From January to June 2025, global battery energy storage system installations totaled 86.7 GWh, a year-on-year increase of 54%[10] - AIDC data centers have become a core scenario for user-side energy storage due to their massive electricity demand[10] Technology Development Trends Battery technology is diversifying with the emergence of new sodium-ion batteries, exemplified by the company's mass-produced communication low-temperature smart sodium-ion battery system, while intelligent management technologies like AI-powered energy storage systems enhance performance and reliability Diversified Innovation in Battery Technology Beyond lead-acid and lithium-ion battery upgrades, new technologies like sodium-ion batteries are emerging, with the company's jointly developed communication low-temperature smart sodium-ion battery system achieving mass production, capable of -30℃ operation and over 4,000 cycles - New battery technologies such as sodium-ion batteries are gradually emerging[11] - The company, in collaboration with Tsinghua University, has achieved mass production of China's first communication low-temperature smart sodium-ion battery system, capable of normal charging and discharging at -30℃ with a cycle life exceeding 4,000 times[11] Enhancement of Intelligent Management Technology As energy storage systems grow in scale and complexity, intelligent management technologies like the AI Smart Eye system are crucial for comprehensive smart protection and real-time monitoring of battery cells, modules, and systems, enhancing operational efficiency and safety - Intelligent management technology is crucial for enhancing the performance and reliability of energy storage systems[12] - Platforms like the Energy Storage AI Smart Eye system provide comprehensive intelligent protection and real-time monitoring for energy storage systems across 'cell-module-system' dimensions[12] Performance Review This section reviews the company's performance across AIDC data center energy storage, communication energy storage, and power energy storage businesses, highlighting significant revenue growth, market expansion, and production capacity enhancements AIDC Data Center Energy Storage Business AIDC data center energy storage is a core strategic focus, achieving RMB 1.028 billion in sales revenue, a 113.1% year-on-year increase, with successful expansion into European and Southeast Asian markets, securing overseas operator orders, and providing exclusive solutions for a leading domestic internet company Performance Growth and Market Expansion During the reporting period, the company's AIDC data center battery and system business achieved sales revenue of RMB 1.028 billion, a substantial 113.1% year-on-year increase, successfully penetrating overseas markets in Europe and Southeast Asia - AIDC data center battery and system business sales revenue reached RMB 1.028 billion, a substantial year-on-year increase of 113.1%[13] - Products successfully broke through overseas market barriers, achieving market coverage in Europe and Southeast Asia[13] Milestone Progress in High-Rate Lithium Battery Products The company's high-rate lithium battery products achieved four major breakthroughs in AIDC data centers: securing first overseas operator high-voltage lithium battery orders, entering key overseas colocation service providers, completing new product testing with overseas equipment manufacturers, and exclusively providing large-scale lithium battery solutions for a leading domestic internet company - Successfully secured the first overseas operator data center high-voltage lithium battery order, breaking down entry barriers in high-end overseas markets[14] - Achieved entry into key overseas AIDC data center colocation service providers, penetrating the core overseas hosting scenario supply chain[14] - Exclusively provided large-scale lithium battery solutions for a leading domestic internet company's AIDC data center, establishing a benchmark case in high-end domestic scenarios[15] Capacity Building to Match Market Demand To meet AIDC data center energy storage demand, the company is advancing a 1 GWh high-rate lead-acid battery technical upgrade and expansion project and has completed technical upgrades for high-rate lithium battery cell production lines to enhance mass production efficiency and ensure sustained business growth - Implemented a 1 GWh AIDC data center high-rate lead-acid battery technical upgrade and expansion project, strengthening the supply capacity of traditional advantageous products[16] - Completed technical upgrades for high-rate lithium battery cell production lines, improving mass production efficiency for new lithium battery products[16] Communication Energy Storage Business During the reporting period, the company's communication energy storage business revenue remained stable, with communication lithium battery product shipments increasing by 53.38% year-on-year, and significant overseas market expansion into major operator and tower company supply chains in the Middle East, Africa, and Central America - Communication energy storage business revenue remained stable overall, with communication lithium battery product shipments increasing significantly by 53.38% year-on-year[17] - Significant breakthroughs in overseas markets, successfully entering the supply chains of major operators and tower companies in the Middle East, Africa, and Central America[17] Power Energy Storage Business The company maintained its BNEF Tier 1 global energy storage vendor status, achieving multiple breakthroughs in power energy storage, including a GWh-level container energy storage strategic cooperation agreement with a large overseas new energy power station investor, and the successful commissioning of its self-built 2.5 GWh 314Ah lithium battery cell factory - The company continues to be listed as a BNEF Tier 1 global energy storage vendor[18] - Signed a GWh-level container energy storage strategic cooperation agreement with a large overseas new energy power station investor, directly driving a significant year-on-year increase in power energy storage business orders[18] - The self-built 2.5 GWh 314Ah lithium battery cell factory successfully commenced operations, strengthening product quality stability and cost control capabilities[18] - Revenue from new orders is expected to be gradually released in the second half of the reporting period, providing significant support for the company's full-year performance growth[18] Technology Research and Development This section details the company's increased R&D investment, leading to innovative product launches in AIDC data center and power energy storage, and significant achievements in patent applications and product certifications Continued Increase in R&D Investment During the reporting period, the company's R&D expenses increased by 28.7% year-on-year, providing solid support for technological innovation and product iteration, reinforcing its commitment to core technology autonomy and strengthening its competitive barriers - During the reporting period, the company's R&D expenses increased by 28.7% year-on-year[19] Core Technology and Product Innovation Achievements The company launched several innovative products in core areas like AIDC data center energy storage and power energy storage, including the PBSRD Digit 2.0 intelligent AI battery management system, the AIDC 'Jingwei' high-voltage lithium battery system, and a 5 MWh standardized energy storage system with semi-solid-state cell technology - Released the latest generation intelligent AI battery management system – Battery Digital Brain PBSRD Digit 2.0[20] - Innovatively launched the AIDC 'Jingwei' high-voltage lithium battery system and customized diversified solutions for AIDC data center 'source-grid-load-storage integration' scenarios[20] - Launched a new generation 5 MWh standardized energy storage system adopting semi-solid-state cell technology and a 1P104S structure[20] Patent and Certification Breakthroughs During the reporting period, the company filed 65 new patent applications and received 10 patent grants, while multiple core products obtained authoritative domestic and international certifications, including UN38.3, EMC, IEC62619, UL9540A, GB36276–2023, and GB44240–2024 - During the reporting period, 65 new patent applications were filed, and 10 patents were granted (3 of which were invention patents)[21] - AIDC intelligent computing center immersion high-rate lithium battery modules passed UN38.3 certification, and immersion high-rate lithium battery systems passed EMC and IEC62619 certifications[21] - AIDC data center high-rate lithium battery modules passed UL9540A certification; data center high-rate lithium battery system cabinets passed 8-intensity seismic testing[21] - 314Ah lithium iron phosphate cells and systems passed the latest national standards GB36276–2023 and safety standard GB44240–2024 certifications[21] Future Outlook and Strategy This section outlines the vast market potential of AIDC data center energy storage, the company's strategic advantages to capitalize on this growth, its commitment to new technology commercialization, cost control initiatives, and a core operating strategy centered on AIDC with multi-dimensional synergy Broad Prospects for AIDC Data Center Energy Storage Market Frost & Sullivan predicts global AIDC data center energy storage new installed capacity will surge from 16.5 GWh in 2024 to 209.4 GWh in 2030, representing a compound annual growth rate of 52.7%, indicating immense market potential - Global AIDC data center energy storage new installed capacity is projected to increase from 16.5 GWh in 2024 to 209.4 GWh in 2030, with a compound annual growth rate of 52.7%[22] Company Leveraging Advantages to Benefit from Market Growth The company possesses technological, customer, and market share advantages in AIDC data center energy storage, positioning it to continuously benefit from rapid industry growth and solidify its market position - The company possesses significant advantages in technology, customer base, and market share within the AIDC data center energy storage sector[23] - The company's AIDC data center business revenue is expected to maintain high growth in the future, solidifying its market position[23] New Technology Conversion and New Product Launches Enhance Competitiveness The company's R&D achievements in lithium and sodium battery technologies will gradually translate into productivity, with continuous new product launches enriching the product line, meeting customer needs, enhancing market competitiveness and product added value, thereby driving overall gross margin improvement - The company's R&D achievements in new technologies such as lithium and sodium batteries will gradually translate into actual productivity and economic benefits[24] - The continuous launch of new products will enrich the product line, enhance market competitiveness and product added value, driving an increase in overall gross margin[24] Multiple Measures to Advance Cost Control The company is implementing various measures, including optimizing supply chain management, deepening supplier collaborations, and continuous internal efficiency improvements, to enhance operational efficiency, reduce production and operating costs, and boost profitability and market competitive advantage - The company is enhancing operational efficiency and reducing production and operating costs through measures such as optimizing supply chain management, deepening cooperation with suppliers, and continuous internal potential tapping[25] Core Operating Philosophy The company has formulated a core operating philosophy centered on 'AIDC with multi-dimensional synergy' to seize the explosive opportunities in AIDC data center energy storage in the AI era and consolidate its industry-leading position - The company has formulated a core operating philosophy centered on 'AIDC as the core, with multi-dimensional synergy' to seize the explosive opportunities in AIDC data center energy storage in the AI era[25] Strengthening AIDC Core Strategic Position, Expanding Global Regional Market Coverage The company will drive AIDC market expansion through a 'flagship products + regional deep cultivation' strategy, focusing on high-rate lithium batteries and immersion lithium iron phosphate battery modules, and leveraging its Malaysia factory and Singapore subsidiary to enhance delivery capabilities and penetration in Southeast Asian and European AIDC markets - Focus on promoting core AIDC products such as high-rate lithium batteries and immersion lithium iron phosphate battery modules, leveraging the demonstration effect of the first large-scale AIDC lithium battery project in China[25] - Utilize the Malaysia factory as a supply hub to accelerate the improvement of AIDC product delivery capabilities in Southeast Asia; leverage the Singapore subsidiary as a strategic fulcrum to deepen the penetration of AIDC energy storage products in the European market[25] Accelerating Capacity and Technology Conversion, Advancing Overseas Localized Capacity Building The company will ensure business growth through 'capacity efficiency + technology implementation + localized layout,' including full operation of the 1 GWh AIDC high-rate lead-acid battery technical upgrade project, enhancing large-scale production of high-rate lithium battery cells, standardizing diversified solutions, and accelerating the planning and implementation of new production facilities in Southeast Asia - Promote the 1 GWh AIDC high-rate lead-acid battery technical upgrade and expansion project to achieve full capacity operation, enhancing the large-scale production capability of high-rate lithium battery cells[26] - Transform diversified solutions such as 'source-grid-load-storage integration' and 'new energy + storage' direct green power supply into standardized product modules[26] - Accelerate the planning and implementation of new production facilities in Southeast Asia, leveraging localized production to be closer to local supply chains and customer resources[26] Deepening Technology Innovation Moat, Consolidating Product Leadership The company will continuously increase R&D investment to develop safer next-generation aqueous batteries, intrinsically safe solid-state batteries, and new energy storage thermal management systems for AIDC data centers, thereby strengthening its 'product leadership' advantage and ensuring differentiated competitiveness in the smart computing and green technology market - Increase R&D resource investment to develop safer next-generation aqueous batteries, intrinsically safe solid-state batteries, and new energy storage thermal management systems for AIDC data centers[27] Synergistic Growth Across Multiple Business Lines, Building a 'One Core, Two Wings' Structure The company will leverage AIDC data center energy storage as its core, synergistically developing communication and power energy storage businesses, upgrading communication lithium battery products, expanding into overseas telecom operator AIDC markets, and accelerating GWh-level container energy storage agreements and new AIDC 'backup power + energy storage' and 'direct green power' projects - With AIDC data center energy storage business as the core, synergistically develop communication and power energy storage businesses[28] - Promote the upgrade of communication lithium battery products towards high capacity and long lifespan, opening up overseas telecom operator AIDC data center markets[28] - Accelerate the implementation of GWh-level container energy storage agreements with large overseas new energy power station investors, and promote the implementation of new AIDC 'backup power + energy storage' and 'direct green power connection' projects[28] Building a Global Service System, Upgrading Brand Value Output The company will transition from 'product export' to 'integrated services,' establishing a Hong Kong platform to leverage its global capital hub and Belt and Road gateway advantages, while enhancing overseas customer service and delivery teams to provide customized technical support and O&M services, achieving integrated 'technology + product + service' output - The company will transition from 'product export' to 'integrated services,' establishing a Hong Kong platform to leverage its advantages as a 'global capital hub + Belt and Road gateway'[29] - Improve overseas customer service and delivery teams, providing customized technical support and O&M services, achieving integrated 'technology + product + service' output[29] Operating Results and Financial Analysis This section provides a detailed analysis of the company's financial performance, covering revenue breakdown by product and application, cost of sales, gross profit, operating expenses, finance costs, and overall profitability for the period Revenue For the six months ended June 30, 2025, the company's revenue increased by 26.2% year-on-year to RMB 2,246.3 million, with lead-acid battery product sales growing by 40.0% and AIDC data center energy storage revenue significantly increasing by 113.1% - Revenue for the six months ended June 30, 2025, increased by 26.2% year-on-year to RMB 2,246.3 million[30] Revenue by Product and Application Scenario In H1 2025, lead-acid battery product sales reached RMB 1,612,845 thousand, up 40.0% year-on-year, while lithium-ion battery product sales decreased by 3.6%; AIDC data center energy storage revenue surged by 113.1% to RMB 1,028,000 thousand 按产品与应用场景划分的收入 (RMB thousand) | Metric | 2025 | 2024 | Y-o-Y Change | | :--- | :--- | :--- | :--- | | By Product | | | | | Lithium-ion Battery Product Sales | 566,883 | 588,007 | –3.6% | | Lead-acid Battery Product Sales | 1,612,845 | 1,152,430 | 40.0% | | Others | 66,525 | 39,402 | 68.8% | | Total | 2,246,253 | 1,779,839 | 26.2% | | By Application Scenario | | | | | AIDC Data Center Energy Storage | 1,028,000 | 482,404 | 113.1% | | Communication Energy Storage | 968,304 | 973,016 | –0.5% | | Power Energy Storage (incl. Residential) | 87,492 | 176,983 | –50.6% | | Other Application Scenarios | 95,932 | 108,034 | –11.2% | | Others | 66,525 | 39,402 | 68.8% | | Total | 2,246,253 | 1,779,839 | 26.2% | Analysis of Lithium-ion and Lead-acid Battery Business Revenue Lithium-ion battery business revenue decreased by 3.6% year-on-year due to falling material prices despite a 27.6% increase in sales volume, while lead-acid battery business revenue grew by 40% driven by the booming AIDC data center market where lead-acid batteries are a primary backup power product - Lithium-ion battery business revenue decreased by 3.6% year-on-year, primarily due to the continuous decline in lithium battery material prices, with the average price of domestic battery-grade lithium carbonate falling by 32.2% year-on-year[33] - Lead-acid battery business revenue increased by 40% year-on-year, mainly due to the rapid growth of the AIDC data center market, where lead-acid batteries are a primary backup power product due to their high safety[33] Cost of Sales The Group's cost of sales increased by 32.2% from RMB 1,445.5 million in H1 2024 to RMB 1,910.5 million in H1 2025, primarily due to increased sales volume of battery products - Cost of sales increased by 32.2% from RMB 1,445.5 million in H1 2024 to RMB 1,910.5 million in H1 2025, primarily due to increased sales volume of battery products[34] Gross Profit and Gross Margin Gross profit slightly increased from RMB 334.3 million in H1 2024 to RMB 335.7 million in H1 2025, but gross margin decreased from 18.8% to 14.9%, mainly due to reduced contribution from higher-margin lithium-ion batteries and strategic price reductions, though June saw a sequential improvement 按产品用途划分的毛利及毛利率明细 (RMB thousand) | Product Category | 2025 Gross Profit | 2025 Gross Margin (%) | 2024 Gross Profit | 2024 Gross Margin (%) | | :--- | :--- | :--- | :--- | :--- | | Lithium-ion Battery Products | 108,173 | 19.1 | 152,991 | 26.0 | | Lead-acid Battery Products | 225,598 | 14.0 | 178,153 | 15.5 | | Others | 1,966 | 3.0 | 3,152 | 8.0 | | Total | 335,737 | 14.9 | 334,296 | 18.8 | - Gross margin decreased from 18.8% in H1 2024 to 14.9% in H1 2025, primarily due to reduced revenue contribution from higher-margin lithium-ion batteries and strategic price reductions[37] - Gross margin saw a sequential improvement in June, benefiting from stabilizing raw material prices, enhanced production scheduling efficiency, and an increased proportion of higher-margin product shipments[37] Selling and Marketing Expenses Selling and marketing expenses increased from RMB 58.3 million in H1 2024 to RMB 65.9 million in H1 2025, but decreased as a percentage of sales revenue from 3.3% to 2.9%, driven by increased overseas market research, channel cooperation pilots, and localized service system establishment - Selling and marketing expenses increased from RMB 58.3 million in H1 2024 to RMB 65.9 million in H1 2025[38] - Selling and marketing expenses as a percentage of sales revenue decreased from 3.3% in the prior period to 2.9%[38] Administrative Expenses Administrative expenses decreased from RMB 76.8 million in H1 2024 to RMB 51.9 million in H1 2025, primarily due to reduced employee remuneration resulting from optimized human resource allocation and improved operational efficiency of administrative departments - Administrative expenses decreased from RMB 76.8 million in H1 2024 to RMB 51.9 million in H1 2025[39] - The reduction in employee remuneration was primarily due to optimized human resource allocation and improved operational efficiency of administrative functional departments[39] Research and Development Costs R&D expenses increased from RMB 49.2 million in H1 2024 to RMB 63.3 million in H1 2025, mainly due to increased investment in new product development for AIDC data center high-rate lithium-ion cells, immersion lithium iron phosphate batteries, and systems - R&D expenses increased from RMB 49.2 million in H1 2024 to RMB 63.3 million in H1 2025[40] - Primarily due to increased investment in new product development for AIDC data center high-rate lithium-ion cells, immersion lithium iron phosphate lithium-ion batteries, and systems[40] Other Expenses Other expenses increased from RMB 9.7 million in H1 2024 to RMB 12.3 million in H1 2025, primarily due to higher property tax and land use tax expenses - Other expenses increased from RMB 9.7 million in H1 2024 to RMB 12.3 million in H1 2025, primarily due to increased property tax and land use tax expenses[41] Finance Costs Finance costs increased from RMB 6.7 million in H1 2024 to RMB 14.4 million in H1 2025, mainly due to increased interest expenses from higher borrowings and lease liabilities related to Malaysian production facilities - Finance costs increased from RMB 6.7 million in H1 2024 to RMB 14.4 million in H1 2025[42] - The main reasons include increased interest expenses due to higher borrowings and increased interest on lease liabilities related to Malaysian production facilities[42] Profit Before Tax The Group recorded a profit before tax of RMB 179.2 million in H1 2025, a decrease from RMB 188.2 million in H1 2024 - The Group recorded a profit before tax of RMB 179.2 million in H1 2025 (H1 2024: RMB 188.2 million)[43] Income Tax Expense Income tax expense decreased from RMB 23.2 million in H1 2024 to RMB 18.6 million in H1 2025, primarily due to a reduction in the Group's taxable profit for the period - Income tax expense decreased from RMB 23.2 million in H1 2024 to RMB 18.6 million in H1 2025, primarily due to a reduction in the Group's taxable profit for the period[44] Profit for the Period The Group recorded a profit for the period of RMB 160.6 million in H1 2025, a decrease from RMB 165.0 million in H1 2024, with profit attributable to owners of the parent also at RMB 160.6 million - The Group recorded a profit for the period of RMB 160.6 million (H1 2024: RMB 165.0 million)[45] - Profit attributable to owners of the parent was RMB 160.6 million (H1 2024: RMB 165.0 million)[45] Liquidity and Financial Resources This section details the Group's net current assets, cash position, bank borrowings, gearing ratio, foreign exchange fluctuation risks, and contingent liabilities, providing an overview of its financial health and risk exposure Net Current Assets and Cash As of June 30, 2025, the Group's net current assets were RMB 1,446.2 million (December 31, 2024: RMB 1,324.3 million), with cash and bank balances at RMB 605.7 million (December 31, 2024: RMB 395.2 million) - As of June 30, 2025, the Group's net current assets were RMB 1,446.2 million (December 31, 2024: RMB 1,324.3 million)[46] - Cash and bank balances amounted to RMB 605.7 million (December 31, 2024: RMB 395.2 million)[46] Bank Borrowings As of June 30, 2025, the Group's bank borrowings totaled RMB 1,145.2 million (December 31, 2024: RMB 928.7 million), with RMB 246.3 million due after one year and the remainder repayable within one year, at effective interest rates ranging from 2.15% to 4.80% - As of June 30, 2025, the Group's bank borrowings amounted to RMB 1,145.2 million (December 31, 2024: RMB 928.7 million)[46] - Except for RMB 246.3 million of borrowings due after one year, all bank borrowings are repayable within one year[46] - The effective interest rate as of June 30, 2025, ranged from 2.15% to 4.80%[46] Gearing Ratio As of June 30, 2025, the Group's gearing ratio was 56.2% (December 31, 2024: 53.7%) - As of June 30, 2025, the Group's gearing ratio was 56.2% (December 31, 2024: 53.7%)[46] Exchange Rate Fluctuation Risk The Group primarily transacts in RMB and USD, with RMB fluctuations influenced by China's political and economic conditions; while product sales use a price linkage mechanism to transfer currency risk to customers, foreign currency-denominated trade receivables still pose a risk during the credit period - The Group's principal businesses use RMB and USD for transactions, and the value of RMB against USD and other currencies may fluctuate[47] - The Group's product sales adopt a price linkage mechanism, largely transferring currency fluctuation risk to customers, but trade receivables denominated in foreign currencies may still carry this risk during the credit period[47] Contingent Liabilities As of June 30, 2025, the Group had no significant contingent liabilities (December 31, 2024: nil) - As of June 30, 2025, the Group had no significant contingent liabilities[48] Other Financial Information This section provides supplementary financial details, including information on pledged assets, capital commitments, material investments, acquisitions and disposals, the use of listing proceeds, and the interim dividend policy Pledge of Assets Details regarding the pledge of assets are provided in Note 9 to the financial statements contained in this announcement - Details of the pledge of assets are set out in Note 9 to the financial statements contained in this announcement[49] Capital Commitments Details regarding capital commitments are provided in Note 12 to the financial statements contained in this announcement - Details of capital commitments are set out in Note 12 to the financial statements contained in this announcement[50] Material Investments As of June 30, 2025, the Group had no material investments valued at 5% or more of its total assets - As of June 30, 2025, the Group had no material investments valued at 5% or more of its total assets[51] Material Acquisitions and Disposals The Group did not undertake any material acquisitions or disposals of subsidiaries, associates, or joint ventures during the period - The Group did not undertake any material acquisitions or disposals of subsidiaries, associates, or joint ventures during the period[52] Use of Proceeds from Listing The company's shares were listed on the Stock Exchange on August 26, 2025, raising net proceeds of approximately HKD 756.3 million, which remain unused as of this announcement date and will be allocated as per the prospectus - The company's shares were listed on the Stock Exchange on August 26, 2025, with net proceeds of approximately HKD 756.3 million[53] - As of the date of this announcement, the proceeds have not been used and will be allocated according to the purposes set out in the company's prospectus dated August 18, 2025[53] Interim Dividend The Board of Directors does not recommend the payment of an interim dividend for the six months ended June 30, 2025 - The Board of Directors does not recommend the payment of an interim dividend for the six months ended June 30, 2025[54] Interim Condensed Consolidated Financial Statements This section presents the interim condensed consolidated financial statements, including the statement of profit or loss, comprehensive income, financial position, changes in equity, and cash flows, providing a summary of the Group's financial performance and position Interim Condensed Consolidated Statement of Profit or Loss For the six months ended June 30, 2025, the company reported revenue of RMB 2,246,253 thousand, gross profit of RMB 335,737 thousand, profit for the period of RMB 160,633 thousand, and basic earnings per share of RMB 0.45 中期簡明綜合損益表摘要 (RMB thousand) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | 2,246,253 | 1,779,839 | | Cost of Sales | (1,910,516) | (1,445,543) | | Gross Profit | 335,737 | 334,296 | | Other Income and Gains | 54,045 | 55,271 | | Selling and Marketing Expenses | (65,872) | (58,276) | | Administrative Expenses | (51,921) | (76,807) | | Research and Development Costs | (63,299) | (49,191) | | Net Impairment Losses on Financial and Contract Assets | (2,440) | (1,283) | | Other Expenses | (12,272) | (9,651) | | Finance Costs | (14,448) | (6,722) | | Share of Profit and Loss of an Associate | (316) | 596 | | Profit Before Tax | 179,214 | 188,233 | | Income Tax Expense | (18,581) | (23,245) | | Profit for the Period | 160,633 | 164,988 | | Basic Earnings Per Share Attributable to Owners of the Parent (RMB) | 0.45 | 0.46 | Interim Condensed Consolidated Statement of Comprehensive Income For the six months ended June 30, 2025, profit for the period was RMB 160,633 thousand, with other comprehensive income primarily from exchange differences on overseas operations of RMB 547 thousand, resulting in total comprehensive income for the period of RMB 161,180 thousand 中期簡明綜合全面收益表摘要 (RMB thousand) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Profit for the Period | 160,633 | 164,988 | | Other Comprehensive Income: Exchange Differences on Overseas Operations | 547 | (84) | | Total Comprehensive Income for the Period | 161,180 | 164,904 | | Attributable to Owners of the Parent | 161,180 | 164,904 | Interim Condensed Consolidated Statement of Financial Position As of June 30, 2025, total non-current assets were RMB 1,490,388 thousand, total current assets were RMB 4,210,056 thousand, total current liabilities were RMB 2,763,876 thousand, resulting in net current assets of RMB 1,446,180 thousand, and total equity of RMB 2,496,687 thousand 中期簡明綜合財務狀況表摘要 (RMB thousand) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Non-current Assets | | | | Property, Plant and Equipment | 1,185,184 | 1,217,124 | | Total Non-current Assets | 1,490,388 | 1,520,511 | | Current Assets | | | | Inventories | 881,316 | 513,506 | | Trade and Bills Receivables | 2,371,477 | 2,318,281 | | Cash and Cash Equivalents | 605,734 | 395,234 | | Total Current Assets | 4,210,056 | 3,640,419 | | Current Liabilities | | | | Trade and Bills Payables | 1,314,797 | 973,979 | | Interest-bearing Bank and Other Borrowings | 898,938 | 673,333 | | Total Current Liabilities | 2,763,876 | 2,316,153 | | Net Current Assets | 1,446,180 | 1,324,266 | | Non-current Liabilities | | | | Interest-bearing Bank and Other Borrowings | 246,298 | 255,404 | | Total Non-current Liabilities | 439,881 | 457,316 | | Total Equity | 2,496,687 | 2,387,461 | Interim Condensed Consolidated Statement of Changes in Equity As of June 30, 2025, total equity attributable to owners of the parent was RMB 2,496,687 thousand, an increase from RMB 2,387,461 thousand as of December 31, 2024, primarily influenced by profit for the period and an increase in share-based compensation reserve 中期簡明綜合權益變動表摘要 (RMB thousand) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Share Capital | 358,269 | 358,269 | | Reserves | 2,138,418 | 2,029,192 | | Total Equity | 2,496,687 | 2,387,461 | | Profit for the Period | 160,633 | - | | Share-based Compensation Reserve | 8,952 | - | | Dividends | (60,906) | - | Interim Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2025, net cash flow from operating activities was RMB 506,804 thousand, net cash flow used in investing activities was RMB (51,274) thousand, and net cash flow used in financing activities was RMB (246,769) thousand, with cash and cash equivalents at period-end totaling RMB 605,734 thousand 中期簡明綜合現金流量表摘要 (RMB thousand) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash Flows from Operating Activities | 506,804 | 86,521 | | Net Cash Flows Used in Investing Activities | (51,274) | (67,652) | | Net Cash Flows Used in Financing Activities | (246,769) | (210,764) | | Increase/(Decrease) in Cash and Cash Equivalents | 208,761 | (191,895) | | Cash and Cash Equivalents at End of Period | 605,734 | 293,709 | Notes to the Interim Condensed Consolidated Financial Statements This section provides detailed notes to the interim condensed consolidated financial statements, covering company information, basis of preparation, operating segment data, revenue breakdown, profit before tax adjustments, income tax, dividends, earnings per share, property, plant and equipment, trade receivables and payables, commitments, contingent liabilities, fair value of financial instruments, and events after the reporting period Company Information Shuangdeng Group Co., Ltd. was established in China on December 28, 2011, primarily engaged in R&D, manufacturing, and sales of energy storage batteries and systems, and was listed on the Main Board of The Stock Exchange of Hong Kong Limited on August 26, 2025 - Shuangdeng Group Co., Ltd. was established in China on December 28, 2011, primarily engaged in the research and development, manufacturing, and sales of energy storage battery and system products[62] - The company was listed on the Main Board of The Stock Exchange of Hong Kong Limited on August 26, 2025[63] Basis of Preparation and Changes in Accounting Policies The interim condensed consolidated financial information is prepared in accordance with HKAS 34 Interim Financial Reporting and should be read in conjunction with the 2024 annual consolidated financial statements, with the amendment to HKAS 21 (Lack of Exchangeability) having no impact on the Group - The interim condensed consolidated financial information has been prepared in accordance with Hong Kong Accounting Standard 34 Interim Financial Reporting[64] - The amendment to HKAS 21 (Lack of Exchangeability) had no impact on the interim condensed consolidated financial information[66] Operating Segment Information In H1 2025, revenue from Mainland China was RMB 1,845,680 thousand and overseas revenue was RMB 400,573 thousand, with non-current assets primarily in Mainland China, and revenue from a single customer A exceeding 10% of total revenue 来自外部客户的收入 (RMB thousand) | Region | 2025 | 2024 | | :--- | :--- | :--- | | Mainland China | 1,845,680 | 1,263,330 | | Overseas | 400,573 | 516,509 | | Total Revenue | 2,246,253 | 1,779,839 | 非流动资产 (RMB thousand) | Region | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Mainland China | 1,352,914 | 1,388,481 | | Overseas | 18,474 | 18,838 | | Total Non-current Assets | 1,371,388 | 1,407,319 | - For the six months ended June 30, 2025, revenue from a single customer A amounted to RMB 231,434 thousand, accounting for over 10% of the Group's total revenue[69] Notes to Revenue The Group's revenue primarily derives from sales of lithium-ion battery products, lead-acid battery products, and other items, all recognized at a point in time when goods are transferred, with contract liabilities expected to be recognized within one year totaling RMB 86,861 thousand as of June 30, 2025 收入分析 (RMB thousand) | Type of Goods or Services | 2025 | 2024 | | :--- | :--- | :--- | | Lithium-ion Battery Product Sales | 566,883 | 588,007 | | Lead-acid Battery Product Sales | 1,612,845 | 1,152,430 | | Others | 66,525 | 39,402 | | Total | 2,246,253 | 1,779,839 | - All revenue is recognized at a point in time when goods are transferred[69] - As of June 30, 2025, contract liabilities expected to be recognized within one year amounted to RMB 86,861 thousand[73] Notes to Profit Before Tax The Group's profit before tax is derived after deducting various expenses, including cost of inventories sold of RMB 1,910,516 thousand, depreciation of property, plant and equipment of RMB 76,623 thousand, and R&D costs of RMB 26,653 thousand for H1 2025 税前溢利调整项目摘要 (RMB thousand) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Cost of Inventories Sold | 1,910,516 | 1,438,543 | | Depreciation of Property, Plant and Equipment | 76,623 | 53,969 | | Research and Development Costs | 26,653 | 16,604 | | Wages and Salaries | 146,447 | 148,271 | | Share-based Incentive Scheme Expenses | 4,634 | 9,106 | Notes to Income Tax Group members are subject to income tax in their respective jurisdictions, with Chinese subsidiaries generally at 25% but some, including the company, Shuangdeng Front, Shuangdeng Runyang, and Huifeng Juneng, enjoying a preferential 15% rate due to high-tech enterprise status, resulting in an income tax expense of RMB 18,581 thousand for H1 2025 - Chinese subsidiaries are subject to a corporate income tax rate of 25%, but the company and certain subsidiaries enjoy a preferential tax rate of 15% due to their high-tech enterprise qualifications[75] 所得税费用 (RMB thousand) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Current Income Tax – Mainland China | 19,494 | 23,457 | | Current Income Tax – Overseas | 258 | 7 | | Deferred Income Tax | (1,171) | (219) | | Income Tax Expense for the Period | 18,581 | 23,245 | Notes to Dividends The Board of Directors declared a final dividend of RMB 0.170 per ordinary share for the six months ended June 30, 2025, totaling RMB 60,906 thousand - The Board of Directors declared a final dividend of RMB 0.170 per ordinary share for the six months ended June 30, 2025[79] 股息 (RMB thousand) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Dividends | 60,906 | 73,803 | Earnings Per Share Attributable to Owners of the Parent Basic earnings per share is calculated as RMB 0.45 based on profit attributable to owners of the parent of RMB 160,633 thousand and a weighted average of 358,269,000 ordinary shares outstanding during the year, with no potentially dilutive ordinary shares outstanding during the reporting period 每股基本及摊薄盈利计算 (RMB thousand) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Profit Attributable to Ordinary Shareholders of the Parent | 160,633 | 164,988 | | Weighted Average Number of Ordinary Shares Outstanding During the Year | 358,269,000 | 358,269,000 | | Basic Earnings Per Share (RMB) | 0.45 | 0.46 | | Diluted Earnings Per Share (RMB) | 0.45 | 0.46 | - For the six months ended June 30, 2025, the Group had no potentially dilutive ordinary shares outstanding[80] Notes to Property, Plant and Equipment As of June 30, 2025, approximately RMB 423,596 thousand of the Group's property, plant and equipment were pledged as collateral for borrowings; in H1 2025, assets were purchased at a cost of RMB 45,432 thousand and assets with a net book value of RMB 1,374 thousand were disposed of, resulting in a net loss on disposal of RMB 309 thousand - As of June 30, 2025, property, plant and equipment with a net book value of approximately RMB 423,596 thousand were pledged as collateral for the Group's borrowings[83] - In H1 2025, the Group purchased assets at a cost of RMB 45,432 thousand[83] - Assets with a net book value of RMB 1,374 thousand were disposed of, resulting in a net loss on disposal of RMB 309 thousand[83] Notes to Trade and Bills Receivables As of June 30, 2025, the Group's total trade and bills receivables amounted to RMB 2,371,477 thousand, with RMB 1,961,565 thousand due within six months 贸易应收款项及应收票据账龄分析 (RMB thousand) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Within 6 months | 1,961,565 | 2,002,842 | | 7 to 12 months | 302,321 | 207,905 | | 1 to 2 years | 101,124 | 100,448 | | 2 to 3 years | 5,439 | 6,132 | | 3 to 4 years | 1,028 | 954 | | Total | 2,371,477 | 2,318,281 | Notes to Trade and Bills Payables As of June 30, 2025, the Group's total trade and bills payables amounted to RMB 1,314,797 thousand, all due within one year 贸易应付款项及应付票据账龄分析 (RMB thousand) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Within 1 year | 1,314,797 | 973,979 | Notes to Commitments As of June 30, 2025, the Group had contracted but unprovided commitments for the purchase of property, plant and equipment amounting to RMB 36 thousand 合約承擔 (RMB thousand) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Purchase of Property, Plant and Equipment | 36 | 160,414 | Notes to Contingent Liabilities As of June 30, 2025, the Group had no contingent liabilities - As of June 30, 2025, the Group had no contingent liabilities[87] Fair Value and Fair Value Hierarchy of Financial Instruments The Group's management estimates that the fair values of most financial instruments approximate their carrying amounts, with fair values of unlisted investments estimated using discounted cash flow models, and as of June 30, 2025, debt investments at fair value through other comprehensive income and derivative financial instruments totaled RMB 15,560 thousand, all classified as Level 2 - The Group's management estimates that the fair values of financial instruments such as cash and cash equivalents, trade and bills receivables approximate their carrying amounts[88] - The fair values of unlisted investments are estimated using a discounted cash flow valuation model based on market interest rates for instruments with similar terms and risks[89] 按公平值计量的资产 (RMB thousand) | Item | Level 1 | Level 2 | Level 3 | Total | | :--- | :--- | :--- | :--- | :--- | | Debt Investments at Fair Value Through Other Comprehensive Income | – | 14,860 | – | 14,860 | | Derivative Financial Instruments | – | 700 | – | 700 | | Total | – | 15,560 | – | 15,560 | Events After the Reporting Period On August 26, 2025, the company successfully listed on the Stock Exchange after issuing 58,557,000 H shares at HKD 14.51 per share, with no other significant events known since the end of the reporting period - On August 26, 2025, the company successfully listed on the Stock Exchange after issuing 58,557,000 H shares at a price of HKD 14.51 per share[95] - There were no other significant events after the reporting period from the end of the reporting period up to the date of this announcement[95] Other Data and Corporate Governance This section covers the Group's employee information, compliance with corporate governance codes, the combined roles of Chairman and CEO, standard code for securities transactions, absence of listed securities transactions, the Audit Committee's role, publication of interim results, and the composition of the Board of Directors Employees As of June 30, 2025, the Group had 2,292 employees, with total employee benefit expenses of RMB 151.5 million for the period, and the company has established a share option scheme and provides training and incentives to enhance staff skills and team spirit - As of June 30, 2025, the Group had 2,292 employees[96] - Employee benefit expenses (including directors' emoluments) for the period totaled RMB 151.5 million (H1 2024: RMB 159.3 million)[96] - The Group has established a share option scheme for selected participants and encourages employees to undergo training to enhance occupational safety knowledge and team spirit[96] Compliance with Corporate Governance Code The Group is committed to high corporate governance standards; the Corporate Governance Code was not applicable during the reporting period as the company was not yet listed, but it has complied with all code provisions and adopted most recommended best practices since its listing date - The Group is committed to maintaining high standards of corporate governance to safeguard shareholders' interests and enhance corporate value and accountability[97] - As the company's shares were not listed on the Stock Exchange as of June 30, 2025, the Corporate Governance Code was not applicable during the reporting period[97] - From the listing date up to the date of this announcement, the company has complied with all code provisions of the Corporate Governance Code and adopted most of the recommended best practices contained therein[97] Chairman and Chief Executive Officer Dr. Yang Rui serves as both Chairman and CEO, responsible for overall strategic planning, execution, operation, and management, an arrangement the Board believes ensures consistent leadership and efficient strategic planning, balanced by a strong independent board composition - Dr. Yang Rui serves concurrently as the Chairman of the Board and the Group's Chief Executive Officer, responsible for the company's overall strategic planning, decision-making, execution, operations, and management[98] - The Board believes this arrangement facilitates consistent leadership and more effective and efficient overall strategic planning for the Group[98] - The Board comprises three executive directors, one non-executive director, and three independent non-executive directors, demonstrating strong independence[98] Standard Code for Securities Transactions The Listing Rules' standard code for directors' securities transactions was not applicable during the reporting period as the company was not yet listed; however, since listing, the company has adopted and all directors have confirmed compliance with the Standard Code set out in Appendix 10 of the Listing Rules - As the company was not listed on the Stock Exchange during the reporting period, the provisions under the Listing Rules concerning directors' compliance with the Standard Code were not applicable[99] - Following its listing, the company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix 10 of the Listing Rules[99] - All directors have confirmed compliance with the standards set out in the Model Code from the listing date up to the date of this announcement[99] Purchase, Sale or Redemption of Listed Securities As of June 30, 2025, neither the company nor any of its subsidiaries had purchased, sold, or redeemed any of the company's listed securities, as the company's shares were not yet li