Workflow
众淼控股(01471) - 2025 - 中期财报

Company Information Board of Directors The company's Board of Directors comprises executive directors Lu Yao (Chairman), Zhang Zhiquan, Li Tian, Wang Heping, and independent non-executive directors Fang Qiaoling, Zhong Weiwen, Wu Xianqiao - Executive Directors include Lu Yao (Chairman), Zhang Zhiquan, Li Tian, Wang Heping7 - Independent Non-Executive Directors include Fang Qiaoling, Zhong Weiwen, Wu Xianqiao7 Supervisors The company's Board of Supervisors members include Zhu Rongwei, Wang Jiesi, and Wang Yangyang - Members of the Board of Supervisors are Zhu Rongwei, Wang Jiesi, Wang Yangyang7 Audit Committee The company's Audit Committee consists of Zhong Weiwen (Chairman), Fang Qiaoling, and Wu Xianqiao - The Audit Committee Chairman is Zhong Weiwen, with members including Fang Qiaoling and Wu Xianqiao7 Remuneration Committee The company's Remuneration Committee consists of Fang Qiaoling (Chairman), Zhong Weiwen, and Li Tian - The Remuneration Committee Chairman is Fang Qiaoling, with members including Zhong Weiwen and Li Tian7 Nomination Committee The company's Nomination Committee consists of Lu Yao (Chairman), Wu Xianqiao, and Fang Qiaoling - The Nomination Committee Chairman is Lu Yao, with members including Wu Xianqiao and Fang Qiaoling7 Joint Company Secretaries The company's Joint Company Secretaries are Chen Xiuling and Sun Yanlu - The Joint Company Secretaries are Chen Xiuling and Sun Yanlu7 Authorized Representatives The company's Authorized Representatives are Lu Yao and Chen Xiuling - The Authorized Representatives are Lu Yao and Chen Xiuling7 Registered Office The company's registered office is located at No. 187 Jinshui Road, Licang District, Qingdao City, Shandong Province, China - The registered office is located at No. 187 Jinshui Road, Licang District, Qingdao City, Shandong Province, China7 Headquarters The company's headquarters is located at No. 1 Haier Road, Laoshan District, Qingdao City, Shandong Province, China - The headquarters is located at No. 1 Haier Road, Laoshan District, Qingdao City, Shandong Province, China7 Principal Place of Business in Hong Kong The company's principal place of business in Hong Kong is located at Room 1917, 19th Floor, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong - The principal place of business in Hong Kong is located at Room 1917, 19th Floor, Lee Garden One, 33 Hysan Avenue, Causeway Bay, Hong Kong8 H Share Registrar The company's H Share Registrar is Tricor Investor Services Limited - The H Share Registrar is Tricor Investor Services Limited8 Principal Bankers The company's principal bankers include China Construction Bank Corporation, Qingdao Haier Road Branch - The principal bankers include China Construction Bank Corporation, Qingdao Haier Road Branch8 Stock Code The company's stock code is 1471 - The stock code is 14718 Company Website The company's website is www.haierbx.net - The company website is **www.haierbx.net**[8](index=8&type=chunk) Compliance Adviser The company's compliance adviser is China Ping An Capital (Hong Kong) Company Limited - The compliance adviser is China Ping An Capital (Hong Kong) Company Limited8 Auditor The company's auditor is KPMG - The auditor is KPMG8 Hong Kong Legal Adviser The company's Hong Kong legal adviser is Norton Rose Fulbright Hong Kong - The Hong Kong legal adviser is Norton Rose Fulbright Hong Kong8 Operational Highlights Operational Highlights The company's revenue increased by 28.4% to RMB 113.6 million and net profit grew by 16.2% to RMB 25.1 million in the first half of 2025, driven by significant growth in insurance agency business, especially property and casualty insurance products Operational Highlights Summary | Indicator | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | YoY Growth | | :--- | :--- | :--- | :--- | | Operating Revenue | 113,580 | 88,456 | 28.4% | | Net Profit Attributable to Equity Holders of the Company | 25,063 | 21,588 | 16.2% | | Insurance Agency Business Revenue | 109,204 | 82,213 | 32.8% | | Property and Casualty Insurance Product Commission Income | 52,943 | 35,878 | 47.4% | | Total Premiums from Insurance Agency Business | 935,950 | 666,170 | 40.5% | | Total Premiums from Property and Casualty Insurance Products | 473,421 | 333,276 | 58.2% | Management Discussion and Analysis Management Discussion and Analysis This section reviews the company's business performance, strategic progress, and financial condition for the first half of 2025, highlighting significant growth driven by its "co-creation and win-win" ecosystem and AI technology, with future plans for ecosystem expansion, AI application, and strategic investments, while noting increased revenue and net profit despite a decline in gross margin and a slight decrease in cash and cash equivalents Business Review The company is committed to building a one-stop intelligent insurance service platform, achieving significant growth in operating revenue and net profit through digital upgrades and increased investment in AI and big data technologies - The Group is dedicated to building and improving a one-stop intelligent insurance service platform, continuously advancing full-process digital upgrades, and increasing resource investment in cutting-edge technologies such as artificial intelligence, big data, and blockchain18 - For the six months ended June 30, 2025, operating revenue reached approximately RMB 113.6 million, an increase of approximately 28.4% year-on-year; net profit reached approximately RMB 25.1 million, an increase of approximately 16.2% year-on-year18 Dual-Engine Drive of Co-creation and Win-win Philosophy and Technological Innovation for Business Development The company adheres to a "co-creation and win-win" philosophy, building an ecosystem covering insurance product sales, claims services, and risk management, while increasing AI technology R&D investment, achieving significant progress in smart claims and smart customer service - A complete ecosystem covering multiple aspects such as insurance product sales, claims services, and risk management has been established, linking with 80 insurance companies and 30 strategic channel partners19 - Professional insurance services are provided to over 32,000 enterprise insurance users and 546,000 household insurance users19 - Through deep application of AI technology, the "Zhonghui Bao" claims service platform has been fully upgraded, improving average claims efficiency by nearly 30% and supporting 24/7 online claims application and tracking20 - An enterprise-level smart customer service system based on large models has been built, achieving zero logical discontinuity and millisecond response times for customer service inquiries, with an answer accuracy rate of 99% and a complex problem resolution rate increased to 92%22 Our Business Development Technology-driven insurance agency business achieved rapid growth with significant increases in total premiums and commission income, though life and health insurance product commission income declined due to market and policy impacts, and IT service revenue decreased due to project acceptance timelines Insurance Agency and IT Services Performance | Indicator | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | YoY Growth | | :--- | :--- | :--- | :--- | | Total Premiums from Insurance Agency Business | 936,000 | 666,200 | 40.5% | | Commission Income from Insurance Agency Business | 109,200 | 82,200 | 32.8% | | Commission Income from Property and Casualty Insurance Products | 52,900 | 35,900 | 47.4% | | Commission Income from Accident and Auto Insurance Premiums | 47,400 | 34,200 | 38.6% | | Commission Income from Life and Health Insurance Products | 8,900 | 12,100 | -26.4% | | IT Service Revenue | 4,300 | 5,500 | -21.8% | - Commission income from insurance agency business accounts for 96.1% of total revenue22 - The decrease in IT service revenue is primarily due to the timing of IT project acceptance, accounting for 3.8% of total revenue23 - Consulting services include human resource consulting and marketing promotion services24 Outlook The company's future strategic goals include deepening the "technology + scenario + ecosystem" model, continuously expanding its ecosystem, actively embracing AI technology for risk reduction and smart claims, and seeking strategic investment and acquisition opportunities in the insurance intermediary and fintech industries - The long-term strategic goal is to leverage a differentiated "technology + scenario + ecosystem" model to support user experience iteration and actively expand the fintech business ecosystem25 - The "Zhongmiao Ecosystem Co-creation" model will be used to continuously expand the ecosystem, providing "more than insurance" ecological services and cultivating lifelong insurance users25 - The "AI+" strategy will be deepened, focusing on AI+ risk reduction (achieving立体化 risk monitoring through large models and IoT technology) and smart claims (achieving automated claims review through large language models and business rule engines)2529 - The company plans to actively seek strategic investment and acquisition opportunities in the insurance intermediary and fintech industries to accelerate business development and enhance competitiveness29 Financial Review In the first half of 2025, the company's revenue and gross profit increased, but the overall gross margin declined due to a higher proportion of lower-margin property and casualty insurance products; R&D costs and general and administrative expenses increased, while sales and marketing costs and finance costs decreased, and income tax rose with increased profit, resulting in higher profit for the period but a lower net profit margin Financial Performance Summary | Indicator | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | YoY Growth/Change | | :--- | :--- | :--- | :--- | | Revenue | 113,580 | 88,456 | 28.4% | | Gross Profit | 42,113 | 37,208 | 13.2% | | Overall Gross Margin | 37.1% | 42.0% | -4.9 percentage points | | Other Income | 4,260 | 4,389 | -3.0% | | R&D Costs | 4,714 | 4,385 | 7.5% | | General and Administrative Expenses | 8,139 | 6,874 | 18.4% | | Sales and Marketing Costs | 2,827 | 4,099 | -31.1% | | Finance Costs | 12 | 149 | -91.9% | | Income Tax | 5,598 | 4,844 | 15.6% | | Profit for the Period | 25,099 | 21,258 | 18.1% | | Net Profit Margin | 22.1% | 24.1% | -2.0 percentage points | - The decline in gross margin is primarily attributable to an increased proportion of commission income from property and casualty insurance products, which have relatively lower gross margins30 - The decrease in sales and marketing costs is mainly due to business process optimization and improved organizational efficiency34 Financial Position As of June 30, 2025, the company's net assets slightly increased, but total cash and cash equivalents and term deposits slightly decreased, mainly due to dividend payments and delayed collection of trade receivables; the company maintains ample liquidity, an extremely low capital-to-debt ratio, no bank borrowings, and no significant contingent liabilities Financial Position Summary | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Net Assets | 604,410 | 598,372 | 1.0% | | Total Cash and Cash Equivalents and Term Deposits in Other Financial Assets | 559,089 | 568,641 | -1.7% | | Net Current Assets | 500,300 | 452,400 | 10.6% | | Capital-to-Debt Ratio | 0.0035% | - | - | - The decrease in total cash and cash equivalents and term deposits in other financial assets was mainly due to cash dividend payments and delayed collection of trade receivables40 - The company has sufficient liquidity to meet working capital requirements for the next year and financial flexibility for future strategic investment opportunities41 - As of June 30, 2025, the company had zero bank borrowings and no significant contingent liabilities4344 - For the six months ended June 30, 2025, the company incurred no capital expenditure45 - The company manages idle cash by utilizing wealth management products and term deposits, and adopts comprehensive internal policies and guidelines to manage investment risks46 - The company primarily operates in China, with the vast majority of transactions settled in RMB, and does not face any significant foreign exchange risk47 Human Resources As of June 30, 2025, the company had 127 employees, with total staff costs of approximately RMB 14.7 million; the company values employee development, offering training courses and implementing evaluation programs to enhance skills and satisfaction - As of June 30, 2025, the Group had 127 employees, with total staff costs of approximately RMB 14.7 million49 - The company has established mandatory provident fund contribution schemes for all employees and purchased medical, work injury, unemployment, and maternity insurance, in addition to making contributions to housing provident funds49 - The company provides continuing education and training courses to employees and adopts evaluation programs to enhance their skills and unleash their potential49 Pledge of Assets As of June 30, 2025, the company's assets were not subject to any pledge - As of June 30, 2025, the Group's assets were not pledged50 Material Investments, Acquisitions and Disposals As of June 30, 2025, the company held no material investments and had not undertaken any material acquisitions or disposals of subsidiaries, associates, or joint ventures - As of June 30, 2025, the Group held no material investments52 - For the six months ended June 30, 2025, the Group had no material acquisitions or disposals of subsidiaries, associates, or joint ventures52 Future Plans for Material Investments and Capital Assets The company intends to use the net proceeds from the global offering as outlined in the "Future Plans and Use of Proceeds" section of the prospectus, with no other future material investments or new capital asset plans currently, apart from post-balance sheet events - The company intends to use the net proceeds from the global offering as planned in the "Future Plans and Use of Proceeds" section of the prospectus53 - As of the date of this interim report, apart from post-balance sheet events, the company has no other future material investments or new capital asset plans53 Post Balance Sheet Events On August 22, 2025, the company agreed to acquire a total of 55% equity interest in Beijing Kechuang Rongxin Technology Co., Ltd. for RMB 165 million in cash - On August 22, 2025, the company, Li Yanbai, and Chai Hong entered into a share transfer agreement, whereby the company conditionally agreed to acquire a total of 55% equity interest in Beijing Kechuang Rongxin Technology Co., Ltd. for RMB 165 million in cash6566 Corporate Governance and Other Information Corporate Governance and Other Information The company complies with the Corporate Governance Code, though the roles of Chairman and CEO are combined, which the Board will continue to review; Directors and Supervisors adhere to the Standard Code for Securities Transactions; no interim dividend is recommended; net proceeds from the global offering are primarily for insurance agency business development and IT service enhancement, with a significant acquisition announced post-period Corporate Governance Code The company has adopted and complied with the Corporate Governance Code, but the roles of Chairman and Chief Executive Officer are combined by Mr. Lu Yao, an arrangement the Board believes ensures consistent internal leadership and will continue to review - The company has adopted the Corporate Governance Code and complied with all principles and code provisions during the reporting period5455 - The roles of Chairman and Chief Executive Officer are combined by Mr. Lu Yao, an arrangement the Board believes ensures consistent internal leadership and enhances overall strategic planning efficiency55 - The Board will continue to review and consider separating the roles of Chairman and Chief Executive Officer at an appropriate time55 Standard Code for Securities Transactions The company has adopted a code of conduct for securities transactions by Directors and Supervisors, and all Directors and Supervisors confirmed compliance with the required standards during the reporting period - The company has adopted a code of conduct for securities transactions by Directors and Supervisors, which is no less stringent than the Standard Code set out in Appendix C3 of the Listing Rules56 - All Directors and Supervisors confirmed compliance with the required standards of the Standard Code throughout the six months ended June 30, 202556 Interim Dividend The Board does not recommend the payment of any interim dividend for the six months ended June 30, 2025 - The Board does not recommend the payment of any interim dividend for the six months ended June 30, 202557 Purchase, Sale or Redemption of the Company's Listed Securities For 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 securities, and the company held no treasury shares - For the entire six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities59 - As of June 30, 2025, the company held no treasury shares60 Review of Interim Financial Information The company's unaudited condensed consolidated interim results have been reviewed by KPMG, the company's auditor, in accordance with Hong Kong Standard on Review Engagements 2410, and also by the Board's Audit Committee - The company's unaudited condensed consolidated interim results have been reviewed by the company's auditor, KPMG, in accordance with Hong Kong Standard on Review Engagements 241061 - The interim results have also been reviewed by the Board's Audit Committee61 Use of Net Proceeds from Global Offering The net proceeds from the global offering amounted to approximately HKD 198.9 million; as of June 30, 2025, HKD 1.2 million was utilized for enhancing IT service products and R&D capabilities, with the remaining funds planned for developing insurance agency business, seeking prudent investments, and general working capital - The net proceeds from the global offering amounted to approximately HKD 198.9 million62 Use of Net Proceeds from Global Offering | Primary Use | Approximate Percentage of Net Proceeds | Total Net Proceeds Allocated (HKD millions) | Amount Utilized (as of June 30, 2025) (HKD millions) | Unutilized Amount (as of June 30, 2025) (HKD millions) | Expected Timeline for Unutilized Net Proceeds | | :--- | :--- | :--- | :--- | :--- | :--- | | Developing insurance agency business | 53.8% | 107.0 | – | 107.0 | Before end of 2027 | | Enhancing IT service products and R&D capabilities | 26.2% | 52.1 | 1.2 | 50.9 | Before end of 2029 | | Seeking prudent investments and acquisitions | 10.0% | 19.9 | – | 19.9 | Before end of 2026 | | General working capital and general corporate purposes | 10.0% | 19.9 | – | 19.9 | Before end of 2027 | | Total | 100.0% | 198.9 | 1.2 | 197.7 | | - Unutilized net proceeds will be deposited into short-term interest-bearing accounts with licensed commercial banks and/or other recognized financial institutions63 Changes in Information of Directors, Supervisors and Senior Management Since the publication of the 2024 annual report, Mr. Zhong Weiwen ceased to be an independent non-executive director of Shandong Fengxiang Co., Ltd. on August 22, 2025, with no other changes in the information of directors, supervisors, and senior management - Mr. Zhong Weiwen ceased to be an independent non-executive director of Shandong Fengxiang Co., Ltd. (a company formerly listed on the Stock Exchange) on August 22, 202564 - Apart from the above disclosure, there have been no other changes in the information of Directors, Supervisors, and Senior Management from the 2024 annual report to the date of this interim report64 Continuing Disclosure Obligations under Listing Rules The company has no other disclosure obligations under Listing Rules 13.20, 13.21, and 13.22 - The company has no other disclosure obligations under Listing Rules 13.20, 13.21, and 13.2267 Acknowledgement The Chairman of the Board, Lu Yao, on behalf of the Board, expresses gratitude to all fellow Directors and employees for their dedicated service, contributions, and support during the period - The Chairman of the Board, Lu Yao, thanks all fellow Directors and employees for their dedicated service, contributions, and support during the period6869 Disclosure of Interests Disclosure of Interests This section discloses the interests and short positions of Directors, Supervisors, Chief Executive, and substantial shareholders in the company's shares, with Lu Yao and Zhang Zhiquan holding domestic shares through controlled corporations, and Haier Group Corporation and its affiliates being the largest substantial shareholders Interests and Short Positions of Directors, Supervisors and Chief Executive in Shares, Underlying Shares and Debentures As of June 30, 2025, the company's Chairman and Executive Director Lu Yao, and Executive Director and Deputy General Manager Zhang Zhiquan, held domestic shares through controlled corporations, representing 19.48% and 17.00% respectively of the total issued shares Directors' and Chief Executive's Interests | Name | Position | Nature of Interest | Shares Held and Class | Approximate Percentage of Total Issued Shares (%) | | :--- | :--- | :--- | :--- | :--- | | Lu Yao | Chairman, Executive Director and General Manager | Interest in controlled corporation | 27,501,600 Domestic Shares (L) | 19.48 | | Zhang Zhiquan | Executive Director and Deputy General Manager | Interest in controlled corporation | 24,000,000 Domestic Shares (L) | 17.00 | - Lu Yao, through his wholly-owned Qingdao Haichuang Management Consulting Co., Ltd., is deemed to have an interest in the shares held by Shanghai Zhaoqi, Qingdao Haizhongjie, and Qingdao Haixinsheng, respectively71 - Zhang Zhiquan, through his 31.40% interest in Shanghai Zhaoqi and Beijing Quanzhanggui Internet Technology Co., Ltd. (in which Zhang Zhiquan holds a 70.00% interest), is deemed to have an interest in the shares held by Shanghai Zhaoqi71 Interests and Short Positions of Substantial Shareholders in Shares and Underlying Shares As of June 30, 2025, Haier Group Corporation and its affiliates, through interests in controlled corporations, held 64,000,000 domestic shares, representing 45.33% of the total issued shares, making them the largest substantial shareholders; additionally, Qingdao Haiyinghui Management Consulting Co., Ltd. directly held 56,000,000 domestic shares, and Qu Pengcheng beneficially held 4,142,500 H shares Substantial Shareholders' Interests | Shareholder Name | Nature of Interest | Shares Held and Class | Approximate Percentage of Total Issued Shares (%) | | :--- | :--- | :--- | :--- | | Haier Group Corporation | Interest in controlled corporation | 64,000,000 Domestic Shares (L) | 45.33 | | Qingdao Haichuangke Management Consulting Enterprise (Limited Partnership) | Interest in controlled corporation | 64,000,000 Domestic Shares (L) | 45.33 | | Qingdao Haichuanghui IoT Co., Ltd. | Interest in controlled corporation | 64,000,000 Domestic Shares (L) | 45.33 | | Qingdao Haichuanghui Investment Co., Ltd. | Interest in controlled corporation | 64,000,000 Domestic Shares (L) | 45.33 | | Haichuanghui Holdings Limited | Interest in controlled corporation | 8,000,000 Domestic Shares (L) | 5.67 | | Ningbo Meishan Bonded Port Area Haichuanghui Investment Management Co., Ltd. | Interest in controlled corporation | 8,000,000 Domestic Shares (L) | 5.67 | | Qingdao Haichuanghui Venture Capital Co., Ltd. | Interest in controlled corporation | 8,000,000 Domestic Shares (L) | 5.67 | | Qingdao Haichuanghui Ronghai Venture Capital Center (Limited Partnership) | Beneficial interest | 8,000,000 Domestic Shares (L) | 5.67 | | Qingdao Haiyinghui Management Consulting Co., Ltd. | Beneficial interest | 56,000,000 Domestic Shares (L) | 39.66 | | Qingdao Haichuang Management Consulting Co., Ltd. | Interest in controlled corporation | 27,501,600 Domestic Shares (L) | 19.48 | | Shanghai Zhaoqi | Beneficial interest | 24,000,000 Domestic Shares (L) | 17.00 | | Li Jia | Spouse's interest | 24,000,000 Domestic Shares (L) | 17.00 | | Qingdao Haizhihuiying Equity Investment Management Co., Ltd. | Interest in controlled corporation | 14,394,000 Domestic Shares (L) | 10.19 | | Qingdao Haichuangying Equity Investment Partnership (Limited Partnership) | Beneficial interest | 14,394,000 Domestic Shares (L) | 10.19 | | Qu Pengcheng | Beneficial interest | 4,142,500 H Shares (L) | 2.93 | - Haier Group Corporation, through a voting rights entrustment arrangement, is entitled to exercise 48.80% of the voting rights held by Qingdao Haichuanghui IoT Co., Ltd. for Haichuangke Management Consulting Enterprise (Limited Partnership)77 - Li Jia, as the spouse of Zhang Zhiquan, is deemed to have an interest in the shares in which Zhang Zhiquan has an interest, in accordance with the Securities and Futures Ordinance75 Review Report Review Report KPMG reviewed the interim financial information and found no matters leading them to believe that the information was not prepared in all material respects in accordance with International Accounting Standard 34 – Interim Financial Reporting - KPMG reviewed the interim financial information in accordance with Hong Kong Standard on Review Engagements 241081 - Review conclusion: Nothing has come to our attention that causes us to believe that the interim financial information as of June 30, 2025, is not prepared, in all material respects, in accordance with International Accounting Standard 34 – Interim Financial Reporting82 Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income For the six months ended June 30, 2025, the company achieved revenue of RMB 113,580 thousand, a 28.4% year-on-year increase, and profit for the period of RMB 25,099 thousand, an 18.1% year-on-year increase, with basic earnings per share of RMB 0.18 Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Summary | Indicator | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | YoY Growth | | :--- | :--- | :--- | :--- | | Revenue | 113,580 | 88,456 | 28.4% | | Cost of Sales | (71,467) | (51,248) | 39.5% | | Gross Profit | 42,113 | 37,208 | 13.2% | | Operating Profit | 30,709 | 26,251 | 17.0% | | Profit Before Tax | 30,697 | 26,102 | 17.6% | | Income Tax | (5,598) | (4,844) | 15.6% | | Profit for the Period | 25,099 | 21,258 | 18.1% | | Net Profit Attributable to Equity Holders of the Company | 25,063 | 21,588 | 16.1% | | Basic and Diluted Earnings Per Share (RMB) | 0.18 | 0.20 | -10.0% | Interim Condensed Consolidated Statement of Financial Position Interim Condensed Consolidated Statement of Financial Position As of June 30, 2025, the company's total assets less current liabilities amounted to RMB 604,410 thousand, with net current assets of RMB 500,332 thousand; non-current assets decreased while current assets increased, primarily reflecting changes in cash and cash equivalents and trade receivables Interim Condensed Consolidated Statement of Financial Position Summary | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Non-current Assets | 104,078 | 145,953 | -28.7% | | Current Assets | 543,300 | 489,440 | 10.9% | | Current Liabilities | 42,968 | 37,021 | 16.1% | | Net Current Assets | 500,332 | 452,419 | 10.6% | | Total Assets Less Current Liabilities | 604,410 | 598,372 | 1.0% | | Net Assets | 604,410 | 598,372 | 1.0% | | Cash and Cash Equivalents | 286,923 | 169,721 | 69.1% | | Term Deposits (Current Portion) | 177,457 | 262,638 | -32.5% | | Term Deposits (Non-current Portion) | 94,709 | 136,282 | -30.5% | | Trade and Bills Receivables | 56,388 | 41,965 | 34.4% | Interim Condensed Consolidated Statement of Changes in Equity Interim Condensed Consolidated Statement of Changes in Equity As of June 30, 2025, the company's total equity increased to RMB 604,410 thousand, with a net profit for the period of RMB 25,063 thousand and cash dividends of RMB 19,061 thousand paid Interim Condensed Consolidated Statement of Changes in Equity Summary | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Share Capital | 141,196 | 141,196 | 0.0% | | Reserves | 465,001 | 458,999 | 1.3% | | Total Equity Attributable to Equity Holders of the Company | 606,197 | 600,195 | 1.0% | | Non-controlling Interests | (1,787) | (1,823) | -2.0% | | Total Equity | 604,410 | 598,372 | 1.0% | | Net Profit for the Period (Attributable to Equity Holders of the Company) | 25,063 | 46,657 (Full Year) | - | | Cash Dividends Declared and Paid for the Period | (19,061) | - | - | Interim Condensed Consolidated Statement of Cash Flows Interim Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2025, net cash generated from operating activities was RMB 7,141 thousand, net cash generated from investing activities was RMB 130,958 thousand, and net cash used in financing activities was RMB 20,038 thousand, with cash and cash equivalents increasing to RMB 286,923 thousand at period-end Interim Condensed Consolidated Statement of Cash Flows Summary | Indicator | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Net Cash Generated from Operating Activities | 7,141 | 19,306 | -63.0% | | Net Cash Generated from/(Used in) Investing Activities | 130,958 | (150,011) | 187.3% | | Net Cash (Used in)/Generated from Financing Activities | (20,038) | (7,335) | 173.2% | | Net Increase/(Decrease) in Cash and Cash Equivalents | 118,061 | (138,040) | 185.5% | | Cash and Cash Equivalents at End of Period | 286,923 | 65,598 | 337.4% | Notes to the Unaudited Interim Financial Report Notes to the Unaudited Interim Financial Report The financial report notes detail the basis of preparation, revenue and segment reporting, various expenses, taxes, earnings per share, balance sheet items, capital and reserves, capital commitments, and material related party transactions, also disclosing a significant post-period acquisition 1 Basis of Preparation This interim financial report is prepared in accordance with applicable disclosure provisions of the Hong Kong Stock Exchange Listing Rules and International Accounting Standard 34 – Interim Financial Reporting, and has been reviewed by KPMG but is unaudited - The interim financial report is prepared in accordance with the applicable disclosure provisions of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and International Accounting Standard 34 Interim Financial Reporting issued by the International Accounting Standards Board97 - This interim financial report is unaudited but has been reviewed by KPMG, the company's auditor, in accordance with Hong Kong Standard on Review Engagements 2410 issued by the Hong Kong Institute of Certified Public Accountants98 2 Revenue and Segment Reporting The company's revenue primarily derives from insurance agency services, IT services, and consulting services, with insurance agency business being the main source, showing significant growth from enterprise insurance users and strong performance in property and casualty products; the company reports by these three business lines, using gross profit as the segment performance measure - The Group's principal activities are the provision of insurance agency services, IT services, and consulting services in China99 Revenue by Source | Revenue Source | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | YoY Growth | | :--- | :--- | :--- | :--- | | Insurance Agency Business | 109,204 | 82,213 | 32.8% | | IT Services | 4,340 | 5,486 | -21.0% | | Consulting Services | 36 | 757 | -95.2% | | Total | 113,580 | 88,456 | 28.4% | Revenue by Insurance Product Purchaser | Insurance Product Purchaser | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | YoY Growth | | :--- | :--- | :--- | :--- | | Household Insurance Users | 51,181 | 45,500 | 12.5% | | Enterprise Insurance Users | 58,023 | 36,713 | 58.0% | | Total | 109,204 | 82,213 | 32.8% | Revenue by Major Product | Major Product | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | YoY Growth | | :--- | :--- | :--- | :--- | | Property and Casualty Insurance Products | 52,943 | 35,878 | 47.6% | | Life and Health Insurance Products | 8,887 | 12,091 | -26.4% | | Accident Insurance Products | 18,543 | 15,328 | 21.0% | | Auto Insurance Products | 28,831 | 18,916 | 52.4% | | Total | 109,204 | 82,213 | 32.8% | - The Group manages its business by business lines, presenting three reportable segments: insurance agency services, IT services, and consulting services103104105106 - The measure used to evaluate the performance of reportable segments is gross profit107 Segment Gross Profit | Segment | H1 2025 Gross Profit (RMB thousands) | H1 2024 Gross Profit (RMB thousands) | YoY Growth | | :--- | :--- | :--- | :--- | | Insurance Agency Services | 39,627 | 33,260 | 19.1% | | IT Services | 2,450 | 3,413 | -28.2% | | Consulting Services | 36 | 535 | -93.3% | | Total | 42,113 | 37,208 | 13.2% | 3 Other Income The company's total other income was RMB 4,260 thousand, a slight decrease from the prior period, primarily due to increased exchange losses partially offset by higher interest income Other Income Items | Other Income Item | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Interest Income | 5,098 | 3,959 | 28.8% | | Government Grants | – | 400 | -100.0% | | Others | (838) | 30 | - | | Total | 4,260 | 4,389 | -3.0% | 4 Profit Before Tax During the reporting period, the company's finance costs significantly decreased, staff costs slightly increased, and other major costs such as referral fees, commission fees, and service fees all experienced changes - Finance costs decreased from RMB 149 thousand to RMB 12 thousand, primarily due to reduced interest expense on lease liabilities111 Staff Costs | Staff Cost Item | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | | :--- | :--- | :--- | | Salaries, Wages and Other Benefits | 13,581 | 12,998 | | Contributions to Defined Contribution Retirement Plans | 1,110 | 1,287 | | Total | 14,691 | 14,285 | Other Items | Other Item | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Referral Fees | 62,051 | 40,228 | 54.2% | | Commission Fees | 2,990 | 4,855 | -38.4% | | Service Fees | 2,500 | 2,340 | 6.8% | | IT Subcontracting Fees | 1,015 | 376 | 169.9% | | Listing Expenses | – | 676 | -100.0% | | Depreciation and Amortisation Expenses | 930 | 713 | 30.4% | 5 Income Tax in the Consolidated Statement of Profit or Loss The company's income tax expense increased due to higher profit before tax, but it benefits from a 15% preferential tax rate as a high-tech enterprise, with some subsidiaries also enjoying tax incentives as small-profit enterprises Income Tax Expense | Tax Type | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Current Tax - PRC Enterprise Income Tax | 5,595 | 4,845 | 15.5% | | Deferred Tax - Temporary Differences | 3 | (1) | - | | Total | 5,598 | 4,844 | 15.6% | - The company is entitled to a 15% preferential income tax rate for the six months ended June 30, 2024 and 2025, due to its "High and New Technology Enterprise" qualification115 - Small-profit enterprise subsidiaries enjoy a preferential tax rate where the portion of annual taxable income not exceeding RMB 3 million is reduced by 25% and taxed at a 20% enterprise income tax rate116 6 Earnings Per Share For the six months ended June 30, 2025, the company's basic earnings per share were RMB 0.18, a decrease from RMB 0.20 in the prior period; diluted earnings per share were equal to basic earnings per share due to the absence of potentially dilutive ordinary shares Earnings Per Share Data | Indicator | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net Profit Attributable to Equity Holders of the Company (RMB thousands) | 25,063 | 21,588 | | Weighted Average Number of Ordinary Shares in Issue (thousands of shares) | 141,196 | 105,896 | | Basic Earnings Per Share Attributable to Equity Holders of the Company (RMB) | 0.18 | 0.20 | - For the six months ended June 30, 2025 and 2024, there were no potentially dilutive ordinary shares, thus diluted earnings per share were equal to basic earnings per share119 7 Property, Plant and Equipment As of June 30, 2025, the company's net book value of property, plant and equipment was RMB 138 thousand, a decrease from RMB 192 thousand as of December 31, 2024 Property, Plant and Equipment Net Book Value | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Net Book Value of Electronic Equipment | 96 | 146 | | Net Book Value of Office and Other Equipment | 42 | 46 | | Total Net Book Value | 138 | 192 | 8 Right-of-Use Assets As of June 30, 2025, the company's net book value of right-of-use assets was RMB 894 thousand, a decrease from RMB 1,724 thousand as of December 31, 2024 Right-of-Use Assets Net Book Value | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Net Book Value of Right-of-Use Assets | 894 | 1,724 | - The Group has obtained the right to use other properties as its operating premises through lease agreements121 9 Trade and Bills Receivables As of June 30, 2025, the company's net trade and bills receivables amounted to RMB 56,388 thousand, an increase of 34.4% from December 31, 2024, with most amounts due within three months Trade and Bills Receivables Net Amount | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Net Trade and Bills Receivables | 56,388 | 41,965 | 34.4% | Ageing Analysis of Trade and Bills Receivables | Ageing | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within 3 months (inclusive) | 53,711 | 41,277 | | 3 to 6 months (inclusive) | 1,136 | 596 | | Over 6 months | 1,541 | 92 | | Total | 56,388 | 41,965 | 10 Contract Costs and Other Assets As of June 30, 2025, the company's total contract costs and other assets amounted to RMB 6,426 thousand, a decrease from December 31, 2024, primarily comprising contract fulfillment costs Contract Costs and Other Assets | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Contract Fulfillment Costs | 5,352 | 2,508 | | Input VAT to be Deducted | 461 | 788 | | Prepayments to Suppliers | – | 4,319 | | Others | 613 | 129 | | Total | 6,426 | 7,744 | 11 Cash and Cash Equivalents, Restricted Cash and Term Deposits The company's cash and cash equivalents significantly increased, while both current and non-current term deposits decreased; restricted cash increased, primarily for insurance agency working capital reserves and funds collected on behalf of others Cash and Deposits | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 286,923 | 169,721 | 69.1% | | Current Term Deposits | 177,457 | 262,638 | -32.5% | | Non-current Term Deposits | 94,709 | 136,282 | -30.5% | | Restricted Cash | 24,427 | 15,108 | 61.7% | - Restricted cash includes RMB 7,826 thousand as working capital reserve deposits for insurance agencies and RMB 16,601 thousand for funds collected and paid on behalf of others127 12 Trade and Other Payables As of June 30, 2025, the company's total trade and other payables amounted to RMB 33,375 thousand, an increase of 24.1% from December 31, 2024, primarily comprising amounts due to suppliers and premiums payable Trade and Other Payables | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Amounts Due to Suppliers | 15,899 | 16,329 | -2.6% | | Premiums Payable | 12,429 | 2,474 | 402.4% | | Dividends Payable | 77 | – | - | | Accrued Listing Expenses | – | 1,029 | -100.0% | | Others | 4,970 | 7,064 | -29.6% | | Total | 33,375 | 26,896 | 24.1% | - Premiums payable represent premiums collected on behalf of insurance companies but not yet remitted as of the balance sheet date128 13 Contract Liabilities As of June 30, 2025, the company's total contract liabilities amounted to RMB 2,536 thousand, a significant increase of 123.8% from December 31, 2024, driven by increased contract liabilities for insurance agency services and IT services Contract Liabilities | Category | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Insurance Agency Services | 1,325 | 781 | 69.7% | | IT Services | 1,211 | 352 | 244.0% | | Total | 2,536 | 1,133 | 123.8% | - The increase in contract liabilities primarily resulted from an increase of RMB 1,137 thousand in insurance agency service contract liabilities and an increase of RMB 1,351 thousand in IT service contract liabilities130 14 Lease Liabilities As of June 30, 2025, the company's lease liabilities amounted to RMB 21 thousand, all due within one year Lease Liabilities | Term | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within 1 year | 21 | – | 15 Accrued Expenses As of June 30, 2025, the company's total accrued expenses amounted to RMB 3,967 thousand, a slight decrease from December 31, 2024, with accrued staff costs forming the major portion Accrued Expenses | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Accrued Staff Costs | 3,701 | 4,072 | | VAT and Surcharges Payable | 259 | 176 | | Others | 7 | 21 | | Total | 3,967 | 4,269 | 16 Income Tax in the Consolidated Statement of Financial Position As of June 30, 2025, the company's current tax payable was RMB 3,069 thousand, a decrease from December 31, 2024, and net deferred tax assets were RMB 16 thousand, a slight decrease Income Tax Balances | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | Change | | :--- | :--- | :--- | :--- | | Current Tax Payable | 3,069 | 4,723 | -35.0% | | Net Deferred Tax Assets | 16 | 19 | -15.8% | 17 Capital and Reserves The company's share capital and capital reserves remained stable, Chinese statutory reserves were appropriated in accordance with regulations, and a final dividend of RMB 19,061 thousand for 2024 was paid during the period - As of June 30, 2025, paid-in capital/share capital was RMB 141,196 thousand, and capital reserves were RMB 280,009 thousand136 - In accordance with the PRC Company Law, the Group is required to appropriate 10% of its after-tax profit, as determined under relevant PRC accounting standards, to the statutory reserve until the reserve reaches 50% of its registered capital137 - The final dividend of RMB 0.135 per share for the year ended December 31, 2024, totaling RMB 19,061,406, was paid before July 4, 2025138 18 Capital Commitments As of June 30, 2025, the company's capital commitments contracted but not provided for amounted to RMB 52,000 thousand Capital Commitments | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Contracted but not provided for | 52,000 | – | 19 Material Related Party Transactions The company engaged in several material related party transactions with its controlling shareholder, Haier Group Corporation, and its affiliates, including IT and consulting service income, referral and service fees, and interest income, with related receivables, payables, and cash balances disclosed; key management personnel compensation increased - Key related parties include the controlling shareholder, Haier Group Corporation, and its subsidiaries and affiliates140 Key Management Personnel Compensation | Key Management Personnel Compensation Item | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | | :--- | :--- | :--- | | Salaries, Allowances and Benefits in Kind | 1,275 | 1,347 | | Discretionary Bonuses | 1,001 | 730 | | Contributions to Retirement Plans | 127 | 120 | | Total | 2,403 | 2,197 | Related Party Transactions (with Haier Group Corporation and its affiliates) | Transaction Type | H1 2025 (RMB thousands) | H1 2024 (RMB thousands) | | :--- | :--- | :--- | | IT and Consulting Service Income | 2,858 | 3,577 | | Referral and Service Fees | (1,305) | (396) | | Interest Income | 124 | 3 | | Finance Costs | – | (16) | | Sales and Marketing Expenses | – | (14) | | General and Administrative Expenses and Others | (1,094) | (680) | Related Party Balances (with Haier Group Corporation and its affiliates) | Balance Type | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Trade-related Trade and Bills Receivables | 3,797 | 7,249 | | Cash and Cash Equivalents and Restricted Cash Placed with Related Parties | 25,013 | 20,040 | | Trade and Other Payables | (660) | (1,937) | 20 Non-Adjusting Post Balance Sheet Events On August 22, 2025, the company agreed to acquire a total of 55% equity interest in Beijing Kechuang Rongxin Technology Co., Ltd. for RMB 165 million in cash - On August 22, 2025, the company, Li Yanbai, and Chai Hong entered into a share transfer agreement, whereby the company conditionally agreed to acquire a total of 55% equity interest in Beijing Kechuang Rongxin Technology Co., Ltd. for RMB 165 million in cash144 Definitions Definitions This section provides definitions for terms used throughout the report