Financial Performance - Revenue reached RMB 1,712.7 million, representing a year-on-year increase of 39.0%[18] - Gross profit was RMB 176.7 million, reflecting a year-on-year increase of 29.2%[18] - Adjusted EBITDA stood at RMB 73.9 million, marking a year-on-year increase of 7.6%[18] - Adjusted net profit amounted to RMB 51.8 million, showing a year-on-year increase of 10.3%[18] - Mobile advertising revenue surged by 42.7% to RMB 1,699.0 million, driven by an increase in the number of mobile games advertised[38] - Revenue for the six months ended June 30, 2025, increased by 39.0% to RMB1,712.7 million from RMB1,232.1 million for the same period in 2024[35] - Gross profit rose by 29.2% to RMB176.7 million, compared to RMB136.7 million in the previous year[35] - Profit for the period increased by 10.3% to RMB51.8 million, compared to RMB47.0 million in the same period last year[35] Market Trends - The gaming market saw 812 online games approved in the first half of 2025, the highest in five years[19] - Overseas revenue has doubled, with Chinese game developers' international income exceeding half of their domestic revenue[19] - The gaming market in China saw 812 new online games approved in the first half of 2025, the highest in five years, with expectations to exceed 1,500 for the entire year[20] - Overseas revenue has significantly increased, with Chinese game developers now earning over half of their income from international markets, indicating potential for further growth[20] Strategic Initiatives - The Group maintains strategic partnerships with six top-tier smartphone manufacturers, enhancing its competitive edge[19] - The group is collaborating with six top smartphone manufacturers, enhancing mobile advertising effectiveness through AI-driven marketing strategies[20] - The group plans to maintain a revenue growth rate in the second half of 2025 similar to that of the first half, focusing on omni-channel distribution and strengthening its presence in both Android and iOS ecosystems[25] - Investment in AI R&D will continue, with a goal to improve client retention rates and increase the proportion of overseas revenue[25] - The group is exploring the use of stablecoins for payments and evaluating the feasibility of packaging overseas accounts receivable into RWA Tokens for issuance on public blockchains[25] - The emergence of AI smartphones, particularly the iPhone 17, is viewed as a significant business opportunity for the next five to ten years, prompting proactive investment in related technologies[25] Operational Results - Selling and distribution expenses rose significantly by 151.4% to RMB38.4 million, compared to RMB15.3 million in the previous year[35] - Research and development costs increased by 25.8% to RMB38.5 million from RMB30.6 million in 2024[35] - Cost of sales increased by 40.2% from RMB1,095.3 million for the six months ended June 30, 2024, to RMB1,536.0 million for the six months ended June 30, 2025[52] - Gross profit margin decreased from 11.1% for the six months ended June 30, 2024, to 10.3% for the six months ended June 30, 2025[54] Equity and Assets - Total assets increased to RMB 2,678.3 million, representing a year-on-year growth of 15.0%[18] - Total equity reached RMB 1,551.0 million, reflecting a year-on-year increase of 9.9%[18] - Current assets increased by 14.7% to RMB 2,552.5 million as of June 30, 2025, compared to RMB 2,225.8 million as of December 31, 2024, mainly due to higher accounts receivable and prepayments[92] - Net current assets were RMB 1,428.3 million as of June 30, 2025, up from RMB 1,313.0 million as of December 31, 2024, indicating an increase of 8.8%[92] Shareholder Information - As of June 30, 2025, Mr. Gao Dinan holds 419,209,300 shares, representing a 23.68% long position in the Company[130] - Ms. Jiang Yu is a beneficial owner of 178,090,000 shares, which accounts for 10.06% of the Company's shares[130] - Wanka Media Limited, wholly owned by Mr. Gao, has a beneficial interest in 243,909,300 shares, equating to 13.78% of the Company[136] - The total number of shares issued as of June 30, 2025, is 1,770,343,350[135] Corporate Governance - The company complied with all applicable code provisions set out in the CG Code during the six months ended June 30, 2025[167] - The company has adopted the Model Code for securities transactions, and all Directors confirmed compliance during the reporting period[168] - The Company has established a risk management system to enhance long-term growth and sustainable development, with regular assessments of risk factors by each business unit[182] - The Audit Committee reviews the effectiveness of the risk management and internal control systems on an annual basis, ensuring compliance with relevant laws and regulations[177] Employee Information - The Group had 376 employees as of June 30, 2025, with remuneration determined based on experience, qualifications, and market conditions[188]
万咖壹联(01762) - 2025 - 中期财报