Corporate Information Board of Directors and Committees Composition The company's Board of Directors comprises executive, non-executive, and independent non-executive directors, supported by audit, remuneration, nomination, and strategy committees to ensure robust corporate governance - The Board of Directors includes 3 executive directors (Zeng Zhijun as Chairman), 4 non-executive directors (Cheng Liquan resigned on February 14, 2025), and 4 independent non-executive directors (Xie Guozhong as Lead Independent Non-Executive Director)57 - The Audit Committee Chairman is Xie Guozhong, with Zhang Fan resigning and Li Tao appointed on March 28, 202557 - The Strategy Committee was established on March 28, 2025, with Zeng Zhijun as Chairman78 Key Corporate Details The company's authorized representatives are Zeng Zhijun and Huang Huiling, with Ernst & Young as auditor. It has a registered office in the Cayman Islands, principal places of business and headquarters in Hong Kong and Beijing, China, and lists key banks and investor relations contacts - Authorized representatives are Zeng Zhijun and Huang Huiling10 - Auditor is Ernst & Young, a registered public interest entity auditor1011 - The company's stock code is 2377, with a trading unit of 1,000 shares1415 Financial and Operational Highlights Overall Performance Overview For the six months ended June 30, 2025, the Group's revenue reached RMB 1,058 million, a 11.5% year-on-year increase. Gross profit grew 22.1% to RMB 243 million, with gross margin improving 2.0 percentage points to 23.0%. Net profit increased 25.0% to RMB 145 million, and net margin rose 1.5 percentage points to 13.7% Financial and Operational Highlights for H1 2025 | Metric | H1 2025 (RMB million) | H1 2024 (RMB million) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 1,058 | 949 | +11.5% | | Gross Profit | 243 | 199 | +22.1% | | Gross Profit Margin | 23.0% | 21.0% | +2.0 percentage points | | Net Profit | 145 | 116 | +25.0% | | Net Profit Margin | 13.7% | 12.2% | +1.5 percentage points | | New Orders | 20 units | N/A | N/A | - 20 new orders were signed, covering thermal power, chemical, industrial wastewater, and new energy sectors1921 Financial Highlights Table This section presents key financial data from the condensed consolidated statements of profit or loss and other comprehensive income, and financial position, as of June 30, 2025, and December 31, 2024, illustrating specific values and changes in the company's revenue, costs, profits, assets, and liabilities Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (For the six months ended June 30) | Metric | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue | 1,058,485 | 949,415 | | Cost of sales and services | (815,446) | (750,145) | | Gross profit | 243,039 | 199,270 | | Other income and gains | 21,250 | 11,874 | | Selling and distribution expenses | (9,184) | (10,039) | | Administrative expenses | (47,612) | (48,409) | | Research and development expenses | (28,302) | (23,595) | | Net impairment losses on financial and contract assets | (8,113) | 2,922 | | Finance costs | (7,424) | (7,944) | | Profit before tax | 158,444 | 128,367 | | Profit for the period | 144,787 | 115,897 | | Net cash from operating activities | (47,981) | 33,337 | | Net cash from investing activities | (25,531) | (126,713) | | Net cash from financing activities | (232,087) | 90,518 | Condensed Consolidated Statement of Financial Position (As of June 30) | Metric | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Total non-current assets | 2,630,889 | 2,450,814 | | Total current assets | 2,460,540 | 2,956,943 | | Total assets | 5,091,429 | 5,407,757 | | Total current liabilities | 1,600,247 | 1,805,190 | | Total non-current liabilities | 271,267 | 318,126 | | Total liabilities | 1,871,514 | 2,123,316 | | Net assets | 3,219,915 | 3,284,441 | Management Discussion and Analysis Industry Overview In H1 2025, China's environmental protection and new energy sectors saw intensive policy releases, focusing on ultra-low emissions, hazardous waste full-process supervision, and green power marketization, driving green and low-carbon industrial transformation and providing clear direction and financial support for the company's core business development - National policies focus on 'ultra-low emission upgrades', 'full-process hazardous waste supervision', and 'green power marketization', driving green and low-carbon industrial transformation2830 - Environmental standards in the steel industry significantly improved, mandating full-process ultra-low emission upgrades by 2026, driving expanded demand for flue gas purification technology3234 - In hazardous and solid waste treatment, full-process information-based supervision of hazardous waste is required by 2027, with landfill disposal reduced to under 10% by 2030, driving technological upgrades and compliance operation demand growth3334 - New energy business policies show strong synergy, establishing an 'integrated PV-storage' development framework, promoting large-scale application of distributed PV and energy storage, and aiming to establish a unified national carbon emission trading market by 20273536 - Financial support policies intensified, with banking and insurance institutions supporting pollution prevention and control and ultra-low emission upgrades in key industries, providing a stable financing environment for the company's business3839 Business Review In H1 2025, the Group solidified its domestic market base while actively expanding internationally, covering 31 provinces in China and operating in Europe, South Asia, Latin America, Africa, and Southeast Asia, with notable progress in flue gas treatment and dual-carbon new energy+ sectors - The Group meticulously cultivated its domestic market, while actively planning international market expansion to seek new growth poles4143 - As of June 30, 2025, the Group's projects covered 31 provinces, municipalities, and autonomous regions in China, with overseas operations in Europe, South Asia, Latin America, Africa, and Southeast Asia45 Flue Gas Treatment Business The flue gas treatment business offers services via EPC, O&M, and project investment models. During the period, EPC added 6 projects with a total contract value of RMB 407 million; 35 O&M projects operated stably; and 7 concession projects were operational, excluding one BOT project - Flue gas treatment business primarily provides services through various business models including EPC, O&M, and project investment (including BOT, BOO, and self-owned asset operation)5051 - During the period, 6 new EPC projects were added, with a total contract value of approximately RMB 407 million, primarily from the chemical and power industries5354 Overview of New EPC Projects (As of June 30, 2025) | No. | Project Name | Project Type | New/Renovation | Contract Signing Date | Contract Value (RMB million) | | :--- | :--- | :--- | :
博奇环保(02377) - 2025 - 中期财报