Financial Performance - For the six months ended June 30, 2025, the company's revenue decreased to RMB 11,418,000 from RMB 31,985,000 for the same period in 2024, representing a decline of approximately 64.3%[5]. - The gross profit for the same period was RMB 2,013,000, down from RMB 11,272,000 in 2024, resulting in a gross margin of 18% compared to 35% in the previous year[6][8]. - The company reported a loss attributable to owners of RMB 22,240,000, compared to a loss of RMB 71,710,000 in 2024, indicating an improvement in loss performance[5]. - Total comprehensive loss for the period was RMB 23,770,000, compared to RMB 63,493,000 in 2024, showing a reduction of about 62.6%[38]. - Cash flow used in operating activities for the six months ended June 30, 2025, was RMB (18,399,000), significantly improved from RMB (191,416,000) in 2024[41]. - The total revenue from all segments for the six months ended June 30, 2025, was RMB 11,418 thousand, compared to RMB 58,716 thousand in 2024, showing a decline of 80.5%[58]. - The company reported a pre-tax loss of RMB 22,956 thousand for the six months ended June 30, 2025, compared to a pre-tax loss of RMB 85,248 thousand in 2024[58]. Cost Management - Sales and distribution expenses decreased by approximately 56% compared to 2024, primarily due to reduced promotional and marketing activities for property projects[9]. - Administrative expenses were reduced by about 54% year-on-year, attributed to effective cost control measures implemented by the company[10]. - Net financial costs decreased to RMB 9,500,000 from RMB 17,453,000 in 2024, mainly due to a decline in loan and borrowing interest rates[12]. - The total employee benefit expenses for the group for the six months ended June 30, 2025, were approximately RMB 4,200,000, down from RMB 15,100,000 in 2024[20]. - The financial costs for the six months ended June 30, 2025, were RMB 9,627 thousand, down from RMB 18,140 thousand in 2024, representing a reduction of 46.8%[63]. - Depreciation of property, plant, and equipment for the six months ended June 30, 2025, was RMB 747 thousand, down from RMB 2,853 thousand in 2024, reflecting a decrease of 73.8%[68]. Assets and Liabilities - As of June 30, 2025, the company's net current assets increased to approximately RMB 1,120,400,000, up by RMB 90,800,000 from December 31, 2024[15]. - The total outstanding loans and borrowings as of June 30, 2025, amounted to approximately RMB 993,500,000, with cash and cash equivalents at about RMB 7,600,000[15]. - Current liabilities stood at RMB 1,953,639,000 as of June 30, 2025, slightly decreased from RMB 1,965,865,000 at the end of 2024[40]. - The company reported cash and cash equivalents of RMB 2,654,000 at the end of the period, down from RMB 18,083,000 in 2024, indicating a decrease of approximately 85.3%[42]. - The company reported a net debt of RMB 985,864,000 as of June 30, 2025, compared to RMB 957,374,000 as of December 31, 2024, reflecting an increase in net liabilities[87]. - The capital debt ratio increased to 76% as of June 30, 2025, compared to 73% as of December 31, 2024, reflecting a rise in financial leverage[87]. Shareholder Information - Major shareholder Mr. Zhang Wei holds a beneficial interest of 91,029,648 shares, representing 46.41% of the company's shares[18]. - Mr. Chen Zhiyong holds a beneficial interest of 40,240,256 shares, representing 20.52% of the company's shares[17]. - The company has not made any acquisitions or significant investments in property, plant, and equipment during the period, with zero expenditure reported compared to RMB 300,000 thousand in 2024[69]. - The company did not declare or recommend an interim dividend for the six months ended June 30, 2025, consistent with the previous year[78]. Market Outlook and Strategy - The company plans to accelerate inventory reduction of completed properties and explore asset revitalization opportunities, including changing property usage and selling all properties[16]. - The real estate market is expected to stabilize and recover, supported by favorable policies and ongoing urbanization, which will be a focus for the company moving forward[16]. Corporate Governance - The company has adopted the corporate governance code as per the listing rules and has complied with all applicable provisions during the reporting period[27]. - The financial report was prepared in accordance with the International Accounting Standards, specifically IAS 34, and was approved for publication on August 28, 2023[47]. - The company has not early adopted any new or revised International Financial Reporting Standards that are not yet effective for the current accounting period[50]. Legal and Compliance - The company is pursuing legal actions to enforce a court order for a monetary claim of approximately RMB 160,000,000 against Feng Chaoling[97]. - The company continues to seek legal advice and take appropriate actions to execute the court order, including asset freezes[97]. - The company has confirmed that Hanfang Pharmaceutical will no longer be accounted for as a joint venture as of June 30, 2025[98].
伟业控股(01570) - 2025 - 中期财报