Financial Performance - Revenue for the six months ended June 30, 2025, was RMB 797,395,000, representing a 12.2% increase compared to RMB 710,892,000 in 2024[8]. - Gross profit decreased by 10.6% to RMB 181,532,000 from RMB 203,112,000 year-over-year[8]. - The company reported a pre-tax loss of RMB (498,534,000), a significant increase of 558.3% compared to RMB (75,730,000) in the previous year[8]. - Adjusted net loss (non-IFRS measure) for the first half of 2025 was RMB (106,865,000), compared to RMB (63,782,000) in 2024[12]. - Adjusted EBITDA (non-IFRS measure) for the same period was RMB (87,355,000), worsening from RMB (27,309,000) in the previous year[12]. - The company reported a significant increase in trade receivables related to transaction services, rising to RMB 109.6 million as of June 30, 2025, from RMB 77.0 million as of December 31, 2024[87]. - The company reported a net loss of RMB 498,807 thousand for the six months ended June 30, 2025, compared to a loss of RMB 75,772 thousand in the prior year, indicating a significant increase in losses[187]. Assets and Liabilities - Total current assets increased by 8.4% to RMB 10,380,113,000 as of June 30, 2025, compared to RMB 9,577,651,000 at the end of 2024[9]. - Total liabilities decreased by 38.7% to RMB 10,140,869,000 from RMB 16,554,957,000 year-over-year[9]. - The company's cash position improved from RMB 746.9 million as of December 31, 2024, to RMB 947.9 million as of June 30, 2025, including cash and cash equivalents as well as restricted cash[97]. - The total liabilities decreased from RMB 16,485,147 thousand as of December 31, 2024, to RMB 10,072,836 thousand as of June 30, 2025, indicating a significant reduction in liabilities[190]. - The company's inventory decreased from RMB 20,077 thousand as of December 31, 2024, to RMB 15,302 thousand as of June 30, 2025, a decline of approximately 23.7%[189]. Operational Highlights - The steel trading platform has over 16,000 registered suppliers and 189,000 registered customers, covering over 650,000 SKUs as of June 30, 2025[20]. - The steel trading business achieved a GMV of RMB 63.8 billion and a total transaction volume exceeding 19.1 million tons in the first half of 2025[20]. - The company aims to transform from a single-category steel digital platform to a diversified AI industrial internet platform, achieving significant progress in its growth strategy[18]. - International business transactions exceeded 70,000 tons in the first half of 2025, representing a year-on-year increase of 58.0%, with revenue of RMB 338.5 million, up 38.9%[24]. - The company has established a supply chain company in partnership with a state-owned enterprise to enhance procurement experiences for users[22]. Shareholder and Governance Structure - The company has confirmed compliance with the corporate governance code as stipulated in the listing rules from the listing date until June 30, 2025[119]. - The corporate governance committee, composed of independent non-executive directors, is responsible for ensuring the company's operations align with the interests of all shareholders and compliance with listing rules[120]. - The company has established internal control mechanisms to identify related party transactions and will comply with applicable listing rules when entering into such transactions[124]. - The board of directors has determined that the roles of chairman and CEO can be held by the same individual, which constitutes a deviation from the corporate governance code, but believes it does not impair the balance of power and authority within the board[125]. Cash Flow and Capital Expenditures - For the six months ended June 30, 2025, the net cash outflow from operating activities was RMB 134.2 million, primarily due to an increase in trade receivables of RMB 77.0 million and a decrease in contract liabilities of RMB 35.6 million[100]. - The net cash outflow from investing activities for the same period was RMB 530.6 million, mainly attributed to bank deposits pledged for notes payable related to transaction services amounting to RMB 516.8 million[101]. - The net cash inflow from financing activities was RMB 835.1 million, driven by net proceeds from fundraising of RMB 506.0 million and capital restructuring proceeds of RMB 115.8 million[102]. - Capital expenditures for the six months ended June 30, 2025, totaled RMB 78.4 million, significantly up from RMB 5.8 million in the same period of 2024, with property and equipment purchases accounting for RMB 75.9 million[104]. Market and Product Development - A new trading platform for specialized steel products was launched in August 2025, focusing on higher-margin products and integrating resources from over 400 leading steel mills and traders[23]. - The strategic partnership with Trafigura aims to create a comprehensive e-commerce platform for non-ferrous metals, with trial transactions exceeding RMB 25 million[28]. - The company has allocated 20% of the net proceeds, approximately RMB 107.5 million, to strengthen technological capabilities, also expected to be utilized by February 2030[176]. Employee and Talent Management - The company employed 1,291 full-time employees as of June 30, 2025, focusing on attracting and retaining qualified talent through competitive compensation and training programs[112].
找钢集团(06676) - 2025 - 中期财报