Revenue and Sales Performance - For the first half of 2025, the company's revenue was RMB 410.0 million, a decrease of 10.7% compared to RMB 459.0 million in the first half of 2024[12]. - The total revenue from carrageenan and agar products accounted for 75.8% of the company's total revenue, a decrease of 3.0% from the first half of 2024[12]. - Sales volume and average selling prices of refined carrageenan decreased by approximately 4.2% and 5.5%, respectively, compared to the first half of 2024[11]. - Sales volume and average selling prices of agar decreased by approximately 12.8% and 1.8%, respectively, compared to the same period last year[11]. - The decline in revenue was primarily due to decreased sales volume and prices of carrageenan and agar products[12]. - Revenue from the Chinese market in the first half of 2025 was RMB 189.3 million, a decrease of RMB 56.6 million or 23.0% compared to the first half of 2024[14]. - Revenue from overseas markets in the first half of 2025 was RMB 220.7 million, a decrease of RMB 7.6 million or 3.6% compared to the first half of 2024[14]. - The sales revenue of carrageenan and agar accounted for 75.8% of the group's total revenue, a decrease of 3.0% compared to the first half of 2024[19]. - The company anticipates a recovery in global demand for hydrophilic colloid products as geopolitical tensions ease, with stable sales performance expected in China[16]. Profitability and Financial Performance - In the first half of 2025, the group's gross profit was RMB 60.1 million, a decrease of RMB 38.7 million or 39.2% compared to the first half of 2024[21]. - The overall gross margin for the first half of 2025 was 14.7%, down 6.8 percentage points from the first half of 2024[21]. - The group experienced a net loss of RMB 12.3 million in the first half of 2025, compared to a net profit of RMB 22.6 million in the first half of 2024[21]. - The loss attributable to the owners of the company in the first half of 2025 was RMB 12.1 million, a decrease of RMB 35.2 million compared to a profit of RMB 23.1 million in the first half of 2024[27]. - The group will not declare an interim dividend for the first half of 2025[17]. - The gross profit for the same period was RMB 60,053,000, down 39.2% from RMB 98,847,000 in 2024[51]. - Operating loss for the six months ended June 30, 2025, was RMB 3,611,000, compared to an operating profit of RMB 46,397,000 in 2024[51]. - The company reported a net loss of RMB 12,068 thousand for the period, compared to a profit of RMB 23,086 thousand in the previous year[57]. Expenses and Cost Management - The group's sales and distribution expenses amounted to RMB 12.1 million, an increase of RMB 2.7 million or 28.7% compared to the first half of 2024[22]. - The group's administrative expenses in the first half of 2025 were RMB 52.9 million, up RMB 3.8 million or 7.7% from the same period in 2024, primarily due to increased personnel costs and R&D expenses related to mainstream and new products[23]. - Financing costs for the period were RMB 12,878,000, compared to RMB 16,693,000 in the same period of 2024, indicating a reduction in financing expenses[83]. - The company reported a decrease in sales costs to RMB 349,924,000 from RMB 360,168,000, reflecting a cost reduction strategy[81]. Market Position and Strategy - The company maintained its market leadership in agar and refined carrageenan production, recognized as the largest global producer of these products as of March 2025[10]. - The company is focused on developing all-natural performance materials, with applications expanding into beauty and home products[10]. - The company plans to change its name to "Green Fresh Biotechnology Company Limited" to better reflect its focus on advanced biotechnology and seaweed products[9]. - The group plans to continue investing in product technology to enhance its product offerings and profitability, particularly in blended products and biodegradable materials[15]. - The company continues to face challenges in the Chinese and European markets, including weak economic conditions and intense price competition[11]. Financial Position and Assets - As of June 30, 2025, the group's cash and bank balances were RMB 106.4 million, a decrease of RMB 35.0 million or 24.8% from December 31, 2024[28]. - The group's net current assets as of June 30, 2025, were RMB 434.5 million, a decrease of RMB 8.4 million or 1.9% from December 31, 2024[29]. - The total bank borrowings of the group as of June 30, 2025, amounted to RMB 530.7 million, with a weighted average interest rate of 3.93%[30]. - Total assets decreased to RMB 1,555,511 thousand as of June 30, 2025, down from RMB 1,572,268 thousand at the end of 2024, representing a decline of approximately 1.06%[54]. - Current assets totaled RMB 1,025,742 thousand, slightly down from RMB 1,038,685 thousand, indicating a decrease of about 1.24%[54]. - Non-current assets amounted to RMB 529,769 thousand, a decrease of 0.15% from RMB 533,583 thousand[54]. - Total liabilities increased to RMB 725,534 thousand, up from RMB 722,126 thousand, reflecting a marginal increase of 0.56%[56]. - Cash and cash equivalents decreased to RMB 81,315 thousand from RMB 120,734 thousand, a significant drop of approximately 32.5%[59]. - The company reported total borrowings of RMB 547,710 thousand as of June 30, 2025, with RMB 436,481 thousand due within one year[76]. Shareholder Information and Corporate Governance - As of June 30, 2025, the total number of issued shares of the company is 874,120,000[125]. - Mr. Chen Jincong holds 161,700,000 shares, representing 18.50% of the company's equity[124]. - Mr. Chen Chuiye holds 161,700,000 shares, also representing 18.50% of the company's equity[124]. - Mr. Guo Dongxu holds 66,150,000 shares, which is 7.57% of the company's equity[124]. - The company has a significant concentration of ownership, with 67.27% of shares held under a concert party agreement[126]. - The beneficial ownership of the company includes 480,000 shares granted under a share incentive plan that have not yet vested as of June 30, 2025[125]. - The largest shareholders include Chuangyu and Yingbo, each holding 161,700,000 shares, representing 18.50%[126]. - The company has a total of 588,000,000 shares under a concert party agreement among major shareholders[126]. - The company adheres to high standards of corporate governance, applying the principles of the corporate governance code[149]. - The board consists of five executive directors and three independent non-executive directors, ensuring a relatively high level of independence[153]. Share Incentive Plans - The company has adopted a share incentive plan to reward selected participants for their contributions to business growth, with a total of 2,580,000 shares granted as of June 30, 2025, of which 1,720,000 shares remain unvested[137]. - The fair value of the shares granted under the incentive plan ranges from HKD 3.27 to HKD 3.50 per share, with a dividend yield of 1.74% and an expected volatility of 43.67%[139]. - The total number of shares granted under the 2024 incentive plan is 3,040,000, with 2,280,000 shares remaining unvested as of June 30, 2025[140]. - The share incentive plan is effective from July 10, 2020, for a duration of ten years[147]. - The company aims to attract and retain contributors beneficial to its long-term development through the stock option plans[132].
绿新生物科技(01084) - 2025 - 中期财报