Financial Performance - The Group's overall revenue from continuing operations for the six months ended 30 September 2025 was approximately RMB29.8 million, a decrease of 75.7% compared to RMB122.5 million for the same period in 2024[23]. - The Group recorded a gross profit from continuing operations of RMB3.2 million for the six months ended 30 September 2025, down from RMB11.5 million in the previous year[23]. - The net loss from continuing operations for the period was RMB30.1 million, significantly improved from a net loss of RMB598.5 million for the same period in 2024[23]. - The Group's total loss for the period, including discontinued operations, was RMB 33.16 million, compared to RMB 601.14 million in 2024[130]. - The loss for the period ended September 30, 2025, was RMB 33,164,000, a significant improvement compared to a loss of RMB 601,140,000 for the same period in 2024, representing a reduction of approximately 94.5%[133]. - Total comprehensive loss for the period was RMB 31,394,000, down from RMB 593,936,000 in the previous year, indicating a decrease of about 94.7%[133]. - The Group's finance costs increased significantly to RMB 33.40 million for the six months ended September 30, 2025, from RMB 19.63 million in 2024[130]. - The Group's other income and gains rose to RMB 19.06 million for the six months ended September 30, 2025, compared to RMB 0.31 million in 2024[130]. Financial Position - As of 30 September 2025, the Group's total liabilities were approximately RMB1,374.4 million, with net liabilities at RMB654.7 million[22]. - The Group's net current liabilities and net liabilities as of September 30, 2025, were approximately RMB 627.50 million and RMB 654.70 million, respectively[126]. - The carrying amount of cash and bank deposits decreased by approximately 21.6% from RMB5.1 million as at 31 March 2025 to approximately RMB4.0 million as at 30 September 2025[94]. - The Group's bank and other borrowings decreased by RMB114.9 million as compared to 31 March 2025, primarily due to the reclassification of certain bank loans of RMB241.0 million to liabilities associated with a disposal group[98]. - The gearing ratio as at 30 September 2025 was 112%, remaining stable compared to 106% as at 31 March 2025[100]. - The Group's total staff costs for the six months ended September 30, 2025, were approximately RMB 8.5 million, a decrease from RMB 8.7 million for the same period in 2024[116]. - The Group's total borrowings were entirely denominated in RMB as of September 30, 2025[107]. Asset Management - The Group has been monitoring its financial position and cash flows closely, with a focus on reducing debt levels[9]. - The Group's management conducted periodic reviews of its asset portfolio and respective performance during the reporting period[9]. - The fair value of the Group's investment properties decreased from RMB315.3 million at 31 March 2025 to RMB309.5 million at 30 September 2025[32]. - The Group's property investment segment is classified as a discontinued operation, with comparative figures re-presented in the financial statements[41]. - Properties under development mainly include Guangze Jiuxi Red House – Phase II, while completed properties held for sale primarily consist of unsold units of Guangze Jiuxi Red House – Phase I[74]. Business Strategy - The Group plans to continue looking at potential projects in property development and investment, while also diversifying into ginseng and mineral water businesses[20]. - A detailed feasibility study in the ginseng business has been conducted, with expectations to complete the purchase of ginsengs in cultivation in Ji'an City by the end of 2025[20]. - Sales for the ginseng business are expected to commence in the first quarter of 2026, supported by active market penetration and promotional strategies[20]. - The Group is exploring potential properties for rental income or capital appreciation, maintaining a focus on investment returns and exit potentials[35]. Financing and Support - The Group is actively exploring various financing options to improve its financial position, including discussions with major shareholders for financial support[19]. - The Group is actively pursuing options to improve its financial position, including debt financing, equity financing, and debt restructuring[22]. - Continuous financial support from the substantial shareholder has been confirmed, ensuring no demand for loan repayment within the next twelve months if the Group is unable to do so[157]. - The Group's financial statements have been prepared on a going concern basis, assuming successful negotiations for the renewal of bank and other borrowings[154]. Operational Efficiency - Selling and distribution expenses decreased by 40% from RMB1.5 million for the six months ended 30 September 2024 to RMB0.9 million for the six months ended 30 September 2025[54]. - Administrative expenses decreased by RMB6.5 million from RMB17.3 million for the six months ended 30 September 2024 to RMB10.8 million for the six months ended 30 September 2025, mainly due to cost control measures[55]. - Other expenses significantly decreased from RMB642.4 million for the six months ended 30 September 2024 to RMB7.1 million for the six months ended 30 September 2025, primarily due to prior write-downs of properties under development[56]. Taxation and Compliance - Current tax for the six months ended 30 September 2025 was RMB150,000, up from RMB94,000 for the same period in 2024[68]. - A tax credit from deferred tax of RMB70.8 million was recorded for the six months ended 30 September 2024, mainly due to the reversal of taxable temporary differences[72]. - The statutory corporate income tax rate in the PRC is 25%, applicable to the assessable profit for both periods[185]. Shareholder Information - Basic loss per share attributable to owners of the parent for the period was 9.21 cents, compared to 166.90 cents for the same period in 2024[131]. - The diluted loss per share for the six months ended 30 September 2025 is RMB33,164,000, a significant improvement compared to RMB601,140,000 for the same period in 2024[198]. - The weighted average number of ordinary shares used in the calculation of basic and diluted loss per share is 360,182,000 for both periods ended 30 September 2025 and 30 September 2024[198].
中国长白山国际(00989) - 2026 - 中期财报