[Financial Highlights](index=1&type=section&id=%E8%B4%A2%E5%8A%A1%E6%91%98%E8%A6%81) Zhongcheng Energy Holdings Limited reported a 20% year-on-year revenue decrease and a loss attributable to equity holders of RMB 7.3 million for H1 2025 Key Financial Data Comparison for H1 2025 | Metric | H1 2025 (RMB million) | H1 2024 (RMB million) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 3,082.0 | 3,839.4 | -20% | | Loss/Profit Attributable to Equity Holders | (7.3) | 27.0 | From profit to loss | | Basic Loss/Earnings Per Share (RMB) | (0.02) | 0.07 | From profit to loss | [Financial Statements](index=2&type=section&id=%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) This section presents the unaudited condensed consolidated interim financial statements for H1 2025, including income, comprehensive income, and financial position statements [Consolidated Income Statement](index=2&type=section&id=%E7%BB%BC%E5%90%88%E6%8D%9F%E7%9B%8A%E8%A1%A8) Revenue declined 20% to RMB 3,082.0 million, resulting in reduced gross profit and a loss of RMB 7.3 million attributable to equity holders Key Data from Consolidated Income Statement | Metric | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue | 3,082,015 | 3,839,411 | | Cost of sales | (2,930,716) | (3,627,383) | | Gross profit | 151,299 | 212,028 | | Operating profit | 6,990 | 55,242 | | Loss/Profit before tax | (5,321) | 42,070 | | Loss/Profit for the period | (5,832) | 27,940 | | Loss/Profit attributable to equity holders of the Company | (7,278) | 26,970 | | Basic Loss/Earnings Per Share (RMB) | (0.02) | 0.07 | [Consolidated Statement of Comprehensive Income](index=3&type=section&id=%E7%BB%BC%E5%90%88%E6%8D%9F%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) Total comprehensive income shifted from a RMB 28.8 million profit to a RMB 6.4 million loss, driven by period loss and foreign exchange differences Key Data from Consolidated Statement of Comprehensive Income | Metric | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Loss/Profit for the period | (5,832) | 27,940 | | Exchange differences on translation of financial statements denominated in foreign currencies | (531) | 893 | | Total comprehensive income for the period | (6,363) | 28,833 | | Total comprehensive income attributable to equity holders of the Company | (7,859) | 27,886 | [Consolidated Statement of Financial Position](index=4&type=section&id=%E7%BB%BC%E5%90%88%E8%B4%A2%E5%8A%A1%E7%8A%B6%E5%86%B5%E8%A1%A8) Total assets increased, but net assets slightly decreased, and current liabilities significantly rose, leading to a higher debt ratio as of June 30, 2025 Key Data from Consolidated Statement of Financial Position | Metric | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Non-current assets | 534,833 | 543,559 | | Current assets | 1,899,729 | 1,333,724 | | Current liabilities | 1,725,551 | 1,101,023 | | Non-current liabilities | 181,649 | 228,305 | | Net assets | 527,362 | 547,955 | | Total equity | 527,362 | 547,955 | [Notes to the Financial Statements](index=6&type=section&id=%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%99%84%E6%B3%A8) This section details the basis of preparation, accounting policy changes, revenue, segment reporting, income, tax, EPS, receivables, prepayments, and dividends [Basis of Preparation and Changes in Accounting Policies](index=6&type=section&id=%E7%BC%96%E8%A3%BD%E5%9F%BA%E5%87%86%E5%8F%8A%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96%E5%8F%98%E5%8A%A8) Interim financial report prepared under Listing Rules and IAS 34, with HKAS 21 amendments applied but no significant impact due to no foreign currency transactions - The interim financial report is prepared under Listing Rules and IAS 34, and reviewed by KPMG[9](index=9&type=chunk)[10](index=10&type=chunk) - The Group applied amendments to HKAS 21, with no significant impact due to the absence of foreign currency transactions[13](index=13&type=chunk) Number of Gas and Petrol Stations and Oil Storage Facilities | Type | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Gas and petrol stations owned by the Group | 38 | 38 | | Oil storage facilities owned by the Group | 2 | 2 | | Gas and petrol stations operated under management agreements | 39 | 39 | | Oil storage facilities operated under management agreements | 1 | 1 | [Revenue and Segment Reporting](index=7&type=section&id=%E6%94%B6%E7%9B%8A%E5%8F%8A%E5%88%86%E9%83%A8%E6%8A%A5%E5%91%8A) Total revenue decreased 20% year-on-year, primarily due to reduced refined oil and natural gas sales, with all business segments experiencing declines [Revenue Breakdown](index=7&type=section&id=%E6%94%B6%E7%9B%8A%E6%98%8E%E7%BB%86) Sales of refined oil and natural gas generated RMB 3,050.3 million, a 19.5% year-on-year decrease, driving the overall revenue decline Revenue Breakdown from Customer Contracts by Major Product or Service Line | Product/Service | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Sales of refined oil and natural gas | 3,050,307 | 3,790,626 | | Transportation service revenue | 31,699 | 37,807 | | Franchise service revenue | – | 9,411 | | Revenue from trading of compressed natural gas and liquefied petroleum gas | 9 | 1,567 | | **Total Revenue** | **3,082,015** | **3,839,411** | [Segment Results](index=7&type=section&id=%E5%88%86%E9%83%A8%E4%B8%9A%E7%BB%A9) All three reportable segments—refined oil, natural gas, and transportation services—saw declines in revenue and gross profit, with natural gas sales decreasing most - The Group is managed by business lines, divided into three reportable segments: sales of refined oil, sales of natural gas, and provision of transportation services[19](index=19&type=chunk) Revenue and Gross Profit by Reportable Segment | Segment | H1 2025 Revenue (RMB thousand) | H1 2024 Revenue (RMB thousand) | H1 2025 Gross Profit (RMB thousand) | H1 2024 Gross Profit (RMB thousand) | | :--- | :--- | :--- | :--- | :--- | | Sales of refined oil | 2,975,427 | 3,660,728 | 100,752 | 138,908 | | Sales of natural gas | 74,889 | 140,876 | 19,272 | 30,951 | | Provision of transportation services | 31,699 | 37,807 | 31,275 | 42,169 | | **Total** | **3,082,015** | **3,839,411** | **151,299** | **212,028** | [Geographical Information](index=9&type=section&id=%E5%9C%B0%E7%90%86%E8%B5%84%E6%96%99) All of the Group's customers, non-current assets, and associates are exclusively located in China - All of the Group's customers, non-current assets (including property, plant and equipment and investment properties), and associates are located in China[24](index=24&type=chunk) [Other Income](index=9&type=section&id=%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5) Other income, primarily rental income from operating leases, totaled RMB 3.4 million, a slight decrease from the prior period Other Income Breakdown | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Rental income from operating leases | 1,387 | 2,063 | | Net gain/(loss) on disposal of property, plant and equipment | 309 | (245) | | Interest income | 301 | 700 | | Others | 1,442 | 1,067 | | **Total** | **3,439** | **3,585** | [Details of Loss/Profit Before Tax](index=10&type=section&id=%E9%99%A4%E7%A8%8E%E5%89%8D%EF%BC%88%E4%B8%8B%E8%B7%8C%EF%BC%89%EF%BC%8F%E6%BA%A2%E5%88%A9%E6%98%8E%E7%BB%86) This section details key cost items impacting loss/profit before tax, including finance, staff, depreciation, lease, and inventory costs Breakdown of Costs Related to Loss/Profit Before Tax | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Finance costs | 13,066 | 13,696 | | Staff costs | 78,646 | 83,108 | | Depreciation expense | 30,372 | 32,652 | | Operating lease expenses for short-term leases and leases of low-value assets | 2,440 | 2,192 | | Cost of inventories | 2,925,154 | 3,620,297 | [Income Tax](index=10&type=section&id=%E6%89%80%E5%BE%97%E7%A8%8E) Income tax decreased 96% to RMB 0.5 million due to a pre-tax loss, with varying corporate tax rates and preferential rates applied Income Tax Breakdown | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Current tax - Provision for the period | 12,319 | 21,705 | | Deferred tax - Origination and reversal of temporary differences | (11,808) | (7,575) | | **Total Income Tax** | **511** | **14,130** | - Chinese subsidiaries (excluding Hong Kong) are subject to a **25% corporate income tax rate**, with preferential rates of **5% for small-scale operations** and **15% for high-tech enterprises**[30](index=30&type=chunk) [Loss/Earnings Per Share](index=11&type=section&id=%E6%AF%8F%E8%82%A1%EF%BC%88%E4%B8%8B%E8%B7%8C%EF%BC%89%EF%BC%8F%E7%9B%88%E5%88%A9) Basic loss per share was RMB 0.02 for H1 2025, compared to RMB 0.07 earnings per share last year, with no potential dilutive ordinary shares Loss/Earnings Per Share | Metric | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Basic Loss/Earnings Per Share | (0.02) | 0.07 | | Number of ordinary shares in issue | 374,502,000 | 374,502,000 | - There were no potential dilutive ordinary shares for the six months ended June 30, 2025 and 2024[28](index=28&type=chunk) [Trade and Bills Receivables](index=11&type=section&id=%E8%B4%B8%E6%98%93%E5%BA%94%E6%94%B6%E6%AC%BE%E9%A1%B9%E5%8F%8A%E5%BA%94%E6%94%B6%E7%A5%A8%E6%8D%AE) Total trade and bills receivables significantly increased to RMB 173.1 million as of June 30, 2025, primarily due to higher bills receivables Trade and Bills Receivables | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade receivables (net of loss allowance) | 32,966 | 29,630 | | Bills receivables | 140,093 | 66,000 | | **Total** | **173,059** | **95,630** | Ageing Analysis of Trade Receivables | Ageing | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 1 month | 25,858 | 25,115 | | 1 to 3 months | 6,490 | 3,006 | | 3 to 6 months | 618 | 1,509 | | **Total** | **32,966** | **29,630** | [Prepayments, Deposits and Other Receivables](index=12&type=section&id=%E9%A2%84%E4%BB%98%E6%AC%BE%E9%A1%B9%E3%80%81%E6%8C%89%E9%87%91%E5%8F%8A%E5%85%B6%E4%BB%96%E5%BA%94%E6%94%B6%E6%AC%BE%E9%A1%B9) Prepayments, deposits, and other receivables increased to RMB 1,121.0 million, mainly due to higher prepayments to related parties for inventory and services Breakdown of Prepayments, Deposits and Other Receivables | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Prepayments for purchase of inventories and services - related parties | 874,159 | 630,468 | | Prepayments for purchase of inventories and services - third parties | 222,279 | 255,985 | | Deposits made to suppliers | 3,985 | 3,817 | | Advances to employees | 729 | 717 | | Recoverable VAT | 9,817 | 8,730 | | Amounts due from non-controlling interests of subsidiaries | – | 24,054 | | Others | 10,016 | 9,453 | | Financial assets measured at amortised cost | 24,547 | 46,771 | | **Total** | **1,120,985** | **933,224** | - All prepayments, deposits, and other receivables are expected to be recovered or recognized as expenses within one year[32](index=32&type=chunk) [Trade and Bills Payables](index=13&type=section&id=%E8%B4%B8%E6%98%93%E5%BA%94%E4%BB%98%E6%AC%BE%E9%A1%B9%E5%8F%8A%E5%BA%94%E4%BB%98%E7%A5%A8%E6%8D%AE) Total trade and bills payables significantly increased to RMB 286.8 million as of June 30, 2025, primarily due to higher bills payables Trade and Bills Payables | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade payables to third parties | 1,822 | 2,748 | | Bills payables | 285,000 | – | | **Total** | **286,822** | **2,748** | Ageing Analysis of Trade Payables | Ageing | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 1 month | 1,812 | 2,738 | | Over 3 months | 10 | 10 | | **Total** | **1,822** | **2,748** | [Dividends](index=13&type=section&id=%E8%82%A1%E6%81%AF) The Board does not recommend an interim dividend for H1 2025, and no past financial year dividends were approved, unlike the prior period - The Board does not recommend the payment of an interim dividend for the six months ended June 30, 2025 (2024: RMB nil)[35](index=35&type=chunk) Approval Status of Past Financial Year and Special Dividends | Dividend Type | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Final dividend for past financial year (HKD 0.04 per share) | – | 13,872 | | Special dividend approved during the period (HKD 0.08 per share) | – | 27,345 | [Management Discussion and Analysis](index=14&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E5%8F%8A%E5%88%86%E6%9E%90) This section reviews H1 2025 industry, business, and financial performance, outlining future directions amid challenges from oil price volatility and EV penetration [Business and Financial Review](index=14&type=section&id=%E4%B8%9A%E5%8A%A1%E5%8F%8A%E8%B4%A2%E5%8A%A1%E5%9B%9E%E9%A1%B5) H1 2025 saw fluctuating oil prices, China's oil demand transformation, and natural gas market shifts, impacting sales and transport revenue, resulting in a loss despite stable finances [Industry Overview](index=14&type=section&id=%E8%A1%8C%E4%B8%9A%E6%A6%82%E8%A7%88) H1 2025 saw volatile oil prices, China's shifting oil demand, and global natural gas price declines, though China's natural gas consumption, especially for heavy trucks, is set for growth - International crude oil prices fluctuated in H1 2025, influenced by geopolitical risks and supply-demand dynamics[40](index=40&type=chunk) - China's crude oil demand structure is undergoing a historic shift: **declining fuel consumption** and **rising chemical consumption**[42](index=42&type=chunk) - Global natural gas supply increased, leading to lower prices due to weak demand, but China's market shows 'slight overall growth, structural transformation'[43](index=43&type=chunk)[44](index=44&type=chunk) - China's natural gas heavy truck production and sales grew strongly, with policy subsidies and oil-gas price differentials expected to stimulate market growth[46](index=46&type=chunk)[47](index=47&type=chunk) [Refined Oil Sales Business](index=16&type=section&id=%E6%88%90%E5%93%81%E6%B2%B9%E9%94%80%E5%94%AE%E4%B8%9A%E5%8A%A1) Refined oil sales revenue decreased by 19% to RMB 2,975.4 million, with a 12% volume drop, primarily due to declining market demand from EV adoption Refined Oil Sales Business Data | Metric | H1 2025 | H1 2024 | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Sales Revenue (RMB million) | 2,975.4 | 3,675.855 (Segment Revenue) | -19% | | Sales Volume (tonnes) | 433,000 | 493,000 | -12% | - Sales volume decreased primarily due to more automotive customers switching to new energy vehicles, leading to reduced market demand[48](index=48&type=chunk) [Natural Gas Sales Business](index=16&type=section&id=%E5%A4%A9%E7%84%B6%E6%B0%94%E9%94%80%E5%94%AE%E4%B8%9A%E5%8A%A1) Natural gas sales revenue decreased by 47% to RMB 74.9 million, with compressed natural gas volume down 49%, due to customers switching to EVs Natural Gas Sales Business Data | Metric | H1 2025 | H1 2024 | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Sales Revenue (RMB million) | 74.9 | 140.876 (Segment Revenue) | -47% | | Compressed Natural Gas Sales Volume (million cubic meters) | 13.4 | 26.2 | -49% | - Natural gas sales decreased primarily due to more natural gas vehicle customers switching to new energy vehicles, leading to reduced market demand[49](index=49&type=chunk) Gas and Petrol Station Locations and Products | Province/City | Gas Stations | Petrol Stations | Hybrid Stations | Total | | :--- | :--- | :--- | :--- | :--- | | Jilin Province | 13 | 35 | 9 | 57 | | Liaoning Province | – | 19 | 1 | 20 | | **Total** | **13** | **54** | **10** | **77** | [Provision of Transportation Services](index=18&type=section&id=%E6%8F%90%E4%BE%9B%E8%BF%90%E8%BE%93%E6%9C%8D%E5%8A%A1) Transportation service revenue decreased by 16% to RMB 31.7 million in H1 2025, with the company operating over 100 dangerous goods vehicles Transportation Services Business Data | Metric | H1 2025 (RMB million) | H1 2024 (RMB million) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Transportation Revenue | 31.7 | 37.8 | -16% | - The company owns and manages a fleet of **over 100 dangerous goods transportation vehicles**, including 48 tractors, 45 trailers, and 30 integrated tractor-trailers for oil, and 23 tractors, 22 trailers, and 1 integrated tractor-trailer for natural gas[51](index=51&type=chunk) [Operating Results](index=18&type=section&id=%E7%BB%8F%E8%90%A5%E4%B8%9A%E7%BB%A9) Revenue decreased 20%, cost of sales fell 19%, gross margin dropped to 5%, resulting in a pre-tax loss and a net loss of RMB 5.8 million Key Operating Results Data | Metric | H1 2025 (RMB million) | H1 2024 (RMB million) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 3,082.0 | 3,839.4 | -20% | | Cost of sales | 2,930.7 | 3,627.4 | -19% | | Gross profit | 151.3 | 212.0 | -28.6% | | Gross profit margin | 5% | 6% | -1% | | Impairment reversal/(loss) on trade receivables | 0.9 (reversal) | (1.0) (loss) | From loss to reversal | | Other income | 3.4 | 3.6 | -5.6% | | Staff costs | 78.6 | 83.1 | -5.4% | | Other operating expenses | 39.6 | 43.6 | -9.2% | | Finance costs | 13.1 | 13.7 | -4.4% | | Share of profit of an associate | 0.8 | 0.5 | +60% | | Loss/Profit before tax | (5.3) | 42.1 | From profit to loss | | Income tax | 0.5 | 14.1 | -96.5% | | Loss/Profit for the period | (5.8) | 27.9 | From profit to loss | [Financial Resources and Liquidity](index=20&type=section&id=%E8%B4%A2%E5%8A%A1%E8%B5%84%E6%BA%90%E5%8F%8A%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91) The Group's financial position remained stable as of June 30, 2025, with total assets increasing 30% to RMB 2,434.6 million and total equity stable at RMB 527.4 million Financial Resources Overview | Metric | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Total assets | 2,434.6 | 1,877.3 | +30% | | Total equity | 527.4 | 548.0 | -3.8% | [Capital Expenditure](index=20&type=section&id=%E8%B5%84%E6%9C%AC%E5%BC%80%E6%94%AF) Capital expenditure for H1 2025 was RMB 12.1 million, mainly for property, plant, and equipment, with period-end capital commitments of RMB 15.4 million Capital Expenditure and Commitments | Metric | June 30, 2025 (RMB million) | | :--- | :--- | | Capital expenditure | 12.1 | | Capital commitments | 15.4 | - Capital expenditure and commitments are primarily for property, plant, and equipment, expected to be funded by future operating income, bank borrowings, and other financing[63](index=63&type=chunk) [Borrowings](index=21&type=section&id=%E5%80%9F%E6%AC%BE) Total borrowings reached RMB 652.6 million as of June 30, 2025, with 98% short-term, and the debt ratio increased to 78% Borrowings Overview | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Short-term borrowings | 640,100 | 445,175 | | Long-term borrowings | 12,500 | 47,840 | | **Total Borrowings** | **652,600** | **493,015** | | Debt ratio | 78% | 71% | - Borrowings are primarily RMB-denominated, with **99% secured** and **100% fixed-rate**, ranging from **2.7% to 7.2%**[64](index=64&type=chunk) [Use of Proceeds](index=21&type=section&id=%E6%89%80%E5%BE%97%E6%AC%BE%E9%A1%B9%E7%94%A8%E9%80%94) IPO net proceeds of HKD 115.6 million were fully utilized for network expansion, marketing, working capital, acquisitions, and logistics fleet expansion Use of Proceeds from Initial Public Offering | Purpose | Revised Allocation (HKD thousand) | Utilized as of June 30, 2025 (HKD thousand) | | :--- | :--- | :--- | | Expansion of compressed natural gas station network | 19,500 | 19,500 | | Strengthening marketing and promotion strategies | 5,800 | 5,800 | | General working capital | 5,800 | 5,800 | | Acquisition of Yinquan and transfer of shareholder loans | 34,500 | 34,500 | | Expansion of oil and gas station network | 40,000 | 40,000 | | Expansion of logistics fleet | 10,000 | 10,000 | | **Total** | **115,600** | **115,600** | [Pledge of Assets](index=22&type=section&id=%E8%B5%84%E4%BA%A7%E6%8A%B5%E6%8A%BC) Bank loans and credits are pledged against RMB 65.6 million in property, plant, and equipment, with some personally guaranteed by the controlling shareholder - The Group's bank and other loans and bank acceptance bill credits are pledged against property, plant and equipment and investment properties with a total carrying value of **RMB 65.6 million**[67](index=67&type=chunk) - Some bank loans and acceptance bill credits are personally guaranteed by the ultimate controlling shareholder, Mr. Zhao Jinmin, and his spouse[67](index=67&type=chunk) [Contingent Liabilities](index=23&type=section&id=%E6%88%96%E7%84%B6%E8%B4%9F%E5%80%BA) The Board is not aware of any significant contingent liabilities as of the announcement date and June 30, 2025 - The Board is not aware of any significant contingent liabilities[68](index=68&type=chunk) [Human Resources](index=23&type=section&id=%E4%BA%BA%E5%8A%9B%E8%B5%84%E6%BA%90) As of June 30, 2025, the Group had 1,344 employees, providing benefits and performance-based remuneration, with no share options granted Human Resources Overview | Metric | June 30, 2025 | | :--- | :--- | | Total number of employees | 1,344 | - The Group participates in retirement, medical, unemployment insurance, and housing provident fund schemes for Chinese employees, and contributes to the MPF for Hong Kong employees[69](index=69&type=chunk) - No share options were granted or agreed to be granted under the share option scheme as of June 30, 2025[69](index=69&type=chunk) [Significant Acquisitions and Disposals of Subsidiaries and Associates](index=23&type=section&id=%E9%99%84%E5%B1%AC%E5%85%AC%E5%8F%B8%E5%8F%8A%E8%81%AF%E5%B1%AC%E5%85%AC%E5%8F%B8%E7%9A%84%E9%87%8D%E5%A4%A7%E6%94%B6%E8%B4%AD%E5%8F%8A%E5%87%BA%E5%94%AE%E4%BA%8B%E9%A1%B9) The Group had no significant investments, acquisitions, or disposals for the six months ended June 30, 2025 - The Group had no significant investments, acquisitions, or disposals for the six months ended June 30, 2025[70](index=70&type=chunk) [Foreign Exchange Risk Management](index=23&type=section&id=%E5%A4%96%E6%B1%87%E9%A3%8E%E9%99%A9%E7%AE%A1%E7%90%86) Sales and purchases are primarily RMB-denominated, subject to government control; no current hedging policy, but management monitors and considers hedging significant FX risks - The Group's sales and purchases are mostly denominated in RMB, which is not a freely convertible currency[71](index=71&type=chunk) - The Group currently has no foreign currency hedging policy, but management will monitor foreign exchange risks and consider hedging when necessary[71](index=71&type=chunk) [Business Outlook](index=24&type=section&id=%E4%B8%9A%E5%8A%A1%E5%B1%95%E6%9C%9B) H2 outlook anticipates moderate global growth, policy-supported Chinese economy, and declining oil/gas prices; the Group will focus on station operations, optimize distribution, and explore new energy opportunities [Future Outlook](index=24&type=section&id=%E6%9C%AA%E6%9D%A5%E5%B1%95%E6%9C%9B) Global economy to grow 2.8%, China's GDP targets 5% with policy support; oil prices face downward pressure, natural gas prices may decline, while the Group focuses on station operations and EV charging infrastructure - IMF and World Bank forecast **2.8% global economic growth** in 2025, with China's GDP targeting around **5%**, supported by ongoing policies[72](index=72&type=chunk) - IEA expects **20% global oil demand increase** in 2025, but significant supply growth will lead to overcapacity and downward pressure on oil prices[73](index=73&type=chunk) - Natural gas, a bridge in energy transition, expects **1.5% global demand growth**, but weak developed economy demand suggests further price decline[74](index=74&type=chunk) - The Group will deepen gas and petrol station operations, optimize distribution and transportation, seek transformation, explore oil and gas value chain opportunities, diversify revenue, and seize EV charging infrastructure growth[75](index=75&type=chunk) [Other Information](index=25&type=section&id=%E5%85%B6%E4%BB%96%E8%B5%84%E6%96%99) This section covers corporate governance, including code compliance, audit committee duties, directors' securities trading, public float, pre-emptive rights, and interim results publication [Corporate Governance](index=25&type=section&id=%E4%BC%81%E4%B8%9A%E7%AE%A1%E6%B2%BB) The company complied with the Corporate Governance Code, with exceptions for independent non-executive director attendance and combined Chairman/CEO roles - Certain independent non-executive directors were unable to attend the AGM due to overseas commitments, violating Corporate Governance Code Provision C.1.6[76](index=76&type=chunk) - Mr. Zhao Jinmin holds both Chairman and CEO roles, violating Corporate Governance Code Provision C.2.1, but the Board believes this provides strong, consistent leadership and effective strategy implementation[76](index=76&type=chunk)[77](index=77&type=chunk) [Audit Committee](index=26&type=section&id=%E5%AF%A9%E6%A0%B8%E5%A7%94%E5%91%98%E6%9C%83) The Audit Committee, established in 2017, reviews financial reporting, risk management, and internal controls, and has approved the H1 2025 unaudited interim financial statements - The Audit Committee's primary responsibilities include reviewing the Group's financial reporting, risk management, and internal control systems[78](index=78&type=chunk) - The Audit Committee has reviewed the unaudited condensed consolidated interim financial statements for H1 2025 and found them compliant with applicable accounting standards and requirements[79](index=79&type=chunk) [Review of Interim Financial Information](index=26&type=section&id=%E5%AF%A9%E9%96%B1%E4%B8%AD%E6%9C%9F%E8%B2%A1%E5%8B%99%E8%B3%87%E6%96%99) The H1 2025 interim financial report is unaudited but has been reviewed by KPMG in accordance with HK Standard on Review Engagements 2410 - The interim financial report is unaudited but has been reviewed by KPMG in accordance with Hong Kong Standard on Review Engagements 2410[79](index=79&type=chunk) [Standard Code for Directors' Securities Transactions](index=26&type=section&id=%E8%91%A3%E4%BA%8B%E9%80%B2%E8%A1%8C%E8%AD%89%E5%88%B8%E4%BA%A4%E6%98%93%E7%9A%84%E6%A8%99%E6%BA%96%E5%AE%88%E5%89%87) The company adopted and confirmed compliance with the Listing Rules' Standard Code for directors' securities transactions during the reporting period - The company adopted the Standard Code in Listing Rules Appendix C3 and confirms directors' compliance during the reporting period[80](index=80&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=26&type=section&id=%E8%B3%BC%E8%B2%B7%E3%80%81%E5%87%BA%E5%94%AE%E6%88%96%E8%B4%96%E5%9B%9E%E4%B8%8A%E5%B8%82%E8%AD%89%E5%88%B8) Neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities for H1 2025 - Neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[81](index=81&type=chunk) [Sufficiency of Public Float](index=26&type=section&id=%E5%85%AC%E7%9C%BE%E6%8C%81%E8%82%A1%E9%87%8F%E7%9A%84%E5%85%85%E8%B6%B3%E6%80%A7) The company has consistently maintained a sufficient public float since its initial public offering date up to this announcement - The company has maintained a sufficient public float since its initial public offering date up to this announcement[82](index=82&type=chunk) [Pre-emptive Rights](index=26&type=section&id=%E5%84%AA%E5%85%88%E8%B3%BC%E8%B2%B7%E6%AC%8A) Neither the company's articles nor Cayman Islands law contain pre-emptive rights provisions for proportional new share offerings - Neither the company's memorandum and articles of association nor Cayman Islands law contain pre-emptive rights provisions[83](index=83&type=chunk) [Publication of Interim Results Announcement and Interim Report](index=27&type=section&id=%E5%88%8A%E7%99%BB%E4%B8%AD%E6%9C%9F%E6%A5%AD%E7%B8%BE%E5%85%AC%E5%91%8A%E5%8F%8A%E4%B8%AD%E5%A0%B1) This interim results announcement is published on HKEX and company websites; the interim report will follow for shareholders - This interim results announcement has been published on the websites of Hong Kong Exchanges and Clearing Limited and the company[84](index=84&type=chunk) [Acknowledgement](index=27&type=section&id=%E9%B8%A3%E8%B0%A2) The Board extends gratitude to management, employees, shareholders, business partners, and banks for their support - The Board expresses gratitude to management, all employees, shareholders, business partners, and banks for their support[85](index=85&type=chunk) [Board Composition](index=27&type=section&id=%E8%91%A3%E4%BA%8B%E6%9C%83%E7%B5%84%E6%88%90) As of this announcement date, the Board comprises five executive directors and three independent non-executive directors - The Board comprises five executive directors (Mr. Zhao Jinmin, Mr. Liu Yingwu, Ms. Bian Xiaodan, Mr. Ma Haidong, and Mr. Wang Zhiwei) and three independent non-executive directors (Ms. Su Dan, Mr. Liu Yingjie, and Mr. Zhang Zhifeng)[87](index=87&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任何部分內容所產生或因依賴該等內 容而引致的任何損失承擔任何責任。 CHINA EAST EDUCATION HOLDINGS LIMITED 中國東方教育控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：667） 截至2025年6月30日止六個月之中期業績公告 | 摘要 | | | | | --- | --- | --- | --- | | | | 截至6月30日止六個月 | 變動 | | | 2025年 | 2024年 | 增加╱（減少） | | 新培訓人次及新客戶註冊人數 | 83,521 | 78,009 | 7.1% | | 平均培訓人次及平均客戶註冊人數 | 152,817 | 144,793 | 5.5% | | 收入（人民幣百萬元） | 2,186 | 1,983 | 10.2% | | 毛利（人民幣百萬元） | 1,253 | 1,051 | 19.2% | | 純利（人民幣百萬元） | 403 | 272 | 48.4% | | （1） 經 ...

BRAINHOLE TECHNOLOGY LIMITED 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任何部分內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （ 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 （股份代號：2203） 截至二零二五年六月三十日止六個月之中期業績公告 財務業績 董事會欣然宣佈本集團截至二零二五年六月三十日止六個月的未經審核簡明綜合財務業績， 連同二零二四年同期未經審核的比較數字如下： 未經審核簡明綜合損益及其他全面收益表 截至二零二五年六月三十日止六個月 截至六月三十日止六個月 | | | 二零二五年 | 二零二四年 | | --- | --- | --- | --- | | | 附註 | 千港元 | 千港元 | | | | （未經審核） | （未經審核） | | 營業額 | 3 | 52,173 | 83,084 | | 銷售成本 | | (43,080) | (72,146) | | 毛利 | | 9,093 | 10,938 | | 其他收入 | | 7,6 ...

[Company Information](index=1&type=section&id=Company%20Information) [Company Overview](index=1&type=section&id=Company%20Overview) Winox Holdings Limited (Stock Code: 6838) released its interim results report for the six months ended June 30, 2025 - Winox Holdings Limited (Stock Code: 6838) released its 2025 interim results[2](index=2&type=chunk) [Financial Summary](index=1&type=section&id=Financial%20Summary) [Financial Performance Overview](index=1&type=section&id=Financial%20Performance%20Overview) The Group's revenue slightly increased by 0.6% in the first half of 2025, but gross profit significantly decreased by 16.1%, leading to a turn from profit to loss for the period, with basic loss per share of 2.3 HK cents, and no interim dividend recommended 2025 First Half Key Financial Data | Indicator | 2025 First Half (HK$ Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | | Revenue | 324,228 | +0.6% | | Gross Profit | 57,508 | -16.1% | | Loss for the period | (13,821) | Turned from profit to loss | | Basic loss per share | 2.3 HK Cents | Turned from profit to loss | | Interim dividend | Not recommended for distribution | - | [Management Discussion and Analysis](index=1&type=section&id=Management%20Discussion%20and%20Analysis) [Business Review](index=1&type=section&id=Business%20Review) The Group focuses on the development and production of high-grade stainless steel products, with main business segments including watch straps, mobile phone casings and components, smart wearable device casings and components, and fashion jewelry. Facing global economic challenges and slowing demand for luxury goods, the Group implemented manpower streamlining and cost-saving measures, and despite a decrease in revenue for some products, the smart wearable device business performed strongly, and the Group's financial position remained robust - The Group's main business segments are watch straps, mobile phone casings and components, smart wearable device casings and components, and fashion jewelry[4](index=4&type=chunk) - Global economy faces challenges including escalating US-China tariff wars, Russia-Ukraine conflict, Middle East wars, and uncertain effectiveness of China's consumption stimulus measures, leading to a slowdown in global demand for luxury consumer goods[6](index=6&type=chunk) - Revenue from smart wearable device casings and components increased by **54.7% year-on-year**, while revenue from watch straps, fashion jewelry, and mobile phone casings and components decreased[6](index=6&type=chunk) - The Group implemented a manpower streamlining plan and other cost-saving policies, paying severance compensation of approximately **HK$10,336,000**[6](index=6&type=chunk) 2025 First Half Financial Position | Indicator | Amount (HK$ Thousand) | | :--- | :--- | | Net current assets | 288,376 | | Cash and bank balances | 200,205 | [Financial Review](index=2&type=section&id=Financial%20Review) The Group's revenue slightly increased by 0.6% to HK$324 million in the first half of 2025, but gross profit margin declined due to intensified market competition. The period saw a turn from profit to loss, mainly affected by increased severance payments and R&D expenses, but the Group maintained ample liquidity and a stable gearing ratio [Revenue](index=2&type=section&id=Revenue) The Group's total revenue slightly increased by 0.6%, with a significant 54.7% growth in revenue from smart wearable device casings and components, while other major product revenues decreased 2025 First Half Revenue Composition and Year-on-Year Change | Product Category | 2025 First Half Revenue (HK$ Thousand) | Percentage (%) | 2024 First Half Revenue (HK$ Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | :--- | :--- | | Total Revenue | 324,228 | 100.0% | 322,245 | +0.6% | | Mobile phone casings and components | 139,652 | 43.1% | 152,124 | -8.2% | | Watch straps | 93,794 | 28.9% | 99,701 | -5.9% | | Smart wearable device casings and components | 81,314 | 25.1% | 52,564 | +54.7% | | Fashion jewelry | 9,468 | 2.9% | 17,856 | -47.0% | [Gross Profit](index=3&type=section&id=Gross%20Profit) The Group's gross profit decreased by 16.1% year-on-year, with gross profit margin declining by 3.6 percentage points, primarily due to price reductions by domestic manufacturers amid intense market competition 2025 First Half Gross Profit and Gross Profit Margin | Indicator | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | | Gross Profit | 57,508 | 68,559 | -16.1% | | Gross Profit Margin | 17.7% | 21.3% | -3.6 percentage points | | Primary Reason | Price reductions by domestic manufacturers, intense market competition | | | [Loss for the Period](index=3&type=section&id=Loss%20for%20the%20Period) The Group turned from a profit in the same period last year to a loss of HK$13,821,000 for the period, with basic loss per share of 2.3 HK cents 2025 First Half Loss for the Period | Indicator | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | | :--- | :--- | :--- | | (Loss) Profit for the period | (13,821) | 9,255 | | Basic (loss) earnings per share | (2.3 HK Cents) | 1.5 HK Cents | [Cost of Sales](index=3&type=section&id=Cost%20of%20Sales) Cost of sales increased by 5.1% year-on-year, with direct material costs accounting for a higher proportion at 49.8% 2025 First Half Cost of Sales Composition | Cost Category | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | | :--- | :--- | :--- | | Direct material costs | 132,907 | 120,919 | | Direct labor costs | 95,712 | 91,638 | | Manufacturing overheads and other costs | 38,101 | 41,129 | | **Total Cost of Sales** | **266,720** | **253,686** | | Direct material costs percentage | 49.8% | 47.7% | | Direct labor costs percentage | 35.9% | 36.1% | | Manufacturing overheads and other costs percentage | 14.3% | 16.2% | [Other Income](index=3&type=section&id=Other%20Income) Other income decreased by 49.6% year-on-year, mainly due to a reduction in interest income from bank fixed deposits 2025 First Half Other Income | Indicator | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | | Other income | 3,945 | 7,826 | -49.6% | | Primary Reason | Reduction in interest income from bank fixed deposits | | | [Other Expenses](index=3&type=section&id=Other%20Expenses) Selling and distribution costs decreased, while administrative and other expenses increased by 9.6% due to higher severance payments, and R&D expenses significantly increased by 77.4% 2025 First Half Other Expenses Change | Expense Category | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | | Selling and distribution costs | 6,248 | 6,923 | -9.8% | | Administrative and other expenses | 53,643 | 48,924 | +9.6% | | Research and development expenses | 15,414 | 8,687 | +77.4% | | Primary reason for administrative and other expenses | Payment of HK$10,336,000 in severance payments | | | [Finance Costs](index=4&type=section&id=Finance%20Costs) Finance costs decreased by 27.0% year-on-year to HK$1,143,000 2025 First Half Finance Costs | Indicator | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | Year-on-Year Change (%) | | :--- | :--- | :--- | | Finance costs | 1,143 | 1,565 | -27.0% | [Tax](index=4&type=section&id=Tax) Hong Kong Profits Tax implements a two-tiered system, and China Corporate Income Tax rate is 25%, but high-tech enterprises can enjoy a 15% preferential tax rate and apply for a 200% super deduction for R&D expenses - Hong Kong Profits Tax two-tiered system: **8.25%** for the first **HK$2 million** of assessable profits, and **16.5%** for the excess[15](index=15&type=chunk) - China Group entities' tax rate is **25%**, with some high-tech enterprises enjoying a **15%** preferential tax rate until December 31, 2025[15](index=15&type=chunk) - Chinese enterprises engaged in R&D activities are entitled to claim **200%** of eligible R&D expenses as deductible expenses (super deduction)[15](index=15&type=chunk) [Inventories](index=4&type=section&id=Inventories) The Group's inventory balance increased by 16.7% to HK$74,995,000, with a slight increase in inventory turnover days 2025 First Half Inventory Situation | Indicator | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | Change (%) | | :--- | :--- | :--- | | Inventory balance | 74,995 | 64,244 | +16.7% | | Inventory turnover days | 47.2 days | 46.3 days | +0.9 days | [Trade Receivables](index=4&type=section&id=Trade%20Receivables) Trade receivables decreased to HK$113,081,000, with credit periods ranging from 30 to 90 days, a lower risk of default payment, and improved turnover days - The company grants credit periods ranging from **30 to 90 days** to customers, with major customers being internationally renowned brands, resulting in a relatively low risk of default payment[17](index=17&type=chunk) 2025 First Half Trade Receivables | Indicator | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Trade receivables | 113,081 | 166,055 | | Amount recovered (as of July 31) | 67,730 | - | | Trade receivables turnover days | 77.9 days | 82.7 days | [Trade Payables](index=5&type=section&id=Trade%20Payables) Trade payables decreased to HK$94,320,000, with credit periods ranging from 30 to 90 days, and a slight increase in turnover days - Trade payables are mainly related to the purchase of raw materials from suppliers, with credit periods ranging from **30 to 90 days**[18](index=18&type=chunk) 2025 First Half Trade Payables | Indicator | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Trade payables | 94,320 | 116,514 | | Trade payables turnover days | 71.5 days | 64.7 days | [Liquidity, Indebtedness and Charges on Assets](index=5&type=section&id=Liquidity%2C%20Indebtedness%20and%20Charges%20on%20Assets) The Group maintained an ideal level of liquidity, with sufficient net current assets and cash balances. Bank borrowings increased, some assets were pledged, and the gearing ratio remained stable - Bank balances and cash are primarily held in **US dollars (49.6%)**, **Renminbi (33.6%)**, and **Hong Kong dollars (16.7%)**[19](index=19&type=chunk) - Some bank borrowings are secured by assets with a total book value of **HK$76,662,000**, including the Dongguan factory land, property, and bills receivable[20](index=20&type=chunk) 2025 First Half Liquidity and Indebtedness | Indicator | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Net current assets | 288,376 | 297,079 | | Bank balances and cash | 200,205 | 222,249 | | Outstanding bank borrowings | 73,306 | 67,783 | | Gearing ratio | 0.06 | 0.06 | [Treasury](index=5&type=section&id=Treasury) The Group adopts a prudent treasury policy, with sales primarily settled in US dollars, Hong Kong dollars, and Renminbi. As production costs are mainly settled in Renminbi, fluctuations in the Renminbi exchange rate may impact costs, but no financial instruments were used for hedging purposes during the period - The Group's sales are primarily settled in **US dollars (40.1%)**, **Hong Kong dollars (31.2%)**, and **Renminbi (28.7%)**[21](index=21&type=chunk) - As production facilities are located in mainland China, labor costs and manufacturing overheads are mainly settled in Renminbi, and fluctuations in the Renminbi exchange rate can impact overall production costs[21](index=21&type=chunk) - During the review period, the Group did not use any financial instruments for hedging purposes, and there were no hedging instruments as of June 30, 2025[22](index=22&type=chunk) [Capital Commitments](index=6&type=section&id=Capital%20Commitments) The Group's contracted but unprovided capital expenditure amounted to HK$49,437,000, primarily for the acquisition of property, plant and equipment, and land use rights 2025 First Half Capital Commitments | Indicator | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Capital expenditure | 49,437 | 46,935 | | Primary Use | Acquisition of property, plant and equipment, and land use rights | | [Contingent Liabilities](index=6&type=section&id=Contingent%20Liabilities) The Group had no other significant contingent liabilities apart from corporate guarantees granted to wholly-owned subsidiaries - The Group had no other significant contingent liabilities as of June 30, 2025, except for corporate guarantees[24](index=24&type=chunk) [Employees and Remuneration Policy](index=6&type=section&id=Employees%20and%20Remuneration%20Policy) The Group's total number of employees decreased to 2,202, while staff costs increased. Remuneration policy is based on Group performance and individual performance, and provides medical and retirement benefits - Employee remuneration includes salaries and discretionary bonuses, determined based on Group performance and individual performance, and provides medical and retirement benefit plans[25](index=25&type=chunk) 2025 First Half Employees and Remuneration | Indicator | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Total number of employees | 2,202 | 2,408 | | Staff costs | HK$140,126,000 | HK$124,708,000 | [Outlook](index=6&type=section&id=Outlook) Facing continued global economic challenges in the second half of 2025, the Group will continue to take measures to address them, and will prioritize revenue enhancement, long-term profitability, improved operational efficiency, and optimal resource utilization to achieve sustainable growth - In the second half of 2025, the global economy continues to face challenges such as the US-China tariff war, trade sanctions, conflicts, and geopolitical tensions[26](index=26&type=chunk) - The Group will focus on enhancing revenue, ensuring long-term profitability, improving operational efficiency, and optimizing resource utilization to achieve sustainable growth[26](index=26&type=chunk) [Condensed Consolidated Financial Statements](index=7&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) This statement presents the Group's condensed consolidated statement of profit or loss and other comprehensive income for the six months ended June 30, 2025, showing a turn from profit to loss for the period, but with a positive impact from exchange differences Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (For the six months ended June 30, 2025) | | For the six months | | | :--- | :--- | :--- | | | 2025 | 2024 | | | June 30 | June 30 | | Note | HK$ Thousand | HK$ Thousand | | | (Unaudited) | (Unaudited) | | Revenue | 3 | 324,228 | 322,245 | | Cost of sales | | (266,720) | (253,686) | | Gross Profit | | 57,508 | 68,559 | | Other income | | 3,945 | 7,826 | | Other gains and losses | | 517 | 2,251 | | Impairment loss reversal on financial assets under expected credit loss model | | 1,230 | 46 | | Selling and distribution costs | | (6,248) | (6,923) | | Administrative and other expenses | | (53,643) | (48,924) | | Research and development expenses | | (15,414) | (8,687) | | Finance costs | | (1,143) | (1,565) | | (Loss) Profit before tax | 4 | (13,248) | 12,583 | | Tax | 5 | (573) | (3,328) | | (Loss) Profit for the period | | (13,821) | 9,255 | | Other comprehensive income (expense) for the period | | | | | Items that may be reclassified subsequently to profit or loss | | | | | - Exchange differences on translation of foreign operations | | 28,806 | (23,378) | | Total comprehensive income (expense) for the period | | 14,985 | (14,123) | | (Loss) Earnings per share - Basic | 7 | (2.3 HK Cents) | 1.5 HK Cents | [Condensed Consolidated Statement of Financial Position](index=8&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) This statement presents the Group's condensed consolidated statement of financial position as of June 30, 2025, showing an increase in total assets and shareholders' equity, and robust net current assets Condensed Consolidated Statement of Financial Position (As of June 30, 2025) | | | 2025 | 2024 | | :--- | :--- | :--- | :--- | | | | June 30 | December 31 | | | Note | HK$ Thousand | HK$ Thousand | | | | (Unaudited) | (Audited) | | Non-current assets | | | | | Property, plant and equipment | | 589,435 | 553,631 | | Right-of-use assets | | 60,474 | 56,236 | | Deposits for non-current assets paid | | 23,742 | 29,388 | | Deposits and prepayments for a life insurance policy | | - | 8,850 | | | | 673,651 | 648,105 | | Current assets | | | | | Inventories | | 74,995 | 64,244 | | Trade and other receivables | 8 | 215,263 | 231,926 | | Recoverable tax | | 3,139 | 3,221 | | Short-term bank deposits | | 70,650 | 97,637 | | Bank balances and cash | | 129,555 | 124,612 | | | | 493,602 | 521,640 | | Current liabilities | | | | | Trade and other payables | 9 | 128,414 | 154,823 | | Tax payable | | 1,212 | 1,096 | | Bank borrowings | | 73,306 | 67,783 | | Lease liabilities | | 2,294 | 859 | | | | 205,226 | 224,561 | | Net current assets | | 288,376 | 297,079 | | Total assets less current liabilities | | 962,027 | 945,184 | | Non-current liabilities | | | | | Lease liabilities | | 4,307 | 2,449 | | Net assets | | 957,720 | 942,735 | | Capital and reserves | | | | | Share capital | | 60,000 | 60,000 | | Reserves | | 897,720 | 882,735 | | Total equity | | 957,720 | 942,735 | [Notes](index=9&type=section&id=Notes) [Basis of Preparation](index=9&type=section&id=Basis%20of%20Preparation) The condensed consolidated financial statements are prepared in accordance with HKAS 34 and the HKEX Listing Rules, and presented in Hong Kong dollars - The condensed consolidated financial statements are prepared in compliance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants and the applicable disclosure requirements of the HKEX Listing Rules[29](index=29&type=chunk) - The condensed consolidated financial statements are presented in Hong Kong dollars, which is the same as the Company's functional currency[30](index=30&type=chunk) [Accounting Policies](index=9&type=section&id=Accounting%20Policies) The condensed consolidated financial statements are prepared on a historical cost basis, and the accounting policies adopted are consistent with those of the previous year's consolidated financial statements, except for the application of amendments to Hong Kong Financial Reporting Standards - The condensed consolidated financial statements are prepared on a historical cost basis[31](index=31&type=chunk) [Application of Amendments to Hong Kong Financial Reporting Standards](index=9&type=section&id=Application%20of%20Amendments%20to%20Hong%20Kong%20Financial%20Reporting%20Standards) HKAS 21 (Amendment) "Lack of Exchangeability" was first applied in this interim period, but it had no significant impact on the Group's financial position and performance - HKAS 21 (Amendment) "Lack of Exchangeability" was first applied in this interim period[32](index=32&type=chunk) - The application of amendments to Hong Kong Financial Reporting Standards had no significant impact on the Group's financial position and performance for the current and prior periods[32](index=32&type=chunk) [Revenue and Segment Information](index=10&type=section&id=Revenue%20and%20Segment%20Information) The Group is engaged in the manufacturing and sale of stainless steel products, with revenue analyzed by product category and customer location, but only entity-wide disclosures are presented - The Group is engaged in the manufacturing and sale of high-grade stainless steel products, with revenue recognized at the point in time when goods are transferred to customers[33](index=33&type=chunk) - Revenue analysis focuses on segmentation by product (mobile phone casings and components, watch straps, smart wearable device casings and components, fashion jewelry) and customer geographical location[33](index=33&type=chunk) [Revenue by Major Products](index=10&type=section&id=Revenue%20by%20Major%20Products) Among the Group's major product revenues, revenue from smart wearable device casings and components grew significantly, while revenue from mobile phone casings and components, watch straps, and fashion jewelry all decreased Revenue by Product (For the six months ended June 30, 2025) | Product Category | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | | :--- | :--- | :--- | | Mobile phone casings and components | 139,652 | 152,124 | | Watch straps | 93,794 | 99,701 | | Smart wearable device casings and components | 81,314 | 52,564 | | Fashion jewelry | 9,468 | 17,856 | | **Total** | **324,228** | **322,245** | [Geographical Information](index=10&type=section&id=Geographical%20Information) The Group's revenue from China increased, while revenue from Switzerland, Hong Kong, Liechtenstein, and other European countries decreased Revenue by Region (For the six months ended June 30, 2025) | Region | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | | :--- | :--- | :--- | | China | 158,331 | 138,145 | | Switzerland | 84,906 | 94,669 | | Hong Kong | 41,760 | 45,734 | | Vietnam | 17,396 | 15,684 | | Liechtenstein and other European countries | 8,748 | 17,529 | | Taiwan | 6,281 | 7,229 | | Other countries | 6,806 | 3,255 | | **Total** | **324,228** | **322,245** | [(Loss) Profit Before Tax](index=11&type=section&id=%28Loss%29%20Profit%20Before%20Tax) This section details the various expenses and incomes deducted or included in the calculation of (loss) profit before tax, including staff costs, depreciation, interest, and exchange gains/losses (Loss) Profit Before Tax Composition (For the six months ended June 30, 2025) | Item | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | | :--- | :--- | :--- | | Total staff costs | 140,126 | 124,708 | | Depreciation of property, plant and equipment | 24,826 | 25,918 | | Depreciation of right-of-use assets | 2,007 | 2,080 | | Finance costs | 1,143 | 1,565 | | Loss on disposal of property, plant and equipment | 201 | 594 | | Net exchange loss (gain) | 130 | (2,845) | | Gain on surrender of a life insurance policy | (848) | - | [Tax](index=12&type=section&id=Tax) This section describes the tax policies applicable to the Group in Hong Kong and mainland China, including Hong Kong Profits Tax's two-tiered system, China Corporate Income Tax's preferential policies, and super deduction for R&D expenses 2025 First Half Tax Expense | Tax Category | 2025 First Half (HK$ Thousand) | 2024 First Half (HK$ Thousand) | | :--- | :--- | :--- | | Hong Kong Profits Tax (current period) | 200 | 3,188 | | China Corporate Income Tax (current period) | 568 | 288 | | China Corporate Income Tax (over-provision in prior years) | (195) | (148) | | **Total Tax Expense** | **573** | **3,328** | [Hong Kong Profits Tax](index=12&type=section&id=Hong%20Kong%20Profits%20Tax) Hong Kong Profits Tax implements a two-tiered system, where eligible entities are taxed at 8.25% on the first HK$2 million of assessable profits and 16.5% on the excess - Hong Kong Profits Tax two-tiered system: **8.25%** for the first **HK$2 million** of assessable profits, and **16.5%** for the portion exceeding **HK$2 million**[38](index=38&type=chunk) [China Corporate Income Tax](index=12&type=section&id=China%20Corporate%20Income%20Tax) China Group entities' tax rate is 25%, with some high-tech enterprises enjoying a 15% preferential tax rate and eligible for a 200% super deduction for R&D expenses - The corporate income tax rate for China Group entities is **25%**[39](index=39&type=chunk) - Certain Chinese subsidiaries have been granted high-tech enterprise certificates, qualifying them for a **15%** tax rate for the three years ending December 31, 2025[39](index=39&type=chunk) - Enterprises engaged in R&D activities are entitled to claim **200%** of their eligible R&D expenses as deductible expenses (super deduction)[39](index=39&type=chunk) [Dividends](index=13&type=section&id=Dividends) The Company's Board of Directors did not recommend a final dividend for 2024, nor declared an interim dividend for the first half of 2025 - The Company's Board of Directors did not recommend a final dividend for the year ended December 31, 2024 (2024: **2.0 HK cents** per ordinary share)[40](index=40&type=chunk) - The Company's Board of Directors resolved not to declare an interim dividend for the six months ended June 30, 2025 (2024: **HK$3,000,000**)[40](index=40&type=chunk) [(Loss) Earnings Per Share](index=13&type=section&id=%28Loss%29%20Earnings%20Per%20Share) The Group's basic loss per share for the first half of 2025 was 2.3 HK cents, compared to basic earnings per share of 1.5 HK cents in the same period last year - Diluted (loss) earnings per share are not presented as there were no potential ordinary shares outstanding for both periods[41](index=41&type=chunk) 2025 First Half (Loss) Earnings Per Share | Indicator | 2025 First Half | 2024 First Half | | :--- | :--- | :--- | | (Loss) Profit used to calculate basic (loss) earnings per share | (13,821) HK$ Thousand | 9,255 HK$ Thousand | | Weighted average number of shares | 600,000,000 | 600,000,000 | | Basic (loss) earnings per share | (2.3 HK Cents) | 1.5 HK Cents | [Trade and Other Receivables](index=14&type=section&id=Trade%20and%20Other%20Receivables) The Group's total trade and other receivables amounted to HK$215,263,000, with trade receivables and bills receivable being the main components, and an aging analysis is provided - As of June 30, 2025, the Group held bills receivable totaling **HK$79,882,000**, of which **HK$48,986,000** were discounted with recourse[43](index=43&type=chunk) Trade and Other Receivables Composition (As of June 30, 2025) | Item | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Trade receivables (net of allowance) | 113,081 | 166,055 | | Bills receivable (net of allowance) | 79,882 | 41,018 | | VAT receivables | 16,281 | 18,094 | | Prepayments and deposits | 3,206 | 4,165 | | Refundable lease deposits | 502 | 330 | | Others | 2,311 | 2,264 | | **Total Trade and Other Receivables** | **215,263** | **231,926** | Trade Receivables Ageing Analysis (As of June 30, 2025) | Ageing | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | 0 to 30 days | 39,877 | 56,788 | | 31 to 60 days | 44,180 | 50,620 | | 61 to 90 days | 20,989 | 32,238 | | Over 90 days | 8,035 | 26,409 | | **Total** | **113,081** | **166,055** | [Trade and Other Payables](index=15&type=section&id=Trade%20and%20Other%20Payables) The Group's total trade and other payables amounted to HK$128,414,000, with trade payables being the main component, and an aging analysis is provided Trade and Other Payables Composition (As of June 30, 2025) | Item | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Trade payables | 94,320 | 116,514 | | Wages and welfare payables | 16,039 | 19,029 | | VAT payable | 456 | 355 | | Commission and other payables to agents | 3,891 | 3,977 | | Payables for acquisition of property, plant and equipment | 5,368 | 5,729 | | Other tax payables | 976 | 748 | | Accrued expenses | 6,098 | 6,552 | | Interest payable | 176 | 91 | | Others | 1,090 | 1,828 | | **Total** | **128,414** | **154,823** | Trade Payables Ageing Analysis (As of June 30, 2025) | Ageing | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | 0 to 30 days | 15,637 | 27,961 | | 31 to 60 days | 20,856 | 29,130 | | 61 to 90 days | 29,830 | 31,342 | | Over 90 days | 28,081 | 27,997 | | **Total** | **94,320** | **116,514** | [Corporate Governance and Other Information](index=16&type=section&id=Corporate%20Governance%20and%20Other%20Information) [Corporate Governance](index=16&type=section&id=Corporate%20Governance) The Company is committed to maintaining high standards of corporate governance and has complied with all applicable provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules during the review period - The Company is committed to establishing and maintaining high standards of corporate governance and has complied with all applicable provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[46](index=46&type=chunk) [Purchase, Sale or Redemption of the Company’s Listed Securities](index=16&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20the%20Company%E2%80%99s%20Listed%20Securities) During the six months ended June 30, 2025, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities - During the six months ended June 30, 2025, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[47](index=47&type=chunk) [Standard Code for Securities Transactions by Directors](index=16&type=section&id=Standard%20Code%20for%20Securities%20Transactions%20by%20Directors) The Company has adopted the Standard Code set out in Appendix C3 of the Listing Rules, and all Directors have confirmed compliance with the Code throughout the review period - The Company has adopted the Standard Code for Securities Transactions by Directors of Listed Issuers set out in Appendix C3 of the Listing Rules[48](index=48&type=chunk) - All Directors have confirmed their compliance with the required standards set out in the Standard Code during the six months ended June 30, 2025[48](index=48&type=chunk) [Review of Interim Results](index=16&type=section&id=Review%20of%20Interim%20Results) The Group's interim results for the six months ended June 30, 2025, are unaudited but have been reviewed by Deloitte Touche Tohmatsu and the Company's Audit Committee - The Group's interim results for the six months ended June 30, 2025, are unaudited but have been reviewed by Deloitte Touche Tohmatsu in accordance with Hong Kong Standard on Review Engagements 2410[49](index=49&type=chunk) - The interim results have also been reviewed by the Company's Audit Committee[49](index=49&type=chunk) [Interim Dividend](index=16&type=section&id=Interim%20Dividend) The Board of Directors did not recommend an interim dividend for the six months ended June 30, 2025 - The Board of Directors did not recommend an interim dividend for the six months ended June 30, 2025 (2024: **0.5 HK cents**)[50](index=50&type=chunk) [Other](index=17&type=section&id=Other) [Acknowledgement](index=17&type=section&id=Acknowledgement) The Board of Directors sincerely thanks all customers, suppliers, shareholders, and Group employees for their support and contributions during the period - The Board of Directors sincerely thanks all customers, suppliers, and shareholders for their continuous support to the Group, and also expresses gratitude to the Group's diligent employees for their contributions during the period[51](index=51&type=chunk) [Board of Directors](index=17&type=section&id=Board%20of%20Directors) As of the date of this announcement, the Board of Directors comprises six executive directors and three independent non-executive directors - As of the date of this announcement, the Board of Directors includes six executive directors (Mr. Yao Hon Ming, Mr. Yao Tat Sing, Mr. Li Chin Keung, Ms. Lo Wai Ping, Mr. Chow Kam Wing, and Ms. Yao Ho Ting) and three independent non-executive directors (Mr. Hou Pak Kin, Professor Wong Lung Tak Patrick, and Mr. Wu Ming Lin)[53](index=53&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈之內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示，概不對因本公佈全部或任何部分內容而產生或因倚賴 該等內容而引致的任何損失承擔任何責任。 聯 合 集 團 有 限 公 司 (ALLIED GROUP LIMITED) （於香港註冊成立之有限公司） （股份代號：373） 截至二零二五年六月三十日止六個月 之未經審核中期業績 聯 合 集 團 有 限 公 司（「本 公 司」）之 董 事 會（「董 事 會」）欣 然 宣 佈，本 公 司 及 其 附 屬 公 司（「本 集 團」）截 至 二 零 二 五 年 六 月 三 十 日 止 六 個 月 之 未 經 審 核 簡 明 綜 合 業 績 連 同 二零二四年同期之比較數字如下： 簡明綜合損益表 截至二零二五年六月三十日止六個月 | | | | | | | 截至六月三十日止六個月 | | | --- | --- | --- | --- | --- | --- | --- | --- | | | | | | | | 二零二五年 | 二零二四年 | | | | | | | | 未經審核 | 未經審核 | | | ...

[Performance Highlights](index=1&type=section&id=%E6%A5%AD%E7%B8%BE%E6%91%98%E8%A6%81) The Group experienced significant declines in revenue and profit for the first half of 2025, reflecting a challenging market 2025 Half-Year Key Financial Data (RMB thousand) | Metric | 2025 (RMB thousand) | 2024 (RMB thousand) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 522,592 | 742,125 | (29.6) | | Gross Profit | 56,691 | 86,481 | (34.4) | | Profit Before Tax | 16,503 | 26,141 | (36.9) | | Profit for the Period | 11,932 | 21,884 | (45.5) | | Profit for the Period Attributable to Owners of the Company | 13,612 | 20,228 | (32.7) | | Earnings Per Share (RMB cents) | 5.06 | 7.52 | (32.7) | [Condensed Consolidated Financial Statements](index=2&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8) This section presents the Group's financial position and performance via condensed statements and explanatory notes [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) Revenue decreased by 29.6% to RMB 522.6 million, with profit for the period down 45.5% to RMB 11.9 million Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (RMB thousand) | Metric | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue | 522,592 | 742,125 | | Cost of Sales and Services | (465,901) | (655,644) | | Gross Profit | 56,691 | 86,481 | | Other Income | 8,288 | 3,337 | | Other Gains and Losses | (446) | (3,489) | | Selling and Distribution Expenses | (10,217) | (13,567) | | Administrative Expenses | (19,130) | (19,787) | | Research and Development Expenses | (17,468) | (26,382) | | Profit Before Tax | 16,503 | 26,141 | | Taxation | (4,571) | (4,257) | | Profit and Total Comprehensive Income for the Period | 11,932 | 21,884 | | Profit for the Period Attributable to Owners of the Company | 13,612 | 20,228 | | Non-controlling Interests | (1,680) | 1,656 | | Basic and Diluted Earnings Per Share (RMB cents) | 5.06 | 7.52 | [Condensed Consolidated Statement of Financial Position](index=3&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) Total assets less current liabilities were RMB 664.9 million, with stable cash and cash equivalents at RMB 441.1 million Condensed Consolidated Statement of Financial Position (RMB thousand) | Metric | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Non-current Assets | 59,486 | 60,102 | | Current Assets | 724,397 | 694,552 | | Current Liabilities | 105,390 | 89,114 | | Net Current Assets | 605,438 | 619,007 | | Total Assets Less Current Liabilities | 664,924 | 679,109 | | Equity Attributable to Owners of the Company | 665,078 | 676,111 | | Total Equity | 676,757 | 664,044 | | Non-current Liabilities | 880 | 2,352 | - Trade receivables increased from **RMB 157.2 million** as of December 31, 2024, to **RMB 186.2 million** as of June 30, 2025, primarily due to an increase in third-party receivables[8](index=8&type=chunk) - Cash and cash equivalents remained stable, slightly decreasing from **RMB 442.3 million** as of December 31, 2024, to **RMB 441.1 million** as of June 30, 2025[8](index=8&type=chunk) [Notes to the Condensed Consolidated Financial Statements](index=4&type=section&id=%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB) This section details the basis of preparation, accounting policies, revenue, segment information, and specific accounts [1. Basis of Preparation](index=4&type=section&id=1.%20%E7%B7%A8%E8%A3%BD%E5%9F%BA%E6%BA%96) The condensed consolidated financial statements are prepared in accordance with HKAS 34 and applicable Listing Rules - The condensed consolidated financial statements are prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" and the applicable disclosure requirements of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[9](index=9&type=chunk) - These statements should be read in conjunction with the Group's annual consolidated financial statements for the year ended December 31, 2024[9](index=9&type=chunk) [2. Significant Accounting Policies](index=4&type=section&id=2.%20%E9%87%8D%E5%A4%A7%E6%9C%83%E8%A8%88%E6%94%BF%E7%AD%96) Financial statements are prepared on a historical cost basis, with consistent accounting policies applied from the 2024 annual report - The condensed consolidated financial statements are prepared on a historical cost basis, except for certain financial instruments measured at fair value[10](index=10&type=chunk) - The accounting policies adopted in the current period are consistent with those in the 2024 annual report, and the adoption of new and revised Hong Kong Financial Reporting Standards has not resulted in significant changes[10](index=10&type=chunk)[11](index=11&type=chunk) [3. Revenue and Segment Information](index=4&type=section&id=3.%20%E6%94%B6%E7%9B%8A%E5%8F%8A%E5%88%86%E9%83%A8%E8%B3%87%E6%96%99) The Group's primary operations include online advertising, gaming platforms, smart accessories, and mobile e-commerce - The Group is principally engaged in providing online advertising services, online game platforms, operating exclusively licensed online game businesses, and selling smart accessories in China[12](index=12&type=chunk) - Since 2024, the Group has developed a mobile e-commerce business, providing online traffic acquisition services and acting as a principal[13](index=13&type=chunk) Revenue by Business Line (RMB thousand) | Business Line | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Online Advertising Services | 334,301 | 279,782 | | Online Game Platform | 15,787 | 16,988 | | Operating Exclusively Licensed Online Game Business | 171,272 | 445,343 | | Sales of Smart Accessories | 1,232 | 12 | | Total | 522,592 | 742,125 | Revenue by Geographical Region (RMB thousand) | Region | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | China | 409,574 | 713,439 | | Overseas | 113,018 | 28,686 | | Total | 522,592 | 742,125 | [4. Other Income](index=6&type=section&id=4.%20%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5) Other income significantly increased to RMB 8.3 million, primarily driven by a substantial rise in government grants Other Income Details (RMB thousand) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Government Grants | 5,304 | 94 | | Interest Income from Bank Deposits | 2,248 | 2,885 | | Interest Income from Financial Assets at FVTPL | 502 | 358 | | Others | 234 | – | | Total | 8,288 | 3,337 | - Government grants significantly increased, mainly from high-tech and new development subsidies provided by local government authorities[20](index=20&type=chunk) [5. Other Gains and Losses](index=7&type=section&id=5.%20%E5%85%B6%E4%BB%96%E6%94%B6%E7%9B%8A%E5%8F%8A%E虧%E6%90%8D) Other gains and losses reduced to a RMB 0.4 million loss, mainly due to the absence of prior year's non-listed equity investment losses Other Gains and Losses Details (RMB thousand) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Fair Value Gains/(Losses) on Financial Assets at FVTPL | 23 | (3,000) | | Impairment Losses under ECL Model (net of reversal) | (245) | (195) | | Net Exchange Losses | (120) | (215) | | Provision for Compensation | – | (200) | | Others | (104) | 121 | | Total | (446) | (3,489) | - Other gains and losses decreased from a loss of **RMB 3.5 million** in the same period of 2024 to a loss of **RMB 0.4 million** in the same period of 2025, primarily due to the absence of non-listed equity investment losses recognized in the first half of 2024[22](index=22&type=chunk) [6. Taxation](index=7&type=section&id=6.%20%E7%A8%85%E9%A0%85) Total taxation increased to RMB 4.6 million, primarily due to withholding tax provisions on dividends from Chinese subsidiaries Taxation Details (RMB thousand) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | China Corporate Income Tax | 1,119 | 3,309 | | Hong Kong Tax | 69 | – | | Singapore Tax | 204 | – | | Dividend Withholding Tax | 2,900 | – | | Deferred Tax | 279 | 948 | | Total | 4,571 | 4,257 | - Total taxation increased from **RMB 4.3 million** in the same period of 2024 to **RMB 4.6 million** in the same period of 2025, mainly due to the Group making a withholding tax provision at a 5% rate on dividends from its Chinese subsidiaries[24](index=24&type=chunk) [7. Earnings Per Share](index=8&type=section&id=7.%20%E6%AF%8F%E8%82%A1%E7%9B%88%E5%88%A9) Basic and diluted earnings per share decreased to RMB 5.06 cents, reflecting the decline in profit attributable to owners Earnings Per Share Calculation (RMB thousand) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Profit for the Period Attributable to Owners of the Company | 13,612 | 20,228 | | Weighted Average Number of Ordinary Shares | 269,000 | 269,000 | | Basic and Diluted Earnings Per Share (RMB cents) | 5.06 | 7.52 | - No diluted earnings per share are presented as there were no potential ordinary shares outstanding for both periods[25](index=25&type=chunk) [8. Trade Receivables](index=8&type=section&id=8.%20%E8%B2%BF%E6%98%93%E6%87%89%E6%94%B6%E6%AC%BE%E9%A0%85) Total trade receivables increased to RMB 186.2 million, primarily driven by an increase in third-party receivables Trade Receivables Details (RMB thousand) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Related Parties | 9,068 | 8,572 | | Third Parties | 184,786 | 156,159 | | Less: Provision for Credit Losses | (7,691) | (7,500) | | Total | 186,163 | 157,231 | Ageing Analysis of Trade Receivables (RMB thousand) | Ageing | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | 0 to 90 days | 153,809 | 135,587 | | 91 to 180 days | 29,690 | 20,098 | | Over 180 days | 2,664 | 1,546 | | Total | 186,163 | 157,231 | - Total trade receivables increased from **RMB 157.2 million** as of December 31, 2024, to **RMB 186.2 million** as of June 30, 2025, with the main growth coming from third-party receivables[26](index=26&type=chunk) [9. Other Receivables, Deposits and Prepayments](index=9&type=section&id=9.%20%E5%85%B6%E4%BB%96%E6%87%89%E6%94%B6%E6%AC%BE%E9%A0%85%E3%80%81%E6%8C%89%E9%87%91%E5%8F%8A%E9%A0%90%E4%BB%98%E6%AC%BE%E9%A0%85) Total other receivables, deposits, and prepayments decreased to RMB 81.6 million, mainly due to reduced prepayments for online traffic services Other Receivables, Deposits and Prepayments Details (RMB thousand) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Prepayments for Game Development and Licensing (Non-current) | 14,873 | 14,873 | | Other Receivables (Current) | 15,283 | 14,567 | | Prepayments and Deferred Expenses (Current) | 32,712 | 42,280 | | Amounts Due from Associates (Current) | 14,300 | 14,300 | | Online Payment Platforms (Current) | 3,739 | 7,821 | | Total | 81,599 | 95,702 | - Prepayments and deferred expenses (primarily prepayments for online traffic acquisition services) decreased from **RMB 42.3 million** as of December 31, 2024, to **RMB 32.7 million** as of June 30, 2025, with **RMB 23.5 million** fully utilized by July 2025[29](index=29&type=chunk)[31](index=31&type=chunk) [10. Trade and Other Payables](index=10&type=section&id=10.%20%E8%B2%BF%E6%98%93%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E4%BB%98%E6%AC%BE%E9%A0%85) Total trade and other payables decreased to RMB 69.6 million, primarily due to reductions in trade payables, staff costs, and other tax payables Trade and Other Payables Details (RMB thousand) | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade Payables (Third Parties) | 49,333 | 53,534 | | Other Payables | 5,231 | 8,025 | | Accrued Staff Costs | 7,780 | 13,945 | | Other Tax Payables | 4,137 | 8,930 | | Total | 69,556 | 86,223 | - Total trade and other payables decreased from **RMB 86.2 million** as of December 31, 2024, to **RMB 69.6 million** as of June 30, 2025, mainly due to a reduction in trade payables, accrued staff costs, and other tax payables[30](index=30&type=chunk) [Business Review](index=11&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) The Group focused on online traffic monetization, product iteration, and exploring overseas mobile e-commerce amidst a challenging internet industry - In the first half of 2025, the Chinese internet industry experienced shrinking profitability, intense competition in online advertising, and conservative advertising spending due to changing user consumption patterns[32](index=32&type=chunk) - The Group continued to prioritize online traffic monetization, including iterating online advertising products, developing new products, and exploring overseas mobile e-commerce businesses[33](index=33&type=chunk) - The PC version of **"Lu Da Master Software"** actively adapted to market changes by collaborating with promotion platforms to expand its user base and utilizing AI to optimize evaluation methods, introducing paid subscription features[35](index=35&type=chunk) - For online game business, the Group acquired new players through marketing, optimized player services, and actively advanced new online game development, with **"Kung Fu Panda: Dragon Warrior"** expected to launch in Q4 2025[33](index=33&type=chunk)[37](index=37&type=chunk)[38](index=38&type=chunk) - The Group continued to invest in overseas mobile product R&D, particularly seeing growth in health management tools, and plans to increase investment in mobile AI application fields[38](index=38&type=chunk) - The jointly launched **"Lu Da Master AiNAS"** product adopted a "live streaming hardware sales + value-added paid services" model, with plans for market launch in the second half of 2025 and future expansion into online, offline, and overseas markets[39](index=39&type=chunk) [Outlook](index=14&type=section&id=%E5%B1%95%E6%9C%9B) The Group is confident in existing businesses and committed to new developments, including expanding product matrices and seeking new online games - The Group is confident in its existing businesses and committed to developing new ventures, including enriching its domestic PC and overseas mobile product matrix, expanding mobile e-commerce, and seeking suitable exclusively licensed online games[41](index=41&type=chunk) - Future strategies include continuous updates to **"Lu Da Master Software"** PC version, developing PC-side utility products, publishing and operating exclusively licensed online games in China and overseas, enhancing precise targeting capabilities for mobile e-commerce, and expanding overseas markets[41](index=41&type=chunk)[43](index=43&type=chunk) - The Group will increase investment in mobile AI application scenarios, acquire users through R&D and promotion of richer utility products, and solidify its brand image as a reliable hardware expert[43](index=43&type=chunk) [Management Discussion and Analysis](index=15&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E5%8F%8A%E5%88%86%E6%9E%90) This section provides an in-depth analysis of the Group's financial performance, liquidity, and operational highlights [Revenue](index=15&type=section&id=%E6%94%B6%E5%85%A5) Group revenue decreased by 29.6% to RMB 522.6 million, primarily due to the maturity of key licensed online games [Online Traffic Monetization](index=16&type=section&id=%E5%9C%A8%E7%B7%9A%E6%B5%81%E9%87%8F%E8%AE%8A%E7%8F%BE) Online advertising services revenue grew by 19.5%, while revenue from operating exclusively licensed online games significantly declined Revenue by Business Line (RMB thousand) | Business Line | 2025 (RMB thousand) | 2024 (RMB thousand) | Proportion (2025) | Proportion (2024) | | :--- | :--- | :--- | :--- | :--- | | Online Advertising Services | 334,301 | 279,782 | 64.0% | 37.6% | | Online Game Platform | 15,787 | 16,988 | 3.0% | 2.3% | | Operating Exclusively Licensed Online Game Business | 171,272 | 445,343 | 32.8% | 60.0% | | Sales of Smart Accessories | 1,232 | 12 | 0.2% | 0.1% | | Total | 522,592 | 742,125 | 100.0% | 100.0% | - Online advertising services revenue increased by **19.5%** to **RMB 334.3 million**, mainly driven by the recovering momentum of the mobile e-commerce business launched in early 2024[45](index=45&type=chunk) - Revenue from operating exclusively licensed online game business significantly decreased by **61.5%** to **RMB 171.3 million**, primarily because the games have been online for a longer period, leading to reduced user activity and willingness to pay[47](index=47&type=chunk) [Sales of Electronic Devices](index=17&type=section&id=%E9%9B%BB%E5%AD%90%E8%A8%AD%E5%82%99%E9%8A%B7%E5%94%AE) Revenue from sales of electronic devices increased significantly to RMB 1.2 million, driven by increased sales or lending of hardware products - Revenue from sales of electronic devices increased by over **100.0%** to **RMB 1.2 million**, mainly due to increased revenue from the sale or lending of electronic hardware products[48](index=48&type=chunk) [Trade Receivables](index=17&type=section&id=%E6%87%89%E6%94%B6%E8%B3%AC%E6%AC%BE) Approximately 75.5% of trade receivables as of June 30, 2025, were related to mobile e-commerce business, with a high probability of timely collection - As of June 30, 2025, approximately **75.5%** of trade receivables were related to the mobile e-commerce business, which the Group believes has a very high probability of timely collection[49](index=49&type=chunk) [Cost of Sales and Services](index=18&type=section&id=%E9%8A%B7%E5%94%AE%E5%8F%8A%E6%9C%8D%E5%8B%99%E6%88%90%E6%9C%AC) Cost of sales and services decreased by 29.2% to RMB 465.9 million, primarily due to reduced costs in operating exclusively licensed online games [Online Traffic Monetization Costs](index=18&type=section&id=%E5%9C%A8%E7%B7%9A%E6%B5%81%E9%87%8F%E8%AE%8A%E7%8F%BE%E6%88%90%E6%9C%AC) Online traffic monetization costs decreased by 29.2% to RMB 463.8 million, mainly due to lower costs for operating licensed online games Cost of Sales and Services Details (RMB thousand) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | Proportion (2025) | Proportion (2024) | | :--- | :--- | :--- | :--- | :--- | | Advertising and Promotion | 458,918 | 650,884 | 98.5% | 99.3% | | Server Rental | 4,919 | 4,653 | 1.1% | 0.6% | | Sales of Smart Accessories | 2,064 | 107 | 0.4% | 0.1% | | Total | 465,901 | 655,644 | 100.0% | 100.0% | - Online traffic monetization business costs decreased by **29.2%** to **RMB 463.8 million**, primarily attributable to a reduction in costs for operating exclusively licensed online game businesses[51](index=51&type=chunk) [Cost of Sales of Electronic Devices](index=18&type=section&id=%E9%9B%BB%E5%AD%90%E8%A8%AD%E5%82%99%E9%8A%B7%E5%94%AE%E6%88%90%E6%9C%AC) Cost of sales of electronic devices increased significantly to RMB 2.1 million, driven by higher costs associated with selling or leasing hardware - Cost of sales of electronic devices increased by over **100.0%** to **RMB 2.1 million**, mainly due to increased costs associated with the sale or rental of electronic hardware products[52](index=52&type=chunk) [Gross Profit](index=19&type=section&id=%E6%AF%9B%E5%88%A9) Gross profit decreased by 34.4% to RMB 56.7 million, with the margin declining to 10.8% due to increased lower-margin business Gross Profit and Gross Profit Margin (RMB thousand) | Business Line | 2025 Gross Profit (RMB thousand) | 2025 Gross Profit Margin (%) | 2024 Gross Profit (RMB thousand) | 2024 Gross Profit Margin (%) | | :--- | :--- | :--- | :--- | :--- | | Online Traffic Monetization | 57,523 | 11.0 | 86,576 | 11.7 | | Sales of Electronic Devices | (832) | (67.5) | (95) | (791.7) | | Total Gross Profit and Gross Profit Margin | 56,691 | 10.8 | 86,481 | 11.7 | [Other Income](index=19&type=section&id=%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5) Other income more than doubled to RMB 8.3 million, primarily attributable to an increase in government grants - Other income increased from approximately **RMB 3.3 million** in the same period of 2024 to approximately **RMB 8.3 million** in the same period of 2025[54](index=54&type=chunk) [Other Gains and Losses](index=19&type=section&id=%E5%85%B6%E4%BB%96%E6%94%B6%E7%9B%8A%E5%8F%8A%E虧%E6%90%8D) Other gains and losses significantly reduced from a loss of RMB 3.5 million in 2024 to a loss of RMB 0.4 million in 2025 - Other gains and losses decreased from a loss of approximately **RMB 3.5 million** in the same period of 2024 to a loss of approximately **RMB 0.4 million** in the same period of 2025[55](index=55&type=chunk) [Administrative Expenses](index=20&type=section&id=%E8%A1%8C%E6%94%BF%E9%96%8B%E6%94%AF) Administrative expenses slightly decreased by 3.3% to RMB 19.1 million, remaining largely consistent with the prior period - Administrative expenses decreased from approximately **RMB 19.8 million** in the same period of 2024 to approximately **RMB 19.1 million** in the same period of 2025[56](index=56&type=chunk) [Research and Development Expenses](index=20&type=section&id=%E7%A0%94%E7%99%BC%E9%96%8B%E6%94%AF) Research and development expenses decreased by 33.8% to RMB 17.5 million, primarily due to a reduction in R&D employees - Research and development expenses decreased from approximately **RMB 26.4 million** in the same period of 2024 to approximately **RMB 17.5 million** in the same period of 2025[57](index=57&type=chunk) [Selling and Distribution Expenses](index=20&type=section&id=%E9%8A%B7%E5%94%AE%E5%8F%8A%E5%88%86%E9%8A%B7%E9%96%8B%E6%94%AF) Selling and distribution expenses decreased by 24.7% to RMB 10.2 million, mainly due to lower marketing costs and reduced staff remuneration - Selling and distribution expenses decreased from approximately **RMB 13.6 million** in the same period of 2024 to approximately **RMB 10.2 million** in the same period of 2025[58](index=58&type=chunk) [Taxation](index=20&type=section&id=%E7%A8%85%E9%A0%85) Taxation increased by 7.4% to RMB 4.6 million, primarily due to significant withholding tax provisions on dividends from mainland Chinese subsidiaries - Taxation increased from approximately **RMB 4.3 million** in the same period of 2024 to approximately **RMB 4.6 million** in the same period of 2025[59](index=59&type=chunk) [Profit and Total Comprehensive Income for the Period](index=20&type=section&id=%E6%9C%9F%E5%85%A7%E6%BA%A2%E5%88%A9%E5%8F%8A%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E7%B8%BD%E9%A1%8D) Profit and total comprehensive income for the period significantly decreased by 45.5% to RMB 11.9 million, impacted by declining revenue - Profit and total comprehensive income for the period decreased from approximately **RMB 21.9 million** in the same period of 2024 to approximately **RMB 11.9 million** in the same period of 2025[60](index=60&type=chunk) [Liquidity, Financial Resources and Gearing Ratio](index=20&type=section&id=%E6%B5%81%E5%8B%95%E6%80%A7%E3%80%81%E8%B2%A1%E5%8B%99%E8%B3%87%E6%BA%90%E5%8F%8A%E8%B3%87%E6%9C%AC%E8%88%87%E8%B2%A0%E5%82%B5%E6%AF%94%E7%8E%87) The Group maintains sufficient liquidity with RMB 441.1 million in cash and no bank borrowings, thus no gearing ratio is presented - As of June 30, 2025, bank balances and cash were approximately **RMB 441.1 million**, a slight decrease from approximately **RMB 442.3 million** as of December 31, 2024[61](index=61&type=chunk) - The Group faces limited and controllable foreign currency risk and will continue to monitor exchange rate fluctuations[62](index=62&type=chunk) - As of June 30, 2025, the Group had no bank borrowings[63](index=63&type=chunk) [Capital Expenditure](index=21&type=section&id=%E8%B3%87%E6%9C%AC%E9%96%8B%E6%94%AF) Capital expenditure for the six months ended June 30, 2025, was RMB 123 thousand, primarily for property and equipment purchases Capital Expenditure (RMB thousand) | Item | Six Months Ended June 30, 2025 (RMB thousand) | Year Ended December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Purchase of Property and Equipment | 123 | 531 | [Material Investments Held](index=21&type=section&id=%E6%89%80%E6%8C%81%E9%87%8D%E5%A4%A7%E6%8A%95%E8%B3%87) The Group invested RMB 95 million in principal-protected structured deposit products with China Merchants Bank, all of which matured and yielded interest within the reporting period - The Group subscribed to two principal-protected structured deposit products offered by China Merchants Bank, totaling **RMB 95 million**, with expected annualized interest rates ranging from **1.85% to 2.31%**[67](index=67&type=chunk)[68](index=68&type=chunk) - These products involved minimal risk, offered returns higher than general deposit rates, and had short maturities, thus not impacting operational liquidity[66](index=66&type=chunk) - As of June 30, 2025, all structured deposit products had matured, with actual interest received totaling **RMB 170,876.71** and **RMB 199,356.16** respectively, and no unredeemed products remained[69](index=69&type=chunk) [Material Acquisitions and Disposals](index=24&type=section&id=%E9%87%8D%E5%A4%A7%E6%94%B6%E8%B3%BC%E5%8F%8A%E5%87%BA%E5%94%AE) The Group did not undertake any material acquisitions or disposals during the reporting period - During the reporting period, the Group did not make any material acquisitions or disposals[70](index=70&type=chunk) [Future Plans for Material Investments or Capital Assets](index=24&type=section&id=%E9%87%8D%E5%A4%A7%E6%8A%95%E8%B3%87%E6%88%96%E8%B3%87%E6%9C%AC%E8%B3%87%E7%94%A2%E7%9A%84%E6%9C%AA%E4%BE%86%E8%A8%88%E5%8A%83) As of June 30, 2025, the Group had no future plans for material investments or capital assets - As of June 30, 2025, the Group had no future plans for material investments or capital assets[71](index=71&type=chunk) [Employees and Remuneration Policy](index=24&type=section&id=%E5%83%B1%E5%93%A1%E5%8F%8A%E8%96%AA%E9%85%AC%E6%94%BF%E7%AD%96) The Group employed 208 full-time staff as of June 30, 2025, primarily in China, offering competitive remuneration, performance bonuses, and continuous training - As of June 30, 2025, the Group had **208** full-time employees, with **89** responsible for sales and marketing and **91** for research and development[72](index=72&type=chunk) - The company offers competitive remuneration, performance bonuses, and incentives, emphasizing employee training and development, including internal and external professional training programs[72](index=72&type=chunk) [Pledged Assets](index=25&type=section&id=%E6%8A%B5%E6%8A%BC%E8%B3%87%E7%94%A2) As of June 30, 2025, the Group had no pledged assets - As of June 30, 2025, the Group had no pledged assets[73](index=73&type=chunk) [Contingent Liabilities and Guarantees](index=25&type=section&id=%E6%88%96%E7%84%B6%E8%B2%A0%E5%82%B5%E5%8F%8A%E6%93%94%E4%BF%9D) As of June 30, 2025, the Group had no material contingent liabilities, guarantees, or litigation - As of June 30, 2025, the Group had no material contingent liabilities, guarantees, or any litigation[74](index=74&type=chunk) [Events After Reporting Period](index=25&type=section&id=%E5%A0%B1%E5%91%8A%E6%9C%9F%E5%BE%8C%E4%BA%8B%E9%A0%85) The Group had no significant disclosable events after June 30, 2025, up to the date of this announcement - The Group had no significant disclosable events after June 30, 2025, and up to the date of this announcement[75](index=75&type=chunk) [Interim Dividend](index=25&type=section&id=%E4%B8%AD%E6%9C%9F%E8%82%A1%E6%81%AF) The Board of Directors resolved not to declare an interim dividend for the six months ended June 30, 2025 - The Board of Directors has resolved not to declare an interim dividend for the six months ended June 30, 2025[76](index=76&type=chunk) [Other Information](index=25&type=section&id=%E5%85%B6%E4%BB%96%E4%BF%A1%E6%81%AF) This section covers the company's compliance with corporate governance codes, securities trading standards, and reporting procedures [Compliance with Corporate Governance Code](index=25&type=section&id=%E9%81%B5%E5%AE%88%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%AE%88%E5%89%87) The Company complied with all applicable code provisions of the Corporate Governance Code, except for the combined roles of Chairman and CEO - The Company has complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 to the Listing Rules, except for code provision C.2.1[77](index=77&type=chunk) - The roles of Chairman and Chief Executive Officer are combined and held by Mr. Tian Ye, which the Board believes ensures unified leadership and enhances strategic planning efficiency within the Group[77](index=77&type=chunk) [Standard Code for Securities Transactions](index=26&type=section&id=%E8%AD%89%E5%88%B8%E4%BA%A4%E6%98%93%E4%B9%8B%E6%A8%99%E6%BA%96%E5%AE%88%E5%89%87) The Company adopted the Standard Code for securities transactions by directors, with all directors confirming strict compliance during the reporting period - The Company has adopted the Standard Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 to the Listing Rules as its own code of conduct regarding securities transactions by the Directors[78](index=78&type=chunk) - All Directors have confirmed that they have strictly complied with the required standards set out in the Standard Code throughout the reporting period[78](index=78&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=26&type=section&id=%E8%B3%BC%E8%B2%B7%E3%80%81%E5%87%BA%E5%94%AE%E6%88%96%E8%B4%96%E5%9B%9E%E4%B8%8A%E5%B8%82%E8%AD%89%E5%88%B8) Neither the Company nor its subsidiaries purchased, sold, or redeemed any of its listed securities during the reporting period, holding no treasury shares - During the reporting period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities on the Stock Exchange[79](index=79&type=chunk) - As of June 30, 2025, the Company did not hold any treasury shares[79](index=79&type=chunk) [Audit Committee and Review of Interim Results](index=26&type=section&id=%E5%AF%A9%E8%A8%88%E5%A7%94%E5%93%A1%E6%9C%83%E5%8F%8A%E5%AF%A9%E9%96%B1%E4%B8%AD%E6%9C%9F%E6%A5%AD%E7%B8%BE) The Audit Committee reviewed the unaudited interim results, and the Company's auditor reviewed the condensed consolidated financial statements - The Audit Committee has reviewed the unaudited interim results of the Group for the six months ended June 30, 2025[81](index=81&type=chunk) - The Company's auditor has reviewed the condensed consolidated financial statements in accordance with Hong Kong Standard on Review Engagements 2410[81](index=81&type=chunk) [Publication of Interim Results and Interim Report](index=26&type=section&id=%E5%88%8A%E7%99%BC%E4%B8%AD%E6%9C%9F%E6%A5%AD%E7%B8%BE%E5%8F%8A%E4%B8%AD%E6%9C%9F%E5%A0%B1%E5%91%8A) This interim results announcement is published on the HKEX and Company websites, with the full interim report to be dispatched to shareholders and published later - This interim results announcement is published on the website of the Stock Exchange (www.hkexnews.hk) and the Company's website (www.ludashi.com)[82](index=82&type=chunk) - The 2025 interim report, containing all information required by the Listing Rules, will be dispatched to shareholders who request a printed copy and published on the Stock Exchange's website and the Company's website in due course[82](index=82&type=chunk) [Definitions](index=27&type=section&id=%E9%87%8B%E7%BE%A9) This section provides definitions for key terms used throughout the announcement, ensuring clarity and consistency - This section provides definitions for key terms used in the announcement, including "AI", "Audit Committee", "PRC Operating Entities", "Lu Da Master Software", and "Monthly Active Users"[83](index=83&type=chunk)[84](index=84&type=chunk)[85](index=85&type=chunk)[86](index=86&type=chunk)[88](index=88&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 巨子生物控股有限公司（「本公司」、「公 司」或「巨子生物」）董 事（「董 事」）會（「董 事 會」）欣然宣佈本公司及其附屬公司（統 稱「本集團」）截 至2025年6月30日止六個月 （「報告期」）之未經審核簡明合併中期業績以及2024年 同 期 的 比 較 數 字。上 述 中 期業績根據《國 際 財 務 報 告 準 則》（「《國 際 財 務 報 告 準 則》」）編 製，並 已 經 本 公 司 審核委員會（「審核委員會」）審 閱。截 至2025年6月30日止六個月的中期業績未經 審 核，但 已 由 本 公 司 獨 立 核 數 師 安 永 會 計 師 事 務 所 根 據 香 港 會 計 師 公 會 頒 佈 的香港審閱工作準則第2410號「實 體 的 獨 立 核 數 師 對 中 期 財 務 資 料 的 審 閱」進 行 審 閱。 GIANT BIOGENE ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任何部分內容而產生或因倚 賴該等內容而引致的任何損失承擔任何責任。 Yinsheng Digifavor Company Limited 銀盛數惠數字有限公司 （於開曼群島註冊成立的有限公司） 1 簡明綜合損益及其他全面收益表 截至二零二五年六月三十日止六個月 | | | 截至六月三十日止六個月 | | | --- | --- | --- | --- | | | 附註 | 二零二五年 | 二零二四年 | | | | 人民幣千元 | 人民幣千元 | | | | （未經審核） | （未經審核） | | 收益 | 4 | 69,917 | 61,312 | | 減：附加稅 | | (303) | (1,309) | | 收益成本 | | (25,526) | (11,873) | | 毛利 | | 44,088 | 48,130 | | 其他收入淨額 | | 2,796 | 7,645 | | 分銷及銷售開支 | | (12,666) | (6,586) | | 行政開支 | ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完整性亦不 發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損 失承擔任何責任。 Quanzhou Huixin Micro-credit Co., Ltd.* 泉 州 匯 鑫 小 額 貸 款 股 份 有 限 公 司 （ 於中華人民共和國成立的有限公司） （股份代號：1577） 截至2025年6月30日止六個月的 中期業績公告 泉州匯鑫小額貸款股份有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然公佈，本公司 及其附屬公司（「本集團」、「我們」或「我們的」）截至2025年6月30日止六個月（「報告期間」） 根據香港會計師公會頒佈的香港財務報告準則（「香港財務報告準則」）編製的未經審核中期 業績（「中期業績」），連同2024年同期的比較數字。董事會及本公司審計委員會（「審計委員 會 」）已 審 閱 並 確 認 中 期 業 績 。 除 另 行 指 明 者 外 ， 本 公 告 所 載 全 部 金 額 均 以 人 民 幣（「 人 民 幣」）為單位。 – 1 – 中期業績 | | | ...

[Condensed Consolidated Financial Statements](index=1&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents the group's financial performance and position for the period, highlighting key changes in income, expenses, assets, and liabilities [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=1&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2025, Shun Long Holdings Limited experienced a significant revenue decline and a shift from profit to loss, with a notable increase in loss per share, reflecting a deteriorating operating environment Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Summary (HK$ thousand) | Indicator | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Revenue | 88,956 | 129,126 | | Cost of sales | (67,395) | (99,876) | | Gross profit | 21,561 | 29,250 | | Other operating income | 1,340 | 2,970 | | Selling and distribution expenses | (26) | (95) | | Administrative expenses | (31,825) | (27,857) | | Finance costs | (5,116) | (3,847) | | (Loss) Profit before tax | (14,066) | 421 | | Income tax expense | (544) | (1,180) | | Loss for the period | (14,610) | (759) | | Loss per share (HK cents) | (0.28) | (0.01) | - Revenue for the period decreased by **31.1%** year-on-year, from HK$129,126 thousand to **HK$88,956 thousand**[3](index=3&type=chunk) - The company shifted from a profit before tax of HK$421 thousand in the prior year to a **loss before tax of HK$14,066 thousand** in the current period[3](index=3&type=chunk) - Loss for the period attributable to owners of the Company significantly increased from HK$759 thousand to **HK$14,610 thousand**, with basic and diluted loss per share rising from HK$0.01 cents to **HK$0.28 cents**[4](index=4&type=chunk) [Condensed Consolidated Statement of Financial Position](index=3&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the Group's total assets and net assets decreased, with a reduction in net current assets and cash balances, while liquidity ratios remained reasonable Condensed Consolidated Statement of Financial Position Summary (HK$ thousand) | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Non-current assets | 223,300 | 228,647 | | Current assets | 156,162 | 171,325 | | Current liabilities | 99,955 | 108,501 | | Net current assets | 56,207 | 62,824 | | Total assets less current liabilities | 279,507 | 291,471 | | Non-current liabilities | 66,505 | 63,859 | | Net assets | 213,002 | 227,612 | | Bank balances and cash | 109,525 | 116,008 | | Trade and other payables | 70,622 | 50,984 | - Total assets decreased from **HK$399,972 thousand** as of December 31, 2024, to **HK$379,462 thousand** as of June 30, 2025[12](index=12&type=chunk) - Net assets decreased from HK$227,612 thousand to **HK$213,002 thousand**[6](index=6&type=chunk) - Net current assets decreased from HK$62,824 thousand to **HK$56,207 thousand**, and bank balances and cash decreased from HK$116,008 thousand to **HK$109,525 thousand**[5](index=5&type=chunk) [Notes to the Financial Statements](index=5&type=section&id=Notes%20to%20the%20Financial%20Statements) This section details the accounting policies and specific financial information supporting the condensed consolidated financial statements [Basis of Preparation](index=5&type=section&id=Basis%20of%20Preparation) The condensed consolidated financial information is prepared in accordance with Appendix 16 of the HKEX Listing Rules and HKAS 34 "Interim Financial Reporting" - The financial information complies with the requirements of Appendix 16 of the Hong Kong Listing Rules and HKAS 34 "Interim Financial Reporting"[7](index=7&type=chunk) [Principal Accounting Policies](index=5&type=section&id=Principal%20Accounting%20Policies) The condensed consolidated financial information is primarily prepared on a historical cost basis, with new HKFRS amendments applied, though without significant impact on current financial performance - Financial information is prepared on a historical cost basis, except for leasehold land and buildings which are measured at revalued amounts[8](index=8&type=chunk) - The first-time application of HKAS 21 (Amendment) "Lack of Exchangeability" had no significant impact on the financial performance and position for the current period[8](index=8&type=chunk) [Revenue](index=6&type=section&id=Revenue) The Group's revenue primarily represents income generated from the sale of goods during the period - Revenue is defined as income generated from the sale of goods[9](index=9&type=chunk) [Segment Information](index=6&type=section&id=Segment%20Information) The Group operates three reportable segments: golf equipment, golf bags, and hotel, with golf equipment revenue significantly declining and the hotel business still generating no revenue - The Group has three reportable operating segments: golf equipment, golf bags, and hotel[10](index=10&type=chunk) [Segment Revenue and Results](index=6&type=section&id=Segment%20Revenue%20and%20Results) Both golf equipment segment revenue and results significantly decreased, golf bag segment revenue slightly increased but recorded a loss, and the hotel segment generated no revenue Segment Revenue and Results Summary (HK$ thousand) | Segment | 2025 Revenue | 2024 Revenue | 2025 Results | 2024 Results | | :--- | :--- | :--- | :--- | :--- | | Golf equipment | 79,318 | 119,673 | 763 | 11,536 | | Golf bags | 9,638 | 9,453 | (1,000) | (631) | | Hotel | – | – | (2,833) | (2,863) | | Consolidated Revenue | 88,956 | 129,126 | | | | (Loss) Profit before tax | | | (14,066) | 421 | - Golf equipment segment revenue decreased by **33.7%** year-on-year to **HK$79,318 thousand**, and segment profit significantly dropped from HK$11,536 thousand to **HK$763 thousand**[11](index=11&type=chunk) - Golf bag segment revenue slightly increased by **2.0%** to **HK$9,638 thousand**, but segment loss expanded from HK$631 thousand to **HK$1,000 thousand**[11](index=11&type=chunk) - The hotel segment generated no revenue in both reporting periods and continued to record losses[11](index=11&type=chunk) [Segment Assets and Liabilities](index=7&type=section&id=Segment%20Assets%20and%20Liabilities) Segment assets and liabilities varied, with golf equipment segment assets and liabilities decreasing, and a new amount payable to former directors added to unallocated corporate liabilities Segment Assets and Liabilities Summary (HK$ thousand) | Segment | June 30, 2025 Assets | December 31, 2024 Assets | June 30, 2025 Liabilities | December 31, 2024 Liabilities | | :--- | :--- | :--- | :--- | :--- | | Golf equipment | 111,105 | 120,789 | 30,731 | 40,068 | | Golf bags | 2,114 | 3,155 | 1,032 | 1,161 | | Hotel | 152,631 | 155,417 | 7,515 | 7,515 | | Total Consolidated Assets | 379,462 | 399,972 | | | | Total Consolidated Liabilities | | | 166,460 | 172,360 | - Golf equipment segment assets decreased from HK$120,789 thousand to **HK$111,105 thousand**, and liabilities decreased from HK$40,068 thousand to **HK$30,731 thousand**[12](index=12&type=chunk) - A new amount of **HK$30,580 thousand** payable to former directors was added to unallocated corporate liabilities[12](index=12&type=chunk) [Other Operating Income](index=8&type=section&id=Other%20Operating%20Income) Other operating income for the period significantly decreased year-on-year, primarily due to the absence of net exchange gains and a decline in interest income Other Operating Income Summary (HK$ thousand) | Item | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Interest income | 851 | 1,175 | | Net exchange gain | – | 1,139 | | Total | 1,340 | 2,970 | - Other operating income decreased from HK$2,970 thousand to **HK$1,340 thousand**, mainly due to the absence of a net exchange gain of HK$1,139 thousand recorded in the prior year period[13](index=13&type=chunk) [Finance Costs](index=8&type=section&id=Finance%20Costs) Finance costs for the period increased year-on-year, mainly driven by a significant rise in interest expenses on amounts payable to former directors Finance Costs Summary (HK$ thousand) | Item | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Interest on amounts payable to former directors | 1,448 | 255 | | Interest on convertible bonds | 2,706 | 2,494 | | Interest on bank borrowings | 950 | 1,083 | | Total | 5,116 | 3,847 | - Finance costs increased by **33%** from HK$3,847 thousand to **HK$5,116 thousand**[14](index=14&type=chunk) - Interest expense on amounts payable to former directors significantly increased from HK$255 thousand to **HK$1,448 thousand**[14](index=14&type=chunk) [Income Tax Expense](index=9&type=section&id=Income%20Tax%20Expense) Income tax expense for the period primarily arose from PRC corporate income tax, with no provision for Hong Kong profits tax due to no assessable profits, and no tax provision for the Commonwealth of Northern Mariana Islands Income Tax Expense Summary (HK$ thousand) | Item | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Hong Kong profits tax | – | 150 | | PRC corporate income tax | 544 | 1,017 | | Total | 544 | 1,180 | - No provision for Hong Kong profits tax was made for the current period due to no assessable profits or offset by tax losses[17](index=17&type=chunk) - The corporate income tax rate for PRC subsidiaries is **25%**[17](index=17&type=chunk) - No corporate income tax provision was made for the Commonwealth of Northern Mariana Islands due to no income[17](index=17&type=chunk) [Loss Before Tax](index=9&type=section&id=Loss%20Before%20Tax) The loss before tax for the period was primarily influenced by inventory recognized as expenses, depreciation charges, and net exchange losses Loss Before Tax Adjustment Items Summary (HK$ thousand) | Item | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Amount of inventories recognized as expense | 67,395 | 99,876 | | Depreciation of property, plant and equipment | 2,627 | 1,737 | | Depreciation of right-of-use assets | 2,966 | 3,031 | | Net exchange loss (gain) | 490 | (1,139) | - A net exchange loss of **HK$490 thousand** was recorded in the current period, compared to a net exchange gain of HK$1,139 thousand in the prior year period[16](index=16&type=chunk) [Dividends](index=10&type=section&id=Dividends) The Board of Directors decided not to declare any dividends for the current period - No dividends were paid, declared, or proposed during the period[18](index=18&type=chunk) [Loss Per Share](index=10&type=section&id=Loss%20Per%20Share) Basic and diluted loss per share for the period was HK$0.28 cents, a significant increase from HK$0.01 cents in the prior year, reflecting an expanded loss Loss Per Share Calculation Summary | Indicator | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Loss for the period attributable to owners of the Company (HK$ thousand) | (14,610) | (759) | | Number of ordinary shares (thousand shares) | 5,201,250 | 5,201,250 | | Basic and diluted loss per share (HK cents) | (0.28) | (0.01) | - Unexercised convertible bonds were not assumed to be converted when calculating diluted loss per share, as they would reduce the loss per share[21](index=21&type=chunk) [Trade and Other Receivables](index=11&type=section&id=Trade%20and%20Other%20Receivables) The Group's total trade and other receivables decreased, with credit terms typically 30 to 60 days and overdue balances regularly reviewed Trade and Other Receivables Summary (HK$ thousand) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Trade receivables | 29,182 | 30,731 | | Deposits and other receivables | 2,714 | 2,971 | | Prepayments | 2,427 | 2,768 | | Prepayments to suppliers | 76 | 111 | | Total | 34,399 | 36,581 | Ageing Analysis of Trade Receivables (HK$ thousand) | Ageing | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | 0 to 30 days | 20,662 | 24,876 | | 31 to 90 days | 8,520 | 5,586 | | 91 to 180 days | – | 269 | | Total | 29,182 | 30,731 | - Total trade receivables decreased from HK$30,731 thousand to **HK$29,182 thousand**[22](index=22&type=chunk) [Trade and Other Payables](index=11&type=section&id=Trade%20and%20Other%20Payables) The Group's total trade and other payables significantly increased, mainly due to the addition of amounts payable to former directors, with credit terms generally ranging from 30 to 90 days Trade and Other Payables Summary (HK$ thousand) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Trade payables | 16,223 | 23,991 | | Contract liabilities | 597 | 553 | | Accruals and other payables | 23,222 | 26,440 | | Amounts payable to former directors | 30,580 | – | | Total | 70,622 | 50,984 | Ageing Analysis of Trade Payables (HK$ thousand) | Ageing | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | 0 to 90 days | 13,681 | 20,453 | | 91 to 180 days | 651 | 1,723 | | 181 to 365 days | 144 | 103 | | Over 365 days | 1,747 | 1,712 | | Total | 16,223 | 23,991 | - Total trade and other payables increased from HK$50,984 thousand to **HK$70,622 thousand**, primarily due to the addition of **HK$30,580 thousand** in amounts payable to former directors[22](index=22&type=chunk) [Share Capital](index=12&type=section&id=Share%20Capital) The company's authorized and issued share capital remained unchanged during the reporting period Share Capital Summary | Item | Number of Shares (thousand shares) | Share Capital (HK$ thousand) | | :--- | :--- | :--- | | Authorized share capital (par value HK$0.01 per share) | 10,000,000 | | | Issued and fully paid share capital (par value HK$0.01 per share) | 5,201,250 | 52,013 | - Authorized and issued share capital remained unchanged during the reporting period[24](index=24&type=chunk) [Events After the Reporting Period](index=12&type=section&id=Events%20After%20the%20Reporting%20Period) As of the date of the interim results announcement, the Group had no significant events after the reporting period - No significant events occurred from June 30, 2025, up to the date of the interim results announcement[25](index=25&type=chunk) [Management Discussion and Analysis](index=13&type=section&id=Management%20Discussion%20and%20Analysis) This section provides an overview of the Group's financial performance, business operations, and future outlook, including strategies to address market challenges [Financial Results and Business Review](index=13&type=section&id=Financial%20Results%20and%20Business%20Review) Affected by high US tariffs, the Group's sales significantly declined in the first half of 2025, leading to substantial losses, with measures taken to streamline operations and optimize costs - High US tariffs on Chinese export products (initially **145%**, later temporarily reduced to **30%**) adversely impacted the Group's business[26](index=26&type=chunk) - Major customers shifted orders or suspended shipments, leading to a significant decline in sales and a substantial loss for the period[26](index=26&type=chunk) - The Group's revenue was approximately **HK$88,956 thousand** (a **31.1%** year-on-year decrease), and loss for the period attributable to owners of the Company increased to approximately **HK$14,610 thousand**[27](index=27&type=chunk) [Golf Equipment Business](index=13&type=section&id=Golf%20Equipment%20Business) As the primary revenue source, the golf equipment business experienced significant declines in both revenue and segment profit due to high US tariffs, with the Group implementing cost optimization and supply chain expansion, maintaining a cautious outlook for the second half - Golf equipment business revenue plummeted by approximately **33.7%** to **HK$79,318 thousand**, accounting for approximately **89.2%** of the Group's revenue[28](index=28&type=chunk) - Sales to the largest segment customer fell by approximately **26.9%**, and revenue from the top five segment customers decreased by approximately **33.9%**[29](index=29&type=chunk) - Segment profit significantly dropped to approximately **HK$763 thousand** (from HK$11,536 thousand in the prior year period)[30](index=30&type=chunk) - The Group is implementing rationalization measures at its Shandong production facility to enhance production efficiency, reduce manufacturing costs, and expand its supply chain[30](index=30&type=chunk) [Golf Bag Business](index=14&type=section&id=Golf%20Bag%20Business) The golf bag segment transitioned to a trading business model, showing slight revenue growth but still incurring losses, facing intense competition and market pressure, with a cautious outlook for the second half - The golf bag segment has transitioned to a trading business model, with production outsourced to external factories[31](index=31&type=chunk) - Segment revenue slightly increased by approximately **2.0%** to **HK$9,638 thousand**, accounting for approximately **10.8%** of the Group's revenue[31](index=31&type=chunk) - Sales to the largest segment customer surged by approximately **81.9%**, but some customers shifted to non-Chinese suppliers[32](index=32&type=chunk) - The segment recorded a loss of approximately **HK$1,000 thousand** (compared to HK$631 thousand in the prior year period)[33](index=33&type=chunk) [Hotel Business](index=15&type=section&id=Hotel%20Business) The hotel development plan in the Commonwealth of Northern Mariana Islands was delayed due to local construction worker shortages and uncertain visa quotas, generating no revenue in the current period - The hotel development plan was delayed due to a shortage of local construction workers and uncertainty regarding overseas work visa quotas[34](index=34&type=chunk) - The hotel business generated no revenue during the current period[35](index=35&type=chunk) [Outlook](index=16&type=section&id=Outlook) Facing high US tariff challenges, the Group is actively seeking to establish manufacturing bases outside China to retain customer business, continuing to streamline operations and optimize costs, while maintaining a cautious outlook for golf businesses and monitoring hotel development - High US tariff policies adversely impact business, requiring the Group to promptly establish or acquire manufacturing bases outside China[36](index=36&type=chunk) - The Group is actively seeking opportunities to acquire golf equipment factories outside China[36](index=36&type=chunk) - The Group has implemented stringent measures to rationalize operations and optimize costs, and is committed to strengthening diversified marketing initiatives through value-added services[36](index=36&type=chunk) - Management maintains a cautious outlook for the golf business in the foreseeable future, and while the hotel development plan is currently delayed, it will continue to be monitored[36](index=36&type=chunk) [Dividends](index=16&type=section&id=Dividends) The Board of Directors does not recommend the payment of any dividends for the current period - The Board of Directors does not recommend the payment of any dividends for the six months ended June 30, 2025[38](index=38&type=chunk) [Financial Resources, Liquidity and Gearing Ratio](index=17&type=section&id=Financial%20Resources%2C%20Liquidity%20and%20Gearing%20Ratio) The Group's cash and bank balances decreased, interest-bearing borrowings declined, but amounts payable to former directors increased, leading to a higher gearing ratio, while liquidity ratios remained reasonable and robust Financial Resources and Liquidity Indicators Summary (HK$ thousand) | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Bank balances and cash | 109,525 | 116,008 | | Bank borrowings | 28,723 | 56,383 | | Amounts payable to former directors | 30,580 | – | | Gearing ratio | 7.4% | 1.6% | | Current ratio | 1.56 | 1.58 | | Quick ratio | 1.44 | 1.41 | - Bank balances and cash decreased from HK$116,008 thousand to **HK$109,525 thousand**[39](index=39&type=chunk) - Bank borrowings decreased from HK$56,383 thousand to **HK$28,723 thousand**, but new amounts payable to former directors of **HK$30,580 thousand** were added[39](index=39&type=chunk) - The gearing ratio increased from **1.6%** to **7.4%**[40](index=40&type=chunk) [Significant Acquisitions and Disposals of Subsidiaries, Associates and Joint Ventures](index=17&type=section&id=Significant%20Acquisitions%20and%20Disposals%20of%20Subsidiaries%2C%20Associates%20and%20Joint%20Ventures) During the period, the Group did not undertake any significant acquisitions or disposals of subsidiaries, associates, or joint ventures - For the six months ended June 30, 2025, the Group had no significant acquisitions or disposals of subsidiaries, associates, or joint ventures[41](index=41&type=chunk) [Pledge of Assets](index=17&type=section&id=Pledge%20of%20Assets) The Group's bank borrowings are secured by property, plant and equipment, and right-of-use assets - Bank borrowings of approximately **HK$28,723 thousand** are secured by property, plant and equipment and right-of-use assets with a carrying value of approximately **HK$62,250 thousand**[42](index=42&type=chunk) [Foreign Exchange Risk](index=18&type=section&id=Foreign%20Exchange%20Risk) The Group primarily faces exchange rate fluctuation risks between RMB, HKD, and USD, but did not enter into any derivative contracts for hedging during the period - The Group primarily faces exchange rate fluctuation risks between Renminbi, Hong Kong Dollars, and US Dollars[43](index=43&type=chunk) - No derivative contracts were entered into during the period to hedge foreign exchange risk[43](index=43&type=chunk) [Contingent Liabilities](index=18&type=section&id=Contingent%20Liabilities) As of the end of the reporting period, the Group had no significant contingent liabilities - The Group had no significant contingent liabilities as of June 30, 2025[44](index=44&type=chunk) [Events After the Reporting Period](index=18&type=section&id=Events%20After%20the%20Reporting%20Period) As of the date of the interim results announcement, the Group had no significant events after the reporting period - No significant events occurred from June 30, 2025, up to the date of the interim results announcement[45](index=45&type=chunk) [Capital Commitments](index=18&type=section&id=Capital%20Commitments) As of the end of the reporting period, the Group had contracted but unprovided capital commitments for plant and equipment - As of June 30, 2025, the Group had contracted but unprovided capital commitments for plant and equipment of approximately **HK$72 thousand**[46](index=46&type=chunk) [Employees and Remuneration Policy](index=18&type=section&id=Employees%20and%20Remuneration%20Policy) The Group's employee count decreased, and it maintains a competitive remuneration package and performance-based incentive policy - As of June 30, 2025, the Group employed approximately **530 employees** (compared to 680 employees in the prior year period)[47](index=47&type=chunk) - Remuneration is determined based on duties, experience, performance, and market practices, with discretionary bonuses distributed[47](index=47&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=18&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20the%20Company%27s%20Listed%20Securities) During the period, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities - For the six months ended June 30, 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[48](index=48&type=chunk) [Corporate Governance](index=19&type=section&id=Corporate%20Governance) This section outlines the Company's adherence to corporate governance principles and practices, including board structure and oversight [Corporate Governance Code](index=19&type=section&id=Corporate%20Governance%20Code) The Company complies with the Corporate Governance Code, though the roles of Chairman and Chief Executive are combined, which the Board believes provides strong leadership - The Company complies with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules[49](index=49&type=chunk) - The roles of Chairman and Chief Executive are combined and held by Mr. Wong Hin Shing, deviating from code provision C.2.1[49](index=49&type=chunk) - The Board believes this arrangement provides strong and consistent leadership for the Company, enabling effective and efficient planning and implementation[49](index=49&type=chunk) [Standard Code for Securities Transactions by Directors](index=19&type=section&id=Standard%20Code%20for%20Securities%20Transactions%20by%20Directors) All directors confirmed compliance with the Standard Code for Securities Transactions by Directors of Listed Issuers throughout the period - The Company has adopted the Standard Code set out in Appendix C3 of the Listing Rules[50](index=50&type=chunk) - All directors confirmed compliance with the Standard Code for the six months ended June 30, 2025[50](index=50&type=chunk) [Audit Committee](index=19&type=section&id=Audit%20Committee) The Audit Committee, comprising three independent non-executive directors, reviewed the Group's accounting policies, internal controls, and interim financial information - The Audit Committee comprises three independent non-executive directors[51](index=51&type=chunk) - The Audit Committee has reviewed the accounting policies and practices adopted by the Group and discussed auditing, internal controls, and financial reporting matters, including the condensed consolidated financial information for the period[51](index=51&type=chunk) [Other Information](index=19&type=section&id=Other%20Information) This section includes details on the publication of interim results, acknowledgements, and the current composition of the Board of Directors [Publication of Interim Results Announcement and Interim Report](index=19&type=section&id=Publication%20of%20Interim%20Results%20Announcement%20and%20Interim%20Report) This results announcement has been published on the HKEX and the Company's website, with the interim report to be provided to shareholders in due course - This results announcement is published on the website of The Stock Exchange of Hong Kong Limited and the Company's website[52](index=52&type=chunk) - The interim report will be made available to shareholders and dispatched to shareholders in due course, and will also be published on the HKEX website and the Company's website[52](index=52&type=chunk) [Acknowledgement](index=20&type=section&id=Acknowledgement) The Chairman of the Board extends gratitude to all employees, shareholders, customers, suppliers, and business partners on behalf of the Board - Mr. Wong Hin Shing, the Chairman of the Board, on behalf of the Board, extends gratitude to all employees, shareholders, customers, suppliers, and business partners of the Group[53](index=53&type=chunk) [Board Composition](index=20&type=section&id=Board%20Composition) As of the announcement date, the Board of Directors comprises one executive director, one non-executive director, and three independent non-executive directors - As of the date of this announcement, the Board comprises Mr. Wong Hin Shing (Executive Director), Mr. Choi Sum Shing (Non-executive Director), and Mr. Sheng Baojun, Mr. Ho Kwong Yu, and Ms. Lin Lin (Independent Non-executive Directors)[53](index=53&type=chunk)