[Performance Summary](index=1&type=section&id=Performance%20Summary) This section provides an overview of the Group's financial performance and position, highlighting key figures from the consolidated statements of profit or loss and financial position [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=1&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) The Group recorded a loss of **145,279 thousand HKD** for the year ended June 30, 2025, an increase from **133,409 thousand HKD** in 2024, driven by a **92.7%** revenue growth but exacerbated by fair value losses on investment properties and increased operating expenses | Metric | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 43,805 | 22,733 | 92.7% | | Cost of sales and services | (20,434) | (9,142) | 123.5% | | Gross profit | 23,371 | 13,591 | 72.0% | | Other gains and losses | (122,506) | (96,558) | 26.9% | | Operating loss | (139,068) | (127,453) | 9.1% | | Loss for the year | (145,279) | (133,409) | 8.9% | | Basic loss per share (HK cents) | (9.38) | (9.29) | 1.0% | [Consolidated Statement of Financial Position](index=3&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the Group's total assets less current liabilities were **417,945 thousand HKD**, a **25.9%** decrease from 2024, reflecting a significant reduction in investment properties within non-current assets and an expanded net current liabilities, indicating financial pressure | Metric | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Total non-current assets | 526,691 | 658,992 | -20.1% | | Total current assets | 29,805 | 46,476 | -35.9% | | Total current liabilities | 138,551 | 141,354 | -2.0% | | Net current liabilities | (108,746) | (94,878) | 14.6% | | Net assets | 398,861 | 543,409 | -26.6% | | Total equity | 398,861 | 543,409 | -26.6% | [Notes to the Consolidated Financial Statements](index=5&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) This section provides detailed notes to the consolidated financial statements, covering accounting policies, significant judgments, and breakdowns of key financial figures [Basis of Preparation and Going Concern](index=5&type=section&id=1.%20编制基準及持续经营) The consolidated financial statements are prepared in accordance with Hong Kong Financial Reporting Standards, despite the Group facing significant going concern uncertainties due to a **145,279 thousand HKD** loss and **108,746 thousand HKD** net current liabilities in FY2025, which the Board believes are mitigated by various measures [Basis of Preparation](index=5&type=section&id=1.%20編製基準) The consolidated financial statements are prepared in accordance with all applicable Hong Kong Financial Reporting Standards issued by the HKICPA and comply with the disclosure requirements of the Listing Rules and the Companies Ordinance - The financial statements are prepared in accordance with Hong Kong Financial Reporting Standards (including HKFRSs, HKASs, and Interpretations) issued by the Hong Kong Institute of Certified Public Accountants[7](index=7&type=chunk) - The statements also comply with the disclosure requirements of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and the Companies Ordinance (Cap. 622)[7](index=7&type=chunk) [Material Uncertainty Related to Going Concern and Mitigating Factors](index=5&type=section&id=Material%20Uncertainty%20Related%20to%20Going%20Concern%20and%20Mitigating%20Factors) The Group faces significant going concern uncertainties due to a **145,279 thousand HKD** loss and **108,746 thousand HKD** net current liabilities in FY2025, which the Board has assessed and addressed with mitigating measures including shareholder support, undrawn bank facilities, and cost control strategies - As of June 30, 2025, the Group incurred a loss of approximately **145,279 thousand HKD** and had net current liabilities of approximately **108,746 thousand HKD**, constituting a material uncertainty related to going concern[8](index=8&type=chunk) - The Board has prepared cash flow forecasts for the 18 months ending December 31, 2026, and believes the Group has sufficient working capital to meet current requirements[8](index=8&type=chunk) - Mitigating factors include scheduled repayment of secured bank loans, Gold Seal Holdings Limited's agreement not to demand repayment of approximately **11,687 thousand HKD** owed by the Group, **65,000 thousand HKD** in undrawn bank facilities, and strategies to enhance revenue and control costs[10](index=10&type=chunk) [Adoption of New and Revised Hong Kong Financial Reporting Standards](index=6&type=section&id=2.%20采纳新订及经修訂香港財務報告準則會計準則) The Group has adopted several HKFRS amendments effective July 1, 2024, with no material impact on prior or current periods, while the Board is evaluating the potential significant effects of HKFRS 18 on financial statement presentation and disclosure, which is issued but not yet effective - The Group has initially applied amendments to HKAS 1, HK(IFRIC)-Int 5, and HKAS 7 & HKFRS 7, which had no material impact on prior or current periods[11](index=11&type=chunk) - HKFRS 18 (Presentation and Disclosure in Financial Statements), effective January 1, 2027, is expected to introduce significant changes to financial statement presentation, including profit or loss structure, disclosure of management-defined performance measures, and aggregation and disaggregation requirements[12](index=12&type=chunk)[13](index=13&type=chunk) [Standards Applied](index=6&type=section&id=2.(a)%20應用新訂及經修訂香港財務報告準則會計準則) The Group has adopted several HKFRS amendments effective July 1, 2024, including those on liability classification, non-current liabilities with covenants, classification of term loans with demand clauses, and supplier finance arrangements, none of which had a material impact on amounts recognized in prior periods - The Group has initially applied amendments to HKAS 1 regarding the classification of liabilities and non-current liabilities with covenants[11](index=11&type=chunk) - Amendments to HK(IFRIC)-Int 5 concerning the classification by a borrower of a term loan with a repayment on demand clause, and HKAS 7 & HKFRS 7 regarding supplier finance arrangements, have also been applied[11](index=11&type=chunk) - These amendments and interpretations had no material impact on amounts recognized in prior periods and are not expected to have a significant impact on the current or future periods[11](index=11&type=chunk) [Standards Issued But Not Yet Effective](index=6&type=section&id=2.(b)%20已頒佈但尚未生效之經修訂香港財務報告準則會計準則) The HKICPA has issued several new standards and amendments not yet effective, notably HKFRS 18 (Presentation and Disclosure in Financial Statements), which is expected to significantly alter financial statement presentation, including profit or loss structure, disclosure of management-defined performance measures, and aggregation and disaggregation requirements, with the Board currently assessing its impact - HKFRS 18 (Presentation and Disclosure in Financial Statements), effective January 1, 2027, will replace HKAS 1[12](index=12&type=chunk)[13](index=13&type=chunk) - This standard will introduce significant changes, focusing on financial performance information presented in the statement of profit or loss, thereby impacting the presentation and disclosure of financial statements[13](index=13&type=chunk) - Key changes involve the structure of the statement of profit or loss, required disclosures for management-defined performance measures, and enhanced requirements for aggregation and disaggregation of information[13](index=13&type=chunk) [Revenue](index=7&type=section&id=3.%20收%20益) Total revenue for FY2025 was **43,805 thousand HKD**, a **92.7%** increase from **22,733 thousand HKD** in 2024, primarily driven by a significant rise in goods sales, while rental income remained stable | Revenue Source | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Sale of goods | 34,794 | 13,525 | 157.2% | | Autonomous mobile robot solutions and related services | 330 | 527 | -37.4% | | Rental income | 8,681 | 8,681 | 0.0% | | **Total Revenue** | **43,805** | **22,733** | **92.7%** | - Revenue recognized at a point in time from the transfer of products was **34,794 thousand HKD** (2024: **13,525 thousand HKD**), while revenue from services transferred over time was **330 thousand HKD** (2024: **527 thousand HKD**)[15](index=15&type=chunk) [Segment Information](index=7&type=section&id=4.%20分部資料) The Group primarily operates in property investment and R&D segments, with R&D revenue significantly growing by **150%** in FY2025 while property investment revenue remained flat, and Finland's revenue contribution notably increased, with major customer revenue concentrated in these two segments - The Group has two operating segments: property investment (leasing of investment properties) and research and development (R&D, production, and sales of high-tech products and solutions)[16](index=16&type=chunk)[18](index=18&type=chunk) | Segment | 2025 Revenue (thousand HKD) | 2024 Revenue (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Property Investment | 8,681 | 8,681 | 0.0% | | R&D | 35,124 | 14,052 | 150.0% | | **Total** | **43,805** | **22,733** | **92.7%** | [Operating Segments](index=7&type=section&id=Operating%20Segments) The Group operates property investment and R&D segments; in FY2025, property investment generated **8,681 thousand HKD** revenue with a **105,320 thousand HKD** segment loss, while R&D generated **35,124 thousand HKD** revenue with a **6,739 thousand HKD** segment loss, showing significant R&D revenue growth but expanded property investment loss due to fair value losses on investment properties - The Group has two reportable operating segments: property investment (leasing of investment properties) and research and development (R&D, production, and sales of high-tech products and solutions)[16](index=16&type=chunk)[18](index=18&type=chunk) | Segment | 2025 Revenue (thousand HKD) | 2025 Segment Loss (thousand HKD) | 2024 Revenue (thousand HKD) | 2024 Segment Loss (thousand HKD) | | :--- | :--- | :--- | :--- | :--- | | Property Investment | 8,681 | (105,320) | 8,681 | (95,458) | | R&D | 35,124 | (6,739) | 14,052 | (13,800) | | **Total** | **43,805** | **(112,059)** | **22,733** | **(109,258)** | - The primary non-cash item for the property investment segment was fair value loss on investment properties, amounting to **111,439 thousand HKD** in 2025 and **100,300 thousand HKD** in 2024[19](index=19&type=chunk) [Geographical Information](index=9&type=section&id=地區資料) In FY2025, revenue contribution from Finland significantly increased by **145.1%** from **13,147 thousand HKD** in 2024 to **32,220 thousand HKD**, while Hong Kong's revenue remained stable, and other regions also saw growth | Region | 2025 Revenue (thousand HKD) | 2024 Revenue (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Hong Kong | 8,681 | 8,681 | 0.0% | | Finland | 32,220 | 13,147 | 145.1% | | Others | 2,904 | 905 | 220.9% | | **Consolidated Total** | **43,805** | **22,733** | **92.7%** | - The Group's non-current assets (excluding certain property, plant, and equipment) are primarily located in Hong Kong[21](index=21&type=chunk) [Revenue from Major Customers](index=9&type=section&id=來自主要客戶之收益) In FY2025, customer A's revenue in the property investment segment remained stable at **8,681 thousand HKD**, while R&D segment customers B, C, and D experienced significant growth, with customer B's revenue increasing by **481.3%** from **1,329 thousand HKD** to **7,726 thousand HKD** | Customer | Segment | 2025 Revenue (thousand HKD) | 2024 Revenue (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | :--- | | Customer A | Property Investment | 8,681 | 8,681 | 0.0% | | Customer B | R&D | 7,726 | 1,329 | 481.3% | | Customer C | R&D | 5,181 | 2,046 | 153.2% | | Customer D | R&D | 3,865 | 1,768 | 118.6% | [Other Income](index=9&type=section&id=5.%20其他收入) Other income for FY2025 was **630 thousand HKD**, a **100.6%** increase from **314 thousand HKD** in 2024, primarily due to higher bank interest income and other miscellaneous income, with government grants no longer recognized | Income Source | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Government grants received | – | 43 | -100.0% | | Bank interest income | 480 | 244 | 96.7% | | Others | 150 | 27 | 455.6% | | **Total** | **630** | **314** | **100.6%** | [Other Gains and Losses](index=10&type=section&id=6.%20其他收益及虧損) Net other gains and losses for FY2025 resulted in a **122,506 thousand HKD** loss, a **26.9%** increase from the **96,558 thousand HKD** loss in 2024, primarily due to increased fair value losses on investment properties and a significant rise in impairment of property, plant, and equipment | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Fair value loss on investment properties | (111,439) | (100,300) | 11.1% | | Fair value gain on financial assets at FVTPL | 138 | 737 | -81.3% | | Fair value gain on convertible bonds | 3,448 | 3,831 | -10.0% | | Gain on dissolution of a subsidiary | – | 4,934 | -100.0% | | Impairment of property, plant and equipment | (15,841) | (6,398) | 147.6% | | Loss on disposal of a subsidiary | (85) | – | N/A | | Net exchange gain | 1,273 | 676 | 88.3% | | **Total** | **(122,506)** | **(96,558)** | **26.9%** | [Finance Costs](index=10&type=section&id=7.%20融資成本) Finance costs for FY2025 were **6,139 thousand HKD**, a **10.1%** increase from **5,577 thousand HKD** in 2024, primarily driven by higher interest on bank borrowings | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Interest on bank borrowings | 5,995 | 5,429 | 10.4% | | Interest on other borrowings | 144 | 148 | -2.7% | | **Total** | **6,139** | **5,577** | **10.1%** | [Income Tax Expense](index=10&type=section&id=8.%20所得稅開支) Income tax expense for FY2025 was **72 thousand HKD**, an **81.0%** decrease from **379 thousand HKD** in 2024, primarily due to reduced Hong Kong profits tax provision for the current year and an adjustment for over-provision in the prior year | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Current tax – Hong Kong profits tax provision for the year | 141 | 319 | -55.8% | | Under/(over) provision in prior year | (69) | 60 | -215.0% | | **Total** | **72** | **379** | **-81.0%** | - Hong Kong profits tax operates under a two-tiered system, with the first **2,000,000 HKD** of assessable profits taxed at **8.25%** and the remainder at **16.5%**[23](index=23&type=chunk) - Enterprise income tax in the People's Republic of China is provided at **25%**[24](index=24&type=chunk) [Loss Per Share](index=11&type=section&id=9.%20每股虧損) Basic loss per share for FY2025 was **9.38 HK cents**, slightly higher than **9.29 HK cents** in 2024, with diluted loss per share being identical due to the anti-dilutive nature of convertible bonds and option exercise prices exceeding the average market price | Metric | 2025 | 2024 | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Loss for the year attributable to owners of the Company (thousand HKD) | 145,144 | 130,130 | 11.5% | | Weighted average number of ordinary shares in issue (shares) | 1,546,826,985 | 1,401,371,757 | 10.4% | | Basic loss per share (HK cents) | (9.38) | (9.29) | 1.0% | | Diluted loss per share (HK cents) | (9.38) | (9.29) | 1.0% | - For the years ended June 30, 2025 and 2024, diluted loss per share was the same as basic loss per share because convertible bonds had an anti-dilutive effect, and the exercise price of share options was higher than the average market price of the shares[26](index=26&type=chunk) [Dividends](index=11&type=section&id=10.%20股%20息) The Company neither paid nor proposed any dividends for the year ended June 30, 2025, and no dividends have been recommended since the end of the reporting period - The Company neither paid nor proposed any dividends for FY2025 and FY2024[27](index=27&type=chunk) [Trade and Other Receivables](index=11&type=section&id=11.%20貿易及其他應收款項) As of June 30, 2025, total trade and other receivables were **5,308 thousand HKD**, a **10.7%** decrease from **5,945 thousand HKD** in 2024, driven by a significant reduction in trade receivables, while other receivables, deposits, and prepayments increased | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Trade receivables | 908 | 2,618 | -65.3% | | Other receivables | 2,110 | 1,582 | 33.4% | | Deposits | 1,307 | 1,108 | 18.0% | | Prepayments | 983 | 637 | 54.3% | | **Total** | **5,308** | **5,945** | **-10.7%** | - The credit period for trade receivables generally ranges from 30 to 90 days from the invoice date, and the Directors regularly review overdue balances[28](index=28&type=chunk) - Trade receivables aged 0 to 90 days were **908 thousand HKD** in 2025, compared to **2,183 thousand HKD** in the same period of 2024, indicating a reduction in overdue amounts[29](index=29&type=chunk) [Trade and Other Payables](index=12&type=section&id=12.%20貿易及其他應付款項) As of June 30, 2025, total trade and other payables were **18,866 thousand HKD**, a **34.0%** increase from **14,078 thousand HKD** in 2024, driven by significant increases in trade payables and accrued expenses | Item | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Trade payables | 1,343 | 598 | 124.6% | | Accrued expenses | 5,255 | 3,182 | 65.1% | | Rental deposits received | 3,969 | 3,969 | 0.0% | | Other payables | 8,299 | 6,329 | 31.1% | | **Total** | **18,866** | **14,078** | **34.0%** | - The carrying amounts of trade payables are denominated in Euro[29](index=29&type=chunk) [Extracts from Independent Auditor's Report](index=13&type=section&id=Extracts%20from%20Independent%20Auditor's%20Report) This section presents key findings from the independent auditor's report, specifically addressing material uncertainties related to the Group's going concern ability [Material Uncertainty Related to Going Concern](index=13&type=section&id=與持續經營有關之重大不確定性) The independent auditor's report highlights a material uncertainty regarding the Group's going concern ability, stemming from a **145,279 thousand HKD** loss and **108,746 thousand HKD** net current liabilities for the year ended June 30, 2025, though the auditor's opinion remains unmodified on this matter - The auditor draws attention to the Group's loss of approximately **145,279 thousand HKD** and net current liabilities of approximately **108,746 thousand HKD** in FY2025[31](index=31&type=chunk) - These conditions indicate the existence of a material uncertainty that may cast significant doubt on the Group's ability to continue as a going concern[31](index=31&type=chunk) - The auditor's conclusion is not modified in respect of this matter, indicating an unmodified opinion on the overall truth and fairness of the financial statements[30](index=30&type=chunk)[31](index=31&type=chunk) [Management Discussion and Analysis](index=13&type=section&id=Management%20Discussion%20and%20Analysis) This section provides management's perspective on the Group's business performance, financial position, and future outlook, including operational highlights and strategic initiatives [Business Review and Outlook](index=13&type=section&id=業務回顧及展望) The Group's FY2025 loss expanded to approximately **145,000 thousand HKD**, primarily due to reduced fair value of investment properties and impairment expenses, while property investment revenue remained stable, and high-tech product development is actively pursuing next-generation technologies, expected to be a significant revenue contributor in the future - The Group recorded a loss of approximately **145,000 thousand HKD** for FY2025, an increase from approximately **133,000 thousand HKD** in FY2024[35](index=35&type=chunk) - The loss was primarily attributable to a decrease in the fair value of investment properties by approximately **111 million HKD** and an impairment expense of **16 million HKD** for leasehold land and buildings[35](index=35&type=chunk) - The Group's principal businesses are property investment and the research and development of high-tech systems and application solutions[34](index=34&type=chunk) [Overall Financial Performance](index=13&type=section&id=Overall%20Financial%20Performance) The Group recorded a loss of approximately **145,000 thousand HKD** in FY2025, an increase from **133,000 thousand HKD** in 2024, primarily due to a **111 million HKD** decrease in fair value of investment properties and **16 million HKD** impairment expense for leasehold land and buildings - The Group recorded a loss of approximately **145,000 thousand HKD** for FY2025, compared to a loss of approximately **133,000 thousand HKD** for the corresponding period in 2024[35](index=35&type=chunk) - The loss was primarily attributable to a decrease in the fair value of investment properties by approximately **111 million HKD** and an impairment expense of **16 million HKD** for leasehold land and buildings[35](index=35&type=chunk) [Property Investment](index=14&type=section&id=物業投資) Property investment business turnover (rental income) for FY2025 was approximately **9,000 thousand HKD**, consistent with 2024, and the Group will continue to identify and explore investment opportunities to strengthen its portfolio - Property investment business turnover (including rental income) for FY2025 was approximately **9,000 thousand HKD**, remaining stable compared to 2024[36](index=36&type=chunk) - The Group will continue to identify and explore investment opportunities to strengthen its investment portfolio[37](index=37&type=chunk) [Development of High-Tech Products](index=14&type=section&id=開發高科技產品) The Group is actively developing next-generation technology applications in imaging, monitoring, navigation, and advanced semiconductor processing with substantial investments, aiming for the technology division to become a significant revenue contributor by the end of the decade, primarily through subsidiaries like Pexray Oy, Navigs Oy, and Dynim Oy - The Group is actively developing next-generation technology applications covering imaging, monitoring, navigation, and advanced semiconductor processing, having made substantial investments[38](index=38&type=chunk) - The goal is for the technology division to become a significant revenue contributor to the Group by the end of this decade[38](index=38&type=chunk) - Total sales of high-tech products for FY2025 were approximately **32,000 thousand HKD**[40](index=40&type=chunk) [Pexray Oy (Portable X-ray Detection Equipment)](index=14&type=section&id=Pexray%20Oy) Pexray Oy develops portable digital X-ray detection equipment for industrial and security applications, with total sales of approximately **32,000 thousand HKD** in FY2025, where non-destructive testing sales surpassed security sales and are the primary growth driver, and a new battery-powered portable X-ray source was launched and first shipped in 2022 - Pexray Oy develops portable digital X-ray detection equipment for industrial and security applications, including weld inspection, corrosion detection, explosive ordnance disposal (EOD), and baggage screening[39](index=39&type=chunk) - Total sales for FY2025 were approximately **32,000 thousand HKD**[40](index=40&type=chunk) - Non-destructive testing sales exceeded security sales, with growth for FY2024-2025 and FY2025-2026 primarily driven by non-destructive testing sales[42](index=42&type=chunk) - Pexray launched a new battery-powered portable X-ray source in 2022, with first shipments in April 2022, marketed as a standalone product in the non-destructive testing market[42](index=42&type=chunk) [Navigs Oy (GNSS and Imaging Positioning)](index=15&type=section&id=Navigs%20Oy) Navigs Oy specializes in advanced GNSS and imaging positioning solutions for precision agriculture, off-highway industrial vehicles, marine navigation systems, and drones, with a product portfolio including IPESSA Tiny, Base Station (first delivered December 2023), Nano (shipped FY2023-24), and Yaw Bar (sales commenced) - Navigs Oy develops state-of-the-art GNSS and imaging positioning solutions for precision agriculture, off-highway industrial vehicles, marine navigation systems, and drones[43](index=43&type=chunk) - The product portfolio includes IPESSA Tiny (prototype completed early 2021, customer trials finished), IPESSA Base Station (first base station delivered December 2023), IPESSA Nano (first units shipped in FY2023-24), and IPESSA Yaw Bar (sales commenced)[43](index=43&type=chunk) [Dynim Oy and RTK VINS Project Portfolio (Advanced Navigation Platform)](index=16&type=section&id=Dynim%20Oy及RTK%20VINS项目组合) Dynim Oy collaborates with sister companies to develop the RTK VINS series, providing high-precision, scalable positioning, sensing, and connectivity solutions for next-generation autonomous systems, with the portfolio including RTK VINS AI (NVIDIA-based, Q4 2025 release expected), RTK VINS Lite (Qualcomm-based, Android version entering new manufacturing cycle), and RTK VINS Dual Core (STM-based, first batch for testing in Q3 2025) - Dynim Oy collaborates with sister companies to develop the RTK VINS series, offering positioning, sensing, and connectivity features, aiming to provide high-precision, scalable solutions for next-generation autonomous systems[44](index=44&type=chunk)[51](index=51&type=chunk) - The RTK VINS AI (NVIDIA-based) prototype faces stereo synchronization and driver issues, with the first version expected to be released in Q4 2025[45](index=45&type=chunk) - The Android version of RTK VINS Lite (Qualcomm-based) is entering a new three-month manufacturing cycle[46](index=46&type=chunk) - The RTK VINS Dual Core (STM-based) mainboard has completed manufacturing and testing, with the first batch to be sent for further testing and development in Q3 2025[49](index=49&type=chunk) - Dynim will market its products under the Dynim brand in the EU market and is actively expanding its engineering team in Vietnam[50](index=50&type=chunk) [Liquidity, Financial Resources and Capital Structure](index=18&type=section&id=流動資金、財政資源及資本架構) As of June 30, 2025, the Group had net current liabilities of approximately **109,000 thousand HKD**, a current ratio of **0.22**, and bank balances and cash of approximately **19,000 thousand HKD**, with total liabilities around **158,000 thousand HKD** and a debt-to-capital ratio of approximately **28%**, with most assets and borrowings denominated in HKD, posing no significant exchange rate risk - As of June 30, 2025, the Group had net current liabilities of approximately **109,000 thousand HKD** and a current ratio of **0.22**[54](index=54&type=chunk) - Bank balances and cash amounted to approximately **19,000 thousand HKD**[54](index=54&type=chunk) Composition of Outstanding Liabilities (June 30, 2025) | Item | Amount (thousand HKD) | | :--- | :--- | | Trade and other payables | 19,000 | | Amounts due to related parties | 13,000 | | Secured bank borrowings | 101,000 | | Other borrowings and liabilities | 25,000 | | **Total** | **158,000** | - The Group's debt-to-capital ratio (total liabilities divided by total assets) was approximately **28%**[55](index=55&type=chunk) - Bank borrowings are secured by investment properties and leasehold land and buildings valued at approximately **162,000 thousand HKD** and **164,000 thousand HKD**, respectively[54](index=54&type=chunk) [Material Investments, Acquisitions and Disposals](index=18&type=section&id=重大投資、收購及出售事項) For the year ended June 30, 2025, the Group had no material acquisitions or disposals of subsidiaries, nor any significant investments - In FY2025, the Group had no material acquisitions or disposals of subsidiaries[56](index=56&type=chunk) - As of June 30, 2025, the Group had no material investments[57](index=57&type=chunk) [Employees and Remuneration Policy](index=18&type=section&id=僱員及薪酬政策) As of June 30, 2025, the Group had a total of **43** employees, with remuneration determined based on market conditions - As of June 30, 2025, the Group had a total of **43** employees[58](index=58&type=chunk) - Employee remuneration is determined based on market conditions[58](index=58&type=chunk) [Contingent Liabilities](index=18&type=section&id=或然負債) As of June 30, 2025, the Group had no material contingent liabilities - As of June 30, 2025, the Group had no material contingent liabilities[59](index=59&type=chunk) [Share Purchases and Redemptions](index=18&type=section&id=買賣及贖回股份) For the year ended June 30, 2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed shares - In FY2025, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed shares[60](index=60&type=chunk) [Issue of New Shares upon Redemption of Convertible Bonds](index=19&type=section&id=就贖回可換股票據而發行新股份) Convertible bonds due November 23, 2024, were converted into **243,661,670** new conversion shares, credited as fully paid, on November 25, 2024, instead of being repaid in cash - Convertible bonds due November 23, 2024, were settled by issuing conversion shares rather than cash repayment[61](index=61&type=chunk) - On November 25, 2024, outstanding convertible bonds were converted into **243,661,670** new conversion shares, credited as fully paid[61](index=61&type=chunk) [Board Diversity and Compliance with Listing Rules](index=19&type=section&id=董事會成員多元化及遵守上市規則) In accordance with Listing Rule 13.92, the Company must appoint at least one director of a different gender by December 31, 2024, to meet diversity requirements, and is actively seeking suitable candidates to fill the necessary board positions - Under Listing Rule 13.92, a single-gender board does not meet diversity requirements, and issuers must appoint at least one director of a different gender by December 31, 2024[62](index=62&type=chunk) - The Company is committed to identifying and appointing suitable candidates to fill the required board positions as soon as possible[62](index=62&type=chunk) [Update on HKEX's Decision Regarding Listing Rule 13.24](index=19&type=section&id=有關聯交所就上市規則第13.24條所作決定的最新資料) The HKEX Listing Department has determined that the Company failed to maintain sufficient operations and assets of sufficient value under Listing Rule 13.24, leading to the suspension of its shares from trading since November 27, 2024, and requiring compliance within 18 months to avoid delisting - The HKEX Listing Department has determined that the Company failed to maintain a sufficient level of operations and assets of sufficient value as required by Listing Rule 13.24[63](index=63&type=chunk) - The Company's shares have been suspended from trading on the HKEX since November 27, 2024, and will remain suspended until further notice[63](index=63&type=chunk) - The Company must take necessary actions to demonstrate compliance with Listing Rule 13.24 within 18 months from November 27, 2024, otherwise the HKEX may cancel the listing of its shares[63](index=63&type=chunk) [Other Information](index=19&type=section&id=Other%20Information) This section includes additional disclosures on corporate governance, regulatory compliance, and other pertinent information regarding the Company's operations [Review of Annual Results](index=19&type=section&id=審閱末期業績) The Audit Committee has reviewed the Group's annual results for the year ended June 30, 2025 - The Audit Committee has reviewed the Group's annual results for the year ended June 30, 2025[65](index=65&type=chunk) [Corporate Governance](index=20&type=section&id=企業管治) The Company complied with all code provisions of the Corporate Governance Code in FY2025, with exceptions including insufficient board gender diversity, non-attendance of some independent non-executive directors at general meetings, and the roles of Chairman and Chief Executive Officer being held by the same individual - The Company complied with all code provisions of the Corporate Governance Code as set out in Appendix C1 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited for FY2025, with certain exceptions[66](index=66&type=chunk) - A board diversity policy has been adopted, but a suitable female director has not yet been identified[69](index=69&type=chunk) - Certain independent non-executive directors were unable to attend the annual general meeting due to other commitments[69](index=69&type=chunk) - Dr. Weng Shihu, the Chairman, temporarily holds the position of Chief Executive Officer, a structure the Board believes provides strong leadership and efficient business planning[69](index=69&type=chunk) [Continued Suspension of Trading](index=20&type=section&id=繼續暫停買賣) The Company's shares have been suspended from trading on the HKEX since 9:00 a.m. on November 27, 2024, and will remain suspended until further notice, with the Company advising shareholders and potential investors to exercise caution when dealing in its securities - The Company's shares have been suspended from trading on the HKEX since 9:00 a.m. on November 27, 2024[67](index=67&type=chunk) - Trading in the shares will remain suspended until further notice[67](index=67&type=chunk) - The Company advises shareholders and potential investors to exercise caution when dealing in the Company's securities[68](index=68&type=chunk)

Revenue Performance - For the six months ended June 30, 2025, the company's revenue decreased by approximately RMB 52.9 million or 36.2% due to a challenging market environment [12]. - Revenue for the six months ended June 30, 2025, was RMB 93,156 thousand, a decrease of 36.2% compared to RMB 146,086 thousand for the same period in 2024 [65]. - The company's main revenue source, DHA products, contributed approximately 99.0% of total revenue for the six months ended June 30, 2025, down from 96.2% in the same period of 2024 [13]. - The average selling price of DHA products decreased from approximately RMB 210.3 to RMB 189.8 per unit, reflecting increased competition and consumer downgrade in the Chinese economy [16]. - Major customers contributing over 10% of total revenue included Customer B with RMB 21,450,000 and Customer A with RMB 11,851,000 for the six months ended June 30, 2025 [88]. Profitability and Expenses - Gross profit for the six months ended June 30, 2025, was approximately RMB 62.3 million, a decline of 40.7% compared to the previous period [16]. - The gross profit margin slightly decreased to 66.8% from 71.8% in the same period of 2024, primarily due to pricing pressure from competition [16]. - Profit attributable to owners decreased by 95.3% to approximately RMB 2.1 million for the six months ended June 30, 2025, down from RMB 45.3 million in the same period of 2024 [21]. - The company reported a net profit of RMB 2,129 thousand for the six months ended June 30, 2025, a significant decline from RMB 45,281 thousand in the previous year [65]. - The total tax expense for the six months ended June 30, 2025, was RMB 10,286,000, an increase from RMB 6,418,000 in the same period of 2024 [94]. - The company’s total comprehensive loss for the six months ended June 30, 2025, was RMB 4,400,000, compared to a total comprehensive income of RMB 48,130,000 for the same period in 2024 [69]. Operating Costs - The company's sales cost for the six months ended June 30, 2025, was approximately RMB 30.9 million, a decrease of 24.9% from RMB 41.1 million in the previous period [15]. - Sales and distribution expenses for the six months ended June 30, 2025, were approximately RMB 38.9 million, compared to RMB 48.1 million for the same period in 2024, reflecting a decrease [18]. - Administrative and other operating expenses increased to approximately RMB 14.5 million for the six months ended June 30, 2025, from RMB 12.1 million in the same period of 2024 [19]. - Other income decreased from approximately RMB 12.8 million to RMB 4.2 million, mainly due to a reduction in government subsidies [17]. Cash Flow and Financial Position - The company has a cash and cash equivalents balance of RMB 423,300 thousand as of June 30, 2025, an increase from RMB 235,817 thousand at the end of 2024 [66]. - The net cash generated from operating activities for the six months ended June 30, 2025, was RMB 13,906,000, a decrease of 56.8% compared to RMB 32,193,000 for the same period in 2024 [71]. - The net cash generated from investing activities was RMB 2,217,000, compared to RMB 459,000 in the previous year, indicating a significant increase [71]. - The net cash generated from financing activities was RMB 171,402,000, a substantial increase from a net cash used of RMB 1,758,000 in the prior year [71]. - The group maintained a prudent treasury policy, ensuring a healthy level of liquidity throughout the reporting period [28]. Share Capital and Dividends - The board has resolved not to recommend an interim dividend for the six months ended June 30, 2025 [32]. - The company declared a final dividend of RMB 0.05 per ordinary share for the year 2024, totaling RMB 50,000,000 [97]. - The group had no bank loans as of June 30, 2025, and completed a global offering of 250 million shares at HKD 0.80 per share, which is expected to support future business development [23]. - The net proceeds from the global offering amounted to approximately HKD 124.0 million, with HKD 99.3 million remaining unutilized as of June 30, 2025 [59]. - The company completed a global offering on January 10, 2025, issuing 250,000,000 new ordinary shares at a price of HKD 0.8 per share, raising a total of HKD 200,000,000 (approximately RMB 188,260,000) [108]. Employee and Management Compensation - The group employed 50 staff as of June 30, 2025, with employee costs amounting to approximately RMB 6.4 million for the six months ended June 30, 2025, compared to RMB 6.2 million in the same period of 2024 [30]. - The remuneration for key management personnel, including directors, increased to RMB 3,189,000 for the six months ended June 30, 2025, compared to RMB 1,693,000 for the same period in 2024 [110]. - The company experienced a decrease in discretionary bonuses for management, from RMB 294,000 in 2024 to RMB 48,000 in 2025 [110]. - The contributions to defined contribution plans for management personnel increased from RMB 200,000 in 2024 to RMB 454,000 in 2025 [110]. Governance and Compliance - The company’s directors and senior executives are required to disclose their interests in shares and related securities under the Securities and Futures Ordinance [41]. - The company has not received any notifications from individuals regarding their shareholdings that require disclosure under the Securities and Futures Ordinance as of June 30, 2025 [44]. - The company’s governance structure allows for the board to determine the eligibility of participants in the stock option plan based on various factors [47]. - The company’s directors may seek independent professional advice when necessary, with costs borne by the company [39].

中期報告 2025 INTERIM REPORT 2025 | | | | | | 第一節 重要提示 2 1.1 本公司董事會、監事會及董事、監事、高級管理人員保證半年度報告內容的真實、準 確、完整，不存在虛假記載、誤導性陳述或重大遺漏，並承擔個別和連帶的法律責任 。 1.2 本公司董事長朱欣光、主管會計工作負責人劉可佳及會計機構負責人(會計主管人員) 林彬聲明：保證本半年度報告中財務報告的真實、準確、完整。 1.3 本報告經二零二五年八月二十七日召開的十屆十五次董事會會議審議並批准。所有董 事均已出席審議本報告的董事會會議。 1.4 本集團按照《中國企業會計準則》和《國際財務報告準則》編製截至二零二五年六月 三十日止六個月業績未經審計。本公司董事會審核（審計）委員會已審閱並確認本公 司二零二五年半年度業績。審核（審計）委員會同意本公司截至二零二五年六月三十 日止六個月的未經審計半年度帳目所采納的財務會計原則、準則及方法。 1.5 本公司計劃不派發現金紅利，不送紅股，不以公積金轉增股本。 1.6 按照國際財務報告準則編製的綜合營業額為人民幣7,729萬元。 1.7 本公司股權持有人應佔虧損為人民幣516萬元。 ...

中證國際有限公司 (於百慕達註冊成立之有限公司) (股份代號: 943) 2024/2025 年 報 目錄 | | 頁次 | | --- | --- | | 公司資料 | 2 | | 董事報告書 | 3 | | 董事及高級管理人員之履歷資料 | 5 | | 管理層討論及分析 | 9 | | 企業管治報告 | 22 | | 董事會報告書 | 33 | | 獨立核數師報告書 | 41 | | 綜合損益及其他全面收益表 | 48 | | 綜合財務狀況表 | 50 | | 綜合權益變動表 | 52 | | 綜合現金流量表 | 53 | | 綜合財務報表附註 | 55 | | 五年財務概要 | 130 | 中證國際有限公司 | 二零二四年╱二零二五年年報 1 公司資料 董事 執行董事 譚立維先生 （副主席） 劉力揚先生 非執行董事 Lim Kim Chai先生，太平紳士 獨立非執行董事 侯志傑先生 梁志雄先生 李漢權先生 楊紉桐女士 審核委員會 李漢權先生 （主席） 侯志傑先生 梁志雄先生 楊紉桐女士 中匯安達會計師事務所有限公司 香港 九龍九龍灣 宏照道38號 企業廣場五期2座23樓 恒生銀行有限公司 香港上海滙豐銀 ...

Financial Performance - Revenue for the first half of 2025 reached RMB 106,380 thousand, a significant increase of 734.6% compared to RMB 12,746 thousand in the same period of 2024[10] - The segment profit for films, series, and non-series was RMB 7,167 thousand, improving by 298.5% from a loss of RMB 3,611 thousand in the previous year[10] - The company reported a profit attributable to owners of RMB 7,040 thousand, a remarkable turnaround from a loss of RMB 110 thousand in the same period last year, representing a 6500.0% increase[10] - The company reported revenue of RMB 106,380,000 for the six months ended June 30, 2025, an increase of 734.6% from RMB 12,746,000 in the previous period[19] - Revenue from the film, series, and non-series segment surged to RMB 95,343,000, up 4102.0% from RMB 2,269,000 in the previous period[29] - The company achieved a segment profit margin of 7.5% in the film, series, and non-series segment, compared to a loss in the previous period[29] - The group recorded a profit of RMB 6,733,000 in the current period, compared to a loss of RMB 3,254,000 in the previous period, driven by the release of new series and participation in project productions[39] - The company reported a profit attributable to shareholders of RMB 7,040,000 for the six months ended June 30, 2025, compared to a loss of RMB 110,000 for the same period in 2024[102] Financial Position - The total assets decreased by 10.5% to RMB 458,540 thousand from RMB 512,559 thousand at the end of December 2024[10] - The total liabilities were reduced by 46.2% to RMB 56,876 thousand, down from RMB 105,767 thousand in December 2024[10] - The current ratio improved to 8.0 from 4.8, indicating a stronger liquidity position[10] - Cash and bank balances decreased from RMB 318,150,000 to RMB 284,908,000, indicating a stable financial position[48] - The company’s equity attributable to owners decreased to RMB 426,175,000 from RMB 430,508,000[85] - The company’s total liabilities decreased from RMB 105,021,000 to RMB 56,876,000, indicating improved financial stability[84] Market Trends - The Hong Kong film industry faced a 6% decline in total box office revenue in 2024, amounting to approximately HKD 1.34 billion[16] - The local film box office revenue surpassed Hollywood films for the first time since 2004, indicating a growing support for local productions[16] - The OTT market in Hong Kong is projected to grow at a compound annual growth rate (CAGR) of 4.6% over the next five years, driven by changing consumer habits[18] - The Hong Kong government invested a total of HKD 4.3 billion in 2023 to support the film industry through various funding programs[17] Operational Highlights - The series "The Enforcers" premiered in May 2025, achieving a peak viewership rating of 24.5 points and attracting approximately 1.58 million viewers in Hong Kong[26] - The company plans to start filming a new 22-episode series titled "Behind the Glamour" in 2025, featuring prominent actors[22] - The company is actively expanding partnerships with key business partners and investors in mainland China and the Asia-Pacific region to develop competitive film and television projects[26] - The company manages around 50 artists, including well-known actors and popular singers, enhancing its talent pool for various projects[24] Cost and Expenses - Sales cost increased significantly from RMB 2,921,000 in the previous period to RMB 79,224,000 in the current period, primarily due to the release of the series "The Enforcers" and associated production costs[31] - Other income and losses decreased by 20.5% from RMB 7,119,000 to RMB 5,663,000, mainly due to reduced interest income from bank deposits following interest rate cuts[32] - Selling and distribution expenses dropped by 85.0% from RMB 1,316,000 to RMB 198,000, attributed to a decrease in advertising and promotional activities for artist and event management[33] - Administrative expenses decreased by 22.7% from RMB 15,217,000 to RMB 11,769,000, due to a reduction in employee numbers and other operational costs[34] Investments and Assets - Investments in films, series, and non-series increased from RMB 55,250,000 to RMB 118,923,000, mainly due to new co-productions during the review period[40] - Trade receivables from third parties increased significantly from RMB 4,833,000 to RMB 28,707,000, primarily due to amounts receivable from the aired series "The Enforcers"[42] - Contract liabilities decreased by 69.1% from RMB 60,819,000 to RMB 18,778,000, mainly due to the airing of "The Enforcers" on the Youku platform[45] - The total trade receivables amounted to RMB 42,750,000 as of June 30, 2025, up from RMB 18,863,000 as of December 31, 2024[109] Shareholder Information - The company does not recommend the payment of an interim dividend for the six months ending June 30, 2025, consistent with the previous period[55] - As of June 30, 2025, Mr. Li Ruigang holds 425,000,000 shares, representing approximately 29.94% of the company's equity[64] - The total number of issued shares as of June 30, 2025, is 1,419,610,000[66] Compliance and Governance - The company has complied with the corporate governance code as per the Hong Kong Stock Exchange listing rules during the review period[56] - The company has adopted the standard code for securities transactions by directors, confirming compliance by all directors during the review period[57] Employee and Management Compensation - The total compensation for directors and key management personnel for the six months ended June 30, 2025, was RMB 3,394,000, an increase from RMB 2,902,000 in the same period of 2024, representing a growth of approximately 17%[122] - Employee costs, including director remuneration, totaled RMB 8,524 thousand for the six months ended June 30, 2025, down from RMB 10,327 thousand in 2024, representing a decrease of approximately 17%[101] Foreign Exchange and Fair Value - The company experienced a foreign exchange loss of RMB 11,861,000 due to currency translation adjustments[85] - The fair value of private equity investments as of January 1, 2024, was RMB 24,960,000, with a fair value loss of RMB (25,809,000) reported by December 31, 2024[124] - The discount rate used for fair value measurement is 22.0% as of December 31, 2024, consistent with the previous year, indicating stable capital cost assumptions[123]

Financial Performance - The company reported a revenue increase of 15% year-over-year, reaching RMB 1.2 billion in the interim period[1]. - Operating profit margin improved to 22%, up from 18% in the previous year[1]. - Cash flow from operations increased by 12%, totaling RMB 300 million, indicating strong financial health[1]. - Revenue increased by approximately 8.6% from approximately RMB447.5 million for the six months ended 30 June 2024 to approximately RMB485.9 million for the six months ended 30 June 2025[64]. - Revenue from city services rose by approximately 12.6% from approximately RMB288.3 million to approximately RMB324.7 million, driven by new projects[64]. - Revenue from commercial property management services increased by approximately 4.5% from approximately RMB119.4 million to approximately RMB124.8 million[64]. - Revenue from property leasing services decreased by approximately 46.1% from approximately RMB7.6 million to approximately RMB4.1 million due to declining occupancy rates[64]. - Gross profit decreased by approximately 6.0% from approximately RMB88.1 million to approximately RMB82.8 million, mainly due to low gross profit from new projects[70]. - Profit for the period increased from approximately RMB32.4 million for the six months ended 30 June 2024 to approximately RMB33.9 million for the six months ended 30 June 2025, representing a growth of about 4.6%[85][89]. User Growth and Market Expansion - User data showed a growth in active users by 20%, totaling 5 million users as of the end of the reporting period[1]. - The company is expanding its market presence in Southeast Asia, targeting a 30% increase in market share by the end of 2026[1]. - The company provided a positive outlook, projecting a revenue growth of 10-15% for the next quarter[1]. - New product launches contributed to a 25% increase in sales, with three new services introduced during the period[1]. Strategic Initiatives - The company completed a strategic acquisition of a local competitor, expected to enhance service offerings and increase customer base by 15%[1]. - The company plans to invest RMB 200 million in marketing initiatives to boost brand awareness in new markets[1]. - The Group aims to enhance customer loyalty and brand recognition through a diverse range of services[26]. - The Group plans to expand its business coverage to all cities in Jiangsu Province while exploring projects in other provinces, focusing on professionalized services and enhancing core competitiveness[53]. Operational Metrics - Research and development expenses increased by 18%, amounting to RMB 150 million, focusing on technology enhancements[1]. - The average occupancy rate of the Group's leased properties decreased to approximately 24.6% as of June 30, 2025, down from 39.0% in the same period of 2024[49]. - The Group's talent housing project, Jinshan Sunshine Community, achieved a 74% occupancy rate at launch in May 2025, with the overall occupancy rate reaching 95% as of now[58]. - The Group's contracted gross floor area (GFA) reached approximately 28.3 million sq.m. as of June 30, 2025, representing a 57.2% increase compared to June 30, 2024[27]. Financial Position and Assets - Trade receivables increased by approximately 29.4% from approximately RMB438.3 million as of 31 December 2024 to approximately RMB567.0 million as of 30 June 2025, primarily due to the expansion of city services[99][104]. - Total current assets increased by approximately 2.2% from approximately RMB947.9 million as of 31 December 2024 to approximately RMB969.2 million as of 30 June 2025[110]. - Cash and cash equivalents amounted to approximately RMB261.8 million as of 30 June 2025, down from approximately RMB358.1 million as of 31 December 2024[111]. - The value of investment properties decreased from RMB370.0 million as of 30 June 2024 to RMB367.2 million as of 30 June 2025, a decline of approximately 0.8% due to the disposal of certain properties[87][91]. Shareholder and Governance Changes - The shareholders approved adjustments to the business scope and amendments to the Articles of Association on August 19, 2025[147]. - Mr. Wang Hua was appointed as an executive director and chairman of the board on September 25, 2025[151]. - The supervisory committee was dissolved on 13 June 2025, with its duties taken over by the Audit Committee[196]. - The Group actively recruits skilled personnel in property management to support sustainable business growth and provides regular training programs[172]. Future Plans and Investments - The company plans to acquire other property management companies and city services providers, with an allocation of HK$ 52.9 million[164]. - The expected timeline for full utilization of the Net Proceeds for the acquisition of property management companies has been postponed from December 31, 2024, to December 31, 2025, due to a more prudent approach in selecting acquisition targets amid a downturn in the PRC property industry[170]. - The company intends to utilize the net proceeds according to the amended plans outlined in the prospectus[160].

Financial Performance - Revenue for the six months ended June 30, 2025, was RMB 14,787,000, a decrease of 55.4% compared to RMB 33,123,000 in 2024[9]. - Gross profit for the same period was RMB 13,747,000, down 51.5% from RMB 28,330,000 in 2024[9]. - Net loss for the six months was RMB 54,041,000, a reduction of 23.4% compared to RMB 70,560,000 in 2024[9]. - The company's revenue for the reporting period was RMB 148 million, a decrease of 55.4% compared to RMB 331 million for the six months ended June 30, 2024, primarily due to fluctuations in sales volume from the product "Ulitide Long Injection" following a strategic adjustment[58]. - Total operating revenue for the first half of 2025 was RMB 14,787 thousand, a decrease of 55.5% compared to RMB 33,123 thousand in the same period of 2024[113]. - Net loss for the first half of 2025 was RMB 54,041 thousand, an improvement from a net loss of RMB 70,560 thousand in the same period of 2024, representing a reduction of 23.4%[114]. - Basic earnings per share for the first half of 2025 was RMB (0.15), an improvement from RMB (0.20) in the same period of 2024[114]. Research and Development - Research and development expenses amounted to RMB 41,343,000, a decrease of 24.3% from RMB 54,645,000 in 2024[9]. - The company has one commercialized product and 19 items in its research and development pipeline as of the report date[10]. - The core product, Youtidelong injection, was approved by the National Medical Products Administration in 2021 for treating recurrent or metastatic breast cancer[10]. - Clinical trials for new indications of Youtidelong are progressing well, including two Phase III registration studies for non-small cell lung cancer and breast cancer[11]. - The company is expanding its research pipeline, including a Phase II clinical study for first-line treatment of advanced pancreatic cancer[11]. - The company is advancing the development of UTD capsules with ongoing Phase II/III clinical trials for triple-negative breast cancer, advanced gastric cancer, and advanced ovarian cancer[13]. - The company has received IND approval for the Phase II-III trial of UTD capsules in advanced gastric cancer and ovarian cancer, with patient recruitment ongoing[13]. - The ongoing clinical trials reflect the company's commitment to expanding treatment options for patients with difficult-to-treat cancers[31]. Clinical Trials and Product Development - The Phase III trial for UTD injection in HER2-negative breast cancer has enrolled 2/3 of the target patients, with a low incidence of adverse events, indicating good safety[14]. - In the Phase II trial for advanced NSCLC, the overall response rate (ORR) was 19.0% and the disease control rate (DCR) was 81.0%, with a median progression-free survival (PFS) of 4.4 months[15]. - The ongoing Phase III trial for UTD injection in advanced NSCLC has completed approximately 40% of patient enrollment, with manageable adverse events reported[19]. - In the Phase II trial for advanced gastric and esophageal cancer, the combination of UTD with PD-1 inhibitors showed an ORR of 65.2% and a complete response rate (CBR) of 100% in the gastric cancer cohort[19]. - The safety profile of UTD injection in various trials has been favorable, with no treatment-related deaths reported[19]. - The clinical trial of UTD1 combined with bevacizumab for HER2-negative breast cancer brain metastases showed a CNS-ORR of 42.6% and a median PFS of 7.7 months[26]. - The trial for UTD1 combined with capecitabine for breast cancer brain metastases has commenced in the U.S., marking a significant step in the company's international strategy[31]. - The ongoing IIT trial for Uterodalon capsules combined with Capecitabine in advanced breast cancer has shown an ORR of over 54.8% and a CBR of 83.9%[37]. Financial Position and Cash Flow - Cash and cash equivalents as of June 30, 2025, were RMB 468,565,000, a slight increase of 0.4% from RMB 466,636,000 at the end of 2024[9]. - The current ratio improved to 9.8 as of June 30, 2025, compared to 8.8 as of December 31, 2024, indicating better short-term financial stability[70]. - The net value of current assets decreased by 6.8% to RMB 578.1 million as of June 30, 2025, from RMB 620.1 million as of December 31, 2024, due to funding for R&D activities and facility construction[72]. - The company's cash and cash equivalents, along with financial assets, totaled RMB 569.4 million as of June 30, 2025, a decrease of 6.3% from RMB 607.6 million as of December 31, 2024[74]. - Cash inflows from operating activities for the first half of 2025 were RMB 23,955 thousand, down from RMB 38,501 thousand in 2024, representing a decrease of approximately 37.8%[119]. - Cash outflows from operating activities increased to RMB 123,163 thousand in 2025 from RMB 107,963 thousand in 2024, marking an increase of about 14.1%[120]. - The ending cash and cash equivalents balance as of June 30, 2025, was RMB 457,288 thousand, compared to RMB 375,370 thousand at the end of June 2024, indicating an increase of approximately 21.8%[120]. Shareholder Information and Corporate Governance - Tang Li holds a total of 45,304,515 shares, representing 15.86% of the company's total equity, as of June 30, 2025[82]. - Qiu Rongguo also holds 45,304,515 shares, equivalent to 15.86% of the company's total equity, as of June 30, 2025[82]. - Major shareholders include Tang Li and Qiu Rongguo, each with 29.47% and 15.86% of the non-listed shares, respectively[84]. - The company has implemented employee incentive plans in November 2020, January 2021, and January 2022 to recognize and motivate employee contributions[79]. - The company has adopted the corporate governance code of the Hong Kong Stock Exchange as its governance standard[97]. - The board of directors has resolved not to recommend any interim dividend for the six months ended June 30, 2025, consistent with the previous period[102]. Regulatory and Compliance - The company’s financial statements are prepared in accordance with the Chinese Accounting Standards and relevant regulations[128]. - The statutory tax rate for the company's subsidiaries in China is 25%, with a preferential rate of 15% applied during the reporting period[146]. - The company obtained a high-tech enterprise certificate on October 29, 2024, allowing it to enjoy a 15% corporate income tax rate for three years[148]. - The audit committee has reviewed the interim financial statements for the reporting period and confirmed compliance with applicable accounting standards and regulations[104]. - The company plans to enhance communication with compliance advisors to ensure adherence to listing rules and regulations[95].

Financial Performance - Total revenue for the six months ended June 30, 2025, was RMB 328.3 million, a year-on-year increase of 1.3%[9] - Gross profit decreased by 17.3% to RMB 93.3 million compared to RMB 112.7 million in the same period last year[9] - The company reported a loss before tax of RMB 114.6 million, an increase of 36.4% from RMB 84.0 million in the previous year[9] - Adjusted net loss for the period was RMB 74.5 million, a 120.0% increase from RMB 33.8 million in the previous year[9] - Operating loss increased by 36.2% from RMB 84.5 million for the six months ended June 30, 2024, to RMB 115.1 million for the six months ended June 30, 2025[38] - Net loss for the period increased by 37.0% from RMB 82.9 million for the six months ended June 30, 2024, to RMB 113.6 million for the six months ended June 30, 2025[41] - The company reported a basic and diluted loss per share of RMB 1.80, compared to RMB 1.31 in the previous year[121] - The company’s total comprehensive loss for the period was RMB 110,535 thousand, compared to a total comprehensive income of RMB 154,507 thousand in the prior year, highlighting a downturn in overall financial performance[128] User and Market Metrics - The number of registered users reached 34.9 million, while registered drivers totaled 7.1 million[13] - The total gross transaction value (GTV) for the period was RMB 709.2 million, with 5.5 million completed transport orders[13] - The company achieved significant growth in overseas markets, with Hong Kong growing by 15.6% and India by 25.2%[13] - The strategic focus on international expansion resulted in overseas markets contributing 79.2% of total revenue[12] - Revenue from enterprise services reached RMB 233.9 million, reflecting a robust growth of 10.5% year-on-year, and accounted for 71.2% of total revenue[25] Expenses and Cost Management - Sales and marketing expenses decreased by 39.4% from RMB 69.3 million for the six months ended June 30, 2024, to RMB 42.0 million for the six months ended June 30, 2025[31] - General and administrative expenses decreased by 3.7% from RMB 77.4 million for the six months ended June 30, 2024, to RMB 74.5 million for the six months ended June 30, 2025[32] - Research and development expenses increased by 385.3% from RMB 11.6 million for the six months ended June 30, 2024, to RMB 56.3 million for the six months ended June 30, 2025[33] - Employee benefits expenses for the six months ended June 30, 2025, were RMB 79.0 million, a decrease of 15.3% from RMB 93.3 million in 2024[59] Cash Flow and Capital Expenditures - Operating cash used in the first half of 2025 was RMB 115.8 million[20] - Capital expenditures for the six months ended June 30, 2025, amounted to RMB 6.0 million[20] - Cash and cash equivalents amounted to RMB 129.2 million as of June 30, 2025[48] - The company recorded net cash from investing activities of RMB 51,052 thousand for the six months ended June 30, 2025, down from RMB 206,236 thousand in 2024[50] - The ending cash and cash equivalents balance as of June 30, 2025, was RMB 126,389 thousand, down from RMB 359,735 thousand at the end of June 30, 2024, indicating a significant cash reduction[128] Shareholder and Equity Information - Major shareholders include 58同城 with a 37.72% stake and 姚先生 with a 38.59% stake in the company[82] - As of June 30, 2025, the total number of issued ordinary shares was 62,894,739[79] - The company did not declare any interim dividend for the six months ending June 30, 2025[72] - The company has not purchased, sold, or redeemed any of its listed securities during the reporting period[75] Strategic Initiatives and Acquisitions - The company announced the acquisition of 100% equity in Bestar Information Technology Co., Ltd. for HKD 11,922,600 on June 12, 2025[64] - The company aims to seek strategic alliances, investments, and acquisitions in overseas markets, with 20% of the proceeds (HKD 110.9 million) allocated for this purpose[76] - On August 12, 2025, the company completed the acquisition of 100% equity of BITS Solution Limited for a total consideration of HKD 11,922,600, enhancing its capabilities in AI chatbot systems and CRM integration[196] Financial Position and Assets - Total assets decreased to RMB 486,490 thousand from RMB 621,118 thousand at the end of 2024, reflecting a decline of 21.7%[122] - Total liabilities decreased to RMB 300,596 thousand from RMB 324,304 thousand, a reduction of 7.3%[124] - The company’s equity attributable to owners decreased to RMB 189,058 thousand from RMB 299,426 thousand, a decline of 37.0%[122] - The company recognized an impairment loss of RMB 39,000,000 on goodwill during the six months ended June 30, 2025[160] Stock Options and Incentive Plans - The company granted a total of 10,413,446 stock options under the share incentive plan prior to its listing on June 24, 2022[108] - As of June 30, 2025, the number of unexercised stock options granted was 7,638,624, with an average exercise price ranging from $0.001 to $7.8[111] - The company has not granted any new stock options or incentives under the share incentive plan during the reporting period, resulting in zero potential shares to be issued[115] - The total number of stock options under the GoGoVan Cayman plan is capped at 14,901,508 shares, with a vesting period of three years[179] Related Party Transactions - The company provided services to related parties, generating RMB 37 thousand in revenue for the six months ended June 30, 2025[192] - The company incurred rental expenses of RMB 1,919 thousand to entities controlled by Daojia Limited for the six months ended June 30, 2025[192] - The company has maintained a consistent approach to related party transactions, with receivables and payables reflecting stable operational relationships[193]

2025 中報 2025 Interim Report 目錄 | 2 | 公司資料 | | --- | --- | | 4 | 財務摘要 | | 5 | 管理層討論及分析 | | 16 | 其他資料 | | 26 | 中期簡明綜合損益及其他全面收益表 | | 27 | 中期簡明綜合財務狀況表 | | 29 | 中期簡明綜合權益變動表 | | 30 | 中期簡明綜合現金流量表 | | 32 | 中期簡明綜合財務資料附註 | | 45 | 釋義 | 1 上海百心安生物技術股份有限公司 二零二四年年報 公司資料 董事會 執行董事 汪立先生 （董事長、首席執行官兼總經理） 王雲磬先生 （首席財務官、董事會秘書兼聯席公司秘書） 王佩麗女士 獨立非執行董事 陳軼青先生 魯旭波先生 蔣一斐先生 審核委員會 陳軼青先生 （主席） 魯旭波先生 蔣一斐先生 薪酬委員會 魯旭波先生 （主席） 陳軼青先生 蔣一斐先生 提名委員會 蔣一斐先生 （主席） 魯旭波先生 王佩麗女士 （於2025年3月28日任命） 汪立先生 （2025年3月28日起不再擔任成員） 監事 蔡濤先生 （主席） 朱磊先生 王君毅先生 聯席公司秘書 王雲磬先生 郭兆 ...

[Company Information](index=3&type=section&id=%E5%85%AC%E5%8F%B8%E8%B3%87%E6%96%99) [Board of Directors and Management](index=3&type=section&id=%E8%91%A3%E4%BA%8B%E6%9C%83%E5%8F%8A%E7%AE%A1%E7%90%86%E5%B1%A4) This section discloses the composition of the company's Board of Directors (including executive, non-executive, and independent non-executive directors), Supervisory Committee, and various committees (Audit, Nomination, Remuneration and Appraisal, Strategy) - The Board of Directors includes executive directors Dr. WANG QINGHUA (Chairman), Ms. JIANG Fan, Ms. XU Wenjie, Mr. HUANG Bing; non-executive directors Mr. HO KYUNG SHIK, Mr. HENG Lei; and independent non-executive directors Mr. TAO Wuping, Dr. SONG Ruilin, Mr. CHEN Xiangrong[4](index=4&type=chunk) - The Supervisory Committee members include Mr. LE Jianjun, Dr. LI Yuanpeng, and Ms. SHAO Anna[4](index=4&type=chunk) - Mr. CHEN Xiangrong chairs the Audit Committee, Dr. WANG QINGHUA chairs the Nomination Committee, Mr. TAO Wuping chairs the Remuneration and Appraisal Committee, and Dr. WANG QINGHUA chairs the Strategy Committee[4](index=4&type=chunk) [Registration and Contact Information](index=3&type=section&id=%E6%B3%A8%E5%86%8C%E5%8A%9E%E4%BA%8B%E5%A4%84) This section provides detailed contact information including the company's registered office, headquarters and principal place of business in China, principal place of business in Hong Kong, compliance adviser, legal advisers, auditor, H Share registrar, principal bankers, stock code, and company website - The registered office and principal place of business in China are both located at Room 409, Block H, Creative Building, Self-numbered No. 2 Tengfei 2nd Street, Sino-Singapore Guangzhou Knowledge City, Huangpu District, Guangzhou, Guangdong Province, China[4](index=4&type=chunk) - The principal place of business in Hong Kong is located at 40/F, Dah Sing Financial Centre, 248 Queen's Road East, Wan Chai, Hong Kong[4](index=4&type=chunk) - The auditor is Ernst & Young, and the H Share registrar is Tricor Investor Services Limited[5](index=5&type=chunk) - The company's stock code is **2591**, and its website is www.innogenpharm.com[5](index=5&type=chunk) [Financial Highlights](index=5&type=section&id=%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81) [Key Financial Data](index=5&type=section&id=%E8%B4%A2%E5%8A%A1%E6%91%98%E8%A6%81%E8%A1%A8%E6%A0%BC) For the six months ended June 30, 2025, the company recorded its first revenue of **RMB 56,446 thousand**, but loss for the period expanded to **RMB 122,470 thousand**, primarily due to increased R&D and selling expenses, with net assets decreasing from the end of 2024 Key Financial Data for the Six Months Ended June 30, 2025 (RMB thousand) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Revenue | 56,446 | – | N/A | | Cost of sales | (5,956) | – | N/A | | Gross profit | 50,490 | – | N/A | | Other income and gains | 5,242 | 12,104 | -56.69% | | R&D expenses | (99,082) | (51,905) | +90.89% | | Administrative expenses | (31,555) | (30,098) | +4.84% | | Selling and distribution expenses | (44,038) | – | N/A | | Loss before tax | (122,470) | (75,275) | +62.69% | | Loss for the period | (122,470) | (75,275) | +62.69% | Balance Sheet Summary as of June 30, 2025 and December 31, 2024 (RMB thousand) | Metric | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Non-current assets | 81,805 | 95,585 | -14.32% | | Current assets | 857,088 | 839,215 | +2.13% | | Non-current liabilities | 14,456 | 72 | +19977.78% | | Current liabilities | 241,718 | 138,257 | +74.84% | | Net assets | 682,719 | 796,471 | -14.30% | [Management Discussion and Analysis](index=6&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E8%88%87%E5%88%86%E6%9E%90) [Business Review](index=6&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) Since its establishment, the company has focused on drug pipelines for diabetes and other metabolic diseases, with its core product, Isepaglutide α, approved and commercialized in China, while actively pursuing global expansion and multi-indication clinical trials - Since its establishment in 2014, the company has built a pipeline of drug candidates for diabetes and other metabolic diseases, with **Isepaglutide α** as its core product[7](index=7&type=chunk) - Isepaglutide α was approved in China in January 2025 for the treatment of Type 2 Diabetes (T2D) and commercialized in February 2025[7](index=7&type=chunk)[11](index=11&type=chunk) - Isepaglutide α received BLA approval in Macau in June 2025, with BLA applications submitted in Southeast Asian countries and planned submissions in Latin America in the second half of the year[8](index=8&type=chunk)[11](index=11&type=chunk) - Phase IIb/III clinical trials for Isepaglutide α in obesity and overweight started in China in March 2025, expected to complete in Q4 2026; Phase II clinical trials commenced in Australia in August 2025 with the first patient enrolled[8](index=8&type=chunk)[12](index=12&type=chunk) - IND for Isepaglutide α in MASH was approved by FDA (March 2023) and NMPA (March 2025), with plans to initiate multi-center Phase IIa clinical trials in the US and China in 2026[8](index=8&type=chunk)[14](index=14&type=chunk) - Early-stage pipeline includes YN014 (AD), YN401 (T1D/T2D), YN209 (MASH), YN203 (T2D), and YN202 (obesity and overweight), all in IND preparation or submission phase, with IND applications expected in 2025-2026[8](index=8&type=chunk)[15](index=15&type=chunk)[16](index=16&type=chunk) [Financial Review](index=9&type=section&id=%E8%B2%A1%E5%8B%99%E5%9B%9E%E9%A1%A7) During the reporting period, the company achieved its first revenue of **RMB 56.4 million**, primarily from Isepaglutide α sales, with a **gross margin of 89.4%**, but increased R&D and selling and distribution expenses led to an expanded loss for the period - For the six months ended June 30, 2025, the company's revenue was **RMB 56.4 million**, primarily from the sales of Isepaglutide α in the Chinese market[21](index=21&type=chunk) - Cost of sales was **RMB 6.0 million**, gross profit was **RMB 50.5 million**, and the **gross margin was 89.4%**, mainly because manufacturing costs prior to commercial launch were recognized as R&D expenses[22](index=22&type=chunk)[23](index=23&type=chunk) Details of Other Income and Gains (RMB thousand) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Total other income and gains | 5,242 | 12,104 | -56.69% | | Of which: Gain on termination of lease contracts | – | 4,152 | -100% | | Investment income from financial assets | 3,169 | 5,418 | -41.51% | - R&D expenses increased by **90.89%** from **RMB 51.9 million** in the same period of 2024 to **RMB 99.1 million** in 2025, primarily due to increased raw material costs for Isepaglutide α production process improvements and CRO fees for clinical trials[28](index=28&type=chunk) - Administrative expenses remained relatively stable, increasing from **RMB 30.1 million** in the same period of 2024 to **RMB 31.6 million** in 2025[30](index=30&type=chunk) - Selling and distribution expenses increased from zero in the same period of 2024 to **RMB 44.0 million** in 2025, mainly due to marketing and promotion and the expansion of the commercialization team after the launch of Isepaglutide α[31](index=31&type=chunk) - Other expenses decreased from **RMB 4.5 million** in the same period of 2024 to **RMB 3.1 million** in 2025, primarily due to losses from the disposal of pilot production facilities and equipment in 2024, while in 2025 mainly due to impairment losses on prepayments and donations[32](index=32&type=chunk) - Finance costs decreased from **RMB 0.9 million** in the same period of 2024 to **RMB 0.4 million** in 2025, mainly due to reduced interest expenses on lease liabilities after the termination of the Shanghai factory lease[33](index=33&type=chunk) [Liquidity and Capital Resources](index=13&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91%E5%8F%8A%E8%B3%87%E6%9C%AC%E8%B3%87%E6%BA%90) The company's net current assets decreased due to increased current liabilities, particularly trade payables, leading to a higher gearing ratio and a significant increase in interest-bearing bank borrowings to support operations - Net current assets decreased from **RMB 701.0 million** as of December 31, 2024, to **RMB 615.4 million** as of June 30, 2025, primarily due to an increase in current liabilities[34](index=34&type=chunk) - Current liabilities increased from **RMB 138.3 million** as of December 31, 2024, to **RMB 241.7 million** as of June 30, 2025, mainly due to increased payables for CDMO production and process improvement services[34](index=34&type=chunk) - As of June 30, 2025, the gearing ratio was approximately **27%**, higher than **15%** as of December 31, 2024[35](index=35&type=chunk) - Interest-bearing bank borrowings increased from **RMB 9.9 million** as of December 31, 2024, to **RMB 40.0 million** as of June 30, 2025, primarily from new commercial bank borrowings[36](index=36&type=chunk) - As of June 30, 2025, the company had no significant investments, no major mergers and acquisitions, no contingent liabilities, and capital commitments of **RMB 28.2 million**[37](index=37&type=chunk)[38](index=38&type=chunk)[39](index=39&type=chunk) - The company faces foreign exchange risk, but currently has no hedging policy, and management will continue to monitor it[43](index=43&type=chunk) [Employee Remuneration and Relationships](index=14&type=section&id=%E5%83%B1%E5%93%A1%E8%96%AA%E9%85%AC%E5%8F%8A%E9%97%9C%E4%BF%82) As of June 30, 2025, the company had 105 employees, with total remuneration costs significantly increasing due to the expansion of the commercialization team, emphasizing talent recruitment, training, competitive compensation, and equity incentives - As of June 30, 2025, the Group had **105 employees**, with total remuneration costs significantly increasing to **RMB 45.7 million** from **RMB 28.6 million** in the same period, primarily due to the expansion of the commercialization team[44](index=44&type=chunk) - The commercialization team comprises **84 members**, including **39 internal staff** and **45 outsourced team members**[44](index=44&type=chunk) - The company enters into individual employment contracts with employees covering salaries, bonuses, benefits, confidentiality obligations, and intellectual property ownership, also offering equity incentives and promotion opportunities[45](index=45&type=chunk) [Post-Reporting Period Events and Future Developments](index=15&type=section&id=%E5%A0%B1%E5%91%8A%E6%9C%9F%E5%BE%8C%E4%BA%8B%E9%A0%85) Post-reporting period, the company's H shares were listed on the HKEX Main Board on August 15, 2025, with net proceeds of approximately HKD 634.7 million, which will be used to advance Isepaglutide α's global expansion, multi-indication clinical development, and inclusion in the National Medical Insurance Drug List - On August 15, 2025, the company's H shares were listed on the Main Board of the Stock Exchange, with a global offering of **36,556,400 H shares** at an offer price of **HKD 18.68 per share**[46](index=46&type=chunk)[48](index=48&type=chunk) - The net proceeds from the global offering were approximately **HKD 634.7 million**, to be used for the purposes stated in the prospectus, with no changes to the intended use[48](index=48&type=chunk)[49](index=49&type=chunk) - Looking ahead to the second half of 2025, the company plans to actively advance the global expansion of Isepaglutide α for T2D treatment, progress its clinical development for obesity and overweight indications, and continue efforts for its inclusion in the National Medical Insurance Drug List[47](index=47&type=chunk) - The Board does not recommend the payment of an interim dividend for the interim report[50](index=50&type=chunk) [Corporate Governance and Other Information](index=17&type=section&id=%E5%85%AC%E5%8F%B8%E7%AE%A1%E6%B2%BB%E5%8F%8A%E5%85%B6%E4%BB%96%E8%B3%87%E6%96%99) [Compliance with Corporate Governance Code](index=17&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%AE%88%E5%89%87) The company has adopted and complied with the Corporate Governance Code since its listing date, with the Chairman and CEO roles held by Dr. WANG QINGHUA, an arrangement the Board believes enhances strategic planning and decision-making efficiency - The company has adopted and complied with the principles and code provisions of the Corporate Governance Code as set out in Appendix C1 to the Listing Rules since its listing date[51](index=51&type=chunk) - Dr. WANG QINGHUA serves concurrently as the Chairman and General Manager of the company, an arrangement the Board believes ensures internal leadership consistency and efficiency in strategic planning and implementation[51](index=51&type=chunk) [Standard Securities Dealing Code for Directors and Supervisors](index=17&type=section&id=%E9%81%B5%E5%AE%88%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) Since its listing date, the company has adopted a code of conduct no less stringent than the Standard Code, confirming that all directors and supervisors have complied with it - The company has adopted the Standard Code and established a code of conduct no less stringent than the Standard Code to regulate securities dealings by directors, supervisors, and relevant employees since its listing date[53](index=53&type=chunk) - Following inquiry, all directors and supervisors confirmed their continuous compliance with the code of conduct since the listing date[54](index=54&type=chunk) [Disclosure of Interests of Directors, Supervisors and Chief Executive](index=18&type=section&id=%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%A3%E4%BA%8B%E5%8F%8A%E6%9C%80%E9%AB%98%E8%A1%8C%E6%94%BF%E4%BA%BA%E5%93%A1%E5%9C%A8%E6%9C%AC%E5%85%AC%E5%8F%B8%E6%88%96%E5%85%B6%E7%9B%B8%E8%81%AF%E6%B3%95%E5%9C%98%E4%B9%8B%E8%82%A1%E4%BB%BD%E3%80%81%E7%9B%B8%E9%97%9C%E8%82%A1%E4%BB%BD%E5%8F%8A%E5%82%B5%E6%AC%8A%E8%AD%89%E4%B9%8B%E6%AC%8A%E7%9B%8A%E5%8F%8A%E6%B7%A1%E5%80%89) As of June 30, 2025, H shares were not yet listed, but disclosed Dr. WANG QINGHUA's beneficial ownership, controlled corporate interests, and joint interests in the company's unlisted shares and H shares, totaling approximately **33.19%** of the total issued share capital - As of June 30, 2025, H shares were not yet listed, thus Part XV of the Securities and Futures Ordinance was not applicable[56](index=56&type=chunk) Dr. WANG QINGHUA's Shareholding (as of the date of this Interim Report) | Nature of Interest | Class of Shares | Number of Shares (L) | Approximate Percentage of Shareholding in Relevant Class | Approximate Percentage of Total Issued Share Capital | | :--- | :--- | :--- | :--- | :--- | | Beneficial Owner | Unlisted Shares | 9,243,911 | 25.30% | 10.12% | | | H Shares | 36,975,645 | 8.80% | | | Interest in Controlled Corporation | Unlisted Shares | 15,624,993 | 42.77% | 17.10% | | | H Shares | 62,499,977 | 14.87% | | | Jointly Held Interest with Another Person | Unlisted Shares | 5,450,720 | 14.92% | 5.97% | | | H Shares | 21,802,880 | 5.19% | | - Dr. WANG QINGHUA, through beneficial ownership, controlled corporate interests, and acting-in-concert agreements, collectively holds approximately **33.19%** (10.12% + 17.10% + 5.97%) of the company's total issued share capital[56](index=56&type=chunk)[59](index=59&type=chunk) [Disclosure of Interests of Substantial Shareholders](index=19&type=section&id=%E4%B8%BB%E8%A6%81%E8%82%A1%E6%9D%B1%E6%96%BC%E6%9C%AC%E5%85%AC%E5%8F%B8%E8%82%A1%E4%BB%BD%E5%8F%8A%E7%9B%B8%E9%97%9C%E8%82%A1%E4%BB%BD%E4%B8%AD%E7%9A%84%E6%AC%8A%E7%9B%8A%E5%8F%8A%E6%B7%A1%E5%80%89) This section discloses substantial shareholders, excluding directors, supervisors, and the chief executive, holding 5% or more of the company's shares or related shares, including various investment entities and individuals - As of June 30, 2025, H shares were not yet listed on the Stock Exchange, therefore the provisions of Part XV of the Securities and Futures Ordinance were not applicable to the company[58](index=58&type=chunk) Substantial Shareholders' Shareholding (as of the date of this Interim Report) | Name / Designation | Nature of Interest | Class of Shares | Number of Shares1 | Approximate Percentage of Shareholding in Relevant Class2 | Approximate Percentage of Total Issued Share Capital3 | | :--- | :--- | :--- | :--- | :--- | :--- | | Hong Kong Innogen Pharmaceutical Technology Co., Ltd. | Beneficial Owner | Unlisted Shares | 2,550,044 (L) | 6.98% | 2.79% | | Hong Kong Yiyun Pharmaceutical Technology Co., Ltd. | Beneficial Owner | Unlisted Shares | 5,450,720 (L) | 14.92% | 5.97% | | Shanghai Nuotang Biotechnology Co., Ltd. | Interest in Controlled Corporation | Unlisted Shares | 13,074,949 (L) | 35.79% | 14.31% | | Jingde (Guangzhou) Equity Investment Partnership (Limited Partnership) | Beneficial Owner | H Shares | 26,556,444 (L) | 6.32% | 5.81% | | KIP KIS SEA-CHINA Fund | Interest in Controlled Corporation | H Shares | 26,556,444 (L) | 6.32% | 5.81% | | KOREA INVESTMENT & SECURITIES Co., Ltd | Interest in Controlled Corporation | H Shares | 26,556,444 (L) | 6.32% | 5.81% | | Korea Investment Partners (Shanghai) Venture Capital Management Co., Ltd. | Interest in Controlled Corporation | H Shares | 41,731,556 (L) | 9.93% | 9.14% | | KOREA INVESTMENT PARTNERS Co., Ltd. | Interest in Controlled Corporation | H Shares | 41,731,556 (L) | 9.93% | 9.14% | | KOREA INVESTMENT HOLDINGS Co., Ltd. | Interest in Controlled Corporation | H Shares | 41,731,556 (L) | 9.93% | 9.14% | | Cowin China Growth Fund II, L.P. | Beneficial Owner | H Shares | 26,556,444 (L) | 6.32% | 5.81% | | ZHENG Weihe | Interest in Controlled Corporation | H Shares | 43,971,131 (L) | 10.46% | 9.63% | | HUANG Li | Interest in Controlled Corporation | H Shares | 43,971,131 (L) | 10.46% | 9.63% | | Palace Investments Pte. Ltd. | Beneficial Owner | H Shares | 25,344,931 (L) | 6.03% | 5.55% | | Temasek Holdings (Private) Limited | Interest in Controlled Corporation | H Shares | 25,344,931 (L) | 6.03% | 5.55% | | Guangzhou Industrial Investment Biomedical and Health Special Parent Fund Partnership (Limited Partnership) | Beneficial Owner | H Shares | 22,594,783 (L) | 5.38% | 4.95% | | Guangzhou Industrial Investment Holding Group Co., Ltd. | Interest in Controlled Corporation | H Shares | 22,594,783 (L) | 5.38% | 4.95% | | CICC Qide (Xiamen) Innovative Biomedical Venture Capital Partnership (Limited Partnership) | Beneficial Owner | Unlisted Shares | 2,353,008 (L) | 6.44% | 0.52% | | Henan Provincial Department of Finance | Interest in Controlled Corporation | Unlisted Shares | 2,353,008 (L) | 6.44% | 0.52% | | Jiangsu Taizhou Everbright Industrial Investment Partnership (Limited Partnership) | Beneficial Owner | Unlisted Shares | 2,413,342 (L) | 6.61% | 0.53% | | China Everbright Limited | Interest in Controlled Corporation | Unlisted Shares | 2,413,342 (L) | 6.61% | 0.53% | [Public Float](index=26&type=section&id=%E8%B6%B3%E5%A4%A0%E5%85%AC%E7%9C%BE%E6%8C%81%E8%82%A1%E9%87%8F) As of September 26, 2025, the company maintained a sufficient public float as required by the Listing Rules - As of September 26, 2025, the company maintained a sufficient public float of at least **25%** as required by the Listing Rules[71](index=71&type=chunk) [Audit Committee Review](index=27&type=section&id=%E5%AF%A9%E8%A8%88%E5%A7%94%E5%93%A1%E6%9C%83%E5%AF%A9%E9%96%B1) The Audit Committee has reviewed the unaudited interim financial information for the reporting period and deemed it compliant with relevant accounting standards and regulations - The Audit Committee has reviewed the unaudited interim financial information for the reporting period and the accounting principles and practices adopted by the Group as set out in this interim report[72](index=72&type=chunk) - The Audit Committee is of the opinion that the Group's unaudited interim financial information for the reporting period complies with relevant accounting standards, laws, and regulations[72](index=72&type=chunk) [Dealings in Listed Securities](index=27&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%E6%9C%AC%E5%85%AC%E5%8F%B8%E4%B8%8A%E5%B8%82%E8%AD%89%E5%88%B8) From the listing date to the date of this interim report, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities, nor held any treasury shares - From the listing date to the date of this interim report, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities[73](index=73&type=chunk) - From the listing date to the date of this interim report, the company held no treasury shares[74](index=74&type=chunk) [Interests in Competing Business](index=27&type=section&id=%E6%96%BC%E7%AB%B6%E7%88%AD%E6%A5%AD%E5%8B%99%E7%9A%84%E6%AC%8A%E7%9B%8A) From the company's H share listing date to the date of this interim report, no director or supervisor had any disclosable direct or indirect interest in any business competing or likely to compete with the Group's business - From the company's H share listing date to the date of this interim report, no director or supervisor had any disclosable direct or indirect interest in any business competing or likely to compete with the Group's business[75](index=75&type=chunk) [Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=28&type=section&id=%E4%B8%AD%E6%9C%9F%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%E5%85%A5%E8%A1%A8) [Profit or Loss Statement Overview](index=28&type=section&id=%E6%8D%9F%E7%9B%8A%E8%A1%A8%E6%A6%82%E8%A7%88) For the six months ended June 30, 2025, the company recorded its first revenue of **RMB 56,446 thousand**, but due to significant increases in R&D, selling, and distribution expenses, the loss for the period expanded to **RMB 122,470 thousand** Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (RMB thousand) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Revenue | 56,446 | – | N/A | | Cost of sales | (5,956) | – | N/A | | Gross profit | 50,490 | – | N/A | | Other income and gains | 5,242 | 12,104 | -56.69% | | R&D expenses | (99,082) | (51,905) | +90.89% | | Administrative expenses | (31,555) | (30,098) | +4.84% | | Selling and distribution expenses | (44,038) | – | N/A | | Loss before tax | (122,470) | (75,275) | +62.69% | | Loss for the period | (122,470) | (75,275) | +62.69% | | Loss per share attributable to ordinary equity holders of the parent (RMB) | (0.29) | (0.18) | +61.11% | [Interim Condensed Consolidated Statement of Financial Position](index=29&type=section&id=%E4%B8%AD%E6%9C%9F%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) [Balance Sheet Overview](index=29&type=section&id=%E8%B5%84%E4%BA%A7%E8%B4%9F%E5%80%BA%E8%A1%A8%E6%A6%82%E8%A7%88) As of June 30, 2025, total assets slightly increased, but current and non-current liabilities significantly rose, leading to a decrease in net assets, while cash and cash equivalents remained stable Interim Condensed Consolidated Statement of Financial Position (RMB thousand) | Metric | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Non-current assets | 81,805 | 95,585 | -14.32% | | Current assets | 857,088 | 839,215 | +2.13% | | **Total assets** | **938,893** | **934,800** | **+0.44%** | | Non-current liabilities | 14,456 | 72 | +19977.78% | | Current liabilities | 241,718 | 138,257 | +74.84% | | **Total liabilities** | **256,174** | **138,329** | **+85.19%** | | Net assets | 682,719 | 796,471 | -14.30% | | Cash and cash equivalents | 538,292 | 526,511 | +2.24% | [Interim Condensed Consolidated Statement of Changes in Equity](index=30&type=section&id=%E4%B8%AD%E6%9C%9F%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%AC%8A%E7%9B%8A%E8%AE%8A%E5%8B%95%E8%A1%A8) [Equity Changes Overview](index=30&type=section&id=%E6%9D%83%E7%9B%8A%E5%8F%98%E5%8A%A8%E6%A6%82%E8%A7%88) As of June 30, 2025, the company's total equity decreased to **RMB 682,719 thousand** due to the loss for the period and share-based payments Interim Condensed Consolidated Statement of Changes in Equity (RMB thousand) | Metric | June 30, 2025 | January 1, 2024 | Change | | :--- | :--- | :--- | :--- | | Total equity at beginning of period | 796,471 | 705,125 | +12.95% | | Total comprehensive loss for the period | (122,470) | (75,275) | +62.69% | | Equity-settled share-based payments recognized | 8,718 | 4,764 | +83.00% | | Shares issued | – | 250,000 | -100% | | Total equity at end of period | 682,719 | 884,614 | -22.82% | [Interim Condensed Consolidated Statement of Cash Flows](index=31&type=section&id=%E4%B8%AD%E6%9C%9F%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) [Cash Flow Overview](index=31&type=section&id=%E7%8E%B0%E9%87%91%E6%B5%81%E9%87%8F%E6%A6%82%E8%A7%88) For the six months ended June 30, 2025, net cash used in operating activities was **RMB 86,852 thousand**, net cash generated from investing activities was **RMB 72,342 thousand**, net cash generated from financing activities was **RMB 26,478 thousand**, resulting in a net increase in cash and cash equivalents of **RMB 11,968 thousand** at period-end Interim Condensed Consolidated Statement of Cash Flows (RMB thousand) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Net cash used in operating activities | (86,852) | (80,052) | +8.50% | | Net cash generated from investing activities | 72,342 | 137,477 | -47.40% | | Net cash generated from financing activities | 26,478 | 247,322 | -89.29% | | Net increase in cash and cash equivalents | 11,968 | 304,747 | -96.07% | | Cash and cash equivalents at end of period | 538,292 | 462,651 | +16.35% | [Notes to the Interim Condensed Consolidated Financial Information](index=33&type=section&id=%E4%B8%AD%E6%9C%9F%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E8%B3%87%E6%96%99%E9%99%84%E8%A8%BB) [Company Information and Basis of Preparation](index=33&type=section&id=1.%20%E5%85%AC%E5%8F%B8%E8%B3%87%E6%96%99) The company, established in China in 2014, primarily engages in pharmaceutical product R&D and commercialization, with its H shares listed on the HKEX Main Board on August 15, 2025. The interim financial information is prepared in accordance with HKAS 34 and newly adopted revised HKFRSs, with no significant impact - The company was established in China on December 5, 2014, primarily engaged in pharmaceutical product research and development and commercialization[81](index=81&type=chunk)[82](index=82&type=chunk) - The company's H shares were listed on the Main Board of the Stock Exchange on August 15, 2025[83](index=83&type=chunk) - The interim condensed consolidated financial information is prepared in accordance with Hong Kong Accounting Standard 34 and newly adopted revised Hong Kong Financial Reporting Standards, with no significant impact on the financial information[84](index=84&type=chunk)[85](index=85&type=chunk)[86](index=86&type=chunk) [Operating Segments and Geographical Information](index=34&type=section&id=3.%20%E7%B6%93%E7%87%9F%E5%88%86%E9%83%A8%E8%B3%87%E6%96%99) The company operates as a single operating segment, focusing solely on pharmaceutical sales, and does not present geographical information as almost all non-current assets and revenue are derived from China - The Group's business is solely the sale of pharmaceutical products, and the chief operating decision-maker reviews overall performance, thus there is only a single operating segment[87](index=87&type=chunk) - Almost all non-current assets and all revenue are derived from China, therefore no geographical information is presented[88](index=88&type=chunk) [Details of Revenue, Other Income and Gains](index=34&type=section&id=4.%20%E6%94%B6%E5%85%A5%E3%80%81%E5%85%B6%E4%BB%96%E6%94%B6%E5%85%A5%E5%8F%8A%E6%94%B6%E7%9B%8A) For the six months ended June 30, 2025, the company recorded its first revenue from customer contracts of **RMB 56,446 thousand**, entirely from mainland China pharmaceutical sales, while total other income and gains decreased by **56.69%** year-on-year due to lower gain on lease termination and investment income in 2024 Revenue Details (RMB thousand) | Category | 2025 | 2024 | | :--- | :--- | :--- | | Revenue from contracts with customers | 56,446 | – | | Sales of pharmaceutical products | 56,446 | – | | Mainland China | 56,446 | – | Details of Other Income and Gains (RMB thousand) | Category | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Investment income from financial assets at fair value through profit or loss | 3,169 | 5,418 | -41.51% | | Bank interest income | 1,892 | 1,848 | +2.38% | | Gain on termination of lease contracts | – | 4,152 | -100% | | Total other income and gains | 5,242 | 12,104 | -56.69% | [Details of Other Expenses](index=35&type=section&id=5.%20%E5%85%B6%E4%BB%96%E9%96%8B%E6%94%AF) Other expenses decreased from **RMB 4,503 thousand** in the same period of 2024 to **RMB 3,102 thousand** in 2025, primarily due to losses from the disposal of property and equipment in 2024, while 2025 mainly saw impairment losses on prepayments and donations Details of Other Expenses (RMB thousand) | Category | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Impairment losses, net of reversal | 1,574 | 45 | +3400% | | Loss on disposal of property and equipment | – | 4,451 | -100% | | Donations | 1,341 | – | N/A | | Total | 3,102 | 4,503 | -31.11% | [Components of Loss Before Tax](index=36&type=section&id=6.%20%E9%99%A4%E7%A8%85%E5%89%8D%E虧%E6%90%8D) Loss before tax was primarily influenced by depreciation and amortization, lease-related expenses, listing expenses, exchange losses, and significantly increased employee benefit expenses Components of Loss Before Tax (RMB thousand) | Category | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Depreciation of property, plant and equipment | 1,337 | 1,282 | +4.29% | | Amortisation of intangible assets | 2,225 | 6,079 | -63.40% | | Depreciation of right-of-use assets | 560 | 2,248 | -75.00% | | Interest on lease liabilities | 149 | 858 | -82.63% | | Listing expenses | 9,794 | – | N/A | | Total employee benefit expenses | 45,690 | 28,551 | +60.03% | | Of which: Share-based payment expenses | 8,718 | 4,764 | +83.00% | [Details of Finance Costs](index=36&type=section&id=7.%20%E8%B2%A1%E5%8B%99%E6%88%90%E6%9C%AC) Finance costs decreased by **51.20%** year-on-year, mainly due to a significant reduction in interest on lease liabilities, while interest on bank and other borrowings increased Details of Finance Costs (RMB thousand) | Category | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Interest on bank and other borrowings | 276 | 15 | +1740% | | Interest on lease liabilities | 149 | 858 | -82.63% | | Total | 425 | 873 | -51.20% | [Income Tax and Dividends](index=37&type=section&id=8.%20%E6%89%80%E5%BE%97%E7%A8%85) The company's Chinese subsidiaries are subject to a 25% corporate income tax rate, with no income tax expense recognized during the reporting period, and no dividends paid or declared - The corporate income tax rate for Chinese subsidiaries is **25%**[94](index=94&type=chunk) - No income tax expense was recognized during the reporting period[76](index=76&type=chunk) - The company neither paid nor declared any dividends for the six months ended June 30, 2025[95](index=95&type=chunk) [Loss Per Share](index=37&type=section&id=10.%20%E6%9C%AC%E5%85%AC%E5%8F%B8%E6%99%AE%E9%80%9A%E6%AC%8A%E7%9B%8A%E6%8C%81%E6%9C%89%E4%BA%BA%E6%87%89%E4%BD%94%E6%AF%8F%E8%82%A1%E虧%E6%90%8D) For the six months ended June 30, 2025, basic and diluted loss per share was **RMB 0.29**, an increase from **RMB 0.18** in the same period of 2024 Loss Per Share Calculation (RMB/share) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Loss attributable to ordinary equity holders of the parent (RMB thousand) | (122,470) | (75,275) | +62.69% | | Weighted average number of ordinary shares in issue during the period (thousand shares) | 420,263 | 419,021 | +0.30% | | Basic and diluted loss per share (RMB/share) | (0.29) | (0.18) | +61.11% | - The Group had no potentially dilutive ordinary shares in issue, thus the basic loss per share amount was not adjusted[97](index=97&type=chunk) [Property, Plant and Equipment](index=37&type=section&id=11.%20%E7%89%A9%E6%A5%AD%E3%80%81%E5%BB%A0%E6%88%BF%E5%8F%8A%E8%A8%AD%E5%82%99) During the reporting period, the company incurred **RMB 4,160 thousand** in costs for purchasing property, plant, and equipment, with no impairment losses recognized - For the six months ended June 30, 2025, the Group's cost for purchasing property, plant, and equipment was **RMB 4,160 thousand**[99](index=99&type=chunk) - No impairment losses were recognized during the reporting period[100](index=100&type=chunk) [Leases](index=38&type=section&id=12.%20%E7%A7%9F%E8%B3%83) As a lessee, the company primarily leases office buildings for 5 to 10 years, with new right-of-use assets and lease liabilities recognized during the reporting period, along with related depreciation and interest expenses - The Group has entered into lease contracts for office buildings used in its operations, with lease terms generally ranging from **5 to 10 years**[101](index=101&type=chunk) Changes in Right-of-Use Assets (RMB thousand) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | At beginning of period | – | 36,863 | | Additions | 17,906 | – | | Depreciation expense | (560) | (2,248) | | At end of period | 17,346 | – | Changes in Lease Liabilities (RMB thousand) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Carrying amount at beginning of period | – | 45,586 | | Additions | 17,906 | – | | Interest accretion recognized during the period | 149 | 858 | | Lease payments | (1,174) | (1,663) | | Carrying amount at end of period | 16,881 | – | [Prepayments and Other Receivables](index=39&type=section&id=13.%20%E9%A0%90%E4%BB%98%E6%AC%BE%E9%A0%85%E5%8F%8A%E5%85%B6%E4%BB%96%E6%87%89%E6%94%B6%E6%AC%BE%E9%A0%85) Non-current prepayments and other receivables decreased, while current prepayments and other receivables significantly increased, primarily driven by growth in recoverable VAT, supplier prepayments, and other receivables Prepayments and Other Receivables (RMB thousand) | Category | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Non-current total | 24,608 | 58,191 | -57.71% | | Current total (net of impairment allowance) | 77,463 | 13,300 | +482.43% | | Of which: Other receivables | 53,256 | 1,215 | +4283.13% | | Impairment allowance | (1,726) | (165) | +946.06% | [Trade Receivables](index=40&type=section&id=14.%20%E8%B2%BF%E6%98%93%E6%87%89%E6%94%B6%E6%AC%BE%E9%A0%85) As of June 30, 2025, the company recorded its first trade receivables of **RMB 8,599 thousand**, all due within one year Ageing Analysis of Trade Receivables (RMB thousand) | Ageing | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Within one year | 8,599 | – | [Financial Assets at Fair Value Through Profit or Loss](index=40&type=section&id=15.%20%E6%8C%89%E5%85%AC%E5%85%81%E5%83%B9%E5%80%BC%E8%A8%88%E5%85%A5%E6%90%8D%E7%9B%8A%E7%9A%84%E9%87%91%E8%9E%8D%E8%B3%87%E7%94%A2) The company's wealth management products are mandatorily classified as financial assets at fair value through profit or loss, amounting to **RMB 150,040 thousand** as of June 30, 2025, a decrease from the end of 2024 Financial Assets at Fair Value Through Profit or Loss (RMB thousand) | Category | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Wealth management products | 150,040 | 225,192 | -33.37% | - These wealth management products, issued by mainland Chinese banks, are mandatorily classified as financial assets at fair value through profit or loss because their contractual cash flows are not solely payments of principal and interest[105](index=105&type=chunk) [Cash and Cash Equivalents](index=40&type=section&id=16.%20%E7%8F%BE%E9%87%91%E5%8F%8A%E7%8F%BE%E9%87%91%E7%AD%89%E5%83%B9%E7%89%A9) As of June 30, 2025, the company's cash and cash equivalents totaled **RMB 538,292 thousand**, a slight increase from the end of 2024, all denominated in RMB Cash and Cash Equivalents (RMB thousand) | Category | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Cash at bank | 538,322 | 526,541 | +2.24% | | Pledged deposits | 30 | 30 | 0% | | Cash and cash equivalents | 538,292 | 526,511 | +2.24% | [Trade Payables](index=41&type=section&id=17.%20%E8%B2%BF%E6%98%93%E6%87%89%E4%BB%98%E6%AC%BE%E9%A0%85) As of June 30, 2025, trade payables significantly increased to **RMB 136,312 thousand**, all due within one year Ageing Analysis of Trade Payables (RMB thousand) | Ageing | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Within one year | 136,312 | 91,045 | +49.72% | [Other Payables and Accruals](index=41&type=section&id=18.%20%E5%85%B6%E4%BB%96%E6%87%89%E4%BB%98%E6%AC%BE%E9%A0%85%E5%8F%8A%E6%87%89%E8%A8%88%E8%B2%BB%E7%94%A8) Current other payables and accruals significantly increased, primarily due to growth in accrued meeting expenses, CSO deposits, and other payables Other Payables and Accruals (RMB thousand) | Category | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Non-current other payables | 72 | 72 | 0% | | Current total | 62,884 | 37,312 | +68.53% | | Of which: Accrued meeting expenses | 14,319 | – | N/A | | CSO deposits | 16,800 | – | N/A | | Other payables | 8,935 | 6,365 | +40.38% | [Interest-bearing Bank Borrowings](index=42&type=section&id=19.%20%E8%A8%88%E6%81%AF%E9%8A%80%E8%A1%8C%E5%80%9F%E6%AC%BE) Interest-bearing bank borrowings significantly increased to **RMB 40,025 thousand**, all unsecured bank loans bearing interest at **2.11% to 3.00%** per annum and repayable within one year Interest-bearing Bank Borrowings (RMB thousand) | Category | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Unsecured bank loans | 40,025 | 9,900 | +304.29% | - The bank loans are unsecured, bear interest at an annual rate of **2.11% to 3.00%**, and are repayable within one year[110](index=110&type=chunk) [Share Capital](index=43&type=section&id=20.%20%E8%82%A1%E6%9C%AC) As of June 30, 2025, the company's issued and fully paid share capital was **RMB 420,263 thousand**, consistent with the end of 2024, following a **RMB 250,000 thousand** capital injection from B+ round investors in 2024, of which **RMB 22,595 thousand** was credited to share capital Summary of Share Capital Changes (RMB thousand) | Metric | June 30, 2025 | January 1, 2024 | | :--- | :--- | :--- | | Number of shares in issue | 420,262,949 | 397,668,166 | | Share capital | 420,263 | 397,668 | - In 2024, B+ round investors injected **RMB 250,000 thousand** into the company, of which **RMB 22,595 thousand** was credited to share capital[111](index=111&type=chunk) [Share-based Payments](index=44&type=section&id=21.%20%E8%82%A1%E4%BB%BD%E7%82%BA%E5%9F%BA%E7%A4%8E%E7%9A%84%E4%BB%98%E6%AC%BE) The company approved an employee incentive scheme in March 2023, granting restricted shares with a 25% annual vesting schedule. As of June 30, 2025, **6,064,206 restricted shares** remained unexercised, and share-based payment expenses totaled **RMB 8,718 thousand** - The employee incentive scheme was approved on March 28, 2023, granting restricted shares to promote the Group's operational success[112](index=112&type=chunk) - Restricted shares vested at a rate of **25%** on December 31, 2023, 2024, 2025, and 2026, respectively, while Dr. Wang's shares vested fully in September 2023[113](index=113&type=chunk) Changes in Restricted Shares (shares) | Metric | June 30, 2025 | January 1, 2024 | | :--- | :--- | :--- | | Unexercised at beginning of period | 6,704,206 | 9,028,426 | | Forfeited during the period | (640,000) | (1,897,000) | | Unexercised at end of period | 6,064,206 | 6,704,206 | - For the six months ended June 30, 2025, share-based payment expenses amounted to **RMB 8,718 thousand**[114](index=114&type=chunk) [Commitments and Related Party Transactions](index=45&type=section&id=22.%20%E6%89%BF%E8%AB%BE) As of the reporting period end, the company's capital commitments totaled **RMB 28,189 thousand**, primarily for purchasing property, plant, and equipment. No related party transactions occurred during the period, but key management personnel remuneration is disclosed Contractual Commitments (RMB thousand) | Category | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Contracted but not provided for purchase of property, plant and equipment | 28,189 | 24,893 | - During the reporting period, the Group had no transactions with related parties[116](index=116&type=chunk) Key Management Personnel Remuneration (RMB thousand) | Category | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Fees | 330 | 50 | +560% | | Salaries and bonuses | 4,675 | 4,031 | +16.00% | | Share-based payment expenses | 2,665 | 6,099 | -56.30% | | Total | 7,850 | 10,396 | -24.50% | [Fair Value of Financial Instruments](index=45&type=section&id=24.%20%E9%87%91%E8%9E%8D%E5%B7%A5%E5%85%B7%E7%9A%84%E5%85%AC%E5%85%81%E5%83%B9%E5%80%BC%E5%8F%8A%E5%85%AC%E5%85%81%E5%83%B9%E5%80%BC%E7%AD%89%E7%B4%9A) The company's wealth management products are measured at fair value through profit or loss, categorized as Level 2 in the fair value hierarchy, amounting to **RMB 150,040 thousand** as of June 30, 2025 Financial Assets Measured at Fair Value (RMB thousand) | Category | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Wealth management products | 150,040 | 225,192 | - The fair value of wealth management products is derived using discounted cash flows based on expected rates of return, classified as Level 2 in the fair value hierarchy[106](index=106&type=chunk)[118](index=118&type=chunk) [Events After Reporting Period and Approval of Financial Statements](index=46&type=section&id=25.%20%E5%A0%B1%E5%91%8A%E6%9C%9F%E5%BE%8C%E4%BA%8B%E9%A0%85) The company's H shares were listed on the HKEX Main Board on August 15, 2025, and the Board approved and authorized the publication of the financial statements on August 29, 2025 - The company's H shares were listed on the Main Board of the Stock Exchange on August 15, 2025[119](index=119&type=chunk) - The Board approved and authorized the publication of the financial statements on August 29, 2025[120](index=120&type=chunk) [Definitions](index=47&type=section&id=%E9%87%8B%E7%BE%A9) [Glossary of Terms](index=47&type=section&id=%E6%9C%AF%E8%AF%AD%E5%AE%9A%E4%B9%89) This section provides definitions for key terms and abbreviations used in the report, covering professional vocabulary related to corporate governance, finance, product development, and market, ensuring clear understanding of the report content - Provides definitions for key terms and abbreviations used in the report, such as 'Audit Committee', 'Board', 'CDMO', 'Corporate Governance Code', 'China', 'Company', 'Corresponding period', 'CRO', 'CSO', 'Directors', 'Dr. Wang', 'Global Offering', 'Group', 'H Shares', 'HKD', 'HKAS', 'HKFRSs', 'Hong Kong', 'Listing', 'Listing Date', 'Listing Rules', 'Standard Code', 'Prospectus', 'Reporting Period', 'RMB', 'R&D', 'Shares', 'Shareholders', 'Stock Exchange', 'Supervisors', 'Treasury Shares', 'Unlisted Shares', and '%'[121](index=121&type=chunk)[122](index=122&type=chunk)[123](index=123&type=chunk)