[Financial Highlights](index=1&type=section&id=Financial%20Highlights) The company achieved significant profit growth in the first half of 2025, with substantial increases in revenue and EBITDA, alongside a strengthened balance sheet with higher total assets and equity Financial Highlights for the Six Months Ended June 30, 2025 | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-on-year Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 782,719 | 617,387 | 26.8% | | Gross Profit | 406,221 | 324,925 | 25.0% | | Profit/(Loss) Before Income Tax | 1,920,144 | (347,014) | 653.3% | | Profit/(Loss) for the Period | 1,511,315 | (349,957) | 531.9% | | Total Comprehensive Income/(Loss) for the Period | 1,517,410 | (349,335) | 534.4% | | EBITDA (Non-IFRS Measure) | 1,938,507 | (328,864) | 698.6% | | Adjusted EBITDA (Non-IFRS Measure) | 2,083,372 | (188,424) | 1,205.7% | Balance Sheet Highlights as of June 30, 2025 | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Total Assets | 19,147,196 | 14,538,817 | | Total Liabilities | 16,528,202 | 13,303,310 | | Total Equity | 2,618,994 | 1,235,507 | | Equity Attributable to Owners of the Company | 2,611,169 | 1,228,336 | [Interim Condensed Consolidated Statement of Comprehensive Income](index=2&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) The company reported a significant turnaround from loss to profit for the period, driven by increased revenue and other net gains, despite higher operating expenses Interim Condensed Consolidated Statement of Comprehensive Income for the Six Months Ended June 30, 2025 | Indicator | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Revenue | 782,719 | 617,387 | | Cost | (376,498) | (292,462) | | Gross Profit | 406,221 | 324,925 | | Selling and Marketing Expenses | (128,785) | (108,883) | | General and Administrative Expenses | (299,857) | (290,244) | | Research and Development Expenses | (186,972) | (147,469) | | Other Income | 141,256 | 89,489 | | Other Gains/(Losses) – Net | 2,047,468 | (2,378) | | Impairment Loss on Financial Assets | (5,938) | (3,391) | | Operating Profit/(Loss) | 1,973,393 | (137,951) | | Net Finance Costs | (2,041) | (6,366) | | Share of Net Loss of Associates Accounted for Using the Equity Method | (51,208) | (202,697) | | Profit/(Loss) Before Income Tax | 1,920,144 | (347,014) | | Income Tax Expense | (408,829) | (2,943) | | Profit/(Loss) for the Period | 1,511,315 | (349,957) | | Basic Earnings/(Loss) Per Share (RMB per share) | 1.42 | (0.34) | | Diluted Earnings/(Loss) Per Share (RMB per share) | 1.39 | (0.34) | [Interim Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) The company's total assets and equity significantly increased by June 30, 2025, reflecting growth in both non-current and current assets, while liabilities also rose Interim Condensed Consolidated Statement of Financial Position as of June 30, 2025 | Indicator | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | **Assets** | | | | Total Non-current Assets | 962,937 | 874,585 | | Total Current Assets | 18,184,259 | 13,664,232 | | **Total Assets** | **19,147,196** | **14,538,817** | | **Liabilities** | | | | Total Non-current Liabilities | 143,309 | 164,052 | | Total Current Liabilities | 16,384,893 | 13,139,258 | | **Total Liabilities** | **16,528,202** | **13,303,310** | | **Equity** | | | | Equity Attributable to Owners of the Company | 2,611,169 | 1,228,336 | | Non-controlling Interests | 7,825 | 7,171 | | **Total Equity** | **2,618,994** | **1,235,507** | [Notes to the Interim Condensed Financial Information](index=6&type=section&id=Notes%20to%20the%20Interim%20Condensed%20Financial%20Information) This section provides essential context for the financial statements, detailing the basis of preparation, accounting policies, revenue, expenses, earnings per share, investments, financial assets and liabilities, cash flows, and post-reporting period events [1 General Information](index=6&type=section&id=1%20General%20Information) Established in China in 2009 and listed on the HKEX in March 2024, the company and its subsidiaries primarily provide global digital payment and value-added services, controlled by Mr Zhang Zhengyu - The company was established in China in 2009, restructured into a joint-stock company in 2020, and listed on the Main Board of the Hong Kong Stock Exchange on March 28, 2024[10](index=10&type=chunk)[11](index=11&type=chunk) - The company primarily provides global digital payment and value-added services in China, with Mr Zhang Zhengyu as the ultimate controlling party[10](index=10&type=chunk) [2 Basis of Preparation](index=6&type=section&id=2%20Basis%20of%20Preparation) The interim condensed consolidated financial information is prepared under IAS 34, consistent with 2024 annual policies, and incorporates new standards with no significant expected financial impact - The interim condensed consolidated financial information is prepared in accordance with IAS 34 "Interim Financial Reporting" and should be read in conjunction with the 2024 annual consolidated financial statements, as it does not include all notes from the annual statements[13](index=13&type=chunk) [(a) New and Amended Standards Adopted by the Group](index=6&type=section&id=(a)%20New%20and%20Amended%20Standards%20Adopted%20by%20the%20Group) The group adopted new and amended standards, including IAS 21 (Revised) "Lack of Exchangeability," effective January 1, 2025, with no significant financial impact - The company adopted IAS 21 (Revised) "Lack of Exchangeability," effective January 1, 2025, with no significant impact on past, current, or future periods[14](index=14&type=chunk)[15](index=15&type=chunk) [(b) New Standards, Amendments and Interpretations Not Yet Adopted](index=7&type=section&id=(b)%20New%20Standards%2C%20Amendments%20and%20Interpretations%20Not%20Yet%20Adopted) New standards like IFRS 18 "Presentation and Disclosure in Financial Statements" are not yet mandatory, with no significant impact expected beyond profit or loss presentation - New standards such as IFRS 18 "Presentation and Disclosure in Financial Statements" are not yet mandatorily applied, and are not expected to have a significant impact on the entity or foreseeable future transactions, except for the presentation of the statement of profit or loss[16](index=16&type=chunk)[18](index=18&type=chunk) [3 Revenue and Segment Information](index=7&type=section&id=3%20Revenue%20and%20Segment%20Information) The company's revenue is primarily derived from digital payment services (global and domestic) and value-added services, with business segmented into global payment, domestic payment, value-added services, and other reportable segments - The Group's principal activities include digital payment services, value-added services, and others[19](index=19&type=chunk) - Management assesses operating segments from a product perspective, identifying four reportable segments: global payment, domestic payment, value-added services, and others[21](index=21&type=chunk)[23](index=23&type=chunk) [(a) Revenue](index=7&type=section&id=(a)%20Revenue) Revenue details are presented by business line, showing contributions from digital payment services, value-added services, and other sources Revenue Breakdown by Business Line | Business Line | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Digital Payment Services | 683,980 | 541,888 | | Value-Added Services | 89,588 | 66,773 | | Revenue from Other Sources | 9,151 | 8,726 | | **Total** | **782,719** | **617,387** | [(b) Segment Information](index=8&type=section&id=(b)%20Segment%20Information) Segment performance, assets, and liabilities are detailed for global payment, domestic payment, value-added services, and other segments Segment Performance for the Six Months Ended June 30, 2025 | Indicator (RMB thousands) | Global Payment | Domestic Payment | Value-Added Services | Others | Unallocated Amounts | Inter-segment Eliminations | Total | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | 472,804 | 211,176 | 89,588 | 9,151 | – | – | 782,719 | | Segment Gross Profit | 343,615 | 42,042 | 17,773 | 2,791 | – | – | 406,221 | | Profit/(Loss) for the Period | 127,107 | (26,553) | (9,458) | (33,541) | 1,453,760 | – | 1,511,315 | Segment Assets and Liabilities as of June 30, 2025 | Indicator (RMB thousands) | Global Payment | Domestic Payment | Value-Added Services | Others | Unallocated Amounts | Inter-segment Eliminations | Total | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Segment Assets | 13,848,625 | 3,485,984 | 173,670 | 1,552,194 | 4,374,169 | (4,287,446) | 19,147,196 | | Segment Liabilities | 14,458,120 | 3,148,713 | 88,956 | 1,158,991 | 792,264 | (3,118,842) | 16,528,202 | [4 Expenses by Nature](index=9&type=section&id=4%20Expenses%20by%20Nature) For the six months ended June 30, 2025, total expenses were RMB 992,112 thousand, mainly driven by employee benefits, fees to financial institutions, and service fees to channel partners Expenses by Nature for the Six Months Ended June 30, 2025 | Expense Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Employee Benefits | 467,917 | 385,701 | | Fees Paid to Financial Institutions and Payment Networks | 226,011 | 154,431 | | Service Fees Paid to Channel Partners | 136,493 | 116,699 | | Marketing and Promotion Expenses | 40,778 | 32,038 | | Research and Development Expenses | 186,972 | 147,469 | | **Total (Cost, Selling and Marketing Expenses, General and Administrative Expenses, and Research and Development Expenses)** | **992,112** | **839,058** | [5 Other Income](index=10&type=section&id=5%20Other%20Income) For the six months ended June 30, 2025, other income totaled RMB 141,256 thousand, mainly from interest and gains on segregated customer funds and government grants Other Income for the Six Months Ended June 30, 2025 | Source of Income | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Interest Income and Gains on Funds Segregated for Customers | 127,509 | 87,134 | | Government Grants | 13,747 | 2,355 | | **Total** | **141,256** | **89,489** | [6 Other Gains/(Losses) – Net](index=10&type=section&id=6%20Other%20Gains%2F(Losses)%20%E2%80%93%20Net) For the six months ended June 30, 2025, net other gains reached RMB 2,047,468 thousand, primarily from the disposal of Lianlian equity and related dilution gains Other Gains/(Losses) – Net for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Gain on Disposal of Investments Accounted for Using the Equity Method | 1,601,460 | – | | Dilution Gain | 452,181 | – | | Gain on Disposal of Financial Assets at Fair Value Through Profit or Loss | 4,351 | 894 | | Fair Value Loss on Financial Assets at Fair Value Through Profit or Loss | (2,999) | (15,921) | | Net Foreign Exchange (Loss)/Gain | (6,106) | 12,754 | | **Total** | **2,047,468** | **(2,378)** | - The company completed the disposal of a **14.56%** equity interest in Lianlian in February 2025 and a capital increase in March 2025, recognizing a disposal gain of approximately **RMB 1,601,460 thousand** and a dilution gain of approximately **RMB 452,181 thousand**[27](index=27&type=chunk)[28](index=28&type=chunk) [7 Income Tax Expense](index=11&type=section&id=7%20Income%20Tax%20Expense) For the six months ended June 30, 2025, income tax expense significantly increased to RMB 408,829 thousand, mainly due to the reversal of deferred tax credits related to Lianlian equity Income Tax Expense for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Current Income Tax Expense | 6,127 | 8,827 | | Deferred Income Tax Expense/(Credit) | 402,702 | (5,884) | | **Total** | **408,829** | **2,943** | - The significant increase in 2025 income tax expense is primarily due to the **RMB 294,545 thousand** deferred income tax asset recognized in 2024 being debited to the statement of profit or loss, as taxable profits from the disposal of Lianlian equity could offset temporary differences[29](index=29&type=chunk) [8 Earnings/(Loss) Per Share](index=11&type=section&id=8%20Earnings%2F(Loss)%20Per%20Share) For the six months ended June 30, 2025, basic earnings per share were **RMB 1.42** and diluted earnings per share were **RMB 1.39**, a significant improvement from the prior year's loss per share of **RMB 0.34** - Basic earnings per share are calculated by dividing the profit attributable to owners of the company by the weighted average number of ordinary shares outstanding (excluding treasury shares and shares held by the trustee)[30](index=30&type=chunk) - Diluted earnings per share are calculated by adjusting the weighted average number of ordinary shares outstanding for the assumed conversion of all potentially dilutive ordinary shares, such as share options[32](index=32&type=chunk) [(a) Basic Earnings/(Loss) Per Share](index=11&type=section&id=(a)%20Basic%20Earnings%2F(Loss)%20Per%20Share) Basic earnings per share are detailed, showing net profit attributable to owners and the weighted average number of ordinary shares outstanding Basic Earnings/(Loss) Per Share for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Net Profit/(Loss) Attributable to Owners of the Company | 1,510,810 | (351,294) | | Weighted Average Number of Ordinary Shares in Issue (thousands of shares) | 1,061,827 | 1,048,153 | | **Basic Earnings/(Loss) Per Share (RMB per share)** | **1.42** | **(0.34)** | [(b) Diluted Earnings/(Loss) Per Share](index=12&type=section&id=(b)%20Diluted%20Earnings%2F(Loss)%20Per%20Share) Diluted earnings per share are presented, including adjustments for potentially dilutive ordinary shares in the weighted average share count Diluted Earnings/(Loss) Per Share for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Net Profit/(Loss) Attributable to Owners of the Company | 1,510,810 | (351,294) | | Weighted Average Number of Ordinary Shares Used in Calculating Diluted Earnings Per Share (thousands of shares) | 1,085,296 | 1,048,153 | | **Diluted Earnings/(Loss) Per Share (RMB per share)** | **1.39** | **(0.34)** | [9 Investments Accounted for Using the Equity Method](index=12&type=section&id=9%20Investments%20Accounted%20for%20Using%20the%20Equity%20Method) As of June 30, 2025, total investments accounted for using the equity method were **RMB 400,973 thousand**, primarily in Lianlian, with a significantly reduced share of net loss of **RMB 51,208 thousand** due to decreased equity interest Investments Accounted for Using the Equity Method and Share of Net Loss of Associates Investments Accounted for Using the Equity Method | Investee Entity | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Lianlian | 400,973 | – | | Zhejiang Zhongpulian Technology Co., Ltd. | – | – | | **Total** | **400,973** | **–** | Share of Net Loss of Associates | Investee Entity | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Lianlian | (51,208) | (201,500) | | Zhongpulian Technology | – | (1,197) | | **Total** | **(51,208)** | **(202,697)** | [(a) Investment in Lianlian](index=13&type=section&id=(a)%20Investment%20in%20Lianlian) The investment in Lianlian is detailed, showing changes in carrying amount, including dilution gains and share of net loss Changes in Investment in Lianlian | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Carrying Amount at Beginning of Period | – | 291,157 | | Dilution Gain | 452,181 | – | | Share of Net Loss Accounted for Using the Equity Method | (51,208) | (201,500) | | **Carrying Amount at End of Period** | **400,973** | **89,657** | - As of June 30, 2025, the company's equity interest in Lianlian decreased from **45.2%** as of December 31, 2024, to **17.6%**, but it still retains significant influence[36](index=36&type=chunk)[37](index=37&type=chunk) [10 Trade Receivables](index=14&type=section&id=10%20Trade%20Receivables) As of June 30, 2025, net trade receivables increased to **RMB 124,528 thousand**, with the majority falling within the 3-month aging category Carrying Amount and Aging Analysis of Trade Receivables Carrying Amount of Trade Receivables | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Trade Receivables | 140,397 | 103,149 | | Less: Impairment Allowance | (15,869) | (10,111) | | **Net Amount** | **124,528** | **93,038** | Aging Analysis of Trade Receivables | Aging | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within 3 months | 97,423 | 84,013 | | 3 to 6 months | 26,863 | 10,963 | | 6 months to 1 year | 9,939 | 2,796 | | Over 1 year | 6,172 | 5,377 | | **Total** | **140,397** | **103,149** | [11 Financial Assets at Fair Value Through Profit or Loss](index=14&type=section&id=11%20Financial%20Assets%20at%20Fair%20Value%20Through%20Profit%20or%20Loss) As of June 30, 2025, total financial assets at fair value through profit or loss were **RMB 344,447 thousand**, including unlisted equity, wealth management products, and listed equity securities, with gains from disposals and fair value losses recognized Financial Assets at Fair Value Through Profit or Loss | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | **Included in Current Assets** | | | | Unlisted Equity Investments | 178,865 | 178,865 | | Wealth Management Products | 82,285 | 87,970 | | Listed Equity Securities | 13,934 | 16,804 | | **Included in Non-current Assets** | | | | Unlisted Equity Investments | 69,363 | 69,363 | | **Total** | **344,447** | **353,002** | - The company holds a **4.84%** equity interest in Hangzhou Qulian Technology Co., Ltd., which is classified as a current asset due to the intention to sell[41](index=41&type=chunk) - Wealth management products primarily invest in capital-guaranteed funds of short-term foreign currency funds, with an expected annual return rate ranging from **3.5% to 3.7%**[43](index=43&type=chunk) - The company holds **12.96%** voting rights in Queen Bee Capital Co., Ltd. but without significant influence, thus classified as a financial asset at fair value through profit or loss[43](index=43&type=chunk) [12 Cash and Cash Equivalents, Funds Segregated for Customers and Restricted Cash](index=16&type=section&id=12%20Cash%20and%20Cash%20Equivalents%2C%20Funds%20Segregated%20for%20Customers%20and%20Restricted%20Cash) As of June 30, 2025, cash and cash equivalents were **RMB 1,560,722 thousand**, and funds segregated for customers and restricted cash totaled **RMB 16,038,446 thousand**, primarily representing customer funds held Cash and Cash Equivalents, Funds Segregated for Customers and Restricted Cash Cash and Cash Equivalents, Funds Segregated for Customers and Restricted Cash | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Cash at Bank | 17,598,975 | 13,128,945 | | Cash on Hand | 193 | 208 | | **Total** | **17,599,168** | **13,129,153** | | Less: Funds Segregated for Customers and Restricted Cash | (16,038,446) | (12,606,903) | | **Cash and Cash Equivalents** | **1,560,722** | **522,250** | Details of Funds Segregated for Customers and Restricted Cash | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Funds Segregated for Customers | 16,029,038 | 12,597,785 | | Transaction Deposits for Payment Business | 7,785 | 8,228 | | Others | 1,623 | 890 | | **Total** | **16,038,446** | **12,606,903** | - Funds segregated for customers primarily refer to funds collected on behalf of customers and payable upon their request, as well as service fees earned by the Group from completed digital payment services that have not been withdrawn from separate accounts[46](index=46&type=chunk) [13 Trade Payables](index=17&type=section&id=13%20Trade%20Payables) As of June 30, 2025, total trade payables were **RMB 93,035 thousand**, mainly for service fees and fees to financial institutions, with most settled within 90 days Details and Aging Analysis of Trade Payables Details of Trade Payables | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Service Fees Payable | 70,502 | 51,758 | | Fees Payable to Financial Institutions and Payment Networks | 21,578 | 21,524 | | Others | 955 | 1,428 | | **Total** | **93,035** | **74,710** | Aging Analysis of Trade Payables | Aging | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | 0 to 90 days | 78,167 | 54,749 | | 91 to 180 days | 5,900 | 5,335 | | 181 days to 1 year | 1,995 | 5,928 | | Over 1 year | 6,973 | 8,698 | | **Total** | **93,035** | **74,710** | [14 Accrued Expenses and Other Payables](index=17&type=section&id=14%20Accrued%20Expenses%20and%20Other%20Payables) As of June 30, 2025, total accrued expenses and other payables were **RMB 16,069,426 thousand**, predominantly amounts payable to merchants and customers, reflecting the company's payment service nature Details of Accrued Expenses and Other Payables | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Amounts Payable to Merchants and Other Customers | 15,877,462 | 12,466,651 | | Staff Costs and Accrued Benefits | 81,140 | 130,791 | | VAT and Other Taxes Payable | 8,487 | 7,483 | | Others | 101,414 | 85,833 | | **Total** | **16,069,426** | **12,691,508** | - **98.8%** of accrued expenses and other payables represent amounts payable to merchants and other customers, referring to funds processed by the company for them, which are to be settled on contractual settlement dates[48](index=48&type=chunk)[49](index=49&type=chunk) [15 Borrowings](index=18&type=section&id=15%20Borrowings) As of June 30, 2025, total borrowings were **RMB 326,495 thousand**, comprising long-term secured and short-term unsecured bank loans, with interest rates of **3.4%** for long-term and **2.35% to 3.90%** for short-term Borrowings Details | Item | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | **Borrowings Included in Non-current Liabilities** | | | | Secured Bank Borrowings | 134,300 | 136,850 | | **Borrowings Included in Current Liabilities** | | | | Unsecured Bank Borrowings | 181,008 | 331,232 | | Current Portion of Secured Long-term Bank Borrowings | 11,187 | 11,231 | | **Total** | **326,495** | **479,313** | - Long-term borrowing interest rate is **3.4%** (December 31, 2024: **4.0%**), with principal repayable semi-annually before September 20, 2037[53](index=53&type=chunk) - Short-term borrowings have a maturity of one year or less, with annual interest rates ranging from **2.35% to 3.90%** (December 31, 2024: **3.15% to 4.05%**)[53](index=53&type=chunk) [16 Dividends](index=18&type=section&id=16%20Dividends) For the six months ended June 30, 2025, the company neither paid nor declared any dividends - For the six months ended June 30, 2025, the company neither paid nor declared any dividends[51](index=51&type=chunk) [17 Events After the Reporting Period](index=18&type=section&id=17%20Events%20After%20the%20Reporting%20Period) In July 2025, the company completed a placement of **38,400,000** shares at **HK$10.25** each, raising net proceeds of approximately **HK$387.25 million** - In July 2025, the company completed the placement of **38,400,000** shares at **HK$10.25** per share, with net proceeds of approximately **HK$387.25 million**[52](index=52&type=chunk) [Management Discussion and Analysis](index=19&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the company's H1 2025 operating performance and financial position, highlighting significant growth in payment businesses, a turnaround to profitability driven by associate equity disposal gains, and discussions on liquidity, capital structure, expenses, and future strategic initiatives [Performance Review](index=19&type=section&id=Performance%20Review) As a leading digital payment provider, the company achieved significant H1 2025 performance growth, with digital payment TPV reaching **RMB 2.1 trillion** (up **32.0%**) and total revenue up **26.8%**, while continuing to leverage global licenses and explore AI and blockchain - The company is a leading digital payment solutions provider in China, possessing an extensive global license portfolio (**65 payment licenses and related qualifications**) and a robust technology platform, being the only company holding money transmitter licenses in all US states[54](index=54&type=chunk)[55](index=55&type=chunk) Key Operating Data for H1 2025 | Indicator | 2025 H1 | Year-on-year Change | | :--- | :--- | :--- | | Digital Payment Business Total Payment Volume (TPV) | RMB 2.1 trillion | 32.0% | | Total Revenue | RMB 782.7 million | 26.8% | | Digital Payment Business Total Revenue | RMB 684.0 million | 26.2% | | Cumulative Number of Customers Served | 7.9 million | - | [Global Payment](index=19&type=section&id=Global%20Payment) The company strengthened its global payment operations, completing infrastructure reconstruction and expanding into new markets in Southeast Asia, the Middle East, and Latin America - The company strengthened its global operational capabilities in global payments, completed payment infrastructure reconstruction, and actively expanded into new markets in Southeast Asia, the Middle East, and Latin America[57](index=57&type=chunk) Global Payment Business Performance in H1 2025 | Indicator | 2025 H1 | Year-on-year Change | | :--- | :--- | :--- | | Total Payment Volume (TPV) | RMB 198.5 billion | 94.0% | | Total Revenue | RMB 472.8 million | 27.0% | [Domestic Payment](index=20&type=section&id=Domestic%20Payment) In domestic payments, the company deepened its industry payment ecosystem, enhanced SaaS collaboration, and strengthened services for private domain e-commerce clients - The company deepened its full-link industry payment layout in domestic payments, enhanced SaaS ecosystem collaboration through innovative platform merchant cooperation models, and strengthened service capabilities for private domain e-commerce clients[58](index=58&type=chunk) Domestic Payment and Value-Added Services Business Performance in H1 2025 | Indicator | 2025 H1 | Year-on-year Change | | :--- | :--- | :--- | | Domestic Payment Business Total Payment Volume (TPV) | RMB 1.9 trillion | 27.6% | | Domestic Payment Business Total Revenue | RMB 211.2 million | 24.6% | | Value-Added Services Total Revenue | RMB 89.6 million | 34.2% | [Outlook](index=20&type=section&id=Outlook) The company plans to enhance global compliance, strengthen license synergy, and integrate AI and blockchain technologies into cross-border payment innovations - The company will continue to deepen its global compliance advantages, strengthen the synergistic efficiency of its global licenses, and consolidate its "internal connection, external movement" strategic development pattern[59](index=59&type=chunk) - The company will deeply integrate AI technology applications and actively explore the use of innovative technologies like blockchain and new models such as digital asset exchanges in cross-border payments[59](index=59&type=chunk) [Financial Review](index=20&type=section&id=Financial%20Review) This section reviews H1 2025 financial performance, including revenue, costs, gross profit, expenses, other gains/losses, income tax, and non-IFRS measures, highlighting revenue and gross profit growth, a profit turnaround from associate equity disposal, and improved operating efficiency [Revenue](index=20&type=section&id=Revenue) Revenue details are presented by service type, showing growth in digital payment services, particularly global and domestic payments, and value-added services Revenue Breakdown for the Six Months Ended June 30, 2025 | Revenue Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Change (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Digital Payment Services | 683,980 | 541,888 | 142,092 | 26.2 | | －Global Payment | 472,804 | 372,374 | 100,430 | 27.0 | | －Domestic Payment | 211,176 | 169,514 | 41,662 | 24.6 | | Value-Added Services | 89,588 | 66,773 | 22,815 | 34.2 | | Others | 9,151 | 8,726 | 425 | 4.9 | | **Total** | **782,719** | **617,387** | **165,332** | **26.8** | - The growth in value-added services revenue is primarily due to the strong growth of the virtual bank card business[63](index=63&type=chunk) [Cost](index=22&type=section&id=Cost) Costs increased by **28.7%** to **RMB 376.5 million**, driven by digital payment and value-added services, particularly service fees for virtual bank card and digital marketing expansion - Costs increased by **28.7%** year-on-year to **RMB 376.5 million**, primarily driven by digital payment business service costs (up **25.6%**) and value-added service costs (up **47.1%**)[65](index=65&type=chunk) - The growth in value-added service costs is mainly due to increased service fees paid to channel partners resulting from the rapid expansion of virtual bank card business and digital marketing services[65](index=65&type=chunk) [Gross Profit and Gross Margin](index=22&type=section&id=Gross%20Profit%20and%20Gross%20Margin) Gross profit increased by **25.0%** to **RMB 406.2 million**, with overall gross margin slightly decreasing to **51.9%**, primarily due to a decline in value-added services gross margin Gross Profit and Gross Margin for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Change (RMB thousands) | Change (%) | Gross Margin (2025) | Gross Margin (2024) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Total Gross Profit | 406,221 | 324,925 | 81,296 | 25.0 | 51.9% | 52.6% | | Global Payment Services Gross Profit | 343,615 | 270,176 | 73,439 | 27.2 | 72.7% | 72.6% | | Domestic Payment Services Gross Profit | 42,042 | 34,107 | 7,935 | 23.3 | 19.9% | 20.1% | | Value-Added Services Gross Profit | 17,773 | 17,946 | (173) | (1.0) | 19.8% | 26.9% | - The gross margin for value-added services decreased by **7.0 percentage points**, primarily because the relatively lower-margin virtual card business is still in its ramp-up phase[66](index=66&type=chunk) [Selling and Marketing Expenses](index=22&type=section&id=Selling%20and%20Marketing%20Expenses) Selling and marketing expenses increased by **18.3%** to **RMB 128.8 million**, driven by increased promotional activities for customer acquisition and slightly higher sales staff wage costs Selling and Marketing Expenses for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Change (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Selling and Marketing Expenses | 128,785 | 108,883 | 19,902 | 18.3 | | Less: Share-based Payment Expenses | 8,945 | 7,497 | 1,448 | 19.3 | | **Adjusted Selling and Marketing Expenses** | **119,840** | **101,386** | **18,454** | **18.2** | - The increase in selling and marketing expenses is primarily due to increased promotional activities across the company's platforms to expand customer acquisition and industry coverage, along with a slight increase in sales staff wage costs[68](index=68&type=chunk) [General and Administrative Expenses](index=23&type=section&id=General%20and%20Administrative%20Expenses) Adjusted general and administrative expenses increased by **2.9%** to **RMB 194.9 million**, mainly due to strategic investments in blockchain, partially offset by the absence of one-off listing expenses General and Administrative Expenses for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Change (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | General and Administrative Expenses | 299,857 | 290,244 | 9,613 | 3.3 | | Less: Share-based Payment Expenses | 105,000 | 93,075 | 11,925 | 12.8 | | Less: Listing Expenses | – | 7,799 | (7,799) | (100) | | **Adjusted General and Administrative Expenses** | **194,857** | **189,370** | **5,487** | **2.9** | - The increase in adjusted general and administrative expenses is primarily due to increased strategic investments in blockchain-based initiatives, partially offset by the absence of additional one-off listing expenses during the reporting period[70](index=70&type=chunk) [Research and Development Expenses](index=23&type=section&id=Research%20and%20Development%20Expenses) Adjusted R&D expenses increased by **29.5%** to **RMB 157.0 million**, driven by continuous investment in innovative businesses, particularly in blockchain and AI, and a one-off **RMB 6.7 million** team optimization cost Research and Development Expenses for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | Change (RMB thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Research and Development Expenses | 186,972 | 147,469 | 39,503 | 26.8 | | Less: Share-based Payment Expenses | 29,978 | 26,281 | 3,697 | 14.1 | | **Adjusted Research and Development Expenses** | **156,994** | **121,188** | **35,806** | **29.5** | - The increase in research and development expenses is primarily due to continuous investment in innovative businesses, particularly in enhancing technological capabilities and expanding application scenarios in areas such as blockchain and artificial intelligence, as well as a one-off **RMB 6.7 million** structural optimization cost for the R&D team[72](index=72&type=chunk) [Other Income](index=24&type=section&id=Other%20Income) Other income increased by **57.8%** to **RMB 141.3 million**, primarily driven by higher interest income and gains on funds segregated for customers due to sustained TPV growth - Other income increased by **57.8%** year-on-year to **RMB 141.3 million**, primarily driven by the sustained and stable growth of TPV, leading to increased interest income and gains on funds segregated for customers[73](index=73&type=chunk) [Other Gains/(Losses) – Net](index=24&type=section&id=Other%20Gains%2F(Losses)%20%E2%80%93%20Net) Net other gains significantly increased to **RMB 2,047.5 million**, primarily due to a **RMB 1,601.5 million** gain from the disposal of Lianlian equity and a **RMB 452.2 million** dilution gain - Net other gains significantly increased to **RMB 2,047.5 million**, primarily due to a **RMB 1,601.5 million** gain recognized from the disposal of Lianlian equity and a **RMB 452.2 million** dilution gain[74](index=74&type=chunk) [Impairment Loss on Financial Assets](index=24&type=section&id=Impairment%20Loss%20on%20Financial%20Assets) Impairment loss on financial assets was **RMB 5.9 million**, an increase of **RMB 2.5 million** year-on-year, consistent with the rising trend in trade receivables - Impairment loss on financial assets was **RMB 5.9 million**, a year-on-year increase of **RMB 2.5 million**, consistent with the increasing trend in trade receivables[75](index=75&type=chunk) [Net Finance Costs](index=24&type=section&id=Net%20Finance%20Costs) Net finance costs were **RMB 2.0 million**, a year-on-year decrease of **RMB 4.3 million**, primarily due to lower interest costs from repaying a significant amount of borrowings - Net finance costs were **RMB 2.0 million**, a year-on-year decrease of **RMB 4.3 million**, primarily due to lower interest costs resulting from the repayment of a significant amount of borrowings[76](index=76&type=chunk) [Share of Net Loss of Associates Accounted for Using the Equity Method](index=24&type=section&id=Share%20of%20Net%20Loss%20of%20Associates%20Accounted%20for%20Using%20the%20Equity%20Method) Share of net loss of associates was **RMB 51.2 million**, a **74.7%** year-on-year decrease, mainly due to the company's reduced equity interest in Lianlian - Share of net loss of associates was **RMB 51.2 million**, a year-on-year decrease of **74.7%**, primarily due to the company's reduced equity interest in Lianlian[77](index=77&type=chunk) [Income Tax Expense](index=25&type=section&id=Income%20Tax%20Expense) Income tax expense was **RMB 408.8 million**, a significant year-on-year increase of **RMB 405.9 million**, mainly due to the reversal of deferred tax assets related to the Lianlian investment - Income tax expense was **RMB 408.8 million**, a significant year-on-year increase of **RMB 405.9 million**, primarily due to the reversal of deferred tax assets (related to the Lianlian investment) recognized at the end of the previous year[78](index=78&type=chunk) [Non-IFRS Measures](index=25&type=section&id=Non-IFRS%20Measures) Non-IFRS measures, including EBITDA and Adjusted EBITDA, are presented to facilitate comparability of operating performance across periods and companies - Non-IFRS measures (EBITDA and Adjusted EBITDA) are used to facilitate comparison of operating performance across different periods and companies[79](index=79&type=chunk) Reconciliation of Non-IFRS Measures for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Profit/(Loss) for the Period | 1,511,315 | (349,957) | | Add: Income Tax Expense | 408,829 | 2,943 | | Add: Net Finance Costs | 2,041 | 6,366 | | Add: Depreciation and Amortization | 16,322 | 16,784 | | **EBITDA (Non-IFRS Measure)** | **1,938,507** | **(323,864)** | | Add: Share-based Payment Expenses | 144,865 | 127,641 | | Add: Listing Expenses | – | 7,799 | | **Adjusted EBITDA (Non-IFRS Measure)** | **2,083,372** | **(188,424)** | | **Adjusted Profit/(Loss) for the Period (Non-IFRS Measure)** | **1,656,180** | **(214,517)** | [Liquidity and Financial Resources, Treasury Policy and Capital Structure](index=26&type=section&id=Liquidity%20and%20Financial%20Resources%2C%20Treasury%20Policy%20and%20Capital%20Structure) This section details the company's liquidity, financial resources, treasury policy, and capital structure, highlighting increased cash and cash equivalents, improved operating cash flow, significant investment cash inflow, and a gearing ratio of approximately **12.5%** [Cash Flow](index=26&type=section&id=Cash%20Flow) Cash flow analysis shows a decrease in net cash used in operating activities, a significant increase in net cash from investing activities, and an increase in net cash used in financing activities Cash Flow for the Six Months Ended June 30, 2025 | Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Net Cash (Used in)/From Operating Activities | (21,142) | (102,890) | | Net Cash From/(Used in) Investing Activities | 1,505,628 | (106,916) | | Net Cash (Used in)/From Financing Activities | (446,632) | 590,270 | | **Net Increase in Cash and Cash Equivalents** | **1,037,854** | **380,464** | | Cash and Cash Equivalents at Beginning of Period | 522,250 | 189,840 | | Effect of Exchange Rate Changes on Cash and Cash Equivalents | 618 | 5,284 | | **Cash and Cash Equivalents at End of Period** | **1,560,722** | **575,588** | - Net cash from investing activities was primarily due to proceeds of **RMB 1,601.5 million** from the disposal of a portion of Lianlian's equity[85](index=85&type=chunk) - Net cash used in financing activities primarily included **RMB 278.8 million** injected into the award trust fund and **RMB 160.6 million** in loan repayments[86](index=86&type=chunk) [Borrowings](index=27&type=section&id=Borrowings) As of June 30, 2025, bank borrowings totaled **RMB 326.5 million**, with long-term rates at **3.4%** and short-term rates between **2.35% and 3.90%**, and the company has **RMB 1,053.8 million** in unused credit facilities - As of June 30, 2025, the company's bank borrowings amounted to **RMB 326.5 million**, with long-term borrowing interest rates at **3.4%** and short-term borrowing annual interest rates ranging from **2.35% to 3.90%**[87](index=87&type=chunk)[53](index=53&type=chunk) - The company has approximately **RMB 1,053.8 million** in unused credit facilities and has complied with its borrowing covenants[87](index=87&type=chunk) [Capital Expenditure](index=28&type=section&id=Capital%20Expenditure) Capital expenditure for the period was **RMB 5.1 million**, primarily for the acquisition of property, equipment, and intangible assets like computer software - Capital expenditure during the reporting period was **RMB 5.1 million**, primarily for the acquisition of property and equipment, and intangible assets such as computer software[88](index=88&type=chunk) [Funds Segregated for Customers and Restricted Cash](index=28&type=section&id=Funds%20Segregated%20for%20Customers%20and%20Restricted%20Cash) Funds segregated for customers and restricted cash increased by **RMB 3,431.6 million** to **RMB 16,038.4 million**, driven by growth in TPV and revenue - Funds segregated for customers and restricted cash amounted to **RMB 16,038.4 million**, an increase of **RMB 3,431.6 million** from the end of 2024, primarily due to the growth in TPV and revenue[89](index=89&type=chunk) [Accrued Expenses and Other Payables](index=28&type=section&id=Accrued%20Expenses%20and%20Other%20Payables) Accrued expenses and other payables increased by **RMB 3,377.9 million** to **RMB 16,069.4 million**, with **98.8%** being amounts payable to merchants and other customers, consistent with segregated funds growth - Accrued expenses and other payables amounted to **RMB 16,069.4 million**, an increase of **RMB 3,377.9 million** from the end of 2024, with **98.8%** representing amounts payable to merchants and other customers, consistent with the growth trend of funds segregated for customers[90](index=90&type=chunk) [Trade Receivables](index=28&type=section&id=Trade%20Receivables) The increase in trade receivables is primarily due to revenue growth and changes in customer mix, including longer settlement cycles with commercial banks and large enterprises - The increase in trade receivables is primarily due to revenue growth and changes in customer mix, with longer settlement cycles resulting from collaborations with more commercial banks and large enterprises[91](index=91&type=chunk) [Trade Payables](index=28&type=section&id=Trade%20Payables) Trade payables increased by **RMB 18.3 million** to **RMB 93.0 million**, mainly due to higher service fees and processing fees in line with revenue growth - Trade payables amounted to **RMB 93.0 million**, an increase of **RMB 18.3 million** from the end of 2024, primarily due to increased service fees and processing fees in line with revenue growth[92](index=92&type=chunk) [Prepayments, Other Receivables and Other Current Assets](index=29&type=section&id=Prepayments%2C%20Other%20Receivables%20and%20Other%20Current%20Assets) Prepayments, other receivables, and other current assets increased by **RMB 27.1 million** to **RMB 185.5 million**, mainly due to increased card organization payment channel deposit requirements from global payment transaction volume growth - The balance of prepayments, other receivables, and other current assets was **RMB 185.5 million**, an increase of **RMB 27.1 million** from the end of 2024, primarily due to increased card organization deposit requirements for payment channels driven by the growth in global payment transaction volume[93](index=93&type=chunk) [Pledge of Assets](index=29&type=section&id=Pledge%20of%20Assets) As of June 30, 2025, the company pledged investment properties, buildings, and land use rights with a net book value of **RMB 159.0 million**, **RMB 98.3 million**, and **RMB 2.7 million**, respectively, for **RMB 145.5 million** in bank borrowings - As of June 30, 2025, the company pledged investment properties with a net book value of **RMB 159.0 million**, buildings of **RMB 98.3 million**, and land use rights of **RMB 2.7 million** to secure **RMB 145.5 million** in bank borrowings[94](index=94&type=chunk) [Contingent Liabilities](index=29&type=section&id=Contingent%20Liabilities) As of June 30, 2025, the company had no contingent liabilities - As of June 30, 2025, the company had no contingent liabilities[95](index=95&type=chunk) [Share Pledges](index=29&type=section&id=Share%20Pledges) A total of **92,316,555** unlisted shares, representing approximately **8.55%** of total issued shares held by controlling shareholder Mr Lü Zhonglin, were judicially frozen due to his personal civil case disputes - A total of **92,316,555** unlisted shares, representing approximately **8.55%** of the total issued shares held by controlling shareholder Mr Lü Zhonglin, were judicially frozen due to his personal civil case disputes[96](index=96&type=chunk) [Gearing Ratio](index=29&type=section&id=Gearing%20Ratio) As of June 30, 2025, the company's gearing ratio was approximately **12.5%** - As of June 30, 2025, the company's gearing ratio was approximately **12.5%**[97](index=97&type=chunk) [Other Information](index=30&type=section&id=Other%20Information) This section covers significant investments and disposals, future plans, foreign exchange risk, employee and remuneration policies, use of global offering proceeds, corporate governance, securities transactions by directors, share repurchases, interim dividend policy, and audit committee work [Significant Acquisitions and Disposals of Subsidiaries, Associates and Joint Ventures](index=30&type=section&id=Significant%20Acquisitions%20and%20Disposals%20of%20Subsidiaries%2C%20Associates%20and%20Joint%20Ventures) During the period, the company disposed of a portion of its equity in Lianlian, reducing its stake to **17.63%**, with the transaction completed in February and March 2025, classified as a discloseable transaction [Disposal of Equity Interest in Lianlian](index=30&type=section&id=Disposal%20of%20Equity%20Interest%20in%20Lianlian) The company disposed of a portion of its equity in Lianlian, reducing its stake to **17.63%**, a transaction completed in February and March 2025 and classified as a discloseable transaction - During the reporting period, the company disposed of a portion of its equity interest in Lianlian, reducing its shareholding to **17.63%**, with the disposal completed in February 2025 and the capital increase completed in March 2025[98](index=98&type=chunk)[99](index=99&type=chunk) - This disposal constitutes a discloseable transaction for the company but is exempt from the shareholder approval requirements under Chapter 14 of the Listing Rules[99](index=99&type=chunk) [Future Plans for Material Investments and Capital Assets](index=30&type=section&id=Future%20Plans%20for%20Material%20Investments%20and%20Capital%20Assets) As of June 30, 2025, the company had no material investment and capital asset plans beyond those disclosed in the prospectus - As of June 30, 2025, the company had no other material investment and capital asset plans beyond those disclosed in the prospectus[100](index=100&type=chunk) [Foreign Exchange Risk](index=31&type=section&id=Foreign%20Exchange%20Risk) Operating globally, the company manages foreign exchange risk through "back-to-back" transaction strategies and real-time quotation platforms, effectively reducing exchange rate fluctuation exposure - The company mitigates foreign exchange risk by employing "back-to-back" transaction strategies and real-time reference quotation platforms to shorten transaction time intervals[101](index=101&type=chunk) [Material Investments and Significant Events During the Reporting Period](index=31&type=section&id=Material%20Investments%20and%20Significant%20Events%20During%20the%20Reporting%20Period) As of June 30, 2025, the company had not made any material investments valued at **5%** or more of its total assets - As of June 30, 2025, the company had not made any material investments valued at **5%** or more of its total assets[102](index=102&type=chunk) [Employees and Remuneration Policy](index=31&type=section&id=Employees%20and%20Remuneration%20Policy) As of June 30, 2025, the company had **1,025** employees (91% in China, 9% overseas) with total benefits of **RMB 467.9 million**, focusing on talent attraction, retention, and motivation through training, social security, and labor relations - As of June 30, 2025, the company had **1,025** employees, with **91%** in China and **9%** overseas[103](index=103&type=chunk) - Total employee benefits, including directors' remuneration, amounted to **RMB 467.9 million**[103](index=103&type=chunk) - The company attracts, retains, and motivates talent through high-standard recruitment, regular training, online learning platforms, social security schemes, and share option and award trust schemes[103](index=103&type=chunk)[104](index=104&type=chunk) [Use of Proceeds](index=32&type=section&id=Use%20of%20Proceeds) Of the **HK$548.0 million** net proceeds from the global offering, approximately **HK$278.9 million** (**50.9%**) was utilized by June 30, 2025, mainly for enhancing technological capabilities, with no change in intended use - The net proceeds from the global offering were approximately **HK$548.0 million**, of which approximately **HK$278.9 million** had been utilized as of June 30, 2025, representing approximately **50.9%** of the total[105](index=105&type=chunk) Details of Use of Net Proceeds from Global Offering | Purpose | Percentage of Net Proceeds | Estimated Net Proceeds Allocated (HK$ million) | Net Proceeds Utilized as of June 30, 2025 (HK$ million) | Remaining Amount (HK$ million) | | :--- | :--- | :--- | :--- | :--- | | Enhancing Technological Capabilities | 60.0% | 328.8 | 251.5 | 77.3 | | Expanding Global Business Operations | 30.0% | 164.4 | – | 164.4 | | Future Strategic Investments and Acquisitions | 5.0% | 27.4 | – | 27.4 | | General Corporate Purposes and Working Capital Needs | 5.0% | 27.4 | 27.4 | – | | **Total** | **100.0%** | **548.0** | **278.9** | **269.1** | [Corporate Governance](index=34&type=section&id=Corporate%20Governance) The company adheres to high corporate governance standards, adopting the HKEX Listing Rules' Corporate Governance Code, with a highly independent Board of Directors comprising four executive and three independent non-executive directors - The company adopted the Corporate Governance Code set out in Appendix C1 Part 2 of the Listing Rules and complied with all relevant principles and code provisions during the reporting period[107](index=107&type=chunk)[108](index=108&type=chunk) - The Board of Directors comprises four executive directors and three independent non-executive directors, demonstrating strong independence[108](index=108&type=chunk) [Securities Transactions by Directors and Supervisors](index=34&type=section&id=Securities%20Transactions%20by%20Directors%20and%20Supervisors) The company adopted the Standard Code for securities transactions by directors, supervisors, and relevant employees, with all personnel strictly complying during the reporting period - The company adopted the Standard Code to regulate securities transactions by directors, supervisors, and relevant employees, and all relevant personnel strictly complied during the reporting period[109](index=109&type=chunk)[110](index=110&type=chunk) [Purchase, Sale or Redemption of Listed Securities](index=34&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20Listed%20Securities) For the six months ended June 30, 2025, the company repurchased **771,000** H shares on the HKEX for a total of **HK$4,679,872.85**, aiming to benefit the company and create shareholder value Details of Share Repurchases in H1 2025 | Month of Repurchase | Number of Shares Repurchased | Highest Price Per Share (HK$) | Lowest Price Per Share (HK$) | Total Consideration (HK$) | | :--- | :--- | :--- | :--- | :--- | | April 2025 | 13,500 | 6.00 | 5.97 | 80,985.15 | | May 2025 | 757,500 | 6.30 | 5.94 | 4,598,887.70 | | **Total** | **771,000** | | | **4,679,872.85** | - The share repurchases aim to benefit the company and create value for shareholders; otherwise, neither the company nor its subsidiaries purchased, sold, or redeemed any listed securities[113](index=113&type=chunk) [Interim Dividend](index=35&type=section&id=Interim%20Dividend) Considering the long-term interests of shareholders and the company, the Board did not recommend an interim dividend for the reporting period - The Board did not recommend the payment of an interim dividend for the reporting period (interim dividend for the six months ended June 30, 2024: nil)[114](index=114&type=chunk) [Audit Committee](index=35&type=section&id=Audit%20Committee) The Audit Committee, composed of three independent non-executive directors, reviewed this announcement and interim financial information, confirming compliance with accounting principles, laws, and regulations, and sufficient disclosure - The Audit Committee, comprising three independent non-executive directors, reviewed this announcement and the interim financial information, deeming them compliant with applicable accounting principles and relevant laws and regulations[115](index=115&type=chunk) [Scope of Work of PricewaterhouseCoopers](index=35&type=section&id=Scope%20of%20Work%20of%20PricewaterhouseCoopers) The interim condensed consolidated financial information is unaudited but has been reviewed by PricewaterhouseCoopers in accordance with ISRE 2410 - The interim condensed consolidated financial information is unaudited but has been reviewed by PricewaterhouseCoopers in accordance with International Standard on Review Engagements 2410[116](index=116&type=chunk) [Events After Reporting Period](index=36&type=section&id=Events%20After%20Reporting%20Period) In July 2025, the company completed a placement of **38,400,000** new H shares, raising net proceeds of approximately **HK$387.25 million** for blockchain innovation, global business expansion, and general corporate purposes - In July 2025, the company completed the placement of **38,400,000** new H shares, with net proceeds of approximately **HK$387.25 million**[117](index=117&type=chunk) - The proceeds from the placement will be used for innovation and application of blockchain and other innovative technologies in global payment (**50%**), global business and license expansion (**30%**), and general corporate purposes (**20%**)[117](index=117&type=chunk) [Publication of Interim Results Announcement and 2025 Interim Report](index=36&type=section&id=Publication%20of%20Interim%20Results%20Announcement%20and%202025%20Interim%20Report) This interim results announcement is published on the company and HKEX websites, and the interim report for the six months ended June 30, 2025, will be dispatched to shareholders and published online - This interim results announcement has been published on the company's website and the HKEX website, and the interim report will be dispatched to shareholders and published on the website in accordance with the Listing Rules[119](index=119&type=chunk) [Definitions](index=37&type=section&id=Definitions) This section defines key terms and abbreviations used throughout the report, including company names, financial reporting standards, business entities, share types, and regulatory bodies, to ensure clarity - This section provides definitions of key terms and abbreviations used throughout the report, including company names, financial reporting standards, business entities, share types, and regulatory bodies[120](index=120&type=chunk)[121](index=121&type=chunk)[122](index=122&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何部分內容而產生或因倚賴 該等內容而引致的任何損失承擔任何責任。 STEVE LEUNG DESIGN GROUP LIMITED 梁志天設計集團有限公司 （於開曼群島註冊成立的有限公司） （股份代號：2262） 截至2025年6月30日止六個月期間的中期業績公告 財務摘要 截至6月30日止六個月期間 | 2025年 | 2024年 | | --- | --- | | （未經審核） | （未經審核） | 業績： | 期內收入（百萬港元） | 194.6 | 164.5 | | --- | --- | --- | | 期內溢利（虧損）（百萬港元） | 1.0 | (7.4) | | 每股基本盈利（虧損）（港仙） | 0.14 | (0.54) | 資產價值淨額： 於2025年6月30日，本集團的每股資產價值淨額約為0.28港元（2024年12月31 日：約0.28港元）。 剩餘合同總額： 於2025年6月30日，本集團的剩餘合同總額約為538.5百萬港元（2024年12月 ...

中期業績 方 正 控 股 有 限 公 司（「本 公 司」）董 事 會（「董 事 會」）提 呈 本 公 司 及 其 附 屬 公 司（統 稱 「本 集 團」）截 至 二 零 二 五 年 六 月 三 十 日 止 六 個 月 之 未 經 審 核 中 期 簡 明 綜 合 財 務 報 表，連 同 二 零 二 四 年 同 期 之 比 較 數 字。中 期 簡 明 綜 合 財 務 報 表 未 經 審 核，惟 已 經 本 公 司 之 審 核 委 員 會 審 閱。 簡明綜合損益表 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 （於百慕達註冊成立之有限公司） （股份代號：00418） 截至二零二五年六月三十日止六個月之 中期業績 – 1 – 簡明綜合全面收入表 截至二零二五年六月三十日止六個月 | 截至六月三十日止六個月 | | --- | | | | | | | | | 二零二五年 | | 二零二四年 | | | ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於中華人民共和國註冊成立的股份有限公司） （股份代號：2883） 截至2025年6月30日止六個月 中期業績公告 財務摘要 - 1 - 1、 收入為人民幣23,295.1百萬元 2、 經營利潤為人民幣2,908.6百萬元 3、 本期利潤為人民幣2,076.8百萬元 4、 每股基本盈利為人民幣0.41元 本公司截至2025年6月30日止六個月中期業績未經審計。 中期簡明合併損益表 截至2025年6月30日止六個月 | | | 截至6月30日止六個月 | | | --- | --- | --- | --- | | | | 2025年 | 2024年 | | | 附註 | 人民幣千元 | 人民幣千元 | | | | （未經審計） | （未經審計） | | 收入 | 5 | 23,320,327 | 22,528,544 | | 銷售附加稅 | | (25,256) | (31,881) | | 收入，扣除銷 ...

（於開曼群島註冊成立的有限公司） （股份代號：0775） 二零二五年度中期報告 提升 健康生活 此 二 零 二 五 年 度 中 期 報 告（ 英 文 版 及 中 文 版 ）（「 中 期 報 告 」）已 於 本 公 司 網 站 （https://www.ck-lifesciences.com）及香港交易及結算所有限公司網站（https://www.hkexnews.hk） 登載。 股東如欲收取本公司之公司通訊（包括但不限於中期報告）印刷本，謹請按照本公司網站「投資 者關係」下「發佈公司通訊」欄目內之指示填妥相關要求表格，並將填妥之表格交回本公司股份 登記分處香港中央證券登記有限公司。 股東之任何該等要求將於一年後失效。然而，倘於原有要求失效日期前，股東書面撤回原有 要求或提出後續書面要求取代原有要求，原有要求將更早失效。股東如欲於原有要求失效後 繼續收取公司通訊印刷本，股東必須交回一份填妥之新要求表格。 股東可隨時透過本公司股份登記分處以電郵（至cklife.ecom@computershare.com.hk）或郵寄（至 香港皇后大道東183號合和中心17M樓）方式預先給予本公司合理時間的書面通知，以更改其 收 ...

經調整期內虧損指未計股份支付開支人民幣16,165,000元（截至2024年6月30日止六個月：人 民幣17,634,000元）影響的期內虧損。《國際財務報告準則》並未對經調整期內虧損一詞進行界 定。使用該非《國際財務報告準則》計量作為分析工具具有局限性， 閣下不應視其為獨立於或 可代替本集團根據《國際財務報告準則》所呈報的經營業績或財務狀況的分析。我們對有關經 調整數字的呈列未必可與其他公司所呈列的類似計量指標相比。然而，我們認為，該非《國際 財務報告準則》計量可通過消除管理層認為不能反映本集團核心經營表現的項目的潛在影響， 反映本集團的核心經營業績，從而有助於在適用限度內比較不同期間及不同公司的核心經營表 現。 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何部分內容而產生或因倚賴 該等內容而引致之任何損失承擔任何責任。 Keymed Biosciences Inc. 康諾亞生物醫藥科技有限公司 （於開曼群島註冊成立的有限公司） （股份代號：2162） 截至2025年6月30日止六個月之 中期業績公告；及 首席 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 佈 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 Lee's Pharmaceutical Holdings Limited 李氏大藥廠控股有限公司 * （於開曼群島註冊成立之有限公司） （股份代號：950） 截至二零二五年六月三十日止六個月中期業績 財務摘要 | | | 截至六月三十日止六個月 | | | | --- | --- | --- | --- | --- | | | | 二零二五年 | 二零二四年 | 變 動 | | | | 千港元 | 千港元 | | | | 收 益 | 694,821 | 658,345 | +5.5% | | | 毛 利 | 360,053 | 350,595 | +2.7% | | 本公司擁有人應佔溢利 | | 67,185 | 62,478 | +7.5% | | | | 港 仙 | 港 仙 | | | | 每股盈利 | | | | | | 基 本 | 11. ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部 或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 Qiniu Limited 七牛智能科技有限公司 （於英屬維爾京群島註冊成立並遷至開曼群島及於開曼群島存續的有限公司) (股份代號: 2567) 截 至2025年6月30日止六個月 中期業績公告 七 牛 智 能 科 技 有 限 公 司（「本公司」或「七 牛」）董 事（「董 事」）會（「董事會」）欣 然 宣 佈， 本 公 司、其 附 屬 公 司 及 合 併 聯 屬 實 體（統 稱 為「本集團」或「我 們」）截 至2025年6月 30日 止 六 個 月（「報告期間」）之 未 經 審 核 簡 明 合 併 中 期 業 績 連 同 截 至2024年6月30 日止六個月之比較數字如下： 財務業績摘要 本集團收益由截至2024年6月30日止六個月的人民幣710.4百萬元增至截至 2025年6月30日止六個月的人民幣829.4百萬元，同比增長16.8%。 我們於截至2025年6月30日止六個月錄得虧損人民幣33.4百 ...

目錄 1 業績簡報* 94 有關前瞻性陳述之提示聲明 * 為方便閱覽，於報告內引述之百分率，已適當地調整為整數，惟比率指標則仍以一個或兩個小數位列示。 2 RESULTS IN BRIEF 2 董事長報告* 3 行政總裁報告* 5 財務概況* 12 風險（未經審核） 47 中期簡明綜合財務報表（未經審核） 47 中期簡明綜合收益表 48 中期簡明綜合全面收益表 49 中期簡明綜合資產負債表 50 中期簡明綜合權益變動表 52 中期簡明綜合現金流量表 54 中期簡明綜合財務報表附註（未經審核） 84 致董事會的審閱報告 85 企業管治 91 股東資訊 92 企業資訊 業績簡報 | | 2025年 | 2024年 | | --- | --- | --- | | | 6月30日 | 6月30日 | | 半年期內 | 港幣百萬元 | 港幣百萬元 | | 扣除預期信貸損失變動及其他信貸減值提撥前之營業收入淨額 | 20,975 | 20,431 | | 營業溢利 | 8,549 | 11,396 | | 除稅前溢利 | 8,097 | 11,307 | | 本行股東應得之溢利 | 6,880 | 9,893 | | | ...

[Financial Performance Overview](index=1&type=section&id=Financial%20Performance%20Overview) The group experienced a significant shift from profit to loss in H1 2025, with decreased turnover and gross profit, leading to a substantial increase in loss for the period [Consolidated Income Statement](index=1&type=section&id=Consolidated%20Income%20Statement) The group shifted from profit to loss in H1 2025, with decreased turnover and gross profit, resulting in a significantly expanded loss for the period Key Consolidated Income Statement Data for H1 2025 (thousand HKD) | Indicator | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Turnover | 935,402 | 1,095,702 | | Cost of Sales | (830,352) | (942,638) | | Gross Profit | 105,050 | 153,064 | | Operating Loss | (48,878) | (8,500) | | Loss Before Income Tax | (50,150) | (10,882) | | Loss for the Period | (52,920) | (7,622) | | Loss Attributable to Equity Holders of the Company | (48,779) | (4,472) | [Consolidated Statement of Comprehensive Income](index=2&type=section&id=Consolidated%20Statement%20of%20Comprehensive%20Income) The group's total comprehensive loss narrowed in H1 2025, primarily due to a favorable shift in currency translation differences, partially offsetting the increased loss for the period Key Consolidated Statement of Comprehensive Income Data for H1 2025 (thousand HKD) | Indicator | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Loss for the Period | (52,920) | (7,622) | | Currency Translation Differences for Financial Statements of Subsidiaries and an Associate Outside Hong Kong | 10,119 | (47,650) | | Other Comprehensive Income for the Year | 11,728 | (48,695) | | Total Comprehensive Income for the Period | (41,192) | (56,317) | | Total Comprehensive Income Attributable to Equity Holders of the Company | (38,089) | (49,028) | [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 and equity decreased, net current assets declined, but bank and cash balances remained at a relatively high level Key Consolidated Statement of Financial Position Data as of June 30, 2025 (thousand HKD) | Indicator | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Non-current Assets | 1,515,869 | 1,553,555 | | Current Assets | 1,777,401 | 1,882,022 | | Bank and Cash Balances | 431,466 | 717,286 | | Current Liabilities | 400,099 | 408,048 | | Net Current Assets | 1,377,302 | 1,473,974 | | Net Assets | 2,835,539 | 2,958,612 | | Total Equity Attributable to Equity Holders of the Company | 2,722,277 | 2,842,247 | [Condensed Consolidated Statement of Cash Flows](index=4&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) In H1 2025, the group saw increased cash outflow from operating activities, a shift from inflow to outflow in investing activities, and reduced cash outflow from financing activities, leading to a larger net decrease in cash and cash equivalents Key Condensed Consolidated Statement of Cash Flows Data for H1 2025 (thousand HKD) | Indicator | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Net Cash (Outflow)/Inflow from Operating Activities | (109,157) | (142,038) | | Net Cash (Outflow)/Inflow from Investing Activities | (116,455) | 58,416 | | Net Cash (Outflow)/Inflow from Financing Activities | (108,345) | (126,403) | | Net Decrease in Cash and Cash Equivalents | (333,957) | (210,025) | | Cash and Cash Equivalents at June 30 | 387,606 | 587,133 | [Notes to the Condensed Interim Financial Information](index=4&type=section&id=Notes%20to%20the%20Condensed%20Interim%20Financial%20Information) This section details the basis of preparation, accounting policies, segment information, finance costs, income tax, loss per share, dividends, and key balance sheet items [Basis of Preparation and Accounting Policies](index=4&type=section&id=Basis%20of%20Preparation%20and%20Accounting%20Policies) The interim financial report is unaudited, prepared under HKAS 34 and Appendix D2 of the Listing Rules, using historical cost convention, consistent with 2024 policies, with no significant impact from new standards - The interim financial report is unaudited, prepared in accordance with Hong Kong Accounting Standard 34 and Appendix D2 of the Listing Rules[8](index=8&type=chunk) - The report adopts the historical cost convention and should be read in conjunction with the financial statements for the year ended December 31, 2024[8](index=8&type=chunk) - Revisions to Hong Kong Financial Reporting Standards, such as the amendment to HKAS 21, effective for the current period, have no significant impact on the group's current or prior period results and financial position[9](index=9&type=chunk) [Revenue and Segment Information](index=5&type=section&id=Revenue%20and%20Segment%20Information) The group's business is segmented into book and packaging printing, consumer product packaging, corrugated products, and paper trading, with segment revenue and results presented accordingly - The group's key operating decision-maker (Management Committee) classifies business into four segments based on internal reports to assess operating performance[10](index=10&type=chunk) [Business Segments](index=5&type=section&id=Business%20Segments) The group's four business segments are book and packaging printing, consumer product packaging, corrugated products, and paper trading, with inter-segment sales conducted on an arm's length basis - The group's four business segments are: book and packaging printing, consumer product packaging, corrugated products, and paper trading[11](index=11&type=chunk) - Inter-segment sales are conducted on an arm's length basis, and segment results exclude corporate finance costs, other corporate income and expenses, and share of results of associates[12](index=12&type=chunk)[13](index=13&type=chunk) [Segment Results](index=6&type=section&id=Segment%20Results) In H1 2025, all business segments experienced decreased turnover and recorded losses, with book and packaging printing showing the most significant loss H1 2025 Segment Revenue and Results (thousand HKD) | Business Segment | 2025 Segment Revenue | 2025 Segment Results | 2024 Segment Revenue | 2024 Segment Results | | :--- | :--- | :--- | :--- | :--- | | Book and Packaging Printing | 648,704 | (22,144) | 764,768 | 26,429 | | Consumer Product Packaging | 144,700 | (17,619) | 151,218 | (24,253) | | Corrugated Products | 115,415 | (6,053) | 116,771 | (8,421) | | Paper Trading | 190,802 | (3,949) | 238,383 | 532 | | **Total** | **935,402** | **(50,376)** | **1,095,702** | **(6,418)** | [Finance Costs](index=7&type=section&id=Finance%20Costs) The group's finance costs decreased by **35.8%** in H1 2025 year-on-year, primarily due to reduced interest on bank borrowings H1 2025 Finance Costs (thousand HKD) | Item | 2025 (Unaudited) | 2024 (Unaudited) | Change (%) | | :--- | :--- | :--- | :--- | | Interest on Bank Borrowings | 724 | 1,621 | -55.3% | | Interest on Lease Liabilities | 893 | 899 | -0.7% | | **Total** | **1,617** | **2,520** | **-35.8%** | [Loss Before Income Tax](index=8&type=section&id=Loss%20Before%20Income%20Tax) The group's loss before income tax significantly expanded in H1 2025, influenced by increased depreciation, losses on asset disposals, and reduced interest income, despite improved net foreign exchange gains Key Factors Affecting Loss Before Income Tax for H1 2025 (thousand HKD) | Item | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Depreciation (Property, Plant and Equipment) | 50,800 | 52,675 | | Loss on Disposal of Property, Plant and Equipment | 5,447 | 921 | | Employee Benefit Expenses (including Directors' Emoluments) | 279,431 | 295,739 | | Interest Income | 4,588 | 8,342 | | Net Foreign Exchange Gain | 9,612 | - | | Fair Value Gain on Structured Bank Deposits | 11,783 | 8,753 | [Income Tax](index=9&type=section&id=Income%20Tax) The group's income tax shifted from a gain to an expense in H1 2025, mainly due to deferred tax moving from a gain to an expense and increased taxes in Hong Kong and Vietnam H1 2025 Income Tax Components (thousand HKD) | Item | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Current Tax for the Period | 913 | 1,164 | | Deferred Tax | 1,857 | (4,424) | | **Income Tax** | **2,770** | **(3,260)** | - Hung Hing Printing (China) Company Limited obtained High-Tech Enterprise certification, qualifying for a **15%** reduced corporate income tax rate in China for 2024 and 2025[19](index=19&type=chunk) - Vietnamese subsidiaries HH Dream Printing Company Limited and HHD (Thai Ha) Company Limited enjoy a corporate income tax exemption for the first two years, followed by a **50%** reduction for the subsequent four years[19](index=19&type=chunk) [Loss Per Share](index=10&type=section&id=Loss%20Per%20Share) The group's basic loss per share significantly increased in H1 2025, with diluted loss per share being the same due to the anti-dilutive effect of ordinary shares repurchased under the share award scheme H1 2025 Basic Loss Per Share (HK cents) | Indicator | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Basic Loss Per Share | (5.4) | (0.5) | - For the periods ended June 30, 2025 and 2024, diluted loss per share was the same as basic loss per share due to the anti-dilutive effect of ordinary shares repurchased under the share award scheme[21](index=21&type=chunk) [Basic Loss Per Share](index=10&type=section&id=Basic%20Loss%20Per%20Share) Basic loss per share for H1 2025 was **HK 5.4 cents**, a significant increase from **HK 0.5 cents** in the prior year, primarily due to the expanded loss attributable to equity holders H1 2025 Basic Loss Per Share Calculation | Indicator | 2025 (thousand HKD/thousand shares) | 2024 (thousand HKD/thousand shares) | | :--- | :--- | :--- | | Loss Attributable to Equity Holders of the Company | (48,779) | (4,472) | | Weighted Average Number of Ordinary Shares for Basic Loss Per Share | 907,292 | 904,591 | | **Basic Loss Per Share (HK cents per share)** | **(5.4)** | **(0.5)** | [Diluted Loss Per Share](index=10&type=section&id=Diluted%20Loss%20Per%20Share) Diluted loss per share for H1 2025 was identical to basic loss per share, as the repurchase of ordinary shares under the share award scheme had an anti-dilutive effect - For the periods ended June 30, 2025 and 2024, diluted loss per share was the same as basic loss per share due to the anti-dilutive effect of ordinary shares repurchased under the share award scheme[21](index=21&type=chunk) [Dividends](index=10&type=section&id=Dividends) The Board declared an interim dividend of **HK 3 cents** per share, a reduction from **HK 4 cents** per share in the prior year Interim Dividend Distribution | Item | 2025 (Unaudited) | 2024 (Unaudited) | | :--- | :--- | :--- | | Interim Dividend Per Ordinary Share | HK 3 cents | HK 4 cents | | Total Amount Distributed (thousand HKD) | 27,236 | 36,315 | [Trade and Other Receivables](index=11&type=section&id=Trade%20and%20Other%20Receivables) As of June 30, 2025, the group's total trade and other receivables increased, with both net trade receivables and prepayments showing an upward trend Trade and Other Receivables as of June 30, 2025 (thousand HKD) | Item | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Trade Receivables (Net) | 513,008 | 449,674 | | Trade Receivables from Related Parties | 313 | 9 | | Bills Receivable | 6,781 | 974 | | Prepayments, Deposits and Other Receivables | 122,353 | 113,451 | | **Total** | **642,455** | **564,108** | - As of the reporting period end, trade receivables overdue by more than **90 days** increased from **HKD 47,828 thousand** on December 31, 2024, to **HKD 78,560 thousand** on June 30, 2025[23](index=23&type=chunk) [Cash and Cash Equivalents](index=11&type=section&id=Cash%20and%20Cash%20Equivalents) As of June 30, 2025, the group's bank and cash balances significantly decreased, leading to a corresponding reduction in cash and cash equivalents within the consolidated cash flow statement Cash and Cash Equivalents as of June 30, 2025 (thousand HKD) | Item | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Bank and Cash Balances | 431,466 | 717,286 | | Less: Time Deposits with Original Maturity Over Three Months | (43,860) | - | | **Cash and Cash Equivalents in Consolidated Cash Flow Statement** | **387,606** | **717,286** | [Trade and Other Payables](index=12&type=section&id=Trade%20and%20Other%20Payables) As of June 30, 2025, the group's total trade and other payables slightly increased, with both trade payables and bills payable showing an upward trend Trade and Other Payables as of June 30, 2025 (thousand HKD) | Item | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | Trade Payables | 142,616 | 130,262 | | Bills Payable | 10,316 | 6,799 | | Current Portion of Deferred Income | 4,798 | 5,956 | | Other Payables and Accruals | 173,171 | 175,138 | | Amount Due to an Associate | 4,900 | 5,418 | | **Total** | **335,801** | **323,573** | - As of the reporting period end, trade payables overdue by more than **90 days** increased from **HKD 5,197 thousand** on December 31, 2024, to **HKD 10,937 thousand** on June 30, 2025[25](index=25&type=chunk) [Management Discussion and Analysis](index=12&type=section&id=Management%20Discussion%20and%20Analysis) This section provides an overview of the group's financial results, strategic initiatives for future growth, detailed business performance by segment, liquidity, capital resources, environmental sustainability efforts, and human resources [Results and Dividends](index=12&type=section&id=Results%20and%20Dividends) In H1 2025, the group's loss attributable to equity holders expanded to **HKD 49 million** due to global economic volatility, protectionism, and tariffs, yet maintained robust cash flow and declared an interim dividend of **HK 3 cents** per share - In H1 2025, the group recorded a loss attributable to equity holders of approximately **HKD 49 million**, a significant increase compared to a loss of **HKD 4 million** in the prior year period[27](index=27&type=chunk) - The group's total deposits and cash (including structured deposits) amounted to approximately **HKD 760 million**, maintaining robust liquidity[27](index=27&type=chunk) - The Board declared an interim dividend of **HK 3 cents** per share, lower than the **HK 4 cents** per share in 2024[27](index=27&type=chunk) - The global printing and packaging industry faces significant pressure, with declining demand for core businesses and US tariff policies imposing substantial financial burdens on export-oriented enterprises[26](index=26&type=chunk) [Laying the Foundation for Future Growth](index=13&type=section&id=Laying%20the%20Foundation%20for%20Future%20Growth) The group is proactively addressing the challenging operating environment by constructing a second Vietnam factory, integrating Zhongshan plant operations, upgrading AI-driven systems, ensuring EUDR compliance, and diversifying business through STEM PLUS and Yum Me Print - Construction of the second Vietnam factory (Thai Ha plant) is progressing smoothly, which will provide a critical production base for customers and diversify tariff risks[28](index=28&type=chunk) - The Zhongshan plant completed two major business integrations, enhancing communication, production efficiency, and logistics operations[28](index=28&type=chunk) - The group continues to transform its business through system standardization and AI-driven innovation, with the new ERP 5.0 system improving quotation and inventory management efficiency, and the AI team driving cross-departmental innovation projects[28](index=28&type=chunk) - The group has made significant progress in complying with the EU Deforestation Regulation (EUDR), achieving full traceability of paper raw materials starting from July 2025[29](index=29&type=chunk) - Diversified business expansion includes STEM PLUS educational activities, Think Leap Limited's children's books and educational toys business (which completed digital transformation of logistics management), and Yum Me Print's self-service printing (with **50** service stations and over **20,000** members)[30](index=30&type=chunk) - Yum Me Print has established a strategic partnership with a mainland shared power bank provider to expand its service scope[31](index=31&type=chunk) [Business Performance](index=14&type=section&id=Business%20Performance) All major business segments faced challenges in H1 2025, experiencing revenue declines and losses, but the group actively responded with cost optimization, efficiency improvements, and resource integration strategies - The group's geographical diversification strategy through expanding production in Vietnam aims to counter US-China trade friction and tariff changes, optimizing production scheduling and reducing geopolitical interference[32](index=32&type=chunk) [Book and Packaging Printing](index=14&type=section&id=Book%20and%20Packaging%20Printing) As the largest segment, book and packaging printing revenue decreased by **15%** and shifted from profit to loss, primarily due to slowing demand, price competition, and rising logistics costs, prompting a comprehensive transformation strategy Book and Packaging Printing Business Performance | Indicator | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | Revenue | HKD 647.1 million | HKD 761.7 million | -15% | | Results | Loss of HKD 22.1 million | Profit of HKD 26.4 million | Shift from profit to loss | - The business has implemented a comprehensive transformation strategy, combining operational excellence with strategic growth initiatives through cost optimization, business restructuring, AI technology integration, and business diversification[32](index=32&type=chunk) [Consumer Product Packaging](index=15&type=section&id=Consumer%20Product%20Packaging) Consumer product packaging revenue declined by **4.1%**, but losses narrowed through cost optimization and enhanced operational efficiency Consumer Product Packaging Business Performance | Indicator | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | Revenue | HKD 144.5 million | HKD 150.7 million | -4.1% | | Loss | HKD 17.6 million | HKD 24.2 million | Loss narrowed | - The business continues to streamline processes, share resources, and optimize logistics, with sustainable cost savings and improved profitability expected in the short term[33](index=33&type=chunk) [Corrugated Products](index=15&type=section&id=Corrugated%20Products) Despite weak demand and price competition, corrugated products revenue grew by **6.3%**, losses narrowed, and the segment enhanced collaborative efficiency by integrating Greater Bay Area production resources Corrugated Products Business Performance | Indicator | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | Revenue | HKD 91.8 million | HKD 86.413 million | +6.3% | | Loss | HKD 6 million | HKD 8.4 million | Loss narrowed | - The business is integrating Greater Bay Area production resources to enhance collaborative efficiency, actively expanding its customer base, and improving product and service quality and speed to market[33](index=33&type=chunk) [Paper Trading](index=15&type=section&id=Paper%20Trading) Paper trading revenue sharply decreased by **46.4%** due to shrinking export demand, presenting unprecedented challenges, for which the group has formulated turnaround initiatives Paper Trading Business Performance | Indicator | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | Revenue | HKD 51.9 million | HKD 96.8 million | -46.4% | - The group has formulated turnaround initiatives including expanding new businesses, improving cost structures, and driving strategic innovation[33](index=33&type=chunk) [Liquidity and Capital Resources](index=15&type=section&id=Liquidity%20and%20Capital%20Resources) The group maintained a prudent cash management strategy, holding **HKD 760 million** in total cash and **HKD 715 million** in net cash as of June 30, 2025, while successfully reducing bank loans and lowering the gearing ratio to **1.6%** - As of June 30, 2025, the group's total cash (including structured deposits) was **HKD 760 million**, with net cash at **HKD 715 million**[34](index=34&type=chunk) - The group's bank loans decreased to **HKD 46 million**, and the gearing ratio continued to fall to **1.6%** (2024: **3.1%**)[35](index=35&type=chunk) - Total interest costs decreased by **55%** to **HKD 0.7 million**[35](index=35&type=chunk) - The group invested over **HKD 41 million** in capital projects and committed an additional **HKD 43 million** to expand and enhance existing production capacity[35](index=35&type=chunk) - RMB-linked structured bank deposits increased to **HKD 329 million**, with RMB accounting for **71%** of total cash[34](index=34&type=chunk) [Environmental Sustainability](index=16&type=section&id=Environmental%20Sustainability) The group continues to strengthen environmental sustainability by expanding solar energy use, improving resource efficiency, adhering to responsible sourcing, and maintaining a high production waste recycling rate - The group has expanded photovoltaic power generation equipment to **six** locations, increasing total installed capacity to **9,806 kWp** (H1 2024: **6,504 kWp**), generating **4,472,301 kWh** of electricity and offsetting approximately **1,771 tonnes** of carbon emissions[36](index=36&type=chunk) - Total electricity consumption decreased to **26.81 million kWh**, and water consumption reduced to **177,859 cubic meters**, reflecting improved resource management efficiency[37](index=37&type=chunk) - Production waste recycling rate remained at a high level of **96%**, with **14,294 tonnes** of waste paper recycled[37](index=37&type=chunk) - Over **95%** of paper is FSC™ certified or contains a high proportion of recycled content, demonstrating a commitment to responsible sourcing[37](index=37&type=chunk)[38](index=38&type=chunk) [Our People](index=17&type=section&id=Our%20People) As of June 30, 2025, the group's total workforce decreased, but training investment continued, with increased average training hours per trainee covering environmental awareness, business ethics, functional skills, and diversity and inclusion Employee and Training Data | Indicator | June 30, 2025 | H1 2024 | | :--- | :--- | :--- | | Total Employees | 4,918 | 5,600 | | Total Training Hours | 84,873 hours | 94,252 hours | | Number of Training Participants | 34,131 | - | | Average Training Hours Per Participant | 2.49 hours | 2.37 hours | - Training scope covers key areas such as environmental awareness, business ethics, specialized functional skills, and diversity, equity, and inclusion (DE&I)[39](index=39&type=chunk) [Outlook](index=17&type=section&id=Outlook) The group remains optimistic about future development, continuing to drive organizational streamlining, business integration, new Vietnam plant operations, printing technology innovation, and diversified business expansion (STEM PLUS, Think Leap) to navigate market uncertainties and achieve sustainable growth - The group will continue to drive synergistic initiatives to achieve operational savings and resource optimization, with Shenzhen corrugated products business integrating with Shunde/Foshan and Zhongshan plants, and the second Vietnam plant expected to be fully operational by the end of September[41](index=41&type=chunk) - The group successfully secured new product packaging orders from several internationally renowned consumer brands, utilizing innovative printing technologies and eco-friendly materials, demonstrating its R&D capabilities[41](index=41&type=chunk) - As trade tensions ease, some major clients are gradually returning to the Chinese market, and the group is actively promoting its printing capabilities in the mainland market[42](index=42&type=chunk) - The STEM PLUS program will expand its business beyond Hong Kong, exploring new opportunities in Asia and solidifying Hong Kong's position as a regional education hub[42](index=42&type=chunk) - Think Leap will focus on developing the online digital market, leveraging technological advancements to drive retail business expansion and innovation[43](index=43&type=chunk) - The group believes that its various improvements and innovative measures, combined with advantages in quality, compliance, and sustainability, will effectively address market uncertainties, seize new opportunities, and drive sustainable growth[43](index=43&type=chunk) [Other Information](index=18&type=section&id=Other%20Information) This section covers the interim dividend declaration, closure of the register of members, transactions involving the company's listed securities, adherence to the Corporate Governance Code, compliance with the Model Code for Securities Transactions, and the Audit Committee's review [Interim Dividend](index=18&type=section&id=Interim%20Dividend) The Board resolved to declare an interim dividend of **HK 3 cents** per share, payable on October 17, 2025, to shareholders registered on September 25, 2025 - The Board resolved to declare an interim dividend of **HK 3 cents** per ordinary share (2024: **HK 4 cents**)[45](index=45&type=chunk) - The dividend will be paid on October 17, 2025, to shareholders whose names appear on the company's register of members on September 25, 2025[45](index=45&type=chunk) [Closure of Register of Members](index=18&type=section&id=Closure%20of%20Register%20of%20Members) To determine eligibility for the interim dividend, the company's register of members will be closed from September 22 to September 25, 2025, with all transfer documents due by 4:30 p.m. on September 19, 2025 - The company's register of members will be closed from September 22, 2025, to September 25, 2025 (both dates inclusive)[46](index=46&type=chunk) - To qualify for the interim dividend, all transfer documents, accompanied by the relevant share certificates, must be lodged with the company's share registrar by 4:30 p.m. on September 19, 2025[46](index=46&type=chunk) [Purchase, Redemption or Sale of the Company's Listed Securities](index=18&type=section&id=Purchase%2C%20Redemption%20or%20Sale%20of%20the%20Company%27s%20Listed%20Securities) Except for the trustee of the Restricted Share Award Scheme purchasing **288,000** shares, neither the company nor its subsidiaries purchased, redeemed, or sold any of the company's listed securities during the period - The trustee of the Restricted Share Award Scheme purchased a total of **288,000** shares of the company for an aggregate consideration of **HKD 298,000**[47](index=47&type=chunk) - Save for the above, neither the company nor any of its subsidiaries purchased, redeemed, or sold any of the company's shares during the period[47](index=47&type=chunk) [Corporate Governance Code](index=18&type=section&id=Corporate%20Governance%20Code) The group complied with the Corporate Governance Code in Appendix C1 of the Listing Rules during the reporting period, though the roles of Chairman and Chief Executive are combined by Mr. Yam Chak Ming, which the Board deems to be in the company's best interest - The group complied with the Corporate Governance Code set out in Appendix C1 of the Listing Rules throughout the accounting period covered by the interim results[48](index=48&type=chunk) - Code Provision C2.1 stipulates that the roles of chairman and chief executive should be separate, but the duties of chief executive are performed by Mr. Yam Chak Ming, the Executive Chairman of the company, which the Board believes is in the company's best interest[48](index=48&type=chunk) [Model Code for Securities Transactions](index=19&type=section&id=Model%20Code%20for%20Securities%20Transactions) The company adopted the Model Code for Securities Transactions by Directors of Listed Issuers in Appendix C3 of the Listing Rules, and all directors confirmed compliance during the reporting period after specific inquiry - The company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers set out in Appendix C3 of the Listing Rules for directors' dealings in the company's securities[49](index=49&type=chunk) - Following specific enquiry with the company's directors, all directors confirmed compliance with the Model Code for Securities Transactions throughout the accounting period covered by the interim results[49](index=49&type=chunk) [Audit Committee](index=19&type=section&id=Audit%20Committee) The company's Audit Committee reviewed the interim financial results for the six months ended June 30, 2025, including accounting policies and practices, and discussed audit, internal control, and financial reporting matters - The company's Audit Committee has reviewed the interim financial results for the six months ended June 30, 2025, and the accounting principles and practices adopted by the group[50](index=50&type=chunk) - The Audit Committee comprises three independent non-executive directors and one non-executive director[50](index=50&type=chunk)